A.M. Executive Briefing - July 21

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This Morning's Headlines:


Truck Rules May Be Revised

The New Jersey Department of Transportation will invite public comments for 30 days, beginning Aug. 2, on the recent executive order banning 102-inch-wide trailers from secondary roads in the state.

Some divided state routes may no longer be covered under the ban if transportation officials are convinced by the trucking industry that forcing trucks onto toll roads is unreasonable. Gov. Christine Todd Whitman intended the ban to keep trucks off undivided highways unless making local deliveries.



State transportation officials had feared the ban would violate the constitutional guarantee that the federal government regulates interstate commerce. However, federal Transportation Secretary Rodney Slater wrote a letter saying states could ban truck traffic on state highways not included in the National Truck Network.

Truck lines were open to the original undivided-highway ban, but many are upset by the wider ban because state Routes 1 and 130 help truckers avoid tolls on the New Jersey Turnpike and two parkways. However, the New Jersey Motor Truck Association board of directors decided on Monday that it will try to compromise with the state government before attempting litigation. Trenton Times Online (07/20/99); Alexander, Andrea


FHWA Proposes Graduated CDL Plan

Pressed by Congress to pursue better truck safety, the Federal Highway Administration is soliciting comments on a proposed provisional commercial driver license for younger truckers.

The FHWA is also considering a graduated system, similar to those in some states, that would grant different licenses for operating different sorts of trucks.

ongress has passed two laws since 1996 requiring the FHWA to study a graduated CDL system and to work with the American Trucking Associations to study CDL plans and driver fatigue. Journal of Commerce (07/21/99) P. 17


BNSF, Dana in Venture to Transport Chemicals

On July 19, Dana Transport and Burlington Northern and Santa Fe Railway began their joint intermodal chemical-shipping service, Rapid Rail System. Truck lines and railroads have long used intermodal service mostly for dry freight, and tank containers comprised only 0.05% of BNSF's intermodal handling in 1998. Most of that 0.05% ended up crossing the ocean rather than going to U.S. recipients. The service is designed to make up for the heavy insurance and regulatory burden on tank trucks and the current driver shortage. In addition, it will eliminate BNSF's door-to-door business, which began in 1993. Journal of Commerce (07/21/99) P. 19; Watson, Rip


SSPC Initiates California Distribution of Biodiesel Fuel

Southern States Power Co. and NOPEC Corp. have signed a deal that will distribute between 4 and 8 million gallons of biodiesel fuel in California.

SSPC is pursuing potential buyers for biodiesel from its distribution site in San Bernardino, Calif.

est results suggest that OXyG B-60 biodiesel fuel, available from SSPC, produces lower emissions than its competitors. Both the California Air Resources Board and the Environmental Protection Agency urge lowering soot emissions, and increased fines and contracting preferences are in force to reduce the emissions.

SSPC biodiesel keeps engines cleaner and better lubricated than oil-derived diesel, and users can get Alternative Fueled Vehicle Credits from the federal government. Further biodiesel emissions tests are now under way at the private Emission Testing Services laboratory. PR Newswire (07/20/99)


Widespread Acceptance Eludes Technology

Although bar codes on truckers' papers can help speed up processing of shipments, the codes are rarely used, and even more rarely used by different parts of a supply chain in cooperation.

Unlike the familiar one-dimensional bar codes seen on consumer products, the newer two-dimensional codes are scanned in two directions and can encode a great deal more data.

Thomson Consumer Electronics says it derives bottom-line benefits from using PDF 417 2D bar codes from Symbol Technologies on its bills of lading.

"The information is on the truck instead of on some network someplace," says a Thomson supply-chain manager.

Other 2D codes in use are MaxiCode, created by United Parcel Service, and Data Matrix, available from RVSI Acuity CiMatrix.

UPS is encouraging widespread use of MaxiCode by electing not to copyright the system, and a company official says MaxiCode automation allows UPS to manage its 1.9-million-square-foot Chicago shipping hub more efficiently.

But shippers that rely on outside carriers have greater hurdles to adopting bar-codes, since they have to persuade their carriers to use the technology as well. Journal of Commerce (07/21/99) P. 1; Atkinson, Helen


Developer Proposes Truck Terminal

Members of the Chicago Ridge Village Board are considering approving a $7.2 million truck terminal that would be partly paid for by tax increment financing, which funds improvements in areas with rising property values using piggyback property taxes. Terminal backers say they will built a sound barrier around the terminal, and make landscaping and infrastructure improvements. Daily Southtown Online (07/20/99); Smith, Lisa

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