The problem is not just that the truckers are waiting. There are lots of refrigerated trucks that burn diesel while they wait. If that diesel runs out, the food can spoil. Not to mention how inefficient it is to have refrigerated trucks sitting in the sun for 12 hours.
It’s a stunt by the Texas state government, just like the activation and fleecing of Texas National Guardsmen on low paying state duty doing a whole lot of nothing.
2. Labor cost is the largest portion of trucking costs. This would double or quadruple those costs if the idea is to make the trucker whole for Abbot’s temper tantrum.
I'm part owner on a small freight company and those aren't the numbers I'm seeing. Our current costs are about 80-90cpm on fuel, 65cpm for drivers (60cpm base rate + performance bonuses), about 15cpm for maintenance, and about 15cpm for insurance, tolls, plates, etc. For a total of $1.75 per mile more or less. Before diesel prices spiked the cost of fuel and driver were about even.
The numbers I quoted were post-diesel increase. But it's possible that the numbers are wrong or used a different diesel cost at the height of the spike or were using a diesel price from a really high-tax state or were using a really inefficient truck. The numbers I used would have seen diesel be about twice what you're spending, which is an insanely high multiple. I have no reason to think I'm righter than you, I'm just trying to troubleshoot the reason I was off.
The labor to maintenance/insurance/etc. ratio seems to track pretty accurately. So maybe I should have said 3/6, 2/6 and 1/6 respectively (since the other responder wanted the same denominator).
We're really picky about fuel efficiency. We have aerodynamic equipment on all of our trailers, we give our drivers bonuses on mpg, and also give them 10% of the discount on the fuel cards as a bonus so they actually get on the app and find the cheapest fuel with the most discount. I've heard some fleets have $1+ per mile cost on fuel. Our equipment isn't new though, we bought used 2015 trucks in 2019.
The other responder pointed out I was using the simplest terms, which frankly looks right to me. But the answer is more pedestrian. I read the information phrased it as 2/3 was diesel and 2/3 of the remaining amount was labor. So I eliminated the chain and simplified it to 2/3 and (1/3*2/3) 2/9.
I honestly didn't even notice the denominators were different. All of the fractions were in simplest terms, which is (imo) preferable to using a common denominator.
The inspections are political. Tx gov started them because Biden removed title 42 expulsions. He simply ramped up full inspections for 100% of trucks entering the state (under tx dot authority) instead of the random system they had before.
Abbott is using the inspections as a political bargaining chip to regain title 42 expulsions.
Presumably a Governor has a wider view than an agricultural commissioner. For example, one would not expect an agricultural commissioner to focus on drug or gun law enforcement.
They are both elected positions with separate offices, so the Texas Ag Commissioner is not a subordinate of the Texas Governor, for example. The Lieutenant Governor in Texas has quite a bit more power than the Governor in fact as their office sets the agenda for the Texas legislature which meets only once every two years though for several months. The Texas Lieutenant Governor is also individually elected.
This is security theater like TSA. The Texas GQP party has lost its collective minds now because they see their unconstitutional actions will be upheld without any resistance by the radical right (5 members at least) Supreme court that we currently have. Expect it to get much worse before it gets better.
I know, but there is a point to security even if most of it is worthless. Roads are one of the most dangerous things we have. If were want to get serious about lives saved everyone in TSA security would be reassigned to roadway safety, it wouldn't be hard to make a much larger difference in lives saved.
It doesn't seem like a good bargaining chip, since I imagine Texans are going to be the Americans feeling most of the pain from this. Are we sure that is the reason?
I said Texans would be the Americans feeling most of the pain from this. Not that it wouldn't affect non-Texans. Why? Because Texas and California are, unsurprisingly, the states whose economies are most closely integrated with Mexico, and the states that engage in the largest amounts of trade with Mexico.
And most trucks destined for California from Mexico will just enter the US in California, so delays on the Texas border will not play as big a role in California as it does in Texas.
Please read my brief comment before calling me short sighted.
Even if the goods are ultimately destined for California they still will likely enter the US through Texas. It just doesn’t make sense for a truck coming from Laredo or Reynosa to snake it’s way accross northern Mexico.
What percent of California-bound Mexican trucks do you believe enter at one of the crossings affected by the governor's actions, versus at some other border crossing in California, Arizona, or Texas?
Technically, States maintain the right to control customs and quarantine procedures on all trade coming across their borders.
The Feds are literally only there for CBP/immigration/Customs. Federal regulations only set the minimum level of friction for entry. States are technically free to increase it. In fact, this is even more humorous, because it isn't even "interstate" commerce til the second state depending on your level of literal interpretation you apply.
Not that I agree with it, but I'd wager there is nothing unconstitutional here. State border crossings are well established delegated powers to the State.
The answer to the first question is in the article! There are new inspections being done by Texas state police, part of a political stunt by the governor to "protest" the elimination of covid-era federal inspections. And like any new bureaucracy, it's implemented poorly and causing backups.
1. Because the governor of Texas is an idiot, an idiot with racist tendencies and executive power. There won't be a return to normal operation until either the Feds step in or he is re-elected in November.
2. That's never going to happen because it has never happened before.
2. How much would it impact the costs of goods to pay truckers an hourly wage during these downtimes?