On Thursday, the American Trucking Associations applauded the House Appropriations Committee for voting to uphold a provision of the appropriations bill that would crack down on predatory towing.
The provision of the bill would direct the FMSA to facilitate discussions with stakeholders to develop guidelines for towing and recovery regulations at all levels of government.
“Charging truck owners thousands of dollars for each unwanted tow and holding cargo hostage with excessive invoices are egregious practices that disrupt our supply chain,” Chris Spear, American Trucking Associations (ATA) president & CEO, said. “ATA and our federation of state associations are fighting back against these predatory towers and ransom payments that target the truckers we depend on to deliver our nation’s goods. We welcome this important step forward to develop commonsense reforms that will inject more transparency and fairness into the system and hold unscrupulous companies accountable.”
ATA officials said predatory towing entails any incident where a towing operator severely overcharges; illegally seizes assets; damages assets by use of improper equipment; or illegitimately withholds release of a truck, trailer and/or cargo. A recent study by the American Transportation Research Institute found that 82.7 percent of motor carriers experience excessive rate and 81.8 percent experience unwarranted extra service charges.
The House Appropriations Committee voted 31-26 in favor of advancing the bill to the House floor. Last month, ATA applauded a number of other trucking victories in the legislation, including $200 million to expand truck parking.