Skip to content
Search AI Powered

Latest Stories

fastlane

The long road ahead

The new transportation law addresses a host of important matters. Unfortunately, funding isn't one of them.

Some will say I need to get a life, but I just spent an evening with the long-awaited 1,656-page transportation funding bill, "Moving Ahead for Progress in the 21st Century Act," or "MAP-21." The legislation, as everyone knows by now, was signed into law on July 6, after the previous law was kept alive by no fewer than 11 short-term extensions. It ensures funding, at the current level, of transportation and other projects until Dec. 31, 2014.

While any bill that keeps current projects moving for the next two years and preserves 3 million jobs has much to commend it, there were some disappointments as well. For example, in my opinion, there were several things on which Congress should have taken a firm stand but did not do so.


Take the long-debated driver hours-of-service rule, for example. Though the discussion has dragged on for years, Congress failed to act decisively and either adopt or reject the rule's latest iteration. Instead, it chose to prolong the matter even further by directing the secretary of transportation to complete by March 31, 2013, a "field study on the efficacy of the restart rules published on Dec. 27, 2011." This report will be due back to Congress on Sept. 30, 2013, when, regardless of the conclusions, it is sure to spark another long and protracted discussion.

It was much the same story with the proposal to overhaul the current truck size and weight limits. At one time, Congress was expected to authorize the states to allow larger trucks on their portions of the interstate highway system, but no such provision made it into MAP-21. Instead, Congress mandated yet another study of the impact of larger trucks on safety and infrastructure, with a report due to Congress in two years.

The proposed XL pipeline fared no better. Although many initially thought the new law would contain provisions authorizing the project, that didn't happen. Faced with President Obama's threat to veto the bill if it included any such language, Congress backed off and omitted any mention of the matter.

While all of these would seem to represent missed opportunities, I believe the measure's most glaring omission was its failure to provide for any significant increases in funding. Most conspicuous was the fact that once again, Congress failed to deal with the tax on gasoline and diesel fuel. These taxes have not been increased since 1993; and while none of us wants higher taxes, at some point, the bullet must be bitten.

All this notwithstanding, the bill also had its good points. The legislation adds language to the current National Transportation Policy, outlining goals to invest in infrastructure and operational improvements that will strengthen the freight network.

Another provision resolves the debate over electronic on-board recorders (EOBRs) for motor carriers. The law instructs the secretary of transportation to complete in one year the development of regulations that will require EOBRs for interstate carriers, after which the carriers will have two years to install the units in all tractors operated by drivers subject to the hours-of-service rule.

One of the most important provisions requires brokers and forwarders to post a surety bond of $75,000, up from the current $10,000. This should help weed out the underfunded firms that are at the root of many of the industry's problems, i.e., those that fail to pay carriers or that engage in clandestine rebrokering. There are also provisions controlling certification and operations—all in all, positive changes for the brokerage industry.

The bill deals positively with dozens of other transportation issues as well. Still, without proper funding, one has to wonder how effective our new map will be. Maybe we should try again when it's not an election year.

The Latest

More Stories

autonomous tugger vehicle

Cyngn delivers autonomous tuggers to wheel maker COATS

Autonomous forklift maker Cyngn is deploying its DriveMod Tugger model at COATS Company, the largest full-line wheel service equipment manufacturer in North America, the companies said today.

The deal was announced the same week that California-based Cyngn said it had raised $33 million in funding through a stock sale.

Keep ReadingShow less

Featured

photo of self driving forklift
Lift Trucks, Personnel & Burden Carriers

Cyngn gains $33 million for its self-driving forklifts

Study: Industry workers bypass essential processes amid mounting stress

Study: Industry workers bypass essential processes amid mounting stress

Manufacturing and logistics workers are raising a red flag over workplace quality issues according to industry research released this week.

A comparative study of more than 4,000 workers from the United States, the United Kingdom, and Australia found that manufacturing and logistics workers say they have seen colleagues reduce the quality of their work and not follow processes in the workplace over the past year, with rates exceeding the overall average by 11% and 8%, respectively.

Keep ReadingShow less
photo of a cargo ship cruising

Project44 tallies supply chain impacts of a turbulent 2024

Following a year in which global logistics networks were buffeted by labor strikes, natural disasters, regional political violence, and economic turbulence, the supply chain visibility provider Project44 has compiled the impact of each of those events in a new study.

The “2024 Year in Review” report lists the various transportation delays, freight volume restrictions, and infrastructure repair costs of a long string of events. Those disruptions include labor strikes at Canadian ports and postal sites, the U.S. East and Gulf coast port strike; hurricanes Helene, Francine, and Milton; the Francis Scott key Bridge collapse in Baltimore Harbor; the CrowdStrike cyber attack; and Red Sea missile attacks on passing cargo ships.

Keep ReadingShow less
diagram of transportation modes

Shippeo gains $30 million backing for its transportation visibility platform

The French transportation visibility provider Shippeo today said it has raised $30 million in financial backing, saying the money will support its accelerated expansion across North America and APAC, while driving enhancements to its “Real-Time Transportation Visibility Platform” product.

The funding round was led by Woven Capital, Toyota’s growth fund, with participation from existing investors: Battery Ventures, Partech, NGP Capital, Bpifrance Digital Venture, LFX Venture Partners, Shift4Good and Yamaha Motor Ventures. With this round, Shippeo’s total funding exceeds $140 million.

Keep ReadingShow less
Cover image for the white paper, "The threat of resiliency and sustainability in global supply chain management: expectations for 2025."

CSCMP releases new white paper looking at potential supply chain impact of incoming Trump administration

Donald Trump has been clear that he plans to hit the ground running after his inauguration on January 20, launching ambitious plans that could have significant repercussions for global supply chains.

With a new white paper—"The threat of resiliency and sustainability in global supply chain management: Expectations for 2025”—the Council of Supply Chain Management Professionals (CSCMP) seeks to provide some guidance on what companies can expect for the first year of the second Trump Administration.

Keep ReadingShow less