THE TRUCKING INDUSTRY

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1 THE TRUCKING INDUSTRY Hauls 69.2% of total U.S. freight tonnage. Accounts for 80.5% of all freight revenues in the U.S. Over 80% of U.S. communities depend solely on trucking for delivery of goods and commodities. Employs one out of every 15 Civilian Workers in the U.S. (approx. 7.5 million).

2 Distribution of Tonnage by Mode: 2015 Truck Tonnage Only Source: U.S. Freight Transportation Forecast to 2026

3 Distribution of Revenue by Mode: 2015 Trucking is a $749 billion industry. Truck Revenue Only Source: U.S. Freight Transportation Forecast to 2026

4 TRUCKING s IMPACT ON VIRGINIA Trucking is the glue that holds Virginia s freight system together. While some shippers and receivers have direct service by rail, water, or air, the majority depend on trucks to move their goods - picking up and delivering to rail terminals, seaports, or airports, moving to and from warehouse and distribution centers, or delivering door-to-door. Any deficiencies in Virginia s trucking system have a direct ripple effect on other transportation modes, and throughout its economy as a whole. Source: Virginia Statewide Multimodal Freight Study, Phase I

5 TRUCKING s IMPACT ON VIRGINIA Trucks transport 86% of total manufactured freight tonnage. Over 86% of Va. communities rely exclusively on trucking for freight transportation service. Trucking employs 1 out of every 20 workers in Va. (150,490 jobs). Trucks transport 63% of container units moved through the Port of Virginia. Trucking pays 40% of all Highway User Taxes collected for Virginia, but represents only 6% of total VMT

6 VIRGINIA BECOMES TRUCKING FRIENDLY 1995/ One-Stop-Shopping at DMV IRP, IFTA, SSRS, Intrastate Operating Authority 1996/1997 Trucking Task Force Reforms Vehicle Sales Tax Exemption offset by increase in Registration Fees Permanent Trailer & Tractor Plates Personalized Plates for Trailers & Tractors Pre-payable Fines for Minor Violations

7 VIRGINIA BECOMES TRUCKING FRIENDLY 2003 Oversize/Overweight permitting transferred to DMV 2006 Eliminate Duplicate Safety Inspections for Trailers 2009 Weight Extension for APUs 2010 Eliminate Duplicate Safety Inspections for Power Units 2011 Business Logo Special License Plates for Fleets

8 VIRGINIA BECOMES TRUCKING FRIENDLY 2012 DMV led study of Oversize/ Overweight permit fees with stakeholders. Recommendations resulted in equitable fee structure effective 1/1/ Troops 2 Trucks Launched 2013 Reforms to Certification and Regulation of Oversize Load Escort Drivers.

9 DMV USES TECHNOLOGY TO ENHANCE CUSTOMER SERVICE FOR MOTOR CARRIERS EZ Fleet Title & Register Vehicles/Conduct other Vehicle-Related Transactions Online. webcat Electronic service to process vehicle titles, IRP & IFTA transactions. Apply for and receive credentials electronically, file quarterly tax returns, and submit payments direct from office.

10 DMV USES TECHNOLOGY TO ENHANCE CUSTOMER SERVICE FOR MOTOR CARRIERS Weigh Station Bypass Systems Weigh-in-Motion Drivewyze PrePass Since ,627,693 successful bypasses 34,108 metric tons emissions reductions 15,451,077 gallons of fuel saved $288,068,249 operational cost savings

11 DMV USES TECHNOLOGY TO ENHANCE CUSTOMER SERVICE FOR MOTOR CARRIERS Online Payment of Overweight Fines Online Hauling Permit System for OS/OW Loads Driver Alert Employee Driving Record Monitoring Program Model for National Initiative

12 Source: ATA s Truck Driver Shortage Analysis 2015 Source: ATA s Truck Driver Shortage Analysis 2015

13 Source: ATA s Truck Driver Shortage Analysis 2015 Source: ATA s Truck Driver Shortage Analysis 2015

14 Driver Shortage: Effects 1. Increases costs 2. Operational hardships 3. Difficult to add capacity 4. Freight delays

15 Driver Shortage: Solutions/Market Reactions Pay increases Lower interstate driving age/graduated CDL More at-home time (where possible) Improved driver image ( Former Military (Hiring Our Heroes, Troops 2 Trucks) Better treatment by the entire supply chain Fix congestion/infrastructure Driverless trucks? Not anytime soon

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