Every year it seems like there’s a new acronym to add to the alphabet soup of fuel tax and licensing rules. The one to know for 2015? FRP.
FRP stands for Full Reciprocity Plan, an agreement among IRP jurisdictions starting Jan. 1, 2015. For existing fleets licensed under IRP, there are two big changes:
1. One cab card for all 59 IRP jurisdictions
For vehicle registrations expiring at the end of December 2014 (or later), cab cards will be issued that give operating rights in all 59 IRP jurisdictions at the proper registered gross weight for those jurisdictions. You’ll no longer need to select the states and provinces in which you intend to operate, which should take the guesswork out of the renewal process.
2. Pay only for actual distance
Instead of having to pay registration fees for all jurisdictions, you’ll pay only for jurisdictions in which you had actual distance during the previous reporting period (July 1 to June 30).
More than 20 years in the making, FRP should simplify the registration renewal process. For renewals of registrations expiring at the end of November 2014 or earlier the old rules will continue to apply through the expiration date in 2015.
To learn more about FRP, including what it will mean for new fleets, please get in touch with us. We can help.
Call us Toll Free: 1-877-860-8025
About the Author:
Sandy Johnson is the founder and managing partner at North Star Fleet Solutions in Calgary. The company provides vehicle tax and license compliance services for trucking operations ranging from single vehicles to large fleets. She can be reached at 877-860-8025 or northstarfleet.com.