FOR-HIRE TRANSPORTATION OF MOTOR VEHICLES

Intrastate (point to point within Michigan) are now required to obtain MPSC Operating Authority.

Public Act 111 of 2011 amended the Motor Carrier Act by mandating the Public Service Commission regulate all towing and motor vehicle transporters. Effective January 1, 2012, all businesses that transport vehicles for hire as a part of their business operations are subject to the Michigan Motor Carrier Act and must obtain intrastate operating authority from the Michigan Public Service Commission. All previously existing exemptions for towing companies have been eliminated from the law.

The following vehicle operations are subject to regulation:

Vehicles transporting motor vehicles.

A vehicle used to transport a vehicle which is temporarily disabled from a point within an 8 mile radius of a city having a population of 500,000 or more and including all other cities or villages, any part of which is located within the 8 mile radius to another point within that radius.

A vehicle towing a disabled motor vehicle from the location at which it was disabled to another location or a vehicle towing a motor vehicle involved in an accident from the location of the accident to another location.

The initial application fee is $100.00 per carrier. Upon completion of the application process, vehicle specific cab cards and decals are is-sued for each registered vehicle in the carrier’s fleet used in for-hire operations. The decals and cab cards are valid January 1 through December 31 of each year, and must be renewed by the carrier. The price for each set of decals and cab cards is $100.00 annually.

Failure to register is a misdemeanor punishable with a fine up to $500.00 and/or 90 days in jail. Additional applications may be found on the Motor Carrier page under forms or by calling (517) 241-6030.

BUSINESS COMMUNITY BACkS WORkERS COMP REFORM

The Michigan State Chamber and other business groups are encouraging the House to pass HB 5002 (Substitute H-2) which would provide numerous amendments to the Workers Compensation Disability Compensation Act.

Michigan Workers Comp laws have long been criti- cized for being unclear which has led to conflicting court decisions, a field day for personal injury attor- neys and higher insurance premiums. This bill will help clarify common disputes which will benefit both workers and employers by updating, reforming and modernizing the Act. HB 5002 was introduced by Rep. Brad Jacobsen (R-Oxford) to address a wide array of problems within the Act.

The MMA will keep our members advised as to the progress of this legislation. The provisions of the bill are too numerous to list here. If you would like a legislative summary of the provisions in the bill, or a copy of the bill itself, please contact the MMA office or visit www.legislature.mi.gov.