Agriculture Exemptions
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1 Agriculture Exemptions Hours of Service (HOS) 1
2 Virginia Division 400 N 8 th Street, Suite 780 Richmond, VA Phone: Division Administrator: Craig A. Feister 2
3 Definitions *390.3T (a)(1) The rules in this subchapter are applicable to all employers, employees, and commercial motor vehicles that transport property or passengers in interstate commerce. (f) Exceptions - (3) The occasional transportation of personal property by individuals not for compensation nor in the furtherance of a commercial enterprise *Abbreviated Content 3
4 390.3T Interpretations Question 21: Does the exemption in 390.3(f)(3) for the occasional transportation of personal property by individuals not for compensation nor in the furtherance of a commercial enterprise apply to persons who occasionally use CMVs to transport cars, boats, horses, etc., to races, tournaments, shows or similar events, even if prize money is offered at these events? 4
5 390.3T Interpretations (Cont.) Guidance: The exemption would apply to this kind of transportation, provided: (1) The underlying activities are not undertaken for profit, i.e., (a) prize money is declared as ordinary income for tax purposes, and (b) the cost of the underlying activities is not deducted as a business expense for tax purposes; and, where relevant; (2) corporate sponsorship is not involved. Drivers must confer with their State of licensure to determine the licensing provisions to which they are subject. 5
6 390.5T Interstate commerce means trade, traffic, or transportation in the United States (1) Between a place in a State and a place outside of such State (including a place outside of the United States); (2) Between two places in a State through another State or a place outside of the United States; or (3) Between two places in a State as part of trade, traffic, or transportation originating or terminating outside the State or the United States. 6
7 *390.5T Commercial motor vehicle means any self-propelled or towed motor vehicle used on a highway in interstate commerce to transport passengers or property when the vehicle 1) Has a gross vehicle weight rating or gross combination weight rating, or gross vehicle weight or gross combination weight, of 4,536 kg (10,001 pounds) or more, whichever is greater; or 2) Is used in transporting material found by the Secretary of Transportation to be hazardous under 49 U.S.C and transported in a quantity requiring placarding under regulations prescribed by the Secretary under 49 CFR, subtitle B, chapter I, subchapter C. * Abbreviated Definition 7
8 383.5 Commercial motor vehicle (CMV) means a motor vehicle or combination of motor vehicles used in commerce to transport passengers or property if the motor vehicle is a (1) Combination Vehicle (Group A) having a gross combination weight rating or gross combination weight of 11,794 kilograms or more (26,001 pounds or more), whichever is greater, inclusive of a towed unit(s) with a gross vehicle weight rating or gross vehicle weight of more than 4,536 kilograms (10,000 pounds), whichever is greater; or (2) Heavy Straight Vehicle (Group B) having a gross vehicle weight rating or gross vehicle weight of 11,794 or more kilograms (26,001 pounds or more), whichever is greater; or (3) Small Vehicle (Group C) that does not meet Group A or B requirements but that either (i) Is designed to transport 16 or more passengers, including the driver; or (ii) Is of any size and is used in the transportation of hazardous materials as defined in this section (iii) Is of any size and is used in the transportation of hazardous materials as defined in this section. 8
9 9 Summary of the Statutory Provisions Section 32101(d) Transportation of Agricultural Commodities and Farm Supplies Section Exemptions from Requirements for Covered Farm Vehicles Both provisions are self-executing and take effect on October 1,
10 10 Section 32101(d) The HOS requirements shall not apply during planting and harvest periods, as determined by the States to: Drivers transporting agricultural commodities within 150 air miles from the source; Note: the previous National Highway System Designation Act of 1995 (NHS Act) agriculture exemption from the HOS rules only provided for 100 air miles. 10
11 11 Section 32101(d) (Continued) And, the HOS requirements shall not apply during planting and harvest periods, as determined by the States to: Drivers transporting farm supplies from a wholesale or retail distribution point to the location where the supplies are intended to be used, within a 150 air-mile radius from the distribution point. Drivers transporting farm supplies from a wholesale distribution point to a retail distribution point, within a 150 air-mile radius from the wholesale distribution point. 11
12 12 Section Provides a statutory exemption from most of the FMCSRs for covered farm vehicles: Part 383: CDLs Part 382: CDS and Alcohol and Testing Part 391: Physical Qualifications & Exams Part 395: Hours of Service Part 396: Inspection, Repair and Maintenance Note Part 390 and 393 applies 12
13 13 Covered Farm Vehicle Criteria Must be equipped with a special license plate or other designation by the State in which it is register to allow for identification. Must be operated by a farm or ranch owner or operator (includes employees and family members). Used to transport agricultural commodities, livestock, or machinery or supplies to a farm or ranch. 13
14 14 Covered Farm Vehicle: Operating 26,001 pounds or less Motor Area carriers may use the exemption anywhere they are operating in the U.S Greater than 26,001 pounds Motor carriers may use the exemption anywhere within the State in which the vehicle is registered, or Motor carriers may use the exemption anywhere within a 150 air-mile radius of the farm or ranch. 14
15 395.2 Agricultural commodity means any agricultural commodity, non-processed food, feed, fiber, or livestock (including livestock as defined in sec. 602 of the Emergency Livestock Feed Assistance Act of 1988 [7 U.S.C. 1471] and insects). 15
16 Definitions Livestock means cattle, elk, reindeer, bison, horses, deer, sheep, goats, swine, poultry (including eggproducing poultry), fish used for food, and other animals designated by the Secretary of Agriculture that are part of a foundation herd (including dairy producing cattle) or offspring; or are purchased as part of a normal operation and not to obtain additional benefits under the Emergency Livestock Feed Assistance Act of 1988, as amended. 16
17 Hours of Service and Agricultural Exemptions 1) 49 CFR 395.1(k) provides exceptions from the HOS rules, during planting and harvesting periods as determined by the State, for the transportation of agricultural commodities (including livestock, bees and other commodities) within a 150-air mile radius from the source of the commodities. The same provision applies to the delivery of supplies and equipment for agricultural use from a wholesale or retail distribution point. 17
18 2) The HOS regulations do not apply to the transportation of agricultural commodities operating completely within the 150-air mile radius by for hire or private carriers. Therefore, work and driving hours are not limited and the driver is also not required to use an Electronic Logging Device (ELD). In an operation where drivers share vehicle(s) equipped with ELDs, a driver that is always exempt can use an Exempt Driver account. 18
19 3) Once a driver operates beyond the 150-air mile radius, the HOS regulations apply. Therefore, starting at the time and location where the transporter goes past the 150-air mile radius, the driver must maintain logs using an ELD, unless the driver or the vehicle meets one of the limited ELD exemptions. The driver must work and drive within the limitations of the HOS rules when operating beyond the 150-air mile radius. Time spent working within the 150 air-mile radius does not count toward the driver s daily and weekly limits. 19
20 4) When operating within the 150 air-mile radius the driver should not log into the ELD.Upon exiting that radius, the driver should then log into the ELD, and annotate that any unassigned miles accumulated prior to that point were exempt miles. 20
21 5) Drivers transporting agricultural commodities are not required to use an ELD if the vehicle was manufactured before the model year 2000, provided they prepare paper logs, or if they do not operate outside of the 150 air-mile radius for more than 8 days during any 30-day period, provided they prepare paper logs on the days when they are not exempt from the HOS rules. 21
22 6) Covered farm vehicles, as defined in 49 CFR 390.5, are exempted from the HOS regulations per 49 CFR 395.1(s). Carriers operating under this exemption are also not required to have an ELD. This only applies to private transportation of agricultural commodities, including livestock by the owner or operator of a farm or ranch, or their family members or employees. 22
23 Limited 90-Day Waiver for the Transportation of Agricultural Commodities (ELDs) Effective: December 18, 2017; Expires: March 18, 2018(on March 14, 2018 extended to June 18, 2018) FMCSA grants a limited 90-day waiver from the Federal hours-of-service (HOS) regulations pertaining to electronic logging devices (ELDs) for the transportation of agricultural commodities as defined in the Federal Motor Carrier Safety Regulations (FMCSRs). 23
24 New budget just signed extended the ELD waiver till September 30, 2018 for livestock haulers. Livestock haulers only not agriculture commodities 24
25 Link to Current ELD Exemptions and Waivers 25
26 CDL FLOW CHART Are you operating a Cover Farm Vehicle as defined in 49 CFR 390.5T*? Yes No No CDL Required Is this a combination vehicle? No Yes Class B Yes Does the single vehicle have a GVWR/GVW of 26,001 lbs. or more? Does the trailer have a GVWR/GVW of 10,001 lbs or more? No Does the power unit have a GVWR/GVW of 26,001 lbs. or more? Yes Class B No Yes No Class C Yes Is the vehicle designed to transport 16 or more people including the driver? Is the GCWR** 26,001 or more? Yes No Is the vehicle designed to transport 16 or more people including the driver? Yes Class C No No Class C Yes Does the vehicle transport placardable amounts of Hazardous Class A Does the vehicle transport placardable amounts of Hazardous Yes Class C No No No CDL Required No CDL Required
27 Updated FMCSA website for Agriculture Exemptions
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