Operating Authority
FMCSA-granted permission to operate as a for-hire motor carrier.
Definition
Operating authority (also called MC authority) is the FMCSA-granted permission to operate as a for-hire motor carrier in interstate commerce. Types include: common carrier (hauls for the general public), contract carrier (hauls under specific contracts), and broker authority. Requirements include: USDOT number, MC number, BOC-3 filing, minimum insurance ($750,000 for general freight, $1M for hazmat), and UCR registration. Total startup cost is typically $3,000-$5,000.
FAQ
What does Operating Authority mean?
FMCSA-granted permission to operate as a for-hire motor carrier.
Why is Operating Authority important for truck drivers?
Understanding operating authority is essential for truck drivers because it directly impacts your daily operations, pay, or compliance. Operating authority (also called MC authority) is the FMCSA-granted permission to operate as a for-hire motor carrier in interstate commerce. Types include: common carrier (hauls for the general public), contract carrier (hauls under specific contracts), and broker authority.
Related Terms
MC Number (Motor Carrier Number)
An operating authority number required for carriers engaged in interstate commerce.
Owner-Operator
A truck driver who owns or leases their own truck and operates as an independent business.
FMCSA (Federal Motor Carrier Safety Administration)
The federal agency that regulates the trucking industry.