Converting Used Vehicles

By Harry Baergen – Autoregs Consulting NMEDA CRP COORDINATOR

In 2018, the Circuit Breaker magazine carried an Industry Advisor article explaining in detail the distinct legal differences between converting a used vehicle and converting a new vehicle.

NMEDA’s Compliance Review Program (CRP) is still receiving questions about this issue, but more about used vehicle modifications. Therefore, it may be time to reiterate some of the information from the 2018 article, focusing more on the legal implications in modifying used vehicles.

Most NMEDA manufacturer (industry) members that alter new vehicles also modify used vehicles, often on the same assembly line. This is mandates that the company, as an alterer, comply with all applicable FMVSS, for vehicles prior to first retail sale and affix a certification label to each vehicle. In the case of the used vehicle production the Motor Vehicle Safety Act 49 U.S.C. section 30122 prohibits the company, as a modifier, from making inoperative a compliant safety standard previously equipped in the vehicle. These companies that alter new vehicles and also modify used vehicles are allowed to utilize the exemptions under 49 CFR Part 595.7, subpart (c), for the used vehicles only. It is also important to note that the used vehicles will NOT bear any compliance label or alterer label affixed by the modifier, except a make common practice and has been for some time now. These companies are both alterers of new vehicles and modifiers of used vehicles. In the case of the new vehicle production the National Traffic and Motor Vehicle Safety Act 49 U.S.C. section 30112, inoperative label if an exemption is used.

To comply with the make inoperative prohibition for the used vehicle production a company must have an assessment program to screen low-mileage, used vehicles that are relatively “like new,” so the used vehicle fleet is consistently the same from one vehicle to the next and the same as the new vehicle production. This way, the used modified vehicles are considered to be in compliance with federal motor vehicle safety standards (FMVSS) under the make inoperative clause, because it is expected that they are covered under the umbrella of the test vehicles that were tested for the new vehicle production. This process may be considered “due diligence” for not making inoperative an OEM federal standard equipped on a used vehicle and the process provides more affordable adaptive vehicles for people with a disability. These previously titled vehicles CANNOT be certified. A vehicle modified after first retail sale will NOT bear an alterer label or any federal certification label affixed by the modifier, except a make inoperative label if an exemption is utilized.

Standards do NOT apply to used vehicle modifiers.

However, NMEDA is recently encountering companies who, apparently, only modify used (preowned) vehicles and do not alter new vehicles at all. Modifiers of used vehicles are NOT manufacturers or alterers. Modifiers of used vehicles are NOT subject to any FMVSS and cannot certify to any FMVSS. In other words, Federal Motor Vehicle Safety

Modifiers of used vehicles are only subject to that part of the Motor Vehicle Safety Act that prohibits a modifier of used vehicles from making inoperative a compliant safety standard previously equipped in a vehicle. Therefore, a company that modifies only used vehicles can only make minor modifications that will not affect federal standards, such as installing a ramp or an FMVSS 403 compliant lift in some vehicles, installing F/CMVSS 124 compliant hand controls or modifying seats and head restraints under the Part 595 exemptions. Even some of these additions would require some thought about adding or subtracting weight in relation to the original equipment manufacturer’s (OEM) tested weight. Modifiers of used vehicles are also allowed to use exemptions listed under the previously mentioned make inoperative clause, for a number of other minor modifications.

The make inoperative clause in the United States makes it legally impossible for a business to perform structural modifications on a used vehicle. This would include any modifications that interfere with federal standards and that require vehicle retesting – modifications such as lowered floors, relocation of fuel tanks, installation of seats and/or transfer seat bases, etc. The reason a used vehicle cannot be prototype tested to represent production is due to the unknown inconsistency from one used vehicle to the next.

A company who is performing structural modifications on used vehicles only and not altering new vehicles might still be able to claim due diligence by testing new vehicles