2/1/2024 0 Comments Financial Crimes Enforcement Network's new reporting requirement hits owner-operators small fleetsThe United States Treasury's Financial Crimes Enforcement Network (FinCEN) now administers a reporting system aimed at all manner of small businesses throughout the United States. Since the first of this year, any newly established LLC, corporation, LLP and some other business types, including any owner-operator or small fleet who's filed with their Secretary of State to establish the business, have 90 days to report Beneficial Ownership Information (BOI) to FinCen and the Treasury. The requirement is also in play for businesses that existed prior to the first of the year, noted Tim Hill, entity service manager for owner-operator business services firm ATBS. Those owner-operators and many small fleets, though, have much more time to report -- the deadline to complete the filing with FinCEN is the end of 2024. Penalties for not doing so can be "pretty severe" by the letter of the law when it comes to the BOI reporting program, said Hill, with civil fines of $500 per day beyond a business's deadline to report, and potential criminal penalties up to imprisonment for the worst cases. If that sounds harsh for what amounts to failure to check a few boxes on an online form, there's a reason Treasury is motivated here. The new BOI program was created as a result of the Corporate Transparency Act, legislation passed in Congress in 2021 as part of that year's Defense reauthorization package and aimed at the problem of money laundering from abroad and at home through shell companies, said Hill. Laundering is fairly easy to do when "no one knows who owns" the company, he said, and "this is an attempt to fix that." The good news is that reporting looks to be a fairly simple matter for most owner-operators, requiring little more than an individual owner's name, date of birth, address and identifying document like your CDL or passport. The owner applicant must identify his/her company with its name, address and Employer Identification Number (Social Security number will suffice, too, for most one-truck businesses that are LLCs, Hill said), identifying then any other individual either with "substantial control" of the business or with an ownership stake above 25%, such as they may exist. The following flowchart from FinCEN aims to help businesses quickly ID whether or not they fall under the new BOI reporting requirement. Hill estimated the new requirement might apply to roughly 15% of ATBS owner-operator clientele, those who've set up LLCs or other business entities with their Secretaries of State. Except in certain circumstances (such as if you move your business to a new home base address), it's likely you'll only need to report once in your business's life. As Hill put it, "After a single report, if you never move, you may never have to report again." [Related: How to set up an owner-operator LLC to file as an S Corp and save on self-employment tax] The bad news: Quick timeline for address-change deadlines with BOI reportingATBS initially considered whether they would be able to provide the BOI reporting service on behalf of clients, but then flagged a particular liability that was going to make that difficult. When any registered business changes its address, under the BOI reporting program's terms owners have just "30 days to report the change" to FinCEN, Hill said, with the same $500 per-day civil fines potentially applying at the end of that 30 days. That requirement might be the most urgent among all within the program for owners on the move, given the program's newness and the short time period to report an address change. With that tight deadline, and big penalties, ATBS felt that to be able to provide the service it would have put an even tighter timeframe on its clients making address changes with them. Ultimately, for BOI reporting, Hill said, "we’re going to be able to help out and provide some of the information" an owner might need, then recommend the owner do the filing him or herself. Some other special cases to consider.
ATBS's Tim Hill notes there's always been some reporting to FinCEN from entities like private equity managers and hedge funds. The "Financial Crimes Enforcement Network is not a new thing," he said. Yet "in the past they seemed only to go after bigger entities. This is the first time I've seen [the Network] applied to small entities" so directly. Owners can get started on filing via this link to FinCEN's BOI e-filing website. https://ift.tt/eqFaip5
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Trucking news and briefs for Wednesday, Jan. 31, 2024: Oregon Trucking Association, fleets suing state over highway taxesThe Oregon Trucking Association along with fleets A&M Transport, Sherman Bros. Trucking and Combined Transport are suing the state of Oregon and top Oregon officials, alleging that truckers are paying disproportionately more highway taxes in the state. Oregon’s state constitution requires the state to impose taxes on vehicles to fund highway and road maintenance, which are required to be “fair and proportionate to the costs incurred for the highway system because of each class of vehicle.” Trucks over 26,000 pounds in Oregon pay a weight-mile tax, while passenger cars pay fuel taxes to fund the state’s infrastructure. To ensure the taxes are fair and proportionate, the state legislature is required to biennially review and, if necessary, adjust revenue sources. As such, every two years, the Oregon Department of Administrative Services is charged with conducting a Highway Cost Allocation Study (HCAS) to determine the proportionate share that heavy and light vehicle users should pay, as well as whether those users are paying that share. From 2005-'17, the lawsuit claims that there was “near-perfect equity” between what light and heavy vehicle users were paying. “For the past three study periods, however, heavy trucks have shouldered an increasing share of the burden,” the lawsuit alleges. In the 2019-'21 study, heavy vehicle users overpaid by approximately 3%, then 16% for 2021-'23. The most recent allocation study -- for years 2023-'25 -- had heavy vehicles overpaying by 32%. “Each of these studies -- and subsequent presentations of these studies to, and by, governmental stakeholders -- have explicitly highlighted the inequitable burden on heavy vehicles,” the lawsuit alleges. The Oregon Department of Transportation reportedly estimated that for the 2023-'25 allocation study, heavy vehicles will overpay by $193 million per year, amounting to an overpayment of more than $528,000 each day. Yet, the lawsuit alleges, ODOT has continued to collect the “inequitable and unconstitutional taxes from heavy vehicle operators.” “For too long, Oregon trucking companies, the vast majority of which are small, family-owned businesses, have paid far more than their fair share of transportation taxes,” said OTA President and CEO Jana Jarvis. “By 2025, the trucking industry is expected to have overpaid by half a billion dollars. Trucking companies in Oregon simply cannot sustain paying the highest transportation taxes of any state in the country any longer.” The lawsuit seeks a mandatory adjustment of revenue sources to ensure fairness and proportionality of vehicle taxes, an injunction to stop “unconstitutional weight and mile taxes” from taking effect in 2024, and for the trucking companies who brought the suit to entitled to recover damages of at least a combined $925,200.63. [Related: Know the full extent of your costs before going independent] Mexican driver busted in Alabama with hidden cocaineAn Alabama drug task force recently discovered 57 pounds of cocaine within a hidden compartment on a truck during a traffic stop. On Jan. 25, agents with the 17th Judicial Circuit Drug Task Force in West Alabama initiated a traffic stop on an 18-wheeler on I-20/59 in Greene County. During the traffic stop agents noticed several indicators of criminal activity. A search of the truck revealed a hidden aftermarket compartment that contained 26 kilos (57 pounds) of cocaine. One male subject, who is a resident of Mexico, was arrested and charged with drug trafficking and operating a vehicle with a secret hidden compartment. The case is still under investigation. [Related: Truck drivers among 10 arrested, 19 charged in international drug smuggling case] Runaway truck ramp in Nevada closed until MarchOne of two truck escape ramps on eastbound U.S. 50 in Carson City, Nevada, is temporarily closed for maintenance as of Jan. 29. The truck escape ramp on eastbound U.S. 50 near Golf Club Drive, located between the Lake Tahoe area and Carson City, will be closed through early March for maintenance. An additional neighboring truck escape ramp located near the U.S. 50 and U.S. 395 junction will remain available for emergency use. Drivers can also anticipate shoulder closures and periodic single lane closures on eastbound U.S. 50 near Golf Club Drive weekdays between 7 a.m. and 4 p.m. during the same time period. The lane closures will allow trucks to safely enter and exit the truck ramp for maintenance. This type of truck ramp uses specialty-sized, rounded gravel to effectively and safely slow runaway vehicles. The gravel within the truck bed will be removed and thoroughly cleaned to remove salt and sand that has accumulated over the years. The truck escape ramp is one of multiple escape ramps across Nevada. The ramps are located adjacent to steep downgrades for out-of-control vehicles to slow and stop away from other vehicles more safely. Any vehicle experiencing braking problems can use a truck ramp. [Related: Trucks barred from section of I-20] https://ift.tt/eqFaip5 1/31/2024 0 Comments Truck drivers among 10 arrested 19 charged in international drug smuggling caseTwo Canadian truck drivers were among 19 people charged as members of an international organized crime syndicate for allegedly trafficking and importing cocaine and other controlled substances from Mexico into the United States and Canada. Ten were arrested in multiple cities this week following two federal indictments in the alleged scheme, which directed illegal narcotics through Los Angeles for export to Canada or re-distribution throughout the United States. Authorities executed arrest and search warrants on Tuesday, Jan. 30, with a coalition of international law enforcement partners in various cities, including Los Angeles and Sacramento, California; Miami; Odessa, Texas; and the Canadian cities of Montreal, Toronto and Calgary. In addition to those arrested, two defendants were already in state custody, and seven defendants are fugitives, including three Mexican citizens who allegedly supplied wholesale quantities of narcotics to the traffickers in the U.S. and Canada. The investigation, known as “Operation Dead Hand,” resulted in two federal grand jury indictments, which collectively charge 19 individuals for their alleged roles in the organized crime syndicate. The syndicate, prosecutors allege, includes Mexico-based suppliers who brought large quantities of narcotics into the U.S., U.S. distributors, a Canadian who led an exportation organization, Canadian-based truck drivers who operate in the United States, and a large-scale Canadian trafficker and Italian organized crime figure, Robert Scoppa, whom investigators allege purchased massive quantities of drugs on a wholesale basis. Investigators developed information indicating the organized crime group used Canadian “handlers” and “dispatchers” who traveled from Canada to Los Angeles for short amounts of time. The handlers coordinated the pick-up and delivery of large shipments of cocaine and methamphetamine, which were loaded onto long-haul trucks destined for Canada. Wholesale quantities of fentanyl were seized as a result of the investigation. The transportation was coordinated by a network of drivers working with dozens of trucking companies who made numerous border crossings from the United States to Canada via the Detroit Windsor Tunnel, the Buffalo Peace Bridge, and the Blue Water Bridge, according to the indictments. [Related: State troopers indicted in CDL test bribery scheme] The indictments allege illicit drug trafficking activity cumulatively involving approximately 845 kilograms (1,860 pounds) of methamphetamine, 951 kilograms (2,092 pounds) of cocaine, 20 kilograms (44 pounds) of fentanyl and four kilograms (nearly nine pounds) of heroin. More than $900,000 in cash was seized during the investigation. The estimated wholesale value of the narcotics seized was between $16 and $28 million. The investigation led to two separate indictments. U.S. v. Sandoval is an 18-count indictment that charges 10 defendants, including the two Canadian truck drivers, for their roles in an organization that allegedly began operating on an unknown date and continued to about March 2023. They're charged with two drug trafficking conspiracies; conspiracy to import cocaine; drug exportation conspiracy; distribution/possession with intent to distribute controlled substances; possession of a firearm in furtherance of drug trafficking and being a felon in possession of ammunition. The defendants charged in this indictment: Jesus Ruiz Sandoval Jr., 45, John Joe Soto, 42, and Eduardo Carvajal, 50, all of Guadalajara, Mexico; Roberto Scoppa, 55, of Montreal, Canada; Ayush Sharma, 25, of Brampton, Canada; Subham Kumar, 29, of Calgary, Canada; Carlos Barragan, 51, of Long Beach, California; Corell Carbajal Garcia, 38, of Hemet, California; Humberto Luis Bermejo, 26, of Odessa, Texas; and Esteban Sinhue Mercado, 24, of San Jacinto, California. Sandoval Jr., currently a fugitive, is believed to be a large-scale drug trafficker importing drugs from Mexico into the United States for distribution. Soto is believed to work under Sandoval. Carvajal, also an alleged large-scale drug-trafficker, is believed to export drugs from the United States to Canada. Scoppa is an alleged Canadian drug trafficker with close ties to an Italian organized crime family in Montreal. Barragan is an alleged drug trafficker who lives in the United States. Sharma and Kumar are truck drivers involved in exporting drugs to Canada. [Related: $10M in drugs hidden in load at border: Latest bust] The other indictment, U.S. v. Sidhu, includes 23 counts charging nine defendants for their roles in a criminal enterprise operating from at least September 2020 through February 2023, prosecutors allege. In addition to a drug trafficking conspiracy, the indictment alleges a drug exportation conspiracy and substantive counts of distribution/possession with intent to distribute controlled substances. The defendants charged in this indictment: Guramrit Sidhu, 60, of Brampton, Canada; Ivan Gravel Gonzalez, 32, a resident of both the Dominican Republic and Montreal, Canada; Daniel Antonio Trejo Huerta, 43, of Riverside, California; Ignacio Lopez, 53, a resident of Santa Ana, California; Daniel Joseph Alan Herrera, 27, of Miami; Orlando Velasco Jr., 29, of Stanton, California; Angel Larry Sandoval, 32, of Bell Gardens, California; Jorge Pina Nicols, 22, of Long Beach, California; and Bryan Ureta Valenzuela, 24, of Ontario, California. Sidhu is alleged to have orchestrated the trafficking and exportation of large quantities of controlled substances to Canada working with several co-defendants described as suppliers. Gonzalez is alleged to be part of Sidhu’s exportation team based in the United States. Sidhu, also known as “King,” is charged with one count of engaging in a continuing criminal enterprise. According to the indictment, Sidhu occupied a position of organizer, supervisor and manager, and in this role obtained substantial income and resources. If convicted, each defendant would face maximum penalties ranging from 40 years to life in federal prison. If convicted, Sidhu would face a mandatory minimum penalty of 20 years in prison. If convicted, Sandoval and Carvajal each would face a mandatory minimum penalty of 15 years in prison. Investigation is ongoing by a series of international law enforcement partners including the FBI, the Los Angeles Police Department and the Los Angeles Interagency Metropolitan Police Apprehension Crime Task Force (LA IMPACT), the Royal Canadian Mounted Police, U.S. Customs and Border Protection, and law enforcement authorities in Mexico. Significant assistance was provided by Homeland Security Investigations and the Drug Enforcement Administration. The Justice Department’s Office of International Affairs; the FBI’s Legal Attaché Offices in Mexico City, Ottawa and New Delhi; and the FBI Field Offices in Miami, El Paso and Buffalo provided substantial assistance and support. Operation Dead Hand is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF is intended to identify, disrupt, and dismantle the highest-level drug traffickers, money launderers, gangs and transnational criminal organizations that threaten the United States. [Related: Cocaine in Mex driver's trailer axles: Texas cops] https://ift.tt/loMcRyn Trucking in recent years has been a difficult enough business when everything is going right, given high fuel and maintenance costs, lower rates and plenty other challenges. Add in a near-fatal bout of COVID-19 that puts you out of the truck for more than a year, and the challenges become nearly insurmountable. But if you’re Leslie Bitterman, the owner-operator of Bitterman Trucking out of Wenatchee, Washington, it’s merely a hurdle. Bitterman has been in the trucking business since 1994 when she and her late husband, Dale, started Bitterman Trucking with a dump truck. After five years working locally doing construction jobs, the Bittermans transitioned to long-haul work and went over-the-road, first as team drivers, then with each driving their own truck. Dale had previous driving experience hauling asphalt, which Leslie said is “where he got the love of driving and wanted to get his own truck.” She got her CDL when they started the business and jumped right in, even with three children under the age of 5 at the time. Dale passed in 2010, but she decided to keep the business going and has since carved her own niche mostly hauling fruit in and around Washington. Leslie’s persistence through the years, overcoming the passing of her husband and business partner and persevering through illness, led to her nomination for Overdrive’s 2024 Trucker of the Year program by her daughter, Ashley Bitterman. Owner-operator Leslie Bitterman is Overdrive's Trucker of the Month for January, putting her in the running for the 2024 award. “My mom is the spirit of Bitterman Trucking,” Ashley said in nominating Leslie. “Her grit and determination to take care of business makes her a success. She is our hero!” [Related: They said he'd fail: Overdrive's Trucker of the Year Jay Hosty] ‘I had to do what I knew how to do and get in that truck’The fact that Leslie Bitterman is still behind the wheel of a truck today is a testament to her work ethic and determination to keep the business running. At the end of January 2022, she contracted COVID-19. A week after testing positive for the virus, she came down with pneumonia, which caused sepsis, a bacterial infection in the blood stream. “To be honest, I died in the ambulance, and they brought me back,” she said. She spent two weeks in intensive care, and Ashley said “it was uncertain" if she would even survive, much less drive again. Bitterman spent the rest of 2022 recovering. She suffered from memory loss, she said, and was on oxygen, which prevented her from being able to drive at all. “I kept working every day on my memory and my strength to be able to get back in the truck and haul some loads,” she said, because she needed to make a living for herself. She had remarried after Dale passed away, but she and her husband separated two years ago, leaving herself as the only source of income. “I had to do what I knew how to do and get in that truck and go trucking,” she said, determined to come back from her illness. By the summer of 2023, Leslie was off of oxygen and passed her DOT physical to get back behind the wheel, hauling apples and other fruits dedicated to Northern Fruit Company, based in Wenatchee, during harvest. Ashley rode with her during her first season back in the truck, helping throw straps and tighten down loads as owner-operator Bitterman continued to build strength. Ashley’s 9-year-old daughter, Hartley, was even in the rig with them during the summer learning the basics of trucking and apple harvesting. Ashley, according to Leslie, “has been my backer telling me, ‘Mom, you can do this, just get back in the truck, get your confidence back.’ So that’s what I did, and it was great she went along to help me.” Through the years, Leslie has always been “a go-getter,” according to Michael Downes, the retired owner of MGD Orchard Services, for whom the Bittermans hauled for a number of years. “When I first started [in trucking], I bit off more than I could chew, and I needed help." The Bittermans were available at the time and “wanted to do the job, wanted to work. They never let me down.” Leslie hauled a variety of freight for Downes, though it was mostly produce. “I never had an issue where their truck was down and they couldn’t work,” he noted. Any time he needed a job done right, Bitterman Trucking was his first call. "She's one of the nicest ladies I know. She's always got a smile on her face and is happy to do the work." Leslie worked about half the year in 2023 and is taking the winter off, which she has traditionally done, then it's back to “haul some more fruit and keep the truck rolling,” she said. Before her bout with COVID, she also ran over-the-road part of the year, working the load boards. A family affairWhile Leslie is the only employee of Bitterman Trucking, her children remain an integral part of the business. Throughout the 30-year history of Bitterman Trucking, Leslie has managed the books and kept track of revenue and expenses. She continues to do that today with the help of Ashley. Leslie does all of her hauling today in the 2007 Peterbilt 379 (pictured up top) she and Dale bought in 2008. The truck, nicknamed “Plum Perfect,” was Dale’s dream truck, Ashley said. It's not the only rig in owner-operator Bitterman's stable, though. Two other 379s -- a 1995 and a '96 model -- have been sidelined for some time. She sold another, a 2007 Kenworth, just last year, too. On the maintenance front, Leslie's son, Dale Bitterman Jr., is a veteran, having worked for 17 years at Doug’s Diesel Repair in Wenatchee. He keeps the rig in tip-top shape, performing the routine and other needed maintenance. “That’s helped save a big expense,” Leslie said. “My brother and I look up to our parents’ fierce determination and grit,” Ashley said. “Though I’m an elementary school teacher, spending this time with her in the truck is nostalgic of trips we took throughout our childhood.” There's more to it for Ashley, though. She's inherited that grit and is clearly applying it, working toward getting her own CDL. If all goes according to plan, owner-operator Leslie Bitterman's one-truck business will grow in the near future. She hopes to put Ashley in one of those sidelined Petes when she gets her CDL. [Related: Overdrive's 2023 Truckers of the Year: The 'exit interviews' toward the finale, Part 1] You can enter your own owner-operator business or nominate another for Overdrive's 2024 Trucker of the Year competition via this link. Nominations will be accepted throughout the year. Hear last year's Trucker of the Month contenders' and 2023 winner Jay Hosty's stories in their own words via the playlist below. https://ift.tt/loMcRyn The California Air Resources Board's first real attempt to ban diesel trucks from hauling in the state recently got shot down, at least partially, in court. Fleets and owner-operators now might be left wondering if CARB's diesel drayage ban is dead, paused, or just lingering in the shadows until the next regulatory cycle. A recent webinar from Edison Energy, a consultancy that helps companies electrify and decarbonize transportation needs, provided some answers and reference points on that front. California sought to ban, as of January 1 this year, the addition of diesel trucks to its registry of drayage trucks. Other provisions in the Advanced Clean Fleets (ACF) rule would have restricted "high priority fleets," or fleets with more than 50 qualifying trucks or more than $50 million in gross revenue, to meet zero-emission vehicle (ZEV) procurement milestones starting next January. Those high priority fleets would also have to begin submitting paperwork on the makeup of their fleet to ensure they're hitting the milestones. [Related: California 'not' dreaming: CARB year-end deadlines getting real for truckers] Those bans never took full legal effect, however, as a lawsuit from the California Trucking Association derailed enforcement pending a waiver from the Environmental Protection Agency. "Fleets can continue adding diesel medium and heavy duty" drayage trucks "to their fleets," said Iman Nordin, a senior analyst at Edison, "but keep in mind once the waiver is approved or EPA makes a determination that it's not required, those vehicles are at risk of not being able to operate in California" ports. CTA for now has opened a window for new diesel trucks to continue rolling in California's busy ports until an EPA waiver, or word that California doesn't need a waiver, comes down. However, Nordin said it is likely a matter of "when" not "if" a waiver is approved. "The majority" of EPA waivers," he said, "generally are approved, but the timeline can take up to 18 months if not more." Nordin noted the most recent EPA waiver on this issue took 15 months. Shannon Holzer, the lead of the policy team at Edison, said the EPA waiver decision could come "as quickly as 6 months," as the government is "in an election year," prompting a lot of agencies' rush to finish agendas "by mid-April." As for the penalties a fleet would face if and when California does get the authority to enforce its ban, Nordin said CARB "doesn’t seem to have any financial penalties" in mind, and the risk is "more operational," with power units potentially locked out of ports. Stranded trucks – or trucks suddenly deemed unfit for work in California ports – represent the worst of the consequences for continuing on with diesel, it seems, for now. Due to the CTA's court victory, CARB will pause any enforcement action for now, Nordin said. That means the fleet makeup paperwork, originally due by February 1, isn't due just yet, though CARB still encourages fleets to voluntarily comply. Even with a lack of enforcement and a timeline on new regulatory clarity that could take years, Nordin and others at Edison encouraged fleets to continue their electrification journey. Because EVs need charging infrastructure that can take years to properly install, even a break in the regulatory pace doesn't buy a trucking company a lot of time. There are many exemptions to the ACF rules. For example, if the EV OEM can't deliver the truck on time, document it, because that's an exemption, Edison Energy noted. If the power company can't get the juice to the chargers, that's another exemption, potentially buying more time. If the construction of charging infrastructure gets held up in permitting or for other reasons, that too grants fleets an exemption. Ultimately, Edison felt, California's ZEV regs deadlines are coming for sure, gaps in enforcement policy not withstanding. https://ift.tt/loMcRyn Revoy, a new EV unlike anything on the market, hopes to electrify trucking overnight, turning conventional in-use diesel tractors into hybrids achieving more than 30 mpg -- in just five minutes or so. Here's how it works: Any diesel tractor can pair with the Revoy EV, which itself has an axle and a second fifth wheel. The trailer to be hauled simply hooks to the Revoy unit's fifth wheel, which uses some autonomous technology to reduce the legwork there. The three-part combo then hauls the load, with the Revoy unit providing most of the power to its own axle, and some residual diesel power running the cab electronics. Revoy bills the EV as a service which is "purely additive," in that carriers don't pay anything up front. "We offer a really different and much better and easier path for fleets to go electric," said Revoy founder Ian Rust. "We offer a service." Zero money up front for the unit, then: "customers pay us by the mile. It's really more of a fuel product. We charge them for the diesel we save them, altogether with the residual diesel, and our fees that are all inclusive." The company establishes a baseline fuel mileage for any individual subscriber. "Typically fleets are keeping good track of their mpg, and then we're typically more than halving their diesel usage," said Rust, saving money on the whole. The Revoy's electric unit has a range of about 250 miles, comparable to the Volvo VNR Electric and other EV offerings. On a 250-mile run, a truck getting 7 mpg might burn 35 gallons of diesel, which we'll say costs $4/gallon or $140. The Revoy EV would cut that in half, approximately, and bill the fleet for a cut of the difference. Currently, Revoy operates two "swap stations" in Texas and Arkansas, and it has fleet customers whose drivers pull into the station where a Revoy attendant greets them and swaps out the spent battery. Rust said Revoy has stations planned in California and Oregon as well. "We have four [Revoy EVs] built and three are in service on a commercial demonstration route hauling live loads," said Rust. "We contract with major fleets for these long-haul routes, and we prefer linehaul for consistent volumes in a consistent location." Ultimately, these are pilot customers with a product that's in proof-of-concept mode as of yet. Revoy would obviously need to build out a network of swap stations to scale the business massively. But, unlike other EV offerings, Revoy specifically targets long-haul. "The way we enable long-haul is not that we have some magical battery chemistry, though we do use best in class batteries," said Rust. "The issue with range is more with charge, so now instead of a vehicle down for hours during a charge, we can swap the Revoy EV in four minutes." That's partly what makes the company's idea unique, and why it's a "modular" design rather than an attempt to integrate electric motors into diesel-burning trucks, another idea in prototyping stages now. [Related: Meet 'Topsy', Edison Motors' new diesel-electric vocational prototype] The Revoy units simply shuttle back and forth between swap stations, and the tractor continues on it's journey under diesel power as it normally would. Rust said the "battery swapping model has a lot of challenges," not the least of which are lack of a common battery and swapping interface and the potential for heavy lifts needed at swapping stations. On the plus side, though, "hybrids can't run without the battery and just revert back to diesel" like Revoy can. "When permanently modifying the vehicle, that extra weight has range implications," as well as weight considerations with a heavy battery sitting on drive and steer axles. Instead, the Revoy unit's fifth wheel is positioned to spread the weight out across a few axles. What does the Revoy EV weigh? What are its dimensions?And about that weight, does Revoy keep it a guarded secret like Tesla's Semi? No, Rust said the Revoy EV weighed in at about 22,000 pounds, just 2,000 or so pounds lighter than a Volvo VNR Electric and as much as 6,000 pounds more than a Freightliner eCascadia. [Related: Pepsi spills the beans on Tesla Semi's real-world hauling performance] Additionally, because the Revoy isn't totally "zero emissions" out of the stacks, it doesn't get the extra 2,000 pound weight allowance that the VNR Electric or eCascadia would. Rust admitted the 22,000 pound curb weight "isn't nothing," but insisted the payload impact for real-world customers was exactly zero. "The key is when we encounter those trailers that can’t that afford the weight, we wave them on. We looked at the data," Rust said, adding that "two thirds of loads can accommodate the extra weight." In high-value freight at least, the trend has been toward the extreme majority of loads cubing out before they ever weigh out. The Revoy EV also adds 13 feet in length to the overall combination, and the company said drivers have found it "pleasantly maneuverable." Keep in mind, there's a federal limit on trailer length, but not the overall length of a combination. What do drivers think of the Revoy EV?Beyond the concepts and prototypes, Rust prides himself on putting in real work in the trucking world to perfect the product. Benefiting from Rust's experience in robotics and autonomous vehicles, the Revoy does a lot of the fifth-wheel connections and yard moves by itself, completely unmanned. "That's something drivers really love. They don’t have to go drive and reverse and go find the new trailer,' he said. "We do all that for them." Right now, that process includes an attendant, but Rust hopes to fully automate it. Rust said one of his test drivers, a woman with 40 years behind the wheel, said she loves the EV's quick acceleration, and that the power coming from a separate, further back axle doesn't feel any different from the driver's seat. Other features like regenerative braking, and the additional brakes on the EV itself, promise to make the combination stop in shorter distances and reduce heat on the system. Ultimately, Revoy hopes to build out a network of swapping stations and help anyone from mega fleets to owner-operators begin to decarbonize their hauls. What stands out about Rust's vision, at this point, is the road-tested aspect with real world hauls and miles, DOT inspections, "license plates and everything," he said. https://ift.tt/loMcRyn
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Trucking news and briefs for Tuesday, Jan. 30, 2024: New freight-fraud prevention tool now availableQuikSkope, a fraud protection tool securing the chain of custody for brokers, carriers and shippers, officially launched Tuesday. The company said the tool is designed to provide real-time, load-level verification and security protocols to combat fraud and criminal activity at the ground level. Using geofencing and photo verification, QuikSkope allows shippers and brokers to confirm that a driver associated with the carrier hired is physically on-site at the pickup location before a pickup number is released. In addition to QuikSkope’s verification process, if fraud is detected or verification fails, QuikSkope will not release the pickup number and customers will be notified via email. The customer then can see the photo provided and intervene by manually approving the pickup number release or calling the carrier and notifying them they need to be replaced for failure to verify their identity. Bad actors will be reported and documented in real-time, with QuikSkope making their findings available to those pursuing criminals and con artists. [Related: 3 double-brokering scams that can result in theft of more than just money] "We’ve all experienced first-hand the devastating financial results of freight fraud and the snowball effect it can have on relationships between carriers and brokers,” said Michael Fullam, QuikSkope’s founder. “Our goal with QuikSkope was to make it as simple as possible for drivers to navigate the verification process and for brokers and shippers to respond. Clicking a text message link and uploading a quick photo encourages compliance by eliminating the need to download and employ yet another application, and ultimately secures the full chain of custody.” Many of today’s supply chain verification tools are focused on vetting carriers before they are hired to verify that their identities are correct, and they have the proper authority to operate. QuikSkope’s goal is not to replace that process, but to add another layer of security at the individual load level to ensure the carrier and driver hired are the ones that are executing the load, reducing double brokering, the company said. QuikSkope offers the flexibility of deployment on a per-load basis or through a subscription plan. [Related: Cargo theft is skyrocketing, and double brokering is partly to blame] Trucker Path adds lending firm to app marketplaceTrucker Path has announced a new partnership that will bring a range of financing services to the app’s platform. The partnership with Lendio brings an embedded lending option to the Trucker Path Marketplace. Lendio has already funded more than $330 million for small trucking businesses, the companies said, and will now offer a range of its services for Trucker Path users. “Lendio brings much needed capital to trucking businesses, who have traditionally been underserved by banks,” said Chris Oliver, CMO at Trucker Path. “Their loan products, which are tailored for transportation businesses, can be used to buy, upgrade or repair equipment, invest in technology to gain a competitive advantage, and expand operations or add staff.” Trucking and transportation offerings from Lendio include asset- or revenue-based financing, debt financing, lines of credit, and equipment financing. Lendio’s online application, which is available in Trucker Path’s mobile app and does not impact the applicant’s credit, can be completed in as little as 15 minutes and funding can be available as quickly as within 24 hours. Throughout the process, applicants receive personalized support from a dedicated expert who will ask about their needs, walk them through different financing options, and help them choose the best financing solution. “With Lendio’s Embedded Lending, Trucker Path users will now have faster access to financing from a variety of lenders that best meet their business’ needs,” said Brock Blake, CEO and Co-Founder at Lendio. “We know access to capital can be a big roadblock for many small businesses, and our marketplace has helped hundreds of thousands of businesses with this -- including many in trucking and transportation -- over the past decade.” [Related: Used truck market back in buyers' favor, but money as tight as ever] Love’s lays out 2024 expansion plansLove’s Travel Stops, which is celebrating its 60th anniversary this year, plans to add 20-25 new locations in 2024, update 35-40 aging stores, and completely rebuild four stores to make it easier for customers to fuel up and get the products and amenities they need. “Six decades ago, Tom Love opened our first service station in Watonga, Oklahoma, and almost immediately started selling household items to make stopping in more convenient for customers,” said Shane Wharton, president of Love’s. “We continue with his innovative spirit by adding new products and improving the experience to give customers more reasons to stop in.” The company’s outlook for 2024 includes 1,500-2,000 new truck parking spaces with the opening of its new locations; adding 10 new Speedco locations, remodeling five existing locations and adding 50 new service bays; expand its dining options and more. Love’s also plans to open seven new truck washes this year. Love’s said it will also continue to add services to support truck drivers, including more options from Love’s Financial and more. New TA Express opens in Washington stateTravelCenters of America recently opened a new TA Express in Blaine, Washington, just off I-15 within a few miles of the U.S.-Canada border. The new site is a franchise location that offers an array of amenities, dining options and other services for truck drivers and the motoring public. The new store is located at 1300 Boblett Street, Blaine, Washington. The location offers 30 truck parking spaces; Jamba, Cinnabon, Pizza Hut Express and Carl’s Jr. restaurants; showers; laundry facilities and more. https://ift.tt/loMcRyn 1/30/2024 0 Comments Potential broker-transparency rule not 'signficant' yet FMCSA 'remains committed' to pursuitThe Federal Motor Carrier Safety Administration in a statement to Overdrive Tuesday confirmed that it is still working toward a brokered-freight transparency rulemaking this year. The confirmation came after the rule was left out of the Department of Transportation's latest Significant Rulemaking Report that published Monday -- after it had been included in the previous report published in September. Cicely Waters, FMCSA's Director of the Office of Communications, said, "FMCSA remains committed to initiating a rulemaking in 2024 concerning broker transparency." So why was the rule listed in the September Significant Rulemaking Report and not the February report? "FMCSA does not believe the forthcoming rulemaking notice is considered 'significant' under Executive Order 12866 and for that reason alone, the rulemaking was not included in the latest release of the DOT Significant Rulemaking Report," Waters said. It was included in the September report "only to provide an update on the rulemaking schedule because of an error in the Spring 2023 Unified Agenda; it was not an indication that that rulemaking was considered significant under the Executive Order." Yet judging by the level of attention paid to anything having to do with brokered transaction transparency in Overdrive, many owner-operators might beg to differ on questions of significance here. [Related: Brokered-freight rates transparency: Weigh in on these two questions] With respect to that executive order, though, a "significant rulemaking" is one that is likely to result in a rule that may:
To answer the question I posed in yesterday's article headline -- "Did FMCSA just end the fight over broker transparency?" -- no, the fight continues, and owner-operators and others in trucking will wait for the wheels of the regulatory agencies to turn. FMCSA still anticipates publication of a notice of proposed rulemaking by October 2024, according to the Fall 2023 Unified Agenda. [Related: Did FMCSA just end the fight over broker transparency?] https://ift.tt/loMcRyn 1/30/2024 0 Comments One of just 16 unsupervised under-21s in FMCSA's apprenticeship program: Meet Will DodsonWell, it's official. About a year and a half into it, the FMCSA's much-heralded Safe Driver Apprenticeship Pilot Program for under-21 interstate CDL drivers is sputtering on the runway. According to agency public affairs rep Cicely Waters, just “16 apprentice drivers have progressed to the unsupervised stage," past the probationary periods when they're required to be accompanied by a more experienced professional. "Overall," she added, "we have received 36 apprentice driver applications to the pilot program.” That's it. 36. In almost two years. 'We heard of this one carrier in Wisconsin'...What went wrong? Shanna Gray, South Dakota-based truck owner and safety consultant, pins the problem on insurance, echoing Overdrive 2021 Small Fleet Champ Jason Cowan's considered thoughts about the insurance barrier for under-21 drivers at smaller fleets. “The real hurdle is insurance," Gray said. "We have a lot of 18-year-olds out here who have grown up on farms and have been around equipment all their lives. They would do just fine in the program. But during the South Dakota Safety Council meeting we [recently] met with a rep from Great West Casualty, and the insurance situation is pretty prohibitive. It can be done, but it’s all based on safety rating, CSA score and claims. "We heard of this one carrier in Wisconsin which had been approved by Great West.” With so few apprentices having made it to the solo driver stage, and many, if not most, of the carriers who originally applied to participate in the SDAP program no longer actively recruiting for it, I wanted to have a conversation with a young driver who actually made it through, someone who is out there right now making a living over the road. Meet 19-year-old Will Dodson. 'I was willing to do anything to drive OTR.'Will Dodson “I grew up in Jasper, Georgia," a small town in the north Georgia mountains, Will Dodson said. "I also spent many summers and school vacations at my family’s house on St. Simon's Island off the coast of Georgia. So I felt like I had the best of Georgia -- the mountains and the beach.” Dodson is perhaps perfectly suited for the under-21 program, given he's ”been seriously interested in trucking since my early teenage years," he said. "As a hobby, I build truck models." He's crafted models of classics like a 1980s Peterbilt 359, a '72 Freightliner cabover. "I just completed a 90s W900 Kenworth (orange and chrome), and I'm working on a 90’s 379 Peterbilt next." Through high school, Dodson did dual enrollment at a local technical school for welding, yet he "always wanted" his CDL, he said. "I even dated a girl in high school whose dad owned a small trucking company and had some really cool rigs. After graduating high school and a short stint of full-time welding, I finally decided to pursue my true passion -- becoming a long-haul truck driver." He got his Class A learning with a manual transmission at a CDL school. Instructors at the school, as do so many, told him he'd never "have any trouble finding a job," he said. Yet they weren't taking into account his age with that statement, and knew nothing of the new SDAP program. "For someone under 21, it is really very tough" to find work, especially if you want to be driving a Class 8 tractor, Dodson said. The CDL school was in fact of the type that matched enrollees to potential employers, yet reps were up-front with Dodson that none of the carriers they worked with would consider him until he was 21. So while he was training, his father helped him search and apply for jobs. "Every company we looked at wanted 12 months of experience or more," he said. "More importantly, I couldn’t even get through the application process because they all wanted someone 21 or older. Based on what I’ve learned," as noted earlier, "it seems like insurance is the real issue." Then he found Badger Express. "Because of Badger’s safety record, and because their trucks were already outfitted to meet the SDAP program requirements, it wasn’t an issue for them,“ he said. He was off to the proverbial races. [Related: Are under-21 interstate drivers worth the hassle?] “One of the greatest compliments I have ever received was from an ‘old school’ trucker that I met," Dodson said. "During the conversation, he told me that I was a '60-year-old trucker in a 19-year-old’s body.' “I was willing to do anything to drive OTR." At the time Dodson began his apprenticeship with Badger Express, he was “one of four" apprentices nationwide, according to Shawn Coyle, safety and recruiting manager for the Fall River, Wisconsin-based small fleet. For his part, Coyle maintains the apprenticeship program “wasn't that big of a deal. We already had the safety measures in place." Those measures require carriers to use active-braking collision mitigation systems, forward- and in-cab-facing event recording cameras, speed limiters set at 65 mph or less, and automated manual transmissions. As previously noted, under-21 drivers progress through probationary driving periods alongside an experienced driver. "Our insurance company decided to take a chance on us because of our excellent safety record," Coyle added. "Yes, you have to provide a trainer and keep records. People still call us all the time. We keep telling them, ‘You have to already have a CDL before we can hire you.’” For Will Dodson, the "safety measures" are what they are -- required for the SDAP program, so he was ready for any and all. At once, "at times, the safety measures are frustrating," he said. "For instance, the anti-collision system can give false alarms often -- it alarms and automated braking [kicks in] when you get close to a traffic barrel, and as you know, there are many, many construction zones. Sometimes it feels like the truck is trying to drive me instead of me driving the truck." And those in-cab cameras? "You just learn to ignore it. It has helped me in at least one situation where a four-wheeler reported me for cutting him off, but it was clear on camera it wasn’t even close," he said. "Badger is pretty cool about the camera -- I don’t feel like someone is watching me all day. Sometimes I have fun with the camera by talking into it, especially when I think an alarm has sounded and someone might pop on to see what has happened.” [Related: In-cab and out, camera options expand amid push-pull of privacy concern, regulatory attention] I wondered with all the carriers Dodson could choose from, what in the world was a Georgia boy doing in the frigid north. Turns out most carriers from his neck of the woods had already dropped out of the program. “At the time I joined the SDAP program, there were about 20 carriers that were part of [it] but only a few of them actually had their program operational, and none of the ‘operational’ carriers were in Georgia or even the Southeast," said Dodson. "I did some research on Badger Express and communicated with Shawn Coyle. They really seemed to have a well-defined program, but I was going to be their first SDAP apprentice -- which also made Badger even more interesting to me. I was willing to move anywhere to become an OTR driver.” So Dodson, then 18, headed to the frozen north. He found a home with Badger, and a champion and mentor in Shawn Coyle. Given the reluctance among other carriers to negotiate the mountain of requirements and insurance hurdles for the SDAP program, plus normal rates of attrition among long-haul initiates across the board, Will Dodson may very well be the program’s Sir Edmund Hillary, the first to climb that Everest. While the FMCSA will not comment on individual drivers within the program, he is certainly one of its first.
Here's to a long and prosperous career, Will. [Related: The feds want trucking apprenticeships: How does an 'Owner-operator Mentor Academy' sound?] https://ift.tt/AudE5QB |
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