A.M. Executive Briefing - Feb. 9

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This Morning's Headlines:

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  • Labor Federation to Give Teamsters $500,000 in Support for Trucking Strike
  • Mascara Seeks Probe of Oil, Diesel Fuel Costs
  • North Charleston, S.C.-Based Trucker Moves Into Flower Business
  • Trucking's Safety Rate Improves
  • Speeders – Including Big Trucks – Targeted By Legislation
  • Legislative Proposal Would Ban 'Jake Brakes' On Trucks
  • Federal Grant Boosts Train-Truck Facility

    Labor Federation to Give Teamsters $500,000 in Support for Trucking Strike

    The AFL-CIO Tuesday took the unusual step of vowing a $500,000 grant in support for the Teamsters' strike of Overnite Transportation.

    Teamsters President James P. Hoffa said the union would heighten its efforts to convince customers to abandon Overnite, begin pressing Union Pacific board members on the issue, and go to the public with a broadcast campaign. The Teamsters support a boycott of important Overnite customer Bed Bath & Beyond.



    The AFL-CIO's backing of the strike is relieving some discord between Hoffa and AFL-CIO President John J. Sweeney, who was a supporter of former union President Ron Carey. New York Times (02/09/00) P. 14A; Greenhouse, Steven


    Mascara Seeks Probe of Oil, Diesel Fuel Costs

    Rep. Frank Mascara (D-Pa.) wrote to Attorney General Janet Reno to request a Justice Department probe of the severe increase in diesel and home heating oil prices. Although the prices rose with demand as expected, he wrote, "the magnitude of these prices has come unexpectedly." He added that the spike was particularly high in the Northeast and Mid-Atlantic and that "some have suggested that forces other than the free market may be at work."

    At the New Stanton West Truck Plaza and Smithton Truck Stop in Pennsylvania's Mon Valley, diesel prices per gallon rose from $1.669 and $1.649, respectively, to $1.899 and $1.869 in the week and a half up to Monday. The prices there are above the national average. Valley Independent (Mon Valley, Pa.) Online (02/08/00)


    North Charleston, S.C.-Based Trucker Moves Into Flower Business

    U.S. Trucking has acquired Checkmate Truck Brokerage and Maverick Truck Brokerage, a pair of Florida-based firms specializing in handling cut flowers and produce. The addition of Checkmate and Maverick will increase the South Carolina-based trucking company's sales operations in fee-based businesses, said President and CEO Dan Pixler.

    Fee-based businesses currently make up 70% of U.S. Trucking revenues; Pixler expects the newly acquired companies will boost U.S. Trucking revenues above the $65 million mark and contribute to earnings within the first year. Charleston (S.C.) Post and Courier (02/09/00); Parker, Jim


    Trucking's Safety Rate Improves

    Although the deadly January crash on Interstate 19 near Platte City, Kansas, which involved 24 vehicles including five semis, shows that truck crashes can be dangerous, an expert said such crashes are rare. And the rate of deadly truck crashes has been even since 1992 although miles traveled went up close to 40% in 10 years through 1997.

    Daniel Blower of the University of Michigan Transportation Research Institute said among more than 4,500 truck crashes in 1997, only three killed at least 10 people, the number who died in the January wreck. As the amount of trucks rose due to the strong economy and the increase in just-in-time delivery, the rate of deadly accidents per 100 million miles traveled has stayed around 2.6 since 1992, 32% lower than the 1988 figure.

    The Kansas Highway Patrol has become concerned that it cannot cope with the increase in trucks on the highways. The patrol wants to be able to keep weigh stations open around the clock and add patrols on highways where there are no weigh stations, but it does not have enough people or money.

    The situation is likewise with the Missouri Highway Patrol; Commercial Vehicle Enforcement Division Chief Jim Van Zandt said "the big majority of trucks are in good shape," but the patrol needs to target the remaining few. Kansas City Star (02/08/00) P. B1; Cronkleton, Robert A.


    Speeders – Including Big Trucks – Targeted By Legislation

    Missouri state Sen. Ken Jacob (D-Columbia) Tuesday testified before the Transportation Committee regarding his bill, SB841, that would lower the maximum truck speed to 65 mph from 70 mph and force trucks over 24,000 pounds to use the right lane in most situations.

    Missouri Motor Carriers Association lobbyist George Burruss said the association wants all vehicles to be held to the same speed limits and disagreed with Jacob's statement that truckers ignore speed limits and safety. Sen. Bill Kenney (R-Lee's Summit), a member of the Transportation Committee, said the safety problem is not just due to trucks, so they should not be the sole focus of the bill.

    Burruss backed legislation from Sen. Betty Sims (R-Ladue), SB792, that would cut the limit for all vehicles to 65 mph due to an increase in rural highway fatalities since the limit went up in 1996. The real need is enforcement of laws, not new laws, said Committee Chairman Danny Staples. Associated Press (02/08/00) ; Sloca, Paul


    Legislative Proposal Would Ban 'Jake Brakes' On Trucks

    The Illinois House Transportation Committee Tuesday voted in favor of House Bill 2958, which would allow localities to limit engine brake usage.

    The Mid-West Truckers Association's Don Schaefer said in opposition to the legislation that the brakes are helpful in emergencies and the ones in new trucks are not as noisy as in older trucks.

    The sponsor of the bill, Rep. Susan Garrett (D-Lake Forest), said some truckers may be using the brakes when not necessary and hoped truckers would go slower in residential areas where the brakes are banned.

    The vote mainly saw Republicans against the bill and Democrats in favor. Copley News Service (02/08/00)


    Federal Grant Boosts Train-Truck Facility

    The Economic Development Administration of the U.S. Commerce Department has granted $750,000 to Presque Isle, Maine, for road reconstruction around the new city-owned intermodal facility at

    he Skyway Industrial Park. The facility, managed by Bangor-based Logistics Management Systems, is the only intermodal site in northern Maine. The improvements are also being backed by $200,000 from the state Economic and Community Development Department and roughly $320,000 from the city. Bangor Daily News (02/08/00) ; Sund, Debra

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