CCJ

January 2014

Fleet Management News & Business Info | Commercial Carrier Journal

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UPFRONT The year in review 2013 shaped up to be a blockbuster year for industry news as scandals and lawsuits led the way BY JEFF CRISSEY I f you're a fan of lawsuits, 2013 was an interesting year, to say the least. And if you're an attorney in the transportation sector, chances are good that 2013 was a banner year. In 2013, it seemed the entire trucking industry was in a litigious mood. We saw lawsuits by shareholders against an engine maker, customers suing a fuel provider, carriers suing carriers and OEMs suing OEMs. And the Federal Motor Carrier Safety Administration was sued by just about everyone for everything from the cross-border trucking program and its Compliance Safety Accountability program to its latest hours-of-service rule. But what were the top headline-grabbing news stories from last year? Thanks to in-depth website metrics, we were able to sort it all out. Here are the top 10 news stories from 2013 based on the number of page views at ccjdigital.com: 10. White House proposes new round of truck emissions reductions. Laying out his new Climate Action Plan on June 25, President Obama announced his administration will work with industry stakeholders to develop post-2018 fuel economy standards using "advanced cost-effective technologies" and other freight efficiency initiatives; 9. Cummins, Eaton collaborate on new powertrain package. Not to be outdone by a number of vertically integrated powertrains being offered by other OEMs, Cummins and Eaton announced a cooperative effort that would allow their proprietary engines and transmissions to communicate better and optimize fuel efficiency; 8. U.S. engine makers ask court to revoke Navistar's EPA certificates. In September, Volvo, Mack and Daimler argued to the U.S. Court of Appeals that the embattled engine maker benefited from "certificates of conformity" while being allowed to sell noncompliant engines at a penalty of $1,919 per unit. Later, federal appellate judges tossed out the Environmental Protection Agency rule that benefited Navistar; 7. California trucking association continues pressing suit against CARB. The California Construction Trucking Association continued its suit against the California Air Resources Board's incremental year-to-year truck and emissions regulations, alleging truck owners would shoulder the brunt of equipment upgrade costs. The initial suit took place in March 2011; 6. Sleep apnea bill clears Senate. After clearing the U.S. House with a unanimous 405-0 vote, the Senate in October passed legislation that would require FMCSA to use formal rulemaking rather than guidance for any sleep disorder screening mandate for trucking companies. Days later, President Obama signed the bill into law; 4 COMMERCIAL CARRIER JOURNAL | JANUARY 2014 5. Ray LaHood out as Transportation Secretary. LaHood announced he was leaving the president's cabinet post in January. He was replaced by former Charlotte Mayor Anthony Foxx, who pledged to focus on safety, efficiency and performance to improve the nation's transportation system; 4. Pilot Flying J fraudulently withheld millions in rebates for years, documents allege. In one of the biggest scandals in the trucking industry, a court released a 120-page affidavit on April 18 stating the truck stop company knowingly had withheld fuel rebates from customers. A string of arrests and classaction lawsuits followed, and Pilot later reached an $85 million settlement with 5,500 trucking companies; 3. CSA being audited by Inspector General over data quality. In January, the Office of Inspector General began an assessment of CSA and its ability to evaluate carrier performance and risk accurately. Aspects of the program remain under fire from industry groups; 2. EOBR rule could come by September, says Ferro. As of this writing, no formal electronic logging device proposed rulemaking has been published. However, FMCSA Administrator Anne Ferro earlier last year said the agency could issue a rule requiring the use of ELDs as early as September 2013; 1. New hours-of-service rule takes effect July 1. OK, in full disclosure, HOS-related news stories actually rated Nos. 1, 3, 4, 6, 7 and 8, but rather than squeeze other stories out of the top 10, we lumped all HOS-related stories in at No. 1. Industry analysts and fleet feedback point to a 3 to 5 percent drop in productivity since July 1 when the rule took effect that requires a mandatory 30-minute rest period within the first eight hours of drive time and a 34-hour restart limited to once per week and that contains two consecutive 1-5 a.m. periods of rest. Industry groups and members of Congress continue to challenge the new rule and advocate for a rollback to previous hours requirements. After a relatively quiet regulatory environment in 2012, last year lived up to its billing with a number of regulatory issues grabbing headlines. As we close the book on 2013, the new year likely will see a new host of rulemakings that garner plenty of attention. If recent history is any judge, there will be plenty of legal challenges to follow. JEFF CRISSEY is Editor of Commercial Carrier Journal. E-mail jcrissey@ccjmagazine.com.

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