Proposed Rule2025-12095

Hazardous Materials: Reduce Training Burdens for America's Farmers

Primary source

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Published
July 1, 2025

Issuing agencies

Transportation DepartmentPipeline and Hazardous Materials Safety Administration

Abstract

This NPRM proposes to streamline the exceptions for in-depth security training requirements for farmers by raising the dollar amount of the exception threshold to account for inflation.

Full Text

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<title>Federal Register, Volume 90 Issue 124 (Tuesday, July 1, 2025)</title>
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[Federal Register Volume 90, Number 124 (Tuesday, July 1, 2025)]
[Proposed Rules]
[Pages 28560-28563]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-12095]


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DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

49 CFR Part 172

[Docket No. PHMSA-2025-0098 (HM-268J)]
RIN 2137-AG12


Hazardous Materials: Reduce Training Burdens for America's 
Farmers

AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA), 
Department of Transportation (DOT).

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: This NPRM proposes to streamline the exceptions for in-depth 
security training requirements for farmers by raising the dollar amount 
of the exception threshold to account for inflation.

DATES: Comments must be received on or before September 2, 2025.

ADDRESSES: You may submit comments identified by the Docket Number 
PHMSA-2025-0098 using any of the following methods:
    E-Gov Web: <a href="https://www.regulations.gov">https://www.regulations.gov</a>. This site allows the public 
to enter comments on any Federal Register notice issued by any agency. 
Follow the online instructions for submitting comments.
    Mail: Docket Management System: U.S. Department of Transportation, 
1200 New Jersey Avenue SE, West Building Ground Floor, Room W12-140, 
Washington, DC 20590-0001.
    Hand Delivery: U.S. DOT Docket Management System: West Building 
Ground Floor, Room W12-140, 1200 New Jersey Avenue SE, between 9 a.m. 
and 5 p.m., Monday through Friday, except Federal holidays.
    Fax: 1-202-493-2251.
    Instructions: Please include the docket number PHMSA-2025-0098 at 
the beginning of your comments. If you submit your comments by mail, 
submit two copies. If you wish to receive confirmation that PHMSA 
received your comments, include a self-addressed stamped postcard. 
Internet users may submit comments at <a href="https://www.regulations.gov">https://www.regulations.gov</a>.

    Note: Comments are posted without changes or edits to <a href="https://www.regulations.gov">https://www.regulations.gov</a>, including any personal information provided. 
There is a privacy statement published on <a href="https://www.regulations.gov">https://www.regulations.gov</a>.

    Privacy Act: In accordance with 5 U.S.C. 553(c), DOT solicits 
comments from the public to inform its rulemaking process. DOT posts 
these comments, without edit, including any personal information the 
commenter provides, to <a href="https://www.regulations.gov">https://www.regulations.gov</a>, as described in the 
system of records notice (DOT/ALL-14 FDMS), which can be reviewed at 
<a href="https://www.dot.gov/privacy">https://www.dot.gov/privacy</a>.
    Confidential Business Information: Confidential Business 
Information (CBI) is commercial or financial information that is both 
customarily and actually treated as private by its owner. Under the 
Freedom of Information Act (FOIA, 5 U.S.C. 552), CBI is exempt from 
public disclosure. It is important that you clearly designate the 
comments submitted as CBI if: your comments responsive to this document 
contain commercial or financial information that is customarily treated 
as private; you actually treat such information as private; and your 
comment is relevant or responsive to this notice. You may ask PHMSA to 
provide confidential

[[Page 28561]]

treatment to information you give to the agency by taking the following 
steps: (1) mark each page of the original document submission 
containing CBI as ``Confidential''; (2) send PHMSA, along with the 
original document, a second copy of the original document with the CBI 
deleted; and (3) explain why the information that you are submitting is 
CBI. Submissions containing CBI should be sent to Steven Andrews, 
Standards and Rulemaking Division, Pipeline and Hazardous Materials 
Safety Administration (PHMSA), 2nd Floor, 1200 New Jersey Avenue SE, 
Washington, DC 20590-0001, or by email at <a href="/cdn-cgi/l/email-protection#186b6c7d6e7d763679767c6a7d6f6b587c776c367f776e"><span class="__cf_email__" data-cfemail="8efdfaebf8ebe0a0efe0eafcebf9fdceeae1faa0e9e1f8">[email&#160;protected]</span></a>. Any 
materials PHMSA receives that is not specifically designated as CBI 
will be placed in the public docket.
    Docket: For access to the docket to read background documents or 
comments received, go to <a href="http://www.regulations.gov">http://www.regulations.gov</a>. Follow the online 
instructions for accessing the docket. Alternatively, you may review 
the documents in person at the street address listed above.

FOR FURTHER INFORMATION CONTACT: Arthur Pollack, Transportation 
Regulations Specialist, 1200 New Jersey Avenue SE, Washington, DC 
20590, 202-366-8553, <a href="/cdn-cgi/l/email-protection#7c1d0e0814090e520c1310101d1f173c181308521b130a"><span class="__cf_email__" data-cfemail="066774726e73742876696a6a67656d4662697228616970">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION:

I. General Discussion

    PHMSA proposes to revise the exception in Sec.  172.800(c) to the 
in-depth security training requirements for farmers with less than 
$500,000 annually in gross receipts from the sale of agricultural 
commodities or products. PHMSA has preliminarily determined this 
provision needs to be updated to eliminate undue burdens on small 
farmers. The current income threshold, established under the HM-240 \1\ 
final rule in 2005, has not been adjusted in the intervening years to 
account for inflation. To better reflect current economic realities, 
PHMSA is proposing to raise this limit to $825,000 annually.\2\
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    \1\ 70 FR 73156 (Dec. 9, 2005).
    \2\ $500,000*1.65. PHMSA used cumulative inflation of 65% from 
2005 to 2025, applying the Bureau of Labor Statistics Consumer Price 
Index for All Urban Consumers, to adjust the gross receipts.
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    This adjustment will help reduce unwarranted compliance burdens on 
small farmers whose hazardous materials operations pose minimal 
security risks. The proposed revision will give affected entities, in 
this case farmers, regulatory relief by providing an exception from in-
depth hazardous materials training requirements. PHMSA expects the 
proposed amendment to improve the ability of farmers to provide 
abundant, reliable, affordable domestically produced foods in response 
to residential, commercial, and industrial demand. PHMSA does not 
expect the proposed revision to have any adverse impact on safety.

II. Regulatory Analysis and Notices

A. Legal Authority

    This proposed rule is published under the authority of the 
Secretary of Transportation set forth in the Federal Hazardous 
Materials Transportation Laws (49 U.S.C. 5101 et seq.) and delegated to 
the PHMSA Administrator pursuant to 49 CFR 1.97.

B. Executive Orders 12866; Regulatory Planning and Review

    Executive Order (E.O.) 12866 (``Regulatory Planning and Review''), 
as implemented by DOT Order 2100.6B (``Policies and Procedures for 
Rulemaking''), requires agencies to regulate in the ``most cost-
effective manner,'' to make a ``reasoned determination that the 
benefits of the intended regulation justify its costs,'' and to develop 
regulations that ``impose the least burden on society.'' DOT Order 
2100.6B specifies that regulations should generally ``not be issued 
unless their benefits are expected to exceed their costs.'' In arriving 
at those conclusions, E.O. 12866 requires that agencies should consider 
``both quantifiable measures . . . and qualitative measures of costs 
and benefits that are difficult to quantify'' and ``maximize net 
benefits . . . unless a statute requires another regulatory approach.'' 
E.O. 12866 also requires that ``agencies should assess all costs and 
benefits of available regulatory alternatives, including the 
alternative of not regulating.'' DOT Order 2100.6B directs that PHMSA 
and other Operating Administrations must generally choose the ``least 
costly regulatory alternative that achieves the relevant objectives'' 
unless required by law or compelling safety need.
    E.O. 12866 and DOT Order 2100.6B also require that PHMSA submit 
``significant regulatory actions'' to the Office of Information and 
Regulatory Affairs (OIRA) within the Executive Office of the 
President's Office of Management and Budget (OMB) for review. This 
proposed rule is a not significant regulatory action pursuant to E.O. 
12866; it also has not designated this rule as a ``major rule'' as 
defined by the Congressional Review Act (5 U.S.C. 801 et seq.).
    PHMSA has complied with the requirements in E.O. 12866 as 
implemented by DOT Order 2100.6B and preliminarily determined that this 
proposed rule will result in cost savings by reducing regulatory 
burdens and regulatory uncertainty for small farmers whose income 
threshold exceeds $500,000 by increasing the exception limit to 
$825,000. PHMSA expects those cost savings will also result in reduced 
costs for the public to whom those entities generally transfer a 
portion of their compliance costs.

C. Executive Orders 14192 and 14219

    This proposed rule, if finalized as proposed, is expected to be an 
E.O. 14192 deregulatory action.\3\ PHMSA seeks data that would be 
helpful to generate an estimate of the cost savings from this rule. 
PHMSA's initial estimates are that the total costs of the rule on the 
regulated community will be less than zero. Nor does this proposed rule 
does implicate any of the factors identified in section 2(a) of E.O. 
14219 indicative of a regulation that is ``unlawful . . . [or] that 
undermine[s] the national interest.'' \4\
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    \3\ 90 FR 9065 (Jan. 31, 2025).
    \4\ 90 FR 10583 (Feb. 19, 2025).
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D. Energy-Related Executive Orders 13211, 14154, and 14156

    The President has declared in E.O. 14156 (``Declaring a National 
Energy Emergency'') a national emergency to address the United States's 
inadequate energy development production, transportation, refining, and 
generation capacity. Similarly, E.O. 14154 (``Unleashing American 
Energy'') asserts a Federal policy to unleash American energy by 
ensuing access to abundant supplies of reliable, affordable energy from 
(inter alia) the removal of ``undue burden[s]'' on the identification, 
development, or use of domestic energy resources. PHMSA preliminarily 
finds this proposed rule is consistent with each of E.O. 14156 and E.O. 
14154 because it will not hinder or unduly burden the transportation or 
production of energy or energy-related products.
    However, this proposed rule is not a ``significant energy action'' 
under E.O. 13211 (``Actions Concerning Regulations That Significantly 
Affect Energy Supply, Distribution, or Use''), which requires Federal 
agencies to prepare a Statement of Energy Effects for any ``significant 
energy action.'' Because this proposed rule is not a significant action 
under E.O. 12866, it will not have a significant adverse effect on 
supply, distribution, or energy use, as further discussed in the RIA; 
OIRA has therefore not designated this proposed rule as a significant 
energy action.

[[Page 28562]]

E. Executive Order 13132: Federalism

    PHMSA analyzed this proposed rule in accordance with the principles 
and criteria contained in E.O. 13132 (``Federalism'') and the 
Presidential Memorandum (``Preemption'') published in the Federal 
Register on May 22, 2009. E.O. 13132 requires agencies to assure 
meaningful and timely input by State and local officials in the 
development of regulatory policies that may have ``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.'' The Federal 
Hazardous Materials Transportation Laws contain an express preemption 
provision at 49 U.S.C. 5125(b) that preempts state, local, and tribal 
requirements on certain covered subjects, unless the non-federal 
requirements are ``substantively the same'' as the federal 
requirements, including the following:
    (1) The designation, description, and classification of hazardous 
material;
    (2) The packing, repacking, handling, labeling, marking, and 
placarding of hazardous material;
    (3) The preparation, execution, and use of shipping documents 
related to hazardous material and requirements related to the number, 
contents, and placement of those documents;
    (4) The written notification, recording, and reporting of the 
unintentional release in transportation of hazardous material; and
    (5) The design, manufacture, fabrication, inspection, marking, 
maintenance, recondition, repair, or testing of a packaging or 
container represented, marked, certified, or sold as qualified for use 
in transporting hazardous material in commerce.
    This proposed rule addresses covered subject items in paragraph I 
above and would preempt state, local, and Tribal requirements not 
meeting the ``substantively the same'' standard. While the proposed 
rule may (when finalized) operate to preempt some State requirements, 
it would not impose any regulation that has substantial direct effects 
on the States, the relationship between the National Government and the 
States, or the distribution of power and responsibilities among the 
various levels of government. The preemptive effect of the regulatory 
amendments in this proposed rule is limited to the minimum level 
necessary to achieve the objectives of the Federal Hazardous Materials 
Transportation Laws. Therefore, the consultation and funding 
requirements of E.O. 13132 do not apply.

F. Regulatory Flexibility Act

    The Regulatory Flexibility Act (5 U.S.C. 601 et seq.) requires 
Federal agencies to conduct an Initial Regulatory Flexibility Analysis 
(IRFA) for a proposed rule subject to notice-and-comment rulemaking 
under the APA unless the agency head certifies that the proposed rule 
in the rulemaking will not have a significant economic impact on a 
substantial number of small entities. E.O. 13272 (``Proper 
Consideration of Small Entities in Agency Rulemaking'') obliges 
agencies to establish procedures promoting compliance with the 
Regulatory Flexibility Act. DOT posts its implementing guidance on a 
dedicated web page. This proposed rule was developed in accordance with 
E.O. 13272 and DOT implementing guidance to ensure compliance with the 
Regulatory Flexibility Act. The proposed rule is expected to reduce 
burdens. Therefore, PHMSA certifies the proposed rule does not have a 
significant impact on a substantial number of small entities.

G. Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act (UMRA, 2 U.S.C. 1501 et seq.) 
requires agencies to assess the effects of Federal regulatory actions 
on State, local, and Tribal governments, and the private sector. For 
any proposed or final rule that includes a Federal mandate that may 
result in the expenditure by state, local, and Tribal governments, in 
the aggregate of $100 million or more (in 1996 dollars) in any given 
year, the agency must prepare, amongst other things, a written 
statement that qualitatively and quantitatively assesses the costs and 
benefits of the Federal mandate.
    This proposed rule does not impose unfunded mandates under UMRA. 
PHMSA does not expect the proposed rule will result in costs of $100 
million or more (in 1996 dollars) per year for either State, local, or 
Tribal governments, or to the private sector.

H. National Environmental Policy Act

    The National Environmental Policy Act (NEPA, 42 U.S.C. 4321 et 
seq.) requires that Federal agencies assess and consider the impact of 
major Federal actions on the human and natural environment.
    PHMSA analyzed this proposed rule in accordance with NEPA and has 
preliminarily determined that the rulemaking will not adversely affect 
safety and therefore will not significantly affect the quality of the 
human and natural environment. The public is invited to comment on the 
impact of the proposed action.

I. Executive Order 13175

    PHMSA analyzed this proposed rule according to the principles and 
criteria in E.O. 13175 (``Consultation and Coordination with Indian 
Tribal Governments'') \5\ and DOT Order 5301.1A (``Department of 
Transportation Tribal Consultation Policies and Procedures''). E.O. 
13175 requires agencies to assure meaningful and timely input from 
Tribal government representatives in the development of rules that 
significantly or uniquely affect Tribal communities by imposing 
``substantial direct compliance costs'' or ``substantial direct 
effects'' on such communities or the relationship or distribution of 
power between the Federal government and Tribes.
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    \5\ 65 FR 67249 (Nov. 9, 2000).
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    PHMSA assessed the impact of the proposed rule and determined that 
it will not significantly or uniquely affect Tribal communities or 
Indian Tribal governments. The rulemaking's regulatory amendments have 
a broad, national scope; therefore, this proposed rule will not 
significantly or uniquely affect Tribal communities, much less impose 
substantial compliance costs on Native American Tribal governments or 
mandate Tribal action. For these reasons, PHMSA has concluded that the 
funding and consultation requirements of E.O. 13175 and DOT Order 
5301.1A do not apply.

J. Paperwork Reduction Act

    The Paperwork Reduction Act (44 U.S.C. 3501 et seq.) and its 
implementing regulations at 5 CFR 1320.8(d) requires that PHMSA provide 
interested members of the public and affected agencies with an 
opportunity to comment on information collection and recordkeeping 
requests. This rulemaking will not create, amend, or rescind any 
existing information collections.

K. Executive Order 13609 and International Trade Analysis

    E.O. 13609 (``Promoting International Regulatory Cooperation'') \6\ 
requires agencies consider whether the impacts associated with 
significant variations between domestic and international regulatory 
approaches are unnecessary or may impair the ability of American 
business to export and compete internationally. In meeting shared

[[Page 28563]]

challenges involving health, safety, labor, security, environmental, 
and other issues, international regulatory cooperation can identify 
approaches that are at least as protective as those that are or would 
be adopted in the absence of such cooperation. International regulatory 
cooperation can also reduce, eliminate, or prevent unnecessary 
differences in regulatory requirements.
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    \6\ 77 FR 26413 (May 4, 2012).
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    Similarly, the Trade Agreements Act of 1979 (Pub. L. 96-39), as 
amended by the Uruguay Round Agreements Act (Pub. L. 103-465), 
prohibits Federal agencies from establishing any standards or engaging 
in related activities that create unnecessary obstacles to the foreign 
commerce of the United States. For purposes of these requirements, 
Federal agencies may participate in the establishment of international 
standards, so long as the standards have a legitimate domestic 
objective, such as providing for safety, and do not operate to exclude 
imports that meet this objective. The statute also requires 
consideration of international standards and, where appropriate, that 
they be the basis for U.S. standards.
    PHMSA engages with international standards setting bodies to 
protect the safety of the American public. PHMSA has assessed the 
effects of the proposed rule and has determined that its regulatory 
amendments will not cause unnecessary obstacles to foreign trade.

L. Cybersecurity and Executive Order 14028

    E.O. 14028 (``Improving the Nation's Cybersecurity'') \7\ directed 
the Federal government to improve its efforts to identify, deter, and 
respond to ``persistent and increasingly sophisticated malicious cyber 
campaigns.'' PHMSA has considered the effects of the proposed rule and 
has determined that its regulatory amendments would not materially 
affect the cybersecurity risk profile for affected entities.
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    \7\ 86 FR 26633 (May 17, 2021).
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List of Subjects in 49 CFR Part 172

    Hazardous materials transportation, Hazardous waste, Labeling, 
Markings, Packaging and containers, Reporting and recordkeeping 
requirements.

    In consideration of the foregoing, PHMSA proposes to amend 49 CFR 
chapter I as follows:

PART 172--HAZARDOUS MATERIALS TABLE, SPECIAL PROVISIONS, HAZARDOUS 
MATERIALS COMMUNICATIONS, EMERGENCY RESPONSE INFORMATION, AND 
TRAINING REQUIREMENTS

0
1. The authority citation for part 172 continues to read as follows:

    Authority: 49 U.S.C. 5101-5128, 44701; 49 CFR 1.81, 1.96 and 
1.97.

0
2. In Sec.  172.800, paragraph (c) is revised to read as follows:


Sec.  172.800  Purpose and applicability.

* * * * *
    (c) Exceptions. Transportation activities of a farmer, who 
generates less than $825,000 annually in gross receipts from the sale 
of agricultural commodities or products, are not subject to this 
subpart if such activities are:
    (1) Conducted by highway or rail;
    (2) In direct support of their farming operations; and
    (3) Conducted within a 150-mile radius of those operations.
* * * * *

    Issued in Washington, DC, on June 26, 2025, under the authority 
delegated in 49 CFR 1.97.
Benjamin D. Kochman,
Acting Administrator.
[FR Doc. 2025-12095 Filed 6-27-25; 4:15 pm]
BILLING CODE 4910-60-P


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Indexed from Federal Register on July 1, 2025.

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.