TLC Logistics Management

National Private Truck Council
FMCSA EXPLAINS U.S.-MEXICO TRUCK PILOT PROGRAM TO HOUSE

Senate FMCSA Administrator John Hill and DOT Secretary Mary Peters have testified on Capitol Hill before House and Senate Committees to explain and justify the new pilot program that would open the borders between the U.S. and Mexico for unrestricted truck access. On March 13, 2007 Administrator Hill addressed the House Transportation and Infrastructure Committee's Subcommittee on Highways and Transit. He noted that the cross-border trucking provisions of the North American Free Trade Agreement were originally planned to commence in December 1995 with transportation between Mexico and the four Border States (Arizona, California, New Mexico, and Texas), and was to have been fully implemented by January 1, 2000. In December 1995, Transportation Secretary Pe–a announced an indefinite delay in opening the border to long-haul Mexican commercial trucks to address legitimate concerns about the safety of Mexican trucks that would be traveling on U.S. highways.

Hill argued that those safety concerns have now been addressed and it is time for the U.S. to live up to its obligations under NAFTA. He stated that the Administration is implementing a limited one-year demonstration project to authorize up to 100 Mexican trucking companies to perform long-haul operations within the U.S. These companies will be limited to transporting international freight and will not be authorized to make domestic deliveries between U.S. cities. Likewise, under this program, Mexico will grant authority to an equivalent number of U.S. companies to make deliveries between the U.S. and Mexico. This will be the first time that American trucks have been allowed to make deliveries in Mexico in over twenty-five years.

The U.S. and Mexican governments have established two groups to provide oversight for the demonstration project. The first, a bi-national group, will provide continuous monitoring of the project and identify and resolve any implementation issues as they arise. The second, an evaluation group composed only of U.S. representatives knowledgeable with the issue, will be tasked with measuring and evaluating the results of the demonstration project. The Administration believes that this combination of monitoring and oversight will provide the means for addressing implementation issues in a timely fashion and also an independent means for objective evaluation of the project once it is complete.

In addition, House members have asked the Inspector General to conduct a separate review of the demonstration project to ensure the 100 carriers participating in the program are in full compliance with all U.S. federal motor carrier safety laws, including pre-authorization safety audits.

On March 8, 2007 SOT Secretary Peters made similar comments to the Senate Appropriations Subcommittee for Transportation. She noted the economic benefits that have accrued under NAFTA, including $2.4 billion in daily trade among the U.S., Mexico and Canada. She also described the pre-authorization safety audits by U.S. personnel that will take place at the Mexican carriers' place of business in Mexico.

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