US regulators say case of Northeast LTL carrier still 'open'
William B. Cassidy, Senior Editor | Jan 05, 2016 5:56PM EST
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Credit: jimh721
Hundreds of employees at Land Air Express of New England entered their second idle week, as the company waits for a green light to resume freight operations from the Federal Motor Carrier Safety Administration. Customers were forced to scramble to find alternative tractor-trailers when the FMCSA ordered the regional less-than-truckload carrier
out of service Dec. 29.
The company’s president on Monday said he hoped Land Air Express of New England would be back on the road shortly, but did not have a date. “We’re waiting to hear from them,” William Spencer told JOC.com. The company’s drivers, meanwhile, are waiting to hear when they can return to work. Many of them are turning to online forums to share information, and their anxiety.
Land Air Express of New England, an $83 million company in 2014 with more than 300 trucks, is one of the largest trucking companies ordered off the road by the FMCSA, but it’s not alone. The truck and bus safety watchdog shuts down hundreds of “unfit” companies a year, and most of those shutdowns go unnoticed, unless the out-of-service order follows a fatal accident (Land Air Express of New England has not been involved in any fatal crashes during the past two years, according to FMCSA's Safety Measurement System data.)
In the last full fiscal year for which data is available, 2014, the FMCSA
ordered 878 truck and bus companies off the road after determining they were unfit to operate and proposing an unsatisfactory safety rating — which is what happened to Land Air Express of New England. (Under Part 385.13 of the federal motor carrier safety regulations, an “unsatisfactory” carrier cannot operate commercial vehicles.)
That 2014 figure represents a 14 percent increase in unsatisfactory/unfit out-of-service orders from fiscal 2013, though the number of OOS orders issued has declined from highs reached during the recession. Figures for the first three quarters of fiscal 2015 showed a decline in the number of "unsatisfactory" companies closed by the FMCSA, with 628 orders compared with 661 in the same period the previous year.
But for a missed deadline, the shutdown at Land Air Express of New England might not have happened. The FMCSA said the Williston, Vermont-based carrier failed to respond to its proposed “unsatisfactory” safety rating within 60 days. Federal rules stipulate carriers must be put out of service on the 61st day. The deadline fell on Dec. 29.
Spencer said the company sought an extension but was told FMCSA did not offer them — a fact the agency confirmed. The FMCSA stopped granting such extensions after a passenger bus company operating under one was involved in a fatal accident in 2011. However, the FMCSA considers Land Air Express of New England’s case “an open investigation.”
“The company can still appeal or contest the proposed safety rating,” the agency spokesperson said. In addition, if the company demonstrates it is making a good-faith effort to improve its safety fitness, FMCSA could allow the carrier to operate an additional 60 days, potentially enough time for a trucking company to get a fresh audit and an improved safety rating.
That’s Spencer’s hope. He said Land Air Express of New England has addressed the issues that led to a proposed unsatisfactory safety rating. “We submitted to them what they needed through J.J. Keller (& Associates),” a third-party regulatory compliance consulting firm. As the investigation is still "open," the issues that led to the proposed safety rating have not been disclosed by the company or the FMCSA.
On Monday, Spencer said he hoped the FMCSA would act early this week. For the company's drivers and other employees, its customers and carrier partners, that stop light can't change to green too soon.
Contact William B. Cassidy at [email protected] and follow him on Twitter: @wbcassidy_joc
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