Category: Business

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Carriers Trucker News

What Is an Intrastate DOT Number For?

If you run a business that involves moving people or goods, you probably need to apply to the U.S. Department of Transportation, or USDOT, for an identification number. Transportation firms also need to register with the USDOT’s Federal Motor Carrier Safety Administration. The USDOT uses this information to keep track of a firm’s safety records.

The federal government requires all companies that move goods across state lines, and all companies that transport hazardous material within state lines, to file for a USDOT number. Many states require all companies that operate commercial motor vehicles to get a USDOT number. Each company has a unique USDOT number covering its vehicles.

Interstate vs. Intrastate USDOT Numbers

Intrastate business occurs within one state’s boundaries. Interstate commerce involves moving goods or passengers across at least one state line. When registering for a USDOT number, businesses must report whether they will be operating within (intrastate) or across (interstate) state lines.
An intrastate USDOT number classifies the business as operating within one state.

Changes from Intrastate to Interstate Status

Firms can change the status of their USDOT numbers to interstate from intrastate by filing an update with the Department of Transportation. A business retains the same registration number when it changes status, but its classification changes. Companies do not need to file separately with the USDOT for intrastate or interstate registration, so an intrastate USDOT number is not wholly distinct from an interstate USDOT number.

Purpose of Intrastate DOT Number

The federal government has an interest in keeping safety records regarding companies that transport hazardous materials. Some states require registration with the USDOT to help with their own record-keeping, and because some automated registration systems use the federal USDOT number as the standard means of identification.

States That Require USDOT Registration

These states require all commercial vehicle operators to register with the USDOT: Alabama, Alaska, Arizona, Colorado, Connecticut, Florida, Georgia, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland, Michigan, Minnesota, Missouri, Montana, New York, Nebraska, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Washington, West Virginia, Wisconsin and Wyoming.

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Carriers Trucker News

How to Make Money With a Dump Truck

If you’re looking to make money with a dump truck, building contractors, landscaping companies and homeowners are your target clients. Get a commercial driver’s license (CDL), set up your business and spread the word.
1

Prepare for business. Get your CDL, which will enable you to legally operate a dump truck. Check your local ordinances for any additional training or licensing requirements for operating an independent dump truck business before you can begin to solicit jobs.
Contact the IRS to obtain a tax ID number for your business and open a business bank account. Have business cards and letterhead printed for your company that you can mail or leave with building contractors, landscape supply managers and homeowners. You will make a more professional impression if you leave your contacts with relevant pricing and contact information, along with a copy of your credentials. Better business impressions translate into more money for your business.
2

Contact landscape suppliers in your area, advising them that you are available to move dirt, mulch and other landscaping materials on a contract basis. Talk to the store managers in person, leaving them a packet with your business card, rate information and certification documents for owning and operating the dump truck.

3

Run an ad in several local papers and in the yellow pages describing the types of work you are available to do with your dump truck. Homeowners who enjoy do-it-yourself landscaping or renovation projects need your services to haul in or remove materials as they excavate or remodel. Advertise on Craigslist and other online sources for free exposure.
4

Make money with your dump truck by working with local builders as an independent contractor. New construction projects always need the services of a dump truck to move debris to the landfill as well as moving dirt and other landscaping materials. Contact the builders personally by phone or at a job site. Follow up with the same printed materials you left with the landscape supplier.
5

Contact your local city transportation services to inquire about winter snow removal jobs or other contract positions it may have available. You can also contact other snow removal companies to let them know you’re available for their overflow.

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Lifestyle Owner Operators

How to Reduce Transportation Cost

Transportation is a sizable expense. On average, the cost of driving accounts for 10 to 15 percent of personal income in America. Making the right decisions about car purchases and using public transport can save you big dollars.

Instructions

1

Research carefully if you need to buy car. Pay attention to safety, insurance, gas mileage, registration, repairs and maintenance. Make decisions to buy a car based on the long-term cost, not just the sticker price.
2

Avoid financing your car. A car depreciates substantially over time. It is not an investment. So it does not make much sense financially to borrow money to pay for a car. If you have to buy a car, buy a cheap one that you can afford. Buying a good used car is cost-effective since you pay less for the car and for the insurance. Leasing a car is also not recommended since the cost for leasing often exceeds borrowing money to buy a car.
3

Sell your car if it is too costly to operate due to insurance, gas or costs of repairs or maintenance. Keep the number of cars you own to a minimum.
4

Service your car regularly. This will reduce the cost of repairs or unexpected breakdowns in the long run.
5

Use carpool, bus or train to get to work. Driving during rush hours is not only costly but also unpleasant. Take into account commuting costs when you consider where to live or to work. If you live close to the office, you can bike and walk to work instead.
6

Research parking options before you drive to a certain location. In many places, parking is expensive and difficult to find. You may find a much cheaper parking lot just two blocks away from where you want to get to.

Categories
Freight Brokers

Broker Authority Questions

The word “broker” derives from Anglo-Normandian brocour “small trader”, of uncertain origin, but possibly from Old French brocheor “wine retailer”, which comes from the verb brochier “to broach.

A broker is a party that arranges transactions between a buyer and a seller, and gets a commission when the deal is executed. A broker
who also acts as a seller or as a buyer becomes a principal party to the deal. In general a broker is an independent agent used extensively in some industries. The prime responsibility of a broker is to bring sellers and buyers together. Therefore, a broker is the third -person facilitator between a buyer and a seller. Brokers also can furnish considerable market information regarding prices, products and market conditions. Brokers may represent either the seller (90 percent of the time) or the buyer (10 percent) but not both at the same time. Brokers play a huge role in the sale of stocks, bonds and other financial services.

Broker Authority Questions

Q. What is an MC Number?
A. A Motor Carrier (MC) number is issued by the FMCSA. It grants the right to commence operations in interstate commerce in the transportation industry. There are several factors involved in obtaining an MC number including having BOC 3 Process Agent and a Surety Bond or Surety Trust.

Q. What are BOC 3 Process Agents?
A. A BOC 3 process agent is someone who may be serviced with court papers in any proceeding brought against a broker. In order to obtain your authority, you must have a list of BOC 3 Process Agents available to be serviced on your behalf.

Q. What is a Surety Bond or a Surety Trust?
A. A Surety Bond or Surety Trust is a safe guard for carriers to collect monies for nonpayment from a broker. The bond or trust must be in the amount of $10,000. The main difference between a bond and a trust is that a bond is through an insurance company and a trust is through a financial institution.

Q. How long does it take to obtain freight broker authority?
A. It takes approximately 16 business days to obtain broker authority provided a bond or trust is in effect within that time frame.

Q. How much does it cost to get your authority?
A. Obtaining your broker authority is only $685 through GLAuthority.com. This includes: all federal and process agent fees and same day processing. Our streamlined process allows you to start brokering as quickly as possible!

Traditionally, only the wealthy could afford a broker and access the stock market. The internet triggered an explosion of discount brokers, which allow investors to trade at a lower cost, but don’t provide personalized advice. Because of discount brokers, almost anybody can afford to invest in the market.

Categories
Freight Factors

Transportation Industry Update

Just a quick update to keep everyone in the know on what is going on the transportation industry.

Markets continue to deteriorate and with this meltdown truckload rates are plunging to depths not seen in 9 or 10 years. Fuel prices have dropped and stabilized to a point where most carriers and brokers are quoting flat, all in prices as everyone scrambles for scraps of business to keep companies afloat.

Trucking companies are shedding drivers, office staff and equipment in an effort to balance demand with their capacity, and balance expenses with their bottom lines. Their revenues are plunging, but so are their expenses to a certain degree. Certain lanes are worse than others when it comes to depressed rates and we will more than likely see additional trucking companies close their doors this year. The ones that can hang on through our recession will thrive and carry a big stick when things turn and truck capacity falls below truck demand. Companies that have a diverse customer base are situated best to survive these hard times.

Shippers are taking advantage of the markets by sending out as many RFPs or Bid Packages as possible. Times are tough for most companies and I don’t blame them one bit for shopping out their freight. Their transportation costs went through the roof last year with high diesel prices and it might balance things out a little if they can experience cost savings this year.

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Business Lifestyle

How to Transport a Truck

Whether purchasing a new truck, selling an old one or moving your truck with you, finding the best transportation for your investment is essential. The vehicle transportation industry is huge and filled with both very helpful, and not so helpful, professionals and advice. Between professional resources and the do-it-yourself options available, choosing the right option can be difficult and confusing. Fortunately, choosing the best option for your needs requires little more than some research and the proper documentation.

1

Research the companies. Before you commit to a professional, check the company’s reputation through the Better Business Bureau and through customer reviews via the Internet and phone. Contact the companies via phone to get answers to all your questions regarding delivery radius, costs and necessary documentation.
2

Select the method of transportation. Many transport services offer two types of delivery. The first being transportation via tractor-trailer, the second being a hotshot truck. Tractor-trailer transportation tends to be cheaper but can be difficult to arrange. Tractor-trailers carry 40-foot-long trailers and have limited turning capabilities. This makes navigating residential locations difficult, requiring parties to meet somewhere else, like an open parking lot. Hotshot trucks, which are pickup truck-style transports, provide faster delivery and easier pick ups, but are more costly as they only carry one or two trucks per load.
3

Prepare the truck for transport. Collect all your necessary documentation and save it in a folder or other safe place. Make sure the truck is clean of all your personal property and keep an extra set of keys available in case of emergency.
4

Transport the truck. Arrange to arrive at the agreed upon meeting place at least 30 minutes early. This will give you a time buffer in case of unforeseen circumstances or an early pick up. Give all the necessary paperwork to the transport driver.

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Freight Brokers Lifestyle

How to Get a Freight Forward Broker License

Freight brokers are agents who help customers arrange the transportation and delivery of goods via licensed carriers. Brokers are not required to register as carriers as long as they do not take possession of the goods in transit. They do not carry cargo insurance and do not issue bills of lading under their company names. Brokers are required to be bonded to assure that they will pay the carriers’ invoices after they receive payment from their customers. Freight brokers are licensed by the Federal Motor Carrier Safety Administration, a division of the U. S. Department of Transportation.

Instructions

Go to the Federal Motor Carrier Safety Administration website to register. Complete form OP-1 (Motor Property Carrier and Broker Authority) online. Have a credit card ready to pay the $300 registration fee. Alternatively, you may print the form, complete it and mail it in. Mailed applications may require four to six weeks for processing. FMCSA strongly encourages applicants to use the online guidance and registration.

Record the MC or FF number assigned during the online registration process. This number is required when filing the additional forms listed below. A confirmation letter will be mailed. If you apply by mail, the number will be issued by mail. Your broker’s application will be published in the “FMCSA Register.”

Have your insurance company or financial institution file evidence of financial security in the amount of $10,000 either on form BMC-84 for a surety bond or form BMC-85 for a trust fund with a financial institution. Blank forms are available from the FMSCA.

File form BOC-3 (Designation of Process Agents) online or print the form, complete it and mail it in. The FMCSA strongly encourages online submissions. A list of companies that offer process agent services is found on the FMCSA website .

Begin operations after you receive your license in the mail. You do not have operating authority until you have the license in hand.

Categories
Lifestyle Owner Operators

How to Find Local Truck Driving Jobs

Trucks play an essential role in the U.S. economy. Therefore, truck drivers have an integral part in transporting goods around the country.

Becoming a truck driver does not mean that you have to be away from home all the time. Companies and businesses rely on these trained professionals to deliver goods and services locally, not only to distant destinations. This makes it possible to work as a truck driver by day and spend time with family and friends after work.

Obtain a commercial driver’s license (CDL), which is a requirement for any type of truck driving job. You must successfully complete a truck driving training program to receive a CDL. Options for training programs include community colleges, private truck driving schools and truck company schools.

Ask for a referral and reference from your training school program. Companies and businesses often post job notices with training programs when they are hiring drivers. Community colleges sometimes offer job placement services for their graduates as well.

Apply at local businesses and companies that use truck drivers. Mail delivery services use drivers for local deliveries. Other businesses to consider are lumber yards, furniture stores, automobile distributors, moving companies and retail businesses.

Make use of the local classifieds. Search the want ad section of the newspaper for truck driving jobs. Place your own “Truck Driver Available” ad as well.

Network with other drivers. Let people know that you are actively pursuing a truck driving job. Ask truck driving friends and acquaintances to keep you informed about possible openings. Local jobs may be obtained through word of mouth.

Categories
Owner Operators

New state laws affect owner-operator

Trucking supported changes affecting owner-operators and workers’ compensation became law last month in Tennessee, while similar legislation will soon become state regulations in Pennsylvania and Maine.

Tennessee’s new law, SB 932, excludes unemployment compensation for leased operators and owner-operators contracted to common carriers while engaged in interstate commerce.

Pennsylvania’s independent contractor definition under workers ‘compensation will broaden Aug. 29 when HB 440 becomes effective. It will allow sole proprietors, partners of partnerships and limited liability company officers to purchase workers’ compensation insurance.

The Maine Motor Truck Association had requested legislation to determine if someone is an independent contractor for purpose of workers’ compensation.

In September, LD 1099 takes effect, which will define Maine contractors through several factors, including if compensation is based on factors directly related to the work performed, such as mileage-based rates. The contractor also substantially must control the means and manner of performing services and be responsible for a significant amount of operating expenses and maintenance.

The sponsor of a California bill to bar owner-operators from working ports ordered the bill, AB 950, to the inactive file on June 2. Assemblyman John Perez made the request for the legislation, which would require port truckers be carrier employees.

Categories
Carriers

DOT carrier inspections

The U.S. Department of Transportation said that in the last two years, the Obama Administration has issued as many imminent hazard orders placing unsafe bus and truck companies out of service as in the previous 10 years combined.

As part of the administration’s effort to step up motorcoach safety, the U.S. Department of Transportation’s Federal Motor Carrier Safety Administration (FMCSA) has cracked down on unsafe carriers through surprise inspections, full compliance reviews, and enforcement actions.

Between 2000 and 2009, FMCSA issued a total of 14 imminent hazard orders placing unsafe carriers out of service. In just the last two years, FMCSA has already issued another 14 imminent hazard orders to take carriers that pose an immediate risk to passengers off the road. For example, last month the USDOT issued an imminent hazard order to a Michigan company found to be transporting passengers in luggage compartments, at great risk to passengers.

“From Day One, I have pledged to put public safety above all else, and we will continue to take action when we see carriers placing passengers at risk,” said U.S Transportation Secretary Ray LaHood. “We have seen the tragic consequences of unsafe practices – whether it’s ignoring fatigue regulations, providing inadequate driver training, or failing to conduct the proper maintenance of a bus or motorcoach. We continue using all of the tools at our disposal to get unsafe carriers off the road and hope that Congress will act on our proposal to provide us with the necessary authority to expand our safety oversight.”

In just the past four months, FMCSA has issued eight out-of-service orders. FMCSA issued these orders immediately following safety investigations that found the carriers and/or the drivers to be in such substantial non-compliance with federal safety regulations as to pose an imminent hazard to public safety. The eight imminent hazard out-of-service orders in 2011 have been issued to seven interstate motorcoach companies: two each based in Georgia and Pennsylvania, and one each in Michigan, Mississippi and North Carolina. One order was issued to a Tennessee-based truck driver.

“Our safety investigators, inspectors and state partners will continue demanding that motor carriers and their drivers adhere to safety requirements,” said FMCSA Administrator Anne S. Ferro. “While most of the industry operates safely, I also look forward to working with Congress to add new tools to prevent unsafe companies and drivers from operating.”