Operating Authority and UCRA

Scope

Operating authority is a form of “business license” for for-hire motor carriers, and is required in addition to vehicle licensing (International Registration Plan (IRP)), fuel tax (International Fuel Tax Agreement (IFTA)), and Department of Transportation (DOT) safety requirements.

Regulatory citations

• 49 CFR 365 — Rules governing applications for operating authority
• 49 CFR 367 — Standards for registration with states

Summary of requirements

• For-hire motor carrier: A person providing motor vehicle transportation of property or passengers for compensation.
• Interstate carrier: A person providing motor vehicle transportation that either crosses state lines or furthers interstate commerce within a state when a commodity originated in another state.
• Intrastate carrier: A person providing motor vehicle transportation exclusively within one state.

Summary of requirements

The Federal Motor Carrier Safety Administration (FMCSA) administers the interstate for-hire carrier authority requirements found in 49 CFR 365. Previously, the Interstate Commerce Commission (ICC) was responsible for granting operating authority. Congress closed the ICC on December 31, 1995; the authority registration oversight was transferred, first to the Federal Highway Administration (FHWA), and then finally to the FMCSA within the DOT.

Which government operating authority regulations apply to a carrier depends upon several factors:

• The kind of motor carriage conducted (for-hire, private, exempt).
• Where the motor carriage takes place (interstate, intrastate).
• The kind of commodity transported (exempt commodities, household goods, hazardous materials, general commodities, passengers).

Federal operating authority requires no renewal; it remains valid as long as the carrier maintains proper insurance and conducts business in compliance with Federal and State requirements.

UCR registration. The Unified Carrier Registration (UCR) Agreement was implemented on September 10, 2007.

• Interstate for-hire, private and exempt property carriers, for-hire passenger carriers, leasing companies, freight forwarders, and brokers are subject to annual UCR registration. Entities who are based in non-participating states, or who operate wholly in non-participating states are also subject to UCR registration. Canada and Mexico domiciled entities operating in the United States are also subject to UCR.
• The UCR does not issue a paper credential to be carried in the vehicle. Proof of registration under the UCR is available to roadside enforcement via the FMCSA’s electronic information systems by accessing a carrier’s US DOT number.
• UCR enrollment does not replace or change the requirements for registration of vehicles under IRP or fuel use tax reporting under IFTA.
• Registration and information is available at jjkeller.com/ucr and ucr.gov.
  Also see Unified Carrier Registration.

Interstate and intrastate carriers. Interstate carriers also engaged in intrastate motor carriage must comply with any state requirements for initial application for intrastate authority and submit any necessary fees. Such carriers will not be subject to annual renewal of the intrastate authority as long as they are legally registered with the UCR.

Intrastate carriers. Solely intrastate carriers (never crossing state lines, never engaging in interstate commerce) are not subject to the UCRA. These carriers are subject to the authority registration and renewal requirements in the state of operation.

Additional information about the UCRA: Unified Carrier Registration Agreement