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November 13, 2024

Understanding the Difference between USDOT Number and MC Number

In the United States, the Federal Motor Carrier Safety Administration (FMCSA) requires commercial motor vehicles and motor carriers to obtain specific identification numbers for legal compliance.

The two most common types of identification numbers are the USDOT number and MC number, often causing confusion among trucking company owners.

The US Department of Transportation (USDOT) number is a unique identifier assigned to a commercial motor carrier, while the Motor Carrier (MC) number is an identification number for companies that participate in interstate commerce.

In this article, we will explore the differences between these two numbers and help you determine which one your business needs.

What Is a USDOT Number and Why It Matters

What Is a USDOT Number?

A USDOT number is a unique identifier assigned by the United States Department of Transportation (USDOT) to companies operating commercial motor vehicles, including trucks, buses, and vehicles transporting hazardous materials.

This number allows regulatory agencies to track a trucking company’s safety record, monitor compliance with federal regulations, and identify its vehicles in the case of accidents or safety inspections.

Who Needs a USDOT Number?

Interstate Commercial Vehicles

Any commercial motor vehicle (CMV) that operates across state lines (interstate commerce) and:

  • Has a gross vehicle weight rating (GVWR), gross combination weight, or gross vehicle weight of 10,001 pounds or more.
  • Transports 8 or more passengers (including the driver) for compensation.
  • Transports 15 or more passengers, including the driver, not for compensation.
  • Transports hazardous materials in quantities that require placarding.

Intrastate Commercial Vehicles (in Certain States)

Some states also require a USDOT number for intrastate commerce (operating within a single state) if the vehicle:

  • Meets similar criteria as above for interstate vehicles.
  • Operates commercially within the state (check state-specific requirements).

Commercial Carriers and Brokers

Both commercial carriers (like trucking companies) and brokers arranging freight between carriers and shippers need a USDOT number for safety monitoring and compliance purposes.

Other Commercial Operations

Some private carriers (e.g., companies with trucks for private deliveries) may need a USDOT number if their vehicles meet weight, passenger, or hazardous material criteria.

What Is an MC Number?

An MC number (Motor Carrier Number) is an operating authority issued by the Federal Motor Carrier Safety Administration (FMCSA) that permits businesses to transport regulated goods or passengers across state lines. Thus, it is also known as an Interstate Operating Authority.

Carriers who require an MC number must also have a DOT number, as each serves a distinct purpose: the DOT number tracks a carrier’s safety record and operational status, while the MC number authorizes interstate commerce and specifies the type of cargo or passengers transported.

Who Needs an MC Number?

Interstate Commerce Carriers

Motor carriers transporting passengers or goods across state lines (interstate commerce) need an Interstate Operating Authority. This includes commercial truck drivers, bus operators, and other carriers who operate between different states. An intermodal equipment provider will also require an operating authority.

For-Hire Carriers

If you’re a for-hire carrier (you transport goods or people for payment or compensation), you also generally need an MC number, even if you operate within a single state, provided your goods or passengers have crossed state or national boundaries. This also includes interstate moving companies.

Carriers of Federally Regulated Commodities

This includes carriers transporting commodities regulated by federal law. If you’re hauling items like certain types of chemicals, food products, or other regulated goods, you may require an MC number.

Freight Brokers and Forwarders

Companies or individuals who arrange or broker freight between shippers and carriers in interstate commerce must also obtain an MC number.

IMPORTANT NOTE: Not all carriers need an MC number. For instance, private carriers hauling their own goods and not offering services to the public usually don’t require one.

Additionally, some intrastate-only carriers (those who only operate within a single state and do not cross state lines) may not need an MC Number unless state laws require it.

USDOT and MC Number: Do You Need Both?

Many trucking businesses, particularly those planning to expand from intrastate to interstate operations, may need both a USDOT number and an MC number. Determining the need for both depends on understanding the nature and scope of your business operations.

Steps to Determine Your Requirements: USDOT vs MC Number

  1. Analyze Your Routes: Are your routes only within one state, or do you frequently cross state borders?
  2. Cargo Type: Do you carry regulated materials?
  3. Growth Plans: Are you planning on expanding your delivery range?

If you meet the requirements for both, you’ll need to go through the USDOT Number Application and the MC Number Application processes separately (discussed in a later section).

Having both ensures your business remains compliant, regardless of whether it operates within one or multiple states.

Requirements and Benefits of a USDOT Number for Your Business

A DOT number provides several benefits. Having a DOT number not only ensures that you comply with safety regulations but also positions your business as a trustworthy operation:

  • Regulatory Compliance: Assures compliance with federal safety standards, reducing the risk of legal issues and penalties.
  • Operational Credibility: Establishes your business as legitimate and trustworthy within the industry, enhancing customer confidence.
  • Safety Monitoring: Allows for the effective monitoring of safety performance, helping to maintain high standards within your operations.
  • Access to Interstate Commerce: Enables businesses to transport goods across state lines legally, expanding market reach.
  • Eligibility for Government Contracts: Opens opportunities to bid for government transportation contracts that require a USDOT number.
  • Insurance Benefits: Often required by insurance companies for policy issuance, potentially reducing insurance costs by demonstrating a commitment to safety.

DOT Number Application: List of Requirements

  • Company Details:
    • Legal business name and DBA (Doing Business As) name, if applicable.
    • Business type (e.g., sole proprietorship, LLC, corporation).
    • Employer Identification Number (EIN) or Social Security Number (SSN) for sole proprietors.
    • Primary business address and contact information.
  • Operational Details:
    • Operation classification (e.g., interstate vs. intrastate, for-hire vs. private).
    • Cargo classification (e.g., general freight, hazardous materials, household goods).
    • Carrier operation type (e.g., motor carrier, broker, freight forwarder).
  • Vehicle Information:
    • Number of commercial motor vehicles operated.
    • Gross vehicle weight (GVW) and total number of vehicles in the fleet.
    • Vehicle registration states.
  • Driver Information:
    • Number of drivers employed.
    • CDL (Commercial Driver’s License) requirements.
    • Number of non-CDL drivers (if applicable).
  • Insurance Documentation:
    • Proof of insurance coverage (for-hire carriers and hazardous materials carriers).
    • Policy information and insurer details (as required for hazardous material and certain interstate carriers).
  • Process Agent Designation:
    • BOC-3 Form (Designation of Process Agent for Service of Process).
  • Unified Carrier Registration (UCR):
    • Registration details for the UCR program are required annually for interstate carriers.
  • Compliance and Safety Information:
    • Compliance with FMCSA’s safety standards and regulations.
    • MCS-150 form (for biennial updates of registration).

MC Number Requirements and Benefits for Interstate Commerce

Requirements and Advantages of Having an MC Number for Interstate Commerce

Interstate authority rules require all interstate carriers to have an MC number. Obtaining an MC number provides several benefits:

  • Compliance with Federal Regulations: Ensures compliance with Department of Transportation regulations and safety standards.
  • Legitimacy: Establishing your business as a credible player within the transportation industry increases trust among customers and partners.
  • Opportunities for Expansion: Provides authority to operate in multiple states and expand operations beyond intrastate commerce.
  • Access to Freight Markets: Allows businesses to bid on freight contracts that require appropriate operating authority.

MC Number Application: List of Requirements

  • USDOT Number:
    • You must have an active USDOT Number before applying for an MC Number.
  • Operating Authority Application:
    • FMCSA Form OP-1 (or use the Unified Registration System, URS) for specific authority types (e.g., motor carrier, broker, freight forwarder).
  • Proof of Financial Responsibility:
    • Liability insurance documentation as required for specific operating authority.
    • Proof of cargo insurance (for household goods carriers).
    • Form BMC-91 or BMC-91X (filed by your insurance company), depending on the insurance provider’s filing type.
  • Process Agent Designation (BOC-3):
    • Designation of a process agent in each state of operation.
    • BOC-3 form (required to operate across state lines legally).
  • Safety Rating Compliance:
    • Safety rating documentation (if applicable to business type).
    • Past safety records, if operating authority requires this.
  • Hazardous Materials Registration:
    • Additional documentation for hazardous materials carriers (e.g., proof of training, permits).
    • Hazardous Material Safety Permit, if required.
  • Employer Identification Number (EIN):
    • EIN issued by the IRS for businesses (required for corporations and partnerships).

IMPORTANT NOTE: These are the general requirements, but specific requirements may vary based on state regulations, cargo type, and business operations.

USDOT and MC Number Application: What You Need to Know

USDOT Number Application Process

  1. Register with the FMCSA: Use the Unified Registration System (URS) on the FMCSA’s website to apply. The application is straightforward, but ensure you have all necessary details about your business, including vehicle information, type of cargo, and operating states.
  2. Provide Basic Business Information: You’ll need your business name, physical address, EIN (Employer Identification Number), and information on the vehicles and drivers operating under your USDOT Number.
  3. Safety Audit and Compliance: If you’re a new carrier, expect a new entrant safety audit within the first 12 months of operation. You’ll need to be ready to provide records of inspections, driver qualifications, and vehicle maintenance.
  4. Receive Your USDOT Number: Your DOT number will be issued upon completing the application and meeting the requirements. Per FMCSA regulations, display it prominently on all commercial vehicles.

MC Number Application Process

  1. Complete the MC Number Application: This can be done through the FMCSA URS as well. In addition to providing business information, you’ll select your Operating Authority, which defines the type of services you’re offering (e.g., interstate transport of goods or passengers).
  2. BMC-91 or BMC-91X Filing: Your insurance company must provide proof of liability insurance (Form BMC-91 or BMC-91X) that meets FMCSA minimum requirements.
  3. Process Agent: Designate a process agent in every state you operate in. A process agent is a person or business that accepts legal documents on behalf of your business.
  4. Review Period: After submitting the application and documentation, the FMCSA usually requires a 20-day review period. This time allows for public comments and any issues to be addressed before granting your authority.

Streamlining Operations with Both USDOT and MC Numbers

Staying compliant and growing your business in the transportation industry requires careful attention to regulations and requirements. This includes obtaining a USDOT number, an MC number, or both, if necessary.

Having both numbers can also streamline operations by providing access to more markets, increasing credibility with customers and partners, and opening doors to government contracts.

While the application processes are straightforward, navigating the safety and insurance requirements can be overwhelming. However, DOT Compliance Group can lighten the load with our comprehensive services, including assistance with USDOT and MC number applications, safety audits, and compliance management.

How DOT Compliance Group Supports Your Trucking Company

How DOT Compliance Group Can Help Your Trucking Company

Our team at DOT Compliance Group understands the importance of having both a DOT number and a motor carrier number for businesses that operate locally and across state lines.

At DOT Compliance Group, we are dedicated to helping your trucking company succeed by handling the administrative tasks so you can focus on growing your business.

Contact us today to learn more about our services and how we can streamline your transportation business’s operations.

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