Trucking news and briefs for Thursday, Feb. 1, 2024:
Oregon Trucking Association, fleets suing state over highway taxes
The Oregon Trucking Association along with fleets A&M Transport, Sherman Bros. Trucking and Combined Transport are suing the state of Oregon and top Oregon officials, alleging that truckers are paying disproportionately more highway taxes in the state.
Oregon’s state constitution requires the state to impose taxes on vehicles to fund highway and road maintenance, which are required to be “fair and proportionate to the costs incurred for the highway system because of each class of vehicle.” Trucks over 26,000 pounds in Oregon pay a weight-mile tax, while passenger cars pay fuel taxes to fund the state’s infrastructure.
To ensure the taxes are fair and proportionate, the state legislature is required to biennially review and, if necessary, adjust revenue sources.
As such, every two years, the Oregon Department of Administrative Services is charged with conducting a Highway Cost Allocation Study (HCAS) to determine the proportionate share that heavy and light vehicle users should pay, as well as whether those users are paying that share.
From 2005-'17, the lawsuit claims that there was “near-perfect equity” between what light and heavy vehicle users were paying.
“For the past three study periods, however, heavy trucks have shouldered an increasing share of the burden,” the lawsuit alleges. In the 2019-'21 study, heavy vehicle users overpaid by approximately 3%, then 16% for 2021-'23. The most recent allocation study -- for years 2023-'25 -- had heavy vehicles overpaying by 32%.
“Each of these studies -- and subsequent presentations of these studies to, and by, governmental stakeholders -- have explicitly highlighted the inequitable burden on heavy vehicles,” the lawsuit alleges. The Oregon Department of Transportation reportedly estimated that for the 2023-'25 allocation study, heavy vehicles will overpay by $193 million per year, amounting to an overpayment of more than $528,000 each day. Yet, the lawsuit alleges, ODOT has continued to collect the “inequitable and unconstitutional taxes from heavy vehicle operators.”
“For too long, Oregon trucking companies, the vast majority of which are small, family-owned businesses, have paid far more than their fair share of transportation taxes,” said OTA President and CEO Jana Jarvis. “By 2025, the trucking industry is expected to have overpaid by half a billion dollars. Trucking companies in Oregon simply cannot sustain paying the highest transportation taxes of any state in the country any longer.”
The lawsuit seeks a mandatory adjustment of revenue sources to ensure fairness and proportionality of vehicle taxes, an injunction to stop “unconstitutional weight and mile taxes” from taking effect in 2024, and for the trucking companies who brought the suit to entitled to recover damages of at least a combined $925,200.63.
Averitt expands operations in Nashville
Averitt has expanded and enhanced three Nashville-area facilities to grow its presence in the region.Averitt Express
Averitt Express (CCJ Top 250, No. 22) is expanding its footprint in Nashville with the expansion and enhancement of three key facilities in the Middle Tennessee area.
Averitt recently completed extensive renovations of its Nashville-area service center, located at One Averitt Express Drive, at the intersection of Briley Parkway and I-24. Averitt's Nashville service center spans 42 acres, includes 510 truck parking spaces and 162 dock doors, accommodating 190 drivers and over 300 associates.
Recent renovations at that location include:
- Modernized building exterior and grounds
- Renovated and updated office and dock space
- Added LED lighting for improved safety and sustainability
- New restrooms
- Replaced fencing for improved security and appearance
- Expanded and upgraded all parking for both associate and operational needs
- New drive-through wash bay and upgraded fuel bays
- Upgraded security system throughout property
- New preventive maintenance locker room
Averitt has also moved its Nashville-area Distribution & Fulfillment operation into a new facility located at Central Logistics Park East on Hixson Blvd. in Lebanon. The expansive new location features approximately 280,000 square feet of enclosed freight storage and inventory management space.
Additionally, Averitt has moved its On Tour Logistics operation into a 90,000 square feet warehouse, located at 2 Dell Parkway in Nashville, which previously housed the company's Distribution and Fulfillment operation. Averitt's expertise in On Tour Logistics takes center stage in Nashville, the company said, catering to the unique logistics needs of different events and the entertainment industry. The On Tour Logistics warehouse, located adjacent to the Nashville International Airport (BNA), supports events like the Country Music Awards (CMAs) and provides secure, specialized storage for artists' gear and production equipment.
