[Code of Federal Regulations]
[Title 40, Volume 31]
[Revised as of July 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 40CFR1068.250]

[Page 833-834]
 
                   TITLE 40--PROTECTION OF ENVIRONMENT
 
         CHAPTER I--ENVIRONMENTAL PROTECTION AGENCY (CONTINUED)
 
PART 1068_GENERAL COMPLIANCE PROVISIONS FOR 
NONROAD PROGRAMS--Table of Contents
 
                   Subpart C_Exemptions and Exclusions
 
Sec.  1068.250  What are the provisions for extending compliance deadlines 
for small-volume manufacturers under hardship?

    (a) After considering the circumstances, we may extend the 
compliance deadline for you to meet new or revised emission standards, 
as long as you meet all the conditions and requirements in this section.
    (b) To be eligible for this exemption, you must qualify under the 
standard-setting part for special provisions for small businesses or 
small-volume manufacturers.
    (c) To apply for an extension, you must send the Designated Officer 
a written request. In your request, show that all the following 
conditions and requirements apply:
    (1) You have taken all possible business, technical, and economic 
steps to comply.
    (i) In the case of importers of engines produced by other companies, 
show that you attempted to find a manufacturer capable of supplying 
complying products as soon as you became aware of the applicable 
requirements, but were unable to do so.
    (ii) For all other manufacturers, show that the burden of compliance 
costs prevents you from meeting the requirements of this chapter.

[[Page 834]]

    (2) Not having the exemption will jeopardize the solvency of your 
company.
    (3) No other allowances are available under the regulations in this 
chapter to avoid the impending violation.
    (d) In describing the steps you have taken to comply under paragraph 
(c)(1) of this section, include at least the following information:
    (1) Describe your business plan, showing the range of projects 
active or under consideration.
    (2) Describe your current and projected financial status, with and 
without the burden of complying fully with the applicable regulations in 
this chapter.
    (3) Describe your efforts to raise capital to comply with 
regulations in this chapter (this may not apply for importers).
    (4) Identify the engineering and technical steps you have taken or 
those you plan to take to comply with regulations in this chapter.
    (5) Identify the level of compliance you can achieve. For example, 
you may be able to produce engines that meet a somewhat less stringent 
emission standard than the regulations in this chapter require.
    (e) Include in your request a plan showing how you will meet all the 
applicable requirements as quickly as possible.
    (f) You must give us other relevant information if we ask for it.
    (g) An authorized representative of your company must sign the 
request and include the statement: ``All the information in this request 
is true and accurate, to the best of my knowledge.''.
    (h) Send your request for this extension at least nine months before 
the relevant deadline. If different deadlines apply to companies that 
are not small-volume manufacturers, do not send your request before the 
regulations in question apply to the other manufacturers. Otherwise, do 
not send your request more than three years before the relevant 
deadline.
    (i) We may include reasonable requirements on an approval granted 
under this section, including provisions to recover or otherwise address 
the lost environmental benefit. For example, we may require that you 
meet a less stringent emission standard or buy and use available 
emission credits.
    (j) We will approve extensions of up to one model year. We may 
review and revise an extension as reasonable under the circumstances.
    (k) Add a permanent, legible label, written in block letters in 
English, to a readily visible part of each engine exempted under this 
section. This label must include at least the following items:
    (1) The label heading ``EMISSION CONTROL INFORMATION''.
    (2) Your corporate name and trademark.
    (3) Engine displacement (in liters), rated power, and model year of 
the engine or whom to contact for further information.
    (4) One of the following statements:
    (i) If the engine does not meet any emission standards: ``THIS 
ENGINE IS EXEMPT UNDER 40 CFR 1068.250 FROM EMISSION STANDARDS AND 
RELATED REQUIREMENTS.''.
    (ii) If the engine meets alternate emission standards as a condition 
of an exemption under this section, we may specify a different statement 
to identify the alternate emission standards.

[67 FR 68347, Nov. 8, 2002, as amended at 69 FR 39268, June 29, 2004; 70 
FR 40514, July 13, 2005]