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PHMSA Proposes Increasing Hazmat Registration Fees to Maximum

Posted on 6/5/2024 by Lion Technology Inc.

On Friday, May 24, PHMSA proposed to increase the registration fees for shippers and carriers who transport certain categories and quantities of hazardous materials. Comments from stakeholders and the public must be submitted by August 22, 2024.

Shippers and carriers of certain high-consequence types and quantities of hazmat must maintain an active registration with DOT and pay a fee.

Currently, non-profits and small businesses pay $250 per year, and all other covered shippers and carriers pay $2,575. If this proposal is made final, small businesses and non-profits will pay $375, and the others will pay $3,000.

$3,000 is the maximum fee allowed by Federal law—Congress will have to change that law before PHMSA can increase the fee above $3,000.

PHMSA’s proposal includes an electronic-only registration fee payment process and clarifies that a certificate of registration may be carried in either electronic or paper form by both motor carriers and those who transport hazardous materials by vessel.

See the Proposed Rule in the Federal Register.

The Administration's Considerations

Prior to this proposal, PHMSA considered the following options for funding the Hazardous Materials Emergency Preparedness (HMEP) grants program:

1. Keeping the existing registration applicability and raising the registration fee for large businesses from $2,575 to $3,000.

2. Keeping the existing registration requirements and applying a nominal fee (i.e., $25) for each facility or geographic location from which a registered person (i.e., a company) offers for transportation, or transports, certain hazardous materials.

3. Expanding the registration applicability. For example, certain Class 9 materials such as lithium batteries or environmentally hazardous materials are not subject to placarding when shipped domestically. Therefore, a person who offers for transportation, or transports, these materials is generally currently excepted from registration.

4. Expanding the registration applicability to include persons who acquire approvals or special permits from PHMSA who are otherwise not subject to registration.

5. Changing the registration applicability to reduce the overall number of registrants.

6. Raising fees for specific business types, classes of hazardous material, or specific commodities of extremely high risk (e.g., a poison by inhalation material).

PHMSA says it did not receive substantive input from commenters that would aid it in determining which direction should be taken to raise the funds necessary to fully fund the newly authorized limits in support of the HMEP grants program. Submit your thoughts on the rule, docket number PHMSA–2022–0033 (HM–208J), on Regulations.gov.

PHMSA Proposes Increasing Hazmat Registration Fees to Maximum

Who Is Required to Register?

The short way to answer this question: Shippers or carriers must register with DOT if they offer/transport any load that requires a placard. The long answer: Per 49 CFR 107.601, registration with US DOT is required of anyone who offers for transport or transports:

  • A highway route-controlled quantity of radioactive material (Class 7).
  • More than 55 pounds (25 kg) of a Division 1.1, 1.2, or 1.3 explosive.
  • More than 1 L per package of extremely toxic by inhalation materials (Hazard Zone A).
  • Any shipment of hazardous materials in bulk packagings with a capacity equal to or greater than 3,500 gallons for liquids or 468 cubic feet for solids.
  • Any shipment in non-bulk packagings with a total gross weight of 5,000 lbs. or more of a class of hazardous materials for which placarding is required.
  • Any other shipment that requires hazmat placards.

Get an overview on registration on DOT’s website.

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Join Lion for engaging, lively in-person training and develop the expertise you need to classify and name hazardous materials, package hazmat, mark and label packages, fill out shipping papers, and comply with DOT security plan and security training requirements for hazmat employees.

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Tags: DOT, hazmat, hazmat registration, hazmat shipping, PHMSA

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