Benefits of Electronic Clearance for Enforcement of Motor Carrier Regulations

Abstract

The transparent borders concept of the Federal Highway Administration's Intelligent Transportation System for Commercial Vehicle Operations program could enhance regulatory efficiency by improving motor carrier compliance and reducing the costs of compliance. Discussion focuses on the cost of enforcement for motor carriers, which is one of the components of compliance cost. Motor carrier regulations are typically enforced concurrently with weight and safety enforcement efforts. To determine the burden, the amount and value of time spent by motor carriers on enforcement activities was estimated. Recognizing that differences among trucking firms exist, burdens were estimated separately for truckload and less-than-truckload carriers. Values were based on labor and opportunity costs. Time requirements were taken from existing literature. Current weight enforcement efforts cost the industry between $167 and $283 million annually. Furthermore, over 99.4 percent of the burden is borne by compliant carriers. Technologies and enforcement strategies that would greatly reduce the proportion of compliant vehicles subjected to enforcement are currently available and should be pursued. Complying with current safety enforcement efforts costs the industry between $14 and $25 million annually. Compliant carriers bear over 44 percent of this cost. Analysis of safety data indicates that a statistical relationship exists between out-of-service rates and accident rates. Therefore, it is possible to develop a system that would increase the proportion of noncompliant vehicles subjected to inspection relative to compliant vehicles.