Polaris 2013 Annual Report Download - page 35

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additional revisions. Comments on proposed revisions will be actively solicited from the CPSC and other
stakeholders as part of the ANSI process.
In October 2009, the CPSC published an advance notice of proposed rulemaking regarding ROV safety under
the Consumer Product Safety Act. The CPSC noted the draft standard developed by ROHVA and expressed
concerns with the draft standard in certain respects, which has resulted in meetings between ROHVA and
CPSC Commissioners and staff and revisions to the ANSI standard. The CPSC has not yet issued a Notice of
Proposed Rulemaking, and we are unable to predict the outcome of the CPSC rule-making procedure or the
ultimate impact any resulting rules on our business and operating results.
We are a member of the International Snowmobile Manufacturers Association (ISMA), a trade association
formed to promote safety in the manufacture and use of snowmobiles, among other things. ISMA members
include all of the major snowmobile manufacturers. The ISMA members are also members of the Snowmobile
Safety and Certification Committee, which promulgated voluntary sound and safety standards for snowmobiles
that have been adopted as regulations in some states of the United States and in Canada. These standards
require testing and evaluation by an independent testing laboratory. We believe that our snowmobiles have
always complied with safety standards relevant to snowmobiles.
Motorcycle and SVs are subject to federal vehicle safety standards administered by the NHTSA and are also
subject to various state vehicle equipment standards. We believe our motorcycles and SVs have complied with
applicable federal and state safety standards.
Our products are also subject to international standards related to safety in places where we sell our products
outside the United States. We believe that our motorcycles, SVs, ORVs and snowmobiles have complied with
applicable safety standards in the United States and other international locations.
Use regulation. Local, state and federal laws and regulations have been promulgated, and at various times,
ordinances or legislation is introduced, relating to the use or manner of use of our products. Some states and
municipalities have adopted, or are considering the adoption of, legislation and local ordinances that restrict
the use of ORVs and snowmobiles to specified hours and locations. The federal government also has
legislative and executive authority to restrict the use of ORVs and snowmobiles in some national parks and
federal lands. In several instances, this restriction has been a ban on the recreational use of these vehicles.
Emissions. The federal Environmental Protection Agency (EPA) and the California Air Resources Board
(CARB) have adopted emissions regulations applicable to our products.
The CARB has emission regulations for ORVs that we already meet. In 2002, the EPA established new
corporate average emission standards effective for model years 2006 and later, for off-road recreational
vehicles, including ATVs, off-road side-by-side vehicles and snowmobiles. We have developed engine and
emission technologies along with our existing technology base to meet current and future requirements,
including chassis-based emission requirements that became effective in model year 2014. In 2008, the EPA
announced its intention to issue a future rulemaking on snowmobiles in or around 2010 and any new emission
standards under this rule would be effective after model year 2012. No further EPA rulemaking activity has
followed. In 2013, CARB proposed evaporative emission regulations that could take effect in model year 2018
ORVs, similar to what the Company already complies with for motorcycles.
Victory and Indian motorcycles are also subject to EPA and CARB emission standards. We believe that our
motorcycles have complied with these standards. GEM electric vehicles are subject to CARB emissions
certification requirements, which they meet.
Our products are also subject to international laws and regulations related to emissions in places where we
sell our products outside the United States. Canada’s emission regulations for motorcycles, ORVs and
snowmobiles are similar to those in the United States, and Polaris complies with the applicable Canada
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