How Can I Oppose the FMCSA’s Rate Transparency NPRM?

On Nov. 20, the Federal Motor Carrier Safety Administration (FMCSA) published a notice of proposed rulemaking (NPRM) entitled “Transparency in Property Broker Transactions“. FMCSA notes that this proposed rule is necessary to “address the lack of access to information among shippers and motor carriers that can impact fairness and efficiency of the transportation system.” Additionally, “correct imbalances in negotiating power.”

TIA’s response to that is simple: the proposed rule is continued overreach from this federal agency, who continues to be derelict in their duties of assigning safety ratings to motor carriers and addressing rampant freight fraud.

Specifically, the NPRM proposes the following provisions:

• Requiring brokers to maintain records electronically, ostensibly to improve access for carriers and shippers.
• Eliminating the distinction between brokerage and non-brokerage services, mandating records for each shipment include all charges, payments and related claims.
• Reframing brokers’ duty to provide records as a regulatory obligation rather than a transactional right of request.
• Mandating brokers provide all requested records within 48 hours of delivery.

One of the provisions that our opposition asked for was for the FMCSA to bar brokers from including contract provisions in the form of a waiver to see financial information in their contracts. FMCSA did note that this is outside their jurisdiction and would not be addressing that provision.

TIA has consistently maintained that the broker transparency regulation, rooted in the 1980s, is obsolete and un-American.

Originally implemented in an era following trucking deregulation when brokers acted as commissioned sales agents for motor carriers, this rule has no place in today’s highly transparent marketplace. Any attempts to expand or enhance these outdated provisions should be shelved, and the FMCSA should redirect its attention to fulfilling its primary mission—ensuring safety on our highways and addressing rampant freight fraud.

Knowing this is bad for business, here are some ideas of how you can help TIA fight this proposed rule.

Post a Comment: Be sure to comment on this NPRM in the next 60 days! TIA has made it easy for you to post a comment: https://www.votervoice.net/Transportation/campaigns/119122/respond. The comment period closes on Jan. 21, 2025.

Blog Post: Write a blog about how this will affect your business. Share the reasons why this is a bad ideas. Share how people can comment and should comment on this proposed rule. Blogs should be between 400-600 words. If you want to submit your blog post for potential inclusion on TIA’s website, email your blog to hinton@tianet.org

Social Media: Take to your social media channels and state why this is such a bad rule and share the link to take action: https://www.votervoice.net/Transportation/campaigns/119122/respond

Congressional Outreach: Contact your Congressional delegation and tell them how bad this proposed rule is and how it will affect your business, which then has an effect on your employees, local tax and state tax, etc. Paint the picture of how bad this rule is. Did your Representative or Senator lose his/her seat during the election? Reach out to your incoming representative and introduce yourself and your company and the impact you have in the community. Consider inviting your delegation to your office for a site visit.

Media Opportunity: If you feel comfortable speaking to trade and national media about this issue, let TIA know so we can include you in our speaker’s bureau and work with you as opportunities come up for comment. Send a message to hinton@tianet.org

Learn More TIA’s PAC: TIAPAC works to support and build relationships with members of Congress who support the 3PL industry. The funds raised by TIAPAC are exclusively personal contributions from TIA members, with all the funds going to support federal campaigns.