Operating with Own Authority FAQ

sure. google it.
otherwise you can call OOIDA. they do that stuff as well or get the Trucker News at the truck stops and there are several ads in the back for it.

 

If you want someone else to handle all the paperwork (and obviously pay a premium for it), call OOIDA. There's a lot of other groups out there.

But, if you can't negotiate the paperwork involved, getting your own authority may not be for you. I just got my authority last month and am driving now. There is a lot, lot, lot of paperwork involved than working for or leasing your truck onto another carrier.

You have to keep up with it all. So you might as well start with the paperwork that gets it all started.

There's a very well written post on this board about what you need to do.

In a nutshell (and google these to get the links, phone numbers, etc):

1. Get a USDOT Number (they're free)
2. Next, apply for your authority through the FMCSA (call them and they'll walk you through it, this is $300 and it takes a while after you apply for it)

Now, you'll have some time to work out some logistics. You don't need insurance immediately, but you'll need in order for your authority to go final.

3. File your BOC-3 Process Agents (OOIDA does this for free for you if you're a member)
4. Get your insurance ($1m BIPD, $100k cargo minimums) Once the gov't gets it, you'll get your authority permit. OOIDA can (for a $25 fee) email you the form the moment it's in the system, rather than waiting for the delay of the government mailing it to you. Well worth it.

Now, here's the fast and the furious:

5. Sign up for UCR (Unified Carrier Registration), it's $76 for a one-truck operation a year.
6. Pay your Tax Form 2290 (Heavy Vehicle Usage Tax) at an IRS office and get the form stamped 'PAID'. This costs $550 for any vehicle over 55k pounds.
7. Take that form and all other paperwork down to an IRP office in your state to register your truck. If you owned your truck under another authority you will need your previous carrier to give you your fuel-mileage reports for, most likely, July 1-June 30 ending last June. You need this in order to satisfy the mileage report for your base plate. If you're buying a new truck, you can estimate with basic mileage rate for your first year.

Your plates are based on the percentage of all miles driven in each state. You then take that percentage and apply it against the cost of a plate in that state. So, your plates fluctuate every year unless you always ran the exact same route and never deviate for two straight year. You may have to pay a full year, you may only need to pay a partial. I had an 8-month partial and paid just under $1200. For a whole year, you could be anywhere from $900 to $3,000+ depending on what your mileage report shows if you already own the truck.

And a quick thing about the IRP, call ahead and ask what paperwork you'll need. They want proof of residency. Make sure you have it before you drive. Get there early in the day, they sometimes can do same day service. I had to wait a day to get my plates.

Now, you have a DOT#, MC# (your authority), UCR, your IRP (cab card/registration/base plate), your insurance, your BOC-3 (process agents).

You're still not quite there yet.

You need to sign up for an IFTA account to handle fuel tax. If you don't understand how fuel taxes are paid, you better read up. For instance, $3.80 in Illinois is a better price than $3.70 in Missouri, for example. Anyways, the account is free and they'll fax you a 30-day temporary permit while you wait for your stickers to arrive in the mail.

And, if you're reading this far: sign up for an email account strictly for your business. Sign up for an internet fax service (I use one that's $8/mo for 500 pages and $0.03/page after that). You can send/receive faxes from anywhere you have the internet. Make sure you have a laptop, printer, cell phone, air card, etc if you intend to be in your truck for a while. A lot cheaper than dealing with truck stops for those services (a $100 printer pays you back in no time out on the road compared to truck stop prices).

Now, back to what else you need.

Next, you need drivers, namely 'you'. You need a driver qualification file (OOIDA has a template ready to go for you for a fee, but the info is available on the FMCSA website). You need to submit an application for yourself. You need to contact your previous trucking related employers for the past ten years to get drug/alcohol test results.

You need to enroll in some type of drug testing consortium to comply with the rule that 10% of your drivers must be randomly tested every year. CMCI through OOIDA is $100/year and that's who I went with. There are others. Make sure they're FMCSA compliant.

Next, go get a pre-employment drug screen done at a clinic (probably around $50). You need a copy of those results in your driver qualification file. Along with your previous employer's test results.

Still not done yet. Make sure you have a current physical (and the long form). Your current carrier should be able to email/fax you a copy if you don't have it in your possession anymore.

Next, your trailer. If you already have one, great. If not, you need one. Cash, loan, etc. Get it, plate it. Plates for trailers vary by state. In Ohio it's about $50 a year to register a trailer. There's nothing special about it, the power-unit is paying all the taxes, really.

Next, put your name on your truck. The company name and the USDOT # are required to be visible in contrasting colors (generally, at least 2" high lettering). Some states want the last eight of your VIN (Colorado, mostly) on your truck. Your MC# and KYU# (we'll get to that) don't need to be posted on your vehicle.

Next, go get your vehicles inspected under your new authority to show they've been done.

Now, four states present issues: Oregon, New Mexico, New York, and Kentucky have weight-distance permits.

NM and KY are annual and the easiest to deal with getting. KY's is a one-time thing. New York renews in 3-year blocks. Oregon is extremely expensive to do by yourself and unless you live up there or plan on driving through there OFTEN, it's not worth getting. A trip permit is available for 10-days that bypasses all the requirements.

Now, while you're finishing all this up, start arranging where you'll get freight. You're a "New Entrant" and a lot of places won't want to do anything with you. Just be reliable. And do not take cheap freight. Run the numbers. If you can't make the money you want to make, don't run the load.

Next, how will you get paid? If you're dealing with brokers, they usually have quick pay options. Otherwise, it can take awhile to get your money. You can factor your loads. I haven't signed up for one. Thought about it, but just not that interested. Most factoring services charge equal or more than what the brokers charge for quick pay.


If you just want to pay someone else to do the work, you're not getting off on the right foot when it comes to working for yourself.

And be prepared for the phone calls. Endless, endless phone calls.

 

http://www.fmcsa.dot.gov/registration-licensing/registration-licensing.htm

 

There is also the option to be a power only carrier for a large fleet like Werner or JB Hunt.

 

Dont use Coast to Coast Services out of Oklahoma city/Yukon,Ok. unless you like waiting forever to get your paperwork, plates ect...... They said they were gonna overnite my plates and authority paperwork before the easter weekend, well they were inept at their job and didnt do it. so i lost out on a great paying load. Just very unhappy with their performance.