1. NAFTA Cross-Border Trucking Demonstration Project Update
Kirk Davenport
IFTA Annual Business Meeting
July 15 – 16
Manchester, NH

2. EXPECTATIONS September 7, 2007 One Year Project
100 Mexico-Domiciled Carriers
500 Trucks
Demonstration project extended on August 6, 2008 for two additional years

3. PARTICIPATION 29 Mexican carriers issued OP-1 operating authority
Minus 2 Minus 2 = 25 actual participants
101 trucks
85% of all trucks trips by the participants were within the border commercial zone

4. Why Low Participation
Uncertainty on whether the OP-1 operating authority granted under the demonstration project would continue
Additional costs of insurance for long-haul operations beyond the commercial zone
Participants had to operate under a single operating authority (i.e., could not have part of fleet with OP-1 for long-haul operations and part of fleet with OP-2 for operations only within the border commercial zones

5. Independent Evaluation Panel Report to U. S
Independent Evaluation Panel Report to U.S. Secretary of Transportation October 31, 2008
Meaningful statistical evaluation is not possible because of the low level of participation and that most of the participating trucks operated within the commercial border zone
Participants had a lower out-of-service rate than US-domiciled trucks
No crashes involving Mexican carriers participating in the demonstration project

6. Conclusion
March 11, 2009
Fiscal Year Omnibus Appropriations Act signed by the President, which included a provision prohibiting FMCSA from spending any additional funds on the cross-border trucking demonstration project
FMCSA immediately issued letter to participants revoking their
OP-1 operation authority
FMCSA restored OP-2 operating authority for participants who had an OP-2 prior to the demonstration project

7. U.S. Carriers Operating in Mexico
11 U.S. carriers issued authority to operate in Mexico
U.S. carriers will continue to operate in Mexico

8. Federal Motor Carrier Safety Administration NAFTA Web Page
Independent Evaluation Panel Report
to the
U.S. Secretary of Transportation
Federal Motor Carrier Safety Administration
NAFTA Web Page

9. QUESTIONS