
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 49USC32903]

 
                        TITLE 49--TRANSPORTATION
 
             SUBTITLE VI--MOTOR VEHICLE AND DRIVER PROGRAMS
 
            PART C--INFORMATION, STANDARDS, AND REQUIREMENTS
 
                  CHAPTER 329--AUTOMOBILE FUEL ECONOMY
 
Sec. 32903. Credits for exceeding average fuel economy standards

    (a) Earning and Period for Applying Credits.--When the average fuel 
economy of passenger automobiles manufactured by a manufacturer in a 
particular model year exceeds an applicable average fuel economy 
standard under section 32902(b)-(d) of this title (determined by the 
Secretary of Transportation without regard to credits under this 
section), the manufacturer earns credits. The credits may be applied 
to--
        (1) any of the 3 consecutive model years immediately before the 
    model year for which the credits are earned; and
        (2) to the extent not used under clause (1) of this subsection, 
    any of the 3 consecutive model years immediately after the model 
    year for which the credits are earned.

    (b) Period of Availability and Plan for Future Credits.--(1) Except 
as provided in paragraph (2) of this subsection, credits under this 
section are available to a manufacturer at the end of the model year in 
which earned.
    (2)(A) Before the end of a model year, if a manufacturer has reason 
to believe that its average fuel economy for passenger automobiles will 
be less than the applicable standard for that model year, the 
manufacturer may submit a plan to the Secretary of Transportation 
demonstrating that the manufacturer will earn sufficient credits under 
this section within the next 3 model years to allow the manufacturer to 
meet that standard for the model year involved. Unless the Secretary 
finds that the manufacturer is unlikely to earn sufficient credits under 
the plan, the Secretary shall approve the plan. Those credits are 
available for the model year involved if--
        (i) the Secretary approves the plan; and
        (ii) the manufacturer earns those credits as provided by the 
    plan.

    (B) If the average fuel economy of a manufacturer is less than the 
applicable standard under section 32902(b)-(d) of this title after 
applying credits under subsection (a)(1) of this section, the Secretary 
of Transportation shall notify the manufacturer and give the 
manufacturer a reasonable time (of at least 60 days) to submit a plan.
    (c) Determining Number of Credits.--The number of credits a 
manufacturer earns under this section equals the product of--
        (1) the number of tenths of a mile a gallon by which the average 
    fuel economy of the passenger automobiles manufactured by the 
    manufacturer in the model year in which the credits are earned 
    exceeds the applicable average fuel economy standard under section 
    32902(b)-(d) of this title; times
        (2) the number of passenger automobiles manufactured by the 
    manufacturer during that model year.

    (d) Applying Credits for Passenger Automobiles.--The Secretary of 
Transportation shall apply credits to a model year on the basis of the 
number of tenths of a mile a gallon by which the manufacturer involved 
was below the applicable average fuel economy standard for that model 
year and the number of passenger automobiles manufactured that model 
year by the manufacturer. Credits applied to a model year are no longer 
available for another model year. Before applying credits, the Secretary 
shall give the manufacturer written notice and reasonable opportunity to 
comment.
    (e) Applying Credits for Non-Passenger Automobiles.--Credits for a 
manufacturer of automobiles that are not passenger automobiles are 
earned and applied to a model year in which the average fuel economy of 
that class of automobiles is below the applicable average fuel economy 
standard under section 32902(a) of this title, to the same extent and in 
the same way as provided in this section for passenger automobiles.
    (f) Refund of Collected Penalty.--When a civil penalty has been 
collected under this chapter from a manufacturer that has earned credits 
under this section, the Secretary of the Treasury shall refund to the 
manufacturer the amount of the penalty to the extent the penalty is 
attributable to credits available under this section.

(Pub. L. 103-272, Sec. 1(e), July 5, 1994, 108 Stat. 1061.)

                                          Historical and Revision Notes
-------------------------------------------------------------------------------
---------------------------------
           Revised  Section                    Source (U.S. Code)              
 Source (Statutes at Large)
-------------------------------------------------------------------------------
---------------------------------
32903(a)..............................  15:2002(l)(1)(B), (4).           Oct. 2
0, 1972, Pub. L. 92-513, 86 Stat.
                                                                          947, 
Sec.  502(l); added Oct. 10,
                                                                          1980,
 Pub. L. 96-425, Sec.  6(b), 94
                                                                          Stat.
 1826.
32903(b)(1)...........................  15:2002(l)(1)(A).
32903(b)(2)...........................  15:2002(l)(1)(C).
32903(c)..............................  15:2002(l)(1)(D).
32903(d)..............................  15:2002(l)(1)(E).
32903(e)..............................  15:2002(l)(2).
32903(f)..............................  15:2002(l)(3).
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---------------------------------

    In this section, various forms of the words ``apply credits'' are 
substituted for various forms of ``credits are available to be taken 
into account'' to be more concise and to make more clear the distinction 
between when credits are available and to what years they may be 
applied.
    In subsection (a), before clause (1), the text of 15:2002(l)(4) is 
omitted as surplus because of 49:322(a). The words ``any adjustment 
under subsection (d) of this section'' are omitted because 15:2002(d) is 
omitted from the revised title as executed. The words ``calculated under 
subparagraph (C)'' (which apparently should be ``calculated under 
subparagraph (D)'') are omitted as surplus. In clauses (1) and (2), the 
words ``with respect to the average fuel economy of that manufacturer'' 
are omitted as surplus. The words ``year for which the credits are 
earned'' are substituted for ``year in which such manufacturer exceeds 
such applicable average fuel economy standard'' to eliminate unnecessary 
words.
    Subsection (b)(1) is substituted for 15:2002(l)(1)(A) to eliminate 
unnecessary words.
    In subsection (b)(2)(A) is substituted for 15:2002(l)(1)(C)(i)-(iii) 
to eliminate unnecessary words.
    In subsection (e), the words ``as provided in this section for 
passenger automobiles'' are substituted for ``as provided for under 
paragraph (1)'' for clarity. The text of 15:2002(l)(2) (last sentence) 
is omitted as expired.

                  Section Referred to in Other Sections

    This section is referred to in sections 32902, 32904, 32909, 32911, 
32912 of this title.
