IFTA DECAL SURVEY 2011 ANNUAL IFTA BUSINESS MEETING AUGUST 2011 Virginia Beach, VA Garry Hinkley (Maine) IFTA, Inc. Board of Trustees Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Purpose: To determine if there is any interest among jurisdictions in finding an alternative to displaying decals; and To determine under what circumstances, it might be possible to phase out decals Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Article VI of the Agreement covers Licenses and Decals Section 625 requires the display of decals. Decals are a low tech means of minimal compliance with license requirements Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey BOT sponsored survey in May 42 Jurisdictions responded Representing 170,500 IFTA accounts; and 1.8M decals issued Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Electronic Screening Systems for IFTA Enforcement - Respondents CVIEW: 24 jurisdictions (all states) About 32 states sending IFTA data to SAFER IFTA CH: 24 jurisdictions (4 provinces) Both: 15 jurisdictions Other: 8 jurisdictions Such as NLETS; home grown or hybrid systems Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Does your Jurisdiction deny or suspend other credentials (such as registration plates) for IFTA non-compliance? Yes – 28 (67%) No – 14 (33%) Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Advantages to Decals? Quick/easy visual compliance check Minimum compliance threshold Low Tech solution Not all law enforcement have computer access Audit tool (# of decals approx. # of vehicles) Inexpensive Revenue Source Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Disadvantages to Decals? Inventory cost and control Difficult for some licensees to administer Doesn’t guarantee compliance Fraud and black market item Quality control (fading and peeling) Hampers electronic renewal Vestige of the Past Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey If there were a reliable electronic system that communicated IFTA compliance to the roadside, would your jurisdiction support repeal of decal requirements? Yes: 23 (55%) No: 17 (40%) No response 2 Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey All/most jurisdictions and licensees should be electronic (before giving up decals) Need more scanning sites in more jurisdictions (transponder, LP readers) Cost issues Link IFTA licenses to Registration plates Uneven use of Identifier (USDOT#) Require GPS/transponders Replace lost decal revenue Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Allow larger licensees to operate without decal display? Yes: 16 (38%) No: 24 (57%) NR: 2 (5%) Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Pro: If licensee information is uploaded to SAFER Use transponders; smart tags etc. If it reduces costs and is legal Cons: Unfair; need to treat all carriers the same Larger licensees not necessarily more compliant Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Conclusions: Some support for finding a technological option to decals; but decals still represent a low cost/low tech means of threshold enforcement. More than half of respondents might support decal alternative under certain circumstances Thanks to all who contributed. Managed by the International Fuel Tax Association, Inc.

Managed by the International Fuel Tax Association, Inc. IFTA Decal Survey Questions and Comments? Managed by the International Fuel Tax Association, Inc.