Steps to running under my own authority?

Discussion in 'Ask An Owner Operator' started by freightrunner, Sep 7, 2012.

  1. freightrunner

    freightrunner Heavy Load Member

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    Mar 25, 2012
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    Currantly i am leased on to a Contanier company and im leaning toward getting my own trailer under my own authority. What would i need to do this?
     
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  3. lonelyswmtrucker

    lonelyswmtrucker Medium Load Member

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    down the bayou
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    lots of money; u need money for everything. dot#, insurance (pay in full or down payment), operating capital, tags, permits, etc.
     
  4. freightrunner

    freightrunner Heavy Load Member

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    Mar 25, 2012
    Georgia
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  5. jack5

    jack5 Light Load Member

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    What kind of trailer? To get your own authority first you need to get an Mc number. You can go to the FMCSA website and apply for it yourself and pay a one-time 300.00 fee or pay an extra 105.00 and have someone else do it,which will bring it to 405.00. I did it myself. It was fairly easy. Once you apply you will get your mc number in 1-2 days. After that you need to file liability insurance of at least 750,000 with the FMCSA. Once you file that it will take 3 weeks roughly for the mc number to become active.While you are waiting for it to become active you can take your current 2290 to the closest tax office and get your base plates. Than you need to appy for your IFTA. If you are going to run KY you need to apply for a KYU number. When your authority becomes active the KYU number becomes automatically active. IF you are going to run NM and NY you need to file for their tax id permits too. If you are going to run OR. make sure to prepay for a Or. weight receipt before you cross the border or it's a 425.00 ticket. OOIDA can file the KYU,NM,and NY permits for you and tell you where the closest tax office is to get your base plates. After that you need to apply for UCR number online. For one truck it is around 75.00 for one year. You can print out a copy and keep it with you. MAKE SURE to order a driver qualification file from OOIDA and enroll in their drug testing program and have all of the records with you BEFORE your authority goes active. You will get a mandatory DOT audit within the first 60 days your authority goes active and if those 2 things are missing,especially the drug test program,you could get hit with a huge fine. Once you get all of these in line when your authority goes active you will be ready to go. When you get insurance the best coverage to get is 1 million liability and 100,000 cargo. Most brokers won't use you without that much coverage. Make sure to have at least 30k set aside for expenses unless you plan to use factoring companies to get paid. That is pretty much all you need to get started. You will learn a lot more AFTER you get started.
     
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  6. G/MAN

    G/MAN Road Train Member

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    The first thing you will need is insurance. The minimum for most brokers and shippers is $1 million in auto liability and $100,000 cargo. That is more than is required by the feds. They only require $750,000 liability and no longer have the cargo requirement, but if you want to get loaded you will need the insurance that I listed. It is my understanding that you will need the insurance to be in place before applying. When I first got my authority you had a little time once authority was granted. You can now apply for authority online. We only had snail mail when I started. There is a one time filing fee of $300 which must be paid at the time you file your application. You can use a credit card. You apply for the DOT number at the same time you file for authority. There is currently no fee for the DOT number. It usually takes from 3-6 weeks to get all the paperwork back once you file. Your MC number is the same as your docket number. You can check the status online once you apply. Before authority is granted you will also need to have registered agents in all states in which you plan on doing business. There are services who offer this for an annual fee or you can use OOIDA at no charge if you are a member. It is worth the membership fee just to have them act as your registered agent. This will also need to be filed before authority is granted.

    Once you get your authority back you can go online and pay your UCR (Unified Carrier Registration). This will need to be paid before you can get your base plates. Your insurance company will file your insurance directly with the fmcsa. If you currently own your base plates you should be able to just transfer them into the name on your authority with only a small fee. If not, then you will need to apply for base plates and permits under your own authority. You will need your DOT number, copy of your authority, certificate of insurance, proof that your UCR has been paid (they should be able to check this online), copy of title, proof that your 2290 has been paid for the current year and proof of residency. Most states now require that you provide proof of residency such as a utility bill, rent or mortgage receipt and/or drivers license. Most states require that you go to the state capital to get your base plates. All requirements should be listed on their website. You can also call your state and they should be able to send you a carrier packet with all forms and requirements. Make sure to read all forms and instructions carefully. If you plan on walking through the registration for base plates, you want to make sure that you have everything that they need. These offices are often very busy and it can be an all day affair. You don't want to have to make another trip, especially if you live a ways from the office. Some states will allow you to order your base plates through the mail. Everything needed should be in the packet they send. You can apply for your IFTA account at the same time you get your base plates. My state has now put both in the same office. At one time their offices were across from one another. It can help to make a list of everything you need and double check before heading out to their office.

    Other states will usually send you applications for what you may need for their state. As was mentioned earlier, you will need a KYU number for Kentucky, a weight distance tax number for New Mexico and a HUT number for New York. You should receive something in the mail from these states once you apply for authority, but can contact them direct. There is no fee for the KYU number but New Mexico and New York do charge a fee. Quarterly reports will need to be filed with all three of these states in addition to your quarterly IFTA. If you travel to Oregon you will need a PUC account. You can put up a cash bond of $2,000 or buy a trip permit before entering the state. It is basically a weight distance tax. Unless you plan on traveling into Oregon often I would just buy a trip permit. You can purchase them online or on the telephone. I believe you can still buy them at their port of entry, but if they are closed it could be a problem and a ticket. It is much better to just buy the trip permit.

    It sounds more complicated than it is in reality. You won't be able to get any of the state permits until you have active authority. Unless you go into Canada that is all that I can think of to get rolling.
     
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  7. turnanburn

    turnanburn Medium Load Member

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    I just changed my carrier status and got an MC #, or "authority" I did it all myself online with FMCSA and let OOIDA do the agent thing, which takes all of 30 seconds on the phone with them after you join. If you find the online forms are giving you trouble you can call the FMCSA support service at 1-800-802-5660. You can do the DOT# and mc docket # before your insurance is active, and then you have a 10 day protest period where your info is posted to the federal register and people can comment if they think you don't deserve to be granted authority. After that is over, have them file your insurance and your authority will be in the mail to you shortly after. Don't forget about drug testing and driver file and maintenance record and all the other things to have in place for your first safety audit. As a new entrant you will get an automatic audit within the first 18 months.Here is a link to an 85 page download on the FMCSA site that tells you all the records you need in place as a new entrant. It has blanks to copy off for all the necessary things. eta-july-08.pdf (application/pdf Object)
     
  8. Markvfl

    Markvfl Road Train Member

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    Apopka, FL
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    I'm also considering getting my authority. I was going to buy my friend's authority when he retires but he keeps putting it off. My concern is that with a new MC number I'll be limited to who I can haul for. I know Landstar is a 2 year requirement. There must be other companies with similar requirements? Can anyone fill us in on this situation?
     
  9. freightrunner

    freightrunner Heavy Load Member

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    Mar 25, 2012
    Georgia
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    Where do i get my IFTA sticker??? I have one but i know i will probably need a new one.. Thanks
     
  10. G/MAN

    G/MAN Road Train Member

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    You get your IFTA stickers from the same office where you originally registered and received your initial stickers. New stickers are color coded and must be replaced each year. If you only need a replacement for the current year then you can contact your IFTA office and they should be able to mail a new sticker to you. Your state should send out renewal forms to you in the last quarter of the current year. I say this assuming that you run your own authority. If you lease to a carrier you will need to contact your permit person at your carrier and have them get you replacement stickers. When you lease to a carrier they usually will either mail new stickers to your home address or you may be able to get them at your main terminal.
     
  11. WCM

    WCM Light Load Member

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    Oct 10, 2010
    columbus ohio
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    So what is the total out of pocket money for eveything stated above? Total time to get it all done and rolling? Thanks, Bill
     
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