Getting your own authority requires more than just determining your type of operation

You will need start-up money for insurance, permits, your base plate, equipment and enrollment in a drug and alcohol testing program.  OOIDA also strongly recommends before you haul your first load under your new business you have at least 60 days worth of operating capital set aside.  You will need to name your company, determine if you need to be incorporated, and be preapproved for insurance (BIPD & Cargo; Broker Authority requires a surety bond or trust).  Most importantly you need to determine where you are going to get your freight; are you going to haul through shippers or brokers?

In addition to you own base plate, you will to need set up your IFTA account, secure your UCR permit, and pay your Heavy Highway Use Tax (2290). There are also several states that require state issued permits if you will be doing business in the state; those states are New York, New Mexico, and Kentucky, Oregon requires a permit and a bond. Let’s not forget about Intrastate Authority; several states require this additional authority if you are going to be making point to point pick-ups and deliveries within the state.

Types of Operation
  • Common/Contract
  • Broker
  • Freight Forwarder
  • Private
  • Exempt for Hire
  • Household Goods
  • Hazmat
  • Intrastate

Now that you are a business owner you have record keeping responsibilities.  These responsibilities to name a few can include maintaining driver qualification files/employee records, safety records, HOS records, as well as accident reporting and maintenance records.  Your compliance with these requirements will be checked during your mandatory “New Entrant” audit which will take place within your first 18 months of doing business.

Federal Regulation requires you to have your new company enrolled in a Drug and Alcohol Testing Program.  This enrollment will include you if you hold a CDL as well as any of your drivers present and future.  As the motor carrier you are required to maintain all Drug and Alcohol Testing Program records and reports.  You are also required to go through a 120 minute Supervisory Training Course.   As part of the enrollment process you will be required to assign a DER (Designated Employee Representative) for your company.

Sound a little over whelming?

Don’t panic, the experienced staff at OOIDA is here to assist you.  All the requirements listed above can be fulfilled by simply calling 800-444-5791.   Our authority unit is available to assist you in meeting these requirements, answer your questions and has developed a new system that eliminates the hassle, saves you time and most importantly saves you money.  Call an OOIDA Authority Agent today and ask about One-Stop Shopping. CMCI is available to insure your full compliance with all federal drug and alcohol testing requirements.  They can be reached at 800-288-3784 or 800-444-5791.


Authority Questions?