text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Intermodal Equipment Safety and 
  Responsibility Act of 2003''.
  
  SEC. 2. FINDINGS.
  
      The Congress finds the following:
              (1) Promoting safety on our Nation's highways is a national 
          priority. The Department of Transportation has promulgated the 
          Federal Motor Carrier Safety Regulations to further this 
          purpose. The systematic maintenance, repair, and inspection of 
          equipment traveling in interstate commerce are an integral part 
          of the safety regime.
              (2) Intermodal transportation plays a significant role in 
          expanding our Nation's commerce. The Nation's economy depends 
          heavily upon the ability to transport goods via the various 
          modes of transportation.
              (3) Motor carriers and their drivers often receive 
          trailers, chassis, containers and other pieces of intermodal 
          equipment to be transported in interstate commerce. Motor 
          carriers do not, however, possess the requisite level of 
          control or authority over this intermodal equipment to perform 
          the systematic maintenance, repair and inspection necessary to 
          ensure compliance with the Federal Motor Carrier Safety 
          Regulations and to ensure the safety of our Nation's highways.
              (4) As a result of roadside inspections, motor carriers and 
          their drivers are cited and fined for violations of the Federal 
          Motor Carrier Safety Regulations attributable to intermodal 
          equipment that motor carriers and their drivers neither 
          systematically maintain nor have the opportunity to 
          systematically maintain. Additionally, violations of the 
          Federal Motor Carrier Safety Regulations attributable to 
          intermodal equipment are assigned to the motor carrier's safety 
          record. Congress should exercise its power to ensure that only 
          those parties who control the equipment, thus having the 
          opportunity and authority to systematically maintain, repair 
          and inspect intermodal equipment, assume responsibility for the 
          safety of that equipment as it travels in interstate commerce.
  
  SEC. 3. DEFINITIONS.
  
      Section 5901 of title 49, United States Code, is amended by adding 
  at the end the following:
              ``(9) Motor carrier.--The term `motor carrier' means a 
          person providing motor vehicle transportation for compensation 
          or a motor private carrier as that term is defined in chapter 
          131 of this title.
              ``(10) Equipment.--The term `equipment' means equipment 
          commonly used in the road transport of intermodal freight, 
          including trailers, chassis, containers and associated devices, 
          and used as an instrumentality of foreign or interstate 
          commerce.
              ``(11) Equipment interchange agreement.--The term 
          `equipment interchange agreement' means a written document 
          executed by an equipment controller or its agent and a motor 
          carrier which establishes the responsibilities and liabilities 
          of both parties as they relate to the interchange of the 
          equipment.
              ``(12) Equipment controller.--The term `equipment 
          controller' means any party with any legal right, title, or 
          interest in the equipment, except that a motor carrier is not 
          an equipment controller only because of providing or arranging 
          for any part of the intermodal transportation of the equipment. 
          In no instance shall a motor carrier who has not been 
          contractually delegated responsibility for systematic 
          maintenance and repair of equipment be considered a controller 
          of that equipment.
              ``(13) Interchange.--The term `interchange' means the act 
          of providing equipment to a motor carrier for the purpose of 
          transporting the equipment for loading or unloading by any 
          party or repositioning the equipment for the benefit of the 
          equipment controller. Such term does not mean the leasing of 
          equipment to a motor carrier for use in the motor carrier's 
          over-the-road freight hauling operations.
              ``(14) Federal motor carrier safety regulations.--The term 
          `Federal Motor Carrier Safety Regulations' means the 
          regulations promulgated by the United States Department of 
          Transportation governing the condition and maintenance of 
          commercial motor vehicles as set forth in title 49 of the Code 
          of Federal Regulations.''.
  
  SEC. 4. JURISDICTION OVER EQUIPMENT CONTROLLERS.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5910. Jurisdiction over equipment controller
      ``The authority of the Secretary of Transportation to prescribe 
  regulations on commercial motor vehicle safety under section 31136 
  shall apply to controllers of equipment that is interchanged or 
  intended to be interchanged.''.
  
  SEC. 5. EQUIPMENT CONTROLLER RESPONSIBILITY.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5911. Equipment inspection, repair, and maintenance
      ``(a) Notwithstanding any provision in an equipment interchange 
  agreement to the contrary, an equipment controller shall be responsible 
  and held liable for the systematic inspection, maintenance, and repair 
  of equipment interchanged or intended for interchange. An equipment 
  controller shall, each time prior to offering a motor carrier agent the 
  equipment for interchange, inspect the equipment and provide such 
  maintenance on, and make such repairs to, the equipment to ensure such 
  equipment complies with all applicable Federal Motor Carrier Safety 
  Regulations at all times. At no time shall a motor carrier agent be 
  offered equipment that has not been inspected and repaired as necessary 
  to comply with such regulations.
      ``(b) In the event that a repair to the equipment interchanged is 
  required while in a motor carrier's possession in order to comply with 
  the Federal Motor Carrier Safety Regulations, the equipment controller 
  shall promptly reimburse the motor carrier for the actual expenses 
  incurred and time spent by the motor carrier for the necessary repair.
      ``(c) The equipment controller shall not be liable under subsection 
  (b) if the motor carrier's negligence or willful misconduct caused the 
  condition requiring repair under subsection (b).''.
  
  SEC. 6. SAFETY COMPLIANCE.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5912. Compliance with safety regulations
      ``(a) Equipment Controller Liability.--Notwithstanding any 
  provision in an equipment interchange agreement to the contrary, the 
  equipment controller shall be liable for all violations of the Federal 
  Motor Carrier Safety Regulations attributable to the controller's 
  equipment and shall pay any applicable fines, penalties, and damages 
  resulting from the equipment's violation of such regulations; except 
  that the equipment controller shall not be liable for violations of 
  such regulations attributable to the controller's equipment that are 
  proximately caused by the motor carrier's or motor carrier's agent's 
  negligence or willful misconduct.
      ``(b) Motor Carrier's Limited Liability.--Except as provided in 
  subsection (a), a motor carrier and any motor carrier agent who 
  receives equipment through interchange shall not be liable for any 
  violation of the Federal Motor Carrier Safety Regulations attributable 
  to that equipment.
      ``(c) Limitation on Effect.--No record or report of a violation of 
  the Federal Motor Carrier Safety Regulations, whether issued by a 
  Federal, State, or local law enforcement authority, attributable to 
  equipment interchanged shall have any effect on a motor carrier's 
  overall safety rating or safety status measurement system score, as 
  determined by the Federal Motor Carrier Safety Administration, or on a 
  motor carrier's agent's driving record unless such violation was 
  proximately caused by the motor carrier's or motor carrier's agent's 
  negligence or willful misconduct.
      ``(d) Procedure for Records Corrections.--The Secretary of 
  Transportation shall establish, within 6 months of the date of 
  enactment of this section, an expedited procedure to correct records or 
  reports of violations that should not have impacted a motor carrier or 
  a motor carrier agent under subsection (c).''.
  
  SEC. 7. AUTHORITY TO INSPECT.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5913. Authority to inspect
      ``(a) The Secretary of Transportation is authorized to enter into 
  the facility of an equipment controller to inspect and determine if 
  equipment intended to be interchanged for use on a public highway 
  complies with all applicable Federal Motor Carrier Safety Regulations.
      ``(b) The Secretary shall establish and implement with appropriate 
  staffing an inspection and audit program at facilities of equipment 
  controllers to determine the compliance of equipment intended to be 
  interchanged for use on a public highway with the Federal Motor Carrier 
  Safety Regulations. Inspection of equipment and the equipment's 
  corresponding maintenance records shall take place no less than once 
  every 3 months.
      ``(c) Equipment that fails to comply with the Federal Motor Carrier 
  Safety Regulations during the inspection in subsection (b) shall be 
  placed out of service and shall not be used on a public highway until 
  such time as repairs have been completed. Repairs of equipment placed 
  out of service shall be documented in the equipment's corresponding 
  maintenance records.
      ``(d) The Secretary may establish fines against equipment 
  controllers for violations of section 5911.''.
  
  SEC. 8. PENALTIES FOR RETALIATION.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5914. Penalties for retaliation
      ``(a) An equipment controller shall not take any action to 
  threaten, coerce, discipline, discriminate, or otherwise retaliate 
  against a motor carrier or motor carrier agent who requests maintenance 
  or repair of equipment intended for interchange in order to comply with 
  the Federal Motor Carrier Safety Regulations.
      ``(b) For purposes of this section, `retaliation' shall include, 
  but not be limited to, failing to provide compliant equipment within 60 
  minutes from the time an agent for a motor carrier that has been 
  requested to pick up equipment arrives to pick up such equipment.
      ``(c) An equipment controller who violates subsection (a) shall be 
  liable to the United States Government for a civil penalty of up to 
  $10,000 for each violation.''.
  
  SEC. 9. DELEGATION OF MAINTENANCE RESPONSIBILITY.
  
      Chapter 59 of title 49, United States Code, is further amended by 
  adding at the end the following:
  ``Sec. 5915. Maintenance responsibility
      ``An equipment controller is prohibited from delegating its 
  responsibility to systematically maintain and repair equipment intended 
  for interchange to a motor carrier or motor carrier agent in an 
  equipment interchange agreement.''.
  
  SEC. 10. COMPATIBILITY OF STATE LAWS.
  
      (a) In General.--Chapter 59 of title 49, United States Code, is 
  further amended by adding at the end the following:
  ``Sec. 5916. Compatibility of State laws
      ``(a) Except as provided in subsection (b) and unless authorized by 
  another law of the United States, a law, regulation, order, or other 
  requirement of a State, political subdivision of a State, or Indian 
  tribe is preempted if complying with a requirement of the State, 
  political subdivision, or tribe and a requirement of this chapter or a 
  regulation prescribed under this chapter is not possible.
      ``(b) A law, regulation, order, or other requirement of a State, 
  political subdivision of a State, or Indian tribe shall remain in 
  effect if compatible with this chapter or any regulations prescribed 
  under this chapter but more stringent.''.
      (b) Conforming Amendment.--The analysis for such chapter is amended 
  by adding at the end the following:
  
  ``5910. Jurisdiction over equipment controller.
  ``5911. Equipment inspection, repair, and maintenance.
  ``5912. Compliance with safety regulations.
  ``5913. Authority to inspect.
  ``5914. Penalties for retaliation.
  ``5915. Maintenance responsibility.
  ``5916. Compatibility of State laws.''.
  
  SEC. 11. IMPLEMENTING REGULATIONS.
  
      (a) Federal Regulations.--The Secretary of Transportation, after 
  notice and opportunity for comment, shall issue regulations, as 
  appropriate, implementing the provisions of this Act. The regulations 
  shall be issued as part of the Federal Motor Carrier Safety 
  Regulations. The implementing regulations shall include provisions to--
              (1) identify controllers of equipment interchanged or 
          intended for interchange;
              (2) match such equipment readily to its controller through 
          a unique identifying number;
              (3) ensure that each equipment controller maintains a 
          system of maintenance and repair records;
              (4) evaluate equipment controllers' compliance with the 
          Federal Motor Carrier Safety Regulations;
              (5) prohibit equipment controllers who fail to attain 
          satisfactory compliance with such regulations from authorizing 
          the placement of equipment on the public highways;
              (6) consider the effect that adequate maintenance 
          facilities may have on the resulting safe condition of 
          equipment;
              (7) provide for a process by which motor carriers and 
          agents may anonymously petition the Federal Motor Carrier 
          Safety Administration to undertake an investigation of a 
          noncompliant equipment controller;
              (8) establish administrative procedures to resolve disputes 
          arising under this Act, including the amendments made by this 
          Act; and
              (9) establish the inspection and audit program 5913(b) of 
          title 49, United States Code.
      (b) Deadlines.--The regulations required under subsection (a) shall 
  be developed pursuant to a rulemaking proceeding initiated within 120 
  days after the date of enactment of this Act and shall be issued not 
  later than one year after such date of enactment. Effective on the date 
  of enactment of this Act, and until such time as final regulations are 
  issued, no motor carrier or motor carrier agent may be issued a 
  citation for violations on equipment interchanged (as defined in 
  section 5901 of title 49, United States Code) to them except by the 
  provisions of this Act.
  
  SEC. 12. AUTHORIZATION OF APPROPRIATIONS.
  
      There is authorized to be appropriated $7,000,000 for each of 
  fiscal years 2004, 2005, 2006, 2007, and 2008 to the Federal Motor 
  Carrier Safety Administration for the establishment and implementation 
  of the inspection program under section 5913 of title 49, United States 
  Code.
  
  SEC. 13. EFFECTIVE DATE.
  
      Sections 3, 4, 5, 6, 7, 8, 9, and 10 of this Act shall be effective 
  30 days after the date of enactment of this Act.
target: Intermodal Equipment Safety and Responsibility Act of 2003 - Subjects an equipment controller to liability for the systematic inspection, maintenance, and repair of equipment interchanged or intended for interchange.
  
   Requires an equipment controller: (1) prior to offering a motor carrier agent the equipment for interchange, to inspect the equipment and perform maintenance and repairs to the equipment to ensure that it complies with all applicable Federal Motor Carrier Safety Regulations; and (2) to promptly reimburse the motor carrier for actual expenses incurred and time spent by the motor carrier for any repair required to interchanged equipment to comply with the Regulations while in a motor carrier's possession.
  
  Makes an equipment controller liable for all violations of the Regulations attributable to the controller's equipment. Directs the controller to pay any applicable fines, penalties, and damages resulting from such violations, except for violations attributable to the controller's equipment that are proximately caused by the motor carrier's negligence or willful misconduct.
  
  Authorizes the Secretary of Transportation to conduct inspections.
  
  Prohibits an equipment controller from: (1) retaliating against a motor carrier who requests maintenance or repair of equipment intended for interchange to comply with the Regulations; and (2) delegating its responsibility to systematically maintain and repair equipment intended for interchange to a motor carrier in an equipment interchange agreement.
feat_title: To amend title 49, United States Code, relating to responsibility for intermodal equipment compliance with commercial motor vehicle safety requirements, and for other purposes.