Our Schneider Downs Transportation & Logistics Industry Group members attended the 2024 National Accounting and Finance Council Conference (NAFC ) of the American Trucking Associations (ATA).
The three-day conference covered many current topics related to the trucking industry including taxation, finance, risk management, technology management and ESG. This article is the first in a series that will recap what we believe to be vital information for our industry from the conference.
The first session was the annual report from Rebecca Brewster, President and Chief Operating Officer of the American Trucking Research Institute. She covered the 2024 New Research Priorities which included:
- Mining Driver Demographic Data to Identify New Pathways to Trucking Careers.
- Impact of Nuclear Verdicts
- Comprehending the Scope of Cargo Theft in the U.S.
- Calculating the Cost of Truck Traffic Bottlenecks
- Federal Excise Tax (FET) Cost-Benefit Analysis
Another main portion of the presentation recapped the 2023 Top 10 Trucking Industry Issues, including :
- Economy – Issues such as inflation, interest rates, diesel prices and freight demand were top economic concerns of the survey respondents.
- Truck Parking – This issue has been included in the survey for the past several years. There has been a 65% increase in funding for truck parking projects under the US DOT’s High Priority Grants Awards, but there is still significant work to do.
- Fuel Prices – This was the number one concern in the prior year. Fuel prices have climbed to be an even higher percentage of total operating costs in recent years.
- Driver Shortage – The driver shortage has dropped in ranking over the past few years. This might be a direct result of the softer freight market.
- Driver Compensation – Due to recent compensation increases and the soft freight demand, this issue dropped in importance to the survey respondents as compared to the prior year.
- Lawsuit Abuse Reform – Also known as tort reform, this issue has been an industry focus for many years. The related increase to insurance rates for all carriers regardless of safety records or crash history impacts all trucking companies.
- Driver Distraction – This issue mainly concerns the distraction of the automobile drivers sharing the road with truck drivers. This was the top concern of law enforcement personnel who completed the survey. A push for harsher penalties and more aggressive enforcement of distracted driver laws for all road users is a priority.
- Driver Retention – This has moved down the list in the past few years along with the driver compensation issue. Again, it could be a result of the softer freight market.
- Detention / Delay at Customer Facility – This could be another result of the softer freight market, but it has been a longstanding issue and will continue to require the attention of shippers and haulers.
- Zero-Emission Vehicles – This is the first year that Zero-Emission Vehicles has appeared on the list. Since several states are aggressively pushing these standards, it is anticipated that it will remain a concern. Issues such as the high cost of the equipment and the lack of charging infrastructure are some of the hottest topics in the industry.
The session also covered a recently released report about renewable diesel as an alternative pathway to decarbonization, which generated significant discussion within the attendees, since the renewable diesel path seems more reasonable from an infrastructure, and capital expenditure perspective, and ultimately lesser impact on the overall environment. As a side note, the IRS recently released guidance on the Clean Fuel Production Credit that goes into effect on January 1, 2025. This credit is expected to drive down the price per gallon of renewable diesel and increase its availability to purchase throughout the country.
Finally, Ms. Brewster shared the next research report: Challenges and Opportunities for Improving Accessibility for Women Truck Drivers.
Schneider Downs’ Transportation and Logistics professionals possess the most current knowledge of transportation issues, regulations and trends, and can work with you to seek innovative ways to reach your strategic goals.
About Schneider Downs Transportation & Logistics Services
The Schneider Downs Transportation & Logistics industry group includes assurance, tax, technology and management consulting professionals who combine their individual expertise to serve transportation and logistics companies throughout the United States. We possess the capabilities and industry expertise to provide our clients with state-of-the-art technologies and timely communication of the most current and pervasive legislative and regulatory changes impacting the industry.
To learn more, visit our Transportation & Logistics Industry Group page.
