After a new entrant satisfies all applicable preoperational requirements, it will be subject to the new entrant safety monitoring procedures for a period of 18 months. During this 18-month period:

• The new entrant’s roadside safety performance will be closely monitored to ensure the new entrant has basic safety management controls that are operating effectively
• A safety audit will be conducted on the new entrant, once it has been in operation for enough time to have sufficient records to allow the agency to evaluate the adequacy of its basic safety management controls
• Failure to demonstrate basic safety management controls may result in the carrier having its new entrant registration revoked