On-site FMCSA audits are back, with expensive results
Now that the COVID-19 pandemic is waning, on-site DOT audits are roaring back and resulting in large fines for even the smallest carriers.
During the height of the pandemic, the Federal Motor Carrier Safety Administration (FMCSA) relied heavily on off-site audits — “desk” audits that occur far away from the motor carrier’s location.
But last year brought a resurgence in traditional on-site investigations, which were up a whopping 54 percent over 2021.
The closer they look, the more they find With more auditors going on-site, it’s no surprise they’re finding more violations — and issuing more fines and penalties. Last year saw a 40-percent jump in fines paid, and a similar rise in audits that uncovered the most serious types of infractions, known as acute violations.
The FMCSA and its state partners performed 12,500 investigations last year, including roughly:
- 3,600 on-site comprehensive audits (up 54%)
- 5,400 on-site focused reviews (up 7%)
- 3,400 off-site audits (down 31%)
As is typical, only about 5 percent of motor carriers escaped their audits without a violation.
Small carriers are easy targets
If you think you’re too small to be targeted, think again. Over half of all audits in 2022 (54%) were on companies with fewer than seven power units. About 97 percent of those audited had fewer than 100 units.
With more violations being found, higher penalties are being paid:
- 27% of audits resulted in fines or other penalties
- 3,620 enforcement cases were finalized (up 31%)
- $25,700,000 in fines were collected (up 40%)
- $7,100 was paid per settlement, on average (up 7%)
Since FMCSA’s maximum fines are tied to inflation, they have been increasing at a rapid rate — up 14 percent over the past two years alone.
You can take steps to prepare
Don’t wait for a knock on the door to prepare for an audit. Even if the audit is done off-site, the state of your documentation will make or break the results. If you’re not sure where to begin, getting your DOT-mandated paperwork in good shape is a great place to start. At least 64 percent of all critical violations found during audits last year related to recordkeeping, including 7 out of the top 10.
Focus first on the ‘big four’
A major focus of any audit will be your documentation showing compliance with the rules for:
- Driver qualification,
- Drug and alcohol testing,
- Hours of service, and
- Vehicle inspection and maintenance.
Most acute and critical violations (the ones that will affect your safety rating) fall into those four areas. Of course, you will also likely be asked for proof of insurance, an accident register, driver and vehicle rosters, and other compliance documents.
Key to remember: On-site DOT audits are up more than 50 percent since 2021. Small carriers are the biggest target, and the penalties they’re paying are on the rise. Get your compliance records in order before you get that knock on the door.