Roemer Report – April 2007

THE BORDER DEBATE CONTINUES: The Bush administration recently announced its intention of opening the U.S. border to Mexican trucks for a one-year pilot program by late April. The White House said the experimental program will allow 100 Mexican carriers to travel beyond the currently permitted 20-mile commercial zone and that no hazmat shipments will be allowed.  The border has been closed, due to concerns about the safety of Mexican trucks, since NAFTA took effect in January 1994. The president’s proposal faces strong opposition from many legislators, truckers, public safety organizations, and the Teamsters Union. The program requires that the U.S. Department of Transportation rely on Mexican data and procedures—such as drug and alcohol testing and physical qualifications—and that’s one thing that opponents don’t like. At a recent Congressional hearing, Charlie Parfrey, president of a Spokane, Washington, freight brokerage company, testified, “To allow Mexican trucks to have full rein of our country’s highways now would be unfair to American truckers who spend many hours and thousands of dollars a year complying with our tougher rules.” While several lawmakers say Congress should block the program on the grounds of national security, not all feel that way. The American Trucking Associations supports the pilot program, saying it will “ensure a level playing field in cross-border operations.” And John Murphy of the U.S. Chamber of Commerce described the program as “a welcome step toward reducing congestion and air pollution…while promoting economic growth and jobs.”

A HOT TOPIC: In late August, The Kansas City Star published an exposé on how oil companies are making extra money by selling “hot” fuel. Fuel expands when it gets warm, but gas stations and truck stops do not make adjustments for changes in fuel volume, nor do they regulate temperature. The result? Hot fuel costs consumers about $2.3 billion a year. The newspaper exposé prompted an uproar among consumers, politicians, and some state and local governments. But the topic is not news to the trucking industry. OOIDA, Land Line Magazine, and XM Satellite Radio have all reported on the issue in the last two years. Now that the mainstream media has picked up on the story, however, a number of actions are taking place, including: (1) The California Attorney General’s Office launched an investigation of gas stations and truck stops selling “hot” fuel. Although a company recently won approval from state regulators to sell temperature-adjusting gas pumps in California, the company dropped its plans after facing pressure from oil and gas businesses. The California Attorney General’s Office will now investigate whether the company was pressured not to sell its products. (2) Plaintiff groups in five U.S. District Court lawsuits in California, New Jersey, Missouri, and Kansas, want to see temperature compensation become mandatory at the federal level.

REAL ID OR REAL INTRUSION? The U.S. Department of Homeland Security is working to make Americans more secure, but one of its proposals has many claiming it’s doing the opposite. The Real ID Act of 2005 requires all state motor vehicle departments to collect personal information from driver’s license applicants and store it in a database that other state bureaus could access. Some lawmakers, though, say the May 2008 deadline is too soon, while others say the proposal raises too many unanswered questions. The biggest unanswered question concerns funding. The program will cost states anywhere from $11 billion to $20 billion. But what’s more troubling for some is the possibility of identity theft. Even if states secure the data, a determined hacker could have an ID made of his picture and fingerprint, but with someone else’s name. “This act makes us weaker, not safer…, because it makes all our personal information accessible in a single place,” said Tim Sparapani of the ACLU. In addition, stores that scan the licenses as ID could later sell the information to a data collection service for marketing purposes. And the position of truckers and four-wheelers alike could be tracked throughout the day. Maine’s state legislature voted to reject the Real ID program, and at least 10 other states are having similar debates.

THE FUTURE OF GPS: Global positioning system (GPS) technology has come a long way since truckers first started using it. While some still worry about the “Big Brother” aspect, many more are finding they can’t do without it. Global tracking these days is primarily intended to make drivers’ lives easier. The goal is to lighten drivers’ administrative duties (like filling in logbooks) and provide other features, such as routing options, that drivers find useful and even necessary. Prices are dropping too. “The product is constantly evolving and with technology evolving so fast it drives down the price of the devices,” said the vice president of sales and marketing of Prophesy Transportation Solutions. “Two years ago they [a Prophesy product] were twice as expensive.” What’s the future hold for GPS? Companies are constantly trying to develop new technologies that “deliver driver productivity as well as life enhancement,” according to the president of GeoLogic Solutions. One company plans to release software that tracks mileage by state, helping drivers do fuel tax reports. Another possible technology is a hard-mounted device that monitors braking and other driver functions and that is tied into a J-1708 port, the same port that monitors the engine or checks the odometer. Much of the GPS technology is intended to boost driver retention. One system, for example, includes an integrated transceiver/antenna that can automatically switch between cellular and satellite communications without intervention by driver or dispatcher. The product can also be used to view videos or family pictures.

SPEED LIMITERS GAIN MOMENTUM: The Executive Board Governors Highway Safety Association (GHSA) recently voted unanimously to require all trucks weighing more than 26,000 pounds to be fitted with speed governors, devices that limit speeds to no more than 68 mph. The American Trucking Associations as well as many large trucking companies and safety groups support the measure, while many smaller, independent carriers oppose it. The National Highway Traffic Safety Administration studied the idea in 1991 and concluded speed governors were not necessary. But with more traffic than ever on the nation’s highways, it’s possible the organization could reverse its opinion. A GHSA spokesman said, “This is a very reasonable proposal. Speed’s a neglected highway safety issue across the board.” Most independent truckers oppose the idea, according to Todd Spencer of OOIDA, because it would force them to drive slower than some traffic. “Thirty states have speed limits of 70 mph or higher,” said Spencer. “It makes no sense to have truckers operating below the speed limit.” The GHSA is a nonprofit association representing the highway safety offices of states and territories; governors appoint the members to administer federal and state highway safety funds and implement highway safety plans.

YOU COUNT SHEEP; THEY COUNT THE MONEY: Truckers aren’t the only ones with sleep issues. About 70 million Americans—one in three adults—have some kind of sleep problem. Doctors wrote 42 million prescriptions for sleeping pills last year, costing Americans more than $3 billion. But now, instead of popping pills or counting sheep, Americans have another aid: sleep spas. Sleep spas, one of the fastest growing health trends, offer a variety of services—ranging from sleep diagnoses to relaxation treatments—and are meant to feel more like a posh retreat than a trip to the doctor’s office. The New York Times put it succinctly: “Sleep is the new bottled water. Although it can be had free, it is increasingly being marketed as an upscale amenity.” A New Yorker in search of a good night’s rest can plunk down $319 (plus parking and breakfast) for a night at one spa where a “sleep concierge will help you select from 11 types of pillows for the ultimate night’s sleep.” Meanwhile, those in search of forty winks can fork over $12 at another chain of salons for a 20-minute siesta in a hexagonal “pod,” equipped with a recliner, relaxing music, and a cashmere blanket. But before you run out and buy that blanket, consider that most experts say, barring any sleep disorders, you can usually achieve a good night’s sleep by exercising regularly and avoiding caffeine, nicotine, and alcohol. Researchers also agree that relying on sleeping pills, alcohol, or television to induce sleep is not a good idea. In the end, whether you sleep in a pod, a luxury spa, or your own bedroom (where the pillow choice is sadly lacking), there is little difference in the quality of sleep.

MODEL THE WAY: Model leaders open our eyes, build trust, and inspire risk taking. People around these model leaders can’t help but admire and emulate them. Here’s a glimpse at how these leaders do it: (1) They know their values and voice them. Model leaders know what’s important to them; they have a core set of values and beliefs, and they’re not shy about expressing them. Values help guide them in their decision making and keep them on a clear path. (2) They walk the talk. Every decision and step they take shows what they believe in. They have dozens of opportunities every day to demonstrate their values—in meetings, one-on-one conferences, telephone calls, e-mails, and visits with colleagues. (3) They spend their time wisely. How people spend their time is the biggest indicator of what’s important to them. Others pick up on this and internalize it. People watch leaders for guidance and cues, especially during times of stress and challenge.

Nearly all men can stand adversity, but if you want to test a man’s character,
give him power.—Abraham Lincoln