CARB and Brokers

Even if it takes killing you with logic, I'm here to help.

PS: Just got my glasses refilled on the internet and saved a ton of money vs the eye doc. The rose color option is only available in California. The call center guy that I asked about them says he really likes his. When he used them to look at his screen, he said they are due in any day and will cost less to ship to me than the ones I like (dark and gloomy). They also will not harm any trees, cause cancer, steal candy from babies, or crush cute puppys or kittens.

 

lol..........

 

The only thing i have ever seen CA business try to reduce is the inventory. They have been doing that for years via Reno and Vegas. Can't think of one large grocery chain that doesn't store long term items there. As far as Yuma shipping produce to Salinas,they were cutting that 4-5 years ago. Always a lot of reefers in Phoenix that will haul cheap before everything moves south and the rates go up. In the split season it's no problem to get them to PU north and make the finals in Yuma.(or vice versa)

I have yet to hear of any manufacturers that are concerned about CARB(as far as transportation),plenty of compliant carriers there. The only ones in a panic(as such) are those with old equipment.

 

I tend to suspect that the rate increase is artificially tied to CARB compliance and assumed this would be coming. With that volume of freight that travels into, out of and around in CA, I would think the majority of it is moved by mega carriers as a percentage of the whole. They are already CARB complaint. The implementation of enforcement however gives them reason to go to the shippers with rate increases albeit they are not really impacted by it.

Of course the little guys are impacted by it and that has and will continue to have an impact on capacity. I think the mega carriers are ready to fill it though so its more capitalizing on the situation. I think 1/1/2014 is going to have more impact though because that's when '06 motors come off the road, pre-'05 trucks cut off and the first year requirement for those with the small fleet exemption need to either have one truck compliant or their non-compliant trucks lose status. Combine that with a year of reality setting and enforcement in 2013 and 2014 will have a lot to talk about.

I've seen a lot of 10 to 20 truck carriers in CA scoop up MC numbers and divide their fleets into a bunch of little fleets that meet the small fleet exemption. That buys them another year or two but their day is coming.

I agree that its information brokers can use as well but by the way the fines work, they have to.

 

now from second hand knowledge (so don't flame me too bad if im incorrect) i don't run Cali and have no plans to ever so i haven't kept up with the carb laws too much. other than seeing some good deals lately on non compliant equipment out of the west coast. but anyhow i have heard if you have a pre 95 truck it is exempt from carb law as it is unable to be retrofitted so say you have a 91 truck therefore exempt and legal to run cali would a broker flag you as being illegal to run cali as your pre- 06 or whatever the current requirement is. or say you have older equipment that has been retrofitted to run cali would a broker automatically deny you a load based on your truck age.

 

If you retro-fitted an old truck and registered it with TRUCS they would require the proof before registration. There is a site to enter vin/plate to check that.

The old trucks are the last ones to phase out.(should have started there)

 

Is it possible that they are planning on running those 2000-03 trucks for many years to come at a cost of $15,000 per truck while their competition is running $150,000 trucks for the same freight rate?
Whats that? You say they wont be able to run in California? Yeah right... Pay enough money at the auction ($10,000 is the rumor) and you can buy carbon credits to run those old trucks.
Whats that? You never heard of CARB having an auction to sell the right to run old trucks?
Its all about the money.

http://arb.ca.gov/board/bio/marys_speeches/mn-statement.pdf

 

BTW, American Heavy Rigging has already paid a fee to continue using their old trucks indefinitely.
I would not assume that buying a bunch of old "non-compliant" trucks is a foolish move.