Trying to buy package of routes

Your right! Today I covered a 240 mile route with 72 stops. I told them it will take 7 hours of delivery, 1 1/2 hours to my first stop and back and an hour in the morning until they let me leave. That's an eleven hour day. How the hell is the guy who owns this making money? Oh, by the way, it was 96 packages. My L.A. routes did 100 plus delivery stops, 25 - 40 pickups with 350-650 pkgs picked up and 250-350 delivered. This would take 9-10 hours.
This sounds like the route I used to drive. I'd driven other challenging rural routes and thought I could make it work but with fixed rate/no OT pay there's really no incentive to run myself down like that. I was clocking 10-12 hour days every day and it never seemed to get better. I like doing RD but not enough to be working for free.
 

NYCFXG

Well-Known Member
I actually pay hourly. But I am forced to be a hawk with hours. I have put many hours into building routes that take 7 hours to complete. 1 hour to set up and 7 hours door to door. I take the half hour off for their break. Routes have different start times depending on pick ups. It takes some getting used to by the people who work for me, but over time it has helped me staff the routes that historically were harder to find drivers for because the routes that run longer lead to overtime. Hurdles are consistent pay, "take home pay demands", and clock milkers. I sell it to them by explaining, if they have a break down or if we are unusually heavy they are compensated additionally for their time appropriately. But it helps me on days with early/late exemption, weather cancellations and extremely light days. Some appreciate it, others would rather get "straight pay". It was a rough transition but completely necessary.
 
I drove for a contractor a few years ago who paid by the hour and I only occasionally went into OT during peak. That was another rural route, but it covered a much smaller area. Like 140 miles instead of the 250 I was doing kind of recently.
 

STFXG

Well-Known Member
Could you go a little deeper into that?
If your corporation is renting the vehicle from that person you can write up a rental agreement and run whatever vehicle you want to. There is no required equipment or vehicle size/type restrictions in the contract when it comes to rental vehicles. Only requirement is a rental agreement that you can provide to management upon request.
 

bbsam

Moderator
Staff member
If your corporation is renting the vehicle from that person you can write up a rental agreement and run whatever vehicle you want to. There is no required equipment or vehicle size/type restrictions in the contract when it comes to rental vehicles. Only requirement is a rental agreement that you can provide to management upon request.
So a contractor could have an "unapproved" vehicle(s) in his own name and rent them to the corporation and not have them subject to the stupid quarterly inspections?
 

STFXG

Well-Known Member
So a contractor could have an "unapproved" vehicle(s) in his own name and rent them to the corporation and not have them subject to the stupid quarterly inspections?
Correct. You can rent your own vehicle to your corporation. You can get around the 30 day limit by adding it to your business insurance.
 

STFXG

Well-Known Member
I found this out when a guy in my terminal set up a fleet maintenance company and leased a van to his P&D company. I was pissed because I had a brand new van sitting there idle waiting for approval so I asked how this guy could be using a van with no bulkhead or any of the safety features required on our trucks. I was told I cannot run my new truck as a rental since it was in my business name, but I could run any other vehicle as long as I had a rental agreement. I specifically asked if I can use my personal SUV and was told I could if I had the agreement in writing and could show proof. Pretty stupid.
 

bbsam

Moderator
Staff member
Correct. You can rent your own vehicle to your corporation. You can get around the 30 day limit by adding it to your business insurance.
Can you then rent a vehicle to yourself with another 30 day contract to or do you have to wait a certain amount of time? I've rented vehicles for months and months with nothing said.
 

bacha29

Well-Known Member
you just do another rental agreement after 30 days.[/Q You could sign a new rental agreement even if it was with the same rental company but wouldn't it require that you switch to another vehicle with a different unit number. At my station you have as many "B's" and "E's" as you have actual designated X trademark and logo trucks and some rentals have been on designated assigned routes for more than 2 years.
 

STFXG

Well-Known Member
Can you then rent a vehicle to yourself with another 30 day contract to or do you have to wait a certain amount of time? I've rented vehicles for months and months with nothing said.
The 30 day limit is an insurance thing. Our insurance only covers a rental for 30 days. You can run a rental as long as you want if you add it to your insurance and get it covered. Or just throw any approved truck on the primary route for a single day then carry on with the rental. Move the rental between routes. ISP may be a bit different than moving it between PSAs. You can always just pull it for a day and write up a new rental agreement.
 

It will be fine

Well-Known Member
The 30 day limit is an insurance thing. Our insurance only covers a rental for 30 days. You can run a rental as long as you want if you add it to your insurance and get it covered. Or just throw any approved truck on the primary route for a single day then carry on with the rental. Move the rental between routes. ISP may be a bit different than moving it between PSAs. You can always just pull it for a day and write up a new rental agreement.
The 30 day limit is a DOT regulation. You can't run long term rentals if you operate under a DOT number. It would probably screw up the safety scores if operators were allowed to run rentals indefinitely.
 

bbsam

Moderator
Staff member
The 30 day limit is a DOT regulation. You can't run long term rentals if you operate under a DOT number. It would probably screw up the safety scores if operators were allowed to run rentals indefinitely.
Rentals are have their own DOT numbers. That's why a Penske with an oil leak is not a concern for Fedex's FMCSA score
 

It will be fine

Well-Known Member
Rentals are have their own DOT numbers. That's why a Penske with an oil leak is not a concern for Fedex's FMCSA score
That's why the DOT limits rentals to 30 days. A motor carrier needs to maintain its own fleet and demonstrate competence in that regards. They can't just rent trucks and use them long term.
 
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