PHMSA's rulemaking roundup Part 3
Welcome to the final installment of our three-part series on PHMSA’s July 2025 proposed rulemakings. In Part 1, we looked at how PHMSA is cutting red tape for shippers and small businesses. In Part 2, we explored incorporating special permits. Now in Part 3, we’re wrapping things up with a look at how PHMSA is embracing digital tools, streamlining rail and fireworks regulations, and reducing burdens for low-risk shipments.
These proposals may not make headlines, but they’re the kind of behind-the-scenes improvements that make compliance easier, faster, and more practical for everyone involved. Let’s take a look.
1. HM-268H – No more checks, only electronic payments
PHMSA is proposing to modernize its registration fee payment process by requiring all payments to be made electronically. This means the days of mailing in paper checks are coming to an end. The change aligns with Executive Order 14247, which directs federal agencies to move toward fully digital payment systems. PHMSA’s lockbox system for processing checks is being phased out, and most users already pay online anyway.
2. HM-268I – Digital registration certificates now allowed
Currently, motor and vessel carriers are required to carry a copy of their PHMSA Certificate of Registration onboard when transporting hazmat. However, PHMSA is now proposing to formally allow transporters to carry the registration in electronic form.
3. HM-268K – Cleaning up outdated rail reporting rules
PHMSA is proposing to remove several outdated or redundant rail reporting requirements that no longer serve a practical purpose. This includes eliminating references to decades-old publications from the Association of American Railroads and removing the requirement for rail carriers to report local restrictions to the AAR’s Bureau of Explosives. PHMSA is also updating tank car unloading rules to reflect modern practices and technology.
4. HM-268Q – Expanding fireworks certification options
Right now, only consumer fireworks can be certified by DOT-approved Fireworks Certification Agencies (FCAs). PHMSA is proposing to expand that authority to include display fireworks and entertainment industry pyrotechnics, using the APA 87-1B and 87-1C standards. This would give manufacturers the option to use an FCA for faster approvals or stick with PHMSA’s traditional process.
5. HM-268P – Less paperwork for empty IBCs
Intermediate bulk containers (IBCs) that are "empty" but still contain small amounts of hazardous residue currently require full shipping papers, placards, and vehicle markings, just like full containers. PHMSA is proposing to adopt the provisions that would allow certain empty IBCs to be transported without those requirements, provided they meet specific safety conditions. This includes limits on residue quantity, proper labeling, and transport only to authorized facilities.
PHMSA’s rulemaking proposals are exactly that, proposals. They represent the agency’s current thinking and intentions, but they are not final regulations. These proposals are published to invite feedback from the public, industry stakeholders, and other government agencies. During the public comment period, anyone can submit input, raise concerns, or suggest improvements. Based on that feedback, PHMSA may revise, refine, or even withdraw a proposal before issuing a final rule. In other words, nothing is set in stone yet.
Key to remember: While these proposals give us a strong indication of where things are headed, they are still subject to change before becoming official policy.