Quarterly Business Review

October– December, 2017

Motor Carrier Transportation DivisionAmy Ramsdell, Division Administrator

February 12, 2018

Oregon Department of Transportation

2

MCTD Revenue in excess of expenses is transferred to the Highway Fund.In the 1st 6 months of fiscal year 2018 MCTD spent $14 million and transferred $175 million to the Highway Fund.

64,987,431 84,565,692 84,551,715

101,992,435 104,587,715 106,764,797

79,089,516

80,176,210

80,985,099

84,187,119

-

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

400,000,000

2016 2017 2018

Fiscal Year

MCTD Revenue

4th

3rd

2nd

1st

1st Qtr

Revenue

2nd Qtr

0 5,000 10,000 15,000 20,000 25,000

DecNovOctSepAugJul

JunMayAprMarFebJan

3

Total calls answered each monthby Salem Permit Analysts, weekdays 8 am – 5 pm

16,829

10,937

16,692

Calls answered

9,948

12,368

12,690

12,024

14,943

17,307

201720162015

17,284

16,092

19,947

18,921

16,817

17,169

17,976

14,782

16,829

13,862

14,426

13,073

16,955

15,119

15,819

12,770

11,409

12,787

12,529

13,583

13,876

11,609

13,100

9,995

11,626

9,902

11,853

0 60 120 180 240 300 360 420 480 540 600 660 720 780

Dec

Nov

Oct

Sep

Aug

Jul

Jun

May

Apr

Mar

Feb

Jan

4

Average minutes customers wait on hold, weekdays 8 am – 5 pm

3:47

3:31

1:00 3:00 5:00 7:00 9:00 11:00

Minutes on hold

11:46

7:28

7:16

3:59

3:31

201720162015

4:14

4:02

3:49

2:07

1:26

2:08

2:08

2:48

3:53

5:25

4:49

5:28

4:59

4:43

6:31

5:30

7:10

9:07

9:10

7:11

7:16

6:15

7:31

9:55

10:02

10:57

10:14

9:45

8:57

0

50

100

150

200

250

300

350

400

450

Thou

sand

s

Users completed 413,000 transactionsin the 4th Quarter 2017

5

27,842 companies currently use Trucking Online, including 6,543 Oregon firms.Spikes in transactions are related to Tax Receipt Renewal. Following are totals for those transactions alone:

2004 – 1,3442005 – 28,1522006 – 75,9142007 – 116,3362008 – 133,0772009 – 152,4382010 – 148,3032011 – 160,3512012 – 169,3382013 – 184,7962014 – 196,8072015 – 226,2102016 – 258,0332017 – 245,000

2nd Qtr. 2004

4th Qtr. 2017

NOTE: Due to the merger between Knight Transportation and Swift Transportation. All of their vehicleswere moved to a new account which resulted in approximately 23,000 vehicles not being renewed for 2018.And also, buses were not allowed to renew on-line

Online transaction activity includes increases in 8 of 10 major categories

6

3rd Qtr 2016 3rd Qtr 2017

Total Tax Renewal 269,121 245,406

Total transactions related to OWRATI 49,824 70,909

Weight-Mile Tax Reports & Payments 45,900 50,641

Total transactions related to IRP 3,610 3,690

Total Payments 18,972 25,021

Total Commercial Transactions 4,742 5,587

Total Temporary Passes & Weight-Mile Tax Payments 1,247 1,213

Block Pass 1306 1480

Registration Trip Permits 3121 3337

Total transactions related to IFTA 3,901 4,065

0

400

800

1,200

1,600

2,000

Sep-15 Mar-16 Sep-16 Mar-17 Sep-17

0

100,000

200,000

300,000

400,000

500,000

Sep-15 Mar-16 Sep-16 Mar-17 Sep-17

Enforcement officers can check more trucks and find more weight violations because Green Light preclears many safe and legal ones.

Linked to ODOT Mobility Goals – Helps Maintain Pavement and Bridge Conditions, Plus Green Light Reduces Travel Delay.

7

Oregon weighs an average of 334,629 trucks each month.Target was exceeded 20 times.

Static Scale Weighings

Motor carrier enforcement officers issue an average of 1,285 Weight citations and warnings each month. Target was exceeded 11 times.

Trucks Weighed

Target1,313

Target312,197

Weight Citations and Warnings

Size and Weight Enforcement Rates

89.7% of weighings are done at the POEs and Greenlight sites, 10.2% at other fixed scale locations, and .1% at portable sites.

Since Federal Fiscal Year 2015 S&W enforcement rates at portable sites have gone up 221%.

S&W is 52% of total Enforcement.

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

2015 2016 2017 2018 Oct-Dec

Federal Fiscal Year

Greenlight Rural Portable

Tax and Registration Enforcement Rates

89.7% of weighings are done at the POEs and Greenlight sites, 10.2% at other fixed scale locations, and .1% at portable sites.

Since Federal Fiscal Year 2015 TAX & Regsenforcement rates at portable sites have gone up 3,294%.

Tax and Regs is 48% of total enforcement.

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

2015 2016 2017 2018 Oct-Dec

Federal Fiscal Year

Greenlight Rural Portable

Apr '16

10

30

50

70

90

110

130

110

120

130

140

150

160

170

180

Truc

k-at

-Fau

lt C

rash

es

Mill

ion

Mile

s Tr

avel

ed

Jan '17

Sep '17

Truck driver actions cause most truck-at-fault crashes. Finding unsafe drivers and taking them off the road prevents crashes.

Linked to ODOT Safety Goals – Reduce Large Truck Crashes.

10MCTD Performance • December 2015 through December 2017

Truck-at-Fault Crashes

55Target

Truck Driver Out-of-Service

Inspections

Truck miles traveled have remained steady over the last 12 months.

Target595

An average of 405 inspections a month lead to a driver placed out-of-service for a critical safety violation. Exceeded target 0 times.

There are an average of 68 truck-at-fault crashes each month involving a fatality, injury, or disabling damage that requires towing a vehicle. Below target 04 times.

Apr '17

May '16

0

200

400

600

800

Since January of 2014, auditors have assessed on average $557,000 in unpaid taxes each month

11

Excludes audits that have resulted in a net credit

Note: The 2017 increase from the previous year is due in part to increasedovertime and hiring temporary staff.

1,321,581

2,929,228

1,531,598 1,594,936

1,443,959

1,429,492

999,583 1,544,688

2,182,608

957,576

1,151,917

2,324,806

1,977,266 1,369,768

1,899,384

2,085,167

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

2014 2015 2016 2017Calandar Year

Qtr 4

Qtr 3

Qtr 2

Qtr 1

Audits that have resulted in a net credit

12

- - -

(91,357)

(145,709)

(79,465)

(192,836)

(470,470)

(198,126)

(18,352)

(600,000)

(500,000)

(400,000)

(300,000)

(200,000)

(100,000)

-2014 2015 2016 2017

Axis

Title

Calendar Year

4th

3rd

2nd

1st

3% IFTA and IRP Tracking

13

0

100

200

300

400

500

600

700

Mar

-17

Jun-

17

Sep-

17

Dec

-17

Mar

-18

Jun-

18

Sep-

18

Dec

-18

Mar

-19

Jun-

19

Sep-

19

Dec

-19

Mar

-20

Jun-

20

Sep-

20

Dec

-20

Mar

-21

Jun-

21

Sep-

21

Dec

-21

IFTA Audits

Target 123 Actual 84

0

100

200

300

400

500

600

700

800

Mar

-17

Jun-

17

Sep-

17

Dec

-17

Mar

-18

Jun-

18

Sep-

18

Dec

-18

Mar

-19

Jun-

19

Sep-

19

Dec

-19

Mar

-20

Jun-

20

Sep-

20

Dec

-20

Mar

-21

Jun-

21

Sep-

21

Dec

-21

IRP Audits

Target 127 Actual 98

• Special considerations: None at this time.• Base jurisdictions are required to complete audits of an average of 3

percent per year of the total number of Licensees and/or Registrants in accordance with the International Fuels Tax Agreement and International Registration Plan during each 5 year Peer Review cycle.

Budget – Biennium to-date, through December, 2017

Motor Carrier Division

Section Budget Expended to Date Forecast Available

BudgetAdministration $ 2,092,693 $ 341,053 16% $ 1,658,138 $ 93,502 Registration 19,529,762 3,982,347 20% 13,258,630 2,288,785 Enforcement 17,181,973 3,987,265 23% 12,647,463 547,245 Safety 12,229,822 2,790,672 23% 8,783,255 655,895 Audit 9,983,356 2,442,590 24% 7,487,580 53,186 Compliance 2,032,667 430,840 21% 1,517,756 84,071 Fleet 388,472 - 0% 103,593 284,879 - Total $63,438,745 $13,974,767 22% $45,456,415 $ 4,007,563

HB 2017 $ 43,000 Law Enforcement TI $ 40,000

15

MCAD Key Accomplishments

WAIUP Windows 10

Moved all ODOT web based applications to new server architecture. MCAD staff expended approximately 3,722 hours on this project. Affected systems included changes to Registration, Audit, Safety and Enforcement applications.

Remediated and updated MCTD software to be compatible with Windows 10. MCAD spent over 1,200 hours last year updating in-house software to ensure MCTD applications were Windows 10 certified. Major programs affected were MCSPOS, Imaging, XAssistant and Enforcer.

16

MCAD Work in Progress HB2017 Updates

Mobility Restriction System - Track project information for restriction notices that impact oversize loads in Oregon.New Revenue Reports – Define and develop new financial reports as required by HB2017.

MCTD Safety/Compliance ProjectConsolidate information used by Safety and Compliance staff. Create a single web based system to track compliance reviews and associated Safety Inspections.

PC Deployments Deploy new workstations with Windows 10.

OTIS Administration ProjectDevelop and implement new internal security protocols in OTIS.

MUSIC Project (Telephone Replacement Project)Replace all MCTD phones (including call centers). Implementation Spring 2018.

Transponder IntegrationIntegrate mainframe transponder functions into OTIS.

17

MCTDAffirmative Action status

—

4th Quarter 2017

EEO Category – Female Ethnic Disabled

Administrators / Officials 10 1 2Professionals 34 8 6Technicians 52 22 8Administrative Support 24 3 5

Current totals forthese job categories 120 34 21

0%

10%

20%

30%

40%

50%

60%

CurrentFemale

ParityFemale

CurrentMinority

ParityMinority

CurrentDisabled

ParityDisabled

Current 45.3%

Parity48.6%

Current 12.8% Parity

9.7%

Current 7.9% Parity

6%