Mexican and Canadian Freight
Mexican and Canadian Freight
The Federal Motor Carrier Safety Administration (FMCSA) issues “Property Broker License” to cover both interstate and foreign commerce, which includes imported and exported cargo, via steamship, Mexican and Canadian freight. This authority covers freight once it comes across the border and is transloaded at United States (US) ports, and processed through customs.
Several Canadian provinces issue Canadian broker permits, which are available to American Companies. Also, the Federal Maritime Commission issues NVOCC or Ocean Freight Forwarders license to qualified applicants that have validated their three (3) years experience.
The “Number One Requirement” for a property broker of freight is to use a legally licensed carrier by the Federal Motor Carrier Safety Administration as a “for hire carrier” and hold a valid United States (US) Department of Transportation (DOT) Number issued for legal carriers.
A bona fide motor carriers must meet certain criteria as prescribed by laws passed by Congress and signed into law by the President. The Department of Transportation (DOT) and the Federal Highway Safety Administration then publishes these rules and regulations in a rule making procurement, and after being approved, are then published in the Code of Federal Regulation, Title 49-Transportation.
After an individual or entity files for a “Motor Carrier number”, also known as an MC number, they must meet certain requirements. It is important that brokers know how to read the FMCSA website and familiarize themselves with the requirements of a bona fide motor carrier including Electric Logging Device Compliance.
How to Determine Who Is A Legal Carrier
If you posted a load on the Internet or load board, or you’ve been contacted by a career wishing to transport a load, you must first determine the carriers’ qualifications. This is where a computer is a must. Even though, the carrier sends you the paperwork you must independently verify their credentials or have a service to “Monitor” or VET their credentials through SAFER by logging on to the FMCSA website at www.safersys.org (The click in liability insurance and the filing of a BOC3, Resident Agent Filing. The safersys.org site allows you access and provides a snapshot directly from the Licensing and Insurance site.
When you arrive at this site, you will be able to input their MC number, and it will bring up the profile. This profile will indicate that the carrier has an active status. You may also click on “Active/Pending Insurance to show the name of their insurance company, and if there is a cancellation date. This means that this carrier status will be revoked as of the cancellation date of the insurance. This form also shows the amount of liability insurance they have on file.
SAFER site also reveals the carrier’s safety profile, number of trucks, how they operate, their safety status, and the DOT number for your reference.
If you are brokering Hazardous material, you must also ask the carrier for their for their Hazmat License, issued by he US DOT, and any state they must deliver to travel through. Many states require a Hazmat filing in addition to the US DOT. Also, the driver must have a CDL, with a Hazmat endorsement on their license.