I

107TH CONGRESS

1ST SESSION H. R. 2161

To amend title 49, United States Code, to provide a mandatory fuel surcharge

for transportation provided by certain motor carriers, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

JUNE 13, 2001

Mr. RAHALL (for himself, Mr. BLUNT, Mr. MOLLOHAN, Mr. NEY, Mr. PETERSON of Minnesota, Mr. STRICKLAND, Mr. LIPINSKI, and Ms. BROWN of

Florida) introduced the following bill; which was referred to the Committee on Transportation and Infrastructure

A BILL

To amend title 49, United States Code, to provide a mandatory fuel surcharge for transportation provided by certain

motor carriers, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Motor Carrier Fuel

5 Cost Equity Act of 2001’’.

6 SEC. 2. MANDATORY FUEL SURCHARGE.

7 (a) IN GENERAL.—Chapter 137 of title 49, United

8 States Code, is amended by adding at the end the fol9 lowing:
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1 ‘‘§ 13714. Fuel surcharge

2 ‘‘(a) MANDATORY FUEL SURCHARGE.—

3 ‘‘(1) ESTABLISHMENT OF SURCHARGE.—Any

4 contract or agreement providing for truckload trans5 portation or service involving a motor carrier,

6 broker, or freight forwarder subject to jurisdiction

7 under chapter 135 who regularly provides such

8 transportation or service shall include a requirement

9 to assess a payer of transportation charges a min10 imum surcharge for fuel used in the transportation

11 provided to such payer commencing when the cur12 rent price of fuel surpasses, by $0.05 per gallon, the

13 benchmark price set forth in paragraph (2). The

14 surcharge assessed by the motor carrier, broker, or

15 freight forwarder shall be calculated on the basis of

16 mileage or percentage of revenue (whichever basis

17 the motor carrier, broker, or freight forwarder

18 elects) and shall be the amount necessary to com19 pensate the person responsible for paying for fuel for

20 the amount of increase in the cost of fuel.

21 ‘‘(2) BENCHMARK PRICE.—The benchmark

22 price referred to in paragraph (1) shall be $1.10 per

23 gallon.

24 ‘‘(b) IMPLEMENTATION.—The surcharge referred to

25 in subsection (a)(1) shall be—
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1 ‘‘(1) calculated on the date the shipment is ten2 dered to the motor carrier, broker, or freight for3 warder;

4 ‘‘(2) itemized separately on the motor carrier,

5 broker, or freight forwarder’s invoices; and

6 ‘‘(3) paid by the payer of transportation

7 charges.

8 ‘‘(c) FACTORS.—For purposes of calculating a sur9 charge under this section—

10 ‘‘(1) average fuel economy is 5 miles per gallon;

11 and

12 ‘‘(2) mileage means the number of paid miles

13 driven as determined under the Department of De14 fense, Military Traffic Management Command’s ‘De15 fense Table of Official Distances’ or mileage guide

16 established pursuant to section 13703 (a)(1)(D).

17 ‘‘(d) LIMITATION ON AUTHORITY.—Notwithstanding

18 any other provision of this part, enforcement of this sec19 tion shall be through the private right of action provided

20 in section 14704(a), and neither the Secretary of Trans21 portation nor the Surface Transportation Board shall have

22 regulatory or enforcement authority relating to provisions

23 of this section.
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1 ‘‘§ 13715. Negotiated fuel adjustments

2 ‘‘(a) IN GENERAL.—Nothing in section 13714 shall

3 be construed to abrogate provisions relating to fuel cost

4 adjustments in any transportation contract or agreement

5 in effect on the date of the enactment of the Motor Carrier

6 Fuel Cost Equity Act of 2001 and any renewal of such

7 a contract or agreement thereafter. Nothing in this section

8 and sections 13714 and 14102 shall be construed to pro9 hibit any motor carrier, broker, or freight forwarder from

10 including any privately negotiated fuel cost adjustment

11 provision in any contract or agreement to provide trans12 portation that is an amount necessary to compensate the

13 person responsible for paying for fuel for the amount of

14 increase in the cost of fuel.

15 ‘‘(b) CONTINUATION OF AUTHORITY.—Nothing in

16 section 13714 shall impair the ability of any person to

17 enter into any contract or agreement after the date of the

18 enactment of the Motor Carrier Fuel Cost Equity Act of

19 2001 that provides for a fuel adjustment under this sec20 tion or section 13714 during any period in which no fuel

21 surcharge is required under section 13714.’’.

22 (b) CLERICAL AMENDMENT.—The analysis for chap23 ter 137 of such title is amended by adding at the end the

24 following:

‘‘13714. Fuel surcharge.

‘‘13715. Negotiated fuel adjustments.’’.
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1 SEC. 3. MANDATORY PASS-THROUGH TO COST BEARER.

2 Section 14102 of title 49, United States Code, is

3 amended by adding at the end the following:

4 ‘‘(c) MANDATORY PASS-THROUGH TO COST BEAR5 ER.—

6 ‘‘(1) IN GENERAL.—A motor carrier, broker, or

7 freight forwarder providing transportation or service

8 using motor vehicles not owned by it and using fuel

9 not paid for by it—

10 ‘‘(A) shall pass through to the person re11 sponsible for paying for fuel any fuel surcharge

12 required by section 13714 or provided for in

13 transportation contracts or agreements;

14 ‘‘(B) shall disclose in writing to the equip15 ment lessor and lessee the amount of all freight

16 rates and charges and fuel surcharges applica17 ble to such transportation or service; and

18 ‘‘(C) is prohibited from—

19 ‘‘(i) intentionally reducing compen20 satory transportation costs (other than the

21 fuel surcharge) to the person responsible

22 for paying for fuel for the purpose of ad23 justing for or avoiding the pass through of

24 the fuel surcharge; and

25 ‘‘(ii) intentionally imposing a fuel cost

26 adjustment in accordance with section
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1 13715 for the purpose of avoiding any pay2 ment under this section or section 13714.

3 ‘‘(2) LIMITATION ON AUTHORITY.—Notwith4 standing any other provision of this part, enforce5 ment of this section shall be through the private

6 right of action provided in section 14704(a), and

7 neither the Secretary of Transportation nor the Sur8 face Transportation Board shall have regulatory or

9 enforcement authority relating to provisions of this

10 subsection.’’.

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