Freight Brokerage Authorities

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Freight Brokerage Authorities

Freight Brokerage Authority refers to the legal permission granted to a freight broker or a transportation intermediary by the Federal Motor Carrier Safety Administration (FMCSA) in the United States. A freight broker is an individual or company that acts as an intermediary between shippers (individuals or businesses that need to transport goods) and carriers (trucking companies or other transportation providers).

Types of Freight Brokerage Authorities

US DOT/ MC Number

A US DOT number identifies carriers operating in interstate commerce while an MC number identifies a carrier who transports regulated commodities for hire in interstate commerce. Generally, items that have been changed from their natural state are regulated commodities requiring an MC number

BOC-3

The rules for appointing individuals to receive legal notices are outlined in 49 CFR 366, with any revisions. An agent needs to be assigned for every state where the carrier, broker, or freight forwarder does business. The designated person, group, or company should be located in the specified state. Carriers, brokers, or freight forwarders can also select themselves if they are in the state mentioned.

EIN (Employer Identification Number)

The Employer Identification Number, also known as the Federal Employer Identification Number or the Federal Tax Identification Number, is a unique nine-digit number assigned by the Internal Revenue Service to business entities operating in the United States for the purposes of identification.

BMC-85

A BMC-85 is a trust fund that typically requires brokers to pay a full $75,000 into the fund and are unable to access afterwards. There are a few similarities between these options. Both fulfill the FMCSA requirements and protect customers in case you fail to fulfill your obligations as a freight broker

UCR (Unified Carrier Registration)

The UCR fees are simply fees carriers pay to allow them to operate in U.S. interstate commerce. On-road enforcement is checked electronically by using your USDOT number. UCR renews every 31st of December and the fee is based on number of trucks in the fleet.
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