Changes to the Single State Registration System
The UCR Agreement will replace the current SSRS, which will expire on January 1, 2007, in accordance with section 4305(a) of SAFETEA-LU. Under the UCR Agreement, the USDOT Number will be the sole Federal identification number for all motor carriers.
SSRS is a State-administered registration program covering for-hire interstate motor carriers. SSRS ensures that all interstate for-hire motor carriers maintain public liability insurance at the appropriate levels and are properly authorized to operate under 49 U.S.C. 13902. A motor carrier must choose a single participating State in which to file its SSRS application. Usually a carrier is able to select the State in which it maintains its principal place of business. However, if that State is not a participating SSRS State, the carrier must select an SSRS-participant State in which it will operate the largest number of commercial motor vehicles in its fleet during the next registration year. Regardless of how the motor carrier makes the selection, the selected State is known as the "base" State and collects fees on behalf of all the participating States in which the motor carrier operates. A Canada- or Mexico-domiciled motor carrier also must select the State in the United States in which it most frequently operates as its base State for registration purposes.
Currently, 38 States participate in SSRS, and they use this registration system to generate revenues to supplement State general fund accounts and to conduct safety-related services. Historically, the for-hire motor carrier industry has complained about the cost of this program. Under section 4305 of SAFETEA-LU, Congress brokered a compromise that lowers the costs of for-hire motor carrier registration under SSRS while keeping the 38 participating States "whole" in terms of the amount of revenue they receive under SSRS. Congress accomplished this by spreading SSRS user fees to include a broader population of registrants and entities currently not required to register. By including private motor carriers, brokers, freight forwarders, leasing companies, and exempt for-hire motor carriers in the UCR Agreement, Congress lowered the registration costs for for-hire motor carriers and ensured that the SSRS States do not lose essential funding for safety services. SAFETEA-LU tasked the Board of Directors with developing an appropriate registration fee structure as well as a distribution formula for fees collected. For more information, visit the FMCSA website.