CBSA AUDITS
Every carrier moving freight northbound into Canada should be prepared for a CBSA internal audit of their handling of paperwork systems that are in place. This is doubly nececessary for carriers who are CSA/FAST approved. If you have not yet been audited by the CBSA rest assured that it is only a matter of time before they will come calling.
When they do it would be nice to be prepared. It is simple enough to be prepared for such an eventuality. Here below are some guidlelines that will assist you in being ready for such an audit. CBSA audits may be unannounced and random in support of the Customs Self Assessment Program.
Ensure you are familiar with and have in place:
* corporate structure and carrier code;
* security measure for freight facilities and personnel policies;
* terminal and warehouse locations;
* Canadian and U.S. divisions
Recordkeeping – Carriers will be asked to produce:
* accounting and carrier systems;
* the location of books and records;
* a walk-through of an international Canada-bound order;
* the current business process for all shipments;
* sample documents, descriptions, and the linkages for each step in the shipping process;
* how CSA customers, drivers, and shipments will be identified in the system; and
* how CSA shipments will be traced.
Carriers must have available a current list of owner-operators used to transport CSA freight into Canada.
Important Guideline
CBSA inspectors will likely want to see 90 days of orders in sequential order. Orders must be clearly separated as CSA orders and Domestic orders.
Training
As a mock training endeavour you should conduct the following once or twice a year so that staff will be familiar with the CBSA requirements:
Training Task
Select an order number of a Canada-bound shipment
A – provide a list in the form of a report generated directly from your software system.
The list must include but not be limited to the information as follows:
– internal control number
– date of order
– invoice number
– tractor number
– trailer number
– driver name
– carrier code
– CSA/FAST shipment (yes or no)
– commodity
– date of pick up
– date of receipt
– name and address of Importer of Record (IOR)
– name and address of shipper
– billing name and address
– address of pick up location
– name and address of consignee
– delivery location
– port of exit
– port of entry
B – In addition, gather together the paperwork located in the office that supports this movement of freight into Canada. This should include all documents and/or screen prints, related to the shipment such as bills of lading, waybills, invoices, customs control document, PARS, dispatch records, proof of delivery, etc., all in support of the movement of this freight.
Note: It is important that you note exactly where these documents are stored in your offices.
You must be able to show proof that the order number follows the shipment from its inception to its conclusion – called in order to invoice and payment.
This would make for a very interesting training session during a quiet operational period involving those that handle this paperwork including dispatchers and clerical staff.
GOVERNING TRUCKS AT 105 KM/H
For two hundred and fifty years in Canada we have been striving to create a democracy. We haven’t perfected the system yet but we have been doing pretty well. We elect officials to represent us and we empower them to enact legislation to govern us. When we don’t agree with such legislation we have a choice when next there is an election to turf them out of office.
In the case of governing trucks a number of our provincial governments are in the process of introducing legislation to govern the speed of commercial trucks on our highways. In the case of Ontario a bill has been introduced that would require all trucks operating in the province to be governed at 105 km/h. Quebec has similar legislation and may be awaiting action from Ontario in order to enact theirs. I firmly believe other provinces may very well follow suit especially now that this “green” environment is enveloping all of us.
I have read ad nauseam the responses from owner operator groups, owner operators and individual drivers about why such a move would be wrong and wil never work and will cause chaos on the roads etc etc. At the same time and often out of the same side of their mouths they will say that a large percentage of their trucks are already governed. Then, if they are we should be seeing some of this chaos that is forecast by the naysayers such as unreasonably long lines of trucks in the right lane and long line ups to exit and enter 400 series highways and catastrophic accidents everywhere. We are not seeing any such thing nor do I for a moment anticipate any such experiences once the legislation becomes law.
For those of you who can remember back in the 1970s when we had the phony shortage of oil and the U.S. imposed 55 mph limits on most if not all of their Interstates it was a joy to drive on their highways. New York State only in recent years did they remove the 55 mph restriction. It was a pleasure to cross over into the U.S and drive under those conditions. If you want to save on fuel consumption just drive below 65 mph hour and you will quickly realize savings and wear and tare on your equipment and on your nerves. I hear drivers with veins bursting in their necks telling me why they need to be able to “make a run for the next hill” or face the danger of not getting over it. How silly can you get. Most commercial drivers today are operating pulling 80,000 lbs and often far less being powered by 400 – 600 plus horse power with no grade on any part of the Trans Canada or any Interstate more than 5 degrees. Even the Rogers Pass has only a 7 degree maximum grade.
I don’t for a moment believe all that we are being told about the environment and climate change and the threat of polar bears coming south and foraging in my backyard but I do accept that we must do our part in changing our wasteful ways.
If this governing of our commercial vehicles is so ‘off the wall’ why would one of the largest LTL carriers in the U.S. just announce that they are initiating action to govern their 8,400-tractor fleet to run at 62 miles per hour. They did this to improve fuel conservation and reduce carbon emissions. A trucking company with this standing and having conducted thousands of hours of research and spent millions of dollars must realize what they are doing. They have also invested in technologies and implemented other operational practices designed to reduce fuel consumption, which also lowers carbon emissions.
There is no question about it but the speed limiters will be part of our operational inventory in the not too distant future. The most persuasive in favour of speed limiters comes from the driving public who continue to view the ‘big rig’ on the highway as a menace and anything that will cause them to be slowed will be supported by this driving public. It is very rare to see a tractor/trailer combination on any major highway maintain the 100 km/h speed limit – very rare. The vast majority of them cruise along between 105 and 115 km/h with the rare driver exceeding this speed and the very rare exceeding 120 km/h but they are out there.
It is my opinion that speed limiters will be law within two years on most multi lane highways. We must prepare for it and get used to it.
ACE E-MANIFEST SEQUENCING
We recently experienced an incident whereby our driver and conveyance crossed southbound into the U.S. MT using the normal manifest and bill of lading. Coincidently with this move Dispatch sent out an ACE e-manifest for the next move which was scheduled to cross southbound several days later using the same driver and conveyance. In the first instance when our driver reached the U.S. Border Port the system brought up the ACE that was in the system. Result of course was the driver got raked over the coals for something that was not her/his fault unfortunately.
In the future it is my belief that all southbound empty moves will eventually require an ACE e-manifest but this has not yet been implemented.
In the meantime (at least for those using CrimsonLogic as a service provider) dispatch should not raise an ACE e-manifest until the previous trip has been completed with the drivers and conveyance back in Canada. To do otherwise may cause difficulties especially if the U.S. Inspector activates the system as opposed to waving the empty through.
Please be guided accordingly.
SAFETY TIPS
Ontario – Ontario unveiled a more secure driver’s licence in December, 2007. The new licence – one of the most secure cards in North America – will help Ontarians avoid identity theft and protect them against fraud and misuse. It incorporates leading-edge security features, including a secondary photo and signature on the front of the card, and raised lettering of the number, signature and date of birth. With specific enhancements, the new licence could also become an acceptable passport-equivalent for U.S. border crossings. Any newly-licensed individuals or anyone renewing their licence will now receive one of the new cards.
Quebec – In December, Quebec opposition parties rejected Transport Minister Julie Boulet’s proposal for a 24-hour driver’s licence suspension for any driver stopped with a 0.05% BAC. The legal limit in Quebec will remain 0.08% blood alcohol content (BAC). The 0.05% measure is in effect in all other provinces, and Saskatchewan has set the threshold at 0.04%, it was noted.
Quebec – Starting next winter, all passenger cars, taxis and rental vehicles in Quebec will be required to have four snow tires on from November 15 to April 15. Currently 90% of Quebec drives switch to winter tires each year. Will other provinces follow Quebec’s lead? Stay tuned.
Nova Scotia – Effective April 1, 2008 Nova Scotia has banned in-car use of hand held cell phones.
Nova Scotia – Effective April 1, 2008 Nova Scotia has banned smoking in automobiles with passengers 18 years of age and younger.
Quebec – Effective April 1, 2008 Quebec has banned in-car use of hand held cell phones.
Alberta – A new high-security birth certificate designed to protect Albertans from fraud and identity theft became availabe on February 1, 2008.
Alberta – James Trombley, a transport officer with Alberta iInfrastructure and Transportation, won the Grand Champion Award at the North American Inspectors Championship, held in Minneapolis in August 2007.
Quebec – Quebec plans to Ban Car Advertising that promotes speed and recklessness “Zoom, Zoom” type ads aimed at selling cars will soon be banned in Quebec.
Ontario – Ontario’s roads will be safer thanks to New Legislation targeting drunk drivers, street racers and other dangerous drivers.
New Brunswick – Applications from the trucking industry to operate long combination vehicles (LCVs) under special permit on four-lane highways in New Brunswick will be accepted by the Department of Transportation effective June 30.
Prince Edward Island – New radar equipment will soon be installed in two Commercial Vehicle Enforcement (CVE) patrol cars at the P.E.I. Dept of Transportation and Public Works. This will add to the Department’s ability to enforce the Highway Traffic Act.
An LCV is a twin semi-trailer combination with an overall length of 40 metres. They have been operating on Routes 1 and 2 between Saint John and Dieppe as part of a pilot project since 2005. The safety of these vehicles has been subject to a University of New Brunswick study that determined they were safe for use on New Brunswick’s four-lane highways. (see Truck News article by Adam Ledlow for further details)
Ontario – MTO is improving standards for beginner driver education (BDE) in Ontario to help teach novice drivers safe driving habits and to keep Ontario’s roads secure.
Ontario – Ontario is rebuilding Ontario’s Highway Service Centres. There are 23 service centres in Southern Ontario located along Highways 400 and 401. The majority were built in the 1960s. Over the next five years, these centres will be modernized. There will be temporary closings and inconveniences but the end result promises to be exciting.
HUMAN ERRORS CAUSE ACCIDENTS
The CVSA, FMCSA and Transport Canada in recent studies found that actions or inactions by drivers of large trucks and automobiles accounted for 88% of the critical reasons for crashes. Almost nine out of 10 crashes between cars and trucks were attributed to the driver, and only 12% were found to be due to vehicle, road or weather factors. The study also concluded that in multi-vehicle crashes between large trucks and cars, the car driver was assigned the critical reason for the crash 56% of the time, and the driver of the large truck was judged responsible the other 44% of the time.
Those interested in reading more about these studies may go to the following web site to review further the contents of Operation Safe Driver, Commercial Vehicle Safety Alliance and the U.S. Federal Motor Carrier Safety Administration all of whom focused on improving commercial and non-commercial vehicle driver performance through enforcement and education.
“YOU’RE FIRED”
Back in the 1940s, 1950s and 1960s and probably later if the boss didnt like the ‘cut of your jib’ he simply fired your ass with little consequences. It is an entirely different situation today. Today we have both federal and provincial regulations that protect the employee and the employer. Few people realize it but in the trucking industry there are special regulations set aside that protect the truck driver which is not common amongst other workers. An Arbitration Judge once pointed this regulation out to me and advised that it was created to protect the driver from unscruplous owners who were common in the industry in the “old days.” Let’s hope things are changing.
The first thing a present day employer must realize is that it isnt easy to terminate, dismiss, or fire an employee. Employees who work for federally regulated businesses such as inter-provincial carriers are governed by the Canada Labour Code, whereas employees working for provincially regulated carriers are governed by the Ministry of Labour. In fact should an employee have an inquiry they can start by making an inquiry to:
Ministry of Labour (Ontario) Employment Standards 1 800 531-5551
Waterloo, ON 519 885-3378
Toronto, ON 416 326-7160
Other contacts are normally listed in your local telephone book. There are lawyers that specialize in providing assistance to the disgruntled employee. You might want to avoid the lawyer approach at the outset because it can become very expensive.
Employers doing their jobs and acting professionally should very rarely be placed in a position where they are obliged to fire an employee. The process of ‘progressive discipline’ enables the employer to develop and correct and enhance the performance of their employees. Every employee should have a detailed job discription and an immeidate supervisor. Employees should be hired probationary for 90 days and closely observed. Shortcomings as well as good performance should be pointed out to the employee. It is imperative that a paper trail be created and records kept. Where employees’ performance is unsatisfactory they should be presented with the opportunity to correct the problem and/or undergo additional training. Of course if repeated unsatifactory performance continues to the detriment of the carrier and the employer has recorded proof that measures were taken and supervision and training given then termination may have to result.
Drivers accused of severe misconduct such as theft, cabotage, smuggling, or physical assault etc can be immediately fired through a summary dismissal.
There is a terrible statistic that seems never to change and that is approximately 80% of complaints filed under the Canada Labour Code come from the trucking industry mostly related to drivers being owed wages and wage-related benefits.
Here are some guidelines:
The first 90 days of employment is ‘fair game’ time where there is no requirement for notice or rationale for a dismissal. This is often called a probationary period.
Employees on the job betwen three and 12 months are eligible to receive two weeks notice or the equivalent pay.
If a driver files a complaint about the way they were treated it will normally result in a decision by an inspector or be sent to aribitration. The result of which will likely be job reinstatement or financial settlement being awarded.
Be clear in what your expectations are.
Ensure job descriptions, contracts and discipline related documents clearly outline job requirements.
Any corrective procedures should be applied consistently in your business – dont play favourties.
Act immediateley – dont allow poor work performance or other problems to continue without taking appropriate action.
Keep disciplinary meetings private and face-to-face. Act professionally and deal with facts and not personalities.
Maintain a detailed paper trail.
Judge each case on its own merits.
Ensure you thoroughly investigate every case ensuring you have gathered information in support of your actions prior to terminating an employee.
Remember, almost without exception every person is salvageable. Many only need a guiding hand to set them straight and or lift them up.
Dont promote underserving employees – be aware of the Peter Principle.
RELEASE NOTIFICATION SYSTEM (RNS)
Canada Border Services Agency (CBSA)
The Release Notification System (RNS) was at first introduced and made mandatory to cross at the Ambassador Bridge coming northbound into Canada. It is an electronic system that can be used to notify RNS clients of customs releases and for RNS clients to notify the Canada Border Services Agency (CBSA) that a certain shipment has arrived in Canada.
A number of carriers (operational dispatch staff) are unaware that the RNS system can be used at all northbound Canadian Ports and not only the Ambassador Bridge. This is the reason for this BLOG. If you are aware fine, if not it is recommended you explore further to enhance your operation.
Eligibility Criteria
* Transportation carriers
* Commercial importers
* Customs brokers
* Warehouse operators
Summary
RNS gives importers, brokers, warehouse operators and transportation carriers information via computer on customs releases. RNS offers different features, including:
1. Automatic Release
The CBSA regularly contacts RNS clients via computer to notify them individually of their released shipments. The client can use this information to schedule deliveries and prepare import documents.
2. Arrival Certification
The client can notify the CBSA when a shipment of importd goods arrives in Canada. The CBSA will then send a message to the client that the shipment is either released or referred for examination.
3. Status Query
Prior to the arrival of a shipment, the client can transmit a status query to determine if the importer/broker has submitted/transmitted the release package/data to the CBSA for processing and, therefore, awaiting goods’ arrival. Once the goods have arrived, the client can transmit a status query to determine the release status of a shipment.
4. Automatic Status
Prior to the arrival of a shipment, the client can automatically receive a message as to whether or not the importer/broker has submitted/transmitted the release package/date to the CBSA for processing and, therefore, awaiting goods’ arrival.
Terms and Conditions
To use the RNS, you either have to get an electronic data interchange (EDI) mailbox with a third-party value added network (VAN) which is connected to the CBSA or transmit and recieve over a Customs Automated Data Exchange (CADEX) line or the Internet. RNS applicants may be asked by the CBSA to have their systems tested before getting approval. If for example you are using CimsonLogic as your ACE third party provider, you simply call them and get added onto the system for RNS.
Where and How to Apply
Canada – 888-957-7224
Quebec – 800-461-9999
Web site: http://www.cbsa.gc.ca/menu-eng.html
The above references to client (read dispatcher). The driver in U.S. sends paperwork with PARS to Broker. Once confirmed receipt driver notifies dispatch who then monitors screen for a transaction number which is then passed to the driver. Driver then knows the entry is cleared and CBSA awaits his/her arrival. Very efficient system it is.
NEW FAST LANE
The US CBP and the Canadian CBSA offer expedited clearance processes to pre-authorized drivers, carriers and importers at a number of major border crossings. Dedicated lanes, where feasible in Canada are available for CSA/FAST approved carriers when using CDRP/FAST approved drivers hauling eligible goods for C-TPAT/FAST approved importers. CSA/FAST approved carriers using CDRP/FAST drivers may also use these lanes when entering Canada empty.
Effective February 15, 2008 CBSA is pleased to announce the opening of a new northbound FAST lane at the Pacific Highway/Blaine border crossing in Surrey, BC. This designated lane will be clearly marked as you approach the border crossing and is the third truck lane to the left. This lane is currently open from 0800 hours to 1600 hours Pacific Standard Time, Monday to Friday.
For additional information about this program please visit the CBSA website at www.cbsa-asfc.gc.ca
US CUSTOMS FIND DRUGS IN TRACTOR-TRAILERS
Buffalo, NY — So far this year, US Customs officers have seized more than $10 million in drugs from truckers based out of the Greater Toronto Area.
This staggering number was released after an Oshawa, ON based trucker was jailed for hauling 125 kgs of marijuana across the border at Buffalo this past week. The drugs were found amid a just-in-time delivery of aircraft parts, according to a report in today’s Toronto Sun. The driver was en route to New Jersey when he was inspected and arrested after a gamma-ray machine detected the dope.
So far this year, US Customs has been averaging arrests of two truckers per month and they blame the high rate on organized crime.
“We have seen an increase in the smuggling of marijuana in the last five years,” Kevin Corsaro, of US Customs and Border Protection, told the Toronto Sun. ” We believe organized crime may be behind the smuggling.”
Truck News, 3/20/2008 – With files from the Tononto Sun
