ELD Does Not Equal Compliance
Understandingthecomplex,expensive,andfar-reaching
implicationsoftheFMCSA’sELDMandate
InthelegendoftheGordianKnot,AlexandertheGreatischallengedtountieanintricateknot,saidtobe
impossibletountie,exceptbytheonedestinedtoruleallofAsia.Accordingtothestory,Alexanderusesa
bitofcreativity,slashestheknotopenwithhissword,and,ultimately,conquersAsia,thusfulfillingthe
prophecy.
IfonlycomplyingwiththeFederalMotorCarrierSafetyAdministration's(FMCSA)finalELDmandatecould
besoeasy.Unfortunately,simplyputtingthelowest-costELDinyourvehiclemaynotsufficetorender
compliance.Therearemanyconsiderationsthatgointocomplyingwiththelatestmandate,whichtakes
fulleffectonDecember16,2017.
Thisarticlewillattempttounraveltheconundrum,andoffersomeguidanceonwhattodonext,inorder
tomeetthedeadlinewithplentyoftimeandafewdollarstospareforyourefforts.
AbouttheFMCSAFinalELDMandate
3ExceptionClassestothe
First,abitofclarityonexactlywhattherulingentails.In
FMCSAELDMandate:
Decemberof2015,theFMCSApublisheditsfinalELDmandate,
requiringthatoperatorsofspecificcommercialmotorvehicles
Thefollowingthreedriverclasses
(CMV)replacetheirpaperHoursofService(HOS)logbookswith
areexemptfromcompliancewith
anELDtoelectronicallyrecordthedriver'sRecordofDuty
thefinalELDmandateof12/16/17:
Status(RODS).Thatsaid,therulingdoesnotapplytoallCMVs;
• Driverswhoconductdriveawaythereareafewexceptions.Inaddition,thevarioussupporting
towawayoperationswherethe
documentsrequiredtoverifyon-dutystatusundertheruling
vehiclebeingdrivenisthe
mustbemaintainedovervariouslengthsoftime,dependingon
commoditybeingdelivered
thespecificdocument.Documentsincludedinthemandatefit
fivecategories:
• Driversofvehiclesmanufactured
before2000
• Billsoflading,itineraries,schedules,andequivalents
• "Short-haul"driverswhoarenot
• Dispatchrecords,triprecords,andequivalents
currentlyrequiredtopreparea
• Expensereceipts
driverlogbecausetheymeetthe
• Electronicmobilecommunicationrecordstransmitted
100-mile(CDLdrivers)or150-mile
throughafleetmanagementsystem
(non-CDLdrivers)exemption;
• Payrollrecords,settlementsheets,andequivalents
paperlogs,however,stillapplyto
thisclass
Detailsonthelengthoftimeeachdocumentmustbeheldand
thecriteriarequiredforeachdocumenttopassanauditcould
Allothersmustcomply.
addpagestothisarticle,butsufficetosay,therulingisknotted
withspecifics.
Likewise,thedetailsofwhatqualifiesasanFMCSA-certified
ELDcanbetangledinnuance.ProvidersmustberegisteredwiththeFMCSAandself-certifythroughthe
agency'swebsitethattheirproductsmeettechnicalspecifications;however,theFMCSAdoesnotinitially
vetanyproviderpriortoinclusiononthewebsite.Consequently,motorcarriersfindthatsomeELDsmay
not,ultimately,qualifyforcertificationuponreviewbyFMCSA/DOTenforcementpersonnelduring
roadsideinspectionsorcomplianceaudits.
And,whilesomepreviouslyinstalleddeviceshavebeengrandfatheredinforagraceperiodoftwoyears,
thosedevicesthatfalloutsidethegrandfatheredlistmustbereplaced,orthemotorcarrieranddriverwill
besubjecttofines,penaltiesandpossibleshutdowns,dependingontheviolationandtheviolator.
Penaltieswillbeassessedbasedonculpabilityandhistoryofprioroffense.Tamperingwithinformationor
theELDitselfwillescalatethepenalty.Also,failuretoretainthespecifieddocumentsforthespecified
lengthsoftimeisalsoaviolation.Withsomuchontheline,it'snowondermanydriversandmotorcarriers
arescramblingtofindasolution,asanxietymountsacrosstheindustry.
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AFairRulingLongintheMaking
TheELDlawisagoodone,asitservestoprotectbothdriversandthedrivingpublicbyautomatically
measuringacommercialdriver'shoursbehindthewheel.Further,itisintendedtoreducelogbook
falsification,enforcetheHOSregulations,reducepaperworkandsaveuntoldadministrativetimeinHours
ofServicedatacaptureforthedriverandcompany.TheuseofcertifiedELDswillkeepdispatchers
adequatelyinformedandup-to-date,andimproveoverallfleetandbusinessplanning,byarmingdecisionmakerswithcurrentandrunningdataonspecificdrivers,vehicles,andtrends.
What'smore,themandatorydeploymentofELDsacrossafleetmayalsohavesomecollateralbenefits
tofleetownersandoperators.AsnotallELDsarecreatedequal,somemodelsofferadditionaldriver
performanceandvehiclediagnosticscapabilitiesthatcanhelpafleetmanagerlowerfuelcost,
forexample,bymonitoringfuelefficiency.
UsingInternetofThings(IoT)technology,somedevicescanwirelesslyreportonvehicleequipment
conditions,thusloweringvehicledowntimebyalertingoperatorstoperformtimelyrepairsandaid
inplanningforimprovedvehicleutilization.Thisinformation,combinedwithdataondrivertendencies,
canalsolowercrashratesandproviderecordstonegotiatebetterinsurancepremiums.
ChoosingtheRightELD
AccordingtoFMCSAestimates,aboutonemillionvehicleswillhavetoinstallELDsoncethelawtakes
effect.Thetimetoexamineyouroptionsisnow.
ELDscanrangeinpricefrom$150to$2,500pervehicle.Multiplythattimesthenumberofvehiclesyou
haveinservice,andyousimplycannotaffordtomakethewrongdecision,especiallyconsideringthat
notallELDsqualifyforFMCSAcertificationcompliance.Thecostofanincorrectdecisionisprohibitive.
WithsomanyELDprovidersnowbombardingthemarketasthedeadlinedrawsnearer,youwillneed
astrongvettingprocesstoensureyourcompliancedollarsarewellspent.Thefollowingkeyquestions
mayhelpyounarrowyoursearch,notonlymakingyourdecisionwithinFMCSA/DOTlegalboundaries,
butalsosheddinglightonanypotentialadditionalvaluetheselecteddevicemightlendtoyourbusiness
movingforward.
AtaMinimum,QualifiedELDsMust:
Connecttothetruck’senginetorecorduse-in-motion
Allowthedrivertologonandregisteron/offdutystatus
GraphicallydisplayRODS
Providestandardizeddataforlawenforcement(viawireless,USB,Bluetooth,etc.)
Becertifiedtomeetregulationspecifications
©2017ITSCompliance,Inc.3
ChoosingtheRightELD
•
IstheELDproperlycertifiedtomeetFMCSAguidelines?
•
Doesitsupportdailyvehicleinspectionreports(DVIR)toverifycomplianceandsimplifyinspections?
•
DoesittrackvehiclepositionhistorytomeetIFTAandIRPrecordkeepingrequirements?
•
DoesitfeatureGPStolocatethevehicleonthemap,providing24/7informationtoshippers
regardingexpecteddeliverydatesandtimes?
•
Doesitprovidedatatodispatchersusefulinplanningdeliveriesanddriverschedules?
•
Doesitsupportenginediagnosticsforpreventivemaintenancealertsandplanningofscheduled
maintenance?
•
Doesittrackdriverperformanceandhabits,capturingactivitiessuchas:hardbreaking,seatbelt
usage,speedingorsuddenstopstoenableproactive,correctiveaction?
•
Whataretheinitialinstallationcostsandtimecommitments,inadditiontomonthly,ongoing
communicationcostsassociatedwiththedevice'sreportingservices?
•
Howmanyvehicleswillbeoutfitted(especiallycomplexinmixed-fleetapplications)?
•
Whatlevelofdriver/dispatcher/safetydirectortrainingwillberequiredtoensurecompliance?
•
WhatisyourplantoensurecontinuedservicedeliverystandardsandFMCSAcomplianceintheevent
ofdriverturnover?
•
Canyouoffset/recoverassociatedcostsbyrepricingyourservices?
•
DoestheELDproviderretain6monthsofHoursofServiceand5.5yearsofIFTA/IRPrawsource
data?
Asyoumayhaveconcluded,choosingtherightELDwillaffectyourcompliance,operations,and
productivity,altogether.Byautomatingdatarecoveryandretention,itcansimplifyyourHOSdata
capture.Withtherightinformationinhand,liabilityandriskmanagementcanbepositivelyaffected.As
youenhanceyouroverallfleetvisibilityandgaininsightintothestatusandtrendsofyourequipmentand
personnel,assetmanagementcanbeimproved,therebyloweringyourtotalcostofoperation.Infact,
byinstallingtherightELDforyourbusiness,youwillmostlikelynotonlyimproveyourdriversafety,
satisfactionandoutput,butalsoopennewopportunitiestodeliversuperiorcustomerserviceandbuild
brandloyalty.
“By installing the right ELD for your business, you will most likely not
only improve your driver safety, satisfaction and output, but also
open new opportunities to deliver superior customer service and
build brand loyalty.”
TheValueofanOutsideOpinion
Withstakessohighandtimeatapremium,itmakessensetoworkwithanindependentadvisortoassess
yourfleetneedsinlightoftheruling,andrecommendacompliancesolutionthatfitswithyourbusiness
objectives.Anindependent,trustedadvisorhasnovestedinterestinsellingyouaspecificELDunitand
canprovideobjectiveanalysisandinputtoguideyourpurchasedecision.
©2017ITSCompliance,Inc.4
Lookforanadvisorwhounderstandstherulinganditsimplications,andcanofferbestpracticesbeyond
thedeadlinetoensureduediligenceaccordingtothelaw.Agoodadvisorwillbeabletoprovide
reasonablypricedsupportservicesthathelpyoumanagedataandrisk,andwillleadyourcompliance
attainmentinitiativesaspartoftheservicepackage.Inaddition,youwillalsobenefitbyworkingwith
anadvisorwhocanassistinteamtraining,fleetmonitoring,dataanalysisandauditsupport;someone
whodemonstratesanin-depthknowledgeofthebroaderregulatorylandscape,includingDOT,IFTA
andIRPregulations.
Examinetheirtrackrecord,andseeifthey'veperformedinsimilarengagementsforclientscomparableto
youinsize,scope,andgeography.Determineiftheyunderstandthetechnology,andassesswhetherthey'll
beabletoprovideyouwithatrulyunbiasedrecommendation.Askabouttheirprocessofengagementand
howtheyexecutethroughongoingsupport.Ifallblendswellwiththewayyoudobusiness,followupby
contactingafewreferences.
MaketheMostofYourELDDecision
SimplyfindingandinstallingthelowestcostELDdevicedoesnotequalcompliance.Intheeventyour
operationsandvehiclesmeetthemandate:
•
BesureyourdevicecomplieswiththeFMCSAguidelines.
•
Obtainvalidationonyourpurchasedecisionfromsomeonewhodoesnothaveavestedinterestin
yourfinaldecision.
Whomeveryoubuyfrom,besuretheyhaveatrackrecordinthetelematicsindustryandwillbetherefor
youinthefuturetosupportyouroperations.
Tosummarize,there'snoeasywaytoslashthroughtheknottedcomplexitiesofthenewFMCSAmandate
orthefar-reachingimplicationsofchoosingtheright(orwrong)ELD.Inspectorswillbeinthefieldshortly.
Talktoaqualified,independentadvisorandmaketherightdecisionforyourfleetnow.
AbouttheAuthor
JohnVosters,ComplianceStrategyOfficerwithITSCompliance,has37yearsofregulatoryindustryexpertise
infleetcomplianceandriskmanagementsolutions.Johnisactiveinmanyindustryassociations,including
NationalPrivateTruckCouncil,AmericanTruckingAssociation,andTruckloadCarriersAssociation.
AboutITSCompliance
ITSCompliance,Inc.providesoutsourcedcomplianceservicestoownersandoperatorsoftruckfleets.Our
intelligentcomplianceplatformcombinedwithourdedicatedteamprovidevisibilityandcontroloveryour
fleetwithprovensafety,fueltaxreportingandassetmanagementsolutions.Forover30years,ITS
Compliancehashelpedprivatefleets,for-hirecarriersandthirdpartylogisticscompaniescomplywith
federal,state,andlocalregulationstoreducecostsandmitigaterisks.
Formoreinformation,[email protected].
©2017ITSCompliance,Inc.5