We thought this was worth your consideration:
California Supreme Court Decision
Check it out.
–The Editors
The Internal Revenue Service today advised truckers and other owners of heavy highway vehicles that their next federal highway use tax return, usually due Aug. 31, will instead be due on Nov. 30, 2011.
Because the highway use tax is currently scheduled to expire on Sept. 30, 2011, this extension is designed to alleviate any confusion and possible multiple filings that could result if Congress reinstates or modifies the tax after that date. Under temporary and proposed regulations filed today in the Federal Register, the Nov. 30 filing deadline for Form 2290, Heavy Highway Vehicle Use Tax Return, for the tax period that begins on July 1, 2011, applies to vehicles used during July, as well as those first used during August or September. Returns should not be filed and payments should not be made prior to Nov. 1.
To aid truckers applying for state vehicle registration on or before Nov. 30, the new regulations require states to accept as proof of payment the stamped Schedule 1 of the Form 2290 issued by the IRS for the prior tax year, ending on June 30, 2011. Under federal law, state governments are required to receive proof of payment of the federal highway use tax as a condition of vehicle registration. Normally, after a taxpayer files the return and pays the tax, the Schedule 1 is stamped by the IRS and returned to filers for this purpose. A state normally may accept a prior year’s stamped Schedule 1 as a substitute proof of payment only through Sept. 30.
For those acquiring and registering a new or used vehicle during the July-to-November period, the new regulations require a state to register the vehicle, without proof that the highway use tax was paid, if the person registering the vehicle presents a copy of the bill of sale or similar document showing that the owner purchased the vehicle within the previous 150 days.
In general, the highway use tax applies to trucks, truck tractors and buses with a gross taxable weight of 55,000 pounds or more. Ordinarily, vans, pick-ups and panel trucks are not taxable because they fall below the 55,000-pound threshold.
For trucks and other taxable vehicles in use during July, the Form 2290 and payment are, under normal circumstances, due on Aug. 31. The tax of up to $550 per vehicle is based on weight, and a variety of special rules apply to vehicles with minimal road use, logging or agricultural vehicles, vehicles transferred during the year and those first used on the road after July.
As of this writing, 34 states, the District of Columbia, and Guam have adopted laws prohibiting texting while driving. These laws cover all drivers, not just truck drivers.
Click here to see a table of all current state texting laws.
Illinois, Texas, and Arkansas also ban any use of cell phones in school and construction zones.
Don't Text and Drive Your Truck!
Also, for just over a calendar quarter now, no truck driver in the nation may text while transporting hazmat. Click here to read more.
What is your experience with local trucking and the new texting laws?
–The Editors
As reported in the Chicago Tribune:
An asteroid with the estimated girth of a 26-foot box truck sailed within 7,500 miles of Earth on Monday, June 27th as it passed harmlessly over the Atlantic Ocean, according to NASA’s Jet Propulsion Laboratory.
The space rock followed the path that scientists had predicted, looping around the planet in a boomerang-shaped trajectory, NASA spokesman D.C. Agle said. Its nearest approach to Earth was 30 times farther away than the International Space Station.
We were wondering how this could have happened.
If this is your truck, please let us know. We can contact NASA on your behalf.
–The Editors
Many local trucking companies have been confronted with contracts containing an Indemnity clause. It typically states:
“CARRIER shall at all times indemnify, defend and hold harmless BROKER, its parent, subsidiaries and affiliates, and their respective directors, officers agents and employees against and from any and all claims arising from the services provided hereunder (including, without limitation, claims for personal injury, death and damage to property, clean‑up costs from commodity spills and damage to the environment, whether or not caused by (a) by any agent or employee of CARRIER or (b) by any other person or entity. The provisions of this Paragraph shall survive cancellation, termination, or expiration of this Agreement.”
This means that even if an accident is caused by the broker’s negligence, or shipper’s negligence, or by any reason whatsoever, the carrier is responsible to pay legal fees, claims, and judgments against the broker. Of course, this is very unfair. The problem has been that carriers are rarely given a choice. The attitude is typically, “sign this or forget about getting work,” and, because of business pressures, many sign. Some insurance policies would not pay such a claim, so the carrier is risking its very existence by signing such a document.
Well, help is at hand in most of the USA. During the past two years, most states have passed, or are considering passing, an “anti-indemnification” law. The law invalidates any clause that forces the carrier to indemnify the broker. If you live in a state that has passed “anti-indemnity” laws, you can safely sign contracts that contain the clause and know it cannot be enforced.
WARNING! If the contract states that it shall “be construed under the laws of …….”, with a different state filled in, make sure THAT state is one that has passed an “anti-indemnity” statute or you WILL NOT be protected.
To see a map of states which have passed “anti-indemnity” statutes, click here.
We came across an interesting approach for keeping trucks connected to docks and preventing injuries.
Click here to read the complete article.
While it’s written by a biased source (the author works for a company that makes RIG-based and wheel restraints), the issues are worth exploring, and you can’t argue with improving safety and reducing injuries.
Who out there has experience with restraints of these types?
A proposal is being floated in Washington that would tax mileage on all vehicles–including local trucks, OTR trucks, even cars.
http://www.truckinsurancepro.com/industry-news/proposal-to-tax-mileage/
Take a look, read all about it, and contact your legislators if you are so moved.
Keep rolling,
Jonathan Miller, Editor
It now costs over $200 to fill up a straight truck, and pouring 120 gallons into your twin-75 equipped tractor can cost $500. In an earlier post we discussed fueling strategies. If $10 is saved on labor, it is as good as $10 saved on fuel cost. What else is there?
We are not going to list all the well known strategies for reducing fuel efficiency, such as more efficient trucks, driving slower, less idling, correct tire pressure, etc. Many of these techniques have little benefit in the local trucking universe. Often overlooked is what kind of diesel is being used. This is a potential money-saver for you. Think about it.
During the winter months diesel is often blended with expensive additives to prevent ice buildup. Sometimes standard practice starts the “additive season” too soon and ends too late. The difference in cost can be ten cents per gallon or more.
In the warmer months, or warmer climates, biodiesel is an excellent choice. Because of government subsidies, biodiesel is often $0.15/gallon less than plain diesel. Biodiesel gets the same or better mileage and comes with no additional maintenance or other expense. Look for a source, figure out the extra labor cost (if any) to get the truck to the appropriate facility, and make an informed decision. Most wet fueling operations can provide biodiesel. It is your tax dollars that are providing the subsidy, so you might as well get some benefit from it.
So, what is biodiesel? Biodiesel is a blend of diesel fuel with organic materials other than ethanol, such as used cooking grease, canola oil, etc. It is refined and cleaned before use. Here is a link to an interesting slide show about biodiesel:
http://www.biodiesel.org/resources/sustainability/pdfs/Advance_Biofuel_Webinar_20100827.pdf
As usual: keep doing the homework, and you can probably keep finding new places to save money.
Moose alert! Way’s Transport, a local trucking company in Western Newfoundland, Canada, lent its resources recently to National Geographic (NG) for a video shoot. NG was looking for video footage of moose in the Northern Peninsula, where collisions between trucks and moose are common.
“Moose racks” can help to reduce vehicle damage from such collisions.
Moose accounted for 3,400 vehicle crashes in Maine from 2000 to 2004, according to the Center for Disease Control: here’s a detailed article.
http://www.cdc.gov/mmwr/preview/mmwrhtml/mm5547a3.htm
In late spring, moose are drawn to roads for the salt left there by vehicles.
–Jonathan Miller, Editor
The American Trucking Association was back on offense yesterday, calling on the FMCSA to scrap its proposed changes in HOS (hours-of-service) rules. The ATA claims that new federal safety data do not support the FMCSA’s proposed changes to HOS because the current rules have dramatically lowered accident rates and are therefore sufficient.
Here is a link to the article in CCJ:
http://www.ccjdigital.com/new-safety-data-prompts-ata-to-again-call-on-fmcsa-to-retain-hos-rules/
Remember, the good news for local trucking, cartage, and P&D is that, whether implemented or not, the changes currently being debated in HOS regulations will not affect local trucking companies. Most local truckers operate under the 100 Air-Mile Exemption (115 statute miles as the crow flies) where a driver is allowed to record duty time using a time clock instead of RODS (logbook or EOBR). The rules of 60 hours per week, 12 hours per day, with one 16 hour day permitted per week, etc. remain unchanged.
