Trucking Regs: Transportation And Logistics Hiring Reform Act

What It Is

The Transportation and Logistics Hiring Reform Act is a piece of Senate legislation written to clarify national standards for hiring or contracting with trucking companies. Currently, those who look to work with interstate commercial motor carrier rely on a jumble of information related to Compliance, Safety, Accountability scores when determining whether a given carrier presents a legal and financial liability. This bill seeks to reduce marketplace confusion, facilitate interstate commerce, and help industry stakeholders better equip themselves for a potential lawsuit.

How It Could Affect Your Company

The bill would require that companies hiring or contracting with a fleet ensure that the carrier is registered with the Federal Motor Carrier Safety Administration, is appropriately insured, and has not earned less than a “satisfactory” safety rating with the FMCSA.

Various states already have motor carrier hiring standards in place, but no equivalent exists at the federal level. Accordingly, this bill would consolidate disparate regulations and best practices into an easy-to-follow rule across states. That could mean more interstate business opportunities for your company, provided you adhere to the federal standards.

These standards, however, may immediately necessitate action for tens of thousands of carriers. By some estimates, close to 85% of trucking companies have no CSA rating at all. If the “satisfactory” rating provision sticks, carriers seeking to engage in interstate commerce would need to undergo a federal review.

In establishing new requirements, the bill would also shield carriers and their business partners from civil claims based on information that is not included within the national hiring standard.