September 5, 2013 2:00 PM, EDT

FMCSA Provides Brokers Extra Time to File Increased Bond Paperwork

The Federal Motor Carrier Safety Administration said it will provide additional time for freight brokers to supply proof they’ve increased their minimum surety bonds to $75,000 from $10,000.

FMCSA said in a Federal Register notice it was providing what it called “a 60-day phase-in period to allow the industry to complete all necessary filings” to comply with the law scheduled to take effect Oct. 1.

Bond companies that file the proof-of-purchase forms on behalf of brokers are not yet able to file paperwork because FMCSA’s online system is not yet able to process the information.

“The current filing system will be updated to accept the $75,000 requirement by Oct. 1,” FMCSA spokeswoman Marissa Padilla said in a statement.

Padilla also said brokers are still required to have the new bond minimum in place by Oct. 1.

FMCSA said that it will begin sending notifications Nov. 1 to brokers who have not met the deadline for the bond or supplied proof of purchase.

The agency said it would begin revoking freight forwarder and broker operating authority registrations 30 days after the notices are mailed out.