New Bus Leasing Regulations – Updated

This supplements our recent blog regarding the new FMCSA bus leasing regulations.  Tom Giddens, the President of the California Bus Association, appropriately advises that the regulations as promulgated extend their reach past leasing and also cover situations where one authorized bus company “farms out” or “subcontracts” a trip to another authorized bus company. It is common practice for passenger stage operators to subcontract trips to other bus companies for a variety of reasons. Such should not be considered a lease arrangement as buses and drivers are not leased. The California Bus Association, and other associations, are trying to get FMCSA to reconsider and retract this part of the new leasing regulations. If you are interested in assisting or have questions, feel free to contact a CBA representative.