Tag Archives: Logistics

Feds hear from both sides about Philadelphia’s truck parking woes

Heavy-duty truck parking is a big issue everywhere. I’m originally from Philly, and can appreciate both sides of this story.

Truckers need places to park their rigs when they are at home– places that are safe to leave a truck worth upwards of a half-million, and near enough to home that they can get to it easily. Neighborhoods in old cities don’t lend themselves to big rigs parking and maneuvering there. Many Philly neighborhoods have narrow streets, and plenty of overhead wires and other hazards easily hit by a big rig. And residents could well complain about parking space taken up by a heavy-duty truck and trailer.

The problem is not easy to solve. A blueprint for action exists, courtesy of the Federal Highway Administration and Cambridge Systematics, but money for truck parking was left out of the infrastructure bill recently passed by Congress. It probably would not have been used for this kind of parking anyway– more likely for truckstop and major interstate parking, or parking near ports and warehouse clusters.

City governments are not well prepared to deal with this kind of problem, and results will vary across the country.

For years many truckers have lived in small rural communities with lots of space, either on their own place or at a commercial spot. That makes truck parking easier. But truckers should be able to live in a big city and find somewhere to park, though like many big-city residents they may have to pay for it.

John Gallagher, Washington Correspondent Follow on TwitterThursday, December 16, 2021

Feds hear from both sides about Philadelphia’s truck parking woes – FreightWaves

FMCSA rejects 2nd shot at $75,000 truck-broker bond exemption

The second article explains nicely the difference between a truck freight broker and a truck dispatcher.

Dispatchers work for and represent owner-operator truck drivers, trying to get loads for them at a higher price. Shippers pay the trucker, and dispatchers get a commission from the trucker.

Truck Brokers work for shippers, trying to get them a lower price. They bill the shippers and pay the truckers directly.

Currently, only brokers need to get a license from FMCSA and obtain a $75,000 bond, ostensibly to protect shippers from being paid if there is non-performance or damage. Dispatchers are not covered by the federal bonding requirement.

Dispatchers claim the additional regulation is unnecessary, but they have not been able to attract any political attention to their cause. Various approaches have been tried, including the latest one from the first article.

While the STB has been mandated by Congress to make a clear definition of a broker, there’s no timeline for that happening. Dispatchers would like to have clarity that their status is legitimate, and without a bond. They claim that by representing the trucker herself, they are definitely not brokers.

Some dispatchers may be a bit shady, perhaps overcharging truckers and not providing definitive paperwork to the trucker. Clearly, shady business practices shouldn’t be tolerated, but requiring a bond isn’t going to weed out cheating dispatchers.

John Gallagher, Washington Correspondent Wednesday, December 15, 2021

FMCSA rejects 2nd shot at $75,000 truck-broker bond exemption – FreightWaves

US logistics industry needs a unified data stream to boost cargo velocity

This article quotes Carl Bentzel, an FMC commissioner, who says that there is increased concentration of the ocean shipping business, from no carrier having more than 4%, to around 10 carriers, half of whom have 12-20% each.

Many supply chain participants have been calling for standardization of basic data surrounding a shipment, especially concerning its timing and needs as it moves through the system. There are no standards for this kind of data, and any attempt to compile it meets the challenge of disparate and constantly changing independent systems. And often, data for particular shipments is exchanged by emails.

It would be nice if the FMC would step in and develop a standard for data interchange. But different players have different concepts of what data is essential, according to the article. For instance, some partners want to know how long they have storage rights for a particular container, free of detention and demurrage charges. Others want to know whether a chassis is available, and where. Chassis shortages have hampered container moves in the LA/Long Beach area, despite a chassis pool; other ports have pools as well, but containers often ride out delays on a chassis if it’s believed the wait won’t be too long.

A standard would be nice, but often takes years to negotiate. The startup Dray Alliance, mentioned in the article, is trying to set a standard for some of this information with an online and app-based system. But not all the necessary data will be there, not for all the participants in the container-move supply chain. And it’s not clear truckers need one more app.

By Nick Savvides 15/12/2021

US logistics industry needs a unified data stream to boost cargo velocity – The Loadstar