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Rule2026-19741

Hazardous Materials: Incorporation of ASME Code Section XII and the National Board Inspection Code

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Published
September 28, 2026
Effective
October 28, 2026

Issuing agencies

Transportation DepartmentPipeline and Hazardous Materials Safety Administration

Abstract

PHMSA is amending the Hazardous Materials Regulations (HMR) to incorporate by reference and authorize the use of the 2015 edition of the American Society of Mechanical Engineers (ASME) Boiler and Pressure Vessel Code, Section XII--Rules for Construction and Continued Service of Transport Tanks for the construction and continued service of certain specification cargo tank motor vehicles (CTMVs), cryogenic portable tanks, and multi-unit tank car tanks. PHMSA is also amending the HMR to incorporate by reference and authorize the use of the 2015 edition of the National Board of Boiler and Pressure Vessel Inspectors National Board Inspection Code, Parts 2 and 3 (including Supplement 6) as it applies to the continued service of transport packagings constructed to ASME Section XII standards, as well as for existing CTMVs constructed in accordance with ASME requirements and the HMR. PHMSA finds these updates will result in cost savings and increased regulatory flexibility without compromising safety.

Full Text

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<title>Federal Register, Volume 91 Issue 186 (Monday, September 28, 2026)</title>
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[Federal Register Volume 91, Number 186 (Monday, September 28, 2026)]
[Rules and Regulations]
[Pages 61144-61159]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-19741]


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DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

49 CFR Parts 107, 171, 173, 178, 179, and 180

[Docket No. PHMSA-2010-0019 (HM-241)]
RIN 2137-AE58


Hazardous Materials: Incorporation of ASME Code Section XII and 
the National Board Inspection Code

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

ACTION: Final rule.

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SUMMARY: PHMSA is amending the Hazardous Materials Regulations (HMR) to 
incorporate by reference and authorize the use of the 2015 edition of 
the American Society of Mechanical Engineers (ASME) Boiler and Pressure 
Vessel Code, Section XII--Rules for Construction and Continued Service 
of Transport Tanks for the construction and continued service of 
certain specification cargo tank motor vehicles (CTMVs), cryogenic 
portable tanks, and multi-unit tank car tanks. PHMSA is also amending 
the HMR to incorporate by reference and authorize the use of the 2015 
edition of the National Board of Boiler and Pressure Vessel Inspectors 
National Board Inspection Code, Parts 2 and 3 (including Supplement 6) 
as it applies to the continued service of transport packagings 
constructed to ASME Section XII standards, as well as for existing 
CTMVs constructed in accordance with ASME requirements and the HMR. 
PHMSA finds these updates will result in cost savings and increased 
regulatory flexibility without compromising safety.

DATES: 
    Effective date: October 28, 2026.
    Voluntary compliance date: September 28, 2026.
    Incorporation by reference date: The incorporation by reference of 
the publications listed in this rule is approved by the Director of the 
Federal Register as of October 28, 2026.

FOR FURTHER INFORMATION CONTACT: Arthur Pollack, Standards and 
Rulemaking Division, at 202-366-8553, or Kin Wai Alex Cheng, 
Engineering and Research Division, at 202-366-4545, Pipeline and 
Hazardous Materials Safety Administration, U.S. Department of 
Transportation, 1200 New Jersey Avenue SE, East Building, 2nd Floor, 
Washington, DC 20590-0001.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Executive Summary
II. Incorporation by Reference Discussion Under 1 CFR Part 51
III. Rulemaking Background
    A. Petitions for Rulemaking
    B. ANPRM and NPRM
    C. SNPRM
    D. DOT's 2017 Notification of Regulatory Review Comments
    E. NTSB Recommendations
IV. Response to SNPRM Comments
    A. Benefits of Section XII
    B. Registration, Inspection, and Training
    C. Impact on Portable Tank Market
    D. Public Input to Future Versions of Section XII and the NBIC
    E. Implementation
    1. Section XII and the HMR
    2. Use of the 1992 NBIC
    3. Certification Stamp(s)
    4. Market Conditions
V. Section-by-Section Review
    A. Part 107
    B. Part 171
    C. Part 173
    D. Part 178
    E. Part 179
    F. Part 180
VI. Regulatory Analyses and Notices
    A. Statutory/Legal Authority
    B. Executive Order 12866; Regulatory Planning and Review
    C. Executive Orders 14192 and 14219
    D. Energy-Related Executive Orders 13211, 14154, and 14156
    E. Executive Order 13132
    F. Executive Order 13175
    G. Regulatory Flexibility Act, Executive Order 13272
    H. Paperwork Reduction Act
    I. Unfunded Mandates Reform Act of 1995
    J. National Environmental Policy Act
    K. Privacy Act
    L. Executive Order 13609 and International Trade Analysis
    M. National Technology Transfer and Advancement Act
    N. Cybersecurity and Executive Order 14028
    O. Severability

I. Executive Summary

    The Pipeline and Hazardous Materials Safety Administration (PHMSA) 
is updating the Hazardous Materials Regulations (HMR; 49 CFR parts 171-
180) to incorporate by reference and authorize the use of the following 
industry standards for the construction and continued service of 
transport tanks, subject to certain conditions, limitations, and 
exceptions:
    <bullet> The 2015 edition of the American Society of Mechanical 
Engineers (ASME) Boiler and Pressure Vessel Code (BPVC), Section XII--
Rules for Construction and Continued Service of Transport Tanks 
(hereinafter referred to as ``Section XII''); and
    <bullet> The 2015 edition of the National Board of Boiler and 
Pressure Vessel Inspectors (National Board) National

[[Page 61145]]

Board Inspection Code (NBIC), Parts 2 and 3, including Supplement 6 
(hereinafter referred to as ``NBIC'').
    This action finalizes efforts initiated by the Research and Special 
Programs Administration (RSPA)--PHMSA's predecessor agency--to develop 
construction and continued service standards specifically for transport 
tanks (e.g., cargo tank motor vehicles (CTMVs), cryogenic portable 
tanks, and multi-unit tank car tanks (hereinafter referred to as ton 
tanks)). This final rule is deregulatory. The amendments impose no new 
costs on the regulated community and introduce potential cost savings 
through increased regulatory flexibility. By providing more options 
when manufacturing bulk transport tanks, PHMSA is creating 
opportunities for cost savings, innovation, and economic development. 
PHMSA estimates the annualized quantified net cost savings of this 
rulemaking for the regulated community--using a seven percent discount 
rate--are approximately $8.1 million per year.
    This final rule also advances the goals articulated in Executive 
Order (E.O.) 14192 (Unleashing Prosperity Through Deregulation) by 
addressing three longstanding petitions for rulemaking from industry 
stakeholders (P-1459, P-1474, and P-1502).\1\ These petitions support 
the incorporation by reference of more modern editions of the ASME and 
NBIC standards. This final rule also addresses two National 
Transportation Safety Board (NTSB) recommendations.\2\ In the interest 
of maximizing regulatory flexibility, this final rule permits the use 
of ASME Section XII as an alternative to ASME Section VIII, Division 1, 
2017 Edition--currently incorporated by reference (hereinafter referred 
to as ``Section VIII, Division 1'')--rather than mandating the use of 
Section XII as the sole standard for the construction of transport 
tanks.\3\ Section VIII, Division 1 will remain a permitted construction 
standard to be used in conjunction with the HMR requirements in Part 
178 for the construction of CTMVs and cryogenic portable tanks, and the 
requirements in Part 179 for the construction of ton tanks. This final 
rule also provides additional flexibility by permitting the use of the 
2015 edition of NBIC for Section VIII, Division 1 tanks as an 
alternative to the 1992 NBIC and the continued service requirements in 
Part 180.\4\
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    \1\ 90 FR 9065 (Feb. 6, 2025); and American Society of 
Mechanical Engineers, P-1459, Docket ID PHMSA-2005-21351, (May 10, 
2005), Pressure Vessel Manufacturers Association, P-1474, Docket ID 
PHMSA-2006-24712, (Feb. 27, 2006), and National Board of Boiler and 
Pressure Vessel Inspectors; P-1502, Docket ID PHMSA-2007-28809, 
(Jul. 12, 2007).
    \2\ For additional information regarding the two NTSB 
recommendations H-11-5 and H-11-6, see Section ``III.E. NTSB 
Recommendations''.
    \3\ ``Construction'' is an all-inclusive term comprising of 
materials, design, fabrication, examination, inspection, testing, 
certification, and over-pressure protection.
    \4\ ``Continued service'' is an all-inclusive term referring to 
inspection, testing, repair, alteration, and recertification of a 
transport tank that has been in service.
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    Table 1 lists the specification packagings for the various 
transport tanks for which Section XII may be used for construction. 
Specifically:

          Table 1--Authorized Transport Tanks Under Section XII
------------------------------------------------------------------------
                 Tank type                          Specification
------------------------------------------------------------------------
CTMV......................................  MC 331 and 338, and DOT 406,
                                             407, and 412.
Cryogenic Portable Tank...................  UN T75.
Ton Tank..................................  DOT 106A and 110AW.
------------------------------------------------------------------------

    The HMR specify requirements for the design, construction, 
qualification, maintenance, and repair of packagings used to transport 
hazardous materials in commerce, such as cargo tanks, portable tanks, 
and ton tanks. In addition to the general design and construction 
requirements specified in the HMR, PHMSA incorporates by reference ASME 
Section VIII, Division 1, which provides supplemental design and 
construction criteria. Section VIII, Division 1 sets forth detailed 
criteria for the design, construction, certification, and marking 
specifically intended for stationary boilers and pressure vessels. Due 
to the limitations associated with applying design and construction 
standards intended for stationary pressure vessels to transport tanks, 
Section VIII, Division 1 must be used in conjunction with the HMR to 
provide additional transportation-specific safety assurances.
    In 1995, RSPA asked the ASME Board on Pressure Technology Codes and 
Standards to develop new standards specifically to address transport 
tanks. In 2004, ASME published the ASME BPVC Section XII, Rules for 
Construction and Continued Service of Transport Tanks, which is based 
on Section VIII, Division 1 of the BPVC. Like Section VIII, Division 1, 
Section XII sets forth standards for construction but also includes 
standards for the continued service of transport tanks. With this 
rulemaking, manufacturers will have the option to either build the 
specification tanks listed in Table 1 to Section XII standards or 
continue using Section VIII, Division 1.
    This rulemaking also incorporates an updated version of the NBIC. 
The NBIC provides standards for the installation, inspection, and 
repair or alteration of boilers, pressure vessels, and pressure relief 
devices. The NBIC provides rules and guidelines for continued service 
inspections, repairs, and modifications of transport tanks as well, 
including methods to be used and the criteria for inspections, reports, 
document control, and inspector duties and responsibilities.\5\ The 
NBIC was revised in conjunction with Section XII to provide updated 
standards for the qualification and continued service of transport 
tanks. Certain transport vessels built to Section VIII, Division 1 
standards are currently required to follow the 1992 edition of the 
NBIC, which is incorporated by reference, in addition to the continued 
service requirements found in part 180.\6\ But pressure vessels built 
to Section XII will only be permitted to follow the 2015 NBIC for 
continued service. Current HMR provisions for the continued use of 
pressure vessels built to Section VIII, Division 1 standards precede 
the development of Section XII and do not account for the divergent 
comparative elements between the two standards.
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    \5\ Supplement 6 provides detailed inspection requirements for 
transport tanks and is intended to be used consistent with Section 
XII.
    \6\ Continued service regarding repairs of MC 330 and 331 
CTMVs--see 49 CFR 180.413(b).
---------------------------------------------------------------------------

    Table 2 describes the framework available to manufacturers and 
owners of transport tanks regarding portions of Section XII and NBIC 
that are incorporated by reference in this rulemaking.

                Table 2--Framework for Continued Service
------------------------------------------------------------------------
                                Is built to . . .
         If a . . . .                   .                  Then,
------------------------------------------------------------------------
Cargo Tank Motor Vehicle......  Section XII......  The 2015 NBIC and
                                                    Supplement 6 must be
                                                    used.

[[Page 61146]]

 
Cargo Tank Motor Vehicle......  Section VIII,      Part 180 of the HMR
                                 Division 1.        must be used along
                                                    with the 2015 NBIC
                                                    or the 1992 NBIC--
                                                    previously
                                                    incorporated by
                                                    reference in the
                                                    HMR--as applicable.
Cryogenic Portable Tank.......  Section XII......  The 2015 NBIC and
                                                    Supplement 6 must be
                                                    used.
Cryogenic Portable Tank.......  Section VIII,      Part 180 of the HMR,
                                 Division 1.        or, alternatively,
                                                    the 2015 NBIC.
Ton Tank......................  Section XII......  The 2015 NBIC and
                                                    Supplement 6 must be
                                                    used.
Ton Tank......................  Part 179 and AAR   Part 180 and AAR
                                 approval.          approval for tank
                                                    car facility quality
                                                    assurance program
                                                    must be used.
------------------------------------------------------------------------

    Permissive use of the 2015 ASME Section XII will maintain the HMR's 
high safety standard. PHMSA expects safety benefits to be derived from 
improved compliance and alternative construction standards related to a 
regulatory standard developed specifically for transport tanks. 
Manufacturers who choose to continue using Section VIII, Division I 
will be required to maintain the same high safety standards already in 
place.

II. Incorporation by Reference Discussion Under 1 CFR part 51

    PHMSA currently incorporates by reference into the HMR all or parts 
of several standards and specifications developed and published by 
standards development organizations (SDO). The National Technology 
Transfer and Advancement Act (NTTAA) of 1995 (Pub. L. 104-113) directs 
Federal agencies to use standards developed by voluntary consensus 
standards bodies in lieu of government-written standards whenever 
possible. Voluntary consensus standards bodies develop, establish, or 
coordinate technical standards using agreed-upon procedures.
    Consistent with the NTTAA, Office of Management and Budget (OMB) 
Circular A-119, Federal Participation in the Development and Use of 
Voluntary Consensus Standards and in Conformity Assessment Activities, 
requires government agencies to use voluntary consensus standards 
wherever practical in the development of regulations.\7\ This OMB 
circular provides guidance for agencies participating in voluntary 
consensus standards bodies and describes procedures for satisfying the 
reporting requirements in the NTTAA.
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    \7\ 81 FR 4673 (Jan. 27, 2016).
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    Under the NTTAA and Circular A-119, PHMSA is responsible for 
determining which currently referenced standards should be updated, 
revised, or removed, and which standards should be added to the HMR. 
Revisions to materials incorporated by reference in the HMR are handled 
via the rulemaking process, which allows the public and regulated 
entities to provide input. During the rulemaking process, PHMSA must 
also obtain approval from the Office of the Federal Register to 
incorporate by reference any new materials.
    ASME Boiler and Pressure Vessel Code, Section XII--Rules for 
Construction and Continued Service of Transport Tanks (2015) and the 
National Board of Boiler and Pressure Vessel Inspectors National Board 
Inspection Code, Parts 2 and 3, and Supplement 6 to Parts 2 and 3 
(2015) are available for purchase directly from ASME and the National 
Board at <a href="https://www.asme.org/shop/standards#des=BPVC">https://www.asme.org/shop/standards#des=BPVC</a> and by request 
via email to <a href="/cdn-cgi/l/email-protection#a0cfd2c4c5d2d3e0cec1d4c9cfcec1ccc2cfc1d2c48ecfd2c7"><span class="__cf_email__" data-cfemail="2c435e48495e5f6c424d584543424d404e434d5e4802435e4b">[email&#160;protected]</span></a>, respectively. The standards are 
summarized in Section I. Executive Summary and are discussed in greater 
detail in Section VII: Section-by-Section Review.

III. Rulemaking Background

A. Petitions for Rulemaking

    After receiving three petitions for rulemaking from industry 
stakeholders concerning the incorporation of certain consensus industry 
standards into the HMR (P-1459, P-1474, and P-1502), PHMSA initiated an 
advanced notice of proposed rulemaking (ANPRM) followed by a notice of 
proposed rulemaking (NPRM). The ANPRM and NPRM both received 
predominantly negative feedback from stakeholders. PHMSA made 
adjustments to the proposal and issued a supplemental notice of 
proposed rulemaking (SNPRM). The SNPRM received much more positive 
reception from stakeholders, prompting PHMSA to issue this final rule.

B. ANPRM and NPRM

    On December 23, 2010, PHMSA published an ANPRM that posed several 
questions pertaining to the potential costs, burdens, or safety 
concerns regarding the incorporation by reference of the 2011 edition 
of Section XII and the NBIC for the construction and continued service 
of CTMVs, cryogenic portable tanks, and ton tanks.\8\ The ANPRM 
generated 40 sets of comments from stakeholders, most of which opposed 
incorporating the referenced standards into the HMR. That opposition 
was based primarily on the presumption by commenters that PHMSA 
intended to replace Section VIII, Division 1 with Section XII, rather 
than to provide the option of using either standard. The commenters 
were familiar with the manufacturing and continued service requirements 
under the HMR (i.e., the status quo) and expressed concern that Section 
XII would present complicated changes in the way their transport tanks 
are manufactured and requalified.
---------------------------------------------------------------------------

    \8\ 75 FR 80765 (Dec. 23, 2010).
---------------------------------------------------------------------------

    On December 30, 2013, PHMSA published an NPRM that proposed to 
incorporate the 2013 edition of Section XII--with limited exceptions--
as an alternative to existing standards for certain CTMVs, cryogenic 
portable tanks, and ton tanks.\9\ PHMSA also proposed to incorporate 
the 2013 edition of the NBIC for alterations, repairs, and inspections 
performed on all ASME-constructed tanks used for the transportation of 
hazardous materials. The NPRM generated 20 sets of comments from 
stakeholders. The majority of the comments opposed incorporating the 
referenced standards (Section VIII, Division 1 and Section XII) into 
the HMR. Two commenters supported the proposals, and three commenters 
supported the proposals with modification. Several commenters posed 
questions or proposed additional modifications. Commenters who 
supported the proposals generally indicated: (1) the need to 
incorporate Section XII to reflect present-day improvements, especially 
the new definitions of authorized inspection agencies; and (2) support 
for alternative standards. Commenters opposing the proposals generally 
indicated: (1) lack of public input and inaccessibility to current and 
future versions of Section

[[Page 61147]]

XII and the NBIC; (2) inefficient and excessive cost to the industry; 
and (3) an assertion that no improvement in hazardous materials 
transportation safety would be realized. Commenters also questioned how 
the continued service requirements of Section XII would affect small 
industry stakeholders and expressed concerns about what role PHMSA 
would have in oversight of the manufacturing process.
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    \9\ 78 FR 79363 (Dec. 30, 2013).
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C. SNPRM

    On April 29, 2016, PHMSA issued an SNPRM proposing the following 
changes to the HMR: \10\
---------------------------------------------------------------------------

    \10\ 81 FR 25627 (Apr. 29, 2016).
---------------------------------------------------------------------------

    <bullet> Incorporating the 2015 edition of Section XII (instead of 
the 2013 edition, as previously proposed in the December 2013 NPRM);
    <bullet> Incorporating the 2015 edition of the NBIC (instead of the 
2013 edition, as previously proposed in the December 2013 NPRM);
    <bullet> Authorizing construction and continued service of CTMVs, 
cryogenic portable tanks, and ton tanks in accordance with Section XII. 
In Table 3, the following transport tanks would be eligible for 
construction and continued service under Section XII:

          Table 3--Authorized Transport Tanks Under Section XII
------------------------------------------------------------------------
                 Tank type                          Specification
------------------------------------------------------------------------
Cargo Tank Motor Vehicle..................  MC 331 and 338, and DOT 406,
                                             407, and 412.
Cryogenic Portable Tank...................  UN T75.
Ton Tanks.................................  DOT 106A and 110AW.
------------------------------------------------------------------------
Note: Tanks listed in this table that are already constructed under
  Section VIII, Division 1 were not proposed to be eligible for
  continued service using Section XII. Tanks that have been constructed
  under Section VIII, Division 1 must be evaluated in accordance with
  the 1992 or 2015 NBIC and the requirements of the HMR.

    <bullet> Requiring the use of the 2015 edition of the NBIC and 
Supplement 6, where applicable, for the qualification, requalification, 
and maintenance of transport tanks (if constructed to Section XII) 
listed in Table 3; and
    <bullet> Authorizing the use of the 2015 edition of the NBIC for 
the continued service, inspection, and repair of CTMVs currently in 
service and constructed to Section VIII, Division 1 and the HMR.
    The stated goals of the SNPRM were to:
    <bullet> Provide stakeholders further opportunity to comment on the 
content of Section XII and the NBIC, as well as the safety improvements 
and updates reflected in the revised 2015 editions;
    <bullet> Synchronize the timing of PHMSA's rulemaking action with 
the biennial updates of Section XII and NBIC by ASME and the National 
Board, respectively; and
    <bullet> Minimize or relieve the public and the government of 
possible administrative burdens (i.e., special permit applications) 
that would be associated with incorporating the 2013 editions by 
reference, when 2015 editions have been published.
    Please note that PHMSA is aware that ASME has published marginally 
revised editions of Section XII since the 2015 edition. However, 
incorporating these newer editions into this rulemaking would require 
additional procedural steps for only minor updates. These additional 
steps would significantly delay the voluntary use of Section XII, 
postponing PHMSA's efforts to provide immediate regulatory flexibility 
to the regulated community. Furthermore, today's final rule represents 
a vast improvement because it implements a new option for manufacturing 
transport tanks, even when incorporating the 2015 edition of Section 
XII. Lastly, PHMSA personnel actively participate as voting members on 
various ASME consensus and code committees and remain in constant 
communication with the regulated community. Through this involvement, 
PHMSA is aware that diverse stakeholder groups anticipate the 
completion of this rulemaking effort without further delay and welcome 
adopting the 2015 edition as a positive change despite the existence of 
more recent editions.
    Therefore, PHMSA is incorporating by reference the 2015 edition as 
proposed in the SNPRM. PHMSA will evaluate and consider incorporation 
of newer editions of the ASME (and NBIC) in future rulemakings.

D. DOT's 2017 Notification of Regulatory Review Comments

    On October 2, 2017, DOT published a notice in the Federal Register 
informing the public that it was reviewing existing regulations and 
other agency actions to evaluate their continued necessity, 
effectiveness, or burden on energy resources.\11\ DOT invited the 
public to provide input on existing rules and other agency actions that 
are good candidates for repeal, replacement, suspension, or 
modification.
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    \11\ 82 FR 45750 (Oct. 2, 2017).
---------------------------------------------------------------------------

    Container Technology Incorporated submitted input supporting 
publication of this final rule, noting that the use of Section XII 
would provide regulatory relief via new opportunities for tank 
operators to haul more payload.\12\ Container Technology estimated that 
truckers who operate compressed gas tanks would be able to gain the 
equivalent of an extra load approximately every 35 trips.
---------------------------------------------------------------------------

    \12\ Container Tech. Inc., Comment, Docket ID DOT-OST-2017-0069-
2698 (Dec. 1, 2017).
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E. NTSB Recommendations

    This rulemaking addresses two National Transportation Safety Board 
(NTSB) recommendations that PHMSA received on September 2, 2011, as a 
result of NTSB's investigation of a rollover and subsequent fire of a 
truck-tractor and cargo tank semitrailer carrying liquefied petroleum 
gas.
    Recommendation H-11-5 advised PHMSA to study the dynamic forces 
acting on susceptible structures under varying accident conditions, and 
to develop performance standards to eliminate or mitigate these risks 
after conducting an analysis of accident data on DOT-specification 
cargo tanks.\13\ NTSB recommended that PHMSA identify cargo tank 
designs and the associated dynamic forces that pose a higher risk of 
failure and release of hazardous materials in accidents. As discussed 
in the 2013 NPRM, several research and development projects support 
adopting the 2013 editions of the NBIC and Section XII. The studies 
referenced in the NPRM support incorporating the 2015 edition of these 
standards as well. In developing Section XII, the ASME subcommittee on 
transport tanks (SC XII), as well as other stakeholders, commissioned 
studies on materials used in the construction of tanks, components of 
tanks, and tanks themselves, to aid in developing safe specifications 
for transport tanks.
---------------------------------------------------------------------------

    \13\ Nat'l Transp. Safety Bd., Safety Recommendation H-11-005 
(Sept. 2, 2011), available at: <a href="https://data.ntsb.gov/carol-main-public/sr-details/H-11-005">https://data.ntsb.gov/carol-main-public/sr-details/H-11-005</a>.
---------------------------------------------------------------------------

    Recommendation H-11-6 further advised that PHMSA require all newly 
manufactured cargo tanks to comply with the performance standards 
identified as a result of H-11-5.\14\ Though PHMSA is not mandating 
that cargo tanks be constructed to Section XII standards, giving 
vehicle manufacturers additional flexibility for materials, design, 
fabrication, examination, inspection, testing, certification, and over-
pressure protection will improve the survivability of cargo tanks 
involved in

[[Page 61148]]

rollover accidents. Cargo tanks constructed to Section XII standards 
will be better able to withstand the conditions encountered in 
transportation, including rollover accidents.
---------------------------------------------------------------------------

    \14\ Nat'l Transp. Safety Bd., Safety Recommendation H-11-006 
(Sep. 2, 2011), available at: <a href="https://data.ntsb.gov/carol-main-public/sr-details/H-11-006">https://data.ntsb.gov/carol-main-public/sr-details/H-11-006</a>.
---------------------------------------------------------------------------

IV. Response to SNPRM Comments

    PHMSA received 17 sets of comments on the SNPRM from the following 
entities:

                     Table 4--Commenter Docket Table
------------------------------------------------------------------------
                 Commenter                             ID No.
------------------------------------------------------------------------
Container Technology Incorporated.........  DOT-OST-2017-0069-2698.
Mr. Andrew Duggleby (6x)..................  PHMSA-2010-0019-0105--110.
Mr. Pardhasarathi Chilukuri...............  PHMSA-2010-0019-0117.
Commercial Vehicle Safety Alliance (CVSA).  PHMSA-2010-0019-0113.
The International Tank Container            PHMSA-2010-0019-0115.
 Organisation (ITCO).
National Propane Gas Association (NPGA)...  PHMSA-2010-0019-0114.
NJP Engineering...........................  PHMSA-2010-0019-0111.
Mr. Robert Sallash (2x)...................  PHMSA-2010-0019-0112;--120.
Mr. James Silver/@TCO Asia................  PHMSA-2010-0019-0116.
Mr. James Silver/CIMS Inspection Services   PHMSA-2010-0019-0118.
 LLC.
Mr. Alexander Varghese (Gardner             PHMSA-2010-0019-0119.
 Cryogenics).
------------------------------------------------------------------------

    Most of the comments expressed support for the changes proposed in 
the SNPRM. Commenters noted that incorporating Section XII would 
enhance public safety, welfare, and economic interests of the United 
States by facilitating international approval of U.S. manufactured 
transportation tanks. Commenters also cited additional benefits of 
incorporating Section XII by reference, including: (1) Section XII's 
improvements to design standards for transportation tanks, which 
reflect present-day technologies; (2) the provision of an alternative 
to Section VIII, Division 1 design standards for stationary pressure 
vessels (i.e., stationary tanks); and (3) the flexibility provided by 
the new rational design methodology in Section XII. Commenters who 
supported incorporating Section XII expressed frustration over the 
delay in adopting these standards, which are already in use and 
increasingly in demand by manufacturers. One commenter noted that he 
looked forward to no longer being limited to a standard that was 
intended for fixed equipment, which, consequently, requires 
supplemental reference to the HMR. Commenters further noted the 
benefits of incorporating Section XII, which is a standard intended for 
tanks that will be transported. Commenters stated that Section XII is a 
more accurate assessment of the service life of transportation tanks on 
the road, which includes addressing the hazards and stresses associated 
with transportation and the transportation cycle.
    Only two commenters--both of whom were associated with the 
international transport of portable tanks and expressed similar 
concerns in responding to the 2013 NPRM--opposed incorporating Section 
XII and the 2015 edition of NBIC. These commenters raised concerns 
with: (1) the actual benefits to hazardous materials transportation 
that would result from incorporating the 2015 editions; (2) the 
registration, inspections, and National Board requirements; (3) the 
negative impacts that the 2015 editions would have on the design, 
inspection, and international use of cryogenic portable tanks (i.e., UN 
T75 portable tanks); (4) the lack of public input and inaccessibility 
to current and future versions of Section XII and the NBIC; and (5) 
implementation.
    PHMSA also received a few comments pertaining to the impact that a 
2016 rulemaking, titled Hazardous Materials: Incorporation by Reference 
Edition Update for the American Society of Mechanical Engineers Boiler 
and Pressure Vessel Code and Transportation Systems for Liquids and 
Slurries: Pressure Piping Code (HM-261 final rule), would have on this 
final rule.\15\ In the HM-261 final rule, PHMSA replaced the 1998 
edition of Section VIII, Division 1 with the 2015 edition.
---------------------------------------------------------------------------

    \15\ 81 FR 25613 (Apr. 29, 2016).
---------------------------------------------------------------------------

    Comments received and responses to the 2016 SNPRM are summarized 
and discussed further below.

A. Benefits of Section XII

    PHMSA highlights the supportive comment received from NJP 
Engineering and others that similarly stated that the use of a standard 
that is specific to transport tanks is an inherent advantage. Because 
Section VIII, Division 1 does not consider transportation conditions 
(i.e., dynamic loads on tanks), CTMV manufacturers have not been 
permitted to take advantage of reduced design margins (except through a 
special permit) even though greater allowable stresses have been 
permitted under ASME Section VIII, Division 1 since the late 1990s.
    PHMSA notes Section XII provides additional advantages over Section 
VIII, Division 1. Section XII incorporates a rational design 
methodology, rather than providing strict, prescriptive design 
requirements as in Section VIII, Division 1. As explained in the 2013 
NPRM, rational design methodology enables tanks to be designed with 
greater efficiency.\16\ Section XII also provides specific standards 
for fatigue analysis as a part of the continued service for transport 
tanks. Transport tanks, more often than stationary tanks, are subjected 
to pressure cycles (i.e., frequent and rapid fill and discharges of the 
lading), as well as shocks and vibration from movement. Fatigue 
analysis is therefore essential for the examination of these tanks. 
Though the HMR and Section VIII, Division 1 mention fatigue as a design 
consideration, no specific standards are provided therein. Finally, 
safety improvements under Section XII include adjustments to the 
minimum thickness conversion formula for designing transport tanks for 
penetration resistance, as defined in various international standards--
such as the United Nations Recommendations on the Transport of 
Dangerous Goods Model Regulations (UN Model Regulations) \17\--and the 
HMR.
---------------------------------------------------------------------------

    \16\ 78 FR 79363 (Dec. 30, 2013).
    \17\ UN Model Regulations Rev. 24 (2025), available at: <a href="https://unece.org/transport/dangerous-goods/un-model-regulations-rev-24">https://unece.org/transport/dangerous-goods/un-model-regulations-rev-24</a>.
---------------------------------------------------------------------------

    In addition to these safety benefits, the incorporation by 
reference of Section XII will continue to provide the benefit of 
transport cost savings from the modified design standards (i.e., 
greater allowable stresses) for the construction of cargo tanks. Those 
cost savings are reflected largely in fuel savings.
    Not all commenters shared a positive outlook on the proposed 
changes. Specifically, Mr. Colin Rubery, on behalf of ITCO, and Mr. 
James Silver, on behalf of Silver/Cims LLC and @TCO, stated that this 
rulemaking is inefficient, redundant, and would increase costs to the 
industry with no return or improvement in the transport of hazardous 
materials. Mr. Silver further suggested this final rule should not be 
adopted because one of PHMSA's justifications for incorporating Section 
XII and NBIC was cost savings due to the reduced safety factor required 
for pressure vessels. Mr. Silver argued that this economic benefit was 
no longer credible because the adoption of the

[[Page 61149]]

HM-261 final rule voided the savings projections and all other benefits 
relating to this final rule.
    PHMSA disagrees that permitting the use of Section XII is 
inefficient or redundant because of the HM-261 final rule. PHMSA notes 
that the cost savings of this final rule outweigh the total costs (see 
the RIA). Furthermore, the HM-261 final rule updated the version of 
Section VIII, Division I and other sections incorporated by reference 
but did not incorporate Section XII.
    On April 29, 2016, PHMSA published a direct final rule, entitled 
Hazardous Materials: Incorporation by Reference Edition Update for the 
American Society of Mechanical Engineers Boiler and Pressure Vessel 
Code and Transportation Systems for Liquids and Slurries: Pressure 
Piping Code (HM-261 direct final rule).\18\ The HM-261 direct final 
rule updated the incorporated edition of Section VIII, Division 1, from 
the 1998 edition to the 2015 edition, as well as other sections of the 
ASME BPVC.\19\ PHMSA issued the HM-261 direct final rule because 
industry was already manufacturing DOT specification CTMVs and other 
non-DOT specification CTMVs (e.g., nurse tanks) in accordance with 
various editions of Section VIII, Division 1 (between the 1998 edition 
and the 2015 edition) to maintain ASME certifications. PHMSA determined 
that there were no adverse safety issues with incorporating earlier 
editions of Section VIII, Division 1, provided tanks had been properly 
constructed and maintained in accordance with ASME standards.
---------------------------------------------------------------------------

    \18\ 81 FR 25613 (Apr. 29, 2016).
    \19\ PHMSA subsequently incorporated by reference the 2017 
Edition of Section VIII, Division 1. 85 FR 75680 (Nov. 25, 2020).
---------------------------------------------------------------------------

    The HM-261 direct final rule strengthened PHMSA's ability to ensure 
compliance with CTMVs constructed to more recent versions of Section 
VIII, Division 1. The HM-261 direct final rule simply replaced the 1998 
edition of Section VIII, Division 1 with the 2015 edition. It did not 
negate the limitations associated with applying a construction code 
intended for stationary pressure vessels to tanks that are used to 
transport hazardous materials. For that reason, when using the 2017 
edition of Section VIII, Division 1, several HMR requirements remain 
applicable, whereas Section XII requires fewer supplements from the 
HMR. Furthermore, though the use of Section VIII, Division 1 is limited 
to construction of new pressure vessels, Section XII is applicable for 
construction and continued service of transport tanks. Similar 
technical improvements found in the 2015 edition of Section XII also 
appear in the 2015 edition of Section VIII, Division 1, but there are 
several benefits singularly provided by Section XII. PHMSA has 
addressed these benefits in the NPRM and SNPRM.

B. Registration, Inspection, and Training

    PHMSA received various comments regarding registration and 
inspection requirements for tank inspectors and repair facilities. 
These comments were primarily from members of the portable tank 
community (ITCO, @TCO, and Silver/Cims, LLC) who inspect tanks that may 
be transported outside of the United States. Many of the commenters 
expressed confusion regarding the use of Section XII and the implicit 
use of the 2015 edition of the NBIC, and the requirements to have 
certain credentials from the National Board. These commenters also 
specifically suggested that the inspections and credentials required by 
using ASME Section XII would impose a financial burden. PHMSA has 
determined that most of the comments on this topic are either 
overstated or based on a misunderstanding of the 2015 edition. To 
address the comments, PHMSA is providing clarification of the 
registration and inspection requirements below.
    Mr. James Silver, on behalf of two organizations (@TCO and Silver/
Cims, LLC), provided comments concerning registration and inspection 
requirements for inspectors and repair facilities. He suggested that 
PHMSA proposed additional registration requirements, which he 
attributes to the incorporation of Section XII. Mr. Silver asserted 
that the portable tank industry would suffer excessive costs due to 
``redundant registration and need for redundant (multiple 
inspectors),'' and that every test facility and tester would be 
``beholden to NBIC for registration and test fees forever more.'' \20\ 
Similarly, Mr. Colin Rubery, on behalf of ITCO, suggested that 
incorporating by reference Section XII and the NBIC (required in 
combination) would create what he characterizes as a monopoly on 
inspector training by the National Board. ITCO estimated that, to 
prepare for the arrival of these tanks in the global marketplace, 
international inspectors (including the International Association of 
Classification Societies (IACS) and third-party inspectors) and testing 
and repair facilities would incur costs of $3.64 million.\21\ In 
addition, Mr. Silver stated that: (1) the NBIC should not be employed 
for the continued service inspections of portable tanks, because the 
National Board does not recognize competent authority designated 
approval agencies; and (2) international stakeholders rely on 
designated approval agencies with IACS membership for approval and 
periodic inspection requirements (which PHMSA addresses in the next 
comment discussion).
---------------------------------------------------------------------------

    \20\ James R. Silver, Comment, Docket ID PHMSA-2010-0019-0104 
(Jun. 28, 2016).
    \21\ Int'l Tank Container Org., Comment, Docket ID PHMSA-2010-
0019-0076 (Apr. 28, 2014).
---------------------------------------------------------------------------

    PHMSA notes that the regulatory framework of the HMR consists of 
requirements for the design, manufacture, assembly, inspection, 
testing, certification, and repair of packagings, such as portable and 
cargo tanks, to minimize safety risks. As explained in the comment from 
Mr. Alexander Varghese, this is especially important for the safety of 
the public considering that ``transportation tanks are exposed to the 
public substantially more than stationary tanks.'' \22\ PHMSA has 
historically relied on external entities (i.e., Registered Inspectors 
for cargo tanks and Designated Approval Agencies (DAAs), such as 
Silver/Cims, LLC for portable tanks) to perform many of the functions 
relating to verification of the requirements previously mentioned. 
Oversight of entities that ensure transport vessels meet the applicable 
standards for the safe transport of hazardous materials on behalf of 
PHMSA begins with the registration or approval of those parties. 
Acquiring registration or an approval requires the inspector or agency 
to demonstrate their qualification to determine whether a pressure 
vessel conforms to DOT requirements, as specified in subparts E and F 
of part 107. Similarly, PHMSA has incorporated construction and design 
standards developed by other organizations, as is the case for ASME 
BPVC and the NBIC. ASME and the National Board have their own 
administrative oversight procedures and designated entities that ensure 
these construction and design standards are met. Like DAAs and 
Registered Inspectors working on behalf of DOT, these entities perform 
their duties on behalf of ASME and NBIC. The entities authorized by 
ASME and NBIC to provide certifications (e.g., ``T,'' ``U,'' or ``R'' 
stamps) include Authorized Inspectors (AI), Qualified Inspectors (QI), 
Certified Inspectors (CI), and in the case of the National Board, 
inspectors

[[Page 61150]]

who are ``commissioned.'' \23\ Although the HMR incorporate by 
reference standards set forth by ASME and NBIC, PHMSA has not required 
that ASME or NBIC inspectors register with DOT. Consequently, in the 
interest of oversight, the HMR requires registered inspectors and DAAs 
to verify the inspections are completed by an ASME AI.
---------------------------------------------------------------------------

    \22\ Alexander P. Varghese, Comment, Docket ID PHMSA-2010-0019-
0104 (Jun. 30, 2016).
    \23\ A National Board commissioned inspector is an individual 
who has met the education, experience, employment, and examination 
requirements as outlined in NB-263, RCI-1, Rules for Commissioned 
Inspectors. See Nat'l Bd., Rules for Commissioned Inspectors (2025), 
available at: <a href="https://www.nationalboard.org/SiteDocuments/Commissioned%20Inspectors/NB-263_RCI-1_2021.pdf">https://www.nationalboard.org/SiteDocuments/Commissioned%20Inspectors/NB-263_RCI-1_2021.pdf</a>.
---------------------------------------------------------------------------

    Although multiple inspections and tests are required for portable 
tanks and cargo tanks, these are not new requirements resulting from 
the incorporation by reference of Section XII and the 2015 NBIC--nor 
are they redundant. The certification and associated inspections 
carried out by ASME inspectors serve to verify that the tank meets the 
ASME design and construction standards. DAAs or Registered Inspectors 
verify that the ASME constructed transport vessel meets PHMSA's safety 
standards. These requirements and processes are in place to mitigate 
the risk of a catastrophic failure of pressurized tanks while 
transporting hazardous materials.
    Part 180, subpart G of the HMR outlines the schedule and criteria 
for periodic inspections and tests. These requirements are mirrored in 
Section XII specifically to align with the HMR. For portable tanks 
constructed to Section VIII, periodic inspections may be performed by 
following the HMR and do not require any reference to the NBIC. For 
repair or alterations, the HMR defers to the requirements of the 
original design and construction standard of the portable tank. 
Regarding the commenter's point, many Section VIII portable tanks are 
currently inspected and certified by inspectors who hold a National 
Board commission. As required by ASME, Section VIII pressure vessels 
must be repaired or altered only by organizations holding a National 
Board ``R'' Certificate of Authorization. This rulemaking does not 
alter the inspection requirements for Section VIII tanks.
    The most significant change in this rulemaking is the incorporation 
by reference of Section XII, which will permit construction to ASME 
Section XII as an alternative. For ASME Section XII constructed tanks, 
all inspections, repairs, and alterations must still be carried out in 
accordance with the NBIC. ASME extended the inspector credential 
requirements, previously reserved for entities involved in repairs and 
alterations, to those providing periodic inspections to ensure 
uniformity for the level of safety of the tanks and inspection 
activities. Specifically, a National Board commissioned inspector must 
be involved in the inspections of repairs and alterations. Periodic 
inspections for Section XII transport vessels may still be carried out 
by a DOT-recognized Registered Inspector upon completion of a web-based 
training course. Aside from hydrostatic testing, which must now be 
witnessed by an AI, QI, or CI, the role of Registered Inspectors in the 
HMR is not changing for cargo tanks. PHMSA notes that because all cargo 
tanks must be ASME stamped under this final rule, repairs are required 
to be made by an ``R'' certificate holder, unlike the current 
requirements in the HMR, which allow certain cargo tanks to be repaired 
by a ``U'' certificate holder.
    PHMSA disagrees with ITCO's assertion that adoption of Section XII 
and the NBIC (required in combination) would create a monopoly. Section 
XII specifies that individuals who repair tanks constructed and 
certified to that standard must use a National Board commissioned 
inspector. This process mirrors PHMSA's oversight of inspectors and 
approval agencies that verify safety requirements of packagings on the 
agency's behalf. PHMSA has also determined that it is no different from 
the practice described by the commenter, in which ``enforcement 
authorities in most foreign countries only recognize IACS-member 
approval agencies.'' \24\ A baseline requirement is needed for 
individuals or organizations that are responsible for verifying the 
acceptability of tanks prior to transportation. Requiring an individual 
or organization to have specific credentials is not unique to this 
agency or this rulemaking. Such a requirement ensures the safety of 
packagings that contain hazardous materials. PHMSA expects the 
incorporation by reference of the 2015 NBIC for continued service of 
Section XII tanks to be the best course of action due to the 
development of Supplement 6 for use with Section XII. PHMSA finds that 
National Board-commissioned inspectors are best positioned for 
inspection of Section XII transport tanks.
---------------------------------------------------------------------------

    \24\ Int'l Tank Container Org., Comment, Docket ID PHMSA-2010-
0019-0027 (May 25, 2011).
---------------------------------------------------------------------------

    Regarding ``NBIC registration,'' as mentioned in the comment from 
Silver/Cims LLC,\25\ PHMSA has determined this is a misunderstanding of 
the registration required under part 107 and the concept of a 
``commissioned inspector'' under NBIC--neither of which are new 
requirements added under this rulemaking.
---------------------------------------------------------------------------

    \25\ James R. Silver, Comment, Docket ID PHMSA-2010-0019-0104 
(Jun. 29,2016).
---------------------------------------------------------------------------

    PHMSA disagrees with the two commenters from the portable tank 
community who stated that this rule will add an estimated $3.64 million 
in costs for the industry. Any increased costs to industry will be 
outweighed by offsetting cost savings and benefits. Furthermore, the 
commenters provided no data to support this estimate. PHMSA estimates 
that the actual costs for certain facilities could be as low as $250 to 
purchase the newest ASME code. PHMSA acknowledges that those enforcing 
compliance with these standards will likely incur some training costs 
regardless of the usage rate of the new standard. PHMSA also agrees 
that the costs associated with obtaining a National Board commission or 
completing required testing would be new costs to some test facilities 
that perform leakage and pneumatic/hydrostatic tests, and for 
inspectors who have not already begun conducting inspections of Section 
XII tanks. The final rule does mandate the use of Section XII and the 
NBIC. Such use, whether continuing to construct transport tanks to 
Section VIII, Division 1, or foregoing training and a National Board 
commission, are business decisions to be made by individual 
organizations. This rule provides additional regulatory flexibility to 
make those business decisions.
    Inspectors who have conducted inspections in accordance with the 
HMR, rather than acquiring an ``R'' certificate from the National 
Board, will be able to continue doing so for Section VIII tanks in 
addition to conducting inspections for Section XII tanks. This is 
consistent with the decision to construct all authorized DOT-
specification CTMVs, to specialize in a single specification of the DOT 
400 series CTMVs, or to transport portable tanks within the United 
States only. In addition, the incorporation by reference of Section XII 
does not require equipment purchase, employee training, or standard 
purchase unless it is in the interest of a manufacturer, non-
manufacturer, or an inspector to do so. A comment from Exosent 
Engineering indicated that the company had already obtained a ``T'' 
stamp and stated the additional cost and administrative work was 
``minimal.'' Exosent Engineering

[[Page 61151]]

went on to state that the design and construction were achieved at no 
extra cost. Although costs to each type of industry stakeholder will 
vary, PHMSA expects that users will assess whether it makes economic 
sense for them to adopt Section XII, and that the overall cost burden 
will be minimized because of a lower usage rate. Furthermore, PHMSA 
believes it is very likely that many in this industry already have the 
most current codes to maintain their ASME ``U'' or ``R'' stamps.

C. Impact on Portable Tank Market

    Mr. James Silver reiterated concerns regarding the effect of 
permitting the use of Section XII on the portable tank industry. Mr. 
Silver argued that existing UN portable tank standards and regulations 
ensure the safe transportation of hazardous materials, and that 
incorporating the 2015 editions of Section XII and the NBIC for in-
service and continued use inspection of portable tanks would be 
counterproductive to the efforts of the international portable tank 
community. In addition, Mr. Silver asserted that if National Board-
registered inspectors or authorized inspection agencies inspect UN 
portable tanks for continued service, regional authorities and port 
inspectors in foreign countries would reject the tanks for import and 
continued transit. Mr. Silver further argued that the enforcement 
authorities in most foreign countries only recognize IACS-member 
approval agencies due to their long-standing involvement with the 
International Maritime Dangerous Goods (IMDG) Code. He provided 
examples of tanks that were inspected by non-IACS members being stopped 
in transit and material needing to be transloaded to an approved 
portable tank with IACS-member periodic test stamp only. Mr. Silver and 
Mr. Rubery (on behalf of ITCO) expressed their similar belief that the 
public would be better served if PHMSA introduced the changes to 
incorporate by reference Section XII and the NBIC, with respect to 
portable tanks, under the scope of the UN Sub-Committee of Experts on 
the Transport of Dangerous Goods and pursue the changes as amendments 
to the UN Model Regulations. Lastly, Mr. Silver suggested that Section 
XII should not be offered as an alternative construction standard for 
UN T75 portable tanks because Section VIII, Division 1 and Section XII 
are currently employed either through incorporation by reference or by 
special permit, respectively.
    PHMSA agrees that existing portable tank standards and regulations 
are effective for the safe transportation of hazardous materials--that 
is why Section VIII will continue to be authorized for use. But PHMSA 
still has the authority to implement an updated alternative design 
standard that provides at least an equivalent level of safety, in 
addition to providing the industry demonstrable advantages such as cost 
savings, advanced design guidelines, and more realistic tank life 
estimates. Section XII is such an updated alternative.
    PHMSA disagrees that the incorporation of Section XII will lead to 
disruption in the international market. Section XII and the NBIC were 
both developed as international standards and written to be compatible 
with UN recommendations and other international codes. In responding to 
this concern, Gardner Cryogenics stated that ``ASME Section XII is very 
close in requirements to International Standards Organization (ISO) 
Standard 20421-1 for cryogenic transportation tanks,'' and that 
``several industrial countries have already approved its use or are in 
the process of evaluation.'' \26\ The UN Model Regulations, IMDG Code, 
and related ISO standards allow for a nation's Competent Authority to 
determine the requirements that apply for the construction and repair 
of packagings used in the transportation of hazardous materials and 
recognize ASME and National Board codes.\27\ PHMSA anticipates 
reciprocity from foreign countries to recognize cryogenic portable 
tanks authorized in accordance with the HMR such that Section XII 
transport tanks, inspected in accordance with the NBIC (i.e., the HMR), 
will be recognized internationally in the same manner as foreign 
inspections of UN portable tanks are recognized through the approval 
process of a DAA under the HMR. There is no specific requirement under 
the IMDG Code to use IACS inspectors, only that the inspections and 
tests of portable tanks intended for transport of refrigerated 
liquefied gases must be witnessed by an expert approved by the 
competent authority or its authorized body (i.e., a National Board-
certified inspector). Thus, PHMSA has determined the incorporation by 
reference of the NBIC for the continued service of Section XII 
transport tanks will not have any negative international impact.
---------------------------------------------------------------------------

    \26\ Alexander P. Varghese, Comment, Docket ID PHMSA-2010-0019-
0104 (Jun. 30, 2016).
    \27\ UN Model Regulations, at Paragraphs 6.1.1 and 6.1.2; IMDG 
Code, at Chapter 6.1.
---------------------------------------------------------------------------

D. Public Input to Future Versions of Section XII and the NBIC

    PHMSA received comments from Mr. James Silver and ITCO regarding 
the practice of incorporating by reference codes such as the NBIC and 
ASME Sections VIII and XII. Specifically, the commenters restated their 
opinion that incorporating these standards reduces transparency because 
the authoring standards development organizations are not obligated to 
provide comment periods, as is required for Federal agencies when 
making regulatory changes and therefore do not assure public input for 
future revisions. The commenters noted that industry and the public 
would be better served with standards and training developed by PHMSA.
    PHMSA disagrees that developing an entirely new set of standards 
would be the best approach for industry or the HMR. By addressing 
advances related to materials, design, fabrication, examination, 
inspection, testing, certification, and over-pressure protection, 
Section XII was developed to be a model for modernization of the HMR. 
It is intended to: (1) be a standard that would be more readily 
adoptable by jurisdictions worldwide; (2) cut government costs; (3) 
establish a way to accredit manufacturers of these tanks; (4) establish 
requirements for third-party inspection and for various sorts of 
inspectors, both during construction and in-service; and (5) 
incorporate industry consensus standards into the Federal regulations 
as required by the Unfunded Mandates Reform Act of 1995 (UMRA; Pub. L. 
104).
    These standards were developed by voluntary consensus standards 
development organizations comprised of stakeholders and government 
representatives--including PHMSA--involved in the design, 
certification, continued qualification, and maintenance of transport 
tanks.\28\ These stakeholders have expert knowledge of how to design, 
construct, and maintain tanks to withstand the unique dynamic 
conditions and stresses of a normal transportation environment. Both 
Section XII and the NBIC were developed as global standards and were 
written to be compatible with the UN Model Regulations. ASME meets due 
process requirements as defined by the non-governmental American 
National Standards Institute (ANSI). As such, the meetings for the 
development of ASME standards are open to the public and operate under 
the ANSI consensus

[[Page 61152]]

process that allows for public review and comment much like the DOT 
rulemaking process.
---------------------------------------------------------------------------

    \28\ For example, the American Society of Mechanical Engineers 
and the National Board of Boiler and Pressure Vessel Inspectors.
---------------------------------------------------------------------------

    Information about the development and coordination of Section XII 
and the NBIC was made available online to the public, and draft 
revisions are made available for public review and input.\29\ In 
addition to hosting public meetings, ASME committee participation is 
open to anyone with an interest in a particular subject area and with 
the requisite technical expertise. Further, ASME and the NBIC committee 
meetings are open to public participation and free of charge. Both the 
ASME and NBIC subcommittees consider correspondence from the public in 
the form of requests for interpretation and revision to existing codes, 
requests for code cases, and requests to develop new standards. The 
standards-writing subcommittees, subgroups, and task groups are also 
open to participation by representatives of individuals that are 
materially affected by the code. Each year, the NBIC committee updates 
the NBIC and presents the updates on the National Board's website for 
public review in April-May and August-September. Furthermore, PHMSA 
ultimately makes the determination on conditions and limitations of 
material incorporated by reference. If there is a particular issue with 
a standard, commenters can raise concerns with PHMSA during the notice 
stage of a rulemaking.
---------------------------------------------------------------------------

    \29\ For example, public comments may be submitted on proposed 
new ASME Standards drafts and on proposals to revise existing ASME 
Standards. All ASME public review proposals are available in hard 
copy at no cost, and some are available electronically also at no 
cost. See ASME Codes and Standards, ASME Proposals Available for 
Public Review (last accessed Feb. 26, 2026), available at: <a href="https://cstools.asme.org/csconnect/PublicReviewpage.cfm">https://cstools.asme.org/csconnect/PublicReviewpage.cfm</a>.
---------------------------------------------------------------------------

    The Commercial Vehicle Safety Alliance (CVSA) commented that it 
supports the incorporation by reference of technical standards 
``provided that the U.S. Department of Transportation requires access 
(including electronic access) for enforcement and government purposes, 
at no charge, to these materials,'' and that ``when those in industry 
develop standards that can be used by government it is appropriate to 
do so . . . [h]owever, if care is not taken in how that incorporation 
by reference is designed, it could result in materials not being 
accessible.'' \30\ CVSA argued that prohibitive fees render certain 
incorporation by reference materials inaccessible to State and Federal 
Government officials.
---------------------------------------------------------------------------

    \30\ Commercial Vehicle Safety Alliance, Comment, Docket ID 
PHMSA-2010-0019-0113 (Jun. 22, 2016).
---------------------------------------------------------------------------

    The industry-developed materials incorporated in this final rule 
are available for review free of charge in-person at PHMSA's 
headquarters and regional offices, as well as through the Federal Motor 
Carrier Safety Administration (FMCSA) headquarters. State enforcement 
officials have access to Section XII and the NBIC for performance of 
enforcement activities (i.e., roadside checks). Specifically, PHMSA's 
understanding is that these activities primarily entail verification of 
marking requirements, for example, and not in-depth review of 
compliance with design, construction, and repair standards. Since the 
marking requirements are no different than the current marking 
requirements under the HMR for the same packagings constructed in 
accordance with Section VIII, Division 1, the HMR--which is readily 
accessible and available for free at PHMSA's website--can be used as a 
reference for the marking requirements.

E. Implementation

1. Section XII and the HMR
    Mr. Chilikuri commented that Section XII does not address all the 
existing HMR requirements for transport tanks, such as rear-end damage 
protection.\31\ NJP Engineering further noted that proposed Sec.  
173.14 (now Sec.  173.252 for consistency with the construct of the 
HMR) is broad in its application and that part 178 covers items that 
are not addressed in Section XII (i.e., manhole assembly requirements 
in Sec.  178.345-5(e)).\32\ Therefore, Mr. Chilikuri requested 
clarification of the requirements in this instance for the benefit of 
designers, manufacturers, and enforcement officials.
---------------------------------------------------------------------------

    \31\ Pardhasarathi Chilukuri, Comment, Docket ID PHMSA-2010-
0019-0104 (Jun. 28, 2016).
    \32\ Nickolas Paulick, Comment, Docket ID PHMSA-2010-0019-0111 
(May 17, 2016).
---------------------------------------------------------------------------

    PHMSA agrees that the 2015 edition of Section XII does not address 
all conditions associated with transport tanks. Entities opting to use 
Section XII for construction of transportation tanks must still comply 
with parts 178 and 180 of the HMR for items not covered by Section XII. 
This is emphasized by reading Section XII at TG-100.3, which states 
that ``applicable laws and regulations may contain additional 
requirements for pressure vessels used in the transportation of 
dangerous goods which are not addressed in this section.'' The new 
provisions in this final rule at Sec.  173.252 have been revised to 
clarify this distinction.
2. Use of the 1992 NBIC
    The NPGA requested a modification of the proposed requirements 
allowing the use of the HMR and either the 1992 or 2015 editions of the 
NBIC for qualification of CTMVs constructed to Section XII, stating 
that such a change would remove financial and training constraints 
while maintaining the safety objectives of this rulemaking.\33\ NPGA 
noted that PHMSA has not justified limiting which edition of the NBIC 
may be used for the qualification of Section XII CTMVs. Furthermore, 
NPGA asserted that there is no evidence to suggest employees or 
businesses trained and relying on current regulations for inspection 
and qualification of CTMVs designed according to ASME Section VIII, 
Division 1 are unfit to qualify CTMVs designed according to ASME 
Section XII.
---------------------------------------------------------------------------

    \33\ National Propane Gas Association, Comment, Docket ID PHMSA-
2010-0019-0114 (Jun. 28, 2016).
---------------------------------------------------------------------------

    PHMSA has determined that it would not be in the interest of 
modernizing transportation safety measures or in alignment with best 
engineering practices to incorporate an outdated reference. Since the 
1992 NBIC predates ASME Section XII by more than a decade, its 
incorporation could result in confusion and increased violations of the 
HMR. ASME Section XII and the 2015 edition of the NBIC were also 
developed in tandem, so there is no practical way to use the 1992 NBIC 
for Section XII pressure vessels.
    The 2015 edition of the NBIC accounts for numerous changes that 
have been made to both the construction, repair, and inspection methods 
for pressure vessels since the early 1990s. Many of these changes take 
advantage of newer technology, such as the use of ultrasonic 
examination instead of radiographic examination. When compared to 
radiographic examination, ultrasonic examination is lower in cost, 
easier to use, faster to implement, and poses less environmental 
concerns. Other changes that offer similar improvements include the use 
of alternative welding methods instead of post-weld heat treatment, and 
new standard welding procedures designed to control quality and result 
in more reliable, and consequently, safer welds.
3. Certification Stamp(s)
    ITCO commented that incorporating Section XII and the 2015 NBIC 
would cause confusion by introducing a ``T'' stamp certification when 
portable tanks are already subject to ``T'' code marking

[[Page 61153]]

requirements.\34\ In addition, CIMS Inspection Services noted that 
PHMSA has not accounted for the cost of repair shops needing to obtain 
a ``TR'' stamp and estimates a cost of more than $10 million for 
initial certification. The commenter also noted potential future costs 
of purchasing updated codes and stamp certification renewal costs.
---------------------------------------------------------------------------

    \34\ The International Tank Container Organisation, Comment, 
Docket ID PHMSA-2010-0019-0115 (Jun. 28, 2016).
---------------------------------------------------------------------------

    PHMSA disagrees that introducing a ``T'' stamp will cause confusion 
given the difference in location and current industry use. The marking 
requirements of ASME pressure vessels with the ``T'' stamp is a 
distinct mark with specific criteria similar to that currently in place 
for ``U'' stamped vessels. The location is normally on an ASME data 
plate on the tank, whereas the UN markings are located on the tank 
proper as already required by the HMR and UN Model Regulations. The 
potential costs associated with obtaining a ``TR'' stamp--as proposed 
in the 2015 SNPRM--have been removed from the cost of this final rule. 
This final rule does not require the use of the ``TR'' stamp initially 
proposed under the SNPRM. Instead, the final rule requires the use of 
the ``R'' stamp. Repair shops must already hold the ``R'' stamp to 
perform repairs or alterations in accordance with industry code 
requirements.
4. Market Conditions
    One commenter suggested that PHMSA delay the incorporation of 
Section XII to allow the industry time to assess market conditions and 
determine whether the continued use of Section VIII eliminates the need 
for Section XII.
    PHMSA believes industry has had sufficient time since the 
publication of the SNPRM to make the requested assessment. In addition, 
PHMSA agrees with other commenters who stated that Section XII should 
be incorporated by reference without further delay. Industry need 
drives the development of industry codes, as was the case for Section 
XII. As discussed above, the industry lacked a set of standards 
specifically designed for transport tanks, which resulted in the 
development of such a standard by the applicable standards development 
organization. Companies have already made use of Section XII and have 
designed and built these transportation tanks through a special permit, 
as mentioned in the comments from Gardner Cryogenics and Exosent 
Engineering. These commenters further stated that their companies have 
not experienced any additional difficulties in producing the tanks 
according to Section XII as opposed to Section VIII. PHMSA reiterates 
that the use of ASME Section XII is optional. An individual company who 
determines that it would not be to its benefit to use the standard has 
an alternative: use Section VIII, Division 1 and follow the HMR.

V. Section-by-Section Review

    The following is a section-by-section review of the amendments in 
this final rule:

A. Part 107

Section 107.307
    Section 107.307 outlines the process for compliance orders and 
civil penalties (i.e., enforcement). PHMSA is revising paragraph (a) to 
underscore PHMSA's existing authority to enforce compliance with 
industry standards that are incorporated by reference into the HMR. 
This change does not implement any changes to the regulations or 
PHMSA's authority. Rather, it clarifies the existing authority to aid 
in regulatory understanding and compliance.
Section 107.503
    Part 107, subpart F establishes a registration procedure for 
persons engaged in the manufacture, assembly, inspection and testing, 
certification, or repair of both cargo tanks and CTMV manufactured in 
accordance with a DOT specification or under terms of a special permit 
issued under part 107.
    In this final rule, PHMSA is adopting a revision to accommodate the 
creation of the ``T'' stamp in Section XII. Specifically, PHMSA is 
adding a reference to the ``T'' stamp along with the existing 
references to ``U'' stamp in Sec.  107.503(b) and the ``U'' and ``R'' 
stamps in Sec.  107.503(c). This revision will ensure that a facility 
that manufactures or repairs a Section XII CTMV submits their ``T'' 
stamp authorization to FMCSA, just as facilities than manufacture or 
repair Section VIII CTMVs submit their ``U'' and/or ``R'' stamp 
authorizations.
    In addition, PHMSA is noting for general awareness that the new 
Sec.  173.252 (originally proposed as Sec.  173.14), as discussed 
below, references the registration requirement in this subpart by 
noting that CTMV ``manufacturers,'' ``inspectors,'' and ``repairers'' 
of these packagings must be registered with the DOT.

B. Part 171

Section 171.7
    Section 171.7 provides a listing of all voluntary consensus 
standards incorporated by reference into the HMR,
    This final rule amends Sec.  171.7--Reference material--to list the 
2015 edition of Section XII, to reference the 2017 edition of Sections 
II, V, VIII, and IX, and to list the 2015 edition of the NBIC. 
Specifically:
    <bullet> PHMSA revises the introductory text of paragraph (h) to 
reflect ASME's new headquarters address.
    <bullet> PHMSA redesignates paragraphs (h)(1) and (2) as paragraphs 
(h)(2) and (4), respectively. The redesignation is necessary to reflect 
numerically the insertion of new paragraph (h)(1) accurately to include 
an entry for the 2015 edition of Section XII in addition to the 
sections of the 2017 edition of the ``ASME Code'' currently referenced, 
i.e., Section VIII, Division 1. As discussed previously in Section I: 
Executive Summary, the Section XII, Rules for Construction and 
Continued Service of Transport Tanks, is based on Section VIII, 
Division 1 of the ASME BPVC. Like Section VIII, Division 1, Section XII 
sets forth standards for construction, but differs in that it also 
includes standards for continued service of transport tanks. Supplement 
6 to parts 2 and 3 are included to address continued service and 
inspection of transport tanks specifically. The other supplements to 
both parts are specifically excluded as they are not relevant to the 
transportation of hazardous materials.
    <bullet> PHMSA is adding a new paragraph (h)(3) to authorize the 
use of the ASME Code, Section VIII, Division 2, exclusively for 
conducting fatigue analyses on the new Section XII packagings. Though 
the HMR already incorporates specific provisions of ASME Code Section 
VIII, Division 2 is not currently incorporated by reference. For 
context, ASME Section II defines allowable ferrous and nonferrous 
materials; Section V covers nondestructive testing methods; Section 
VIII, Division 1 provides pressure vessel construction rules; and 
Section IX details welding and brazing qualifications.
    <bullet> PHMSA revises paragraph (x) introductory text to include 
contact information for the National Board of Boiler and Pressure 
Vessel Inspectors and revises paragraph (x)(2) to authorize the 2015 
edition of the NBIC.

C. Part 173

Section 173.252
    PHMSA is adding a new Sec.  173.252 addressing the use of Section 
XII for the

[[Page 61154]]

construction and continued service of certain types of transport tanks 
as discussed above. For requirements in parts 178 and 180 of the HMR 
not covered by Section XII, persons must continue to comply with 
applicable requirements for the respective transport tanks in 
accordance with the HMR in addition to the Section XII requirements. 
Note that PHMSA originally proposed to adopt the language in this 
section under new Sec.  173.14 in subpart A (General). After further 
consideration, PHMSA has determined it is more logical and simpler to 
connect with other authorized bulk packagings by placing this 
regulatory text in subpart F (Bulk Packaging for Hazardous Materials 
Other Than Class 1 and Class 7).
    For All Tank Types. General conditions for all authorized transport 
tank types are specified in paragraph (a) as follows:
    1. Authorized incorporation by reference material includes ASME 
Section XII Modal Appendices, Mandatory Appendices, and Non-Mandatory 
Appendices; and use of ASME Section II materials, Section V 
Nondestructive Examination, Section VIII, Division 1 for Parts only, 
Section VIII, Division 2 for Fatigue Analysis only, Section IX for 
welding and brazing in accordance with Section XII requirements; 
authorized incorporation by reference material also includes the NBIC 
Parts 2 and 3, and Supplement 6 of Parts 2 and 3;
    2. The NBIC and Supplement 6 of Parts 2 and 3 must be used for the 
design, repair, alteration, certification, qualification, and 
maintenance of CTMVs, cryogenic portable tanks, and ton tanks 
constructed to Section XII;
    3. Repairs must be performed by a facility holding a current 
National Board certificate of authorization for the use of the National 
Board ``R'' stamp;
    4. Nameplate character markings must be a minimum 4 mm (5/32''); 
markings directly on the tank must be a minimum 8 mm (5/16'');
    5. Marking must be in accordance with Supplement 6. Periodic test 
information is prohibited on the ASME nameplate;
    6. Inspection personnel must have qualifications as required by 
Section XII, Article TG-4, and as evident by having a current National 
Board commission with endorsement for the level and type of inspection 
(Transport Tank Class) to be performed, or certification from their 
employer when applicable; and
    7. The inspector, and their employer, must be registered with DOT.
    For CTMVs. Conditions and requirements specific to CTMVs are 
specified in paragraph (b). The CTMVs must conform to all applicable 
requirements of part 173 of the HMR and must meet: Section XII, Modal 
Appendix 1 and the appropriate Article of the appendix for the category 
of CTMV; all Section XII Mandatory Appendices; and applicable Non-
Mandatory Appendices, except as follows:
    1. Repairs must be performed by a DOT-registered facility holding a 
current National Board certificate of authorization for the use of the 
``R'' stamp; and
    2. For DOT MC 338 Cargo Tanks Motor Vehicles, Section XII, Modal 
Appendix 1, Article 4, paragraph 1-4.4(g)(6) does not apply. For 
evacuated jackets used in flammable liquid service, a minimum jacketed 
thickness of 2.4 mm (0.0946 in) 12 gauge in the reference steel is 
allowed.
    For Cryogenic Portable Tanks (UN T75 portable tanks). Conditions 
and requirements specific to cryogenic portable tanks are set forth in 
paragraph (c). These portable tank types must conform to all applicable 
requirements of part 173 of the HMR and must meet: Section XII, Modal 
Appendix 3, Article 1; all Section XII Mandatory Appendices; and 
applicable Non-Mandatory Appendices, except as follows:
    1. External and internal visual inspections in accordance with NBIC 
Supplement 6 are required in addition to Section XII, Modal Appendix 3, 
Article 1, paragraph 3-1.10(b) and Article 1, 3-1.10(b)(5);
    2. Section XII, Modal Appendix 3, Article 1, paragraph 3-1.10 
requires repairs to be performed by a facility holding a current 
National Board certificate of authorization for the use of the ``R'' 
stamp. Records must be in accordance with the NBIC Supplement 6, as 
applicable; and
    3. Section XII, Modal Appendix 3, Article 1, paragraph 3-1.10(b)(6) 
does not apply to cryogenic portable tanks because, in most cases, the 
insulating jacket precludes an inspector from seeing if the markings on 
the portable tank are legible and in accordance with the requirements 
when conducting internal and external examinations.
    For Ton Tanks. Conditions and requirements specific to ton tanks 
are set forth in paragraph (d). Ton tanks must conform to all 
applicable requirements of part 173 and must meet: Section XII, Modal 
Appendix 4, Article 1; all Mandatory Appendices; and applicable Non-
Mandatory Appendices, except as follows:
    1. Section XII, Modal Appendix 4, Article 1, paragraph 3-1.10. 
Manufacturer-certified fusible plugs tested and qualified under the 
fuse plug manufacturers' written quality control system are required;
    2. Section XII, Modal Appendix 4, Article 1, paragraph 4-8. Non-
ASME marked fusible plugs are allowed;
    3. Section XII, Modal Appendix 4, Article 1, paragraph 4-12(a). 
External and internal visual inspections must be in accordance with 
Supplement 6;
    4. Section XII, Modal Appendix 4, Article 1, paragraph 4-12(e). 
Records must be kept in accordance with NBIC Supplement 6; and
    5. A ton tank that fails a prescribed test or inspection must be 
repaired by a facility holding a current National Board certificate of 
authorization for the use of the ``R'' stamp or be removed from 
service.

D. Part 178

Section 178.278
    PHMSA adds a new Sec.  178.278 to subpart H authorizing the use of 
Section XII for the design, construction, inspection, and qualification 
of cryogenic portable tanks.
Section 178.301
    PHMSA adds a new Sec.  178.301 to subpart J authorizing the use of 
Section XII and the NBIC for the design, construction, inspection, and 
qualification of CTMVs.

E. Part 179

Section 179.302
    PHMSA revises Sec.  179.302 to authorize the use of Section XII and 
the NBIC (and Supplement 6) for the design, construction, inspection, 
and qualification of ton tanks.

F. Part 180

Section 180.402
    PHMSA adds a new Sec.  180.402 to subpart E authorizing the use of 
the NBIC for the continuing qualification, maintenance, and periodic 
testing of CTMVs.
Section 180.502
    PHMSA adds a new Sec.  180.502 to subpart F authorizing the use of 
the NBIC for the continuing qualification, maintenance, and periodic 
testing of ton tanks constructed to Section XII.
Section 180.602
    PHMSA adds a new Sec.  180.602 to subpart G authorizing the use of 
the NBIC for the continuing qualification, maintenance, and periodic 
testing of cryogenic portable tanks (i.e., UN T75

[[Page 61155]]

portable tanks) constructed to Section XII.

VI. Regulatory Analyses and Notices

A. Statutory/Legal Authority

    This final rule is published under the authority of the Federal 
Hazardous Materials Transportation Act (HMTA; 49 U.S.C. 5101-5127). 
Section 5103(b) of the HMTA authorizes the Secretary of Transportation 
to ``prescribe regulations for the safe transportation, including 
security, of hazardous material in intrastate, interstate, and foreign 
commerce.'' Section 5120(b) authorizes the Secretary to ensure that, to 
the extent practicable, regulations governing the transportation of 
hazardous materials in commerce are consistent with standards adopted 
by international authorities. The Secretary has delegated the authority 
granted in the HMTA to the PHMSA Administrator at 49 CFR 1.97(b).
    The Administrative Procedure Act (APA; 5 U.S.C. 553(e)) requires 
Federal agencies to give interested persons the right to petition an 
agency to issue, amend, or repeal a rule. Through this final rule, 
PHMSA addresses three specific petitions for rulemaking filed by ASME, 
the National Board, and the Pressure Vessels Manufacturers Association.

B. Executive Order 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.'' \35\
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    \35\ 58 FR 51735 (Oct. 4, 1993).
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    E.O. 12866 and 49 CFR part 5, subpart B 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 
rulemaking is not considered a significant regulatory action under 
Section 3(f) of E.O. 12866 and, therefore, was not formally reviewed by 
OMB. This rulemaking is also not considered a significant rule under 49 
CFR part 5, subpart B.
    In addition, PHMSA accomplishes the directives of E.O. 12866 by 
harmonizing the HMR with widely used consensus standards to address 
safety concerns and provide regulatory flexibility and manufacturing 
efficiency. PHMSA estimates this rulemaking will help ensure the HMR is 
consistent with the latest technologies and reduces regulatory burdens 
by authorizing the use of standards that allow the design and 
construction of transport vessels to more precise and efficient 
specifications.

C. Executive Orders 14192 and 14219

    PHMSA finds this final rule is an E.O. 14192 (Unleashing Prosperity 
Through Deregulation) deregulatory action.\36\ PHMSA has determined the 
total costs of the rule on the regulated community will be less than 
zero and estimates an annualized net cost savings of approximately $8.1 
million per year, at a seven percent discount rate. Further details on 
the costs, cost savings, and benefits of this rulemaking can be found 
in the Regulatory Impact Analysis (RIA), which is available in the 
public docket. In addition, PHMSA finds this rule does not 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.'' \37\
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    \36\ 90 FR 9065 (Feb. 6, 2025).
    \37\ 90 FR 10583 (Feb. 25, 2025).
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D. Energy-Related Executive Orders 13211, 14154, and 14156

    The President declared in E.O. 14156 (Declaring a National Energy 
Emergency) a national emergency to address America's inadequate energy 
development production, transportation, refining, and generation 
capacity.\38\ Similarly, E.O. 14154 (Unleashing American Energy) 
asserts a Federal policy to unleash American energy by ensuring 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.\39\ PHMSA finds this final rule is 
consistent with each of E.O. 14156 and E.O. 14154.
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    \38\ 90 FR 8353 (Jan. 29, 2025).
    \39\ 90 FR 8353 (Jan. 29, 2025).
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    This final rule is not a ``significant'' energy action under E.O. 
13211 (Actions Concerning Regulations That Significantly Affect Energy 
Supply, Distribution, or Use).\40\ It also is not a significant 
regulatory action under E.O. 12866 and is therefore not likely to have 
a significant adverse effect on the supply, distribution, or use of 
energy for purposes of the requirements of E.O. 14156 (Declaring a 
National Energy Emergency) and E.O. 14154 (Unleashing American Energy). 
In fact, as opposed to having an adverse effect on the domestic supply, 
distribution, or use of energy, this final rule may actually contribute 
to streamlining such transportation through overall efficiencies gained 
in the hazardous materials transportation industry.
---------------------------------------------------------------------------

    \40\ 66 FR 28355 (May 22, 2001).
---------------------------------------------------------------------------

E. Executive Order 13132

    PHMSA analyzed this rulemaking in accordance with the principles 
and criteria contained in E.O. 13132 (Federalism).\41\ In addition, 
PHMSA analyzed under its implementing Presidential Memorandum 
(Preemption).\42\ 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.''
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    \41\ 64 FR 43255 (Aug. 10, 1999).
    \42\ 74 FR 24693 (May 22, 2009).
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    This rulemaking may preempt State, local, and Native American Tribe 
requirements, but it does not propose any regulation that has 
substantial direct effects on the States, the relationship between the 
Federal Government and the States, or the distribution of power and 
responsibilities among the various levels of government.
    The HMTA contains an express preemption provision at 49 U.S.C. 
Sec.  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.

[[Page 61156]]

    This final rule addresses covered subject items (2) and (5) above, 
and will preempt State, local, and Tribal requirements not meeting the 
``substantively the same'' standard. In this instance, the preemptive 
effect of the final rule is limited to the minimum level necessary to 
achieve the objectives of the hazardous materials transportation law 
under which the final rule is promulgated. Therefore, the consultation 
and funding requirements of E.O. 13132 do not apply. PHMSA did not 
receive any comments in response to the NPRM or SNPRM concerning the 
effect of the adoption of the specific proposals on State, local or 
Tribal Governments.

F. Executive Order 13175

    PHMSA has analyzed this final rule according to E.O. 13175 
(Consultation and Coordination with Indian Tribal Governments) and DOT 
Order 5301.1A (``Department of Transportation Tribal Consultation 
Policies and Procedures'').\43\ PHMSA finds this final rule does not 
significantly or uniquely affect the communities of the Indian Tribal 
Governments or impose substantial direct compliance costs. PHMSA notes 
it did not receive any comments from Native American Tribes.
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    \43\ 65 FR 67249 (Nov. 9, 2000).
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G. Regulatory Flexibility Act, Executive Order 13272

    This rulemaking has been developed in accordance with E.O. 13272 
(Proper Consideration of Small Entities in Agency Rulemaking) and DOT's 
procedures and policies to promote compliance with the Regulatory 
Flexibility Act to ensure that potential impacts of draft rules on 
small entities are properly considered.\44\ As discussed at length in 
the RIA found in the rulemaking docket, PHMSA concludes that the 
adoption of Section XII and the 2015 edition of the NBIC will not have 
a significant impact on a substantial number of small entities or any 
foreseeable impact on small businesses given that the provisions 
adopted under this rulemaking are optional.
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    \44\ 67 FR 53461 (Aug. 16, 2002).
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H. Paperwork Reduction Act

    Under the Paperwork Reduction Act of 1995 (PRA; 44 U.S.C. 3501, et 
seq.), no person is required to respond to any information collection 
unless it has been approved by OMB and displays a valid OMB control 
number. Pursuant to 44 U.S.C. 3506(c)(2)(B) and 5 CFR 1320.8(d), PHMSA 
must provide interested members of the public and affected agencies an 
opportunity to comment on information collection and recordkeeping 
requests. PHMSA has analyzed this rule in accordance with the PRA. The 
recordkeeping requirements in Section XII and the NBIC are analogous. 
Thus, the recordkeeping costs of complying with Section XII and the 
NBIC are no different than those required under the current regulatory 
scheme. Moreover, PHMSA has determined that the recordkeeping 
requirements of Section XII and NBIC (specifically Supplement 6) are 
more straightforward than Section VIII. Please direct PRA questions 
related to this final rule to Steven Andrews, Office of Hazardous 
Materials Standards (PHH-12), Pipeline and Hazardous Materials Safety 
Administration, 1200 New Jersey Avenue SE, 2nd Floor, Washington, DC 
20590-0001.

I. Unfunded Mandates Reform Act of 1995

    The Unfunded Mandates Reform Act of 1995 (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 NPRM or final rule that includes a Federal mandate that 
may result in the expenditure by State, local, and Tribal Governments, 
or by the private sector 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.
    As explained in the RIA, this rulemaking does not impose unfunded 
mandates under the UMRA. It will not result in costs of $100 million or 
more in 1996 dollars to either State, local, or Tribal Governments, or 
to the private sector, in any one year. A copy of the RIA is available 
for review in the docket.

J. National Environmental Policy Act

    PHMSA has analyzed this rule pursuant to the National Environmental 
Policy Act (NEPA; 42 U.S.C. 4321, et seq.) and has determined it is 
categorically excluded under 23 CFR 771.117(c)(20), which applies to 
the promulgation of rules, regulations, and directives. Under Section 9 
of DOT Order 5610.1D, PHMSA may apply a categorical exclusion (CE) 
established in another Operating Administration's procedures. PHMSA 
followed the requirements outlined in DOT Order 5610.1D to apply the 
Federal Highway Administration's CE to this deregulatory action. PHMSA 
does not anticipate any adverse environmental impacts from this rule, 
and PHMSA has determined no unusual circumstances are present under 23 
CFR 771.117(b). PHMSA's Categorical Exclusion Determination memo for 
this action is available on PHMSA's website.\45\
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    \45\ PHMSA, Implementing Procedures (last accessed Feb. 11, 
2026), available at: <a href="https://www.phmsa.dot.gov/planning-and-analytics/environmental-analysis-and-compliance/implementing-procedures">https://www.phmsa.dot.gov/planning-and-analytics/environmental-analysis-and-compliance/implementing-procedures</a>.
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K. Privacy Act

    In accordance with 5 U.S.C. 553(c), DOT solicits comments from the 
public to inform better any amendments to the HMR considered in this 
rulemaking. DOT posts these comments, without edit, 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 FDMS). DOT's 
complete Privacy Act Statement is available at <a href="http://www.dot.gov/privacy">http://www.dot.gov/privacy</a>.

L. Executive Order 13609 and International Trade Analysis

    E.O. 13609 (Promoting International Regulatory Cooperation) 
requires agencies to 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.\46\ In meeting shared 
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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    \46\ 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. Pursuant to the Trade Agreements Act, 
the establishment of standards is not considered an unnecessary 
obstacle to the foreign commerce of the United States, 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.

[[Page 61157]]

    PHMSA participates in the establishment of international standards 
to protect the safety of the American public. PHMSA finds this 
rulemaking does not create unnecessary obstacles to foreign trade. 
Accordingly, this rulemaking is consistent with E.O. 13609 and PHMSA's 
obligations under the Trade Agreements Act.

M. National Technology Transfer and Advancement Act

    The National Technology Transfer and Advancement Act of 1995 (15 
U.S.C. 272 note) directs Federal agencies to use voluntary consensus 
standards in their regulatory activities unless doing so would be 
inconsistent with applicable law or otherwise impractical. Voluntary 
consensus standards are technical standards (e.g., specification of 
materials, test methods, or performance requirements) that are 
developed or adopted by voluntary consensus standard bodies. This final 
rule involves multiple voluntary consensus standards that are discussed 
at length in the section on Sec.  171.7 and in Section II 
(Incorporation by Reference Material) of this final rule.

N. Cybersecurity and Executive Order 14028

    Executive Order 14028 (Improving the Nation's Cybersecurity) 
directs the Federal Government to improve its efforts to identify, to 
deter, and to respond to ``persistent and increasingly sophisticated 
malicious cyber campaigns.'' \47\ PHMSA has considered the effects of 
the final rule and determined that its regulatory amendments will not 
materially affect the cybersecurity risk profile for the transportation 
of hazardous materials.
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    \47\ 86 FR 26633 (May 17, 2021).
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O. Severability

    The purpose of this final rule is to operate holistically in 
addressing different issues related to the safe transportation of 
hazardous materials. However, PHMSA recognizes that certain provisions 
focus on unique topics. Therefore, PHMSA finds the various provisions 
of this final rule are severable and able to function independently if 
severed from each other. Thus, in the event a court were to invalidate 
one or more of this final rule's unique provisions, the remaining 
provisions stand and continue in effect.

List of Subjects

49 CFR Part 107

    Administrative practice and procedure, Hazardous materials 
transportation, Penalties, Reporting and recordkeeping requirements.

49 CFR Part 171

    Applicability, Definitions, General requirements, Exports, 
Hazardous materials transportation, Imports, Incorporation by 
reference.

49 CFR Part 173

    Hazardous materials transportation, Incorporation by reference, 
Packaging and containers, Reporting and recordkeeping requirements.

49 CFR Part 178

    Hazardous materials transportation, Incorporation by reference, 
Motor vehicle safety, Packaging and containers, Reporting and 
recordkeeping requirements.

49 CFR Part 179

    Hazardous materials transportation, Incorporation by reference, 
Packaging and containers, Rail safety, Reporting and recordkeeping 
requirements.

49 CFR Part 180

    Hazardous materials transportation, Incorporation by reference, 
Motor vehicle safety, Packaging and containers, Qualification and 
maintenance, Railroad safety, Reporting and recordkeeping requirements.

    In consideration of the foregoing, 49 CFR chapter I is amended as 
follows:

PART 107--HAZARDOUS MATERIALS PROGRAM PROCEDURES

0
1. The authority citation for part 107 continues to read as follows:

    Authority:  49 U.S.C. 5101-5128, 44701; Pub. L. 101-410 Section 
4; Pub. L. 104-121 Sections 212-213; Pub. L. 104-134 Section 31001; 
Pub. L. 114-74 Section 701 (28 U.S.C. 2461 note); 49 CFR 1.81 and 
1.97; 33 U.S.C. 1321.


0
2. In Sec.  107.307, revise paragraph (a) introductory text to read as 
follows:


Sec.  107.307   General.

    (a) When the Associate Administrator and the Office of Chief 
Counsel have reason to believe that a person is knowingly engaging or 
has knowingly engaged in conduct which is a violation of the Federal 
hazardous material transportation law or any provision of this 
subchapter or subchapter C of this chapter, or any standard 
incorporated by reference in subchapter C of this chapter, or any 
exemption, special permit, or order issued thereunder, for which the 
Associate Administrator or the Office of Chief Counsel exercise 
enforcement authority, they may--
* * * * *

0
3. In Sec.  107.503, revise paragraphs (b) and (c) to read as follows:


Sec.  107.503   Registration statement.

* * * * *
    (b) In addition to the information required under paragraph (a) of 
this section, each person who manufactures a cargo tank or cargo tank 
motor vehicle must submit a copy of the manufacturer's current ASME 
Certificate of Authorization for the use of the ASME ``U'' and/or ``T'' 
stamp.
    (c) In addition to the information required under paragraph (a) of 
this section, each person who repairs a cargo tank or cargo tank motor 
vehicle must submit a copy of the repair facility's current National 
Board Certificate of Authorization for the use of the ``R'' stamp or 
ASME Certificate of Authorization for the use of the ASME ``U'' and/or 
``T'' stamp. Any person who repairs MC-series cargo tanks which are not 
certified to the ASME Code must have submitted a copy of the National 
Board or ASME Certificate of Authorization to PHMSA before June 30, 
1992.

PART 171--GENERAL INFORMATION, REGULATIONS, AND DEFINITIONS

0
4. The authority citation for part 171 continues to read as follows:

    Authority:  49 U.S.C. 5101-5128, 44701; Pub. L. 101-410 section 
4; Pub. L. 104-134, section 31001; Pub. L. 114-74 section 701 (28 
U.S.C. 2461 note); 49 CFR 1.81 and 1.97.


0
5. In Sec.  171.7, revise paragraphs (h) and (x) to read as follows:


Sec.  171.7   Reference material.

* * * * *
    (h) American Society of Mechanical Engineers (ASME), Two Park 
Avenue, Suite 1600, New York, NY 10016-5990; phone: 1-800-843-2763; 
email: <a href="/cdn-cgi/l/email-protection#1a596f696e75777f68597b687f5a7b69777f3475687d"><span class="__cf_email__" data-cfemail="195a6c6a6d76747c6b5a786b7c59786a747c37766b7e">[email&#160;protected]</span></a>; website: <a href="http://www.asme.org">www.asme.org</a>.
    (1) ASME BPVC.XII-2015: 2015 ASME Boiler and Pressure Vessel Code, 
Section XII--Rules for Construction and Continued Service of Transport 
Tanks, 2015 Edition, July 1, 2015 (ASME Code Section XII); into 
Sec. Sec.  173.252; 178.278; 178.301; 179.302.
    (2) ASME Boiler and Pressure Vessel Code, 2017 Edition, July 1, 
2017 (ASME Code), as follows, into Sec. Sec.  172.102; 173.3; 173.5b; 
173.24b; 173.252; 173.306; 173.315; 173.318; 173.420; 178.255-1; 
178.255-2; 178.255-14; 178.255-15; 178.273; 178.274; 178.276; 178.277; 
178.320; 178.337-1; 178.337-2; 178.337-3; 178.337-4; 178.337-6; 
178.337-16; 178.337-18; 178.338-1; 178.338-2; 178.338-3; 178.338-4; 
178.338-5; 178.338-6; 178.338-13;

[[Page 61158]]

178.338-16; 178.338-18; 178.338-19; 178.345-1; 178.345-2; 178.345-3; 
178.345-4; 178.345-7; 178.345-14; 178.345-15; 178.346-1; 178.347-1; 
178.348-1; 179.400-3; 180.407:
    (i) ASME BPVC.II.A-2017 (vols. 1 and 2), Section II--Materials--
Part A--Ferrous Materials Specifications.
    (ii) ASME BPVC.II.B-2017, Section II--Materials--Part B--Nonferrous 
Material Specifications.
    (iii) ASME BPVC.V-2017, Section V--Nondestructive Examination.
    (iv) ASME BPVC.VIII.1-2017, Section VIII--Rules for Construction of 
Pressure Vessels Division 1.
    (v) ASME BPVC.IX-2017, Section IX--Qualification Standard for 
Welding, Brazing, and Fusing Procedures; Welders; Brazers; and Welding, 
Brazing, and Fusing Operators.

    Note 1 to paragraph (h)(2):  The requirement for a 6% knuckle 
radius on torispherical heads are excepted.

    (3) ASME BPVC.VIII.2-2017, 2017 ASME Boiler and Pressure Vessel 
Code, Section VIII--Rules for Construction of Pressure Vessels Division 
2, 2017 Edition, July 1, 2017 (ASME Code Section VIII Division 2); into 
Sec.  173.252.
    (4) ASME B31.4-2012, Pipeline Transportation Systems for Liquids 
and Slurries, November 12, 2012, into Sec.  173.5a.
* * * * *
    (x) National Board of Boiler and Pressure Vessel Inspectors (NBBI), 
1055 Crupper Avenue, Columbus, Ohio 43229; phone: (614)-888-8320; 
email: <a href="/cdn-cgi/l/email-protection#91fee3f5f4e3e2d1fff3f3f8bffee3f6"><span class="__cf_email__" data-cfemail="026d7066677071426c60606b2c6d7065">[email&#160;protected]</span></a>; website: <a href="http://www.nationalboard.org">www.nationalboard.org</a>.
    (1) NB-23, National Board Inspection Code, A Manual for Boiler and 
Pressure Vessel Inspectors, 1992 Edition; into Sec.  180.413.
    (2) 2015 National Board Inspection Code (NBIC), 2015 Edition, 
Issued July 1, 2015, as follows; into Sec. Sec.  173.252; 178.278; 
178.301; 179.302; 180.402; 180.502; 180.602:
    (i) Part 2, Inspection (including only Supplement 6).
    (ii) Part 3, Repairs and Alterations (including only Supplement 6).
* * * * *

PART 173--SHIPPERS--GENERAL REQUIREMENTS FOR SHIPMENTS AND 
PACKAGINGS

0
6. The authority citation for part 173 continues to read as follows:

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


0
7. Add Sec.  173.252 to subpart F to read as follows:


Sec.  173.252  Bulk packaging constructed to ASME Code Section XII.

    This section authorizes, with certain conditions and limitations, 
the use of ASME Code Section XII (IBR, see Sec.  171.7 of this 
subchapter) for the construction and continued service of cargo tank 
motor vehicles, cryogenic portable tanks, and multi-unit tank car tanks 
(ton tanks). For requirements in parts 178 and 180 of this subchapter 
not covered by ASME Code Section XII, persons must continue to comply 
with applicable requirements (e.g., accident damage protection for 
cargo tank motor vehicles) for the respective packagings in accordance 
with this subchapter in addition to the Section XII requirements. Table 
1 to this section presents the specification packagings authorized for 
construction using ASME Code Section XII. Conditions and limitations on 
the use of the ASME Code Section XII for design, construction, 
qualification and certification, and maintenance are as follows--
    (a) All tank types. (1) Use of ASME Code Section XII for design, 
construction, qualification, and certification of authorized packaging 
includes use of ASME Code Section II, Section V, Section VIII Division 
1 for parts only, and Division 2 for fatigue analysis only, and Section 
IX (IBR, see Sec.  171.7 of this subchapter);
    (2) Continuing qualification, unless excepted, must be in 
accordance with the NBIC (IBR, see Sec.  171.7 of this subchapter), in 
conjunction with ASME Code Section XII as authorized in part 180 of 
this subchapter;
    (3) Nameplate character markings must be a minimum 4 mm (\5/32\''), 
markings directly on the tank must be a minimum 8 mm (\5/16\'');
    (4) Marking must be in accordance with NBIC Supplement 6;
    (5) A person performing a certification inspection (i.e., an 
inspector) must be qualified in accordance with ASME Code Section XII 
under its general rules for inspection (Article TG-4), and hold either 
a current National Board of Boiler and Pressure Vessel Inspectors 
(National Board) commission and endorsement of the ASME tank class 
(e.g., Class 3 for DOT 406 cargo tanks) for the type of inspection to 
be performed or, when applicable, a certification (in accordance with 
the NBIC) from his or her employer. Inspectors of cargo tank motor 
vehicles, or their employer, must be registered with DOT in accordance 
with 49 CFR part 107, subpart F; and
    (6) A person (e.g., a facility) performing repairs on a cargo tank 
authorized under this section must hold a current National Board 
certificate of authorization for the use of the National Board ``R'' 
stamp. Persons, or the employer, performing repairs on cargo tanks must 
also be registered with DOT in accordance with 49 CFR part 107, subpart 
F.
    (b) Cargo tank (motor vehicles). A cargo tank motor vehicle must 
conform to all applicable requirements of this part, and must meet the 
standards of ASME Code Section XII, Modal Appendix 1 (for cargo tanks), 
all Mandatory Appendices and, when opted for, Non Mandatory Appendices, 
except as follows:
    (1) For MC 338 Cargo Tanks, ASME Code Section XII, Modal Appendix 
1, Article 4, paragraph 1-4.4(g)(6) does not apply. For evacuated 
jackets used in flammable liquid service, a minimum jacketed thickness 
of 2.4 mm (0.0946 in) 12 gauge in the reference metal is permitted.
    (2) [Reserved]
    (c) Cryogenic portable tanks (UN T75 tanks). Cryogenic portable 
tanks must conform to all applicable requirements of this part, and 
must meet ASME Code Section XII, Modal Appendix 3, Article 1, all 
Mandatory Appendices and, when opted for, Non Mandatory Appendices, 
except as follows:
    (1) An inspector must perform external and internal visual 
inspection in accordance with NBIC Supplement 6 in addition to ASME 
Code Section XII, Modal Appendix 3, Article 1, paragraph 3-1.10(b), and 
Article 1, paragraph 3-1.10(b)(5);
    (2) ASME Code Section XII, Modal Appendix 3, Article 1, paragraph 
3-1.10(b)(6) does not apply; and
    (3) Records must be kept in accordance with the NBIC Supplement 6, 
as applicable.
    (d) Ton tanks. Ton tanks must conform to all applicable 
requirements of this part and must meet ASME Code Section XII, Modal 
Appendix 4, Article 1, all Mandatory Appendices and, when opted for, 
Non Mandatory Appendices, except as follows:
    (1) ASME Code Section XII, Modal Appendix 4, Article 1, paragraph 
3-1.10 does not apply. Manufacturer-certified fusible plugs, tested, 
and qualified under the fuse plug manufacturers' written quality 
control system must be used;
    (2) Notwithstanding ASME Code Section XII, Modal Appendix 4, 
Article 1, paragraph 4-8, non-ASME marked fusible plugs are authorized;
    (3) Per ASME Code Section XII, Modal Appendix 4, Article 1, 
paragraph 4-12(a), an inspector must perform an external and internal 
visual inspection in accordance with NBIC Supplement 6;
    (4) Per ASME Code Section XII, Modal Appendix 4, Article 1, 
paragraph 4-

[[Page 61159]]

12(e), records must be kept in accordance with NBIC Supplement 6, as 
applicable; and
    (5) A ton tank that fails a prescribed test or inspection must be 
repaired in accordance with the NBIC or removed from service.

                        Table 1 to Sec.   173.252
------------------------------------------------------------------------
               Tank type                          Specification
------------------------------------------------------------------------
     Authorized Specification Packaging using ASME Code Section XII
------------------------------------------------------------------------
Cargo Tank Motor Vehicle...............  MC 331 and 338, and DOT 406,
                                          407, and 412.
Cryogenic Portable Tank................  UN T75.
Ton Tank...............................  DOT-106A and 110AW.
------------------------------------------------------------------------

PART 178--SPECIFICATIONS FOR PACKAGINGS

0
8. The authority citation for part 178 is revised to read as follows:

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


0
9. Add Sec.  178.278 to read as follows:


Sec.  178.278  Alternative requirements for the design, construction, 
inspection, and testing of portable tanks intended for the 
transportation of refrigerated liquefied gases.

    Notwithstanding the requirements of Sec. Sec.  178.274 and 178.277, 
UN T75 cryogenic portable tanks may be designed, constructed, 
inspected, tested, and certified in accordance with ASME Code Section 
XII (IBR, see Sec.  171.7 of this subchapter) in conjunction with the 
NBIC (IBR, see Sec.  171.7 of this subchapter), and in accordance with 
the conditions and limitations of Sec.  173.252 of this subchapter.

0
10. Add Sec.  178.301 to subpart J to read as follows:


Sec.  178.301   Alternative requirements for the design, construction, 
inspection and testing of cargo tank motor vehicles.

    Notwithstanding the requirements of this subpart, cargo tank motor 
vehicles of Specification MC 331 and 338, and DOT 406, 407, or 412 may 
be designed, constructed, inspected, tested, and certified in 
accordance with ASME Code Section XII (IBR, see Sec.  171.7 of this 
subchapter) in conjunction with the NBIC (IBR, see Sec.  171.7 of this 
subchapter), and in accordance with the conditions and limitations of 
Sec.  173.252 of this subchapter.

PART 179--SPECIFICATIONS FOR TANK CARS

0
11. The authority citation for part 179 is revised to read as follows:

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

0
12. Add Sec.  179.302 to read as follows:


Sec.  179.302   Alternative requirements for the design, construction, 
inspection, and testing of multi-unit tank car tanks.

    Notwithstanding the requirements of this subpart, Class DOT-106A 
and 110AW multi-unit tank car tanks may be designed, constructed, 
inspected, tested, and certified in accordance with ASME Code Section 
XII (IBR, see Sec.  171.7 of this subchapter) in conjunction with the 
NBIC (IBR, see Sec.  171.7 of this subchapter), and in accordance with 
the conditions and limitations of Sec.  173.252 of this subchapter.

PART 180--CONTINUING QUALIFICATION AND MAINTENANCE OF PACKAGINGS

0
13. The authority citation for part 180 is revised to read as follows:

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


0
14. Add Sec.  180.402 to read as follows:


Sec.  180.402   Alternative qualification and maintenance.

    Notwithstanding the applicability of Sec.  180.401 (for ASME Code 
Section VIII, Division 1 cargo tanks) for the continuing qualification 
and maintenance of an authorized specification cargo tank motor 
vehicle, and subject to conditions and limitations set forth in Sec.  
173.252 of this subchapter, the NBIC (IBR, see Sec.  171.7 of this 
subchapter)--
    (a) Must be used for the continuing qualification, maintenance, and 
periodic testing (i.e., continued service) of cargo tanks constructed 
to ASME Code Section XII in accordance with Sec.  178.301 of this 
subchapter; and
    (b) May be used, in combination with the requirements of this part, 
for the continuing qualification, maintenance, and periodic testing 
(i.e., continued service) of cargo tank motor vehicles constructed to 
ASME Code Section VIII, Division 1. Specifically, DOT specification 
cargo tank motor vehicles constructed to ASME Section VIII, Division 1 
that bear a ``U'' stamp may be inspected, repaired and tested under 
this subpart and the NBIC, excluding all supplements except Supplement 
6.

0
15. Add Sec.  180.502 to read as follows:


Sec.  180.502   Alternative qualification and maintenance.

    Notwithstanding the applicability of Sec.  180.501 for the 
qualification and maintenance of multi-unit tank car tanks, and subject 
to conditions and limitations set forth in Sec.  173.252 of this 
subchapter, the NBIC (IBR, see Sec.  171.7 of this subchapter), must be 
used for the continuing qualification, maintenance, and periodic 
testing (i.e., continued service) of Class DOT-106A and 110AW multi-
unit tank car tanks constructed to ASME Code Section XII in accordance 
with Sec.  179.302 of this subchapter.

0
16. Add Sec.  180.602 to read as follows:


Sec.  180.602   Alternative qualification and maintenance.

    Notwithstanding the applicability of Sec.  180.601 for the 
continuing qualification, maintenance, or periodic testing of portable 
tanks, and subject to conditions and limitations set forth in Sec.  
173.252 of this subchapter, the NBIC (IBR, see Sec.  171.7 of this 
subchapter), must be used for the continuing qualification, 
maintenance, and periodic testing (i.e., continued service) of UN T75 
cryogenic portable tanks constructed to ASME Code Section XII in 
accordance with Sec.  178.278 of this subchapter.

     Issued in Washington, DC, on September 24, 2026, under 
authority delegated in 49 CFR 1.97.
Paul J. Roberti,
Administrator, Pipeline and Hazardous Materials Safety Administration.
[FR Doc. 2026-19741 Filed 9-25-26; 8:45 am]
BILLING CODE 4910-60-P


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Indexed from Federal Register on September 28, 2026.

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.