ADS Logistics Supply Chain Management Blog

Next Phase of CSA 2010 Announced

The next step in the rollout of CSA 2010 is underway. Carriers can now see how they are being scored in the pending Safety Measurement System. Also as planned, CSA 2010 will stick to its schedule to implement the program state-by-state throughout 2011. Once all the states are up to speed on implementating CSA 2010, the new method for determining safety fitness will be put into effect. All of this is part of CSA 2010’s mission to increase truck driving safety and decrease trucking accidents and trucking-related fatalities. This next phase will hopefully be a major step to ultimately completing these goals.

“This early look gives motor carriers an opportunity to understand and address their safety compliance issues right away," the FMCSA said in an official announcement. The early warnings give carriers an opportunity to assess concerns before they get penalized under the new system. Not everyone is familiar yet with the new standards so this sort of “dry run” is great for carriers who may be committing violations without knowing it. Those who are not yet familiar with the new standards are urged by the FMCSA to visit their website to learn more about how they will be scored according to the seven Behavior Analysis and Safety Improvement Categories, or BASICs. Additional information on CSA 2010 can be found here on the ADS Logistics Blog.

“Taking heed of industry concerns about its approach to measuring exposure in two of the BASICs, Unsafe Driving and the Crash Indicator, the FMCSA is changing from a calculation based just on the number of power units to one based on a combination of power units and vehicle miles traveled,” said by Oliver B. Patton, Washington Editor for Trucking Info. His complete article on the new phase of CSA 2010 can be found here. This small change in these 2 categories will make it easier for larger carriers because they are no longer going to be scored based solely on how many power units they have, which has hurt some larger carriers in the past. In the old system larger carriers were view as more dangerous because they had more accidents. This is only because they have more trucks and therefore more chances for an accident. With CSA 2010, that miles traveled are taken into account, their score in those two categories will come down and the scores of smaller carriers go up.

In its announcement yesterday, the agency took note of a preliminary report that researchers at the University of Michigan Transportation Research Institute have found that while most of the BASICs are good indicators of future crash risk, two of them are not. UMTRI is analyzing the data from the agency's 30-month field test of CSA 2010. Its final report is due by the end of December. The field test is working with small test groups within certain states to see if any improvements will need to be made to CSA 2010 or the BASIC categories. As of Mid-June, over 11,000 carriers have visited the CSA 2010 website to see their preliminary score. This is good news however, the several hundred thousand that haven’t may be in for a surprise come December, when the system goes live. Be prepared, and get your preliminary score today! Also subscribe to the ADS blog to stay on top of all the important CSA 2010 changes that will be happening in the future.

CSA 2010 Scorecard Has Been Revised

Vigillo has updated their CSA 2010 Scorecard. The changes will be effective immediately and will be taken into account even for companies that want to preview their score before the August 16th deadline. The 16th was going to be the original viewing date that the FMCSA had set, but due to the changes in the scoring companies can see their score earlier than expected. The scorecard is the main method of how the FMCSA is going to rate companies’ safety levels when CSA 2010 is put into full effect.

The way the scorecard works is that each company will be given a color coded rating that pertains to each of the 7 BASIC categories: driver fitness, unsafe driving, fatigued driving, controlled substance and alcohol, crash indicator, vehicle maintenance, and improper landing and cargo securing. The fleets will be given a score for each category and their score will determine whether or not intervention will occur. Here is the way companies will be rated:

•    RED – Deficient (90% to 100%)
•    YELLOW – Warning (75% to 90%)
•    GREY – Under Threshold (0% to 75%)

Also, you can view a sample of this driver scorecard, offered by Vigillo to see if intervention will be required.

There are a few changes made, but the scoring will still be strict as the CSA 2010 is cracking down on driver-related violations. For example, under that CSA 2010 Severity and Point System Safety Rating for Truck Drivers, a driver caught with a leaky tire will receive a rating of 8, which is only two points under a DUI.

Other Examples of changes to the Scorecard are:

•31 new violation codes not in the previous methodology

•300 violations removed

•260 weight severity changes

•88 violation description changes

•335 violation code changes

Specific examples of how these new changes will take effect include cargo securement. Violations in the old methodology weighted cargo securement at 1 point, where with the changes such a violation is now weighted at 5 points.

Speeding violations are now tiered based on the number of miles over the limit. Previously a speeding violation was ranked at 5 points, regardless of speed. The new methodology gives 1 point for 1-5 miles over the limited, 4 points for 6-10 miles over, 7 points for 11-14 miles over, and 10 points for 15 or more miles over, and 10 points for any speeding in a construction zone. 18 of the possible 21 intervention thresholds, depending on carrier type, have been modified.

As you can see the changes to the Scorecard have created stricter guidelines toward the drivers, since 4 or 5 (depending on what type of carrier and trucker you are) of the violations are driver-related. However, the new CSA 2010 Scorecard changes do not necessarily mean that drivers will now be more likely to fall over the intervention threshold. In one testing example, a fleet had two BASICs over the intervention threshold (Drug & Alcohol & Vehicle Maintenance). Under the new methodology it had 0 BASICs over the threshold.  In fact, this carrier’s Drug & Alcohol BASIC went from 91.9 to 5.9 under the new methodology.

Vigillo says that they will continue to analyze more real numbers and will be posting them on the Vigillo website. Stay tuned to this blog by subscribing in the tab on the right or check back with Vigillio frequently to keep on top of any future changes.
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Catch the FMCSA Road Show!

The FMCSA Road Show is an annual series of events held across the United States and in parts of Canada. The Road Show has been put on by the Federal Motor Carrier Safety Administration for over 20 years. The events are held between from the beginning of January  to the end of November so there are plenty of chances to attend.  What makes it even easier to catch events is that the locations at which they are held spread from California to Florida. Each city puts its own unique style, but the core messages stay the same throughout the road show. View the complete FMCSA Road Show schedule here.

One of the most important topics this year is Hours of Service. There are information sessions on this topic at several locations: Arlington, VA; Dallas, TX; Los Angeles, CA; Davenport, IA; and Louisville, KY. The FMCSA regards hours of service as an important issue this coming year due to the new CSA 2010 standards coming out, so they wanted to give drivers ample opportunities to learn about the changes. 

There are some other issues that are stressed throughout the Road Show and many of them have to do with driver safety. With most of the penalties issued by the CSA 2010 being driver related, the focus of the FMCSA Road Show this year is definitely geared toward drivers. For example, the "Click It or Ticket" campaign will be featured for about two weeks.

However, if you should happen to miss this or any other talk, you'll find that the FMCSA website is a great resource to keep you up to speed. Most of the talks are actually archived and posted online. Also, a lot of the speeches made are available for printing in a PDF format. This is great for the road show because even if you can’t make it to all the speeches you would like, you can still see them or at least read about them. Whether you attend in person or are logging on through the Internet, you'll find that the FMCSA Road Show will offer many benefits!

A Perfect Storm is Churning on the Horizon of the Trucking Industry

The Department of Transportation (DOT) sent its proposed Hours of Service (HOS) changes to the Office of Management and Budget (OMB) Monday (7/26) to settle yet another challenge to the rules drivers and trucking companies must follow.

Meanwhile, Transport Topics reported this week that 20% of truckload fleets increased driver pay in the second quarter of 2010 citing Gordon Klemp, principal of the National Transportation Institute in Kansas City, MO.

Continuing difficulties in attracting new drivers, a situation that will only be exacerbated by expected reductions in work and driving hours contained in the proposed HOS regulations, are contributing to this perfect storm.

Any reduction in driver working and/or driving hours will further reduce already strained capacity and require more drivers and trucks to move the same amount of freight.

Flatbed carriers led trucking with more than 30% of such companies raising driver pay, while 20% of refrigerated carriers and 11% of dry van operators did so in the second quarter according to Klemp.  He also predicted significant increases in the third quarter.

With carrier margins already depressed as a result of market pressures during the recession, shippers can expect sizeable rate increases to fund these long overdue pay increases.

In a related story, transportation and logistics professionals predicted major changes and increased costs associated with any reductions in driver HOS.  Shippers claim they’ve already adjusted their operations as much as possible and any HOS changes would require them to reevaluate their supply chain.

Reduced HOS = reduced capacity = increased need for drivers = increased pay rates = increased freight rates = increased end user costs.

As the economy rebounds and freight levels increase the pressures on the supply chain will increase as well.  Shippers would be well advised to truly partner with shippers to tweak their operations and maximize driver/truck utilization.  The alternatives are even more expensive than rate increases.

The perfect storm is churning on the horizon.

Written by Kevin Mullen, Directory: Safety

The FREIGHT Act of 2010

The FREIGHT Act is short for the Focusing Resources, Economic Investment and Guidance to Help Transportation Act. It is an act presented by Senator Frank Lautenberg (D-N.J.) that aims to create a voice for freight interests within the U.S. government. As it currently stands there is no real place in the Department of Transportation (DOT) for freight planning. This bill is set to address these problems and give the freight industry some recognition within our nation’s government. Freight advocates said, “The bill as the most far-reaching attempt Congress had made to give freight a place at the infrastructure table.” The FREIGHT Act is within Bill S.3629 (the progress of the Bill can be tracked at this site) and is set to accomplish three main objectives: develop a National Freight Strategic Plan, create a Freight office within the DOT, and initiate the National Freight Infrastructure Grants program.

What the FREIGHT Act Will Accomplish

To put the bill in a broad sense, it will create, “a national freight transportation program for identifying and funding federal, state, and metropolitan efforts to ensure adequate capacity, reduce congestion, and increase throughput.” said Janet L. Kavinoky, head of the transportation infrastructure programs at the U.S. Chamber of Commerce. Ms. Kavinoky believes the bill meets what was asked for by the Chamber of Commerce, the nation’s largest business trade group. She went on to say that, "the key to the grant portion's success is in finding additional dedicated revenues so that other federal transportation priorities aren't diluted." Basically the Bill will seek additional funding so that other DOT programs are not compromised.

The Goals of the FREIGHT Act

There are six main goals highlighted in the bill:
1.    Target investment in freight transportation projects
2.    Improve energy conservation and the environmental sustainability of freight movements
3.    Assist and enhance the health and safety of the public
4.    Provide efficient and balanced investment to improve the overall performance of the national transportation system.
5.    Promote partnerships between Federal, State, and local governments, the private sector, and other stake holders.
6.    Encourage adoption of operational policies

How The FREIGHT Act Will Get Approved

The bill has been referred to the Senate Committee on Commerce, Science, and Transportation. The committee has twenty-five ranking members and is currently considering about one hundred different bills. However, they are usually only one of many committees that are reporting on the same bill. The bill is currently assigned to several committees but so far none have issued a report on it. Once the bill goes through the Senate committees it will go through House committees. If both Houses decide that bill should be voted on then it will go to the Senate first and then to the House. If the bill passes then it will be signed by the President and it will be enacted.

This bill has a long way to go before it makes it to the President’s desk; however it seems to already have major support behind it. An article by Mark B. Solomon on DC Velocity.com concludes, “Advocates of the Lautenberg Bill said today the senator's staff has been in contact with key lawmakers in both chambers to discuss the legislation. The bill was co-sponsored by Sens. Maria Cantwell and Patty Murray, both Democrats from the state of Washington.”

CSA 2010 Now CSA 2011

A report came out late last month about the delayed implementation of the CSA 2010. The new safety ranking system that began to be implemented in April 2010 and was scheduled to be fully installed by this July is now being delayed until the spring or possibly summer of 2011. The announcement was presented by Anne Ferro, Administrator for the Federal Motor Carrier Safety Administration (FMCSA) to the House of Representatives as well as two other committees specializing in highway transportation. The six-part report explains the CSA 2010, its goals, how it will improve off of SafeStat, how it will be tested, and how it will be implemented.

Before the CSA 2010 could be implemented, it had to be tested. The test came in the form of a nine-state field test in which the CSA and SafeStat, the system the CSA would replace, will be compared side by side. The test started in only four states: Colorado, Georgia, Missouri, and New Jersey. Each state was divided into two groups; one group was assessed by the CSA 2010 and the other by SafeStat. In the spring and fall of 2009, the Agency added five more States to the test – Delaware, Kansas, Maryland, Minnesota, and Montana. However, for these five states the CSA 2010 interventions were applied to all motor carriers instead of just half. Ferro states that:
“Since the test began, the Agency has sent out more than 5,500 warning letters to motor carriers in the test, and the letter has proven effective. Approximately fifty percent of all carriers receiving a warning letter have logged onto the FMCSA website to review information on their deficient BASIC.  In addition, FMCSA has received letters of response from some of these carriers in which they thank the Agency for bringing to their attention information on the deficient BASIC, and describe their corrective action to address the safety problem.”

CSA 2010 is effective according to other investigations as well. Off-site investigations proved to be 25 percent more efficient, while on-site focused investigations were 45 percent more efficient, and on-site comprehensive investigations were 30 percent more efficient.

The nine-state field test is the main reason why the full implementation of the CSA 2010 will be delayed. FMCSA is using feedback from its partners, stakeholders, the public, the nine-state field test, and written letters to the CSA 2010 public docket, to fully optimize the new policy for all parties. “FMCSA will roll out CSA 2010 in the fall of 2010 instead of the summer of 2010 as earlier reported.  This relatively minor movement in our rollout timeline will enable the Agency to be more responsive to the feedback, as well as the lessons learned from our field test.” In the fall and winter of 2010, the FMCSA will be taking 3 major steps towards the complete installation of CSA 2010. First, SafeStat will be replaced with the Safety Measurement System (SMS). Second, warning letters will be sent to carriers nationwide. Third, a revised nationwide Inspection Selection System for roadside inspectors that is based on SMS rather than SafeStat will be implemented. An Operational Model test concluded in June and consequently the nine test states will soon complete all CSA 2010 interventions. CSA implementation will then continue into 2011 for the remaining 41 states.

How CDL Traffic Violations Affect Truckers

How can a city generate income when low on funds...target commercial truck drivers of course! Everyone knows that traffic tickets, whether written for commercial drivers or regular drivers generate income for the county the ticket is written in. Commercial drivers, in particular, are the easiest to write multiple tickets on for various reasons. Here are just some of the reasons that truck drivers can get pulled over and fined:

Serious Trucker Traffic Violations:

 

• Speeding 15 miles or more over speed limit
• Reckless driving    
• Improper or erratic lane changes
• Following the vehicle ahead too closely    
• Offenses tied to a fatal accident    
• Driving a CMV without a CDL or wrong type of endorsement     
• Driving a CMV without a CDL in your possession (producing it at a later date will nullify the offense)    
• Violating a Driver or Vehicle out-of-service order

NON-CMV violations can also affect your Commercial Driving Status:

•     2 convictions within 3 years is a 60-day suspension
•     A 3rd conviction is a 120-day suspension
•     Non-CMV convictions will count towards suspension of your CDL if it results in suspension of your Non-CMV License

Penalties for Violating Out-of-service orders:

•     1st conviction starts with a minimum 90-day suspension
•     A 2nd conviction within 10 years brings a minimum 1-year suspension
•     3rd and subsequent convictions increase suspension to a minimum of 3 years

All violations of railroad/highway grade crossing laws carry mandatory suspensions:

 

• 1st conviction minimum 60-day suspension
• 2nd conviction minimum 120-day suspension
• 3rd and subsequent convictions minimum 1-year suspension

If a CDL holder is convicted of a "law related to motor vehicle traffic control" other than parking violations, including violations that occur outside of work when driving a personal vehicle, you must notify your employer! Additionally, you must report a loss of driving privileges or suspension of CDL to your employer by the end of the next business day. It is important that you drive safely and professionally as your CDL is literally your meal ticket.  You should fight every erroneous violation and keep your record (MVR & CSA 2010) free of negative Safety Rating statistics which follow a driver from company to company.

Posted by Kevin Mullen, Director: Safety

2 New Reports about the Supply Chain Industry

Two very interesting reports came out in the past few days...

Wednesday, The American Transportation Research Institute (ATRI) released an analysis of commercial vehicle crashes that found the majority (87%) occurred within the first eight (8) hours of driving. This is important in that it further discredits supposed highway safety groups such as CRASH, which have repeatedly sued the FMCSA over 2007 changes to the hours-of-service regulations permitting drivers one additional hour of driving time.  Only 12% of crashes occurred in the 9th to 11th driving hours. Prior to 2007 drivers were permitted to drive only 10 hours.

Coupled with measurable and historic decreases in truck-involved fatalities during the same period, it would behoove CRASH to focus on other behaviors (such as distracted driving) by passenger car drivers who, incidentally, cause anywhere from 50-70% of truck-involved crashes, according to studies by the FMCSA and AAA.
 
Lawsuits by CRASH and associated groups have cost millions of dollars that could well be better spent on other initiatives more likely to reduce crashes.

Additionally, in a recent Commercial Carrier Journal webinar, FTR Associates President Eric Starks released their Driver Supply Update for May.  FTR forecasts a 200,000 driver shortage by the end of 2011.  FTR cites a lack of hiring and training personnel due to carrier cut backs during the recession.  Anecdotally, we have sufficient hiring and training staff but are finding a shortage of qualified drivers.
 
The impact of CSA 2010 was not figured into FTR’s dire forecast, however it will only exacerbate the problem.  Starks’ assessment that “we could be 400,000 drivers short of what we need” with CSA 2010 driver defections spells trouble for already tightening capacity should signal shippers that rate decreases squeezed from carriers during the recession will be erased and reversed in the not-too-distant future.

Posted by Kevin Mullen, Director- Safety: ADS Logistics

FMCSA Publishes Electronic On-Board Recorders (EOBR) RULE

The Federal Motor Carrier Safety Administration (FMCSA) this week published its long overdue Electronic On-Board Recorders rule (EOBR).  The rule was ready a year ago but was pulled back to allow the incoming Obama Administration to review it.  It is schedule to go into effect June 1, 2012.

The rule, the first requiring EOBR’s, is limited to carriers with serious patterns of hours-of-service (HOS) violations as a result of Compliance Reviews. The FMCSA estimated that 5,700 truck and bus companies would be required to purchase, install and use EOBR’s after the first year of implementation of the new rule. Carriers with ten percent (10%) or more HOS (log) violations discovered during a Compliance Review will be required to install and use EOBR’s in all their vehicles for at least two years according to the FMCSA.

The rule also contains long-awaited technical requirements for EOBR’s, long a concern among competing manufacturers of the devices.

In a related story, David Bradley, President of the Canadian Trucking Alliance (Canada’s largest trucking advocacy group with more than 4,500 carriers as members) said EOBR’s should be mandatory for all truckers operating in North America.  He went on to say the FMCSA will “inevitably” move toward broader EOBR requirements if not a universal mandate.

US carriers which voluntarily use EOBR’s will be exempt from some of the FMCSA’s requirements regarding retaining the retention of documents to support HOS enforcement.

Published by Kevin Mullen: Director-Safety

FAQ's About CSA 2010

Since we began discussing CSA 2010 back in January, there have been several common questions that have come up again and again. Thankfully, the CSA 2010 website has a plethora of information on the topic. Below are some of the most frequently asked questions and the CSA 2010 official answer.

Q. Why does FMCSA’s new CSA 2010 program emphasize
driver safety enforcement?
A. Studies have shown that unsafe driver behavior, both on the
part of CMV drivers and other drivers, is a major contributor
to CMV-related crashes. Some studies indicate that a small
segment of the CMV driver population is involved in a
disproportionately large number of crashes. As a result,
during the CSA 2010 Operational Model Test, FMCSA is
expanding its approach to identifying and addressing unsafe
drivers during interventions with motor carriers.

Q. Can you describe the CSA 2010 driver safety enforcement
process?
A. The driver safety enforcement process provides FMCSA with
the tools to identify CMV drivers with safety performance
problems and to verify and address the issues.  The new tools
enable Safety Investigators (SIs) to identify drivers with poor
safety histories who work for carriers that have been identified
as requiring a CSA 2010 investigation.  If the investigation
results verify the driver violation(s), FMCSA takes an
enforcement action against that driver, such as a Notice of
Violation (NOV) or a Notice of Claim (NOC).

Q. What kinds of driver safety performance data is CSA 2010
looking at?
A. The new program focuses on driver enforcement for serious
rule violations, such as:

•Driving while disqualified
•Driving without a valid commercial driver’s license
•Making a false entry on a medical certificate
•Committing numerous Hours-of-Service violations

Q. Do tickets or warnings that drivers receive while
operating their personal vehicles impact the new SMS?
A. No. Tickets or warnings that drivers receive while operating
their personal cars are State citations and do not count in
the new measurement system. SMS only uses violations
of FMCSA's regulations, and those regulations only apply
to people driving large CMVs. In measuring on-road safety
performance, SMS uses all safety-based violations
documented at roadside inspections as well as State-
reported crashes.

Q. Will CSA 2010 assign safety ratings to individual CMV
drivers? I heard that CSA 2010 is designed to rate CMV
drivers and to put many of them out of work this summer.
A. No. Under CSA 2010, individual CMV drivers will not be
assigned safety ratings or Safety Fitness Determinations
(SFDs). Consistent with the current safety rating regulations
(49 CFR part 385), individual drivers who operate
independently as a “motor carrier” (i.e. have their own USDOT
number, operating authority, and insurance) will continue to
be rated as a motor carrier, as they are today, following an
onsite investigation at their place of business. CSA 2010 is
designed to meet one overriding objective: to increase safety
on the Nation’s roads. Therefore, it is, by design, a positive
program for drivers and carriers with strong safety
performance records. CSA 2010 sends a strong message that
drivers and carriers with poor safety performance histories
need to improve.  

Q. What is the Pre-Employment Screening Program (PSP)
and when does it start? 
A. PSP is a new FMCSA program mandated by Congress that is
designed to assist the motor carrier industry in assessing
individual operators’ crash and serious safety violation history
as a pre-employment condition. The program is voluntary. 
It is not part of CSA 2010. The system is expected to launch
in 2010. For more information about PSP, visit FMCSA's PSP
website.

Q. What is the detailed process for drivers to contest
information contained in their FMCSA driver records?
A. Drivers should use FMCSA’s DataQs system to challenge data
in FMCSA databases. To do this, drivers can go to the DataQs
registration page, select “Register Online” as a general public user, and create a DataQs account profile. Once registered, drivers
can challenge their data by following detailed instructions in
the help menu. The Agency is in the process of improving the
DataQs Website to make the process of challenging data more
apparent to drivers.

We hope this helps answer any questions you may be having about CSA 2010. If you need more help, visit the CSA 2010 website or send an email to us and we will get to work researching the answer for you.