BILL ANALYSIS
SENATE TRANSPORTATION COMMITTEE BILL NO: SB 1507
SENATOR KEVIN MURRAY, CHAIRMAN AUTHOR: Romero
VERSION: 4/9/02
Analysis by: Randall Henry
FISCAL:yes
SUBJECT:
Intermodal chassis.
ANALYSIS:
Existing law:
Authorizes an ocean marine terminal that receives and
dispatches intermodal chassis to conduct an intermodal
roadability inspection program in lieu of other
provisions that require every operator of certain types
of vehicles to cause the vehicle to be inspected at least
every 90 days or more frequently to ensure safe
operation.
Specifies that it is a misdemeanor to operate an
intermodal chassis on the highway other than to a place
of repair, until all defects discovered during the
inspection have been corrected.
This bill would:
Impose additional reporting responsibilities and
potential new legal liabilities on marine terminal
operators relating to the inspection and maintenance of
intermodal chassis, and enact various legal and
employment protections for the drivers of these vehicles.
BACKGROUND:
Biennial Inspection of Terminals Program
Under current law, the California Highway Patrol is
required to regulate the safe operation of commercial
vehicles, including trucks and buses. The law also
requires the operators of truck terminals to register with
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the department for the "Biennial Inspection of Terminals
(BIT) Program." As part of the BIT program, department
safety inspectors inspect these terminals every 25 months
and check for the following:
Enrollment in the "pull notice" program of the
Department of Motor Vehicles, under which commercial
vehicle operators are notified by the department
whenever the driver's license of an employee is
suspended or revoked or an employee is convicted of a
traffic violation.
Compliance with the laws limiting the hours of operation
for commercial vehicles and commercial vehicle drivers
("hours of service" laws).
Maintenance practices of the commercial vehicle operator,
including whether the inspection of brakes, steering and
suspension systems, tires and wheels, and vehicle
connecting devices has been completed on 90-day
intervals. (Under the BIT program, Vehicle Code Sec.
34505.5, motor carriers are required to perform these
inspections every 90 days, "Periodic Inspection by Motor
Carrier," and retain the pertinent written records of
these inspections.)
The California Highway Patrol is authorized to recommend to
the Public Utilities Commission that the operating
authority of unsafe operators be suspended or revoked in
the event of two consecutive "unsatisfactory" terminal
ratings or in the event of "imminent danger to the public."
Intermodal Roadability Inspection Program
Ocean marine terminals, port facilities that receive and
dispatch intermodal trailer chassis, that demonstrate two
consecutive satisfactory BIT inspections are authorized
(permissive) to engage in a variation of the 90-day
interval inspection program, the "Intermodal Roadability
Inspection Program." (An "intermodal trailer chassis" is
the steel undercarriage that is attached to a truck tractor
and is designed to hold and transport the large metal
containers that are used to carry cargo materials.)
The Intermodal Roadability Inspection Program was
established on a demonstration basis in 1994 (AB 1633,
Karnette), and made a permanent program in 1998 (AB 346,
Cunneen). It consists of the following elements:
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Each time an intermodal chassis is loaded with a cargo
container and dispatched from the marine terminal, a
safety inspection is conducted. This inspection
includes: brakes and suspension systems, tires and
wheels, vehicle connecting devices, and lights and
electrical system.
All inspections are recorded on a daily roadability
inspection report, which includes the following: positive
identification of the intermodal chassis, date and time
of each inspection, and signature of the marine terminal
operator or representative.
Records of each inspection are required to be retained
for 90 days at the terminal facility.
Vehicles determined to have any safety defects are
prohibited from operating on the roadway until those
defects are corrected.
The California Highway Patrol is authorized to have
complete access to any vehicle equipment records.
In addition, port facilities are required to comply with a
federal inspection program which provides for one annual
inspection of the marine terminal by federal officials.
COMMENTS:
1. Sponsor of measure
The sponsor of this measure, the California Teamsters
Public Affairs Council, contends that "(u)nder current law,
intermodal chassis that are used and are dispatched from
California's seaports are subject to infrequent inspection
and maintenance. As a result, this equipment is in
deplorable condition. The trucking companies and drivers
that service the ports do not own the chassis, but are
obligated by marine terminal operators to use the chassis
to transport intermodal containers to and from the port.
The drivers are legally responsible for the condition of
the chassis when it is on the highway, despite the fact
that they have no control over the maintenance of the
equipment. If they are stopped by the California Highway
Patrol or local police and it is determined that the
chassis is not roadworthy, it is the driver who receives
the citation."
2. Senate Bill 1507
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In light of these vehicle safety and driver issues raised
by the California Teamsters Public Affairs Council, this
bill would make the following changes to the Intermodal
Roadability Inspection Program and the Periodic Inspection
by Motor Carrier Program:
Require an inspector to "affix a green tag to a chassis
that has passed inspection and a red tag to a chassis
that has failed inspection. The tag shall contain the
name of the inspector and the date and time that the
inspection was completed and shall be placed in a
conspicuous location so that it may be viewed from the
rear of the vehicle."
Require that the inspection records be available to a
intermodal chassis driver or the authorized
representative of the driver.
Require that any citation issued for violation of the law
related to the defective condition of an intermodal
chassis shall be issued to the entity responsible for the
inspection and maintenance of the chassis, providing the
vehicle is not owned by the driver.
Require that a provision in a contract between an owner
or lessee of an intermodal chassis and a driver "that
contains a hold harmless or indemnity clause concerning
defects in the physical condition of that chassis shall
be void as against public policy."
Require the California Highway Patrol to recommend to the
Department of Motor Vehicles that a motor carrier permit
be suspended if any inspection conducted by the
California Highway Patrol "results in an unsatisfactory
rating due to conditions presenting an imminent danger to
the public safety or due to the operator's repeated
failure to inspect and repair intermodal chassis."
Provide that any driver that believes that an intermodal
chassis is unsafe may request that it be reinspected.
Require that a request for reinspection shall be recorded
in the intermodal chassis maintenance file.
Provide that "no commercial driver shall be threatened,
coerced, or otherwise retaliated against by any ocean
marine terminal operator for contacting a law enforcement
agency with regard to the physical condition of an
intermodal chassis or for requesting that the intermodal
chassis be reinspected or repaired."
3. Opposition
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Writing in opposition to this measure, the Pacific Merchant
Shipping Association noted the following:
SB 1507 selectively targets marine terminal operators
by seeking to
place new requirements and liability constraints on
intermodal chassis
that come out of marine terminals. The bill does not
address the liability,
safety, maintenance of those same chassis as they are
used in other locations
and by other facilities. The selective targeting of
these chassis seems to
coincide with the Teamsters organizing efforts, rather
than with safety concerns.
Unless the proponents of this bill have data that has
not been shared with the California Highway Patrol and
the industry itself, we are not aware of the
premise of this legislation-which is that intermodal
chassis which operate
out of marine terminals are defective in any manner.
This bill will increase a chassis owner's liability
and create a different standard of liability as
compared to others involved in commercial truck
transportation (and would create a new crime, unlike
other aspects of the trucking industry). It leads to
a fundamental question as to why this segment of the
industry is being targeted. If the regulatory
authorities such as the California Highway Patrol have
a concern, we would be pleased to engage in a
discussion of the problem and move towards solving it.
Absent verifiable data, we must oppose this
legislation.
4. Policy questions
The Committee may wish to consider the following policy
questions:
Are unsafe and unroadworthy chassis being dispatched
from marine terminals? Are law enforcement agencies
observing and citing unsafe chassis dispatched from
marine terminals?
Are the present inspection requirements for intermodal
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chassis inadequate?
Are drivers refraining from reporting unsafe chassis
because of the potential loss of employment or employer
retaliation?
Are the changes proposed by this bill warranted?
POSITIONS: (Communicated to the Committee before noon on
Friday, 4/19/02.)
SUPPORT: California Teamsters Public Affairs Council
(sponsor)
OPPOSED: Pacific Merchant Shipping Association
Port of Oakland
Steamship Association
of Southern California
Ocean Carrier Equipment
Management Association
Through Transport
Mutual Insurance Association
Marine Terminals Corp.
4/19/02