Month: April 2020

As TIA continues to monitor the situation surrounding COVID-19 and it’s impact on the 3PL and transportation industries, here is your Daily Update for April 6. As a reminder, you can find all the latest information, resources, guidance, and news from TIA’s COVID-19 Response Center.

FEDERAL UPDATE:
On April 6, 2020, the Department of Labor (DOL) Wage & Hour Division promulgated temporary regulations to implement public health emergency leave under the Family & Medical Leave Act (FMLA) and emergency paid sick leave to assist working families facing public health emergencies arising from the COVID-19 pandemic.

The provisions under this temporary rule are in effect until December 31, 2020, and will not affect the FMLA after the expiration date. This temporary rule went into effect on April 1, 2020.

There are several clarifications in this temporary rule, including who counts as an employee. For additional information, please review TIA’s Guidance on DOL’s Temporary Rule.

TIA UPDATE:
Join TIA this week for two exciting (and topical) Virtual Lunch & Learn webinars as we dig deeper in trying to understand the impacts COVID-19 will have on the logistics and transportation industries.

• Tuesday, April 7: Government Relief Alphabet Soup: SBA, EIDL, PPP – What Do They Mean & How Can They Help You & Your Business
  • TIA has assembled a panel of experts who have successfully led other small businesses through the PPP loan process despite the first days of chaos.
  • Sponsored by McLeod Software
• Thursday, April 9: FMCSA’s Response to the COVID-19 Pandemic
  • This session will feature FMCSA Acting Director Jim Mullen, who will discuss FMCSA’s COVID-19 Emergency Declaration and HOS Relief for drivers providing direct assistance in support of relief efforts.
  • Sponsored by Truckstop.com

NOËL PERRY’S DAILY COVID-19 UPDATE:
Very good news from France and the U.S. if Sunday stats hold up. With the big French fall in new cases, Western Europe moved down as a whole. Note, however, that the UK was up significantly. North America continues to be dominated by the U.S. Mexico and Canada were up. Tomorrow will tell us if these big trends continue. The French number will bear watching given recent measurement changes there. Deaths were also down in many countries. That is the stat that is most important in the end.

 

 

Wearing his other hat, Noël Perry reports on Truckstop.com’s market demand index: As usual, the MDI serves as a quick indicator of market conditions. After jumping up from the initial hoarding surge, the numbers are plunging rapidly, as you would expect is a third or so of the economy is dormant. There is no mystery here. The pricing numbers are also moving down.

 

 

The Supply Chain Analysis Network (SCAN) Update:
SCAN is reporting that large truck volumes are, on average, 5% – 10% lower than normal conditions, while total U.S. traffic volumes are generally 30% – 50% lower than average. SCAN also warns city and state officials that, “It’s vital that truck drivers are not subject to self-quarantining in applicable ‘hot spots’ and are not subject to highway checkpoints.” SCAN further reports the following:

• Pilot/Flying J: Stores open, showers open, gas open, food available, on-site restaurants closed;
• Love’s: Stores open, showers open, gas open, food available, on-site restaurants open(reduced hours);
• TA/Petro: Stores open, showers open, gas open, food available, on-site restaurants some open;
• Roady’s: Stores open, gas open, food available, on-site restaurants closed.
• Gas Stations & Hotels: Typically are not subject to mandatory closures.
• Truckstop Showers: Typically open.

SCAN is intended to provide two evidence-based products to FEMA. Within the first 24hrs – and thereafter as needed – an “ecosystem assessment” is developed focusing on inbound and outbound flow, principal nodes, links and/or channels, critical dependencies, and a strategic assessment. This is followed by a regularly updated “lifelines assessment” that provides more detail on individual flows, network behavior, and observed changes.

The ecosystem assessment attempts to synthesize a strategic view. The lifelines assessment attempts to analyze operational progress. These products are intended to depend on open sources. TIA is participating in SCAN through the American Logistics Aid Network and directly with FEMA.

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We’ll be back tomorrow with COVID-19 updates and information that came through over the weekend.

Instead of music from the 40’s today, here’s a clip of the address Queen Elizabeth II made Sunday to the United Kingdom and Commonwealth. The Queen is the longest-serving world leader and the only current world leader to serve during World War II where, as Princess Elizabeth, she wore her country’s uniform as a member of the Auxiliary Territorial Services serving as a mechanic. This picture is from April 1945 as she explains to her mother what she is working on. We will all meet again.

As TIA continues to monitor the situation surrounding COVID-19 and it’s impact on the 3PL and transportation industries, here is your Daily Update for April 2. As a reminder, you can find all the latest information, resources, guidance, and news from TIA’s COVID-19 Response Center.

CARRIER & SHIPPER PAYMENTS SURVEY:
As we continue to respond to the COVID-19 crisis by providing our members with the resources and tools they need to weather the storm, we are asking you to complete a 15-second survey on the current state of carrier and shipper payments. All responses are anonymous and data will only be used in aggregate.

SBA UPDATE:
Following the release of additional information on the SBA Paycheck Protection Program Loans/Grants, we learned that in applying you may not be permitted to delay making required Social Security payments. We are currently examining the details of this provision and will provide additional guidance as soon as possible.

We are also working as quickly as possible to organize a Virtual Lunch & Learn on applying for the SBA Paycheck Protection Program Loans/Grants.

VIRTUAL LUNCH & LEARN:
Hope you enjoyed the first part of Beth Carroll’s Virtual Lunch & Learn about the steps you need to take now to keep your compensation plan from sinking your business. Beth is scheduled to finish this two-part Virtual Lunch & Learn next Tuesday (April 7). This information is critical to every Member and Associate that has a commission plan. Access this webinar on-demand!

Join TIA on Thursday, April 9th for our Virtual Lunch & Learn, featuring FMCSA Acting Administrator Jim Mullen, who will be discussing the FMCSA Emergency Declaration in response to COVID-19 and the HOS Relief for drivers providing direct assistance in support of relief efforts. Acting Director Mullen will also be answering questions, so don’t miss the opportunity to get answers directly from the source!

MISCELLANEOUS:
With millions of American’s turned into remote employees seemingly overnight, many are finding it difficult to stay connected, motivated and productive. The Association for Talent Development (ATD) has put together a series of “life hacks” in a resource library of curated reads and videos that can help you – and your employees – successfully transition to teleworking during the COVID-19.
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We’ll be back tomorrow with COVID-19 updates and information that came through overnight.

As the sun shines and the mercury rises here in the Nation’s (deserted) Capital, enjoy the sounds of Les Brown & His Band of Renown as they play “Heat Wave.“

As TIA continues to monitor the situation surrounding COVID-19 and it’s impact on the 3PL and transportation industries, here is your Daily Update for April 1. As a reminder, you can find all the latest information, resources, guidance, and news from TIA’s COVID-19 Response Center.

FEDERAL UPDATE:
The Small Business Administration (SBA) announced today that lenders may begin processing SBA 7(a) forgivable loan applications under the Paycheck Protection Program on Friday, April 3, 2020. These loans are first come, first serve, so please do not hesitate to apply for the loan.

For additional information, please view TIA’s Paycheck Protection Program Guidance. TIA will also be hosting a Virtual Lunch & Learn next week on this subject, providing a walkthrough on applying for an SBA loan, so stay tuned for those details.

Cybersecurity & Infrastructure Security Administration Director Chris Krebs reported on the federal government’s effort to understand and map the critical components – including you – in the supply chain of essential goods.

LEGISLATIVE UPDATE:
On a call with the White House this afternoon, the Trump Administration reported on their efforts to get the $2 trillion relief package in the hands of American families, businesses, states, cities, tribal regions, schools, etc.

There is a lot of chatter around D.C. about Phase IV of the Coronavirus Relief Package, and the desire to make infrastructure part of the proposal. President Trump indicated yesterday in his COVID-19 update that he would like to see $2 trillion for infrastructure. Speaker Pelosi has followed suit, noting that she has asked her Committee Chairman of jurisdiction to begin drafting language with $760 billion over five years for infrastructure. Committees will start drafting the language next week, with the goal of taking up the language when the House returns on April 20th.

This is a critical time especially for the Highway Trust Fund (HTF), as it will become insolvent sooner as people are not driving, and thus not purchasing gas and the subsequent tax that is allocated towards HTF. ASHTO projects that states will lose between $30-$50 million in HTF dollars as a result of the COVID-19 crisis.

TIA UPDATE:
This week, TIA launched its new Virtual Lunch & Learn webinar series to provide information you can put to immediate use during this time of crisis. If you’re unable to attend live, webinars will also be available on-demand for viewing at your convenience.

Our first Virtual Lunch & Learn dealt with the recently expanded Family Medical Leave Act, which went into effect today and applies to business with fewer than 500 employees. If your business is 500 or fewer employees, you will need to provide them with this poster today.

In tomorrow’s webinar, Beth Carroll will lead the first of a two-part Virtual Lunch & Learn about changes you need to make to your compensation plans immediately.

NOËL PERRY’S DAILY COVID-19 UPDATE:
Be careful in interpreting “projections” for U.S. deaths to include the one I am reading from CNN right now, for 84,000 American deaths. We currently have 188,000 cases and 3,900 deaths domestically. Let’s conservatively say we reach inflection sometime in the next week and total 600,000 cases before reaching recovery. At the current death rate of 2.1%, that equals 11,000 deaths.

Such a “projection” is a conservative look at the actual statistics available so far. It produces numbers fundamentally smaller than many expert projections. To get to the CNN number (or others like it or larger), one must assume an acceleration of contagion or mortality rates that has occurred in no country over the more than two months of this crisis. If such an event shows in the numbers, I will inform you clearly and promptly. Until then, let’s care for the victims we have.

A mixed day, with a significant increase in the U.S. cases and deaths. We may well have to wait longer for inflection. Italy inflected at 35 days and Iran may have inflected today, at 36 days. The U.S. is at 25 days and counting. Europe was generally good except – for a bad day from France at a 3,202-cases increase. Six European countries including, Italy, have falling statistics – something none did a week ago.

Note that I have added Mexico to get a North America total. I have also added Singapore, a country who considers itself on the road to recovery and is relaxing restrictions on social activity. Sweden, which has also done that, has had increases in cases the last two days. You will also find totals for ‘Other’ countries, everybody but North American and Western Europe where the contagion is concentrated so far.

Barring some big change in trends, these stats show a very large difference in results between countries and regions. It has to be more than simply differences in enforcement policies.

 

MISCELLANEOUS:
DAT has released a Market Update in Response to COVID-19, which provides an analysis of supply and demand trends, rate trends, and future forecasting. Read the full update here.
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We’ll be back tomorrow with COVID-19 updates and information that came through overnight.

For this afternoon, please enjoy Tommy Dorsey’s “Opus One.”

Businesses Are Encouraged to Apply Beginning April 3, 2020

April 1, 2020 – ALEXANDRIA, VIRGINIA – Transportation Intermediaries Associations (TIA), the largest association representing third-party logistics companies, released today the following statement from President & CEO Robert A. Voltmann, CAE, regarding guidance released by the Small Business Administration (SBA).

The SBA announced today that lenders may begin processing SBA 7(a) forgivable loan applications under the Paycheck Protection Program on Friday, April 3, 2020.

These loans are first come, first serve, so please do not hesitate to apply for the loan.

On behalf of TIA and our 1,800 member companies, I encourage all of you who meet the 500 employees or less employee threshold – per the “CARES Act” economic relief legislation – to inquire with your local bank or financial institution about applying for this great stimulus loan program.

TIA fought for the Paycheck Protection Program with your businesses and employees in mind. We believe that no American family and no American business should fail because of a virus beyond our control.

Please take note of the following specifics related to this program:
• A small business is eligible to borrow 250% of their average payroll expenses (up to $10 million) in capital to be used for meeting payroll, rent, mortgage interest or utility payment obligations.
• It is crucial you maintain your payroll for eight (8) weeks, as this is the determining factor for loan forgiveness.
• Loan payments will be deferred for six (6) months.
• No collateral will be required for these loans and no fees will be charged by the government or lenders.
Our members, the third-party logistics companies that facilitate freight from the manufacturer (shipper) to the motor carriers and other modes, are essential during this COVID-19 crisis. Many of them are struggling financially through this crisis and have been directly impacted by the recent economic and health downturn.

I once again urge you to reach out to your local banks and inquire about the SBA 7(a) forgivable loans under the Paycheck Protection Program; this is an opportunity to not only secure funds for your business but for your employees who have also been struggling during this trying time.