Presidents Who Kept on Trucking

Happy Presidents day! We thought we would take a couple minutes today and look back on what US presidents have done for the trucking industry.

In the late 1930s, the Interstate Commerce Commission, created under president  Grover Cleveland, and the American Trucking Association  partnered in an attempt to regulate what had previously been a chaotic and unstable industry.  The setting of trucking rates, which had been a matter between the individual trucker and the customer, gave way to the establishment of rate bureaus, which are owned and supported by all participating carriers.

In 1962 President John Kennedy became the first president to send a transportation message to Congress demanding a strict reduction IN regulations of surface freight transportation. In November 1975 President Gerald Ford called for legislation to reduce trucking regulation as well. He followed that by appointing to the ICC several commissioners who favored competition in the truckload transportation industry. By the end of 1976, these commissioners were speaking out for a more competitive policy at the ICC, a position rarely articulated in the previous eight decades of transportation regulation.

President Jimmy Carter followed Ford’s lead by appointing strong deregulatory advocates and supporting legislation to reduce motor carrier regulations. After a series of ICC rulings that reduced federal oversight of trucking, and after the deregulation of the airline industry, Congress, spurred by the Carter administration, enacted the Motor Carrier Act of 1980. This act limited the ICC’s authority over trucking.

Both the Teamsters Union and the American Trucking Associations strongly opposed deregulation and successfully headed off efforts to eliminate all economic controls. Supporting deregulation was a coalition of shippers, consumer advocates including Ralph Nader, and liberals such as Senator Edward Kennedy. Probably the most significant factor in forcing Congress to act was that the ICC commissioners appointed by Ford and Carter were bent on deregulating the industry anyway. Either Congress had to act or the ICC would. Congress acted in order to codify some of the commission changes and to limit others.

The Motor Carrier Act (MCA) of 1980 only partially decontrolled trucking. But together with a liberal ICC, it substantially freed the industry. The MCA made it significantly easier for a trucker to secure a certificate of public convenience and necessity. The MCA also required the commission to eliminate most restrictions on commodities that could be carried, on the routes that motor carriers could use, and on the geographical region they could serve. The law authorized truckers to price freely within a zone of reasonableness, meaning that truckers could increase or decrease rates from current levels by 15 percent without challenge, and encouraged them to make independent rate filings with even larger price changes. De regulation was said to bring on better services and rates to shippers as truckers started restructuring routes, reducing empty return hauls, and provided simplified rate structures.  The MCA act also led to a boost in the number of licensed motor carriers. By 1990 the total number of licensed carriers exceeded forty thousand, considerably more than double the number authorized in 1980.

Trucking deregulation is far from finished  According to one study, abolishing all remaining federal controls would save shippers about $28 billion per year. A Department of Transportation study done by researchers at the University of Pennsylvania’s Wharton School estimated that abolishing state regulation would save another $5 billion to $12 billion.

Valentines Day by the Truckload

A Total of 189 million stems of roses are sold in the U.S. on Valentine’s Day. California produces 60 percent of American roses but the majority of roses sold on Valentine’s Day in the United States are imported, mostly from South America. So how is cupid influencing truckload rate trends Nationwide this year ?  According to Transcore’s Freight Talk Blog, reefer rates last week out of California where up, especially out of the Los Angeles hub.

flowers, truckload transporation, trucking, flower delivery, valentines day flowers,

Shipping flowers by the truckload comes with a number specific requirements that have to be respected to guarantee quality delivery.  Most fresh flowers are shipped using reefer trailers with strict reefer temperature requirements between 36 and 46 degrees Fahrenheit.  Other equipment requirements include things like resealed Dock Doors to prevent refrigerated air from escaping during loading and unloading.

Valentines Day also has a sweet spot for food shippers.  As  the state with the most chocolate manufacturing establishments in the nation, California has been busy over the last weeks as it experiences  a boom in demand for chocolate.  More than 35 million heart-shaped boxes of chocolate will be sold for Valentine’s Day leading to over $1 billion worth of chocolate purchased in the US. Chocolate aside, over 8 billion candy hearts will be produced and shipped! Valentines day is the 4th busiest holiday for confectionery makes behind Halloween, Easter and  Christmas.

 

 

Kicking The Fax Machine To The Curb Since 2010

A few weeks ago the DAT wrote a blog post entitled “New Year’s Resolution for Brokers: Ditch the Fax Machine”.

 

This made the entire Open Mile team smile from ear to ear. Here at Open Mile we’ve been embracing this resolution since 2010 and we’re proud to say we’ve saved our carriers a good chunk of time that could have been wasted on trips back and forth to the fax machine. Lets face it, fax machines are clunky and outdated, and while they may still be useful in certain cases, its about time we kicked them to the curb. Open Mile has been working every day to provide carriers time saving tools and processes like online registration, booking, and paperwork submission.

 

Dispatchers and carrier owners are busy enough as it is, and at Open Mile we’ve made it our mission to save them time and make their life just a little easier. We’ve achieved this by giving carriers the option to sign up with Open Mile online, without ever having to go to the fax machine. As a result, our carriers have saved over 100,000 cumulative hours… and thats a number we are proud off. Carriers who work with Open Mile can create an online profile and have access to their account activity 24/7.

 

Onboarding is only one aspect of working with a broker, but what about booking loads? And what about document submission once the load delivers? Well guess what? We allow carriers to do that online too, and our rapidly growing carrier network seems to suggest that it’s a good idea! Of course, talking to someone on the phone is always beneficial, and our highly trained specialists are always available to help answer questions around the clock.

 

Take a look at the infographic below to find out how much time you could be saving by switching your carrier operations online.