Vol. 149, No. 11 — June 3, 2015

Registration

SOR/2015-111 May 15, 2015

MOTOR VEHICLE SAFETY ACT

Regulations Amending Certain Regulations Made Under the Motor Vehicle Safety Act

P.C. 2015-591 May 14, 2015

His Excellency the Governor General in Council, on the recommendation of the Minister of Transport, pursuant to subsections 5(1) (see footnote a) and 11(1) (see footnote b) of the Motor Vehicle Safety Act (see footnote c), makes the annexed Regulations Amending Certain Regulations Made Under the Motor Vehicle Safety Act.

REGULATIONS AMENDING CERTAIN REGULATIONS MADE UNDER THE MOTOR VEHICLE SAFETY ACT

MOTOR VEHICLE SAFETY REGULATIONS

1. Section 15 of the Motor Vehicle Safety Regulations (see footnote 1) is replaced by the following:

15. (1) A notice of defect required to be given under section 10 of the Act shall contain the following information:

(2) The notice of defect shall be given in writing and, when it is to be given to a person other than the Minister, shall be

(3) For the purposes of subsection 10(1) of the Act, the person who obtained the vehicle from the company is a prescribed person.

(4) The notice of defect shall be given to the current owner and to the person who obtained the vehicle from the company as soon as possible after the company becomes aware of the defect, but no later than 60 days after the day on which the company becomes aware of it.

(5) A company shall, within 60 days after the day on which it gives a notice of defect to the Minister under paragraph 10(1)(a) of the Act, submit to the Minister a report containing, in addition to the information required by subsection (1), the following information:

(6) After submitting the report referred to in subsection (5), a company shall, for a period of two years after the day on which it gives the notice of defect to the Minister, submit to the Minister quarterly reports containing the following information:

2. (1) Subsections 122(6) to (11) of Schedule IV to the Regulations are replaced by the following:

(6) For the purposes of TSD 122, the definitions “antilock brake system” or “ABS”, “control”, “split service brake system” and “stopping distance” in subsection 2(1) of these Regulations, and section 5.3 of these Regulations, do not apply.

(2) Section 122 of Schedule IV to the Regulations is amended by adding the following after subsection (18):

Transitional Provision

(19) Despite subsections (1) to (18), a motorcycle may, until September 1, 2016, conform to the requirements of this section as it read immediately before the day on which this subsection comes into force.

MOTOR VEHICLE RESTRAINT SYSTEMS AND BOOSTER SEATS SAFETY REGULATIONS

3. Section 110 of the Motor Vehicle Restraint Systems and Booster Seats Safety Regulations (see footnote 2) is replaced by the following:

Content of notice of defect

110. (1) A notice of defect required to be given under section 10 of the Act must contain the following information:

Notice requirements

(2) The notice of defect must be given in writing and, when it is to be given to a person other than the Minister, must be

Prescribed person

(3) For the purposes of subsection 10(1) of the Act, the person who obtained the restraint system or booster seat from the company is a prescribed person.

Notice within 60 days

(4) The notice of defect must be given to the current owner and to the person who obtained the restraint system or booster seat from the company as soon as possible after the company becomes aware of the defect, but no later than 60 days after the day on which the company becomes aware of it.

Report

(5) A company must, within 30 days after the day on which it gives a notice of defect to the Minister under paragraph 10(1)(a) of the Act, submit to the Minister a report containing, in addition to the information required by subsection (1), the following information:

Quarterly reports

(6) After submitting the report referred to in subsection (5), a company must, for a period of two years after the day on which it gives the notice of defect to the Minister, submit to the Minister quarterly reports containing the following information:

MOTOR VEHICLE TIRE SAFETY REGULATIONS

4. Section 13 of the Motor Vehicle Tire Safety Regulations (see footnote 3) is replaced by the following:

Content of notice of defect

13. (1) A notice of defect required to be given under section 10 of the Act must contain the following information:

Notice requirements

(2) The notice of defect must be given in writing and, when it is to be given to a person other than the Minister, must be

Prescribed person

(3) For the purposes of subsection 10(1) of the Act, the person who obtained the tire from the company is a prescribed person.

Notice within 60 days

(4) The notice of defect must be given to the current owner and to the person who obtained the tire from the company as soon as possible after the company becomes aware of the defect, but no later than 60 days after the day on which the company becomes aware of it.

Report

(5) A company must, within 30 days after the day on which it gives a notice of defect to the Minister under paragraph 10(1)(a) of the Act, submit to the Minister a report containing, in addition to the information required by subsection (1), the following information:

Quarterly reports

(6) After submitting the report referred to in subsection (5), a company must, for a period of two years after the day on which it gives the notice of defect to the Minister, submit to the Minister quarterly reports containing the following information:

COMING INTO FORCE

5. (1) Subject to subsection (2), these Regulations come into force on the day on which sections 220 to 222 of the Economic Action Plan 2014 Act, No. 1, chapter 20 of the Statutes of Canada 2014, come into force, but if they are registered after that day, they come into on the day on which they are registered.

(2) Section 2 of these Regulations comes into force on the day on which these Regulations are published in the Canada Gazette, Part II.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)

Issues

Amendments to the Motor Vehicle Safety Act (the Act) were contained in the Economic Action Plan 2014 Act, No. 1, which received royal assent on June 19, 2014. These amendments included changes to section 10 of the Act regarding notice of defect requirements. Accordingly, the corresponding notice of defect provisions of the safety regulations must also be updated.

The Canadian regulation for motorcycle brake safety has not kept pace with the similar United States (U.S.) regulation. The U.S. National Highway Traffic Safety Administration published a new safety standard governing the performance requirements for motorcycle brake systems on August 24, 2012. A Canadian regulatory amendment is needed, to preclude Canadian motorcycle manufacturers and importers from needing to certify their products to outdated requirements for the Canadian market.

Background

The amendment to section 10 of the Act includes requirements to give notice of defects. Three safety regulations currently make reference to section 10 of the Act, namely the Motor Vehicle Safety Regulations, the Motor Vehicle Tire Safety Regulations, and the Motor Vehicle Restraint Systems and Booster Seat Safety Regulations. For each of these regulations, the sections that require the giving of a notice of defect must be amended to update references to the amended Act and move the reporting requirements from the Act to the regulations.

Section 122 of the Motor Vehicle Safety Regulations contains the Canadian safety standard governing the performance requirements for motorcycle brake systems. The Canadian safety standard is aligned on a global scale by way of providing the option to meet either the U.S. Federal Motor Vehicle Safety Standard 122, hereinafter referred to as the U.S. safety standard, or the United Nations Economic Commission for Europe Regulation No. 78 relative to motorcycle brake systems, hereinafter referred to as UN Regulation No. 78.

The United Nations Global Technical Regulation (UN GTR) No. 3 was established in 2006 under the framework of the 1998 Global Agreement. (see footnote 4) The development group was chaired by Canada, and the U.S. was an active participant. The UN GTR was established based on the best practices of that time among the motorcycle brake system standards from around the world, including the U.S. safety standard, UN Regulation No. 78, and the Japan Safety Standard 12-61, among others. In 2007, the UN GTR was transposed into UN Regulation No. 78, to which many countries currently subscribe, including the 28 Member States of the European Union (France, Germany, Italy, United Kingdom, etc.) and Japan among others. Canada adopted the alternative to meet UN Regulation No. 78 in 2011, and is therefore already effectively aligned with UN GTR No. 3.

On August 24, 2012, the U.S. National Highway Traffic Safety Administration published a final rule updating as well as aligning the U.S. safety standard with UN GTR No. 3 relative to motorcycle brake systems. The amended U.S. safety standard includes new test procedures and performance requirements that better reflect the advancement of modern brake technologies to which motorcycles are currently manufactured and scrutinized in other national jurisdictions. As a result, it is expected that almost all motorcycles will be able to conform to the new U.S. requirements without major design changes. Early compliance was permitted as of October 23, 2012. Mandatory compliance commenced September 1, 2014, except for those motorcycles designed to travel on three wheels that are symmetrically positioned. These motorcycles will have until September 1, 2015, to comply.

Objectives

This amendment updates three safety regulations to reflect the changes made to section 10 of the Act, namely the Motor Vehicle Safety Regulations, the Motor Vehicle Tire Safety Regulations, and the Motor Vehicle Restraint Systems and Booster Seat Safety Regulations. This amendment also updates the Canadian safety standard for motorcycle brakes by aligning with the new U.S. safety standard. Alignment of the Motor Vehicle Safety Regulations is consistent with the goals of the Canada–United States Regulatory Cooperation Council. Transport Canada recognizes that alignment of North American vehicle regulations is important to the motorcycle manufacturing industry. Maintaining alignment has the benefit of updating and improving the current Canadian baseline performance requirements, and relieving manufacturers of any unnecessary burden that could result from misaligned requirements.

Description

This amendment amends the sections entitled “Defect Information” in three separate safety regulations. The sections in question are section 15 of the Motor Vehicle Safety Regulations, section 13 of the Motor Vehicle Tire Safety Regulations, and section 110 of the Motor Vehicle Restraint Systems and Booster Seat Safety Regulations. In particular, the amendments update the references to the Act, and move the reporting requirements from the Act to the regulations.

Relative to the reporting requirements, the Act previously specified that, on becoming aware of a defect, a notice was required to be given in writing to the Minister, to each person who has obtained such a vehicle or equipment from a company, and to each current owner. With the amendments to the Act of 2014, the notice to be given to the Minister on becoming aware of a defect is maintained, but to current owners and any other prescribed person the notice must be given within the period provided in the regulations. This amendment provides that notice to owners and other prescribed persons must be provided as soon as possible but no later than 60 days after becoming aware of the defect.

This amendment also modifies Schedule IV of the Motor Vehicle Safety Regulations by revising Canada Motor Vehicle Safety Standard (CMVSS) 122 entitled Motorcycle Brake Systems. The new requirements will take effect on September 1, 2016, which is one year after the day that mandatory compliance with the new U.S. safety standard is required for all motorcycle types collectively.

More specifically, the new U.S. safety standard is reproduced in the Department’s Technical Standards Document (TSD) 122 —Motorcycle Brake Systems, which is incorporated by reference in CMVSS 122. The updated TSD includes a revised wet brake test, new braking tests with the vehicle operating in the fully loaded condition, and a new antilock brake system test if the motorcycle is so equipped.

The revised TSD 122 also includes the necessary adaptations to address Canadian unique requirements that are not captured in the U.S. safety standard. This would include requirements such as the use of internationally adopted symbols in Canada to identify brake system warning lamps for motorcycles instead of the unilingual markings specified for the U.S. market.

While the U.S. safety standard was aligned with the GTR No. 3, some adaptations have been incorporated as deemed necessary. With a view to provide greater flexibility while maintaining a similar level of safety, the Canadian safety standard continues to reference UN Regulation No. 78 as an allowable alternative to the U.S. safety standard.

“One-for-One” Rule

This amendment maintains alignment with the U.S. safety standard and does not introduce new Canadian specific requirements. The “One-for-One” Rule does not apply to this proposal, as there is no expected change in administrative costs to business.

Small business lens

The small business lens does not apply to this amendment, as there are no increased costs expected to small business, or to businesses in general. Regardless of their size, manufacturers and importers will be held to the same safety-related legal obligations.

Consultation

The Department informs the automotive industry, public safety organizations, and the general public when changes are planned to the safety regulations. This gives them the opportunity to comment on these changes by letter or email. The Department also consults regularly, in face-to-face meetings or teleconferences, with the automotive industry, public safety organizations, the provinces, and the territories.

The Department also meets regularly with the federal authorities of other countries. Aligned regulations are key to trade and to a competitive Canadian automotive industry. The Department and the United States Department of Transportation hold semi-annual meetings to discuss issues of mutual importance and planned regulatory changes. In addition, departmental officials participate in and support the development of GTRs, which are developed by the World Forum for the Harmonization of Vehicle Regulations pursuant to the United Nations’ 1998 Global Agreement.

Relative to the amendment to the sections addressing defect information, the amendments to the respective safety regulations are necessary to reflect and align with the amendments to section 10 of the Act, thus requiring no additional external consultation. With the coming into force of the new section 10.1 of the Act addressing “Notice of non-compliance,” the safety regulations will need to be further amended to include supporting requirements. This will be addressed in a follow-up regulatory project which will include the prepublication of a proposed amendment in the Canada Gazette, Part I, and thorough consultations with stakeholders before a final amendment is published.

Regarding the safety standard governing the performance requirements of motorcycle brake systems, Canadian representatives of major motorcycle manufacturers are supportive of this amendment. At the June 11, 2014, meeting of the Motorcycle and Moped Industry Council (MMIC) with the Department, motorcycle member companies indicated a preference for maintaining regulatory flexibility via alignment with the U.S. safety standard, while allowing the option of UN Regulation No. 78, with the view to minimize barriers to trade. In their follow-up written correspondence of August 2014, the MMIC confirmed its support for a final publication of the amendment in the Canada Gazette, Part II, without the need to prepublish a proposal in the Canada Gazette, Part I. The MMIC represents the major motorcycle distributors in Canada; its member companies account for over 90% of all new motorcycles and scooters sold in Canada.

Rationale

Updating the relevant safety regulations is necessary to ensure alignment with the amended section 10 of the Act. Relative to the reporting requirements, the Act previously specified that, on becoming aware of a defect, a notice was required to be given in writing to the Minister, to each person who has obtained such a vehicle or equipment from a company, and to each current owner. Based on the Department’s past experience, the requirement to provide such information in such short order, particularly to each and every retailer and current owner, is impractical.

In recognition of the above, the Department took this opportunity to make one further amendment relative to reporting a defect, requiring that the notice of defect be provided in writing as soon as possible but no later than 60 days after becoming aware of the defect, to each person who has obtained such a vehicle or equipment from the company, and to each current owner. This is consistent with the requirements in the United States. As before, the Minister must be informed on becoming aware of the defect. Finally, the requirements for follow-up quarterly reports previously found in the Act are moved into the respective regulations, and these remain unchanged.

Relative to motorcycle brake systems, this amendment also keeps the Canadian safety standard aligned with the recently updated U.S. safety standard. Maintaining alignment has the benefit of updating and improving the current minimum performance requirements, and relieving manufacturers of any unnecessary burden that could result from misaligned requirements. Not aligning would result in unique Canadian requirements that are outdated and could potentially impede trade with the U.S.

The new U.S. safety standard excludes certain test methods and performance measures described in both UN GTR No. 3 and UN Regulation No. 78. For example, the method for characterizing the test track surface adhesion based on a rider’s performance on a motorcycle was excluded, in preference for the alternative method utilizing an instrumented trailer and standard reference tire as specified by the American Society for Testing and Materials. The excluded method was not a viable option for the U.S., as it requires a rider to brake at the limits of adhesion, the results of which can vary significantly from one rider to the next. This potential uncertain repeatability would unnecessarily complicate enforcement efforts and is not practicable in the context of the U.S. self- certification system. For similar reasons, this same exclusion was made in 2011, when UN Regulation No. 78 was adapted into the Canadian safety standard.

Continuing to provide manufacturers the alternative to meet UN Regulation No. 78 gives them additional flexibility that is not present in the U.S. safety standard. This alternative includes accepting braking performance evaluations based on either vehicle deceleration rates or stopping distances. The U.S. safety standard references stopping distance as the sole criterion for the majority of prescribed braking manoeuvres. Through the reference to UN Regulation No. 78, the Canadian safety standard provides manufacturers additional flexibility while maintaining similar safety requirements, and preventing potential impediments to trade on a global scale.

Referencing the new U.S. requirements is not expected to have any negative impact on the costs to vehicle manufacturers and related industry, the public or the government. Potential economic benefit could result, as the requirements are aligned with regulations that are globally recognized, thus reducing and simplifying the burden to manufacturers and importers. Finally, it is not expected that this amendment will add any administrative, compliance oversight or enforcement cost.

Implementation, enforcement and service standards

The amendments to the safety regulations will take effect on the same day that the amendments to section 10 of the Act come into force.

The new requirements of the Canadian safety standard for motorcycle brakes will come into force on the day they are published in the Canada Gazette, Part II. Until September 1, 2016, manufacturers have the option to meet either this new version of the Canadian regulation or the version that immediately preceded it. This is one year after the day that mandatory compliance with the new U.S. safety standard is required for all motorcycle types collectively.

Motor vehicle manufacturers and importers are responsible for ensuring compliance with the requirements of the Motor Vehicle Safety Act and its regulations.  The Department of Transport monitors the self-certification programs of manufacturers and importers by reviewing their test documentation, inspecting vehicles, and testing vehicles obtained in the open market.  In addition, when a manufacturer or importer identifies a defect in a vehicle or equipment, it must issue a notice of defect to the owners and to the Minister of Transport.  Any person or company that contravenes a provision of the Motor Vehicle Safety Act or its regulations is guilty of an offence, and is liable to the applicable penalty set out in the Act.

Contact

Denis Brault
Senior Regulatory Development Engineer
Motor Vehicle Safety Directorate
Transport Canada
330 Sparks Street
Ottawa, Ontario
K1A 0N5
Email: denis.brault@tc.gc.ca