NAFTA Cross-Border Activities John Gray, FMCSA Jan Balkin, - - PowerPoint PPT Presentation

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NAFTA Cross-Border Activities John Gray, FMCSA Jan Balkin, - - PowerPoint PPT Presentation

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NAFTA Cross-Border Activities John Gray, FMCSA Jan Balkin, TML/NADSF 1/7/2006 2006 Audit Workshop 1 NAFTA Overview 1982 Congressional moratorium on USDOT grants of authority to Mexican and Canadian carriers 1992 US/MX/CN

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SLIDE 1

1/7/2006 2006 Audit Workshop 1

NAFTA Cross-Border Activities

John Gray, FMCSA Jan Balkin, TML/NADSF

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SLIDE 2

1/7/2006 2006 Audit Workshop 2

NAFTA Overview

1982 – Congressional moratorium on

USDOT grants of authority to Mexican and Canadian carriers

1992 – US/MX/CN sign NAFTA 1995 – Operations throughout border

states

2000 – Operations throughout US

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SLIDE 3

1/7/2006 2006 Audit Workshop 3

US/Mexico Truck Traffic on US Highway Network, 2020 (Tons)

Federal Highway Administration Office of Freight Management and Operations

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SLIDE 4

1/7/2006 2006 Audit Workshop 4

Ground Transportation - Responses

  • Purchase majority ownership in Mexican

companies

  • Interline agreements
  • FMCSA accepted Mexican carrier applications for

US authority but did not act on them

  • Additional congressional requirements imposed

for safety considerations

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SLIDE 5

1/7/2006 2006 Audit Workshop 5

Ground Transportation - Responses

2001: USDOT begins planning for eventual

  • pening – Working Group

Collaboration with Canada, Mexico, States,

IRP/IFTA organizations

Formation of Working Group

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SLIDE 6

1/7/2006 2006 Audit Workshop 6

NAFTA Fuel Tax and Registration Working Group

US Border States of Arizona, California, New Mexico,

Texas

IRP Inc. IFTA Inc. USDOT Secretariat of Communications & Transportation

(USDOT-equivalent)/Economía (Commerce Dept- equivalent)/Hacienda (Treasury Dept-equivalent)

Transport Canada

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SLIDE 7

1/7/2006 2006 Audit Workshop 7

How the Working Group Fits In

Facilitate cross-border operations

Based on 3-step framework

Long-term – Mexico joins IRP and IFTA Interim – Mexican carriers base in border states Short-term – Trip permit operations

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SLIDE 8

1/7/2006 2006 Audit Workshop 8

Principles Adopted

Pursue vision of 3-step process Develop timelines Recognize constitutional and legislative

limitations of each entity

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1/7/2006 2006 Audit Workshop 9

Principles Adopted

Consistent with provisions of NAFTA, no

impediment to commerce

No single state bearing an unreasonable

administrative or financial burden on implementation

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SLIDE 10

1/7/2006 2006 Audit Workshop 10

Schedule Targets

Interim solution: Summer 2006 (for

planning purposes)

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SLIDE 11

1/7/2006 2006 Audit Workshop 11

US Operational Issues Discussed

Assignment of Mexican registrants (IRP),

licensees (IFTA)

Credentialing of Mexican carriers

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1/7/2006 2006 Audit Workshop 12

Operational Issues, continued

Audit requirements Fee/Tax Collections

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1/7/2006 2006 Audit Workshop 13

Address operational issues to be implemented

Here to listen to audit discussions Identify common concerns that may affect border

states’ audit activities of Mexican carriers

Take back to Working Group to identify additional

training, educational opportunities

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SLIDE 14

1/7/2006 2006 Audit Workshop 14

Next Steps

  • Internal state preparations
  • Continued collaboration between USDOT/SCT/TC
  • Training and educational opportunities for Mexican

carriers (use MX SCT, carrier “chambers” (trade associations)

  • Track account volumes
  • Evaluation component
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SLIDE 15

1/7/2006 2006 Audit Workshop 15

Summary

Working toward interim solution Continue US/Mexico/Canada cooperation Address other issues as they arise Be prepared to implement when border

  • pens officially
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1/7/2006 2006 Audit Workshop 16