1 Potato, 2 Potato, 3 Potato… None? – Carolyn G. Gallagher

Carolyn G. Gallagher

Have you been to a grocery store lately to buy a lengthy list of items? Were you able to find everything you wanted? You went home without some of the items you desired or settled for something close to it. You have just experienced a supply chain snafu.

If you listen to the progressives, Americans have been accustomed to having an abundance of goods and we need to scale back our expectations. All those cargo ships out in the Pacific Ocean trying to dock in a port along the coast of California need to turn around and head for Singapore or some other country. Toyota does not need those microchips. Home Depot can do without paint. Walgreens can do without all those pesky antibiotics. Mayor Pete (Secretary of Transportation) could not be bothered back in the summer as he and his husband had new twins.

Ports are under state not federal jurisdiction. The California Air Resources Board is preparing legislation to include drayage trucks to meet zero-emission regulations by 100% by 2035, the same as passenger vehicles. Drayage trucks are on-road, heavy duty diesel trucks that transport shipping containers to and from ports. They are an essential part of the supply chain.

Drayage trucks cost between $75,000 to $200,000, which usually must be paid within 48 to 60 months. Additionally, the technology for zero-emission drayage trucks does not exist presently.

Drayage truck drivers need to be 21 years old, be able to drive a 10-speed manual transmission, have their CDL (commercial driver’s license), be credentialled by the TSA (Transportation Security Administration), with a TWIC (Transportation Worker Identification Credential), and receive a UIIA (Uniform Intermodal Interchange Agreement). This is not a complete list of requirements. Of course, there are fees associated with all these requirements.

To compound the problem, California’s Governor Newsom signed legislation Assembly Bill 5, which went into effect on January 1, 2020. This bill now requires employers that hire independent contractors to reclassify them as employees (there are some exceptions). If an employer must reclassify a contractor to an employee, then they also must pay that person a minimum wage, expense reimbursements, health insurance, rest breaks, and other benefits.

This legislation could make shortages in drivers which in turn affects the supply chain. One problem is that it is not easy to replace drivers as they take training and skill to operate these vehicles. Another problem for employers is the additional operating costs to pay benefits.

So, the owners and drivers of drayage trucks need to assess their short- and long-term financial ability to dive into or remain in this business. The regulations fixed by the federal government and state governments with our nation’s ports impacts the supply chain.

In October 2021, Florida’s Governor Ron DeSantis, touted his state’s ports were open and offered incentives to cargo ships to ease the congestion on the West Coast. Port of Miami is in the top ten list of North American ports and has the deepest channels.

Texas ports are also ready to assist with the supply chain backlog. They can move goods faster and cheaper than California due to their centralized location. The port of Houston, in terms of foreign tonnage, is the busiest port in the United States, and the largest port in the gulf coast.

I have concentrated on one facet of the supply chain crisis that is not usually discussed by the mainstream media. This is a summary of one reason for empty shelves in the grocery store, and why people are waiting nine months or more for furniture and home building supplies.

There are countless other reasons for the supply chain crisis including labor shortage, lack of adequate warehousing, the pandemic, political agendas, and more.

My humble opinion of the number one reason for the supply chain crisis resides at 1600 Pennsylvania Avenue in Washington, D. C. Hopefully we can survive the remaining three years of this feckless President.

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