According to the Federal Motor Carrier Safety Administration (FMCSA), safety audits are “designed to ensure that carriers have safety management controls in place to ensure compliance with the Federal Motor Carrier Safety Regulations (FMCSRs), Hazardous Materials Regulations (HMRs), and related record-keeping requirements.” In other words, they serve as a sort of stress test for compliance programs.

Would your DOT compliance program pass the test? How would your program fare in an FMCSA safety audit or civil litigation due to a serious injury or fatality accident? Carriers often underestimate the consequences of non-compliance until it is too late.

Several of our clients initially worked with us because they were facing compromised safety ratings after a safety audit. In one client’s case, they received an unsatisfactory rating and an out-of-service order after their new entrant compliance review. They were required to immediately cease all operations, resulting in a total loss of revenue. After several months of failed communication with the FMCSA, they reached out to Quigley TMS for assistance. Within three months, we were able to help them restore their for-hire operating authority and get the unsatisfactory safety rating removed, enabling them to resume interstate operations.

Another client received a conditional safety rating after a focused compliance review. The conditional rating resulted in an estimated 40% decrease in revenue as brokers refused to provide them with loads. Within 60 days of contacting Quigley TMS, we were able to help them get their safety rating upgraded from conditional and they were able to return to normal operations.

These clients are not alone. Many carriers face the same difficulties because they are overwhelmed by all the other aspects of running a business or they simply do not have experience navigating the complex, often confusing FMCSRs.

As illustrated in these examples, failure to comply with the FMCSRs can have serious effects on a carrier. And, in addition to fines, significant loss of business, and decreased revenue, non-compliant carriers are at risk of significant civil penalties from lawsuits brought by those affected by injury and fatality accidents involving the carrier.

Consider your own operations. As a carrier, if you are facing a safety audit or one of your vehicles is involved in a serious injury or fatality accident, are you prepared to answer the following questions?

Do you place profits over safety?

Are you and your employees following each company policy that has been adopted?

Have you properly trained every employee to perform their job responsibilities and have a method to ensure that they are competent in doing so?

Have you properly vetted each driver?

Have you invested in safety technology to ensure that your fleet is operating safely?

Are you managing the data provided by your ELD and other safety technology or ignoring it due to limited time and/or resources?

Will your employees confirm your answers to all the above?

If you either cannot answer or cannot defend your answers to those questions, you may have a serious compliance problem. One accident could result in significant disruption to your business or even bankruptcy.

It is an unpleasant reality, but as the saying goes, “ignorance of the law is no excuse.” If you are not sufficiently versed in the FMCSRs or staffed appropriately to comply with them, consider seeking assistance. The money you spend on proactive compliance management will be a fraction of what you would spend to defend a claim of gross negligence, not to mention that you may potentially save lives by preventing an accident from occurring.

At Quigley TMS, we understand that compliance can be a significant pain point, both when ensuring compliance and when handling issues that arise from non-compliance. We pride ourselves on being in the pain-relief business and helping our clients operate confidently in the knowledge that their business is protected and that they are protecting the public.

There are many knowledgeable transportation consulting firms that can assist you with ensuring that your programs are compliant. Reach out to one today to help ensure your compliance program will pass the test.

The Commercial Vehicle Safety Alliance (CVSA) has set May 4-6 as the dates for this year’s International Roadcheck. Over that 72-hour period, commercial motor vehicle inspectors in jurisdictions throughout Canada, Mexico, and the U.S. will conduct inspections on commercial motor vehicles and drivers.