OTA Dispatch Issue 4 2017

22 Oregon Trucking Associations, Inc. Oregon Truck Dispatch T he Oregon Trucking Associations, Inc., recently entered into an agreement to provide association management services for the Oregon Moving and Storage Association (OMSA). Christine Logue at OTA has assumed the position of Executive Director for OMSA. This makes a great deal of sense inasmuch as the members of OMSA are also members of OTA. The Motor Carrier Regulatory Reform and Modernization Act, more commonly known as the Motor Carrier Act of 1980 (MCA) is a United States federal law which deregulated the interstate trucking industry. The movement of household goods is one of the few areas still subject to economic regulation. There were two subsequent pieces of federal legislation that have had major impact on the economic regulation of motor carriers and property/passenger transportation brokers operating within Oregon. The first major legislation, effective January 1, 1995, the Federal Aviation Assistance Act, PL 103-305 , deregulated intrastate for-hire property carriers (except carriers of household goods). The second federal legislation, The Interstate Commerce Commission Termination Act of 1995, PL 104-88, effective January 1, 1996, deregulated intrastate property and passenger brokers, modified the regulation of household goods, and deregulated rate regulation of intrastate charter carriers holding interstate charter authority. Federal Aviation Assistance Act The impact was the transitioning of approximately 5,500 intrastate economically regulated for-hire carriers with specific and narrow authorities (for example, logs, sand and gravel, wood products, livestock, small packages, bulk commodities) and restricted geographic scope, to statewide authorities that authorize the transportation of all property except household goods. The Department designated this category of carriage as the 1A permit. Left were approximately 115 intrastate household goods carriers subject to both entry and rate regulation. One more impact was an increase in the number of large, mostly non-Oregon based carriers that obtained the new Oregon intrastate 1A for-hire permit. The Interstate Commerce Commission Termination Act of 1995 The impact was the deregulation of 80 property and 23 passenger intrastate transportation brokers as well as the lifting of entry and rate regulation for the intrastate transportation of office and institution moves. The ICC Termination Act redefined “household goods” to restrict it to “personal effects and property used or to be used in a dwelling, when a part of the equipment or supply of such dwelling...” Legislators deleted mention of both “furniture, fixtures, equipment, and the property of offices...” and “articles, including art, displays, and exhibits.” As a result, Oregon no longer regulates carriers’ rates, routes, or service when performing office and institution moves. We only require that carriers register for a Class 1A permit to transport property. A certificate of authority to transport household goods now applies only to residential moves involving an individual’s personal property. Also, this legislation preempted the states’ authority to regulate the rates of any charter carrier who holds both interstate and intrastate authority. The federal preemption did not affect state’s oversight of rates charged by wholly intrastate carriers providing charter service. However, the Transportation Equity Act for the 21st Century, referred to as TEA- 21, effective June 9, 1998, further amended 49 USC § 14501 by adding language that preempts the state’s authority to regulate the rates of any passenger carrier who provides intrastate charter transportation. Household Goods Economic Regulation ENTRY The Department may grant a household goods and passenger regular route authority if it determines the requirements of ORS 825.110 have been met. The 2009 Oregon Legislature (HB 2817) effectively eliminated entry regulation for applicants for new household goods carriage authority. Applicants today only need demonstrate that they are fit, willing and able to perform the requested service. Economic regulation of household goods rates remains in place. RATES Carriers of household goods must use rates and charges that are filed with and approved by the Department of Transportation. The Department is charged with regulating and prescribing just, reasonable and fair rates, classifications, and practices that are not unduly discriminatory, prejudicial or preferential ( ORS 825.202 and 825.224 ). All requests for new and changes to existing rates are subject to public hearing. Intrastate and overall system revenues and expenses as well as the rate Everything You Always Wanted to Know  By Gregg Dal Ponte, OTA Director of Regulatory Compliance