The trucking industry needs CDL reform

Below is a detailed plan to reform the system, ensuring greater safety, accountability, and efficiency:

Centralizing CDL Issuance Under USDOT

The foundation of this reform is transferring CDL issuance from individual states to the United States Department of Transportation (USDOT). This would establish a single, standardized Federal CDL, replacing the patchwork of state-issued licenses. Key features include:

• Unified Federal CDL: USDOT would exclusively issue Federal CDLs, while states retain authority to issue regular driver’s licenses and Intrastate Only CDLs for drivers aged 18–20.
• Elimination of the K Restriction: Removing the K restriction, which limits certain CDL holders to intrastate driving, would simplify identification of driver privileges for industry professionals and law enforcement.
• Standardized Training and Testing: All CDL holders would undergo identical training and testing nationwide, ensuring consistency and reducing disparities in driver qualifications.

Benefits of Federal CDL Issuance:

• Simplified Relocation: Drivers moving between states would only need to update their address, not obtain a new CDL.
• Efficient Suspension Tracking: A centralized database would enable immediate identification of suspended drivers across all states.
• Fraud Reduction: Uniform processes would minimize opportunities for fraudulent CDL acquisition.
• Dual Functionality: A Federal CDL would also serve as a standard driver’s license, reducing the need for multiple credentials.
• Streamlined DMV Visits: Drivers would only visit state DMVs for specialized licenses (e.g., motorcycle or boating licenses).

Strengthening Security with TWIC Card Integration

To enhance security and prevent fraud, every Federal CDL would be paired with a Transportation Worker Identification Credential (TWIC) Card, administered by the Transportation Security Administration (TSA). This integration would include:

• Comprehensive Background Checks: TWIC cards would verify a driver’s identity, legal status, and background, preventing illegal aliens from obtaining CDLs.
• Biometric Data: TWIC cards would incorporate biometric identifiers to prevent individuals from obtaining multiple USDOT numbers or CDLs under different identities.
• Real ID Compliance: All Federal CDLs would meet Real ID standards, ensuring rigorous verification of residency and identity.

Standardized Testing and Issuance Procedures

To ensure consistency and security, CDL testing and issuance would occur exclusively at federal facilities:

• Federal Testing Locations: CDL tests would take place at federal buildings, administered by federal employees. Tests would be conducted in English to confirm language proficiency, a critical safety factor for navigating federal regulations and road signs.
• Secure Testing Environment: Entry to testing facilities would require identification, reducing fraud opportunities.
• One-Stop Issuance: Federal buildings would serve as hubs for issuing both CDLs and TWIC cards, streamlining the process. Alternatively, the two credentials could be combined into a single document.

Reforming Company Ownership Regulations

Fraudulent “chameleon companies”—businesses that evade regulations by frequently changing names or locations—pose a significant challenge. To address this:

• TWIC Requirements for Owners: Company officials applying for a USDOT number would provide their TWIC Card SSN, linking their identity to the application.
• Address Restrictions: Each physical address would be limited to one company registration, with verification to ensure the location is commercial, not residential. Virtual addresses like P.O. boxes or mailing centers would be prohibited.
• 21-Day Verification Period: A mandatory waiting period would allow USDOT to verify application details before granting authority.
• Insurance Oversight: Alternatively, insurance companies could be barred from issuing policies to multiple companies at the same residential address, with an industry database ensuring compliance.

Federalizing Apportioned License Plates

To curb chameleon companies, USDOT would take over the issuance of apportioned license plates:

• Centralized Plate Issuance: Federal oversight would prevent companies from switching vehicles between entities to evade detection.
• State Flexibility: States could continue issuing Intrastate Only license plates for local operations.
• Enhanced Accountability: Centralized plate issuance would make it harder for companies to relocate across state lines to avoid scrutiny.

Streamlining IFTA Tax Compliance

The International Fuel Tax Agreement (IFTA) system is prone to evasion. To improve compliance:

• IRS Oversight: IFTA tax collection would be redirected to the Internal Revenue Service (IRS), which would redistribute funds to states.
• Reduced Evasion: Centralizing tax collection would make it harder for companies and owner-operators to avoid IFTA taxes by relocating across state lines.

Funding the Overhaul

Implementing these changes requires funding, which can be sourced efficiently:

• Reallocating MCSAP Funds: The Motor Carrier Safety Assistance Program (MCSAP) budget would be redirected to cover federal CDL issuance and plate administration, as states would have fewer responsibilities.
• Cost Efficiency: The federal government already issues license plates for its agencies, so expanding to apportioned plates would incur minimal additional costs.

A Path to a Safer, More Efficient System

The current CDL system’s state-based approach is outdated, vulnerable to fraud, and inefficient. By federalizing CDL issuance, integrating TWIC cards, standardizing testing, regulating company ownership, and centralizing apportioned plates and IFTA taxes, this proposal tackles systemic flaws head-on. These reforms would enhance transportation safety, reduce fraud, and create a streamlined, equitable system for drivers, companies, and regulators. The transportation industry deserves a modernized framework—centralized USDOT oversight is the key to achieving it.