1. TIA seeks to promote improved standards of safety for motor carriers on American highways.
2. TIA will work with its members to understand and minimize their risks through analyses of court proceedings, the establishment of carrier selection procedures based on current law and interpretation of that law.
3. TIA will work with FMCSA to make CSA the best possible tool to meet its statutory obligation as the sole Agency empowered to determine which carriers are UNSAFE.
4. TIA will work with FMCSA to create a rating system through which ALL carriers are rated either SAFE TO USE (green light) or UNSAFE TO USE (red light), thereby eliminating the traps that exist in the four part rating system,: satisfactory, unsatisfactory, conditional, and unrated.
5. TIA will pursue legislation to protect 3PLs and shippers that utilize the services of carriers rated SAFE TO USE by FMCSA from liability associated with carrier selection.
6. TIA will assist in cases where appropriate to protect the interests of the industry.


TIA’s Desired Outcome

The Department of Transportation is the single government department responsible for building roads, issuing licenses to motor carriers to operate on those roads, and determining the safety fitness of those carriers. Hundreds of thousands of 3PLs and shippers depend on the FMCSA to tell them which carriers should and should not be used. These entities make goods, or arrange transport of goods by FMCSA licensed motor carriers. They should not be placed in the untenable current position to second guess FMCSA decisions, analyze subsets of partially hidden FMSCA data for which they are not qualified to do; or become their own safety audit agency.</br

It should be enough to rely on the Agency’s safety fitness determination, and from that determination, the Agency should determine whether EVERY for-hire carrier is either SAFE TO USE (green light) or UNSAFE TO USE (red light). Shippers and 3PLs should be able to rely on a carrier as being found by FMCSA to be SAFE TO USE as meeting the competence and reasonable care criteria in the selection of an independent motor carrier. To get to this point, however, will take a multi-layered approach: CSA needs to be improved, the Agency needs to finalize its safety fitness determination rulemaking, and the standard for hiring independent contractors (carriers) as interpreted by courts needs to be re-set.

Getting to TIA’s Desired Outcome
Working Within the System: TIA is the voice of the third-party logistics industry. TIA has chosen to work within the system to create an on-going dialogue with FMCSA and leading carrier organizations. TIA’s approach to all issues is to find practical solutions to industry issues. By maintaining good relations with FMCSA and leading carrier organizations, TIA is able to talk informally with FMSCA and the other associations about CSA concerns. TIA will file comments when the Safety Fitness Determination rulemaking is released by FMCSA. TIA talks with and coordinates with other associations, but like other leading industry associations, TIA must maintain its strong, independent voice.

The House is looking to pass a short-term extension that would extend funding six weeks or so to give Republican leadership more time to amass support within the party. This would setup an earlier May debate on an amended version of H.R. 7, “the American Energy and Infrastructure Jobs Act of 2012”.

Although the bill has passed the Senate nothing can become law until the two chambers agree in Conference and the President signs the bill into law.

If you have any questions, please contact Nancy O’Liddy at oliddy@tianet.org or (703) 299-5711 or Chris Burroughs at burroughs@tianet.org or (703) 299-5705.

My view point on how this all affects us as a broker:

1) The language in the bill the increases the bond to $100,000 for brokers. This is a good thing that will continue the process of cleaning up our industry. It will make the barriers of entry more difficult in the brokerage business and we will see people entering with a true vested interest. “You can’t start a TCBY franchise for less.” This will also limit the amount of competition, although competition is a good thing that creates better ways of doing business.

2) Moving the weight limit up. The U.S. is the last country to have 80,000 lbs. gross weight limits. Our foreign competitors all have over 100,000 lbs. weight limits. This will allow shippers to get more product on trailers. Creating higher revenue and allowing for higher pay to drivers. This will hopefully make the career of diving an attractive profession.


Also, notice the title of the bill. There is a push for green and reducing the carbon footprint – Smartway.

3) Hours of service. This is also important to keeping the pay scale up for drivers and to gain more equipment utilization. The truck payment is based on the month not the hours of running time.