2014 Lifeliner Magazine (Issue 1)

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IMTA {

Lifeliner Iowa Mot or Tr uc k As s oc i at i on Issue 1, 2014

ELECTRONIC LOGGING DEVICES

INSIDE: National News

Board of Directors Meeting

2014 Committees


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Table of Contents

22 ELDs

20 Members in the News

Motor Carrier 30 Iowa Foundation

Chairman’s Message................................................ 4-5

IMTA Board of Directors........................................ 28-29

President’s Message......................................................7

Allied Check Presentation.............................................29

National News.......................................................... 8-9

Iowa Motor Carriers Foundation............................ 30-33

Question of the Month................................................10

2014 IMTA Committees......................................... 36-37

Finance......................................................................13

Marketing Update.......................................................38

Workers Compensation.................................................14

Membership Update...................................................39

Driver Retention..........................................................15

2014 IMTA Committees......................................... 40-41

Maintenance Engine...................................................16

Safety Update....................................................... 42-43

Maintenance CSA.......................................................17

Safety Professional’s Conference............................ 44-45

Next Generation Speaks..............................................18

IMTA Boxing NIght/PAC Fundraiser........................ 46-47

Members in the News.................................................20

Member to Watch.......................................................48

Feature Article - Electronic Logging Devices ................................. 22-27

Final Word.................................................................50

IMTA Staff Brenda Neville, CAE President

Don Egli

Director of Safety and Security

DeAnn Moody

Office & Building Manager

Phillip Nicolino

Marketing Manager

Jon Dill

Membership Manager

Janelle Stevens

Our Supporters Great West Casualty...................... 2 Boyer Petroleum..........................4-5 Donaghy-Kempton Insurors............ 6 Quality Services Corp..................... 6 Central Trailer Service.................... 6 Ziegler........................................ 11 Inland Truck Parts & Service.......... 12 Kwik Star..................................... 12

Northland Insurance.................... 19 J.J. Keller & Associates.................. 19 Cornerstone Sponsors.................. 21 Iowa Truck Services...................... 34 IMTA Fuel Saving Program............ 35 Truck County............................... 49 Thompson Truck & Trailer............. 51 Midwest Wheel Companies............. 52

Events/Education Manager

Brook Roberts

Administrative Assistant www.IowaMotorTruck.com

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Chairman’s Message

Ralph Arthur, Ruan Transportation Management Systems My hope is that by the time you are reading this column, we have the winter weather behind us and trucking can finally be operating at 100%. There is no question that the winter Ralph Arthur storms that IMTA Chairman of the Board have moved across the country since January have had a tremendous impact on the industry. Economists are saying that the severe winter weather has driven down tonnage by over 4% on average. Bad weather coupled with the new hours of service regulations and the shortage of qualified drivers have really challenged fleets everywhere. Challenges, however, are nothing new to any of us in the trucking industry.

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Iowa Motor Truck Association Lifeliner

The resiliency and fortitude of this industry always has been and always will be tested but that same resiliency and fortitude is what enabled consumers across this nation to see very little disruption in the delivery of the products they depend upon as the snow swirled and electricity disappeared. But far too often the trucking industry is simply taken for granted and we all need to help change that perception. In the past several months, I have had the opportunity to represent IMTA and Iowa’s trucking industry at various events at our State Capitol. While the trucking industry garners great respect at the Capitol, I believe there is still work to be done in reminding not only legislators, but everyone, as to the important and vital role trucking plays in their daily lives. “Trucking – It’s Everybody’s Business” is the slogan we are using to educate and inform people about the value of trucking. In a presentation to the House

Transportation Committee, we shared not only powerful statistics in regard to the role of trucking in Iowa but really hit it out of the park when we reminded them that everything they found on the shelves of a Target store came by way of truck. For you and I that work in the industry every day, there is no disconnect as to the importance of trucking, but in the general population, they rarely think of how they actually are able to get the important products they use daily. Implementing a positive and proactive image campaign is a priority for IMTA. While some will argue that there is no amount of money that can change the image of the industry, I will counter that argument on the premise that we can no longer afford not to do something. For too long now, the industry as a whole has taken a very reactive and complacent approach to its overall image. Maybe the driver shortage wouldn’t be as critical today if we would have


consistently been telling the positive story of the industry over the last decade. Perhaps more individuals would have viewed the trucking industry as a viable career option if they had a positive view of the industry as a whole? Maybe regulators and legislators would slow down in the knee jerk reaction that seems to create an endless array of oversight if they had better knowledge of the industry and its commitment to professionalism and service to virtually everyone in the state and nation. The list of possible scenarios and outcomes of an ongoing image

campaign is endless in my opinion, and I believe it is time that we move forward and start doing something now about our image. IMTA leaders are actively discussing an image program and the scope of an image program needs to be ongoing and present 7 days a week, 365 days a year‌.just like the trucks. As we continue to develop this program, we will be calling on every member to get involved and help spread the word about the important role of trucking in this state. I take great pride in the industry and have spent over 34 years in trucking, I am more than happy to

FAR TOO OFTEN THE TRUCKING INDUSTRY IS SIMPLY TAKEN FOR GRANTED AND WE ALL NEED TO HELP CHANGE THAT PERCEPTION.

remind folks about the value of trucking and I am confident that every IMTA member will join me in this campaign. We will continue to keep you updated on our progress and will also give every IMTA member the opportunity to get involved. We cannot put this off any longer and I am hopeful that I can count on your support of an image campaign. I am enjoying my role as the Chairman of the Board and encourage you to contact me directly if you have any suggestions or ideas on how we can promote the industry. Trucking is everybody’s business, and now is the time to step up and remind folks of that. Ralph Arthur

Ruan Transportation Management Systems

IMTA Chairman of the Board

www.IowaMotorTruck.com

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Iowa Motor Truck Association Lifeliner


President’s Message

Brenda Neville, Iowa Motor Truck Association While there is a plethora of topics that are impacting the industry right now, all of which would be worthy of some space in this column, I have instead decided to Brenda Neville dedicate IMTA President & CEO this month’s message to something that is even more important in my view than the pending gas tax legislation or the ongoing regulatory and compliance changes we are facing. And that is a message of recognition and appreciation for the large number of members that step up and get involved with IMTA.

group of legislators or asked for a grassroots effort on the gas tax and IMTA members quickly respond and move into action. Because of the tremendous involvement by the members, I never hesitate to recruit folks to sit on a committee or participate on a task force because members are always willing to help and get involved…and believe me, very few organizations could say that.

IMTA would not be where it is today without the tremendous support that we get from the membership. Quite frankly, I find the support and involvement by the members overwhelming and truly amazing. I know the demands that are being placed on every single IMTA member. Not only from a financial perspective but from a time perspective and yet, any time I have asked for help or support, a member always comes through.

I often wonder if the support and involvement will start to wane next year and as an association executive, that is always an ongoing concern. Volunteer involvement is critical to our success. But every year, the involvement by the members exceed my expectations and I am overwhelmed by the number of people that continue to step up and help in very important ways.

With our legislative efforts, IMTA is not only blessed to have a great lobbyist at the Capitol every day in Dave Scott, but we are further blessed to have legions of lobbyists out in the field every day carrying our message and demanding action. I appreciate that some of our members simply don’t have the time or the appetite for the legislative side of this business. But for those that do take an interest, they do so in a manner that truly adds to our effectiveness at the Capitol. Rarely does a Monday go by, where I don’t receive an email or phone call from a member that has attended a weekend forum by a legislator or had a conversation with a legislator and they want to share their feedback or opinions. On more than one occasion, I have dispatched a plea of help with a specific

As you will see in this magazine, the scores of volunteers that serve on leadership committees or have stepped up and helped with some of our other important activities, such as fundraisers or educational conferences visibly illustrate the member participation. In every single case, I am certain that these individuals would very easily be able to fill their time in other ways, but yet they are more than willing to share their time, a most valuable commodity, with IMTA.

As we have continued to focus on our strategic planning efforts, our conversations always turn to the next generation. As we prepare to hand over the torch to a new class of leaders and volunteers, we often discuss what motivates and influences these members to be engaged and active? What is the hot buttons for these up and coming leaders? What amount of time will they donate to IMTA? Keeping members engaged, active and involved is a top priority and we will continue to look for ways to reach out to the many different segments of the membership. But in the meantime, expressing our thanks, appreciation and gratitude for the hundreds of members that truly give much more to this association than simply writing a dues check is always a top priority.

I could fill pages of this magazine if I started to list people individually and invariably I would miss someone, so rather than doing that, I am hoping that this simple message of THANKS AND APPRECIATION reaches all of you that have continued to show your support in the most generous ways. Your time, your ideas, your involvement on a committee or attendance at an event is something that we are most grateful for. Your willingness to write a letter or an email to a legislator or a regulator helps us more than you will ever know as we try to secure votes for a gas tax or other important legislation. Your willingness to share your expertise as an author of an article in this magazine or on a specific task force allows all the members to gain added expertise. When you volunteer to help us raise money or raise awareness it is an incredible gift you give to your association. And when you commit to being a valued member and back that commitment up with your actions, you are providing a priceless contribution to not only IMTA but the trucking industry in general and you do indeed make a big difference. For those of you that I have had the pleasure of working with, please know my gratitude is boundless and my appreciation ongoing. For those of you that are not yet involved, perhaps this message will serve as a formal invitation or even a challenge… to go one step further in really taking advantage of your membership in the association. And for everyone who is an IMTA member, please accept my heartfelt thanks for making IMTA what it is today. IMTA has the greatest members! Brenda Neville IMTA President & CEO

www.IowaMotorTruck.com

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National News

Impacting Trucking Industry NTSB Frustrated by Unresolved Safety Issues

National Transportation Safety Board (NTSB) Chairman Deborah Hersman wants Deborah Hersman National Transportation Safety Board some answers. “From a safety perspective, one of the things that just confounds me is that year after year, even after millions of roadside inspections, we still see a 20% out of service rate,” Hersman said at a February forum with Transport Topics editors and reporters.

Hersman who has been at the helm of NTSB since 2009 said her disappointment extended from carrier managers to government officials. In November 2013, the NTSB sent a report critical of FMCSA to the DOT, urging an audit be done on FMCSA oversight activities. “This is the hardest we have come down on FMCSA in some time,” said Hersman, whose researchers found that in four

major incidents, motor carriers passed compliance reviews days or weeks before being involved in fatal accidents. “FMCSA needs to deploy its resources better,” she added. The NTSB has two main functions, by congressional mandate the NTSB is to investigate major transportation accidents including all civilian air crashes. The second function is to make safety policy recommendations based on major trends. The NTSB published its annual Top 10 list in January and three items on the list had a highway safety emphasis; eliminating distracted driving, driving while impaired and better safety for vehicle occupants. The other topics affected aviation, trains, ships and pipelines.

National Fuel Tax “Off the Table”

Road funding is a hot topic on both the state and national level. Despite continued rhetoric about “keeping all the options on the table” by many members of Congress when asked about road funding or specifically a gas tax increase, it was recently confirmed by House Transportation Committee Chairman Bill Schuster (R- PA) that a higher gas tax was off the table.

The House Ways and Means Committee recently approved a bill to block the Internal Revenue Service (IRS) from implementing new rules governing political activity by 501(c) (4) social welfare groups. The bill (H.R. 3865), sponsored by Ways and Means Committee Chairman Dave Camp (R-MI), advanced on a party-line vote with Ways and Means Republicans saying they have not yet completed their investigation into allegations that the IRS targeted conservative groups applying for 501(c) (4) tax-exempt status. The proposed IRS rule is overly broad and would codify the IRS’s ability to attack certain groups, opening the door to further encroachment on Americans’ First Amendment rights. Camp said Tuesday that the proposed rules, issued by the Treasury Department and IRS last November, are “a blatant Iowa Motor Truck Association Lifeliner

“Our economy is not in good shape. I believe there are ways we can fill that hole in the trust fund. There’s a lot of ideas out there,” he said. Among the ideas out there are leasing more off-shore oil drilling rights, repatriating the profits American corporations are keeping overseas to avoid paying taxes and a tax on vehicle miles traveled. The same day that Congressman Schuster announced that a higher fuel tax was not going to be considered, the Congressional Budget Office reiterated its projection that by October 1st, the start of fiscal 2015, the Highway Trust Fund will be unable to meet its obligations. Former Transportation Secretary Ray LaHood has said he would like to see the fuel tax increased 10 cents and then indexed to inflation. “I they’d indexed it in 1993, I don’t think we would be having this discussion now,” said LaHood.

“I just don’t think there is a will out there with the American public or the

Committee Republicans approved a bill that limits the IRS to redefine the permitted political activities of 501(c)(4) groups -

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Congress,” said Chairman Schuster when asked about raising the fuel tax.

attempt to legalize and institutionalize targeting by the IRS.” Camp’s bill would halt the IRS rules process for a year while the committee completes its investigation. The proposed rules would redefine “candidate-related political activity” by 501(c)(4) groups to include activities such as candidate forums or meet-and-greets, get-out-thevote efforts, and voter education. The IRS has asked for comments on whether the new rules should be applied to 501(c)(5) labor groups and 501(c) (6) trade and professional associations. The proposed rules have already generated a record number of public comments—more than 23,000 so far—with thousands more likely to be filed before the February 27 deadline. “I believe it is extremely important to make this area of regulation as clear as possible, not only because it will help guide the IRS in proper enforcement, but will also give a better roadmap to applicants and help those that already have section 501(c)(4) status understand the applicable standards and properly administer their organizations,” IRS Commissioner John Koskinen told the subcommittee.


National News Obama Orders Another Round of Greenhouse-Gas Rules for Trucks President Obama has ordered his staff to develop a proposed rule further tightening greenhouse-gas emissions by heavyand medium-duty trucks by March 2015 and to complete the process a year after that. The president did not specify timing for when the new rule would take effect. Obama praised several major companies in his remark. He said that if competitors such as FedEx Corp. and UPS Inc., Coca-Cola Co. and PepsiCo Inc., and AT&T Inc. and Verizon Communications could join in the effort to use cleaner trucks, “maybe Democrats and Republicans can get together, too.” The president also suggested offering tax credits to manufacturers of clean vehicles and to fuel-stop operators selling clean fuels. While the fuel standards can be done within the executive branch, changing the tax code would require congressional action.

Nation’s Roads Need to Become a Priority Transportation Secretary Anthony Foxx urged state transportation leaders to help persuade Congress to pass President Obama’s plan to save the Highway Trust Fund and ramp up infrastructure investment across the country. President Obama is proposing a four year $301 billion transportation reauthorization bill.

Trucking Leader – Tom Kretsinger Sr., American Central Transport Passes Away Tom Kretsinger, Sr., Chairman and CEO of American Central Transport and longtime advocate for trucking died of natural causes February 23 in Liberty, Missouri. He was 84. His career in trucking began after passing the bar exam in 1957 when he joined his father at the law firm Kretsinger and Kretsinger in Kansas City, where they specialized in motor carrier law. In 1972, he purchased E.K. Motor Service, which he renamed American Central Transport and moved to Liberty. Under Kretsinger’s leadership the company grew into one of the largest over the road trucking companies in the state, employing more than 370 workers and associates. Tom was an out-of-state board member for the Iowa Motor Truck Association. He and Carolyn actively and regularly participated in IMTA events and activities for many years. He also was active with ATA, TCA and the Missouri Trucking Association. Tom was always a wonderful advocate for the trucking industry and was always engaged with any association he was involved with. Tom was born and raised in Iowa and was especially fond of the Lake Okoboji area where he grew up. Tom is survived by his wife of 59 years, Carolyn, seven children and a host of grandchildren. A son, Joseph preceded in death in 1972. A memorial service was held on March 9th in Kansas City.

The interstate highway system which the states are responsible for maintaining carriers about 40% of all truck miles and the National Highway System, which includes the interstates as well as other highways, carriers 97% of all truck miles according to Darren Roth, ATA’s director of highway operations. Interest groups are calling for an increase to the 18.4 cent gasoline tax and the 24.4 cent diesel fuel tax because the nation’s roads are crumbling. It has been 20 years since any increase and nothing has been done in Congress with funding for several years, despite pleas from trucking, retail, manufacturing and highway users groups that understand the need for good roads.

www.IowaMotorTruck.com

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Question of the Month Electronic Logging Devices

Brad Tolsma, United Natural Foods - Iowa City If so, what made you decide to install them?

aware of speed, RPM and other functions. It also assists in fighting traffic tickets and in accident investigations right or wrong.

Do you feel that ELD’s improve safety?

We use almost everything the system has to offer.

Is your company presently using ELD’s? Yes we are using People Net

Electronic logs, tracking of deliveries, MPG and engine monitoring and driver pay.

If you have on-board technology, do you use the other features of the system as well or just the logging capability?

Yes, there is no fudging on HOS and it keeps drivers

Dave Riggan, TanTara Transportation Corp. - Muscatine Is your company presently using ELD’s? No

If not, what factors kept you from installing them?

The primary reason we haven’t installed them is because we don’t need them. We have no reason to believe the installation of ELDs would better our company’s safety values, operational procedures, or driver retention. Spending that kind of money just to be on the band-wagon isn’t in our game plan.

Do you feel that ELD’s improve safety?

There is not one item alone that will improve safety. Safety success comes only through a combination of properly applied techniques and developed skills. If your entire office staff isn’t passionate about safety,

chances are your drivers aren’t either. Safety is a lifestyle that must be instilled throughout the organization. On ELDs specifically, I feel there are those drivers whose safety lifestyle would benefit from their use. There are also those drivers whose safety lifestyle would suffer due to stress caused by the ELDs. Trucking is not a one-size fits all.

If you have on-board technology, do you use the other features of the system as well or just the logging capability?

We have had QualComm units installed in all of our trucks for the last 25 years. We have witnessed the on-board technology advance significantly over the years. Today’s units have touch-screens and even talks to you! Our Qualcomm units are primarily used for communicating dispatch information and satellite tracking. We are also using them for performance monitoring. The capabilities are astounding. Data is power.

Rex Morris, Robison Transportation - Muscatine Is your company presently using ELD’s? NO

If so, what made you decide to install them? We once had a system installed but we removed them. We have PeopleNet in boxes for all units. (stored)

If not, what factors kept you from installing them?

I oppose “mandates” of any kind. We are already taxed to death, now they wish to regulate us into oblivion.

Do you feel that ELD’s improve safety?

Not exactly. I believe that they can make “rouge” fleets become more accountable. The clean operations should not be penalized for what the ‘Dirty’ ones do.

If you have on-board technology, do you use the other features of the system as well or just the logging capability?

As someone that has used PeopleNet, I will say that the other features are extremely useful for tracking vehicles and holding drivers accountable.

Carol Millam, Amhof Trucking - Eldridge Is your company presently using ELD’s? Yes

If so, what made you decide to install them?

We needed to upgrade our satellite communications, so we started looking at systems. We knew that ELD’s were coming, so we actually bought the PeopleNet system in 2009.

Do you feel that ELD’s improve safety?

Yes, we think that most serious crashes are caused by speed and lane changes, and this system helps us to monitor driver speed issues. We

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Iowa Motor Truck Association Lifeliner

do not have 24-hour coverage in the office or shop, but we can check on our drivers 24-hours a day, including messaging, driving issues, etc. In addition, we can monitor driver hours-of-service in real time and catch the violations as they occur, not at some point down the road, after-the-fact.

If you have on-board technology, do you use the other features of the system as well or just the logging capability?

Yes, we use everything it has to offer. Speed gauge is one of the greatest features. It has proven to be a great tool to use to monitor our drivers. We’re sold on PeopleNet and love the system.


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Finance

Make a Plan to Plan for your Business If someone asked you today, “What is your company’s business plan for the next three years?” would you be able to answer it? Would every key Dan Schwarz McGown, Hurst, Clark & Smith, P.C. member of management be very familiar with it? Is it a common vision shared by everyone in the company? If the answer to any or all three of these questions is “no”, then now is the time to make a plan to plan for your business. Most business owners sit down at the beginning of the year and set general financial goals. It might be something like “We want to grow revenue 5%” or “We want profitability to increase 25%”. Too often it stops there. Taking the next step is what planning is all about.

Why Plan?

Planning done correctly has many benefits. Good planning equals good management. Planning helps define a company and its philosophy. Planning will help you identify key financial drivers, strengths and weaknesses. Once identified, your plan can maximize your strengths, and minimize and improve your weaknesses. Getting all keys members of management involved in the planning process creates a team environment. Everyone in an organization pulling in the same direction is a powerful asset, and creates an advantage over those competitors that lack this unity. More and more, banks and other lenders want to see that management has a business plan and the reasoning behind

it. A well-developed and articulated plan can often result in more favorable lending terms, conditions and covenants.

Financial projections are more goaloriented and tie into the company’s goals.

One argument against planning is that it takes too much time. If done properly, a plan can actually save time by charting a clear path for the financial direction of a company. There is efficiency when everyone knows the company’s goals and the direct impact their job has on those goals. Also, having a clear path identified will allow for a quicker and more efficient reaction if the business environment changes (and it always does).

Accuracy is key in projections. Accuracy is different than precision. Precision often times comes at a high cost relative to the benefit.

What is in a plan?

A good business plan has many elements but ultimately they come back to what needs to be done for the financial wellbeing of a company now and in the future. These plans can vary greatly by company. A startup company trying to make their mark in the business world has a different set of goals than a mature company looking to transition to the next generation of ownership.

How to Plan.

Putting together a business plan for the first time can seem overwhelming. It doesn’t need to be. Businesses generally keep “score” based on their financial results. A great place to start is setting financial goals. Our firm is privileged to work with many clients helping them to develop and define their financial goals. While every client has a different process and set of goals, there are certain common traits in all good financial plans. I am a strong advocate of preparing financial projections. Financial projections are not budgets. Budgets are a by-product of the projection process.

In this process, you should look back before you look forward. Your company’s history is full of information on where you were yesterday, and when coupled with where you are today can be excellent indicators of where you are headed tomorrow. For instance, you may want to increase revenue by 10% over the next two years. Does the history of the company give any indication this is feasible? If there is no history of that level of growth, a business owner needs to ask himself what is different now that would/could justify this level of growth? A company may benefit from preparing projections based on ‘best”, “worse” and “mostly likely” cases. Also, the company might prepare different projections for internal and external purposes. Projections given to a bank for purposes of obtaining a loan or renewal of existing loan may be more conservative in nature than projections based on goal setting and a longer term plan. Projections should constantly be updated as actual results are known. Projections prepared and then never updated, quickly become useless.

It’s a process.

This article briefly touches on some of the importance of planning for your business’ future. Planning can seem like a task that takes too much time or is too difficult to tackle. It is neither. Good planning in an ever changing world is not only good business but necessary for a business to survive and prosper. Make a plan today to plan!

Dan Schwarz is a CPA and partner at McGowen, Hurst, Clark & Smith, P.C., and has provided tax, accounting and business consulting services to the trucking industry for 24 years. During this time, he has written numerous articles and given presentations on a variety of accounting and tax issues to the trucking industry. He is an Accredited Business Valuator (ABV), a member of the American Institute of Certified Public Accountants and the Iowa Society of Certified Public Accountants, and an affiliate member of the Iowa Motor Truck Association. www.IowaMotorTruck.com

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Workers Compensation

Building Certainty in the Resolution of Worker’s Compensation Claims Readers of this column are well aware of the fact that interstate commerce exposes an employer to the laws of many jurisdictions. Workers compensation Jennifer L. Smith laws are Whitfield & Eddy, P.L.C. regulated by individual states potentially allowing for vast differences in the way individual states handle claims. The transportation industry is one in which there may frequently be the situation where the employer is located in one state, the employee is from a second state and an injury occurs in a third state. Each state has an agency that administers the state workers’ compensation program. Each state also has the ability to define when and if a person is considered disabled, either partially or totally or temporarily or permanently. Likewise, each state has the ability to determine the rate of compensation and schedule of benefits. An Iowa based employer with an interstate business and employees traveling through all or some of the contiguous 48 states, could potentially be subject to claims for benefits in many different states, subjecting them to many different laws. Rather than allowing the worker to potentially select a state with unfamiliar laws, it may be beneficial to elect to include a section in the employee’s contract of hire that the employer and employee elect to be bound to Iowa Workers’ Compensation law. In order to proceed with a case in Iowa, as a threshold matter, there must be subject matter jurisdiction. In 2005, the Iowa legislature amended the extraterritorial injury statute and added

section (e), allowing for jurisdiction when “the employer has a place of business in Iowa, and the employee is working under a contract of hire which provides that the employee’s workers’ compensation claims be governed by Iowa law.” In the absence of electing to follow Iowa workers’ compensation law in a contract of hire, jurisdiction is evaluated based upon the following factors:

a. The employer has a place of

business in this state and the employee regularly works at or from that place of business, or the employer has a place of business in this state and the employee is domiciled in this state.

b. The employee is working under a

contract of hire made in this state and the employee regularly works in this state.

c. The employee is working under

a contract of hire made in this state and sustains an injury for which no remedy is available under the workers’ compensation laws of another state.

d. The employee is working under a

contract of hire made in this state for employment outside the United States. Issues may arise when interpreting sections (a)-(d) and whether the contract of hire was made in Iowa and whether the employee “regularly works” in Iowa. The place of making a contract is generally determined by the parties’ intention. Where the offer is accepted is generally considered to be the place of making a contract; although the court also evaluates where the last act necessary to complete the making of a contract is performed. For instance, in Heartland Express, Inc. v. Terry, an employee was hurt on the job in Louisiana while driving for an Iowa based employer. The employee filed his workers

compensation claim under Iowa law and his employer asserted that Iowa did not have jurisdiction. The employee never spoke with anyone in Iowa and all hiring conversations took place with personnel in Georgia. The acceptance of the offer of employment occurred during a telephone conference while the employee was located in Georgia. The Court concluded that acceptance of the offer for employment occurred in Georgia rather than Iowa and thus, the contract for hire was not made in Iowa and Iowa had no subject matter jurisdiction over the claim. Terry took place prior to the statutory amendment allowing for selection of the forum by employment contract. If the contract for hire is not made in Iowa, the only other way to maintain jurisdiction in Iowa is when the employer has a place of business in the state and the employee is domiciled in Iowa, or regularly works at or from an Iowa place of business. In the transportation industry, proving where an employee “regularly works” may be an onerous task in the absence of an agreement considering the nature of the work of an over the road truck driver. In Heartland Express v. Gardner, an over the road truck driver asserted he was not principally located in any one state as his work took him to approximately 40 states and he spent no more or less time in any one state. Consequently, the court found Iowa lacked subject matter jurisdiction. Rather than enter into litigation in order to prove or disprove subject matter jurisdiction, the better solution is to simply utilize the statute allowing for selection of Iowa workers’ compensation law in employment contracts. As an employer, this election allows for peace of mind and familiarity as to law will apply if you are subject to workers compensation claims.

1. Iowa Code § 85.71(1)(e) (2013) 2. Iowa Code § 85.71(1)(a)-(d) (2013) 3. Heartland Express, Inc. v. Terry, 631 N.W.2d 260 (Iowa 2001). 4. Id. at 266, 270 5. Iowa Code § 85.71(1)(a) (2013) 6. Heartland Express, Inc. v. Gardner, 675 N.W.2d 259, 267 (Iowa 2003).

Jennifer L. Smith is a graduate of Drake University Law School and is an associate at Whitfield & Eddy, P.L.C. in Des Moines. She is licensed to practice law in Iowa, the United States District Courts for the Northern and Southern Districts of Iowa, and the United States Court of Appeals for the Eighth Circuit. Jennifer is an active member of Whitfield & Eddy, P.L.C.’s Transportation Practice Group.

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Iowa Motor Truck Association Lifeliner


Driver Retention Valuing the Professional Driver Turn to any transportation publication and you are bound to find an article about the tightening professional driver market. The current driver market in Iowa may Nathan Schmidt not be as Ruan Transportation tight as it is in Management Systems certain regions of the country, but the relative strength of our state’s economy is pushing the demand for drivers toward levels we have not seen since 2007. While it’s appropriate to be concerned with how the industry is going to respond as the driver pool tightens, many leaders in the industry are already focused on an equally valuable effort: retaining their current professional drivers. If you have not done so already, this may be the year that you focus on your company’s driver retention strategy. Your drivers do not have to look very hard today to find other employers showcasing their positions. Because of this, it’s necessary to evaluate such things as driver wages, equipment, time at home and other areas that impact driver satisfaction. As you consider how likely your current drivers are to stay with you, be sure to ask yourself one important question: Do your drivers know that you value them? If your drivers are as important to you as you claim they are, then your job is to make each one feel like he or she really matters. See to it that each driver feels useful, relevant and significant. Show the drivers that you need them. Be as transparent to the drivers about their value to the organization as you are to your customers. Companies invest a lot of time and energy into courting and retaining their customers. They learn what is important

to the customer and how they can positively impact the customer’s business. They measure their performance against the customer’s expectations. They schedule regular meetings with their customers to ensure that there are no surprises. They take the time necessary to build relationships with the key contacts. Companies do this because they understand the value of putting their customer in the driver’s seat. Now is the time to put your driver in the customer’s seat. Value each driver in the same manner that you value each customer. Invest time in your drivers. Care about your drivers. Learn what is important to them and how you can positively impact them and their families. Know what they expect and measure your performance against those expectations. Regularly communicate with your drivers to be sure that there are no surprises and take the time necessary to build a meaningful relationship with each of your drivers.

When you don’t have an honest, open relationship with your drivers and the lines of communication are splintered, drivers are left to fill in the gaps. They become unsure of their value, they wonder if they are being ignored and they begin to question themselves or they begin to question you. Our days are filled managing many tasks. We manage work schedules. We manage maintenance. We manage equipment. Let’s not forget to manage relationships. In the end, your customer provides you with the opportunity to have an operation, and to a great extent, your drivers determine the level of success at your operation. One of the greatest areas of influence on the success of your business is through the relationships that you establish with all of those within your operation. Building meaningful relationships with your professional drivers may prove to be the gift in 2014 and beyond that keeps giving, to you, your customers and your drivers.

These steps will not eliminate driver turnover, but it becomes much more difficult for a driver to leave an organization where they are truly valued and needed. You may be asking, “How do I show my drivers that I need them?” This is as simple as showing them that you care about them as people. You care about their priorities and needs. You are willing to listen first and talk second. In too many companies, drivers are treated as a replaceable commodity. When the manager discounts the driver’s worth by ignoring their requests, taking them for granted or giving the impression that they are expendable, it becomes a self-fulfilling prophecy and drivers will begin to psychologically unplug from the organization and look for a company that meets their desire to be appreciated. What would it be like if you came to work every day and you were never noticed, you were never communicated with and you weren’t sure what your value was?

Nathan Schmidt serves as director of human resources for Ruan Transportation Management Systems and is responsible for sourcing, supporting and retaining the company’s talented workforce. Nathan recently completed his 20th year of service on the Ruan team. Prior to his career in the human resources field, he held various operations management positions. www.IowaMotorTruck.com

15}


Maintenance Engine

Taking Care of Repairs Anywhere – WheelTime Network “My truck is broke down and I am 500 miles from home, where do I find a good repair facility?” “My driver just Delwin Van Wyk completed Interstate PowerSystems his pretrip and he can’t start his trip without some repairs, I need help immediately,” These are common occurrences in the trucking industry and examples of what every fleet deals with on a daily basis.

In a perfect world every fleet will have well maintained equipment and no break downs. Unfortunately we don’t live in a perfect world and equipment breakdowns and equipment failures do happen. Fleets have several choices when they need service; dealers, distributors or independent service garages to name a few options. Many times the service performance can be compromised by not providing consistent service practices. Thus, the motivation in creating the WheelTime Network. Through extensive polling, customers were asked to identify what was a priority when choosing a service provider. As a result of that feedback six key factors were identified:

1. 2. 3. 4. 5. 6.

An initial diagnosis with two hours Fast turnaround times Prompt notification of repair completion On budget as quoted Notification within thirty minutes of completion A truck that’s fixed right the first time backed by warranty

WheelTime was created nine years ago and is comprised of 18 independently-owned companies that built the network based on the six key factors identified above. Every provider is a shareholder, so each one has a vested interest in fulfilling WheelTime’s overall mission and is committed to meeting exclusive truck repair and service

standards. Each of WheelTime locations started in the industry as a Detroit DieselAllison distributor so each provider has a solid track record of earning customer trust by delivering quality expert service on the most complex repairs.

Currently the WheelTime Network is comprised of

200 service locations

4,000 trained

2,800 service bays 1,500 service trucks

in U.S. and Canada service technicians

for mobile service and road side service

With the WheelTime network, all locations strive to provide the same consistent service and repairs at every location. Communication with the customer is a key component to the success of the network. By communicating properly as required by the WheelTime promise, this enables the customer an advantage for proper planning when a piece of equipment is in need of repairs. Do you need to repower the load? Do you need to reschedule the delivery or pick up time? Will the driver or drivers need a hotel? Customers don’t like surprises, so by communicating in a timely fashion, customers have no surprises which enables them to make decisions that will enhance their productivity rather than jeopardize productivity. When a customer schedules a repair at a WheelTime location in addition to addressing the failure, each customer’s vehicle receives a detailed Courtesy Inspection (CI). The CI covers tires, in the cab, under the hood, lights, brakes, drive train, engine compartment, and fluid levels. No repairs are done until the customer gives authorization to have the repairs done. Drivers are required to inspect

their vehicles, but customers realize that having another “set of eyes” look over their equipment is always an important and valuable benefit. CSA scores are more important today than they have ever been. Many fleets do not see their equipment on a regular basis, so the CI really adds value. Performing a thorough CI may eliminate an “Out of Service” down the road. With commercial vehicles becoming more complex the WheelTime network is an additional tool that is a big benefit to fleets with different OEM makes and models. At the designated WheelTime locations, a unique software diagnostic tool called Cojali enables all makes and models to be serviced. Cojali developed a multi-brand tool that integrates all major systems and manufactures, engines, transmissions, brake systems, cabin systems and suspension into one software diagnostic package. This tool was developed for WheelTime and has been customized for the North America market as a follow-up to the one developed in Europe. Because this new software is all inclusive, there is no need to buy separate systems. The objective of this new software is to help the technicians get to the core of the problem fast, the first time around. This is the first time a tool like this has existed and Cojali will enhance the ability for WheelTime locations to perform high-quality repairs on a broad range of equipment with confidence. In closing, when you need repairs of any kind contact the WheelTime Network, You can depend on Quality Truck Care – bumper to bumper and coast to coast. WheelTime consistently delivers your quality truck repairs on time and on budget – minimizing delays and maximizing profit. The WheelTime network will help you get back to business as quickly and efficiently as possible! Please visit the WheelTime website, www. wheeltime.com for additional information or feel free to contact me with any additional questions.

Delwin Van Wyk, Product Support, with Interstate PowerSystems has over 30 years in the trucking industry. He has been with IPS for 9 years and works with a variety of carriers across the state helping them with their engine and maintenance priorities. Delwin has been an active member of the association as equally long and has been instrumental in reviving the Maintenance Professionals Conference and making sure that maintenance issues are continued to be addressed by the association.

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Iowa Motor Truck Association Lifeliner


Maintenance CSA

Improving Vehicle Maintenance Performance under CSA Performance under CSA is measured using a Safety Measurement System (SMS). The data that this measurement system uses to evaluate a carrier or driver’s risk is sorted into seven BASIC’s or Behavior Analysis Safety Improvement Categories. One of these BASICs is Vehicle Maintenance. Violations related to the Vehicle Maintenance BASIC adversely affect SMS results for 24 months. The top 10 Vehicle Maintenance violations are shown in the chart below. Being that these are the most cited violations under this CSA BASIC, it’s highly suggested that a driver pay a little more attention to these particular items when performing their inspection. Properly maintaining a vehicle under CSA guidelines begins with proper inspection. Motor carriers should educate and train their drivers how to properly conduct pre-trip inspections and post-trip inspection reports, which includes properly recording vehicle defects in the DVIRs (Driver Vehicle Inspection Reports). When possible, inspections should go beyond the minimum requirements by checking the vehicle every time it’s parked. One of the top reasons a vehicle is pulled over for inspection is because an officer spots something wrong, for example, a defective light. Inspect the vehicle regularly for easy-to-spot defects to avoid getting pulled over. Motor carriers should also ensure that their drivers know that any vehicle malfunction or maintenance problem must be addressed proactively to prevent crashes. A driver needs to notify maintenance staff about any defects found during an inspection as soon as possible, whether through the daily inspection report, or some other means. If minor issues are found that can be repaired while on the road after leaving the yard, it is suggested that the driver keep the following items on hand:

• Pocket continuity testers

• Cable ties • Extra lights • Wire stripper and

for plugs & sockets

• Plug & socket brush • Extra 7-way socket and

crimping tool

7-way plug

• Conspicuity tape • Emergency tire inflator • Emergency hose repair

• Hose holder and hose separators

• Extra tender spring • Handful of dielectric

kits

• Basic tool kit • Flashlight (with an extra

grease packets

• 2 universal gladhands

set of batteries)

and extra gladhand seals

Keeping these suggested items on hand will offer a temporary solution to problems that can arise while on the road and away from maintenance personnel. In addition, they will also help to avoid downtime and the costly expense of possibly having to call for help. If proper maintenance inspections are performed and all vehicle malfunction or maintenance problems are addressed as soon as possible, then the risk of being cited for CSA vehicle Order maintenance violations can be significantly reduced.

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17}


Next Generation Speaks Slaying the Dragons and the Next Generation A few weeks ago while sitting at the dinner table my wife asks my 2 ½ year-old son what he thinks Daddy does at work. My son nonchalantly says, “slaying dragons!” Ben Caughron Laughing Warren Transport Inc. hysterically, but not to disappoint him, I reply, “Yes I do, son… yes I do.” While amazed at my son’s imagination, his idea of what daddy does at work was, metaphorically, not too terribly off. Every one of us in the transportation industry has our dragons to slay. Be it driver shortage, accident prevention, CSA, increased costs, stagnant rates, regulatory issues, competition, infrastructure, workers compensation, maintenance, health insurance…there is no shortage of “dragons” in our workplace. Slaying these issues may be practically impossible because of their complex dynamics, but transportation has been pretty resilient in “taming” these beasts the best we can so that we may provide our services to the US and global economy as safely and cost-effective as possible. As an industry, we have been successful thus far because of our past and present leaders. They always seem to be looking ahead, yet not wavering too far from the tried and true methods of past ideologies that got them to where they are today. Some, if not most, of these leaders started out on the loading docks or entry level positions of companies they later ran. Some started a one truck operation turning into a fleet of significant proportion. They surrounded themselves around like-minded team members and got the job done. These success stories are who we are and what we stand for.

But what about tomorrow’s leaders? Where will we be as an industry in 20 years? There are challenges on the horizon that are just down right scary and will need to dealt with head on. Will our future leaders of tomorrow be prepared to take on issues like MAP-21, driver shortage, and the other roadblocks ahead? Is the next generation “tough” enough and have that desire to take on these challenges? Are our leaders of today molding these future leaders with the tools and insight necessary to continue the successes of today? I challenge the next generation to get ready and really get involved. Be a sponge; absorb anything and everything you possibly can. Utilize the Iowa Motor Truck Association! You will be glad you did. After reading Brenda Neville’s message in the last IMTA Lifeliner, I couldn’t have agreed more with her comments about the return of investment members received from networking through various seminars, PAC events, and other voluntary efforts. Just sharing a conversation or getting a different perspective is invaluable. While participating in various IMTA events for 10 years, I look back on the last 18 months and am truly grateful of what the IMTA has done for me. I was able to get my NATMI Safety Director certification through the IMTA, volunteered at the Truck Driving Championships seeing our Safety Council’s hard work in action especially Gary Handley stepping up for a sicken member. I had the pleasure of getting to know Harold Dickey and

others while volunteering at the Iowa State Fair, and I was beat out way too early in the Texas Hold ‘Em PAC event (my belief that I was a good poker player was completely destroyed that night)! I capped off the year getting to experience the 2013 Management Conference for the first time and its excellent informative sessions, speakers, and awards presentations. It blew me away and was first class! But, despite all that, being part of last year’s 2013 Leadership Class was truly the highlight of my year. I was amazed with the intense advocacy efforts that Brenda and her staff continue to battle for on our behalf. It allowed me to uncover and work on several professional flaws many of us have like public speaking and professional writing. Not only was I completely humbled and incredibly impressed with my fellow classmates, I was also amazed at the alumni of this special group, many whom are leading the IMTA today. At its very core, being associated with this group of people reassures me that our industry will be in good hands for years to come. Shortly we will introduce our 2014 Leadership Class members and we look forward to their dedication to our industry and association. I ask each and every one of you to not only help these future leaders with the insight many of you have given me, but to get others started in this direction because we are going to need all the help our industry can get. Thank you.

AS AN INDUSTRY, WE HAVE BEEN SUCCESSFUL THUS FAR BECAUSE OF OUR PAST AND PRESENT LEADERS.

Ben Caughron serves as the newly appointed Safety Director at Warren Transport, Inc. in Waterloo, IA. He has been there since 1997 starting out in regulatory compliance and recruiting, spending the last 6 years in safety handling accidents and claims. He is a member of the IMTA and its Safety Council.

{18

Iowa Motor Truck Association Lifeliner


The experience you need – the service you deserve Northland customers can drive with confidence knowing their claim will be handled by people specializing in truck liability, physical damage and cargo losses. Here are just a few ways we get it done: •

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Call your agent or broker, or visit us online at northlandins.com.

© 2014 The Travelers Indemnity Company. All rights reserved. M-16993-4 New 11-12

Northland is a proud member and supporter of the Iowa Motor Truck Association.

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IMTA Members in the News Warren Transport Promotes Ben Caughron to Director of Safety

Ben Caughron was recently named the company’s new director of safety. Ben began his career with Warren Transport in August of 1997 in the recruiting/ driver qualification department. With his experience and knowledge in the safety Ben Caughron area, Ben was promoted to safety/claims Warren Transport manager in 2007. Ben’s hard work and dedication to Warren Transport’s commitment to safety has always been valued and appreciated by the company. Ben has continued his education in the areas of safety and accident and loss management, having attained his accreditation as a Certified Director of Safety (C.D.S.). Ben completed the Iowa Motor Truck Association’s Leadership training course and is an active member of the Iowa Council of Safety Managers. Additionally, he is on the board of directors of the Waterloo Transportation Club and has served as the club’s president.

Des Moines Truck Brokers Named National Broker of the Year

Des Moines Truck Brokers (DMTB) was named the 2013 National Broker of the Year. DMTB is one of about five percent of transportation brokers selected by the National Association of Small Trucking Companies (NASTC) as “Best Brokers.”

DMTB President Jimmy DeMatteis, CTB is well known for his active role in the transportation industry. In presenting the award, NASTC President David Owen said, “Des Moines Truck Brokers exemplifies the true meaning of the Best Broker award. Jimmy and his team have gone above the norm in 2013 to encourage small trucking companies throughout the Midwest to look at NASTC as a friend of the little guy.” DMTB is located in Norwalk and offers a variety of broker services and assistance to a large customer base.

Warren Transport is a specialized equipment and machinery hauler operation located in Waterloo, Iowa and a long-time member of the Iowa Motor Truck Association.

Iowa 80 Truckstop Celebrates 50 Years of Serving the Professional Driver

Fifty years ago, Bill Moon aided the opening of a truck stop, Standard Oil, by locating a plot of land in eastern Iowa at what is now Exit 284 of Interstate 80. What started as a small operation housed in a white enamel building in 1964 quickly evolved through the years as Interstate 80 was completely developed. Hundreds and then thousands of truckers and travelers stopped by Iowa 80 to fuel and grab a bite to eat before continuing down the road. Today, so many people and vehicles pass through the truck stop, it’s proclaimed the largest in the world. In its 50 years of service to transportation, Iowa 80 has gone through 28 expansions and remodels. The most aggressive started after Moon and his wife, Carolyn, bought full ownership rights to the truck stop in 1984. Over the next three decades, the single-building truck stop was transformed into a landing pad that now features a 300-seat restaurant; food court with seven food and beverage establishments; movie theatre; barber shop; chiropractor; and trucking museum, amongst all the other traditional truck stop offerings. “Bill just loved everything about trucks and trucking,” said Carolyn Moon. “He loved to sit at the counter in the restaurant and talk to drivers about what would make their life easier if Iowa 80 had it.” That same dedication and passion continues to be exuded by the second generation of the Moon family running Iowa 80. It’s a driving force behind their ability to serve 5,000 customers every day. “We are so fortunate to have such wonderful, dedicated employees and loyal customers,” said Iowa 80 Senior Vice President Delia Moon Meier. “They are such an integral part of our success.”

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Iowa Motor Truck Association Lifeliner

Jimmy DeMatteis of Des Moines Truck Brokers accepts the Broker of the Year Award from Dave Nemo, nationally known radio host and David Owen, President of NASTC.

Ruan Transportation Earns 2013 SmartWay Excellence Award

For the second straight year, Ruan Transportation was among the 55 companies honored with a SmartWay® Excellence Award from the U.S. Environmental Protection Agency for being a true industry leader in freight supply chain environmental performance and energy efficiency. The company utilizes a variety of environmentally friendly strategies, including idle reduction and auxiliary power unit (APU) usage; low viscosity lubricants; reduced highway speeds; lightweight equipment; paperless technologies and processes; and successful driver training programs. Ruan Transportation Management Systems is headquartered in Des Moines and offers innovative and customized supply chain management solutions.


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Patron Sponsors

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As of March 18, 2014

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If you want to have your company listed as a Cornerstone Sponsor of the IMTA, please contact Phillip Nicolino at 515-244-5193 or phillip@iowamotortruck.com

Colleague Sponsors Bridgestone Commercial Solutions Cornhusker International Trucks Donaghy-Kempton Insurors Housby/Vocon Majestic Truck Center O’Halloran International Peterbilt of Council Bluffs, Des Moines and Sioux City Reynolds & Reynolds TAB Bank Thermo King Christensen Transport Permits

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21}


By: Brenda Neville

IMTA President & CEO

ELECTRONIC LOGGING DEVICES

For almost 75 years, truck drivers have been subject to federal regulation of their work hours and driving time. The tedious job of filling out the paper log has been a topic of contentious discussion among regulators, company owners, drivers and safety professionals alike for decades.

all of their trucks and use them to track compliance. Compared to the FMCSA’s original proposal in January 2007, the final rule on electronic driver logs added a lot of teeth to the original mandate by having it apply to a lot more carriers. The rule was scheduled to take effect in June 2012 and once again the trucking industry was entering a new era of regulatory change.

In 2010, the landscape changed dramatically when a final rule was published on April 5, 2010 stating that violators of major hours-of-service (HOS) regulations would be required to install electronic onboard recorders (EOBRs) in

At the time of this ruling, the American Trucking Association came out in favor of the changes and had advocated for a rule that would capture more carriers. Over time other national organizations expressed their support of the new rule

History of Electronic Logging Devices

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Iowa Motor Truck Association Lifeliner

and agreed that it was a good public policy approach to an issue that had been brewing for decades. The Commercial Vehicle Safety Alliance (CVSA) which represents state and provincial motor carrier law enforcement agencies hailed the rule as being an important first step in creating a universal mandate but also felt that the rule had “fallen short” especially when it came to performance specifications. Carriers of all sizes had differing views on the impact of the new rule and the age old debate of “big carrier versus small carrier” received new fuel and steam in


FMCSA believes policies that encourage the adoption of EOBRs are consistent with CSA 2010.”

2010 when the final rule was published. It was no secret that the FMCSA wanted to see widespread adoption of electronic logs so the proposed rule included regulatory incentives for voluntary installation of EOBRs and many carriers jumped on the opportunity to install EOBRs in hopes of strengthening their compliance efforts. The final element of the FMCSA’s original rule in 2010 also addressed what constitutes an EOBR and what specific functions an electronic logging device must perform. The new performance parameters replaced the standards that had been in place since 1988, when satellite-based location was just starting to be discussed in the trucking industry and when computers had very little processing power or storage. The new standards also reflected the tremendous technology advancements that had been made and FMCSA was requiring EOBRs to automatically record the truck’s location at each change of duty status and at intervals while the truck was moving. In addition to this rule, the launch of CSA was on the horizon and regulators felt that the new CSA regulations would play a significant role in increasing the interest and support by carriers for EOBRs. FMCSA stated in the final rule that “the one objective of CSA 2010 is to leverage the capabilities of existing technologies to make compliance and enforcement efforts more effective and efficient.

FMCSA also continued to advocate for expansion of the EOBR mandate and promised that anther rulemaking process would be implemented to accomplish that goal. However, OOIDA had filed a lawsuit claiming that the rule singled out and harassed carriers and drivers. Carriers understand and appreciate the need to make regulatory compliance a priority especially when it came to enhancing the safety of their operation. But mixed opinions and feelings emerged from carriers of all sizes as the EOBR debate continued. While some carriers understood the value of EOBRs, they struggled with some of their deeply embedded principles and beliefs in regard to mandates. It was a tenuous time in trucking and with shrinking or even non-existent profit margins, carriers were evaluating very carefully the costbenefit of installing EOBRs on their bottom line. Needless to say, the mention of EOBRs always drew a lively and passionate debate from anyone within earshot. The courts ruled in favor of OOIDA in 2011 and demanded that FMCSA go back to the drawing board when it came to EOBRs. As is the process, listening sessions were held throughout the nation and it was evident that there were significant differences among carriers as to their thoughts and feelings about EOBRs or Electronic Logging Devices (ELDs) which was now the new term being used for the recording technology. The American Trucking Associations and now the Truckload Carriers Association supported an ELD rule. Supporters of ELDs felt that a rule would level the playing field and the tide seemed to be slowly turning towards increased support among carriers or as one trucker said, “recognizable defeat, because eventually there will be a mandate for all of us.”

In July 2012, MAP 21 was signed into law and a provision of MAP 21 was to have a final rule on ELDs by October 2013. Through the MAP 21 legislation, FMCSA was directed to “protect drivers from pressure to work in violation of safety regulations” and also required that drivers to be treated “fairly and equally”. FMCSA immediately announced that they could not meet the deadline of 15 months to have a final ELD rule and instead offered to have a Supplemental Notice of Proposed Rulemaking (SNPRM) out by that time. The deadline of October 2013 came and went and no rule surfaced. Although the FMCSA is not the one to blame in this most recent delay. The Office of Management and Budget (OMB) is the agency responsible for holding up the rule in their review. FMCSA actually had the rule to the OMB on August 7, 2013 but OMB was reviewing the cost of the rule to the industry and it was taking longer than they had anticipated. It has been reported that the Supplemental Notice of Proposed Rulemaking will be released in the Federal Register on February 27, 2014. If this deadline is indeed reached, then there will be a period of 60 – 90 days required for public comment. The new rule will not only address electronic logging but will also address penalties and actions for driver coercion specific to ELDs. It is expected that the SNPRM will cover a number of key issues that were not addressed in the previous rule. Some of the parameters that will be established will be minimum performance standards for ELDs, requirements for mandatory use of ELDs by drivers subject to daily logs, measures to ensure that ELDs will not result in driver harassment by carriers or enforcement, requirements concerning HOS supporting documents and enforcement date and deadline for carriers to install ELDs. It has also been noted that the new rule will also outline the technical specifications and requirements for the devices as to what it can and cannot record, accessibility for roadside inspections and data storage requirements. Despite resistance from some carriers to adopt ELDs, the decision more than likely will be made for them once this newest rule is released. Will we finally have a level playing field in the trucking industry?

www.IowaMotorTruck.com

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E lect roni c Loggi n g D e v i ce s

IMTA Members Join the Conversation!

David Riggan TanTara Transportation Corp.

Ralph Arthur Ruan Transportation Management Systems

Member Feedback on ELDs

Getting feedback from the members on a regular basis is important to our ongoing efforts to advocate for Iowa’s trucking industry not only in front of legislators but regulators as well, and our most recent polling suggests that members are clearly divided when it comes to Electronic Logging Devices (ELDS). I would suspect nobody is too surprised by this comment because if there is one constant that does prevail in the trucking industry, it is that truckers in general are very independent by nature so rarely would we expect to get a consensus on an issue as divisive as ELDs. As one owner expressed in the recent polling, “ELDs cut against the grain of my personal principles in regard to the government having their nose in my business. It is just not right and there is never anything good that can come out of giving them more authority to monitor my every move. That just isn’t right.” Passion, perseverance and strong opinions are some of the other valuable attributes that are commonly found in the profile of a successful trucking executive whether he/she is operating a fleet of 10 trucks or 10,000 trucks. When deregulation became a reality in the industry, there was great uncertainty and unrest. Some predicted it would be

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Iowa Motor Truck Association Lifeliner

Gary Handley BTI Special Commodities

Mike Birkett Foodliner & Quest Liner

the fall of the trucking industry and the financial hardship of such a move would cause irreversible damage. In reviewing minutes from the IMTA Board meetings from that time, discussions of doom and despair relative to deregulation dominated the meetings as well as any written piece that was distributed by the association. But some of those same leaders would now argue that the last decade has been far more challenging both financially and emotionally then deregulation. The havoc caused by a constantly changing regulatory landscape has impacted the trucking industry more dramatically than any other time in trucking. In fact, deregulation is often now described as the one of the best things that happened to the industry. I am not suggesting that we will at some point look back at the last 10 years of continual changes in the regulatory and compliance landscape and wonder what all the fuss was about. Instead, I think the debate will continue far into the future as to how effective some of these compliance changes have been in creating a safer environment for everyone on the road. How have all these changes impacted the driver market? How have these changes impacted the business models of every carrier from a 1 truck operation on up? What does the future hold for folks in the trucking industry? I believe everyone in

Shari Proehl Barr-Nunn Transportation

the trucking industry will agree that the past decade has been more pivotal in shaping the future of this industry than any other. And now, here we again on the brink of another anticipated change that will alter the landscape of trucking quite dramatically as we wait for the final rule on electronic logging devices.

So where do IMTA members fall on this issue?

We recently sent out a random survey to 200 trucking company members. The electronic survey was directed at CEOs as well as Safety Directors. Of the 200 carriers that received the survey, 42 responded to survey or 21%. Of the 42 companies that responded, 20 of the respondents have ELDs in the trucks and 22 of the respondents do not have ELDs in the trucks. Of the 20 that have ELDs in the trucks, only 11 of those companies have ELDs in 100% of their fleet. Of the 22 companies that do not have ELDS in their trucks, 18 of them responded that they will not install the ELDs units until it is mandatory. As the numbers suggest, the membership is pretty much split down the middle when it comes to ELDs and as is often the case the opinions on both side of the argument are strong. I would suspect that these numbers are pretty reflective of the industry as a whole when it comes to the topic of ELDs.


When asked to identify the advantages of ELDs the respondents who have installed them believe that ELDs provide them with the opportunity to more effectively monitor hours of service and also allows them greater productivity. These folks also cite the value of having real time information that enables them to be more efficient in several areas including dispatching and HOS compliance. On the flip side, opponents to ELDs believe that the drivers they lose as a result of installing ELDs clearly outweigh any advantage to the technology and overall cost of ELDs. For the nonbelievers, overall cost and fear of obsolete technology continued to be a prevalent message among this group of respondents. Another concern that seemed to emerge from the polling is that carriers are not convinced that the HOS rules are final and fear of ongoing changes to the HOS rules make them less than willing to invest a lot of money in technology that will need to changed or updated because of the whims of regulators in Washington. “The industry has been through a lot of changes over the years and while our top priority remains to safety, I believe that everyone questions if safety is really being supported or compromised through all these regulatory changes and initiatives,” said IMTA Chairman of the Board, Ralph Arthur, Ruan Transportation Management Systems. Ruan has ELDs in all of their fleets. Safety is a top priority… always has been and always will be in the trucking industry. Statistically the trucking industry has been on a steady pace of improvement. Accidents are down significantly while miles driven by trucks continues to grow. Again some will argue that the safety record has improved because of the added oversight and others will argue the record has improved because of better training, better equipment, and better

hiring techniques. And many others question the effectiveness of ELDs in truly impacting safety.

WHERE DO IMTA MEMBERS FALL?

“There is not one item alone that will improve safety. Safety success comes only through a combination of properly applied techniques and developed skills. If Members your entire office staff is not that have passionate about safety, chances are your drivers ELDs won’t be either. Safety is a Members that do lifestyle that must be instilled throughout the organization. not have ELDs On ELDs specifically, I feel there are those drivers whose safety lifestyle would benefit from their use and then there are those drivers whose safety lifestyle would suffer due to stress caused by ELDs. Trucking is not a “one-size fits all” industry,” said David Riggan, Director of Safety “The transition plan at Barr-Nunn started for TanTara Transportation in Muscatine. on a voluntary basis and eventually TanTara trucks are currently not equipped became a requirement for all company with ELDs. drivers receiving new tractors. We found the transition approach to be “Being very old school it is always hard very successful as a gradual approach to drag me into the 21st century. If I felt allowed us to communicate and educate that this was truly a safety issue and would our drivers on the overall benefits of the benefit our drivers, I would be the first in system prior to the implementation,” line to back ELDs. To a degree, I would said Shari Proehl, CFO for Barr-Nunn welcome the ELDs because it would keep Transportation headquartered in Granger, the monkey off the back of the driver Iowa. in keeping his log current, but I am still monitoring the situation and would still “We started with our perceived lower-risk like to see the science to back this up as a terminals and expanded from there. We real benefit to the overall safety picture,” shared the system information on a daily said Gary Handley, Director of Safety basis as we implemented the change. for BTI Special Commodities. BTI is in This allowed them to see that they would the process of investing in some of the not lose productivity, in fact some gained technology but not turning the program hours and this made the transition easier on at the current time. for them to manage and accept,” said Mike Birkett, Executive Vice President of Companies of all sizes are looking at the Safety and HR for Foodliner & Questliner. technology and determining how they are going to proceed.

“IF I FELT THAT THIS WAS TRULY A SAFETY ISSUE AND WOULD BENEFIT OUR DRIVERS, I WOULD BE THE FIRST IN LINE TO BACK ELDS,” SAID GARY HANDLEY, DIRECTOR OF SAFETY FOR BTI SPECIAL COMMODITIES. www.IowaMotorTruck.com

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“It is like anything, at first the drivers did not like ELDs, but once they realized that the eLogs actually made their lives easier, they were supportive. We installed eLogs as fast as we could and have been very pleased with them. The reduction in driver logging errors was significant,” said Frank Gambish, COO, West Side Transport in Cedar Rapids. “We implemented an 18 month transition schedule. We had the units in the trucks but before we turned them on, we asked for volunteers. After that phase, we started to turn them on in the truck if the driver had received any type of violation. Once that was completed, we started to pick trucks as they came into the yard. Eventually everyone was converted and like any new change, there is always some initial issues but typically we have found that after a driver has used the eLog, they are coming back and saying that they can still get the same amount of miles and they actually feel more rested and better when they are working, as a result of the eLogs. So for us, it has been a positive transition,” said Keith Lamfers, Safety Director at Schuster Company in LeMars.

Future of ELDS?

Most people will agree that ELDs will more than likely be mandated at some point in the near future. As this article is being

“AS WITH SO MANY OF THE ISSUES FACING THE INDUSTRY TODAY, THERE ARE VERY DISTINCT POSITIONS FOR AND AGAINST A PROPOSED RULE OR REGULATION,” SAID IMTA CHAIRMAN RALPH ARTHUR. written, the industry is waiting for the final rule relative to a mandate. It is predicted that even with a new rule it will be 3 or 4 years before it happens and it is also predicted that the minute the rule hits the federal register, several groups will be filing lawsuits against the mandate. Unfortunately, there is no crystal ball that will give a definitive date or timeline when ELDs will be found in every truck going up and down the road. This uncertainty causes chaos in the industry and the mere mention of the word “mandate” causes more heartburn among trucking executives than almost any other word in the English language. “Philosophically, the majority of people in the industry and in business in general

have a real hard time when it comes to mandates. It is not how we believe that the free enterprise system works. However, when it comes to ELDs, I believe a mandate is on the horizon and if everyone complies, we will have a level playing field and that is good for the industry,” said Ralph Arthur, IMTA Chairman of the Board. “There is no question that ELDs will make the playing field more level from an operational standpoint. ELDs will improve safety within in the trucking industry, they take the risk choices out of the driver’s hand and provides consistent automation. If responsible owners and business managers take the responsibility for instituting safe work practices, the entire industry will reap the benefits,” said Mike Birkett, Foodliner & Questliner. “I think we run the real risk of devaluing the men and women that work in this industry with ELDs. If everything we use in this industry goes electronic and robotic, we are taking a very important and critical component out of the industry, the face to face connection that is still critical in the success of trucking. Human beings are still going to be behind the wheel of that truck so I think it is important that we preserve that human element to the operation. The biggest factor in keeping drivers is to be able to communicate with them and always remind them of their value. If we don’t value them enough to trust their ability to fill out a log, then I think we really should rethink our decision to be working in the trucking industry,” said Dave Riggan.

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Iowa Motor Truck Association Lifeliner


Your Association & ELDs

Like every trucking association, IMTA expends a great deal of time, energy and resources on regulatory compliance and oversight. Continued monitoring and outreach to regulatory partners both in Iowa and DC is a priority in this effort. Not only does that work entail becoming the local expert on an array of regulations that are impacting your operation today, but this work also demands a constant eye to the future. Identifying the threats and opportunities that are looming on the horizon relative to your operation is also an ongoing priority. Educating and informing association leaders and members about these continual changes is demanding yet a requirement of member service that can never be compromised. As with so many of the issues facing the industry today, there are very distinct positions for and against a proposed rule or regulation. And while some members demand that the association take a formal position on some of these rules and regulations, IMTA leaders have determined there is no value in that. Determining which portion of the membership to alienate by coming out in favor or against an issue is the not role of the association. Instead, the role of the association is to have a thorough understanding of the issue and in developing that understanding, it means that the association listens to the members with a neutral ear. Then and only then, should your association move forward with educating, informing and collaborating with the members to assist them in being as proactive, productive and profitable as they can within their established parameters. And of course, never losing sight of the keeping safety the number one issue. “There isn’t a day that goes by, that I am not focusing on doing whatever I can to ensure that my drivers are operating at the highest level of safety. As an owner of a small operation, I know the drivers and their families very personally. As much as I like to see the truck leave the yard, because that is revenue for all of us, I am just as excited when the truck returns without incident. I think every owner shares that same commitment and I am not convinced YET that some electronic device is going to ease my fears any less or increase the odds that I will never have

an accident. I just wish we would slow down with all the regulations and quit forcing things on trucking companies that eventually will eliminate some of us,” said an IMTA member that responded to the ELD survey.

“This is a very tough issue and I doubt there will ever be complete consensus or support, but I believe it is incumbent that we continue to have the conversations, because at the end of the day, our role as an association is to inform and educate the membership. I don’t think it is our role to pick winners or losers on issues such as this. That approach provides no benefit to the members. Our value lies in providing a forum for a broad spectrum of thought sharing. We all become better educated and informed to make the best decision for our operation and to ensure that safety is always first,” said IMTA Chairman Ralph Arthur.

Invariably this issue will continue to get debated and digested as it moves forward. And while there will be folks on both sides of the issue when the final decision is published, there will also be a collective sigh of relief within the industry because the uncertainty will finally be eliminated. And even in talking to some of the most staunch opponents, they have confessed that they will comply although relutctantly.

ELD UPDATE

*As we were going to print, FMCSA released further information on ELD ruling

The Proposed Rule was released by FMCSA on Thursday, March 13, 2014. It has not yet been published in the Federal Register.

What we know:

The proposed rule did provide answers to several issues that were raised with the first proposed rule that was published in February 2011. It also exempts short-haul drivers who are presently exempt from logging. The final rule is not expected until spring 2015, at the earliest. Once the final rule is published there will be a two-year adoption period, which brings mandatory compliance of the rule to mid-2017 or later. Carriers who are currently using ELD-like equipment will have an additional two year “grandfathering” period to ensure that they will be able to meet the requirements of the final rule. The proposed rule states the following

Roadside Data Transfer: ELD’s

must be capable of either printing a paper record of the driver’s log or transferring it electronically on a roadside inspection.

Location Monitoring: Vehicle

location must be recorded at each change of duty status and at 60-minute intervals. Location must be within one mile for on-duty time and 10 miles for off-duty time, although fleets may elect to report a more precise location than the proposed minimums.

Driver’s Access to Data: Drivers

will “own” the electronic log data and would be able to make edits and annotations, but will not be able to overwrite or erase the original record.

Device Malfunction: If the ELD

should malfunction, the driver will be required to immediately return to using a paper log and reconstruct logs for the previous seven days. A non-working device would be required to be repaired within eight days. The final rule will clarify new supporting document retention requirements, and which documents will be required.

www.IowaMotorTruck.com

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IMTA Board of Directors

IMTA leaders meet for annual winter board meeting IMTA board members met at Glen Oaks Country Club for their annual fall/winter board meeting. The group heard from economist Anirban Basu, Iowa Governor Terry Branstad, Congressman Tom Latham and Dave Pierce with ATRI. The group also discussed legislative priorities on both the state and national level. With almost 60 people in attendance, the meeting once again highlights the tremendous support and participation from trucking leaders throughout the state. “We have a great representation of trucking and suppliers on this board and the support and service that each director gives to IMTA and our efforts is appreciated and valued,” said IMTA Chairman of the Board Ralph Arthur. Over the noon hour, the group recognized the four Platinum Sponsors: Truck Country, Thompson Truck & Trailer, Midwest Wheel Companies and Boyer Petroleum. In addition, the Allied Division presented the board with a $20,000 check to go towards the IMTA benchmarking program and signage on the building.

Randy Miller, Great West Casualty Co., Anirban Basu, Economist Speaker, Sage Policy Group

“I enjoy my service on the board and look forward to coming together with my competitors and colleagues to deal with issues that impact all of us. This is always time well spent,” said Dave Van Wyk, of Van Wyk, Inc. The IMTA Board of Directors meet twice a year and also participate in the annual meeting that is held in conjunction with IMTA’s annual management conference.

Governor Terry Branstad

Jane Sturgeon, Barr-Nunn Transportation, Donna Weinrich-Lucht, Weinrich Truck Lines & Jackie Johnsrud, Johnsrud Transport

John Smith, CRST International, Brenda Neville, President, IMTA, Congressman Tom Latham, Jackie Johnsrud, Johnsrud Transport, Mark Olson, Olson Explosives

WITH ALMOST 60 PEOPLE IN ATTENDANCE, THE MEETING ONCE AGAIN HIGHLIGHTS THE TREMENDOUS SUPPORT AND PARTICIPATION FROM TRUCKING LEADERS THROUGHOUT THE STATE. {28

Iowa Motor Truck Association Lifeliner


Congressman Tom Latham

Jeff Wangsness, JMT Trucking Co., Mike Riggan, TanTara Transportation, Jeff Arens, Schuster Company, Donna Weinrich-Lucht, Weinrich Truck Lines

Jeff Arens, Schuster Company, Dave Van Wyk, Van Wyk, Inc.

Clayton Fisk, Warren Transport, Jim Koester, Midwest Wheel Co., John Minor, Midwest Wheel Co.

Ralph Arthur, IMTA Chairman, Ruan Transportation Management Systems, Jack Sawyer, Des Moines Transportation, Nick Thummel, Keane Thummel Trucking

Mike Bagg, Central Trailer Service, Don Decker, Decker Truck Line

Allied Check Presentation

Allied Division Presents Foundation with $20,0000 Members of the Allied Steering Committee made a special presentation at the recent IMTA Board of Directors meeting. The group presented the Foundation with $20,000 to be used for two special projects. A portion of the money will go towards the Foundation’s 2014 Benchmarking/Best Practices Survey and a portion of the money will also go towards some new signage for the IMTA headquarters building. The building committee has approved some lighted lettering for the side of the building that will prominently remind folks that the Iowa Motor Truck Association is sitting at the foot of the Iowa State Capitol.

L to R: Randy Miller, Great West Casualty Co., Dennis Thompson, Thompson Truck & Trailer, Bill Roth, Truck Country of Iowa, Jim Koester, Midwest Wheel Co., Ralph Arthur, Ruan Transportation Management Systems and IMTA Chairman

www.IowaMotorTruck.com

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Iowa Motor Carriers Foundation Iowa Motor Carriers Foundation Expands its Scope The Iowa Motor Carriers Foundation (IMCF) is going to expand its scope and leaders of the Foundation are looking towards the future with great anticipation and optimism. “The work of the Foundation will complement the efforts of IMTA and our hope is that the Foundation will be a great vehicle for us to really make a positive impact not only on IMTA’s efforts but the industry as a whole,” said Murry Fitzer, Chairman of the Foundation. Conversations about doing more within the parameters of the Foundation began a few years ago when IMTA leaders were working on a strategic vision and plan for the Association. Over time, as more research was conducted and IMTA priorities were identified, the vision for the Foundation started to become more of a reality. “It is very common for a trade association to have a foundation. Many foundations are originally established as a way to create a scholarship program and then gradually expand their programs to include much more than just scholarships. After looking at this model, we felt it was worthwhile for the Iowa Motor Carriers Foundation to move in that direction,” continued Murry. When the Foundation was formed in 1986, the founding fathers had the vision to create the bylaws to adjust for possible growth and now, almost 30 years later, the stage is set to do that. The expanded purpose and goals of the Foundation are as follows: 1. Establish a leadership position in research specific to Iowa’s trucking industry and business climate 2. Develop and implement an ongoing, proactive and innovative image and public relations campaign for Iowa’s trucking industry 3. Preserve and maintain the IMTA/IMCF headquarters building which is located at the foot of the State capitol 4. Continue to build and strengthen our investment in the next generation through various programs such as the current Scholarship Program

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Iowa Motor Truck Association Lifeliner

“We believe the expanded purpose and goals of the Foundation speak to the important priorities of the association and the trucking industry in Iowa. These four distinct areas will be our main focus as we create initiatives within these identified areas and the IMTA members will be the biggest beneficiaries of this expanded vision,” said Murry.

The Foundation has already launched some worthwhile projects and will continue to be focused on fundraising efforts.

2014

Foundation Projects

Complete autonomy is also required and a Foundation board was named in late 2013 and will be responsible for the oversight of the Foundation both in programming and financial. The Board has been actively engaged in the development of the Foundation’s goals and meets regularly to guide the Foundation efforts and activities.

1. BEST PRACTICES/

“I was excited to be asked to serve on the Foundation Board and am equally excited about the new direction of the Foundation. Our family was involved since 1986 when we set up an endowed scholarship for our father. But when Vern Simpson first set up the Foundation, he always dreamed about this organization being much more than just handing out scholarship checks. It is rewarding to see that his dream is finally coming true,” said Dave Dickey, Harold Dickey Transportation and a member of the Foundation Board of Directors.

2. “TRUCKING – IT’S

The other important factor to remember about the Foundation is that all contributions to the Foundation are totally tax deductible for both businesses and individuals. The ability to do some significant fundraising through the foundation is something that is not lost on the Foundation Board Members. “Our ability to conduct some very effective and valuable fundraising through the foundation is improved significantly when we can offer the tax deductibility element. In today’s world, everyone looks very carefully at how they are going to invest their money and we believe this will be a very attractive opportunity for many of our members that are looking for a way to give back to the trucking industry,” said Steve Schuster, Schuster Company and member of the Foundation board.

BENCHMARKING SURVEY –

The Foundation has teamed up with the American Transportation Research Institute (ATRI) to distribute a survey to Iowa carriers specific to various operational practices.

EVERYBODY’S BUSINESS” CAMPAIGN – The Foundation

kicked off the first step of many in an image program by producing a booklet that has been distributed to Iowa lawmakers and regulators on the value of trucking in Iowa. This booklet will be the foundation of an ongoing program that will continue to educate and inform the general public on the value of trucking in Iowa.

3. IMTA BUILDING

PRESERVATION CAMPAIGN – While this fundraising effort was kicked off a few years ago, it will be revived in 2014 through the Foundation. The Foundation now retains ownership of the IMTA building and fundraising for ongoing building improvements can now be done through the foundation which offers a more attractive tax deductibility options to donors. Some building improvements for 2014 include signage on the building, entrance sign and ongoing exterior beautification efforts.


Iowa Motor Carriers Foundation

Foundation Auction Raises Over $50,000 in under 45 Minutes! Four years ago, it was determined that the Foundation needed some additional exposure as well as at least one fundraiser per year. Since the IMTA’s annual management conference seemed to draw the biggest crowd, Foundation leaders felt this was the best venue for such a fundraiser. With some creative thinking, a few nice prices and very generous members, the first Foundation auction was held in 2009 and just over $12,000 was raised. The success of that first event was much greater than anybody’s expectations and a tradition was born. Since that first auction, the event’s popularity has grown and has quickly become a valued tradition on the opening night of the annual management conference. IMTA members once again demonstrate their tremendous generosity and bidding that once started at few hundred dollars now starts at a few thousand dollars. “Every year, I am astounded and touched by the generosity of IMTA members. I always believe there is no way we can top what we did the year before and so far, I have been proven wrong every time,” said IMTA President Brenda Neville. The concept is relatively simple and since it remains such a success, has not been altered since the first auction in 2009. There are 12 identically wrapped boxes put on stage. A list of prizes are distributed to everyone in the audience,

however, nobody knows for sure which prize is in the wrapped box so when the bidding starts, they aren’t sure what they are even bidding on other than a very nicely wrapped gift that is identical to 11 others. The closing act of the auction is when all the winning bidders have to come up on stage and as a group…unwrap their gift. There is always the opportunity for bidders to do some exchanging of the wrapped gift which always includes some extra transactions but every bidder is clueless as to what awaits them in their gift box. That is the fun part of the auction. “That element of surprise is the most fun of the auction. As you are unwrapping the gift, you are anxious to see what you have purchased, not that it really matters but it is still fun to be a part of it,” said Donna Weinrich-Lucht, Weinrich Truck Lines, a regular bidder and winner at the auction. Prizes have ranged from an IPad to concert tickets to vacation getaways in Colorado and Chicago. This year also included a cooking class for 6 and a hot air balloon ride. Most of the prizes are donated by members or the Foundation. But nobody is really bidding for the prize, instead they are just having some fun as they make a donation to the Foundation. “This is such an important and valuable cause that we are very happy to participate. It is fun to get the crowd involved and always a highlight of the

Jeff Wangsness, JMT Trucking & Mark Crall, Panama Transfer opening up their Auction prizes. evening and this event. I always want to challenge fellow IMTA members to contribute and make sure we keep beating the previous year’s record,” said Kelly Weaver with Wilson Trailer Company, another big supporter of the auction since its inception. “I have never seen anything like this and am blown away that you all raised over $50,000 in such a short amount of time. I am in awe,” said Dave Manning, ATA VP and President of TCW/Tennessee Express who was a special guest and speaker at the 2013 IMTA Conference.

Mark your calendar’s for this year’s event same format, same excitement

Tuesday, September 23, 2014 Cedar Rapids, IA

2013 Foundation Auction Contributors A HUGE THANK YOU to the following companies for their GENEROUS CONTRIBUTIONS at the Foundation Fundraiser that was held at the IMTA annual Conference. $51,300 was raised by these companies! Cornhusker International Trucks, Inc.

Schuster Company

Harold Dickey Transport

Thompson Truck & Trailer

Jim Hawk Truck-Trailers, Inc.

Truck Country

JMT Trucking Company

Van Wyk, Inc.

Mid States Utility Trailer Sales, Inc.

Weinrich Truck Lines

Olson Explosives

Wilson Trailer Company

Panama Transfer, Inc. www.IowaMotorTruck.com

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Iowa Motor Carriers Foundation 2014 Board Member Foundation Board of Directors Named

With the wider scope of activities and responsibilities for the Iowa Motor Carriers Foundation, a larger and more diverse board was required. The board is now comprised of 12 members and chaired by Murry Fitzer, Florilli Transportation.

Murry Fitzer - Board Chairman Florilli Transportation, LLC

Dave Dickey Harold Dickey Transport, Inc.

Ralph Arthur Ruan Transportation Management Systems

John Minor Midwest Wheel Companies

David Boyer Boyer Petroleum Company

Jack Sawyer Des Moines Transportation Company

The board will meet quarterly and will oversee the various activities of the Foundation. The group is comprised of both carrier and allied members and will continue to add a few members moving forward. “We are excited about the many possibilities that lie within the scope of the Foundation and optimistic that its efforts will further compliment the work of the association and the trucking industry as a whole. The board members were named because of their involvement with the foundation in the past or a desire to get involved with some of the identified initiatives of the foundation. I am certain that the Foundation founders would be very proud of the direction we are moving, it was always their long term goal to have the Foundation do much more than scholarships,” said IMTA President Brenda Neville. The Foundation will be kicking off a benchmarking/best practices research project in early March and not only will the data be valuable to all IMTA members but will also be used to identify various working groups that can be brought together for continued discussion with one another.

Steve Schuster Schuster Company

Carl Schwab Freightliner of Des Moines

Pat Storey Motor-Ways, Inc.

The 2014 Scholarship program is also closing in on its important scholarship application deadline and then the selection committee will convene and scholarship winners will be announced in late April or early May with presentation ceremonies taking place shortly thereafter. “I am excited to be involved with the Foundation Board of Directors. I like what I am hearing about what they want to accomplish in the future and I think it is exciting to be involved at the ground level and very confident that the Foundation will be very effective in several added efforts that will impact the trucking industry in a positive manner,” said David Boyer, a new member to the Foundation Board.

Steve Sukup Sukup Manufacturing Company

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Dave Van Wyk Van Wyk, Inc.

Iowa Motor Truck Association Lifeliner

Jeff Wangsness JMT Trucking Company


Iowa Motor Carriers Foundation IMCF and IMTA Headquarters

the first project that was tackled. The front entrance was completed in 2012 and re-dedicated at the 2012 IMTA Management Conference

IMTA headquarters sits at the foot of the Capitol One of the most visible accomplishments for the Iowa Motor Truck Association came in 1995 when ground was broken to construct an IMTA headquarters building at the foot of our state Capitol. This was a pivotal moment for Iowa’s trucking industry and a resounding illustration of the industry’s accomplishments and contributions to the State of Iowa. The construction of the 10,000 square foot building was a testament to the industry’s effective leadership and dedication to not only serving its members but all the citizens of Iowa that depend upon trucks on a daily basis. Today, the IMTA headquarters building continues to be a constant reminder of the industry’s continued success and dominance in Iowa. In addition to hosting numerous IMTA events throughout the year, the building is also used extensively by legislators, other trade associations, political groups, city and state leaders and even our own members for a variety of events and activities. As one of the first associations to build on the East side of Des Moines, IMTA continues to be recognized as one of the key players in sparking the revitalization of the East side that today

has changed the landscape of Des Moines dramatically. The preservation and upkeep of the building has become a greater priority in recent years as the building ages. Now almost 20 years later the investment that was made years ago with the architect and builder in making the IMTA headquarters functional, sound and ageless is evident as people still walk through the front doors and are almost awestruck by the view of the Capitol and the overall design and structure of the building. However, as with any infrastructure, over time a variety of elements begin to have an impact on the physical structure and because of that, a special task force was formed in 2012 to specifically concentrate on the preservation of the building as well as the outdoor space of the IMTA headquarters. The first project that was tackled by these IMTA leaders was to assess every element of the IMTA campus and identify a list of both short and long term projects that needed attention. The front entrance showed signs of age more than any other area of the building, so that was

In 2013, due to legislation requiring state agencies to lease space in state owned buildings, IMTA lost its long term tenant the Iowa Racing & Gaming Commission. As a result of that, IMTA leaders not only started to look for a new tenant but also started exploring other options that may be available. In that effort, it was determined that there would be some significant tax advantages if the building ownership was transferred to the Foundation. After thorough review, deliberation and discussion, IMTA leaders made the decision to move forward and ownership was transferred. In addition to tax advantages, there were also some significant advantages to fundraising efforts now that all contributions would be going to the foundation, thus making them 100% tax deductible because the Foundation is a 501(C )( 3 ). When the initial campaign was announced in 2012, IMTA members stepped up once again and made sizeable contributions to the campaign and within months, over $350,000 was raised. However renewed focus is once again being placed on the fundraising effort for the ongoing efforts to preserve and maintain the IMTA headquarters. The ultimate goal is to raise $1,000,000 for the campaign. It is the hope of the committee that securing $1,000,000 in a special fund specific to building maintenance and improvements will enable the association to tackle upcoming projects both large and small in maintaining the building. IMTA’s headquarters building is something that every member should take great pride in and we are hopeful that IMTA members will once again step up and ensure the continued success and future of the association and the industry through an investment in the building campaign.

www.IowaMotorTruck.com

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RegulatoRy & ComplianCe Review Why Press your Luck When Business is ALL ABout trucks WHAT IS A REGULATORY & COMPLIANCE REVIEW? Annual regulatory and compliance reviews will ensure a trucking company is doing everything in accordance to the rules by which it is governed. Checked against all the regulations and laws a trucking operation has to adhere with, conducting a regulatory and compliance review is the best – and most proactive – way to ensure a fleet’s trucks remain on the road.

A Cut Above All the Rest Leave Nothing to Chance

Why HOW WILL THIS HELP MY OPERATION LONG-TERM? The IMTA works with carriers to examine their policies, procedures and records to make certain they meet industry standards. This creates efficiencies for the trucking company and its employees while minimizing the threat of an intervention from the FMCSA. While it does not eliminate a potential FMCSA review (or inspection from another government agency), it will significantly reduce the stress of one because the IMTA will have already thoroughly studied the carrier to help identify strengths and weaknesses to improve.

WHO PERFORMS THE REVIEW? Don Egli is the IMTA’s full-time director of safety who performs services such as regulatory and compliance reviews. He has been employed by the IMTA since 2005 and has over 30 years of experience in trucking as a driver, operations manager and safety specialist – among other roles. Egli is a Certified Director of Safety and has assisted more than 100 members and non-members of the IMTA increase productivity while decreasing risks and threats to their operations.

HOW MUCH WILL A REVIEW COST? Actual price is negotiated based on the amount of work involved as it is recommended by the IMTA and accepted by the carrier. Some factors include time, degree of seriousness and whether communication with a regulatory agency is required.

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Iowa Motor Truck Association 717 East Court Avenue, Des Moines, Iowa 50309 515.244-5193 (p) │ 515.244-2204 (f) │ imta@iowamotortruck.com www.iowamotortruck.com │ www.iowatruckservices.com

Iowa Motor Truck Association Lifeliner

IMTA

Having helped more than 125 carriers since 2009, the IMTA has positioned itself as the most trusted partner in a trucking company’s desire to stay compliant. The success carriers have experienced through the years speaks to how uniquely qualified the Iowa Motor Truck Association is to perform services like regulatory and compliance reviews. What sets the IMTA apart? • Understanding and knowledge of the trucking industry • Presence as an industry advocate • Good, long-standing relationships with the FMCSA and Iowa DOT • An experienced and trusted safety director on staff Considering today’s regulatory climate – with CSA becoming such a prevelant force in the industry as more and more brokers and insurance companies are taking notice of carriers’ safety ratings and BASIC scores – now is the time to call the IMTA.


Iowa Motor Truck Association

FUEL SAVINGS PROGRAM Bigger Discount Now Available The Iowa Motor Truck Association has been helping its members save on fuel since 2010 through a partnership with Pilot Flying J. And new in 2014, the IMTA is excited to deliver a bigger per gallon discount over what was previously available! Pilot Flying J will provide all eligible IMTA members with a 5-cent savings off every gallon of diesel purchased at any of its locations nationwide. That’s a network of more 650 fuel stops, including 16 in the state of Iowa. Cash price at the pump and no transaction fees on fuel purchases remain part of this exclusive member benefit, and the combination of these savings could lower a company’s bottom line so much that its annual membership dues to the IMTA would be recouped within months! Don’t delay in signing up. This is a proven program that offers an immediate return on investment.

imta members save

5¢ PER GALLON and benefit from

CASH PRICE NO FEES

Checklist to Saving with the IMTA ›››› Be a member of the IMTA ›››› Have 1-of-5 approved fuel cards

(Comdata, EFS, Fleet One, TCH, Tchek)

›››› Become a Pilot Flying J direct bill customer

›››› Pay Pilot Flying J by electronic funds transfer (EFT)

at least once per week for fuel bought at its locations

join now Contact Phillip Nicolino at the IMTA to join the IMTA Fuel Savings Program: • (515) 244-5193 • phillip@iowamotortruck.com

at the pump

on fuel bought at Pilot Flying J

Calculate Your Savings Potential Gallons/Month

Monthly Savings Annual Savings*

5,000

$250

$3,000

15,000

$750

$9,000

25,000

$1,250

$15,000

35,000

$1,750

$21,000

*Savings from elimination of transaction fees not included (Could be additional 1-3 cents per gallon)

www.IowaMotorTruck.com

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2014 IMTA COMMITTEES Executive Committee

The main responsibility of this committee is to oversee, assist and direct the operations of the association. Individuals on this committee are potential candidates for moving into an officer position and eventually serving as the Chairman of the Board. A special thanks to the following individuals that are serving on IMTA’s core committees. These individuals commit a great deal of time, energy and expertise to their respective committee assignments and their contributions are greatly appreciated.

Ralph Arthur - CHAIRMAN Ruan Transportation Management Systems IMTA-Chairman of the Board

George Crouse Crouse Transportation Services, LLC

Don Decker Decker Truck Line, Inc.

Dave Dickey Harold Dickey Transport, Inc.

Murry Fitzer Florilli Transportation, LLC

Kevin Gass Perishable Distributors of Iowa Ltd.

Mike Gerdin Heartland Express

Jackie Johnsrud Johnsrud Transport, Inc.

Mark Olson Olson Explosives

Michael Riggan TanTara Transportation Corp.

Steve Schuster Schuster Company

John Smith CRST International, Inc.

Nick Thummel Keane Thummel Trucking

Dave Van Wyk Van Wyk, Inc.

Jeff Wangsness JMT Trucking Company

Donna Weinrich-Lucht Weinrich Truck Lines

George Crouse - CHAIRMAN Crouse Transportation Services, LLC

Ralph Arthur Ruan Transportation Management Systems

Murry Fitzer Florilli Transportation, LLC

Jackie Johnsrud Johnsrud Transport, Inc.

Mark Olson Olson Explosives

Steve Schuster Schuster Company

Finance Committee

The main responsibility of this committee is to oversee, assist and direct the operations of the association. Individuals on this committee are potential candidates for moving into an officer position and eventually serving as the Chairman of the Board. A special thanks to the following individuals that are serving on IMTA’s core committees. These individuals commit a great deal of time, energy and expertise to their respective committee assignments and their contributions are greatly appreciated.

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Iowa Motor Truck Association Lifeliner


2014 IMTA COMMITTEES Truck PAC Committee

The main responsibility of this committee is to provide assistance and oversight with the advocacy efforts of the Iowa Motor Truck Association. This committee will play an important role in several different areas which include; Advocacy, Fundraising Efforts through Truck PAC Iowa and Legislative efforts.

Fred Grask Cedar Rapids Truck Center

Delwin Van Wyk - CHAIRMAN Interstate PowerSystems

Ralph Arthur Ruan Transportation Management Systems

David Boyer Boyer Petroleum Company

Clayton Fisk Warren Transport, Inc.

Dave Nelsen Freightliner of Des Moines, Inc.

Michael Riggan TanTara Transportation Corp.

Steve Schuster Schuster Company

Jeff Wangsness JMT Trucking Company

Dale Decker Decker Truck Line, Inc.

Murry Fitzer Florilli Transportation, LLC

Frank Gambish West Side Transport

Jackie Johnsrud Johnsrud Transport, Inc.

John Minor Midwest Wheel Companies

Delwin Van Wyk Interstate PowerSystems

2014 IMCF COMMITTEES Iowa Motor Carriers Foundation Benchmarking/Best Practices Committee

This committee will work closely with the American Transportation Research Transportation Institute (ATRI) to conduct and compile the results of a comprehensive, comparative analysis of Iowa’s trucking industry. This study will provide benchmarking data, best practices and other analysis that will be of value to the truckers of all sizes throughout the IMTA membership. The purpose of this annual study will be to provide the data and the information needed by IMTA carrier members to make sound and valuable business decisions based on data provided in this study. The Benchmarking Committee will determine the scope of the study and identify what objectives and priorities must be met. The group will work with ATRI to establish the areas of focus, methodologies of the study as well as the promotion of the study. Getting carriers to participate will be a top priority and the committee will be valuable in helping with the promotion of the study to ensure participation among Iowa carriers.

Ralph Arthur Ruan Transportation Management Systems

www.IowaMotorTruck.com

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Marketing Update

It’s Time to Start Researching ELDs If you have not done so already, now is the time to begin exploring your options for Electronic Logging Devices. In the survey conducted by the IMTA for this issue’s lead story, 83 percent of carriers that responded as not having ELDs in their trucks said it would take a government mandate before they would use them. With the Federal Motor Carrier Safety Administration on the verge of publishing a notice of final rule requiring ELDs (at the time this magazine went to print), all trucking companies must very soon start exploring this technology and what’s going to be the best product for their operations. The great thing about being an IMTA member is you don’t necessarily have to do this type of thing on your own. While we still encourage you to research the different products and systems on the market, your association has already vetted two vendors and established partnerships with them that will help you buy ELDs in confidence and save money on this investment.

Phillip Nicolino IMTA Marketing Manager

One of the partners is an organization the IMTA has long been affiliated with – J.J. Keller & Associates – while the other is PeopleNet. Both offer outstanding products that are tailored to meet the needs of its customers, no matter how basic or robust they might be.

J.J. Keller Has the LowCost Solution

As the trucking industry’s leading supplier of logbook supplies and other paper forms, it was natural for J.J. Keller & Associates to get into Electronic Logging Devices. Since launching Encompass with E-logs in 2011, J.J. Keller has worked relentlessly to shape its ELD solution (which now includes the KellerMobile application) into something that any fleet could utilize without breaking the bank. Encompass and KellerMobile meet all industry regulations and can easily help improve driver and vehicle compliance while boosting fleet performance with: • Hours-of-service compliance • CSA management • Driver vehicle inspection reports • Engine data monitoring • GPS tracking • Roadside inspector mode (locks out unrequired data while still showing previous 7 days of logs) • Fuel tax reporting From a cost standpoint, it’s possibly the lowest priced option available because it uses the Internet and mobile device technology to integrate with the back office software. KellerMobile is compatible with 40-plus Apple and Android smartphones and tablets, allowing you to setup your fleet with devices that either you or your drivers might buy or own. The only other start-up cost is a $199 one-time fee per ELD placed on the account. An added benefit for IMTA members choosing J.J. Keller is three months free with a 15-month service contract.

For more information about the ELD solutions that both J.J. Keller & Associates and PeopleNet have available to IMTA members, please contact IMTA Marketing Manager Phillip Nicolino at (515) 244-5193 or phillip@iowamotortruck.com.

PeopleNet Offers Total Fleet System

For businesses looking to transform their entire fleet into an operation that gains complete efficiency and maximum performance, PeopleNet has the appropriate products and services. PeopleNet combines cutting edge innovation with advanced fleet management software to aid carriers in meeting their objectives. Besides satisfying electronic logging requirements, PeopleNet’s three in-cab devices that IMTA members have to choose from can deliver valuable vehicle tracking and performance information: • Automatic Vehicle Location • In-Cab Navigation • Lane Departure Notification • Onboard Event Recording • Remote Vehicle Shutdown • Speed Monitoring • Vehicle Management (fuel efficiency, hard braking, engine monitoring, etc.) The data collected and saved in PeopleNet’s back office software can unleash a whole new level of awareness for your operation. It should verify the effectiveness of your fleet or identify weaknesses present within your company and/or with your drivers. All of this can lead to establishing better training and performance procedures that should optimize overall productivity and profitability. IMTA members wanting to take a look at PeopleNet have access to base-level discounts exclusively through the association -- $100 off every ELD purchased, monthly service contract discounts and onsite training session credits. To unlock and realize these discounts, you must first contact Phillip Nicolino in the IMTA office to be referred appropriately to PeopleNet, at which time your eligibility will be confirmed and established.

Phillip Nicolino serves as IMTA’s Marketing Manager and in that capacity, he is responsible for working with all of IMTA’s non-dues revenue programs. When IMTA looks at a product or service to offer to the membership, a carrier committee is appointed to help with the process. This group of carriers play an instrumental role in providing insight, feedback and expertise in determining if the product or service should become a part of IMTA’s platform of benefits. Getting that “seal of approval” from the carriers, potential customers, is essential in ensuring that IMTA is truly meeting the needs of its members.

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Iowa Motor Truck Association Lifeliner


Membership Update Membershio Benefit: Advocacy What better way to feel like you’re getting your money’s worth than by getting involved and utilizing YOUR ASSOCIATION’S many benefits? Whether it be by taking Jon Dill advantage IMTA Membership Manager of the fuel program, coming to a member outreach meeting or simply a call to Don Egli for regulatory and compliance assistance, these are all very valuable benefits that can save you time and money and keep you up-todate on the ever changing world that is trucking! I have recently completed my fourth month at the IMTA and while I had been in the trucking industry for eight years prior to coming to the IMTA, I have certainly learned a lot more than I had ever imagined in this short amount of time. While I thought I knew what the IMTA was all about, needless to say, my knowledge base has certainly grown and I believe the membership benefits we offer are extremely valuable. Shortly after I started at the IMTA, the annual fall roadshows started up. Not only did I have a great opportunity to meet members right from the start, but I quickly saw the value of these meetings. These member outreach events are a great way to network with other members of the association and also give the members from across the state an opportunity to learn more about the benefits of membership. I have quickly learned that one of the most valuable benefits we offer is also probably the one benefit that is overlooked the most from membership, and that would be our advocacy efforts. The Iowa Motor Truck Association keeps

a very close eye on what is going on up at the Capital. The amount of time and energy that is put into protecting your interests at the Capitol is extremely valuable. Brenda and IMTA lobbyist Dave Scott monitor every possible legislative proposal that could somehow impact the trucking industry, good or bad. This is a very valuable asset that far too often is minimized by the members. The thing that needs to be remembered when it comes to advocacy efforts is that by doing our job at the Capitol, in most cases you as a member don’t even hear about the bad stuff that could come your way. Do you know how many legislative proposals don’t even see the light of day because they are eliminated before they even get to the committee level? There are tons of things proposed by legislators that are not good for trucking and because we are doing our job at the Capitol you never even hear about it. I like to tell folks that don’t think the association is doing enough at the Capitol, just think how bad it could get without the association keeping a close eye on things not only specific to trucking but specific to business in general. We are always going to make our advocacy efforts a top priority. Every single day you have a voice at the Capitol. Every single day, efforts are made to watch out for the trucking industry and while that may not be a benefit that you can put a dollar amount on, I would ask that you consider your life with even more legislative barriers. What would your life be like if we suddenly had environmental standards like they have in California? Proposals are made almost weekly by Iowa legislators who think we should duplicate what is being done in California when it comes to protecting our environment. Or what would it be like if extra taxes were imposed on trucking companies simply because a lawmaker thinks trucking companies can afford to pay

more since they have such large profit margins? Or maybe trucking companies should be prohibited from delivering loads at certain times? Advocacy is a tough membership benefit to explain and sell to the members. But not having a watch dog at the Capitol would be an even bigger disservice to the industry. I intend to continue to communicate the value of our advocacy efforts as I continue to get out to the current members and potential members in the upcoming months. This association offers a variety of benefits and maybe you are using one or two, but think about everything that is available to you and get in touch with us if you aren’t sure if you are utilizing a benefit that could help save you money or make your business more efficient. We are here for you, so I urge you to take advantage of the benefits and the professional staff! If there is a benefit that the association does not offer, that you think might help the membership, let us know. We are always looking for new ideas and benefits to better serve you.

EVERY SINGLE DAY YOU HAVE A VOICE AT THE CAPITOL. As always if you know a carrier, supplier, tower, mover or tire dealer that is not a member that you think would be interested in becoming a member, please contact the IMTA or me directly so we can get in touch with them to introduce them to the many benefits of becoming a member of Your Association.

Jon Dill is IMTA’s membership manager. Jon is a graduate of Coe College and a native of Grinnell, Iowa. Jon spent 8 years working in the trucking industry prior to coming to the association. Jon is looking forward to his continued work of getting out to meet the current members and recruiting trucking companies, towers and vendors to join IMTA. www.IowaMotorTruck.com

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2014 IMTA COMMITTEES Building Committee

The main responsibility of this committee is to provide added oversight and advise the association leaders on the priorities of the ongoing maintenance of the building. The building is one of the Iowa Motor Truck Association’s biggest assets and we need to take care of that asset.

Jeff Wangsness - CHAIRMAN JMT Trucking Company

George Crouse Crouse Transportation Services, LLC

Compensation Committee

The main responsibility of this committee is to conduct the annual salary review and evaluation process of the IMTA president. They will provide expectations, objectives and goals for the IMTA President/CEO.

Steve Schuster - CHAIRMAN Schuster Company

Ralph Arthur Ruan Transportation Management Systems

George Crouse Crouse Transportation Services, LLC

Don Decker Decker Truck Line, Inc.

Jackie Johnsrud Johnsrud Transport, Inc.

John Smith CRST International, Inc.

Ralph Arthur Ruan Transportation Management Systems

Kevin Gass Perishable Distributors of Iowa Ltd.

Allied Steering Committee

The purpose of this committee is to oversee the operations of the Allied Division. The division was designed to provide a membership outlet specifically for the vendors and suppliers to the trucking industry. It’s a key partner for the IMTA and provides the financial support for several major IMTA events.

Mark Olson Olson Explosives

Michael Riggan TanTara Transportation Corp.

Jim Koester - CHAIRMAN Midwest Wheel Companies

Randy Miller Great West Casualty Company

Dennis Thompson Thompson Truck & Trailer, Inc.

Charlie Williams Boyer Petroleum

Steve Schuster Schuster Company

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Iowa Motor Truck Association Lifeliner

Bill Roth Truck Country of Iowa


2014 IMTA COMMITTEES 2014 IMTA Management Conference Leaders

Bill Roth, Truck Country, 2014 IMTA Management Conference Chairman and Adam Clark, Midwest Wheel Companies, 2014 Co-Chair will oversee the many different aspects of pulling together IMTA’s annual management conference. This event attracts over 350 carriers and vendors and is a rich tradition that features educational sessions, keynote speakers, networking, recognition, awards and of course, socializing.

Bill Roth Truck Country

2014 Truck Driving Championship Leaders

Gary Handley, BTI Special Commodities, 2014 TDC Chairman and Lisa Gonnerman, Ruan Companies, 2014 TDC Co-Chair have proudly stepped up to provide leadership for the Iowa Truck Driving Championships. This dynamic duo have decades of experience between them not only in the trucking industry but with the Championships event as well. This event is a first-class event that highlights and showcases the professional truck driver and offers two days of not only competition, but entertaining activities, special recognition and socializing among the drivers, CEOs, safety management, spouses and families. The TDC is truly a very special event that uniquely makes the driver the center of attention and focus.

Adam Clark Midwest Wheel Companies Lisa Gonnerman Ruan Transportation Management Systems

SAVE THE DATE

2014 Management Conference September 23 & 24, 2014 Cedar Rapids, IA

SAVE THE DATE

Gary Handley BTI Special Commodities

2014 Truck Driving Championships June 5 & 6, 2014 Prairie Meadows

ICSM Steering Committee

The ICSM Steering Committee provides oversight for the Iowa Council of Safety Management. ICSM is a division that was created for the promotion of professionalism and safety in the trucking industry. The division sponsors numerous awards and recognition programs, safety education courses and hosts monthly meetings designed to provide professional networking and disbursement of safety information. ICSM also sponsors several outreach events and activities such as the Iowa Road Team and the Iowa Truck Driving Championships. In addition, the ICSM also assists with the development of public policy that pertains to truck safety.

Lisa Gonnerman Ruan Transportation Management Systems

Gary Handley BTI Special Commodities

Keith Lamfers Schuster Company

Marvin McGinnis Casey’s General Stores

David Riggan TanTara Transportation Corp.

www.IowaMotorTruck.com

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Safety Update

CSA, don’t get lost in the compliance cloud Compliance, Safety, Accountability (CSA) as you know is a Federal Motor Carrier Safety Administration (FMCSA) initiative to improve large truck and bus Keith Lamfers Schuster Company safety and ultimately reduce crashes, injuries and fatalities that are related to commercial motor vehicles. We have all been working under this new format for a few years and have experienced or still are experiencing some of the bumps in the road relative to CSA compliance. I would like to explain a little bit what I mean by CSA, don’t get lost in the compliance cloud, in other words don’t let your focus get so stuck on CSA and the compliance matrix that you lose site of the other things in your organization that are just as important. Don’t get me wrong, I am not saying that you need to ignore your CSA scores or quit monitoring your CSA history, but there are other things you need to focus on as well in regard to your overall efforts in compliance and safety. You still need to keep an emphasis in prevention of accidents and razor sharp focus on Customer Service, and this not only applies to the accounts that are giving you freight but also to the most valuable commodity that you company has and that is the driver. You must never lose sight of how important the drivers are to your company. The driver is the person that interacts with your customers, people on the docks and who the public sees on the road. Your driver is the image of your company and they have the greatest impact on the overall success or failure of your company. As it would appear, companies

that have a higher turnover rate also have more accidents and CSA issues, so retention needs to be an important part of your program. Accident prevention is huge. All accidents need to be addressed, not just the DOT recordable ones, but even the smaller accidents, the backing issues at a dock or in a parking lot, the right turn accident at a corner, these usually don’t involve injury, however they can cost companies a lot of money and are generally 100% avoidable. Communicating with the drivers in a professional and consistent manner is key to your overall safety efforts. The best way to keep drivers thinking about these issues and how to avoid them is through constant reminders and this can be communicated to them in multiple ways. One way is to send out messages to the driver via satellite communication if that is something that you utilize. Posters or flyers displayed where drivers meet such as a rivers lounge at your terminal or a bulletin board where they pick up their supplies. Companywide meetings are also a good format to keep these topics in front of the drivers. Payroll stuffers are equally as effective and in today’s technology driven world, online training has proven to be very valuable in conveying a topic of importance. Keep in mind that the retention of a topic is generally six months so you need to be constantly repeating topics.

Driver retention efforts need to be shared by everyone in the company. Retention needs to be part of the company culture beginning with the owner all the way to the person that washes the trucks. Everyone in the company has piece in the retention puzzle. They may not all realize it, but each person in your company plays an important role in retaining a driver and ultimately in the success of the company. Drivers are no different than you or I. They like to be challenged to improve their skills, appreciated for the job they do and rewarded for doing a good job. And rewards don’t always need to come in the form of monetary rewards, I think we too often forget the impact of kind words, simple praise or recognition in a newsletter or newspaper. Drivers are important to your company and they are not just a truck number or a truck code. They are people that make a tremendous impact on the success of your company. In fact, the driver is your company. Make sure you are doing the simple things to keep your drivers in the forefront and I think the other things will fall in place. I think in today’s world of excessive regulation and compliance demands, we get so tied up in the upper level items and the bottom line that we forget about the basics. If you take care of the basics, the rest will take care of itself. Slow Down, Pay Attention, Pre Plan and Pre Trip. Words we all can live by.

It is also good to use multiple formats for conveying the message as people learn and retain things differently. I think it is extremely valuable to include the drivers in the topic of discussion because this allows them to take ownership for what is happening within your company. These topics can range from seasonal topics as you prepare for a transition from summer to fall into winter etc, or topics specific to something that you are currently experiencing within your organization.

Keith Lamfers, CDS is Director of Safety and Compliance with Schuster Company located in LeMars, Iowa. Keith has been in the trucking industry for 17 years and has held a variety of safety related positions. Keith is a strong proponent of safety in the industry and is very active in the Iowa Council of Safety Management (ICSM) where he serves as a member of the steering committee as well as other volunteer positions for both the council and the Iowa Motor Truck Association.

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Iowa Motor Truck Association Lifeliner


Safety Update

Drug/Alcohol Clearinghouse Database One of Several Items on the Horizon

Don Egli, CDS IMTA Director of Safety

The longawaited Drug and Alcohol Clearinghouse for CDL drivers could finally be a reality. This should be one of the better things coming out of FMCSA in quite a while.

The Notice of Proposed Rulemaking was published in the Federal Register on February 20, 2014, with the comment period ending on April 21, 2014. The Federal Motor Carrier Safety Administration has had such a database for many years, tracking all positive drug and alcohol test results. While that was a great start, carriers have not had access to the information. One of the reasons that it took this long to give access to the trucking industry was that they needed to build firewalls and protection to prohibit the public from gaining access to areas that they would not need. Prior to this database carriers were required to perform a safety performance history check on each driver they hired, within 30 days of hiring the driver. This created a huge hole in the process. One problem was that carriers might not get the information from the previous employer, due to the previous employer disregarding the request. In that event, a new employer would make a good faith effort (at least two attempts) to get the information and then would document the attempts and place in the file. A second problem with this process is that there are still some carriers who fail to request the information from previous employers. Another problem could be that a driver failed to include a previous employer on their employment history, so that safety performance history information would never be requested since the new employer would not know that they had

worked there. This would potentially allow a driver who tested positive at a previous employer to slip through the cracks and be working again as a driver without ever completing a Substance Abuse Program. Under the new Drug and Alcohol Clearinghouse, a prospective employer would have access to the information without having to rely on the driver or previous employer for the information. The process is simple. The NPRM requires carrier employers, Medical Review Officers (MRO’s), Substance Abuse Professionals (SAP’s), and consortia/third party administrators to report verified positive, adulterated, and substituted test results, test refusals, negative returnto-duty test results, and information on follow-up testing. The proposed rule would also require employers to report actual knowledge of traffic citations for driving a commercial motor vehicle while under the influence of alcohol or drugs. Once reported, the information will be available for public access. The proposed rule would establish the terms of access to the database, including the conditions under which information would be submitted, accessed, maintained, updated, removed, and released to prospective employers, current employers, and other authorized entities. It would also require laboratories that provide FMCSA regulated carrier employers with DOT drug testing services to report annual summary information about their testing activities. Another change on the horizon is the Medical Registry. This rule takes effect in May, 2014. After May 21, only medical professionals who have been certified through FMCSA will be able to perform DOT driver physical examinations. The program expects 40,000 examiners to be needed, but currently only around 6,000 medical examiners have completed the required training and certification. This could create an issue with finding an examiner to perform the physical exams, especially in remote area where doctors determine that there aren’t

enough drivers in their area to bother with the requirements of the program. We expect certain geographic areas will experience problems in finding a medical professional to perform their physical examinations. Along with the Medical Registry, the medical certification process is up and running in most states. This process requires CDL drivers to submit their physical certification to their state that issues their CDL. There have been many glitches associated with implementing this process, but Iowa has the program up and running and it seems to be working well. One of the things I like about this process is that once it is totally operational drivers will no longer be required to carry a copy of their medical certification card. For now, drivers are still required to carry a copy of the card through at least January 30, 2015. Another advantage that has been proposed is that doctors may eventually upload/transmit the physical certification information directly to FMCSA and the state DOT. The final topic for this discussion is Obstructive Sleep Apnea. FMCSA seemed poised to issue guidance in 2013, but in October Congress passed legislation prohibiting FMCSA from issuing regulatory guidance on sleep apnea. The bill stated that if FMCSA chooses to take action on the issue of sleep apnea, it must be done through the formal notice and comment rulemaking process. Following this process would ensure that any changes meet mandatory cost benefit analysis and that they are based on sound scientific data. As of this writing, FMCSA has said that they are still in the process of gathering data and analysis on the condition of sleep apnea. Keeping watch on the regulatory environment, and upcoming regulatory proposals, has turned into a full-time effort but we remain on the alert. It’s an interesting world we live in today but rest assured, trucks will be needed to deliver our customer’s products for the foreseeable future.

Don Egli has over 25 years experience in the trucking industry. He has served as IMTA’s Director of Safety and Compliance for the past 9 years. Don started in the industry as a driver and worked his way through various management positions related to safety. He proudly holds the CDS (Certified Director of Safety) certification and in addition to serving IMTA’s membership by assisting with safety, regulatory and compliance oversight, he also sits on several state and national boards dedicated to safety. www.IowaMotorTruck.com

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Safety Professionals Conference

First Annual Iowa Safety Professional’s Conference – A Big Success! The first annual Iowa Safety Professional’s Conference was held in early March and had over 70 participants. The Conference was organized by the Iowa Council of Safety Management (ICSM) and hosted by the council and IMTA. The objective of the conference was to provide a conference dedicated strictly to safety issues and was geared for safety professionals at all levels. A series of breakout sessions were designed to address some of today’s most pressing safety concerns and ranged from a basic regulatory update to preparing for a deposition to driver recruitment and retention.

pleased with the success of this conference,” said IMTA President Brenda Neville.

“We have talked about implementing a safety professional’s conference into our annual schedule of events, especially given the success we have seen with our maintenance professional’s conference. We finally made the time this fall to start the planning process and we were very

“One of the greatest benefits of membership in the ICSM is the networking and contacts you make with other safety professionals in Iowa. We felt that providing that same opportunity at the safety conference was very important so we allowed for

The ICSM steering committee and the IMTA safety staff developed the schedule and picked topics based on feedback from ICSM members. In addition there were several opportunities for networking and socializing as well which was an equally important part of the conference.

Ralph Arthur, Ruan Transportation Management Systems and IMTA Chairman of the Board time and some events that would get the participants the chance to get better acquainted with one another,” said Lisa Gonnerman with Ruan and a member of the ICSM steering committee.

CONFERENCE OBJECTIVE: TO PROVIDE A CONFERENCE DEDICATED STRICTLY TO SAFETY ISSUES AND GEARED FOR SAFETY PROFESSIONALS AT ALL LEVELS. Don Egli, IMTA Director of Safety

Lily Cota, TanTara Transportation Corp., Tim Gedig, PeopleNet, David Osman, Green Products Co., Dave Riggan, TanTara Transportation Corp.

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Safety Professionals Conference

First Annual Iowa Safety Professional’s Conference – A Big Success! Companies of all sizes were represented at the conference and the attendance exceeded all expectations, especially with this inaugural event. All the breakout sessions were at capacity and featured professionals that knew their subject matter. In addition some of IMTA’s preferred partners had exhibits at the event and were able to meet with folks one on one. “I think the conference was a great value for everyone that attended. I heard nothing but good feedback, there are so many different issues impacting the safety and compliance efforts of a trucking company and this conference allowed people to get a lot of good information in a 2 day period that they can take back and apply immediately

to their operation. This will become an annual tradition,” said Dave Riggan, TanTara Transportation and member of the ICSM steering committee. The ICSM steering committee is reviewing conference evaluations and already looking at setting a date in March of 2015 for the next safety professional’s conference. A special thanks to everyone that attended as well as the great speakers that were on hand to lead the sessions.

cont.

Special Thanks to Safety Conference Speakers: •National Safety Issues Update• Don Egli, CDS, IMTA

•CSA Update/Data Qs• Major Lance Evans, IDOT

•Managing Employees• & Personalities

Erin Peterson & Nathan Schmidt, Ruan Transportation Management Systems

•Preparing for Depositions• Jason Palmer, Bradshaw, Fowler, Proctor & Fairgrave, P.C.

•Vehicle Inspections• Randy Rice, IDOT

•ELDs & Electronic Safety Tools• Tim Gedig, PeopleNet

•Driver Wellness•

Todd Schemper, PT, DPT, Work Systems Rehab & Fitness P.C.

•Trucking…It’s Everybody’s Business• Brad Tolsma, UNFI, Sid Carroll, Great West Casualty Company, Mikel Hoskin, Harold Dickey Transport, Rex Morris, Robison Trucking

Delby Bruhn, Randy’s Diesel Repair, Bryan Sweeney, Great West Casualty Company, John Joines, Great West Casualty Company, Scott Evans, Decker Truck Line

Brenda Neville, IMTA & Ralph Arthur, Ruan Transportation Management Systems

Julie Pruitt, Crouse Transportation Services and Gary Handley, BTI Special Commodities

www.IowaMotorTruck.com

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PAC Fundraiser

Annual Boxing Night Raises Funds for PAC The annual Truck Pac Boxing Night was recently held and almost 200 IMTA members joined the fun. The annual fundraiser featured dinner and 14 bouts of Amateur Boxing and Muay Thai Fighting. In addition, there were several impromptu presentations and activities that provided additional entertainment for everyone in attendance. Almost $15,000 was raised for Iowa Truck PAC and attendees were reminded about the importance of being involved in the political process by supporting PAC. The evening was also an opportunity for IMTA members to get together for an evening of fun and entertainment and once again the membership responded by showing up to offer support. “Advocacy is one of our top priorities as an association and as a part of our advocacy efforts, we have to always be focused

Two of the muay thai fighters battle in the ring to see who takes first place

on raising money for our PAC. Over the last several years, IMTA members have responded to our ongoing fundraising efforts by supporting the various events we hold throughout the year. This support is really valuable and allows us to broaden and strengthen our base of supporters,� said Jeff Wangsness, JMT Trucking Company, a member of the 2014 PAC committee and a former IMTA Chairman. The boxing night was especially appropriate as IMTA continues to FIGHT for a gas tax increase. The event provided an opportunity for IMTA members to get onboard with the ongoing grassroots efforts promoting road fund legislation. Every attendee was given a packet specific to the gas tax and asked to join in the fight by contacting legislators and urging their support.

Special thank you to all attendees of Boxing Night. This group of members took the time to support Truck PAC Iowa.

2014 Truck PAC Committee Members: David Boyer, Boyer Petroleum Co., Dave Nelsen, Freightliner of Des Moines, Steve Schuster, Schuster Co., Ralph Arthur, Ruan Transportation Management Systems, IMTA Chairman of the Board, Fred Grask, Cedar Rapids Truck Center

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Kevin Gass, Perishable Distributors of Iowa and Brenda Neville, President and CEO Iowa Motor Truck Association


PAC Fundraiser

Annual Boxing Night Raises Funds for PAC

cont.

“We really did not expect that road funding legislation would still be actively discussed at this point in the session, but to our surprise, it is still very much alive and well. Because of that, we felt that this event was another opportunity for us to rally the troops and get them to join in the fight,” said IMTA President Brenda Neville.

about our legislative efforts as well. This event attracts a different segment of our membership so that is also an added benefit of these fundraisers. Every PAC fundraiser attracts a different segment of our membership and the more people we can get involved with PAC and our legislative activities, the better,” said IMTA Chairman of the Board Ralph Arthur with Ruan.

The most recent legislative proposal is calling for a reduction in gasoline and diesel fuel taxes and adding a 5% excise tax to the wholesale price. IMTA’s executive committee reviewed the legislation very closely and is onboard with the new proposal. Now it is just a matter of seeing if legislators have more of an appetite for this legislation versus calling for a 10 cent increase over three years.

The PAC committee is responsible for developing fundraisers throughout the year. This is the first of several that will be held. In May, there is the annual golf outing and in June, the annual motorcycle and vintage car ride will be held. A fourth fundraiser was created last year and will be held in November which will feature a Texas Hold Em’ tournament and other fun activities. The committee hopes to raise $40,000 through its fundraising efforts in 2014.

“While this is a great opportunity to raise money for our PAC, it is also a great opportunity to educate and inform the attendees

Jenny & Mark Olson, Olson Explosives, Inc.

IMTA appreciates the support of the gold table sponsors and their guests.

Members from Decker Truck Line and Crossroads Trailer Sales and Service gladly pose for a group photo.

Jackie Johnsrud, Johnsrud Transport, Rod McKelvey, Freightliner of Des Moines

www.IowaMotorTruck.com

47}


Member to Watch

Lisa Gonnerman, Director of Safety, Ruan Appointed to Federal CSA Sub-Committee Ruan’s Director of Safety, Lisa Gonnerman has been appointed to serve on the Compliance, Safety, Accountability (CSA) SubCommittee to the Motor Carriers Safety Advisory Committee (MCSAC). MCSAC was established 7 years ago by a Congressional mandate to advise the Federal Motor Carrier Safety Administration (FMCSA) on commercial vehicle safety issues. In December 2012, a sub-committee Lisa Gonnerman Ruan Transportation Management Systems was formed to provide guidance on CSA. The sub-committee’s membership represent the trucking industry, shipping, third party industries, law enforcement, safety advocates and organized labor. The committee meets four times a year in Washington DC.

Obviously this committee assignment takes time and energy, and we are very pleased to have someone from Iowa represented at this national level…what do you believe is one of the biggest values of having a seat at the table?

The task of the subcommittee is to provide an ongoing series of letter reports to the Agency presenting prioritized recommendations the Agency should pursue, with supporting data, to improve the CSA Program.

Again I believe CSA has brought unprecedented awareness to the entire trucking industry. I do think there continues to be some issues with the program that need to be reviewed and reworked. FMCSA has made several changes to the program which have been for the most part positive. I would really like to see the remainder of the issues worked before the Safety Fitness Determination is released.

What is one thing that has been compelling to you about this committee as you have attended a few meetings?

The subcommittee is comprised of a wide range of representation to include industry, safety activist, and enforcement. With the wide range of backgrounds comes a wide range of opinions and recommendations. Each person on the subcommittee is trying to fully make a case for who they are representing. I was really surprised to find out I am the only person on the subcommittee from a trucking company. There are brokers, insurance agents, independent contractor reps (OIDA), and a shipper with a private fleet. So my representation from a trucking company is important to voice and have others know and understand.

In your opinion, what do you think are some of the main issues w/CSA? I think overall CSA has put a whole new focus on safety and safety has a new importance to companies. But I do feel there are still some issues with the program that need to be looked at further. However there are several issues with the program. For example, all accidents (preventable and non-preventable) are included in the carrier’s numbers. Additionally, there are data accuracy issues, regional discrepancies in data, too many carriers with no data, and issues with the hazmat BASIC. FMCSA continues to use the program, even with the known discrepancies, to target carriers for enforcement.

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Iowa Motor Truck Association Lifeliner

I am honored to represent Iowa and the trucking industry on the committee. To me the biggest value of having a seat at the table is expressing recommendations for improvements and ensuring the concerns are understood and heard. There is a wide range of representation at the table, and I want to make sure the issues we face each day at ground level are understood. Not everyone at the table has the day to day experience working with CSA and understanding the effects of the program.

Do you believe that some of the criticisms of CSA are founded or is it merely just the typical “growing pains” of a new program or initiative?

What can the average carrier do at a minimum to be in compliance w/CSA?

All carriers, no matter size must practice safe operations and comply with all regulation. This is the only option to keep our highways safe. Carriers need to review their data and get familiar with the website. There is a lot of good information on the website with suggestions on how to make improvements in all the BASICS. Manage safety and ensure your drivers understand the program, how it affects them and the carrier.


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Final Word

The biggest regulatory target in the country By Jack Roberts, Executive Editor, Commercial Carrier Journal and Overdrive

Fleet executives, fleet managers and truck drivers – really almost anybody connected to the trucking industry – tend to be conservative in nature. So, naturally, an intense dislike of our current president and the Democratic Party are Standard Operating Procedure at any gathering of truckers these days. There are many reasons for this polarization. But, when you boil things down to their very essence, the number one reason truckers dislike Democrats and the president seems to be one thing: regulations. Now, there’s no denying that the Democratic Party is far more regulationfriendly than the Republicans are in most areas. We’re seeing multiple examples of this in our national discourse today in the debates over healthcare, the minimum wage, banking and financial oversight and fracking – just to name a few hotbutton topics. The essential argument goes something like this: Republicans oppose regulations because they place unnecessary burdens on businesses. And besides, capitalism and the invisible hand of the free market will force businesses to act in the best interests of its workers and the country at large. Therefore most regulations are simply not needed and counterproductive. No, counter the Democrats. Businesses are all about making money and maximizing profits. To do that, businesses can’t be trusted to act in the public good; they’ll naturally take shortcuts in safety or the environment or screw their workers in order to bring as much money as possible down to the bottom line. So we need to put some rules in place and force them to act responsibly. When you look at those two (very simplified) arguments, it’s easy to see why a majority of truckers are attracted to the Republican Party. But here’s the thing: After objectively observing this industry for almost two decades now, I have concluded that it really doesn’t matter which party is in power. Trucking, as far as I can see,

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never, ever catches a break on the regulatory front. Case in point: I remember back in 2000 after George W. Bush was elected president, several industry insiders told me how happy they were to hear this. Because, they assured me, there was no way this administration was going to enforce the dreaded and hated EPA emissions regulations cooked up during the Clinton administration. Those regulations (which seemed impossible to comply with at the time) would soon be dead and gone. Or, at the very least, severely curtailed to be much more friendly to fleets and the industry as a whole. As we all know today, those prognosticators were sorely disappointed. The second Bush White House was one of the most business-friendly administrations in recent memory. But it did nothing to alleviate or moderate the looming EPA emissions regs. As I noted in my CCJ blog and equipment column last month, the industry now is faced with a whole slew of regulations coming its way in the next year or so. And even though the Republicans currently hold the House of Representatives and could (in theory, anyway) propose legislation to alter or moderate these regulations ways beneficial to the industry, don’t hold your breath. And I’ll tell you why: Because politicians of both parties understand one thing with unwavering clarity: Voters are afraid of trucks.

I hate to sound a discouraging note, but we all know this. It doesn’t matter how good a fleet maintenance program is, or how strong its safety record is, or how many millions of safe driving miles a driver has under their belt, when a voter in a mini-van merges onto a highway at 60 mph and finds a Class 8 tractor with a 53-foot trailer thundering alongside of them, it scares the hell of them. And unlike dealing with a chemical company or a Wall Street institution, this is an interaction and reaction that occurs among the driving public millions of times a day. The bottom line? Trucking is an easy target – perhaps the easiest target in the country – for politicians to “protect the public” by throwing regulations at today. So. I hope you vote. And I hope you vote your convictions in the midterm elections later this year. But if you’re in the trucking industry, don’t expect much regulatory relief — no matter which party wins.

Reprinted with permission from the January 22, 2014 issue if CCJDigital.com


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