Pennsylvania Department of TransportationBureau of Motor VehiclesCommercial Registration Section

Copyright © 2015 by the Commonwealth of Pennsylvania. All Rights Reserved.

www.dmv.pa.govPUB 181 (8-15)

Apportioned RegistrationInstruction Manual

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TABLE OF CONTENTS

I. IntroductionPurpose 3Office Location 3

II. Apportioned RegistrationIRP Member Jurisdictions 4How IRP Fees Are Determined 5Full Reciprocity Plan 5

III. Definitions 7

IV. Types of OperationsOwner-Operator Vehicles 11Leased Vehicles 1120 Day Unladen Vehicle Hunter Permit 12Household Goods Carrier 12Buses 12

ApplicationsGeneral Information 12Additional Requirements 13Original Application 14Renewal Process 14

Motor Carrier Vehicles 15

Supplemental ApplicationAdditions and Deletions 15Vehicle Sold 16Vehicle Junked or Destroyed 16

V. Instructions for Completion of FormsMV-550, Apportioned Registration Application - Schedule A Instructions 18MV-551, Pennsylvania Apportioned Registration Application - Schedule B Instructions 21

PA Average Per Vehicle Distance Chart 22MV-552A, Apportioned Registration Supplement Application Instructions 23

Jurisdiction Abbreviations 26MV-558, Replacement of Apportioned Registration Credentials 27

VI. Temporary Authorization AgentTemporary Evidence of Apportioned Registration 29Trip Permits 30

VII. Payment ProcessingDetermining Percentage/Fees 31Billing 31Refunds 31Vehicle Identification 32Replacement of Identification 32

VIII. AuditsSummary 32Records 32Important Things to Remember About Records and Audits 34Enforcement 34

IX. FMCSA Unified Registration System 36

X. Questions and Answers 41

APPORTIONED REGISTRATION MANUAL

PURPOSE

This manual has been prepared as a guide to securing apportioned registration in Pennsylvania and shouldprovide the basic information needed when preparing applications for annual registration. The contents are notintended to cover every unique situation that may arise.

Without prior notice, it may not be possible to process an application completely on the day it is presented.However, assistance in preparing forms or requests for information will be provided to those who come to ortelephone the office.

Office Location

Mailing Address - Bureau of Motor Vehicles P.O. Box 68286 Harrisburg, PA 17106-8286

Office Location - Commercial Registration Section Riverfront Office Center, 1st Floor 1101 South Front Street Harrisburg, PA 17104

Office hours are from 7:30 a.m. to 4:30 p.m, Monday through Friday. Our office is closed Saturday, Sunday and allofficial State holidays.

Business Telephone Numbers

If calling withinPennsylvania 1-800-932-4600

If calling from out-of-state 1-717-412-5300

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APPORTIONED REGISTRATION SUMMARY

The information in this manual focuses on the requirements to register commercial vehicles weighing more than26,000 pounds and traveling in Pennsylvania and other participating North American jurisdictions. If a registrant’svehicle(s) travel(s) only in Pennsylvania (intrastate operation), the registration information in this manual does notapply. However, if the vehicle(s) travel outside of Pennsylvania, the registrant is conducting an interstateregistration operation. Information in this manual highlights interstate travel and reviews interstate registrationrequirements.

Pennsylvania is a member jurisdiction of the International Registration Plan (IRP). The Plan is a registrationreciprocity agreement among jurisdictions of the United States and Canada. The Plan provides for registration feepayments on the basis of fleet distance operated in various jurisdictions. This manual is applicable forPennsylvania-based carriers going into jurisdictions that are members of the IRP as well as for carriers based inthose jurisdictions who operate in Pennsylvania.

It is the purpose of the IRP program to promote and encourage the fullest possible use of the highway system byauthorizing the apportioned registration of fleets of vehicles and the recognition of apportioned registered vehiclesin other jurisdictions, thus contributing to the economic and social development and growth of each jurisdiction.

Under the Plan m, the interstate operator is required to file an application with the jurisdiction in which the operatoris based. The base jurisdiction, in turn, issues an “apportioned” registration plate and cab card. The apportionedplate and card are the primary identifying credentials required to operate a commercial vehicle in otherjurisdictions. A valid temporary evidence of authorization registration permit (TEAR) is also acceptable to operatea vehicle commercially in another jurisdiction. Registration fees ("apportioned fees") are collected and distributedby the base jurisdiction for each jurisdiction where travel occurred. The registration fees are determined by acalculation of a jurisdiction's registration fees by weight of the vehicle and distance traveled in each jurisdiction.

Under the IRP, all member jurisdictions:

- Accept a single registration plate, issued by a base jurisdiction (Pennsylvania, for example), - Accept a single registration card (cab card) issued by a base jurisdiction and - Allow registrants to travel both interstate and intrastate jurisdictionally. (Intrastate travel is subject to the

terms of the operating authority issued by each member State/Province.)

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JURISDICTION JURISDICTION JURISDICTION JURISDICTION

AL – Alabama IA – Iowa NL – Newfoundland QC – Quebec

AB – Alberta KS – Kansas NV – Nevada RI – Rhode Island

AZ – Arizona KY – Kentucky NH – New Hampshire SK – Saskatchewan

AR – Arkansas LA – Louisiana NJ – New Jersey SC – South Carolina

BC – British Columbia ME – Maine NM – New Mexico SD – South Dakota

CA – California MB – Manitoba NY – New York TN – Tennessee

CO – Colorado MD – Maryland NC – North Carolina TX – Texas

CT – Connecticut MA – Massachusetts ND – North Dakota UT – Utah

DE – Delaware MI – Michigan NS – Nova Scotia VT – Vermont

DC – District of Columbia MN – Minnesota OH – Ohio VA – Virginia

FL – Florida a MS – Mississippi OK – Oklahoma WA – Washington

GA – Georgia MO – Missouri ON – Ontario WV – West Virginia

ID – Idaho MT – Montana OR – Oregon WI – Wisconsin

IL – Illinois NE – Nebraska PA – Pennsylvania WY – Wyoming

IN – Indiana NB – New Brunswick PE – Prince Edward Island

IRP Member Jurisdictions

Apportioned registration does not, for example:

- Waive or exempt a truck operator from obtaining authority from any State/Province in which theapportioned vehicle travels (either inter or intra); or

- Waive or replace the requirements of the International Fuel Tax Agreement (IFTA); or - Waive or exempt the payment or reporting of other taxes (income tax, sales tax, etc.); or - Allow registrants to exceed the maximum length, width, height or axle limitations; or - Waive or exempt the payment or reporting of the Federal Heavy Vehicle Use Tax (Form 2290); or - Exempt a carrier from filing the necessary proof of liability coverage in each State/Province where

required. - Exempt a carrier from filing for the corporation, excise, or other Federal, State, or Local taxes.

How IRP Fees Are Determined

Registration fees are calculated according to each jurisdiction’s specific registration schedules. The fees areforwarded to the other IRP jurisdictions according to those jurisdictions’ schedules and are factored, variously,based on:

- Percentage of distance traveled in each jurisdiction - Vehicle identification information, and - Maximum weight - Value, age, unladen weight, etc. (In some jurisdictions)

For example: An 80,000 lbs. tractor (Pennsylvania based for-hire operator) operates in Pennsylvania, Virginia,Tennessee and Kentucky. The total preceding year distance for this tractor was 100,000 miles with exactly 25,000miles in each jurisdiction. The registration fees will be computed as follows:

Full Year FeesJurisdiction Percent (By Jurisdiction) Apportion Distance of Total X 80,000 lbs. = Fees

Pennsylvania 25,000 25% X $ 1827.00 = $ 456.75Maryland 25,000 25% X $ 1800.00 = $ 450.00Delaware 25,000 25% X $ 1390.00 = $ 347.50New Jersey 25,000 25% X $ 1223.00 = $ 305.75

TOTAL 100,000 100% = $1560.00

Distance costs and registration figures depicted in the table above are examples only.Please do not use them on your application.

Pennsylvania’s distance shall include:

- Distance traveled in Pennsylvania, and - Distance traveled in any jurisdiction that requires no apportionment and grants reciprocity.

In the event that supplement applications are filed, the same distance percentages determined from the originalapplication or renewal application for each fleet, as outlined herein, shall be applicable for the remainder of theregistration year. Exception: A member jurisdiction may recalculate the mileage percentages for an existing fleetwhen it is the result of an audit of the carrier’s apportioned registration records.

Full Reciprocity Plan (FRP) Beginning January 1, 2015

The IRP adopted the Full Reciprocity Plan (FRP) effective January 1, 2015. As a result, the trucking industry willhave greater flexibility since apportioned registrants will have access to operate in all IRP jurisdictions.

FRP will eliminate estimate distances and the calculations used to determine jurisdictional fees. During the nextrenewal reporting period, the registrant will report their actual distance traveled in each jurisdiction. Theregistrant will only pay registration fees to the jurisdictions where distance was reported, however the 2015registration “cab card” will contain all 59 U.S. and Canadian IRP jurisdictions.

If a new fleet is created on or after January 1, 2015, the fleet will fall under the FRP rules immediately. It isimportant to understand that new fleets will pay fees to all 59 jurisdictions based on the standardized AverageDistance per Vehicle (ADV) chart that will be used in the initial year to calculate the registration fees. The ADV

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chart is only used when new fleets are established that do not have any previous distance to report. Each yearthereafter, the carrier will report and registration fees will be calculated based on the actual distance traveled.FRP will eliminate the need to add jurisdictions to the apportioned account. It will also eliminate the over “100percent” fee calculation used when adding jurisdictions. Apportioned IRP registrants will not need trip permits aseach IRP jurisdiction will be on the registration card.

It is important to understand that all renewing Pennsylvania IRP registrants will not fall under FRP until June 1,2015. Upon renewal, registrants are advised to maintain both credentials as operation in any jurisdictions addedas a result of FRP is not authorized until June 1, 2015.

VEHICLES REQUIRING APPORTIONED REGISTRATION

You must register your vehicle(s) apportionately if the vehicle(s) travels or is intended for travel in two or more ofthe member jurisdictions and:

- is used for the transportation of persons for hire or is designed, used, or maintained primarily for thetransportation of property, and

- is a power unit having a gross or registered weight in excess of 26,000 pounds, or

- is a power unit having three or more axles regardless of weight, or

- is used in combination when the weight of such combination exceeds 26,000 pounds gross vehicleweight.

Vehicles or combinations, having a gross vehicle weight of 26,000 pounds or less and two axle vehicles, may beapportioned at the option of the registrant.

For additional information on apportioned-related websites, please reference any of the following:

Apportioned Related Forms, Publications and Fact Sheets:

www.dmv.state.pa.us

Apportioned Registration Instruction Manual:

http://www.dmv.state.pa.us/pdotforms/pa_forms_manuals/PUB181.pdf

Apportioned Audit Fact Sheet:

http://www.dmv.state.pa.us/pdotforms/pa_forms_manuals/paappregaudit.pdf

Enhanced Vehicle Safety Inspection Stations (Reconstructed Vehicles):

http://www.dmv.state.pa.us/pdotforms/inspections/enhancedstations.pdf

US DOT Facts and Forms:

www.fmcsa.dot.gov/forms/forms.htm

International Registration Plan Inc. (IRP):

www.irponline.org

EXEMPTIONS

The following vehicles are exempt from the apportioned registration program:

1. Government-owned vehicles.

2. City pick-up and delivery vehicles.

3. Buses used for transportation of chartered parties until December 31, 2014. NOTE: Buses used fortransportation of chartered parties will no longer be exempt from apportioned registration afterDecember 31, 2015. Effective January 1, 2016, charter buses operating interstate will be required toobtain apportioned registration or purchase trip permits for interstate travel.

4. Recreational vehicles (defined as a vehicle used for personal pleasure or travel by an individual orfamily).

5. Vehicles operating with a restricted plate.

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DEFINITIONS

ALLOCATION - a system of registering a fleet that operates in more than one member jurisdiction under which thevehicles are fully registered in individual member jurisdictions in proportion to a measure of the presence or travelof the fleet in each one, and under which the vehicles so registered are granted reciprocity in all the memberjurisdictions in which any of the vehicles of the fleet is registered.

APM - the IRP Audit Procedures Manual.

APPLICANT - a person in whose name an application is filed for registration.

APPORTIONABLE FEE - any periodic recurring fee or tax required for registering vehicles, such as registration,license, or weight fees published by participating jurisdictions and used to calculate the total fees assessed andremitted by a registrant’s base jurisdiction.

APPORTIONABLE VEHICLE - (except as provided below) any power unit that is used or intended for use in twoor more member jurisdictions and that is used for the transportation of persons for hire or designed, used, ormaintained primarily for the transportation of property, and: (i) has two axles and a gross vehicle weight or registered gross vehicle weight in excess of 26,000 pounds (11,793.401 kilograms), or (ii) has three or more axles, regardless of weight, or (iii) is used in combination, when the gross vehicle weight of such combination exceeds 26,000 pounds (11,793.401 kilograms).

A recreational vehicle, a vehicle displaying restricted plates, a bus used in the transportation of chartered parties or a government-owned vehicle, is not an apportionable vehicle; except that a truck or truck tractor, or the power unit in a combination of vehicles having a gross vehicle weight of 26,000 pounds (11,793.401 kilograms), or less, and a bus used in the transportation of chartered parties, nevertheless may be registered under the plan at the option of the registrant.

AUDIT - the physical examination of a registrant’s operational records, including source documents, to verify thedistances reported in the registrant’s application for apportioned registration and the accuracy of the registrant’srecord-keeping system for its fleet. Such an examination may be of multiple fleets for multiple years.

AUXILIARY AXLE - an auxiliary undercarriage assembly with a fifth wheel and tow-bar used to convert a semi-trailer to a trailer.

AXLE - an assembly of a vehicle consisting of two or more wheels whose centers are in one horizontal plane, bymeans of which a portion of the weight of a vehicle and its load, if any, is continually transmitted to the roadway.For purposes of registration under the plan, an “axle” is any such assembly whether or not it is load-bearing onlypart of the time.

BASE JURISDICTION - the jurisdiction where the registrant has an established place of business and distance isaccrued by the fleet, and where operational records of the fleet are maintained or can be made available.

BASE PLATE - the plate issued by the base jurisdiction and the only registration identification plate issued for thevehicle by any member jurisdiction. Apportioned plates shall be identified by having the word “APPORTIONED”and the jurisdiction’s name on the plate.

BUS - vehicle designed for carrying more than nine passengers and used for the transportation of persons.

CAB CARD - an evidence of registration, other than a plate, issued for an apportioned vehicle registered by thebase jurisdiction and carried in or on the identified vehicle.

CARRIER - an individual, partnership, or corporation engaged in the business of transporting goods or persons.

COMBINATION OF VEHICLES - a power unit used in combination with one or more trailers, semi-trailers, orauxiliary axles.

COMMERCIAL VEHICLE - any vehicle operated for the transportation of persons or property in furtherance of anycommercial or industrial enterprises, for hire or not for hire.

COMMON CARRIER - any motor carrier which lends its services out to the general public, engage in thetransportation by motor vehicle of passengers or property for compensation.

CONTRACT CARRIER - any motor carrier transporting persons or property for compensation or hire undercontract to a particular person for compensation.

CREDENTIALS - evidence of registration, including the cab card, weight class sticker, registration sticker (affixedto registration plate) and/or temporary evidence of authorization registration permit (TEAR).

DEADHEAD - to operate a commercial vehicle from one point to another without transporting any type of cargo.

DISTANCE -IN-JURISDICTION DISTANCE - the total distance operated by a fleet of apportioned registered vehicles in aspecific jurisdiction during the preceding year.

TOTAL DISTANCE - the total distance operated by a fleet of apportioned registered vehicles in all jurisdictionsduring the preceding year.

ENFORCEMENT DATE - the date the base jurisdiction requires a registrant to display the new registration year’scredentials.

ESTABLISHED PLACE OF BUSINESS - a physical structure located within the base jurisdiction that is owned orleased by the applicant or registrant and whose street address shall be specified by the applicant or registrant.This physical structure shall be open for business and shall be staffed during regular business hours by one ormore persons employed by the applicant or registrant on a permanent basis (i.e., not an independent contractor)for the purpose of the general management of the applicant’s or registrant’s trucking-related business (i.e., notlimited to credentialing, distance and fuel reporting, and answering telephone inquiries). The applicant orregistrant's operational records of the fleet should be maintained at this location or can be made available to thislocation upon request.

EXTENSION - a period of time from the expiration date or end of a grace period during which registrants mayoperate on expired credentials by reason of the inability of the base jurisdiction to provide current credentials.

FIFTH WHEEL - device used to connect a truck tractor or converter dolly to a semi-trailer.

FLEET - one or more apportionable vehicles designated by a registrant for distance reporting under the Plan. Allvehicles within an IRP fleet have the same registration expiry date. A registrant may be allowed to establishmultiple fleets for an IRP account.

FULL TRAILER - vehicle without motor power, designed for carrying persons or property and for being drawn bya motor vehicle and so constructed that no part of its weight rests upon the towing vehicle.

HEAVY VEHICLE USE TAX (H.V.U.T.) - annual federal highway use tax paid to the Federal Internal RevenueService (IRS) on vehicles operating on public highways at a gross weight of 55,000 lbs. and greater. Proof of taxpayment or exemption receipt is required to be produced at the time of registration.

HOUSEHOLD GOODS CARRIER - a carrier handling (i) personal effects and property used or to be used in adwelling, or (ii) furniture, fixtures, equipment, and the property of stores, offices, museums, institutions, hospitals,or other establishments, when a part of the stock, equipment, or supply of such stores, offices, museums,institutions, including objects of art, displays, and exhibits, which, because of their unusual nature or value,requires the specialized handling and equipment commonly employed in moving household goods.

IN-JURISDICTION DISTANCE - all of the distance operated during the reporting period or the distance estimatedto be operated by a fleet in a particular jurisdiction for the registration year.

INTERJURISDICTION MOVEMENT - vehicle movement between or through two or more jurisdictions.

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INTERNATIONAL REGISTRATION PLAN (IRP) – the International Registration Plan is a registration reciprocityagreement among states of the United States, the District of Columbia and provinces of Canada providing forpayment of license fees on the basis of fleet distance operated in various jurisdictions.

INTRAJURISDICTION MOVEMENT - vehicle movement from one point within a jurisdiction to another point withinthe same jurisdiction.

JURISDICTION - a country or a state, province, territory, possession, or federal district of a country.

LEASE - a transaction evidenced by a written document in which a lessor vests exclusive possession, control, andresponsibility for the operation of a vehicle in a lessee for a specific term. A long-term lease is for a period of 30calendar days or more. A short-term lease is for a period of less than 30 calendar days.

LESSEE - person that is authorized to have exclusive possession and control of a vehicle owned by another underterms of a lease agreement.

LESSOR - person that, under the terms of a lease agreement, authorizes another person to have exclusivepossession, control of, and responsibility for the operation of a vehicle.

MEMBER JURISDICTION - a jurisdiction that has applied and has been approved for membership in the IRP.

MOTOR CARRIER - an individual, partnership, or corporation engaged in the business of transporting goods orpersons.

MOTOR VEHICLE - vehicle which is self-propelled by except an electric personal assistance mobility device or avehicle which is propelled solely by human power or by electric power obtained from overhead trolley wires, butnot operated upon rails.

PERSON - a natural person or business entity such as a corporation, partnership, or limited liability company.

PLATE - the license plate, including renewal decals, if any, issued for a vehicle registered under the plan by thebase jurisdiction.

POOL - with respect to motor bus operations, an agreement or combination among motor carriers of passengers,with the approval of the U.S. Department of Transportation or relevant provincial authority, to combine or dividetraffic, services, or any part of their earnings.

POWER UNIT - a motor vehicle (but not including an automobile or motorcycle), as distinguished from a trailer,semi-trailer, or an auxiliary axle.

PROPERLY REGISTERED VEHICLE - a vehicle which has been registered in full compliance with the laws of alljurisdictions in which it is intended to operate.

RECIPROCITY - the reciprocal grant by one jurisdiction of operating rights or privileges to properly registeredvehicles registered by another jurisdiction, especially but not exclusively including privileges generally conferredby vehicle registration.

RECIPROCITY AGREEMENT - an agreement, arrangement, or understanding between two or more jurisdictionsunder which each of the participating jurisdictions grants reciprocal rights or privileges to properly registeredvehicles that are registered under the laws of other participating jurisdictions.

RECIPROCITY DISTANCE - the distance traveled by apportionable vehicles in jurisdictions which are not memberjurisdictions and which grant reciprocity without charge.

RECREATIONAL VEHICLE - a vehicle used for personal pleasure or personal travel and not in connection withany commercial endeavor. The term “Recreational Vehicle” refers to vehicles such as campers, house trailers,motor homes, and mobile homes when used exclusively for personal pleasure and travel by an individual and hisfamily. In order to qualify as a recreational vehicle, the vehicle must not be used in connection with any businessendeavor.

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REGISTERED WEIGHT - weight for which a vehicle or combination of vehicles have been licensed or registeredwithin a particular jurisdiction.

REGISTRANT - person in whose name a properly registered vehicle is registered.

REGISTRATION YEAR - the twelve-month period during which, under the laws of the base jurisdiction, theregistration issued to a registrant by the base jurisdiction is valid.

RENTAL FLEET - vehicles the rental owner designates as a rental fleet and which are offered for rent with orwithout drivers.

RENTAL OWNER - someone who rents vehicles to others with or without drivers.

RENTAL VEHICLE - vehicle of a rental fleet.

REPORTING PERIOD - except as provided below, the period of twelve consecutive months immediately prior toJuly 1 of the calendar year immediately preceding the beginning of the registration year for which apportionedregistration is sought. Pennsylvania has an annual registration period that begin on June 1st and expires May 30th .

The following table is provided for illustration purposes: Registration Year Reporting Period

June 1, 2015 July 1, 2013 – June 30, 2014 June 1, 2016 July 1, 2014 – June 30, 2015 June 1, 2017 July 1, 2015 – June 30, 2016 June 1, 2018 July 1, 2016 – June 30, 2017 RESIDENCE - the status of an applicant or a registrant as a resident of a member jurisdiction.

RESTRICTED PLATE - a plate that has a time, geographic area, distance, or commodity restriction or a masstransit or other special plate issued for a bus leased or owned by a municipal government, a state or provincialtransportation authority, or a private party, and operated as part of an urban mass transit system.

SEMI-TRAILER - a vehicle without motor power that is designed to be drawn by a motor vehicle and is constructedso that a part of its weight rests upon or is carried by a towing vehicle.

SERVICE REPRESENTATIVE - person that furnishes facilities and services, including sales, warehousing,motorized equipment, and drivers under contract or other arrangement to a motor carrier for the transportation ofhousehold goods.

TOTAL DISTANCE - all distance, including that accrued on IRP registrations and trip permits, operated by a fleetof apportioned vehicles in all jurisdictions during the reporting period.

TRAILER - vehicle without motor power, designed to be drawn by a motor vehicle and so constructed that no partof its weight or that of its load rests upon or is carried by the towing Vehicle.

TRIP PERMIT - a permit issued by a member jurisdiction in lieu of apportioned or full registration.

TRIP RECORD - evidence documented of all intrastate and interstate vehicle movement is used as a sourcedocument to verify the registrant's reported distance. The trip record must contain the information set forth in theAudit Process Manual (APM).

TRUCK (TR) - a power unit designed, used, or maintained primarily for the transportation of property.

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TRUCK TRACTOR (TT) - a motor vehicle designed and used primarily for drawing other vehicles, and not soconstructed as to carry a load other than a part of the weight of the vehicle and load so drawn.

UNIFIED CARRIER REGISTRATION (U.C.R.) – program overseen by the Pennsylvania Public Utility Commissionrequires motor carriers (including for-hire, private and exempt motor carriers), leasing companies, freight forwarders,and brokers that operate in interstate commerce to register with the program and pay a fee based on the type ofbusiness operated. The UCR Act is not applicable to businesses whose operations are wholly intrastate.

UNLADEN VEHICLE HUNTER PERMIT – a temporary registration permit that may not exceed the vehicle orcombination of vehicle’s registered unladen (empty) weight.

U.S. DOT NUMBER (USDOT) - Motor carrier registrants that operate commercial vehicles transporting passengersor hauling cargo in interstate commerce must be registered with the FMCSA and must have a USDOT Number.Also, commercial intrastate hazardous materials carriers who haul quantities requiring a safety permit mustregister for a USDOT Number. The USDOT Number serves as a unique identifier when collecting and monitoringa company’s safety information acquired during audits, compliance reviews, crash investigations, and inspections.

UTILITY TRAILER - full trailer or semi-trailer constructed solely for the purpose of carrying property and not toexceed 6,000 lbs., declared gross vehicle weight.

VEHICLE - a device used to transport persons or property on a highway, but does not include devices moved byhuman power or used exclusively upon rails or tracks.

TYPES OF OPERATIONS

OWNER - OPERATOR VEHICLES

Apportioned registration for owner-operators may be accomplished in one of the following procedures.1. The owner-operator (lessor) may be the registrant and the vehicle may be registered in the name of the

owner-operator. The allocation of fees shall be according to the operational records of the owner-operator.The plate and cab card shall be the property of the lessor; or

2. The lessee may be the registrant at the option of the lessor and the vehicle may be registered by the carrier,but in both owner-operator’s name and that of the carrier as lessee, with allocation of fees according to therecords of the carrier. The plates and cab cards shall be the property of the lessee. It is the obligation of thecarrier as lessee to reimburse the lessor for the unused portion of any registration fees transferred to a newlyacquired vehicle when the lease is cancelled between the parties. Reimbursement must be made within 30days of the transfer.

LEASED VEHICLES

A. An apportioned operator may temporarily lease equipment to another apportioned fleet operator and thelessor shall be responsible for reporting, on the apportioned application, the total distance traveled by theleased equipment. The lessee shall be the person using and operating the equipment by the leaseagreement. The leased vehicle must bear apportioned credentials and be operated only in the jurisdiction towhich fees have been paid or a trip permit will be required.

B. Full fee Pennsylvania carriers may temporarily lease apportioned registered vehicles bearing properPennsylvania credentials, provided the apportioned carrier reports the mileage traveled while the equipmentis under lease. The Pennsylvania full-fee carrier must send a report of mileage traveled by the leasedequipment to the apportioned carrier.

C. An apportioned vehicle may be leased to a non-apportioned carrier. The lessor shall be responsible forreporting the mileage traveled by the leased equipment.  The leased vehicle must bear apportionedcredentials and can be operated in Pennsylvania only if fees have been paid to Pennsylvania, otherwise a trippermit will be required.

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20 DAY UNLADEN VEHICLE HUNTER PERMIT

Pennsylvania will provide a means of temporary registration for owner-operators not operating as a lessor. Suchregistration is a restricted permit issued for a registered gross weight not in excess of the empty weight of thevehicle.

An owner-operator may apply for a 20-day unladen vehicle hunter permit by submitting Form MV-585 with a feeof $10.00 to the Commercial Registration Section or by purchasing the permit from the lessee or permit agent. (Notall lessees carry these permits.)

HOUSEHOLD GOODS CARRIERS

Household Goods Carriers, using equipment leased from service representatives, may elect to base suchequipment in the base jurisdiction of the service representative, or that of the carrier.

If the base jurisdiction of the service representative is selected, the equipment shall be registered in the servicerepresentative’s name and the Household Goods Carrier shall be indicated as lessee. The apportionment of feesshall be according to the combined records of the service representative and those of the carrier. Such recordsmust be kept or made available in the service representative’s base jurisdiction.

If the base jurisdiction of the Household Goods Carrier is selected, the equipment shall be registered by the carrierand the service representative shall be designated as lessor. The apportionment of fees shall be according to themileage records of the carrier and the service representative which must include intrastate miles operated by thosevehicles. The records must be kept or made available in the base jurisdiction of the carrier. Service representativesproperly registered under this selection shall be fully registered for operations under their own authority as well asunder the authority of the carrier.

BUSES

Buses used for transportation of chartered parties will no longer be exempt from apportioned registration afterDecember 31, 2015. Effective January 1, 2016, charter buses operating interstate will be required to obtainapportioned registration or purchase trip permits for interstate travel.

Common carriers of passengers having any doubt as to whether they should file an apportioned registration application should contact the Bureau of Motor Vehicles.

NOTE: We recommend charter bus operators verify registration requirements with the jurisdictions they plan tooperate in if a permit is required (i.e. operations in Washington D.C., British Columbia).

APPLICATIONSGENERAL INFORMATION

Application forms for apportioned registration are available from the Bureau of Motor Vehicles, CommercialRegistration Section, P.O Box 68286, Harrisburg, PA 17106-8286.

The Pennsylvania apportioned registration period begins June 1 and ends May 31 annually. To ensure processingand receipt of registration credentials by June, the apportioned renewal invitations are sent in February. Werecommend the registrant/applicant review and identify any changes or corrections desired on their application andreturn it to PennDOT no later than March 15.

The following forms must be completed as part of the registration process to obtain Pennsylvania apportionedregistration:

• Form MV-550, "Apportioned Registration Application - Schedule A" • Form MV-550, "Apportioned Registration Application - Schedule B"

If vehicle additions, deletions or updates occur during the registration year, the Pennsylvania SupplementSchedule (Form MV-552A) must be submitted.

It is the applicant’s responsibility to properly complete all forms necessary to register vehicles under theapportioned registration program. If information is missing from the application submitted, the application shall bereturned with error correspondence.

Most titling or transfer transactions of vehicles intended to be apportioned will be processed by the CommercialRegistration Section.

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PA applications mailed directly to other jurisdictions is prohibited unless registration privileges are suspended.

Please do not send fees for apportioned registration with the application. Pennsylvania will send a billing noticefor payment due. This will help ensure correct payment, avoid over or underpayments and expedite the issuance of credentials.

Even though an application has been filed, the vehicle is not legal to operate on Pennsylvania highways withouta trip permit or temporary authorization in lieu of registration credentials.

ADDITIONAL REQUIREMENTS

The Heavy Vehicle Use Tax is imposed only on highway motor vehicles which have a taxable gross weight orcombination weight of at least 55,000 pounds. An exemption from the tax is provided for vehicles that will not beused for more than 5,000 miles on public highways during any taxable period and to agricultural vehicles not usedfor more than 7,500 miles on public highways during any taxable period.

Federal regulations require all states to verify payment of, or exemption from the tax before issuing or renewingvehicle registrations. Owners of vehicles purchased less than 60 days are not required to provide proof of taxpayment at the time of registration. However, this is not an exemption from actual payment of the tax.

A registrant of an affected vehicle must submit a proof of payment receipt from the IRS. A copy of IRS Form 2290,Schedule 1 E-File receipt or a Schedule 1 stamped paid by the Internal Revenue Service (IRS) are acceptableproof of tax payment to be included with title/registration applications if the vehicle has been owned for more than60 days. Additional information regarding the IRS Heavy Vehicle Use Tax may be obtained at www.IRS.gov.

1. Insurance - Financial Responsibility “Full Liability” as required by Pennsylvania law must be maintainedcontinuously throughout the registration year for all vehicles operating on Pennsylvania highways.

2. Certificate of Title - The owner or lessor shall hold in his or her name a negotiable Pennsylvania Certificateof Title or a negotiable title issued by another jurisdiction for each vehicle. If the registration of the vehicle hasnot been previously apportioned in the applicant’s name and the vehicle is titled in a jurisdiction other thanPennsylvania, a photocopy of the title must be included with the registration application. When a fleet vehicleis not currently titled in Pennsylvania or another jurisdiction, the owner or lessor shall secure the title fromanother jurisdiction or make application for Pennsylvania title using the prescribed form MV-1. Theseapplications may be obtained from a tag agency or an authorized notary public. Return the completed formsalong with all other papers necessary to secure apportioned registration.

New Vehicles: Include the Manufacturers Certificate of Origin indicating the empty weight of the vehicle anda tracing of the VIN plate and GVWR plate. Mileage should be indicated on the Certificate of Origin or on the“Odometer Reading” form, for vehicles under 16,000 pounds. Sales tax of six percent (6%) must be paidunless vehicle is exempt from the tax, 7% if resident of Allegheny County and 8% if resident of the City ofPhiladelphia.

Used Vehicles: Include the outstanding negotiable title properly executed showing the empty weight of thevehicle. List the mileage at the time of sale on the title and on the MV-1 form. Sales tax of six percent (6%)must be paid unless vehicle is exempt from tax, 7% if resident of Allegheny County and 8% if resident of theCity of Philadelphia.

Leased Vehicles: The lessee shall not be issued a title in his or her name, however if the lessor of a vehicleis holding Certificate of Title issued by another jurisdiction, the lessee shall provide the CommercialRegistration Section with a photocopy of the title to verify the lessor’s ownership of the vehicle.

All motor carriers operating a Commercial Motor Vehicle in interstate or foreign commerce must be assigned& display a USDOT Number before interstate operations begin. This includes all interstate private, exempt,for hire and passenger motor carriers. Motor Carriers operating intrastate transporting any placardedhazardous materials must also comply.

The MCS-150 application may be obtained from the U.S. Department of Transportation at:http:/www.fmcs.dot.gov/documents/forms/MCS-150.pdf.

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ORIGINAL APPLICATION

In order to establish a fleet of proportional registration, Schedules A and B must be completed. Owners/operatorsmust attach a copy of their lease agreement when applying for a Pennsylvania title. The lease shall contain thefollowing:

1. The complete and full names of the lessor and lessee.

2. A description of the leased or rented vehicle by year, make and identification number.

3. The effective and expiration dates of the lease or rental agreement.

4. The signatures of the lessee and lessor or their duly authorized agents

In order to establish a fleet of proportional registration, the applicant must provide proof of the following:

1. Be a Pennsylvania resident, have a place of business in Pennsylvania, or be leased to a carrier (who is registering the vehicle) who has a place of business in Pennsylvania;

2. Provide the actual Manufacturer's Certificate of Origin (MCO), Pennsylvania Certificate of Title, or a copy of the out-of-state Certificate of Title (front and back) if the registrant is keeping the vehicle titled in another state and does not reside in Pennsylvania. (MV-41 is required to be completed for verification of the VIN and the vehicle's gross weight by a certified Pennsylvania Inspection Mechanic or law enforcement officer);

3. Provide proof of payment of the Federal Heavy Vehicle Use Tax if the vehicle's weight is 55,000 lbs or greater and has been owned for at least 60 days;

4. Complete Schedules A and B, (MV-550 and MV-551);

5. Provide proof of financial responsibility (insurance);

6. Provide any other documents necessary to title and apportion register in Pennsylvania; and,

7. Pay bill in full to complete the registration.

If the applicant, is establishing or changing residence for an apportioned account in Pennsylvania, the applicantmust demonstrate to PennDOT’s satisfaction at least three criteria below:

• If the applicant is an individual, his or her driver's license issued by Pennsylvania;

• If the applicant is a corporation, that it is incorporated or registered to conduct business in Pennsylvania;

• If the applicant is a corporation, that the principal owner is a resident of Pennsylvania;

• Have a physical place of business in Pennsylvania including street address, someone conducting the registrant's trucking business, and a publicly listed telephone number;

• Accrue miles in Pennsylvania;

• Keep records in Pennsylvania, or be able to make records available in Pennsylvania.

RENEWAL PROCESS

Pennsylvania apportioned vehicles are currently under an annual renewal cycle effective June 1 through May 31.PennDOT mails a letter to active registrants requesting actual distance traveled from the previous year period ofJuly 1 through June 30. This data will be applied to each account and will appear on the next registration renewalinvitation.

A renewal invitation is mailed annually in February. The registrant is responsible for verifying the distance traveled,jurisdictions, vehicles and account information such as USDOT number, FEIN, address, insurance and telephonenumber.

If the registrant does not receive their renewal invitation by mid-February, they may complete the appropriate motorvehicle forms: Single owner-operator may complete the MV-550, owners of multiple vehicles may complete MV-550A & MV-551. (The MV-550A may be photo copied to accomodate the vehicles in the fleet.) (Instructions forcompleting Form MV-550, MV-550A, and MV-551 may be found on pages 19 to 22.)

At the option of the registrant of an apportioned bus fleet, total distance may be the sum of all actual in-jurisdictiondistance or a sum equal to the scheduled route per jurisdiction from the farthest point of origination to the farthestpoint of destination of the scheduled pool.

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Unused/Unrenewed Plates

If vehicles are not renewed or the plate is not being transferred, the registration plate must be returned to theCommercial Registration Section by June 10. If the plate is not returned, it will be assumed the plate is being usedin the new registration year and fees will be due. Failure to return the apportioned registration plate will result inassessment of a full 12 month registration fee for the plate according to the registered weight of the vehicle onwhich the plate was last registered.

Return the registration plate to:

Pennsylvania Department of Transportation Bureau of Motor Vehicles P.O. Box 68286 Harrisburg, PA 17106-8286

MOTOR CARRIER VEHICLES

A motor carrier vehicle is defined as a truck, truck tractor or combination having a gross vehicle weight rating, grosscombination weight rating, registered gross weight, registered combination weight or actual gross weight of 17,001pounds or more; or a truck, truck tractor or combination engaged in interstate commerce and having a grossvehicle weight rating, gross combination weight rating, registered gross weight, registered combination weight oractual gross weight of 10,001 pounds or more.

SUPPLEMENTAL APPLICATION

ADDITIONS AND DELETIONS

After an original application has been filed, vehicles may be added or deleted or weights may be changed by filinga supplemental application form in the same manner as the original.

Registration fees for supplemental applications are calculated from the date of purchase or lease, unless thevehicle was previously registered in the fleet, then the fees shall be calculated upon an annual rate. When asupplemental application is filed to add a unit and delete a similar unit, the registration fees will be transferred fromthe deleted unit to the added unit for the proper fees.

The registration fees may be transferred from a deleted vehicle to the added vehicle, if the deleted vehicle wassold or destroyed or if the long term lease on the vehicle is being terminated on or before the date the replacementvehicle was acquired by the registrant. To transfer the registration fees, the cab card for the deleted vehicle mustbe returned with the supplemental application.

Once apportioned fees have been paid on a vehicle which is later deleted from the fleet, the deleted vehicle cannotagain be added to the fleet during the year except by again paying the necessary apportioned fees for the vehicle.

A carrier may transfer a tag to a vehicle leased from an owner-operator which had been registered in the fleetpreviously if the new lease is executed one month or more after the previous lease was terminated.

If a vehicle is deleted, the registration may be transferred to another vehicle within the fleet; however, norefund will be made where a vehicle is deleted and there is no replacement vehicle to which theregistration can be transferred. The transfer of the plate may be completed any time during the currentregistration year.

Pennsylvania allows apportioned registration to be transferred from one fleet to another existing fleet of the samecarrier. The cab card must be surrendered. Credit will be allowed for the Pennsylvania fees paid on a specifiedunit. If additional fees are due, a billing notice will be sent for the remaining fees due.

Some jurisdictions do not allow transfer credit. If the vehicle added has a higher gross weight than the vehicleremoved from the fleet, additional registration fees will be due. A transfer fee will also be charged. (Refer to FormMV-70S, "Bureau of Motor Vehicles Schedule of Fees". This form may be found on our website atwww.dmv.state.pa.us.) The cab card of the deleted vehicle must be returned with the supplement. The supplementcannot be processed until the old cab card is returned. The new vehicle CANNOT be operated on the transferredregistration plate until the new cab card is on the vehicle except if a temporary permit is issued.

An application for a lost registration plate will not be accepted when a transfer is being made by supplementalapplication and credit on the vehicle cannot be transferred. The original cab card must be surrendered with thesupplement. An application for a replacement cab card will not be accepted when a supplement is filed. Credit

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cannot be allowed for any deleted vehicles unless the cab card accompanies the supplemental application.

Multiple transactions cannot be combined into one supplemental application. A separate supplemental form mustbe used:

1. To show deletions.

2. To show additions.

3. To show even transfer (one vehicle being added for a vehicle being deleted).

4. For increasing and decreasing weights.

5. To transfer and change weight.

6. To correct or change a lessor, VIN, year, make, etc.

VEHICLE SOLD

When a vehicle is sold, the apportioned plate must be removed from the vehicle. A supplemental application mustbe filed with the Commercial Registration Section, with the original cab card attached. The registrant may keep theapportioned registration plate during the registration period if they choose to transfer it to another vehicle.

VEHICLE JUNKED OR DESTROYED

When a vehicle is junked or destroyed, the registration plate must be removed from the vehicle. A supplementalapplication must be filed with the Commercial Registration Section, including the original cab card of the junked ordestroyed vehicle attached to the supplemental application.

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INSTRUCTIONS FOR COMPLETION OF

FORMS

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18

Form MV-550, "Apportioned Registration Application - Schedule A," Instructions

Complete a separate Schedule A for each series of weight designations

NOTE: Form MV-550 may be found on our website at www.dmv.state.pa.us.

FLEET INFORMATION

Name of Applicant Name of the person, firm or corporation requesting apportionedregistration.

Business Address (Street, city, county, state, zip code) - Where the applicant has anestablished place of business, maintains records, or accumulatesmileage. A post office box without a physical address number isunacceptable.

F.E.I.N. Number Federal Employee Identification Number.

Mailing Address (Street, city, county, state, zip code) - All correspondence andcredentials will be sent to this address. A post office box number isacceptable. However, for delivery purposes, a physical address mustbe included.

License Year The year in which you wish to be registered.

Account Number Use Account Number space only if you have been assigned a numberby the Bureau of Motor Vehicles. Leave the space blank if securingapportioned registration for the first time. An application must be filedfor each fleet to be registered. Number each fleet in order(e.g. fleet 1,2,3, . . .) and put the fleet number in the box.

Page Consecutively number the pages.

Person to Contact The name of the person who should be contacted in the event there arequestions concerning the application.

Phone Number The phone number of the person responsible for apportioned vehicleregistration of the fleet.

U.S. DOT Number Number issued to carrier by U.S. Department of Transportation. Thisnumber will be the US DOT number assigned to you.

Insurance The insurance company name, policy number, effective date andexpiration date (or agent if binding coverage) that maintains therequired PA insurance for the fleet. If more than one company coversthe fleet, list company and policy number for each vehicle and the VIN on thereverse of Schedule A. A copy of insurance card/binder is required for anew apportioned account.

Duplicate The number of duplicate cab cards desired for each vehicle in the fleet.(Fee: $2 per duplicate per vehicle on a Schedule A.)

Signature/Title The original signature of the person authorized to apply for apportionedregistration and title held in company.

Whenever an applicant owns the equipment listed on the application,the name appearing on each of the following shall match:

1. Name of applicant for apportioned registration. 2. Name on vehicle title.

SCHEDULE A INSTRUCTIONS (Continued)

3. Name of individual or business legally certified if operatingas a private hauler, or name on certificate and/or permit ofauthority if operating as a common carrier, contract carrier orexempt for hire carrier.

VEHICLE INFORMATION

Equipment Number Show the equipment or unit number assigned by applicant. Be sure touse different unit numbers for each vehicle listed. It is suggested thatunits of the same gross or combined gross weight be listed consecutively.

Vehicle Identification Number Show complete serial (VIN) number as listed on MCO or title.

Year and Make The model year of each vehicle. The make of each vehicle (Mack,Ford, GMC, etc.).

Type Refer to key at bottom of Schedule A and the definitions in this manual.

Axles/Seats Enter the number of axles for each truck or trailer or the number ofseats for each bus.

Fuel The type of fuel used by the vehicle, (D) diesel, (G) gasoline, (P)propane, (NG) natural gas.

Unladen or Chassis Weight The weight of the vehicle fully equipped for service excluding the weightof any load. (See drawing below.)

Gross Weight The unladen (empty) weight of a vehicle plus the weight of the loadcarried on that vehicle. For vehicles in combination, the gross weight ofthe power unit would be the empty weight of the truck/tractor plus theloaded weight of the front end of the semi-trailer resting on thetruck/tractor. (See drawings below.)

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Tractor Unladen Weight Semi-Trailer Unladen Weight

Truck Gross Weight Semi-Trailer Gross WeightTruck Gross Weight

SCHEDULE A Instructions (Continued)

Combined Gross Weight For vehicles in combination, combined gross weight shall mean theweight of a truck or tractor, plus the weight of any trailer or semi-trailer,together with the cargo or pay load transported. This column will be usedto determine the registered weight for Pennsylvania. For buses, use thisspace to indicate the horsepower of the bus. See drawing below.

U.S. DOT Number Seven digit number issued to interstate motor carriers by the U.S.Department of Transportation. In this space list your US DOT numberor the US DOT number of the leasing company if the vehicle is leased.

Lessor/Lessee The owner/operator of each vehicle or the name of the person or firmor corporation from whom a vehicle is leased.

Date of Purchase or Lease The month and year vehicle was purchased by present owner (if theowner is the registration applicant) or leased by lessee/registrant.

Factory Price 90% of the manufacturer’s retail price, excluding the trade-in and salesor use tax, including accessories attached to the vehicle.

Purchase Price of Vehicle The actual purchase price of the vehicle paid by the current ownerexcluding any trade-in and sales or use tax.

Title Number and State Enter the title number shown on the title and the initials of the statewhere titled. If the lessor is a resident of another state, proof ofownership is required: a copy of the title or a copy of the precedingyear’s registration showing title number.

Current License Plate Number Enter the license plate number and the issuing state of the platepresently on the vehicle.

Weight List the weight to be carried in each state in which apportionedregistration is desired.

For each jurisdiction, the gross weight for single truck or the combinedgross weight for combination units must be shown for each power unitapportioned.

An applicant may elect to register a vehicle at a different gross vehicleweight in member jurisdictions. Example: if the applicant desires toregister in Iowa at 80,000 pounds and only 74,000 pounds in Texas, theapplicant must show 80,000 pounds for Iowa and 74,000 for Texas.The applicant will pay the Iowa fees based on 80,000 pounds and theTexas fees based on 74,000 pounds. The cab card issued will indicatethe applicant has paid fees for a combined weight of 80,000 pounds inIowa and 74,000 in Texas.

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Combined Gross Weight

Form MV-551, “Pennsylvania Apportioned Registration Application - Schedule B," Instructions

NOTE: Form MV-551 may be found on our website at www.dmv.state.pa.us.

This schedule is one of the two schedules required for the Bureau of Motor Vehicles to process an application forapportioned registration.

The applicant must list the total mileage traveled (loaded and empty) in each jurisdiction for the mileage reportingperiod. Do not combine miles of any two or more jurisdictions. The mileage is for power units only, not trailers.

SCHEDULE B INSTRUCTIONS

VEHICLE INFORMATION

Name of Applicant Name of person, firm or corporation requesting apportioned registration.

Account Number Use this space only if you have been assigned a number by the Bureauof Motor Vehicles. Leave this space blank if requesting apportionedregistration for the first time.

License Year The year in which you wish to be registered. Use the year whichbegins the registration period.

Reporting Period The mileage reporting period is from July 1 through June 30immediately preceding the registration year for which proportionalregistration is sought.

Jurisdiction Check box for each IRP state in which you wish to be registered.

Mileage Enter the distance traveled in all states during the reporting period. Ifthis is the first year an apportioned registration application has beenfiled, the Average per Vehicle Distance Chart will be used forcalculation purposes.

Total Distance Enter total mileage for all jurisdictions.

At the option of the registrant of an apportioned bus fleet, total distancemay be the sum of all actual in-jurisdiction miles or kilometers or a sumequal to the scheduled route miles or kilometers per jurisdiction fromthe farthest point of origination to the farthest point of destination of thescheduled pool.

Operation Enter X in the boxes which describe your business operation. If exemptcarrier, name the load which is carried.

Signature Title and Date The original signature of the person authorized to apply for apportionedregistration, title and date.

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22

Pennsylvania 1/1/2015

JURISDICTION DISTANCE JURISDICTION DISTANCE

AB 33 ND 123 AL 2,035 NE 451 AR 657 NH 173 AZ 706 NJ 5,742 BC 13 NL 2 CA 1,027 NM 642 CO 318 NS 4 CT 1,567 NV 308 DC 38 NY 5,357 DE 804 OH 4,721 FL 1,376 OK 556 GA 1,002 ON 402 IA 522 OR 160 ID 157 PA 29,404 IL 1,047 PE 1 IN 1,530 QC 54 KS 274 RI 173 KY 878 SC 958 LA 392 SD 104 MA 1,059 SK 34 MB 11 TN 1,282 MD 2,899 TX 1,521 ME 369 UT 280 MI 632 VA 3,316 MN 1,170 VT 131 MO 660 WA 158 MS 345 WI 412 MT 3,505 WV 1,726 NB 21 WY 440 NC 1,245

Total Distance 84,927

Average Per Vehicle Distance Chart

Form MV-552A, “Apportioned Registration Supplemental Application," Instructions

NOTE: Form MV-552A may be found on our website at www.dmv.state.pa.us

Complete A - M on all supplemental applications.

Adding a vehicle

To add a vehicle(s) for registration:

1. Describe added units under "Additions".

2. Check "New Vehicle Only" box at the top of the form.

Transfer with weight increase

To transfer a plate(s) and increase the registered weight:

1. Describe the added unit(s) under "Additions".

2. Describe the removed unit(s) under "Deletions".

3. Check "License Transfer with Weight Increase" box at the top of the form.

Exchanging vehicles (Transfer)

To exchange vehicles:

1. Describe the added unit(s) under "Additions".

2. Describe the removed unit(s) under "Deletions".

3. Check "License Transfer" box at the top of the form.

Change vehicle weight

To register vehicle(s) for an increased weight:

1. Describe unit(s) to have weight increase under "Deletions". List new weight.

2. Check "Increase Weight on Vehicle Originally Licensed at a Lower Weight" box at the top of the form.

Removing a vehicle

To remove a vehicle:

1. Describe removed unit(s) under "Deletions".

2. Check "Delete Only" box at the top of the form.

Correct Information

To correct vehicle or weight information:

1. Describe unit(s) to be corrected under "Additions".

2. Underline corrected information in red ink.

3. Check "Correct Information" box at the top of the form.

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Fleet Information

Name of Applicant Name of the person, firm or corporation requesting apportioned registration.

Business Address (Street, city, county, state, zip code) - Where the applicant has an establishedplace of business, maintains records, or accumulates mileage. A post officebox without a physical address number is unacceptable.

Mailing Address (Street, city, county, state, zip code) - All correspondence and credentials willbe sent to this address. A post office box number is acceptable. However, fordelivery purposes, a physical address must be included.

License Year The year in which you wish to be registered (Beginning year).

Account Number The apportioned account number assigned by the Bureau of Motor Vehicles.

U.S. DOT Number The number issued to carrier by the U.S. Department of Transportation. Thisnumber will be the U.S. DOT number assigned to you.

Page Consecutively number the pages.

Contact Person The name of the person who may be contacted that is responsible forapportioned vehicle registration of the fleet.

Phone Number The phone number of the person responsible for apportioned vehicleregistration of the fleet.

Reason Check appropriate box for reason supplemental application is being filed.

Insurance Enter the insurance company name, policy number, effective and expirationdate (or agent if binding coverage) that maintains the required PA no faultinsurance for the fleet. If more than one company covers the fleet, listcompany and policy number for each vehicle and the VIN on the reverse side.

Duplicate Indicate the number of duplicate cab cards desired for each vehicle in thefleet. (Fee: $2 per duplicate per vehicle on a supplemental application.)

Signature/Title The original signature of the person authorized to apply for apportionedregistration and title held in company.

Whenever an applicant owns the equipment listed on the application, thename appearing on each of the following shall match:

1 Name of applicant for apportioned registration. 2 Name on proof of ownership. 3 Name of individual or business legally certified if operating as a

private hauler, or name on certificate and/or permit of authority ifoperating as a common carrier, contract carrier or exempt for hirecarrier.

VEHICLE INFORMATION

Equipment Number Show the equipment or unit number assigned by applicant. Be sure to usedifferent unit numbers for each vehicle listed. It is suggested that units of thesame gross or combination gross weight be listed consecutively.

Vehicle Identification Number Show complete serial (VIN) number as listed on MCO or title.

Year and Make The model year of each vehicle. The make of each vehicle (Mack, Ford, GMC,etc.).

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25

Type Refer to the “Vehicle Type Section” at bottom of application and the definition inthis manual.

Axle/Seats Enter the number of axles for each truck or trailer or the number of seats foreach bus.

Fuel The type of fuel used by the vehicle - (D) diesel, (G) gasoline, (P) propane,(NG) natural gas.

Unladen or Weight The weight of the vehicle fully equipped for service excluding the Chassis Weight weight of any load.

Gross Weight The unladen (empty) weight of a vehicle plus the weight of the load carriedon that vehicle. For vehicles in combination, the gross weight of the powerunit would be the empty weight of the truck/tractor plus the loaded weight ofthe front end of the semi-trailer resting on the truck/tractor.

Combined Gross Weight For vehicles in combination, combined gross weight shall mean weight of atruck or tractor, plus the weight of any trailer or semi-trailer, together with thecargo or payload transported. This column will be used to determine theregistered weight for Pennsylvania. For buses use this space to indicatehorsepower of the bus.

Lessor The owner/operator of each vehicle or the name of the person for firm orcorporation from whom a vehicle is leased.

Date of Purchase The month and year vehicle was purchased by present owner (if the owner isthe registration applicant) or leased by lessee/registrant.of Lease

Factory Price 90% of the manufacturer’s retail price, excluding trade-in and sales or use tax, including accessories attached to the vehicle.

Purchase Price The actual purchase price of the vehicle paid by the current owner excludingany trade-in and sales or use tax.of Vehicle

Title Number Enter the title number shown on the title and the initials of the state whereand State titled. If the lessor is a resident of another state, proof of ownership is

required: a copy of the certificate of title, a copy of preceding year’sregistration showing title number, or a letter from the Bureau of MotorVehicles of the titling jurisdiction.

Previous License Enter the license plate number and the issuing state of the license plateNumber and State presently on the vehicle.

Weight List weight to be carried in each state in which apportioned registration isdesired.

DELETIONS

Equipment Number The unit number of each vehicle being deleted as reported on the originalapplication.

Vehicle Identification Show complete serial (VIN) number as listed on MCO or title.Number

Plate Number Plate number transferred if applicable.

Replacement Owner’s number of the vehicle which replaces the one listed, if applicable.Equipment Number

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AB - AlbertaAL - AlabamaAK - AlaskaAR - ArkansasAZ - ArizonaBC - British ColumbiaCA - CaliforniaCO - ColoradoCT - ConnecticutDC - District of ColumbiaDE - DelawareFL - FloridaGA - GeorgiaIA - IowaID - IdahoIL - IllinoisIN - IndianaKS - KansasKY - KentuckyLA - LouisianaMA - MassachusettsMB - ManitobaME - MaineMD - MarylandMI - MichiganMN - MinnesotaMO - MissouriMS - MississippiMT - MontanaMX - MexicoNB - New BrunswickND - North Dakota

NC - North CarolinaNE - NebraskaNF - Newfoundland & LabadorNH - New HampshireNJ - New JerseyNM - New MexicoNS - Nova ScotiaNT - Northwest TerritoryNV - NevadaNY - New YorkOH - OhioOK - OklahomaON - OntarioOR - OregonPA - PennsylvaniaPE - Prince Edward IslandQC - QuebecRI - Rhode IslandSC - South CarolinaSD - South DakotaSK - SaskatchewanTN - TennesseeTX - TexasUT - UtahVA - VirginiaVT - VermontWA - WashingtonWI - WisconsinWV - West VirginiaWY - WyomingYT - Yukon Territory

ABBREVIATIONS

Jurisdiction Abbreviated Key Code

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Form MV-558, “Replacement of Credentials," Instructions

NOTE: Form MV-558 may be found on our website at www.dmv.state.pa.us.

For Lost, Stolen or Defaced:

Complete information at the top of the form and Sections, A, B, and C.

Never Received:

1. If vehicle registration plates, stickers, weight decals or cab cards were never received after payment fora supplemental application, or previous replacement application, and application for replacement ismade within 45 days from date of issue, no fee is required. Complete Sections A, B, and D.

2. If entire fleet registration plates, stickers, weight decals, and cab cards were never received at renewaland application for replacement is made within 45 days from date of issue, no fee is required. CompleteSections A and B.

Fleet Information

Name of Applicant Name of person, firm or corporation.

Mailing Address Street, city, county, state, zip code) - All correspondence and credentials willbe sent to this address. A post office box number is acceptable. However,for delivery purposes, a physical address must be included.

License Year The year in which you are registered. (Beginning year).

Account Number Use these spaces for the numbers which were assigned by PennDOT. Fleet Number

Contact Person The name of the person who should be contacted in the event there is aproblem with the application.

Phone Number The phone number of the person responsible for apportioned vehicleregistration of the fleet.

Section A Check the block(s) for the credential(s) you wish to replace.

Check the reason for replacement.

Section B

VEHICLE INFORMATION

Equipment Number Show the equipment or unit number assigned by applicant. Enter “ALL” ifreplacement credentials are requested for the entire fleet.

Vehicle Identification Show complete serial (VIN) number as listed on MCO or title.Number

Gross Weight The unladen (empty) weight of a vehicle plus the weight of the load carried on that vehicle. For vehicles in combination the gross weight of the power

unit would be the empty weight of the truck/tractor plus the loaded weight ofthe front end of the semi-trailer resting on the truck tractor. For the trailer,enter semi-trailer empty weight plus the weight of the heaviest load to betransported on the rear axle.

Combined Gross Weight For vehicles in combination, combined gross weight shall mean weight of atruck or tractor, plus the weight of any trailer or semi-trailer, together withcargo or payload transported. This column will be used to determine theregistered weight for Pennsylvania.

License Number Enter the registration plate number presently assigned to the vehicle.

Section C Signature of the applicant and date.

Section D This section is only to be completed when an applicant is entitled to freereplacement of credentials.

Check appropriate box.

Sign in the presence of a notary.

Notary must place a seal or stamp on the application and complete theinformation requested.

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TEMPORARY AUTHORIZATION AGENT

Registrants whose apportioned accounts are paid and who pre-pay the required security deposit may purchasePennsylvania Temporary Authorizations (TAs). The security deposit shall be equal to 50% of the fee for registeringa combination at 80,000 pounds gross weight multiplied by the number of authorizations purchased up to amaximum of 25. The security deposit may be either an irrevocable letter of credit from a bank naming theDepartment as the sole beneficiary, or a bond executed by a surety company authorized to do business in thisCommonwealth and shall state it is for the use and benefit of the Commonwealth. The bond or letter of credit shallbe maintained for three years from the date of application.

Application for bulk orders must be submitted indicating the personnel authorized to issue and sign for the carrier.Fees on the original registration application must be paid before the initial request for the TA forms can beapproved. The forms are not transferable and may not be used by another carrier.

SELF-INSURANCE OF TAS IS A SPECIAL PRIVILEGE: ALL ISSUANCE PROCEDURES MUST BE ADHEREDTO BY THE REGISTRANT:

The authorized agent must complete the TA form by typewriter or in ink at the time it is to be used. Theoriginal copy is to be mailed to PennDOT’s Commercial  Registration Section with a supplementalapplication within five (5) days; the second copy is to be carried in the cab of the vehicle as a credential;the third copy is to be retained by the authorized agent for audit purposes. The TA is valid for 60 days. TheTA covers a specific vehicle and cannot be transferred to another vehicle. Only one TA may be issued perunit. (Exception: with prior approval when application processing may be delayed.)

If a TA is filled out incorrectly, it must be voided, the original and second copy must be sent to PennDOT’sCommercial Registration Section immediately, with an explanation of the void and the third copy must be retainedby the authorized agent for auditing purposes.

If the registrant wishes to cancel or void a TA after the PennDOT copy has been forwarded, the vehicle copy mustbe forwarded to PennDOT within five (5) days after date of issuance or the carrier will have to pay the fees duefor the vehicle described in the TA.

If a registrant fails, within the time limit, to register a vehicle for which a TA was issued, the apportioned registrationprivileges of such carrier will be suspended until the registration of this additional vehicle is completed. Transfercredit will not be allowed. Misuse of the TA permits will result in cancellation of the authorized agent's privilege toissue these permits. Full registration and related taxes will be assessed for missing TA forms.

Any carrier who discontinues business, fails to renew their apportioned registration with Pennsylvania, has itsregistration suspended or cancelled shall immediately return all unused TAs to the Bureau of Motor Vehicles.

Authorized agents shall keep all TAs in a secure place, such as a locked cabinet, and shall notify the Bureau ofMotor Vehicles immediately of any loss or theft of TAs. Loss, theft or misuse of TAs may result in the cancellationof the authorized agents privileges to issue TAs.

TEMPORARY EVIDENCE OF APPORTIONED REGISTRATION

Upon request from a currently apportioned registrant, Pennsylvania may issue a temporary evidence ofapportioned registration (TEAR) for a vehicle. The issuance of this authorization is a privilege and a courtesy inorder that a new or added vehicle may be operated immediately without receipt of credentials.  A supplementalapplication form for the added vehicle must be submitted within five (5) days of the date of authorization so thatcredentials can be received before the expiration date of the TA.

If a TEAR is issued but the supplemental application to register the vehicle is not forwarded with all supportingdocuments within five (5) days of the date of the TEAR, the carrier will be billed for fees based on vehicleinformation in the initial application. Transfer credit will not be allowed unless proof is furnished that the vehiclewas permanently removed prior to operation of replacement vehicle. The remainder of the carrier’s fleet may besuspended for repeated violations of this type.

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If a vehicle for which a TEAR was requested, is not used, the TA must be returned to the Commercial RegistrationSection within 5 days.

1. TEAR Agents are located throughout Pennsylvania and may be found through directory assistance astag agencies.

2. The carrier requesting the TEAR shall have a vehicle or a fleet currently apportioned with Pennsylvaniaand the added vehicle shall be subject to proportional registration and be permanently registered aspart of the carrier’s fleet in Pennsylvania.

3. The applicant will need to provide the TEAR Agent all documentation required to register the vehicle.Items may include title, MCO, insurance and lessee agreements.

4. The supplemental registration application for the vehicle covered by the TEAR shall be completed andsubmitted within 5 days of the date of the authorization. The TEAR will be valid for 60 days.

5. The TEAR covering a specific vehicle cannot be transferred or assigned to another vehicle.

6. The TEAR Agent reserves the right to refuse issuing TAs to any carrier whose account is not in goodstanding.

NOTE: If the applicant wishes to cancel a temporary evidence of apportioned registration (TEAR), theyare required to return the yellow "vehicle copy" to the issuing agent within five days (calendar days)from the date of issue or the carrier will have to pay the fees due for the vehicle described on the TEAR.

TRIP PERMITS

Out-of-state non-apportioned vehicles that qualify as an apportionable vehicle but are not registered as such arerequired to obtain a trip permit prior to entering the Commonwealth of Pennsylvania.

Non-apportioned vehicles registered in Pennsylvania that qualify as an apportionable vehicle are required toobtain apportioned registration or a trip permit prior to entering another jurisdiction.

Vehicles meeting the requirements of an apportionable vehicle that fail to obtain a valid trip permit prior toentering another jurisdiction, may be subject to full registration fee for that state, if cited.

Effective January 1, 2016, buses used in interstate charter activities shall be required to obtain apportionedregistration or a trip permit.

Registrants may wish to obtain trip permits if their interstate business are infrequent. Trip permits may beobtained for Pennsylvania by the agents listed below:

Com Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (800) 749-9143 Customer Permit Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (800) 669-5014 Electronic Funds Service, LLC dba T-Check Systems. . . . . . . . . . . . . . . . . . . . . . . . (866) 351-2435 Jet Permit, LLC. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (800) 788-0603 JJ Keller . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (800) 231-5266 National Permits dba State Permits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (330) 497-0446 Nova permits & Pilot Cars . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (418) 527-7775 On the Move Permits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (727) 942-5744 Permit America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (866) 573-7648 Reliable Permit Solutions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (909) 436-4220 Trans/Mid-America, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (800) 228-7577 West Chester Permit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (513) 777-3000

For a list of Pennsylvania online agents please visit our website at www.dmv.pa.gov

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PAYMENT PROCESSING

DETERMINING PERCENTAGE/FEES

For more fees, refer to Form MV-70S, "Bureau of Motor Vehicles Schedule of Fees". This form can be found onour website at www.dmv.state.pa.us.

BILLING

It is the registrants responsibility to validate the invoice for accuracy before payment is remitted. Thevehicle equipment numbers are identified on the invoice for up to 25 vehicles. The invoice also lists thejurisdictions and the percentage of fees due each jurisdiction. Pennsylvania's fees and percentage is foundjust above the total fees due.

Your remittance is to be made out to: “Commonwealth of Pennsylvania”. You must pay by certified check,money order, or cashier’s check unless a bond in the amount of the annual registration fees has beenposted.

Return the Commonwealth copy (white) of the billing notice along with the total fees due to the CommercialRegistration Section, P.O. Box 68285, Harrisburg, PA 17106-8285.

All plates, cab cards, and temporary authorizations are subject to cancellation and revocation in the eventof erroneous issuance, thereof, if any fees remain unpaid.

REFUNDS

Refunds of Pennsylvania apportioned registration fees due to applicants will be made for the following reasons:

(a) if a billing error was made by a jurisdiction;

(b) if there is a duplication of vehicles apportioned and fees are paid twice;

(c) if the applicant purchases regular (full fee) plate(s) in error and an apportioned registration is required, a partial refund may be made;

(d) if an audit of an apportioned carrier indicates an overpayment; or,

No refund will be made on any amount less than ten dollars ($10.00).

Pennsylvania will not accept applications from Pennsylvania-based carriers for refunds of apportioned registrationfees for other jurisdictions. Applications for a refund from other jurisdictions must be handled directly between theapplication and other jurisdictions in accordance with the statutes of the various jurisdictions.

No refund is issued in the following circumstances:

(a) Business is discontinued;

(b) Vehicle is removed from fleet (i.e., sold, junked, etc.); or,

(c) Lease expires or is terminated.

Refund request may be submitted by completing Form MV-700 within 90 days of PennDOT’sprocess date.

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VEHICLE IDENTIFICATION

Pennsylvania will issue to Pennsylvania based carriers the following identification credentials:

A. A registration plate bearing the legend "Apportioned"; and,

B. A registration cab card identifying the jurisdictions, weights, name, address, vehicle description and plate number.

Apportioned credentials must be displayed as follows:

A. On a tractor-trailer combination, the apportioned registration plate must be mounted on the front of thetractor. Trucks must have the plate mounted on the rear of the truck.

B. A Cab Card must be carried in the vehicle for which it is issued. If any cab card is not in the vehicle or in the driver’s book, the driver may be subject to arrest and fine.

C. TEAR must be displayed inside the front windshield of the vehicle.

REPLACEMENT OF IDENTIFICATION

If the Pennsylvania Base Plate or Cab Card is lost or stolen, the carrier must submit Form MV-558 to theCommercial Registration Section.

AUDITS

SUMMARY

Every apportioned carrier shall maintain the “Operational Records” on which it's registration application is basedfor a period of three registration years. As an example, the distance records for the registration period effectiveJune 1, 2015 uses the distance reporting period of (July 1, 2013 through June 30, 2014. Vehicle records mustbe retained until 2019 in order to support the 2015 apportioned application. Notice of intent to audit will be givento the carrier. Authenticity of distance and registration will be verified and assessment made for any deficiencyfound. Any apportioned carrier who refuses to comply with the distance reporting requirement shall not be entitledto apportioned registration privileges.

The operational records do not have to be kept in Pennsylvania. However, the records must be made availableupon request for auditing purposes. In the event that the registrant’s vehicle operation records are not located inPennsylvania and it becomes necessary to send auditors out-of-state, Pennsylvania will require reimbursement forper diem and travel expense of its auditors incurred in the performance of the audit.

The carrier shall be assessed for any deficiency found to be due as a result of the audit. Assessments based onaudit, interest on assessments at a monthly rate of 1%, plus a 5% additional assessment if the audit assessmentis not paid within 30 days of the billing date, refunds, or credits on any other amounts including auditor's per diemand travel shall be made in accordance with Pennsylvania's regulations.

RECORDS

Operational records kept for the carrier shall be documents supporting distance traveled in each jurisdiction andtotal distance traveled, such as fuel reports, trip sheets, logs or computer runs that can be supported by sourcedocuments when requested. An acceptable record of the total trip distance traveled should contain the followinginformation: (see page 36 for Trip Sheet suggested format.) 1. Date (starting and ending). 2. Trip origin and destination. 3. Route of travel. 4. Total trip distance (including all movement, loaded, empty, deadhead and/or bobtail distance). 5. Distance by jurisdiction. 6. Unit number or vehicle identification number. 7. Vehicle fleet number. 8. Registrant’s name. 9. Trailer number. 10. Driver’s signature and/or name.

Partial or whole records produced by a vehicle-tracking system, including a system based on a global positioningsystem (GPS), must include:

1. The original GPS or other location data for the vehicle to which records pertain;

2. The date and time of each GPS or other system reading;

3. The location of each GPS or other system reading;

4. The beginning and ending reading from the odometer, hubodometer, engine control module (ECM) or any similar device for the period to which the records pertain;

5. The calculated distance between each GPS or other system reading; and,

6. The route of the vehicle's travel.

A vehicle trip record or vehicle trip sheet must be completed daily for each vehicle movement within a fleet. Anylapse of vehicle movement not accounted for may be penalized against the registrant and may result in anassessment.

Computer printouts and monthly reports such as fuel reports are merely recaps and are not acceptable at facevalue. These must be supported by trip records in order to be used during an audit. Trip leases during the distancereporting period should be attached to the trip record.

A vehicle trip record has value only if the information recorded is accurate and readable. The mileage figures tobe entered on the trip record can be obtained from various sources such as odometer and/or hubodometerreadings, state maps or household goods mileage guide, as long as the method used is consistent. In recordingthe actual distance of a vehicle, the carrier must report all movement (interstate and intrastate) including loaded,empty, deadhead and/or bobtail distance.

Distance operated under trip permits must be included.

Registrants shall accumulate trip records and prepare a monthly, quarterly and annual summary in which thedistance is broken down by unit and by jurisdiction. The summary is to include the total distance for all units withinthe apportioned fleet.

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Monthly summaries must be supported by source documents. Source documents may be stored on microfiche.

From the monthly summary, the quarterly and annual summary can be prepared. The reporting period for distanceto be included in the apportioned registration application shall cover the period July 1 through June 30 of the yearimmediately preceding the new registration year. For example, the registration year 2015, use the period of July1, 2013 through June 30, 2014. Registrants must prepare and maintain separate monthly fleet summaries and ayearly fleet recap for each apportioned fleet.

All registrants are responsible for the proper maintenance of their mileage records. Mileage records must bemaintained for three registration years after the registration year for which they were used to apply forapportioned registration.

NOTE: The three year retention requirement differs from federal regulations for retention of distancerecords. THE REQUIREMENT FOR ALL IRP REGISTRANTS IS THREE (3) REGISTRATION YEARS.

(Five (5) Calendar Years)

Any registrant failing to maintain adequate records for a unit qualified in registrant's fleet during the reportingperiod must provide evidence of non-use. Otherwise, the registrant is subject to receive an assessment in theamount of 20% of the apportioned fees paid. Instances where it's the registrants second such offense, an

Application July 1 - June 30

Year Distance Record Timeframe

2015 July 2013 - June 2014

2016 July 2014 - June 2015

2017 July 2015 - June 2016

2018 July 2016 - June 2017

2019 July 2017 – June 2018

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An owner-operator may elect to be the registrant. However, the proper maintenance of the operational records isthen the responsibility of the owner-operator, not the lessee company.

Total fleet distance include all distance operated in all jurisdictions (states and provinces). Total fleet distance shallmean the distance generated by any truck or truck-tractor which was part of the apportioned fleet during thereporting period preceding the registrant year. The total distance to be reported for any truck or truck-tractor whichwas deleted from or added to the apportioned fleet during the reporting period shall be the distance generated bysuch vehicle while it was part of the apportioned fleet during the reporting period.

Total distance in relation to trailers or semi-trailers, which were part of an apportioned fleet, shall mean thedistance generated by the power units of the fleet.

The registrant will be subject to audit on actual distance traveled. Estimated distance for expanded operations intoadditional jurisdictions should reflect a time period that is directly proportional to the time period covered by actualoperations in the reporting distance year.

assessment of 50% of the apportionable fees paid will apply. When it’s known to be the registrant's third offense,the registrant will be assessed 100% of the fees paid.

An apportioned fleet operator may trip lease apportioned equipment to another apportioned fleet operator or to anon-apportioned fleet operator; however, the registrant/lessor shall be responsible for reporting the distancetraveled by the apportioned equipment trip lease to others. An apportioned fleet operator should not reportdistance traveled by equipment trip leased from others unless the registrant leases equipment from others andelects to license the leased equipment in his name as lessee. If this occurs, the registrant shall maintain, in additionto all information required for his own equipment the lease dates (beginning and ending) on each leased vehicle.

IMPORTANT THINGS TO REMEMBER ABOUT RECORDS AND AUDITS

1. The individual vehicle distance records must be maintained so the continuous movement of the individual vehicle may be audited. The registrant shall maintain a record (in sufficient detail) from which the registrant will be able to explain any unaccounted for time lapse of vehicle movement. This will insure that all distance is properly recorded and accounted for. 2. All distance records must be maintained for five years or 3 registration years.3. Complete distance records supported by trip records can be used in numerous areas where a registrant is required to file various types of distance reports.4. Complete vehicle information records are necessary since several member jurisdictions compute their fees from information other than combined gross weight fee schedules.5. Failure by registrants to maintain records necessary to support the apportioned documents submitted may result in cancellation of the registration privileges provided by the IRP agreement and shall result in an assessment.

Moreover, the registrant must maintain and make available, adequate distance records to support the apportioned registration application. Otherwise, the privilege to apportion may be revoked

ENFORCEMENT

1. Credentials (registration cab card and apportioned registration plate) must be on the vehicle by the first day June. Enforcement begins June 1. Should the need arise for the Bureau of Motor Vehicles to extend its registration deadline, law enforcement personnel and IRP jurisdictions will be notified.2. Pennsylvania apportioned vehicles not displaying the current registration plate and cab card, a valid trip permit or temporary authorization, will be in violation and the driver subject to arrest and fines in all states.3. Pennsylvania carriers going into other jurisdictions should be aware of their requirements before entering. A vehicle apprehended operating in a jurisdiction without being properly registered may be required to pay the fee for full registration in that jurisdiction. 4. Enforcement personnel look at the cab card for verification that vehicles are properly registered. The cab card should be carried in the vehicle, and must not be mutilated or altered in any way.

NOTE: Enforcement personnel will verify the vehicle identification number on the vehicle and on cab card. It isimportant to ensure the correct VIN is recorded on your Application for Apportioned Registration (Schedule A).

SAMPLE OF HOW TRIP SHEETS SHOULD BE SUMMARIZED

The trip record should be summarized by truck by month by jurisdiction. Only apportioned vehicles should beincluded in the summaries.

See below for sample of record keeping:

Monthly summaries, by fleet, must be maintained.

The monthly totals should then be summarized to arrive at the yearly (July 1, 20XX to June 30, 20XX) totalswhich should agree with those amounts reported on your Schedule B.

See below for sample:

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!! PA OH NJ NY TOTAL July 3, 2014 329 75 92 496 July 4, 2014 210 42 52 304 July 5, 2014 38 327 365 July 6, 2014 318 318 July 7, 2014 65 121 186 - - - - - - - - - - - - July 31, 2014 253 41 119 413 MONTHLY TOTALS 1,213 448 158 263 2,082 !

!!

!! PA OH NJ NY TOTAL July 2,005 515 488 877 3,885 August 3,115 312 614 275 4,316 September 2,752 425 525 456 4,158

- - - - - - - - - - - -

June 253 48 118 419 YEARLY TOTALS 8,125 1,252 1,675 1,726 12,778 !

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FMCSA Unified Registration System (URS)

INTRODUCTION

The Federal Motor Carrier Administration (FMCSA) has published a final rule that will combine 16 different formsthat carriers, freight forwarders and brokers currently use to register and update their information with the agencyinto a single, electronic “smart form.” The new Unified Registration System will increase efficiency by streamliningthe registration process for industry and enabling FMCSA to maintain more accurate information on the entities itregulates.

The streamlined web-based system will begin operating in 2015. At that time, all new applications and updates toexisting records will be handled through the new system.

This rule applies to all interstate motor carriers (private and for-hire motor carriers of passengers and freight),freight forwarders, brokers, IEPs, HMSP applicants/holders, and cargo tank manufacturing and repair facilitiesunder FMCSA jurisdiction.

Some of the URS Benefits include:− Increased efficiency− Raising the bar for safety− Simplified processes− A single online registration system− Improved accountability− Reduced paperwork− Maintain accurate information on regulated entities

URS TIMELINE

● New and enhancedenforcement penalties for failing to completeBiennial Update requirement 49 CFR390.19(b)(2) and (4)

● Prohibition of Interstatetransportation with anInactive USDOT Numberor no USDOT Number 49CFR 392.9b

Source: Federal Motor Carrier Safety Administration (FMCSA) Unified Registration System (URS) Presentation

● Electronic filing only byuse of online MCSA-1form

● All entities must updatetheir information within 30days of change

● Insurance Filing forexempt for-hire andprivate HM

● All new applicants aresubject to the registrationfee

● Process Agent filing forPrivate and Exempt For-Hire Carriers

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November 1, 2013

● Prohibition on operating in interstate commerce for MCs, HMSPs, and IEPs that: − Fail to complete their biennial update requirements− Fail to register for USDOT number − Operate without an active USDOT number

● Enhanced penalties for failure to comply with the items listed above● Notifications/Warning letters sent to entities that require a USDOT Number registration renewal prior to the

entities’ respective due date● Failure to update will result in deactivation of the USDOT number

October 23, 2015

● URS operational − All entities must update their information within 30 days of change − All entities must file electronically using the new MCSA-1 Form − Exempt For-Hire and Private HazMat (HM) Carriers must now file proof of insurance (in addition to all

non-exempt For-Hire Carriers, Brokers, and Freight Forwarders) − All new applicants are subject to the registration fee (including Private and Exempt For-Hire Carriers)

April 25, 2016

● Process agent filing required for Private and Exempt For-Hire Carriers − A process agent represents the FMCSA-regulated entity—for example, a specific motor carrier

company - who is served with legal documents for court or Agency processes − Entities need to have a process agent in every state they do business

● A list of current blanket agents that can represent the entity in all 50 states can be found on the FMCSARegistration and Licensing page:http://www.fmcsa.dot.gov/registration-licensing/licensing/agents.htm

● Entities are not required to use agents listed on the site

THE BIENNIAL UPDATE REQUIREMENT

WHAT IS THE BIENNIAL UPDATE?● The Biennial Update is the first stage of implementation of the Unified Registration System (URS)● It is not a new requirement for MCs, HMSPs, and IEPs to update information every 24 months● Entities can update online via FMCSA home page or their portal account● On October 23, 2015, this will be a new requirement for:

− Cargo tank facilities − Freight forwarders − Brokers

Source: Federal Motor Carrier Safety Administration (FMCSA) Unified Registration System (URS) Presentation

November 1, 2013 October 23, 2015 April 25,2016

November 1, 2013 October 23, 2015 April 25,2016

November 1, 2013 October 23, 2015 April 25,2016

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HOW DOES THE ENTITY COMPLETE THE BIENNIAL UPDATE?● Online:

− FMCSA Home page − Portal Account

● Mail: The motor carrier can send the updated MCS-150, 150B and 150C forms to: Federal Motor Carrier Safety Administration

Office of Registration and Safety Information (MC-RS)1200 New Jersey Avenue, S.E.Licensing Team, 6th FloorWashington, D.C. 20590

● Fax: − 703-280-4003

● NOTE: Biennial updates are processed immediately if done online, but updates filed by fax or mail may takethree to four weeks to process.

MCS-150 FORM● To obtain an application for a USDOT Number (all MCS-150 forms) entities can go to:

− http://www.fmcsa.dot.gov − Click the Registration & Licensing tab to access the form.

WHO DOES THE BIENNIAL UPDATE APPLY TO TODAY AND IN 2015?● Today

− Motor carriers − IEPs − HMSPs

● October 23, 2015 − Motor carriers, IEPs, HMSPs − Brokers − Freight Forwarders − Cargo Tank Facilities

BIENNIAL UPDATE TABLEFiling schedule: Each motor carrier or IEP must file the appropriate form before beginning operations, and thenevery 24 months, according to the following schedule.

● If the next-to-last digit of its USDOT Number is odd, the motorcarrier or intermodal equipment provider shall file its

update in every odd-numbered calendaryear.

● If the next-to-last digit of its USDOT Number is even, the motor carrier or intermodal equipment provider shall file its update in every even-numbered calendar year.

WHAT WILL HAPPEN IF INFORMATION IS NOT CURRENT?● Beginning November 1, 2013 (the compliance date of the revised biennial update provision), the Agency will

issue a warning letter at least 30 days in advance of a biennial update deadline to notify the entity that itsUSDOT Number will be deactivated if it fails to comply with the biennial update requirement

● The letter will contain instructions on how to complete the biennial update● Entities that fail to complete their biennial update according to the schedule in 390.19(b)(2) will have their

USDOT number deactivated

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● FMCSA will only deactivate USDOT numbers for entities that fail to update has failed to meet the existingbiennial update requirement after November 1, 2013

● If a Motor Carrier fails to update, the carrier’s USDOT number will be deactivated one month after the filingdeadline

● Motor Carriers will be subject to citations 49 CFR 392.9b if inspected at roadside and operating with adeactivated USDOT Number

● During a compliance investigation, a motor carrier, HMSP and/or IEP that fails to update will also be cited forfailing to complete its biennial update

URS and Intrastate Operations● URS does not affect States issuing USDOT numbers to intrastate carriers● It is a State’s decision regarding fees, if any, for issuing USDOT numbers to intrastate carriers● When deployed, the URS will support States’ ability to issue USDOT numbers to intrastate carriers

URS AND PRISM● The motor carrier is ultimately responsible for ensuring the biennial update requirements are met● PRISM -- Performance and Registration Information Systems Management

− The PRISM program ties USDOT registration status to vehicle registration/tags, serving as a powerfulmeans of safety enforcemento If a carrier’s USDOT number is inactive, or out of service, a PRISM state may deny vehicle

registration/tag renewal, or in some states, revoke existing vehicle registrations − Motor carriers obtaining or renewing vehicle registration credentials in PRISM states may be required

by the state to update their census information if the carrier has not done so within the past year; thisupdate meets the requirements of the biennial update.

UNIFIED CARRIER REGISTRATION● Unified Carrier Registration (UCR) is completely separate and distinct from the Federal URS● State-based registration system enacted August 10, 2005 replacing the Single State Registration System

(SSRS)● UCR Agreement applies to the following US, Canadian & Mexican Interstate operations:

− All For Hire Motor Carriers of Property and Passengers − Private Motor Carriers of Property − Freight Forwarders − Brokers− Leasing Companies

● Administered by States via base-state agreements● UCR Annual filing starts on October 1st● State revenues from UCR fees must be used for motor carrier safety programs and enforcement only● For more information on UCR requirements, FAQs, fees, and payment methods go to www.ucr.in.gov

RESOURCES

HOW ENTITIES CAN OBTAIN A PIN● Biennial update warning letters will include a PIN● Entities can obtain a PIN by calling 800-832-5660● Hours of Operation:

M–F 8:00 am – 8:00 pm Eastern Time

Important Note: Paper forms will no longer be accepted by FMCSA beginning October 23, 2015

Source: Federal Motor Carrier Safety Administration (FMCSA) Unified Registration System (URS) Presentation

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ONLINE UPDATES● Carriers can view and update their information online using the FMCSA PORTAL at:

https://portal.fmcsa.dot.gov/login

SUMMARY● August 23, 2013: URS Regulation published● November 1, 2013:

− New and enhanced enforcement penalties for failing to complete the Biennial Update requirement − Prohibition of interstate transportation with an inactive USDOT number or no USDOT number

● October 23, 2015: − URS is operational− Electronic applications only—paper forms no longer accepted − All applicants will be subject to a $300 USDOT number registration fee per application

Source: Federal Motor Carrier Safety Administration (FMCSA) Unified Registration System (URS) Presentation

QUESTIONSAND

ANSWERS

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Q. How will participation in an Apportioned Registration Program help my trucking operation?

A. The Apportioned Registration Program provides a method for motor carriers to operate interstate orintrastate in jurisdictions with a minimum of operating credentials. Under the Full Reciprocity Plan(effective January 1, 2015), a carrier is issued one (1) registration plate and one (1) cab card listing alljurisdictions in which the carrier intends to travel. Additional information regarding the FRP is below.

Q. Must I register my equipment at the same gross vehicle weight in all states party to the agreements?

A. No. Your gross weight, as shown on both your application and cab card, may vary from state to state.Enforcement personnel, however, may issue a citation to your vehicle if found operating in any state at aweight exceeding the weight for which it is registered in that state.

Q. Are there any special problems that might be encountered in securing overweight special permits?

A. No. However, most states require a unit to be registered for the maximum allowable weight before issuinga special permit.

Q. For my first apportioned registration, what mileage figures should I use if I have little or no data?

A. If this is the first year an apportioned registration application has been filed, estimated mileage will be usedfor calculation purposes based on the Average per Vehicle Distance Chart.

Q. What is the minimum number of vehicles that may be apportioned in a fleet?

A. One (1) vehicle is the minimum number that may be apportioned in a fleet.

Q. Must all of my vehicles be apportioned as a single fleet?

A. No. You may register your vehicles either as a single fleet or in several fleets to meet the nature of youroperation. However, under the FRP, there is no longer a need to segment fleets based on geographicaltravel since all IRP jurisdictions appear on the cab card. The optimal time to consolidate fleets is at thetime of renewal.

Q. How do I add or delete vehicles or transfer license in my fleet during a registration year?

A. To add, delete or transfer vehicles in a fleet use Form MV-552A.

Q. Is there a procedure for changing the registered gross weight of a vehicle during the registration year?

A. Yes. You must complete Form MV-552A and pay additional fees where the gross weight is to be increased.

FULL RECIPROCITY PLAN (FRP) QUESTIONS & ANSWERS

Q. What is the benefit of the Full Reciprocity Plan (FRP)?

A. The FRP process supports the fundamental principle of the International Registration Plan (IRP) bygranting full reciprocity for all apportioned vehicles in all member IRP jurisdictions. The intent of thischange is to make the Plan more efficient to administer and more equitable and more flexible for itsmember jurisdictions and registrants. The FRP will change the IRP by granting full reciprocity for allapportioned vehicles in all member IRP jurisdictions. Language is removed from the Plan that referencesa registrant's intent to operate in selected jurisdictions. This is no longer needed since under "fullreciprocity" a registrant will have the ability to operate in any jurisdiction. Renewing registrants pay anapportioned registration fee based on the actual miles reported.

Q. When does the FRP become effective?

A. The FRP becomes effective January 1, 2015. Existing Pennsylvania apportioned accounts will be affectedby the FRP at the time of renewal for the registration cycle beginning on June 1, 2015.

Q. If a registrant renews the apportioned registration early and receives cab cards valid on June 1,2015, is the registrant authorized to operate in all jurisdictions prior to June 1, 2015?

A. No, registrants may only operate in the jurisdictions displayed on their current cab card which expires onMay 31, 2015. Although the new credentials may be received prior to June 1, 2015, the jurisdictions on thecab card do not become effective until June 1, 2015.

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Q. How is a transaction such as an add vehicle or add jurisdiction to be handled between the January1, 2015 effective date of the FRP and the June 1, 2015 effective date for the new registration cycle?

A. Established apportioned accounts fall under the current registration year which ends on May 31, 2015.Transactions to add vehicles or add jurisdictions to an established account will be handled as they have inthe past until June 1, 2015. Any new accounts created on or after January 1, 2015 will be affected by theFRP. For example, a new apportioned account established February 2, 2015 will fall under the FRPprovisions.

Q. Are all existing apportioned registrants going to be subject to the average per vehicle distancechart fees for all jurisdictions the first year under the FRP?

A. No. Existing apportioned accounts being renewed for the registration year beginning June 1, 2015, willreport actual distances traveled during the distance reporting period. Registration fees will be based onactual distance traveled.

Q. When will registration fees be based on the average per vehicle distance chart?

A. When a registrant's fleet is considered new under Section 420 of the IRP, or when the fleet did notaccumulate any actual distance during the distance reporting period, fees will be calculated using the basejurisdiction's average per vehicle distance chart.

Q. When is actual distance to be used to determine registration fees?

A. Actual distance must be used when the registrant's fleet accumulated any actual distance during thedistance reporting period. The reporting period is always July 1 through June 30 of the previous year. Forexample, registrants renewing apportioned registrations for the registration cycle beginning June 1, 2015will report actual distance travelled between: July 1, 2013 and June 30, 2014.

Q. Can new fleets created after January 1, 2015 use a combination of actual and average per vehicledistance?

A. No, a new fleet has no actual distance. Under the FRP, the jurisdiction's average per vehicle distance chartmust be used to determine fees for all IRP jurisdictions. A combination of actual distance and average pervehicle distance should never be used under the FRP.

Q. How is the Average per Vehicle Distance (AVD) chart established?

A. The average per vehicle distance chart is to be established in accordance with Section 320 (d) of the IRP.

Q. Does the 90 days of actual distance operations in the distance reporting period apply under theFRP?

A. No. The 90 day rule was removed by passage of the FRP ballot.

Q. How would an apportioned registrant be handled if actual distance occurred only in Pennsylvaniaduring the reporting period? Is the registrant charged 100% of the base jurisdiction's fees?

A. Yes. Under the FRP the registrant must report the actual distance accumulated during the distancereporting period.

Q. Under the FRP, what weight should be displayed on the IRP cab card?

A. Under the FRP, the gross vehicle weight should be displayed on the cab card for every IRP jurisdiction.The gross weight for Pennsylvania plus the comparable weight for each member jurisdiction will bereflected. (Pennsylvania's maximum gross vehicle weight is 80,000 pounds; vehicles may be registered athigher weights in other jurisdictions as permitted by those jurisdictions).

Q. How are weights over 80,000 pounds to be handled?

A. The FRP doesn't affect how weights over 80,000 pounds are handled. The registrant should continue todeclare the gross vehicle weight.

Q. How are mid-year applications for weight increases handled for jurisdictions where no actualdistance was reported and no fees were paid?

A. The FRP doesn't affect how weight increases are handled. If no actual distance is reported, then no feesare due until the apportioned registrant accumulates distance in the jurisdiction.

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Q. Can new apportioned registrants indicate lower weights in some jurisdictions other thanPennsylvania?

A. There is a 10% variance of registered weights rule in the IRP Plan. Refer to the IRP, Section 325 regardingthis and related registration weight requirements.

Q. Where can I find information about Pennsylvania's Apportioned Registration Program?

A. Information on Pennsylvania's Apportioned Registration Program can be found on the Driver and VehicleServices website at http://www.dmv.state.pa.us.

Q. Where can I find information about the IRP and the FRP?

A. Information on the IRP and FRP can be found on the IRP, Inc. website at http://www.irponline.org.

CHARTER BUS QUESTION & ANSWERS

Background

The International Registration Plan (IRP) is a cooperative registration agreement among all of the states in thecontinental United States, the District of Columbia and Canadian Provinces providing for payment of apportionableregistration fees on the basis of total distance operated in all jurisdictions. On September 18, 2014, IRPjurisdictions voted in favor of amending the definition of “Apportionable Vehicle” in the Plan by removing theexemption for charter buses effective January 1, 2016.

Q. How does the change impact my bus company?

A. Beginning January 1, 2016, companies with charter buses performing interstate operations will be requiredto either register their buses with apportioned registration plates or maintain their bus base plate andpurchase trip permits for each jurisdiction where travel is intended. Note that these vehicles must meetthe definition of an apportionable vehicle to be registered under IRP.

Q. What is the definition of an apportionable vehicle?

A. An “Apportionable Vehicle” means any Power Unit that is used or intended for use in two or more IRPmember jurisdictions, and is used for the transportation of persons for hire, or designed, used, ormaintained primarily for the transportation of property, and:

(i) has two Axles and a Gross Vehicle Weight or Registered Gross Vehicle Weight in excess of 26,000 pounds (11,793.401 kilograms), or

(ii) has three or more Axles, regardless of weight, or

(iii) is used in combination, when the Gross Vehicle Weight of such combination exceeds 26,000pounds (11,793.401 kilograms).

Q. What are the requirements to establish a Pennsylvania apportioned account?

A. In order to establish an apportioned account with the Department, the applicant must provide threeidentifying documents. The name and address on the identifying documents must match the address onthe apportioned account. If the applicant is an individual, one of the three identifying documents must betheir Pennsylvania driver’s license. If the applicant is using a business name, they must provide a copyof the documentation received by the Department of State verifying the entity is registered.

The two additional forms of identification may be one of the following: Utility bill(s), Federal or State taxfiling, Current Real Estate or Property Tax, Federal Motor Carrier Safety Administration (FMCSA)correspondence.

NOTE: PO Boxes are not acceptable as physical business addresses, however can be used as a mailingaddress.

To apply for apportioned registration, please complete the Registration Application Schedule for NewAccount, MV-550 or MV-550A (single vehicle), on our website.

Q. How long does it take to receive apportioned registration?

A. Apportioned registration may be obtained the same day at the PennDOT Riverfront Office Center inHarrisburg. Applications submitted through a local Temporary Authority (TA) agency are forwarded toPennDOT for processing. Temporary authority registration is valid for 60 days from issuance. It isimportant that all required documentation is provided with the initial application to help expedite theapplication process.

Q. Are school buses traveling interstate for school related activities affected by the Charter Buschange?

A. Apportioned registration is not required for school bus vehicles used in performing school related activitiestraveling interstate. However if the school bus is used in charter operations any time during the registrationperiod, the bus would be subject to IRP requirements or have to obtain a trip permit.

Q. What are the record keeping requirements for an apportioned vehicle?

A. A log book or record of daily trips must be kept for all apportioned vehicles. The daily trip information mustinclude: Equipment Number, Date, Origin and Destination including city and state, beginning and endingodometer readings and routes of travel. Monthly and quarterly vehicle summaries should include date anddistance by jurisdiction (including PA). The mileage for apportioned vehicle record keeping also requiresthe routes and roads travelled.

Q. My current bus plate expires in a month other than May (the month apportioned registrationexpires), will I be able to maintain my current expiration date if I convert my fleet or portion of myfleet to apportioned registration?

A. All apportioned registrations expire May 31. Vehicles not in the apportioned registration may retain theircurrent expiration date. While not yet available, PennDOT plans to offer staggered apportionedregistrations in the future.

Q. How do I learn more about other bus plates and related requirements?

To learn more about other bus plates in Pennsylvania, please see our Bus, School Vehicle, Limousine, TaxiRegistration Fact Sheet on our website.

For additional information on the apportioned registration program please visit the PennDOT website athttp://www.dmv.pa.gov.

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International Registration Plan©

with Official Commentary

Adopted September 1973 Amended July 1, 2016

www.irpinc.org

i

INTERNATIONAL REGISTRATION PLAN

Table of Contents

INTERNATIONAL REGISTRATION PLAN ......................................................................................................... I

Table of Contents .......................................................................................................................................... i FOREWORD ............................................................................................................................................................... 6

OFFICIAL COMMENTARY .................................................................................................................................... 7

ARTICLE I PURPOSE AND PRINCIPLES ............................................................................................................ 8

100 TITLE .................................................................................................................................................... 8 105 FUNDAMENTAL PRINCIPLE ...................................................................................................... 8 110 ONE REGISTRATION PLATE ...................................................................................................... 9 115 EFFECT OF THE PLAN ON OTHER AGREEMENTS ........................................................... 9 120 RECIPROCAL EXEMPTION FROM FEES ............................................................................... 9 125 GRANTING OF RECIPROCITY ................................................................................................. 10 130 DISCHARGE OF REGISTRANT RESPONSIBILITY ........................................................... 10 135 FEES NOT WAIVED ...................................................................................................................... 11

ARTICLE II DEFINITIONS .................................................................................................................................... 12

ALLOCATION .......................................................................................................................................... 12 APPLICANT ............................................................................................................................................... 12 APPORTIONABLE FEE ......................................................................................................................... 12 APPORTIONABLE VEHICLE .............................................................................................................. 12 APPORTIONED VEHICLE .................................................................................................................... 13 APPORTIONMENT PERCENTAGE ................................................................................................... 14 AUDIT .......................................................................................................................................................... 14 AUXILIARY AXLE ................................................................................................................................. 14 AXLE ............................................................................................................................................................ 14 BASE JURISDICTION ............................................................................................................................ 15 BOARD ........................................................................................................................................................ 15 CAB CARD ................................................................................................................................................. 15 CHARTERED PARTY ............................................................................................................................ 15 COMBINATION OF VEHICLES ......................................................................................................... 16 CREDENTIALS ......................................................................................................................................... 16 ENFORCEMENT DATE ......................................................................................................................... 16 ESTABLISHED PLACE OF BUSINESS ............................................................................................ 16 EXCEPTION .............................................................................................................................................. 17 EXTENSION .............................................................................................................................................. 17 FLEET .......................................................................................................................................................... 17 GRACE PERIOD ....................................................................................................................................... 17 HOUSEHOLD GOODS CARRIER ...................................................................................................... 18 INTERJURISDICTION MOVEMENT ................................................................................................ 18 INTRAJURISDICTION MOVEMENT ................................................................................................ 18 JURISDICTION ......................................................................................................................................... 18

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LEASE .......................................................................................................................................................... 19 LESSEE........................................................................................................................................................ 19 LESSOR ....................................................................................................................................................... 19 MEMBER JURISDICTION .................................................................................................................... 19 MOTOR VEHICLE ................................................................................................................................... 19 PERSON ...................................................................................................................................................... 20 PLATE .......................................................................................................................................................... 20 POOL ............................................................................................................................................................ 20 POWER UNIT ............................................................................................................................................ 20 PROPERLY REGISTERED VEHICLE ............................................................................................... 20 RECIPROCITY .......................................................................................................................................... 21 RECIPROCITY AGREEMENT ............................................................................................................. 21 RECIPROCITY DISTANCE .................................................................................................................. 21 RECORDS ................................................................................................................................................... 21 RECORDS REVIEW ................................................................................................................................ 22 RECREATIONAL VEHICLE ................................................................................................................ 22 REGISTRANT ........................................................................................................................................... 22 REGISTRATION YEAR ......................................................................................................................... 22 RENTAL FLEET ....................................................................................................................................... 23 RENTAL OWNER .................................................................................................................................... 23 RENTAL VEHICLE ................................................................................................................................. 23 REPORTING PERIOD ............................................................................................................................. 23 REPOSITORY ............................................................................................................................................ 24 RESIDENCE ............................................................................................................................................... 24 RESTRICTED PLATE ............................................................................................................................. 25 SEMI-TRAILER ........................................................................................................................................ 25 SERVICE REPRESENTATIVE ............................................................................................................ 25 TOTAL DISTANCE ................................................................................................................................. 25 TRACTOR .................................................................................................................................................. 26 TRAILER..................................................................................................................................................... 26 TRIP PERMIT ............................................................................................................................................ 26 TRUCK ........................................................................................................................................................ 26 TRUCK TRACTOR .................................................................................................................................. 26 UNITED STATES REGIONS ................................................................................................................ 27 VEHICLE .................................................................................................................................................... 27

ARTICLE III APPLICATIONS FOR APPORTIONED REGISTRATION ....................................................... 28

300 APPORTIONED REGISTRATION EXCLUSIVE .................................................................. 28 305 SELECTION OF BASE JURISDICTION .................................................................................. 28 310 REGISTRANT FROM NON-MEMBER JURISDICTION .................................................... 29 315 APPLICATION PROCESS ............................................................................................................ 30 320 AVERAGE PER-VEHICLE DISTANCE ................................................................................... 31 325 VARIANCE OF REGISTERED WEIGHTS .............................................................................. 31

ARTICLE IV FEES ................................................................................................................................................... 33

400 CALCULATION OF APPORTIONABLE FEES ..................................................................... 33 405 CALCULATION OF APPORTIONMENT PERCENTAGE (deleted) ................................ 33

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410 NO MINIMUM REGISTRATION FEE; COLLECTION OF OTHER FEES PERMITTED .............................................................................................................................................. 33 415 ADDITIONAL JURISDICTIONS (deleted) ............................................................................... 33 420 NEW FLEETS ................................................................................................................................... 33 425 ADDITIONAL VEHICLES ........................................................................................................... 34 430 FLEET CONSOLIDATION ........................................................................................................... 35 435 REFUNDS AND CREDITS ........................................................................................................... 35 440 CREDIT FOR REPLACEMENT VEHICLES ........................................................................... 35 445 FOREIGN EXCHANGE ................................................................................................................. 36

ARTICLE V REGISTRATION OF APPORTIONABLE VEHICLES................................................................ 37

500 BASE JURISDICTION REGISTRATION ................................................................................. 37 505 CANCELLATION OF REGISTRATION .................................................................................. 37 510 OPERATION UNDER PLAN REGISTRATION ..................................................................... 37 515 RECIPROCITY FOR TRAILING EQUIPMENT ..................................................................... 38 520 STAGGERED REGISTRATION ................................................................................................. 38 525 TRIP PERMIT REGISTRATION ................................................................................................. 39 530 UNLADEN VEHICLE REGISTRATION—HUNTER’S PERMITS .................................. 39

ARTICLE VI CREDENTIALS ................................................................................................................................ 40

600 CREDENTIALS FOR APPORTIONED REGISTRATION ................................................... 40 605 DISPLAY OF REGISTRATION CREDENTIALS; RENEWAL CREDENTIALS ......... 41 610 CONTENTS OF THE CAB CARD .............................................................................................. 41 615 PLATES OF WITHDRAWN VEHICLES .................................................................................. 42 620 TEMPORARY EVIDENCE OF APPORTIONED REGISTRATION ................................. 42

ARTICLE VII HOUSEHOLD GOODS CARRIERS ............................................................................................ 44

700 EQUIPMENT LEASED FROM SERVICE REPRESENTATIVES ..................................... 44 705 REGISTRATION IN BASE OF SERVICE REPRESENTATIVE ........................................ 44 710 REGISTRATION IN BASE OF CARRIER ............................................................................... 44

ARTICLE VIII MOTOR BUS APPORTIONMENT ............................................................................................. 46

800 APPLICATION FILING ................................................................................................................. 46 805 DETERMINATION OF DISTANCE .......................................................................................... 46

ARTICLE IX RENTAL VEHICLE REGISTRATION ......................................................................................... 47

905 RENTAL PASSENGER CARS..................................................................................................... 47 910 RENTAL UTILITY TRAILERS ................................................................................................... 47 915 ONE-WAY VEHICLE .................................................................................................................... 48

ARTICLE X RECORDS AND AUDITS ................................................................................................................. 49

1000 RETENTION AND AVAILABILITY OF RECORDS ......................................................... 49 1005 ADEQUACY OF RECORDS ...................................................................................................... 49 1010 CONTENTS OF RECORDS........................................................................................................ 50 1015 INADEQUATE RECORDS; ASSESSMENT ......................................................................... 51 1020 SCOPE OF AUDITS ..................................................................................................................... 52 1025 FREQUENCY OF AUDITS ........................................................................................................ 52 1030 JOINT AUDITS .............................................................................................................................. 53 1035 BASE JURISDICTION AUDIT EXPENSES .......................................................................... 53

iv

1040 REEXAMINATIONS .................................................................................................................... 54 1045 FINDINGS OF A REEXAMINATION .................................................................................... 54 1050 NETTING AUDIT ADJUSTMENTS ........................................................................................ 55 1055 AUDIT REPORTS ......................................................................................................................... 55 1060 AUDIT TRANSMITTALS .......................................................................................................... 56 1065 AUDIT APPEALS ......................................................................................................................... 56 1070 FINALITY OF AUDIT FINDINGS ........................................................................................... 57 1075 AUDIT PROCEDURES MANUAL .......................................................................................... 57

ARTICLE XI MEMBERSHIP AND EXCEPTIONS ............................................................................................. 58

1100 JURISDICTIONAL MEMBERSHIP IN THE PLAN ............................................................ 58 1105 WITHDRAWAL AS A MEMBER ............................................................................................ 58 1110 JURISDICTION EXCEPTIONS ................................................................................................. 59 1115 PERIODIC APPROVAL OF EXCEPTIONS .......................................................................... 60 1120 AMENDMENTS TO EXCEPTIONS ........................................................................................ 60 1125 CANCELLATION OF EXCEPTIONS ..................................................................................... 60

ARTICLE XII MEMBER JURISDICTION DUTIES AND COOPERATION .................................................. 61

1200 COOPERATIVE AGREEMENT ................................................................................................ 61 1205 FEE CHANGES .............................................................................................................................. 61 1210 TIMELY COLLECTION OF APPORTIONABLE FEES .................................................... 62 1215 FEE TRANSMITTALS................................................................................................................. 62 1220 ANNUAL REPORT OF ACTIVITY ......................................................................................... 63 1225 FEE TEST ........................................................................................................................................ 64 1230 NOTIFICATON OF EXTENSIONS .......................................................................................... 64

ARTICLE XIII PLAN ADMINISTRATION ......................................................................................................... 65

1300 OFFICIAL REPOSITORY ........................................................................................................... 65 1305 BOARD OF DIRECTORS ........................................................................................................... 65 1310 DUES ................................................................................................................................................ 65 1315 MEMBER JURISDICTIONS IN GOOD STANDING .......................................................... 66 1320 MEMBERSHIP BALLOTS ......................................................................................................... 67 1325 COMPOSITION OF THE BOARD OF DIRECTORS OF THE REPOSITORY ............ 67 1330 ELECTION OF BOARD MEMBERS ....................................................................................... 68 1335 TERM OF OFFICE ........................................................................................................................ 68 1340 VACANCIES ON THE BOARD ................................................................................................ 69 1345 BOARD ACTIONS ........................................................................................................................ 69 1350 LIAISONS TO COMMITTEES .................................................................................................. 69 1355 PEER REVIEW .............................................................................................................................. 70

XIV DISPUTE RESOLUTION AND PLAN INTERPRETATION...................................................................... 72

1400 BOARD ACTION—RAISING OF ISSUES ............................................................................ 72 1405 INVESTIGATION OF ISSUES .................................................................................................. 72 1410 POWERS AND DUTIES OF THE BOARD ............................................................................ 73 1415 DISPOSITION OF BOARD DECISIONS ............................................................................... 74 1420 APPEALS TO THE BOARD ...................................................................................................... 74 1425 REFUSAL TO ACT ON ISSUE ................................................................................................. 75 1430 ISSUES REFERRED TO JURISDICTIONS ........................................................................... 75

v

ARTICLE XV AMENDMENTS TO THE PLAN .................................................................................................. 77

1500 AMENDMENT PROCESS .......................................................................................................... 77 1505 AMENDMENT INTRODUCTION PROCESS....................................................................... 77 1510 FULL-TRACK BALLOT PROCESS ........................................................................................ 78 1515 SHORT-TRACK BALLOT PROCESS ..................................................................................... 78 1520 EFFECTIVE DATE OF PLAN AMENDMENTS .................................................................. 79

APPENDIX A MEMBER JURISDICTIONS ......................................................................................................... 80

APPENDIX B EXCEPTIONS TO THE INTERNATIONAL REGISTRATION PLAN ................................... 82 APPENDIX C FORM OF ANNUAL REPORT OF PLAN ACTIVITY .............................................................. 83

APPENDIX D INTERNATIONAL REGISTRATION PLAN DUES .................................................................. 84

APPENDIX E GOVERNING BOARD DECISIONS ............................................................................................. 85

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FOREWORD The International Registration Plan is an agreement providing for registration reciprocity among Member Jurisdictions. The unique feature of the Plan is that, even though Apportionable Fees are paid to the various Jurisdictions in which Vehicles of a Fleet are operated, the only Plate and Cab Card issued for each Fleet Vehicle are the Plate and Cab Card issued by the Base Jurisdiction. The Plan provides for payment of Apportionable Fees on the basis of the proportion of Total Distance operated in all Jurisdictions by the Fleet of which a Vehicle is part. A Fleet Vehicle is called an Apportionable Vehicle in the Plan, and such a Vehicle, when registered under the Plan and so far as registration is concerned, may be operated both between Member Jurisdictions and within any single Jurisdiction for which it is so registered. The Plan was initially developed by the American Association of Motor Vehicle Administrators and is recommended for adoption by all Jurisdictions.

7

OFFICIAL COMMENTARY The International Registration Plan was initially developed in the 1960s and early 1970s by representatives of the American Association of Motor Vehicle Administrators, with important input from representatives of the interstate motor carrier and Truck rental and leasing industries. The Plan was conceived as a means of replacing the system of registration Reciprocity which then prevailed, and which was rapidly becoming inadequate to meet the needs of expanding interstate and international commerce. With the related International Fuel Tax Agreement, the Plan is unique in that it is an interJurisdictional agreement administered and managed by the states and provinces that are its members without any significant federal involvement.

CONCERNING HISTORICAL NOTES

Historical Notes have been inserted for convenience only and are not part of the official text of the Plan.

8

ARTICLE I PURPOSE AND PRINCIPLES

Official Commentary

Although this Article serves in part as an introduction to the Plan, it is itself an integral part of the Plan and its provisions are substantive in nature. This Article sets out the guiding purposes and principles of the Plan, and the Plan should be construed throughout in accordance with them. The text of each part of the Plan should be read in the light of the purpose or principle of the provision in question, as well as those of the Plan as a whole, and the language should be construed narrowly or broadly, as the case may be, in conformity with the purposes and principles involved. Throughout the Plan, Member Jurisdictions and their representatives are to be held to a standard of conduct that is reasonable for a Jurisdiction in light of the purpose, the principles, and the provisions of the Plan.

100 TITLE This reciprocal agreement shall be known as the International Registration Plan and is referred to below as the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 100.

105 FUNDAMENTAL PRINCIPLE The fundamental principle of the Plan is to promote and encourage the fullest possible use of the highway system by authorizing apportioned registration of Fleets of Apportionable Vehicles and the recognition by each Member Jurisdiction of the registration of Vehicles apportioned by other Member Jurisdictions, thus contributing to the economic and social development and growth of the Member Jurisdictions.

Official Commentary

Freedom of Vehicle movement is a fundamental principle of the Plan. This freedom is to be attained by authorizing apportioned registration of Fleets. The apportioned registration system makes possible greater flexibility of commerce between and among the Member Jurisdictions. Such efficient use of the highway system is beneficial to the economic and social growth of the Member Jurisdictions. Freedom of Vehicle movement is achieved through official recognition of Apportioned Vehicles by all Member Jurisdictions.

9

The critical importance of the Plan for interJurisdictional commerce is underscored by the cumbersome, inadequate system of registration reciprocity which preceded the adoption of the Plan. That system, which was poorly adapted to the movement of commercial vehicles among Jurisdictions, could not sustain the level of freight and passenger transportation demanded by the economies of the Member Jurisdictions in the 21st century.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 102. Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010.

110 ONE REGISTRATION PLATE It is the purpose of the Plan to implement the concept of one registration Plate for one Vehicle.

Official Commentary

This Section is not intended to prevent a member from issuing two matching Plates for an Apportionable Vehicle and requiring those Plates to be displayed on the front and rear of the vehicle. Rather, the Section presents as one of the foundations of the Plan the concept that an Apportionable Vehicle registered under the Plan need not display a registration credential other than that issued by its Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 104.

115 EFFECT OF THE PLAN ON OTHER AGREEMENTS The Plan preempts any agreement, arrangement, or understanding of any kind between any two or more Member Jurisdictions concerning matters within the Plan. The Plan shall not, however, affect any agreement, arrangement, or understanding between a Member Jurisdiction and a Jurisdiction that is not a Member Jurisdiction.

Official Commentary

This section refers primarily to registration reciprocity agreements between or among Plan members. Such agreements frequently apply both to Apportionable Vehicles and to non-Apportionable Vehicles. The Plan does not affect the validity of such an agreement insofar as it concerns matters not covered by the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2000. Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010. 120 RECIPROCAL EXEMPTION FROM FEES

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The intent of the Plan is to encourage Member Jurisdictions to grant exemptions from the payment of non-Apportionable Fees by Registrants when such grants are reciprocal.

Official Commentary Non-Apportionable Fees under this Section may be subject to exemption under separate reciprocal agreements.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 106. Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010. 125 GRANTING OF RECIPROCITY It is the purpose of the Plan to provide a system through which Member Jurisdictions grant Reciprocity to apportioned Fleets of Vehicles and to provide for the continuance of Reciprocity granted to those Vehicles that are not eligible for apportioned registration under the Plan.

Official Commentary

Apportioned Fleets must be granted Reciprocity. Fleets not so registered are subject to pre-existing registration requirements but may, nevertheless, be granted Reciprocity. Vehicles displaying Restricted Plates, such as farm vehicles, may be exempt from additional fees if the Member Jurisdiction’s law, applicable agreements, understandings, or declarations so provide. Fleets registered under the Plan are not charged additional Apportionable Fees by Member Jurisdictions unless authorized under Section 410. The Plan is therefore construed to be a Reciprocity Agreement providing for the recognition of fees paid to other Member Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 108. Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010. 130 DISCHARGE OF REGISTRANT RESPONSIBILITY A Registrant’s payment to the Base Jurisdiction of Apportionable Fees due under the Plan to all Member Jurisdictions discharges the Registrant’s responsibility for payment of Apportionable Fees to individual Member Jurisdictions.

Official Commentary

This Section is intended to make clear that the obligation of a Plan Registrant to pay Apportionable Fees is fulfilled by its payment of those fees to its Base Jurisdiction. The Registrant is not liable to other Member Jurisdictions for those fees if the Base Jurisdiction fails to account for them properly.

11

However, this Section does not waive the proper payment of Apportionable Fees if later it is determined that those fees were not calculated correctly and additional fees are due.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 109. 135 FEES NOT WAIVED This Plan applies only to Apportionable Fees. Nothing in this Plan shall be construed to waive any fees or taxes authorized by the laws of any Member Jurisdiction in connection with the ownership or operation of Vehicles.

Official Commentary

Whether a fee or a tax is involved, it may only be collected in accordance with the laws of the Jurisdiction imposing the fee or tax. The fee or tax must be set or authorized by statute. A proliferation of such fees or taxes, however, may result in impeding the free movement of commerce among the Member Jurisdictions. This result would tend to contravene the purpose set forth in Section 105.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 302. Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010.

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ARTICLE II DEFINITIONS

ALLOCATION “Allocation” means a system of registering a Fleet that operates in more than one Member Jurisdiction under which the Vehicles are fully registered in individual Member Jurisdictions in proportion to a measure of the presence or travel of the Fleet in each one, and under which the Vehicles so registered are granted Reciprocity in all the Member Jurisdictions in which any of the Vehicles of the Fleet is registered.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended:

APPLICANT “Applicant” means a Person in whose name an application is filed for registration under the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 263. APPORTIONABLE FEE “Apportionable Fee” means any periodic recurring fee or tax required for registering Vehicles, such as registration, license, or weight fees.

Official Commentary This provision describes the type of fees to be apportioned; the key words are “periodic” and “recurring.” A registration, license, or weight fee is only apportionable if it is a “periodic recurring” fee.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 202. APPORTIONABLE VEHICLE “Apportionable Vehicle” means (except as provided below) any Power Unit that is used or intended for use in two or more Member Jurisdictions and that is used for the transportation of persons for hire or designed, used, or maintained primarily for the transportation of property, and:

13

(i) has two Axles and a gross Vehicle weight or registered gross Vehicle weight in excess of 26,000 pounds (11,793.401 kilograms), or

(ii) has three or more Axles, regardless of weight, or

(iii) is used in combination, when the gross Vehicle weight of such combination exceeds 26,000 pounds (11,793.401 kilograms).

A Recreational Vehicle, a Vehicle displaying Restricted Plates or a government-owned Vehicle, is not an Apportionable Vehicle; except that a Power Unit, or the Power Unit in a Combination of Vehicles having a gross Vehicle weight of 26,000 pounds (11,793.401 kilograms), or less, nevertheless may be registered under the Plan at the option of the Registrant.

Official Commentary A Vehicle is determined to be apportionable according to the characteristics and use of the Vehicle or the Combination of Vehicles. Trailing equipment, however, is only registered under the Plan pursuant to an approved Exception, unless it is registered under Section 910. Certain types of vehicles or Combinations of Vehicles that travel or are intended to travel in two or more Member Jurisdictions, but are not otherwise within the definition of Apportionable Vehicle may be apportioned if the Registrant so chooses. Vehicles not apportioned are subject to registration and fee payment in accordance with each Base Jurisdiction’s general registration statutes. These non-apportionable Vehicles may be entitled to Reciprocity in other Jurisdictions under applicable Reciprocity Agreements. The intent of the Registrant or Applicant to operate a Vehicle in two or more Member Jurisdictions is to be considered as an objective fact, determined from all the circumstances of the particular case. The fact that a Vehicle is not used in more than one Jurisdiction for the entirety of a Registration Year and for six additional months gives rise to a presumption that the Registrant did not intend to use the Vehicle in more than one Member Jurisdiction. Such a presumption may be overcome, however, by other circumstances presented by the Registrant.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 391 Apportionable Vehicle, effective January 1, 2016. Related Provisions, 2006 Plan: Section 204. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1998.1, November 19, 1998; Dispute Resolution Committee Decision 1998.3, November 19, 1998; Dispute Resolution Committee Decision 1999.5, November 13, 1999. Related DRC Action: Dispute Resolution Committee Decision 2003.2, November 14, 2003; Dispute Resolution Committee Decision 2007.1, September 28, 2007; Dispute Resolution Committee Decision 2015.02, May 20, 2015.

APPORTIONED VEHICLE

14

“Apportioned Vehicle” means an Apportionable Vehicle that has been registered under the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended:

APPORTIONMENT PERCENTAGE “Apportionment Percentage” means the ratio of the distance traveled in the Member Jurisdiction by a Fleet during the Reporting Period to the distance traveled in all Member Jurisdictions by the Fleet during the Reporting Period, calculated to six decimal places, rounded to five decimal places, and multiplied by one hundred.

Official Commentary

Note that Sections 320 and 805 allow certain operations to use an alternate derivation of Apportionment Percentages. Adopted: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Amended: AUDIT “Audit” means the examination of a Registrant’s Records, including source documents, to verify the distances reported in the Registrant’s application for apportioned registration and evaluate the accuracy of the Registrant’s distance-accounting system for its Fleet. Such an examination may be of multiple Fleets for multiple years.

Official Commentary The purpose of an Audit is to determine the Total Distance traveled by the Fleet and the percentage of distance traveled in each Member Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 262. AUXILIARY AXLE “Auxiliary Axle” means an auxiliary undercarriage assembly with a fifth wheel and tow-bar used to convert a Semi-Trailer to a Trailer.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 206. AXLE

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“Axle” means an assembly of a Vehicle consisting of two or more wheels whose centers are in one horizontal plane, by means of which a portion of the weight of a Vehicle and its load, if any, is continually transmitted to the roadway. For purposes of registration under the Plan, an “Axle” is any such assembly whether or not it is load-bearing only part of the time.

Official Commentary A single-unit Truck with a steering Axle and two Axles in a rear-Axle assembly is an Apportionable Vehicle even though one of the rear Axles is a so-called “dummy,” “drag,” “tag,” or “pusher” type Axle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 208.

BASE JURISDICTION “Base Jurisdiction” means the Member Jurisdiction, selected in accordance with Section 305, to which an Applicant applies for apportioned registration under the Plan or the Member Jurisdiction that issues apportioned registration to a Registrant under the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 210. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.7, October 7, 1996; Dispute Resolution Committee Decision 1999.4, November 13, 1999. BOARD “Board” means the Board of Directors of the Repository.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: CAB CARD “Cab Card” means an evidence of registration, other than a Plate, issued for an Apportioned Vehicle registered under the Plan by the Base Jurisdiction and carried in or on the identified vehicle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 265. CHARTERED PARTY

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“Chartered Party” means a group of Persons who, pursuant to a common purpose and under a single contract, have acquired the exclusive use of a passenger-carrying Motor Vehicle to travel together as a group to a specified destination or for a particular itinerary, either agreed upon in advance or modified by the group after leaving the place of origin. This term includes services rendered to a number of passengers that a passenger carrier or its agent has assembled into a travel group through sales of a ticket to each individual passenger covering a round trip from one or more points of origin to a single advertised destination.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 214. COMBINATION OF VEHICLES “Combination of Vehicles” means a Power Unit used in combination with one or more Trailers, Semi-Trailers, or Auxiliary Axles.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 266. CREDENTIALS “Credentials” means the Cab Card and Plate issued in accordance with the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: ENFORCEMENT DATE “Enforcement Date” means the date the Base Jurisdiction requires a Registrant to display the new Registration Year’s Credentials.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 268. ESTABLISHED PLACE OF BUSINESS “Established Place of Business” means a physical structure located within the Base Jurisdiction that is owned or leased by the Applicant or Registrant and whose street address shall be specified by the Applicant or Registrant. This physical structure shall be open for business and shall be staffed during regular business hours by one or more persons employed by the Applicant or Registrant on a permanent basis (i.e., not an independent contractor) for the purpose of the general management of the Applicant’s or Registrant’s trucking-related business (i.e., not limited to credentialing, distance and fuel reporting, and answering telephone inquiries). The Applicant or Registrant need not have land line telephone service at

17

the physical structure. Records concerning the Fleet shall be maintained at this physical structure (unless such records are to be made available in accordance with the provisions of Section 1035). The Base Jurisdiction may accept information it deems pertinent to verify that an Applicant or Registrant has an Established Place of Business within the Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 218. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.21, November 16, 1997; Dispute Resolution Committee Decision 1999.4, November 13, 1998. EXCEPTION “Exception” means a deviation from the Plan by a Member Jurisdiction, which has been approved by all Member Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: EXTENSION “Extension” means a period of time from the expiration date or end of a Grace Period during which Registrants may operate on expired Credentials by reason of the inability of the Base Jurisdiction to provide current Credentials.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 270. FLEET “Fleet” means one or more Apportionable Vehicles designated by a Registrant for distance reporting under the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 220.

GRACE PERIOD “Grace Period” means a period of time from the expiration of apportioned registration until the Enforcement Date for new Credentials.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 272. HOUSEHOLD GOODS CARRIER “Household Goods Carrier” means a carrier handling (i) personal effects and property used or to be used in a dwelling, or (ii) furniture, fixtures, equipment, and the property of stores, offices, museums, institutions, hospitals, or other establishments, when a part of the stock, equipment, or supply of such stores, offices, museums, institutions, including objects of art, displays, and exhibits, which, because of their unusual nature or value, requires the specialized handling and equipment commonly employed in moving household goods.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 273. INTERJURISDICTION MOVEMENT “InterJurisdiction Movement” means Vehicle movement between or through two or more Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 224. INTRAJURISDICTION MOVEMENT “IntraJurisdiction Movement” means Vehicle movement from one point within a Jurisdiction to another point within the same Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 226. JURISDICTION “Jurisdiction” means a country or a state, province, territory, possession, or federal district of a country.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 228.

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LEASE “Lease” means a transaction evidenced by a written document in which a Lessor vests exclusive possession, control, and responsibility for the operation of a Vehicle in a Lessee for a specific term. A long-term Lease is for a period of 30 calendar days or more. A short-term Lease is for a period of less than 30 calendar days.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 275. Related DRC Action: Dispute Resolution Committee Decision 2010.2, May 13, 2010.

LESSEE “Lessee” means a Person that is authorized to have exclusive possession and control of a Vehicle owned by another under terms of a Lease agreement.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related DRC Action: Dispute Resolution Committee Decision 2010.2, May 13, 2010.

LESSOR “Lessor” means a Person that, under the terms of a Lease agreement, authorizes another Person to have exclusive possession, control of, and responsibility for the operation of a Vehicle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 277. Related DRC Action: Dispute Resolution Committee Decision 2010.2, May 13, 2010.

MEMBER JURISDICTION “Member Jurisdiction” means a Jurisdiction that has applied and has been approved for membership in the Plan in accordance with Section 1100 of the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 278. MOTOR VEHICLE “Motor Vehicle” means a Vehicle which is self-propelled by power other than muscular power and which does not move on rail.

HISTORICAL NOTES

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Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 280. PERSON “Person” means a natural person or business entity such as a corporation, partnership, or limited liability company.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: PLATE “Plate” means the license plate, including renewal decals, if any, issued for a Vehicle registered under the Plan by the Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 212

POOL “Pool,” with respect to motor bus operations, means an agreement or combination among motor carriers of passengers, with the approval of the U.S. Department of Transportation or relevant Provincial authority, to combine or divide traffic, services, or any part of their earnings.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: POWER UNIT “Power Unit” means a Motor Vehicle (but not including an automobile or motorcycle), as distinguished from a Trailer, Semi-Trailer, or an Auxiliary Axle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 282. PROPERLY REGISTERED VEHICLE “Properly Registered Vehicle” means a Vehicle which has been registered in full compliance with the laws of all Jurisdictions in which it is intended to operate.

HISTORICAL NOTES

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Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 283. Related DRC Action: Dispute Resolution Committee Decision 2010.2, May 13, 2010.

RECIPROCITY “Reciprocity” means the reciprocal grant by one Jurisdiction of operating rights or privileges to Properly Registered Vehicles registered by another Jurisdiction, especially but not exclusively including privileges generally conferred by Vehicle registration.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 240. RECIPROCITY AGREEMENT “Reciprocity Agreement” means an agreement, arrangement, or understanding between two or more Jurisdictions under which each of the participating Jurisdictions grants reciprocal rights or privileges to Properly Registered Vehicles that are registered under the laws of other participating Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 242. RECIPROCITY DISTANCE “Reciprocity Distance” means the distance traveled by Apportionable Vehicles in Jurisdictions which are not Member Jurisdictions and which grant Reciprocity without charge.

Official Commentary Some Jurisdictions allow registration Reciprocity only to Vehicle operators which have paid a fee. Distance operated under Reciprocity which has been paid for in this respect is not intended to be included under this definition.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 284. RECORDS “Record” means information created, received, and maintained as evidence by an organization or person in the transaction of business, or in the pursuance of legal obligations, regardless of media.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 232. RECORDS REVIEW “Records Review” means an evaluation of a Registrant’s distance accounting system and internal controls to assess the Registrant’s compliance with the requirements of the Plan. Unlike an Audit, a Records Review focuses only on the adequacy of the internal controls and the record-keeping system; it may be limited in scope to less than a full Registration Year; it may be conducted before the Registrant’s first registration renewal; and it does not result in any fee adjustments.

Official Commentary

It is not the intent to limit the use of Records Reviews only to new accounts.

HISTORICAL NOTES

Adopted: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Amended:

RECREATIONAL VEHICLE “Recreational Vehicle” means a Vehicle used for personal pleasure or personal travel and not in connection with any commercial endeavor.

Official Commentary The term “Recreational Vehicle” refers to vehicles such as campers, house trailers, motor homes, and mobile homes when used exclusively for personal pleasure and travel by an individual and his family. In order to qualify as a Recreational Vehicle, the Vehicle must not be used in connection with any business endeavor.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 244.

REGISTRANT “Registrant” means a Person in whose name a Properly Registered Vehicle is registered.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 246. Related DRC Action: Dispute Resolution Committee Decision 2010.2, May 13, 2010. REGISTRATION YEAR

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“Registration Year” means the twelve-month period during which, under the laws of the Base Jurisdiction, the registration issued to a Registrant by the Base Jurisdiction is valid.

Official Commentary A Member Jurisdiction may not, except as part of a transition to staggered registration under Section 520, issue registration under the Plan for a period of more than twelve months. Vehicles may be registered under the Plan for a period of less than twelve months, either as part of a transition to staggered registration or to fill out the remainder of a Registration Year.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 248. Related DRC Action: Dispute Resolution Committee Decision 2008.3, October 3, 2008.

RENTAL FLEET “Rental Fleet” means Vehicles the Rental Owner designates as a Rental Fleet and which are offered for rent with or without drivers.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 291. RENTAL OWNER “Rental Owner” means someone who rents Vehicles to others with or without drivers.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 292. RENTAL VEHICLE “Rental Vehicle” means a Vehicle of a Rental Fleet.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 294. REPORTING PERIOD “Reporting Period” means, except as provided below, the period of twelve consecutive months immediately prior to July 1 of the calendar year immediately preceding the beginning of the Registration Year for which apportioned registration is sought. If the Registration Year

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begins on any date in July, August, or September, the Reporting Period shall be the previous such twelve-month period.

Official Commentary The following table is provided for illustration purposes:

If the first month of Registration Year is:

The Reporting Period is:

January, 1975 July 1, 1973 – June 30, 1974 February, 1975 July 1, 1973 – June 30, 1974 March, 1975 July 1, 1973 – June 30, 1974 April, 1975 July 1, 1973 – June 30, 1974 May, 1975 July 1, 1973 – June 30, 1974 June, 1975 July 1, 1973 – June 30, 1974 July, 1975 July 1, 1973 – June 30, 1974 August, 1975 July 1, 1973 – June 30, 1974 September, 1975 July 1, 1973 – June 30, 1974 October, 1975 July 1, 1974 - June 30, 1975 November, 1975 July 1, 1974 - June 30, 1975 December, 1975 July 1, 1974 - June 30, 1975

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 238. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1995.1 -Dispute Resolution Committee Decision 1996.1 — April 15, 1996. REPOSITORY “Repository” means the entity designated as such in Section 1300.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: RESIDENCE “Residence” means the status of an Applicant or a Registrant as a resident of a Member Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 906. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.3 — April 15, 1996; Dispute Resolution Committee Decision 1997.8 - September 11, 1997; Dispute Resolution Committee Decision 1997.21 - November 16, 1997.

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RESTRICTED PLATE “Restricted Plate” means a plate that has a time, geographic area, distance, or commodity restriction or a mass transit or other special plate issued for a bus leased or owned by a municipal government, a state or provincial transportation authority, or a private party, and operated as part of an urban mass transit system, as defined by the Jurisdiction that issues the plate.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 250. SEMI-TRAILER “Semi-Trailer” means a Vehicle without motor power that is designed to be drawn by a Motor Vehicle and is constructed so that a part of its weight rests upon or is carried by a towing Vehicle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 252. SERVICE REPRESENTATIVE “Service Representative” means a Person that furnishes facilities and services, including sales, warehousing, motorized equipment, and drivers under contract or other arrangement to a motor carrier for the transportation of household goods.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 254. TOTAL DISTANCE “Total Distance” means all distance operated by a Fleet of Apportioned Vehicles. Total Distance includes the full distance traveled in all Vehicle movements, both interjurisdictional and intrajurisdictional, and including loaded, empty, deadhead, and bobtail distance. Distance traveled by a Vehicle while under a trip Lease shall be considered to have been traveled by the Lessor’s Fleet.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013; Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 256. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.6, October 7, 1996; Dispute Resolution Committee Decision 1997.11 - September 11, 1997.

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TRACTOR “Tractor” means a motor Vehicle designed and used primarily for drawing other Vehicles, but not so constructed as to carry a load other than part of the weight of the Vehicle and load so drawn.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 285. TRAILER “Trailer” means a Vehicle without motor power, designed to be drawn by a Motor Vehicle and so constructed that no part of its weight or that of its load rests upon or is carried by the towing Vehicle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 258. TRIP PERMIT “Trip Permit” means a permit issued by a Member Jurisdiction in lieu of apportioned or full registration.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 286. TRUCK “Truck” means a Power Unit designed, used, or maintained primarily for the transportation of property.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 287. TRUCK TRACTOR “Truck Tractor” means a Motor Vehicle designed and used primarily for drawing other Vehicles, but so constructed as to carry a load other than a part of the weight of the Vehicle and load so drawn.

HISTORICAL NOTES

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Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 288. UNITED STATES REGIONS “United States Regions” means, for purposes of Section 1325, the following allocation of the United States Member Jurisdictions: Region No. 1— Connecticut, Delaware, the District of Columbia, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, and Vermont. Region No. 2— Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, and West Virginia. Region No. 3— Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin. Region No. 4— Arizona, California, Colorado, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: VEHICLE “Vehicle” means a device used to transport persons or property on a highway, but does not include devices moved by human power or used exclusively upon rails or tracks.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 290.

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ARTICLE III APPLICATIONS FOR APPORTIONED REGISTRATION

300 APPORTIONED REGISTRATION EXCLUSIVE Registration under the Plan shall be in lieu of registration under any other registration statute of any Member Jurisdiction.

Official Commentary This Section relieves a Registrant of any obligation to apply for purposes of Plan registration to any Plan member except the Registrant’s Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 400.

305 SELECTION OF BASE JURISDICTION (a) An Applicant may elect as its Base Jurisdiction any Member Jurisdiction (i) where the Applicant has an Established Place of Business, (ii) where the Fleet the Applicant seeks to register under the Plan accrues distance, and (iii) where Records of the Fleet are maintained or can be made available. (b) An Applicant that does not have an Established Place of Business in any Jurisdiction may designate as a Base Jurisdiction any Member Jurisdiction (i) where the Applicant can demonstrate Residence, (ii) where the Fleet the Applicant seeks to register under the Plan accrues distance, and (iii) where Records of the Fleet are maintained or can be made available. (c) To establish Residence in a Member Jurisdiction, an Applicant must demonstrate to the satisfaction of the Member Jurisdiction at least three of the following:

(i) if the Applicant is an individual, that his or her driver’s license is issued by that Jurisdiction, (ii) if the Applicant is a corporation, that it is incorporated or registered to conduct business as a foreign corporation in that Jurisdiction, (iii) if the Applicant is a corporation, that the principal owner is a resident of that Jurisdiction, (iv) that the Applicant’s federal income tax returns have been filed from an address in that Jurisdiction, (v) that the Applicant has paid personal income taxes to that Jurisdiction, (vi) that the Applicant has paid real estate or personal property taxes to that Jurisdiction, (vii) that the Applicant receives utility bills in that Jurisdiction in its name, (viii) that the Applicant has a Vehicle titled in that Jurisdiction in its name, or

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(ix) that other factors clearly evidence the Applicant’s legal Residence in that Jurisdiction.

Official Commentary If more than one Member Jurisdiction could qualify as a Base Jurisdiction for an Applicant, the Applicant may choose which of them it will apply to for apportioned registration under the Plan. This serves to preserve the necessary but limited flexibility in the choice of a Base Jurisdiction. It is not the intent of this section to permit a Registrant to manipulate the selection of a Base Jurisdiction in order to avoid the payment of Apportionable Fees on the basis of 100 percent of the distance traveled by its Fleet. This Section provides a three-part test under subsection (a) for the determination of Base Jurisdiction. All three parts must be met in order for a Member Jurisdiction to qualify as a Base Jurisdiction. The Plan offers Residence as an alternative criterion to Established Place of Business only for those Applicants who cannot demonstrate that they meet the Established Place of Business requirement. With respect to the accrual by a Fleet of distance in the Base Jurisdiction, the requirement is to be applied only to the Fleet as a whole; each individual Vehicle of a Fleet need not enter the Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. 310 REGISTRANT FROM NON-MEMBER JURISDICTION (a) A Person whose only Established Place of Business is in a Jurisdiction that is not a Member Jurisdiction may, until such time as this Jurisdiction becomes a Member Jurisdiction, declare as its Base Jurisdiction the Member Jurisdiction in which it expects to operate the greatest distance in the first year of operation as a Registrant. A Member Jurisdiction that has received an application for registration under this subsection may reject it for cause. A Registrant may not continue maintaining a Base Jurisdiction under this Section once the Jurisdiction in which the Registrant has an Established Place of Business becomes a Member Jurisdiction. (b) A Person that has taken advantage of the provisions of subsection (a) for registration under the Plan shall, in the event that a Jurisdiction in which the Person has an Established Place of Business becomes a Member Jurisdiction, henceforth use that Member Jurisdiction as its Base Jurisdiction. The re-registration of the Registrant’s Apportionable Vehicles in the new Base Jurisdiction shall be accomplished through orderly and equitable procedures to be established by the Member Jurisdictions involved. Such procedures shall not require payment of duplicate Apportionable Fees.

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Official Commentary

The purpose of this Section is to allow a Person to take advantage of registration under the Plan even though the Person has a business location only in a Jurisdiction which is not a Plan member. A Member Jurisdiction receiving an application for registration from such a Person may reject it for reasonable cause. It is required that Persons with an Established Place of Business only in a Jurisdiction located south of the United States will under this Section declare as Base Jurisdiction one of the four states (Arizona, California, New Mexico, and Texas) that border Mexico. This Section also provides for an orderly transition should that Jurisdiction subsequently become a Member Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 110. 315 APPLICATION PROCESS (a) The Base Jurisdiction shall determine the manner, the standard for measuring distance (i.e., miles or kilometers), application process, and filing deadlines for applications for registration under the Plan. (b) An application for registration under the Plan shall contain information elements required by the Plan and such other information that is required by the Base Jurisdiction. (c) Except where the Plan permits an Applicant to use average per-Vehicle distance, an application for registration under the Plan shall contain the actual distance that the Fleet being registered was operated during the Reporting Period. (d) If the Fleet did not accrue any actual distance during the Reporting Period, an Applicant shall use average per-Vehicle distance. (e) The expiration date of apportioned registration for all Apportioned Vehicles in a Fleet shall be the same date.

Official Commentary Base Jurisdictions may require supporting documentation, such as past Records in an application for registration under the Plan, to determine if the Applicant qualifies for apportioned registration. Although the expiration date of registration for all Vehicles in a particular Fleet must be the same, nothing in the Plan shall be deemed to prohibit a Member Jurisdiction from permitting a Registrant to have multiple Fleets for which apportioned registration expires on different dates.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013; Ballot 384 Full Reciprocity Plan, effective January 1, 2015.

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Related Provisions, 2006 Plan: Sections 400, 402, 800. Related DRC Action: Dispute Resolution Committee Decision 2003.1, November 14, 2003; Dispute Resolution Committee Decision 2015.01, May 20, 2015. 320 AVERAGE PER-VEHICLE DISTANCE (a) When the Application is for a Fleet that did not accrue any actual distance during the Reporting Period, the Base Jurisdiction shall assess registration fees for the Fleet based on the average per-Vehicle distance in each Member Jurisdiction, as provided below. (b) In calculating average per-Vehicle distance, the Base Jurisdiction shall use its own data and the method prescribed in subsection (d) to determine the average per-Vehicle distance per Member Jurisdiction. (c) By March 31 each year, each Member Jurisdiction shall update its average per-Vehicle distance per Member Jurisdiction. (d) The Base Jurisdiction shall calculate its average per-Vehicle distance per Member Jurisdiction by:

(i) determining the total actual distances reported to the Base Jurisdiction as having been operated in each Member Jurisdiction by Fleets for which the Base Jurisdiction served as the Base Jurisdiction during the previous Registration Year;

(ii) determining the number of Apportioned Vehicles for which the Base Jurisdiction served as Base Jurisdiction during the previous Registration Year that accrued distance in each respective Member Jurisdiction; and

(iii) for each Member Jurisdiction, dividing the distance determined under clause (i) by the number of Apportioned Vehicles determined under clause (ii).

Official Commentary

Where during the Registration Year a Fleet included Vehicles that were deleted for transfer and other Vehicles that served as replacement Vehicles, only the replacement Vehicles should be counted toward the total calculated in (d)(ii).

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 800, 801. Related DRC Action: Dispute Resolution Committee Decision 2008.1, June 26, 2008. 325 VARIANCE OF REGISTERED WEIGHTS If an Applicant requests registration weights for a Vehicle in Member Jurisdictions that register according to gross Vehicle weight that differ by more than 10 percent between such

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Member Jurisdictions, the Base Jurisdiction may require the Applicant to provide documentation concerning the actual operations of the Vehicle. The Base Jurisdiction may deny registration for such a Vehicle if the Base Jurisdiction determines that the requested variance does not reflect actual operations.

Official Commentary The intent of this section is to remove any doubt on the part of a Member Jurisdiction that it has discretion to prevent the improper manipulation of Vehicle weights by an Applicant. The Section should not be used, however, to prevent a variance in Vehicle weights for which there is a legitimate purpose.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 508.

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ARTICLE IV FEES

400 CALCULATION OF APPORTIONABLE FEES The Apportionable Fees for a Fleet in a Member Jurisdiction shall be calculated by multiplying the Apportionment Percentage calculated for the Member Jurisdiction by the total Apportionable Fees required under the law of the Member Jurisdiction for full registration of the Vehicles in the Fleet for the Registration Year, or the unexpired portion of the Registration Year, as the case may be.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Sections 300,400. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.6, October 7, 1996. 405 CALCULATION OF APPORTIONMENT PERCENTAGE (deleted) Prior plan language under section 405 was deleted per Ballot 384 Full Reciprocity Plan, effective January 1, 2015. 410 NO MINIMUM REGISTRATION FEE; COLLECTION OF OTHER FEES PERMITTED (a) No Member Jurisdiction shall require any minimum registration fee for an Apportionable Vehicle. (b) A Base Jurisdiction may by law require payment of additional fees for each Apportioned Vehicle, such as for issuing Credentials or filing an application for apportioned registration.

Official Commentary

The intent of this section is to prohibit a member of the Plan from imposing any minimum registration fee on an Apportionable Vehicle, apart from the exception noted with respect to the Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 304, 500. Related DRC Action: Dispute Resolution Committee Decision 2012.01, May 18, 2012. 415 ADDITIONAL JURISDICTIONS (deleted) Prior plan language under section 405 was deleted per Ballot 384 Full Reciprocity Plan, effective January 1, 2015. 420 NEW FLEETS

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(a) The establishment of a new Fleet by an Applicant does not in itself qualify the Applicant to have the apportioned fees for the new Fleet calculated using the average per-Vehicle distance specified in Section 320. An Applicant may not use average per-Vehicle distance when the new Fleet is composed entirely or primarily of Vehicles which the Applicant operated or over which the Applicant exercised control during the Reporting Period and these vehicles accrued actual distance in the Member Jurisdictions for which the Applicant seeks apportioned registration. (b) When a Vehicle that has been (i) operated under long-term Lease that includes the Vehicle driver and (ii) registered as part of a Fleet of Apportioned Vehicles is sought to be registered under the Plan as a Fleet of a single Vehicle, the actual distance accrued by the Vehicle during the Reporting Period shall be used to calculate the Apportionable Fees of the Fleet, but only if the operation will reflect the operation under the long term Lease.

Official Commentary Subsection (b) governs the registration of a Vehicle that has been leased with its driver as a part of a Fleet registered under the Plan and now is intended to be registered in the driver’s name but whose operation will remain the same.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related DRC Action: Dispute Resolution Committee Decision 2015.01, May 20, 2015. 425 ADDITIONAL VEHICLES (a) A Registrant may add Vehicles to its Fleet after the beginning of the Registration Year. The apportioned fees for such added vehicles shall be calculated according to the Apportionment Percentages from the Registrant’s initial application for the registration of its Fleet for the year, subject to such adjustments as may have been necessary since registration was issued to the Fleet. (b) The apportioned fees for Vehicles added to a Fleet during the Registration Year shall be determined according to the requirements of each Member Jurisdiction. Unless a Member Jurisdiction imposes a different requirement, the Base Jurisdiction shall calculate the Apportionable Fees from the first day of the month in which the Vehicles are added to the Fleet. (c) If a reallocation of Vehicles by a Registrant is described in Section 430, the registration of the Vehicles in the resulting Fleet shall be governed by Section 430 rather than by this Section 425.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Sections 600, 602.

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430 FLEET CONSOLIDATION A Registrant may combine two or more existing Fleets of its Apportioned Vehicles. In such a situation, the Apportionable Fees of the Vehicles in the resulting Fleet shall be determined according to the actual distances accrued in the Reporting Period by all the Vehicles in the resulting Fleet.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: 435 REFUNDS AND CREDITS If an Apportioned Vehicle is withdrawn from a Fleet during a Registration Year, the amount of the Apportionable Fee for the Vehicle for the remainder of the Registration Year shall be available for transfer to the registration of a replacement Vehicle in the Fleet or subject to the law of each Member Jurisdiction, may be credited or refunded to the Registrant.

Official Commentary The intent of this Section is to leave the availability to a Registrant of a credit or refund of Apportionable Fees paid to an individual Member Jurisdiction up to the law of that Jurisdiction. “Withdraw” includes destruction, sale, or other complete removal from a Registrant’s Fleet.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 700. 440 CREDIT FOR REPLACEMENT VEHICLES (a) The Base Jurisdiction may require a Registrant to notify the Base Jurisdiction when the Registrant withdraws an Apportioned Vehicle from its Fleet during the Registration Year. (b) Each Member Jurisdiction shall allow a Registrant to transfer the registration of a Vehicle withdrawn from a Fleet to a replacement Vehicle in accordance with each Member Jurisdiction’s transfer requirements. Additional Apportionable Fees resulting from an increase in gross weight or other factors, if any, shall be calculated as determined in accordance with the law of the Member Jurisdiction.

Official Commentary

There is no implication that an additional fee will necessarily be due upon the transfer of a registration; that is a matter for Jurisdiction law.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 702.

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445 FOREIGN EXCHANGE When the Base Jurisdiction bills a Registrant for an apportioned fee to cover registration in a Member Jurisdiction that has an official currency different from that of the Base Jurisdiction, the Base Jurisdiction shall either determine the amount to be billed according to the prevailing exchange rate, which shall be, for each month, the index rate set by the U.S. Federal Reserve Board at 12:01 p.m., Eastern Time, on the third Monday of the preceding month; or it shall bill in the units of currency of the other Member Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 408.

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ARTICLE V REGISTRATION OF APPORTIONABLE VEHICLES

500 BASE JURISDICTION REGISTRATION The Base Jurisdiction shall register an Apportionable Vehicle under the Plan and issue Credentials when an Applicant has provided all information required and has paid all Apportionable Fees.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 500. 505 CANCELLATION OF REGISTRATION The Base Jurisdiction shall cancel, suspend, or revoke any apportioned registration if the registration was granted erroneously, or if the Registrant fails to pay any Apportionable Fees.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 504. 510 OPERATION UNDER PLAN REGISTRATION An Apportioned Vehicle registered under the Plan, and Vehicles covered under Section 525, shall be deemed fully registered for any type of movement or operation in all Member Jurisdictions; provided, however, that the operator of such a Vehicle may be required to obtain interJurisdictional or intraJurisdictional authority to operate in or through a particular Jurisdiction.

Official Commentary Vehicles registered as provided in Section 500 are deemed fully registered for any type of movement or operation provided appropriate regulatory authority is held, if necessary. Since some statutes of Member Jurisdiction require the payment of full registration fees in the event a Vehicle is to be operated intraJurisdictionally (Vehicle movement point to point within a single Jurisdiction), it was believed necessary to add a provision indicating that proportionally registered Vehicles are “deemed fully registered even though full fees have not been paid.” This provision should be construed in light of its purpose, i.e., to make intraJurisdictional operations possible with only a proportional payment of fees. This provision should not be construed to cause the imposition of other fees and taxes (state, federal, or provincial) not otherwise applicable under statute. Vehicles proportionally registered pursuant to the Plan are receiving Reciprocity and are exempt from further registration.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 506. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.2, April 15, 1996. 515 RECIPROCITY FOR TRAILING EQUIPMENT (a) A Trailer, Semi-Trailer, or Auxiliary Axle properly registered in any Jurisdiction shall be granted full and free Reciprocity. This Reciprocity shall be deemed registration under the Plan, and shall apply to both InterJurisdictional Movement and IntraJurisdictional Movement or operation, provided that appropriate regulatory authority is held, if required. (b) When registration fees are paid for the registration of an Apportionable Vehicle, full and free Reciprocity shall be granted to all Trailers, Semi-Trailers, and Auxiliary Axles used in a combination with that Apportionable Vehicle. (c) No Member Jurisdiction shall require a Registrant of Power Units to register a number of Trailers, Semi-Trailers, or Auxiliary Axles in any proportion to the Registrant’s apportioned Fleet of Power Units.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 404. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.2, April 15, 1996. Related DRC Action: Dispute Resolution Committee Decision 2004.2, November 5, 2004; Dispute Resolution Committee Decision 2004.3, November 5, 2004; Dispute Resolution Committee Decision 2010.1, May 13, 2010.

520 STAGGERED REGISTRATION (a) The Base Jurisdiction may issue apportioned registration for Fleets so that all such registrations expire at the same time or it may stagger the expiration of such registrations throughout the year. (b) During a Member Jurisdiction’s transition to staggered registration, it shall not issue registrations for apportioned Fleets that cover a period of more than 18 months or less than 6 months.

Official Commentary Staggered registration refers to the practice adopted by many Jurisdictions of issuing twelve-month registrations which expire at different dates during a calendar year, thus serving to spread out the issuing agency’s workload. The Plan does not require a member to stagger its registrations; subsection (b) is intended to prevent an undue burden on both Registrants and other members. It is intended that all the registrations of the Vehicles in a Fleet registered under the Plan expire at the same time. A Registrant may have more than one Fleet, however, and these may have different expiration dates under a system of staggered registration.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 402.

525 TRIP PERMIT REGISTRATION (a) A Member Jurisdiction may issue a Trip Permit for a Vehicle or Combination of Vehicles in lieu of apportioned or full registration. Each Member Jurisdiction may determine the form and manner in which it issues Trip Permits. (b) An Apportionable Vehicle or Combination of Vehicles under a Trip Permit may be used in interJurisdictional or intraJurisdictional operations. (c) Member Jurisdictions may provide for the issuance of Trip Permits for each other so that Vehicles may move without waiting for separate authorization from each Member Jurisdiction. (d) A Member Jurisdiction that issues a Trip Permit on behalf of another Member Jurisdiction shall collect the applicable Trip Permit fee and forward it to the other Member Jurisdiction.

Official Commentary A Registrant may have three registration alternatives: (i) obtaining a Trip Permit, (ii) full registration, and (iii) apportioned registration under the Plan. It is clear that the drafters’ intent was to provide for an optional alternative, available to the Registrant at its election.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 908, 1400, 1400, 1402, 1404, 1408. 530 UNLADEN VEHICLE REGISTRATION—HUNTER’S PERMITS Each Member Jurisdiction shall provide a means of temporary registration of unladen Apportionable Vehicles. Such registration shall be issued for a minimum fee and for a registered gross weight not in excess of the empty weight of the Vehicle or Combination of Vehicles being registered. The evidence of registration issued under this Section shall be valid in all Member Jurisdictions.

Official Commentary This Section requires each Member Jurisdiction to develop a method by which a Vehicle owner moves an empty Vehicle from one Fleet to another without violating general registration statutes, thereby avoiding unwarranted statutory penalties which might otherwise apply.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 910.

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ARTICLE VI CREDENTIALS

600 CREDENTIALS FOR APPORTIONED REGISTRATION (a) Upon the registration of an Apportionable Vehicle under the Plan, the Base Jurisdiction shall issue a Cab Card and a Plate for the Vehicle, and these shall be the sole registration Credentials issued for the Vehicle. The Plate shall be identified by having the word “apportioned,” “APP,” or “PRP” and the name of the Base Jurisdiction. The numbering system and color of the Plate shall be determined by the Base Jurisdiction. (b) A Base Jurisdiction shall require that the Cab Card be carried in the Vehicle for which it is issued. A Base Jurisdiction may issue a Cab Card by electronic means and may permit Registrants to use photocopies of Cab Cards. Member Jurisdictions must accept a Cab Card that has been issued in accordance with the law of the Base Jurisdiction. (c) The Base Jurisdiction shall provide a means by which law enforcement can verify the validity of its Cab Cards. (d) The Base Jurisdiction may charge an additional fee for issuing a Cab Card and Plate. (e) When the Base Jurisdiction renews the registration of an Apportioned Vehicle, the Base Jurisdiction may, in lieu of issuing a renewal Plate, issue a renewal decal to be affixed to the Plate already issued for the Vehicle, or may, if the Base Jurisdiction requires neither renewal Plates nor renewal decals, issue only a renewal Cab Card. (f) The Base Jurisdiction shall not issue Credentials for an Apportioned Vehicle until the Registrant has paid all Apportionable Fees due or past due.

Official Commentary Only the Base Jurisdiction may charge a fee for the issuance of a Plate that is in addition to the proportional registration fee, since only the Base Jurisdiction may issue such a Plate. Only the Base Jurisdiction may issue a Cab Card. Unless required by the Base Jurisdiction, the original Cab Card issued by the Base Jurisdiction is not required to be kept with the Apportioned Vehicle for which the Cab Card was issued. This Section is not intended to require any Member Jurisdiction to issue a Plate or renewal decal on an annual basis. The requirements of subsection (f) do not apply to the issuance of temporary evidence of apportioned registration under Section 620.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 500, 502. Related DRC Action: Dispute Resolution Committee Decision 2006.2, September 30, 2006.

605 DISPLAY OF REGISTRATION CREDENTIALS; RENEWAL CREDENTIALS (a) A Plate issued by the Base Jurisdiction shall be affixed to the Apportioned Vehicle for which it has been issued in accordance with the law of the Base Jurisdiction. (b) Except as provided in subsection (c), when a Registrant receives renewal Credentials for an Apportioned Vehicle prior to the commencement of the registration period for which they are issued, the Registrant may remove the previously issued Plate and display the renewal Plate prior to the commencement of the new registration period. Both the Cab Card from the prior registration period and the Cab Card for the renewal period shall be carried in the Vehicle until the new registration period begins. (c) When a Registrant moves an Apportioned Vehicle from one Base Jurisdiction to another near the end of a Registration Year, the Registrant must continue to carry in the Vehicle the previously-issued Cab Card until the new Registration Year begins, but may display both the new Base Jurisdiction’s Plate and Cab Card as soon as they are issued.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 502. 610 CONTENTS OF THE CAB CARD The Cab Card issued for an Apportioned Vehicle shall contain on its face all of the Member Jurisdictions, the weight (in pounds or kilograms) or number of combined Axles for which it is registered in each one, and any other necessary information, including:

(i) the date the Apportioned Vehicle was registered, the date of issuance of the Cab Card, or the effective date of the registration,

(ii) the expiration date of the Cab Card (and the Enforcement Date, if a Grace Period applies),

(iii) the model year of the Apportioned Vehicle,

(iv) the make of the Apportioned Vehicle,

(v) the vehicle identification number of the Apportioned Vehicle, (vi) the assigned number of the Plate issued for the Apportioned Vehicle,

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(vii) the equipment number of the Apportioned Vehicle, (viii) the Registrant’s name and address, and (ix) the account number assigned to the Fleet by the Base Jurisdiction.

Official Commentary

The weight or number of combined Axles for which the Apportioned Vehicle is registered must appear on the face of the Cab Card so that enforcement personnel can know whether an Apportioned Vehicle is operating in excess of its registered weight or number of combined Axles. An Apportioned Vehicle must not only be properly registered in its Base Jurisdiction with regard to declared gross weight, it must also comply with existing weight laws or regulations in other Member Jurisdictions into or through which it operates. For example, the payment of Apportionable Fees in Member Jurisdiction X at a declared gross combined weight of 80,000 pounds does not of itself authorize the operation of that Vehicle at 80,000 pounds in Member Jurisdiction Y, where the legal weight limit may be lower. The term “other necessary information” refers to information required by Member Jurisdiction registration statutes and is not to be construed to require unrelated information, such as fuel use tax account numbers, operating authority numbers, weight-distance tax account numbers, etc.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Sections 500,502. 615 PLATES OF WITHDRAWN VEHICLES (a) If an Apportionable Vehicle is withdrawn from a Fleet during the Registration Year because the Vehicle has been sold, destroyed, or otherwise removed from the service of the Registrant, the Base Jurisdiction may require the Registrant to return the Plate issued for the Vehicle or certify that the Plate has been destroyed, lost, stolen, or held for re-use. (b) The Base Jurisdiction may reassign the Plate to the Registrant’s replacement Vehicle, if there is one.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 700. 620 TEMPORARY EVIDENCE OF APPORTIONED REGISTRATION (a) The Base Jurisdiction may issue temporary evidence of apportioned registration pending the issuance of Credentials, and such temporary evidence of apportioned registration shall be recognized by other Member Jurisdictions.

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(b) The temporary evidence of apportioned registration shall identify all of the Member Jurisdictions and the registered Vehicle weight or other qualifying information for each Member Jurisdiction. The temporary evidence of registration shall specify the effective date of the Vehicle’s registration and an expiration date for the temporary evidence of registration that is not later than 60 calendar days following the Effective Date. The Base Jurisdiction issuing temporary evidence of apportioned registration shall collect all Apportionable Fees due to other Member Jurisdictions with respect to the Vehicle, and shall, under Section 1210, promptly suspend the registrations of a Registrant which fails to pay all Apportionable Fees due. (c) The temporary evidence of apportioned registration may be issued by electronic means so long as it can be verified by law enforcement.

Official Commentary It is the intent of this Section to provide a means for a Member Jurisdiction to issue temporary evidence of registration to a Registrant pending the issuance to that Registrant of Credentials. A Member Jurisdiction is not required to provide for the issue of such temporary evidence of registration, but if it does, such evidence of registration shall be recognized by other Member Jurisdictions as valid. It is the duty of the Member Jurisdiction issuing temporary evidence of registration to ensure that all Apportionable Fees are collected from the Registrant in a timely manner.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 704.

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ARTICLE VII HOUSEHOLD GOODS CARRIERS

700 EQUIPMENT LEASED FROM SERVICE REPRESENTATIVES A Household Goods Carrier using an Apportionable Vehicle Leased from a Service Representative may elect that the Base Jurisdiction for such Vehicle be either that of the Service Representative or that of the Household Goods Carrier.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1200. 705 REGISTRATION IN BASE OF SERVICE REPRESENTATIVE When a Household Goods Carrier elects under Section 700 to base an Apportionable Vehicle in the Base Jurisdiction of a Service Representative, the Vehicle shall be registered in the name of the Service Representative, with the name of the Household Good Carrier shown as the Lessee, and the fees for the Vehicle shall be apportioned according to the combined records of the Service Representative and the Household Goods Carrier. All of the records pertaining to the Vehicle shall be available in the Base Jurisdiction of the Service Representative. A Vehicle registered under this Section shall be deemed fully registered for operations under the authority of the Service Representative as well as that of the Household Goods Carrier.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1204. 710 REGISTRATION IN BASE OF CARRIER If a Household Goods Carrier elects under Section 700 to base an Apportionable Vehicle in the Base Jurisdiction of the Household Goods Carrier, the Vehicle shall be registered in the name of the Household Goods Carrier as well as the name of the Service Representative, as Lessor, and the fees for the Vehicle shall be apportioned according to the combined records of the Household Goods Carrier and the Service Representative. Such records shall be made available in the Base Jurisdiction of the Household Goods Carrier. A Vehicle registered under this Section shall be deemed fully registered for operations under the authority of the Service Representative as well as that of the Household Goods Carrier.

Official Commentary The names of both the Household Goods Carrier, as Lessee, and Service Representative, as Lessor, must be shown since the Vehicle is operated on an intermittent basis under the Household Goods Carrier’s interJurisdictional operating authority, pursuant to the regulations of the U.S. Department

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of Transportation, and the Service Representative’s intraJurisdictional operating authority pursuant to regulations promulgated by a state or province. IntraJurisdictional distance records are maintained by the Service Representative and interJurisdictional distance records are maintained by the Household Goods Carrier and furnished to the Service Representative.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1206.

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ARTICLE VIII MOTOR BUS APPORTIONMENT

800 APPLICATION FILING The application of a passenger carrier for apportioned registration shall designate which, if any, of its Vehicles are assigned to a Pool.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1302. 805 DETERMINATION OF DISTANCE The Apportionable Fees of a Fleet that is involved in a Pool may be calculated using Apportionment Percentages or, in the alternative, at the option of the Applicant, the Apportionment Percentage may be calculated by dividing (a) the scheduled route distance operated in the Member Jurisdiction by the Vehicles in the Pool by (b) the sum of the scheduled route distances operated in all the Member Jurisdictions by the Vehicles in the Pool. Scheduled route distances shall be determined from the farthest point of origination to the farthest point of destination covered by the Pool. If a Registrant has used this method to register its Fleet initially for a Registration Year, it shall also use this same method to register any Apportionable Vehicles it may add to its Fleet during the year.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 1306.

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ARTICLE IX RENTAL VEHICLE REGISTRATION

905 RENTAL PASSENGER CARS Rental passenger car registrations may be allocated based on revenue earned in each Jurisdiction. Properly allocated rental passenger cars may be rented in any Member Jurisdiction. To determine the percentage of total Rental Fleet Vehicles to be registered in a Jurisdiction: (i) Divide the gross revenue earned in a Jurisdiction in the preceding year for the use of all rental passenger cars by the gross rental revenue earned in all Jurisdictions and (ii) Multiply the number of Vehicles in the Rental Fleet by the percentage determined in clause (i). For purposes of this Section, gross rental revenue is earned in a Jurisdiction when the Vehicle rented first comes into the possession of the Lessee in that Jurisdiction.

Official Commentary It is the intent of this Section that implementation of rental passenger car Allocation be optional on the part of a Member Jurisdiction. The Audit of a Lessor which fulfills its registration obligations through Allocation under this Section will normally focus on the accuracy of the gross rental revenues reported by the Lessor in its application.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1116.

910 RENTAL UTILITY TRAILERS The owner of rental utility Trailers of gross Vehicle weight 6,000 pounds (2,751.554 kilograms) or less shall register in each Member Jurisdiction a number of Trailers equal to the average number of Trailers rented in or through the Member Jurisdiction during the preceding year. For this purpose, a Trailer shall be considered to be rented in or through the Member Jurisdiction in which the Trailer first comes into possession of the Lessee.

Official Commentary

Audits of Registrants engaged in leasing utility Trailers under this Section are based on Records referred to as the “certified average registration program,” or CARP, an average inventory of

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trailers located in or passing through various Member Jurisdictions over a period of time.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1120. 915 ONE-WAY VEHICLE The owner of Trucks registered for 26,000 pounds (11,793.401 kilograms) or less that are identified as a part of a one-way Rental Fleet may (i) allocate all of such Vehicles to the respective Member Jurisdictions in proportion to the mileage operated in each Member Jurisdiction by the Rental Fleet, or (ii) register all of such Vehicles as Apportioned Vehicles under the Plan. A one-way Rental Vehicle registered in accordance with this Section may be used in both interJurisdictional and intraJurisdictional operation.

Official Commentary

Audits of Lessors engaged in renting one-way Vehicles under this Section will normally focus on “receiving contracts,” the paperwork completed by Lessor and Lessee when a Vehicle is turned in by the Lessee, or “received.”

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1122.

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ARTICLE X RECORDS AND AUDITS

1000 RETENTION AND AVAILABILITY OF RECORDS (a) A Registrant shall retain the Records on which the Registrant’s application for apportioned registration is based for a period of three years following the close of the Registration year to which the application pertains, and on request, shall make such Records available for Audit. (b) Unless a waiver to the statute of limitations is granted by the Registrant, no assessment for deficiency or any refund shall be made for any period for which the Registrant is not required to retain Records.

Official Commentary

Registrants should recognize that this Section requires the retention of Records covering activities during the Reporting Period pertaining to the application for apportioned registration.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1500, 1501, 1502. Related DRC Action: Dispute Resolution Committee Decision 2003.2, November 14, 2003. 1005 ADEQUACY OF RECORDS (a) The Records maintained by a Registrant under Section 1000 shall be adequate to enable the Base Jurisdiction to verify the distances reported in the Registrant’s application for apportioned registration and to evaluate the accuracy of the Registrant’s distance accounting system for its Fleet. (b) Provided a Registrant’s Records meet the criterion in subsection (a), the Records may be produced through any means, and retained in any format or medium available to the Registrant and accessible by the Base Jurisdiction.

Official Commentary

Subsection (a) defines the purpose for which Registrants are required to keep Records: to allow the Base Jurisdiction to (1) verify the distances a Registrant has reported on its application, and (2) evaluate the Registrant’s distance accounting system. If the Records made available by a Registrant for Audit are (a) sufficient and (b) appropriate for these purposes, they are deemed to be adequate. Subsection (b) is intended to make clear that if the Registrant’s Records are adequate under subsection (a), it does not matter how the Registrant has produced the Records or maintained them. However, the Records must meet the two conditions of sufficiency and appropriateness; there must be enough Records to substantially cover the operations of the Registrant’s Fleet, and the Records must contain the kind of information an auditor needs in order to audit the Records for purposes of

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the Plan. In addition, if Records are presented in a format or in a manner in which the Base Jurisdiction cannot audit them, they have not been “made available” as required.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1500, 1501, 1502. Related DRC Action: Dispute Resolution Committee Decision 2003.2, November 14, 2003. 1010 CONTENTS OF RECORDS Records containing the following elements shall be accepted by the Base Jurisdiction as adequate under Section 1005(a): (a) For Records produced by a means other than a vehicle-tracking system: (i) the beginning and ending dates of the trip to which the Records pertain (ii) the origin and destination of the trip (iii) the route of travel (iv) the beginning and ending reading from the odometer, hubodometer, engine control module (ECM), or any similar device for the trip (v) the total distance of the trip (vi) the distance traveled in each Jurisdiction (vii) the Vehicle identification number or Vehicle unit number (b) For Records produced wholly or partly by a vehicle-tracking system, including a system based on a global positioning system (GPS): (i) the original GPS or other location data for the Vehicle to which the Records pertain (ii) the date and time of each GPS or other system reading (iii) the location of each GPS or other system reading (iv) the beginning and ending reading from the odometer, hubodometer, engine control module (ECM), or any similar device for the period to which the Records pertain (v) the calculated distance between each GPS or other system reading (vi) the route of the Vehicle’s travel (vii) the total distance traveled by the Vehicle (viii) the distance traveled in each jurisdiction (ix) the Vehicle identification number or Vehicle unit number (c) Summaries: (i) a summary of the Fleet’s operations for each month, which includes both the full distance traveled by each Apportioned Vehicle in the Fleet during the calendar month, and the distance traveled in the month by each Apportioned Vehicle in each Jurisdiction (ii) a summary of the Fleet’s operations for each calendar quarter, which includes both the full distance traveled by Vehicles in the Fleet during the calendar quarter, and the distance traveled in each Jurisdiction by the Vehicles in the Fleet during the calendar quarter

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(iii) a summary of the quarterly summaries

Official Commentary This Section is intended to provide guidance on the contents of Records made available for audit. The basic criterion for the adequacy of Records is that they allow the auditor to conduct an audit. If Records made available to the Base Jurisdiction contain all of the elements set out in (a) or in (b), plus those set out in (c), the Base Jurisdiction will consider the Records to be adequate for an Audit. The Audit may, of course, show the Records to be inaccurate or to have been used inappropriately in producing the Registrant’s application for apportioned registration. Records which do not contain all of the elements set out in this Section may still, depending on the nature of the Records and of the Registrant’s operations, be fully adequate for an Audit. Paragraph (b)(i) refers to the raw data produced by a GPS or other vehicle-tracking system pertinent to a Vehicle’s location. Paragraph (b)(iii) refers to the location of a Vehicle as determined through the use of such raw data. The summaries required by this Section may be necessary for the efficient Audit of a Registrant’s Records. A Registrant must make summaries available for audit upon due notice and demand by the Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Amended:

1015 INADEQUATE RECORDS; ASSESSMENT If the Records produced by the Registrant for Audit do not, for the Registrant’s Fleet as a whole, meet the criterion in Section 1005(a), or if, within 30 calendar days of the issuance of a written request by the Base Jurisdiction, the Registrant produces no Records, the Base Jurisdiction shall impose on the Registrant an assessment in the amount of twenty percent of the Apportionable Fees paid by the Registrant for the registration of its Fleet in the Registration Year to which the Records pertain. In an instance where the Base Jurisdiction knows that it is the Registrant’s second such offense, the Base Jurisdiction shall impose an assessment of fifty percent of the Apportionable Fees paid by the Registrant for the registration of its Fleet in the Registration Year to which the Records pertain. When the Base Jurisdiction knows it is the Registrant’s third offense, and on any subsequent offenses of the Registrant known to the Base Jurisdiction, the Base Jurisdiction shall impose an assessment of 100 percent of the Apportionable Fees paid by the Registrant for the registration of its Fleet in the Registration Year to which the Records pertain. The Base Jurisdiction shall distribute the amounts of assessment it collects under this Section on a pro rata basis to the other Jurisdictions in which the Fleet was registered.

Official Commentary

If the Registrant fails or refuses to make Records available for audit, or if the Records made available are, as a whole, so inadequate that they cannot be audited, the Base Jurisdiction shall impose the assessment described. The assessment is not to be imposed where the Records made

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available, even though they may be of poor or inconsistent quality, can be audited for purposes of the Plan. Neither is an assessment to be imposed under this Section where, although Records pertaining to some individual Vehicles in a Fleet are lacking or inadequate, the Audit of the Fleet as a whole can proceed. The Base Jurisdiction is only to impose the added assessment for repeated offenses when, on a subsequent Audit, it finds the Registrant’s Records still to be inadequate.

This is the only provision in the Plan in the nature of a penalty for inadequate Records or with respect to Audits generally. This does not, however, affect the ability of a Base Jurisdiction to exclude a Vehicle from apportioned registration if the Vehicle is found not to be an Apportionable Vehicle.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013; Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 1502. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.20, November 16, 1997. 1020 SCOPE OF AUDITS (a) The Base Jurisdiction shall Audit the Registrants to which it has issued apportioned registration. The purpose of such an Audit shall be to assess the accuracy of the distances reported in a Registrant’s application for apportioned registration and, where inaccuracies are found, to adjust the Registrant’s fees accordingly. (b) An Audit of a Registrant performed by the Base Jurisdiction shall be conducted on behalf of all the Member Jurisdictions, and the Base Jurisdiction may make assessments and collections of fees based on its Audit.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1600. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.10, September 11, 1997; Dispute Resolution Committee Decision 1997.19, November 16, 1997. 1025 FREQUENCY OF AUDITS (a) Each Member Jurisdiction shall conduct a number of Audits equivalent to an average of three percent per year of the number of Fleets whose registration it renews annually under the Plan, as required to be reported by the Member Jurisdiction in the annual report filed pursuant to the Plan. Upon the peer review of a Member Jurisdiction, this requirement shall be deemed to have been met if, during the interval since the previous peer review of the Member Jurisdiction, it has audited an average of three percent of the number of renewed Fleets. (b) A new Member Jurisdiction shall not be required to conduct Audits until the January following its first full twelve months of full participation in the Plan.

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(c) For purposes of the requirement in subsection (a), the examination of one Fleet for one Registration Year shall be deemed to be one Audit. (d) For purposes of the requirement in subsection (a), a Member Jurisdiction may substitute three Records Reviews for one Audit; provided, that no Member Jurisdiction may substitute Records Reviews for more than twenty-five percent of the total of the Audits required by subsection (a). In order to use Records Reviews as a substitute for Audits, a Member Jurisdiction must adopt formal procedures that comply with the guidelines for Records Reviews set out in the Audit Procedures Manual. (e) Nothing in this Section shall preclude a Member Jurisdiction from conducting more Audits than it is required to under this Section, or from Auditing a Registrant more than once during the interval between peer reviews.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1600. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.10, September 11, 1997; Dispute Resolution Committee Decision 1997.19, November 16, 1997. 1030 JOINT AUDITS (a) An Audit of a Registrant may be conducted jointly by the Base Jurisdiction and one or more other Member Jurisdictions. Each Member Jurisdiction that participates in a joint Audit shall receive full credit under Section 1015 for the performance of an Audit. (b) In a joint Audit, the Base Jurisdiction of the Registrant under Audit shall retain its authority to direct the conduct of the Audit and shall provide such coordination to the Jurisdictions involved as shall permit the Audit to proceed in an orderly manner and not to burden the Registrant unreasonably. (c) In a joint Audit, the Base Jurisdiction of the Registrant under Audit shall be responsible for the determination of the findings of the Audit, and for notifying the Registrant and other Member Jurisdictions of those findings in accordance with Section 1055.

Official Commentary

The coordination of a joint Audit provided by the Base Jurisdiction should extend to the scheduling of the Audit, setting procedural guidelines for its conduct within the requirements of the Plan, and providing means to resolve differences among the Jurisdictions participating in the Audit.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1606. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1996.4, August 25, 1996.

1035 BASE JURISDICTION AUDIT EXPENSES

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If a Registrant does not make its Records available for Audit in its Base Jurisdiction and the Base Jurisdiction sends auditors beyond its borders to Audit those Records, the Base Jurisdiction may require the Registrant to reimburse the Base Jurisdiction for the per diem and travel expenses that the auditors incur in conducting the Audit.

Official Commentary It is not the intent of this Section to allow other Jurisdictions, other than the Base Jurisdiction, that may participate in a joint Audit to require the Registrant to reimburse their expenses.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1602. 1040 REEXAMINATIONS (a) A Member Jurisdiction shall have 45 calendar days from the date it is notified of Audit findings under Section 1055 to provide written notification to the Base Jurisdiction and the Registrant of the Member’s intent to conduct a reexamination of the records of the Registrant. (b) The Base Jurisdiction shall notify other affected Member Jurisdictions of the reexamination. (c) A reexamination conducted under this Section shall be based exclusively on the sample period used conducting the Audit. (d) Reexaminations shall be performed within a reasonable time and in cooperation with the Base Jurisdiction. (e) The expenses associated with conducting a reexamination shall be borne by the Member Jurisdiction conducting the reexamination.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1610. 1045 FINDINGS OF A REEXAMINATION Any adjustment to the original Audit findings resulting from reexamination shall be reconciled with the initial Audit findings issued by the Base Jurisdiction. Revised Audit findings shall be issued by the Base Jurisdiction pursuant to Section 1055.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1612.

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1050 NETTING AUDIT ADJUSTMENTS (a) If, pursuant to an Audit of a Registrant by the Base Jurisdiction, adjustments are made to the Registrant’s Apportioned Fees, those adjustments shall be netted; that is, the Base Jurisdiction is to offset the additional fees which may be owed by the Registrant to a Member Jurisdiction by any overpayments the Registrant may have made to Member Jurisdictions. Only the net amount shall be collected from the Registrant or refunded to the Registrant, as the case may be. (b) The collection of an underpayment from the Registrant shall be governed by the laws and procedures of the Base Jurisdiction. (c) Upon collection of any underpayment from a Registrant, the Base Jurisdiction shall transmit the appropriate fee changes to each affected Member Jurisdiction within 30 calendar days following the transmittal period during which the collection was made. (d) If the Base Jurisdiction determines a net underpayment to be uncollectible, any credits due the Registrant, plus any partial payments made by the Registrant, shall be used to offset additional fees due to Member Jurisdictions on a pro-rata basis. (e) If an Audit finds a net overpayment by the Registrant, the Base Jurisdiction shall refund the amount of the overpayment to the Registrant. (f) If the Audit findings indicate a net overpayment by the Registrant, the Base Jurisdiction shall transmit the fee changes as debits to the appropriate Member Jurisdiction within 30 calendar days following the transmittal period during which the overpayment was refunded to the Registrant.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 302, 803, 1702, 1704. Related DRC Action: Dispute Resolution Committee Decision 2006.1, September 30, 2006; Dispute Resolution Committee Decision 2015.03, May 20, 2015. 1055 AUDIT REPORTS (a) Upon the completion of an Audit the Base Jurisdiction shall provide an Audit report to the Registrant and to all Member Jurisdictions in which the Registrant was apportioned or in which it traveled. (b) The Audit report shall include a narrative of the Audit, summary descriptions of the Registrant’s record keeping and internal controls, and a billing summary of any Apportionable Fees owed by the Registrant, net of any Apportionable Fees due to the Registrant. (c) The time periods specified in Sections 1040 and 1065 shall begin on the date on which the Base Jurisdiction sends the Audit report to the Registrant.

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Official Commentary

For purposes of this Section, an Audit will ordinarily be considered to be completed when it has been reviewed and approved by the supervisor of the personnel who conducted the Audit. Barring extenuating circumstances, the Base Jurisdiction should send the Audit report to all affected Jurisdictions at the same time it sends the report to the Registrant.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 803, 1604. Related DRC Action: Dispute Resolution Committee Decision 2008.2, July 26, 2008. 1060 AUDIT TRANSMITTALS (a) Apportionable Fees adjusted pursuant to Audit, and assessments imposed under Section 1015, shall be transmitted to Member Jurisdictions in the form of an appendix to required periodic transmittals among Member Jurisdictions in accordance with Section 1215. (b) Audit transmittal information shall include, for each Audited Registrant: (i) the Registrant’s name and account and Fleet numbers (ii) each Registration Year Audited (iii) the adjusted Apportionable Fees due to or from each Member Jurisdiction (iv) any amounts of assessment imposed under Section 1015 due to each Member Jurisdiction (v) the total adjusted Apportionable Fees transmitted or due (vi) the total amount of assessments imposed under Section 1015 transmitted. (c) Member Jurisdictions which participate in the clearinghouse operated by the Repository shall transmit Apportionable Fees adjusted pursuant to Audit, and assessments imposed under Section 1015, only through the clearinghouse.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1706. 1065 AUDIT APPEALS (a) The Base Jurisdiction shall provide a Registrant at least 30 calendar days from the date the Registrant is notified of the findings of an Audit or a reexamination to file a written appeal of the Audit or reexamination with the Base Jurisdiction. Such an appeal shall proceed in accordance with the administrative and appellate procedures of the Base Jurisdiction. (b) Upon the conclusion of the appeal process, the Base Jurisdiction shall notify all affected Member Jurisdictions of the results. If one or more findings of the Audit remain unresolved after these procedures have been exhausted, the Registrant may challenge disputed Audit findings that remain by filing a dispute in accordance with Section 1400.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1608. Related DRC Action: Dispute Resolution Committee Decision 2004.1, November 5, 2004. 1070 FINALITY OF AUDIT FINDINGS Following the expiration of the time within which an appeal or request for reexamination may be filed under Sections 1040 and 1065, and except in cases of fraud, the findings of an Audit or reexamination shall be final as to all Member Jurisdictions and as to the Registrant Audited.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1614. 1075 AUDIT PROCEDURES MANUAL The Repository shall maintain an Audit Procedures Manual, the provisions of which shall be as binding on Member Jurisdictions as if the provisions of the APM were included in the text of the Plan. Changes to the Audit Procedures Manual must be approved in the same way as amendments to the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 1607.

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ARTICLE XI MEMBERSHIP AND EXCEPTIONS

1100 JURISDICTIONAL MEMBERSHIP IN THE PLAN (a) A Jurisdiction may apply to become a Member Jurisdiction by executing an adopting resolution and submitting it to the Repository. (b) The adopting resolution shall contain such other information as may be specified by the Repository. (c) Upon receipt of the executed adopting resolution, the Repository shall provide a copy of the resolution together with a ballot to all Member Jurisdictions. (d) In order for the Jurisdiction to become a Member Jurisdiction, this ballot must be approved by all Member Jurisdictions. (e) Ballots of Member Jurisdictions shall be cast not later than 120 calendar days following the date of distribution by the Repository. If a Member Jurisdiction does not notify the Repository of its approval or rejection of an adopting resolution within such time, the Member Jurisdiction shall be deemed not to have approved the admission of the Jurisdiction as a Member Jurisdiction. (f) There shall be an implementation period of 120 calendar days following the date on which a Jurisdiction becomes a Member Jurisdiction. The purpose of this implementation period is to allow Registrants to come into compliance with the Plan. Any preexisting Reciprocity Agreements affecting the new Member Jurisdiction shall remain in effect throughout the implementation period.

Official Commentary

This Section means that a nation or a primary political subdivision of a nation may seek to become a Member Jurisdiction. It is expected that if a nation joins the Plan, it will administer interJurisdictional registration on behalf of its subdivisions. The list of potential members is intended to be exclusive; membership in the Plan is not open to local governments or such entities as Indian tribes.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 1800, 2118. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.14, September 11, 1997.

1105 WITHDRAWAL AS A MEMBER

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(a) A Member Jurisdiction may cancel its membership in the Plan by submitting a notice to the Repository to that effect, executed by the appropriate officials of the Member Jurisdiction. The effective date of such a cancellation shall not be less than 30 calendar days from the date of notification. The Repository shall immediately notify the other Member Jurisdictions of the cancellation. (b) The cancellation of a Member Jurisdiction’s membership in the Plan shall not affect the validity of any Credentials issued under the Plan until the end of the canceling member’s current Registration Year. (c) Cancellation by one Member Jurisdiction shall not affect the agreement as between other Member Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1802.

1110 JURISDICTION EXCEPTIONS (a) A Jurisdiction that applies to be a Member Jurisdiction of the Plan shall specify any Exceptions to the Plan in the adopting resolution required under Section 1100 of the Plan. The Exceptions made by a Jurisdiction that becomes a Member Jurisdiction of the Plan shall be effective upon the date it becomes a Member Jurisdiction and shall be listed in Appendix B. (b) No Member Jurisdiction may adopt an Exception that would conflict with the following principles:

(i) a single registration Plate and a single registration Cab Card shall be issued for each Apportionable Vehicle of a Registrant’s Fleet, and only by the Registrant’s Base Jurisdiction; and

(ii) a Fleet registered under the Plan shall be authorized to make both interJurisdictional and intraJurisdictional movements.

Official Commentary

When the Plan was first developed, and membership in it was voluntary, it was felt to be important to provide for a means by which a Jurisdiction could join the Plan without meeting every Plan requirement – hence, the provisions in IRP for Exceptions. A number of states did join with Exceptions. Over the years, some of these were found to be burdensome for other Jurisdictions to accommodate, and pressure grew for the elimination of all Exceptions, or at least their periodic review by means of membership ballot. As of the effective date of Ballot FT 333, no Member Jurisdiction has an Exception. Nevertheless, it is felt advisable to retain within the Plan a mechanism for the establishment of an Exception by a Jurisdiction, should this prove to be necessary in the future.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 1900, 1908. 1115 PERIODIC APPROVAL OF EXCEPTIONS All Exceptions to the Plan shall be subject to periodic review by the Member Jurisdictions. In even-numbered years, the Repository shall for each existing Exception submit a ballot to the Member Jurisdictions to approve or disapprove its continuation. The extension of each Exception shall require the approval of four-fifths of all of the Member Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1902.

1120 AMENDMENTS TO EXCEPTIONS A Member Jurisdiction that has made an Exception to the Plan may amend it. A Member Jurisdiction desiring to do so shall submit the proposed amendment to the Repository, which shall distribute the proposed amendment to the Member Jurisdictions in the form of a ballot. The amendment to an Exception shall require the approval of four-fifths of all Member Jurisdictions and, upon approval; the amended Exception shall be effective in the first Registration Year that begins after 30 calendar days following approval.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1904.

1125 CANCELLATION OF EXCEPTIONS A Member Jurisdiction that has made an Exception to the Plan may cancel it by notifying the Repository of its desire to do so. The Repository shall promptly notify the other Member Jurisdictions, and the cancellation shall be effective upon such notification.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 1906.

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ARTICLE XII MEMBER JURISDICTION DUTIES AND COOPERATION

1200 COOPERATIVE AGREEMENT The Plan is a cooperative agreement, membership in which entails the fulfillment of certain duties: (a) Each Member Jurisdiction shall administer the Plan in such a way that no other Member Jurisdiction is unfairly disadvantaged and with a reasonable degree of care and prudence toward the interests of the other Member Jurisdictions. (b) The Base Jurisdiction shall cooperate with other Member Jurisdictions in connection with applications and the collection of Apportionable Fees. (c) Each Member Jurisdiction shall exercise particular care with respect to the administration of any aspect of the Plan that affects the Apportionable Fees of other Member Jurisdictions. (d) Each Member Jurisdiction shall expend reasonable resources to enforce the provisions of the Plan, and to be vigilant against fraud and sham, particularly in the areas of Registrant basing and distance reporting. (e) Each Member Jurisdiction shall administer the Plan in a way consistent with the fundamental purpose of the Plan set forth in Section 105.

Official Commentary Among other things, this Section is to be understood to require a Member Jurisdiction to take reasonable measures to prevent an Applicant from using a Grace Period to escape the payment of Apportionable Fees.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 384 Full Reciprocity Plan, effective January 1, 2015. Related Provisions, 2006 Plan: Section 410 Related DRC Action: Dispute Resolution Committee Decision 2010.1, May 13, 2010.

1205 FEE CHANGES (a) Whenever a Member Jurisdiction notifies the Repository of a change in the Member Jurisdiction’s Apportionable Fees for apportioned registration, the Repository shall within ten calendar days notify the other Member Jurisdictions of the change. (b) When notified of a change in a Member’s Apportionable Fees, each other Member Jurisdiction shall implement the change within 120 calendar days.

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(c) A Member Jurisdiction that implements a change in another Member Jurisdiction’s Apportionable Fees within 120 calendar days of receiving notice of the change shall not be responsible for any rebilling or credit adjustments which may result from an earlier effective date of the change. (d) A Member Jurisdiction shall submit the notice of a change in Apportionable Fees in such a format as may be established by the Repository.

Official Commentary It is critical to the proper administration of the Plan that changes in Apportionable Fees be implemented timely by all Member Jurisdictions. The Section attempts to balance the need for a Member Jurisdiction to have all its Apportionable Fees collected, the need for a reasonable period to time for other Member Jurisdictions to accomplish an implementation, and the consequences of delay. The drafters’ solution has been to make the Member Jurisdiction with the change responsible for timely notification and the other Member Jurisdictions responsible for timely implementation.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 306

1210 TIMELY COLLECTION OF APPORTIONABLE FEES The Base Jurisdiction shall, within 90 calendar days of the issuance of an apportioned registration or temporary evidence of Apportioned Registration, suspend the registrations of a Registrant that has failed to pay all Apportionable Fees due.

Official Commentary This Section provides a necessary safeguard for revenues of Member Jurisdictions. Its intent is to ensure that a Registrant pays all the Apportionable Fees it owes under the Plan within at most 90 calendar days of the issuance of registration privileges or has its account - that is, all its Plan registrations - suspended by its Base Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended:

1215 FEE TRANSMITTALS (a) A Member Jurisdiction shall establish and follow procedures by which it shall regularly transmit to each other Member Jurisdiction all of the Apportionable Fees it has collected under the Plan for such other Member Jurisdiction. Such procedures shall ensure that fee transmittals are timely, complete, and accurate. The transmittals shall contain all information necessary for the receiving Member Jurisdiction to verify Apportionable Fees paid. The transmittals and appropriate funds shall be mailed or electronically transmitted to other Member Jurisdictions within the 30 days following the close of the transmittal period.

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(b) The Base Jurisdiction shall regularly and promptly transmit to each other Member Jurisdiction the Apportionable Fees it has collected for the Member Jurisdiction. In no event shall transmittals be made less frequently than once each calendar month. (c) A fee transmittal may be made by mail, express delivery service, or electronically. (d) If the Repository operates a clearinghouse, a Member Jurisdiction may fulfill its obligation under this Section by transmitting the appropriate Apportionable Fees and information to the clearinghouse. (e) Transmittals or supporting documentation shall contain at least the following information:

(i) Registrant account number, (ii) Registrant name, (iii) Registration Year, (iv) batch number or date range, (v) amount of payment, (vi) original or supplement number, (vii) distance and apportionment percentage, (viii) payment date, (ix) number of months for which Apportionable Fees are calculated, (x) Vehicle types, (xi) Vehicle weights (both old and new weights in the case of weight increases) or Axles for each Member Jurisdiction in which the Registrant is apportioned, (xii) number of Vehicles, (xiii) carrier type, (xiv) supplement type, and (xv) any additional data elements that pertain to the calculation of Apportionable Fees.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 408

1220 ANNUAL REPORT OF ACTIVITY Each Member Jurisdiction shall submit to the Repository by March 1 of each year an annual report of the Member Jurisdiction’s Plan activity for the preceding calendar year. This report shall contain the information required by Appendix C.

Official Commentary Compliance with the requirement set out in this Section is necessary for an assessment of the adequacy of each Member Jurisdiction’s operational and Audit data.

HISTORICAL NOTES

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Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot ST-357, effective July 1, 2010.

1225 FEE TEST A Member Jurisdiction shall complete an annual fee test according to such a format and schedule as determined by the Peer Review Committee.

Official Commentary Compliance with the requirement set out in this Section is necessary for an assessment of the accuracy of each Member Jurisdiction’s calculation of Apportionable Fees due to other Member Jurisdictions.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2128 Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.2, September 11, 1997; Dispute Resolution Committee Decision 1997.3, September 11, 1997; Dispute Resolution Committee Decision 1997.4, September 11, 1997; Dispute Resolution Committee Decision 1997.5, September 11, 1997; Dispute Resolution Committee Decision 1997.6, September 11, 1997; Dispute Resolution Committee Decision 1997.7, September 11, 1997; Dispute Resolution Committee Decision 1997.9, September 11, 1997; Dispute Resolution Committee Decision 1997.17, November 16, 1997.

1230 NOTIFICATON OF EXTENSIONS A Member Jurisdiction shall advise the Repository of any Extensions it issues, and the Repository shall promptly notify the other Member Jurisdictions of the Extension.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 402 Related DRC Action: Dispute Resolution Committee Decision 2008.3, October 3, 2003.

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ARTICLE XIII PLAN ADMINISTRATION

1300 OFFICIAL REPOSITORY (a) International Registration Plan, Inc., a Virginia non-stock corporation, is the official Repository of the Plan. (b) The Repository shall compile the necessary information elements for calculating Apportionable Fees in accordance with the Plan (c) The Repository shall keep Member Jurisdictions apprised of the status of the Plan in the manner determined by the Board to best accomplish this purpose. The other duties of the Repository shall be as set forth in the Plan and as determined by the Board.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 2116, 2120.

1305 BOARD OF DIRECTORS (a) The authority to handle substantive matters pertaining to the administration of the Plan and the compliance of Member Jurisdictions with the terms of the Plan is hereby vested in the Board. (b) The Board shall adopt bylaws for the conduct of its business in accordance with the provisions of the Plan and applicable law.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Sections 2100, 2114.

1310 DUES (a) Annual dues for Member Jurisdictions shall be for the fiscal year commencing October 1 and ending September 30 and shall be paid to the Repository no later than September 30 of the prior fiscal year. (Example: FY 2015 dues would be due by September 30, 2014). The payment of full dues of a Member Jurisdiction entitles every eligible official for such state, province, or political subdivision to active membership. (b) Dues shall be as set forth in Appendix D. Changes to dues shall be proposed by the Board, and must be submitted to all Member Jurisdictions by ballot in accordance with Section 1320 and approved by the affirmative vote of three-fourths of the number of Member Jurisdictions that have cast a ballot.

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(c) If a Member Jurisdiction fails to make timely payment of dues, the Repository shall, by November 15 of each year, send notification to the Member Jurisdiction requesting immediate payment. (d) The Board chair shall be notified immediately if the Repository fails to receive payment within 30 calendar days following the notification required in subsection (c). The Board chair shall promptly issue a written notice to the Member Jurisdiction that its right to vote in matters arising under the Plan is suspended. The Board chair may place the matter on the agenda of the Board for further action. The Repository shall notify all Member Jurisdictions of the suspension of any Member Jurisdiction under this Section within ten calendar days of the date of the suspension. (e) The Board may further restrict the delinquent Member Jurisdiction’s right to participate in activities related to the Plan. If the Member Jurisdiction remains delinquent more than 90 calendar days following receipt of the certified letter, the Board may impose against the Member Jurisdiction any of the sanctions specified in Section 1410. If the Board imposes any of the sanctions specified in Section 1410, the Repository shall notify all Member Jurisdictions of the action within 30 calendar days. (f) Payment of the delinquent dues shall result in the restoration of the Member Jurisdiction’s rights and privileges that have been suspended under this Section. Such restoration shall become effective on the date the delinquent dues are paid in full.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 387, effective January 1, 2014. Related Provisions, 2006 Plan: Section 2126 Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.12, September 11, 1997; Dispute Resolution Committee Decision 1997.13, September 11, 1997; Dispute Resolution Committee Decision 1997.18, November 16, 1997; Dispute Resolution Committee Decision 1999.3, November 13, 1999.

1315 MEMBER JURISDICTIONS IN GOOD STANDING A Member Jurisdiction shall be considered in good standing if it has paid its annual dues and when none of its rights and privileges under the Plan has been suspended. Only Member Jurisdictions in good standing shall be entitled to vote on matters requiring the vote of Member Jurisdictions under the Plan, except that all Member Jurisdictions shall be entitled to vote on the application of a Jurisdiction to become a Member Jurisdiction or upon the approval or amendment of an Exception to the Plan.

Official Commentary It is the intent of this section to deprive members of the Plan that are not in good standing of the right to vote on most matters that come before the Plan membership. Since, however, the Plan is an agreement among sovereign governments; it is believed that all members must be allowed to vote, whatever their standing, on issues that affect the membership of the Plan; that is, membership for a new Jurisdiction and the approval or amendment of an Exception, which constitutes a condition of membership for the Jurisdiction making the Exception.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2124.

1320 MEMBERSHIP BALLOTS Any issue that requires the approval of the Member Jurisdictions shall be determined by a ballot sent by the Repository to each Member Jurisdiction. Each Member Jurisdiction shall be entitled to one vote on a ballot and, prior to voting on a ballot or to the commencement of any meeting where a vote of the Member Jurisdictions may be required, shall designate to the Repository the person who shall cast the vote for the Member Jurisdiction. On any issue other than the entry of a Member Jurisdiction into the Plan, the failure of a Member Jurisdiction to act on a ballot within 120 calendar days of its receipt shall be deemed an abstention by the Member Jurisdiction.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2122.

1325 COMPOSITION OF THE BOARD OF DIRECTORS OF THE REPOSITORY (a) Unless changed in accordance with this Section the Board shall consist of eleven voting members, selected as follows: (i) Eight members of the Board shall be elected by the U.S. Member Jurisdictions, two Board members from each of the United States Regions. Nominations for these positions shall be solicited by the Repository and shall be made for each United States Region by its members, which shall submit to the Repository the names of nominees for each open position. The nominations shall be balloted and voted on, as provided in Section 1330, by the members of each United States Region. Board members so elected shall serve staggered terms of three years and shall not serve more than two consecutive terms. (ii) One Board member from a U.S. Member Jurisdiction shall be elected to a position that shall rotate among the United States Regions, beginning with Region I. Nominations for this position shall be solicited by the Repository and shall be made by the members of the United States Region whose turn it is to fill the position, which shall submit to the Repository the names of nominees for the position. The nominations shall be balloted and voted on, as provided in Section 1330, by the U.S. Member Jurisdictions. A Board member so elected shall serve a single, two-year term, after which a representative of the next United States Region shall fill the position. (iii) Two Board members shall be elected by the Canadian Member Jurisdictions. Nominations for these positions shall be solicited by the Repository and shall be made by the Canadian Member Jurisdictions, which shall submit to the Repository the names of nominees for each open position. These nominations shall be balloted and voted on by the Canadian Member Jurisdictions as provided in Section 1330. Board members so elected shall serve

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staggered three-year terms and shall not serve more than two consecutive terms. At no time shall Canadian voting representation on the Board exceed two members. (b) Notwithstanding subsection (a), in the event that the federal government of Mexico shall become a Member Jurisdiction, it may name a representative as an additional voting member of the Board. (c) In the event the term of a member of the Board who has served as chair of the Board expires at the same time as that member’s tenure as chair, the member shall continue to serve on the Board as a non-voting member for one year. (d) Members of an advisory panel to the Board, comprising representatives of industry, federal governments or other organizations whose members include industry, state, provincial or federal governmental representatives, may be appointed annually at the discretion of the chair of the Board for terms of one year beginning January 1, without limit as to the number of consecutive terms, and may serve until a successor is appointed.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 363-ST, effective January 1, 2011. Ballot 378 Composition of the Board of Directors of the Repository, effective January 1, 2013. Related Provisions, 2006 Plan: Section 2102. 1330 ELECTION OF BOARD MEMBERS Elections for members of the Board shall be held as follows: (a) The Repository shall prepare a ballot for each open position, with the nominees chosen as provided in Section 1325, and send it to all Member Jurisdictions in the United States Region where the vacancy exists or, in the case of a vacancy in Canadian representation, to all Canadian Member Jurisdictions; (b) The ballot shall remain open for voting for a period of 60 calendar days; (c) The nominee with the highest number of votes shall be the winner of each election; (d) In the event of a tie, a run-off election shall be held in accordance with the procedures in subsections (a) through (c), among the nominees with the most votes; and (e) The Repository shall notify the Member Jurisdictions of the results of each election.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 354 ST – Vacancies on the Board, effective July 1, 2009 Related Provisions, 2006 Plan: Section 2106.

1335 TERM OF OFFICE

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The term of office of a Board member shall begin on January 1 following the election and end on December 31 of the second succeeding year; provided, however, that the term of a member filling the rotating position shall end on December 31 of the first succeeding year; and provided further that a Board member shall continue to serve until a successor has been duly appointed or elected.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2108. 1340 VACANCIES ON THE BOARD (a) If the remaining term of a position on the Board that becomes vacant is less than 120 calendar days from the date the vacancy is created, the vacant position shall not be filled prior to the expiration of the term of the vacant position. If the remaining term of the position on the Board that becomes vacant is 120 calendar days or more, the vacancy shall be filled through a process of nomination and election as set forth in Sections 1325(a)(i), 1325(a)(ii), or 1325(a)(iii), as applicable to the vacant position. The nominations shall be balloted and voted on as provided in Section 1330, except that the ballot shall remain open for voting for a period of not less than 10 calendar days. For the purpose of the two-term limit established in Section 1325(a)(i), a Board member who has been elected to fill a vacancy occurring in the first six months of the vacated term will be considered to be serving for that member’s first term. (b) When a Board member shall have been absent for two or more consecutive Board meetings, the Board may, through majority action, declare the position vacant.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot ST-354 – Vacancies on the Board, effective July 1, 2009 Related Provisions, 2006 Plan: Section 2110. 1345 BOARD ACTIONS (a) A quorum for conducting business by the Board shall be seven voting members of the Board. (b) Each member of the Board shall have one vote on matters coming before the Board for decision, and Board actions shall require the concurrence of a majority of Board members voting, but in no event fewer than 5 concurring votes.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2112. 1350 LIAISONS TO COMMITTEES

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A Board member may be appointed by the chair of the Board to serve as a liaison to any committee established by the Board. Liaisons may advise the committee to which they are appointed, and may make reports to the Board on committee activity. A liaison may not make motions or vote on committee decisions. A Board member may not serve as an officer or member of any standing committee.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended:

1355 PEER REVIEW (a) Each Member Jurisdiction’s administrative procedures and Audit program will be reviewed regularly to determine its compliance with the Plan and the Audit Procedures Manual. The peer review period will begin with the earliest un-reviewed calendar year and end with the most recently completed calendar year. The Board shall determine the schedule for the periodic review of all Member Jurisdictions. (b) There shall be a Peer Review Committee, members of which shall be selected as determined by the Board, and whose duties and manner of conducting peer review activities shall be approved by the Board. The Peer Review Committee may develop and maintain a Peer Review Compliance Guide, which shall be approved by the Board. (c) Following the peer review of a Member Jurisdiction, the Peer Review Committee shall decide by majority vote whether the Member Jurisdiction is in compliance with the Plan and the Audit Procedures Manual. The Committee shall notify the Member Jurisdiction of the Committee’s findings, and shall direct a Member Jurisdiction which it finds to be in material noncompliance with the Plan or Audit Procedures Manual to take such steps as may be necessary to correct the problems found within one year. (d) A Member Jurisdiction that has been found to be in material noncompliance may, if the Committee deems it necessary, be reviewed again by the Committee within a year to determine whether the Member Jurisdiction has corrected the problems found. Such a follow-up review shall be conducted by the full Peer Review Committee, which shall examine such supporting documentation as the Member Jurisdiction shall submit, to determine if the Member Jurisdiction has come into compliance with the Plan and Audit Procedures Manual. (e) A Member Jurisdiction found to be in material noncompliance with the Plan, may, under guidelines developed by the Peer Review Committee, be brought before the Board by the Committee in accordance with the procedures of Section 1400. In such an instance, the Board may exercise all the powers granted it under Section 1410 to enforce compliance with the provisions of the Plan.

Official Commentary The experience of the Plan with the peer review process indicates strongly that peer review is critical for the maintenance of the necessary level of uniformity among the members of the Plan in their administration of the Plan. Issues of member noncompliance with Plan requirements will

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often be disclosed by peer reviews, and the process of follow-up reviews and appeals has proved invaluable in ensuring that, in matters of importance, all members administer the Plan similarly and fulfill all of the obligations of Plan membership.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Ballot 2011.371 IRP Audit Rewrite, effective July 1, 2013. Related Provisions, 2006 Plan: Section 2128. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1997.2, September 11, 1997; Dispute Resolution Committee Decision 1997.3, September 11, 1997; Dispute Resolution Committee Decision 1997.4, September 11, 1997; Dispute Resolution Committee Decision 1997.5, September 11, 1997; Dispute Resolution Committee Decision 1997.6, September 11, 1997; Dispute Resolution Committee Decision 1997.7, September 11, 1997; Dispute Resolution Committee Decision 1997.9, September 11, 1997; Dispute Resolution Committee Decision 1997.17, November 16, 1997.

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XIV DISPUTE RESOLUTION AND PLAN INTERPRETATION

1400 BOARD ACTION—RAISING OF ISSUES (a) Final authority to interpret the provisions of the Plan and to resolve issues of compliance with the Plan by the Member Jurisdiction is hereby vested in the Board. (b) The Board may delegate its authority to interpret the Plan and resolve issues of Plan compliance to a Dispute Resolution Committee chartered by the Board for those purposes. If the Board makes such a delegation, it shall retain the authority to entertain appeals of the decisions of such a committee in the circumstances and according to the procedures set out in Section 1420. (c) For purposes of this Article, unless provided otherwise, references to the Board shall be deemed to include reference to a Dispute Resolution Committee chartered by the Board. (d) Issues of Plan compliance and interpretation may be raised before the Board by any Member Jurisdiction, any Registrant, the Peer Review Committee, any Applicant seeking to be a Registrant, or the Repository. Issues brought before the Board under this Section shall be submitted in writing to the Repository. The submission of an issue shall include:

(i) the question or issue of compliance to be resolved, (ii) relevant Plan references, (iii) supporting documents, including evidence of prior actions, if any, taken by the parties to resolve the issue, (iv) a statement of the relief, resolution, or interpretation sought, and (v) a request that the Board hear and resolve the issue.

(e) Within 60 calendar days of the submission of an issue, the Board shall place the matter on its agenda for action or discussion.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2300. 1405 INVESTIGATION OF ISSUES With respect to issues brought for resolution or interpretation in accordance with Section 1400, the Board is empowered to:

(i) receive testimony, (ii) make inquiries, (iii) conduct investigations, (iv) weigh evidence, (v) review facts, and

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(vi) make findings.

The Board shall provide for a public notice of all meetings and allow all interested parties to attend and be heard. Rules of evidence required in judicial proceedings shall not apply in hearings of issues before the Board. The Board may from time to time adopt such rules of procedures as are reasonably required to govern its activities.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2302.

1410 POWERS AND DUTIES OF THE BOARD (a) The Board shall have full discretion with respect to an issue before it under this Article, except as may be otherwise provided in the Plan or the charter of a Dispute Resolution Committee chartered by the Board in accordance with this Article. (b) The Board is empowered to grant appropriate relief to a Member Jurisdiction or Registrant, and may take action to ensure a Member’s compliance with the Plan. Among other things, the Board may:

(i) determine a time period for compliance, (ii) suspend rights and privileges of a Member Jurisdiction under the Plan, (including, without limitation, voting, participation on the Board or any committee of the Repository, submission of issues to the Board, input at meetings or working groups, and participation in the peer review process); provided, however, that nothing in this Section shall exempt a Member Jurisdiction from undergoing a peer review, (iii) order a Member Jurisdiction to refund, credit, or transmit Apportionable Fees, with or without interest, and with or without a penalty of up to 10% of the amount to be refunded, credited, or transmitted, at the discretion of the Board, (iv) order all Member Jurisdictions to suspend distribution of Apportionable Fees payable under the Plan to a Member Jurisdiction, (v) permit a Member Jurisdiction that has been granted relief to withhold distribution or payment of Apportionable Fees payable under the Plan to another Member Jurisdiction, in an amount not to exceed the amount specified in the order, and (vi) Initiate a civil action for injunctive, declaratory or other appropriate relief in a court of competent Jurisdiction.

(c) When a Member Jurisdiction is subject to an order to withhold funds from another Member Jurisdiction, the Member Jurisdiction withholding funds shall report to the Repository by the last day of each month in which the order is in effect the amount of funds it has withheld during the preceding month. (d) In deciding any issue before it under this Article, the Board is empowered to interpret the Plan and the policies issued there under. Such an interpretation shall be binding on all Member Jurisdictions.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2304. Related DRC Action, 2006 Plan: Dispute Resolution Committee Decision 1999.1, November 13, 1999; Dispute Resolution Committee Decision 1999.2, November 13, 1999.

1415 DISPOSITION OF BOARD DECISIONS (a) Within 30 calendar days of a decision of an issue by the Board or its designee under this Article, the Repository shall notify the parties to the issue of the findings, actions, and orders. Failure of a party to comply within the time set for compliance will subject the party, at the discretion of the Board or its designee, to imposition of one or more of the sanctions in Section 1410. (b) A record of all Board decisions under this article shall be maintained by the Repository, which shall also prepare minutes of each Board hearing for review and approval by the Board. The Repository shall record all Board interpretations in an appendix to the Plan and shall insert informative footnotes to the sections of the Plan to which the interpretation relates.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2306.

1420 APPEALS TO THE BOARD (a) If the Board delegates to a Dispute Resolution Committee the authority to interpret the Plan and resolve issues of Plan compliance, the Board shall retain the authority to hear an appeal from a decision of that committee on an issue, but only where one or more of the following circumstances is alleged to exist:

(i) the Dispute Resolution Committee made a procedural error in handling the issue, (ii) the Dispute Resolution Committee abused its discretion in deciding the issue, or (iii) evidence has been found that was not available when the Dispute Resolution Committee decided the issue.

(b) A party wishing to appeal a decision of the dispute resolution committee to the Board shall, within 45 calendar days following the decision by the committee, file with the Repository a statement that:

(i) identifies the decision being appealed, (ii) describes specifically the circumstances that permit an appeal of the decision under this Section, (iii) requests the Board to hear the appeal, and (iv) is accompanied by supporting documents the party believes will be of assistance to the Board.

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(c) The Repository shall promptly distribute the statement to the members of the Board and shall notify the Member Jurisdictions of the filing of the appeal. In the discretion of the chair of the Board, the Board may hear the appeal at its next regularly scheduled meeting or may hold a special meeting for that purpose, either in person or by telephone conference call. (d) In hearing an appeal, the Board may exercise all of the powers granted it in this article. Without limitation, the Board may:

(i) hear the issue in its entirety, (ii) take testimony on specific questions relating to the issue or to the decisions or actions of the Dispute Resolution Committee, (iii) remand the issue to the committee with instructions, (iv) suspend a sanction or order imposed by the committee, uphold or overturn part or all of a decision of the committee, (v) dismiss the appeal for lack of merit, or (vi) take any other action that the Board in its discretion deems appropriate.

(e) Nothing in this article shall preclude a Member Jurisdiction from seeking judicial relief after exhausting its remedies under the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2307.

1425 REFUSAL TO ACT ON ISSUE (a) If the Board refuses to place on its agenda an issue that has been properly submitted to it under this Article, or fails to reach a decision on an issue under this Article, except for an issue dismissed under subsection (b), the issue shall be referred for resolution to the Member Jurisdictions under the procedures of Section 1430. (b) If the Board finds that an issue submitted to it under this Article is without merit or was submitted in bad faith, the Board shall dismiss the issue.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2308.

1430 ISSUES REFERRED TO JURISDICTIONS (a) The Board or its designee may determine to submit issues of Plan interpretation to a vote of the Member Jurisdictions. Issues to be placed before the Member Jurisdictions shall be submitted to the Repository in a form in which each issue to be decided may be accepted or rejected by the Member Jurisdictions.

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(b) Within 30 calendar days following the Repository’s receipt of an issue for determination by the Member Jurisdictions, the Repository shall submit the issue as a ballot to each Member Jurisdiction for approval or rejection. (c) Decision of the issue shall be determined by a majority of the Member Jurisdictions in good standing casting a vote within 120 calendar days following submission of the ballot to them. Such a decision shall be binding upon all Member Jurisdictions, and a record of all such decisions shall be included in an appendix to the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2310.

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ARTICLE XV AMENDMENTS TO THE PLAN

1500 AMENDMENT PROCESS The Plan may be amended upon the affirmative vote of three-fourths of the number of Member Jurisdictions that have cast a ballot. Any Member Jurisdiction not casting a vote shall be deemed to have abstained, and such abstention shall not be considered in determining the number of votes required for passage of the ballot.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2200.

1505 AMENDMENT INTRODUCTION PROCESS (a) Before being balloted, any proposed amendment shall be submitted in draft form to the Repository at least 60 calendar days prior to an open meeting where it is to be discussed. An open meeting means the IRP/MCS Annual Meeting or a meeting so designated by the Board. (b) The draft of the proposed amendment shall show the complete text of each Section to be amended, identifying new language by underlining and deleted language by strikeout. (c) The draft of the proposed amendment shall include an explanation of the intent and purpose of the proposed amendment. (d) Not later than 10 calendar days following receipt of a draft proposed amendment in accordance with the Plan, the Repository shall assign it a ballot number and distribute the draft proposed amendment to all Member Jurisdictions and to the members of the Board for review and comment. Comments may be submitted to the Repository prior to the open meeting or at the open meeting. All draft proposed amendments that have been circulated to the Member Jurisdictions shall be discussed at the open meeting. Sponsors of the draft proposed amendment shall have 45 calendar days to resubmit a final form of the proposed amendment that may include changes received through written comments and during discussion at the open meeting. Sponsors of the proposed amendment shall specify whether balloting on the proposed amendment is to proceed as a short-track ballot or a full-track ballot. (e) Upon receipt of the final form of the proposed amendment, the Repository shall ensure that the final form of the proposed amendment is in proper format, and shall distribute the proposed amendment in ballot format to each of the Member Jurisdictions. (f) Any proposed amendment that is not distributed to Member Jurisdictions for voting within 90 calendar days after an open meeting may only be considered following resubmission as required under Section 1505(a).

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2202.

1510 FULL-TRACK BALLOT PROCESS (a) Each full-track ballot shall contain the following:

(i) a full-track ballot number assigned by the Repository, (ii) the date that the full-track ballot is distributed by the Repository,

(iii) a voting deadline, which shall be 90 calendar days from the date on which the full-track ballot is distributed to Member Jurisdictions,

(iv) an effective date for the proposed amendment in accordance with Section 1520, and

(v) the complete text of the Section of the Plan being amended or added that identifies new language by underlining and deleted language by strikeout.

(b) Immediately upon the close of the voting period, the Repository shall prepare a report of the ballot by ballot number and shall identify the votes of all Member Jurisdictions as well as abstentions as of the voting deadline. If the ballot is approved, the Repository shall distribute the text of the new or amended provision of the Plan.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2204.

1515 SHORT-TRACK BALLOT PROCESS (a) Each short-track ballot shall contain the following:

(i) a short-track ballot number assigned by the Repository, (ii) the date that the short-track ballot is distributed by the Repository, (iii) a voting deadline, which shall be 30 calendar days from the date on which the short-track ballot is distributed to Member Jurisdictions, (iv) an effective date of the proposed amendment in accordance with Section 1520, and (v) the complete text of the Section of the Plan being amended, or added that identifies new language by underlining and deleted language by strikeout.

(b) Immediately upon the close of the voting period, the Repository shall prepare a report of the ballot by ballot number, shall identify the votes of all Member Jurisdictions eligible to vote as well as abstentions as of the voting deadline. If the ballot is approved, the Repository shall distribute the text of the new or amended provision.

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HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2205.

1520 EFFECTIVE DATE OF PLAN AMENDMENTS (a) The effective date of amendments to the Plan passed under full-track ballot procedures, unless otherwise specified in the text of the amendment in compliance with the following provisions, is the first day of January or July, whichever occurs first, 12 months after the close of the voting period. (b) An amendment passed under full-track ballot procedures may have an earlier effective date than provided above; provided, however, that in order to have an earlier effective date, the effective date shall be voted on separately, and shall receive the affirmative vote of three-fourths of all Member Jurisdictions eligible to vote. A Member Jurisdiction not voting on the effective date shall be deemed to have voted in favor of the earlier effective date. (c) An amendment passed under full-track ballot procedures may have a later effective date if that date is specified in the ballot. (d) The effective date of amendments to the Plan passed under short-track ballot procedures is the first day of January, April, July or October, whichever occurs first, 6 months after the close of the voting period.

HISTORICAL NOTES

Adopted: Ballot FT-333, effective July 1, 2008. Amended: Related Provisions, 2006 Plan: Section 2206.

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APPENDIX A MEMBER JURISDICTIONS

Jurisdiction

Date Approved Date of Entry

1 Kentucky September 13, 1973 April 1, 1974 2 Tennessee September 13, 1973 March 1, 1974 3 Missouri September 13, 1973 January 1, 1974 4 Texas September 13, 1973 April 1, 1974 5 Minnesota September 13, 1973 January 1, 1975 6 Oregon September 13, 1973 January 1, 1975 7 Nebraska September 13, 1973 January 1, 1975 8 Utah September 13, 1973 January 1, 1975 9 Colorado September 13, 1973 January 1, 1975 10 Alberta July 22, 1974 January 1, 1975 11 South Dakota August 5, 1974 January 1, 1975 12 Mississippi November 4, 1974 November 1, 1975 13 Virginia February 24, 1975 March 1, 1975 14 Wyoming July 14, 1975 January 1, 1976 15 Montana October 10, 1975 January 1, 1976 16 Arkansas October 10, 1975 July 1, 1976 17 Louisiana December 1, 1975 April 1, 1976 18 Idaho December 10, 1975 January 1, 1976 19 Illinois July 7, 1976 January 1, 1977 20 North Carolina July 16, 1976 January 1, 1977 21 Oklahoma January 19, 1977 January 1, 1978 22 Wisconsin May 23, 1977 January 1, 1978 23 Iowa August 17, 1977 January 1, 1978 24 Alabama September 5, 1979 October 1, 1980 25 Arizona May 9, 1980 January 1, 1981 26 North Dakota June 19, 1980 January 1, 1981 27 Kansas July 9, 1980 January 1, 1981 28 Pennsylvania September 15, 1982 June 1, 1983 29 Michigan August 10, 1983 March 1, 1985 30 Florida January 30, 1984 December 1, 1986 31 Connecticut August 6, 1984 May 1, 1985 32 California August 6, 1984 January 1, 1985 33 West Virginia November 15, 1984 July 1, 1986 34 South Carolina March 12, 1985 January 1, 1986 35 Indiana July 14, 1986 March 1, 1987 36 Vermont February 24, 1987 May 1, 1988 37 Maryland March 20, 1987 May 1, 1988 38 Washington April 27, 1987 January 1, 1988 39 New York February 3, 198 March 1, 1989 40 New Hampshire July 26, 1988 May 1, 1989 41 New Mexico December 19, 1988 January 1, 1990 42 Nevada May 11, 1990 January 1, 1992 43 Georgia May 27, 1990 January 1, 1991 44 Ohio July 27, 1990 June 1, 1991 45 Maine February 22, 1991 July 1, 1993 46 Massachusetts May 22, 1992 January 1, 1994 47 Saskatchewan February 24, 1993 October 1, 1993

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48 Delaware December 30, 1993 January 1, 1995 49 British Columbia October 19, 1995 January 1, 1996 50 Rhode Island January 6, 1996 September 1, 1996 51 New Jersey April 9, 1996 April 1, 1996 52 District of Columbia November 29, 1996 April 1, 1997 53 New Brunswick June 26, 1999 April 1, 2001 54 Quebec September 29, 1999 April 1, 2001 55 Ontario June 24, 2000 April 1, 2001 56 Manitoba August 18, 2000 March 1, 2001 57 Prince Edward Island November 8, 2000 April 1, 2001 58 Newfoundland &

Labrador November 21, 2000 April 1, 2001

59 Nova Scotia December 29, 2000 April 1, 2001

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APPENDIX B EXCEPTIONS TO THE INTERNATIONAL REGISTRATION PLAN

As of July 1, 2008 there are no Exceptions to the Plan

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APPENDIX C FORM OF ANNUAL REPORT OF PLAN ACTIVITY

Member Jurisdiction Name

1. Calendar Year Reported Jan. 1 – Dec. 31, 2014

2. Total Fleets

3. Number of Fleets RENEWED during this calendar year

4. Number of NEW Fleets registering for the first time during this calendar year

5. Number of Audits resulting in changes to fees

6. Number of Audits resulting in NO changes to fees

7. Total Number Audits finalized during this calendar year

8. Number of Records Reviews conducted, if any

9. Number of INADEQUATE records assessments issued

10. Total dollars assessed for Inadequate records included above

11. Total Registrants

12. Number of Power Units

13. Has the designated Website Coordinator verified that all of your jurisdiction information on www.irponline.org is up to date?

Yes

Submitted by:

Name:

Title:

Agency:

Signature: Date:

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APPENDIX D INTERNATIONAL REGISTRATION PLAN DUES

Dues payable by Member Jurisdictions shall be determined as follows: For fiscal years beginning before October 1, 2008, the dues shall be determined with reference to the following table:

• 15,000 or fewer power units equal $6,000.00 U.S. • 15,001 to 30,000 power units equal $12,000.00 U.S. • More than 30,000 power units equal $18,000.00 U.S.

For fiscal years beginning on and after October 1, 2008, dues shall be $6,000.00 U.S. per Jurisdiction plus an amount based on the number of power units, determined with reference to the following table: Power Units Cost 1 - 1,000 $1,120 1001 - 5,000 $2,400 5001 - 10,000 $5,600 10,001 - 15,000 $8,800 15,001 - 20,000 $14,400 20,001 - 30,000 $19,200 30,001 - 50,000 $25,600 50,001 - 100,000 $28,000 100,001 – 150,000 $30,400 150,001 – 200,000 $33,200 200,001 – 250,000 $36,000 250,001 – 300,000 $38,800 300,001 – 350,000 $41,600 350,001 – 400,000 $44,400 400,001 – 450,000 $47,200 450,001 – 500,000 $50,000 500,001 plus $52,800

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APPENDIX E GOVERNING BOARD DECISIONS

International Registration Plan

Governing Board Dispute Resolutions/Interpretations Chronological Order January 14-15, 1985 1 - Define public notice identified in Section 2302 - the Board decided that this notice would be

published in the AAMVA Bulletin, and ATA's Transport Topics, plus be sent to all Chief Administrators, law enforcement officials, industry representatives active within the AAMVA Standing Committee on Vehicle Reciprocity, and CCMTA for its publication.

March 14-15, 1985 2 - Alternatives for members may sit in on the Governing Board meetings, but may not vote.

(Section 2112) September 20, 1985 3 - The case before the Board was brought by the State of Pennsylvania against a carrier who said

he had an established place of business in Virginia. (Section 218) Verified facts indicated otherwise. The Board charged Virginia to investigate and report back within 120 days if the carrier had an established a place of business in Virginia.

Note: The carrier is now complying with Section 218. March 6, 1986 4 - The Board discussed the provision for proxy votes 6, 1986 for members who were not able to

attend the meeting. The Board again endorsed that proxy votes would not be accepted. Section 2112 (Previously discussed on 3/14/85).

October 23, 1986 5 - A case was brought before the Board for interpretation of Section 210 and its Commentary.

Could a carrier consolidate its fleet in California including some vehicles which did not generate California miles. The Board agreed that the carrier could do this.

6 - The Board was asked to interpret Section 906 concerning owner-operators. Some jurisdictions

were requiring full compliance of the established place of business definition Section 218 for owner-operators, The Board agreed that Section 906 applies to owner-operators, rather than Section 218. Kansas had filed an exception to the Plan prior to the amendment which changed the treatment for owner-operator registration. The Board agreed that Kansas must file a new exception if it did not want to comply with the provisions of the amendment.

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Note: All jurisdictions are complying with Section 906. 7- The interpretation of Section 410 concerning the untimely submission of fees was requested.

Michigan indicated that Illinois was taking an average of 26 days to forward fees to jurisdictions. A few of the jurisdictions had a memorandum of understanding with Illinois for the money to be transmitted in a more timely fashion, and that if a check is returned, the receiving jurisdiction would refund that portion to Illinois. The Board suggested that Michigan attempt to negotiate a similar agreement with Illinois since there is nothing in the Plan that specifically indicates when a jurisdiction is required to transmit the money.

Note: A subsequent ballot to amend Section 408 specifies the time period for sending

transmittals and fees. 8 - Illinois submitted for interpretation of Section 218, established place of business. Illinois

indicated that there were applicants that were using the address of an attorney's office as the established place of business. Illinois further indicated that a physical inspection indicated that there were three separate phone numbers, separate offices within an office, and supposedly separate employees assigned to handle each company's trucking operation. The Board indicated that these registrants were in compliance.

March 10, 1987 9 - Did the amendment to the adopting resolution Appendix A requiring a six months notice mean

that the ballot must be submitted six months in advance of the registration year or approved six months in advance of the registration year. The Board agreed that it means submitted.

10 - Texas indicated that there was some concern regarding all trailer fleets and the method for

audit. It was questioned whether the Plan allows for all trailer fleet. The Board agreed that it does under Section 204 (a) (3).

March 29, 1988 11 - The case heard was determining mileage for combined fleets. A carrier closed its operation in

Arizona. It disbanded the Arizona fleet - fleet three - and moved the vehicles to fleet one, which was based in another jurisdiction. The carrier included the mileage for fleet three with fleet one upon renewal. When audited by North Carolina, the carrier was instructed to exclude the fleet three mileage. North Carolina felt that the closing of the facility was considered a change of operation, even though fleet three and fleet one had operated in some of the same jurisdictions. California, however, felt that since all vehicles were moved form fleet three to fleet one, the mileage should have been combined and would have been consistent with Article VIII of the Plan. The Board found it difficult to rule that North Carolina was incorrect, since there is not policy on combining fleets and mileage. The Board agreed that North Carolina was justified in its action. In addition, the Board asked the Motor Carrier Services Audit Subcommittee to initiate a policy and guidelines for combining fleets and mileage, and to ballot the issue with member jurisdictions.

Note: A work-group was created to address this issue.

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12 - Can vehicles operating exclusively in a single jurisdiction use IRP plates. The State of Arizona stated when a carrier intends to run 100% in one jurisdiction, it should be fully plated with that jurisdiction. The Board agreed that it was improper for vehicles to operate with IRP plates when they are doing only intrastate operations for the entire registration period. Vehicles must travel in two or more IRP jurisdictions in order to register under the program (Section 204).

September 20, 1988 13 - The item for discussion concerned restricted plates under the IRP. The State of Maryland was

concerned that West Virginia was not recognizing its dump plate as a restricted plate and, therefore, was requiring the vehicles to be apportioned. The Board felt that the plate qualified as a restricted plate under IRP and that West Virginia should continue to treat these specific vehicles under the pre-IRP arrangement with Maryland (Section 204 and Commentary).

April 4, 1989 14 - The legal counsel of the Chair has indicated that incorporated by reference as specified in

Article XVI in the IRP is as binding as other commentary. The Audit Guidelines are to be read as though they are published in Article XVI as official commentary.

15 - There was a question as to whether the Official Commentary is considered to be part of the

Law. The Commentary contained in Code is not part of the Law. 16 - Jurisdictions were not uniformly applying refund procedures. It was agreed that each

jurisdiction should be applying refund procedures under their own statutes regardless of the base of the vehicle.

17 - The Board addressed the question of whether British Columbia's exception as filed was

actually an exception to the Plan (Section 1900). The Board decided that it was not an exception and suggested British Columbia re-file a ballot without exception.

September 12, 1989 18 - The item discussed concerned Section 104, Commentary, which was inadvertently printed as

Unofficial Commentary. Previous printings in the original ballot showed it as Official. The Board voted to correct as a housekeeping item.

19 - A case was brought before the Board by Oliver Trucking to clarify those sections of the Plan

used to determine base state (Section 210). This issue previously submitted by the states and resolved by them was brought before the Board by the Company. The first issue concerned whether vehicles could be registered in a lessee's base jurisdiction if different from the lessor. The Board agreed that this could happen. The second issue was whether Oliver Trucking had established a proper base in North Carolina. The Board decided that the base was now proper.

20 - An issue brought before the Board by the Commonwealth of Kentucky was to clarify the

action taken when a registration is erroneously issued. The Board agreed that a registration may be suspended by an apportioned jurisdiction only when fees due are not paid (Section 504). All other actions must be taken by the base state.

21- A request for interpretation of Section 508 was made. Missouri inquired whether apportioning a vehicle in a jurisdiction at less than its empty weight was a legal form of

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discounting. Missouri claimed this registration practice constitutes discounting and is prohibited under Section 508 of the Plan. Missouri also requested the Board require joint audits of any carrier with questionable weight variance registrations. The Oklahoma Tax Commission indicated: 1) a request for the Board to interpret what constitutes discounting is not a substantive issue for the Board to act upon, 2) the authority under Section 508 is discretionary and is vested solely in the base jurisdiction, and 3) Missouri's request to authorize a joint audit by the base jurisdiction in these cases is an attempt to circumvent the provisions of Section 508 and is beyond the Board's scope of authority. The Board answered on the following points. The purpose of enacting Section 508 of the Plan was to prevent the practice of discounting. Therefore, discounting is a substantive issue under Section 508 of the IRP, and the interpretation of this issue is within the Board's scope of authority (Section 2312). The passage of Section 508 is clear that the intent is to grant authority to the base jurisdiction to demand verification of weight variances. The applicant has the burden of proving that it reflects operating practice. Therefore, weight variance for a jurisdiction cannot be granted for a weight variance for a jurisdiction cannot be granted for a weight below the empty weight of the vehicle. And last, Article XVI in the IRP provides for audits of carriers. Section 1606 specifically says that audits may be made by the commissioners by several jurisdictions. Therefore, the Board has the authority to recommend a joint or separate audit be conducted by the jurisdictions. The State of North Carolina changed its procedures as a result of this action, by the state of Oklahoma disagreed and asked that the interpretation be put on ballot for official adoption. Note: The ballot failed April 9, 1991 22 - The case was presented by Signal Delivery Service, requesting a refund from the State of

Florida under Article VII. Florida did a partial refund according to its Statute. The company wanted a total refund for a wrecked vehicle since it was wrecked before the registration period began. The request was made after the beginning of the registration period. The Board ruled in Florida's favor since its statute specifically says that the refund application date is the deciding factor on how much refund is processed. Section 700 indicates the state's statues rule.

23 - The case concerned a consolidated fleet with a base in Connecticut and Indiana. Connecticut

was requiring Connecticut to be the base for IRP registration of the fleet since the vehicles were based there. The Board ruled there was an established place of business in Indiana and, therefore, Connecticut could not require those vehicles based in Connecticut to declare Connecticut as the base state (Article 210).

24 - The Working Group's interpretation of reduced operations that had been addressed by the

Board at the last meeting (Sections 222 and 300) was requested again. This Board also did not endorse the Working Group's interpretation indicating the language was not clear.

Note: New language, as requested by the previous Board, was drafted, balloted and passed in

1992 effective for the 1993 registration year. August 25, 1991

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25 - A question between Illinois and Indiana concerning an audit of the Central Blacktop Company was resolved. Illinois audited an estimate and substituted actual miles for the current registration period. The questions arising form this are: 1) can a jurisdiction adjust second year mileage estimates following an audit, and 2) what is the appropriate approach to an audit when there are insufficient miles in the preceding year. Illinois had audited the carrier's 1988 registration year application using the actual mileage accrued during the 1988 registration year rather than the preceding year since there were so few miles in the preceding year. The Audit Subcommittee had been asked for an opinion in this case. It referenced Section 800 of the IRP describing the procedure for initial applications. When operations were not conducted in the previous year, the carrier is to include a proposed method of operation and estimates for miles for the jurisdictions. The base jurisdiction's Commissioner can adjust the estimated miles if not satisfied. The Audit Subcommittee also referenced the Policies and Procedures Manual Section 5000 and 5020, indicating estimated miles are used by the registrant in the initial year of operation and should be scrutinized at that point, and that neither the Plan, the Audit Manual, not the Policies and Procedures Manual addresses the number of months a carrier must have actual mileage history before being required to report actual miles on the application. The Audit Subcommittee indicated that Illinois should not apply actual mileage accrued from July, 1987 through June, 1988 to a previous registration year. The subcommittee recognized that the base state could audit a second year application, but only using the miles traveled during the preceding year.

Note: Amendment adding Section 400(b) effective for the 1992 registration year relates to

matters discussed in this case. 26 - A request by Indiana for interpretation of fee calculation when there is estimated mileage was

decided. Indiana was concerned the states are using various methods of fee calculation in their approaches to addressing estimated miles in regard to expanding operations at the time of renewal. Should the calculation of percentages include the estimate of calculate over 100%. The Board ruled the overall calculation should be included in the 100% unless state statutes provide otherwise as indicated in Article VIII Commentary. If the state's statute is silent on this, then the percentage must total within 100%.

January 21, 1992 27 - The State of Colorado asked for a Board interpretation on the requirement for a single

registration plate. The articles affected were Sections 104, 212 (a), and 400. The question was whether a carrier could apportion in one jurisdiction and buy full plate in another jurisdiction for operation in that state. The Board interpreted that a carrier can apportion, trip permit, or obtain a full plate from jurisdictions. The issuance and use of trip permits and full plates are governed by the state authority. A carrier could use two plates, thereby having a full plate form one state and an apportioned plate for other member states.

September 13, 1992 28 - The request by Indiana for New Hampshire to refund a transfer fee that only Indiana had

collected from its carriers for several years was resolved. The issue considered Section 202, 302 Commentary and 304 of the Plan. The Board ruled the base state can collect apportioned fees only. Any other fee should be collected by the other jurisdictions. The fees should not

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have been collected by Indiana for New Hampshire. Therefore New Hampshire should refund the transfer fees to the Indiana carriers. The method of refund was left to the two jurisdictions to decide.

29 - A case of a refund for a South Dakota carrier by the jurisdiction of Wyoming was resolved.

The South Dakota carrier had apportioned all its vehicles with Montana, South Dakota, and Wyoming. At the time of audit, it was found that seven of the eight vehicles never left the jurisdiction of South Dakota. The issue here is whether intent was involved (Section 204). Did the carrier intend to leave South Dakota, or did it incorrectly complete the applications and apportion vehicles that were never intended to leave the state? The Board decided that the audit of the operations of the carrier indicated the carrier never intended for these vehicles to leave the state and, therefore, a refund would be due if Wyoming's statutes provide for refunds as a result of audit. Wyoming said it would refund.

August 21, 1993 30 - A case was brought before the Board at the April 20, 1993 meeting concerning Averitt

Express and an audit conducted by the State of Tennessee as the base state. The result of the audit was that Averitt owed substantial additional sums to Tennessee, and was entitled to substantial refunds from certain other IRP jurisdictions. There was then an adjustment to the audit, and the adjusted results were sent out to all appropriate jurisdictions. There were no objections to the results. As a result of the audit, Averitt then paid Tennessee the registration fees that it claimed were due, and then sought the refunds from the affected jurisdictions. Thirteen jurisdictions refunded in accordance with the terms and results of the Tennessee audit. The refunds due to Averitt from the States of Illinois, Kentucky, and Virginia were either denied or not responded to. The Board recommended that the issue be sent to the Audit Subcommittee for evaluation and fact-gathering. The issue was then re-examined at the August 21, 1993 meeting. The Audit Subcommittee obtained additional information from the State of Tennessee concerning the audit, made a recommendation based on the IRP agreement, audit guidelines, and the audit documentation. In the audit report, the auditors indicated that Averitt's records reflected that only long haul drivers prepare trip reports and only the mileage generated by the long haul trucks were accumulated and reported although the vehicles may have been operated many thousands of miles in shuttle or pick-up service. The Audit Subcommittee further stated that it was very clear to them that the registrant did not maintain adequate records on which a true liability could be determined. The Board decision was to accept the Audit Subcommittee's report and hold the states of Virginia, Kentucky and Illinois harmless on the refund. The states would not be required to issue refunds as a result of the Tennessee audit.

April 26, 1994 31 - Oklahoma came to the board for advisement upon its interpretation of Article II, Section 218,

Established Place of Business. Their interpretation involved a dispute that Oklahoma had been having with a business representing itself as a licensing service to help carriers set up in Oklahoma. The state's contention was that this business was not legitimate, and was merely providing an address and phone number for carriers to use for declaring Oklahoma as their base-state. The carriers were not legitimately established in the state of Oklahoma, and therefore Oklahoma rejected their applications. Since the line service was not doing the

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business of the carrier, the definition of 218 was not met. Oklahoma came to the board for assurance that it was indeed acting in compliance with the Plan. The board advised that Oklahoma had the power to make that decision, and were therefore in compliance with the Plan.

July 14, 1994 32 - The State of Utah came to the Board for advisement on the registration of rental cars. The

Board advised that if a passenger car is registered as apportionable, then records must be kept like any other apportioned vehicle. Allocated vehicles must follow that definition, and must calculate full plate percentages according to revenue, and fully plate the correct percentage of vehicles in each jurisdiction. The Board also advised that base jurisdictions are not required to report rental passenger car information to other jurisdictions; in fact, it is up to the companies to report to any state that asks to see their records.

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DISPUTE RESOLUTION COMMITTEE DECISIONS

1995.1 Class of Dispute: Class 4, Interpretation Petitioner: Comdata Saunders vs. State of Washington Articles/Sections: Article II, Section 238 Preceding Year

Meeting Date: August 28, 1995 Issue: Comdata Saunders challenged the policy of the state of Washington under which

mileage reporting years are staggered. Comdata raised the issue of Washington staggering a registration year and staggering the mileage reporting year. Washington felt it was to the carrier’s benefit to be able to have a staggered registration year and report current year mileage as close to the stagger year as possible. The amendment was made to Washington registration law with no testimony opposing it at the time.

Decision: The Dispute Resolution Committee advised that all jurisdictions abide by the

International Registration Plan Official Commentary definition of “Preceding Year,” Article II, Section 238.

1996.1 Class of Dispute: Class 1, Non-Compliance Resulting in Monetary Loss

Petitioner: Comdata Saunders vs. State of Washington Articles/Sections: Article II, Section 238 Preceding Year Meeting Date: April 15, 1996

Issue: Comdata challenged the state of Washington’s policy to stagger the mileage reporting year when Washington initiated a staggered registration year. Comdata will be forced to perform programming and system changes to comply with Washington’s staggered mileage reporting year. This change results in a monetary loss. Comdata stated that if one jurisdiction could deviate from the definition of preceding year other jurisdictions could do the same.

Decision: The committee reaffirmed its August 1995 decision that all jurisdictions abide by the

International Registration Plan Official Commentary definition of “Preceding Year,” Article II, Section 238. The committee also ruled that Washington carriers not be penalized for using the preceding year definition as defined in Section 238 until Washington changes its statute to comply with the Plan.

1996.2 Class of Dispute: Class 4, Interpretation Petitioner: States of Alabama, Florida, Texas vs. State of Wyoming Articles/Sections: Article IV, Section 404, Trailer Apportionment - Exception to the

Plan Article V, Section 506, Operation under Apportioned Registration

Meeting Date: April 15, 1996

Issue: The states of Alabama and Texas challenged Wyoming’s request that registration fees be collected based on whether a carrier has Wyoming intrastate operating authority. The fee schedule presented by Wyoming for carriers with intrastate authority requires trailer apportionment. The two states reported that Wyoming allegedly stopped

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requiring trailers to be apportioned and consequently changed their fees. There is no record on file at the repository that Wyoming withdrew its trailer exception.

The state of Florida challenged that the Wyoming fee structure is not in compliance

with Article V, Section 506. Decision: The committee denied the request by Alabama and Texas because the Wyoming trailer

exception is still valid and in force. The request made by Florida was denied.

1996.3 Class of Dispute: Class 4, Interpretation Petitioner: Protran Services, Inc. Articles/Sections: Article IX, Section 906, Established Place of Business Meeting Date: April 15, 1996

Issue: Protran Services, Inc. requested the committee allow Canadian carriers to continue licensing in the Canadian province of their choice. Prior to Saskatchewan and British Columbia becoming members of IRP, all Canadian carriers had the flexibility to shop where they wanted for insurance. Since joining the IRP, many carriers previously licensed out of one of the three provinces have been denied further licensing privileges because of the place of business requirement in Section 906.

Decision: The committee moved to deny Protran’s request to allow carriers to license in the

province of their choice without having an established place of business in that province.

1996.4 Class of Dispute: Class 1, Non-Compliance Resulting in Monetary Loss Petitioner: Knight Transportation vs. State of California Articles/Sections: Article XVI, Audits, Section 1606 Multiple Audits by

Commissioners Meeting Date: August 25, 1996

Issue: Knight Transportation raised the issue of California’s compliance with the Plan by

conducting an audit of Knight Transportation for the same years as Oklahoma. The State of Oklahoma completed an audit of Knight Transportation for the 1993-1994 registration year. In June 1996, the California Department of Motor Vehicles initiated an audit of Knight Transportation covering an overlapping period between 1994 and 1996. California DMV informed Knight Transportation that the purpose of the audit was to audit trailer miles and unladen weight costs. It would involve an analysis of areas not covered in the Oklahoma audit program. Knight Transportation challenged that Oklahoma’s audit was a base state audit, performed on behalf of the base state and all other states in which Knight apportioned registration. They contend the California audit was a duplicate, which posed a hardship to the carrier.

Decision: The committee determined that California has the right to audit the 1995-1996 and

subsequent years not previously audited. California also has the right to conduct subsequent audits for the years of 1993 and 1994.

1996.5 Class of Dispute: Class 1, Non-compliance which results in monetary loss

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Petitioner: Paramour Trucking vs. State of Missouri Articles/Sections: Refund on unused plates Meeting Date: October 7, 1996

Issue: As a Missouri-based carrier, Paramour sought a full refund from Missouri for the return of unused license plates on a fleet of two vehicles. The issue concerned the internal refund policy of the State of Missouri and was not subject to review by the Dispute Resolution Committee. Internal refund policies are set by statute in each IRP jurisdiction and are not specifically addressed in the Plan. Decision: The committee moved to deny Paramour Trucking’s request for a full refund from

Missouri for the unused license plates. 1996.6 Class of Dispute: Class 4, Interpretation Petitioner: State of New York Articles/Sections: Section 256, Total Distance Section 300, Determination of Fees Meeting Date: October 7, 1996

Issue: The state of New York requested clarification on the definitions of “total miles” and

“total distance” with respect to reduced operations. Mr. Chevalier reported that the request was an interpretation of what New York considers a difference in meaning between the two terms. New York felt the terms were subject to misinterpretation and possible misuse because they are used differently in two sections of the Plan.

Decision: The committee moved that the definition of “total miles” and “total distance” are the

same.

1996.7 Class of Dispute: Class 4, Interpretation Petitioner: Transport Systems of Miami, Inc. Articles/Sections: Section 210, Base Jurisdiction Section 218, Established Place of Business Meeting Date: October 7, 1996

Issue: Transport Systems of Miami, Inc. represented a registrant who transports and provides

grandstands. The registrant wanted to continue using Florida as his base even though it did not accrue fleet mileage in Florida during the preceding year. Florida policy requires that a registrant accrue mileage in the state to claim Florida as the base.

Decision: The committee found that the registrant must satisfy the commissioner that it may be located within the base jurisdiction. It is also the commissioner’s prerogative to require miles in the jurisdiction to claim it as the base.

1997.1 Class of Dispute: Class 4, Interpretation Petitioner: State of Idaho Articles/Sections: Article II- Definitions, Section 222, In-Jurisdiction Miles Article III-Fees for Apportioned Registration Meeting Date: September 11, 1997

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Issue: The issue involved three carnival operations based in Idaho who operate in several western states. On February 1997 the Idaho staff noticed that the companies included in their applications miles, miles operated in the states of Nevada and Montana, even though these companies did not intend to apportion for these two states. A review of the issue indicated that Nevada has a law precluding carnival operations from registration fees. Instead, Nevada assesses an entertainment tax on these vehicles. Approximately 75% of the miles operated by the three companies was included in the mileage reported for Nevada. Idaho denied the miles because according to the Plan, the base state can add reciprocity miles to a carrier only when it operates in non-member jurisdictions. Idaho does not believe this applies because the Plan contains full U.S. membership. From this issue, another issue was raised on whether IRP takes precedence over jurisdiction law.

Decision: The committee moved to separate Idaho’s request into two questions/issues. In

regards to the first issue, the committee advised Idaho that it’s interpretation of the Plan with respect to the calculation of the fees used in the mileage is incorrect in that Nevada and Montana are member jurisdictions and it is not the committee’s position to dictate to those jurisdictions what their fees should be. For the second issue, the committee agreed to leave the issue of IRP precedence over jurisdiction law on the agenda for the next Dispute Resolution Committee meeting and tasked IRP, Inc. to consult with AAMVA’s legal Services Committee to determine options on the issue of precedence.

1997.2 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan, No Monetary Loss Petitioner: State of Oregon Articles/Sections: Article XVI-Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: As part of the Peer Review Program, Oregon did not comply with the required number

of audits for 1996. Decision: The committee granted Oregon a 12 month extension to come into compliance with

Section 1600, at which time the issue will be re-visited. 1997.3 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan, No Monetary Loss Petitioner: State of Virginia Articles/Sections: Article IV- Application for Apportioned Registration, Section

400, Application Filed with Base Jurisdiction, Section 410, Jurisdiction Cooperation

Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: As part of the Peer Review Program, Virginia had three outstanding issues in

November 1995. Based on a follow up report and information sent to the repository, Virginia was still not in Compliance with Section 1600.

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Decision: In regards to Sections 400 and 410, the committee agreed to have the repository review a copy of Virginia’s revised apportioned registration manual to ensure compliance with the sections and to then report back to the committee. In regards to Section 1600, the committee granted Virginia an additional 12 months to come into compliance.

1997.4 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan, No Monetary Loss Petitioner: State of Tennessee Articles/Sections: Article IV- Application for Apportioned Registration, Section

408, Jurisdiction Notification of Application Filing Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: As part of the Peer Review Program, Tennessee was still not in compliance with

Sections 408 and 1600 a year after the follow-up review. However, within a year Tennessee anticipates to be in compliance with both sections, once problems are resolved with a newly installed computer system and additional auditors are added to the staff.

Decision: The committee granted Tennessee a 12 month extension to come into compliance with

both sections. 1997.5 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan,

No Monetary Loss Petitioner: State of Florida Articles/Sections: Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: As part of the Peer Review Program, Florida submitted additional information

(numbers of audits conducted for 1994-1996) to the repository regarding compliance with Section 1600. After reviewing the information Florida was found to be in compliance.

Decision: To ensure that Florida remains in compliance with Section 1600, the committee agreed

to reexamine Florida’s numbers in another 12 months. 1997.6 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan, No Monetary Loss Petitioner: State of Minnesota Articles/Sections: Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997

Issue: As part of the Peer Review Program, Minnesota responded to a follow up review that

they were still not in compliance with Section 1600. However, with changes and the addition of more auditors, Minnesota anticipates being in compliance.

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Decision: The committee granted Minnesota a 12 month extension to come into compliance with section 1600.

1997.7 Class of Dispute: Class 2, Jurisdiction’s Non-Compliance with the Plan, No Monetary Loss Petitioner: State of Utah Articles/Sections: Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: As part of the Peer Review Program, Utah responded to a follow up review that they

were still not in compliance with Section 1600, because their auditors were reassigned to a legislative type of audit that had a priority at that time. Utah assured the peer review that it planned to increase IRP audit coverage.

Decision: The committee granted Utah a 12 month extension to come into compliance. 1997.8 Class of Dispute: Class 4, Interpretation Petitioner: State of Oklahoma Articles/Sections: Article IX-Registration of Owner-Operator Vehicles, Section 906,

Place of Business Meeting Date: September 11, 1997

Issue: The Oklahoma Tax Commission requested the committee’s advise whether

interpretation of Article IX, Section 906, Place of Business, was interpreted correctly. The Oklahoma legislature amended Title 47 Oklahoma Statute 1120 to require that all applicants for proportional registration by an owner-operator shall include proof of a current Oklahoma driver license issued to the owner-operator. Oklahoma had difficulty in locating a registrant, which led to Oklahoma seeking new procedures, and stated that if a registrant cannot be located, they cannot be audited. Also, Oklahoma confirmed that it is a requirement that an owner-operator in Oklahoma have either an established place of business or an Oklahoma commercial driver license.

Decision: The committee agreed that Oklahoma interpreted Section 906 correctly. 1997.9 Class of Dispute: Class 4, Interpretation Petitioner: State of California Articles/Sections: Article IV-Application for Apportioned Registration, Section 408,

Jurisdiction Notification of Application Filing Meeting Date: September 11, 1997 Issue: Based on a September 1994 peer review, California was found to be not in compliance

with Section 408. After given an extension to come into compliance, California examined the late transmittals and discovered that they might not have been out of compliance. One of the transmittals was not considered late by California because California was holding them pending payment by the corresponding jurisdiction who was late in payment to California. California does not have the authority to disperse fees to jurisdictions who owe money to California. In turn, California requested

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additional time until December 1997 to examine the transmittals pulled by the peer review team.

Decision: The committee granted California an extension until December 1997.

1997.10 Class of Dispute: Class 4, Interpretation Petitioner: State of Michigan Articles/Sections: Article XVI- Audits, Section 1600, Frequency of Audits Meeting Date: September 11, 1997 Issue: Michigan was first peer reviewed in May 1995 and was granted an additional 12

month extension in August 1996 to come into compliance with Section 1600. Based on documentation submitted, Michigan began the process of coming into compliance with the Plan.

Decision: The committee granted Michigan an extension to December 1997 to come into

compliance with Section 1600 and requested Michigan to annually report to the current Peer Review Committee chair that they are meeting their goals. In turn, the Peer Review Chair is to report the findings to the Dispute Resolution Committee at subsequent meetings.

1997.11 Class of Dispute: N/A-Update Report: Proposed Amendment on Measures Petitioner: N/A Articles/Sections: Article II-Definitions, Section 256, Total Distance

Article III-Fees for Apportioned Registration, Section 300, Determination of Fees

Meeting Date: September 11, 1997 Issue: At the request of the committee, the repository 1) developed a proposed amendment to

address the issue of a clarification of “total miles” and “total distance” (as requested by NY in October 1996) and 2) distributed the proposed amendment to the membership for comment. The comments included many concerns with the ballot—wording, calculations and conversions from miles to kilometers.

Decision: The committee moved that the repository amend the proposed ballot to include the

suggestions from the committee, verify the weight calculations, and distribute the amended proposed ballot to the Dispute Resolution Committee prior to the MCS/IRP, Inc. Workshop.

1997.12 Class of Dispute: Class 3, Failure to Pay IRP Repository Dues Petitioner: State of New Jersey Articles/Sections: Article XXI-Administration, Section 2126 Dues Meeting Date: September 11, 1997 Issue: New Jersey was late in their payment of fiscal year 1997 dues. They submitted a letter

to IRP, Inc. upon receiving notice of appearing before the committee, stating that February 1997 was the earliest available date to pay their 1997 dues because the IRP budget was not approved by the New Jersey Department of Transportation until then.

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New Jersey does not anticipate any problem with paying their dues for fiscal year 1998.

Decision: The committee moved to accept New Jersey’s dues.

1997.13 Class of Dispute: Class 3, Failure to Pay IRP Repository Dues Petitioner: State of Indiana Articles/Sections: Article XXI-Administration, Section 2126 Dues Article XXXIII-Dispute Resolution, Section 2300, Board Action Meeting Date: September 11, 1997 Issue: Indiana failed to pay IRP, Inc. dues by December 31, 1996. IRP, Inc. followed the

guidelines set forth in the Plan for late payment of dues, and finally received payment from Indiana on March 20, 1997 However, Indiana did not correspond with IRP as to the reason for late payment or did they respond to correspondence stating that they would be brought before the committee.

Decision: The committee agreed to send a letter to all the states discussing the importance of

timely payments and the cash flow problems late payments cause the repository. 1997.14 Class of Dispute: Class 4, Interpretation Petitioner: State of Alaska Articles/Sections: Article XVIII-Entry and Withdrawal, Section 1800, Jurisdiction

Entry into IRP Meeting Date: September 11, 1997 Issue: In 1975 Alaska was approved to join the IRP Agreement by unanimous vote of the

then current members. In 1977 Alaska withdrew according to the procedures outlined in the Plan. In 1997, Alaska contacted IRP, Inc. on how to re-enter the Plan and IRP, Inc. on behalf of Alaska is asking for an interpretation of how Alaska may re-enter the Plan.

Decision: The committee agreed that Alaska should submit a formal request to reapply to the

Plan and that the notification letter from the repository should include a discussion about exceptions.

1997.15 Class of Dispute: N/A-Update Report: Precedence of IRP vs. Jurisdictional Statute Petitioner: N/A Articles/Sections: N/A Meeting Date: November 16, 1997

Issue: At the direction of the committee, IRP, Inc. 1) consulted with AAMVA’s Legal

Services Committee for resolution to the issue of IRP prevailing over state law and 2) will continue to update the committee on the issue.

Decision: The committee directed the repository to continue pursuing the matter and report its

progress at the next meeting.

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1997.16 Class of Dispute: N/A-Update Report: Late Dues Petitioner: N/A Articles/Sections: N/A Meeting Date: November 16, 1997 Issue: IRP, Inc. reported that a letter was sent to all jurisdictions who paid the 1997 dues late

(IN, NJ, NM). The letter discussed the importance of timely payments and the cash flow problems late payments caused the repository.

Decision: The committee accepted the report and considered the matter resolved. 1997.17 Class of Dispute: N/A-Update Report: Peer Review Follow-Up Petitioner: N/A Articles/Sections: N/A Meeting Date: November 16, 1997 Issue: IRP, Inc. reported that Virginia is now in compliance with Sections 400, Application

Filed with Base Jurisdiction and 410, Jurisdiction Cooperation of the Plan. Decision: The committee accepted the report and considered the matter resolved. 1997.18 Class of Dispute: Class 4, Interpretation Petitioner: IRP, Inc. Articles/Sections: Article XXI- Administration, Section 2126, Dues Meeting Date: November 16, 1997 Issue: Because several jurisdictions paid their dues within the 15 day grace period after

receiving the non-payment notification, IRP, Inc. requested clarification involving the notification of non-payment, grace period and Board Dispute Resolution notice when a jurisdiction fails to pay IRP dues by December 31.

Decision: The committee agreed that on January 1, IRP, Inc. would send a letter listing non-

paying jurisdictions to the IRP, Inc. Board of Directors. On January 16, IRP, Inc. would send a certified letter to non paying jurisdictions. Thirty days from receipt of the certified letter, IRP, Inc. would send to the Dispute Resolution Committee a list of non-paying jurisdictions for further action.

1997.19 Class of Dispute: Class 4, Interpretation Petitioner: State of Missouri Articles/Sections: Article XVI-Audits, Section 1600, Frequency of Audits Meeting Date: November 16, 1997

Issue: The Missouri Highway Reciprocity Commission requested an interpretation of Article

XVI, Section 1600, Frequency of Audits to help determine and ensure compliance with the IRP Agreement. Missouri also questioned the Peer Review Committee’s determination of finding of compliance based upon an annual listing of audits, due to the fact that the active accounts are different each year, making the audit requirements difficult to calculate for compliance purposes.

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Decision: The committee moved that the Audit Committee review the issue of determining the values that need to be determined for the 15% and five-year period and correspond with IFTA representatives to ensure there is uniformity between the two plans and report back to the Dispute Resolution Committee at the next meeting.

1997.20 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the Plan,

Monetary Loss Petitioner: Rollins Leasing Corporation Articles/Sections: Article XV-Preservation of Records and Audit, Section 1502,

Failure to Preserve or Maintain Records Policies & Procedures Manual, Section 3030, Refunds Introduction to the Uniform Audit Procedures Guidelines

Meeting Date: November 16, 1997 Issue: Rollins Leasing Corporation filed a Class 1 dispute against Illinois regarding an audit

of the 1995 licensing renewal year for one of the company’s fleets. Rollins felt that Illinois chose not to use the available records to determine the true liability for both Rollins and the other affected jurisdictions. The Illinois audit resulted in an inflation of the fees actually due Illinois and the other jurisdictions involved in the audit. In turn, Rollins claimed they suffered a monetary loss as a result of the manner in which Illinois conducted an IRP audit.

Decision: The committee agreed to uphold the Illinois audit in order to ensure that the decisions

made throughout the years are uniform and are not arbitrary or capricious. 1997.21 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the Plan,

Monetary Loss Petitioner: Lawrence Robertson Transportation Articles/Sections: Article II- Definitions, Section 218, Established Place of Business

Article IX- Registration of Owner-Operator Vehicles, Section 906, Place of Business

Meeting Date: November 16, 1997 Issue: Lawrence Robertson Transportation filed a Class 1 dispute against Oklahoma

regarding whether or not Oklahoma can impose upon IRP registrants wishing to declare Oklahoma as a base jurisdiction, basing criteria in addition to that provided for in Sections 218 and 908 of the Agreement. It was noted that during the last meeting of the Dispute Resolution Committee the committee was asked by Oklahoma for an interpretation with respect to the issue, and the committee found that Oklahoma had the right to establish their own requirements. Also, it was noted that the case brought before the committee was a monetary dispute, and that there was no mention of a monetary loss during the petitioner’s opening statement.

Decision: The committee agreed that since no monetary loss was shown under the Class 1

dispute, the case should be dismissed and the petitioner should return before the committee as such time as there is a monetary loss.

1998.1 Class of Dispute: Class 4, Interpretation

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Petitioner: State of Maryland Articles/Section: Article II-Definitions, Section 204, Apportionable Vehicle Meeting Date: November 19, 1998 Issue: Maryland submitted a Class 4 interpretation regarding the issue of whether recycler

plates are accepted under the Plan’s definition of Restricted Plates and if so, whether vehicles in excess of 26,000 pounds bearing recycler plates are required to be apportionable under Article II, Section 204. Pennsylvania responded with the assertion that if the committee found that recycler plates were not required to be apportioned as defined under Section 204, then the IRP had no legal authority to require Pennsylvania to grant reciprocity to non-Pennsylvania recycler plates and that registration requirements must be guided by Pennsylvania law.

Decision: The committee agreed that the recycler plate in Maryland contains a commodity

restriction, which would meet the definition of restricted plate under the IRP and agreed that if vehicles in question are non-apportionable, it is up to the jurisdictions to determine how the jurisdictions’ laws apply to them.

1998.2 Class of Dispute: Class 4, Interpretation Petitioner: States of Michigan and New York Articles/Section: Article XVI-Audits Meeting Date: November 19, 1998 Issue: To determine if the Audit Guidelines manual is a binding document. There is some

question whether the Guidelines, which are incorporated into the Plan by reference are in deed binding.

Decision: The committee tasked the repository to locate the original ballot, and if the original

ballot containing the Audit Guidelines is unclear, a ballot should be developed with language clearly stating that the Audit Guidelines are either binding or not.

1998.3 Class of Dispute: Class 4, Interpretation Petitioner: Overnite Transportation Company Articles/Section: Article II-Definitions, Section 204, Apportionable Vehicle Meeting Date: November 19, 1998 Issue: Stan Kelly reported that Overnite Transportation Company from Richmond, Virginia,

asked the committee for an interpretation of Article II, Section 204. Overnite Transportation registers its fleets in Oklahoma. In 1997 they were assessed additional fees due to single jurisdiction presence of a part of its fleet. Overnite Transportation is protesting the assessment, claiming that the vehicles were qualified as apportionable under Section 204 of the Plan. Oklahoma suggested that the company approach the Dispute Resolution Committee with an interpretation of Section 204 and a response to whether Oklahoma can charge full fees and if so, would other jurisdictions be required to refund. Oklahoma, clarified that the audit on Overnite was not complete and that Oklahoma wanted to give Overnite a chance for a decision from the committee before the audits were completed. During the audit Oklahoma maintained that the vehicles

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that did not run in two or more jurisdictions during the 24 month period reviewed were not qualified to be apportioned under the audit.

Decision: The committee agreed to defer the issue until the next Dispute Resolution Committee

meeting, until Oklahoma completes the audit of Overnite Transportation.

1999.1 Class of Dispute: Class 4, Interpretation Petitioner: IRP, Inc, Repository Articles/Sections: Article XXIII-Dispute Resolution

Section 2304, Power and Duties of the Board Meeting Date: November 13, 1999 Issue: The repository asked AAMVA’s legal counsel what should be the effective date of

actions taken by the committee. Counsel responded that because the Plan does not contain provisions related to the timeframe for the effective date of committee actions, any actions taken by the committee are to become effective immediately following adoption of any decisions. IRP, Inc. asked the committee to affirm and conclude with counsel’s remarks or for clarification as to what is the effective date of actions taken by the committee – either on the date the action was taken or when the committee minutes are approved.

Decision: The committee agreed that the actions of the Dispute Resolution Committee are

effective immediately upon completion of that action unless otherwise noted by the Dispute Resolution Committee in its deliberation.

1999.2 Class of Dispute: Class 4, Interpretation Petitioner: State of Montana Articles/Sections: Article XXIII-Dispute Resolution

Section 2304, Power and Duties of the Board Meeting Date: November 13, 1999 Issue: The jurisdiction of Montana sought an interpretation from the committee on whether or

not the committee had the flexibility to allow jurisdictions who have taken several years to come into compliance with the Plan to continue to be members in good standing so long as those jurisdictions have a plan of action that is approved by the committee and who demonstrate a commitment to address their issues of non-compliance. An opinion from AAMVA’s legal counsel was provided to the committee.

Decision: The committee agreed to accept the AAMVA attorney’s opinion regarding the latitude

of the Dispute Resolution Committee to deal with issues related to Class 1, 2 and 4 disputes which states the committee had a great deal of latitude as to what it can do regarding sanctions and other actions that relate to jurisdictional disputes. It is within the authority of the committee to review the issues and try to determine a lesser punitive approach when dealing with jurisdictions who are making good faith efforts to come into compliance with the Plan.

1999.3 Class of Dispute: Class 4, Interpretation

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Petitioner: IRP, Inc. Repository Articles/Sections: Article XXI-Administration

Section 2126, Dues Meeting Date: November 13, 1999 Issue: The jurisdiction of New Brunswick entered the IRP on June 26, 1999, with an

implementation date of April 1, 2001. The repository asked the committee to determine whether New Brunswick should be invoiced immediately for IRP membership dues or when they begin implementing the IRP.

Decision: The committee agreed that New Brunswick not be considered an official member of

the Plan until 2001. New Brunswick, and other Canadian jurisdictions in the process of joining the Plan, would not be required to pay IRP dues in the current fiscal year, but will be required to pay IRP dues when they are billed in July 2000.

1999.4 Class of Dispute: Class 4, Interpretation Petitioner: State of Indiana Articles/Sections: Article II-Definitions

Section 210, Base Jurisdiction and Section 218, Established Place of Business

Meeting Date: November 13, 1999 Issue: The jurisdiction of Indiana, on behalf of Comdata, requested a Class 4 interpretation

asking 1) if a third-party IRP registration service provider can allow their physical address to be used by an IRP registrant and 2) whether or not the employees of the third-party service provider are considered to be persons conducting the fleet registrant’s business.

Decision: The committee agreed that the requirement under Section 210 is that the registrant

have an established place of business as defined in Section 218 and that established place of business cannot be provided for the registrant in the form of a third-party licensing provider.

1999.5 Class of Dispute: Class 4, Interpretation Petitioner: State of Texas Articles/Sections: Article II-Definitions

Section 204, Apportionable Vehicle Meeting Date: November 13, 1999 Issue: The jurisdiction of Texas requested an interpretation of Section 204, and asked

whether the term “gross vehicle weight” as used in Option 3 of the definition of an apportionable vehicle, allows the use of the registered gross vehicle weight to determine if the combination of vehicles are apportionable.

Decision: The committee agreed that Item #3 under Section 204 refers to the actual weight of the

combination and does not refer to gross vehicle weight or registered weight. 1999.6 Class of Dispute: Class 4, Interpretation Petitioner: State of California

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Articles/Sections: Article IV-Application for Apportioned Registration Section 404, Trailer Apportionment- Exception to Plan Article XIX-Exceptions Section 1902, Amendments to Exceptions; Section 1904, Cancellation of Exceptions; and Section 1906 Prohibited Exceptions

Meeting Date: November 13, 1999 Issue: The jurisdiction of California requested an interpretation regarding 1) whether or not

IRP jurisdictions must continue to collect and transmit trailer fees to California until 2001, 2) whether IRP rules prevail over jurisdiction laws, 3) whether the IRP can change its rules without consent of the contracting parties affected as to exceptions granted at the time of joining IRP, and 4) whether the Dispute Resolution Committee may delay the removal of the Exception for California for the collection of trailer fees for a two-year period. California, later withdrew questions 2 and 3.

Decision: In regards to question 1, the committee agreed that the IRP member jurisdictions must

continue to collect and transmit trailer fees to California until January 1, 2001. For questions 2 and 3, the committee allowed California to withdrawal them. For question 4, the committee agreed that they may not delay the removal of the California exceptions for the collection of trailer fees for a 2-year period.

2000.1 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the

Plan, Monetary Loss Petitioner: Jurisdiction of Illinois Articles/Sections: Article VIII-New Operations, Section 800,

Application for Initial Registration Meeting Date: November 11, 2000 Issue: Illinois reported that registrants previously apportioned and based in Illinois, as well as

in other member jurisdictions, are eliminating and closing their IRP accounts and changing their base of application to Oklahoma. Illinois claimed it is losing substantial revenues and brings action against Oklahoma.

Illinois asked the committee to resolve the following questions:

1. Should registrants be allowed to base in jurisdictions where they do not have an established place of business? 2. Should registrants moving from one base jurisdiction to another be required to report the actual miles operated by the vehicles during the preceding year? 3. Should Oklahoma allow its registrants to estimate the same mileage with a pattern of high mileage in low fee jurisdictions and low mileage in high fee jurisdictions? 4. Should Oklahoma process an initial application in their jurisdiction if it has knowledge that the registrant has previously been apportioned in another jurisdiction without requiring actual mileage or inquiring as to the present status of the fleet prior to allowing the registrant to estimate in Oklahoma?

Decision: In responding to Illinois’s questions, the committee agreed to the following:

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A registrant should not be allowed to base in a jurisdiction where they do not have an

established place of business in accordance with the International Registration Plan.

1. Registrants should be allowed to move to a jurisdiction, and when they do, they have to use actual miles if actual miles are recorded in that jurisdiction, and if there are no actual miles, they are allowed to estimate based on the reasonable mileage for those jurisdictions, and it cannot be used to reduce fees.

To dispense with questions three and four as being not necessary to be answered

directly under this dispute. 2000.2 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the Plan,

Monetary Loss Petitioner: Jurisdictions of Arizona, California, Maine and Virginia Articles/Sections: Article IV-Application for Apportioned Registration, Section 408,

Jurisdiction Notification of Application Filing Meeting Date: November 11, 2000 Issue: The jurisdictions of Arizona, California, Maine and Virginia asked the committee to

take action against the District of Columbia to resolve the issue of the District of Columbia not distributing IRP revenues to the member jurisdictions in accordance with Article IV, Section 408, of the Plan.

Decision: The committee agreed that the District of Columbia is out of compliance with Article IV, Section 408, and ordered the District of Columbia to transmit by December 26, 2000, IRP transmittals and all IRP fees collected for other member jurisdictions to the appropriate jurisdictions. In addition, the committee ordered the District of Columbia to forthwith comply and remain in compliance with Article IV, Section 408, of the Plan. The District of Columbia is also required to provide to the repository a monthly update of its transmittal activities for the next year, and if the District of Columbia is found out of compliance with the monthly reviews, the committee shall meet again via conference call and rule on the petitioner’s request, with respect to withholding funds. 2000.3 Class of Dispute: Class 4, Interpretation Petitioner: Peer Review Committee Articles/Sections: Article IV-Application for Apportioned Registration, Section 400

(b), Application Filed with Base Jurisdiction Meeting Date: November 11, 2000 Issue: The Peer Review Committee sought an interpretation request from the Dispute

Resolution Committee on whether second and subsequent year estimates should be included in the 100% calculation, the percentage of fees due to the jurisdictions where the carrier had actual mileage is decreased. Therefore, those actual mileage jurisdictions are not getting their fair share based on the actual mileage. The Peer Review Committee asked the Dispute Resolution Committee to resolve the question of whether a does the second year estimate mean for a jurisdiction or an account.

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Decision: The committee agreed that the first time that a jurisdiction is added to a renewal or

initial application, estimates would be allowed. Subsequent years’ listing of the same jurisdiction without actual mileage will be considered at above 100%, provided the operations of the fleet were more than 90 days.

2001.1 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the

Plan, Monetary Loss Petitioner: Jurisdiction of Illinois Articles/Sections: Article VIII-New Operations, Section 800,

Application for Initial Registration Meeting Date: November 1, 2001 Issue: Illinois agreed to a continuance requested by Oklahoma with the stipulation that the

Class 1 dispute would be immediately re-filed by the next IRP Board of Directors meeting scheduled for May 2002.

Decision: The committee accepted the request by Illinois with the understanding that a Dispute

Resolution Committee meeting be held in the spring of 2002. 2001.2 Class of Dispute: Class 4, Interpretation Petitioner: Jurisdiction of Maine Articles/Sections: Article III – Fees for Apportioned Registration; Section

300, Determination of Fees Article XXI – Administration; Section 2128, Peer Review

Meeting Date: November 1, 2001 Issue: Maine requested an interpretation on whether the IRP annual fee test as prepared by

the IRP Peer Review Committee was a mandatory annual component of the peer review process.

Decision: The committee determined that while the Plan does not require the annual submission

of the IRP fee test to be mandatory, they directed the Peer Review Committee submit a ballot to address the issue of a mandatory fee table submission on an annual basis.

2002.1 Class of Dispute: Class 4, Interpretation Petitioner: Jurisdiction of Indiana Articles/Sections: Article IX, Registration of Owner-Operator; Section

906, Place of Business Meeting Date: April 16, 2002 Issue: As a continuation of a DRC conference call on January 31, 202, Indiana asked for an

interpretation of what was required under Section 906 for established place of business.

Decision: The committee determined that an owner operator must meet the requirements in

Section 906, specifically, a street address within the base jurisdiction, a telephone

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number, and any other documentation as required by the Commissioner, and the owner operator must meet the definition of owner operator as defined in Section 234.

2002.2 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the

Plan, Monetary Loss Petitioner: Jurisdiction of Illinois Articles/Sections: Article VIII-New Operations, Section 800,

Application for Initial Registration Meeting Date: April 16, 2002 Issue: Illinois asked the committee to determine if a jurisdiction who has violated the Plan

and caused economic damage to other jurisdictions be required to pay damages to those jurisdictions who were injured. Illinois submitted documentation supporting the findings of the statistician hired by Illinois to determine the amount of revenue Illinois claimed it lost to Oklahoma due to Oklahoma allowing registrants to register unlawfully in Oklahoma.

Decision: The committee determined that as a result of hearings conducted over an extended

time period, Oklahoma was out of compliance in allowing service companies to use estimated distance charts that were skewered toward high distance in low-fee jurisdictions. By doing that, they failed to comply with Section 800 of the IRP. This failure to comply has caused Illinois to suffer monetary losses. The committee directed Illinois and Oklahoma to work together to find the agreeable level of loss and the terms under which both sides will settle. If the jurisdictions are unable to reach an agreement, then a review of the new accounts from 1999 to the present must be done. If the jurisdictions are unable to agree how that is done, then a 100 percent must be reviewed by an independent company and the cost will be shared by Oklahoma and Illinois. Both parties were directed to report back at the November 2002 DRC meeting.

2002.3 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the

Plan, Monetary Loss Petitioner: Jurisdiction of Illinois Articles/Sections: Article VIII-New Operations, Section 800,

Application for Initial Registration Meeting Date: November7 & 9, 2002 Issue: Continuation of April 16, 2002, decision by the Dispute Resolution Committee.

Illinois reported that were unable to reach an agreement with Oklahoma, and Illinois proposed that the two jurisdictions’ experts work together to find the agreeable level of loss. Illinois offered to pay half of the cost of these services. Oklahoma indicated that its statutes prohibit Oklahoma from settlements in excess of $250,000 without the approval of the Oklahoma legislature. Oklahoma was unable to accept a proposal to have an independent party review joint audits to resolve the issue.

Decision: The committee determined that with the failure of Oklahoma to reach an agreement

with Illinois concerning its Class 1 dispute, the DRC ordered all jurisdictions to withhold funds from Oklahoma until Oklahoma presents an acceptable plan to the

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DRC to compensate Illinois for its monetary losses. Oklahoma is also instructed to continue sending monthly transmittals and funds to all jurisdictions as required by Section 408. Withholding of funds were to begin December 1, 2002.

2002.4 Class of Dispute: Class 4, Interpretation Petitioner: Jurisdiction of California

Articles/Sections: Article XVI, Section 1604, Notification of Audit Results Meeting Date: November 7 & 9, 2002 Issue: California asked if Section 1604 applied to Oregon’s non-netted audit reports issued to

a trucking company on June 22, 2000, and later released to California and other affected jurisdictions on July 25, 2000.

Decision: The committee dismissed California’s interpretation request until the parties have

exhausted all options for administrative appeals. 2002.5 Class of Dispute: Class 1, Jurisdiction’s Non-Compliance with the

Plan, Monetary Loss Petitioner: United Parcel Service (UPS) Respondent: California Articles/Sections: Article XIX, Section 1906 Cancellation of Exceptions; Article

XXIII, Section 2304 – Power and Duties of the Board Meeting Date: November7 & 9, 2002 Issue: UPS asked 1) if California was out of compliance with the Plan by continuing to

collect, under its exception to the IRP, apportioned fees for trailers, semitrailers, and auxiliary axles (dollies) beyond the expiration date of December 31, 2000; 2) Should California be required to refund the total California fees paid by UPS to its base jurisdictions, including California, for its IRP semitrailer and dolly fleets apportioned with California for 2001 and beyond, less the appropriate increase in UPS’s IRP power unit fleets apportioned with California during the corresponding period; 3) Should the audit assessment issued for 2001 and beyond by California to UPS for additional California fees for all UPS IRP semitrailer and dolly fleets apportioned with California be declared void as a result of California’s non-compliance.

Decision: The committee dismissed the dispute until UPS has exhausted all of its administrative

appeals. 2002.6 Class of Dispute: Class 4, Interpretation Petitioner: Jurisdiction of Indiana

Articles/Sections: Article V, Section 502 – Identification Plates and Cab Cards Meeting Date: November 7 & 9, 2002 Issue: Indiana sought an interpretation on whether or not Quebec had the authority to require

that the total number of a vehicle’s axles (power unit and trailing unit) be printed on jurisdiction cab cards.

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Decision: The committee determined that under Section 502, Quebec has the right to require that the cab card clearly identify the number of axles on which the fees were calculated.

2002.7 Class of Dispute: Class 4, Interpretation Petitioner: Jurisdiction of Alabama

Articles/Sections: Article II, Section 218 – Established Place of Business Meeting Date: November 7 & 9, 2002 Issue: Alabama sought an interpretation of Section 218 and what constitutes a fleet

registrant’s business, in order to limit base jurisdiction shopping. Decision: The committee determined that the Plan does not indicate what a registrant’s business

is and that it is up to the commissioner to do so. 2003.1 Class of Dispute: Class 4, Interpretation Petitioner: Peer Review Committee Articles/Sections: Article IV – Application for Apportioned Registration: Section 400 – Application Filed with Base Jurisdiction, Article Viii – New Operations; Section 800 – Application for Initial Registration Meeting Date: November 14, 2003

Issue: The Peer Review Committee requested an interpretation from the DRC on the following questions:

• What process must jurisdictions use to determine estimated distances for renewals and added jurisdictions?

• Is it the peer Review Committee’s responsibility to verify that jurisdictions reject unreasonable estimated distances on all applications, Initial and renewal?

Decision: The Committee agreed that when determining second and subsequent year estimates, IRP jurisdictions must use estimated distances based on miles or kilometers that are reasonable and fair. The Committee agreed that it is the Peer Review Committee’s responsibility to verify that jurisdictions reject unreasonable estimated distances on all applications, initial and renewal, in accordance with the Peer Review Compliance Guide as approved by the IRP, Inc. Board of Directors. 2003.2 Class of Dispute: Class 4, Interpretation Petitioner: Province of British Columbia Articles/Sections: Article II: Section 204 Apportionable Vehicle, Article XV Preservation of Records and Audit: Section 1501 – Adequacy of Records, Section 1501 – Adequacy of Records, Section 1502 – Failure to Preserve or Maintain Records. Meeting Date: November 14, 2003

Issue: The Province of British Columbia, requested an interpretation based on the large number of rental vehicles that have recently switched from

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allocating to apportioning. The following questions were submitted to the DRC:

• Does “Intended for Use” include any vehicle or fleet of vehicles that might eventually at some unknown point in the future travel into another jurisdiction? • What does the Plan consider to be adequate records to substantiate the claim of Interjurisdictional travel, and where does the onus of proof lie in determining if a vehicle actually operates in two or more jurisdictions?

A representative from U-Haul suggested to the DRC that the interpretation request should have been in the form of a Class I dispute. Decision: The Committee agreed that the first question submitted by British Columbia is answered by Governing Board decisions #12 and #29, which are hereby confirmed by the Dispute Resolution Committee. The Committee agreed that the burden of proof lies with the registrant. The registrant must maintain adequate records in accordance with Article XV of the Plan. Motion passed. 2004.1 Interpretation/Dispute Petitioner: State of Illinois & State of California Articles/Sections: Article XVI Audits: Section 1608 – Audit Appeals, Meeting Date: November 05, 2004

Issue: The State of Illinois asked for an interpretation of Section 1608 – Audit Appeals:

• Is there a time limit by which a party must exercise the right to have the Dispute Resolution Committee review the validity of an audit or reexamination if the party wishes to have such a review?

• Assuming there is no time limit, if a registrant appeals an audit concerning fees paid to a non-base jurisdiction and prevails in the administrative and appellate procedures of the base jurisdiction, when may the base jurisdiction refund an overpayment pursuant to Section 1704 and make a net adjustment in the transmittal to the other jurisdiction without incurring the possibility that the non-base jurisdiction will at some future time request a hearing before the DRC and, if successful, demand a refund from the base jurisdiction?

The issue arose out of an audit on f a carrier that resulted in Illinois assessing the carrier additional fees on behalf of California. The carrier paid a portion of the fees to Illinois under protest and sought a hearing with Illinois. A hearing was conducted in which California did not appear but mailed a motion to dismiss for lack of personal and/or subject matter jurisdiction. The finding of the hearing determined that the assessment was improper, with the exception of $2,282. The order further found that California was entitled to interest and penalties on the $2,282. Illinois was ordered to initiate the collection and return the paid fees to the carrier.

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It was explained that Illinois was hesitant to follow through on the order while California had the right to seek review of the decision according to Section 1608. Illinois was concerned that if Illinois deducted the refund amount from transmittals to California and issued a refund to the carrier, and California subsequently prevailed in a review of the action by the DRC, presumably California could then recoup the amount by making a deduction from future transmittals to California. It was reported that California believed Illinois failed to act on California’s behalf pursuant to Section 1608. California had requested that Illinois act on California’s behalf at the administrative hearing, and Illinois rejected California’s request, asserting that it fulfilled its obligation under the IRP by providing the forum and opportunity for jurisdictions to assert their interests. Prior to the hearing California made two appeals to Illinois to act on California’s behalf regarding the audit findings, which California contended Illinois failed to do. California asked the DRC for enforcement of the obligation of Illinois in the appeal under Section 1608 and asked the DRC to rule that Illinois failed to act on behalf of California in the appeal. Decision: The Committee agreed that Illinois complied with the provisions of IRP Section 1608. The Committee agreed that a party must exercise its right to seek a review by the Dispute Resolution Committee within a reasonable time.

2004.2 Interpretation/Dispute Petitioner: State of Delaware Articles/Sections: Article IV – Application for Apportioned Registration: Section 404 – Trailers, Semi-trailers & Auxiliary Axles- Reciprocity; Meeting Date: November 05, 2004

Issue: The State of Delaware asked the DRC for an interpretation of Section 404 – Trailers, Semi-Trailers and Auxiliary Axles – Reciprocity by asking for affirmation of Delaware’s law that requires owners of motor vehicles, trailers or other vehicles to register those vehicles in Delaware within 60 days after taking up residence in Delaware. Delaware believed that the IRP only exempts trailers but does not cover the registration of trailers Decision: The Committee agreed that the Delaware issue is being dismissed for failure to state the issue to be interpreted. 2004.3 Interpretation/Dispute Petitioners: Gordon Food Service, Inc. and Koleaseco, Inc. Articles/Sections: Article IV – Application for Apportioned Registration: Section

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404 – Trailers, Semi-trailers & Auxiliary Axles- Reciprocity; Meeting Date: November 05, 2004

Issue: A representative for Gordon Food) reported that Gordon Food asked for an interpretation of Section 404 – Trailers, Semi-Trailers and Auxiliary Axles – Reciprocity. Specifically, Gordon Food requested a determination that Section 404 requires all IRP jurisdictions to afford full reciprocity to trailers operated in interstate commerce so long as those trailers are properly registered in any other jurisdiction. Gordon’s Food representative reported that the Michigan State Police begin citing Gordon Food, registered in Michigan, for having plates on their trailers from other jurisdictions. Gordon Food was informed by Michigan that motor carriers must register at least their Michigan-based trailers in Michigan and may not register those trailers in any other jurisdiction unless the carrier had a facility in that other jurisdiction. Gordon Food believed that under Section 404, carriers are legally entitled to operate trailers registered in other jurisdictions in trans-border operations and that Michigan is prohibited from requiring carriers to register such trailers in Michigan. A representative from the State of Michigan reported that after Michigan trailer plate fees increased from $39 to $300, Michigan noticed a drop in trailer plate fees in Michigan by about 20,000 units from October 2003 to October 2004. In March 2004 the Michigan State Police began enforcing registration violations for trailers under the following circumstances:

• A Michigan-based carrier registers a power unit through Michigan’s IRP. A trailer owned by the carrier is registered out of state but only used in Michigan. • A Michigan-based carrier registers a power unit through Michigan’s IRP. They register and use their trailer out of state. However, the carrier does not have a base of operations and does not have business or travel in the state where the trailer is registered. For example, a Michigan IRP power unit pulls a trailer owned by the carrier and registered in Maine, but the power unit and trailer are only used in neighboring states listed on the cab cards (Illinois, Indiana and Ohio). • A Michigan-based carrier has a power unit licensed only for intrastate operation in Michigan. However, the trailer is owned by the carrier and registered out of state.

Decision: The Dispute Resolution Committee dismissed the issue by Gordon Food Service Inc. & Koleaseco Inc. because it is now under judicial review in Michigan. 2006.1 Interpretation/Dispute Petitioner: Peer Review Committee Articles/Sections: Article XVII – Assessment Claims Under Audit; Section 1702 – Jurisdiction Statutory Authority, Section 1704 – Netting of

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Audit Adjustments, APM Section 302 – Auditor Responsibilities and APM Section 803 – Interjurisdictional Audit Report and Distribution of Audit Findings Meeting Date: September 30, 2006

Issue: The Chair of the Peer Review Committee sought an interpretation of Article XVII – Assessment Claims Under Audit, regarding whether or not a jurisdiction was required to transmit audit fees due to affected member jurisdictions, regardless of the amount, if the net audit amount falls within a monetary threshold that a base jurisdiction has established. Decision: The Committee agreed that a jurisdiction is required to transmit audit fees due to or from an affected member jurisdiction regardless of the amount. 2006.2 Interpretation/Dispute Petitioner: Wiley Sanders Truck Lines Articles/Sections: Article V – Registration of Apportionable Vehicles; Section 502 – Identification Plates and Registration Cab Cards Meeting Date: September 30, 2006

Issue: On behalf of Wiley Sanders Truck Lines, a representative from the State of Alabama sought an interpretation of Section 502 – Identification Plates and Registration Cab Cards, regarding the issuance of cab cards via electronic means. Decision: The Committee agreed that IRP jurisdictions must accept a cab card that has been issued in accordance with the requirements of the base jurisdiction. 2007.1 Interpretation/Dispute Petitioner: Latex Construction Co. v. State of Georgia Articles/Sections: Article II; Sections 204 – Apportionable Vehicle Meeting Date: September 28, 2007

Issue: Latex Construction Company filed a dispute against Georgia related to the carrier’s assertion that Georgia has failed to permit Latex to register its under-26,000 lb. vehicles as apportionable vehicles. . Decision: The Committee agreed that based on the information presented, Georgia must allow Latex Construction Company to apportion the vehicles at issue here. Georgia must issue credit to Latex Construction Company for all full base-plated Georgia fees and trip permits for the vehicles at issue here. Recommend that the IRP, Inc. Board of Directors direct the Peer Review Committee to conduct a limited scope review of Georgia on this issue.

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2008.1 Interpretation/Dispute Petitioner: Peer Review Committee Articles/Sections: Article III – Applications for Apportioned Registration, Section 320 – Distance Estimates by Base Jurisdictions; Official Commentary Meeting Date: June 26, 2008 via Conference Call

Issue: The Chair of the Peer Review Committee (PRC), reported that the PRC had received requests from several member jurisdictions for a ruling on whether a proposed modification in the application of their estimated distance chart would be in compliance with Article III, Section 320 of the Plan. The modification being proposed would be applied in all situations where a Registrant, with an existing fleet, adds a jurisdiction (or jurisdictions) to their renewal application and does not provide reasonable estimates of their own. The proposed methodology would adjust the estimated distance for the added jurisdiction(s), as determined by the ratio between the fleet’s actual distance and the total distance on the estimated distance chart (see attached example). The objective of the methodology is to keep jurisdictional fees relative for all registrants, regardless of their operations. According to the official commentary in Article III, Section 320 of the Plan, “Only under extraordinary circumstances should the Base Jurisdiction resort to alternatives to the method provided in this Section. However, a Base Jurisdiction should not adhere to this method when it produces unreasonable estimates…in a particular instance…” Consequently, the PRC was seeking direction concerning a jurisdiction’s consistent application of the above outlined modification, as it relates to compliance. Decision: The Committee agreed that any modifications to the formula outlined in Section 320 of the Plan are not permitted. Only on a case by case basis, in an extraordinary circumstance, should a Base Jurisdiction adjust the results determined under the formula provided for in Section 320 of the Plan. 2008.2 Interpretation/Dispute Petitioner: Peer Review Committee Articles/Sections: Article VIII, Audit Procedures Manual (APM) Section 803(a) – Interjurisdictional Audit Report Meeting Date: June 26, 2008 via Conference Call

Issue: The Chair of the Peer Review Committee (PRC), reported that the above referenced Section of the APM currently states, “The Audit file (or other record maintained separately) shall include evidence that timely notification to other Member Jurisdictions was given…” Prior to the Plan rewrite, the APM required the Registrant and Member Jurisdictions to be notified on the same date, which afforded a measure by which to determine compliance with Section 803(a). Although the PRC believes the intent of the change was to allow (while not requiring) Member Jurisdictions the

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opportunity to wait until the Registrant’s appeal period was exhausted, the wording of the Section does not make the intent clear. Accordingly, the PRC is now tasked with defining what is “timely” as it relates to compliance, which is not the PRC’s responsibility. This is an important issue considering the respective appeal periods do not commence until the findings are appropriately communicated, and an audit is not officially closed until both the Registrant’s and Member Jurisdictions’ appeal periods are exhausted. Additionally, it is probable there will be varying interpretations among the Member Jurisdictions as to what constitutes “timely” notification. Decision: The Committee agreed that Section 803(a) of the Audit Procedures Manual refers to the management of an audit file. To determine the timelines for notification to other Member Jurisdictions, one should reference Section 1025 of the Plan which stipulates that the notice of the audit be sent to both the Registrant and to the Member Jurisdictions upon completion of the audit. 2008.3 Interpretation/Dispute Petitioners: State of Maryland & State of Pennsylvania Articles/Sections: Article II – Definitions; Article XII Member Jurisdiction Duties and Cooperation, Section 1230 – Notification of Extensions Meeting Date: October 3, 2008

Issue: Maryland and Pennsylvania asked: 1) If the Plan permitted a jurisdiction to issue a two-month extension of a registration year based upon the impact of increased operational costs (excluding state registration fees) to the registrant, 2) whether a two-month extension of a registration year may be considered a permissible extension of a grace period in this situation, and 3) if either question 1) or 2) was answered in the affirmative, whether the institution of a two-month grace period based upon the increased operational costs (excluding state registration fees) to the registrant is reasonable.

Decision: The Committee agreed that the Plan does not permit a jurisdiction to issue an extension of a registration year based upon the impact of increased operational costs (excluding state registration fees) to the registrant and (ii) that an extension of a registration year may not be considered a permissible extension of a grace period in this situation. Further, no Member Jurisdiction may change the registration obligations due any other Member Jurisdiction. 2010.1 Interpretation/Dispute Petitioner: Texas Articles: Article I, Article II, Article V, Article XI Sections: 105, 115, 120, 125,135, 515, 1200 Meeting Date: May 13, 2010

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Issues/Decisions: The Committee agreed that the following responses be provided to the questions raised by Texas. 1) Does the Plan, as a reciprocity agreement, apply to trailers since they are not within the definition of “apportionable vehicle”? Yes. 2) If the answer to question No. 1 is “yes”, then does the Plan allow a registrant to select a jurisdiction to register its trailers without a presence or nexus in that jurisdiction? When registering trailers, the Plan does not require the consideration of presence or nexus. 3) Is it the intent of Plan Section 515 to allow registrants to evade or avoid paying fees or taxes authorized by the laws of the member jurisdiction where the registrant has an actual presence or nexus? No. Section 135 addresses the question of fee or tax avoidance by saying that, “Nothing in this Plan shall be construed to waive any fees or taxes authorized by the laws of any Member Jurisdiction in connection with the ownership or operation of Vehicles,” which includes trailers. 4) Is it allowable and acceptable, under the Plan, for one jurisdiction to effectively waive another jurisdiction’s safety inspection by allowing a registrant to register trailers in the jurisdiction without a presence or nexus in that jurisdiction? The Plan is a registration reciprocity agreement. It does not address other areas, including safety inspection

2010.2 Interpretation/Dispute Petitioner: Wyoming Articles/Sections: Article II, Definitions – Lease, Lessee, Lessor, Properly Registered Vehicle, Registrant Meeting Date: May 13, 2010 Issues/Decisions: The Committee agreed that the following responses be provided to the questions raised by Wyoming.

1) Does the International Registration Plan allow a Jurisdiction to issue IRP registration to XXXX, LLC for the 1,078 buses; even though XXXX, LLC does not own or operate any of the buses because the buses are owned and operated by the 25

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different bus companies (Company A, Company B, etc.)? The Plan does not prohibit a jurisdiction from registering XXXX, LLC in these circumstances. 2) Since XXXX, LLC owns 100% stock in each company, does XXXX, LLC have indirect ownership in the buses? The nature of the ownership of the buses is not relevant to the Plan or administration of the Plan. 3) Would it make a difference if the owners lease their buses to XXXX, LLC and then XXXX, LLC leases them back to the owners? If this transpires are we not back to where we originally started; XXXX, LLC still does not own or operate any of the vehicles. On the cab cards XXXX, LLC would not be listed at all because they are not the owner or the operator just the account holder. The lease arrangements outlined in the request for interpretation would seem to make no difference to the registration of the buses as far as the Plan is concerned. 4) Wyoming would like to know if it is appropriate to register this LLC, or if each of the 25 companies under the LLC should be registered individually. The Plan does not prohibit a jurisdiction from registering XXXX, LLC in these circumstances.

2012.01 Interpretation/Dispute Petitioner: Peer Review Committee Articles/Sections: Article IV, Section 410 Meeting Date: May 18, 2012

Issue: Peer Review Committee request for interpretation of Section 410 of the Plan: “Does the required payment of $1.00 for fees calculated between one cent and ninety cents constitute a minimum registration fee?”

Decision: The Committee agreed that a jurisdiction requiring the payment of $1.00 for fees calculated between $0.01 and $0.99 constitutes a minimum registration fee, unless an apportionable vehicle can be registered without payment of any registration fee. 2015.01 Interpretation/Dispute Petitioner: Peer Review Committee Articles/Sections: Articles III and IV, Sections 315 and 420 Meeting Date: May 20, 2015

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Issue: In March 2015, the Peer Review Committee submitted a Dispute Resolution Submission Form to IRP Inc. requesting Interpretations for Plan Section 315 – Application Process and Section 420 - New Fleets. The PRC had requested an interpretation of these sections by the DRC to determine if a bus registrant can use its actual fleet distance previously reported to IFTA for the appropriate reporting period in lieu of the average per vehicle distance.

Decision: Motion and second to confirm that a first time IRP registrant, including bus registrants,

shall use accrued actual distance operated during the required reporting period. Motion passed.

2015.02 Interpretation/Dispute Petitioner: Repository Interpretation Request by IRP, Inc. Articles/Sections: Article II, interpretation related to private use buses and school

buses given the changes to the apportionable vehicle definition on charter buses

Meeting Date: May 20, 2015 Issue: In April 2015, IRP, Inc. submitted a Dispute Resolution Submission Form requesting an Interpretation for the Article II definition of an apportionable vehicle as related to the removal of the charter bus exemption from the Plan. IRP Inc. requested the DRC review a list of questions related to various bus operations that have been posed to the Repository for response.

If a school district contracts with a bus company to use its vehicles having a combination of 'base bus plates' or 'school bus plates', what should the bus company be prepared to do so they can continue to use these vehicles for out-of-state trips? (a) Some school districts have children that attend their schools but live in another jurisdiction, what requirements would the bus contractor need to prepare for when they are required to pick-up and drop-off school students outside of their base jurisdiction? If the bus company has school bus plates are they required to obtain a trip permit or apportioned plates? (b) If a bus company leases school buses to a school district for an event and does not have a contract with the school district (one time school related charter event) is the bus company required to obtain a trip permit or apportioned plates? (c) A bus company leases a vehicle with a base bus plate to a school district for a school related activity such as sporting events or field trips. Because the bus is contracted for school related activities would the vehicle be exempt from apportioned registration? (d) If the bus company uses school buses for contracted use with a school district

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using school bus plates and uses the school bus for charter school activities are they required to apportion register the bus for its charter activities? (e) How will special organization groups (churches, Boy Scouts of America, Boys & Girls Club, legion etc…) who may own their own bus be required to be required to register their vehicle when traveling outside of their base jurisdiction?

Decision: Motion and second to move that if a bus is plated with a restricted plate and being operated within the provisions of the restriction, IRP registration is not required. However, if the bus is being used in charter operations anytime during the registration period, the bus would be subject to IRP or trip permit requirements. Motion passed.

2015.03 Interpretation/Dispute Petitioner: Robert Graves vs Texas IRP Articles/Sections: Article X, Section 1050 Meeting Date: May 20, 2015 Issue: In September 2014, a representative submitted on behalf of Mr. Robert Graves a

Dispute Resolution Submission Form to IRP Inc. against the State of Texas. Mr. Graves is disputing the administration of Plan Section 1050 – Netting of Audit Fee Adjustments by the State of Texas.

In the dispute, Mr. Graves stated that Texas was requiring that payments be made for any audited underpayments without subtracting any overpayments that were made to arrive at a net overpayment or a net underpayment for the carrier. Texas is requiring the Registrant to pay the underpayment amount and after the jurisdictional review period expires, Texas refunds the overpayment. Mr. Graves asked that the DRC review this process administered by the State of Texas to determine if Texas is out of compliance with the plan.

Decision: Texas is found out of compliance with Plan Section 1050 (Netting Audit Adjustments). Request that Texas has the manual process in place by its next IRP Peer Review scheduled in 2015.

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INTERNATIONAL REGISTRATION PLAN

AUDIT PROCEDURES MANUAL Effective January 1, 2016

ARTICLE 1 INTRODUCTION

101. Purpose and Contents of the Manual (a) Audit is a critical element of ensuring compliance with the International Registration Plan (Plan). Article X of the Plan provides the basic framework under which Audits of Registrants by their Base Jurisdictions are to be conducted. Plan Section 1075 provides for the maintenance of this Audit Procedures Manual (Manual), the function of which is to set standards for auditors and Member Jurisdictions and to provide guidance and procedures specifically for the performance of IRP Audits. (b) As a part of its function, the Manual assists the IRP Peer Review Committee in its assessment of the Audits of Member Jurisdictions. When the Manual uses the word “must” in connection with a procedure, this indicates an unconditional requirement for a Member Jurisdiction, and a subject for peer review. The use of the word “should” in the Manual also indicates a requirement for a Member Jurisdiction, although one where noncompliance may be accepted by the Committee if the Jurisdiction has documented the relevant circumstances and the reasons for not complying. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

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ARTICLE 2

GENERAL AUDITING STANDARDS

201. Proficiency and Due Professional Care The Audit is to be performed and the Audit report prepared by a person or persons having adequate technical training and proficiency in auditing, with due professional care and with an objective state of mind. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 202. Study and Evaluation (a) As part of the Audit process, the auditor must gain an understanding of and document the Registrant’s distance accounting system and evaluate the Registrant’s internal controls. Any weaknesses in internal controls must be documented in the Audit file and should be communicated to the Registrant before the finalization of the Audit. (b) A Walk-through test of the Registrant’s distance accounting system should be performed to ensure internal controls are functioning as described. The auditor must evaluate the impact of internal control strengths and weaknesses on the audit, determine the reliability of the Registrant’s records, and make appropriate adjustments to the Audit program. (c) The auditor should obtain sufficient and appropriate Audit evidence in order to draw reasonable conclusions on which to base the audit opinion. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 203. Planning and Supervision (a) An Audit must be adequately planned and supervised. (b) The Audit function must include a supervisory review of the Audit file for accuracy and completeness. This review must be documented in the Audit file. Official Commentary Planning consists of developing an overall strategy and a detailed approach to the execution of the Audit. All persons performing the Audit need to understand the objectives of the work assigned to them and how this work relates to the overall objective of the audit. Adequate supervision ensures that the work of all persons is properly executed.

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Planning and supervision continue as the Audit progresses. The nature, timing and extent of planning and supervision will vary with the complexity of the Audit and the experience of the persons assigned to the audit. Plans may need to be changed as the Audit progresses. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 204. Auditor Independence The Audit engagement, the Audit organization and the individual auditor, whether government, public or contracted by a Member Jurisdiction, must be free from personal, external, and organizational impairments to independence, and must avoid the appearance of such impairments to independence. Official Commentary Auditors and Audit organizations must maintain independence so their opinions, findings, conclusions, judgments, and recommendations will be impartial and viewed as impartial by objective third parties with knowledge of the relevant information. Auditors should avoid situations that could lead objective third parties with knowledge of the relevant information to conclude the auditors are not able to maintain independence and thus are not capable of exercising objective and impartial judgment on all issues associated with conducting the audit and reporting on the work. Impairments to independence include, but are not limited to, auditors processing registration applications. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 205. Audit Program Each Member Jurisdiction should use an Audit program. An Audit program provides for consistent application of Audit procedures, serves as a training tool for new auditors, and facilitates the review of the Audit. An Audit program does not preclude the use of auditor judgment. Deviations from an Audit program are acceptable if they are reasonable given the Audit circumstances and must be documented in the Audit file and approved by the Audit supervisor. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 206. Working Paper Documentation (a) Working papers must support the findings and recommendations in the Audit report. Working papers must be sufficiently detailed so a knowledgeable reader can understand them without extensive oral explanations from the auditor. (b) Working papers may be in the form of paper or electronic media (imaged documents, spreadsheet files, databases, or word processing documents). Working papers must: (i) Provide the principal support for the Audit report;

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(ii) Aid in the performance of and review of Audits; and (iii) Document Audit procedures performed, and conclusions reached. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

ARTICLE 3

AUDITOR QUALIFICATIONS AND RESPONSIBILITIES

301. Auditor Qualification (a) Each Member Jurisdiction is responsible for the staffing of qualified auditors based on the Member Jurisdiction’s personnel guidelines. The staff assigned to conduct Audits must possess adequate professional proficiency for the tasks required. In cases where the Audit is performed by a third party or contract auditors, the Member Jurisdiction must ensure the third party or contract auditors meet applicable professional standards. (b) Each Member Jurisdiction must ensure its auditors maintain proficiency in IRP auditing by providing training opportunities through internal or external training sources. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 30. 2002. Ballot 259 – Audit Procedures Manual. Effective October 1. 2003. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 302. Auditor Responsibilities (a) Auditors must give all Registrants and Member Jurisdictions fair consideration in order to promote consistency in the application of the Plan and the Manual. (b) Auditors should conduct themselves in a manner promoting cooperation and good relations with Registrants and Member Jurisdictions. (c) The auditor is encouraged to take advantage of educational opportunities that enhance and maintain auditing proficiency. Official Commentary Auditors should conduct themselves at all times in a manner which will maintain the good reputation of the auditing profession. In doing so, auditors are expected to avoid any action that would discredit the profession. An auditor is expected to act in relation to other professional colleagues with the courtesy and consideration he or she would expect to be accorded by them. The auditing profession is expected to maintain a high level of competence. This underscores the need for maintaining individual professional skill and competence by keeping abreast of and in

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compliance with developments in the professional standards and pertinent legislation in all functions where an auditor practices, or is relied upon. Revised April 1, 2001, Ballot 1.7.234 – Audit Procedures Manual – Ballot 1. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

ARTICLE 4

AUDIT COMMUNICATIONS

401. Pre-Audit Notification (a) At least 30 days prior to conducting the Audit, the Registrant must be contacted and advised an Audit is to be conducted of Records substantiating distance reported on the apportioned registration applications. Through the initial or subsequent audit contacts, the Registrant must be advised of the Registration Year(s) to be audited, the Reporting Period, the type of Records to be audited, and the proposed Audit start date. (b) All Audit communication, both written and oral, must be documented in the Audit file. (c) The Base Jurisdiction may waive notification requirements with agreement from the Registrant. Any waiver of notification requirements or postponement must be documented in the Audit file. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 402. Opening Conference A documented opening conference should be held with the Registrant to discuss the Registrant’s operations, distance accounting system, Audit procedures, Records to be examined, sample period, and sampling procedures, etc. If the conference is held, the Audit file must contain documentation of the meeting and must include date, participants and details of the meeting. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 403. Request for Records (a) The auditor must request Records that support the apportioned registration application as filed. (b) The Audit file must include documentation of all requests for Records. Revised April 1, 2001, Ballot 1.7.255- Pre-audits. Effective October 1, 2002. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

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404. Exit Conference (a) An exit conference should be held with the Registrant to review Audit issues and preliminary findings. If the conference is held, the Audit file must contain documentation of the meeting, which must include the following: (i) An overview of the post Audit process, including to whom the Audit report should be addressed: (ii) The Registrant’s rights of appeal, and any recommendations for improvement to the Registrant’s distance accounting system. (b) If an exit conference is not feasible, the Audit file must document the reasons. (c) Issues identified during the course of the Audit and documented in the working papers, should be discussed with, and detailed information must be made available to the Registrant, upon request. Section A amended April 10, 1998, Ballot 17.187. Effective July 1, 2000. Revised April 1, 2001, Ballot 1.7.237 – Audit Procedures Manual – Ballot 4. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

ARTICLE 5 AUDIT PROCEDURES

501. Preliminary Audit Procedures (a) The purpose of performing preliminary Audit procedures is to familiarize the auditor with the Registrant's business and reporting history. (b) If a previous Audit was conducted, any findings of non-compliance should be documented in the Audit file. (c) The auditor must identify, and document in the Audit file, the population of Vehicles in the Registration Year and in the Reporting Period pertaining to the Fleet subject to Audit. The auditor must either: (i) list the Vehicles to be audited, indicating at least:

(1) equipment number; (2) unit weight; (3) Vehicle identification number; and (4) inclusive months each Vehicle was in the Fleet; or

(ii) using an alternative method, identify the Vehicles and the time periods they were registered.

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The auditor must use the Vehicle listings, or alternative method documented, to select Vehicles for Audit with respect to sampling. (d) The auditor must apply analytical procedures to the Registrant’s application subject to Audit. As a part of the analytical procedures, the auditor should summarize application information, note unusual trends or variances, and draw conclusions. The analytical procedures must be documented in the Audit file. (e) Sample Vehicles should be representative of the Registrant’s operations. Section A amended April 10, 1998, Ballot 1.7.187. Effective July 1, 2000. Revised April 1, 2001, Ballot 1.7.255 – Pre-audits. Effective October 1, 2002. Revised March 31, 2004, Ballot 312 – Audit Procedures Manual. Effective October 1 2004 Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 502. Evaluation of Internal Control (a) The auditor must review and test the Registrant’s internal controls. The results must be documented in the Audit file. (b) The Auditor must: (i) determine if there have been changes in the Registrant’s distance accounting procedures or operations during the Audit period; (ii) identify the Records that the Registrant maintains to support the registration application; (iii) review the Registrant’s Records to determine if the internal controls are functioning as described and; (iv) determine if any review of the supporting documentation is performed by the Registrant prior to data entry.

The auditor must document the Registrant’s distance accounting system. The auditor may use a questionnaire, flowchart or narrative. The auditor should reconcile the period’s distance summaries. Differences must be documented and included in the Audit file. An example of the Registrant’s Records examined by the auditor should be included in the Audit file. (c) The auditor should perform a Walk-through test of the distance accounting system. (d) The Auditor must test the effectiveness of internal controls. Based on the result of these tests, the auditor should make an assessment of the degree of reliance that can be placed on the internal controls and whether to use a substantive or combined audit approach. (e) Strengths and weaknesses identified in the Registrant’s distance accounting system must be documented in the Audit file. Official Commentary

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For the overall audit approach, an auditor may use either a combined approach or a substantive approach. A combined approach is used when an auditor decides to rely on the internal controls of an entity to determine the nature, extent and timing of his or her Audit procedures. The combined approach will require the auditor to evaluate and document the internal controls of the Registrant. If a combined approach is used, the auditor will reduce the substantive tests (i.e. examine fewer trips, because the internal controls will be relied upon to detect any errors that may arise during the year). If an auditor uses a substantive approach, he or she will not rely on the internal controls of the Registrant. Rather, the auditor will increase the amount of detailed testing on source documents and distance summaries. A substantive approach is used when

• there are no internal controls in place

• after evaluation, the internal controls are deemed unreliable, or

• the auditor has determined that it is too costly to study the internal controls of the Registrant.

Revised April 1, 2001, Ballot 1.7.255 – Pre-audits. Effective October 1, 2002. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 503. Sampling and Extrapolation Procedures (a) The auditor should discuss with the Registrant the proposed sample periods, sample Vehicles, and Records to be selected for Audit. At least three representative months of the Reporting Period should be selected for Audit. Generally, Audits are to be conducted on a sampling basis. The auditor may choose from a variety of sampling methods. If tests of internal controls reveal major weaknesses in the Registrant’s distance accounting system, sampling may not be possible or the size of the sample may have to be expanded. (b) Depending on the nature of the errors, they may be treated as isolated errors (and included in findings without being extrapolated), or they may be recurring errors requiring extrapolation. Sampling and extrapolation procedures performed by the auditor should be documented in the Audit file. (c) If an auditor is unable to determine a method of assigning a portion of the unreported distance traveled by a Registrant, such distance should be prorated based on the audited distance in each Member Jurisdiction. (d) In instances where the summary information does not match information reported on the apportionment application, the Auditor should attempt to determine the reason for the discrepancy. The auditor must determine whether to extrapolate to the distance per summaries or application. It is generally preferable to extrapolate to summary distance (corrected as necessary) to determine the audited distances. The auditor must document in

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the Audit file and note in the Audit report the conclusions made as to whether the distance per summary or application has sufficient accuracy and reliability to be used in sampling projections. Revised April 10, 1998, Ballot 1.7.192. Effective October 1, 1999. Revised April 1, 2001, Ballot 1.7.255 – Pre-audits. Effective October 1, 2002. Revised March 31, 2004, Ballot 312 – Audit Procedures Manual. Effective October 1 2004 Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013. 504. Distance Audit Procedures All fee changes as a result of audit adjustments will be calculated in accordance with Section 400 of the Plan. (a) When an apportioned registration application for a new Fleet is correctly based on average per-Vehicle distance, that distance is not subject to audit. (b) If a Registrant reports average per-Vehicle distance for a fleet and it is discovered that actual distance was traveled in any Member Jurisdiction, the auditor must remove the average per-Vehicle distance, replacing it, as necessary, with the actual distance traveled in the Member Jurisdictions. (c) When actual distance is not reported in a Member Jurisdiction where it is determined actual distance was traveled, Apportionable Fees must be calculated for the Member Jurisdiction. (d) If actual distance was reported in any Member Jurisdiction where no actual distance was traveled during the Reporting Period, the actual distance must be removed. (e) If it is determined through Audit that a Vehicle does not qualify as an Apportionable Vehicle, the reported distance traveled by the Vehicle should be deducted from the Apportioned registration application and distance percentages adjusted. Full (100%) fees should also be calculated for the Vehicle for the Member Jurisdiction in which the Vehicle traveled and should be included in the fee adjustments reflected in the transmittals. Official Commentary With regard to average per-Vehicle distance, while not common, the valid reporting of such in a subsequent year will occur if the registrant does not operate during the respective reporting period. The establishment of a new fleet does not automatically qualify a registrant to use average per-Vehicle distance. Auditors must exercise due diligence when determining whether the fleet is in fact new, in accordance with Section 420 of the Plan. Revised April 10, 1998, Ballot 1.7.192. Effective October 1, 1999. Revised April 1, 2001, Ballot 1.7.236 – Audit Procedures Manual – Ballot 3. Effective October 1, 2001. Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

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Revised September 8, 2015, Ballot 2015.400 - Audit Procedures Manual Sections 504 and 505. Effective January 1, 2016.

ARTICLE 6 AUDIT REPORTING

601. Audit Report (a) An Audit report, including a narrative, and a billing summary documenting the Audit must be prepared by the Base Jurisdiction and provided to the Registrant and all affected Member Jurisdictions. Where appropriate a checklist may serve this purpose. A copy of the Audit report must be kept in the Audit file. The Audit Report must contain the following information: Registrant Information: (i) Name of Base Jurisdiction (ii) Auditor Name (iii) Date Report Issued (iv) Registrant Name (v) Registrant Address (vi) Registrant Phone (vii) Registrant Representative (viii) Account Number (ix) Fleet Number (x) USDOT Number (where required), (xi) Registration Year(s) Audited (xii) Reporting Period Audited (xiii) Number of Vehicles Apportioned (xiv) Summary of Registrant’s business operations (xv) Note unusual trends or variances Evaluation of Internal Controls: (i) Summarize the evaluation of the Registrant’s internal controls including:

(1) Reliability of internal controls (2) Strengths and weaknesses in internal controls (3) Changes in the Registrant’s accounting procedures during the audit period

Opening Conference: (i) Provide the date and persons attending

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Sampling Methodology: (i) Describe sampling methodology or reason sampling was not performed (ii) Note the periods and Vehicles sampled Distance Examination: (i) Identify source documents used by the Registrant to determine distance (ii) Identify the information reflected in the distance source documents (iii) Describe Audit procedures used to verify reported distance (iv) Describe methodology used to allocate any unreported distance (v) Note any discrepancies between monthly or quarterly summaries and Registrant’s application (vi) Identify any Vehicles removed from fleet and assessed full plate fee (vii) Auditor’s evaluation of adequacy of records Closing Conference and Recommendations: (i) Provide date and persons attending (ii) Document recommendations made to Registrant Summary: (i) A narrative of the Audit procedures, findings and any additional information deemed necessary (b) The Audit Report must contain the following information in the billing summary portion of the report: (i) Reported distance traveled, percentage and fees by Jurisdiction (ii) Audited distance traveled, percentage and fees by Jurisdiction (iii) Change in apportionment percentages by Jurisdiction (iv) Net fees due by Jurisdiction (v) Net fees owed by or due to the Registrant Revised April 1, 2001, Ballot 1.7.237 – Audit Procedures Manual – Ballot 4. Effective October 1, 2001. Revised April 1, 2001, Ballot 1.7.254 – Inadequate Records. Effective October 1, 2002 Revised September 20, 2012, Ballot 2011.371 – IRP Audit Rewrite. Effective July 1, 2013.

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ARTICLE 7 RECORDS REVIEW

701. Definition and Purpose A Base Jurisdiction may perform a Records Review of any Registrant’s distance accounting system to ensure compliance with the Plan. A Records Review is a thorough evaluation of the Registrant’s distance accounting system and internal controls to ensure compliance with the Plan. The purpose of performing a Records Review is to mitigate potential record keeping compliance issues. The primary differences between an Audit and a Records Review is that a Records Review: (i) focuses only on the adequacy of the internal controls and compliance of the distance accounting system; (ii) may be limited in scope to less than a full Reporting Period; (iii) may be conducted before the first renewal; and, (iv) does not result in any fee adjustments; Adopted September 20, 2012, Ballot 2011.371, effective July 1, 2013. 702. Records Reviews (a) A Member Jurisdiction electing to institute a Records Review program that qualifies towards the annual Audit requirement must establish procedures and guidelines similar to those for Audits. The Records Review procedures must: (i) comply with requirements in Article 2 General Auditing Standards and Article 3 Auditor Qualifications and Responsibilities of the Manual; (ii) document the distance accounting system used by the Registrant, the items included in the source documents, and the sources used by the Registrant to determine distances; (iii) assess and document internal controls; (iv) determine and document the adequacy of records and identify specific deficiencies; (v) result in a written report to the Registrant citing any specific deficiencies in the record keeping system; (vi) record all contacts with the Registrant; and, (vii) retain the completed Records Reviews according to the prevailing IRP Peer Review Audit records retention requirements. (b) It is strongly recommended the base jurisdiction conduct a follow up contact with the Registrant if non-compliance issues are noted.

13

Official Commentary Notwithstanding Section 204, Records Reviews may be conducted by personnel processing apportioned applications if they meet all other provisions of the Manual. Adopted September 20, 2012, Ballot 2011.371, effective July 1, 2013.

1

APPENDIX A GLOSSARY

Analytical procedures – Evaluations of reported information through analysis of plausible relationships among both financial and non-financial data. Analytical procedures also encompass such investigation as is necessary of identified fluctuations or relationships that are inconsistent with other relevant information or that differ from expected values by a significant amount. Appropriateness (of audit evidence) – The measure of the quality of audit evidence; that is, its relevance and its reliability in providing support for the conclusions on which the auditor's opinion is based. Audit file – One or more folders or other storage media, in physical or electronic form, containing the records that comprise the audit documentation for a specific engagement. Audit procedures - the specific acts or steps performed by the auditor to attain his or her objectives in the particular audit engagement. Audit program – a listing of audit procedures to be performed in completing an audit. Audit sampling (sampling) – The application of audit procedures to less than 100% of items within a population of audit relevance such that all sampling units have a chance of selection in order to provide the auditor with a reasonable basis on which to draw conclusions about the entire population. Due Professional Care – the care and skill expected of a reasonably prudent and competent auditor. Error – A misstatement in the distance accounting/reporting system, including the omission of an amount. Independence – Comprises: (a) Independence of mind – the state of mind that permits the provision of an opinion without being affected by influences that compromise professional judgment, allowing an individual to act with integrity, and exercise objectivity and professional skepticism. (b) Independence in appearance – the avoidance of facts and circumstances that are so significant a reasonable and informed third party, having knowledge of all relevant information, including any safeguards applied, would reasonably conclude that a member of the assurance team's, integrity, objectivity or professional skepticism had been compromised. Internal control – The process designed, implemented and maintained by those charged with governance, management and other personnel to provide reasonable assurance about the achievement of a Registrant's objectives with regard to reliability of distance accounting system, effectiveness and efficiency of operations, and compliance with applicable laws and regulations. The term "controls" refers to any aspects of one or more of the components of internal control.

2

Must – used to specify an unconditional requirement. Proficiency – Auditors performing the engagement should possess the knowledge, skills and other competencies needed to perform the Audit. The Audit function collectively should possess or obtain the knowledge, skills, and other competencies needed to perform its responsibilities. Should – Conformance is expected unless, when applying professional judgment, circumstances justify deviation. Sufficiency (of audit evidence) – The measure of the quantity of audit evidence. The quantity of the audit evidence needed is affected by the auditor's assessment of the risks of material misstatement and also by the quality of such audit evidence. Tests of controls – An audit procedure designed to evaluate the operating effectiveness of controls in preventing, or detecting and correcting, material misstatements at the assertion level. Walk-through test – Involves tracing a few transactions through the distance accounting system. Weakness in internal control – This exists when: (a) A control is designed, implemented or operated in such a way that it is unable to prevent, or detect and correct, misstatements in the distance accounting system on a timely basis; or (b) A control necessary to prevent, or detect and correct, misstatements in the distance accounting system on a timely basis is missing. Working papers – The record of audit procedures performed, relevant audit evidence obtained, and conclusions the auditor reached (terms such as "audit documentation” or "workpapers" are also sometimes used).

3

1The appendix is included for convenience and is not part of the official text of the Audit Procedures Manual.

APPENDIX B EXAMPLE OF AUDIT REPORT

{Jurisdiction Name}

International Registration Plan (IRP) Audit Report

Registrant Name: Date: Registrant Address:

Account #:

City

Fleet #

Zip Fed DOT# Registrant Phone: Lead Auditor: Registrant Rep: Registration Year(s) Audited:

Number of Vehicles Apportioned:

Type of Operation

Commodity Class

Common Carrier All Passengers Contract Carrier Exempt Construction For Hire Farm Oil – Gas Services For Hire Exempt Household Goods Other: For Hire Rental/Leasing Co Logs Private Minerals

4

RECORDS EVALUATION Source Documents Maintained in Support of Distance: Driver Trip Reports Driver Logs Receiving Contracts Driver Pay Records Freight Bills or

Manifests Other:

Items Reflected in Distance Source Documents Presented for Examination: Date of Trip (Begin & End) Total Trip Distance Carrier Name Routes of Travel Trip Origin and

Destination Fleet Number

Begin and End Odometer Vehicle Unit Number

Driver Name

Jurisdiction Crossing Odometer Reading

Distance by Jurisdiction

Other:

Sources Used by Carrier to Determine Distance: Odometer Readings Standard Distance

Guide Other:

Hubometer Readings Distance Software State Maps Estimated Summaries Maintained in Support of Distance: Monthly Summaries by Vehicle

Quarterly Summaries by Vehicle

Annual Summaries by Vehicle

Monthly Summaries by Fle Quarterly Summaries by Fleet

Annual Summaries by Fleet

Auditor’s Evaluation of Registrant’s Maintenance of Records: Adequate Inadequate Comments on Evaluation:

5

Audit Findings

REGISTRANT INFORMATION: Describe the auditee's operations and industry, where they are located and how many units are apportioned in IRP.

• Summarize relevant application information • Note unusual trends or variances

AUDIT CONTACT: Describe when and how the auditee was contacted and when the engagement packet was mailed.

• Document pre-audit contact was at least 30 days prior to field work • Document a request for the records was made and that an assessment did not take place until

30 days after the request. • Document discussions on time period of audit and required records

EVALUATION OF INTERNAL CONTROLS: Give a synopsis of the licensee’s internal controls. Find out if there have been any changes to their reporting system, procedures, accounting policies or any other necessary information.

• Document audit was adequately planned and supervised through pre-audit analysis and internal control evaluation

• Document study and evaluation of reporting system and internal accounting controls • Determine reliability of controls • Identify any weakness in controls and how they may impact sampling procedures • Note any changes in the registrant’s accounting procedures or operations during the audit

period OPENING CONFERENCE: Document the opening conference date, people attending and any pertinent information discussed such as audit issues or questions concerning records.

• Verify opening conference date and persons attending • Document any pertinent information discussed during opening conference

SAMPLING METHODOLOGY: Describe the sampling methodology used to conduct the IRP audit. Include the number of months sampled and which months were sampled. If no sample was used, put down “100% examination”.

• Describe sampling methodology or reason sample was not conducted • “100% Examination” used if no sample conducted • Document number of months and vehicles sampled

6

DISTANCE EXAMINATION: Document and justify any audit procedures in respect to distance records. Include types of records audited, description of audit techniques employed and any changes to the apportioned distances of audited vs. reported.

• Describe types of source documents used to determine distance • Describe type of source documents presented for examination • Document and justify audit procedures and techniques used to verify reported distance • Discuss method to assign or allocate unreported distance to all jurisdictions on the basis of

each jurisdiction’s audited percentage of total distance or reason for alternate method • Report any discrepancy between summary and application distance (generally, projections

should be to summary distance - corrected if necessary); document conclusion and methodology

• Identify any vehicles removed from fleet and assessed full plate fees CLOSING CONFERENCE AND RECOMMENDATIONS: Describe when the closing conference was held and any remarks or recommendations made to the licensee to assist them in improving their record keeping. Communicate any other information that may be necessary.

• Verify closing conference date and persons attending • Verify audit closing date allows a 30 day response period to registrant and 45 day response

period for member jurisdictions • Document any remarks, suggestions and recommendations made to licensee to assist in

improving their record keeping system • Provide a detailed list of the record keeping data items required in order to be in full

compliance SUMMARY: This section can be used for any number of jurisdictional directives to the registrant including the net amount due. They could be reminded that all affected IRP member jurisdictions have the same authority with regard to interest and/or penalties as the base jurisdiction and may elect to bill the registrant separately. Any appeals procedures and their Taxpayers’ Bill of Rights are often discussed.

• A brief narrative of the audit procedures, findings and any additional information deemed necessary

Submitted by, 1The appendix is included for convenience and is not part of the official text of the Audit Procedures Manual.

CHAPTER 63. PROPORTIONAL REGISTRATION OFFLEET VEHICLES

Subchap. Sec.A. GENERAL PROVISIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.1B. APPLICATION FOR PROPORTIONAL REGISTRATION . . . . . . . . . 63.11C. REGISTRATION CRITERIA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.31D. TEMPORARY REGISTRATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.51E. PAYMENT PROCEDURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.71F. REGISTRATION CREDENTIALS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.91G. FEES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.111H. ENFORCEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.131I. RECORDS AND AUDITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.151J. [Reserved] . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63.171

Authority

The provisions of this Chapter 63 issued under the Vehicle Code, 75 Pa.C.S. §§ 6103, 6142 and6145, unless otherwise noted.

Source

The provisions of this Chapter 63 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440,unless otherwise noted.

Cross References

This chapter cited in 67 Pa. Code § 41.5 (relating to bus registration plate types); and 67 Pa. Code§ 65.1 (relating to purpose).

Subchapter A. GENERAL PROVISIONS

Sec.63.1. Purpose.63.2. Scope.63.3. Member jurisdictions.63.4. Definitions.

§ 63.1. Purpose.

The purpose of this chapter is to establish rules and procedures to implementbilateral agreements and the International Registration Plan entered into withother jurisdictions for the registration of fleets of vehicles on an apportioned basisas authorized by 75 Pa.C.S. §§ 6142 and 6145 (relating to reciprocity agree-ments, arrangements and declarations authorized; and proportional registration offleet vehicles).

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63-1(359945) No. 447 Feb. 12

Source

The provisions of this § 63.1 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial page (155503).

§ 63.2. Scope.

(a) Registration recognition. Vehicles proportionally registered in jurisdic-tions which have entered into proportional registration agreements, including theInternational Registration Plan, under this chapter and have paid fees to theCommonwealth will be deemed to be fully registered in this Commonwealth forany type of movement or operation, if the registrant has proper interstate or intr-astate authority from the appropriate regulatory agency or is exempt from regu-lation by the regulatory agency.

(b) Other fees not waived. The agreements do not waive fees or taxes chargedor levied by a jurisdiction in connection with the ownership or operation ofvehicles other than the apportionable fees as defined in this chapter. Other feesand taxes shall be paid to each jurisdiction in accordance with the laws of eachjurisdiction.

(c) Base jurisdiction choice. Registrants based in a jurisdiction other than amember jurisdiction, who have been licensing vehicles in a member jurisdictionunder the basing point, allocation or proration forms of registration may declarethe Commonwealth as a base jurisdiction for purposes of the agreements until theregistrant’s base jurisdiction becomes a member jurisdiction if the most milestraveled among the member jurisdictions are in this Commonwealth.

(d) Options of registrants.(1) The registrant may choose to fully register in a jurisdiction or purchase

a limited number of trip permits in lieu of apportioned registration.(2) The registrant may divide his vehicles into a number of fleets.(3) A vehicle or combination of vehicles which travels in two or more

member jurisdictions but which is not otherwise within the definition of‘‘apportionable vehicle’’ may be proportionally registered at the option of theregistrant.(e) Other general rules.

(1) Apportionable vehicles registered nonproportionally in member juris-dictions or registered proportionally in a member jurisdiction but excluding theCommonwealth in their apportionment shall be subject to the restrictions con-tained in 75 Pa.C.S. § 1303 (relating to vehicles of nonresidents exempt fromregistration).

(2) Rental vehicles subject to § 63.34 (relating to rental vehicles) whichare not proportionally allocated or registered with this Commonwealth shall besubject to the restrictions contained in 75 Pa.C.S. § 1303.

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(3) A vehicle based in this Commonwealth for use only in this Common-wealth or nonmember jurisdictions, or both, shall continue to be registered inthis Commonwealth on a nonapportioned basis.

Source

The provisions of this § 63.2 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial pages (155504) and (127583).

§ 63.3. Member jurisdictions.The following are member jurisdictions of the International Registration Plan:

Alabama, Alberta, Arizona, Arkansas, California, Colorado, Connecticut, Florida,Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland,Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Hamp-shire, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma,Oregon, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah,Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming.

Source

The provisions of this § 63.3 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial page (127583).

§ 63.4. Definitions.The following words and terms, when used in this chapter, have the following

meanings, unless the context clearly indicates otherwise:Agent-lessor—One who furnishes facilities and service including sales, ware-

housing, motorized equipment and drivers under contract or other arrangementto a carrier for transportation of property by a household goods carrier.

Applicant—A person, firm or corporation in whose name an application toapportion the registrations of a fleet of vehicles is filed.

Apportionable fee—A periodically recurring fee required for licensing orregistering vehicles, such as, but not limited to, registration fees, license orweight fees.

Apportionable vehicle—A vehicle, except recreational vehicles, vehicles dis-playing restricted plates, city pickup and delivery vehicles, buses used in trans-portation of chartered parties and government-owned vehicles, used or intendedfor use in two or more member jurisdictions for the transportation of personsfor hire or designed, used or maintained primarily for the transportation ofproperty:

(i) Having a gross vehicle weight in excess of 26,000 pounds.(ii) Having three or more axles, regardless of weight.

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63-3(260005) No. 300 Nov. 99

(iii) If used in combination, with a gross weight of such combinationexceeding 26,000 pounds.Auxiliary axle—An auxiliary under carriage assembly with a fifth wheel and

tow bar used to convert a semi-trailer to a full trailer.Base jurisdiction—For the purpose of fleet registration, the jurisdiction

where the registrant has an established place of business, where mileage isaccrued by the fleet and where operational records of the fleet are maintainedor can be made available.

Base plate—The registration plate issued by the base jurisdiction, identifiedby having the word ‘‘APPORTIONED’’ and the base jurisdiction’s name onthe plate.

Bilateral agreement—A registration reciprocity agreement between the Com-monwealth and another jurisdiction providing the payment of registration feeson the basis of fleet miles operated in each jurisdiction.

Bureau—The Bureau of Motor Vehicles of the Department.Cab card—A registration card issued by the base jurisdiction for a vehicle of

an apportioned fleet containing the make and VIN of the vehicle, the base platenumber, the jurisdictions in which the vehicle is registered, registered grossweight for each jurisdiction and other information deemed necessary.

Carrier—An individual, partnership or corporation engaged in the businessof transporting goods or persons.

Chartered party—A group of persons who—under a common purpose andunder a single contract, and at a fixed charge for the vehicle in accordance withthe carrier’s tariff, lawfully on file with the Interstate CommerceCommission—have acquired the exclusive use of a passenger-carrying motorvehicle to travel together as a group to a specified destination or for a particu-lar itinerary, either agreed upon in advance or modified by the chartered groupafter having left the place of origin.

Commercial Registration Section—The Commercial Registration Section ofthe Bureau.

Credentials—A cab card and apportioned plate issued for a vehicle registeredby a jurisdiction which is a party to an agreement.

Department—The Department of Transportation of the Commonwealth.Established place of business—A physical structure owned or leased by a

fleet registrant designated by a street and number or road location, which isopen during normal business hours and in which are located:

(i) A telephone publicly listed in the name of the fleet registrant.(ii) A person conducting the fleet registrant’s business.(iii) The operational records of the fleet unless the records can be made

available.Fleet—One or more apportionable vehicles.Household goods—

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63-4(260006) No. 300 Nov. 99 Copyright � 1999 Commonwealth of Pennsylvania

(i) Personal effects and property used or to be used in a dwelling whena part of the equipment or supply of such dwelling.

(ii) Furniture; fixtures; equipment; and the property of stores, offices,museums, institutions, hospitals or other establishments, when a part of thestock, equipment or supply of such stores, offices, museums, institutions,hospitals or other establishments.

(iii) Articles including objects of art, displays and exhibits whichbecause of their unusual nature or value require the specialized handling andequipment usually employed in moving household goods.Hunter permit—A temporary vehicle registration permit issued to an owner-

operator, not operating as a lessor, for a registered gross weight not exceedingthe empty weight of the vehicle.

I.V.M.R.—Individual vehicle mileage record.In-jurisdiction miles—The total number of miles operated by a fleet of pro-

portionally registered vehicles in a jurisdiction during the preceding year. Mile-age of Commonwealth registered vehicles accrued in jurisdictions which arenot member jurisdictions shall be counted as in-jurisdiction miles operated inthis Commonwealth.

International Registration Plan—A registration reciprocity agreement amongthe signatory states of the United States and provinces of Canada providing forthe payment of registration fees on the basis of fleet miles operated in eachjurisdiction, which agreement is the product of the American Association ofMotor Vehicle Administrators, 1201 Connecticut Avenue, N. W., Washington,D. C. 20036, and is generally administered by that association.

Interstate operations—Vehicle movement between or through two or morejurisdictions.

Intrastate operations—Vehicle movement from one point within a jurisdic-tion where passengers or freight are loaded to another point within the samejurisdiction, where passengers or freight are unloaded regardless of the routetravelled.

Jurisdiction—A state, territory or possession of the United States; the Dis-trict of Columbia; or a province of Canada.

Lease—A written document vesting exclusive possession and control of avehicle owned by another.

Lessor—A person, firm or corporation which under the terms of a lease,grants the legal right of possession and control of a vehicle to another person,firm or corporation—the lessee.

Long-term lease—A lease having a term of 30 days or more.Member jurisdiction—A jurisdiction which has signed an agreement with the

Commonwealth or a jurisdiction which is a party to the International Registra-tion Plan.

Negotiable title—A title issued by a jurisdiction which documents ownershipof a vehicle and can be used to transfer ownership.

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63-5(319313) No. 381 Aug. 06

Operational records—Documents supporting in-jurisdiction miles traveled ineach jurisdiction and total miles traveled, such as fuel reports, trip sheets andlogs.

Owner-operator—An equipment lessor who leases his vehicular equipmentwith driver to a carrier pursuant to Interstate Commerce Commission regula-tions, 49 CFR 1057 or similar regulations of a jurisdiction’s regulatory body.

Power unit—A vehicle which is self propelled by power other than muscularpower.

Preceding year—The 12-month period after June 30 of one year and beforeJuly 1 of the following year, which immediately precedes the registration orlicense year for which proportional registration is sought.

Reciprocity—Exemption from further registration by any member jurisdic-tion of an apportionable vehicle registered under an agreement.

Recreational vehicle—An apportionable vehicle designed or converted andused exclusively for personal pleasure or travel by an individual or the indi-vidual’s family.

Registrant—A person, firm, or corporation in whose name a vehicle is reg-istered.

Registration year—The 12-month period during which the registration platesissued by the base jurisdiction are valid according to the laws of the base juris-diction.

Restricted plate—A registration plate which is restricted as to time—lessthan a full registration year, geographic area, mileage or commodities or per-sons which may be hauled—Example—Farm truck plate, Dealer Plate.

Service representative—An agent-lessor.Short term lease—A lease having a term of less than 30 days.Telegram of authority—A temporary registration transmitted by a wire ser-

vice authorizing the operation of a Commonwealth-based vehicle for 60 dayswhile application for a change in fleet registration is being processed by theBureau.

Temporary authorization certificate—A temporary registration authorizingthe operation of a Commonwealth-based vehicle for 60 days while applicationfor a change in fleet registration is being processed by the Bureau.

Total miles—The total number of miles operated by a fleet of proportionallyregistered vehicles in all jurisdictions during the preceding year.

Tractor—A motor vehicle designed and used primarily for drawing othervehicles but not so constructed as to carry a load other than a part of the weightof the vehicles and load so drawn.

Trip permit—A temporary permit issued by a jurisdiction in lieu of regularapportioned registration.

Truck tractor—A motor vehicle designed and used primarily for drawingother vehicles but so constructed as to carry a load other than a part of theweight of the vehicle and load so drawn.

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Authority

The provisions of this § 63.4 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—7506.

Source

The provisions of this § 63.4 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278; amended June 2, 2006,effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding text appears at serial pages (260005) to(260009).

Subchapter B. APPLICATION FOR PROPORTIONALREGISTRATION

Sec.63.11. Application for registration.

§ 63.11. Application for registration.(a) General rule. Application for registration of vehicles under this chapter,

in lieu of registration under other provisions of 75 Pa.C.S. §§ 101—9701 (relat-ing to the Vehicle Code) shall be made on a form furnished by the Bureau byApril 30 of each registration year.

(b) Contents. The application—Schedule A—shall contain a description ofeach power unit, trailer, semi-trailer and auxiliary axle and be accompanied by auniform mileage schedule—Schedule B. The initial or renewal application forproportional registration shall contain the mileage data in all jurisdictions for thepreceding year for each vehicle. If no operations were conducted with a vehicleduring the preceding year, the application shall contain a full statement of theproposed method of operation and estimates of annual mileage in each jurisdic-tion. The applicant shall determine the in-jurisdiction and total miles to be usedin computing the proportional registration fee for the vehicle. The Bureau mayadjust the estimate in the application if it is not satisfied as to its correctness.Changes to an original or renewed application may be made after it has been filedby notifying the Commercial Registration Section by May 1.

(c) Evidence of ownership. The owner or lessor of a vehicle to be proportion-ally registered shall hold in its name a Pennsylvania certificate of title or a nego-tiable title issued in another jurisdiction for each vehicle. If the registration of avehicle not titled in this Commonwealth has not been previously apportioned inthe applicant’s name, a photocopy of the out-of-State vehicle title, bill of sale orregistration card shall accompany the registration application.

Source

The provisions of this § 63.11 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial pages (127587) to (127588).

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63-7(319315) No. 381 Aug. 06

Subchapter C. REGISTRATION CRITERIA

Sec.63.31. Owner-operator vehicles.63.32. Leased vehicles.63.33. Household goods carriers.63.34. Rental vehicles.63.35. Changes in apportionable vehicle fleets.

§ 63.31. Owner-operator vehicles.(a) Proportional registration. Owner-operators who lease their vehicles to

carriers on a long-term basis may proportionally register their vehicles in one ofthe following methods:

(1) Registration may, at the option of the lessor, be in the name of thelessee-carrier, but shall also indicate the owner-operator’s name. Allocation offees shall be based on the records of the carrier. The registration plate and cabcard shall be the property of the lessee. The carrier shall, within 30 days of atransfer, reimburse the lessor for the value of the unused portion of any regis-tration transferred to a newly acquired vehicle when the lease is canceledbetween the parties if the lessor had been charged for the registration fee by thecarrier.

(2) Registration may, at the option of the lessor, be in the name of the les-sor. Allocation of fees shall be based on the records of the lessor. The registra-tion plate and cab card shall be the property of the lessor.(b) Trip permits. Vehicles of owner-operators which are not proportionally

registered or not fully registered in a jurisdiction having a separate reciprocityagreement with the Commonwealth shall be subject to the trip permit require-ments of this chapter.

Source

The provisions of this § 63.31 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial pages (127588) to (127589).

Cross References

This section cited in 67 Pa. Code § 63.32 (relating to leased vehicles).

§ 63.32. Leased vehicles.(a) General. Except as provided in § 63.31 (relating to owner-operator

vehicles), for purposes of proportional registration, the long-term lessee-operatorof a vehicle is responsible for its registration—that is, the operator of a fleet, partor all of which is leased, shall qualify the leased vehicles in its own name in thesame manner as if the lessee-operator owned them. The Pennsylvania credentialsfor the leased vehicles belong to the fleet operator by whom they were propor-

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tionally registered and may be transferred from one vehicle to another as if theoperator owned the vehicles. If the lease of a vehicle is terminated, the lessee-operator shall transfer the Pennsylvania registration to another vehicle whichreplaces it in the fleet. A renewal or series of renewals of a shortterm lease cov-ering the same vehicle shall be construed as being a long-term lease if the timeperiod covered by the original lease and subsequent consecutive renewals is 30days or more.

(b) Exceptions. If an apportioned vehicle is leased temporarily to anotherperson, regardless of whether the lessee is an apportioned carrier, the lessor shallbe responsible for reporting the miles traveled by the temporarily-leased vehicle.The temporarily-leased vehicle shall continue to bear proportional registrationcredentials and may be operated on those credentials only in jurisdictions towhich fees have been paid.

Source

The provisions of this § 63.32 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text appears at serial page(127589).

§ 63.33. Household goods carriers.Household goods carriers, using vehicles leased from service representatives,

may elect to base the vehicles in the base jurisdiction of the service representa-tive or of the carrier according to the following:

(1) Vehicles based in service representative’s jurisdiction. If the householdgoods carrier elects the base jurisdiction of the service representative: thevehicles shall be registered in the service representative’s name, and the house-hold goods carrier shall be indicated as lessee. The apportionment of fees shallbe according to the combined mileage records of the service representative andthe carrier. Such records shall be kept or made available in the service repre-sentative’s base jurisdiction.

(2) Vehicles based in carrier’s jurisdiction. If the household goods carrierelects the base jurisdiction of the carrier, the vehicles shall be registered by thecarrier and the service representative shall be designated as lessor. The appor-tionment of fees shall be according to the combined mileage records of the ser-vice representative and the carrier. The records shall be kept or made availablein the base jurisdiction of the carrier. Service representatives properly regis-tered under this election shall be fully registered for operations under their ownauthority as well as under the authority of the carrier.

(3) Vehicles of owner-operators. Vehicles owned and operated by owner-operators other than service representatives which are used exclusively to trans-port cargo for a household goods carrier shall be registered by the carrier in thebase jurisdiction of the carrier, in both the name of the owner-operator and the

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name of the carrier as lessee. The apportionment of fees shall be according tothe mileage records of the carrier.

Source

The provisions of this § 63.33 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87683).

§ 63.34. Rental vehicles.(a) Definitions. The following words and terms, when used in this chapter,

have the following meanings, unless the content clearly indicates otherwise:(1) Rental ownerAn owner principally engaged in renting rental fleets to others or offering for

rental the vehicles of such fleets without drivers.(2) Rental fleetFive or more vehicles which are rented or offered for rental without drivers

and which are designated by a rental owner as a rental fleet.(3) Rental vehicleA vehicle of a rental fleet.(4) Renting (or leasing)The giving of possession and control of a vehicle for valuable consideration

for a specified period of time.(b) Rental vehicles. Rental vehicles of a rental owner who registers them in

accordance with this section will be regarded as proportionally-registeredvehicles if the rental owner has received approval from Pennsylvania to appor-tion the rental fleets.

(1) The operational records of the rental fleet shall be maintained by therental owner.

(2) The rental vehicles may be registered in the name of the rental owneror in the name of individual lessees.(c) Tractor, truck-tractor and truck fleet registrations. Rental owners having

a rental fleet of trucks, tractors and truck-tractors based in Pennsylvania—excluding one-way vehicles—and operating into or through one or more othermember jurisdictions may proportionally register the vehicles by paying appor-tionable registration fees based on mileage using Forms Schedule A, Schedule Band Supplement, if needed.

(d) Rental passenger cars. Rental owners who rent or lease rental passengercars for operation in Pennsylvania and one or more other jurisdictions may, inlieu of full registration of each vehicle in this Commonwealth, register the num-ber of passenger cars determined as follows: divide the gross revenue received inthe preceding year for rentals of passenger cars operated in this Commonwealthby the total gross revenue received in the preceding year for passenger car rentals

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in all jurisdictions, and multiply the quotient by the total number of passengercars in the fleet on the first day of each registration year.

(1) Monthly and yearly records shall be maintained to reflect accurately thegross revenue earned in each jurisdiction.

(i) Monthly summaries shall be supported by rental settlement con-tracts.

(ii) Yearly earnings shall be supported by the company’s financial state-ments and copies of Federal and State income tax returns.

(2) When vehicles are added to the fleet after the first day of any licensingyear, the same percentage factor used at the beginning of that licensing yearshall be used to determine the number of additional vehicles to be registered inPennsylvania.

(e) Trailers and semitrailers in pool fleets. Rental owners who rent or leasetrailers and semitrailers having a registered gross weight in excess of 6,000pounds and used solely in pool fleets for operation in Pennsylvania and one ormore other jurisdictions may, in lieu of full registration of each vehicle in thisCommonwealth, register the number of trailers and semitrailers determined asfollows: divide the gross revenue received in the preceding year for rentals oftrailers and semitrailers operated in this Commonwealth by the total gross rev-enue received in the preceding year for trailer and semitrailer rentals in all juris-dictions, and multiply quotient by the total number of trailers and semitrailers inthe fleet on the first day of each registration year.

(1) Monthly and yearly records shall be maintained to reflect accurately thegross revenue earned in each jurisdiction.

(i) Monthly summaries shall be supported by rental settlement con-tracts.

(ii) Yearly earnings shall be supported by the company’s financial state-ments and copies of Federal and State income tax returns.

(2) When vehicles are added to the fleet after the first day of any licensingyear, the same percentage factor used at the beginning of that licensing yearshall be used to determine the number of additional vehicles to be registered inthis Commonwealth.

(f) Utility trailers. Rental owners who rent or lease utility trailers having aregistered gross weight of 6,000 pounds or less in more than one member juris-diction may, in lieu of full registration of each vehicle in this Commonwealth,register a number of trailers equal to or more than the average number of thetrailers rented in or through this Commonwealth during the preceding year.

(1) Monthly and yearly records shall be maintained to reflect accurately theinventory count and Pennsylvania registrations.

(i) Inventory records shall include a count of the vehicles not rentedlocated in each jurisdiction at the time of inventory count; a count of the

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entire fleet owned or operated, whether rented or not rented, at the time ofinventory count; and a listing of registration plate numbers and dates pur-chased each year.

(ii) The registration records and cancelled checks representing paymentof license plates purchased or renewed shall be available for auditor review.(2) When vehicles are added to the fleet after the first day of any licensing

year, the same percentage factor used at the beginning of that licensing yearshall be used in determining the number of additional vehicles subject to beregistered in Pennsylvania registration.(g) One-way fleet vehicles. Rental owners who rent or lease trucks having a

registered gross weight of less than 26,000 pounds in more than one memberjurisdiction may, in lieu of full registration of each vehicle in this Common-wealth, register the number of trucks determined as follows: in each weight classdivide the mileage traveled in this Commonwealth in the preceding year by thetotal mileage traveled in all jurisdictions, and multiply the quotient by the totalnumber of vehicles of the same weight class owned or operated in the particularclass on the first day of each registration year.

(1) Monthly and yearly records shall be maintained to reflect accuratelymileage traveled in each jurisdiction by weight class and inventory counts ofeach class of vehicle. Inventory records shall include a listing of registrationplate numbers and dates purchased each year.

(2) When vehicles are added to the fleet after the first day of any licensingyear, the same percentage factor used at the beginning of that licensing year foreach weight class shall be used to determine the number of additional vehiclessubject to Pennsylvania registration.

Source

The provisions of this § 63.34 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial pages (87684) to (87686).

Cross References

This section cited in 67 Pa. Code § 63.2 (relating to scope).

§ 63.35. Changes in apportionable vehicle fleets.(a) Registration of vehicles added to fleets. Vehicles acquired by a registrant

after the commencement of the registration year may be added to the proportion-ally registered fleet by applying the mileage percentage used in the originalapplication for registration of the fleet for the registration period to the regularregistration fees applicable to the additional vehicles for the remainder of theregistration year. Applications for proportional registration of additional fleetvehicles shall be filed and processed in the same manner as the original applica-tion, using supplemental registration forms furnished by the Bureau.

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(b) Withdrawal and replacement of vehicles from fleets. The following shallapply to the withdrawal of a vehicle from a proportionally registered fleet:

(1) If a vehicle is withdrawn from a proportionally registered fleet duringthe period for which it is registered, the registrant shall so notify the Bureau onthe appropriate form.

(2) If the registrant replaces a vehicle for one withdrawn from the fleet theregistrant shall file a supplemental application. The Bureau will issue a new cabcard and transfer the registration to the new vehicle. Additional proportionalfees will be required for those jurisdictions that do not allow transfer credit.

(3) If a vehicle is permanently withdrawn from a proportionally registeredfleet because it has been destroyed, sold or otherwise completely removed fromthe service of the registrant; the unused portion of the fees paid with respect tosuch vehicle will be applied against registration fees which may be payable foradditions to the fleet during the same registration year.

(4) If a vehicle of an apportioned fleet is withdrawn from the fleet, thevehicle cannot be returned to the fleet during the same registration year exceptupon payment of a proportional registration fee for the vehicle determined inaccordance with subsection (a), unless the vehicle was leased and the previouslease expired 30 days or more before the date of return to the fleet.(c) Increase in registered weight. The registered gross weight for a vehicle of

a fleet may be increased after the commencement of the registration year byapplying the mileage percentage used in the original application for registrationof the fleet for the registration period to the difference between the regular reg-istration fees for the current and the new weights for the remainder of the regis-tration year. Application for a weight increase shall be filed and processed in thesame manner as the original application, using supplemental registration formsfurnished by the Bureau.

(d) Adding jurisdictions. A registrant who has filed an original apportionedregistration application for a registration year may expand its operation into orthrough a jurisdiction not previously included by filing a Schedule F applicationform which:

(1) Describes the new operation.(2) Indicates the estimated miles in the new jurisdictions.(3) Indicates the desired weight in the new jurisdictions.

Source

The provisions of this § 63.35 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial pages (87686) to (87687).

Cross References

This section cited in 67 Pa. Code § 63.51 (relating to Pennsylvania temporary authorization cer-tificates); and 67 Pa. Code § 63.92 (relating to replacement of credentials).

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Subchapter D. TEMPORARY REGISTRATION

Sec.63.51. Pennsylvania temporary authorization certificates.63.52. Telegrams of authority.63.53. Trip permits.63.54. Hunter permits.

§ 63.51. Pennsylvania temporary authorization certificates.(a) General rule. Temporary authorization certificates may be obtained from

the Commercial Registration Section in bulk, by registrants with five or moreapportionable vehicles, for use on an additional vehicle or when it is necessary toincrease a vehicle’s registered weight. The registrant’s fees on its original appor-tioned registration application shall be paid prior to approval of the request fortemporary authorization certificates. Temporary authorization certificates are nottransferable and may not be used by another carrier. A temporary authorizationcertificate is valid for 60 days from the date of its first use. A temporary autho-rization certificate may not be used in conjunction with 75 Pa.C.S. § 1311(c)(relating to registration card to be signed and exhibited on demand) to avoidprosecution under 75 Pa.C.S. § 1301 (relating to registration and certificate oftitle required).

(b) Application security requirements. The initial application for temporaryauthorization certificates shall be accompanied by an irrevocable letter of creditfrom a bank naming the Department as sole beneficiary, or by a bond executedby a surety company, authorized to do business in this Commonwealth, namingthe Department as obligee. The letter or bond shall be:

(1) Established in the amount equal to 50% of the fee for registering atruck or combination at 80,000 pounds gross weight times the number of tem-porary authorization certificates to be purchased, up to a maximum of 25 cer-tificates.

(2) Maintained for 3 years from the date of application.(3) Used by the Department to cover unpaid fees due to the Department for

temporary authorization certificates.(c) Conditions for renewal of security. If the Department has not made a

claim against the letter of credit or bond to cover unpaid fees during the 3-yearperiod, a new bond or letter of credit will not be required.

(d) Use. The carrier shall complete the temporary authorization certificate bytypewriter or in ink at the time it is to be used. The original copy shall be mailedwithin 5 days to the Commercial Registration Section with a supplemental regis-tration application; the second copy shall be carried in the cab of the vehicle; andthe third copy shall be retained by the carrier. If a temporary authorization cer-tificate must be voided because it is filled out incorrectly, the original and secondcopy shall be sent to the Commercial Registration Section immediately with anexplanation.

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(e) Cancellation. If a registrant desires to cancel a temporary authorizationcertificate after the original copy has been forwarded to the Commercial Regis-tration Section and avoid paying the registration fee, the second copy shall alsobe forwarded to the Section within 5 days of the date of completion; otherwisethe registrant shall pay the supplemental registration fees as provided in § 63.35(relating to changes in apportionable vehicle fleets).

(f) Effect of late application. The Department may suspend the proportionalregistration privileges of a carrier who does not file within 5 days a supplementalapplication for proportional registration of a vehicle for which the carrier issueda temporary authorization certificate. The suspension will be in effect until theproportional registration of the additional vehicle is completed. Transfer creditwill not be allowed for the vehicle.

(g) Return of certificates. A carrier who discontinues business, has not issueda temporary authorization certificate within a year, fails to renew apportionedregistration with this Commonwealth, has its registration suspended or canceledor is so ordered by the Department, shall within 5 days return unused temporaryauthorization certificates to the Bureau.

(h) Security and theft. Carriers shall keep temporary authorization certificatesin a secure place, such as a locked cabinet. The carrier shall notify the Bureauwithin 5 days of the loss or theft of temporary authorization certificates. Loss ortheft on the second occasion will result in the cancellation of the carrier’s privi-lege to obtain and issue temporary authorization forms.

(i) Misuse. A carrier who misuses or fails to report the loss or theft of a tem-porary authorization certificate will be assessed a fee for each certificate misused,lost or stolen, equal to the full annual registration fee for a truck-tractor in theregistered gross combination weight class of 80,000 pounds. The Department,upon making a determination that a registrant has misused temporary authoriza-tion certificates, may also require the registrant to comply with the securityrequirements specified in subsection (b). Misuse on the second occasion willresult in the cancellation of the carrier’s privilege to obtain and issue temporaryauthorization forms. Misuse, as referred to in this section, includes the following:

(1) The failure to transmit, to the Commercial Registration Section, anapplication for apportioned registration within 5 days after issuing a temporaryauthorization certificate.

(2) The failure to remit apportionable fees for vehicles issued temporaryauthorization certificates.

(3) The issuance of temporary authorization certificates with incorrectweight information.

(4) The issuance of temporary authorization certificate forms with incom-plete information or dates.

(5) The transfer of a temporary authorization certificate to a vehicle forwhich it is not originally issued.

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(6) The consignment of a temporary authorization certificate to anothercarrier.

(7) The failure to transmit to the Commercial Registration Section, within30 days, the documents necessary to title an apportioned vehicle after issuinga temporary authorization certificate.

(8) The failure to transmit to the Commercial Registration Section, theDepartment’s copy of a temporary authorization certificate within 5 days afterissuance.

(9) The issuance of a temporary authorization certificate other than in theprenumbered order.

(10) The utilization of fraudulent information when issuing a temporaryauthorization certificate.

(11) The issuance of temporary authorization certificates for states otherthan those for which the fleet is apportioned.

(12) The issuance of a temporary authorization certificate for a vehicle afterthe vehicle has been placed in service and operated on the highways.

AuthorityThe provisions of this § 63.51 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—

7506.

SourceThe provisions of this § 63.51 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;

readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278; amended June 2, 2006,effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding text appears at serial pages (260016) to(260018).

Cross ReferencesThis section cited in 67 Pa. Code § 63.119 (relating to temporary authorization certificate); and 67

Pa. Code § 63.123 (relating to refunds).

§ 63.52. Telegrams of authority.(a) General. A collect telegraphic authorization for the operation of a vehicle

whose registration process is pending will be authorized by the Commercial Reg-istration Section upon request of a carrier, if the carrier requesting the telegramhas a fleet currently apportioned in this Commonwealth, and the vehicle is sub-ject to proportional registration and permanently registered as a part of the fleet.

(b) Duties of the carrier. The application for proportional registration of thevehicle covered by the telegram shall be submitted by the carrier to the Commer-cial Registration Section within 5 days of the date of authorization. If the vehiclefor which a telegram was requested is not placed in use by the carrier and thecarrier wishes to avoid paying the registration fee, the telegram shall be returnedby the carrier to the Commercial Registration Section within 5 days of the dateof its issuance with an explanation as to why proportional registration fees shouldnot be done.

(c) Late application. The Department will bill a carrier for proportional reg-istration fees based on vehicle information in the telegram if an application toproportionally register the vehicle is not mailed to the Department with all sup-

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porting documents within 5 days of the issuance of the telegram. Transfer creditwill not be allowed unless proof is furnished that the vehicle was permanentlyremoved prior to the operation of a replacement vehicle. The Department maysuspend the proportional registration of the remainder of the fleet of the carrierfor repeated violations of this subsection.

(d) Effect of telegram. A telegram of authority issued by the Department isvalid for 60 days. An extension of a telegram of authority may be granted if, inthe judgment of the Department, the supplemental application for proportionalregistration was submitted and fees were paid on a timely basis but there wasinsufficient time to process the application and forward the credentials to the car-rier.

(e) Discretionary authority of Department. The Department may refuse issu-ance of telegrams of authority to a carrier whose account is not in good standing.

Authority

The provisions of this § 63.52 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—7506.

Source

The provisions of this § 63.52 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278; amended June 2, 2006,effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding text appears at serial pages (260018) to(260019).

§ 63.53. Trip permits.(a) General. Seventy-two hour trip permits may be obtained from the Bureau

or authorized issuing agents in accordance with Chapter 65 (relating to permitagents) for the occasional or emergency operation into or through this Common-wealth of vehicles registered in member jurisdictions but not proportionally reg-istered in this Commonwealth.

(b) Carrying of permits. Every trip permit shall be carried in the cab of thevehicle for which the permit is issued.

Source

The provisions of this § 63.53 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial page (87690).

§ 63.54. Hunter permits.Twenty-day hunter permits may be obtained from the Bureau or authorized

issuing agents in accordance with Chapter 65 (relating to permit agents) for useby owner-operators whose lease with a carrier has terminated or for newly pur-

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chased vehicles. Hunter permits shall be issued for a registered gross weight notin excess of the empty weight of the vehicle.

Source

The provisions of this § 63.54 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial page (87690).

Subchapter E. PAYMENT PROCEDURES

Sec.63.71. Billing notices.63.72. Payment procedures.

§ 63.71. Billing notices.(a) General. Upon the approval of an application for apportioned registration,

the Department will mail a billing notice in duplicate to the address of the regis-trant shown on the application. The notice will list the amount of the registrationfees due the Commonwealth as well as the apportioned registration fees due eachmember jurisdiction, except for those jurisdictions which bill directly.

(b) Direct bill jurisdictions. The Commercial Registration Section will for-ward a copy of an application for apportioned registration to direct bill jurisdic-tions with which the applicant seeks apportioned registration. A separate billingnotice will be sent to the registrant by each direct bill jurisdiction.

Source

The provisions of this § 63.71 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text apppears at serialpages (127597) to (127598).

§ 63.72. Payment procedures.The following apply to the payment of the apportioned registration fees:

(1) Payments due to the Department shall be made payable to the ‘‘Penn-sylvania Department of Transportation,’’ or ‘‘Pa. D.O.T.’’

(2) Payments shall be made by certified check, money order or cashier’scheck or by personal check if a bond has been posted for the amount of thecarrier’s renewal fees.

(3) Payments for original applications and renewals must be received bythe Department by May 15 of a registration year.

(4) Payments to direct bill jurisdictions shall be made by separate checksor money orders for each billing notice and sent to the jurisdiction’s appor-tioned registration office.

Source

The provisions of this § 63.72 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial page (87691).

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Subchapter F. REGISTRATION CREDENTIALS

Sec.63.91. Vehicle identification.63.92. Replacement of credentials.63.93. Cancellation.

§ 63.91. Vehicle identification.(a) Issuance of plate and cab cards. Upon approval of an application for

apportioned registration and payment of the necessary fees, the Bureau will issuethe following to Pennsylvania based carriers:

(1) A Pennsylvania base plate bearing the legend ‘‘apportioned.’’(2) An apportioned cab card containing the following information:

(i) Name and address of the registrant.(ii) Make and vehicle identification number of the vehicle.(iii) Pennsylvania registration plate number and registered gross weight

for Pennsylvania.(iv) Name of each jurisdiction in which apportioned and registered gross

weight for each jurisdiction.(v) Other information the Department deems necessary.

(b) Display. Credentials issued by the Department will be maintained or dis-played as follows:

(1) The apportioned registration plate shall be mounted on the front ofevery tractor and truck tractor and on the rear of every truck, trailer and otherapportioned vehicle.

(2) The cab card shall be carried in the vehicle for which it is issued.(c) Return of credentials. An apportioned registration plate and cab card shall

be returned to the Bureau by June 10 if not renewed by June 1 of the same year.Failure to return the apportioned registration plate will result in assessment of afull 12-month registration fee for the plate according to the previously registeredweight of the vehicle on which the plate was used.

Source

The provisions of this § 63.91 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text appears at serial pages(127598) to (127599).

§ 63.92. Replacement of credentials.(a) Application. If a Pennsylvania apportioned registration plate or cab card

is defaced, lost, or stolen: the carrier shall apply for a replacement on the appro-priate form furnished by the Department, accompanied by the fee provided in thischapter.

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(b) Replacement at transfer. Application for replacement of a lost or stolenregistration plate will not be accepted with a registration transfer applicationunless the cab card is surrendered with the supplemental registration applicationrequired in § 63.35 (relating to changes in apportionable vehicle fleets).

(c) Cab cards. Application for replacement of a lost cab card will not beaccepted at the time a supplemental registration application is filed under§ 63.35.

Source

The provisions of this § 63.92 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87692).

§ 63.93. Cancellation.The Department may cancel apportioned registration plates, cab cards and tem-

porary registrations issued under this chapter and Chapter 65 (relating to permitagents), if they were issued in error, or if fees remain unpaid.

Source

The provisions of this § 63.93 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text appears at serial pages(127599) to (127600).

Subchapter G. FEES

Sec.63.111. General rule.63.113. Trailer and auxiliary axle fees.63.114. Additional vehicle fees.63.115. Weight increase.63.116. Cab cards.63.117. Duplicate cab cards.63.118. Transfer of registration.63.119. Temporary authorization certificate.63.120. Hunter permit.63.121. Trip permit.63.122. Nontitled fleet registration.63.123. Refunds.63.124. Transition credit or refund.

§ 63.111. General rule.Registration fees for apportionable vehicles shall be determined as follows:

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(1) Obtain the percentage factor for each member jurisdiction by dividingthe miles travelled in each jurisdiction by the total fleet miles accrued duringthe preceding year. The Commonwealth mileage shall include all of the follow-ing:

(i) mileage accrued within this Commonwealth;(ii) mileage accrued in any nonmember jurisdiction which does not

apportion registration fees but which grants reciprocity; and(iii) mileage accrued in member jurisdictions in which the applicant does

not desire to apportion registration fees.(2) Multiply the fee for each vehicle for each jurisdiction by the percent-

age factor obtained in pargraph (1) for each jurisdiction.(3) Add the products resulting from each computation to determine the

total fee for registration of all vehicles in each jurisdiction. The sum is theamount payable for the apportioned registration of the fleet in each jurisdictionfor the registration year.

Source

The provisions of this § 63.11 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial pages (87692) to (87693).

Cross References

This section cited in 67 Pa. Code § 63.113 (relating to trailer and auxiliary axle fees).

§ 63.113. Trailer and auxiliary axle fees.

The fee for the proportional registration of trailers, semi-trailers and auxiliaryaxles shall be computed for those jurisdictions which require it by using the samefactor determined by in-jurisdiction and total miles in § 63.111 (relating to gen-eral rule). Since the Commonwealth does not apportion these vehicles, the regu-lar Commonwealth registration fee for trailers will be added to the apportionedfees.

Source

The provisions of this § 63.113 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text apepars at serial page (87693).

§ 63.114. Additional vehicle fees.

(a) General. If a vehicle is to be added to a fleet to replace a vehicle havingthe same registered gross weight, no additional registration fee is due to theDepartment for Pennsylvania registration. However, additional fees will be duefor those jurisdictions which do not allow transfer credits.

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(1) If the added vehicle is to have a higher registered gross weight than thevehicle it replaces, an additional registration fee is due, based on the differencebetween the registration fees of the vehicles, multiplied by the mileage percent-age factor.

(2) A registration transfer fee shall be paid in all cases.(b) Estimating mileage. A carrier may, upon receiving apportioned registra-

tion for a registration year, estimate the mileage in any jurisdiction in which it hasno mileage history and into or through which it desires to expand operations. Thefees calculated for expanded operations will be in excess of the 100% registra-tion percentages established at renewal.

(1) In lieu of estimating mileage, a carrier may conduct expanded opera-tions by use of trip permits.

(2) Carriers estimating mileage in any jurisdiction for a second full con-secutive registration year will continue to pay in excess of 100% registrationfees.

Source

The provisions of this § 63.114 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial pages (87693) to (87694).

§ 63.115. Weight increase.The fee for obtaining a higher registered gross weight for a vehicle shall be

determined by multiplying the difference between the fees for the old and the newweight classifications by the applicable mileage percentage factors.

Source

The provisions of this § 63.115 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87694).

§ 63.116. Cab cards.The fee for a cab card issued in connection with the filing of an application

requiring no Pennsylvania registration fees, is $4.50.

Authority

The provisions of this § 63.116 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—7506.

Source

The provisions of this § 63.116 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 16, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278; amended June 2, 2006, effective June 3, 2006, 36Pa.B. 2684. Immediately preceding text appears at serial page (260024).

67 § 63.115 DEPARTMENT OF TRANSPORTATION Pt. I

63-22(319324) No. 381 Aug. 06 Copyright � 2006 Commonwealth of Pennsylvania

§ 63.117. Duplicate cab cards.The fee for each duplicate cab card shall be $1.50 when ordered at the time of

vehicle registration or transfer, or renewal of registration. The fee for each dupli-cate cab card ordered at any other time is $4.50.

AuthorityThe provisions of this § 63.117 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—

7506.

SourceThe provisions of this § 63.117 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;

readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended June 2, 2006, effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding textappears at serial page (260025).

§ 63.118. Transfer of registration.The fee for transfer of registration from a vehicle within an apportioned fleet

to another vehicle within the same fleet or another apportioned fleet of the samecarrier is $6.

AuthorityThe provisions of this § 63.118 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—

7506.

SourceThe provisions of this § 63.118 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;

corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended June 2,2006, effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding text appears at serial page(260025).

§ 63.119. Temporary authorization certificate.(a) Issuance. The fee for each temporary authorization certificate is $2.(b) Return. A service fee of $10 will be charged for temporary authorization

certificates returned to the Department in accordance with § 63.51(d) (relating toPennsylvania temporary authorization certificates).

SourceThe provisions of this § 63.119 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;

corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text appears at serial page(127603).

§ 63.120. Hunter permit.The fee for a hunter permit is $10.

Source

The provisions of this § 63.120 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87695).

Ch. 63 PROPORTIONAL REG. OF FLEET VEH. 67 § 63.117

63-23(319325) No. 381 Aug. 06

§ 63.121. Trip permit.The fee for a trip permit is $15.

Source

The provisions of this § 63.121 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87695).

§ 63.122. Nontitled fleet registration.The fee for establishing a registration record for an apportioned vehicle not

titled in this Commonwealth is $22.50.

Authority

The provisions of this § 63.122 amended under the Vehicle Code, 75 Pa.C.S. §§ 6103 and 7501—7506.

Source

The provisions of this § 63.122 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended June 2,2006, effective June 3, 2006, 36 Pa.B. 2684. Immediately preceding text appears at serial page(260026).

§ 63.123. Refunds.(a) Apportioned registration fees. A refund of the Commonwealth’s appor-

tioned registration fees will be made in the event of any of the following:(1) A billing error of a jurisdiction.(2) A duplication of registration fees paid for the same apportioned vehicle.(3) Payment in error of a full fee for a Commonwealth registration plate

when only an apportioned registration is required. The amount of the refundwill be the unused portion of the full registration fee.

(4) An overpayment in excess of $10 for apportioned registration, as deter-mined by audit.

(5) A request for deletion of a vehicle listed on the original or renewalapplication for apportioned registration received on or before the first day ofthe registration year.(b) Fees of other jurisdictions. No refund of apportioned registration fees of

other jurisdictions will be made by the Department. Application for a refund ofsuch fees shall be made directly to the proper authorities in accordance with theappropriate statutes or regulations of the jurisdiction.

(c) Temporary authorization certificates. Refunds for unused temporaryauthorization certificates will be made to carriers in accordance with § 63.51(relating to Pennsylvania temporary authorization certificates).

Source

The provisions of this § 63.123 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial pages (87695) to (87696).

67 § 63.121 DEPARTMENT OF TRANSPORTATION Pt. I

63-24(319326) No. 381 Aug. 06 Copyright � 2006 Commonwealth of Pennsylvania

§ 63.124. Transition credit or refund.A partial refund or credit for registration fees paid for regular, unapportioned

Commonwealth registrations for vehicles to be registered proportionally will bemade as follows:

(1) If the apportioned registration applicant is the vehicle owner, credit willbe applied to the apportioned billing.

(2) If the apportioned registration applicant is a lessee, the lessor mayrequest a refund or may permit the lessee to obtain credit in the apportionedbilling.

Source

The provisions of this § 63.124 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130. Immediately preceding text appears at serial page (87696).

Subchapter H. ENFORCEMENT

Sec.63.131. Enforcement date.63.132. Notification of extension.

§ 63.131. Enforcement date.

A Pennsylvania apportioned registration plate shall be attached to a vehicle andthe appropriate cab card carried in the vehicle no later than June 1 of a registra-tion year.

Source

The provisions of this § 63.131 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87697).

§ 63.132. Notification of extension.

In the event an extension of the enforcement date is necessary for any reason,the Bureau will notify the law enforcement agency of each jurisdiction of theextension.

Source

The provisions of this § 63.132 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130. Immediately pre-ceding text appears at serial page (87697).

Ch. 63 PROPORTIONAL REG. OF FLEET VEH. 67 § 63.124

63-25(260027) No. 300 Nov. 99

Subchapter I. RECORDS AND AUDITS

Sec.63.151. Duty to maintain.63.152. Audit of records.

§ 63.151. Duty to maintain.(a) Operational records. Every apportioned carrier shall maintain the opera-

tional records on which its registration application is based for a period of 3years. Operational records include documents supporting mileage traveled in eachjurisdiction and total mileage traveled, such as fuel reports, trip sheets, logs andcomputer runs. An acceptable source document for verification of fleet mileageshall be some type of ‘‘Individual Vehicle Mileage Record’’ which shall be com-pleted for each movement of a vehicle and which shall contain the following:

(1) Dates—starting and ending.(2) The trip origin and destination.(3) The route of travel.(4) The total trip miles, including all movement—loaded, empty, deadhead

or bobtail number.(5) The mileage by jurisdiction.(6) The unit number or vehicle identification.(7) The vehicle fleet number.(8) The registrant’s name.(9) The driver’s signature or name.

(b) Failure to maintain records. An apportioned vehicle as to which a carrierfails to maintain adequate records, as required, shall be registered at the fullannual registration fee for each year for which records were not maintained,unless the carrier provides evidence of nonuse of the vehicle satisfactory to theCommercial Registration Section.

Source

The provisions of this § 63.151 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial pages (127605) to (127606).

§ 63.152. Audit of records.(a) General rule. Operational records of a carrier shall be subject to audit by

the Department or its agents and shall be made available by the carrier within 30days of notice from the Commercial Registration Section or its agents. The car-rier shall pay a deficiency found due as the result of the audit plus 1% per monthassessment calculated from the first day of the audited registration year, plus a5% additional assessment if the audited assessment is not paid within 30 days ofthe billing date.

67 § 63.151 DEPARTMENT OF TRANSPORTATION Pt. I

63-26(260028) No. 300 Nov. 99 Copyright � 1999 Commonwealth of Pennsylvania

(b) Out-of-State records. If the operational records of a carrier are not locatedor made available in this Commonwealth, the carrier shall pay the per diem andtravel expenses of Department auditors or its agents.

Source

The provisions of this § 63.152 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;corrected February 24, 1984, effective November 26, 1983, 14 Pa.B. 661; readopted May 6, 1988,effective immediately and applies retroactively to April 30, 1988, 18 Pa.B. 2130; amended January15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately preceding text appears at serial page(127606).

Subchapter J. [Reserved]

§ 63.171. [Reserved].

Source

The provisions of this § 63.171 adopted April 29, 1983, effective April 30, 1983, 13 Pa.B. 1440;readopted May 6, 1988, effective immediately and applies retroactively to April 30, 1988, 18 Pa.B.2130; amended January 15, 1993, effective January 16, 1993, 23 Pa.B. 278. Immediately precedingtext appears at serial page (127607).

Ch. 63 PROPORTIONAL REG. OF FLEET VEH. 67 § 63.171

63-27(260029) No. 300 Nov. 99

[Next page is 65-1.]

63-28(260030) No. 300 Nov. 99 Copyright � 1999 Commonwealth of Pennsylvania

Visit us at www.dmv.state.pa.us or call us at:

In state: 1-800-292-1148 | TDD: 1-800-228-0676 | Out-of-State: 1-717-412-5300 |TDD Out-of-State: 1-717-412-5380

http://www.dmv.state.pa.us

PENNSYLVANIA APPORTIONED RENEWAL APPLICATION MAIL DATE HERE

ARP ACCT # HERE

JOHN DOE TRUCKING LLC1101 S FRONT STHARRISBURG, PA 17104-2570

PENNSYLVANIA REGULATION, TITLE 67 TRANSPORTATION, CHAPTER 63 PROPORTIONAL REGISTRATION OF FLEETVEHICLES, AND ITS MEMBERSHIP WITH THE INTERNATIONAL REGISTRATION PLAN (IRP) REQUIRE THE PLATE OWNER TOABIDE BY THE REGULATIONS SET FORTH BY THIS COMMONWEALTH AND THE IRP PLAN.

• VERIFY, COMPLETE AND RETURN THE ENCLOSED APPORTIONED RENEWAL APPLICATION INCLUDING THIS PAGE BEFORE DATE, TO ENSURE ADEQUATE PROCESSING TIME.

• ALL OUTSTANDING INVOICES MUST BE PAID PRIOR TO THE RENEWAL APPLICATION BEING PROCESSED.• PROVIDE PROOF OF PAYMENT OF THE HEAVY VEHICLE USE TAX FOR VEHICLES 55,000 LBS. AND OVER,

ACCEPTABLE PROOF MAY BE A COPY OF YOUR IRS SCHEDULE 1 HEAVY VEHICLE USE TAX STAMPED PAID RECEIPT(HVUT 2290), VALIDATED BY THE IRS, ELECTRONIC E-FILE RECEIPT, OR A PHOTOCOPY OF THE (HVUT 2290)SCHEDULE 1 FORM AND A FRONT AND BACK PHOTOCOPY OF YOUR CANCELLED CHECK.

• MOTOR CARRIERS REGULATED BY FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION (FMCSA) MUST UPDATETHEIR USDOT CARRIER INFORMATION EVERY TWO YEARS (BIENNIAL UPDATE). FAILURE TO COMPLY WITH FMCSA'SBIENNIAL UPDATE REQUIREMENTS MAY DELAY THE PROCESSING OF YOUR RENEWAL APPLICATION. PLEASE VISITTHE FMCSA WEBSITE TO UPDATE YOUR USDOT CARRIER INFORMATION ATWWW.FMCSA.DOT.GOV/BIENNIALUPDATE.

• IF YOU ARE REQUESTING TO CHANGE YOUR BUSINESS ADDRESS, THREE PROOFS OF RESIDENCY ARE REQUIRED.ONE OF THE THREE PROOFS MUST BE EITHER THE PENNSYLVANIA DRIVER'S LICENSE (INDIVIDUAL ONLY) OR FOR ABUSINESS, VERIFICATION OF THE BUSINESS ADDRESS FILED WITH THE PENNSYLVANIA DEPARTMENT OF STATE.ADDITIONAL PROOFS MAY INCLUDE A COPY OF UTILITY BILLS, FEDERAL OR STATE TAX FILING, CURRENTPENNSYLVANIA REGISTRATION CARD OR CERTIFICATE OF TITLE, REAL ESTATE OR PERSONAL PROPERTY TAX ORVALID WEAPONS PERMIT. EACH OF THE THREE PROOFS MUST HAVE THE SAME NAME AND ADDRESS AS LISTED ONTHE APPORTIONED ACCOUNT.

PENNSYLVANIA COUNTIES HAVE THE OPTION TO IMPOSE A $5 COUNTY FEE FOR VEHICLES REGISTERED IN THECOUNTY. THE MONEY COLLECTED FROM THIS FEE IS TO ASSIST IN FUNDING FOR TRANSPORTATION NEEDS FOR THECOUNTY. THIS FEE IS IN ADDITION TO THE REGISTRATION FEE AND IS ASSESSED ON A PER VEHICLE BASIS. IF YOURCOUNTY IMPOSES THIS FEE, IT WILL BE REFLECTED IN THE FEES LISTED ON YOUR INVOICE.

FULL RECIPROCITY BECAME EFFECTIVE JANUARY 1, 2015, AS A RESULT YOU ARE NO LONGER REQUIRED TO KEEPSEPARATE FLEETS BASED ON THE DISTANCE TRAVELED. IF YOU HAVE SEVERAL FLEETS AND WISH TO COMBINE THEMINTO ONE FLEET PLEASE CHECK THE BOX BELOW. NOTE, IF YOU ELECT TO COMBINE YOUR FLEETS THEY SHALL BECOMBINED INTO THE FLEET WITH THE MOST VEHICLES OR WEIGHT GROUPS.

YES NO

______ ______

Page 1

VERIFY THE INFORMATION LISTED BELOW IS ACCURATE AND IF APPLICABLE FILL IN ANY BLANK FIELDS. CHANGESMADE TO THE APPLICATION SHOULD BE COMPLETED IN RED INK.

BUSINESS ADDRESSMAILING ADDRESS ACCT EIN / TIN 00000000001101 S FRONT ST ACCT USDOT # 000000000HARRISBURG, PA ACCT CONTACT ________________________

CARRIER TYPE REGISTRANT ONLY COUNTY DAUPHIN ACCT PHONE # ________________________NUMBER OF VEHICLES IN FLEET: 000001 ACCT E-MAIL __________________________

(CIRCLE ONE)DO YOU WISH TO RECEIVE FUTURE RENEWAL APPLICATIONS AND SUPPLEMENT INVOICES ELECTRONICALLY? YES NO

COMPLETE THE JURISDICTIONAL CHART BELOW BY RECORDING THE ACTUAL DISTANCE TRAVELED DURING THE REPORTING PERIOD OF REPORTING PERIOD DATES HERE. ACTUAL DISTANCE IS REQUIRED FOR PENNSYLVANIA AND ONE OTHER JURISDICTION. IF YOU DO NOT HAVE ACTUAL DISTANCE YOU MAY BE REQUIRED TO OBTAIN PENNSYLVANIA NON-APPORTIONED REGISTRATION PLATES.

RECORD ACTUAL DISTANCE (SCHEDULE B)

Jurisdiction Distance Jurisdiction Distance Jurisdiction Distance PA - PENNSYLVANIA AL - ALABAMA AR - ARKANSAS AZ - ARIZONA CA - CALIFORNIA CO - COLORADO CT - CONNECTICUT DC - DISTRICT OF COLUMBIA DE - DELAWARE FL - FLORIDA GA - GEORGIA IA - IOWA ID - IDAHO IL - ILLINOIS IN - INDIANA KS - KANSAS KY - KENTUCKY LA - LOUISIANA MA - MASSACHUSETTS MD - MARYLAND ME - MAINE MI - MICHIGAN MN - MINNESOTA MO - MISSOURI MS - MISSISSIPPI MT - MONTANA NC - NORTH CAROLINA ND - NORTH DAKOTA NE - NEBRASKA NH - NEW HAMPSHIRE NJ - NEW JERSEY NM - NEW MEXICO NV - NEVADA NY - NEW YORK OH - OHIO OK - OKLAHOMA OR - OREGON RI - RHODE ISLAND SC - SOUTH CAROLINA SD - SOUTH DAKOTA TN - TENNESSEE TX - TEXAS UT - UTAH VA - VIRGINIA VT - VERMONT WA - WASHINGTON WI - WISCONSIN WV - WEST VIRGINIA WY - WYOMING AB - ALBERTA BC - BRITISH COLUMBIA MB - MANITOBA NB - NEW BRUNSWICK NL - NEWFOUNDLAND NS - NOVA SCOTIA ON - ONTARIO PE - PRINCE EDWARD ISLAND QC - QUEBEC SK - SASKATCHEWAN AK - ALASKA NT - NW TERRITORIES YT - YUKON MX - MEXICO

LIST THE NAME OF THE INSURANCE COMPANY THAT PROVIDES FULL LIABILITY INSURANCE COVERAGE IN THE SPACEPROVIDED BELOW. IF YOU ARE SELF-INSURED WITH PENNDOT LIST YOUR SELF-INSURED CERTIFICATE NUMBER.INSURANCE NAME ____________________________________________________________ NAIC # ______________________POLICY/SELF INSURED CERTIFICATE NUMBER _________________________ EFF. DT.____________ EXP. DT.____________

______ ______ACCT # HEREJOHN DOE TRUCKING LLC ______

Page 2

VERIFY THE MAXIMUM WEIGHT LISTED BELOW IS ACCURATE FOR EACH JURISDICTION.WEIGHT GROUP # 1 GVW/GCW: 80,000

MAXIMUM VEHICLE WEIGHT (SCHEDULE A)

JURISDICTION WEIGHT JURISDICTION WEIGHT JURISDICTION WEIGHT PA - PENNSYLVANIA 80,000 AL - ALABAMA 80,000 AR - ARKANSAS 80,000 AZ - ARIZONA 80,000 CA - CALIFORNIA 80,000 CO - COLORADO 80,000 CT - CONNECTICUT 80,000 DC - DISTRICT OF COLUMBIA 80,000 DE - DELAWARE 80,000 FL - FLORIDA 80,000 GA - GEORGIA 80,000 IA - IOWA 80,000 ID - IDAHO 80,000 IL - ILLINOIS 80,000 IN - INDIANA 80,000 KS - KANSAS 80,000 KY - KENTUCKY 80,000 LA - LOUISIANA 80,000 MA - MASSACHUSETTS 80,000 MD - MARYLAND 80,000 ME - MAINE 80,000 MI - MICHIGAN 80,000 MN - MINNESOTA 80,000 MO - MISSOURI 80,000 MS - MISSISSIPPI 80,000 MT - MONTANA 80,000 NC - NORTH CAROLINA 80,000 ND - NORTH DAKOTA 80,000 NE - NEBRASKA 80,000 NH - NEW HAMPSHIRE 80,000 NJ - NEW JERSEY 80,000 NM - NEW MEXICO 80,000 NV - NEVADA 80,000 NY - NEW YORK 80,000 OH - OHIO 80,000 OK - OKLAHOMA 80,000 OR - OREGON 80,000 RI - RHODE ISLAND 80,000 SC - SOUTH CAROLINA 80,000 SD - SOUTH DAKOTA 80,000 TN - TENNESSEE 80,000 TX - TEXAS 80,000 UT - UTAH 80,000 VA - VIRGINIA 80,000 VT - VERMONT 80,000 WA - WASHINGTON 80,000 WI - WISCONSIN 80,000 WV - WEST VIRGINIA 80,000 WY - WYOMING 80,000 AB - ALBERTA 80,000 BC - BRITISH COLUMBIA 80,000 MB - MANITOBA 80,000 NB - NEW BRUNSWICK 80,000 NL - NEWFOUNDLAND 80,000 NS - NOVA SCOTIA 80,000 ON - ONTARIO 80,000 PE - PRINCE EDWARD ISLAND 80,000 QC - QUEBEC 80,000 SK - SASKATCHEWAN 80,000

______ ______ACCT # HEREJOHN DOE TRUCKING LLC ______

Page 3

VERIFY THE INFORMATION LISTED BELOW IS ACCURATE. IF CORRECTIONS ARE REQUIRED, ATTACH FORM MV-552A,APPORTIONED REGISTRATION SUPPLEMENT APPLICATION.THE USDOT NUMBER AND EIN/TIN IS FOR THE CARRIER RESPONSIBLE FOR THE SAFETY OF THE VEHICLE. IN THE LASTCOLUMN INDICATE IF THE SAFETY OF THE VEHICLE IS EXPECTED TO CHANGE DURING THE REGISTRATION YEAR.A COPY OF THE LEASE AGREEMENT IS REQUIRED FOR ALL REGISTRANTS WHO’S VEHICLES ARE LEASED TO ASEPARATE MOTOR CARRIER. THE LEASE AGREEMENT MUST INCLUDE: NAME OF REGISTRANT, LESSOR NAME, VIN,USDOT NUMBER AND EIN/TIN, DURATION OF THE LEASE AND SIGNATURES OF BOTH THE REGISTRANT AND LESSOR.NUMBER OF DUPLICATE CAB CARDS ________FEE FOR DUPLICATE CAB CARDS IS $2 PER VEHICLE AT THE TIME OF REGISTRATION

WEIGHT GROUP # 1 GVW/GCW: 80,000

EQUIP # TITLE # TAG # YEAR

BODYTYPE

MAKE

VIN SEATS

AXLES /COMBAXLES

FUELTYPE

OWNER / LESSEE NAME GVW GCW EIN / TIN USDOT # *SCEC

1 11111111 2099 TT KENW 123456789ABCDEFG 3/5 D ARP TEST ACCOUNT10012014

11111111 1111111XX

*SCEC – Safety Carrier Expected to Change during the registration year.

______ ______ACCT # HEREJOHN DOE TRUCKING LLC ______

Page 4

IF YOU DO NOT WISH TO RENEW YOUR APPORTIONED ACCOUNT MARK THIS PAGE WITH A LARGE (X), AT THE BOTTOMOF THIS PAGE WRITE "CLOSE ACCOUNT" AND SIGN IN THE SIGNATURE AREA. REGISTRATION PLATES MUST BERETURNED TO PENNDOT NO LATER THAN 10 DAYS AFTER THE CURRENT REGISTRATION PERIOD EXPIRES.APPORTIONED PLATES NOT RETURNED TO PENNDOT SHALL BE ASSESSED REGISTRATION FEES FOR THE NEWREGISTRATION PERIOD.APPLICANTS SUBMITTING THE RENEWAL APPLICATION MUST RETURN ALL PAGES. THE SIGNATURE PAGE MUST BESIGNED BY THE ACCOUNT HOLDER OR AUTHORIZED PERSON. ANY PAGES FOUND TO BE MISSING WILL DELAY YOURAPPLICATION FROM BEING PROCESSED.

PLEASE MAIL ALL REGISTRATION INFORMATION AND THE RENEWAL DOCUMENT TO:PA DEPARTMENT OF TRANSPORTATIONBUREAU OF MOTOR VEHICLESCOMMERCIAL REGISTRATION SECTIONPO BOX 68285,HARRISBURG, PA 17106-8285

CERTIFICATION

PROPORTIONAL VEHICLE RECORDS AND MAINTENANCE

AS A PENNSYLVANIA APPORTIONED OWNER, LESSEE OR MOTOR CARRIER RESPONSIBLE FOR THE VEHICLE, IUNDERSTAND I AM REQUIRED TO RECORD AND MAINTAIN ALL DAILY VEHICLE MOVEMENT THAT SHALL INCLUDE; DATEOF TRIP (STARTING & ENDING); TRIP ORIGIN AND DESTINATION: ROUTE OF TRAVEL; BEGINNING AND ENDINGODOMETER OR HUBODOMETER READING OF THE TRIP; TOTAL DISTANCE PER JURISDICTION WHICH INCLUDES ALLPENNSYLVANIA DISTANCE TRAVELED; POWER UNIT OR VEHICLE IDENTIFICATION NUMBER; DRIVER'S NAME ANDSIGNATURE.FOR RECORDS PRODUCED WHOLLY OR PARTLY BY A VEHICLE TRACKING SYSTEM, INCLUDING A SYSTEM BASED ON AGLOBAL POSITIONING SYSTEM (GPS), THE RECORD SHALL CONTAIN THE ORIGINAL GPS OR OTHER LOCATION DATAFOR THE VEHICLE TO WHICH THE RECORDS PERTAIN, THE DATE AND TIME OF EACH GPS OR OTHER SYSTEM READING,THE LOCATION OF EACH GPS OR OTHER SYSTEM READING, THE BEGINNING AND ENDING DISTANCE READINGS FORTHE PERIOD TO WHICH THE RECORDS PERTAIN, THE CALCULATED DISTANCE BETWEEN EACH GPS OR OTHER SYSTEMREADING, THE ROUTE OF THE VEHICLE'S TRAVEL, THE TOTAL DISTANCE TRAVELED BY THE VEHICLE, THE DISTANCETRAVELED IN EACH JURISDICTION AND THE VEHICLE IDENTIFICATION NUMBER OR VEHICLE UNIT NUMBER.ALSO, I UNDERSTAND I AM RESPONSIBLE FOR PREPARING AND MAINTAINING MONTHLY, QUARTERLY AND YEARLYSUMMARIES FOR EACH VEHICLE WITHIN MY FLEET. THE APPORTIONED VEHICLE RECORDS SHALL BE MAINTAINED FORA PERIOD OF FIVE (5) YEARS FROM THE END OF THE LAST REGISTRATION PERIOD. THE FIVE YEAR RECORD RETENTIONPERIOD IS REQUIRED FOR PENNSYLVANIA APPORTIONED VEHICLE AUDITS REGARDLESS OF ANY OTHER STATE ORFEDERAL RECORD KEEPING REQUIREMENTS.- I CERTIFY THE DISTANCE SHOWN REPRESENTS ALL INTER AND INTRASTATE DISTANCE (INCLUDING DISTANCE

WHILE TRIP LEASED TO OTHER CARRIERS) TRAVELED BY THIS FLEET OF VEHICLES FOR THE DESIGNATEDREPORTING PERIOD. I FURTHER CERTIFY THAT, DISTANCE SHOWN INCLUDES LOADED AND EMPTY (DEADHEADAND/OR BOBTAIL) DISTANCE, AND THAT THIS APPLICATION AND THE ACCOMPANYING SCHEDULES ARE TRUE ANDCOMPLETE TO THE BEST OF MY KNOWLEDGE. MY SIGNATURE ATTESTS TO THE KNOWLEDGE OF ALL APPLICABLESTATE AND FEDERAL MOTOR CARRIER SAFETY LAWS AND REGULATIONS.

- I ACKNOWLEDGE THAT A LAPSE OF INSURANCE COVERAGE MAY RESULT IN THE SUSPENSION OF MY VEHICLEREGISTRATION PRIVILEGES.

- I CERTIFY THAT THE VEHICLE(S) BEING RENEWED ON THIS ACCOUNT HAVE A VALID SAFETY INSPECTION.- AS AN OWNER, LESSEE, OPERATOR, REGISTRANT OR MOTOR CARRIER, I AM RESPONSIBLE FOR OBEYING

FEDERAL, STATE AND PROVINCIAL LAWS, REGULATIONS, AND AGREEMENTS PERTAINING TO COMMERCIALVEHICLE REGISTRATION.

__________________________________________________________________________________________________________SIGNATURE TITLE DATEOWNER, LESSEE, REGISTRANT OR RESPONSIBLE MOTOR CARRIER

______ ______ACCT # HEREJOHN DOE TRUCKING LLC ______

Page 5

NAIC # Insurance Company Name

Policy Number Effective Date Expiration Date

Applicant InformationTIN/EIN Registrant Name D.B.A. Contact Name

USDOT # Business Street Address Mailing Street Address E-mail Address

Acct # City County State Zip Code City County State Zip Code Registration Year Telephone Number Fax Number

WeightsPA AL AR AZ CA CO CT DC DE FL GA IA ID

IL IN KS KY LA MA MD ME MI MN MO MS MT

NC ND NE NH NJ NM NV NY OH OK OR RI SC

SD TN TX UT VA VT WA WI WV WY AB BC MB

NB NF NS ON PE QC SK

I acknowledge that I may lose my operating privilege or vehicle registration for failure to maintain financial responsibility on the currently registered vehicle(s) for the period of registration. My signature attests to knowledge of all applicable state andfederal motor carrier laws, regulations and that the vehicle(s) has/have a current valid safety inspection.

By _______________________________________________________ By ____________________________________________________ Title ____________________________________________________ Date ______________________________________Owner or Authorized Representative Printed Name

MV-550 (7-16)

APPORTIONED REGISTRATIONAPPLICATION - SCHEDULE A For Department Use Only

Bureau of Motor Vehicles • Commercial Registration SectionP. O. Box 68286 • Harrisburg, PA 17106-8286Check One: Merge Fleets r Yes rNo Identify Fleet Numbers to Merge: ___ ___ ___ ___ ___

B

C

D

E

A

Vehicle Additions

Number of duplicate cabcards for each vehicle

in the fleet:

* BODY TYPETR – Tractor TK – Truck (Single) BS – Bus

Exempt Commodity: ** FUELD – DieselG – GasH – Hybrid

N – Natural GasP – PropaneO – Other

UT Spec Truck

YES NO

Title # Vehicle Identification Number Year Make Body Type Axles Seats Fuel***

Unladen Weight

Equipment Number

Gross Combination Weight Purchase Price Purchase Date Factory Price

Vehicle Owner (Lessor Name)

Gross Vehicle Weight USDOT # TIN/EIN

CO Miles

YES

Will the designated carrier responsible for safety change during the year?

q q NOq q YESq

PA Registration Plate Number

UT Spec Truck

YES NO

Title # Vehicle Identification Number Year Make Body Type Axles Seats Fuel***

Unladen Weight

Equipment Number

Gross Combination Weight Purchase Price Purchase Date Factory Price

Vehicle Owner (Lessor Name)

Gross Vehicle Weight USDOT # TIN/EIN

CO Miles

YES

Will the designated carrier responsible for safety change during the year?

q q NOq q YESq

PA Registration Plate Number

www.dmv.pa.gov

INSTRUCTIONSMerge Fleets: If you have multiple fleets and wish to merge them into one fleet, check the appropriate box. Fleets may only be merged at renewal. Indicate the fleet numbers you wish tomerge.

Section AEnter the Tax Identification Number/Employee Identification Number (TIN/EIN), registrant name, contact name, USDOT number, business address and mailing address (If the mailingaddress is different than the business address. Post office box addresses may only be used in conjunction with a bonafide numbered street address and may not be used alone), e-mailaddress, account number, registration year, telephone number and fax number.

Under the Full Reciprocity Plan (FRP) effective January 1, 2015, there is no longer a need to segment vehicles by the jurisdiction in which they travel. If you have multiple fleets and wishto combine vehicles into one fleet, please check the appropriate boxes for merging accounts at the top of the page.

Section B List the maximum vehicle weight at which you plan to operate for each jurisdiction.

Section C List the vehicle information where appropriate. Up to two vehicles may be listed in this section. If the vehicle is leased, the lessee USDOT and TIN/EIN numbers are required along with acopy of the lease. NOTE: If the vehicle has a current Pennsylvania registration, enter in the registration plate number. The registration plate must be submitted with the application toreceive credit for the apportioned plate.

NOTE: For body type, use one of the following: tractor (TR), single truck (TK) or bus (BS). If a truck, list total number of axles on the truck including trailer axles if requesting combinationweight. For tractor, list the number of axles on the tractor and the total number of axles for the tractor and trailer. Example: 3/5 means 3 axles for the tractor and 5 combined including thetrailer. If the vehicle is a bus, list seating capacity. Do not leave any information blank.

Utah Truck Indicator (UT Spec Truck): If the truck type entering the state of Utah is a cement pump, well boring unit, or crane, the Utah Special Truck block should be checked as“Yes.” If this does not apply, check “No.”

Colorado Miles (CO Miles): If the vehicle fleet operates more than 10,000 miles nationally per year, the box must be checked “Yes.”

NOTE: If the vehicle is leased to the applicant, you must identify the USDOT number and EIN/TIN of the motor carrier responsible for safety. Also, indicate if the motor carrier responsiblefor safety will change during the registration year.

Section DList the insurance company's name, NAIC #, policy number, effective date and expiration date of the policy. Indicate how many duplicate cab cards are needed if applicable. List exemptcommodities. NOTE: The insurance information listed can only be for full liability coverage.

An exempt for-hire motor carrier transports exempt (unregulated) property owned by others for compensation. The exempt commodities usually include unprocessed or unmanufacturedgoods, fruits and vegetables, and other items of little or no value. You can find the list of exempt commodities on the FMCSA website at www.fmcsa.dot.gov/registration/administrative-ruling-119.

Section E Owner(s) or authorized representative(s) must sign, date and list their title with the company.

NOTE: Apportioned registration plates may be available as a personalized registration plate for vehicles with a registered gross weight up to 14,000 lbs. To check personalized registrationplate availability, visit PennDOT’s Driver and Vehicle Services website, www.dmv.pa.gov, and select Plate Availability from the list of services under the Online Services heading. Shouldyou choose to personalize your apportioned registration plate, please complete this application and attach a completed Form MV-904C, "Application for Personalized Implements ofHusbandry, Apportioned, or Fleet Registration Plate." The fee to personalize your registration plate is an additional $100, and the registration on your vehicle must be current in order forPennDOT to process your request. The additional $100 fee covers the cost of your personalized registration plate order only and will not renew your vehicle's registration.Payment is to be made by a separate check or money order payable to the Commonwealth of Pennsylvania. PLEASE DO NOT SEND CASH. Personalized registration plates will not bereserved until PennDOT receives payment and a completed application, and approves your requested registration plate configuration [number(s) and/or letter(s)]. Please note thatregistration plate requests are processed on a first-come, first-served basis. Although a requested registration plate configuration may show as being available on the website, it ispossible that a request for the same registration plate configuration may have already been submitted by another customer and may not be available when making application.

Visit us at www.dmv.pa.gov or call us at 717-412-5300. TTY callers — please dial 711 to reach us.

MV-550 (7-16)

*Non-IRP Participants: Mileage entered for Alaska, Mexico, and Northwest Territories is not used to calculate registration fees.TYPE OF OPERATION

Haul for Hire Private Carrier Exempt Carrier Household Goods Carrier Passenger Carrier Rental Company (less than 60 days) Rental Company (over 60 days) Exempt Commodity: ____________

As a Pennsylvania apportioned carrier, I understand for auditing purposes, I am required to preserve operational records on which my application is based for a period of three registration years. I also understand that an acceptable source document used to verify carrier fleet mileage is an “Individual Vehicle Distance Record” which must contain the trip starting and ending date, trip origin and destination, route or starting and endingodometer/hubometer reading, total trip miles, miles by each jurisdiction, unit/VIN number, fleet number, trailer number, registrants name anddriver’s signature or name. Unless otherwise indicated, I hereby certify the mileage shown on this schedule represents all intrastate and interstatemileage (including miles while trip leased to other carriers) traveled by this fleet of vehicles for the designated reporting period. Further, the mileageshown includes loaded and empty (deadhead and/or bobtail) miles.

I/We certify that the vehicle being renewed for account number _______________________ is a motor carrier vehicle and has a validsafety inspection.I/We further certify that all information given on this application is TRUE and CORRECT.

Name of Applicant Account No. Registration Year

Fleet Mileage for Period July 1, 20 ______ through June 30, 20 ________Indicate the actual distance traveled for each corresponding jurisdiction during the last reporting period (July 1 - June 30).

Applicant Information

Jurisdiction DistanceJURISDICTION MILEAGEPennsylvania (PA)

Alabama (AL)*Alaska

Arizona (AZ)

Arkansas (AR)

California (CA)

Colorado (CO)

Connecticut (CT)

Delaware (DE)

Dist. Columbia (DC)

Florida (FL)

Georgia (GA)

Idaho (ID)

Illinois (IL)

Indiana (IN)

Iowa (IA)

Kansas (KS)

Kentucky (KY)

Louisiana (LA)

Maine (ME)

Maryland (MD)

JURISDICTION MILEAGEMassachusetts (MA)

Michigan (MI)

Minnesota (MN)

Mississippi (MS)

Missouri (MO)

Montana (MT)

Nebraska (NE)

Nevada (NV)

New Hampshire (NH)

New Jersey (NJ)

New Mexico (NM)

New York (NY)

North Carolina (NC)

North Dakota (ND)

Ohio (OH)

Oklahoma (OK)

Oregon (OR)

Rhode Island (RI)

South Carolina (SC)

South Dakota (SD)

Tennessee (TN)

JURISDICTION MILEAGETexas (TX)

Utah (UT)

Vermont (VT)

Virginia (VA)

Washington (WA)

West Virginia (WV)

Wisconsin (WI)

Wyoming (WY)

*Mexico

Alberta (AB)

Brit. Columbia (BC)

Manitoba (MB)

Newfoundland (NF)

New Brunswick (NB)

*Northwest Terr.

Nova Scotia (NS)

Ontario (ON)

Prince Ed. Is. (PE)

Quebec (QC)

Saskatchewan (SK)Total 100%Fleet Miles

Signature

______________________________________________ __________________________________________________Signature of Owner or Authorized Representative Title of Representative Date

A

B

C

PENNSYLVANIA APPORTIONED REGISTRATIONAPPLICATION SCHEDULE B

MV-551 (1-15)

www.dmv.state.pa.us

For Department Use OnlyBureau of Motor Vehicles • Commercial Registration Section

P.O. Box 68286 • Harrisburg, PA 17106-8286

Merge Fleet: r YES r NO

qq

qq

qq

qq

INSTRUCTIONS

Due to the Full Reciprocity Plan (FRP), there is no longer a need to segment vehicles by the jurisdiction inwhich they travel. If you have an existing apportioned account with multiple fleets, you may merge all of thefleets into one fleet. If you desire to do so check the “yes” box at the top of the application. It isrecommended to merge the fleet at renewal time. If a merge is requested any time other than at renewal,apportioned fees shall be assessed again on all vehicles within the new fleet.

Section A – Applicant Information: Complete this section by providing the registrant or business name,business account TIN/EIN number and registration year.

Section B – Jurisdiction registration Information: List the mileage in the box next to the correspondingjurisdiction.

New fleets: Under the FRP, beginning January 1, 2015, all new fleets will have all IRP jurisdictionsdisplayed on their cab card. Distance for all new accounts will be calculated using the Average perVehicle Distance Chart.

Renewing fleets: List the actual distance traveled in each jurisdiction during the previous reportingperiod (July 1 through June 30). If actual distance was not accrued in some of the jurisdictions, leavethe jurisdiction mileage box blank.

* - Indicates non-IRP participant; mileage entered for this jurisdiction/country is not used to calculateapportioned registration fees.

Type of Operation: Check one of the boxes that best identifies your type of operation.

Please read the overview of responsibilities for all Pennsylvania IRP registrants. Fleet vehicle recordkeeping is required to be maintained and all fleets are subject to audit. Additional information on theapportioned registration program including audits is located on the PennDOT’s website atwww.dmv.state.pa.us.

Section C – Signature: Complete this section by listing the apportioned account number, title of the signeeand date. The signature of the owner or authorized representative certifies the information provided in theapplication is true and correct.

Visit us at www.dmv.state.pa.us or call us at:In state: 1-800-932-4600 u TDD: 1-800-228-0676 u Out-of-State: 1-717-412-5300 u TDD Out-of-State: 1-717-412-5380

A

REGISTRATION APPLICATIONSCHEDULE FOR NEW ACCOUNTOR RENEWAL(SINGLE VEHICLE ONLY)

MV-550A (1-15)

www.dmv.state.pa.us

For Department Use OnlyBureau of Motor Vehicles • Commercial Registration Section

P.O. Box 68286 • Harrisburg, PA 17106-8286Account #______________________________ Merge Fleet: r YES r NO

Applicant InformationTIN/EIN Registrant Name D.B.A. Carrier Type

US DOT # Business Street Address Mailing Street Address

Acct # City County State Zip Code City County State Zip Code

Contact Name E-mail Address Fax Number Telephone Number

C Vehicle Information - NOTE: *Indicates non-IRP participant; mileage entered for this jurisdiction/country is not used to calculate apportioned registration fees.PA Title Number Vehicle Indentification Number Equipment Number Year/Make Body Type Axles Fuel

Unladen Weight Requested GVW Requested GCW Purchase Price Purchase Date Factory Price

Owner US DOT # TIN/EIN UT Tk Indicator CO Miles

NAIC Number Insurance Company Name Policy Number Policy Effective Date Policy Expiration Date

If additional registration cards are desired, the fee is $2 for each card. Number of Duplicate Registration Cards Requested @ $2 each _________.

D Signature

Unless otherwise indicated, I certify the mileage above represents all intrastate and interstate miles, including miles trip leased to other carriers,traveled by this vehicle between July 1, 20__ and June 30, 20__, and includes loaded and empty miles. I acknowledge that I may lose my operatingprivilege or vehicle registration for failure to maintain financial responsibility on this vehicle for the period of registration. My signature attests toknowledge of all applicable State and Federal Motor Carrier safety laws and regulations.

I/We certify that the vehicle being renewed for account number # _________________ is a motor carrier vehicle and has a currently valid safetyinspection.

By: ________________________________ Title ______________________ Date_______________ Telephone No. ___________________

B

r YES r NO r YES

Jurisdiction Registration InformationWeight Jurisdiction Mileage Weight Jurisdiction Mileage Weight Jurisdiction Mileage

Pennsylvania (PA) Massachusetts (MA) Texas (TX)

Alabama (AL) Michigan (MI) Utah (UT)

*Alaska Minnesota (MN) Vermont (VT)

Arkansas (AR) Mississippi (MS) Virginia (VA)

Arizona (AZ) Missouri (MO) Washington (WA)

California (CA) Montana (MT) West Virginia (WV)

Colorado (CO) Nebraska (NE) Wisconsin (WI)

Connecticut (CT) Nevada (NV) Wyoming (WY)

Delaware (DE) New Hampshire (NH) *Mexico

Dist Columbia (DC) New Jersey (NJ) Alberta (AB)

Florida (FL) New Mexico (NM) Brit Columbia (BC)

Georgia (GA) New York (NY) Manitoba (MB)

Idaho (ID) North Carolina (NC) New Brunswick (NB)

Illinois (IL) North Dakota (ND) Newfoundland (NF)

Indiana (IN) Ohio (OH) *Northwest Terr

Iowa (IA) Oklahoma (OK) Nova Scotia (NS)

Kansas (KS) Oregon (OR) Ontario (ON)

Kentucky (KY) Rhode Island (RI) Prince Ed Isle (PE)

Louisiana (LA) South Carolina (SC) Quebec (QC)

Maine (ME) South Dakota (SD) Saskatchewan (SK)

Maryland (MD) Tennessee (TN) Total Fleet Miles

Pennsylvania Apportioned Registration Program(International Registration Plan)

Complete this application if you have a single vehicle and you are applying to establish a new apportioned account or renewing anexisting apportioned account. If you have multiple vehicles, please complete, Form MV-550, “Apportioned Registration Application- Schedule A,” and Form MV-551, “Pennsylvania Apportioned Registration Application - Schedule B.”

INSTRUCTIONS

If you have an existing apportioned account, place the account number on the line provided at the top of the form. Under theFull Reciprocity Plan (FRP), there is no longer a need to segment vehicles by the jurisdiction in which they travel. If you havemultiple fleets and wish to combine them into one fleet, please check the appropriate box next to your account number at thetop of the page.

Section A – Applicant Information: Complete this section by providing the registrant or business name, business accountTIN/EIN number, carrier type, US DOT number, business address (no P.O. Boxes permitted), mailing address, city, county, state,zip code and contact name. Indicate your email address for your account along with the 10-digit fax and telephone number.

Section B – Jurisdiction registration Information: List the maximum weight the fleet will operate in the desired jurisdictionsfollowed by the total fleet distance traveled during the previous reporting period (July 1 through June 30).

New fleets: Under the FRP, beginning January 1, 2015, all new fleets will have all IRP jurisdictions displayed on their cab card. Distance for new accounts will be calculated using the Average per Vehicle Distance Chart.

Renewing fleets: List the actual distance traveled in each jurisdiction during the previous reporting period (July 1 through June 30). If actual distance was not accrued in some of the jurisdictions, leave the jurisdiction mileage box blank.

* - Indicates non-IRP particpant, mileage entered for this jurisdiction/country is not used to calculate apportioned registration fees.

Section C: Complete items where applicable. For body type, use one of the following: Tractor (TR), Single Truck (TK) or Bus(BS). If the body type is a truck, list the total number of the axles on the truck including trailer axles if requesting combinationweight. For tractor, list the number of axles on the tractor and the total number of axles for the tractor and trailer. Example: 3/5means 3 axles for the tractor and 2 on the trailer. If it is a bus body type list its seating capacity.

List the title number for the vehicle with a Pennsylvania title only. Also, provide insurance information. If you are leased on toa company who is responsible for the vehicle safety, list their TIN/EIN and USDOT number information and submit a copy of thelease with this application.

Utah Truck Indicator: If the truck type entering Utah is a cement pump, well boring unit, or crane the Utah Special Truck block should be checked as “yes”. If this does not apply select “no.”

Colorado Miles: If the vehicle fleet operates more than 10,000 miles nationally per year, the box should be checked “Yes.”

Section D: List the apportioned account number, provide applicant or authorized representative's signature of the applicantsignature and title of the signee. The signature certifies the acknowledgement and understanding of the applicable requirementsand that the information provided in the application is true and correct.

Visit us at www.dmv.state.pa.us or call us at:In state: 1-800-932-4600 u TDD: 1-800-228-0676 u Out-of-State: 1-717-412-5300 u TDD Out-of-State: 1-717-412-5380

UT Spec

YES NO

Name of Applicant

Mailing Address

TIN/EIN

USDOT #

Business Address

Registration Year

City County Zip

Person to Contact Regarding Application

Telephone Number

Fax Number

E-Mail Address q New Vehicle Only

qq Registration Transfer with Weight Increase q Increase Weight on Vehicle Originally Registered at a Lower Weight

q Delete Only

APPORTIONED REGISTRATIONSUPPLEMENT APPLICATION

B WEIGHTS

A APPLICANT INFORMATION

Title # Vehicle Identification Number Year Make Body Type* Axles Seats Fuel** EquipmentNumber

Current RegistrationPlate Number

Unladen or Chassis Wt.

EquipmentNumber

Gross Combination Weight Purchase Price Purchase Date Factory Price Vehicle Identification Number

D DELETIONS

Use one of the following designations for the Body Type: BS – Bus TR – Tractor TK – Truck (Single)** FUEL

Number of duplicate cab cards for each vehicle in the fleet _______

C VEHICLE ADDITIONS

Commercial Registration SectionP. O. Box 68286Harrisburg, PA 17106-8286

MV-552A (4-15)

For Department Use Only

State

City County ZipState

Registration Transfer qCorrect Information qRegistration Plate Replacement

Insurance Company Name

Policy Number Effective Date Expiration Date

By ____________________________________ Title ____________________________________ Date __________Owner or Authorized Representative

E INSURANCE AND ACKNOWLEDGEMENT

D – Diesel G – Gas P - Propane H - Hybrid N - Natural Gas O - Other

I acknowledge that I may lose my operating privilege or vehicle registration for failure to maintain financial responsibility on the currently registeredvehicle for the period of registration. My signature attests to knowledge of all applicable State and Federal Motor Carrier safety laws and regulations.My signature attests to the fact that this vehicle is a motor carrier vehicle and it has a current valid safety inspection. It also attests to my knowledgeof all applicable State and Federal Motor Carrier safety laws and regulations.

PA AL AR AZ CA CO CT DC DE FL GA IA ID

IL IN kS kY LA MA MD ME MI MN MO MS MT

NC ND NE NH NJ NM NV NY OH Ok OR RI SC

SD TN Tx UT VA VT WA WI WV WY AB BC MB

NB NF NS ON PE QC Sk

Acct #

Gross Vehicle Weight USDOT # TIN/EIN for USDOT

NAIC #

CO Miles

YES

Will the designated carrier responsiblefor safety change during the year?

q q NOq q YESq

UT Spec

YES NO

Title # Vehicle Identification Number Year Make Body Type* Axles Seats Fuel** EquipmentNumber

Current RegistrationPlate Number

Unladen or Chassis Wt.

EquipmentNumber

Gross Combination Weight Purchase Price Purchase Date Factory Price Vehicle Identification NumberGross Vehicle Weight USDOT # TIN/EIN for USDOT

CO Miles

YES

Will the designated carrier responsiblefor safety change during the year?

q q NOq q YESq

UT Spec

YES NO

Title # Vehicle Identification Number Year Make Body Type* Axles Seats Fuel** EquipmentNumber

Current RegistrationPlate Number

Unladen or Chassis Wt.

EquipmentNumber

Gross Combination Weight Purchase Price Purchase Date Factory Price Vehicle Identification NumberGross Vehicle Weight USDOT # TIN/EIN for USDOT

CO Miles

YES

Will the designated carrier responsiblefor safety change during the year?

q q NOq q YESq

Section A - Applicant InformationEnter the apportioned account number, the applicant name that appears on the apportioned account, business address and mailing address (if themailing address is different than the business address). Post Office Box addresses may only be used in conjunction with a bona fide numberedstreet address. Post Office Box addresses alone are not permitted. The Pennsylvania Vehicle Code requires actual or bona fide addresses on applications for title and registration. Also fill in the telephone number, US DOT number, contact person, fax number, TIN/EIN number of the applicant, e-mail address, and registration year. Check the appropriate box that best describes the transaction you are requesting.

Section B - WeightsEnter the maximum weight of the vehicles you are adding in the boxes labeled for each jurisdiction.

Section C - Vehicle AdditionsList the vehicle information where appropriate. Up to three vehicles may be listed in this section. If the vehicle is leased, the lessee USDOT andTIN/EIN numbers are required along with a copy of the lease. NOTE: If the vehicle has a current Pennsylvania registration, enter the registrationplate number. The registration plate must be submitted with the application to receive credit for the apportioned plate.

NOTE: For body type use one of the following: tractor (TR), single truck (Tk) or bus (BS). If a truck, list total number of axles on the truck includingtrailer axles if requesting combination weight. For tractor, list the number of axles on the tractor and the total number of axles for the tractor and trailer. Example: 3/5 means 3 axles for the tractor and 5 combined including the trailer. If the vehicle is a bus, list seating capacity. Do not leave anyinformation blank.

Utah Truck Indicator (UT Spec Truck): If the truck type entering the state of Utah is a cement pump, well boring unit, or crane, the Utah Special Truck block should be checked as “Yes.” If this does not apply, check “No.”

Colorado Miles (CO Miles): If the vehicle fleet operates more than 10,000 miles nationally per year, the box must be checked “Yes.”

NOTE: If the vehicle is leased to the applicant, you must identify the USDOT number and TIN/EIN of the motor carrier responsible for safety. Also,indicate if the motor carrier responsible for safety will change during the registration year.

Section D - Vehicle DeletionsProvide the equipment number, VIN and registration plate number of the vehicle being deleted. If the plate will be transferred to another vehicle,please complete Section C.

Section E - Insurance and AcknowledgementFill in your insurance information in the spaces provided including the NAIC number, company name, policy number, and the effective and expirationdates. NOTE: The insurance information listed can only be for full liability coverage.

If you are requesting any duplicate cab cards, enter the total number of duplicates being requested for each vehicle. Signature of the owner orauthorized representative of the apportioned account, title and date must be included on the form.

Visit us at www.dmv.pa.gov or call us at:In state: 1-800-932-4600 u TDD: 1-800-228-0676 u Out-of-State: 1-717-412-5300 u TDD Out-of-State: 1-717-412-5380

Pre Audit Notification Letter Draft Dear Registrant: The Pennsylvania Department of Transportation (PennDOT) is a member of the Federally Mandated International Registration Plan (IRP). As part of this plan, PennDOT is required to conduct audits of apportioned distance records. You have been selected by the Department for an audit of your operational records to substantiate distance reported on your apportioned registration application. Audit Contractor’s Name, is under contract with the Commonwealth to conduct our International Registration Plan (IRP) audit(s) of your reported apportioned distance records. Attached to this letter is the information you will need to send to Audit Contractor’s Name. It also provides the registration year(s) that will be under review. I would like to thank you in advance for your cooperation. If you have any questions or require additional information, please contact Audit Contractor’s Name and Telephone number or my office at (717) 000-0000. Sincerely, PennDOT IRP Audit Manager Commercial Registration Audit Section

OPENING CONFERENCE LETTER DRAFT & CHECKLIST July 1, 2016

Registrant Name Registrant Address Registrant City, State Zip Code Account #

Dear Registrant:

The Pennsylvania Department of Transportation (PennDOT) is a member of the International Registration Plan (IRP). The Plan provides guidance and oversight concerning your Pennsylvania apportioned registration. Under the Plan, PennDOT is required to perform audits of its Pennsylvania based apportioned accounts actual distance traveled. The audit format used is an agreed-upon procedures defined by the IRP Audit Procedures Manual. PennDOT is required to audit selected apportioned renewed accounts on an annual basis. Our company name has been engaged, by PENNDOT, to perform these procedures which your account has been selected for examination. The procedures will cover the distance records supporting the 2013, 2014, and 2015 apportioned registration year applications. These distance records requested covers the dates between July 1, 2011 through June 30, 2014. The records should contain the following:

• Trip Records: Examples include driver logs, driver 'trip sheets, driver pay records, or

whatever means used to document vehicle movement on a daily or per trip basis.

• Distance Summaries: These should reflect total distance by vehicle and jurisdiction on a monthly or quarterly basis and yearly basis. These summaries must be supported by the trip records.

Due to the size of your apportioned registration account, we will be performing your procedures in-house. Please mail the requested information to us within 30 days from the date of this correspondence. A mailing label is enclosed for your convenience.

We have also included an apportioned registration procedures checklist for your consideration and assistance. Upon completion of the procedures, our report will be submitted to PennDOT. After all appeal periods have expired your records shall be returned.

If you have any questions or require additional information, please contact the audit contractor name and telephone number.

Sincerely,

Audit Checklist

Please submit the following information for the registration years 2013, 2014 and 2015. The distance reporting records required for review of the registration year 2013 is July 1, 2011 through June 30, 2012. The distance reporting records required for review of the registration year 2014 is July 1, 2012 through June 30, 2013; and the distance reporting records required for review of the registration year 2015 is July 1, 2013 through June 30, 2014.

Total number of vehicles by weight class originally registered. o Total number of vehicles by weight class added during each registration year. o Trip Records containing the following basic information:

• Date (starting and ending) • Trip origin and destination • Routes of travel • Beginning and ending odometer or hubodometer reading of the trip • Total trip distance (including all movement, loaded, empty, deadhead, and/or

bobtail distances and distances generated under trip permit) • Distance traveled by jurisdiction • Unit number or vehicle identification number • Vehicle fleet number • Customer's name • Trailer number • Driver's signature and/or name

o Monthly or quarterly distance summary information (per vehicle and in total) created from

the Individual Vehicle Distance Records. o Annual distance summary information, on a fleet-by-fleet basis, used to prepare the annual

Pennsylvania Apportioned Registration Application Schedule B. o Temporary Apportioned Registrations issued by each registration year. o Quarterly International Fuel Tax Agreement (IFTA) Returns, if available. o MV550 - Schedule A is used to register vehicles under the Apportioned Registration. o MV551 - Schedule B lists the total distance traveled (loaded, empty, bobtailing, or trip

leasing) in each jurisdiction. o MV-552 - MV-552 is used to add or delete a vehicle to/from the fleet. o MV-558 Replacement of Apportioned Registration Credentials - Replacement of

Apportioned Registration Credentials is used to replace registration credentials that are lost, stolen, or defaced.

o Temporary Evidence of Apportioned Registration (TEAR) - Temporary Apportioned Registration is used in circumstances where immediate operation of a vehicle is essential. This form is valid for 60 days.

Schedule A or Renewal - Schedule A is an application to register vehicles under the Apportioned Registration Program. A separate Schedule A must be completed for each weight group.

Schedule B - Schedule B lists the total distance traveled (loaded, empty, bobtailing, or trip leasing) in each jurisdiction, whether or not jurisdiction is a member of the Plan for the distance reporting period.

MV-552A - is to add or delete a vehicle to or from the fleet.

Replacement of Apportioned Registration Credentials - Replacement of Apportioned Registration Credentials is used to replace registration credentials that are lost, stolen, or defaced.

Temporary Evidence of Apportioned Registration (TEAR) - Temporary Apportioned Registration is used in circumstances where immediate operation of a vehicle is essential. This form is valid for 60 days. An MV-522A must be forwarded to the Commercial Registration Section to add the vehicle to the fleet within five days from the issuance of a TEAR.

Exit Conference Letter Sample

Please sign and return the exit conference document in the enclosed, self-addressed envelope.

Your signature acknowledges you were informed of the result of the review.

If you have any questions concerning this review, please contact the PennDOT IRP Audit Manager at telephone number.

Signature and date of registrant_________________________________________________

Auditor Signature and date ______________________________________________________