December 17, 2003

Construction Industry Advancement Fund and CDTOA

Dear Trustees and CDTOA EC:

Following are some of the major issues your Industry Transportation Consultant has been dealing with to date.

The Coachella Valley has a problem that is not unique to Southern California, however, we have the attention of local politicians. We have been speaking with Senator Jim Battin and Assemblywoman Bonnie Garcia. With their assistance a meeting has been schedule with the Director of Caltrans San Bernardino and Riverside County. The Mayors from all 10 Cities in the Coachella Valley will be in attendance. We are addressing the problem with Truck Routing and the inconsistency from one jurisdiction into another. We have approached the City of Indio to work with them on their truck routing using the Supreme Court ruling regarding regulating legal trucks. We have explained to the City, that they now have a tool when resident calls in complain regarding truck traffic. They now can explain that due to the Supreme Court ruling that unless it is a safety issue, that can't just post a "No Trucks Sign". When they call the Politicians and complain, they can also refer them to the Supreme Court decision and still stay on good terms with their constituents. We believe that we have the answer to the Truck routing problem now and that they can't just post signs as they did in the past. The Thomas Guide, which is a tool that everyone is using daily, has primary streets and secondary streets. We are asking the Cities to post their Primary routes as they are listed in the Thomas Guide, which is information that is supplied by the Counties annually. The Thomas Guide doesn't recognize boundaries or jurisdictions as the individual cities do. This would allow commerce to flow from one jurisdiction into the next and establish Truck Route continuity. If this is accepted in the Coachella Valley as a pilot program then we can extend it throughout Southern California, and the entire state. We have had a tool all along but until the Supreme Court decision, the municipalities had no control in changing.

I was invited by Assemblywoman Bonnie Garcia to speak at a meeting that was scheduled on December 15th, 2003. City and County officials along with the Industry attended the meeting. We addressed the Authority to Regulate legal trucks. Which varies from which streets that they may travel to what time of the day. Cities have burdened the Industry by putting restrictions such as no trucks over 3 tons from 9 pm to 9 am, but it's ok during any other time. The issue isn't that the public street has any problems, but rather political. We explained that the Supreme Court ruling, City of Columbus v Ours Garage and Wrecking Service, Inc very clearly upheld that no state or political subdivision of a state may enact or enforce a law, regulation, or other provision having the force and effect of law, related to price, route, or service, of any motor carrier with the respect to the transportation of property.

The provision applied to all future and existing laws. The amendment, however, contained two important exceptions: 1) the preemption general rule shall not restrict the safety regulatory authority of a state with the respect to motor vehicles, and 2) the preemption general rule shall not restrict the authority of a state to impose highway route controls or limitations based on the size or weight of the motor vehicle

Court Decisions: On June 20, 2002, the U.S. Supreme Court decided the City of Columbus v. Our Garage and Wreckers Service. The court held that states could delegate safety regulations to political subdivisions, leaving it up to U.S. DOT to void any state or local safety laws or regulations upon finding that it has no safety benefit or would cause an unreasonable burden on interstate commerce. The U.S. Solicitor General's Office, arguing on behalf of FMCSA, argued that a federal regulatory scheme exists, whereby U.S. DOT is authorized to conduct and review proceedings to determine whether particular state safety laws and regulations governing interstate and intrastate motor carrier operations may be enforced or will instead be preempted. The government argued that the statutory scheme expressly contemplates regulatory proceedings in which U.S. DOT shall review municipal ordinances and regulations pertaining to the safety of interstate and intrastate commercial motor vehicle operations so that such regulations do not unreasonably burden interstate/intrastate commerce.

We have provided the local cities within the Coachella Valley a solution to the problem that this current Supreme Court ruling affects them as it does any other city or municipality within the State of California. I was in Sacramento on December 8th, and met with Chief Deputy Director of Caltrans, Tony Harris. We discussed our solution for the Cities in the Coachella Valley. He thought the idea would be something that would allow the cities to make changes immediately and work with the Trucking Industry. The state is working on addressing the guidelines or clear definition to "Safety". Our Industry needs immediate relief from the regulations that are an unreasonable burden to interstate/intrastate commerce.

We have given the Cities solutions to both of their problems. The first problem they have to deal with is the political issue. When constituents complain regarding noise, they can now explain to the resident that due to the Supreme Court ruling the matter is now out of their control. The Politicians can now use this Court case as a tool. The cities will no longer be able to regulate traffic because they don't want their streets worn out. The traffic isn't going to increase but rather less congestion by opening up all primary routes.

We have recommended that each city review the Thomas Guide map books and the Primary routing that is designated within the book. Every company uses this tool that is readily available and updated yearly. We have had the answer to this problem within our reach for years and now are requesting the Cities within the Coachella Valley try our solution. This will benefit the local businesses and industry that so desperately need relief from the high cost of trucking that they have been unnecessarily burdened with by their regulations. This also lowers the Air Quality problem that currently exists. We are asking the Coachella Valley to help the local businesses and the economy by working with Industry. We have explained that we are looking to test this program within the Coachella Valley and then hopefully take it throughout the state. This solution will not increase traffic but rather reduce congestion within each city, less pollution and a better economy. All the Cities promote better business and strive to have them open their doors within their city. We have given the Coachella Valley another incentive to open their business in the Coachella Valley, better business and business friendly.

The cities are going to meet with their legal departments and get back with us. The City officials did agree that this could be something that would work for everyone.
If this pilot program works in the Coachella Valley, this will increase profits to the entire Industry and help our economy as a whole.

Sincerely,

Gregory D. Dineen
Industry Transportation Consultant

Cc: John Hakel, AGC; Seth Hammond, MCOG;
Barbara Cunningham, ECA; Lee Brown, CDTOA;
Richard Lambros, BIA; Jim Burton, SCCA