QuestionHi.I live in Colorado and i am going to get in to outshooting,already have a 1 ton truck and getting a trailer,now out side of getting the insurance and dot numbers.what else should you get,,,was going to buy a semi but not at thins time,thank you Mike
Answer***MY COMMENTS ARE BASED ON THE ASSUMPTION YOU'LL BE TRANSPORTING OTHER PEOPLE'S NON HAZARDOUS FREIGHT (NO PASSENGERS) INTERSTATE FOR COMPENSATION/HIRE AND THE INFORMATION YOU PROVIDED IN YOUR QUESTION***
When transporting interstate freight for hire and the vehicle(s) or combination of vehicles used has a combined GVWR (CGVWR) of 10,001 lbs or more, they are defined as a Commercial Motor Vehicle (CMV). The CGVWR rating may be determined by adding the GVWR of the truck and trailer. The GVWR is found on the door jamb decal of the truck and the vin decal of the trailer. Please note this is different from the weight of your loads; the combined weight of your truck, trailer, and load; and your registered or plated weight.
Go to FMCSA websites at http://www.fmcsa.dot.gov/registration-licensing/online-registration/onlineregdes... and http://www.fmcsa.dot.gov/forms/print/r-l-forms.htm for starters.
You'll need to register with FMCSA as a motor carrier by submitting an MCS-150 to obtain your US DOT number (no charge) and an OP-01 form for your authority ($300) to transport interstate freight (MC#). This can be done on line at https://li-public.fmcsa.dot.gov/LIVIEW/PKG_REGISTRATION.prc_option
You'll have to have a process server file a BOC-3 form ($35-$75). Once your numbers are published in the FMCSA database as pending, you'll likely be inundated with companies that want to provide this service. It should be a one time fee.
You'll have to obtain a minimum of $750,000 BIPD (commercial motor carrier liability) insurance and cargo coverage of at least $5,000. In reality your cargo insurance needs to be sufficient to cover the value of any load you may haul. If you transport flammable fuel powered vehicles (motor vehicles), you'll need $1,000,000 BIPD. Your insurance company will need to file a BMC-91X Filing. A BMC-91X filing is a document submitted to the Federal Motor Carrier Safety Administration (FMCSA). Like a BMC-91 filing, it guarantees the FMCSA that you have enough Liability insurance to cover the increased risk of transporting goods or people across state lines. Once your insurance is effective, request a copy of your MCS-90 to keep in your company records and also one to carry in the truck at all times.
It varies from state to state, but you'll likely need to file your DBA which is your company name, with your base state. Generally, it is filed with the Secretary of State or the Department of Revenue. You'll need to check with Colorado DOT for any unique state filing requirements.
You'll need to register under UCR. The web address for that is http://www.ucr.in.gov/ This is an annual fee and is dependent on the number of trucks and trailers you register. For one truck and trailer the fee will be about $40 for authorization to run all the participating states.
Your truck and trailer will have to have a US DOT CMV inspection annually. Some state inspections qualify, however it is generally better to just get a US DOT certified inspector to do it.
If your combined GVWR of the truck and trailer is 26,001 lbs or more and you run two or more jurisdictions (states or DC), you'll need to obtain apportioned plates and register IRP/IFTA for fuel tax reporting. IFTA requires a quarterly report of all the miles traveled in each state and payment of fuel taxes. These taxes are then apportioned to each state according to where they were traveled.
If your combined truck & trailer GVWR is 26,001 lbs or greater, you'll need a class A CDL and a drug screening/test program. The drug test program requirement can be satisfied by subscribing to a drug testing consortium. OOIDA and many others have programs or affiliates that provide this service. The cost will likely be $150 to $350 per year. If a CDL is required, you'll need a pre employment drug screening test before you can legally drive a CMV.
You'll need a driver's physical exam and you must carry the documentation with you at all times when driving a CMV.
There are additional items you'll need to carry for your emergency equipment....to name a few, spare fuses; warning devices such as florescent orange triangles or flares; and fire extinguisher. The truck must be marked or lettered with specific information, i.e., registered weight; company name; US DOT number, etc.
You'll be required to have knowledge of and access to the FMCSA regulations. You must adhere to the Hours of Service regulations and maintain a logbook. Other administrative materials needed will be bills of lading, etc.
One important thing to understand and remember is that as a US DOT registered motor carrier (owner-operator), you wear two hats. The first and foremost duty is as a motor carrier company owner. This requires that you maintain specific company records and programs. As a new entrant, you can expect to have an audit within the first few weeks after your authority becomes active. The second duty is as a driver. Both are subject to federal and state regulations. In some situations, you can be penalized twice for the same violation. Once as the driver and again as the motor carrier company.
Beyond your initial capital investment in your truck and equipment, insurance will likely be your greatest expense to get started. I can not over emphasize the importance of getting quotes for insurance before you progress too far. It can be cost prohibitive and in some cases almost impossible to obtain. Among other things, depending on your age & experience; location; driving record; and the distance you travel from your base, you can expect to pay from (strictly general estimates) $4,000 to $15,000 per year for minimum coverage.
This isn't intended to be all inclusive of everything you'll need and need to do, but just a few of the fundamental things to get you started doing the research. Please feel free to ask additional specific questions as you may want or need to do.
Good luck and thanks for the question....
.....Don
