Did you Know?
The trucking industry loses 996 million hours of production due to traffic congestion each year.
Offsetting Carrier Insurance Costs
Did you know one of the largest costs to carriers is monthly commercial vehicle insurance premiums? For a $750,000 policy, the average carrier spends $1,250 per month. At the current spot market rate average for a dry van ($1.97 per mile), this means a driver needs to cover almost 635 miles just to offset the cost.
Another option: Make sure your drivers are properly trained. This might mean providing the insurance company with proof of training and checking out the training company’s accreditation. This might also mean companies should provide their own training to ensure the driver operates safely. The safer the driver—and the longer a driver can go without incident—the lower the premiums (and the chance for premium increases).
The trucking industry might get that Hail Mary pass they’ve been hoping for. The recent bill introduced by Representative Babin (R-TX) would offer a two year reprieve from the ELD Mandate. This standalone bill would need to be passed by both the House and the Senate before it could take effect. You can read the bill here.
The average bill has about a four percent chance at being passed into law.
The ELD Mandate was mentioned in another bill this week: The DOT funding bill. Passed by the House Appropriations Transportation, Housing and Urban Development subcommittee, the DOT funding bill has a rider attached to it that would delay the implementation of the ELD Mandate to those hauling cattle for at least one year. Also tied to this bill is a request for a 60-day study on the necessity of the ELD Mandate. With the upcoming Congressional Recess slated to last the entire month of August—and chances of this study being completed—the subsequent Congressional action would not occur prior to the mandate’s effective date of December 18. This bill must first pass the full House Appropriations committee before being sent to the House floor for a vote, where it would go through the same process in the Senate. Both the Senate and the House must agree on exact verbiage before the bill could be passed. To read the DOT funding bill and see the ELD rider, see page 38 here.
The FMCSA has finally launched a testing tool for ELD vendors to test their roadside data transfer abilities. This has been a long time in the making and the bigger name vendors had resisted registering their device as ELD compliant because they lacked the ability to test their product’s ability to transfer records.
There was plenty of other information rolling through this week. Hear something we should know about? Email us at email@example.com.
Regulatory Affairs Analyst Jeremy Feucht follows the latest political and legislative processes, along with their potential effects, on the trucking industry. He has worked in the U.S. Senate and has served as a member of Planning and Zoning, City Council, and Urban Renewal boards.