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Industry News from AEMCA

TSA Compliance Issues: Article by Henry Seaton...Henry Seaton, Esq. is an AEMCA board member and a partner in Seaton & Husk, LP a transportation law firm specializing in regulatory compliance, cargo claims, freight charge collection, commercial litigation and related bankruptcy matters.

TSA COMPLIANCE ISSUES
Henry E. Seaton, Esq.

This article represents only my opinion and is based solely on my attempt to track the TSA Air Cargo Rules as a representative of ex air motor carriers.

For almost a year, the motor carrier industry has earnestly attempted to work with TSA to explain that it is our personnel who have direct access to air freight and that any TSA proposal must give practical consideration to the use of motor carriers as non-exclusive agents for the regulated air freight industry (airlines and forwarders).

Although mid-course correction could have been possible when the issue was first broached with TSA, the absence of a substantive response, the tyranny of the immediate and the impending compliance date for TSA Air Cargo Rules continues to generate confusion and no clear workable solutions.  Affected motor carriers face three impending issues: (1) Training; (2) The requirement that security threat assessments be conducted of all personnel with direct access to cargo; and (3) Implementation of security plans.

By recognizing the IACs as the sole gatekeeper of security sensitive information, the motor carrier industry has been kept out of the loop on all three issues with resulting misunderstanding and redundancy.

1. Training.  Initially, the TSA provided training modules and guidance to the regulated parties without addressing how the airlines and IACs would in turn oversee the training of the motor carriers they use.  Who would accept responsibility?  Would every motor carrier=s employee have to be trained by every IAC who uses it?  These questions were asked and were never satisfactorily answered.

Now, less than two weeks from the June 15 effective date, the TSA has released, again to the IACs and not the carriers, a training module designed for their nonexclusive cartage agents.  Motor carriers are now left with the unattainable task of getting the bare bones training program from an IAC, implementing it by training all of its employees, and then trying to figure out what has to be done with all of the resulting information and scoring in less than two weeks!  Does the TSA really expect every IAC to know or to care about whether every driver by name has been trained?  When the carriers ask two different customers, they get two different answers.

It is my advice that motor carriers obtain the new training module as quickly as possible from an IAC and, if they have not already done so, train their appropriate employees in accordance with the minimum standards enunciated by the TSA to the IACs.  The AEMCA, through members with IAC status, can make this training module available to other members without unnecessary additions or deletions.

2.  STAs.  The TSA Rules contemplate that security threat assessments be conducted of all personnel who have direct access to cargo.  That includes, of course, the employees of the motor carriers hired by regulated parties.  The compliance date for STAs for non-exclusive agent=s employees was shoved back to July 15 when the TSA finally recognized there were possibly hundreds of thousands of drivers who were subject to the rules but were not directly employed by the IACs.  The problem is the TSA lacks the protocols or the methodology to conduct all the background checks and has not figured out whether the IAC or the motor carrier should submit the request or to whom.

Again, the initial notion that each customer of a motor carrier should be required to individually identify and check the STA credentials of every driver subject to picking up its freight is redundant and unduly burdensome, but that is what the Rules apparently suggest. 

Some IACs think they will be required to verify the STA status of every driver at or before the time of pickup.  Surely this cannot be right as anyone who understands the industry knows full well.  Presumably the Agency will set up a procedure that allows known cartage agents to file for, obtain and monitor their own STAs and permit regulated parties to rely upon agent certification of compliance in accomplishing that.

At the end of the day, if anything is to be accomplished by July 15, it will be nothing more than presenting to the government, whether by motor carriers or indirectly by their customers, lists of drivers and other employees for screening with accompanying checks. 

The time bind imposed by current rules may very well preclude a rational and thoughtful approach in this regard.  For example, it appears that the TSA got the cart before the horse when it required carriers to train drivers by June 15 when the drivers have not been screened and do not have STAs first.  Now, think about it.  The training module is labeled A Security Sensitive Information@ and can only be shared on a need-to-know basis through a regulated gatekeeper.  Yet in the next 10 days the module will be disseminated to thousands upon thousands of truck drivers who have not been screened for security first.

3.  Security Plans.  The third issue of the Air Cargo Rules which affect motor carriers is the alleged requirement that each agent of a regulated party adhere to the regulated party=s particular security plan.  (Each IAC and airline must develop a security plan in accordance with secret TSA guidelines but many have embellished their security plans with special provisions which are beyond TSA guidelines.)  Many IACs insist, wrongfully I believe, that their motor carrier agents must sign onto their entire plan in order to be in compliance and insist in the name of national security that motor carriers sign broadly worded indemnity, responsibility for fines, etc.

Properly seen, no motor carrier serving air freight customers can sign such unedited versions of these plans because they impose conflicting duties on a carrier who must manage its cross dock and pickup and delivery units under a common protocol. 

So how should a motor carrier deal with these three different issues?

Training.  If you have not already trained your personnel under the IAC standards, obtain a copy of the training module from an IAC customer, or Fiona at AEMCA can direct you to an AEMCA member with IAC status who can provide it to you.  Then utilize your best efforts to comply with the training module, keeping the scores and records of trained individuals.  Thereafter, be prepared to demonstrate your records upon request to the TSA.  Provide your IACs with the certification that you have obtained the training modules and warrant that all appropriate individuals have been trained.

STAs.  Unless changed on or before July 15, you will have to submit a request for an investigation of your appropriate personnel.  I suggest you accumulate that data in a usable format and await news as to the protocol for submitting that information.  Clearly the TSA is going to have to tell us how to do this job and hopefully provide guidance which will disabuse the IACs of the notion that they must ultimately reconfirm the ID of each driver who touches their freight.

Security Plans.  I recommend that motor carriers develop their own security plan distilling the essence of the TSA requirements from the sample plans provided by two or more of your customers.  Once developed and implemented, you can and should provide to your customers a certification which includes a statement concerning your compliance with training, filing for STAs, and implementation of security measures which meet TSA requirements.  Offer to provide that plan to your customer for their inspection and comment concerning any alleged deficiency with TSA guidelines.

Substantial clients and I have confirmed and reconfirmed with TSA officials that this is all you are required to do and that a regulated party (including forwarders and airlines) can accept this type of certification as acceptable compliance with its TSA obligations.  If you find a customer or TSA field agent who disagrees with the opinions expressed here, do not be surprised.  I will be happy to seek and provide verification.

Your customer is free to tell you how high a fence you must construct as a condition for doing business with it, but that does not mean it is a TSA Air Cargo Rule that you must build the fence as a pre-condition to handling that customer=s freight. 

In conclusion, after months of uncertainty, the looming TSA deadlines are causing movement at the Agency but the direction is unclear.   Hopefully together we can seek greater clarification and ultimately a secure supply chain which recognizes the practical needs of the industry.

For more information you can click here to email Henry Seaton or call 703-573-0700.



Congressman Russ Carnahan (MO-03) Sponsors Legislation to Limit Fees for Background Checks...The Professional Driver Background Check Efficiency Act, H.R. 5560, sponsored by Congressman Russ Carnahan (MO-03) establishes that (1) any fee collected in connection with a hazardous material background check should be no higher than $50 per individual; (2) the Transportation Security Agency (TSA) is authorized to reimburse states for any costs incurred in connection with a background check; (3) a driver who has already undergone and passed a hazmat background check should not be subject to a redundant check nor have to pay an additional fee; and (4) the Government Accountability Office should report to Congress on background checks similar to the Hazardous Material Endorsement background check, identify any duplicity within the systems, and make recommendations for increasing efficiencies across and within agencies. AEMCA will keep you informed on the progress of H.R. 5560. For more information click here.

TSA Final Rule Update...Training, background checks, and Security Threat Assessments (STA) are all requirements that as “authorized agents” working for the IACs the expedited trucking industry must comply with. The training requirements as set forth by the TSA states that the IAC must provide initial training for each employee and authorized representative and must provide recurrent training annually. However, the rule does not take into consideration the sheer volume of workers that both the training and the STAs affect. In the air cargo industry the expedited trucking sector plays an important role in transporting air cargo. It is the nature of the industry that the drivers and dockworkers that will be acting as authorized agents/contractors, and therefore subject to training and STAs, has historically had a large turnover. To expect a registered agent to keep all their customers informed (which could be as many as 2500-4500 IACs) informed of driver terminations and new hires isn’t reasonable and would prove a financial hardship on many small businesses, both expediting motor carrier companies and small airfreight forwarding companies alike.

To compound the problem an air freight trucker (working as an authorized agent) works for multiple IACs and the final rule does not clearly specify who’s responsibility it is to train the agents, or if each agent must be trained multiple times by each IAC. This would cause an inordinate amount of strain on the expedited trucking industry by having them spend multiple hours training, for which the agent’s company has to cover the wages during this training. If each agent has only to be trained and tested once (as long as they pass the test on the first try) that forces each IAC into the position of not wanting to train an authorized agent that other companies will be able to use and benefit from.

AEMCA proposes that IACs be allowed to enter, as part of their TSA plan approval process, private protocols which would delegate agent training and driver verification to independent contractors, which would remove redundancy, confusion and waste. As we learn more information we will keep our members informed, as well as offering a web conference session in October that will discuss all you need to know about the Final Rule.


DHS Announces Major Investment in Next-Generation Radiological Detection Equipment...The U.S. Department of Homeland Security have announced the award of Advanced Spectroscopic Portal (ASP) program contracts totaling $1.157 billion to enhance the detection of radiological and nuclear materials at the nation’s points of entry.

“This program is the latest effort in the Department’s broader strategy to enhance our nation’s security by harnessing cutting-edge technologies,” said Secretary Michael Chertoff. “This advanced equipment will greatly enhance our ability to manage risk and focus on the greatest threats, particularly those presented by nuclear and radiological elements.”

The priority is the development and testing of the fixed radiation detection portal that will become the standard installation for screening cargo containers and truck traffic. Click here for the full story.

TSA Announces Final Rule: How it Will Affect Your Business... On May 26, 2006, the Federal government’s Transportation Security Administration (“TSA”) published the new Air Cargo Rule, which is a sweeping revision to the older rules and which will impose compliance costs and burdens on air and expedited motor carriers.  The new Air Cargo Rule is scheduled to go into effect on October 23, 2006, and will impose strict new security requirements in four areas: background checks, training, secure I.D.’s, and known shipper lists. Click here for the full analysis by Douglas Wood of Seaton and Husk, LP.

What's In a Name?...The case KPX, LLC v. Transgroup Worldwide Logistics, Inc. points out the latent confusion in the vestiges of regulations dealing with “ex air” or “expedited” freight. In this case a federal judge in Arizona found an air freight forwarder liable on a cargo claim for violating the Carmack Amendment requirements applicable to regulated surface transportation.  The Judge went so far as to impose attorney’s fees under the self help provision of the Act and to assert that the air forwarder misrepresented the nature of the traffic by using a “air waybill.”  Click here for the full article written by Hank Seaton from Seaton and Husk, LP.

A.C.I. Truckers Face 9/11/06 Deadline... All motor carriers with claims against airlines or other receivable claims in connection with the bankruptcy of Air Cargo, Inc. (“A.C.I.”) have until September 11, 2006 to contribute their claims to the Truckers Trust.

The United States Bankruptcy Court for the District of Maryland confirmed the Modified Joint Plan of Liquidation (“The Plan”) agreed to between the parties on May 19, 2006.  The Plan required the establishment of a Truckers Trust, which will pursue all claims on behalf of motor carriers against airlines and others arising out of carriers’ dealings with A.C.I. or its customers.

The major benefit to all motor carriers who contribute their claims before September 11, 2006 will be to receive their share in any recoveries from airlines and others by the Truckers Trust.

Contributing motor carriers will also be released from being sued by the debtor A.C.I. under the relevant sections of the bankruptcy code.  Motor carriers who settle with airlines and do not contribute to the Truckers Trust will not enjoy the benefit of that release from suit by the debtor.  The debtor A.C.I. will continue to be able to sue carriers for recovery of any settlement as a “preferential transfer” unless carriers contribute their claims to the Truckers Trust before the deadline.

Please call the Law Office of Seaton & Husk, L.P. at (703)-573-0700 with any questions about the deadline for contribution of claims to the Truckers Trust.

Written By Douglas H. Wood, Law Office of Seaton & Husk, L.P., Douglas.h.wood@gmail.com, www.transportationlaw.net.

New Study Concludes Driver Behavior Causes Most Truck Crashes... Drivers of large trucks and other vehicles involved in truck crashes are ten times more likely to be the cause of the crash than other factors, such as weather, road conditions, and vehicle performance according to a new study released by the Federal Motor Carrier Safety Administration (FMCSA). Click here for the Large Truck Crash Causation Study.

TSA Appoints Director of Privacy Policy and Compliance... The Transportation Security Administration (TSA) today announced that Peter Pietra has been named the agency’s Director of Privacy Policy and Compliance. Pietra’s appointment, along with expanded staffing of the office, manifests TSA’s continued commitment to the development of a vigorous program that implements privacy policy, privacy awareness, and privacy compliance functions. Pietra has been with the TSA’s Office of Chief Counsel since 2003, where he served as TSA’s Assistant Chief Counsel for Information Law. Click here for the full press release.

Diesel Prices Drop, Might Increase Again Due to Hurricane Rita... The Energy Information Administration notes that "what went up, came down" when releasing this week's report showing that diesel prices dropped an average of 11.5 cents per gallon this week. Prices soared after Hurricane Katrina limited production at several refineries.

The relief may not last long, however, as another hurricane, Rita, enters the Gulf of Mexico and heads for Texas.

TSA Names Deputy Administrator.. The Transportation Security Administration (TSA) last week named Robert Jamison as deputy administrator for the agency. For the past three years, Jamison has served as deputy administrator of the Federal Transit Administration (FTA), an agency responsible for the management and oversight of the nation's subway, light rail, and bus system infrastructure. He joins the TSA at a critical point, as it conducts a top to bottom internal assessment prompted by Homeland Security Secretary Chertoff's “Second Stage Review.”

Jamison brings significant transportation, not-for-profit, and business experience to his new post. His portfolio includes work in the cargo, rail and transit sectors and more recently, he was involved in the Department of Transportation's efforts to evacuate victims of Hurricane Katrina from New Orleans.

Real Time Location Systems (RTLS) Market Expanding Rapidly... RTLS technology, which is similar to RFID except that it utilizes wireless LAN to transmit freight's location, will continue to expand as more cargo security come into effect.

Read more about the growth of RTLS here.

New Study Underscores Need for Increased Use of Technology in Supply Chain ... A new study by the Center for Strategic and International Studies in the U.S. and the Fraser Institute in Canada suggests ways for business and government to work together to broaden and strengthen supply chain security.

The author states that North American supply chains are especially tempting targets for disruption, as the high volume offers a prime opportunity for concealment of weapons. He also suggests that the increased use of technologies such as satellite tracking, wireless devices, electronic seals, and on-board sensors could provide the data required to make a supply chain information network that would pool information from all parties in the supply chain and increase security.

You can read the entire study here.

Revised Hours of Service Rules Published... The Federal Motor Carrier Safety Administration published its final revised hours of service rules. The rules remain similar to the 2003 rules which have been in effect since January of 2004.

There are three major changes to the rules:1. Sleeper Berth Provisions:

  • Continuous Sleeper Berth Provision: At least 10 consecutive and uninterrupted hours in the sleeper berth.
  • Sleeper Berth Provision: The equivalent of at least 10 consecutive hours off-duty (equivalent means at least 8 hours but less than 10 consecutive hours in a sleeper berth and a separate period of at least 2 hours but less than 10 consecutive hours either in the sleeper berth or off duty, or any combination of both).
  • Continuous Off-Duty and Sleeper Berth Provision: At least 10 consecutive hours sleeper berth and off-duty time combined and uninterrupted.
2. Operators of property-carrying commercial vehicles that do not require a CDL:Drivers operating within a 150 air-mile radius of their normal work reporting location and return to their normal location at the end of their duty are now under a separate HOS provision. These drivers are required to comply with the following:
  • The 11 hours driving, minimum 10 hours off-duty, 14 consecutive hour duty period, 60/70 hours in 7/8 days, 34-hour restart all apply.
  • On any 2 days of every 7 consecutive days, the driver may extend the 14-hour duty period to 16 hours.
  • There is no requirement that the driver be released from duty at the end of the 14- or 16-hour duty periods. The driver may continue to perform non-driving duties, which would be counted against the 60/70 hour weekly limitation.
  • Time records may be used in lieu of records of duty status (RODS).
3. 34-Hour Restart: Previously, a driver was required to be in compliance with the "60/70 on-duty hours in 7/8 days" limitation before the driver could start counting a 34-hour restart period. Now the 34-hour restart period may begin at the start of any consecutive 34-hour off-duty period.

FMCSA has compiled several resources for employers and drivers to help with compliance, which is required on October 1, 2005. You can find the resources here.

The full text of the new HOS rule can be read here.

FMCSA Looking for Suggestions to Improve Inspection Process... FMCSA published a Request for Information in the Federal Register that asks for comments on 15 specific ways that the administration might be able to improve commercial vehicle safety inspections through more thorough performance-based inspections.

FMCSA defines this as a high priority because truck traffic will increase approximately 25 percent over the next 10 years, and need for developing new innovative inspection concepts-of-operation that leverage new technologies, result in more thorough performance-based inspections is crucial.

You can click here to read the full notice. Comments on this matter are due to FMCSA by October 17, 2005. Instructions for submitting comments are included in the notice.

Government Changing Method for Calculating Freight... The Bureau of Transportation Statistics will change the way that it calculates a ton-mile in order to better understand how freight moves. The same information will be gathered from shippers and carriers, but is altering how it uses that data to calculate ton-miles. A ton-mile is equal to one ton of freight moved one mile.

The formula will be applied retroactively to freight numbers to 1980. BTS is also looking at how to speed up the reporting time between information gathering and release of the Transportation Services Index.

The latest TSI statistics can be found here.

CNN Investigates Air Cargo Security... In an investigative report released this week, CNN finds many examples of lax air cargo security, including unlocked gates to secure areas, or truck doors left open and unattended with easy access to cargo.

The report does, however, recognize the Known Shipper program as the "backbone" of air cargo security.

Click here to read the report

FMCSA Enforcing DOT Number Rules... It is reported this week that the Federal Motor Carrier Safety Administration (FMCSA) has begun enforcing the rule mandating that commercial motor vehicles must display an active, valid U.S. Department of Transportation number.

The rule affects all trucks weighing more than 10,000 pounds, all vehicles transporting hazardous materials, and several classes of passenger carrying vehicles.

All such vehicles must show the name of the carrier and the carrier’s USDOT number on both sides of the vehicle. Leased owner-operators must show the number of the carrier they are leased to.

Vehicles without one are subject to fines. For example, piloting a truck without the proper numbers in New York can result in a civil penalty of as much as $5,000.

For the 90 days after the USDOT number is issued, that number-holder is audited by government agents or private contractors. Audit topics include driver qualifications, hours of service, drug and alcohol testing, vehicle maintenance and record keeping.

See the FMCSA website for details about registration and licensing, and what is required

New Homeland Security Chief Announces Department Shake-Up... Michael Chertoff, the new head of the Department of Homeland Security, announced a new six-point plan for the Department's reorganization which includes a new focus on creating better transportation security systems to move people and cargo more securely. These changes will include a new Directorate of Policy, which will serve as the Department's single point of contact for internal and external stakeholders.

The full plan, as well as a proposed reorganization chart, can be found here.

AEMCA will keep members abreast of any changes that may affect your operations

Transportation Index Rises... The Bureau of Transportation Statistics shows that its transportation services index edged 0.1% higher to 111.7 in April. The freight index also rose 0.1% to 112.6 in April from 112.5 the previous month. Compared with last year, the overall index rose 5% and the freight index increased 4%, BTS said.

TSI is a seasonally adjusted monthly index measuring the output of services provided by the for-hire transportation industries, including railroad, air, truck, inland waterways, pipeline and local transit. Details are available at the BTS website.

Traditional Lines Between Industry Segments Continue to Blur... A new article on DCVelocity.com details the challenges faced by the industry as companies consolidate, customers demand new services from companies, and costs rise. Their solution to come out ahead? Diversify, diversify. Click here to read more.

One Step Closer to New TSA Chief... The Senate Commerce Committee last week approved Edmund "Kip" Hawley for assistant secretary of Homeland Security for the Transportation Security Administration. Considered a positive move by the industry, Mr. Hawley currently serves as a supply chain technology consultant. His background includes work in several transportation modes, including air and rail.  Earlier in his career, he was deputy assistant secretary and executive director of governmental affairs for the Department of Transportation.

Truckload Carriers Association Hosting Two Safety Audioconferences... Truckload Carriers Association is inviting industry professionals to register for a two-part audioconference on safety.

The first conference, scheduled for July 21, will address proper post-accident procedures and how to avoid common pitfalls. The second conference, being held September 29, will focus on preparation for a compliance review audit.

You may attend the conferences live, or purchase a CD-ROM and materials. Details are available by clicking here.

Aerogistics to Publish New Air Freight Service Guide... Aerogistics Worldwide, an Annapolis, Maryland, based consultancy group, announced its intentions to publish and maintain an air freight ground service pickup and delivery guide designed to fulfill the ongoing informational needs of air freight industry participants throughout the United States and Canada, as well as throughout the world.

Click here to read more.

Senator Offers Bill Providing Tax Credits for Purchase of 2007 Diesel Trucks... Oregon Senator Gordon Smith offered a bill last week that will allow for 5% tax credit to companies that purchase 2007-model year Class 7 and 8 trucks that are equipped with the new cleaner diesel engines. The bill would also allow for expensing the full purchase price of the trucks on a single year's tax return.

You may read the full text of S 1240 here.

You may use the links here to contact your senator.

House Criticizes TSA on Freight and Air Cargo Security Measures... The House Appropriations Committee report that accompanied the Department of Homeland Security's funding bill harshly criticized the department's handling of freight security issues, including the Transportation Worker Identification Card (TWIC) and background checks for hazmat drivers.

The committee cited "missed deadlines, high turnover, lack of budget justification and subversion of congressional direction" as part of its frustration with the TWIC program, and said it was "deeply disappointed" that TSA has not implemented some air cargo security measures that were mandated in the Intelligence Reform Act.

You may read the portion of the committee report dealing with TWIC and air cargo security here.

Forward Air Purchases Xpress Global Systems... Forward Air announced last week that it has purchased Xpress Global Systems' airport-to-airport operations. Xpress Global Systems is a subsidiary of Xpress Enterprises.

Xpress Global will immediately exit the airport-to-airport segment of air cargo and turn over its customer lists to Forward Air, and Forward Air will continue to serve both its and Xpress Global's customers. Click here for more.

Senator Calls for Investigation Into Delay of TWIC...
According to the Department of Homeland Security, the deadline for the prototype phase of the Transportation Worker Identification Credential (TWIC), a program to provide secure credentials to U.S. transportation workers, was extended by three months to June 30 and the cost of the prototype phase has more than doubled from $12 million to $24.5 million.

As a result of the delay, Maine Senator Susan Collins is asking the General Accounting Office (GAO) to investigate.

BearingPoint, the company contracted to develop the biometric identification card, defended the delay. Click here to read more.

AirCargo 2005 Pictures...
Pictures are available online from AirCargo2005 in San Diego, California. Click here to view.


FMCSA Issues Final Rule on Rules of Practice... In today's Federal Register, the Federal Motor Carrier Safety Administration (FMCSA) issued a final rule that amends the Rules of Practice for motor carrier, broker, freight forwarder, and hazardous materials proceedings.

The revised rules govern FMCSA proceedings that determine whether a motor carrier, property broker, freight forwarder (or its agents, employees, or any other person subject to the jurisdiction of the FMCSA), has failed to comply with applicable statutes and regulations. The rules also govern what happens if such violations are found--to issue an appropriate order to compel compliance, assess a civil penalty, or both.

You may download the new Rules of Practice (pdf format) by clicking here.


Supply Chain Consultant Nominated for Assistant Secretary of TSA... President Bush nominated Edmund S. Hawley for the position of assistant secretary of the Transportation Security Administration. Mr. Hawley currently serves as a supply chain technology consultant. His background includes work in several transportation modes, including air and rail.  Earlier in his career, he was deputy assistant secretary and executive director of governmental affairs for the Department of Transportation.

Diesel Prices Continue to Fall... The average price of retail diesel fuel fell last week for a third straight week, dropping 3.8 cents to $2.189 a gallon, the Department of Energy reports.

Diesel prices have fallen more than 12 cents over the past five weeks. The declines followed all-time record highs from late March into early April that peaked at an all-time record of $2.316 on April 11. Diesel’s drops have paralleled crude oil declines over the past few weeks.

The statistics are published on the Department of Energy's web site.

TSA Backscatter Technology to Debut by End of Year... The controversial new screening system will be tested at several airports by the end of the year. The refrigerator-sized machines help to further detect explosives and weapons being concealed by passengers.

The backscatter technology has also been tested to screen vehicles for explosives. Last year, TSA conducted the Secure Automobile Inspection Lane (SAIL) pilot program at ferry terminals in New Jersey and Delaware. In the pilot, a van outfitted with the backscatter technology pulled up alongside cars and screened them for explosives. The process is fast (averaging 33 seconds per car) and non-intrusive because it does not require physical searches.

TSA is currently researching how the backscatter technology can be used to screen trucks and cargo to help protect secure areas.

Click here to read more about the debut for airport passengers.

TSA Testing New Technologies to Control Access to Secure Areas of Airports... The Transportation Security Administration announced this week that they will begin testing five advanced technologies to enhance access control at five different airports.

Two of the test areas include barrier-free boundaries surrounding cargo warehouses. Click here to read more about the technologies and test areas.

Aviation Security Advisory Committee Holding Public Conference Call to Discuss Freight Assessment System... In a Federal Register notice, the Transportation Security Administration (TSA) announced that the Aviation Security Advisory Committee (ASAC) will hold a conference call on April 28, 2005, to receive a report from the Freight Assessment System (FAS) working group.

FAS would analyze information about shipments of air cargo in order to identify elevated risk air cargo and enable targeted screening of 100% of that cargo prior to loading it on an aircraft.

The working group's report, which includes recommendations for industry involvement in the development of the FAS, can be downloaded by clicking here (22-page pdf file)

TSA to Dismantle?... The Washington Post reported last week about major changes that are underway at TSA, and its possible elimination as a distinct entity under the Department of Homeland Security.   

(The Washington Post requires free registration to view stories online.)
http://www.washingtonpost.com/wp-dyn/articles/A35333-2005Apr7.html?sub=AR


FMCSA Administrator Speaks Out Against Mandatory Fuel Surcharges... The administrator of the Federal Motor Carrier Safety Administration (FMCSA), Annette Sandberg, testified before a Senate subcommittee last week about the effects of a mandatory fuel surcharge being imposed on motor carriers and forwarders.

Click here to read the administrator's testimony.

Highway Bill Would Mandate Fuel Surcharges... An amendment to the federal highway bill that passed the House of Representatives would set a mandatory fuel surcharge for the trucking industry. It would require forwarders and motor carriers to include a fuel surcharge if fuel prices hit a benchmark price, which the amendment set at $1.10 per gallon. From that point, the Department of Transportation would set a new benchmark each year.

The amendment is the brainchild of the Owner-Operator Independent Drivers Association, who feel it would "level the playing field" for independent drivers.

The Senate Commerce Committee now has jurisdiction over the bill.

The text of the amendment (Section of 4139 of H.R. 3) can be found here.

If you would like to contact your members of congress about this matter, contact information can be found at www.house.gov and www.senate.gov. The information for the Senate Commerce Committee is available here.

AEMCA Welcomes New Board Members!... At the annual membership meeting, held on March 7 during AirCargo 2005, three new members were elected to the AEMCA board of directors.

AEMCA's newest directors are John Conahan of Mobile Air Transport, Dave Kreigh of Towne Network Solutions, and Jeff Patterson of Atlantic Transportation Consultants. Steve Murray was elected the association's new secretary.

In addition to our newest members, existing board members Ralph Turney, Bob Serra, Rocky Wilson, Steve Murray, Jerry Schneller, and Billie Sullivan were re-elected.

Click here to see the entire AEMCA board of directors.

The membership also approved a change to the AEMCA by-laws that mandates 51% of the board members must be employed by the motor carrier industry.

Click here to read AEMCA's by-laws.

Thanks to All for a Great AirCargo 2005!... AEMCA thanks our attendees, exhibitors, and sponsors for a hugely successful AirCargo conference in San Diego.

Pictures coming soon!

Transport Security, Inc., Offers Discount Exclusively to AEMCA Members... The Air & Expedited Motor Carriers Association and Transport Security, Inc., have teamed up to offer a 20% discount to AEMCA members on the Enforcer® Roll-up Door lock, the Enforcer® Adjustable Door Lock, and the Enforcer® Air Cuff Lock. Click here to see pictures and read more about their available products and where to order them.

Transport Security, Inc., is an AEMCA member company that provides anti-theft devices to insure the security of your truck, and cargo.

List of HazMat Fingerprinting Facilities... As part of its Hazmat Threat Assessment Program, the Transportation Security Administration (TSA) now requires the collection of biographical information and fingerprints from applicants who wish to obtain a new Hazardous Materials Endorsement (HME) on their state-issued Commercial Driver's License (CDL). This requirement became effective for new HME applicants on January 31, 2005. Individuals who wish to renew or transfer an existing HME may begin submitting biographical information and fingerprints with their HME application as early as March 31, 2005, but this information will be required as of May 31, 2005.

This program does not apply to applicants for or holders of a CDL who do not wish to hold an HME.

To apply for an HME and view a list of fingerprint locations, visit www.hazprints.com.

FMCSA Opens New Public Comment Period on Hours of Service Rules... The U.S. Department of Transportation's Federal Motor Carrier Safety Administration (FMCSA) announced this week that it is re-examining their 2003 Hours of Service (HOS) rule.

FMCSA seeks input from truck drivers and operators, law enforcement officials, safety advocates and others on the HOS regulations.  Responses to the questions posed in the Notice of Proposed Rulemaking are encouraged. (Click here to download the entire notice.) The Agency also is collecting new data to provide a more complete picture of the rule’s impact on carrier operations and drivers’ health.

The HOS rules issued in April 2003 remain in effect until  no later than September 30, 2005, therefore the comment period is brief. Comments must be filed by March 10, 2005.  This rulemaking is in response to a July 2004 decision by the U.S. Court of Appeals for the District of Columbia Circuit that directed the Agency to more specifically consider the 2003 rule’s impact on the health of drivers.

TSA Issues Final Rule on Fees for HazMat Security Threat Assessments... TSA issued its final rule today establishing a fee for security threat assessments the administration is required to perform on individuals who apply for or renew a hazmat endorsement for CDLs. TSA is also establishing a fee for the collection and transmission of fingerprints and biographical information necessary to perform the assessments. The total proposed fee range is $83-$103. Click here to read the entire rule, including TSA's response to public comments received. (Click here to download in pdf format.)

AEMCA Submits Comments on Air Cargo Security Proposed Rules... AEMCA submitted comments this week to the Transportation Security Administration on their proposed rulemaking for air cargo security. AEMCA specifically asked for the Known Shipper program to be strengthened, for training requirements to be clarified, for chain of custody to be strengthened, and gaps in the supply chain to be addressed.

Click here to read AEMCA's comments (pdf format).

NCSC Launches European Chapter, Changes Name.. The U.S.-based NCSC announced this month that they are launching their first Eurpoean chapter in Brussels, Belgium, and are changing their name to the International Cargo Security Council (ICSC) to reflect the new growth. The ICSC-Europe chapter is expected to be followed by the formation of other ICSC chapters in Canada, Mexico, Central and South America, Australia and East Asia. For more on ICSC and their new chapter, please visit their website at cargosecurity.com.

ACI Files for Chapter 11 Bankruptcy... Maryland-based Air Cargo, Inc., filed for Chapter 11 bankruptcy protection in federal court in December. The company ceased its airport-to-airport trucking service last week, but says it will continue to operate as an agency clearinghouse, providing contract management, freight auditing and consolidated freight invoicing and payment services under three product lines.

Air Cargo Security Measures in Intelligence Reform Bill... Congress passed the National Intelligence Reform Act of 2004, and it has been cleared for the White House.

The legislation contains many provisions for air cargo security, including directing the Department of Homeland Security (DHS) to

  • "establish a system for the regular inspection of shipping facilities" for air cargo to "ensure that appropriate security controls, systems, and protocols are observed"
  • establish an industry-wide pilot program database of known shippers of cargo
  • conduct random audits, investigations, and inspections of indirect air carrier facilities to determine if the indirect air carriers are meeting the security requirements
  • establish a training program for any persons that handle air cargo to ensure that the cargo is properly handled and safe-guarded from security breaches
  • promulgate regulations requiring the evaluation of indirect air carriers and ground handling agents, including background checks and checks against all Administration watch lists

Click here to read all air cargo provisions in the bill.

TSA Launches Prototype Phase of New Biometric ID Card for Transportation Workers... The Transportation Security Administration (TSA) recently began testing the technology and business processes involved in the Transportation Worker Identity Credential (TWIC) Program at the Port of Long Beach Container Terminal. The Prototype will expand to 34 sites in six states and will last seven months.

Currently, many transportation workers must carry a different identification card for each facility they access. A standard TWIC would improve the flow of commerce by eliminating the need for redundant credentials and streamlining the identity verification process. More information is available at www.tsa.gov.

FMCSA Issues Supplemental Notice of Proposed Rulemaking on HOS… The Federal Motor Carrier Safety Administration (FMCSA) recently published a Supplemental Notice of Proposed Rulemaking (SNPRM) regarding the supporting documents for hours of service reporting. 

The SNPRM clarifies that motor carriers have the duty to verify the accuracy of their drivers’ hours of service (HOS) and records of duty status (RODS), and that this obligation extends to independent drivers or owner-operators who are driving for the motor carrier.  It also seeks to ensure that motor carriers collect and submit proper supporting documents from drivers, and know of the requirement to maintain supporting documents. 

The FMCSA also proposes to permit use of electronic documents in support, and sometimes in lieu, of paper records. 

The SNPRM is open for public comment until January 3, 2005.  The full notice can be read here and AEMCA urges interested members to read the rule in its entirety and submit comments.  If you have questions about this rulemaking, please feel free to contact Melissa Moskal.

TSA to Conduct First Real-World Test of Cutting-Edge Backscatter Technology… The Transportation Security Administration (TSA) has begun testing advanced explosives detection technology as part of the Secure Automobile Inspection Lanes (SAIL) test project.  The program will conduct explosives screening on vehicles boarding the Cape May-Lewes Ferry in Cape May, New Jersey.  

The 30-day test uses a mobile screening van, fitted with an advanced non-invasive screening technology called Z Backscatter.  “The SAIL prototype will test technology that can detect the presence of conventional and plastic explosives,” said Rear Adm. David M. Stone, USN (Ret.), assistant secretary of homeland security for the Transportation Security Administration.  Click here for more information.

Understanding FMCSA's Cargo Securement Rules The Federal Motor Carrier Safety Administration (FMCSA) has developed a publication to help motor carriers understand the new cargo securement rules. The booklet provides a brief discussion of the major differences between the old cargo securement requirements and the new regulations that went into effect on January 1. The booklet includes a copy of the new regulations and the Agency's Enforcement Policy Memorandum, which clarifies certain portions of the new requirements. Click here for more information.

New Hours-of-Service Extended Till September 2005... President Bush signed into law a bill providing an eight-month extension to federal highway funding.  Included in the bill is a provision to keep the current hours-of-service (HOS) rules for truck drivers in place for up to one year. The law makes any decision concerning the stay by the United States Court of Appeals for the District of Columbia Circuit irrelevant. The new hours-of-service will remain in effect until either the Federal Motor Carrier Safety Administration (FMCSA) issues new rules or September 30, 2005, whichever is earlier.  Click here for more information on the Federal Motor Carrier Safety Administration's position.

Customs and Border Protection Announces the FAST Driver Card... The Required Advance Electronic Presentation of Cargo Information issued by U.S. Customs and Border Protection (CBP) informed truck carriers when they will be required to transmit advance electronic information to CBP regarding cargo they are bringing into the United States. These regulations, detailed in 19 CFR 123, specify that truck carriers carrying Border Release Advanced Screening and Selectivity (BRASS) merchandise may only utilize drivers who are registered under the Free and Secure Trade (FAST) program and carrying a valid FAST Driver Card. As of November 15, any BRASS shipment that is not being hauled by a FAST registered driver will be denied entry into the United States.  Click here for more information on FAST and to download a FAST application.

FMCSA Announces a Series of Public Listening Sessions... The Federal Motor Carrier Safety Administration (FMCSA) has announced a series of Public Listening Sessions to solicit input on ways the FMCSA can improve its process of monitoring and assessing the safety of the motor carrier industry.  FMCSA is calling this effort the Comprehensive Safety Analysis 2010 Initiative.  The FMCSA is looking for ways to improve monitoring of motor carriers, to make agency processes more efficient, and to expand its enforcement and compliance reach in the regulated community in order to improve FMCSA's ability to meet its goal of significantly reducing crashes, fatalities, and injuries involving large trucks and buses.  Click here.