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occurs not just between brokers and car-  a lot of bad information being spread   The FMCSA has not been enforc-
        riers but also between carriers and carri-  about the rule, such as the incorrect   ing the rule, but Saylor hasn’t heard of
        ers. In fact, the TIA publishes a 58-page   assertion by some that a carrier must   any widespread disobedience. Naturally,
        document that instructs its members   form two companies: one to carry   he’s advising his clients to purchase
        how to select a carrier properly.   freight and another to broker it, though   the bond rather than break the law.
            O’Liddy and the TIA’s senior   such a move might be advantageous.   The penalty for performing brokerage
        government affairs manager, Chris      “The main thing that we’ve seen   services without the proper authority is
        Burroughs, said that the brokerage   is, for the first time, people are actually   $10,000 per violation, and if the com-
        industry is far more than salespeople   paying attention to whether the par-  pany doesn’t pay, the officers and prin-
        with telephones. Sixty (60) percent of   ties they’re dealing with have the right   cipals are liable.
        the TIA’s membership is asset-based,   authorities,” he said.
        and was so before the passage of the
        MAP-21 provision. Many major carriers
                                                            Regional Journal of the Arkansas Trucking Association    Volume 6, Number 2 • April 2001 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 14, No. 3 • June 2009 • $4.95
        have logistics companies that operate
        with carrier authority. Brokers operate              Tim  Hill
                                                            ShifTing gearS
        on tight margins and have costs like
        other businesses, such as paying for
        insurance. “We feel without the broker-
        age industry, most of the owner-oper-
        ators would have no freight to move,”   Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 15, No. 3 • June 2010 • $4.95  Death Tax • Size and Weight Laws • Legislative hearing  Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 14, No. 6 • December 2009 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association   Vol. 16, No. 2 • Issue 2 2011 • $4.95
        O’Liddy said. “That’s 100 percent our                     25,000
        market, which is why we care that they
        get paid, and which is why we agreed to
        the language.”                                        ReadeRs
            Sean McNally, ATA spokesman,
        confirmed that the ATA had supported
                                                                      stRong
        the compromise and is staying out of                Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 13, No. 1 • February 2008 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 12, No. 2 • April 2007 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 15, No. 1 • February/March 2010 • $4.95
        the current controversy.
            “OOIDA and TIA had been in talks
        for some time to enact legislation that
        increased the bond amount,” McNally
        said. “ATA supported an increase in
        the bond amount and negotiated some
                                              Award-Winning Regional Journal of the Arkansas Trucking Association   Vol. 15, No. 6 • December 2010 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association   Vol. 16, No. 3 • Issue 3 2011 • $4.95  Award-Winning Regional Magazine of the Arkansas Trucking Association   Vol. 17, No. 2 • Issue 2 2012 • $4.95  Award-Winning Regional Journal of the Arkansas Trucking Association    Vol. 15, No. 2 • April 2010 • $4.95
        changes to the legislative language to
        continue to allow interlining. The legis-
        lative language was a compromise that
        ATA supported. However, there are a
        number of state trucking associations
        and two ATA conferences that object
        to the prohibition on motor carriers
        subcontracting to other motor carriers   already an award-winning regional magazine, we’re
        without having broker authority. Those   pleased to announce Arkansas Trucking Report
        entities are pursuing a fix, and ATA is
        neither opposing nor supporting their   (ATR) still boasts a more than 25,000 readers
        efforts.”                             nationwide and we continue to grow. that makes
            Saylor, the partner with the      ATR a great place for you to advertise.
        Scopelitis legal firm, said the change
        hasn’t seemed to have had too big of   If you want to reach this highly targeted, influential group of our industry's
        an effect on his clients. Many of which   leading decision-makers and ask them to consider purchasing your products or
        already have broker authority, and most   services, then you’ll want to place an ad in every issue of ATR.
        of those that don’t have not sought it.
        No one has realigned their existing   Please contact Jennifer kidd, publisher, jennifer@matthewspublishing.com
        operations to take advantage of the   to make it happen.
        interline exemption. He said there’s

        aRkaNSaS tRuckiNg RepoRt | issue 2 2014                                                                   35
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