New bipartisan legislation introduced in the U.S. Senate aims to stop 'chameleon carriers' from reopening under new identities to evade safety penalties and enforcement, a move that could significantly reduce unsafe trucking operations on U.S. roads. The Safety and Accountability in Freight Enforcement Act (SAFE Act), sponsored by Sens. Todd Young (R-Ind.) and Andy Kim (D-N.J.), targets trucking companies that close after safety violations, penalties, insurance problems, or enforcement actions, then seek a new USDOT number under a different business structure, according to FreightWaves. The bill also covers brokers, freight forwarders, and intermodal equipment providers.
Legislation targets chameleon carriers
The SAFE Act directs the Federal Motor Carrier Safety Administration (FMCSA) to develop and test an automated screening tool to identify identity links during the USDOT registration process. Agency personnel would use the system, but final decisions remain with FMCSA employees, not automation. Applicants could appeal an incorrect flag and receive a review after correcting their submission, according to FreightWaves.
"When unsafe trucking companies evade enforcement by reopening under a new identity, everyone who shares the road" faces risk. — Sen. Todd Young
Sen. Kim described the legislation as a way to address operators who skirt regulations, stating that those actions "can cost people's lives," according to FreightWaves.
FMCSA screening tool details
The tool would examine multiple data points to detect whether a new applicant continues a previous operation. According to FreightWaves, it would look for:
- Common ownership
- Managers, drivers, and equipment
- Addresses, phone numbers, and emails
- Operating facilities
- Insurance continuity and lapsed coverage
- Transferred assets and inactive USDOT numbers
- Company formation dates
FMCSA could use the findings when deciding whether to approve registration. The bill also includes data privacy protections and allows FMCSA to share information with the Justice Department, Treasury Department, Homeland Security, Postal Service, and state partners.
| Provision | Description |
|---|---|
| Automated screening tool | FMCSA develops system to flag identity links between new applicants and previously closed carriers |
| Data points checked | Ownership, managers, drivers, equipment, addresses, phone numbers, emails, operating facilities, insurance continuity, asset transfers, formation dates |
| Appeal process | Applicants can appeal incorrect flags and receive review after correcting submission |
| GAO study | Within one year, study scope of chameleon carriers, fatalities, injuries, enforcement methods |
| DOT IG audit | Two years after tool implementation, audit flagged applications, rejections, errors, crash reductions |
Industry support
The Owner-Operator Independent Drivers Association (OOIDA) supports the legislation. OOIDA President Todd Spencer called it a way to "identify and weed out bad actors" before they become chameleon carriers, according to FreightWaves. The American Trucking Associations, Truckload Carriers Association, National Tank Truck Carriers, and Indiana Motor Truck Association also endorsed the proposal. Rep. Harriet Hageman (R-Wyo.) introduced the House version earlier this year.
What lies ahead
The SAFE Act now awaits Senate committee action. If enacted, the Government Accountability Office would study the scope of chameleon carriers nationwide within one year, estimating their prevalence, related fatalities, serious injuries, property damage, and enforcement methods. The DOT inspector general would audit the tool two years after implementation, measuring flagged applications, rejected registrations, errors, and severe-crash reductions. FreightWaves noted that bad actors can exploit weak registration checks to return with a clean-looking identity, and the SAFE Act would place greater attention on ownership, contact information, equipment, insurance, and operational links before FMCSA issues a USDOT number.
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