Wednesday, November 6, 2002

Sleep apnea not as prevalent as previously reported

The Federal Motor Carrier Safety Administration (FMCSA) of the U.S. Department of Transportation says a new study shows sleep apnea is not as prevalent in truckers as previously believed. The FMCSA became concerned six years ago when a report indicated that 78 per cent of commercial truckers had sleep apnea.

The findings of the joint FMCSA and American Trucking Associations study reveals of the three levels of sleep apnea -- mild, moderate and severe -- it is estimated that only 4.5 to five percent of truckers have severe sleep apnea (30 or more apnea episodes per hour). The research also indicates that those with mild to moderate apnea generally do not lose enough sleep to adversely affect driving.

According to news reports, Ron Knipling, FMCSA's Division Chief of Research said "FMCSA has an extensive program regarding truckers' fatigue and performance in general. We are currently formulating a program to educate drivers and industry management about sleep disorders such as OSA and continue to advocate medical screening and treatment for the disease. If a person has been diagnosed with OSA, FMCSA doesn't consider them qualified to drive until they have received treatment and their condition is under control."

Rand McNally new carriers' Road Atlas focuses on security, hazmat

Rand McNally, the world's premier provider of mapping, routing and travel solutions, released the new 2003 Motor Carriers' Road Atlas with expanded information on hazardous materials regulations. The extra information is a response to recent security concerns affecting the commercial transportation industry.

In the new 2003 Motor Carriers' Road Atlas, the hazardous materials (hazmat) section highlights and explains regulations from the U.S. Department of Transportation's Research and Special Programs Administration and Office of Hazardous Materials Safety. The section is expanded to three pages in a re-designed, easy-to-read format. The new information covers:
· Registration
· Training
· Classification of materials
· Shipping papers
· Labeling and marking requirements, including new placard images
· Spill procedures and reporting
· Hazmat resources, with telephone numbers and Web sites

"We work hand-in-glove with truck drivers to understand their need for accuracy and efficiency on the road," said Michael K. Hehir, president and CEO of Rand McNally. "Due to heightened security concerns, it was vital to include more security and Hazmat information in the 2003 edition."

Other features in the atlas include a new fuel tax rate chart. A U.S. state and Canadian province contact directory has been put into an easy to read chart as well, featuring information on vehicle registration, operating authorities, state police, overweight and oversized loads, and radioactive materials.

The web site www.mcra.randmcnally.com has more details on Hazmat resources, plus fuel tax updates from the International Fuel Tax Association, current road construction, federal agencies requirements, federal bridge gross weight formula and area code maps.

Beyond the new security related material, the 2003 Motor Carriers' Road Atlas includes thousands of map updates as well as major road changes. Here are some changes in the new edition:
- Arizona: The Scottsdale section of Loop 101 was completed and now the entire Loop 101 is open around Phoenix.

- California: New exit numbers on the maps. California is installing exit numbers on freeway exit signs.

- Florida: Re-numbered exits on highways. Plus the Central Florida Greeneway Loop has been completed around Orlando.

- Michigan: U.S. 27 through central Michigan was re-numbered to U.S. 127.

- New York/New Jersey: The maps have more detail of Newark and the New York City metro area, including lower Manhattan and the boroughs.

For truckers using software products, the map page and locator grid references in the 2003 Motor Carriers' Road Atlas cross-reference Rand McNally RouteTools™ products and MileMaker® and IntelliRoute® software.

Rand McNally offers basic and deluxe versions of the 2003 Motor Carriers' Road Atlas. The basic edition has a suggested retail price of $19.95. The deluxe edition features heavy-duty, laminated pages that enable easy on-page route marking, a stay-flat spiral binding, and has a suggested retail price of $79.95. The 2003 Motor Carrier's Road Atlas is available at major truck stop chains, Rand McNally Map & Travel stores or at www.mcra.randmcnally.com.

Stockbridge town officials shocked over mass roadkill grave

In a story ready made for a possible sequel to Stephen King's "Pet Semetary," the discovery of a mass grave for roadkill in the median of the Massachusetts Turnpike has outraged officials in the community of Stockbridge. Stockbridge town fathers want to know why their picturesque village was chosen.

According to the Associated Press, town officials said they were unaware that the broad, wooded median held about 4,000 carcasses of animals killed along the roadway. Until two months ago, the site has apparently been in use since the turnpike opened in 1957.

``I want to know why the Turnpike Authority would drive dead animals 50 to 100 miles to dump them in our town,'' said J. Cristopher Irsfield, who chairs the Board of Selectmen in Stockbridge.

AP reports at the Monday night meeting of the town officials, selectmen told their attorney to research the disposal site's legality. Engineers are currently evaluating any damage that might be done to the protected wetlands that surround the massive grave. Town officials say the grave is 300 feet long, 150 feet wide and 45 feet deep.

``It's simply wrong to say that you can toss hundreds or thousands of animal carcasses into a dump, an uncovered dump, and say that's the end of it,'' said Selectman George Shippey, who also serves on the town Conservation Commission.

The pike officials don't believe they've done anything wrong. Since the practice ended two months ago, the smashed carcasses of deer, bear, moose and other animals have been carted off the road and into the nearby woods where they can be eaten individually by scavenger animals. However, published reports say incineration is also being considered

OOIDA's Board approves class action suit against Landstar System Inc.

Nov. 1, 2002, Grain Valley, MO - On Nov. 1, the board of directors of the Owner-Operator Independent Drivers Association, Inc. (OOIDA) approved the filing of a lawsuit against Landstar System Inc. and its operating companies: Landstar Express America Inc., Landstar Gemini Inc., Landstar Inway Inc., Landstar Ligon Inc., Landstar Logistics Inc. and Landstar Ranger Inc.

Joining OOIDA in the suit are OOIDA members and current and former Landstar truckers, G.L. Brewer, William D. Cunningham, Gerald E. Eidam, Jr., Carey R. Laue, James E. Michael, Robert Penman and James E. Schmidt. The class action suit charges Landstar has been violating the federal truth-in-leasing regulations in three different ways.

First, OOIDA is seeking refunds of alleged overcharges for fuel Landstar buys from truckstops when owner-operators use their Comdata-issued fuel card. The OOIDA suit alleges Landstar obtains a significant discount on those transactions and only passes on a portion of that discount to the drivers. The suit also alleges that Landstar imposes excessive chargebacks for fees charged to them by Comdata. OOIDA is also seeking refunds of alleged overcharges for base plates and permits that the company obtains on behalf of owner-operators.

Finally, OOIDA is seeking refunds of chargebacks to or reductions from compensation for costs charged by U.S. Bank on Department of Defense shipments. The Department of Defense requires all motor carriers hauling its shipments to obtain the payment through U.S. Bank's Power Track payment system. The complaint alleges Landstar reduces the rated freight bill by two percent for this cost before it calculates owner-operators' compensation even though it is charged only one percent by the bank for most of these transactions. Since these deductions are not shown on owner-operator settlement sheets nor mentioned in owner-operator leases, OOIDA believes they are fully recoverable as undisclosed chargebacks or undisclosed reductions in compensation under the truth-in-leasing regulations.

Landstar and its operating companies employ over 8,000 owner-operators.

Landstar's share price fell recently on word from its Chief Executive, Jeff Crowe, that the company was having difficulty recruiting and retaining owner-operators. Jim Johnston, president of OOIDA, says "We believe the difficulties carriers claim to have in recruiting drivers are more a result of the discriminatory treatment owner-operators are subjected to by these companies. Business practices that unfairly take advantage of owner-operators are continuing to drive increasing numbers of experienced, quality truckers out of the industry."

Commenting on OOIDA's aggressive position in the courts towards motor carriers, Johnston said "the purpose of this and other suits against motor carriers is to correct these practices and to promote greater compliance with the federal regulations. When unscrupulous companies cannot subsidize their profits at the expense of its owner-operators they will have no choice but to raise rates to profitable levels or go out of business." OOIDA is currently engaged in lawsuits with a number of major motor carriers over alleged violations of the federal leasing regulations. Among these are C.R. England, Swift, Prime, Heartland Express and Mayflower.

Founded in 1973, the Owner-Operator Independent Drivers Association (OOIDA) is comprised of more than 86,000 owner-operators, professional drivers and small business truckers from all 50 states and Canada. OOIDA represents the interest of this nation's more than 350,000 small business trucking professionals in the legislative and regulatory processes at both federal and state levels.

OOIDA goes after former Burlington executives: files class action suit over breach of fiduciary duties and misuse of escrow accounts

Nov. 1, 2002, Grain Valley, MO - For the first time, the Owner-Operator Independent Drivers Association (OOIDA) has filed an independent lawsuit against individual officers of a bankrupt carrier in an attempt to recover owner-operators' escrow funds.

On Oct. 31, OOIDA filed a class action in the Hamilton Circuit Court (Hamilton County, IN) against former Burlington Motor Carrier Inc. executives Thomas Grojean, Terry Wallace, W. Andrew Berry, Jeffery Collier and Brian Gast. Joining OOIDA in the suit are three of its owner-operator members, Tom Bays II, Richard Bolduc Jr. and Mark Neff.

Burlington filed for voluntary reorganization under Chapter 11 of the United States Bankruptcy Code on July 9, 2001 only months after OOIDA filed a lawsuit in U.S. District Court in Indiana, claiming violations of the federal truth-in-leasing regulations. OOIDA pursued its original complaints in the bankruptcy court. However, in May 2002 the Daleville, IN, motor carrier converted the bankruptcy to a Chapter 7 proceeding and ceased operations, having used up all funds in its possession, including owner-operators' escrows.

The new suit filed against the Burlington officers alleges that the owner-operators' escrow funds held by the company were never returned to them. Furthermore, it alleges that the escrow funds were used by the company's management to cover the general obligations of the company, including their own compensation, instead of being preserved and returned after termination as required by the federal leasing regulations. In doing so, it is alleged that the officers of the company breached their fiduciary duties as trustees of those escrow funds as well as the fiduciary duties that arise where the corporation is insolvent or operating in the zone of insolvency.

OOIDA has already established in the courts that such escrow funds are held in trust and, accordingly, are not part of the bankruptcy estates of failed carriers. The class action seeks monetary relief in the form of the return of all escrow accounts and interest to all potential members of the class.

"We have said all along that we have no intention of walking away from these types of actions simply because a carrier and its management choose to hide behind bankruptcy," says OOIDA President Jim Johnston. "Where federal leasing regulations have been violated at the expense of owner-operators, we are determined to pursue those companies and, if need be, their individual corporate officers, who engage in this kind of abuse."

He added, "Corporate executives are in a position to have knowledge of, and active involvement in, such unlawful business actions. They would also know before anyone else the financial difficulties that their company is in and therefore cannot continue to recruit owner-operators and collect escrow accounts from those drivers without protecting those funds."

Diesel prices decline for second week

According to figures released by the U.S. Energy Department Nov. 4, the national average cost of diesel dipped to $1.442 a gallon from last week's average of $1.456.

The highest prices nationally are in California, where the price this week is $1.549, the same as last week's price. The lowest average prices this week were in the Lower Atlantic and the Gulf Coast regions, where the average price is $1.394.

The remaining regions' price-per-gallon is as follows: East Coast, $1.432; Central Atlantic, $1.508; Midwest, $1.441; Rocky Mountain, $1.502; and the West Coast, $1.521, respectively. The Department of Energy reports the average price of self-serve each week. Prices are based on a survey of 350 diesel service centers nationwide and include taxes.