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Game changer: Technology sparks development of truck safety systems

Oh, how technology can change the playing field. Smartphones are a prime example. As smartphones have become a constant companion for most people in the U.S., landline phones are rapidly losing their relevance. In 2004, more than 90% of U.S. adults lived in households that had an operational landline phone. Now it is less than 40%, according to data provided by the Centers of Disease Control and Prevention, which has been tracking phone ownership in the U.S. as a byproduct of its biannual National Health Interview Survey since 2004. If the trend toward mobile phones continues, and there’s little reason to believe it won’t, landline phones could soon become an endangered species, much like the VCR and other technological relics before it. Technology has also had an impact on commercial motor vehicle (CMV) safety equipment. In the future, there will be fewer and fewer trucks on the road without safety systems. “Heavy commercial vehicle technology for safety has developed in capability and application and is having a positive impact on truck safety,” said CAVita Founder Peter Sweatman. He founded the company on the premise that now, more than ever, public and private companies, municipalities, and organizations need expertise to successfully navigate and take advantage of the opportunities presented by transportation’s evolution. “And the potential for further safety improvements is exciting,” he added. Because of the size and diversity of the commercial vehicle market, data shows the percentage of tractor-trailers equipped with some type of advanced safety system is quite high. A vast majority of carriers have been adding safety technology to their trucks in the years since 2005 when Bendix Commercial Vehicle Systems introduced Bendix ESP (electronic stability program), the Bendix-branded ESC system. In fact, in mid-2015 the National Highway Traffic Safety Administration (NHTSA) issued a rule that mandated electronic stability control on all Class 7 and Class 8 trucks starting in 2017. Perhaps the NHTSA mandate and growing acceptance among carriers to heavily equip their fleets with safety features will soon make trucks with no safety features obsolete. What overarching general technologies made it possible to begin to develop the safety technologies? Two things, according to ZF North American Commercial Vehicle Marketing and Business Development Leader Collin Shaw. ZF just recently completed the acquisition of commercial vehicle technology supplier WABCO. “First is the availability of low-cost radars and cameras that are more reliable and can stand up to the rigors of automotive,” said Shaw. “The second which isn’t as intuitive, are the algorithms that have been continually developed and refined to help radars and cameras distinguish objects and vehicles. Engineers have continuously worked to refine the algorithms that allow sensors and braking and steering technology to work together for a more refined experience for drivers.” “I always go back to sensors,” stated Bendix Director of Marketing and Customer Solutions, Controls TJ Thomas, when asked about technological advances. “If you can sense more items or more things around your vehicle or on your vehicle, then you have an opportunity to do something with that information.” While CMV safety systems have been around now for over 15 years, the past 24 months have been particularly good at ZF, said Shaw. “By acquiring a specialist and market leader for commercial vehicle braking systems, we could add a stable and growing business segment and enable our existing commercial vehicle division to expand its expertise in vehicle dynamics control. It also allows ZF to capitalize on the opportunity to integrate braking, steering and Advanced Driver Assistance Systems (ADAS) like never before and fully unlock the power of what ADAS can do, including enabling new capabilities like pedestrian advanced emergency braking and adaptive cruise stop-and-go,” added Shaw. Thomas pointed out that one of the advances at Bendix involves the Bendix Wingman Fusion system, first released in 2015. “We’ve added new features and capability of using the existing platform,” said Thomas. “For example, when we launched it, we did not have features like highway departure, warning and braking, or multilane AED. Those are new features that we use with the original radar and camera. We can also improve the collision mitigation performance. Going forward, you are going to see more platform changes.” Shaw said one of the upcoming features will make steering easier. “The core of our ADAS features for commercial trucks is ReAX. This electronic control system is designed to work together with a hydraulic system to provide drivers with steering that helps to make the truck easier to drive while reducing fatigue,” noted Shaw. “While traveling at highway speeds, ReAX can provide a steering feel that is more rigid and stable. And at low speeds, the adaptive system is able to help reduce steering efforts required of the driver, designed to make maneuvering in a freight yard or backing up to a trailer or dock much less fatiguing. In essence, ReAX brings much of the feel and ease of operating a passenger car over to heavy trucks.”

Path to progress: Fuel tax, vehicle miles traveled tax square off as primary options for sustaining Highway Trust Fund

When you think about America’s progress, it’s easy to look at the advanced number of roads and highway systems as a symbol of that progress. They’re the paths to our own personal progress: traveling to work or school every day, to the next delivery or adventure. We rely on roads to advance ourselves and to continue improving the nation for the sake of progress. But the path to collective progress means improving the nation’s roads. The U.S. needs new access routes, climbing lanes, repavements, and more. In the American Society of Civil Engineers’ most recent “Infrastructure Report Card” released in early March, the group gave America’s infrastructure a mediocre overall score of C-. Although this grade is progress from the D+ given in 2017, the need for more roads, accessibility, and infrastructure investments is evident. That means the nation needs trust — trust in its own Highway Trust Fund (HTF). It’s what feeds the new roads, bridges, and highways we’ve depended on for decades. The HTF is powered by the federal fuel tax, which is set at 18.4 cents per gallon for gasoline, and 24.4 cents per gallon for diesel fuel. But the federal fuel tax hasn’t been increased in more than two decades. Meanwhile, inflation has steadily risen to 79% since 1993, the same year the federal fuel tax was last increased. Since 2008, the HTF has primarily been funded through a series of general fund transfers from the U.S. Congress, rather than efforts to increase the gas tax. Funds provided by Congress have reached $158 billion, including $83.6 billion from the Fixing America’s Surface Transportation (FAST) Act, according to the Congressional Research Service. “Increases in fuel consumption kept revenues growing until the recession that began in 2007,” according to a March 1 report from the Congressional Research Service. “Since that time, improving fuel efficiency and slower growth in vehicle mileage have led revenue to level off in most years, and spending from the HTF has consistently outrun highway user revenues.” The FAST Act — originally signed by President Barack Obama in 2015 — was reauthorized by former President Donald Trump in October 2020. This provided an additional $13.6 billion for the HTF. But that authorization has an expiration date of September 30, 2021. Policymakers have avoided increasing the fuel tax “since such actions will noticeably increase the cost of fuel for nearly all constituents in the short-term,” according to the American Transportation Research Institute (ATRI). At this rate, the HTF will be drained by 2022, according to the Congressional Budget Office (CBO). “Increases in fuel consumption kept revenues growing until the recession that began in 2007,” according to the Congressional Research Service’s report. “Since that time, improving fuel efficiency and slower growth in vehicle mileage have led revenue to level off in most years, and spending from the HTF has consistently outrun highway user revenues.” What will we rely on when there’s no funding left to fix our roads? For the Truckload Carriers Association’s (TCA) Vice President of Government Affairs David Heller, the focus for funding relies on the fuel tax. “There is an opportunity to make the Highway Trust Fund sustainable again, and doing so in a manner that is the most cost-effective is going to be the fuel tax,” he said. Although it has not been increased since 1993, at least 36 states have already increased their own fuel taxes. “While the standing belief is that it can’t get done, the reality is that it actually is getting done,” added Heller. “It has been done in 36 states, over the past 10 years, which have raised their fuel tax to help support roads and bridges.” Mandated tolling and a vehicle miles traveled (VMT) tax have also been thrown out as sustainable options for rebuilding the HTF, although Heller disagrees with these measures. The need for a VMT tax — a potential widespread tax or per-mile charge on all vehicles — could eliminate electric vehicle (EV) parity issues. Today, EVs do not contribute to the fuel tax since they do not visit the pump, which is where the tax is collected “While the trials, tests, and equipment are out there, the VMT hasn’t made inroads answering the questions that really need to be taken into consideration right now,” he explained. “VMT is not ready for a primetime funding mechanism. We’re just not there yet.” Initial implementation of a VMT could total billions of dollars, according to Heller. “Quite frankly, there’s no need to incur those costs right now when we’ve got other mechanisms in place, i.e. the fuel tax, to actually get us there,” he said. Administrative costs of tolling, along with wear and tear on roads and bridges, and avoidance of tolls cause concern for Heller. “People may try to circumvent tolls and send cars and trucks on roads and bridges that aren’t used to having that kind of traffic, thus making roads and bridges deteriorate quicker because they’re just not built for that type of traffic as people try to evade the toll booths,” he said. That does not mean increasing the fuel tax comes without consequences. “Make no mistake, there are some shortcomings to increasing the fuel tax,” added Heller. In addition to EVs escaping taxation, more fuel-efficient vehicles are continuously being developed that will visit the pump less, therefore creating disproportion in taxation. “EVs are not paying nearly as much, to say nothing to the fact that today’s fuel tax rates are woefully short of what they should be, so they’re not capturing the dollars on what they should, but raising it (the fuel tax) hopefully helps make up the difference,” noted Heller. There’s also a chance that those with a lower income may not be able to afford the increased fuel tax. That is a similar consequence of the VMT, as well. According to ATRI’s “A Practical Analysis of a National VMT System,” the annual financial transaction costs could be as high as $4.3 billion and would require charging VMT users almost 40% more to cover collection costs. “The fuel tax right now represents the single greatest economically sound manner of highway funding. It has the lowest administrative costs attributed to it, meaning that it represents about 1% of overhead costs,” Heller said. To provide adequate funding with an increase, the fuel tax would need to be increased to five cents a year for the next four years for a total of 20 cents, or five years, at 25 cents. “That’s just a yearly increase of a nickel per gallon to eventually be capped at 25 cents, then indexed to the cost of inflation using the CPI, or Consumer Price Index,” added Heller. “That would make it adjustable on an annual basis.” With that increase, the HTF has a chance of being sustainably funded and trusted once again.

Safety, Retention, and the Bottom Line: Strong leadership is key to the success of any motor carrier

While motor carriers across North America may differ in size and leadership style, two factors directly affect every company’s financial bottom line — fostering a culture of safety and implementing an effective process for recruiting and retaining quality team members. During the Truckload Carriers Association’s virtual Spring Business Meetings, held April 19-20, industry thought leaders TCA Profitability Program (TPP) Retention Coach Ray Haight, along with Jetco Delivery CEO Brian Fielkow, an accomplished author, trainer, speaker, and facilitator of Making Safety Happen, moderated a session to help senior leaders ensure their companies’ success. “Strong leadership is key to achieving success in both (a company’s) safety program and the retention program,” noted Haight. “Laser focus on the issue at hand is critical to success.” The session, presented as a free-flowing conversation with audience interaction, explored the following topics: Why safety and retention efforts fall off track — and how to put them back on track; More than money: What drives world-class retention and safe behavior; The power of process; How to build trust among your team; and Your culture is your secret weapon: Tips for building a culture that generates safe outcomes and that is highly valued by employees. During the session, Haight and Fielkow shared insights on how a carrier’s safety processes impact its employee retention, and how both factors can make or break the company’s profit margin. “Companies that excel in retention also lead the way in safety,” shared Fielkow. “They are likely the most productive and profitable, too. This is because all of the competencies are tied to culture: Everything grows in a healthy culture, and everything wilts in an unhealthy culture.” Driver turnover is a key concern for most truckload carriers, and Fielkow warns against becoming fleet managers and other management staff becoming complacent if a company’s turnover rate is lower than the national average. “If annual driver turnover in the industry is 100%+ and yours is 60%, don’t kid yourself,” he shared. “You may beat the average, but the numbers are still bad.” The same goes for a company’s safety ratings. Accepting fewer crashes than the average only makes a company “less bad,” he continued. “Safe outcomes and the retention of ‘best of the best’ employees both require a commitment to be world class,” he advised. “’Less bad’ is not a worthy goal.” Developing a mindset of safety among drivers and working to retain quality employees should extend far beyond the initial driver orientation. “If your company is like mine, you might have higher turnover among employees in their first year,” said Fielkow. “It can take a year to fully integrate an employee into your culture. The typical one-week new-hire orientation program is insufficient. Develop a longer-term integration initiative.” A carrier’s turnover rate — whether good or bad — can be related to the performance and mindset of every member of the team, from the highest-level executives to the support staff. However, Fielkow noted, raw turnover data may not be the best measure of the success of a company’s middle management: Sometimes an employee is simply not a good fit, or does not meet the company standards, and needs to go. “If you have an employee who demonstrates unsafe behaviors, try to coach them. If the coaching effort fails, the employee needs to go,” he said. “Measuring managers on raw turnover may unintentionally incentivize them to keep employees who will cost you dearly in the long run. If managers weed out uncoachable team members, they are guarding your gates and should be commended.” Haight points to a carrier’s dispatch team as a crucial element to both safety and employee retention. “I believe the relationship between dispatch and driver is critical to success, and tying driver turnover to a number on each board is critical,” he explained. “I am never looking for ‘bad guys’ in the exercise though, but heroes that others can learn from.” On this point, Haight and Fielkow have a slight difference of opinion, with Fielkow placing the responsibility on the company’s culture as a whole. “I agree that the individual dispatcher should be measured on safety and retention outcomes,” said Fielkow. “However, if the frontline manager operates within a dysfunctional organization, he or she is doomed from the start. Key dysfunctions include abdicated leadership, acceptance of subpar results, and failure to view safety and retention as core strategic initiatives.” While Haight and Fielkow may differ slightly on some factors regarding safety and retention, when it comes down to “where the rubber meets the road,” so to speak, the two have a united message: Clear, effective communication between all levels of a company’s team is vital to fostering a culture of safety, as well as to attracting — and keeping — top-quality drivers.

D.M. Bowman’s Jim Ward named 2021-22 chairman of Truckload Carriers Association

ALEXANDRIA, Va. — The Truckload Carriers Association’s (TCA) 2021-22 Chairman will be Jim Ward, president of D.M. Bowman, Inc. Ward made his acceptance speech April 20 during TCA’s virtual Board of Directors Meeting, which was held in conjunction with the association’s Spring Business Meetings. Ward, who lives in Hagerstown, Maryland, with his wife, Starla, has been in the transportation industry for 43 years. Before joining D.M. Bowman in 1986, he started his career with the Western Maryland Railroad. Beginning in 1992, Ward joined Willis of Nashville, Tennessee, serving as managing director of the transportation. In 1999, he returned to D.M. Bowman, Inc. In addition to Ward’s responsibilities as TCA Chairman, he serves on TCA’s Board of Directors, Financial Oversight Committee, Highway Policy Committee, Regulatory Policy Committee and Recruitment and Retention Human Resources Committee. Ward has a variety of interests, including outdoor activities, travel, reading and, most importantly, spending time with his family. Ward and his wife, who will celebrate 40 years of marriage this year, have two sons, Jason (spouse Kim) and Keith (spouse Sara), a grandson, Aden, and a granddaughter, Mila. D.M. Bowman, Inc., a TCA member company for 55 years, began in 1959 when founder Don Bowman climbed into a used B 61 Mack tractor and trailer to haul coal. Bowman operated the tractor and trailer as an owner-operator with the dream of one day having 10 trucks. Bowman later founded D.M. Bowman, Inc., which obtained its first ICC Authority in 1966, adding several trucks to transport bricks from Williamsport, Maryland, to locations outside of the state. Through the years, the company has added short-haul truckload and warehousing services. D.M. Bowman, Inc., now has a fleet of 382 power units and operates eight terminals on the east coast. The following will assist Ward as TCA’s officers: Immediate Past Chair: Dennis Dellinger, president and CEO of Cargo Transporters, Inc.; First Vice Chair: John Elliott, CEO of Load One, LLC; Second Vice Chair: David Williams, executive vice president of Knight-Swift Transportation; Treasurer: Karen Smerchek, President, Veriha Trucking, Inc. Secretary: Pete Hill, vice president of Hill Brothers Transportation, Inc.; Association Vice President to ATA: Joey Hogan, president of Covenant Transport; At-Large Officer: John Culp, executive vice president of finance for Maverick USA; At-Large Officer: Ed Nagle, president of Nagle Toledo, Inc.; At-Large Officer: Jon Coca, president of Diamond Transportation System, Inc.; At-Large Officer: Mark Seymour, president and CEO of Kriska Transportation Group; and At-Large Officer: Trevor Kurtz, general manager of Brian Kurtz Trucking, LTD. The Truckload Carriers Association (TCA) is the only trade association whose collective sole focus is the truckload segment of the motor carrier industry. Founded in 1938, the association represents dry van, refrigerated, flatbed, tanker and intermodal container carriers.

Truckload 2021: Las Vegas Happenings | Sept. 25-28

The Truckload Carriers Association is eager to host Truckload 2021: Las Vegas — its annual convention — at the Wynn Las Vegas Resort September 25-28. This year’s event features: Truckload-specific educational sessions from industry-leading experts; Insightful panel discussions and engaging keynote speakers; Dozens of unique networking opportunities with trucking’s most engaged leaders; and Dedicated exhibit hours to learn about the latest products and technology for your fleet. Saturday, September 25 11 a.m.-6 p.m. — Registration 12 p.m.-5 p.m. — Exhibitor Move-in 3 p.m.-5 p.m. — Officers’ Meeting (invite only) 6 p.m.-7 p.m. — Kick-Off Reception 7 p.m.-9:30 p.m. — Past Chairmen’s Reception and Dinner (invite only) Sunday, September 26 6:45 a.m.-7:15 a.m. — Sunday Service (nondenominational) 7 a.m.-6 p.m. — Registration 7 a.m.-9 a.m. — Breakfast 7:45 a.m.-12 p.m. — Committee Meetings 8 a.m.-3 p.m. — Exhibitor Move-In 11 a.m.-1:30 p.m. — Lunch 12:30 p.m.-1:45 p.m. — Trucking in the Round Educational Sessions 2 p.m.-3:15 p.m. — Executive Panel 3:30 p.m.-4:45 p.m. — Board of Directors Meeting 4:45 p.m.-7 p.m. — Exhibition and Reception Monday, September 27 7 a.m.-2 p.m. — Registration 7 a.m.-8:30 a.m. — Breakfast sponsored by CAT Scale 8:15 a.m.-10:00 a.m. — General Session 10:15 a.m.-11:30 p.m. — Exhibition and Demos 11:30 p.m.-12:30 p.m. — Exhibition and Lunch 12:45 p.m.-2 p.m. — Executive Panel 2:15 p.m.-3:30 p.m. — Trucking in the Round Educational Sessions 3:45 p.m.-4:45 p.m. — Best Fleets to Drive For Reception 5 p.m.-6 p.m. — Freightliner Reception 6:30 p.m.-9:30 p.m. — Truckload Strong (Off-Site Event – Additional Fee) sponsored by Freightliner Tuesday, September 28 7 a.m.-2 p.m. — Registration 7-a.m.-8:30 a.m. — Breakfast 8:15 a.m.-10:00 a.m. — General Session 10:15 a.m.-11:30 a.m. — Exhibition and Demos 11:30 a.m.-1 p.m. — Exhibition and Lunch 1:15 p.m.-2:30 p.m. — Executive Panel 2:45 p.m.-4 p.m. — Trucking in the Round Educational Sessions 5 p.m.-6 p.m. — Closing Reception hosted by ACT1 6 p.m.-9 p.m. — Closing Banquet hosted by ACT1 Want to learn more about the Association’s initiatives, 2020 accomplishments, and what’s in store for 2021? Be sure to attend TCA Chairman Dennis Dellinger’s address during Monday’s general session, as well as an address from both TCA’s Incoming Chairman Jim Ward and TCA President John Lyboldt during Tuesday’s general session. Join a myriad of committee meetings which will be held Sunday, September 26. You do not need to be a committee member to attend. Additionally, more than 20 Trucking in the Round workshops are scheduled during the event. Make plans to attend the following: Strategies to Improve Freight Network Profitability; Building Business Value in a Tough Economy; Financing During an Unprecedented Disruption: How to Manage When Government Money Runs Out; A Strengths-based Approach to Building Resilience; Keeping Connected with Your Remote Workforce; Heartfelt Leadership: What, Why, and How?; Insuring Your Fleet in Today’s Challenging Market; Implementing and Defending the Independent Contractor Model; Connecting Your Organization with Technology; Data Will Shape the Fleets of the Future; The Negotiating Leverage Carriers Have Been Searching for in the Market; Collaboration — The Bottom-line Impact and Sustainability; Lease Purchasing: An Innovative Playbook; 2021 Best Fleets to Drive For: Statistics, Trends, and Innovations; Benchmarking — Turning Data into Action; It’s Not Pay, It’s a Phone Call; Embracing Recruiting Technology in a Remote World; Making Driver Turnover a Problem of the Past; Cybersecurity and the Transportation & Logistics Industry; Streamlining Driver Performance Coaching; Safety, Retention & Your Bottom Line; Up In Smoke? Marijuana Decriminalization & The Trucking Industry; Eagle Eye or Ostrich — The More You Know, the Safer You Are; and Risk Managing Customer Contracts. For detailed descriptions of each session, visit truckload2021.com/sessions. Thanks to International Trucks, Daymond John of ABC’s “Shark Tank” will be the keynote speaker on September 27. John — a young entrepreneur and industry pioneer — has evolved from one of the most successful fashion icons of his generation to a highly sought-after branding expert, author, and consultant, and as a speaker in business and motivational genres. Attendees are encouraged to attend Monday’s general session as he shares his awe-inspiring journey and provides a roadmap for those who aspire to succeed in business and in life. Thanks to Pilot Flying J, world-renowned expert in speed reading and brain performance Jim Kwik will be the event’s featured speaker. After a childhood brain injury left him learning-challenged, Kwik created strategies to dramatically enhance his mental performance. Attendees are encouraged to attend Tuesday’s general session to learn how to unleash their true genius and brainpower. Be sure to plan to attend the three general sessions as each one will provide an insightful panel discussion featuring industry professionals. Sunday: The View of the Industry —The Executive Perspective from Across the Border; Monday: Navigating Insurance Pressures in the Trucking Industry; and Tuesday: The Executive Vision: 2021 and Beyond. Here is the schedule for the committee meetings to be held Sunday, . In addition to the 20-plus educational sessions, numerous networking opportunities, and a robust exhibit hall set for Truckload 2021: Las Vegas, TCA’s 83rd Annual Convention, make plans to attend insightful committee meetings to have your voice heard. As with other associations, committees guide TCA’s administrative, advocacy, operational, outreach, and policy efforts. All committee meetings will take place on the morning of Sunday, September 26, at the Wynn Las Vegas Resort. Those interested in joining a committee should visit truckload.org/committee-program-leadership to learn more. Committee membership is a one-year term in conjunction with TCA’s Annual Convention schedule. Below is the schedule for committee meetings (all times are Pacific Daylight Time, room locations will be announced at a later date): 7:45 a.m. – 9 a.m. Regulatory Policy Committee Recruitment & Retention Committee 9:15 a.m. – 10:30 a.m. Communications & Image Policy Committee Highway Policy Committee 10:45 a.m. – 12 noon Membership Committee Independent Contractor Practices Policy Committee Scholarship Committee* (Board of Trustees only)

Virtual Involvement

In his acceptance speech at Truckload: 2020 in Kissimmee, Florida, Truckload Carriers Association Chairman Dennis Dellinger called on association members to get involved with this challenge: “Any member of an association, and especially its incoming chairman, should want the collective group to be involved,” he said. They did so, but in a way no one could have imagined at the time. Within days, the COVID-19 pandemic changed everything. Suddenly, “conference calls” and “Zoom” became household words for businesses and associations in U.S. and Canada. Through it all, TCA kept moving forward without a glitch. In-person meetings pivoted to a virtual environment, and with great success. In the past year, attendance at TCA’s virtual meetings far exceeded attendance at in-person meetings. Educational programs and online workshops were added. More and more Highway Angels were honored. More than $150,000 in scholarships was awarded to students associated with the trucking industry. In this, his final Chat With the Chairman, Dellinger speaks further about the accomplishments of the association the past year and talks about challenges facing the industry under the Biden administration, and concludes with a word of commendation for incoming TCA Chairman Jim Ward. Mr. Chairman, thank you for joining us for the last of your Chat with the Chairman interviews. The year has gone by quickly. What have been TCA’s major accomplishments during the past year? The TCA staff has continued to work hard behind the scenes to carry out the work of the association during this unusual year. First and foremost, it was deemed necessary to conduct a survey to gather input from the membership to chart direction for future years. The responses helped to substantiate direction and gave ideas for consideration as well. Supporting the notion that TCA should be the voice of truckload, it was important to achieve some sense of funding stability for government affairs, which resulted in a dues increase. TCA has become a respected source of information on regulations issued by Congress and the Federal Motor Carrier Safety Administration (FMCSA) by continuing to comment on meaningful rulemakings, and by TCA’s Vice President of Government Affairs David Heller being appointed to FMCSA’s Motor Carrier Safety Advisory Committee. Our outreach and communications efforts have seen record numbers of people participating in image programs, awards, webinars, and virtual meetings. And to assure continuity, TCA continues to improve upon the transition of leadership, reviewing objectives and items that remain open from one year to another. What achievement makes you the most proud? As I reflect on the past year, I am most proud of the work the association has continued despite the interruptions brought about by COVID-19. Under normal circumstances this would be an expectation for both staff and leadership, but, as we all know, this past year has been anything but normal. With the trucking industry being deemed essential early on in the pandemic, it was imperative the association be there to support its membership and the industry as a whole. I am so appreciative and grateful for the staff and officers I worked alongside during these unprecedented times that not only recognized but supported the mission. I am reminded, sometimes it’s the little things in life that matter the most. What has been your biggest frustration? I’m not sure I want to label it as a frustration, but I will say that failure to have in-person meetings at TCA has been an inconvenience to my platform that was shared in March 2020. I have missed seeing my friends and peers in the industry to collaborate and network. Please understand, I am not complaining, as others have experienced much greater inconveniences and life-changing events, including loss of loved ones, during this pandemic. I may have been inconvenienced, but I know it is your health and safety that has greater importance. In addition to your chairmanship, what has been your view of the association during the time you spent as an officer? I was fortunate to spend time co-chairing TCA’s Communications & Image Policy Committee prior to joining the officer group. After becoming an officer at-large, I continued to support the aforementioned behind some strong and dedicated individuals. Desiring to become more involved, I served two years as treasurer, learning more about the finances of the association, followed by the roles of second and first vice chair. Every role was a stepping stone preparing me for this past year. I am so thankful for those that helped me along the way and supported my journey. As you complete your term, a new administration has taken over in Washington. This year marks the first time since the 111th Congress (2009-2011) that the White House and both Houses of Congress have been controlled by the Democratic Party. What are the most important issues the Biden administration will need to address over the next two years? I believe the most important issue for the Biden administration to address is the passage of an infrastructure bill to replace the FAST Act. This issue was part of the 2016 election, and we have yet to realize meaningful legislation to improve our nation’s highways. Infrastructure is not one sole issue, but rather an all-encompassing platform made up of pieces that address many aspects of our industry. The safety issues alone appearing in the version voted up in the House last year represented some interesting aspects of a bill about which we, as an industry, should not be shy about expressing our opinions. Safety technology will certainly come up, and discussions surrounding minimum insurance are likely as well. Demonstrated by the lack of movement so far, any infrastructure bill should not be viewed as an easy lift, but as an opportunity for our industry to methodically engage congressional leadership. We can further cement our issues with good data and proper facts. If the new administration can be successful in passing an infrastructure plan, that is only the beginning. Funding is the next step. The Highway Trust Fund may become insolvent this year. The majority of the trucking industry agrees that increasing the fuel tax is the best funding mechanism. What is TCA’s position on increasing the gas and diesel tax? Funding such a large piece of legislation has proven to be a hard discussion that seems to never reach a conclusion. The Highway Trust Fund revenue amounted to $43 billion in fiscal year 2020. While that is a large number, it is well below the price tag to properly fund our current infrastructure needs. Federal fuel tax levels last increased in 1993, while construction costs have skyrocketed. TCA continues to support an increase in the federal fuel tax while indexing year over year, based on inflation, to achieve higher levels of funding. In fact, the federal fuel tax program represents a mechanism that contains the lowest administrative costs attributed to the collection and disbursement of funding. The monies collected via the fuel tax still stand out ahead of any current proposals for immediate results. It’s obvious there are many differing opinions and much discussion surrounding funding. Recognizing the Vehicle Miles Traveled (VMT) tax has become the hot topic with lawmakers. TCA’s Highway Policy Committee did a great job of putting together some recommended guidelines when engaging on Capitol Hill. It will be important that TCA and its membership remain open and not be shut out of any possible funding discussions. As you leave office, the new hours-of-service rules have been in effect for almost 10 months. Based on what you’ve heard from members, what have been the most positive aspects of the new rule, and where might it be lacking? The changes to the hours-of-service regulations allowing the 7/3 split to the sleeper berth and stopping the 14-hour clock were viewed as pivotal in providing flexibility for our drivers to address their workday. As we all know, daily problems such as detention, congestion, and other delays our professional truck drivers face wreak havoc on a driver’s schedule. Providing them with the opportunity to combat these issues represented a positive change to a rule that had shown itself, through electronic logging device (ELD) data, to be extremely restrictive. Incorporating flexibility has certainly been key to drivers becoming more efficient than they previously were. While we applaud the changes, the transition wasn’t as smooth as we might have hoped. Operating in the ELD environment, the changes took some time to get used to, and likewise adjust. Despite the real-world opportunities, the FMCSA has worked hard to educate the public and enforcement officials on these changes in an effort to make the transition as seamless as possible. In what it calls an effort to provide more flexibility in the hours-of-service rule, the FMCSA is proposing a pilot program that would provide data about the benefits of 6/4 and 5/5 sleeper berth splits. Currently the allowable splits are 8/2 and 7/3. Would this be a positive change to the rule? Why? I have to emphasize that this is merely a proposed pilot program put forth to collect meaningful data. There are some that would oppose this proposal or a final rulemaking, but the data generated by our ELDs has shown a need for increased flexibility. It is appropriate that we use the data provided to improve safety by removing restrictive measures, demonstrating to the driver workforce that an ELD is more than a compliance tool. Some will argue that flexibility increases the opportunity for one to drive while fatigued. We need to follow the data. Even with the recent changes, the average driving hours today fall short of the 11 allowed within the 14-hour workday to an average of six-and-a-half to seven hours. It just makes sense to move forward with this program to gather the data and weigh whether full flexibility is a viable option moving forward. What is the status of the trucking industry’s effort to maintain the independent contractor business model since Proposition 22 passed comfortably in California during the November election? The independent contractor business model is one our industry has used for decades. In fact, some of the largest truckload carriers started with just one truck. There are many carriers today that continue to implement successful programs for independent contractors to thrive in this industry. While there is always potential for misclassification, we are not sure whether the Biden administration will rescind the ruling recently issued by the Department of Labor, which better defines the term “independent contractor.” Regardless, TCA will continue to support the efforts of the California Trucking Association to exempt our industry from the restrictive AB5 law that we now see other states attempting to replicate. And finally, it is important to note, TCA commissioned a study through the University of Arkansas over 10 years ago to review the independent contractor concept as it relates to trucking. Overwhelmingly, drivers chose the independent contractor model to fulfill their vision of the “American Dream” as opposed to being forced into it. This is but another reason that we continue to support those independent contractors and the American Dream. Many members don’t realize the sacrifices chairmen and officers make in the time spent away from their families and businesses in order to fulfill their duties. Would you comment on that? I will try to address this from a different angle. Sometimes people may question the timing of when they should get involved if asked to join the leadership, as an officer, at TCA, and rightfully so. There are always going to be missed birthdays, anniversaries, ballgames, or other children’s activities. This will occur whether we are raising our children or are lucky enough to experience the joys of grandchildren. It is important your family is supportive, and equally important those in your workplace are supportive, before accepting a role in the officers’ group at TCA. I have learned that people make time to do the things they enjoy and are willing to make sacrifices for the same. My family and my work family at Cargo Transporters have been supportive in my daily work life and my time and involvement at TCA because of my love for the industry and the people that are a part of it. As is tradition, we ask the outgoing chairman to give advice to the incoming chairman. What would be your advice to Jim Ward, who will take office at the conclusion of  TCA’s Spring business meeting April 19-20? First, let me say, Jim Ward will be an excellent chairman. I have worked alongside Jim for many years, whether at Trucking Profitability Strategies (TPS) at the University Georgia, TCA’s TCA Profitability Program, and TCA’s officer group, and have come to respect him tremendously. Jim is seasoned, knowledgeable, and methodical. Jim is ready and eager to take the reins, and I have full confidence he will leave TCA in a better place than he finds it. I just want Jim to know, I will be there to support him. My only piece of advice is for him to enjoy the ride. It seems like you begin one day and it ends the next. Congratulations, my friend! Thank you, Mr. Chairman, for a wonderful year. Any closing comments to the membership would be welcomed. I have been most humbled to serve as chairman over the past year. This year has been anything but conventional, and yet I wouldn’t trade my experience or the opportunity to be right where I was. I am excited about the group of leaders that will follow, and I look for TCA to prosper under their guidance and direction.

Highway Angels | March-April

Professional truck drivers Royford Burris, Joseph Brown, Christina Castillo, Phil Cicero, Clayvon Daniels, William and Becky Gregory, Ken Lukomski, and Earl Morgan-Heft have been named Highway Angels by the Truckload Carriers Association (TCA) for their acts of heroism while on the road. Since the program’s inception in August 1997, nearly 1,300 professional truck drivers have been recognized as Highway Angels for the exemplary kindness, courtesy, and courage they have displayed while on the job. The program is made possible by Presenting Sponsor EpicVue and Supporting Sponsor DriverFacts. Royford Burris Royford Burris, who drives for Stevens Transport and lives in Lauderhill, Florida, is being honored for stopping to help at the scene of a two-car collision that resulted in multiple fatalities. The evening of August 23, 2020, is one that Burris will never forget. He was traveling on U.S. Highway 63 near Walnut Ridge, Arkansas, with a load bound for Orlando, Florida. He had just ended a call with his wife so he could focus on his descent down the mountainous, winding terrain when he saw two cars in the middle of the road. One was on fire. A silver van had drifted over the centerline and collided head-on with a red car coming from the other direction. As he approached the scene, Burris safely pulled over and turned on his flashers. A pickup pulled up at the same time. “We were the first ones on the scene,” recalled Burris. “We grabbed our fire extinguishers and ran to the red car.” After they extinguished the flames, Burris and the motorist discovered the driver’s body lying about 20 feet away. “It was horrible,” he said. Other cars were beginning to approach the scene. “I didn’t want anyone else to see that.” He ran back to his truck and grabbed a towel to cover the body. Burris and the other driver then rushed to the van, which was badly mangled. The woman in the driver’s seat was deceased. Burris carefully lifted her out of the vehicle. EMTs had arrived and put her on a stretcher. He learned that her 6-month-old baby, who had been in a car seat in the back, had also died. The only survivor was a girl, who appeared to be 13 or 14 years old. She was trapped in the front passenger seat. “She was crying and in pain,” said Burris. “She said she couldn’t breathe. I said, ‘look at me. I’m not going to let you die. I promise.’” He called a police officer over and asked him to help. Burris kicked out the back door and climbed in to retrieve her. “I was trying to break the seat apart. I ripped the seatbelt out. I don’t know where I got the strength,” he said. Burris struggled to free the girl and was finally able to extract her through the window and hand her off to the officer. “I’ve never seen anything like it,” shared Burris. “I had just told my wife that things were going well and the road was so calm. Once I saw those cars, I knew that it was my duty to help in any way I could. I’m sorry I couldn’t save the others.” As Burris was leaving the scene, officers thanked him for his heroic actions and offered to escort him to the nearest safe haven, which Burris accepted. He has received updates on the girl’s condition and is relieved to know she is now home with her father. “Royford is a great driver and this is just another example he sets,” shared Stevens Transport Driver Manager Kenny Harwell. “Not only is he a hardworking driver, father, and grandfather, but he is also a hero. We are extremely thankful to Royford for setting the standards not only for his fellow drivers but for all of us at Stevens. He is a true asset to Stevens, and I’m proud to work with him day in and day out.” Joseph Brown Joseph Brown, from South Bend, Indiana, who drives for Halvor Lines Inc., is being honored for stopping to help a driver after his tractor-trailer was overturned in a heavy rainstorm. On August 10, 2020, the State of Iowa was hit with a driving rainstorm, carried along by 99 mph winds. Brown was on Interstate 35 in rural Iowa, headed north toward Minneapolis. “It was getting really bad out,” he shared. “I’ve never driven in anything like that. You could barely see 20 feet in front of you.” He slowed down and pulled over for a few minutes, but the winds were pushing the truck. “A lot of trucks and cars were passing by,” he recalled. Brown decided to get back on the road. He was thankful for the extra weight of the load he was hauling. He went a little farther down the road and saw an overturned truck, with the cab lying on its passenger side in the right lane. Brown pulled up about 20 feet from the truck and put his flashers on. He wanted to protect the overturned cab from traffic. “Trucks were flying by him and cars were going around. I wasn’t sure it was safe to get out,” Brown recalled. He sat parked for a couple minutes, and then the rain let up. “I decided to check on the driver,” said Brown. “I didn’t want to hesitate any longer.” He went over and found the driver standing up inside the cab. He had been able to maneuver out of his seatbelt. “He was standing there, wet. I offered to have him come and sit in my truck,” shared Brown. “He said he’d been [a driver] for 20 years.” Although the driver didn’t have any visible injuries, he told Brown his shoulders were hurting from the seat belt. He had already called 911. As they waited, Brown was worried about someone hitting them. “You couldn’t see 5 feet in front of you at one point,” Brown recalled. “I was relying on my flashers so we wouldn’t get hit. It was too windy to put triangles out.” Flares would have been extinguished by the wind and rain. The two men sat there for half an hour. Brown said the fire department was the first on the scene. EMTs assessed the driver and put him in an ambulance. Brown and the driver have stayed in touch. “There are a lot of good drivers out there,” he said. “We gotta look out for one another.” Christina Castillo Christina Castillo, who is from Union City, California, and drives for TForce Logistics, is being honored for coming to the aid of an elderly woman who collapsed in the street during a health emergency. Castillo was driving down a residential street in Castro Valley, California, on the morning of October 1, 2020, when she saw an elderly woman walking along the sidewalk to the right of her. “She was staggering a bit, which caught my attention,” said Castillo. “She was holding onto the fencing and stopped for a moment. Then she started walking again, so I figured she was okay.” Castillo continued, making her delivery at a nearby school. That day, she happened to have another delivery on the same street and made a U-turn. She saw the woman again. “At that point, she took a few steps and then fell into the street,” recalled Castillo. Acting swiftly, Castillo turned around, put her hazards on, and positioned her truck in the roadway to divert oncoming traffic. Castillo found the woman, who was in her late 70s, unresponsive. “It was staggeringly hot outside, in the 90s,” she recalled. “I thought she had heat exhaustion. Her breathing was very shallow.” Castillo called 911. She took her mask off and leaned in close to see if the woman was breathing. “COVID never crossed my mind,” she said. “I just wanted to help her.” The woman began to turn a bit blue. Castillo was prepared to do chest compressions, but the 911 dispatcher told her not to; that an ambulance was close by. “When the paramedics arrived, they gave her oxygen and her color started coming back, and her vital signs were very strong,” shared Castillo. Castillo learned the woman had suffered a heart attack that day. A few days later, the family contacted her to let her know the woman had died. She did not have COVID-19. They told Castillo her actions that day gave them the opportunity to gather and be with their mother and grandmother in her last days. Castillo and her husband are independent contractors with TForce Logistics, which is a third-party contracted with Office Depot/Office Max. Before becoming a driver, Castillo went to nursing school. She took a break to work with her husband as a driver. “Being out on the road … I enjoy what I do,” Castillo said. Phil Cicero Phil Cicero, who lives in Cedar Lake, Indiana, and drives for ABF Freight System Inc., is being honored for his actions when he encountered a lost child, stepped in, and safely returned the child to his parent. Cicero had come into Nashville, Tennessee, from Chicago on the morning of July 30, 2020. After leaving his truck at the ABF Freight terminal, he was checking into a hotel for a scheduled rest when a young boy ran past him from the elevator area. “He was maybe 2 or 2 ½ years old,” said Cicero. It was around 8:30 a.m., and the boy was dressed only in underwear. “He ran straight outside and stood by the shuttle van for a moment.” There didn’t seem to be anyone around who knew the child. Concerned, Cicero left his things at the counter and went out to see where the boy was going. “He took off at a dead run,” recalled Cicero. “He was heading straight to the entrance of the hotel, where cars exit and enter.” Without a moment to spare, the ABF driver walked briskly behind the boy, but decided he’d better run to catch up to him. The father of four children, Cicero scooped the child up and brought him back to the hotel. “There were no parents around,” he recalled. He took the boy to the manager’s office, but he was too young to provide them with any information as to where he might belong. “We went back out to the lobby and gave him some water and chips. He wasn’t crying and was seemingly content,” said Cicero. “The manager called the police and they arrived within what seemed to be minutes.” Cicero and the police thought there might be a parent or family upstairs and chalked it up to a miscommunication. Eventually, a father figure came down, along with a sibling, to claim the young child. Cicero said he is thankful things turned out well. Clayvon Daniels Clayvon Daniels, who also drives for ABF Freight System Inc., and lives in Red Oak, Texas, is being honored for stopping to help a driver following a vehicle rollover accident. On the evening of May 31, 2020, Daniels was on Route 12 in Irving, Texas, on his way to San Antonio, when a vehicle traveling at a high rate of speed approached on his driver’s side. “I looked in my mirror and saw him kind of weaving,” Daniels shared with TCA. Weather and road conditions were good that evening. “I slowed down and thought, ‘Man, this guy is gonna lose control.’ He came directly in front of my truck and veered all the way to the right.” The driver’s car then hit the concrete median so hard it ricocheted, rolled over, and skidded back across the road. “If I wouldn’t have slowed down, he would have bounced off my truck,” recalled Daniels. Acting swiftly, he stopped in the middle of the highway to ensure other vehicles wouldn’t hit the overturned car. “It shut the whole highway down. About four or five of us stopped and rushed to get the guy out of the car. He was hollering and really bloody,” Daniels shared. “It was something … could have been a whole lot worse.” Emergency vehicles arrived approximately 20 minutes later.” Daniels has been driving for 18 years. “I stop and help when I can. I told my wife I’ve never had an accident, and thank God for that. I hope someone would help me,” he shared. William and Becky Gregory William and Becky Gregory, who live in Shelbyville, Tennessee, and drive for Titan Transfer, are being honored for rescuing and caring for a boy following a two-vehicle crash that killed the child’s father. The Gregorys are owner-operators who team drive. Around 9 p.m. on June 4, 2020, they were westbound on Interstate 40, driving a load to California. William was behind the wheel and Becky was in the sleeper with their dog. Traffic came to a stop, and he moved to the slow lane. “There were four trucks ahead me,” recalled William. “I could see people running with fire extinguishers.” He quickly jumped out and ran up to see if he could help. “Two cars had hit head on,” he shared. The first vehicle was on the shoulder of the road, and the elderly driver was deceased. The other vehicle was on fire. “There were several people using fire extinguishers,” William said. He could see this driver was also deceased. “There was a boy slumped down on the floorboard, but we had to get the flames extinguished before we could get him out,” shared William. The vehicle was crumpled. The group worked quickly. Once the flames were out, one driver pulled up on the dash. The windshield was already gone. William helped the 10-year-old boy out of the wreckage and handed him to another driver, who held him until help arrived. “We sat there and talked to him,” shared William. “He kept asking for his dad. We told him people were taking care of him.” The boy was badly hurt, sustaining many broken bones. Becky was awakened by the couple’s barking dog. “She got out of the truck, wondering what was going on,” said William. “We sat there and talked to the boy to keep him calm until the Life Flight arrived and took him,” William added. The Gregorys learned a couple weeks later the child had several surgeries and was expected to make a full recovery. “I’ve come across some rough ones (accidents),” shared William, “but this was the worst.” William has been driving for 28 years. He and Becky have been married for 33 years and team driving for 20 years. Ken Lukomski Lukomski, who is from South Bend, Indiana, and drives for Veriha Trucking Inc., is being honored for stopping to help at the scene of a serious head-on collision. Lukomski was driving eastbound on Interstate 44 near Marshfield, Missouri, on September 10, 2020, when he came upon a serious accident. An eastbound SUV had driven off the road, broken through the cable barriers in the median, and entered the westbound lanes, where it crashed head-on into another vehicle. Without a moment to spare, Lukomski safely pulled over and jumped out with his gear in hand. He ran over to a small car occupied by a driver and two small children. He pulled a little girl, about 7 years old, out of the vehicle and laid her down in the median. “She was seriously injured and wasn’t breathing,” shared Lukomski. “There was a woman there who began doing CPR, but she was struggling.” Lukomski took over and helped to get the girl breathing again. “I ran back and got the toddler and pulled him out in his car seat,” he said. “He had a small laceration above his eye.” Lukomski then worked with other drivers to extract the driver, an off-duty Webster County sheriff’s deputy, who had sustained grave injuries. “I assured him his kids were okay,” said Lukomski. “He grabbed my hand as they were getting ready to air-evac him and told me to look after his babies.” Unfortunately, the deputy, Sgt. Justin Burney, died from his injuries. His young daughter sustained serious injuries, but is now home with her little brother, who was not seriously injured. “When I found out the father had passed, it choked me up,” shared Lukomski. “We have to have a sense of humanity and compassion for others. As a professional driver, it’s my responsibility to protect others on the road,” he added. “I have the skills and background and training, and I feel it’s a duty to follow through and represent. You hope the outcome will be for the best. But we know there are tragedies out there.” Lukomski has been driving for six years. He grew up in Montana and has worked on a search-and-rescue team. “The greatest high is the achievement element,” he said. “You set out to achieve a goal and you do it. I enjoy being able to help people and make a difference.” Earl Morgan-Heft Earl Morgan-Heft, from Lone Rock, Wisconsin, and a driver for Fortrans Inc., is being honored for freeing a father and son from their burning vehicle following a multiple-vehicle accident. The early morning of June 12, 2020, was an excruciatingly bad one on the northbound roadways of Interstates 90, 94 and 39 near Lodi, Wisconsin. Three traffic accidents, built one upon another, resulted in the loss of several lives and many injuries. The first in the series of crashes occurred at 3:53 a.m. involving a rear-end crash between two semi trucks. Then at 5:11 a.m., another truck slammed into the first crash scene. The third and final crash, at 6:45 a.m., was by far the worst – and Morgan–Heft was a witness to it. Morgan-Heft was northbound from Madison, Wisconsin, and he could see there was an issue up ahead and road closure signs. He slowed down and came to a stop with surrounding traffic. Suddenly he heard a horrific bang. As he checked his left mirror he watched helplessly as a semi truck traveling at highway speeds crashed into a dump truck several vehicles behind him. The crash started a chain reaction involving eight vehicles behind Morgan-Heft. Horrified, he jumped out of his truck. “Cars were smoking,” he recalled. “I saw a pickup that was on fire with survivors in it. I yelled over to them, ‘I’m gonna get you out!’” Without a moment to spare, he started to run back to his truck to fetch a fire extinguisher but could hear popping noises from the pickup. “There was no time,” he said. He rushed to the passenger side of the pickup, where he saw a young teen. His father was in the driver’s seat. “The whole side of the pickup was crushed in and everything was twisted,” recalled Morgan-Heft. He was able to pry open the back door. Two other bystanders came running to help. “We pulled the passenger out through the back door and they got him up near the road while I went around to get the father.” He gave it everything he had and managed to pull the man out and move him away from the vehicle. Minutes later the truck was completely engulfed in flames. Morgan-Heft shared with TCA that the father and son survived. He talked with the man’s wife and learned that, while both sustained serious injuries, they are expected to survive. Morgan-Heft received a letter of thanks from the Wisconsin State Patrol inspector who was at the scene and took Morgan-Heft’s statement. “I wanted to personally thank you for your actions,” the letter read. “To me you are a hero and should feel extremely proud of yourself. You did a fantastic job, and your actions gave two people a second chance at life. To have the bravery to run towards the fire and help is incredible.” Morgan-Heft has been driving for 27 years. For their willingness to assist fellow drivers and motorists, TCA has presented each Highway Angel with a certificate, patch, lapel pin, and truck decals. Their employers have also received a certificate acknowledging their driver as a Highway Angel. To nominate a driver, or to meet additional recipients, visit highwayangel.com.

Looking back at 2020, pressing onward to 2021

In December, John Lyboldt completed five years as president of the Truckload Carriers Association. It has become tradition for the president to discuss the state of the association as it transitions from one year to the next in an interview with Truckload Authority. The following are excerpts from an interview in late January. On industry issues: some completed in 2020, others carrying over into 2021 Lyboldt hailed the new hours-of-service rule as a success. Implemented on June 1, 2020, the new rule provides professional truck drivers more flexibility in how they operate each day. However, the industry was hoping for even more flexibility in the sleeper berth provision, which can now be split 8/2 or 7/3. FMCSA recently announced a pilot program to study the feasibility of 6/4 or 5/5 splits. “That could even improve flexibility in our opinion,” noted Lyboldt. Not pleasing to the industry was the Department of Health and Human Services’ issuance late last year of proposed mandatory guidelines for federal executive workplace drug-testing programs that include guidelines for hair testing. “When they introduced their decision, we were not happy with it at all,” said Lyboldt of the guidelines, which would require a second type of sample to be drawn along with hair testing. He mentioned other concerns TCA is watching closely and engaged in, such as lawsuit abuse creating nuclear verdicts, minimum insurance, energy and the environment, protecting independent contractors, labor issues, F4A, truck size and weight, and electronic logging device exemption requests. President Joe Biden “He’s known as a center-left Democrat,” shared Lyboldt. “I think some of the things that we were expecting are starting to happen with regard to COVID-19 vaccinations and a second round of relief checks.” Lyboldt also noted that he thinks President Biden will support “closing the gap between the rich and the poor.” “He does believe in progressive tax with a value-added tax, known as a wealth tax, and with breaks and subsidies for those under the poverty line,” continued Lyboldt. “He is definitely a friend of the trade unions. He is concerned about global warming and the environment and immigration. We will be engaged in conversations on these, as well as federal tax reform, trade, and transportation infrastructure funding to name a few.” Conference call with incoming deputy secretary of the U.S. DOT Last November, Lyboldt was invited by American Trucking Associations’ Chris Spear to participate in a conference call with Polly Trottenberg, who was recently named Deputy Secretary of the U.S. Department of Transportation (DOT), and others on President Biden’s transition team. “The call was very productive,” said Lyboldt. “We shared a great deal of information about our associations’ priorities, concerns, and issues facing the trucking industry. We are looking forward to working with the DOT and FMCSA to address priorities. We are confident that by working together we can accomplish a great deal. We were encouraged, as they really were interested in what we had to say, and with the questions and comments they shared with us.” What is needed to prop up the Highway Trust Fund? “We have been talking about how the trucking industry would support a fuel tax increase that would create a huge infusion of funds into the Highway Trust Fund with low administration expense,” said Lyboldt. “President Biden is focused in his first hundred days on COVID-19; however, infrastructure will be front and center, and soon.” It appears at the time of this writing that a fuel tax increase will continue to be challenged, as the vehicles miles tax is on the table and being discussed. Something must be done because industry stakeholders believe the fund will go broke this year. “Transportation infrastructure funding is the challenge, as we all know. Finding a sustainable solution now is a must, and the pressure is being felt by many,” said Lyboldt. Trucking’s response to COVID-19 The COVID-19 pandemic has presented a new set of challenges for truck drivers and the industry, Lyboldt said, adding, “drivers have really stepped up” despite the circumstances. “They stayed on the front lines and moved the freight that was needed at hospitals, grocery stores, and other service providers,” he shared. “There were so many proud moments where we had truck drivers going down the streets and people were passing out free lunches to them to honor them and show their support.” Carriers and logistics groups also stepped up to ensure drivers were taken care of throughout the pandemic in many instances, such as when Pennsylvania started closing rest areas. “Drivers have to have food available to them. You must be able to get fuel and be able to sleep. I’m extremely impressed with the carriers and their logistics groups, their backroom people, the drivers, and everyone with regard to the shippers just keeping the freight moving,” added Lyboldt. On increasing the strength of TCA programs As the pandemic has continued throughout 2020 and into 2021, TCA has tackled virtual meetings and program in stride. “Our educational content and programs, including webinars, our annual meeting, safety meeting, refrigerated meeting, and independent contractor/open deck content, are getting good traction,” shared Lyboldt. “Our webinar attendance has skyrocketed. We used to have 80 people register and 40 actually attend our webinars. Now we have anywhere from 400-700 register for these sessions. We have sponsors for the webinars who have been incredibly supportive so the membership can attend the webinars at no charge.” In fact, a virtual setting has provided opportunities for growth in TCA’s offerings and added benefits for sponsors. “What we are finding now is many of the sponsors want to do two, three, or more in one year. It produces good results for them,” he said. “Our virtual ‘Making Safety Happen’ program led by Brian Fielkow just started its second cohort. The Truckload Academy offerings and course completions are growing as well.” Applications for TCA’s annual scholarships saw notable growth as well. “When you look at the scholarship success that we had, we had so many more people applying,” said Lyboldt. “It took us by storm, but our judges were able to handle it. We ended up giving out more than 50 scholarships this year.” Additionally, TCA’s other contest and recognition submissions have skyrocketed. “Entries to our Driver of the Year, Best Fleets to Drive For, and Fleet Safety Award are off the charts,” noted Lyboldt. “Since October, we’ve honored dozens of drivers as Highway Angels from nominations that are pouring in. Our membership division is doing very well. It’s being led by Zander Gambill, who has just been promoted to vice president. He and his team are having conversations, serious conversations, with people about what we do for them and why we do what we do.” Government affairs continues to be “the voice of truckload” through TCA’s Zoom meetings with legislators and regulators. The work has been vigorous in TCA’s policy and advisory committees, as the group are focused on its priorities. TCA’s meetings and events department has had to navigate the pandemic challenges, and has done this very well. “Moving the annual meeting from Nashville to Las Vegas was no small task.” said Lyboldt. The use of virtual platforms has made a significant difference in TCA’s ability to provide the membership with solutions, information, and vital resources during the most challenging times. The membership survey has produced a number of initiatives to improve the association’s membership, experience, and value. “Thank you to all of the members who are working hard on the association’s behalf. Your efforts and contributions have had an impact and have been very helpful,” said Lyboldt. Buckle up, members. TCA’s staff is poised and ready for yet another exciting year.  

TCA and VVMF partner for sixth year to transport ‘The Wall That Heals’

The Truckload Carriers Association (TCA) is honored to continue its partnership with the Vietnam Veterans Memorial Fund (VVMF) for the sixth year. In 2015, TCA carrier members began hauling “The Wall That Heals,” an exhibit which includes a three-quarter scale replica of the Vietnam Veterans Memorial along with a mobile Education Center, to communities nationwide. The exhibit honors the more than 3 million Americans who served in the U.S. Armed Forces in the Vietnam War, and it bears the names of the more than 58,000 men and women who made the ultimate sacrifice in Vietnam. “Partnering with TCA enables us to continue our mission to honor and preserve the legacy of The Wall That Heals and educate all generations about the impact of the Vietnam War,” said VVMF Chief Executive Officer Jim Knotts. Each year a TCA for-hire member is selected to host a sponsored stop, courtesy of VVMF. The organizations are eager to share that announcement once able. TCA encourages its member companies to support the effort; those interested in transporting The Wall That Heals can visit truckload.org/VVMF for more information. Each year, VVMF receives more applications to host the exhibit than can be accommodated. For the 2021 tour schedule, preferential consideration was given to canceled sites from the 2020 tour that reapplied for 2021. Some 2020 hosts elected to apply for a date in a future year. VVMF will work closely with each community to make certain that community health and safety protocols are met. Communities will have to permit gatherings of 250 or more people. Volunteers will be required to wear masks. Visitors will be encouraged to wear masks and practice social distancing to ensure the safety, the staff, volunteers, and other visitors. “Nothing is more important to VVMF than the health and well-being of our Vietnam veterans and their families,” said Knotts. “We will work to provide the best visitor experience while keeping the safety of our staff, volunteers and visitors at top of mind.” On Veteran’s Day in 2020, VVMF’s Director of Outreach Tim Tetz was a guest on TCA’s Radio Nemo Show segment “Load ’em Up, Move ’em Out.” Visit truckload.org/newsroom to listen as Tetz speaks about the relationship with TCA and its members, the importance of the mobile education center, and more. The Wall That Heals 2021 Tour dates include: New Bern, North Carolina, April 8-11; Charlotte, North Carolina, April 15-18; Ocean Pines, Maryland, April 22-25; Garner, North Carolina, April 29–May 2; Grundy, Virginia, May 6-9; Tunkhannock, Pennsylvania, May 13-16; Columbus, Ohio, May 28-31; Franklin, Indiana, June 3-6; Harrison, Ohio, June 10-13; Champlain, New York, June 24-27. Townsend, Massachusetts, July 1-4; Nahant, Massachusetts, July 15-18; Tonawanda, New York, July 22-25; Athens, Ohio, July 29-August 1; Clinton Township, Michigan, August 5-8; Riverview, Michigan, August 12-15; Rice, Minnesota, August 19-22; Marysville, Kansas, August 26-31; Brighton, Colorado, September 2–5; Farmington, New Mexico, September 9-12; Blackfoot, Idaho, September 16-19; Longview, Washington, September 23-26; La Pine, Oregon, September 30-October 3; Corona, California, October 7-10; Bullhead City, Arizona, October 21-24; Pinetop-Lakeside, Arizona, October 28-31; Sulphur Springs, Texas, November 4-7; and Murfreesboro, Tennessee, November 11-14.

Biden’s Box of Infrastructure Chocolates: Crumbling roads, unsafe bridges, and dwindling funds

Most Americans are familiar with the iconic phrase uttered by actor Tom Hanks in the Academy Award-winning film “Forrest Gump,” spoken as he sits on the bus stop bench and says to the woman sitting next to him, “My momma always said life was like a box of chocolates. You never know what you’re gonna get.” When President Joe Biden took office and sat down to start opening the symbolic “boxes of chocolates” full of issues he must try to address, there is no question that Biden knew what he would surely find inside the box labeled “Infrastructure”: Crumbling roads, unsafe bridges, and the Highway Trust Fund piggy bank empty. Of course, this problem is not new. Since it issued its report card on the nation’s infrastructure in 1988 and followed up with report cards in 1998, 2001, 2005, 2009, 2013, and 2017, the American Society of Civil Engineers has given bridges no higher than C-plus and roads no higher than a D-plus. As for the funding, everyone except perhaps Rip Van Winkle knows that the federal gas and diesel taxes have not been increased since 1993. Regardless of why there has been no viable infrastructure plan in years and why the gas and diesel tax hasn’t been increased, the spotlight now beams down on Biden. Can he do what no other sitting president in recent years has done — actually pass a meaningful infrastructure bill and convince Congress to raise the gas and diesel tax? Two weeks after he was elected, Biden released what might be called his infrastructure plan. It calls for a $1.3 trillion expenditure over the next 10 years. As for transportation, Biden said the plan would: Jump-start the repair of our highways, roads, and bridges; Make America roads the world’s safest; and Stabilize the Highway Trust Fund (HTF). The plan notes that it is unacceptable that 1 in 5 miles of the nation’s roads are in poor condition. “It was critical to get something done four years ago; it’s even more critical now,” said the Truckload Carriers Association’s Vice President of Government Affairs David Heller, who was quick to point out that plans are fine, but useless if the funding is not available. “We do need to talk about roads and bridges, but we also need to talk about developing a more sustainable form of highway funding that will fund our roads and bridges for years to come,” he said. The past four years have been all talk, but no action, said Arkansas Trucking Association President Shannon Newton. “Nothing ever materialized,” she said of former President Donald Trump’s announced intentions. “There was never any consensus. We are hopeful that the bills that were worked on for the last four years might be able to gain some traction and we will see some substantial investment in infrastructure. An infrastructure plan is probably the biggest opportunity that we would foresee or hope for with this administration and this Congress.” The trucking industry in Alabama and around the country is encouraged by the Biden administration’s support for passage of an infrastructure package that significantly increases funding for surface transportation this year, noted Alabama Trucking Association President Mark Colson. He added that he was both encouraged and discouraged by Department of Transportation Secretary Pete Buttigieg’s testimony at his confirmation hearing. “We were encouraged by his commitment to addressing the Highway Trust Fund shortfall, and by his statement during his confirmation hearing that all funding options are on the table,” shared Colson. “However, we were disappointed by his statement following the hearing that he’s opposed to increasing the fuel tax, which is the most efficient and equitable way to fund highways.” With the Democrats in control of Congress, it may be easy to push an infrastructure plan through the House and Senate, but Buttigieg’s opposition to an increase in the HTF, and a recent comment about the possibility of a vehicle miles traveled tax may mean truck drivers will encounter bad roads and congestion because of the lack of improved highways for some time to come. While they may not agree on the exact amount, both the federal government and transportation stakeholders agree the HTF could go in the hole sometime this fiscal year and, unless new sources of funding are found, the fund will be in the red by $125-$150 billion in 2030. The Congressional Budget Office (CBO) calls an increase in the gas and diesel tax the “most forward option” for propping up the HTF. As an example, the CBO estimates that increasing the gas and diesel tax by 15 cents per gallon in 2021 and indexing to inflation thereafter would raise an additional $329 billion of revenue over the 2021-2030 budget window, enough to eliminate the HTF’s shortfall and provide $140 billion of additional spending or deficit reduction through 2030. The trucking industry has put a responsible solution on the table, said Alabama’s Colson. “The Build America Fund proposal would increase federal fuel tax by 20 cents (5 cents per year over four years) plus indexing to keep up with inflation and improvements in fuel efficiency. It would raise around $340 billion over 10 years and would cost the average four-wheeler around $2 per week,” he said. “We are the largest payer of motor fuels taxes by a long shot.” Colson said in Alabama for example, truck drivers pay nearly 40% of the fuel taxes yet only represent 10% of the vehicle miles traveled. “That said, we are willing to once again put our money where our mouth is and support paying our share to improve American’s roadways,” he said. “It is the right thing to do. Improving our roads saves lives and creates jobs. It’s a no-brainer.” While the administrative costs of taxes other than fuel tax, such as a vehicle miles traveled or a freight traveling by highway, are substantial, that isn’t the case for the fuel tax. “The administrative cost for the fuel tax is 1%, which means for every dollar that’s paid fuel tax, 99 cents go directly to the HTF,” said Heller. So, what is going to happen absent a true infrastructure plan and money to fund it? Heller likens the situation to a visit to the doctor’s office. “They point to that pain-level chart and ask you on a scale of one to 10, what’s your pain level?” he said. “Instead of a pain-level chart, look at the ASCE’s rating for highways has been D-plus or lower since 1998 and bridges C-plus or less during the same time period.” Translated into a pain rating, that could easily mean an eight, nine or perhaps even a 10. Ouch!

Inside Out: Ryan Snyder has definitely found a home at TCA

Ryan Snyder chuckles when he recalls his mother’s reaction to the fast-paced secondary school years he and his sister experienced while growing up in the suburbs of Atlanta. “My mom always joked if my sister and I came home telling her we signed up for another thing at school, she was going to kill us, because we signed up for everything,” said Snyder, now the Truckload Carriers Association’s membership manager. “I ran track and cross country, wrestled  (he lettered and was a captain in all three) and did the morning announcement video show, and,” he said taking a quick breath, “did the sound mixing for the annual musical play.” One might say busyness and being curious about everything has played well for the 30-year-old Snyder, who now finds his days filled with conversations with TCA members who turn to the association for help improving their businesses. Had Snyder followed his initial intentions, however, he might be in an operating room rather than an office. “I wanted to be a doctor and actually applied and was accepted into pre-med classes, but I ended up changing my plans,” shared Snyder. “After going through grade, middle, and high school for 12 years, the idea of having to go to medical school and then do all the residencies — I didn’t want to be starting a career when I reached the mid-30s.” Intrigued by the recruiting films he saw during his visits to colleges, his professional aspirations changed. He thought for a couple of years about becoming a film director, but eventually graduated from the University of Alabama in 2013 with a major in communications and minor in political science. His first job out of college was a territory sales representative for a telecommunications company that no longer exists. He knew it was a dead-end career when he found out the internet packages he was selling were priced three times higher and offered less performance and features than the company’s main competition. “I had the most success with people who had outages and were upset with their current provider,” said Snyder. “What I did learn was the power of saying ‘no’ and keeping persistent.” The job lasted about seven months before he landed a job as legislative assistant for United Parcel Service (UPS) where his father was employed as an engineer. It was his professional introduction to the transportation industry, which had been a long-time fascination. At UPS, Snyder attended Congressional hearings, prepared and presented executive-level presentations and policy memos on surface transportation, postal reform, aviation, trade, pensions, and veteran affairs. He also implemented comprehensive training programs for Congressional key contact participants, among many other things. An opportunity arose to further his transportation career when he joined the American Trucking Associations (ATA) as manager of federation relations and grassroots programs. There, among other things, Snyder managed ATA’s Call on Washington program, an executive fly-in program, that attracted 450-plus members annually for education and relationship building on Capitol Hill. He established an industry scorecard tracking key votes, policy updates, and industry news that impacted ATA members, and maintained communications, built relationships, and increased engagement with the state trucking association executives. He stepped away from trucking for a little more than a year to be the political affairs manager for the American Association of Life Underwriters (AALU), a trade association dedicated to the life insurance industry, but found out he’d left the love of his career — trucking. “I quickly realized how much I missed the trucking industry,” said Snyder. “My heart was with trucking.” He joined TCA in October 2020. “I think the most exciting part of my job is working with the members,” he said. “This might sound cliché, but trucking really is the nation’s backbone. The ability to work with these members and help them improve their businesses and improve their safety is crucial. They help Americans get the stuff that they need when they need it, whether it would be food and supplies at the grocery store or the COVID-19 vaccine. It’s an honor to be working with people who are making the world a better place.” Snyder said one of the aspects TCA members appreciate is the educational outreach. “They really appreciate the programs about how to make their business grow and how they can improve safety,” said Snyder. “They also like the ability to meet with their colleagues and to discuss best practices. There is no doubt they view TCA’s value as extraordinary.” As for the future of trucking in North America, Snyder says it is “upwards and onwards.” “Think back to the beginning of the pandemic, when you went to the grocery store and nothing was stocked and there was no toilet paper on the shelf,” recalled Snyder. “Our members and our industry were the ones who worked day and night tirelessly to haul goods to bring the supply chain up to meet demands. I think, if anything, that proved how important this industry is to the day-to-day lives of every American. I can’t see the industry going anywhere but up and up.” Do TCA members share Snyder’s optimism? “Yes, absolutely,” he said. “With the vaccines that have been approved, they believe we’re heading toward a more normal life. That is also how we at TCA are viewing it. Optimistically, this year is going to be going back to normal.” Snyder appreciates the camaraderie of the industry, and especially the cooperative spirit of TCA members. “It is not cutthroat,” he said. “Everybody wants the best for one another, and everyone wants to lift each other up.” After seven years and five professional positions, Snyder is not about to leave the trucking industry. “TCA is definitely my home,” he said.  

No Greater Honor: Trucking industry plays vital role in distribution of COVID-19 vaccines, components

For most of the world’s population, 2020 brought never-before-seen challenges, beginning with a global pandemic caused by a new coronavirus. As 2020 came to a close and 2021 dawned, the number of COVID-19 cases — along with deaths related to the disease — continued to climb. The pandemic brought the trucking industry into the international spotlight as professional drivers put in countless hours on the road, working to provide hospitals and pharmacies with medical supplies, and grocery stores stocked with essentials (who could ever forget the great toilet-paper shortage?). For most truck drivers, those hours spent on the road were “all in a day’s work.” Many were surprised when they were greeted with cheers as they made their deliveries. As 2020 progressed, some of that appreciation faded — but drivers continued to work behind the scenes, making sure vital supplies, as well as little luxuries, reached their destinations in a safe and timely manner. On Sunday, December 13, 2020, truck drivers and other members of the transportation industry once again found themselves in the spotlight as the first shipments of a COVID-19 vaccine approved for emergency use in the U.S. by the Food and Drug Administration (FDA) departed Pfizer’s Portage, Michigan, facility. That day was the start of the biggest vaccination effort in U.S. history, an effort that health officials are encouraging the public to embrace. As transport trucks stood ready to distribute those first rounds of vaccine, Pfizer employees — dressed in bright yellow shirts, blue hard hats, and insulated gloves — worked quickly to pack vials into boxes and place them into freezer cases with dry ice. These cases, which were tracked with GPS sensors, then traveled via truck to the Gerald R. Ford International Airport in Grand Rapids, Michigan, to be loaded onto cargo planes for distribution around the U.S. In addition to global ground carriers such as FedEx and UPS, Massachusetts-based Boyle Transportation was part of that December 13 vaccine rollout, with two teams of drivers participating in the first convoy to leave Pfizer’s Michigan facility. “It was an honor for us to play a small role in that historic event,” said Boyle’s Company Co-president Andrew Boyle. “There were so many eyes watching, and people crying, seeing your vehicle go by — that’s quite a humbling experience.” Since that December vaccine launch, the FDA has approved a second COVID-19 vaccine, this one manufactured by Massachusetts-based Moderna, and more vaccines are on the horizon as the coronavirus continues to mutate and spread. According to the Centers for Disease Control and Prevention (CDC), Pfizer’s vaccine must be held at a frigid minus 112 to minus 76 degrees Fahrenheit. In comparison, Moderna’s vaccine can be held at a balmy minus 13 to minus 5 degrees Fahrenheit. The packaging, transport and administration of either vaccine relies on a complex web of suppliers of products ranging from glass vials to dry ice and freezer containers, and each item must be safely and quickly delivered to its destination. Drivers with Load One LLC, based in Taylor, Michigan, are working to deliver the supplies needed to manufacture and transport COVID-19 vaccines, according to the company’s Vice President of Sales Chad Tabor, who said the carrier specializes in time-critical, high-value shipments. “We provide a solution that moves on an exclusive-use truck, meaning the freight is not mixed with other freight, and the only handling of the actual freight is by the shipper and the consignee,” explained Tabor. “Naturally, this makes us a good fit for a situation such as the fight against a pandemic, where every second matters.” In addition to transporting COVID-19 testing supplies and storage components for vaccines, Load One has been tasked with delivering high-value medical equipment to laboratories where scientists are working to develop new vaccines. “We couldn’t be more proud of the opportunity to support our country in the fight against this disease, which has claimed so many lives,” stated Tabor. “Everyone at Load One is happy to answer the call to action, from our drivers moving the freight on a daily basis, to our operations and sales team who work with our customers to ensure we provide the best possible service we can. We will continue to fight it the best way we know how.” While much of the transportation of vaccines and related supplies will rely on air cargo and last-mile delivery services, Boyle stressed that over-the-road ground freight will continue to play a vital role in transport. “Up to this point, there have been heroic efforts by the drug developers, the clinical trial participants and the regulators,” said Boyle. “But now, we’re at a point where the execution is going to rely, in large part, on blue-collar transportation and logistics professionals — people on the loading dock, professional truck drivers and mechanics, the air cargo handlers, pilots, and then ultimately the package delivery drivers. Those are our people. We’re not scientists, but we can play our role. We’re not physicians or nurses, but we can play our role. “Let’s remember, there are millions of people without a job right now,” he continued. “There are millions of people who can’t feed their family members, and there are millions of kids who can’t go to school. We have an opportunity to apply our trade and contribute to solving that problem. What greater honor is there?”

Much to Celebrate and Applaud

In December I celebrated my fifth year at TCA. Despite the years feeling as if they have passed by at lightning speed, I have made many memories that will last a lifetime. As we as an industry look back on 2020 and press onward into 2021, there is much to celebrate and applaud. The TCA staff and I are poised and ready to enhance our current membership offerings, programs, and events, as well as continue to build a stronger voice on Capitol Hill. Each year I have the opportunity to talk with Truckload Authority’s Editor Lyndon Finney. As we discuss in this article, this year trucking will have synergy with the Biden administration on issues ranging from infrastructure to tax reform. We’re eager to work alongside the U.S. Department of Transportation Secretary Pete Buttigieg and his team. As we were putting the finishing touches on our annual convention, Truckload 2021: Las Vegas, set for mid-April, we determined that the size of our convention would not fit within the guidelines set forth February 15 by Nevada Gov. Steve Sisolak. Therefore, we decided to reschedule Truckload 2021: Las Vegas to September 25-28 at the Wynn Las Vegas Resort. In light of the event being rescheduled, TCA is eager to provide a supplementary virtual offering for the original meeting dates — TCA’s Spring Business Meetings — set for April 19-20. This event will be available at no charge and will feature committee and board meetings, alongside timely and relevant educational sessions. TCA will share more information once available. We welcome you to join committees, register for any of our events, and start making the most of your TCA membership today. For questions about exhibit hall space and availability, contact TCA’s sales and sponsorships department at (571) 444-0301. We look forward to seeing you in September! Visit our event microsite to learn more or to register: truckload2021.com. John Lyboldt TCA President

Carrier Profile: Those Who Deliver — Kriska Transportation Group

Since 2015, Kriska Transportation Group (KTG) has been on a buying spree. The Ontario, Canada-based company has completed 10 acquisitions in less than six years, expanding its presence in Canadian and cross-border trucking and logistics markets. David Tumber, whose tenure as chief operating officer aligns with this spate of mergers and acquisitions (M&A), said the market is ripe for continued expansion. “[M&A] is common in our industry, and I think we will see more consolidation in the coming years, at least in the Canadian marketplace,” he said. “There’s a lot of first- or second-generation truckers out there who are getting on in years, and if they don’t have an obvious exit strategy or succession plan within the family, they’ll likely look to sell in the next few months to the next few years. We think it’s only going to pick up, especially coming out of the pandemic.” Tumber said KTG isn’t the only company that’s been actively gathering acquisitions. “I definitely don’t think we’re an outlier. I think there’s plenty of examples of those who have a similar growth strategy,” shared Tumber. “It’s such a tough industry to grow organically; it’s so highly commoditized, and drivers are so hard to come by. Good, loyal customers are hard to find, as are good employees in general.” KTG itself was formed via the merger route when Kriska Holdings Ltd. (aka Kriska) partnered with The Mullen Group in 2014 to acquire Mill Creek Motor Freight of Ayr, Ontario. From Kriska and Mill Creek, the holdings have grown to include nine other companies, all of which were headquartered in Ontario or Quebec. These holdings include JMF Transport and TransPro Freight Systems (since 2015), and Icon Transportation Logistics Ltd., Trailwood Transport and Nexus Freight (since 2019). Another company, refrigerated carrier BTC Express, was bought in 2018 and integrated into Kriska. Additionally, KTG acquired logistics brokerages Service Freight Systems in 2017 and Champion Express in 2019. Already in 2021, the company has completed two mergers, Round the Lakes Motor Express and Ready to Load Logistics. Tumber said the strategy for identifying the right company to pursue is a multi-pronged approach. “Capacity is certainly a component of it, as is revenue diversification,” he said. “Across the businesses that we now own that operate independently, none of them are on a hot streak at the same time and none of them are all down at the same time. When a market segment is challenged, it’s offset by another one that’s thriving. We’ve seen a lot of that, whether it be an industry vertical or a service type.” Of course, the rules of diversification as a hedge against risk went out the window in 2020 when every aspect of the trucking industry was negatively affected by the COVID-19 pandemic in Canada as well as in the U.S. Tumber said as a cross-border carrier, there was more similarity than differences in the two countries’ response to the pandemic. “(In the) early days of COVID, on both sides of the border, everybody was living minute to minute, hour to hour, day to day in a state of unknown,” he said. “Our operations group stayed in very close contact, and that was one benefit of being a bigger company. Not one of our general managers was stranded on an island on their own trying to figure this out. “I think in Canada, broadly speaking, our population was pretty quick to understand and adapt to wearing a face mask from a civic duty perspective,” he continued. “I think there was probably more resistance in the States among populations that were slower to buy into that as a necessary action.” Tumber said one byproduct of the Canadian perspective toward the virus is many drivers were more willing to stay on the sidelines out of fear of contracting the disease. This presented management with stiff challenges, not only in terms of conducting regular business, but also in luring drivers back, especially once government subsidies started kicking in. “The Canadian government was exceptionally generous to individuals and businesses who were impacted by COVID, so that would be a major difference between our two federal approaches to the economy and to the people,” he said. “We had probably 10% of our capacity decide the world was too dangerous for them and they weren’t going to drive. They were going to collect their benefits from the government and wait for this thing to pass.” While most drivers did eventually return to work, Tumber said health concerns persist as mitigation efforts vary widely across provinces. “The provinces, much like the states, have reacted differently,” he said. “In Ontario and Quebec where our businesses are, I think we started off controlling this and doing a good job on the front end, but we’ve probably done a pretty poor job in trying to stamp it out. It’s lingered and cases have grown, and we probably weren’t aggressive enough for long enough to get rid of this, which is exactly the same situation in the U.S.” The pandemic is just the latest challenge when it comes to personnel, Tumber added. Driver shortages have been and continue to be a challenge for the industry and a major hindrance to growth. “When you break it down to its simplest form, it’s tough to pull the wool over someone’s eyes and say trucking is something different than what it is,” he said. “At the end of the day, you’re getting behind the wheel of a truck and hauling products, sometimes across the country, and that takes you away from home. It’s the reality of the business. So, how do you make that attractive to somebody who, in a strong economy, has plenty of other options? “Driver pay is something that will always be under the microscope and where the market warrants it, we do our best to increase the wages of our drivers,” he noted. “But I think it’s got a long way to go before it crosses that threshold of indifference. We’re a long way from that still, as an industry.” Until it does, the company will continue to look for opportunities in the M&A market, purchasing outfits that add value and, not coincidentally, drivers as well. From there, Tumber said the onus lies on KTG and its culture to retain these. “There’s a lot of companies out there who are acquiring businesses, stripping them down, and giving little consideration to what’s made them unique and special in their history,” he said. “We’re different in that way. We’re a group that considers the businesses we buy as part of the family. We’re a group that considers the businesses we buy to have uniqueness that is worth preserving. “I know that’s resonated with the businesses we’ve bought. The business owners care about their people and want to make sure that their people are being acquired by other good people. That’s important to us,” he concluded.

Seeking Normalcy: Carriers planning for 2021 with questions about trucks, rates, drivers

If the year 2020 taught us anything about business, it’s that predictions are often worth the real estate value of the cyberspace they occupy. Regardless, plans must be made, and the best we can do is review the evidence, give the analysts a listen, and forge ahead, hoping for some sort of normalcy by year’s end. Planning for motor carriers basically boils down to three points  — trucks, good rates, and drivers. As for trucks, the question is whether carriers will be able to purchase enough new ones to meet the demand this year. Sales of new Class 8 trucks have remained high and the backlog of orders is growing quickly. After a disastrous second quarter, sales rebounded, resulting in 2020 totals that were within a few hundred trucks of 2016 and 2017 sales. In January, according to an ACT Research preliminary report, another 42,200 trucks were ordered for the North American market. That’s a 146% improvement from January 2020 order numbers. “At this introductory pass at 2021 commercial vehicle data, the consumer economy lacks the stimulus-fueled robustness that characterized spending into early Q4,” said ACT President and Senior Analyst Kenny Vieth. “Even as consumers look less hearty — at least in the short-term — manufacturing sector indicators show that the industrial economy is shaking off the dust of two years of tepid activity.” The fourth consecutive month of orders exceeding 40,000 is stressing supply chains, said FTR Transportation Intelligence Vice President of Commercial Vehicles Don Ake. Fleets are placing orders now that may not be delivered until the end of the year, he shared. “Currently there are shortages of raw materials and component parts, which will result in supply being unable to meet the demand of Class 8 trucks in the short term,” said Ake. That includes semiconductors critical to manufacturing. Daimler AG warned that shortages could impact production in the first quarter of 2021. Vieth summed up the supply situation this way: The supply chain’s ability to respond to demand will be the key determinant of Class 8 production in 2021. “As we start 2021, the high points for commercial vehicle demand include strength in key freight generating economic sectors, carrier profitability that is expected to rise to record levels this year, strong orders and rapidly-filling backlogs,” said Vieth. “While demand is strong, supply chain impediments are accumulating, from steel production constraints created by global economic reengagement during a pandemic, to silicon chip shortages, and, in late January, the Mexican government ordering oxygen producers to give medical demand precedence over industrial supplies.” As for available freight and good rates, February started with both positive and disturbing news. FTR’s Shipping Conditions Index for November remained in negative territory at -9.04 although improved from the October reading of -11.6. The index is issued two months after the data is gathered. The improvement was primarily because of some stabilization in capacity utilization, but utilization and rates remained very elevated, a negative for shippers. On the good side, FTR’s Chief Intelligence Officer Jonathan Starks said, no matter which mode or region, freight rates continued to stay elevated as we finished off 2020 and moved into the new year. “Demand may be leveling off, but we are still seeing truck volumes in the spot market that are double the five-year average.” On another positive note, December freight numbers were higher in most available tonnage reports. ACT’s For-Hire Tonnage Index showed an eighth consecutive month of growth. Cass Information Systems, which reports shipment activity across multiple modes of transportation, reported that shipment rates for December not only grew from November but topped December 2019 numbers as well. Freight rates declined slightly on the spot market but remain high, while contract rates are still growing as carriers work with customers to adjust to tightened capacity. FTR’s rate index, issued February 8, actually bucked seasonal trends to set a new post-pandemic high with seasonally adjusted freight activity increased nearly 6% from the prior week. Volume is about 17% higher than the previous pandemic high recorded during the week ending January 8. The looming issue for trucking is the driver shortage. For various reasons, more drivers are leaving the industry, while the commercial driver’s license (CDL) schools that supply new drivers are running at less-than-full capacity — if they are even open. Numerous states have closed at least some testing facilities, and several suspended testing for new CDLs at all for various lengths of time. On the plus side, the number of drivers leaving the industry or bouncing between carriers appears to have slowed. The third-quarter turnover rate at large truckload carriers fell 11 percentage points to 87%, marking its lowest point since the first quarter of 2017, when it was 74%. At the same time, the churn rate at smaller truckload carriers — fleets with less than $30 million in annual revenue — was flat, and less-than-truckload carriers experienced a single-digit decrease in turnover. The decline at the large truckload carriers comes after two quarterly increases last year that saw the churn rate climb to 98%. Additionally, hikes in driver pay and softer freight volumes were factors behind the decline, according to American Trucking Association’s Chief Economist Bob Costello. Another potential issue is the price of fuel. According to the U.S. Energy Information Administration, the national average price for a gallon of ultra-low sulfur diesel has risen by 12.2% since last October, increasing in each month. Despite the risks, analysts have been positive about the prospects for trucking this year. In one interview, ACT’s Vieth disclosed, “I’m predicting record trucking industry profits in 2021.” Last month, FTR’s trucking expert Avery Vise said in an interview, “The next year, by and large, looks to be pretty good, but there are some risks.” Service providers are reopening and lives are beginning to return to something like normal, but recovery depends on how quickly all of that happens. If congressional stimulus talks fail or if the vaccination program takes longer than anticipated, the economy could stall in response. But if things go as expected, freight levels should remain favorable. Capacity should remain tight enough to maintain freight rates, while driver pay hikes take up a percentage of the additional revenue. All in all, 2021 looks to be a more normal year for trucking. Whatever that “normal” may be.

TCA applauds appointment of David Heller to MCSAC

Truckload Carriers Association Vice President of Government Affairs David Heller has been named to the Federal Motor Carrier Safety Administration’s (FMCSA) Motor Carrier Safety Advisory Committee (MCSAC). The MCSAC provides advice and recommendations to the FMCSA administrator on motor carrier safety programs and regulations. Initially chartered by the U.S. Secretary of Transportation on September 8, 2006, MCSAC membership is balanced and is composed of up to 25 experts from the motor carrier safety advocacy, safety enforcement, industry, and labor sectors. Members are recommended by the administrator and appointed by the secretary for two-year terms. “I am proud to have been appointed by FMCSA to this prestigious committee, and I am thrilled to have the opportunity to provide input on the unique needs of the truckload community to this group,” shared Heller. “I look forward to working with my distinguished colleagues on the committee as we discuss the critical issues affecting our industry in the year ahead.” “TCA is honored that one of our own has been appointed to this important regulatory advisory committee,” said TCA President John Lyboldt. “The voice of truckload continues to ring loud and clear among our nation’s policymakers, and Dave’s appointment to MCSAC highlights the work TCA is doing to elevate our members’ needs in Washington.” MCSAC members are chosen from a field of many qualified candidates who possess a wide range of motor carrier experience and expertise. “The MCSAC members provide invaluable insight into all parts of the motor carrier industry and are critical in shaping FMCSA’s priorities and initiatives,” shared then-FMCSA Deputy Administrator Wiley Deck when the announcement was made. “The 2021 membership features a strong and diverse set of members from industry, safety, labor, and enforcement. We are particularly proud of the committee’s record number of female members for 2021. The agency looks forward to working with all committee members in the coming year and working to advance our shared safety goals.”

Meet Pete: New transportation secretary has ambitious plans for infrastructure, emission standards

President Joe Biden wasted no time in making major Cabinet appointments, announcing Pete Buttigieg as his choice for the U.S. Department of Transportation secretary on December 16, 2020. With a 21-3 vote, Buttigieg breezed through a confirmation hearing with the Senate Commerce, Science, and Transportation Committee on January 21, winning praise from committee members for his testimony. On February 2, the full Senate voted 86-13 to confirm Buttigieg to head the department. The new administration’s handling of some key issues will undoubtedly impact the trucking industry. Infrastructure looms large, both in the plan to address roads and bridges that are in poor condition and in the methods used to fund the Highway Trust Fund (HTF). Other issues include fuel pricing, hours-of-service pilot programs that could improve driver productivity, an increase to the minimum financial requirements for carriers, and more. So, exactly who is Pete Buttigieg? Peter Paul Montgomery Buttigieg was born January 19, 1982, in South Bend, Indiana, best known as the home of Notre Dame University. He earned degrees from Harvard University and Pembroke College in Oxford, England. He served in the U.S. Navy and fought in the war in Afghanistan, eventually receiving the Joint Service Commendation Medal, a mid-level U.S. military decoration presented for sustained acts of heroism or meritorious service. He first became a national figure when he decided to run for the Democratic presidential nomination on April 19, 2019,  near the end of an eight-year term as mayor of his hometown. Published reports say Buttigieg gained significant momentum in mid-2019 when he participated in several town halls and debates. Buttigieg narrowly won the Iowa caucuses and placed a close second in the New Hampshire primary. Despite the early successes, he dropped out of the race on March 1, 2020, and endorsed then-presidential candidate Joe Biden the following day. Buttigieg’s tenure as mayor won him both supporters and opponents. CNN reported that those who are familiar with Buttigieg’s work in South Bend say he’s well suited for the federal job given his track record, intellect, and view that transportation is about more than moving vehicles. They point to his success in revitalizing South Bend’s downtown. He redesigned streets, which attracted new businesses, boosted property values, and made the city safer for pedestrians. They also point to the unemployment rate that dropped from 15.5% when he took office to 9% in 2017, and then to 5.9% in late 2020. Critics say he was focused on statistics and spreadsheets rather than implementation of programs supported by those same statistics. They point to 2015, when Buttigieg announced an initiative to work on the city’s problem of vacant and abandoned housing after a 2013 Notre Dame report identified 1,900 vacant and 1,275 abandoned properties in South Bend. Buttigieg proposed to rehab or demolish 1,000 vacant and abandoned homes in 1,000 days, and by all rights, the program accomplished that goal with time to spare. As a presidential contender, Buttigieg announced plans to tackle the issue nationwide. Yet despite accomplishing the 1,000 homes in 1,000 days target, the problem continued to get worse in South Bend. In 2009, well before Buttigieg took office, South Bend had 48,683 total housing units, 41,367 of which were occupied and 7,316 that were vacant, giving the city a vacancy rate of 15%. As of 2017, there were 8,255 vacant units out of 47,280 total, for a vacancy rate of 17.5% according to the American Community Survey data. After Buttigieg’s confirmation hearing, one senator dismissed the former mayor’s background and approach. Sen. Roger Marshall (R-Kan.) said Buttigieg lacked the experience to lead the Department of Transportation. “Fixing municipal potholes and managing bus routes in no way equates to what he will oversee at DOT,” Marshall said in a statement. “It is troubling that Pete Buttigieg has openly talked about using his post as a pulpit for social agenda items and supports the cancellation of the Keystone XL pipeline.” But Transportation for America Director Beth Osbourne said it would be difficult to find a single leader with the professional background to oversee aviation, trucking, cars, pipelines, highway funding, and shipping. Instead, Osborne said Buttigieg’s success depends on his ability to work with a team of deputies and agency leaders. Buttigieg has unveiled a plan to pour more than $1 trillion into creating millions of jobs and updating U.S. infrastructure with an eye toward fending off the effects of climate change. The 17-page plan calls for working with states, cities, and local governments to build sustainable infrastructure that also builds “opportunity, equity, and empowerment.” “When our infrastructure works well, we hardly notice,” the Buttigieg plan states. “These days, we notice our infrastructure a lot.” Buttigieg said his plan would create 6 million jobs with “strong labor protections”; ensure access to clean drinking water while lowering water bills across the U.S. and protecting against lead in paint and water; repair roads and bridges in poor condition by 2030; and invest in sustainable infrastructure that enables 50% of the country to grow over the next 10 years. Buttigieg’s plan says it would prioritize connecting people with jobs and resources. He would double the Transportation Department’s BUILD grant program, which funds a wide variety of infrastructure projects, to $2 billion a year. The plan also includes provisions for road safety, something that wasn’t detailed in the infrastructure proposals put forward by other leading Democratic presidential candidates. He calls for a national “Vision Zero” policy to work toward eliminating traffic fatalities and serious injuries, as well as doubling funding for the Transportation Alternatives Program to install more accessible sidewalks, crosswalks, and bike lanes. So, those who have been clamoring for a comprehensive infrastructure plan may soon see it happen. Democratic control of both chambers of Congress as well as the White House virtually assures passage of the next transportation plan that is included with an overarching infrastructure plan. The next transportation plan will likely be very similar to the $1.5 trillion Moving America Forward (MAF) bill the Democrats pushed through the House of Representatives in June. The bill languished in the then-Republican-controlled Senate, making good the promise of then-Majority Leader Mitch McConnell that it would “go nowhere” in the upper chamber. During his confirmation hearing, when asked about hours-of-service pilot programs paused by Biden’s January 20 regulatory freeze executive order, Buttigieg said, “We’ll look into it,” providing similar answers to other questions. The executive order covered hundreds of programs across the federal government that were paused to allow new political appointees time to review and determine the fate of each one. This a common practice when a new administration takes office. When the topic of highway funding came up, Buttigieg initially spoke in favor of increasing federal fuel taxes in the short term, but later in the day, a Buttigieg spokesperson walked back support for a fuel tax increase, telling reporters that a “variety of options need to be on the table to ensure we can invest in our highways and create jobs, but increasing the gas tax is not among them.” Unlike his predecessor, Buttigieg has the backing of both houses of Congress. It shouldn’t take long to see how his leadership will impact the trucking industry.

Capitol recap: A review of important news out of the nation’s capital | March-April

Despite the change in administrations and the fact that there is no clarity about where President Joe Biden and Transportation Secretary Pete Buttigieg stand on current and proposed rules and regulations, the Federal Motor Carrier Safety Administration has continued to move forward by naming a driver advisory committee, proposing a pilot program to study further flexibility in the hours-of-service rule, and issuing a final rule that will streamline the CDL procurement process by allowing third-party testers to provide applicants with both skills training and skills testing. FMCSA ASSEMBLES ADVISORY PANEL OF 25 COMMERCIAL DRIVERS The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration (FMCSA) has named 25 commercial motor vehicle (CMV) drivers from all sectors of the industry to serve as a new panel to the agency’s Motor Carrier Safety Advisory Committee (MCSAC). “FMCSA believes in listening to our drivers and hearing their concerns directly,” said then-FMCSA Deputy Administrator Wiley Deck. “We know that many of the solutions to the challenges we face don’t come from Washington — they come from the hard-working men and women who are behind the wheel all over our nation. This new subcommittee to MCSAC will further help us hear from America’s commercial drivers.” This new panel, led by the Owner-Operator Independent Drivers Association (OOIDA) President Todd Spencer, will provide direct feedback to FMCSA on important issues facing the driving community — such as safety, hours-of-service regulations, training, parking, and driver experience. This new panel is comprised of 25 drivers from all sectors of the CMV industry, including tractor-trailer drivers, straight-truck drivers, motorcoach drivers, hazardous-materials drivers, agriculture haulers, and more. According to a statement from FMCSA, the agency wants to hear directly from commercial drivers and then incorporate their opinions and concerns into FMCSA’s safety initiatives. The panelists include: Todd Spencer, OOIDA — Chair; William Bennett III, UPS Freight; Teddy Cranford, Waste Management of Maryland Inc.; Debra Desiderato, Walkabout Transport; Douglas Feathers, URS Midwest Inc.; Steve Fields, YRC Freight; JoAnne Forbes, MBT Worldwide Inc.; Gerald Fritts Jr., American Overland Freight; John Grosvenor, McKiernan Trucking; Attila Gyorfi, RSP Express Inc.; W. Scott Harrison, K Limited Carriers; Rhonda Hartman, Old Dominion Freight Lines; Darwin Hershberger; Hershberger Livestock LLC; Daniel Kobussen, Kobussen Buses Ltd.; Deb Labree, Castle Transport LLC; Alphonso Lewis, YRC Freight; Don Logan, FedEx Freight; Kellylynn McLaughlin, Schneider National Inc.; Tina Peterson, Ravenwood Transport; Stephen Pryor, Greyhound Lines Inc.; H. Kevin (Brandy) Russell, Transport America; Douglas Smith, Ralph Smith Co.; Kevin Steichen, Steichen Trucking; Angelique Temple, Atlantic Bulk Carrier; and Desirée Wood, Real Women in Trucking. FMCSA PROPOSES NEW SLEEPER-BERTH PILOT PROGRAM The Federal Motor Carrier Safety Administration (FMCSA) has announced a new proposed pilot program for commercial motor vehicle (CMV) drivers to evaluate two additional options for splitting sleeper berth periods — a 6/4 split and a 5/5 split. “FMCSA continues to explore ways to provide flexibility for drivers, while maintaining safety on our roadways,” said then-FMCSA Deputy Administrator Wiley Deck. “This proposed pilot program will provide needed data and feedback for the agency to use now and in the future. Gathering more data on split-sleeper flexibility will benefit all CMV stakeholders. We encourage everyone to review this proposal and provide their public comments.” During the proposed pilot program, participating drivers would have the option to split their 10 hours of sleeper berth time into two periods — as long as each of the two periods is at least four hours, and the combined time of the two periods equals at least 10 hours. Drivers participating in the program would also be free to choose whether to operate under the exemption based on their schedule. Carriers and drivers desiring to participate would apply to FMCSA for acceptance in the pilot program. As part of its rulemaking process on hours-of-service reform, FMCSA asked for public input regarding potential split periods of 6/4 or 5/5 to gather data on the two options. The agency did not receive any additional data during the comment period; this pilot program would help provide empirical data on potential split sleeper periods. According to a statement from FMCSA, the agency has worked closely with motor carrier stakeholders on the issue of sleeper berth periods. Both motor carriers and organized labor have supported efforts to explore additional options. The International Brotherhood of Teamsters stated that “the majority of Teamster team drivers … indicated they preferred having more flexibility in the time that they can obtain restorative rest periods.” INSPECTOR GENERAL: FMCSA FALLS SHORT IN OVERSIGHT OF REGISTRY OF MEDICAL-CERTIFICATION EXAMINERS A report released in January by the U.S. Department of Transportation’s (DOT) Office of Inspector General revealed that the Federal Motor Carrier Safety Administration (FMCSA) has fallen short in meeting oversight requirements while rebuilding the National Registry of Certified Medical Examiners. As part of its mission, the FMCSA oversees its medical-certification program and promotes safety through regulations, policies, and monitoring of certified medical examiners and driver examinations. The purpose of the National Registry of Certified Medical Examiners, initiated in 2014, is to verify that medical examiners can effectively determine if interstate commercial drivers meet FMCSA’s physical qualification standards. In 2019, as fatalities in crashes involving large trucks or buses increased by 10.6% over a five-year period, an audit of FMCSA’s oversight was initiated due to the significant safety risk posed by drivers who do not meet physical qualification requirements. The audit analyzed FMCSA’s procedures in validating and maintaining data quality in the registry and monitoring medical examiner eligibility and performance and reviewing driver examinations. “FMCSA’s ability to oversee whether drivers meet physical qualification standards to safely operate a commercial vehicle is limited because of a lengthy outage of the National Registry and a resulting backlog of driver examination reports that were not entered into the Registry,” the Office of Inspector General noted in a January 13 statement. The report also notes that the effectiveness of FMCSA’s oversight is hampered by data that is not fully accurate or complete. “FMCSA has not fully implemented requirements for random periodic monitoring of medical examiners’ eligibility and performance,” the statement continued. Initial certification reviews have been conducted to verify medical examiners’ eligibility, but FMCSA has not implemented annual audits. These periodic audits could result in the FMCSA missing fraud indicators or other risks. FMCSA has been advised of the following recommendations following the audit: Implement Agency plans for eliminating the backlog of driver examination results held by medical examiners; Develop a plan to allocate resources to the Medical Programs Division to fully implement requirements for medical examiner eligibility audits and random selection performance monitoring; Update Agency processes for conducting periodic medical examiner eligibility audits and random selection performance monitoring as needed to incorporate upgraded National Registry tools; and Reinstate the conduct of eligibility audits and random selection performance monitoring of medical examiners. According to the January 13 statement, FMCSA concurs with these recommendations to improve oversight of the National Registry of Certified Medical Examiners. FMCSA ISSUES FINAL RULE STREAMLINING CDL SKILLS TESTING The Federal Motor Carrier Safety Administration (FMCSA) has issued a final rule to streamline the process for men and women interested in entering the trucking industry. The new rule will allow states to permit a third-party skills test examiner to administer the commercial driver’s license (CDL) skills test to applicants for whom the examiner also provided skills training. “During the COVID-19 public health emergency, truckers have been American heroes — and the department is committed to helping our economy by reducing unnecessary barriers for those interested in obtaining jobs in the trucking industry,” said then-Secretary of Transportation Elaine Chao. Federal rules previously prohibited a third-party CDL skills instructor who is also authorized by the state to administer the CDL-skills test from performing both the instruction and the qualifying testing for the same CDL applicant. The final rule, announced in mid-December, eliminates that restriction, and permits states, at their discretion, to allow qualified third-party skills trainers to also conduct the skills testing for the same individual. This new rule is designed to alleviate testing delays and eliminate needless inconvenience and expense to the CDL applicant without compromising safety. “Under Secretary Chao’s leadership, the Trump administration has continued to examine ways to provide common-sense regulatory reform and help individuals seeking to enter the commercial driver industry,” shared then-FMCSA Deputy Administrator Wiley Deck. “This new rule will provide states more flexibility during the ongoing public health emergency to test CDL applicants and allow more drivers to safely enter the industry.” DOL ISSUES FINAL RULE CLARIFYING DEFINITION OF ‘INDEPENDENT CONTRACTOR’ The Department of Labor (DOL) published a final rule in the Federal Register that clarifies the standard for employee versus independent contractor status under the Fair Labor Standards Act (FLSA). The rule defines “independent contractors” as people who are, in fact, in business for themselves and are not economically dependent on a single potential employer for work. “This rule brings long-needed clarity for American workers and employers,” said then-U.S. Secretary of Labor Eugene Scalia. “Sharpening the test to determine who is an independent contractor under the Fair Labor Standards Act makes it easier to identify employees covered by the act, while recognizing and respecting the entrepreneurial spirit of workers who choose to pursue the freedom associated with being an independent contractor.” The final rule includes the following clarifications: Reaffirms an “economic reality” test to determine whether an individual is in business for him or herself (independent contractor) or is economically dependent on a potential employer for work (FLSA employee. Identifies and explains two “core factors” that are most probative to the question of whether a worker is economically dependent on someone else’s business or is in business for him or herself, notably (1) the nature and degree of control over the work, and (2) the worker’s opportunity for profit or loss based on initiative and/or investment. Identifies three other factors that may serve as additional guideposts in the analysis, particularly when the two core factors do not point to the same classification. The factors are (1) the amount of skill required for the work, (2) the degree of permanence of the working relationship between the worker and the potential employer, and (3) whether the work is part of an integrated unit of production. The actual practice of the worker and the potential employer is more relevant than what may be contractually or theoretically possible. Provides six fact-specific examples applying the factors. The Biden administration is expected to pause the implementation of this final rule for further review. The rule could also fall victim to being overturned by the newly Democratic Congress. In mid-January, the DOL’s Wage and Hour Division released an opinion letter clarifying that motor carrier safety requirements for owner-operator drivers do not affect independent contractor status. The opinion letter, which came after a request from American Trucking Associations, specifically asks the DOL to allow motor carriers to provide or require various types of safety training and safety equipment to drivers without endangering their status as independent contractors. This opinion letter, along with several others, was later withdrawn by the Biden administration. The Wage and Hour Division noted the letters were, “issued prematurely because they are based on rules that have not gone into effect.” NEW ADMINISTRATION CAN REVERSE SOME FINAL RULES Almost buried in the flurry of news surrounding President Joe Biden’s infrastructure plans is the Congressional Review Act (CRA) that empowers Congress to review, by means of an expedited legislative process, new federal regulations issued by government agencies and, by passage of a joint resolution, to overrule a regulation. Once a rule is thus repealed, the CRA also prohibits the reissuing of the rule in substantially the same form or the issuing of a new rule that is substantially the same. The law, passed in 1996, had been invoked only once before former President Donald Trump and the Republican Congress used it 16 times to repeal Obama-era rules. Final rules released in the last 60 legislative days of the previous Congress are impacted. For the current session of Congress, that date is August 11, 2020. According to George Washington University’s (GWU) Regulatory Studies Center, just short of 1,400 federal regulations fall within that 60-day legislative window. Of that number, 319 come from the Department of Transportation (DOT) — the most of any department. GWU said 224 “significant” rulemakings are on the list; DOT leads with 33. Truckload Carriers Association Vice President of Government Affairs David Heller said one rule that is on the list from the Federal Motor Carrier Safety Administration (FMCSA) is a final rule clarifying agricultural commodity and livestock definitions in hours-of-service (HOS) regulations. One piece of rulemaking from the Department of Labor (DOL) on the list that impacts trucking is a final rule that clarifies the standard for employee versus independent contractor status under the Fair Labor Standards Act (FLSA). The rule defines “independent contractors” as people who are in fact in business for themselves and are not economically dependent on a single potential employer for work. A final FMCSA rule to streamline the process for men and women interested in entering the trucking workforce was issued during the time, but it was not published in the Federal Register during the last 60 days of the previous session. Thus, the rule is not subject to the CRA but will instead receive internal review at DOT before it moves forward. The rule will allow states to permit a third-party skills test examiner to administer the Commercial Driver’s License (CDL) skills test to applicants to whom the examiner has also provided skills training. FMCSA and other agencies have other rulemakings in various stages. “A new administration will not take action through the CRA against anything other than a final rule,” said Heller. “Rather, a new administration simply won’t move forward in the rulemaking process.” GHSA CALLS UPTICK IN TRAFFIC FATALITIES ‘TROUBLING’ The Governors Highway Safety Association (GHSA) said that an uptick in traffic fatalities during the third quarter of 2020, despite a decline in vehicle miles traveled (VMT), is a “troubling trend” as traffic volumes return to normal, according to an article published by The Journal, the official publication of the American Association of State Highway and Transportation Officials. Early estimates issued by the National Highway Traffic Safety Administration (NHTSA) indicate that 11,260 people died on U.S. roadways in the third quarter of 2020, which is a 13.1% increase compared to the same period in 2019. Throughout the first nine months of 2020, NHTSA’s early data indicates that 28,190 people died in motor vehicle crashes — a 4.6% increase compared to the first nine months of 2019. Meanwhile, Federal Highway Administration data shows that VMT during the first nine months of 2020 dropped by about 355.5 billion miles or about 14.5%, meaning the fatality rate for the first three quarters of 2020 jumped to 1.35 fatalities per 100 million VMT. That number is up from 1.10 fatalities per 100 million VMT over the same period in 2019. “We can’t afford to compound the staggering loss of life from COVID-19 with additional preventable deaths caused by unsafe driving behaviors like speeding, driving under the influence or distracted, and not wearing a seat belt,” noted GHSA’s Executive Director Jonathan Adkins in a statement. “The vaccine for unsafe driving is available to every American right now — slow down, buckle up, stow your phone, and never drive impaired,” he said. “If we don’t inoculate ourselves against these dangerous driving habits, a lasting impact of this pandemic will be even more traffic deaths — an unacceptable outcome.” CVSA ANNUAL ROADCHECK SCHEDULED FOR MAY 4-6 The Commercial Vehicle Safety Alliance (CVSA) has announced this year’s International Roadcheck dates — May 4-6. Over this 72-hour period, commercial motor vehicle inspectors in jurisdictions throughout Canada, Mexico, and the U.S. will conduct inspections on commercial motor vehicles and drivers. “CVSA shares the dates of International Roadcheck in advance to remind motor carriers and drivers of the importance of proactive vehicle maintenance and driver readiness,” said CVSA President Sgt. John Samis of the Delaware State Police. “International Roadcheck also aims to raise awareness of the North American Standard Inspection Program and the essential highway safety rules and regulations in place to keep our roadways safe.” Inspectors will ensure the vehicle’s brake systems, cargo securement, coupling devices, driveline/driveshaft components, driver’s seat, exhaust systems, frames, fuel systems, lighting devices, steering mechanisms, suspensions, tires, van and open-top trailer bodies, wheels, rims, hubs, and windshield wipers are compliant with regulations. Inspections of motorcoaches, passenger vans, and other passenger-carrying vehicles also include emergency exits, electrical cables and systems in the engine and battery compartments, and seating. Inspectors will be looking for critical vehicle inspection item violations, outlined in the North American Standard Out-of-Service Criteria. If such violations are found, the vehicle will be placed out of service, which means that vehicle cannot be operated until the identified out-of-service conditions have been corrected. Also during an inspection, inspectors will check the driver’s operating credentials, hours-of-service documentation, seat belt usage, and for alcohol and/or drug impairment. A driver will be placed out of service if an inspector discovers driver-related out-of-service conditions. Each year, CVSA asks its member jurisdictions to capture and report data focusing on a certain category of violations during International Roadcheck. This helps bring awareness to certain aspects of a roadside inspection. This year inspectors will capture data on two categories, corresponding to the two main inspection categories of the North American Standard Level I Inspection — driver operating requirements and vehicle mechanical fitness. For the driver category, hours of service will be highlighted this year, and for the vehicle category, inspectors will be paying special attention to lighting. As was the case last year, in consideration of COVID-19, law-enforcement personnel will conduct inspections following their departments’ health and safety protocols during 2021 International Roadcheck. Last year, more than 50,000 inspections were conducted. The overall vehicle out-of-service rate in North America, for Level I, II and V Inspections combined, was 20.9%. The top two categories for violations were brake system with 3,163 violations (25.8%) and tires with 2,326 violations (19%). Because of the pandemic, last year’s International Roadcheck was held in September.

An Entrepreneurial Spirit: Daymond John of ‘Shark Tank’ parlays $40 purchase into multimillion dollar FUBU empire

The best entrepreneurial spirit often grows out of less-than-ideal circumstances. As one of the most iconic urban fashion designers of modern times, that is exactly what the beginning looked like for Daymond John, who was born in 1969 in Queens, New York. That year was a turbulent one for the nation, but especially for New York City. The city had gained a reputation for high crime, homelessness, and social disruption. By the 1970s, the city had hit a fiscal crisis and visitors were being warned to stay away. The crime and corruption looming in the city and the neighborhood-level obstacles John faced led him to a start as an entrepreneur and paved the way for him to eventually cement his place in urban culture and the business world. Growing up in a neighborhood that he describes as “rough,” John, like many of his peers, was taught at a young age that “me and my boys would all be dead or in jail by the time we were 21,” he writes in his book “Powershift: Transform Any Situation, Close Any Deal, and Achieve Any Outcome.” Teenage John obviously “didn’t like either one of those options.” So, he began to set goals and visualize his ideal future. And while those early years may have been rough going, today John is an extremely successful businessman and television personality. Attendees of the Truckload Carriers Association’s Annual Convention will hear his story during a keynote address on April 19. John grew up in the Hollis neighborhood of Queens and began working at age 10 when his parents divorced. One early job entailed handing out flyers for $2 an hour. In high school, he participated in a program that allowed him to work a full-time job and attend school on an alternating weekly basis, which he credits with instilling his entrepreneurial spirit. After graduating from high school, he started a commuter van service and waited tables at Red Lobster. His big break came in 1992 when he and three friends from Hollis came together with one vision — to defy the odds and create a line of sportswear made by the people who wore it — “for us, by us.” The business they launched became the streetwear brand known today as FUBU. His mother even taught him how to sew and supported him by allowing her house to be used as headquarters for the company. Eventually seeing the potential for the new company based on the success of sales of hats and screen-printed T-shirts, she took out a $100,000 mortgage on her home, a risk both mother and son felt was a safe investment. “At the time, I felt like it was worth the risk because I had $300,000 in sales orders that I was trying to fulfill,” John said in an interview with Truckload Authority. “In hindsight, however, I would have looked for other ways to fulfill those orders, like partnering manufactures and/or retailers or other ways. It was a big risk, and we almost lost the house. It eventually worked out for me, but it’s not something I would recommend.” As his company was growing, John developed what at the time was a by-the-consumer, for-the-consumer marketing strategy. John said it was successful because it was organic. “We, the company owners, we’re also consumers. We actually wore the type of clothing we were producing,” he said. “The strategy wasn’t unique. We were just applying it to a segment of the market — people who lived/loved hip hop culture — that was being overlooked and undervalued.  We made people feel important.” At the time, a lot of companies weren’t marketing to the hip hop community. In fact, some companies made comments that suggested they didn’t want or appreciate their brands being adopted by hip hop culture. “Our brand was targeted directly at the hip hop community,” he said. “Whether you were Black, White, Latino, Asian, whatever, if you liked hip hop, you were the ‘Us’ in for ‘For Us, By Us.’” This “organic” strategy was a hit as hip hop culture embraced the clothing. FUBU became a staple of urban culture and clothing throughout the ’90s and remains popular today. John has advice for prospective entrepreneurs, especially those who might be considering taking what some might call a “leap of faith” to start a new business. “I didn’t start with a leap, and I think that’s important to know. I started with $40,” shared John. “I bought some material and made a bunch of hats. I went out on street to see if I could sell them. That’s not a leap. It was a small, affordable step. Entrepreneurship isn’t an ‘all or nothing’ thing. You can and should wade into it. I can’t say where I would have been if I didn’t start FUBU, but I know I would have kept trying things.” In 2009, John received a call from Mark Burnett asking him to join the cast of ABC’s new reality business show “Shark Tank,” which gives entrepreneurs the opportunity to pitch their businesses to investors, or “sharks,” in the hopes of receiving an investment. “There’s a lot more behind each pitch than viewers see,” shared John as he offered a bit of insight into the show. “Those pitches can last anywhere from 45 minutes to a couple of hours. You only see eight minutes,” he said. “We don’t know anything about the people or their companies before they come into the tank. I don’t really regret not taking any of investments — even the ones that went on to do really well, because I may not have handled those businesses the way the other sharks did. The chemistry may not have been the same. You never know.” When he accepts an offer to help a fledging entrepreneur, John said he is investing in the person, not the product. Such was the case in 2013 when John invested $300,000 in Bubba’s-Q Boneless Ribs in what many say in one of the best investments ever made on the show. Bubba’s-Q Boneless Ribs, located in Avon, Ohio, was the creation of former National Football League star Al “Bubba” Baker. When Baker went on the show, the business was bringing in $150,000 in sales annually. By 2017 sales had reached $16 million a year. Baker closed the restaurant in 2019 because he was simply no longer willing to take time to run a restaurant. “I liked the guy. I liked his family. I liked his story,” shared John. “I also liked that the product was good and that he had a patent on the process he used to make them, but that was secondary. No matter what, unless I’m just planning to buy the owner out and take over the business, I’m investing in the person more than the product or service.” At the end of the day, it is the people and the passion behind a business that have a big impact, whether it is hip hop clothing or trucking. Those Truckload 2021: Las Vegas attendees seeking to improve the performance of their company might want to avail themselves of the opportunity to invest in which John has to say.

2020 Company Driver of the Year and 2020 Owner-Operator of the Year finalists announced

The Truckload Carriers Association (TCA), and its partners Overdrive and Truckers News, have released the names of the 2020 Company Driver of the Year and 2020 Owner-Operator of the Year finalists. Each year, the Driver of the Year Contests recognize company and owner-operator professional truck drivers who provide safe and reliable transportation of North America’s goods. The top finalists were selected based on their demonstrated ability to operate safely on public highways, their efforts to enhance the public image of the trucking industry, and their contributions to their local communities. Thanks to the generosity of long-time sponsors Cummins, Inc., and Love’s Travel Stops, each grand prize winner will receive $25,000, while the two runners-up in each division will win $2,500. Company Driver of the Year Finalists Betty Aragon Betty Aragon of Tucumcari, New Mexico, drives for Wilson Logistics, Inc., based in Springfield, Missouri. Wilson Logistics Founder and CEO Darrel Wilson said he considers Aragon a pioneer for women truck drivers and a consummate professional. “Betty’s career began in 1977 when she purchased her first truck with the help of her father and she has over 5 million safe driving miles without a single accident citation or negative roadside inspection,” said Wilson. “Betty’s genuinely kind heart and dedication to her family, safety, and trucking makes me proud to have a professional like her representing our company and industry.” Wilson Logistics Vice President of Safety and Training Scott Manthey added that when Aragon started driving there were no facilities for women drivers. “Yet Betty persevered though these times,” shared Manthey. “It is people like Betty who have helped over-the-road trucking mature to the thriving industry it is today.” Aragon has been driving for Wilson Logistics since July 2009. Dennis Cravener Dennis Cravener of Virginia Beach, Virginia, has been driving for Givens Transportation, Inc., based in Chesapeake, Virginia, since 1972. This year, Cravener will reach the 6-million-mile mark. “Givens has been incredibly fortunate to have Denny as part of our team for so long, but every carrier should really be proud to know he is out on the road representing our industry,” said Givens Transportation President Trevor Dunlap. “Certainly, his steadfast work ethic and dependability to complete dispatches make him the most reliable of drivers. However, it’s his initiative and mentorship that make him so special. It is impossible to know how many driver miles Denny has impacted, but it’s easily in the hundreds of millions with the number of drivers he has influenced during his career.” Givens Transportation, Inc., Safety Director Richard Salazar noted Cravener drives mainly to the Northeast section of the country and sees all road conditions, whether it be dry, wet, icy, or snowy where arguably road congestion is the worst. “Dennis is very safety-conscious, highly competent, and a proven professional who adds depth and stability to Givens Transportation,” said Salazar. Owner-Operator of the Year Finalists Glen Horack Glen Horack of Elkland, Missouri, has been leased to Prime, Inc., based in Springfield, Missouri since 1996. Prime, Inc., President and former TCA Chairman Robert Low said Horack has had a 100% on-time service during his entire time with the company. “Having drivers like Glen is what makes this company so successful,” said Low. “He continues to give the best service to our customers and does whatever we ask of him. I am honored to have someone like him working with our company and am proud to consider him as part of our Prime family.” Prime, Inc., Safety Director Steve Field noted Horack and his wife, Karla, often make a dedicated floral run to Canada and back. “They have had to deal with all kinds of weather including ice, snow, and high winds, but continue to deliver the load on time, every time,” said Field, adding that Horack is always working to improve the image of trucking through community involvement and his daily behavior in front of customers and the motoring public. Douglas Schildgen Douglas Schildgen of Waterloo, Iowa, has been leased to Waterloo-based Warren Transport, Inc., since 1976. “Doug is one of our finest and has made a lasting impression on how professional and dedicated he continues to be,” said Warren Transport, Inc., President James Schommer. He commended Schildgen for his distinct ability to help others. “He provides direct input he believes will help others succeed,” added Schommer. “From other contractors, safety staff, dispatch, and senior leadership (including myself), his wisdom and common-sense approach benefits us all.” Warren Transport, Inc., Director of Safety Robert Sullivan said Schildgen understands safety has no excuses. “Doug’s record sets him apart from most of his peers as he maintains his accident/injury free record by committing himself to safety before and after he steps into the cab,” said Sullivan. Bryan Smith Bryan Smith of Asbury, Iowa, has been leased to Tucker Freight Lines, based in Dubuque, Iowa, since 1993. Tucker Freight Lines President and CEO Al Tucker said that since buying the company in 2018, Smith has impressed him by the way he is involved with his community and family, all while running close to 100,000 safe miles a year over the road. “If you get to know Bryan, you will quickly learn that trucking is not the most important thing in his life,” said Tucker. “If Bryan is at the terminal during the week, you can count on seeing his truck sit in the yard until after he gets his three girls off to school. If he has to stop by the terminal when he is off duty, one or more of the girls will be with him. He spends his off time with the people that matter most.” Tucker Freight Lines Safety Director Cody McClain noted Smith not only passed 3 million safe miles during 2020, he did it while hauling equipment and building materials. “These are some of the most difficult and dangerous items to haul in the industry,” said McClain. “Bryan always takes the time to ensure his and everyone else’s safety.” McClain said Smith is also a go-to resource for new drivers with any questions. Each owner-operator finalist will be showcased by Overdrive magazine and each company driver finalist will be showcased by Truckers News. Grand prize winners will be announced at TCA’s Annual Convention – Truckload 2021: Las Vegas – on Tuesday, April 20, 2021. For more information on the Driver of the Year Contests, visit truckload.org/DOY.