Arkansas Trucking Report Vol. 22 Issue 1

Award-Winning Magazine of the Arkansas Trucking Association Vol. 22 | Issue 1 2017 | $4.95

JIM PHILLIPS
A Well-Oiled Machine

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UNPARALLELED UPTIME

By addressing the many factors that can infl uence uptime, we’ve been able to completely overhaul the
systems on the new LT Series to make it our most reliable truck to date, and we’ve simplified serviceability to
facilitate a considerable decrease in downtime. The end goal in the trucking industry is to drive the bottom

Unparalleled Uptimeline, and the key to that is increasing uptime. The new LT Series has made leaps and bounds to make sure
that our customers are experiencing more uptime than ever before.
By addressing the many factors that can influence uptime, we’ve been able to completely overhaul

the systems on the new LT Series to make it our most reliable truck to date, and we’ve simplified

serviceability to facilitate a considerable decrease in downtime. The end goal in the trucking industry

is to drive the bottom line, and the key to that is increasing uptime. The new LT Series has made leaps

and bounds to make sure that our customers are experiencing more uptime than ever before.

RUSSELLVILLE, AR Cooling module-New ground HVAC controls and front
(888) 806-6149 up design optimized for section-Completely redesigned
LT Series with extensive lab with automotive industry
143 State Rd. 331 North and field test validation. methodologies and designed to
Russellville, AR 72802 Forward lighting-New deliver best-in-class performance
robust fog light, designed for and reliability.
PINE BLUFF, AR durability and best-in-class
(888) 804-8124 lighting performance. Aftertreatment-New,
simplified, single can
4325 Highway 65 South SCR system.
Pine Bluff, AR 71602
LOWELL, AR Indirect vision- Cab wiring-All-new
(888) 706-6119 New design for harnessing, with more
807 S. Bloomington reliability and robust in-cab power
Lowell, AR 72745 improved distribution module.
LITTLE ROCK, AR serviceability. Improved termination and
(888) 827-2499 modular termination blocks
11401 Diamond Drive Operator controls & o er industry leading
instrumentation- reliability and uptime.
N. Little Rock, AR 72117 The new J1939 based
electrical architecture
is the modern industry
standard.

Source 1:
http://fleetanswers.com/content/understanding
-true-cost-fleet-vehicle-downtime

www.summittruckgroup.com

VOLUME 22 | ISSUE 1 2017 IN THIS ISSUE

F E AT UR E S

COVER STORY
A WELL-OILED MACHINE 20
NanoMech CEO Jim Phillips and the Arkansas
scientists behind better trucks

By Bethany May

CAPITOL WATCH
2017 LEGISLATIVE GAME PLAN 18
IRP, tort reform top ATA’s legislative priorities

By Steve Brawner

PRIVATIZATION: WHOSE ROADS ARE THESE, ANYWAY? 29
Public-private partnerships fall short for highway funding

By Steve Brawner

TRADE SECRETS
SMILE, YOU’RE ON IN-CAB CAMERA 33
Video event recorders keeping drivers safe
from bad driving and bad lawsuits

By Lacey Thacker

D E PA R T M E N T S

Up Front: by Shannon Newton 7
They Said It 9
News in Brief 11
Calendar of Events 14
New Members 16
Advertiser Resource Index 17
Stat View 36
Insider Trucking 37
The Last Word: by Stephanie Kane 38

ARKANSAS TRUCKING REPORT | Issue 1 2017 PHOTOS OF JIM PHILLIPS ON THIS PAGE
AND COVER BY JOHN DAVID PITTMAN.
5



Award-Winning Magazine of the Arkansas Trucking Association UP FRONT

Arkansas Trucking Report is owned by the Arkansas Trucking Association, HIGH GEAR
Inc. and is published bimonthly. For additional copies, to order reprints
of individual articles or to become a subscriber to ATR, contact Caitlin The Regular Session of the 91st Arkansas General Assembly convened on January 9,
Walraven at 501.372.3462. 2017. The following days of the legislative session are some of the busiest days of
the year for the Arkansas Trucking Association.
executive editor
SHANNON NEWTON All year, we listen to our members’ challenges in the state and identify ways we can
address those challenges, and while the wheels of ATA are always moving forward,
managing editor we tend to swing into high gear when our elected officials come to town.
BETHANY MAY
One of the biggest issues our carrier members are currently facing is the financial
contributing writers uncertainty stemming from litigation following an accident. You may have seen

STEVE BRAWNER LACEY THACKER
[email protected] [email protected]

JENNIFER BARNETT REED ANGELA THOMAS
[email protected] [email protected]

JIM HARRIS TODD TRAUB
[email protected] [email protected]

RENEE MILLER
[email protected]

art director
JON D. KENNEDY
The Freelance Co. LLC, [email protected]
production editors
SARAH SHEETS, KATIE THOMASON, DAVID O’NEAL

illustrator
BRENT BENNETT
[email protected]
photographers
JON D. KENNEDY, JOHN DAVID PITTMAN

the headlines about “nuclear verdicts” bankrupting small businesses and driving
up settlement and insurance costs for even the safest carriers. Right now, there is

a real opportunity to improve the legal climate in the state which will enable job

www.arkansastrucking.com growth and economic improvement.

president ATA is partnering with health and business groups to put a cap on non-economic
SHANNON SAMPLES NEWTON damages and lawyer’s contingency fees in civil actions and to ensure that punitive
[email protected] damage awards are reasonable and directly relate to negligence. We are working
on your behalf to educate lawmakers about the real threat of frivolous lawsuits,
director of operations protecting Arkansas businesses.
SARAH NEWMAN SHEETS
[email protected] Much of the time, the work we do for members is behind the scenes. We make the
calls, we draft the letters, and we correct misinformation with the help of our staff,
director of safety services lobbyists and board of directors — the cogs and gears you may not see slowly moving
DAVID O’NEAL and grinding forward. But for our latest efforts to address these specific industry
challenges, we will need your help.
[email protected]
The best way to confront an unhealthy legal climate and its effect on our economy
communications coordinator is to pass the necessary tort reform amendment through the legislature this spring
BETHANY MAY and ask Arkansas voters to add these reforms to the state Constitution next fall.

[email protected] This particular issue is important for trucking, but the opposition’s concerns will
be loud, and we need to make sure that Arkansans hear the voice of real business to
business development coordinator counter that noise. That voice is yours.
AMANDA LAMB
If you resolved to be more invested in local and state government in 2017, I invite
[email protected] you to take advantage of this advocacy opportunity. Or maybe, you have plans to
attend more educational sessions or promote your business better this year.
corporate services coordinator
KATIE THOMASON ATA can help you reach those goals too with a full calendar of workshops and
meetings including the 85th anniversary ATA Business Conference & Vendor
[email protected] Showcase in May and a new advertising/sponsorship opportunity, The Founders
Club, for brands looking to maximize exposure. Whatever you attempt this year,
executive assistant
CAITLIN WALRAVEN
[email protected]

CHAIRMAN OF THE BOARD
G.E. “BUTCH” RICE III

Stallion Transportation Group
President & CEO

BOARD OF DIRECTORS

MARR LYNN BEARDEN MARK MORRIS
Marrlin Transit, Inc. Morris Transportation, Inc.

President President

ALLEN BERRY PAT REED
Central States Manufacturing, Inc. FedEx Freight
Executive Vice President & COO
Transportation Director

CARL BOJA TRACY ROSSER
TravelCenters of America Walmart Transportation
Vice President Fleet Sales Senior Vice President

GREG CARMAN WAYNE SMITH
Carman, Inc. Wayne Smith Trucking, Inc.

President President

DAN CUSHMAN VICKI JONES STEPHENS
P.A.M. Transportation Services, Inc. C.C. Jones, Inc.
President
President & CEO

CRAIG HARPER MARTIN TEWARI
J.B. Hunt Transport, Inc. USA Truck
Executive Vice President & COO
President - Trucking

AL HERINGER IV TIM THORNE
Star Transportation, Inc. ABF Freight
President & CEO
Vice President

JEFF LOGGINS TODD VENABLE
Loggins Logistics, Inc. MHC Kenworth of Little Rock

President & CEO Branch Manager

ROB LYALL DOUG VOSS
Tyson Foods, Inc. University of Central Arkansas
Vice President - Transportation Associate Professor of Logistics

Distribution STEVE WILLIAMS
MIKE MCNUTT Maverick USA
Distribution Solutions, Inc. Chairman & CEO
CEO, Owner

An affiliate of the American Trucking it’s time to swing into high gear to achieve it.
Associations

Arkansas Trucking Association (ATA) is an Arkansas corporation of trucking
companies, private carrier fleets and businesses which serve or supply the
trucking industry. ATA serves these companies as a governmental affairs
representative before legislative, regulatory and executive branches of
government on issues that affect the trucking industry. The organization also
provides public relations services, workers’ compensation insurance, operational
services and serves as a forum for industry meetings and membership relations.
For information, contact ATA at: Shannon Newton
1401 West Capitol, Suite 185 President, Arkansas Trucking Association
Post Office Box 3476 (72203)
Little Rock, Arkansas 72201 Drivers Legal Plan
Phone 501.372.3462 Fax 501.376.1810
www.arkansastrucking.com

ARKANSAS TRUCKING REPORT | Issue 1 2017D rivers Legal Plan 7



THEY SAID IT

“If these jobs come back to the “We can’t make
tomorrow’s
U.S. they are going to be for people
sandwich with
who manage 1,000 robots in an yesterday’s
mayonnaise.
automated factory. It will be jobs We either move
forward or we let
for computer nerds, not the people conditions move us
backwards.”
who voted for Trump.”
—Outgoing Secretary of Transportation
—Christopher Balding, a finance professor at Peking University in Shenzhen, Anthony Foxx at the Transportation
commenting on why China is not concerned about the “Buy America Hire America” Research Board’s annual meeting in
campaign to bring manufacturing jobs back to the U.S. D.C. on the future of transportation

“Life is tough when you’re a bridge. “If you buy
a CD in the
You work for 85 years, stand up through store, you pay
taxes. If you
storms, rain, carry vehicles every day. Then download it
in your car in
at retirement, you don’t get a watch, you the parking
lot, you don’t.
don’t get a pension, you don’t get a thank It [the bill]

you. All they do is blow you up.” levels the
playing field.”
—New York Gov. Andrew Cuomo on Marbletown bridge being demolished so a new
one could be built —Sen. Jake Files (R-Fort Smith) on his
bill to make Arkansas the 35th state to
ARKANSAS TRUCKING REPORT | Issue 1 2017 pass an Internet sales tax

9

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NEWS IN BRIEF

DEAR DIARY, THERE’S NOWHERE the Electronic Logging Device (ELD) the business development role to take
TO PARK: ATRI STUDIES mandate will likely have on the parking
DRIVERS’ PARKING DILEMMA issue. Drivers utilizing ELDs were more over the advertising and publishing of
likely to spend over 30 minutes looking
The American Transportation for available parking than did drivers the trade periodical. Lamb will also be
Research Institute, the trucking indus- without an ELD.
try’s non-profit research organization, educating members about ATA’s newest
released the results of its Truck Parking Based on the diary findings,
Diary research, where commercial driv- ATRI’s report offers recommendations opportunity to support the association
ers provided detailed documentation for a number of industry stakehold-
of their challenges in looking for safe, ers, including public sector providers and its goals.
available truck parking. Participating of parking at rest areas, private truck
drivers recorded their parking experi- stop operators and motor carriers — all Lamb comes
ences and issues over 14 days of driving, designed to reduce the challenges faced
representing over 4,700 unique parking by commercial drivers when looking for to ATA with over
stops documented in the diaries. available parking.
10 years of retail
ATRI’s report brings important ATA NAMES NEW BUSINESS
granularity to the specific issues faced DEVELOPMENT COORDINATOR and office man-
by drivers compared to other truck park- AND ATA SUPPORT PROGRAM
ing studies. Among the findings, drivers agement experi-
looking for parking between the hours of Arkansas Trucking Association
4:00 p.m. and midnight face a conflu- is celebrating its 85th anniversary in ence. As the new
ence of challenges including increased 2017. In the new year, the association
search times, and truck parking spaces announced its bi-monthly magazine, business develop-
clogged by non-commercial vehicles, Arkansas Trucking Report, would be
which results in drivers parking in undes- transitioning publishing operations in- ment coordinator,
ignated or unauthorized locations such as house and naming Amanda Lamb to
roadway shoulders or ramps during those Lamb she will manage
same times. advertising and

ATRI’s diary research also docu- sponsorship sales for the association’s
mented the amount of lost revenue time
that drivers experience by parking ear- publications and events as well as
lier than they otherwise needed to, just
to find parking. With an average of 56 inviting members to join The Founders
minutes of revenue drive time sacrificed
by drivers per day, the parking shortage Club, a new program that allows loyal
effectively reduces an individual driver’s
productivity by 9,300 revenue-earning supporters to bundle advertising and
miles a year, which equates to lost
wages of $4,600 annually. sponsorships with exclusive perks.

The ATRI truck parking diaries also The Founders Club allows mem-
quantified the negative impact that
bers to choose between two packages

to match their budget and maximize



ARKANSAS TRUCKING REPORT | Issue 1 2017 11

NEWS IN BRIEF,

Continued from page 11

exposure at over 30 ATA events and in tions. They’ve been in testing in both ditions were more likely to have been
its publications throughout the year. Europe and North America on public involved in a crash. The investigators
Founders will be recognized as leaders streets, and have even begun small-scale found that this group was at higher
in the industry and partners with ATA commercial service in London as of late risk for different categories of crashes,
in our efforts to make the industry last year. including accidents that caused injury,
safer, stronger and more successful. and that could have been avoided.
Daimler’s interest in robotic deliv-
Sponsorship sales have previ- ery isn’t limited to Starship; it also “What these data are telling us
ously been managed by ATA staff while invested in drone technology startup is that with decreasing health comes
Jennifer Matthews-Drake of Matthews Matternet, and debuted a drone delivery increased crash risk, including crashes
Publishing Group has been Arkansas van concept built using its Mercedes- that truck drivers could prevent,”
Trucking Report’s publisher for more Benz vehicle platform and the startup’s says the study’s lead author Matthew
than 18 years. During that time, she aerial quadcopters. Thiese, Ph.D., an assistant profes-
helped the association grow ATR’s sor at the Rocky Mountain Center
readership from 1,000 to more than DRIVERS’ HEALTH CORRELATES for Occupational and Environmental
25,000, not only saturating Arkansas TO CRASH RISK, STUDY SAYS Health.
but surrounding states and gaining an
impressive national reach. Commercial truck drivers with The new findings could mean that
three or more medical conditions carry one health condition, say diabetes, is
“As we bring Arkansas Trucking at least double the crash risk compared manageable, but diabetes in combi-
Report publishing operations under the to healthier drivers, reports a study pub- nation with high blood pressure and
ATA umbrella, we thank Jennifer for lished in the Journal of Occupational and anxiety could substantially increase a
helping make this possible and know Environmental Medicine and led by inves- driver’s risk. The results indicate that
Amanda will build on the success tigators at the University of Utah School improving driver health is an important
Jennifer has created,” said Shannon of Medicine. piece of improving highway safety.
Newton, ATA president.
This study’s examination of medi- “If we can better understand the
If you would like more informa- cal records from 49,464 commercial interplay between driver health and
tion about The Founders Club or truck drivers finds evidence that the crash risk, then we can better address
want to discuss advertising opportu- more health problems a driver has, the safety concerns,” says the study’s senior
nities, contact Amanda Lamb at more crash risk he or she may carry. author Kurt Hegmann, M.D., M.P.H.,
[email protected]. director of RMCOEH.
Matching drivers’ medical and
THEY SEE ME ROLLING: DRONES crash histories revealed that drivers
TO MAKE DELIVERIES IN THE with at least three of the flagged con-
AIR AND ON WHEELS

Daimler is helping fund Starship
Technologies, a startup created by Skype
founders Ahti Heinla and Janus Friis,
the WSJ reports, to help U.K.-based
Starship bring rolling drone deliveries to
city sidewalks around the world.

Starship’s six-wheeled autonomous
drones protect deliveries while regulat-
ing temperature during the last mile of
their journey to a customer’s doorstep.
Designed to stick to the ground as a
way to simplify the regulatory process,
the devices will face stricter safety vet-
ting when airborne.

The bots are equipped with an
array of cameras and sensors, and are
designed to be tamper-resistant and safe
to operate in a variety of weather condi-

12 Issue 1 2017 | ARKANSAS TRUCKING REPORT

CUT TWO REGULATIONS FOR The coverage you need. The guidance you trust.SM 
EVERY NEW RULE, TRUMP
ORDERS www.regionsinsurance.com LITTLE ROCK

In a string of executive orders ©2017 Regions. Regions Insurance is an affiliate of Regions Bank. Products 1500 Riverfront Drive
during his first two weeks in office, and services are offered by Regions Insurance Inc. and underwritten by Little Rock, AR 72202
President Donald Trump signed an unaffiliated insurance companies.  (501) 661-4800
order to reduce federal regulations by (800) 542-0226
requiring agencies to cut two existing
regulations for every new rule intro- FAYETTEVILLE
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“This will be the biggest such act Fayetteville, AR 72703
that our country has ever seen. There (479) 684-5250
will be regulation, there will be con-
trol, but it will be normalized control,” 13
Trump said as he signed the order.

The executive order is designed to
control regulation costs by instating a
cap that requires the cost of any new
regulations to be offset by voiding older
rules, a senior White House official
said.

Though Trump spoke passionately
about reducing federal regulations dur-
ing the campaign, this order has drawn
criticism for its ambiguity in defining a
regulation and its potential to increase
the time it takes to put new rules in
place because agencies will need to find
old regulations to repeal in order to off-
set costs.

Fortunately, the executive order
does not require that the repeal of the
two regulations be done simultaneously
with the release of additional rules, the
official said.

Certain categories of regulations
will be exempt from this new policy,
including those dealing with the mili-
tary and national security. The Office of
Management and Budget director will
also have the ability to waive this policy
in certain instances.

AMAZON TO RELIEVE
TRAFFIC CONGESTION WITH
UNDERGROUND TUNNELS

Amazon is considering delivering
goods via a network of subterranean
tunnels.

The Seattle-based company filed
a 33-page patent for a system of con-
veyor belts and vacuum tubes that move



ARKANSAS TRUCKING REPORT | Issue 1 2017

OCAFLEEVNEDNATRS NEWS IN BRIEF,

Continued from page 13

MARCH parcels and containers underground they can be published.
MARCH 1 achieving increased efficiency, more Trump’s order allows the Office
reliable deliveries and less traffic on the
ACCOUNTING & FINANCE roads as less delivery vehicles would be of Management and Budget to make
COUNCIL MEETING needed. exceptions but it was not immediately
Victory Building clear whether DOT was given such an
Little Rock, Ark. “A dedicated network delivery sys- exemption, whether the department
MARCH 7 tem may avoid congestion experienced was able to legally sidestep the order in
ELECTRONIC LOGGING DEVICE by traditional networks and enable some other way or whether DOT offi-
SEMINAR the delivery of objects from an origin cials decided to disobey the edict.
The Victory Building to a destination using… subterranean
Little Rock, Ark. or above ground elements,” the patent With this proposed rule, the
MARCH 9 states. department is aiming to add four opi-
ATA BOARD OF DIRECTORS oids — hydrocodone, hydromorphone,
MEETING Tesla’s Elon Musk also claimed in a oxymorphone and oxycodone — to its
Oaklawn Gaming & Racing tweet that he is going to build a tunnel drug-testing panel. It would also add
Hot Springs, Ark. boring machine “and just start digging” methylenedioxyamphetamine as a sub-
MARCH 29 because traffic is driving him “nuts.” stance looked for during initial testing
SAFETY MANAGEMENT and remove methylenedioxyethylam-
COUNCIL MEETING The Tesla and SpaceX CEO has sug- phetamine from its requirements for
Rogers, Ark. gested he could alleviate traffic conges- confirmation tests.
MARCH 30 – 31 tion with tunnels since January 2016.
NATMI ADVANCED ACCIDENT The rule would clarify certain
INVESTIGATION COURSE “It’s a really simple and obvious drug-testing requirements, remove “out-
Little Rock, Ark. idea and I wish more people would do dated” information and do away with
it: build more tunnels,” Musk said. certain requirements for submitting
APRIL blind specimens.
APRIL 1 – 30 NOTICE OF PROPOSED
RULEMAKING DESPITE TRUMP The revisions will align DOT’s
DISTRACTED DRIVING REGULATION FREEZE mandates with what the Department of
AWARENESS MONTH Health and Human Services has advised
APRIL 4 – 5 On January 23, DOT published for urine testing.
NATMI FLEET MAINTENANCE a Notice of Proposed Rulemaking to
MANAGEMENT CERTIFICATION amend its drug-testing program regula- CROSS-BORDER TRUCKING
Little Rock, Ark. tion, despite an order from President COULD BE IN JEOPARDY
APRIL 13 Trump barring federal agencies from
JOINT SMC & MTC MEETING publishing regulations in the Federal As the U.S.’s trade negotiations are
APRIL 23 – 27 Register. under the microscope, a cross-border
CVSA WORKSHOP trucking provision that allows Mexican
Atlanta, Ga. Trump’s order prohibits regulations trucks to carry freight across the U.S.-
from being published unless a Trump- Mexican border is vulnerable to repeal.
MAY picked agency chief signs off. It also
MAY 3 – 5 directed agencies to immediately with- 
draw any submitted regulations before
85TH ANNIVERSARY ATA Issue 1 2017 | ARKANSAS TRUCKING REPORT
ANNUAL BUSINESS CONFERENCE &
VENDOR SHOWCASE
John Q. Hammons Center
Rogers, Ark.
MAY 19
NATMI OSHA AUDIT
READINESS COURSE
Little Rock, Ark.
MAY 23 – 25
CALL ON WASHINGTON

14

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NEWWAETLACMOEMMBEE,RS! House Transportation Committee’s
top democrat, said he plans to bring
Together, We Are the Power of Association the issue up to Trump administration
officials to return to the system that
We welcome the following new members. Each new member makes Mexico responsible for crime
adds to the Arkansas trucking industry’s collective strength to management on their side of the
promote, protect and serve with a unified voice. border, claiming it was an efficient
process.
FOR-HIRE MEMBERS ALLIED MEMBERS
HURRICANE EXPRESS, INC. COTTINGHAM & BUTLER INSURANCE The International Brotherhood of
Colcord, Okla. SERVICES, INC. Teamsters agree with that sentiment
918.262.6025 Dubuque, Iowa and filed a lawsuit against DOT.
Number of Trucks: 74 563.587.5000
SLS TRUCKING, INC. Offers full service insurance coverage The Federal Motor Carrier Safety
Hope, Ark. focusing on the transportation industry Administration under President Obama
870.777.2451 ECO FLAPS defended the safety of the pilot pro-
Number of Trucks: 13 Brentwood, Tenn. gram, inspecting Mexican trucks more
PRIVATE CARRIER MEMBERS 615.398.0882 than 5,000 times, but the Teamsters
ARAMARK FOOD & SUPPORT Provides aerodynamic splash guards claimed the pilot program was too
SERVICES GROUP, INC. PELOTON TECHNOLOGY, INC. small with too few participants to
Philadelphia, Pa. Mountain View, Calif. extrapolate to the whole industry.
479.616.7919 650.690.2035
Number of Trucks: 1,063 Offers connected and automated vehicle The American Trucking
technology Associations has supported the cross-
For membership PRIORITY1, INC. border requirements for increasing
information, visit Little Rock, Ark. shipping efficiency.
arkansastrucking.com 888.569.8035
Provides third party logistics services The handoff between Mexican and
PULSAR INFORMATICS, INC. American trucks adds time and money
Philadelphia, Pa. to the shipping process.
215.220.4250
Provides fatigue risk management systems ATA spokesman Sean McNally
and services said, “Trade and trucking are synony-
mous, and the increased movement of
NEWS IN BRIEF, after a successful pilot program. freight yields more good paying jobs
Since talk began about reopening and growth in American companies.
Continued from page 14 We want to help the Administration
NAFTA, unions and opponents of the and Congress build a trade framework
In January 2015, the Department provision see the opportunity to roll- that helps grow our economy, includ-
of Transportation announced that back conditions, which previously only ing the trucking industry.”
Mexican motor carriers could apply for allowed Mexican trucks to drop off
authority to conduct long-haul, cross- freight 25-miles from the border and a As NAFTA stands now, Mexico has
border trucking services in the United driver from the a clear right to expect its truckers to be
States, increasing economic and export U.S. would pick able to deliver goods to the U.S., said
opportunities between the two coun- it up and carry it Brandon Belford, a former DOT official
tries, and marking a significant mile- across the border who worked on the Obama-era pilot
stone in implementation of the North to its final desti- program.
American Free Trade Agreement. It took nation.
more than 20 years after NAFTA went FMCSA still accepts applications
into effect in 1994 for the U.S. to finally Rep. from Mexican carriers despite the
allow trucks to move across the border Peter DeFazio pending court case. ATR
(D-Ore.), the
Issue 1 2017 | ARKANSAS TRUCKING REPORT
16

ADVERTISER
RESOURCE INDEX

Aon Transportation........... Inside front cover

Arkansas Trucking Association......17, 23, 27

Arkansas Trucking Report............................32 Exclusive. All-Inclusive. Simple.
ATRI............................................................13

Drivers Legal Plan......................................25 Patron
Great West Casualty..................................10
Help, Inc./PrePass......................................26 Utility Tri-State, Inc.
MHC Kenworth............................................8
NanoMech......................... Inside back cover Supporter
Regions Insurance......................................13
Aon
Drivers Legal Plan

Stephens
The Larson Group

Southern Tire Mart....................................15

Stephens Inc.................................................3

Summit Truck Group...................................4

TA/Petro.....................................................28

The Larson Group.........................Back cover

Utility Tri-State, Inc.....................................6

This edition of Arkansas Trucking Report In 1932, a small number of companies came together to lay the
was made possible with the support of foundation for today’s Arkansas Trucking Association --- the
these corporate advertisers. They support recognized voice for the trucking industry in Arkansas.
the trucking industry by enabling ATA to Members today continue to provide the support that builds
provide this publication to its members, upon those foundations. Founders Club members support ATA
prospective members, elected officials and the because they believe, like we do, that trucking is the backbone
national trucking and business community of our economy.
at large. They deserve your consideration
and patronage when making your corporate
purchasing decisions. Thank you!
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ARKANSAS TRUCKING REPORT | Issue 1 2017 17

2017 Legislative Game Plan

IRP, tort reform top ATA’s legislative priorities

By Steve Brawner

Contributing Writer

Improving Arkansas’ International
Registration Plan procedures and let-
ting voters decide on a tort reform
amendment top the Arkansas Trucking
Association’s priorities this legislative
session, with more funding for high-
ways, limiting worker’s compensation
exposure and legalizing truck platoon-
ing rounding out the wish list.

IMPROVING THE for example, has complete online acces- “We’ve had discussions with
REGISTRATION PROCESS sibility and allows license plates to be the people we need to have discus-
installed as the truck rolls off the fac- sions with, and they understand that
The ATA’s top priority is improv- tory lot. we’re asking for an improved level of
ing the state’s antiquated International service,” Newton said. “We’re ask-
Registration Plan (IRP) procedures. All “It’s roughly $30 to plate a truck in ing for the Department of Finance
trucks engaged in interstate commerce Oklahoma and roughly $10 to do it in and Administration to upgrade their
are required to register in a particular Arkansas, and everybody that has the software, and the fees in Arkansas are
state where they do business, qualifying option picks Oklahoma,” said Shannon significantly lower than all of the sur-
them to travel elsewhere. The IRP allows Newton, Arkansas Trucking Association rounding states, all the states that we
interstate motor carriers to register and president. want to compete with, and so we just
pay fees with one entity, rather than all want to invest so that we can have this
the states where they travel. Funds are Improving the state’s processes has greater level of service.”
disbursed to all of those states accord- been a two-year project that began dur-
ing to mileage and each jurisdiction’s ing the 2015 gubernatorial campaign. TAKING TORT REFORM
rules and regulations. See prior coverage of this effort in TO THE BALLOT
Arkansas Trucking Report Vol. 20 Issue
Arkansas’ administrative processes 4. As a candidate, Gov. Asa Hutchinson Tort reform is second on the list of
are out of date and cumbersome. First- said he would work with the industry the ATA’s priorities. The association is
time carriers are required to register for passage. Since then, the ATA has part of a coalition of health and busi-
by mail or in person at Department of been studying how the law should be ness groups facilitated by the Arkansas
Finance and Administration offices in changed to meet the industry’s needs. State Chamber of Commerce who are
Little Rock. After that, they can register Rep. Andy Davis, R-Little Rock, will trying to place a constitutional amend-
online. However, they must wait for sponsor the bill. ment before the voters.
licenses and credentials to arrive by
mail, leaving a new truck sitting idle. As of this writing, it wasn’t clear The proposed amendment, which
Because of that, many carriers send a what the new cost will be, but it is sponsored by Sen. Missy Irvin,
company representative to Little Rock to will have to increase to pay for the R-Mountain View, would include a cap
expedite the process with each truck. technology.
Issue 1 2017 | ARKANSAS TRUCKING REPORT
Other states have much more con-
venient, though slightly more expensive,
administrative processes. Oklahoma,

18

on noneconomic damages of $250,000 “SO MUCH OF WHAT MY MEMBERS ARE UP AGAINST
per claimant, with a maximum of IS DECIDED AT THE FEDERAL LEVEL, SO THIS
$500,000 allowed for the combined
beneficiaries of the decedent; a cap on PARTICULAR ISSUE IS SOMETHING WHERE WE FELT
punitive damages of three times the WE HAD THE OPPORTUNITY TO REALLY WORK ON
compensatory damage for each claim-
ant; and a cap on lawyers’ contin- AN ISSUE THAT CAN HAVE A DIRECT
gency fees in civil actions at 33 1/3% BENEFIT TO OUR MEMBERS.”
of the net recovery. The amendment
also would give more authority to the —SHANNON NEWTON, ARKANSAS TRUCKING ASSOCIATION
Legislature regarding judicial proce-
dures. The ATA’s third priority is to enact favor raising the motor fuels tax by 5-8
legislation allowing basic truck pla- cents per gallon, an amount that still
Passage would result in a campaign tooning, where trucks use cloud-based wouldn’t meet the state’s needs. The
to pass the amendment in the 2018 technology to travel at the same speed good news is that voters were willing
elections, but first it would have to be at closer than typical distances, reduc- to continue the half-cent sales tax they
referred by the Legislature. Legislators ing fuel costs. Under current Arkansas passed in 2012 to fund the Connecting
are allowed to refer up to three pro- law, all vehicles must maintain a 200- Arkansas Program. However, that
posed amendments, but leaders have foot following distance at all times. The tax will remain in effect until 2023,
said they want to limit that number to ATA is attempting to pass legislation meaning there is no urgency to extend
two, one from the House and one from that would allow shorter distances of it. About half of all voters supported
the Senate. perhaps 50-100 feet depending on the removing the sales tax exemption for
truck and road conditions. motor fuel at the wholesale level. The
For motor carriers, the cap on non- idea would generate immediate money
economic damages is the most impor- Commercial vehicles in the platoon for highways, but potentially it would be
tant of the proposed amendment’s would be required to have a driver in tough to sell in a political campaign.
provisions. Runaway juries have hit car- control at all times. The trucks would
riers hard, resulting in rising insurance also be required to communicate with The ATA’s fifth priority is creating
rates per mile. All of the states around each other digitally and would be a cap on the permanent and total dis-
Arkansas have caps on noneconomic equipped with forward and side colli- ability worker’s compensation require-
and punitive damages, making the state sion mitigation systems. ments. Such a cap would give carriers
an outlier and encouraging jury-shop- relief after legislators in 2016 voted
ping lawyers to file suit here. Newton said the Arkansas Highway to close to new claims the Workers’
Police are comfortable with the bill’s Compensation Commission’s Death
“So much of what my members are language thanks to its strict require- and Permanent Total Disability Trust
up against is decided at the federal level, ments, and FedEx Freight has already Fund. That state-operated fund assumed
so this particular issue is something expressed interest in trial runs from benefit payments after they had reached
where we felt we had the opportunity to Little Rock to Memphis and from a certain point, but legislators were
really work on an issue that can have a Memphis to Nashville. concerned about its rising liabilities and
direct benefit to our members,” Newton potential insolvency.
said. ATA’s fourth priority is increasing
state highway funding. A deficit contin- Ending the fund let the state off
Supporters of the effort are taking ues to exist between the money needed the hook for future claims and instead
the referred constitutional route after for highways and the money available transferred that responsibility to
previous efforts have failed. Provisions for highways. Last year, the ATA helped employers, with the expectation that
of a tort reform law passed in 2003 fund a poll by the Arkansas Good Roads future legislation would address employ-
were declared unconstitutional in cases Foundation of voter attitudes towards ers’ needs. However, changes to worker’s
brought before the Arkansas Supreme highways and highway taxes. Not sur- compensation require a two-thirds vote,
Court, while a voter-initiated tort prisingly, the poll found most voters so, as with highway funding, passage
reform effort focused on health care are dissatisfied with the condition of will be a challenge. ATR
in 2016 was stricken from the ballot the state’s highways, but only 5 percent
by the Court over signature collection
issues. Amendments referred by the 19
Legislature do not require signatures.

AND OTHER AMBITIOUS GOALS

The other three ATA priorities face
tougher uphill climbs.

ARKANSAS TRUCKING REPORT | Issue 1 2017

A Well-Oiled

Machine

NanoMech CEO Jim Phillips and the Arkansas scientists behind better trucks

(L-R): Bryan Peoples, NanoMech senior vice president
of Transportation Division, Jim Phillips, CEO
and Dr. Ajay Malshe, CTO

Photography by John David Pittman Issue 1 2017 | ARKANSAS TRUCKING REPORT

20

WE OUT-SCIENCE
EVERYONE.

–JIM PHILLIPS,
CEO OF NANOMECH

By Bethany May

Managing Editor

It’s not often that you get to meet the man who changed the way the world communicates, conducts business, watches TV,
and now maintains the hundreds of machines we’re surrounded by every day. But if you do get the chance to hang out with
Jim Phillips, the CEO of NanoMech who developed and introduced instant messaging, the cable modem, DVR and a handful
of other devices that run our lives, be prepared to keep up.

Phillips’ presence in a room is electric. He talks about his work with a glimmer in his eye and awe in his voice as he
explains how a graduate from Jacksonville High School would dive into the technology sector and introduce the predecessor of
texting as we know it, the flip phone, cable internet before Michael Crichton—Yes, that Michael “Jurassic Park” Crichton—tells
him about an intriguing new science that could change the world.

If all of this sounds far-fetched, sit back. You need to hear the story of Jim Phillips and the business he’s building in
Springdale, Ark. with his closest associate and CTO Dr. Ajay Malshe, one of the world’s first renowned nanoscientists, that
promises to make today and tomorrow’s trucks run like a well-oiled machine.

BEAM ME UP, SKYPAGER!

Phillips had an early interest in science fiction and moving parts. “I grew up on Star Trek,” he says. At six years old, he was

reading hand-me-down issues of Popular Science and Popular Mechanics from his older brother. He grew up all over the world,

naming Germany and Panama as early homes, before moving to Arkansas his senior year when his dad was a colonel at the

Little Rock Air Force Base. 

ARKANSAS TRUCKING REPORT | Issue 1 2017 21

In a hallway lined with pictures of … and dying.” cable modem. Before Phillips shared his
some of the most powerful entrepre- For Phillips, the stakes have vision of Internet outside of telephone
neurs and politicians in the world hang- companies and the screetching of a dial
ing alongside framed magazine covers not always been life or death. He up handshake, no one would imagine a
he’s graced, Phillips points to a picture was offered a scholarship to the million TV channels in their Cox Cable
of a plane, “The way I learned my life University of Arkansas. Instead bundle.
was through flying those like dad.” he crossed the Mississippi River to
attend the University of Memphis NANO LEVEL IS THE GOD LEVEL
He claims his time at Webb Air and completed his thesis on Nortel
Force Base in Big Spring, Tex. was just (Northern Telecom), the second largest The vision Phillips is selling
like Top Gun with a best friend whose telecommunications company in the now at NanoMech is not better
name was actually Maverick and world at the time. He was hired by the communication. It’s better machines,
other real characters like Goose and company right out of college in 1975 and for trucking, NanoMech is
Major Nail (first name: Rusty). “On and moved to Dallas to be involved in a gamechanger for preventative
Saturdays, I’d go down and learn how to research and development. maintenance. But the company does not
build a plane or take it apart. I’ve always actually make or sell machines at all.
just had an inkling to get my hands on Phillips has a special ability to What’s being created in the laboratories
these things. Plus, I was flying in ‘em,” recognize the possibilities of technology. and on the manufacturing floor at
he says. It’s as if he sees science fiction as just NanoMech is much, much smaller, but
science. When he was presenting the infinitely more revolutionary.
I KNOW IT’S ROCKET earliest instant messaging to Wall
Street, investors and everyone else, it In drums stacked 10 high are
SCIENCE. WE APPLY wasn’t easy to share that vision with grease, lubricants and sealants that
others. will be shipped to trucking companies
ROCKET SCIENCE TO and suppliers around the region like
“People would say what I’ve got Navistar, Summit Truck Group, Tyson
TRUCKS. WHEN WE is good enough… ,” he pauses before Foods, Walmart Transportation and
continuing, “they had a fax machine,” J.B. Hunt to name a few, as well as a
LOOK AT TRUCKS, as if dropping a punchline. Now it is a long list of others around the nation.
punchline to think that a fax machine The plastic white bottles that will soon
WE LOOK AT IT AS A is good enough or fast enough to appear on retail shelves are labeled
communicate or conduct any kind of nGuard, AtomOil, AtomGuard and
SPACE SHUTTLE. business, but Phillips knew that then. Guardx.

–JIM PHILLIPS, CEO OF “They’d look at me and say, ‘Look, The little “n” (like the lowercase ‘i’
NANOMECH if it’s important, it will be there in the in Apple products) is a reference to the
morning when I get there. It beats mail nano level, the AtomLube a reference to
Something going wrong during by days.” the atomic level, or, as Phillips likes to
high speed dive recoveries in advanced say, the god level.
jet training is good motivation to want When he demonstrated the
to know everything about the machine. product, called the Skypager, to FedEx, “Being a Christian, that’s the way
“You’ve got a speed brake. It’s the flap the head of telecommunications was I speak it. A lot of people call it the
that drops out of the nose that nobody impressed but bet within the year nature level. But I don’t know who
knows about,” Phillips explains. “I’m they’d use only 100 Skypagers. Phillips Mother Nature is… We are now down
hitting this thing to the point that my was incredulous. “You have thousands to that level where we can make mate-
leather glove got a big hole in it, and of pilots?” So he promised them that rial things just like DNA.
[my hand] started bleeding. Open, FedEx would use 500 the first year.
open, open! Because if [the flap] doesn’t “Now using nanotechnology and
open, I can’t pull it out of that high “I can tell you exactly how many DNA chromosomes, very soon no mat-
speed dive without taking the wings off they had… 1,787 at $69 a month.” The ter what problem we have, we’ll be able
service went viral overnight, and the to go in and fix by taking out or adjust-
rest is history. Phillips called Star Trek’s ing chromosomes,” Phillips continues.
James Doohan to market the service
with a variation of his famous catch- To understand the minuteness
phrase, “Beam me up, Skypager.” Today, of the nano level is just as heady as
we could all no more imagine a world fathoming the vastness of outer space.
without instant messaging as we could “We’ve all seen the telescopes that
without pizza, and that’s no kind of look out 100 million lightyears, and
world anyone wants to live in.
we know it is infinite because we’ve
The story was similar with the
Issue 1 2017 | ARKANSAS TRUCKING REPORT
22



ALL THE PROBLEMS LEFT TO SOLVE ARE AT NANO Malshe and Dr. Wenping Jiang were
SCALE. THEREFORE, ALL THE SOLUTIONS ARE AT actually practicing the nascent science
in Crichton’s book.
NANO SCALE.
To say Dr. Malshe wrote the
–DR. AJAY MALSHE, FOUNDER OF NANOMECH definition for nanotechnology is no
hyperbole. When he graduated in
seen it.” The same massive universes produced canola oil, safe enough to eat. 1992, the formal name of his degree
are visible when we look inside electron Since working with J.B. Hunt just was “submicron physics” because there
microscopes, according to Phillips. literally was no word yet for what he
a few miles down the road and getting was studying. In 2002, he was invited to
“That’s why we are working with to know the specific problems of the Puerto Rico with a group of scientists to
nano particles. Inside there is the ability trucking industry, they are harnessing define nanotechnology as the industry
to create 3-dimensional periodic tables, that potential for better trucks, because began to gain traction.
with elements, materials. Everything like oil fields, trucks operate in all kinds
is made of these materials. All your of harsh environments. Phillips tells the “There was no definition. Nothing
textiles, all your clothes, what you are story of a truck that hauled pickles, and on Wikipedia, nothing in Encyclopedia
sitting on. It’s all materials. The air you the brine was sloshing around and eat- Britannica,” Malshe says. “I remember
breathe,” he explains with wonder in ing away the trailer. Coating the insides myself being on the board, inventing
his voice. with nanomanufactured sealants pro- the word nanomanufacturing and what
tected the trailers and saved the carrier it means.”
“We can harness that in nanotech- a lot of money.
nology.” Malshe had been building a pro-
“I know it’s rocket science. We gram in Arkansas, teaching classes,
When the company was first apply rocket science to trucks. When we graduating students and Ph.D.s, writing
started, they were helping to solve prob- look at trucks, we look at it as a space research publications, but the one thing
lems in the oil and gas industry when shuttle. We have to deal with satellites he felt like he had not yet done was
machines were failing in extreme envi- and rockets and everything else.” practice what he invented. He wanted to
ronments like the BP oil spill. According create “something that I can put in the
to Phillips, it was a lubrication and When it comes to rocket ships, hands of people.”
sealing issue, and nanotechnology will Phillips would know.
make sure it doesn’t happen again. Malshe grew up in India, but today,
When standing on stage two years he’s spent more of his life in America.
“The biggest oil and gas company, ago to accept the Edison Award, which “This is my homeland, and India is my
they came to us and said, ‘Can you fix honors excellence and innovation in motherland.” He and his wife fell in
this big problem? Can you create us a new products and service development, love with Northwest Arkansas when
sealant, grease, lubricant, that can last Elon Musk, the CEO of Tesla and he was recruited to the University
at 6,000–8,000 feet down in the ocean SpaceX, leaned over and asked Phillips, of Arkansas for his doctorate. When
for 25 years?’” NanoMech makes that “Does your ‘stuff’ really work?” and Malshe had the opportunity to start a
product now and ships it all over the Phillips responded, “Of course, it does.” business and practice science outside
world. They can create products that the classroom, he didn’t look further
maintain machines in even tougher NANO IN NWA than his own backyard.
environments, like satellites that can’t
come back down for maintenance and In the late 90s, Phillips was serving “When I was younger, I always had
no one can go service them. on the Board of Virtus with Michael an ambition that I will build a place
Crichton, who was working on his rather than a place building me. I was
The nano level makes it possible to novel, Prey, a cautionary tale about one of those people who swam against
manufacture more safely, too. Motor nanotechnology, artificial intelligence the flow. So I decided to stay here and
oil doesn’t have to contain danger- and genetic engineering. build a reputation in my area, what I
ous chemicals like ZDDP anymore. At do—manufacturing,” he says.
the nano level, Phillips’ team replaces Around the same time, at a fold-
harmful additives with Arkansas- up table outside a public restroom at It took a long time for NanoMech to
the University of Arkansas, Dr. Ajay win the three Edison Awards (2014, 2016
and 2017), to be granted its latest govern-
ment contract to improve the military’s
uniforms with materials that protect the
wearer from bullets, odors and disease-
carrying insects, or to use that same tech-
nology to create antimicrobial truck cabs.
Unlike a software or app business that

24 Issue 1 2017 | ARKANSAS TRUCKING REPORT



smartest, most loyal, most worthy of Phillips recruited is not a scientist at So how can we improve that?” Peoples
respect no matter where they come from. all though. Bryan Peoples has been in asks.
In fact, that diversity is celebrated. the transportation industry since he
was born. His parents and grandparents “Bryan knew that the most impor-
“All my scientists come from over- both owned trucking companies, and tant thing with trucks is uptime. Any
seas,” says Phillips. “They are all immi- after graduating from University of downtime takes the whole system down
grants. Our parents were immigrants Central Arkansas with a degree in busi- and can create safety issues… he grew
at one point, or grandparents or great ness, Peoples worked for trucking heavy up walking around in trucking mainte-
grandparents. They got their Ph.D.s hitters like J.B. Hunt Transport and nance,” Phillips says of Peoples.
here. They got their American citizen- Tyson Foods. He was working in Lowell,
ship. It’s so neat in Arkansas to see Ark. for Transplace, a large transporta- SCIENTIFIC SOLUTIONS
these guys. We start them off as interns tion 3PL, when he met Phillips.
when they are students, and then we Peoples, Malshe and Phillips meet
pick the best and brightest. As they NanoMech was looking for some- with safety and maintenance execu-
get their master’s and as they get their one that knew the trucking industry tives daily to listen to the problems the
doctorate or post doctorate, we are also inside and out. They had Malshe’s machines cause and consider how those
paying and working with them to get students working on the mechanical solutions can be found using nanotech-
their American citizenship. And their engineering, wearing the lab coats and nology. The new trucks contain more
wives or husbands get Ph.D.s too,” he producing answers, but what they need- electrical connections than ever, but
continues. ed was someone who knew the right those connections carry corrosion risk.
questions that trucking would ask.
They don’t want them going any- To give truck drivers more uptime,
where else, taking that talent and deter- “From a customer standpoint, I NanoMech has created dielectric grease
mination outside of the state or outside can’t stand not having freight moving. and other lubricants that extend the
of the country, because they believe in It needs to be rolling. If my truck is in time between maintenance cycles. Right
American innovation and bringing back the shop, the customer is getting mad, now, they are regularly extending a
U.S. manufacturing. the driver is getting mad, and we’re los- truck’s maintenance cycle from every
ing revenue if the wheels aren’t turning. 24,000 miles to every 75,000 miles.
One of the most recent talents
Phillips jokes about wanting to

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Issue 1 2017 | ARKANSAS TRUCKING REPORT

work on gravity resistant materials Jim Phillips: At-A-Glance
next for hoverboards, but the science
that goes into solving friction issues for FAMILY: Barbara (wife), three sons (Parker, Preston and Palmer),
80,000 lb trucks is just as impressive.
and four new grandkids!
“Think for a second,” Malshe says,
“if human cancer is at the human cell WORST ADVICE YOU’VE EVER RECEIVED: Give up.
level, people treat humans from head
to toe with chemotherapy. It’s like you BEST VACATION YOU’VE EVER TAKEN: What’s a vacation? When the
are killing a bird with a cannon. It is so
primitive. So I realized that people are boys were still home we took a few cruises and the amazing
taking care of mechanical machines by changes in geographic venues along with being together without
slapping on lots of lubricants, but the hassles of packing and repacking at every stop was wonderful!
problem is not at that scale. It is at a I’m still dieting from this years later though.
smaller scale. . . All the problems left
to solve are at nano scale. Therefore, all FAVORITE FOOD: Turkey and dressing makes every day Thanksgiving!
the solutions are at nano scale.”
FAVORITE SPORT (TO WATCH OR PLAY): Golf! Played on golf team in
And it’s that kind of thinking and
the results it produces that Peoples says high school and college and would have turned pro if not for a
is blowing the minds of the people they lack of talent.
meet who are lathering trucks with the
same grease and lubes that were created
30 or 40 years ago.

Phillips says that’s why NanoMech
is going to revolutionize trucking, “We
out-science everyone.” ATR

Save the Date CHAMPIONSHIP
50TH ANNIVERSARY
July 13 - 15 2017

Rogers, Ark.

John Q. Hammons
Convention Center

ARKANSAS TRUCKING REPORT | Issue 1 2017 27



Privatization: Whose Roads
Are These, Anyway?

Public-private partnerships fall short for highway funding

By Steve Brawner

Contributing Writer

President Trump says he wants “IF WE DON’T HAVE ENOUGH MONEY TO BUILD 29
to invest $1 trillion in the nation’s ROADS AS IT IS, WE CERTAINLY DON’T HAVE
infrastructure, but Congress has shown ENOUGH MONEY TO BUILD THEM
no willingness to raise that kind of WITH A PROFIT MARGIN.”
money through a tax increase.
—SHANNON NEWTON, ARKANSAS TRUCKING ASSOCIATION
Because money does not grow on
trees, and because pavement does not
lay itself, could privatizing some of the
nation’s highways close that gap?

The Arkansas Trucking Association
says no. ATA President Shannon
Newton says the organization is
opposed to any effort to privatize part
of the nation’s highway system.

“If we don’t have enough money to
build roads as it is, we certainly don’t
have enough money to build them with
a profit margin,” she said.

When a highway is privatized, the
company that operates it has to make
money somehow, and invariably that’s
through tolls.

THE TROUBLE WITH TOLLS

John Lynch, ATA’s senior vice presi-
dent, federation relations and industry
affairs, said tolls can hit motor carri-
ers hard. Trucking is a cash-intensive,
capital-intensive business with small
margins, so huge toll bills on certain
routes can distort the market. The way
some contracts are structured, private
companies can raise tolls without the
public debate that would be involved
with raising a tax. Lynch said that leads

to situations like a recent ice storm

ARKANSAS TRUCKING REPORT | Issue 1 2017

in Washington, D.C., when prices for everyone at the pump, tolls can be evad- because it’s just out of the goodness of
high occupancy toll lanes reached more ed, or the technology can lead to errors. their heart. Obviously, they are seeking
than $30 because of “dynamic pricing.” a profit in some way, shape or form.”
Moreover, tolls are feasible only in high- “Between the traffic diversion
volume traffic areas, not rural states and the economic impacts on local When the private operators run
through which trucks must travel. communities, it’s not a very business- into financial problems, some declare
friendly venture except for the tolling bankruptcy. When the South Bay
“If you want to look at a project companies who are running the road Expressway didn’t have the traffic vol-
that’s going to make money, you’re not and making a profit off of it,” said umes that were expected, the San Diego
going to put one in a state like New Kane. Association of Governments had to
Mexico or Wyoming,” Lynch said. “You buy out the contract. The Indiana Toll
need to put it in a high-volume traffic THOSE WHO PAY DON’T Road’s rights were bought for 75 years
area. And we have infrastructure needs ALWAYS STAY by the Australian firm Macquarie and
across the country.” the Spanish firm Ferrovial in 2006 for
Finally, privatization results in $3.8 billion, which then formed anoth-
Among the other problems with decreased accountability and transpar- er company, ITR Concession, to man-
tolls is that they are a much less effi- ency. Many private highway operators age the asset. That company declared
cient way of paying for highways enter into long-term leases lasting many bankruptcy in 2013, and the rights
than the traditional motor fuels tax. decades, and the contracts may include were then bought by another Australian
Thirty percent of toll road revenues a noncompete clause where parallel company, IFM Investors. The Spanish
go to administrative costs, according roads can’t be improved. The contracts and San Antonio-based owners of Texas
to Stephanie Kane, spokesperson for are supposed to push the risk to the State Highway 130 filed for Chapter 11
the Alliance for Toll-Free Interstates, a reward-seeking private sector, but Lynch protection owing $1.6 billion. They still
coalition that includes the American said contracts are being shaped so the operate and maintain the road.
Trucking Associations, all 50 state risk ultimately gets pushed back to the
trucking associations and the Owner- public. Financial entities often don’t TOLLBOOTH ON I-40?
Operator Independent Drivers
Association. With electronic tolling, plan on owning the roads throughout It’s been against the law for
those costs fall to 12 percent, but the length of the contract. Instead, any state to toll existing inter-
that’s still far higher than the 1 they intend to pay the money upfront states — except for three. Under the
percent costs for the motor fuels through the capital markets or by using Interstate System Reconstruction
tax. Those higher administrative their own money, then collect tolls and and Rehabilitation Pilot Program,
costs subtract from money spent fees until they break even, and then North Carolina, Virginia and Missouri
on roads and ultimately are paid unload the asset for a profit. Over the have had the option of doing so since
by consumers — at the booth, when course of that lease, the road may be 1998. Tellingly, none have, and none
the bill comes in the mail, or through owned by multiple operators. did before a deadline at the end of
increased shipping costs passed on by 2016 that was imposed by the Fixing
the motor carrier industry. “Like anything, the devil’s in the America’s Surface Transportation Act,
details, and you’re talking about a pub- the highway funding law passed in
“At the end of the day, there still lic-private partnership contract,” Lynch 2015.
is the one tried-and-true method that said. “And one of the problems you face Both the American Trucking
would cost us nothing in terms of col- is that you’ve got financial engineers Associations and the Alliance for Toll-
lection costs or an additional adminis- often negotiating with civil engineers, Free Interstates are opposed to tolling
trative cost,” Lynch said of the gas tax. and their motivations are very differ- existing interstates, but they are open
“There’s no investment involved. You ent. It’s not like these folks are coming to tolling to add capacity. Scott Bennett,
just increase it one day, collect more forward with an idea to build a road director of the Arkansas Highway and
revenue the next.” Transportation Department, is willing
to take it further. The manager of the
Tolls cause other problems. They nation’s 12th largest highway system
create an incentive for trucks along says his department is looking every-
with passenger cars to exit the highways where it can for additional funding.
and use local roads that were never Bennett said the AHTD has con-
built for interstate travel, contributing ducted more than 50 tolling studies
to increased maintenance costs, conges- during the past 50 years. The only place
tion and delays for emergency person- tolling would have been workable was
nel. Local taxpayers end up paying for the Bella Vista Bypass, and that was
damage caused by out-of-state drivers.
While the gas tax is seamlessly paid by

30 Issue 1 2017 | ARKANSAS TRUCKING REPORT

before rising construction costs made it “THAT’S ALWAYS BEEN A TOUGH SELL, TO SAY THE
not as feasible. The department studied LEAST. COUNTLESS LEGISLATORS I HAVE TALKED
adding tolls on I-40 from North Little TO OVER THE YEARS SAY, ‘YOU’RE RIGHT. IT IS THE
Rock to West Memphis to add a lane MOST EFFICIENT, MOST EQUITABLE WAY TO PAY FOR
in each direction. If only the new lane
is tolled, it’s not feasible. If the entire IT, BUT I’LL NEVER VOTE FOR IT.’”
interstate is tolled, it would be, but
that would be illegal unless Arkansas —JOHN LYNCH, AMERICAN TRUCKING ASSOCIATIONS
gets one of the slots potentially being
vacated by Virginia, North Carolina and Trucking Association, that showed to those who think tolls are the silver
Missouri. Bennett is open to that pos- that 62 percent of likely voters oppose bullet to our transportation problems
sibility. In fact, one of the reasons the increasing the current motor fuels tax and are going to be able to attract this
department performed the study was in Arkansas, while 58.5 percent oppose wide-scale private investment,” she said.
to make that option possible. Recently, indexing fuel taxes to keep up with “There’s just no appetite from the pub-
the Highway Commission authorized inflation in construction costs. Support lic for widespread use of tolls, and the
a tolling study for the next section of rose somewhat when respondents were negative impacts of tolls makes them
Interstate 49, the new Arkansas River informed that the motor fuels tax the absolute worst public policy that you
bridge crossing from the Fort Smith area had not been increased in 15 years. can use for transportation funding.”
to Interstate 40. However, only 48 percent supported an
increase of 3 cents per gallon — hardly Another way to pay for infrastruc-
“It’s not the silver bullet,” Bennett enough to make a dent in the state’s ture is to push more responsibility
said of public-private partnerships. “It roadway needs. After that, support fell and more costs down to the states, a
can help bridge gaps at some point, off a cliff, with only 5 percent support- strategy known as devolution. For the
but for the most part, they’re going to ing an increase of 5-8 cents per gallon. American Trucking Associations, that’s
have to be able to have a return on that a nonstarter. Devolution would reduce
investment. That usually means tolls, Arkansas voters are not so different the national highway system into a
and to make tolls viable, you really have from the rest of the country, which is patchwork of state operations with
to have traffic, and it’s usually traffic why the motor fuels tax hasn’t changed varying levels of quality and uneven
at higher levels than what we have in since 1993 and why it’s not likely to regulations. Moreover, states don’t have
Arkansas. But we’re still going to keep change soon. the money to operate highways any
exploring it to see if it’s a possibility.” more than the federal government does.
“That’s always been a tough sell, If devolution occurs, states will have
The Arkansas Trucking Association to say the least,” the ATA’s Lynch said. to install tollbooths, and when they
will oppose any efforts to move “Countless legislators I have talked to do that, the private sector will be able
Arkansas into one of those slots. over the years say, ‘You’re right. It is the to see where the profits lie, and it will
Meanwhile, Newton expects someone most efficient, most equitable way to come calling.
will try to run a bill encouraging more pay for it, but I’ll never vote for it.’”
public-private partnerships in this year’s “In our view, devolution is just a
legislative session. If that happens, What the future looks like is hard step on the way to privatization of the
Newton said the ATA will work to to say. President Trump has made it highway system,” Lynch said.
ensure that highways are excluded. clear that infrastructure is a high prior-
ity of his, but now that he’s president, This seems certain: The United
THE UNPOPULAR AND many issues will be at least as pressing. States is not going to raise $1 trillion
UNBEATABLE SOLUTION Kane said she expects to see more pub- from the private sector alone, nor is it
lic-private partnerships under Trump likely to obtain that money by raising
If privatization isn’t a good way and a potential lift of the ban on tolling fuel taxes. Somehow, new infrastruc-
to fund existing capacity, what’s left? existing interstates. ture funding will have to be found
Raising the motor fuels tax, or at least unless policymakers take the easy route
indexing it to inflation, is the most But that could run into political and just add to the national debt or do
efficient way of raising money, and also problems as well. According to Kane, at nothing.
probably the fairest in that users can both the national and state levels, pub-
determine how much taxes they pay by lic opposition is strongest to tolls when As Lynch explained, “Everybody’s
driving more fuel-efficient vehicles. a project appears possible. pro-infrastructure until it comes down
to paying for it.” ATR
Unfortunately, the public isn’t “I would give words of caution
convinced. In January, the Arkansas
Good Roads Foundation released a sur-
vey, partially funded by the Arkansas

ARKANSAS TRUCKING REPORT | Issue 1 2017 31

ATA is committed to maximizing members' value from their involvement with the association!

Exclusive. All-Inclusive. Simple.

Since 1932, Member
ReSqeurveisctee!d
the Arkansas Trucking
Association has pursued
a mission to protect
and promote the state’s
trucking industry.
ATA now announces
our most significant and
prestigious opportunity
for our members ---
The Founders Club.

For more information about The Founders Club, Contact Amanda Lamb at 501-372-3462 or [email protected]

Smile, You’re on In-Cab Camera

Video event recorders keeping drivers safe from bad driving and bad lawsuits

By Lacey Thacker

Contributing Writer

Almost all drivers on the road “AS AN EXAMPLE, WE’LL SAY, LOOK AT THESE 37
today have heard of dashboard CRASHES YOU HAD LAST YEAR, IN ALMOST EVERY
cameras, which have been in use by ONE OF THESE, THE DRIVER DID SOMETHING THAT
police since the 1980s. Dashboard INFLUENCED THAT ACCIDENT, AND IN ALMOST EVERY
cameras, or “dash cams,” are mounted CASE, IT’S SOMETHING A DRIVER HAD TYPICALLY
on the dashboard of the vehicle and DONE MANY TIMES BEFORE THAT. WHAT IF YOU
continuously record the view outward. COULD KNOW WHAT THAT THING WAS AND FIX IT SO
But over the last twenty years, there MANY OF THOSE 37 ACCIDENTS NEVER HAPPENED? “
has been a rise in a different type of
camera. In-cab recording technology —DEL LISK, LYTX
is being increasingly implemented by
transportation companies looking to event recorders also capture other data, with another vehicle or object, but can
prevent accidents and provide better such as geolocation and G-force during also be caused by proximity. “If one of
driver training. The goal is to not only the event. More than simply a video, the our client’s trucks is following too close
provide potentially exonerating evidence telematics data and sensors within the to another vehicle, it will initially give
in the case of a crash, but to also event recorder provide additional intel- the driver an alert, a warning, but if
provide material for use in individual ligence. that isn’t corrected, it will then trigger a
driver-coaching sessions. short video clip. Likewise, a lane depar-
If a trigger event occurs, the event ture might cause it to trigger a short
Lytx, a front-runner in the video recorder will save a brief video of the video clip,” Del Lisk, vice president of
telematics safety category with two- seconds before and after the event.
thirds market share, has been in opera- Triggers are generally force-related: hard 
tion since 1998 and currently serves braking, a sudden swerve or impact
nearly 700,000 drivers worldwide. Their
signature program, DriveCam, is com-
prised of several components. First is
the recording device itself. Similar to
a dash cam, the small in-cab camera
has a forward-facing lens monitoring
the road at all times, but it also has a
cab-facing lens. Unlike a typical con-
sumer camera that records and stores
at all times while in use, the DriveCam
camera is recording at all times, but
the data is only saved if triggered by
an event. For this reason, Lytx refers
to their devices as event recorders, as
opposed to cameras or dash cams. These

ARKANSAS TRUCKING REPORT | Issue 1 2017 33

SAFE DRIVERS HOW TECHNOLOGY IS SFIX NOT FIRE
SAVE LIVES In fleets not monitored by in-cab
tfoecrhtnhoeVtlhniodegeeyxyoc,t-abinata’ccsscoeoirddrfesetenactnftebttaeyofsochoraelasueptthipooeenyfnslwe.maaIdanitkstieotnedcgaordilvliesriosnms.oTrheea
IN AN INSTANT, VEHICLE COLLISIONS CHANGE LIVES FOREVER. of waitcianngrefodructehaecnciedxetntascecviedreintyta, nLdytfrxequency within
KNOWING WHAT BEHAVIORS ARE PUTTING YOUR DRIVERS AT
RISK WILL HELP SAVE LIVES. aennceoxuarEmagMpelsPe,aLwdOeiY’flflEesrRaenyS,tlPpoeoArksYpaetTctHthivEeese.C“3OA7Ss T 14

$24K $150Kcrashes you had last year, in almost

every one of these, the driver did some-
thing that influenced that accident, and
in almost every case, it’s something a

THE CURRENT SITUATION driver had typically done many times

15 APERSONDIESINA before that. What if you could know
COLLISION EVERY 15
MINUTES. 9% OF what that thing was and fix it so many
MINUTES THESE COLLISIONS
ARE PREVENTABLE 4 95% of thosAeVE3R7AGaEccCiOdSeTnOtFs never haApVpEeRnAGeEd?CO“ST OF INJURY
And giPvReOnPEthRTeYcDuArMrAeGnEt driver shortage,
DRIVER ERROR
CONTRIBUTES TO some companies using their technology
95% OF FATAL
VEHICLE ACCIDENTS 1 wchhoaotseevTetHrocEcaouDasceRhdIVtthhEeeiCraAcdcMriidv®eenrPstRtihnOrsoGteuRagdhAM HELPS

of letting them go, to fix the problem

80% 12%rather than firing the driver.
When it comes to adopting event
recorders, Lisk has found that the man-
agers in charge of making the decision

4x 2% are usually swayed most by lowered
GDP
DRIVERS WHO HAVE TRAFFIC 3,964 risk. Lytx hasRhEaDrdUdCaEta to provide onIMPROVE
VIOLATIONS ARE 4X MORE LIKELY VEHICLE COLLISIONS
TO GET INTO A COLLISION THAN PEOPLE KILLED IN COST 2% OF THE US GDP that frontCC.OOWSLTLhSISeBIOnYNU-pRPrEToLOpA8eT0Er%lDy deployed,FUBEYLUEPFTFOIC1IE2N%CY
THE AVERAGE DRIVER 2 LARGE-TRUCK EVERY YEAR –THAT'S the combination of event recorders,
ACCIDENTS IN 2013 12 $836 BILLION 13
analysis, and driver coaching have been

shown to decrease collision-related costs

by up tIoM8P0ApCerTceOnFt. THE DRIVECAM SOLUTI

AS REPORTED BY FLEET OPERATORS:

EVENT RECORDERS IN
See entire infographic at www.lytx.com 50THE REAL W%ORLD
ACCIDENTS BY DAY OF WEEK 10 While the goal is to prRevEeDntUaCcTciI-ON IN COLLIS
ACCIDENTS BY TIME OF DAY 9

safety services at Lytx, explained. cern is met, the manager of the driver 55idsepnotsteinnttiahlelyfie%rxsotnpelaractei,ntghedRrrEievaDelrUsdrCwaThwIoON IN DRIVER
10T%he recording functionality is is alSeUrtNed. AtMthOaNt poinTtU,EtShey caWnElDog
64aren’t accident. False
use8f%ul, but its utility is limited if the imna5ann.a9dg%evriecwa1nt7hs.5he a%vriedetoh17ec.lv8ipid%.eFoinw1a7iltl.hy3, t%thhee
rec6o%rding isn’t then used to further blame is somReEthDinUgCmTIoOstN
afot rfaauclto%lfloisrioann IN NOT WE

driv4e%r training. The goal is to prevent tdhhra1Teivv6HeseuUr.l6.epRdA%eSrlulvpitsh1to6eoFr .cRt9hohIa%levleeccoatainvcS8eheA%fdiTnfaegtcatsiepvsoesiisnoentssshitohenlap,t 66deirtihveerrspherasvoencao%lmlyeorinthcroonutgaRhctEawDciUothlCl,eTagIOueN. IN SPEEDI
acc2id%ents in the first placCeO.MTMoERtChIALat 85Amnedanfos rbtighemcoa%nrreiye.rI,nprsooomfeoRfcaEinsDensUo, CcceoTnmIcO-eN IN DRIVER
end0,%every evening, recordSEeRdVICeEvents are inWhwilehwiceehkdatyhsearye’ralel realbatliveelytoclobseoptehrcednteagsec-rwiisbee, the panies have been paying for accidents
uplTohaAeMdhi6eg-7hde7sv-t8piae8r-9cceen9-tl1a0lgue10lo-a1f1arcNcdOidOaNetna1ts2-1otcoc1-u2srree2-rd3vjue3s-4trbse4,-f5ore5-6 PM thheighpesrtopberlceemntagae nofdaccpidreontvsiodcceuraonsTtureasdtaeygsy(17t.o8%),
whelurnech,abettweaeemn 11oamf aanndanoloyns,tfosr broetvh iceomwmetrhcieal fleet coanrdrethcetloiwte.stApellrceonftatghe oeccdurastoan Saulnldoayws (s5.9c%o)m. - that weren’t the fault of their driver,
datdarivfeorsr(1b1o%t) handpsoersviicteivfleeetddrriivverisn(9g.5%b)e. hav-

iors and potentially risky behaviors. In1 “How’s your driving,” SmartMotorist.com at www.smartmotorist.com/driving-guideline/hows-your-driving.html. panies to look at the big picture of6 Based on a select sampling of Lytx client data, certain fleets equipped with DriveCam® devices, realized a >1x correlation but they were unable to prove so. In-cab8 Global Overview of Truck Video Safety Solutions. Market 360 Degree Solution to Unwind Newer Opportunities Author: 11 nhtsa.gov/people/injury/
2 Data derived from Lytx research based on billions of miles driven by DriveCam Program clients. between Improvement and claim expenses ($) within 1st year of service. Krishna Chaithanya Bathala 12 http://www-nrd.nhtsa.do
3 Based on an analysis of ~65,000 events involving truckers from June 2009 to January 2010. 7 Virginia Tech Transportation Institute: Potential Reduction in Large Truck and Bus Fatalities and Injuries Using Lytx’s 9 Fleet Response in Automotive Fleet, July 2014 http://digital.automotive-fleet.com/Special2014/ 13 http://www.nhtsa.gov/Ab

DriveCam Program”, Soccolich and Hickman, May, 2014. camera technology is solving that prob-Default/23/0#&pageSet=23&contentItem=0 study-shows-vehicle-cra
4 Key Facts and Statistics, Distraction.gov at www.distraction.gov/stats-research-laws/facts-and-statistics.html. 14 nhtsa.gov/people/injury/
5 U.S. Department of Transportation Federal Motor Carrier Safety Administration. “The Large Truck Crash Causation Study.” 10 The CEI Group in Automotive Fleet, July 2014 http://digital.automotive-fleet.com/Special2014/ 15 Based on Lytx data
Default/23/0#&pageSet=23&contentItem=0
addition to the event recorder’s data, driver behavior: which drivers shouldPublication No. FMCSA-RRA-07-017. 2007.
www.fmcsa.dot.gov/safety/research-and-analysis/large-truck-crash-causation-study-analysis-brief

the expertise of the analysts provides be congratulated on their consistently lem.

a human component. Through review safe driving record and which drivers During late 2013 and early

of the cab-facing data, they are able to would benefit from additional coaching. 2014, Maverick Transportation was

verify the driver was wearing his seat- Without the analysis, the event recorder considering adding a lane departure

belt, not on a cell phone, not obviously becomes simply a camera, perhaps a system to their fleet. They’d previously

tired, etc. good tool for claims mitigation, but less had such a system, and while

When a certain threshold of con- a preventative tool. researching current options, found that

34 Issue 1 2017 | ARKANSAS TRUCKING REPORT



STAT VIEW

The Governors Highway Association released a report, “Autonomous Vehicles Meet Human Drivers: Traffic
Safety Issues for States,” highlighting the implications of new vehicle technologies and the importance of driver
behavior during the transition period between traditional and autonomous vehicles. The infographics below

Five Levels of Vehicle Autonomyshow the range of automation possible, but experts predict it will be decades before a significant percentage of
Five Levels of Vehicle Autonomyvehicle fleets are fully automated (levels 4 and 5). See the whole report at www.ghsa.org.

Five Levels of Vehicle Autonomy

Level 0 Level 1 Level 2 Level 3 Level 4 Level 5

No automation: Driver Occasional Limited Full self-driving Full self-driving
the driver is in assistance: self-driving: self-driving: under certain under all
complete control

Level 0 Level 1 Level 2 Level 3 Level 4 Level 5of the vehicle at
the vehicle can the vehicle can take the vehicle is in conditions: conditions:
assist the driver or control of both the full control in the vehicle is in the vehicle can
No automaatlilotinm:es. sDeaattahpsistrkesehsievieevsiesdertctr,hottahhtinchneetlrrecoodvegttlcesuealcrhapriu:ignhtoakurvehioeheidnfeiceseuarlepdrcgenoo,oth’ccshrtsnoheelitatnr.rioonovtruelenogho,l,hifcolretvsslcOah’eiooestnceshmnlecfitvce-arpedolesoshlr’iissiiootcvuiftlsnielefslvainaiopbrmeaoxtennecgoihamloeieaett:miinhcweenndplsdpeatos,ta-lhy’aeissaftnseokuicto.sdreiacopnteneiosesinnds,afnodrtsLamsfhuoneioemlmdllnfcvi-eitottedroeanshrrfditiistfcrvacswdsmuiolcithoonerainhlo,ilemndvtliaeniginetsioemnntirr:trronfoidaonuswolsr.faisrs,tfhmudticetath,nattaehikohneernedosao, dr tFcufhuonuellndllcvdeoesirnhetitrsfectilhociurufdneolel-ncetlerdlsihcr-tsfeiersaoso:aihnivcrtsinartnoitirrnuphnoinrgedlibgnifato.inornths,e ucFonundlldesirhooetpucialocfmel-unlrdaapsntrae:indvwtrisinvi.teghroourt a
the driver is in entire trip in the vehicle can
complete control these conditions, operate without a
of the vehicle at human driver or
all times. occupants.

cruise control, or its example on will inform the such as urban
lane position, limited-access driver when he or ride-sharing.
through lane freeways. she must take
guidance. control.
Source: SAE & NHTSA

AuAtuotnoonmomouosusVeVheihcilceleFlFeleetePt rPorjoejcetciotinosns Source: SAE & NHTSA

(as(aas paeprecercnetnatgaegeofoafllavllevheihcilcelsesononthteheroroaadd) )

80%

70%

Percent of Vehicles on the Road 60%

50%

40% 2020’s: Large Price Premiums
(01%-02%)
30%
2030’s: Moderate Price Premiums
20% (10%-20%)

10% 2040’s: Minimal Price Premiums
(20%-40%)
0% 2020’s
2050’s: Standard on Most New Vehicles
(40%-60%)

2030’s 2040’s 2050’s

Lower Estimate Higher Estimate Source: GHSA

ATR

36 Issue 1 2017 | ARKANSAS TRUCKING REPORT

Insider Trucking

A look at the latest products, services and news from ATR advertisers

Grease I Food Grade Grease
Wheel Grease

THE LARSON GROUP LAUNCHES WHO KNEW SOMETHING SO SUMMIT BECOMES MASTER
MESSAGING-DRIVEN ONLINE SMALLACcOreUaLtiDonBoEf SO BIG? DISTRIBUTOR OF PURKEYS
SHOPPING EXPERIENCE ELECTRICAL SOLUTIONS
otectant I Protects All ExterioTrhCeoLmarpsoonnents
ects Undercarriage I ProteGcrtosuCp o(nTLtaGi)n,ear Panels Summit Truck Group is pleased to
r and UV Resistant announce they are now a master distribu-
leading provider NaBneosMt Gecrhe®aissethIneTwhoerWldolreladd.ceor min tor of Purkeys electrical products in all 28
of the markets in which Summit Truck
of Peterbilt parts material science manufacturing of lubri- Group currently operates

and trucks, kicked cants and anti-corrosion coatings, offer- “We are proud to become a mas-
ter distributor for Purkeys” says Duke
off the new year ing the total bumper-to-bumper solution. Fancher, Summit’s vice president of
service. “Purkeys‘ focus lines up with
by unveiling an “We have changed the game with Summit’s footprint across the 8 states

online purchasing platform complete the way motor carriers and OEMs per- in which we are
located. Purkeys’
with live chat functionality by imple- form preventive maintenance,” says involvement with
the Arkansas Trucking Association, the
menting its chat and texting services Bryan Peoples, senior vice president of American Trucking Associations and
many major customers of Summit make
for its truck inventory advertised with NanoMech Transport. “Through our this a great strategic partnership.” George
Standridge, Summit’s vice president of
Truck Paper. scientific innovations, we have truly parts added that, “Purkeys has already
sent business our way, and our locations
The family-owned full service revolutionized lubrication and anti- are eager to begin selling Purkey’s high-
quality products because they design, build
dealer group, which specializes in pro- corrosion coatings. Fleets are now able to and patent many of their products, few
competitors have access to similar prod-
viding quality Peterbilt parts, trucks extend PM intervals out to 75K+ miles ucts, and Summit has the most expansive
multi-state representation.”
and related services, expects to see the and increase the life of their wheels and For Summit customers, Purkeys pro-
vides dependable, high-quality electrical
updated online truck inventory quickly undercarriage components two to three products — from power inverters to solar
chargers, from safety lighting to pallet jack
become a trusted source of new and times longer.” chargers — increasing uptime for fleets by
maximizing the effectiveness of auxiliary
used Peterbilt truck listing for custom- • AtomLube® Red Trucking Grease equipment.
“Purkeys and Summit Truck Group
ers near and far, according to vice pres- (Chassis, 5th Wheel, Food Grade) – have always had a close relationship
helping shared customers,” said Larry
ident of used truck sales Kevin Larson. Proven to provide exceptional perfor- Rambeaux, Purkeys’ National Fleet
Manager, “so as we looked for partners in
“The Larson Group recognizes that mance and superior protection, which our effort to have our products on shelves
across the U.S., it was obvious we wanted
customers actively search for trucks allow for extended maintenance inter- them to be one of our premier master
stocking distributors.” ATR
through publications such as Truck vals and significant reduction in main-

Paper and their website, but they still tenance cost.

have questions when looking over specs • AtomLube® Dielectric Grease – Adheres

and photos,” said Larson. “By partner- extremely well to metal surfaces to

ing with Truck Paper to implement the provide exceptional surface protec-

chat platform on our advertised inven- tion from corrosion and moisture. It’s

tory, we are providing an improved designed to extend component life and

customer experience that mirrors the protect equipment in harsh environ-

same direct service we have created on ments and extreme temperature condi-

our main dealer site www.TLGTrucks. tions.

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Expanding the chat platform from mance chemical-resistant coatings that

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Paper inventory is slated to become a lic components against the harshest

valuable resource for both the award- and most complex corrosive conditions.

winning company and its customers For more information please visit

across the nation. www.NanoMech.com or contact us at

479-725-8008 or [email protected].

ARKANSAS TRUCKING REPORT | Issue 1 2017 37

THE LAST WORD

The Trouble with Tolls

By Stephanie Kane wreak economic havoc on businesses and every year until 2044 will not keep the
communities that rely on an unrestricted turnpike out of financial trouble. After a
Guest Writer interstate highway system. Tolls cause traffic state accepts tolling highways, tolls gener-
diversion and increased costs for businesses, ally only go one direction: up!
For transportation professionals, 2017 employees and consumers, which disrupt
is shaping up to be a year of tolling. President economic landscapes and harm businesses There is no single, silver-bullet solu-
Donald Trump’s infrastructure plan relies and localities. tion in transportation funding, but tolling
on tax credits to entice the private sector to is the worst financing option available. For
build revenue-needy projects, which would In short, tolls reroute prosperity around example, when compared to an increase in
undoubtedly lead to more tolls. It’s great communities. When interstates go from the gas tax, tolls are terribly inefficient and
to see the President recognizing the need being free to requiring a toll, people will waste money. The administrative costs asso-
for investment, but relying on tax credits find a way around using them. A 2013 ciated with toll collection can be as much
that spur privatization as the main funding study by the North Carolina Department of as 20%, even in a fully electronic system.
mechanism for any nationwide plan will fail Transportation predicted that tolls on I-95 Collection of the gas tax has an administra-
to close the national infrastructure deficit. in the state would cause up to a 36% traffic tive cost of 1%, which leaves more money
At the state level, elected officials are push- diversion rate. Traffic diversion could shutter collected to go toward actual road construc-
ing for tolling existing interstates in Rhode businesses as their potential customers move tion and improvements.
Island, Indiana and Wisconsin. from the interstate to secondary and local
roads. And the additional wear and tear will As more and more elected leaders push
The Alliance for Toll-Free Interstates increase maintenance needs for local roads for tolling this year, ATFI and its member
(ATFI) was formed to oppose such tolling and shift costs to many local communities. organizations like the Arkansas Trucking
efforts and educate the public about the Association will oppose any plan that wants
many negative impacts that tolling existing Adding tolls to existing interstates will to put tolls on existing interstates. We know
interstates has on our communities and increase costs for businesses and consumers. that new tolls on existing highways cause
businesses. Shipping and trucking companies will face immeasurable harm to businesses and com-
higher transportation costs, many of which munities. Instead of 2017 being the year of
Of concern to Arkansas truckers will be passed down to their customers. In tolling, we are working to make it the year
and motorists is the national emergence this way, tolls translate to an underhanded tolls are eliminated from the transportation
of states trying to toll existing interstates. tax that leads to disrupted logistics, lower funding conversation.
This opportunity is due to Fixing America’s shipping volume and higher prices for end-
Surface Transportation (FAST) Act. The 2015 product consumers. Fewer truckers on the The idea of tolling existing interstates
FAST Act allowed an 18-year old, never-used road means fewer customers for businesses will not go away quietly. It will require a loud
tolling pilot program to remain alive that that serve highway users and economic chal- and active opposition to defeat it. To learn
permits three states to apply for a waiver lenges for communities that depend on the how you can lend your voice to the cause,
from the federal prohibition against tolling interstate system. visit tollfreeinterstates.com and sign the peti-
existing interstates. The FAST Act imposed a tion to keep our interstates toll-free. ATR
time limit on the three states that have held Not only are tolls on existing inter-
but not used their “slots” for 18 years. New states bad for business, but they are a bad Stephanie Kane is the spokesperson for
states, such as Arkansas, can now apply for a deal for states. The Pennsylvania Turnpike is the Alliance for Toll-Free Interstates, a
waiver under this pilot program. losing millions of dollars every year, despite national coalition of individuals, busi-
raising tolls. The Pennsylvania Auditor nesses and organizations that advocates
ATFI opposes tolling existing interstates General has even said the plan to raise tolls solving our growing transportation needs
because tolls are bad public policy. Tolls without tolling our existing interstates.

Opinions expressed on this page may not reflect official policies or opinions of the Arkansas Trucking Association or the American Trucking Associations.

38 Issue 1 2017 | ARKANSAS TRUCKING REPORT