U.S. House legislation targets chameleon carriers

Active USDOT number, registration requirements included in bipartisan bill

truck side The REVOKE Act would amend federal law to require carriers operating certain commercial motor vehicles to maintain an active USDOT number. (vitpho/Getty Images)

Key Takeaways:Toggle View of Key Takeaways

  • Reps. David Taylor and Shomari Figures introduced the REVOKE Act on Sept. 4 to strengthen enforcement against chameleon carriers using new identities.
  • Supporters including ATA said stricter USDOT registration controls would help prevent unsafe carriers from evading oversight and undercutting compliant fleets.
  • The bill follows recent safety initiatives including the SAFE Act, FMCSA oversight proposals and a Trump administration fraud investigation targeting trucking operations.

[Stay on top of transportation news: Get TTNews in your inbox.]

U.S. lawmakers have introduced legislation aimed at cracking down on so-called chameleon carriers, a term for companies that evade discipline for safety and regulatory violations by shutting down and resuming operations under new names.

The Registration Enforcement for Vehicle Operations of Known Evaders (REVOKE) Act was introduced Sept. 4 by Rep. David Taylor (R-Ohio) and co-sponsored by Rep. Shomari Figures (D-Ala.). The bill would amend federal law to require carriers operating certain commercial motor vehicles to maintain an active U.S. Department of Transportation number.

It also would allow the secretary of transportation to immediately deactivate a USDOT number if a carrier lacks valid registration or fails to submit required periodic updates. In addition, the bill would prohibit the issuance of USDOT numbers until all registration requirements have been met.

“Chameleon carriers have dodged accountability by simply rotating their USDOT number and popping back up under a new name,” Figures said in a news release. “I’m proud to introduce this common-sense bill with Congressman Taylor to combat this issue and improve road safety for families in Alabama and across the country.”



American Trucking Associations supports the legislation, saying it would reduce the likelihood that chameleon carriers avoid detection by regulators.

Trucking executives argue that chameleon carriers undermine highway safety while underbidding carriers that invest in driver training and regulatory compliance. They contend that the practice creates competitive disadvantages for safer fleets and can contribute to dangerous operating conditions.

The bill is the latest in a string of recent legislative and regulatory efforts aimed at highway safety. In late July, Sen. Andy Kim (D-N.J.) and Sen. Todd Young (R-Ind.) introduced the Safety and Accountability in Freight Enforcement (SAFE) Act, which would direct FMCSA to study chameleon carriers and develop a tool to detect chameleon-carrier registration applications.

ATA also backed that measure, saying an automated detection system could help keep unsafe carriers off the road.

RoadSigns

RoadSigns has reached its 200th episode since its origins in 2018. Hosts Seth Clevenger and Michael Freeze reflect on how trucking tech has evolved and share the trends that have surprised them. Tune in above or by going to RoadSigns.ttnews.com.  

In February, Transportation Secretary Sean Duffy announced regulatory proposals designed to strengthen oversight of chameleon carriers, including modernization of systems used to verify motor carrier identities and revisions to procedures for suspending or revoking approval for noncompliant carriers and training schools.

In early September, the Trump administration also announced a multi-agency initiative to investigate fraud in the trucking industry, including at driving schools.

 

Newsletter Signup

Subscribe to Transport Topics

Subscribe  Gift a Subscription

FOLLOW US ON GOOGLE NEWS