Contractor's Service Work Truck
Contractor's Service Work Truck
Pickup and Trailer
Pickup Truck and Trailer
Dualling Tanker Trucks
Semi-Tractor or Flatbed Truck
Semi-Tractor Flatbed Truck
Call us at (765) 742-2610 to get Federal Authority
Exempt from Federal Authority Requirements:
Federal Authority Requirements: To obtain Federal Authority, you will need a USDOT Number, register for the BOC-3 List of Process Agents and carry Personal Injury / Property Damage liability insurance. For Federal Authority / Common Authority, you will also need Cargo Insurance to cover the value of any cargo you will be carrying. The time span for the application for Federal Authority is around 21 days. When applying for Federal Authority, a USDOT Number is required. In the application process, a Docket Number will be issued, but Federal Authority will not be granted until the Feds have the items they need for the Federal Authority. Once Federal Authority has been granted, a letter of authority will be issued to carry in the truck or trucks. Once your Federal Authority has been granted, registration for the Unified Carrier Registration (UCR) process will be required. Once you have your Federal Authority, you will go through a New Entrant Carrier Safety Audit process. Typically, a member of the State Police, Motor Carrier section will visit you and spend 3 - 4 hours going over all the items concerning Safety you need to have in place as a Motor Carrier that has been issued Federal Authority. Within these items concerning safety are 16 Critical Items that need to satisfy the Safety Auditor. If you fail any of these 16 Critical Items, you will fail the Safety Audit. If you fail the Safety Audit, your Federal Authority will be taken away from you and you will lose it. We are told that half of the truckers that go through the interviews will fail the Safety Audit because they do not have all 16 Critical Items in place. You just need to fail one of these 16 Critical Items and you lose your Federal Authority.
Time Scale for the Application for Federal Authority: The process of obtaining your Federal Authority usually takes between 21 and 24 days, but can take much longer if there is a delay in submitting the required documentation. If the application for Federal Authority is submitted and payment is made with a credit or debit card, and proof of liability insurance and the BOC-3 List of Process Agents is submitted on a timely basis, the Federal Authority application process will take 21 - 24 days to complete. If a check is used to pay the Feds for the application for the Federal Authority, the process could take several weeks as the check has to clear your bank before the process starts. When the Feds in Washington receive copies of the insurance forms for your Federal Authority, 7 days are added to the date the forms were received before Federal Authority could be granted. Whichever comes last - the 21 day application process, or the 7 day time period after receipt of the insurance forms is when Federal Authority will be granted.
Federal Authority Docket Number: When you apply for Federal Authority, you will be assigned both a USDOT Number and a Docket Number (you may already have a USDOT Number, in which case this number will be used for the application process). This Docket Number will be used as a reference number during the application process. Once you have been granted Federal Authority, this Docket Number will then be used as your Federal Authority number. Once your Federal Authority has been granted, you can legally start hauling loads. Be careful when you start hauling loads. Make sure you have the Letter of Authority (or a copy of the Letter of Authority) with you in your truck, as some scale-masters may penelize you if you cannot show them this letter. If you apply for Federal Authority / Common Authority, this letter is called a Certificate of Authority. If you apply for Federal Authority / Contract Authority, the letter is called a Permit. When your Federal Authority is granted, your letter of authority will take 7 - 10 days to reach you at your mailing address. Again, you will need this letter, or a copy of this letter in your truck to start hauling loads. Many scalemasters do not consider you have Federal Authority unless they can actually see this letter. We can arrange for this letter to be faxed to you either on the day your Federal Authority is granted, or by the following day.
Personal Injury / Property Damage Liability Insurance required in the Application for Federal Authority: In the application for Federal Authority, if the weight of the loaded vehicle, or the combined weights of both the power unit and the trailer is 10,000-lbs or less and you are hauling non-hazardous loads on a For-Hire basis across state lines, you are required to carry a minimum of $300,000 in Personal Injury / Property Damage liability insurance when you are granted Federal Authority. If you are applying for Federal Authority with a truck with a GVWR of 10,001-lbs or more, or a power unit pulling a trailer with CGVWR of 10,001-lbs or more hauling non-hazardous material, for the application for Federal Authority, you are required to carry a minimum of $750,000 in Personal Injury / Property Damage liability insurance. With Federal Authority involving hazardous loads at any weight, you will be required to carry between $1 million and $5 million in liability insurance.
Cargo Insurance required for Federal Authority: When an application for Federal Authority with Common Authority is made, you are required to carry a minimum of $5,000 in Cargo Insurance. In reality, you will need to have sufficient cargo insurance to cover the value of the cargo at the time an application for is made for Federal Authority. When an application for Federal Authority / Contract Authority is made, you are not required to show proof of Cargo Insurance. You may be hauling sand, gravel, stone etc across state lines and may not need cargo insurance. If you have a dedicated contract with one shipper who will provide cargo insurance on the loads, Contract Authority can be applied for. Otherwise you will need Common Authority in the application for Federal Authority
New Entrant Safety Audit with the application for Federal Authority:
When you apply for Federal Authority, you will be required to go through a New Entrant Safety Audit. After submitting the application documents for Federal Authority to Washington, the USDOT will send you a letter asking you to make a call to (888) 877-2181. When you make that call, you will need to give them your USDOT number, or MC number associated with the application for Federal Authority. The USDOT will then contact the state Police, Motor Carrier Division and let them know you have called them about the Safety Audit. Somone from the State Police, Motor Carrier Division will then call you and set up a time and date for a New Entrant Safety Audit.
New carrier entrant audits look for “deadly sins”
Under the new rules a carrier automatically fails if an auditor finds a single occurrence of these violations.
The Name of Your Federal Authority: Before you apply for Federal Authority, you need to have a name to use for your Federal Authority. There are several ways you can name your trucking business and Federal Authority. The basic way is to have your name as the business name. You can also add a d/b/a (Doing Business As) to your name, and have this d/b/a name showing on the signs on your truck after you get your Federal Authority. If you go this route, most states require you to register the d/b/a name at your local county courthouse or county offices. In the process of applying for your Federal Authority, the d/b/a name needs to be entered. Your insurance policy associated with the application for Federal Authority needs to also show your name followed by the d/b/a name, otherwise there will be a conflict in the application process and the application for your Federal Authority will be held up until both the full application name and the insurance policy name match exactly.
To become an LLC or to Incorporate for your Federal Authority: The name you use for your Federal Authority can be your personal name, your personal name followed by a d/b/a name, or you can become a Limited Liability Company (LLC) or Incorporate when you register for Federal Authority. You need to Incorporate or register as an LLC before establising your Federal Authority. If you apply for your Federal Authority before Incorporating or becoming an LLC, this may create problems if you use the LLC name or Corporate name in the application for your Federal Authority as the name may already be registered with the Secretary of State. First register the LLC / Corporate name with the SOS and then apply for Federal Authority. Briefly, by becoming an LLC or Incorporating, this sets up a limited amount of liablity protection for your personal assets. This will not neccessarily protect your Federal Authority business from liability (beyond the liability amounts covered by the Personal Injury / Property Damge liability insurance amount registered with your Federal Authority), but it may protect your personal assets from a liability lawsuit. Before applying for Federal Authority, you will need to register the LLC or Corporate name with the Secretary of State and obtain an EIN Federal Identification Number (we can do this). The name you choose for you trucking business and Federal Authority needs to be a unique name that is not already registered with the Secretary of State. If you want to go this route, we should be able to register the Federal Authority name and get you a Federal ID Number. Again, this needs to be done before the application for Federal Authority starts. There is something else to consider when doing this. If you already have a USDOT Number in your personal name, do you want to assign this USDOT Number to the LLC or Corporate name when you apply for Federal Authority, or do you want to get a different and separate USDOT Number for the LLC or Corporate name when you apply for your Federal Authority. If you already have an IRP license plate in your name from the IRP office, the plate was issued in both your personal name and a USDOT Number associated with your personal name. The two go together. By assigning this USDOT Number to the new LLC name or Corporate name when you apply for Federal Authority, you will be moving the USDOT Number from one legal entity (you, and your Social Security Number and/or personal Federal ID Number you use for your 2290 Federal highway Use Tax) to a different legal entity (the new LLC or Corporate name with it's own new EIN Federal ID Number when you apply for Federal Authority). This could cause a problem with your IRP license plate. If you decide to use the same USDOT Number you currently have associated with your personal name and assign it to the LLC or Corporate name, you will no longer have a USDOT Number assigned to your personal name, and you need this number in association with your IRP license plate. In short, the IRP office could demand the license plate back from you without compensating you for the unused portion of the license plate, and insist you apply for a new IRP plate in the LLC or Corporate name when you apply for your Federal Authority. the answer is, of course, to get a new USDOT Number in the LLC or Corporate name in the application for Federal Authority, and keep the current USDOT Number in your personal name. Boy, that's a mouthful! Call us and let's see what we can do to get you Federal Authority and possibly register you with the Secretary of State and get you an EIN Federal Identification Number. By the way, we can process and take your 2290 Federal Highway Use Tax to the IRS for you. Call us for a Federal ID number, register with the Secretary of State, apply for a USDOT number and Federal Authority.
Emloyer Identification Number (EIN) / Federal Identification Number used with your Federal Authority: You will probably need an EIN number for your Federal Authority. In addition to the EIN number for your Federal Authority, you will need this EIN - Employer Identification Number to file the 2290 Federal Highway Use Tax. Most owner-operators who have trucks registered with license plates 55,000-lbs or above have a Federal ID Number to file their annual 2290 Federal Highway Use Tax. If you are going to establish an LLC or a Corporation for your Federal Authority, you will need a separate EIN Number from the EIN Number you may have in your personal name for the LLC or Corporation as these are different legal entities than you. You may need the same EIN number, or you may need a different EIN number for your Federal Authority. Call us.
IRP / Apportioned License Plate needed with Federal Authority: In the application for Federal Authority, you will probably cross state lines. When you apply for Federal Authority and your van, Pickup truck, pickup truck and trailer combination, truck, truck and trailer combination are all 26,000-lbs or under when loaded, you will not need an Apportioned / IRP license plate. Once you have your Federal Authority, if you have a 3-axle truck that will be crossing state lines at any weight, you will need an Apportioned / IRP license plate for this truck. Again, once you have your Federal Authority, if you have a truck, or a truck and trailer combination at 26,001-lbs or heavier, or a semi-tractor and trailer crossing state lines, you will need to register for an IRP / Apportioned license plate. If you want to go on your own, you will need Federal Authority as most states require you to either be a Private Carrier, For-Hire Carrier hauling exempt commodities, For-Hire Registrant leased to a trucking company, or a For-Hire Carrier with your own Federal Authority before issuing an IRP plate.
IFTA / International Fuel Tax Agreement Needed with Federal Authority: With the application for Federal Authority, you will probably be crossing state lines. If you have an IRP / Apportioned license plate to cross state lines, you will also need to register for IFTA fuel tax. The list of IFTA fuel tax offices is down the left side of this page. Once you have your Federal Federal Authority and have signed up for IFTA fuel tax, the state will require you to file quarterly IFTA fuel tax reports. We can do the quarterly IFTA fuel tax filings for you. Call us for the application for Federal Authority and, once you are registered for IFTA, we can set you up with the reporting schedule. Once you have your Federal Authority and are starting to haul loads, the state will require you to keep accurate records of all trips made during each quarter with your truck or trucks. Again, if we register you for Federal Authority, we can send you trip sheets you can use that will double as records for both the IFTA fuel tax reporting and for your IRP license plate renewals each year.
Weight - Distance Tax State Registrations Needed with Federal Authority: When you get your Federal Authority, you may need to go into one or more Weight - Distance Tax states. They are New York, Kentucky, New Mexico and Oregon. Again, if you are applying for Federal Authority, you may be traveling into any one or more of these Weight-Distance tax states.
For Individual State DOT Information and Intra-State Trucking Authority:
Super Heavy Wrecker Truck
Super Heavy Wrecker Truck
Semi-Tractor and Trailer
Semi-Tractor and Trailer
Heavy wrecker Truck
Heavy Wrecker Truck
Chrome Tanker Truck
IFTA FUEL TAX