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ICC Needs To Eliminate Improper Leasing Practices by Certificated Motor Carriers

CED-81-24 Published: Dec 31, 1980. Publicly Released: Dec 31, 1980.
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Highlights

GAO was requested to determine: (1) the extent of leasing in the trucking industry; (2) the differences, if any, in services rendered to owner-operators by motor carriers certified by the Interstate Commerce Commission (ICC) and those rendered by agricultural brokers; and (3) the reasonableness of the fees charged for those services. GAO analyzed financial data collected by ICC from certificated carriers to determine whether there were significant profitability differences that could be traced to the use of owner-operators. GAO also gathered data from truck brokers and certificated carriers to determine whether there were significant differences in the services provided to owner-operators and the costs of providing those services.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Interstate Commerce Commission The Chairman of ICC should monitor leasing practices by collecting and analyzing the industry data necessary to determine whether improper leasing practices are continuing under the Motor Carrier Act of 1980.
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Topics

Investigations into federal agenciesLeasesLeasing policiesMotor carriersTrucking operationsAgricultural commoditiesProfitsHousehold goodsCompensationInterstate commerce