Dry bulk proposal to help the industry.
A couple of years ago I planned on coming out of retirement and planned on purchasing a Volvo and either a TIMPTE or WILSON hopper. Possibly a couple of each. However, due to an illness this was put on the back burner and why those of you I have talked to in the past have not seen me around for a while.
With all the interference from the government in the trucking industry, whether this concerns deregulation, the H.O.S. fiasco, or the stupid E.L.D. mandate, I believe the bulk load division has been hurt the most. Consequently, with all the time I have on my hands, I have come up with some ideas that I would like to share with you folks and receive your opinions.
What difference does it make what kind of commodity is placed inside our trailers? There should no longer be a requirement that the rates per ton have any bearing on the cost for transporting these different products. In years past there were no difference in rates for dry/refer van loads from hauling a heavy load of food products than there was for hauling a load of Styrofoam. Of course, today there is a lot of undercutting of rates from mega companies like Swift. The mileage rate, and possibly additional services the shipper demands, is all that should matter. So, let’s get rid of the dollar and cents per ton rates and fight for proper compensation.
And I would love to see the trucking industry get back to being competitive with the idea of selling “Service”.
This is purely an example of my idea and the numbers expressed are in no way intended as my recommendation of what should be charged. These numbers were thought out only for my ease of calculations for the examples.
1. $1.875 per mile, for dead heading from base, or previous delivery location, to shipper.
2. $2.50 per loaded mile, or $125.00 per hour from check in with shipper to check out with receiver, whichever is greater. Hourly rate would account for wait and loading/unloading time at each facility. This is usually referred to as “demerge” charges.
3. A full day rate designed for local running back and forth from a field to storage facility, using the Feds mandate of 14 hours, would be $1,750.00.
4. A fuel surcharge will be imposed when the average fuel cost, per a driver’s/company’s home state, reaches $3.00 per gallon. The higher the fuel cost the larger the surcharge.
5. When a shipper requires that the trailer be washed/cleaned out prior to loading, the driver/company would be reimbursed for complying to the shippers demands.
6. No more discounting payments from shippers/brokers who pay promptly. Banks, or credit card companies, do not give us discounts for paying promptly. All payments for our services should be received N.L.T. fifteen (15) days after the service was completed. Late payments should be subject to a 25% surcharge.
7. Never refer to return loads as “back hauls”. These two words are just synomonous with the words “cheap rates”. A load going anywhere is purely a load.
I know you folks reside in various states and Canada. I would love to see a movement, or a way to organize, everyone in this industry to band together to improve bulk haul carriers rates for your own self-preservation.
To the nay-sayers who state, “What about the federal government? They are the ones who shoved de-regulation down the trucking industry’s throat”. Well, what about the feds? If the Dry Bulk industry tried to organize and create their own regulations, what will the feds do? Arrest everyone? Eliminate everyone’s rights and authorities? Can you imagine the lawsuits that would develop if they tried to do this? As President Reagan stated, the Feds are the problem.
One of the goals of de-regulation was the illumination of most of the common carriers and they were successful with this. Over the years I have written many letters to public officials about de-regulation, as well as the fiasco that developed when the changes to the original H.O.S. were put into effect. I personally know John McCain and the last time we talked about the subject I unloaded on him about all the ill effects de-regulation caused. I enlightened him on several things he, and his cronies, had no idea would happen. I can honestly tell you that by the time our conversation ended I had not become one of his favorite people. I have not lost any sleep over this.
Anyway, do any of you think my ideas have any merit? It is nice being back on this site again.
With Respects,
Jerry Ashley
With all the interference from the government in the trucking industry, whether this concerns deregulation, the H.O.S. fiasco, or the stupid E.L.D. mandate, I believe the bulk load division has been hurt the most. Consequently, with all the time I have on my hands, I have come up with some ideas that I would like to share with you folks and receive your opinions.
What difference does it make what kind of commodity is placed inside our trailers? There should no longer be a requirement that the rates per ton have any bearing on the cost for transporting these different products. In years past there were no difference in rates for dry/refer van loads from hauling a heavy load of food products than there was for hauling a load of Styrofoam. Of course, today there is a lot of undercutting of rates from mega companies like Swift. The mileage rate, and possibly additional services the shipper demands, is all that should matter. So, let’s get rid of the dollar and cents per ton rates and fight for proper compensation.
And I would love to see the trucking industry get back to being competitive with the idea of selling “Service”.
This is purely an example of my idea and the numbers expressed are in no way intended as my recommendation of what should be charged. These numbers were thought out only for my ease of calculations for the examples.
1. $1.875 per mile, for dead heading from base, or previous delivery location, to shipper.
2. $2.50 per loaded mile, or $125.00 per hour from check in with shipper to check out with receiver, whichever is greater. Hourly rate would account for wait and loading/unloading time at each facility. This is usually referred to as “demerge” charges.
3. A full day rate designed for local running back and forth from a field to storage facility, using the Feds mandate of 14 hours, would be $1,750.00.
4. A fuel surcharge will be imposed when the average fuel cost, per a driver’s/company’s home state, reaches $3.00 per gallon. The higher the fuel cost the larger the surcharge.
5. When a shipper requires that the trailer be washed/cleaned out prior to loading, the driver/company would be reimbursed for complying to the shippers demands.
6. No more discounting payments from shippers/brokers who pay promptly. Banks, or credit card companies, do not give us discounts for paying promptly. All payments for our services should be received N.L.T. fifteen (15) days after the service was completed. Late payments should be subject to a 25% surcharge.
7. Never refer to return loads as “back hauls”. These two words are just synomonous with the words “cheap rates”. A load going anywhere is purely a load.
I know you folks reside in various states and Canada. I would love to see a movement, or a way to organize, everyone in this industry to band together to improve bulk haul carriers rates for your own self-preservation.
To the nay-sayers who state, “What about the federal government? They are the ones who shoved de-regulation down the trucking industry’s throat”. Well, what about the feds? If the Dry Bulk industry tried to organize and create their own regulations, what will the feds do? Arrest everyone? Eliminate everyone’s rights and authorities? Can you imagine the lawsuits that would develop if they tried to do this? As President Reagan stated, the Feds are the problem.
One of the goals of de-regulation was the illumination of most of the common carriers and they were successful with this. Over the years I have written many letters to public officials about de-regulation, as well as the fiasco that developed when the changes to the original H.O.S. were put into effect. I personally know John McCain and the last time we talked about the subject I unloaded on him about all the ill effects de-regulation caused. I enlightened him on several things he, and his cronies, had no idea would happen. I can honestly tell you that by the time our conversation ended I had not become one of his favorite people. I have not lost any sleep over this.
Anyway, do any of you think my ideas have any merit? It is nice being back on this site again.
With Respects,
Jerry Ashley