SECTION 4. MEANING OF TERMS.

The following definitions apply for purposes of this notice:

(1) In General . Terms used in this notice and not defined in this section have the same meaning as when used in § 30B.

(2) Heavy-Duty Hybrid Motor Vehicle . The term “heavy-duty hybrid motor vehicle” means any hybrid motor vehicle that is not a passenger automobile or light truck within the meaning of section 4(2) of Notice 2006–9. Thus, a hybrid motor vehicle (including a hybrid motor vehicle that is a medium-duty passenger vehicle, as defined in 40 C.F.R. § 600.002–08) that has a gross vehicle weight rating of more than 8,500 pounds will be treated as a heavyduty hybrid motor vehicle for purposes of this notice.

(3) Manufacturer . (a) In general . The “vehicle manufacturer” or “manufacturer” of a heavy-duty hybrid motor vehicle is—

(i) the person engaged in the manufacturing or assembling of the completed heavy-duty hybrid motor vehicle for introduction into commerce; and

(ii) if applicable, any person (other than the person described in section 4(3)(a)(i)) that installs the systems that convert a vehicle powered solely by an internal combustion or heat engine using consumable fuel into the completed heavy-duty hybrid motor vehicle.

(b) For purposes of this section 4(3)— (i) a “completed heavy-duty hybrid motor vehicle” is a new heavy-duty hybrid motor vehicle that is ready for use and requires no further manufacturing or assembly operations; and

(ii) “introduction into commerce” occurs when a vehicle manufacturer ships a completed motor vehicle from a facility of the manufacturer to a distributor, retailer, or consumer.

(4) City Fuel Economy . (a) In general . The term “city fuel economy” means the fuel economy measured in a manner that is substantially similar to the manner in which city fuel economy is measured in accordance with procedures under 40 C.F.R. Part 600, as in effect on August 8, 2005. A manufacturer may develop and use for this purpose any procedures that the manufacturer reasonably determines to be substantially similar to the procedures under 40 C.F.R. Part 600, as in effect on August 8, 2005. In addition, the Service will not challenge a manufacturer’s determination of city fuel economy using any safe harbor measurement method listed in section 4(4)(c) of this notice if that method is consistently used to determine city fuel economy for both the qualified heavy-duty hybrid motor vehicle and the comparable vehicle to which the qualified vehicle’s fuel economy is compared in providing the certification under this notice.

(b) Carry-over models . The city fuel economy determined under section 4(4)(a) of this notice for a vehicle of a particular make, model, and model year may be used as the city fuel economy for any carry-over model of that vehicle. For this purpose, a vehicle is a carry-over model with respect to a vehicle produced in an earlier model year if the vehicles are of the same make

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vehicle (including in cases in which the certification is received after the purchase of the vehicle). The purchaser may claim a credit in the certified amount with respect to the vehicle if the following requirements are satisfied:

(1) The vehicle is placed in service by the taxpayer after December 31, 2005, and is purchased on or before December 31, 2009. (2) The original use of the vehicle commences with the taxpayer.

(3) The vehicle is acquired for use or lease by the taxpayer, and not for resale.

(4) The vehicle is used predominantly in the United States.

.03 Content of Certification . The certification must contain the following information:

(1) The name, address, and taxpayer identification number of the certifying entity;

(2) The make, model, model year, and any other appropriate identifiers of the motor vehicle;

(3) A statement that the vehicle is made by a manufacturer;

(4) The amount of the credit for the vehicle (showing computations);

(5) The manufacturer’s suggested retail price for the vehicle;

(6) The manufacturer’s suggested retail price for a comparable vehicle;

(7) The make, model, and model year of a comparable vehicle;

(8) The gross vehicle weight rating of the vehicle;

(9) The city fuel economy of the vehicle and evidence that—

(a) the city fuel economy was measured in a manner that is substantially similar to the manner in which city fuel economy is measured in accordance with procedures under 40 C.F.R § 600, as in effect on August 5, 2005 (including a description of the procedures used to measure city fuel economy and a description of the manufacturer’s basis for reasonably determining that those procedures are substantially similar to the procedures under 40 C.F.R. § 600, as in effect on August 5, 2005); or

(b) a safe harbor measurement method listed in section 4(4)(c) of this notice was consistently used to determine city fuel economy for both the qualified heavy-duty hybrid motor vehicle and the comparable vehicle to which the qualified vehicle’s

and model and the design of the model has not changed since such earlier model year.

(c) Safe harbor measurement methods . The safe harbor measurement methods listed in this section 4(4)(c) are any of the following:

(i) In the case of heavy-duty hybrid motor vehicles that are medium-duty passenger vehicles, as defined in 40 C.F.R. 600.002–08, measurement in accordance with procedures under 40 C.F.R. Part 600, as in effect on the date the manufacturer’s certification is provided.

(ii) In the case of heavy-duty hybrid motor vehicles that are not medium-duty passenger vehicles, as defined in 40 C.F.R. 600.002–08, measurement using the carbon balance method applied to emissions measured using either the procedures in 40 C.F.R. Part 86, Subpart B and 40 C.F.R. § 86.1863–07 or the procedures in the California Interim Certification Procedures for 2004 and Subsequent Model Hybrid-Electric Vehicles in the Urban Bus and Heavy-Duty Vehicle Classes.

(5) Comparable Vehicle . (a) In general . The term “comparable vehicle” means, for purposes of determining the qualified incremental hybrid cost and the increase in city fuel economy of a qualified heavyduty hybrid motor vehicle, any vehicle that is powered solely by a gasoline or diesel internal combustion engine and is comparable in weight, size, and use to the qualified vehicle. For this purpose—

(i) a vehicle produced by the same manufacturer as the qualified vehicle is comparable in use only if it is manufactured in the same model year as the qualified vehicle; and

(ii) a vehicle produced by a person other than the manufacturer of the qualified vehicle is comparable in use only if it is manufactured in the same 12-month period as the qualified vehicle.

(b) Manufacturer to choose among multiple comparable vehicles . If more than one model of vehicle is comparable in weight, size, and use to the qualified vehicle, the manufacturer of the qualified vehicle may choose a vehicle of any model that is comparable in weight, size, or use and treat that vehicle as the comparable vehicle for purposes of providing a certification under this notice.

(6) Model Year . The term “model year” means—

(a) the vehicle manufacturer’s annual production period (determined under regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq. )); or

(b) the calendar year in which the vehicle is manufactured, if the vehicle manufacturer has no annual production period for that make and model of vehicle.

(7) Total Traction Power . The term “total traction power” means the sum of the peak power from the rechargeable energy storage system and the heat engine peak power of the vehicle, except that if the storage system is the sole means by which the vehicle can be driven, the total traction power is the peak power of the storage system.