New transportation requirements to kick in, costs likely to increase for modular shipments.
In 2012, Congress passed a bill called “Moving Ahead for Progress in the 21st Century Act (MAP-21).” Contained in that bill was a requirement for the Secretary of Transportation to adopt regulations requiring Electronic Logging Devises (ELDs) use in commercial motor vehicles (CMVs) involved in interstate commerce, when operated by drivers who are required to keep records of duty status.
The ELDs are intended to help create a safer work environment for drivers, and make it easier and faster to accurately track, manage, and share records of duty status (RODS) data. An ELD synchronizes with a vehicle engine to automatically record driving time, for easier, more accurate hours of service (HOS) recording.
What does that mean?
Carriers must evaluate and select ELDs, and ensure they are installed and drivers and administrative staff are trained to use them by the deadline (December 18, 2017) for those using paper logs or logging software.
Transportation companies had a two-year window to prepare for implementation. However, during that time, there were efforts to exempt certain industries and shipments. Those efforts largely fell on deaf ears.
To be clear, this impacts ALL industries involved in shipping. In talking with one transport company, we were informed that transportation costs could increase by 20% or more per shipment. Bigger picture, this is yet another regulation from D.C. that increases the cost of home ownership, business development, retail, and numerous other industries.
Before quoting that next project, be sure to check with your transport company about the possible implications of this new regulation on your business.
Started on December 14, 2017 by Tom Hardiman