Overdrive

April 2017

Overdrive Magazine | Trucking Business News & Owner Operator Info

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Voices 4 | Overdrive | April 2017 Trucking "runs in the family" of Scott Reed of Lima, Ohio. The 32-year-old has been at it for more than a decade himself, today leased to Ohio Transport and pulling a van with his 2005 Peterbilt 379 extended hood. Reed is one among many own- er-operators around the nation who've taken the sentiment ex- pressed in the poll shown here – the certainty of so many that the electronic logging device mandate represents a significant threat to profitability if nothing else changes – directly to their legislative repre- sentatives. In early March, Reed was party to a meeting in the Lima office of U.S. Rep. Jim Jordan, an influential mem- ber of the House Freedom Caucus of conservative Republicans. The meeting came about from Reed's prior engagement with Jordan fol- lowing the 34-hour restart change. With this latest effort, Reed says he reached out to Jordan's schedule coordinator early this year about the coming ELD mandate. Reed proposed to bring together "differ- ent folks from different parts of the industry for a sit-down." Principle in Reed's concern over ELDs is how the industry's opera- tional economics for independents have developed over the years amid a flawed hours of service rule. If not changed to allow greater flexibility — whether more options to split the sleeper berth or otherwise liberalize the rigid 14-hour on-duty maximum — Reed and others believe the hours rule could spell an even more bitter pill for many an independent once the e-log mandate takes effect. Reed asked Delaware-based for- mer owner-operator and consultant Richard Wilson to come to the meet- ing, having gotten to know him as a particularly effective communicator on the concerns of small carriers and independents. "We had a good meeting with Jordan," Wilson says. "We gave them our data on increased costs with ELDs, and basically brought up that the root cause was an unworkable hours of service rule that needed to be redirected." Parties with different views also were there, including representatives from larger local carriers. A repre- sentative from the Owner-Operator Independent Drivers Association also attended. Reed stressed that, generally, what carriers of all sizes were staring down with the ELD man- date would be "more trucks to do the same work, which equals more congestion" and more accidents. He attempted to quantify the indus- try-wide revenue hit that could be represented by missing a load a week per driver, a figure he'd heard from others after their own e-log transi- tions. "$112 billion in losses is what I came up with for a rough average," Reed says. "At this point in the game, I can't afford to lose a load A full-court press over ELDs, hours Opposition to the ELD mandate among Overdrive's audience of independent owner-operators is driven partly by the perception of lost income as a result. Count Scott Reed, pictured, among those who expect income to suffer. However, the report- ed reality for those who've already made the e-log switch isn't nearly as drastic as what's feared. Income and ELDs: How will (or did) switching from paper logs impact your business income? Source: OverdriveOnline.com poll THOSE WHO HAVEN'T SWITCHED EXPECT … THOSE WHO HAVE SWITCHED SAW … No income effect 2% A positive income effect 5% A negative income effect 93% A negative income effect 44% No income effect 39% A positive income effect 17%

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