FCA US LLC Settlement
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FCA US LLC Settles For $4,185,820
In January 2024, the California Air Resources Board (CARB) reached a settlement with FCA US LLC (FCA) with its principal location in Auburn Hills, Michigan, for the company’s violation of CARB’s air quality regulations under the Motor Vehicle Pollution Control Devices Regulations (Vehicle Standards), as codified in the California Code of Regulations, title 13, sections 1900-2048, and Health & Safety Code sections 43100 et seq.
FCA model year (MY) 2014-2016 Ram ProMaster 1500, 2500, and 3500 vehicles equipped with 3.0L inline-4 diesel engines were noncompliant with CARB certification requirements.
To settle the case, FCA agreed to the penalty of approximately $6,850.77 per noncompliant vehicle for a total penalty amount of $4,185,820. This settlement includes mitigation of 54.9 tons of excess NOx emissions over the useful life of the vehicles.
The civil penalty amount of $2,092,910 will be deposited into CARB’s Air Pollution Control Fund, which provides funding for projects and research to improve California's air quality. The remaining amount of $2,092,910 will fund the Supplemental Environment Project (SEP) entitled Marine Vessel Speed Reduction Incentive Program Phase 3 in Ventura County Air Pollution Control District. This SEP involves implementing a vessel speed reduction (VSR) incentive program, which provides financial and public relations incentives for owner or operators of ocean-going cargo vessels to slow down in the VSR zones during peak whale and ozone seasons. Slowing cargo vessels in transit has various benefits. Since drag is a function of velocity squared, reducing a ship’s speed from 14 or 15 knots (average speed for container and auto carrier ships under normal conditions) to less than 10 knots reduces their NOx emissions on average by 37 percent.
In addition to the penalty and SEP payments, FCA agreed to recall the vehicles and provide an extended warranty for each vehicle that is recalled.
Under the terms of the settlement, FCA agreed to comply with all other CARB regulations going forward. FCA cooperated with CARB in investigating and resolving this matter.