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Interstate carriers that are designated as “exempt for-hire” transport only goods listed as “exempt” from Federal economic regulation. This means they do not have to obtain federal operating authority from the FMCSA.
Scope
See Administrative Ruling number 119 for a list of exempt commodities. The FMCSA’s regulation or 372.115 contains a list of commodities that are not exempt.
Regulatory citations
- 49 CFR 372.115 — Commodities that are not exempt under 49 U.S.C. 13506(a)(6)
- 49 CFR 387.9 — Financial responsibility, minimum levels
- 49 CFR 390.5 — Definitions
Key definitions
- Exempt for-hire: An entity or person which transports exempt (unregulated) property owned by others for compensation. The exempt commodities usually include unprocessed or unmanufactured goods, fruits and vegetables, and other items of little or no value.
- For-hire carrier: A carrier that transports passengers, regulated property or household goods owned by others for compensation.
- Private carrier: A carrier that transports its own cargo, usually as a part of a business that produces, uses, sells and/or buys the cargo that is being hauled.
Summary of requirements
“Exempt” applies only to federal operating authority; all carriers of exempt commodities operating vehicles defined as CMVs are fully subject to the Federal Motor Carrier Safety Regulations, as well as size and weight limits, vehicle licensing/IRP and fuel tax/IFTA requirements. If a carrier transports any non-exempt commodities for hire, they must register as for-hire. The carrier is not exempt.
Financial Responsibility: The Unified Registration System (URS-1) final rule will require for-hire motor carriers of exempt commodities operating in interstate commerce to have proof of financial responsibility as required by 387.9 filed with the FMCSA. However, the URS final rule has been delayed indefinitely by FMCSA and this provision will be effective at a later date to be determined by FMCSA.
Designation of Process Agent: The (URS-1) final rule will require for-hire motor carriers of exempt commodities operating in interstate commerce to designate process agents to the FMCSA. However, the URS final rule has been delayed indefinitely by FMCSA and this provision will be effective at a later date to be determined by FMCSA.
For-hire carriers of passengers, private and for-hire carriers of property (including those operating as “exempt” carriers), freight forwarders, leasing companies and brokers are all subject to UCRA registration annually.
Carriers who are based in non-participating states, or who operate wholly in non-participating states are subject to UCRA registration. Canada and Mexico domiciled carriers operating in the United States are also subject to UCR.
The UCRA does not issue a paper credential to be carried in the vehicle. Proof of registration under the UCRA is available to roadside enforcement via FMCSA electronic information systems by accessing the carrier US DOT number.
UCRA registration does not replace or change the requirements for registration of vehicles under the International Registration Plan (IRP) or fuel use tax reporting under the International Fuel Tax Agreement (IFTA).
Electronic registration and information is available at www.ucr.gov/.
Also see Unified Carrier Registration.
Intrastate carriers (never crossing state lines, never engaging in interstate commerce) are not subject to the UCRA. A state may choose to include their intrastate only carriers within the UCRA, or the state may continue the intrastate registration process already in place.