Blogs

May 13, 2022

SCAC Guide: What to Know Before Your NMFTA Application

It is very essential to know the basics of the standard carrier alpha code before you apply for it on the National Motor Freight Traffic Association website.

This code is a 2-to 4-letter code that has been developed by the NMFTA.

The SCAC identification number came into existence in the 1960s and they have now become a very reliable framework that helps the national motor freight traffic association to identify transportation companies working in this sector.

The American National Standards Institute Accredited Standards Committee and United Nations EDIFACT approved Electronic Data Interchange also use the same code for transportation company identification.

These codes are mandatory for every motor, rail, and water carrier transaction that a freight forwarder or a broker or carrier company wants to do with US government agencies. 

If you want to file any tariffs with the Surface Transportation Board, you are required to have your SCAC number with you.

The United States Bureau of Customs and Border Protection also mandates that you acquire a SCAC for their Automated Commercial Environment, Automated Manifest, and Pre-arrival Processing Systems.

The Food and Drug Administration also emphasizes strongly on the use of SCAC numbers.

They use these codes in their Prior Notice System Interface to keep track of the food items imported into the US through any adjoining state or country borders.

So, If you are a commercial shipper or any company involved in the automobile, forest products, petroleum, or chemical industries. You must acquire your SCAC number to do business with the US government.

If you are a carrier who uses the Uniform Intermodal Interchange Facilities Access Agreement, a SCAC code is a must for you. You must do all you can to maintain its validity throughout the year.

Fun Fact About SCAC

Do you know that SCAC numbers that end with the letter U are usually reserved for freight containers? Yes, these codes are reserved for the identification of these entities.

The ones that end with the letter X are usually reserved for the identification of any privately owned railroad cars.

Similarly, if you find any codes that end with the letter Z, these are usually reserved for the identification of truck chassis and trailers that are frequently employed in intermodal services. 

What Do You Know About The Directory Of Standard Carrier Alpha Codes?

Yes, there is a directory of standard carrier alpha codes which is published by the National Motor Freight Traffic Association Inc.

The directory is maintained and updated quarterly and re-issued every year. You can access the most current and relevant SCAC data by just performing an online search.

If you want to download any data, the SCAC information is available through their official CD ROM, and their data distribution service is carried through email or FTP.

What Does Your Standard Carrier Alpha Code Look Like?

Your standard carrier alpha code is a 2-to-4 digit code which is a standardized way to identify your transport company. The code stores your information electronically in the database maintained by the national motor freight traffic association.

It is a unique identification number given to your transport company or freight forwarder company. If you are a registered entity, You have to apply for a SCAC if you want to do business with the US government agencies.

Remember that these codes are used across the world for various purposes. You can find your SCAC code in your shipping documents if you are actively involved in the shipping business.

Go through your bill of lading, shipping invoices, and packing lists to locate your code. If you are a part of a 3PL or 4PL supply chain model.

You will need your SCAC code to facilitate your identification if you are an air or ocean carrier company.

Is It Important For You To Carry A Standard Carrier Alpha Code?

You must have a SCAC if you want to do any business with the United States or its governmental agencies.

If you provide any shipping services across the country, you will have to acquire a SCAC number. The code is used by the United States Customs and Board of Protection for various purposes.

The primary use is to monitor the shipping activities of transportation companies. Let’s talk about the 3 important security initiative programs run by the CBP in which the SCAC codes play a very important role:

  • Automated Commercial Environment

The Automated Commercial Environment is a system that is used for lodging import and export shipments.

  • Automated Manifest System

It is used by the border protection program to help them monitor every incoming shipment to the US.

This is useful in reducing any potential security threats that might enter the country through international borders.

  • Pre-Arrival Processing Systems

The Pre-arrival Processing System is used by custom brokers. The SCAC code is combined with the unique identifier number provided by the carrier. Then the processing system generates a barcode as the output.

Supply Chain Management And Your SCAC Code

The standard carrier alpha code is also used in 3PL and 4PL supply chain models. They prove to be very useful for non-US-bound shipments.

Large multinational companies that use third-party and fourth-party logistics providers make use of EDI messages quite frequently.

The EDI messages are routed with the help of their SCAC code that works as their identifier.  This is why the importance of the SCAC code in the supply chain industry is undeniable. It is highly useful for ocean and air carriers as well.

How Do You Get Your SCAC Number?

The process to secure a SCAC code is very simple. You must submit a duly filled application to the NMFTA through registered mail or online registration form available on their website. 

You will be required to give details about your company during the application procedure.

The processing time usually is anywhere between 1 to 2 weeks. The electronic copy gets sent to the CBP after the approval.

Depending upon the type of transport company you run, your SCAC code will end in either of the 3 letters, which are U, X, AND Z.

SCAC Code Renewal

You must renew your SCAC code annually without fail. They remain valid up to 30th June for each succeeding year.

The NMFTA will inform you with an invoice to renew your SCAC number before the expiry date and remain compliant and continue doing business, your SCAC code renewal is something that you should never neglect.

FAQ

What Happens If You Fail a DOT Inspection?

If the vehicle or driver is deemed unsafe, they may be placed out of service, meaning the vehicle cannot operate until all violations are properly corrected.

Who decides which level of inspection to perform?

Both the Commercial Vehicle Safety Alliance (CVSA) and the Federal Motor Carrier Safety Administration have a part in DOT inspection levels. The CVSA develops the criteria and sets the procedures for every inspection level. The FMCSA establishes overall regulations and determines which vehicles must be inspected.

How often do DOT inspections happen?

DOT inspections can happen at any time. They most commonly happen during roadside stops and weigh stations. Carriers with higher risk, poor safety records, or hazardous material may be inspected more frequently.

What documents are required during an inspection?

Documents required during an inspection include but may not be limited to:

  • State driver’s license or commercial driver’s license
  • Medical examiner’s certificate
  • Record of duty status
  • Vehicle registrations
  • Periodic inspections document for all vehicles being operated
  • Shipping papers or bills of lading
  • Information for hazardous materials being transported
  • Proof of insurance

What are common DOT inspection violations?

According to the FMCSA, the 5 most cited roadside violations are:

  1. False Report of Driver’s Record of Duty Status: log falsification providing inaccurate or intentionally altered duty-status information.
  2. No Record of Duty Status (ELD Required): using a commercial vehicle without the required electronic logging device or valid time records.
  3. Inoperable Required Lamp: crucial lights (headlights, brake lights, turn signals, etc.) are not functioning properly.
  4. Operating a Commercial Motor Vehicle Without a Commercial Driver’s License (CDL)
  5. Operating a Commercial Motor Vehicle Without Proof of a Periodic Inspection: failure to meet FMCSA the maintenance standards of a required annual inspection.

Why is updating VMT important for compliance?

VMT is tracked to determine fuel tax obligations (Vehicle Miles Traveled Tax) used for road maintenance and improvements. Trucking companies must keep accurate records of VMT to ensure they pay the correct amount of taxes.

How often should VMT be updated?

For motor carriers VMT must be updated every two years along with the MCS-150 form for the Biennial Update.

Can VMT be tracked automatically with technology?

Yes, Electronic Legging Devices (ELDs), Fleet Management Apps, and Mileage Tracking Software are all technological advancements that can simplify the process of VMT tracking.

How does VMT affect taxes and fuel reporting?

Accurate VMT records help document mileage for business-related tax deductions, ensuring compliance with IRS regulations. It also supports fuel tax reporting by tracking the miles each vehicle travels in different jurisdictions, which is essential for state and federal fuel tax calculations. Proper tracking reduces errors, prevents penalties, and provides a clear record of operational costs.

How do I know when my Biennial Update is due?

  • Your filing schedule depends on the last two digits of your USDOT number. The last digit corresponds with what month the form needs to be filed in. January is 1, February is 2, March is 3, etc. The next to last digit determines the year (odd-numbered year or even numbered year). For example, DOT number 1234567 files their biennial update in July (7) of every even year (6). Contact us today to see if you’re due.

Does the Biennial Update cost money to file?

While you can file your Biennial Update yourself for no cost through FMCSA. The process can often be confusing and time-consuming. Our team can handle your filing for you, simplifying the process for you.

Do intrastate carriers need to file the update?

Yes, even if carriers stay within state lines, a biennial update is still needed for their USDOT number.

What happens if I miss my filing deadline?

  • Failure to complete biennial update to FMCSA can be subject to fines with a maximum penalty of $10,000. If your update is past due, you can still file it to restore your compliance status. Contact us today to file your form! https://dotcompliancegroup.com/bu-update/ 

What are the new FMCSA rules in 2025?

  1. Civil Penalty Amount Increases
  2. Drug & Alcohol Clearinghouse Becomes Exclusive Source for checking driver history.
  3. ELD Technology Required
  4. SMS (Safety Measurement System) Modernization
  5. Crash Preventability Determination Program Expanded

When do the 2025 FMCSA regulations take effect?

The confirmed dates these regulations take effect is May 30, June 23, October 1, 2025.

How can trucking companies prepare for these changes?

Regularly reviewing your Safety Measurement System (SMS) scores and maintaining personal checklists for inspections, driver qualification files, and drug and alcohol testing helps catch issues before they affect audits. Partnering with DOT Compliance Group streamlines filings, reporting, and ongoing monitoring, taking the guesswork out of FMCSA regulations and keeping your operation audit-ready year-round.

What Triggers a DOT Compliance Review?

A DOT compliance review is triggered when FMCSA wants to ensure a carrier is following safety regulations. Common triggers include high SMS safety scores, a history of crashes or violations, and previous noncompliance. Staying proactive with accurate records, driver files, and regular internal audits helps reduce the likelihood of a review.

Where can I get help with FMCSA filings?

DOT Compliance Group can assist with any help or questions you may have about FMCSA filings. Call 972-476-9962.

How long are violations kept on record?

According to the Clearinghouse rules, drug and alcohol violations remain in the FMCSA Clearinghouse for five years, provided all requirements (such as completing the return‑to‑duty process) have been met before that period ends.

What if an employer makes a mistake in reporting?

In practice, correcting an employer reporting error typically involves identifying the mistake in the database and then submitting a request for correction through the Clearinghouse portal or FMCSA procedures, so the record reflects accurate information. 

What are the penalties for non-compliance?

FMCSA rules allow civil penalties for non‑compliance, and separate authorities note that employers who fail to meet Clearinghouse requirements may face civil fines or criminal penalties under federal regulations.

Do trucking companies check the Clearinghouse?

Yes — trucking companies check the Clearinghouse as part of their hiring and compliance process. The FMCSA Clearinghouse is designed so employers can search a driver’s drug and alcohol violation records before permitting them to operate a commercial vehicle. Employers are required to conduct these queries for both prospective and current drivers as part of compliance.

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