Proposed Rule2024-25517
Broker and Freight Forwarder Financial Responsibility; Extension of Compliance Date
Primary source
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Published
November 4, 2024
Issuing agencies
Transportation DepartmentFederal Motor Carrier Safety Administration
Abstract
FMCSA proposes to amend its November 16, 2023, final rule, "Broker and Freight Forwarder Financial Responsibility," by extending the compliance date for certain provisions from January 16, 2025, to January 16, 2026. This action is being proposed because FMCSA has determined that only its forthcoming online registration system will be used to accept filings and track notifications, and this functionality will not be added to its legacy systems. As the new system is not expected to be available before January 16, 2025, FMCSA proposes to extend the compliance date to provide regulated entities time to begin using and familiarizing themselves with the system before compliance is required.
Full Text
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<title>Federal Register, Volume 89 Issue 213 (Monday, November 4, 2024)</title>
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[Federal Register Volume 89, Number 213 (Monday, November 4, 2024)]
[Proposed Rules]
[Pages 87532-87536]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-25517]
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DEPARTMENT OF TRANSPORTATION
Federal Motor Carrier Safety Administration
49 CFR Parts 386 and 387
[Docket No. FMCSA-2024-0280]
RIN 2126-AC76
Broker and Freight Forwarder Financial Responsibility; Extension
of Compliance Date
AGENCY: Federal Motor Carrier Safety Administration (FMCSA), Department
of Transportation (DOT).
ACTION: Notice of proposed rulemaking (NPRM).
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SUMMARY: FMCSA proposes to amend its November 16, 2023, final rule,
``Broker and Freight Forwarder Financial Responsibility,'' by extending
the compliance date for certain provisions from January 16, 2025, to
January 16, 2026. This action is being proposed because FMCSA has
determined that only its forthcoming online registration system will be
used to accept filings and track notifications, and this functionality
will not be added to its legacy systems. As the new system is not
expected to be available before January 16, 2025, FMCSA proposes to
extend the compliance date to provide regulated entities time to begin
using and familiarizing themselves with the system before compliance is
required.
DATES: Comments must be received on or before November 19, 2024.
Comments should be limited to the proposed change in the compliance
date.
ADDRESSES: You may submit comments identified by Docket Number FMCSA-
2024-0280 using any one of the following methods:
<bullet> Federal Rulemaking Portal: Go to <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Follow the online instructions for submitting
comments.
<bullet> Mail: Dockets Operations, U.S. Department of
Transportation, 1200 New Jersey Avenue SE, West Building, Ground Floor,
Washington, DC 20590-0001.
<bullet> Hand Delivery or Courier: Dockets Operations, U.S.
Department of Transportation, 1200 New Jersey Avenue SE, West Building,
Ground Floor, Washington, DC 20590-0001, between 9 a.m. and 5 p.m.,
Monday through Friday, except Federal holidays. To be sure someone is
there to help you, please call (202) 366-9317 or (202) 366-9826 before
visiting Dockets Operations.
<bullet> Fax: (202) 493-2251.
FOR FURTHER INFORMATION CONTACT: Ana Alvarez, Financial Analyst, Office
of Registration, Financial Responsibility Filings Division, FMCSA, 1200
New Jersey Avenue SE, West Building, 6th Floor, Washington, DC 20590;
(202) 366-0401; <a href="/cdn-cgi/l/email-protection#2a4b444b044b465c4b584f506a4e455e044d455c"><span class="__cf_email__" data-cfemail="13727d723d727f657261766953777c673d747c65">[email protected]</span></a>. If you have questions on viewing
or submitting material to the docket, call Dockets Operations at (202)
366-9826.
SUPPLEMENTARY INFORMATION: FMCSA organizes this NPRM as follows:
I. Public Participation and Request for Comments
A. Submitting Comments
B. Viewing Comments and Documents
C. Privacy
II. Executive Summary
A. Purpose and Summary of the Regulatory Action
B. Costs and Benefits
III. Abbreviations
IV. Legal Basis
V. Background
VI. Discussion of Proposed Rulemaking
VII. Regulatory Analyses
A. E.O. 12866 (Regulatory Planning and Review), E.O. 13563
(Improving Regulation and Regulatory Review), E.O. 14094
(Modernizing Regulatory Review), and DOT Regulatory Policies and
Procedures
B. Regulatory Flexibility Act (Small Entities)
C. Assistance for Small Entities
D. Unfunded Mandates Reform Act of 1995
E. Paperwork Reduction Act
F. E.O. 13132 (Federalism)
G. Privacy
H. E.O. 13175 (Indian Tribal Governments)
I. National Environmental Policy Act of 1969
J. Rulemaking Summary
I. Public Participation and Request for Comments
A. Submitting Comments
If you submit a comment, please include the docket number for this
NPRM (FMCSA-2024-0280), indicate the specific section of this document
to which your comment applies, and provide a reason for each suggestion
or recommendation. You may submit your comments and material online or
by fax, mail, or hand delivery, but please use only one of these means.
FMCSA recommends that you include your name and a mailing address, an
email address, or a phone number in the body of your document so FMCSA
can contact you if there are questions regarding your submission.
To submit your comment online, go to <a href="https://www.regulations.gov/docket/FMCSA-2024-0280/document">https://www.regulations.gov/docket/FMCSA-2024-0280/document</a>, click on this NPRM, click ``Comment,''
and type your comment into the text box on the following screen.
If you submit your comments by mail or hand delivery, submit them
in an unbound format, no larger than 8\1/2\ by 11 inches, suitable for
copying and electronic filing.
FMCSA will consider all comments and material received during the
comment period.
Confidential Business Information (CBI)
CBI is commercial or financial information that is both customarily
and actually treated as private by its owner. Under the Freedom of
Information Act (5 U.S.C. 552), CBI is exempt from public disclosure.
If your comments responsive to the NPRM contain commercial or financial
information that is customarily treated as private, that you actually
treat as private, and that is relevant or responsive to the NPRM, it is
important that you clearly designate the submitted comments as CBI.
Please mark each page of your submission that constitutes CBI as
``PROPIN'' to indicate it contains proprietary information. FMCSA will
treat such marked submissions as confidential under the Freedom of
Information Act, and they will not be placed in the public docket of
the NPRM.
Submissions containing CBI should be sent to Mr. Brian Dahlin,
Chief, Regulatory Evaluation Division, Office of Policy, FMCSA, 1200
New Jersey Avenue SE, Washington, DC 20590-0001 or via email at
<a href="/cdn-cgi/l/email-protection#71130318101f5f165f1510191d181f31151e055f161e07"><span class="__cf_email__" data-cfemail="583a2a313936763f763c3930343136183c372c763f372e">[email protected]</span></a>. At this time, you need not send a duplicate
hardcopy of your electronic
[[Page 87533]]
CBI submissions to FMCSA headquarters. Any comments FMCSA receives not
specifically designated as CBI will be placed in the public docket for
this rulemaking.
B. Viewing Comments and Documents
To view any documents mentioned as being available in the docket,
go to <a href="https://www.regulations.gov/docket/FMCSA-2024-0280/document">https://www.regulations.gov/docket/FMCSA-2024-0280/document</a> and
choose the document to review. To view comments, click this NPRM, then
click ``Browse Comments.'' If you do not have access to the internet,
you may view the docket online by visiting Dockets Operations on the
ground floor of the DOT West Building, 1200 New Jersey Avenue SE,
Washington, DC 20590-0001, between 9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays. To be sure someone is there to help
you, please call (202) 366-9317 or (202) 366-9826 before visiting
Dockets Operations.
C. Privacy
In accordance with 5 U.S.C. 553(c), DOT solicits comments from the
public to better inform its regulatory process. DOT posts these
comments, including any personal information the commenter provides, to
<a href="http://www.regulations.gov">www.regulations.gov</a> as described in the system of records notice (DOT/
ALL 14--Federal Docket Management System (FDMS)), which can be reviewed
at <a href="https://www.transportation.gov/individuals/privacy/privacy-act-system-recordsnotices">https://www.transportation.gov/individuals/privacy/privacy-act-system-recordsnotices</a>. The comments are posted without edit and are
searchable by the name of the submitter.
II. Executive Summary
A. Purpose and Summary of the Regulatory Action
FMCSA proposes to extend certain compliance dates in the 2023 final
rule, ``Broker and Freight Forwarder Financial Responsibility'' (88 FR
78656, Nov. 16, 2023), from January 16, 2025, to January 16, 2026,
creating a single compliance date for all provisions in the rule. This
extension will ensure that parties required to comply with the
regulations have sufficient opportunity to register in the new system
and begin using it, and that FMCSA is able to properly process and
respond to such filings. The provisions affected by this extension are:
1. Immediate suspension of broker/freight forwarder operating
authority. When a broker or freight forwarder's available financial
security falls below $75,000, FMCSA shall suspend its operating
authority registration.
2. Surety or trust responsibilities in cases of broker/freight
forwarder financial failure or insolvency. If a surety/trustee becomes
aware that a broker or freight forwarder is experiencing financial
failure or insolvency, it must notify FMCSA and initiate cancelation of
the financial responsibility.
3. Enforcement authority and penalties for financial responsibility
providers who do not comply with the regulations. FMCSA is
incorporating the statutorily mandated penalties into its regulations.
After notice and an opportunity for a hearing, surety companies or
financial institutions who violate 49 CFR 387.307 will be ineligible to
provide financial responsibility for 3 years and may also be subject to
a civil penalty.
This extension is necessary so that FMCSA can implement its new
online registration system and make it available to entities required
to register and make filings in the system. This extension is also
intended to provide users with an opportunity to begin using, and
become familiar with, the new online registration system before
compliance with the system becomes mandatory. The planned release for
the new modernized registration system is 2025.
B. Costs and Benefits
The 2023 Broker and Freight Forwarder Financial Responsibility
final regulatory impact analysis (RIA) estimated costs for compliance
and implementation among brokers, freight forwarders, surety bond and
trust fund providers, and the Federal government. This proposed rule
would delay certain provisions requiring filings in the online
registration system until January 16, 2026, resulting in all provisions
of the rule becoming effective at the same time.
Despite the delayed compliance for certain provisions, FMCSA finds
that the benefits stipulated in the 2023 final rule remain unchanged by
this proposed rule. The provision mandating that brokers and freight
forwarders maintain assets readily available in trust funds, will still
take effect as originally scheduled, on January 16, 2026. Brokers and
freight forwarders, surety bond and trust fund providers would incur
cost savings by not being required to file documentation relating to
certain other provisions until January 16, 2026. FMCSA would also incur
cost savings in delaying the enforcement of several provisions of the
2023 final rule. In conclusion, the Agency finds that this proposed
rule would maintain all benefits and reduce costs by a de minimis
amount for all parties subject to the 2023 final rule.
III. Abbreviations
CBI Confidential Business Information
CE Categorical exclusion
CFR Code of Federal Regulations
DOT Department of Transportation
E.O. Executive Order
FMCSA Federal Motor Carrier Safety Administration
FR Federal Register
NPRM Notice of proposed rulemaking
OMB Office of Management and Budget
PIA Privacy Impact Assessment
PII Personally Identifiable Information
PTA Privacy Threshold Assessment
RIA Regulatory Impact Analysis
URS Unified Registration System
UMRA Unfunded Mandates Reform Act
U.S.C. United States Code
IV. Legal Basis
The legal basis of the Broker and Freight Forwarder Financial
Responsibility final rule, set forth at 88 FR 78658, also serves as the
legal basis for this NPRM. The statutory authority identified in that
discussion is 49 U.S.C. 13906, which contains requirements for the
financial security of brokers and freight forwarders and directs the
Secretary to issue regulations to implement and enforce these
requirements. Authority to carry out and enforce these provisions has
been delegated to the Administrator of FMCSA (49 CFR 1.87(a)(5)).
As discussed in the final rule, 49 CFR 387.403T(c) makes any
requirements applicable to broker of property surety bonds and trust
funds in Sec. 387.307 applicable to the surety bond or trust fund
required of freight forwarders as well.\1\ Therefore, any time this
NPRM refers to brokers, the same requirements are also applicable to
freight forwarders.
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\1\ Although 49 CFR 387.403 is currently suspended, it contains
the same language making Sec. 387.307 applicable to freight
forwarders. Thus, when the suspension is ultimately lifted, it will
have no effect on the analysis here.
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V. Background
On November 16, 2023, FMCSA published a final rule adopting
regulations to implement 49 U.S.C. 13906(b) and (c) (88 FR 78656). The
final rule became effective 60 days later, on January 16, 2024.
However, compliance with the provisions relating to immediate
suspension, financial failure or insolvency, and penalties for trust or
surety providers who fail to comply with the regulations is not
required until January 16, 2025, and full compliance with all of the
final rule's provisions is not required until 2 years after the
effective date, beginning on January 16, 2026.
[[Page 87534]]
VI. Discussion of the Proposed Rulemaking
FMCSA proposes to extend the compliance date for the provisions of
the Broker and Freight Forwarder Financial Responsibility rule relating
to immediate suspension, financial failure or insolvency, and penalties
for trust or surety providers who fail to comply with the regulations
from January 16, 2025, to January 16, 2026, by amending the expiration
date of the temporary rule governing current practices, Sec. 387.307T,
and the compliance dates in Sec. 387.307. This extension will create a
single compliance date for all provisions in the rule, allow FMCSA to
implement the new online registration system, and ensure that filers
are familiar with the online registration system and able to perform
all duties mandated by the rule prior to the compliance date.
The final rule discusses and requires online filing of documents.
FMCSA always intended to build this functionality into its forthcoming
online registration system.\2\ After engaging with stakeholders and
work developing the new platform, the Agency has determined that it
would not be an efficient use of resources to add the functionality to
the legacy registration system. Instead, the Agency is focused on
implementing the new online registration system and publishing the NPRM
concerning the new system, as described in the Unified Agenda (see
Regulation Identification Number 2126-AB56), as expeditiously as
possible. By extending the compliance date for the Broker and Freight
Forwarder Financial Responsibility final rule, FMCSA intends to allow
the regulated community sufficient time to begin utilizing the new
system and become familiar with it before compliance is required.
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\2\ See 88 FR 78657 and 78666, Nov. 16, 2023.
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In addition, FMCSA finds that without certain automated processes
currently under development in the new system, effective compliance
management would be compromised. Specifically, the Agency believes that
tracking and processing drawdown notifications manually would be
inefficient, leading to delays, higher administrative costs, and
potential compliance risks for both FMCSA and the industry. The ability
to efficiently suspend the operating authority of brokers and freight
forwarders who fail to maintain the required financial security within
the 7-day regulatory time frame depends upon both the regulated
entities and the Agency being able to utilize a fully functional online
filing system. For more detailed information regarding the launching of
the new online registration system, stakeholders are encouraged to
visit <a href="https://www.fmcsa.dot.gov/registration/resources-hub">https://www.fmcsa.dot.gov/registration/resources-hub</a>.
For the reasons mentioned above, as well as to provide the public
with the notice and opportunity for comment required by the
Administrative Procedure Act (5 U.S.C. 553) FMCSA proposes to extend
the compliance date for the provisions relating to immediate
suspension, financial failure or insolvency, and penalties for trust or
surety providers who fail to comply with the regulations. The new
compliance date, January 16, 2026, would align with the date already
set for the other provisions in the rule.
VII. Regulatory Analyses
A. Executive Order (E.O.) 12866 (Regulatory Planning and Review), E.O.
13563 (Improving Regulation and Regulatory Review), E.O. 14094
(Modernizing Regulatory Review), and DOT Regulatory Policies and
Procedures
FMCSA has considered the impact of this NPRM under E.O. 12866 (58
FR 51735, Oct. 4, 1993), Regulatory Planning and Review, as
supplemented by E.O. 13563 (76 FR 3821, Jan. 21, 2011), Improving
Regulation and Regulatory Review, and amended by E.O. 14094 (88 FR
21879, Apr. 11, 2023), Modernizing Regulatory Review, as well as the
impact under DOT regulatory policies and procedures (DOT Order 2100.6A,
dated June 7, 2021). This NPRM is not a significant regulatory action
under section 3(f) of E.O. 12866, as amended. Accordingly, OMB has not
reviewed it under that E.O.
B. Regulatory Flexibility Act (Small Entities)
The Regulatory Flexibility Act (5 U.S.C. 601 et seq.), as amended
by the Small Business Regulatory Enforcement Fairness Act of 1996 \3\
requires Federal agencies to consider the effects of the regulatory
action on small business and other small entities and to minimize any
significant economic impact. The term small entities comprises small
businesses and not-for-profit organizations that are independently
owned and operated and are not dominant in their fields, and
governmental jurisdictions with populations of less than 50,000 (5
U.S.C. 601(6)). Accordingly, DOT policy requires an analysis of the
impact of all regulations on small entities, and mandates that agencies
strive to lessen any adverse effects on these businesses.
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\3\ Public Law 104-121, 110 Stat. 857 (Mar. 29, 1996).
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This proposed rule would extend the compliance date for specific
provisions of the 2023 final rule, ``Broker and Freight Forwarder
Financial Responsibility,'' to January 16, 2026. The provisions already
scheduled for compliance on January 16, 2026, would not be affected.
The rule would impact small entities such as surety bond and trust fund
providers, brokers, and freight forwarders. The extension would provide
small entities with additional time to register in the new online
registration system and understand its operations and functionalities.
By delaying the submission of documentation for certain provisions
until January 16, 2026, these entities would also realize de minimis
cost savings.
Consequently, I certify that this action would not have a
significant economic impact on a substantial number of small entities.
C. Assistance for Small Entities
In accordance with section 213(a) of the Small Business Regulatory
Enforcement Fairness Act of 1996 (Pub. L. 104-121, 110 Stat. 857),
FMCSA wants to assist small entities in understanding this proposed
rule so they can better evaluate its potential effects on themselves
and participate in the rulemaking initiative. If the proposed rule
would affect your small business, organization, or governmental
jurisdiction and you have questions concerning its provisions or
options for compliance, please consult the person listed under FOR
FURTHER INFORMATION CONTACT.
Small businesses may send comments on the actions of Federal
employees who enforce or otherwise determine compliance with Federal
regulations to the Small Business Administration's Small Business and
Agriculture Regulatory Enforcement Ombudsman (Office of the National
Ombudsman, see <a href="https://www.sba.gov/about-sba/oversight-advocacy/office-national-ombudsman">https://www.sba.gov/about-sba/oversight-advocacy/office-national-ombudsman</a>) and the Regional Small Business Regulatory Fairness
Boards. The Ombudsman evaluates these actions annually and rates each
agency's responsiveness to small business. If you wish to comment on
actions by employees of FMCSA, call 1-888-REG-FAIR (1-888-734-3247).
DOT has a policy regarding the rights of small entities to regulatory
enforcement fairness and an explicit policy against retaliation for
exercising these rights.
[[Page 87535]]
D. Unfunded Mandates Reform Act of 1995
The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
(UMRA) requires Federal agencies to assess the effects of their
discretionary regulatory actions. The Act addresses actions that may
result in the expenditure by State, local, or Tribal government, in the
aggregate, or by the private sector of $200 million (which is the value
equivalent of $100 million in 1995, adjusted for inflation to 2023
levels) or more in any 1 year. This proposed rule would not result in
such an expenditure, so the analytical requirements of UMRA do not
apply.
E. Paperwork Reduction Act
Due to the proposed change of compliance date, the existing
Information Collection Requirements pertaining to broker and freight
forwarder financial responsibilities would be updated at a later date.
F. E.O. 13132 (Federalism)
A rule has implications for federalism under section 1(a) of E.O.
13132 if it has ``substantial direct effects on the States, on the
relationship between the national government and the States, or on the
distribution of power and responsibilities among the various levels of
government.''
FMCSA has determined that this proposal would not have substantial
direct costs on or for States, nor would it limit the policymaking
discretion of States. Nothing in this document preempts any State law
or regulation. Therefore, this proposal would not have sufficient
federalism implications to warrant the preparation of a Federalism
Impact Statement.
G. Privacy
The Consolidated Appropriations Act, 2005,\4\ requires the Agency
to assess the privacy impact of a regulation that will affect the
privacy of individuals. This NPRM would not change any previously
analyzed collections of personally identifiable information (PII).
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\4\ Public Law 108-447, 118 Stat. 2809, 3268, note following 5
U.S.C. 552a (Dec. 4, 2014).
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The Privacy Act (5 U.S.C. 552a) applies only to Federal agencies
and any non-Federal agency that receives records contained in a system
of records from a Federal agency for use in a matching program.
The E-Government Act of 2002,\5\ requires Federal agencies to
conduct a PIA for new or substantially changed technology that
collects, maintains, or disseminates information in an identifiable
form. No new or substantially changed technology will collect,
maintain, or disseminate information as a result of this proposed rule.
Accordingly, FMCSA has not conducted a PIA for this proposed rule.
However, FMCSA will publish a PIA and a System of Records Notice
covering all information that will be collected in the new online
registration system.
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\5\ Public Law 107-347, sec. 208, 116 Stat. 2899, 2921 (Dec. 17,
2002).
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In addition, the Agency submitted a Privacy Threshold Assessment
(PTA) to evaluate the risks and effects the proposed rulemaking might
have on collecting, storing, and sharing personally identifiable
information. The PTA has been submitted to FMCSA's Privacy Officer for
review and preliminary adjudication and will be submitted to DOT's
Privacy Officer for review and final adjudication.
H. E.O. 13175 (Indian Tribal Governments)
This rulemaking does not have Tribal implications under E.O. 13175,
Consultation and Coordination with Indian Tribal Governments, because
it would not have a substantial direct effect on one or more Indian
Tribes, on the relationship between the Federal Government and Indian
Tribes, or on the distribution of power and responsibilities between
the Federal Government and Indian Tribes.
I. National Environmental Policy Act of 1969
FMCSA analyzed this proposed rule pursuant to the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) and
determined this action is categorically excluded from further analysis
and documentation in an environmental assessment or environmental
impact statement under FMCSA Order 5610.1 (69 FR 9680), appendix 2,
paragraphs (6.k) and (6.q). The categorical exclusions (CEs) in
paragraphs (6.k) and (6.q) cover broker activities and implementation
of record preservation. The proposed requirements in this rule are
covered by these CEs and do not have any effect on the quality of the
environment.
J. Rulemaking Summary
As required by 5 U.S.C. 553(b)(4), a summary of this proposed rule
can be found on the FMCSA website at <a href="https://www.fmcsa.dot.gov/regulations/broker-freight-forwarder-compliance-date-extension">https://www.fmcsa.dot.gov/regulations/broker-freight-forwarder-compliance-date-extension</a> and in
the docket for this rulemaking, which is available online at
<a href="http://www.regulations.gov">www.regulations.gov</a>.
List of Subjects
49 CFR Part 386
Administrative practice and procedure, Brokers, Freight forwarders,
Hazardous materials transportation, Highway safety, Highway and roads,
Motor carriers, Motor vehicle safety, Penalties.
49 CFR Part 387
Buses, Freight, Freight forwarders, Hazardous materials
transportation, Highway safety, Insurance, Intergovernmental relations,
Motor carriers, Motor vehicle safety, Moving of household goods,
Penalties, Reporting and recordkeeping requirements, Surety bonds.
For the reasons set forth in the preamble, FMCSA proposes to amend
49 CFR parts 386 and 387 as follows:
PART 386--RULES OF PRACTICE FOR FMCSA PROCEEDINGS
0
1. The authority citation for part 386 continues to read as follows:
Authority: 28 U.S.C. 2461 note; 49 U.S.C. 113, 1301 note,
31306a; 49 U.S.C. chapters 5, 51, 131-141, 145-149, 311, 313, and
315; and 49 CFR 1.81, 1.87.
0
2. Amend appendix B by revising and republishing paragraph (g)(24) to
read as follows:
Appendix B to Part 386--Penalty Schedule: Violations and Monetary
Penalties
* * * * *
(g) * * *
(24) Beginning on January 16, 2026, a surety company or
financial institution for a broker or freight forwarder pursuant to
Sec. 387.307 of this subchapter that violates 49 U.S.C. 13906(b) or
(c) or Sec. 387.307:
(i) Is liable to the United States for a penalty of $12,882 for
each violation; and
(ii) Will be ineligible to provide broker financial security for
3 years.
* * * * *
PART 387--MINIMUM LEVELS OF FINANCIAL RESPONSIBILITY FOR MOTOR
CARRIERS
0
3. The authority citation for part 387 continues to read as follows:
Authority: 49 U.S.C. 13101, 13301, 13906, 13908, 14701, 31138,
31139; sec. 204(a), Pub. L. 104-88, 109 Stat. 803, 941; and 49 CFR
1.87.
0
4. Amend Sec. 387.307 as follows:
0
a. Revise the introductory text and paragraphs (b) and (c)(6);
0
b. Remove paragraph (c)(7); and
0
c. Redesignate paragraph (c)(8) as paragraph (c)(7).
The revisions read as follows:
[[Page 87536]]
Sec. 387.307 Property broker surety bond or trust fund.
This section is effective January 16, 2026.
* * * * *
(b) Acceptable assets. Trust funds under this section must contain
assets aggregating to $75,000 that can be liquidated to cash within 7
calendar days. Acceptable assets included in any trust fund filed under
this section are limited to cash, irrevocable letters of credit issued
by a federally insured depository institution, and Treasury bonds.
(c) * * *
(6) An insurance company; or
* * * * *
0
5. Amend Sec. 387.307T by revising the introductory text to read as
follows:
Sec. 387.307T Property broker surety bond or trust fund.
This section will remain in effect until January 16, 2026.
* * * * *
Issued under the authority of delegation in 49 CFR 1.87.
Vincent G. White,
Deputy Administrator.
[FR Doc. 2024-25517 Filed 11-1-24; 8:45 am]
BILLING CODE 4910-EX-P
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This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.