Household Goods Shipping Consumer Protection Act
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The bill would give the Federal Motor Carrier Safety Administration explicit authority to assess civil penalties directly against motor carriers, brokers, and freight forwarders that violate household goods shipping rules, and would require these companies to designate a real principal place of business.
It would also let states use existing federal grant funds to enforce household goods shipping laws themselves and keep any fines they collect, aiming to crack down on rogue moving companies that mislead or overcharge consumers relocating their belongings.
What this bill would do
What it would do
The bill would amend title 49 of the U.S. Code to strengthen federal and state enforcement against motor carriers, brokers, and freight forwarders involved in interstate household goods moving. It would let the Secretary of Transportation directly assess civil penalties, after notice and a hearing, against companies that violate household goods shipping statutes or regulations. It would require these companies to designate a single "principal place of business" where management works, business is conducted, and records are kept, and would let the Secretary withhold, suspend, amend, or revoke registration for failure to do so. Brokers and freight forwarders would also have to disclose common ownership, management, control, or family ties to other registered carriers, brokers, or forwarders from the prior three years.
It would let states use certain federal safety grant funds (the Motor Carrier Safety Assistance Program) to enforce federal household goods rules, at each state's discretion, and would let states keep any fines they collect from such enforcement. The bill does not create new criminal penalties or a private right of action for consumers.
Key provisions
- 1Would authorize the Secretary of Transportation to directly assess civil penalties, after notice and a hearing, against violators of household goods shipping statutes or regulations
- 2Would let states use Motor Carrier Safety Assistance Program grant funds to enforce federal household goods shipping laws, at each state's discretion
- 3Would require that fines or penalties imposed on a carrier or broker in a state enforcement proceeding be paid to and retained by that state
- 4Would require motor carriers, brokers, and freight forwarders to designate a single principal place of business as a registration condition
- 5Would require brokers and freight forwarders to disclose common ownership, management, control, or familial ties to other registered carriers, brokers, or forwarders within the prior three years
- 6Would let the Secretary withhold, suspend, amend, or revoke a registration for failure to designate a valid principal place of business
Who would be affected
Interstate household goods motor carriers, brokers, and freight forwarders (moving companies and the intermediaries that arrange moves), the Federal Motor Carrier Safety Administration, state agencies that choose to enforce household goods rules using federal grant funds, and consumers hiring movers for interstate relocations.
Why it matters
Moving companies and brokers would face a clearer path to federal civil penalties and could lose their registration for failing to maintain a legitimate business address, which the bill's sponsors link to schemes involving shell companies that dodge accountability. States gain new tools and a financial incentive—keeping collected fines—to pursue enforcement themselves, potentially increasing scrutiny of the moving industry.
What would change
Changes to existing law
Amends 49 U.S.C. § 14914 (Sec. 2)
Adds Secretary of Transportation authority to assess civil penalties by written notice after notice and hearing for household goods violations.
Amends 49 U.S.C. § 31102 (Sec. 3)
Allows states to use certain grant funds for household goods enforcement, at state discretion and not as a funding condition.
Amends 49 U.S.C. § 14711 (Sec. 4)
Requires fines or penalties from state household goods enforcement proceedings to be paid to and kept by the enforcing state.
Amends 49 U.S.C. § 13102 (Sec. 5)
Adds definitions of 'principal place of business' and 'specified entity' for registration purposes.
Amends 49 U.S.C. § 13902 (Sec. 5)
Adds designation of a principal place of business as a requirement for motor carrier registration.
Amends 49 U.S.C. §§ 13903 and 13904 (Sec. 5)
Requires freight forwarders and brokers to designate a principal place of business and disclose prior ownership or management relationships.
Amends 49 U.S.C. § 31134 (Sec. 5)
Adds principal place of business designation as a condition for registration and a USDOT number.
Agencies directed to act
Funding and costs
Congressional Budget Office estimate
CBO estimates that enacting S. 337 would increase the federal deficit by less than $500,000 over the 2025–2035 period, with negligible effects on direct spending and revenues.
S. 337 would allow the Federal Motor Carrier Safety Administration to levy civil penalties on household goods movers that violate interstate registration requirements and permit states to use federal grants to enforce compliance and keep collected fines. CBO estimates revenues would increase by less than $500,000 over the 2025–2035 period, as civil penalties are recorded as federal revenues, but the number of affected entities is expected to be small. Direct spending (mandatory outlays) would not change, and any administrative costs to implement the bill would be insignificant and subject to future appropriations. CBO identified no intergovernmental or private-sector mandates in the bill.
How implementation would work
The Secretary of Transportation would issue penalty assessments by written notice after providing violators notice and a hearing opportunity. The Federal Motor Carrier Safety Administration would review registration applications from carriers, brokers, and freight forwarders for a valid principal place of business and required ownership-relationship disclosures, and could withhold, suspend, amend, or revoke registrations for noncompliance. States electing to enforce federal household goods rules would draw on existing Motor Carrier Safety Assistance Program grant funds and related discretionary grants, and would retain any fines collected through their enforcement actions rather than remitting them federally.
Legislative status & sources
Latest action
Placed on Senate Legislative Calendar under General Orders. Calendar No. 341.
Official CRS summary
Show the CRS summaryHide the CRS summary
This bill allows the Federal Motor Carrier Safety Administration (FMCSA) to assess civil penalties against motor carriers, brokers, and freight forwarders for violations related to the interstate transportation of household goods and provides states with additional related authorities.
As background, a broker is the “middle person” between a shipper and a motor carrier and arranges for the transportation of household goods. A freight forwarder organizes shipments for individuals or corporations. Unlike a broker, freight forwarders assume responsibility for transportation and may transport the freight itself.
The bill expands the FMCSA registration requirements to require motor carriers, brokers, and freight forwarders to designate a principal place of business (i.e., a single physical location where management officials report to work, a significant portion of the transportation business is conducted, and records are maintained). FMCSA may withhold, suspend, amend, or revoke any part of a registration for failure to designate.
In addition, brokers and freight forwarders must disclose any common ownership, management, control, or familial relationship with any other carrier, freight forwarder, broker, or applicant in the previous three years. Under current law, motor carriers must disclose this information.
Further, states may use certain grant funds to enforce federal household goods statutes and regulations for the interstate transportation of these goods by motor carriers and brokers. This applies to Motor Carrier Safety Assistance Program (MCSAP) grant funds and MCSAP High Priority discretionary grant funds. A state shall retain collected fines that are a result of enforcement.
Legislative subjects
Administrative law and regulatory procedures; Business records; Civil actions and liability; Consumer affairs; Department of Transportation; Licensing and registrations; Motor carriers; State and local government operations; Transportation and Public Works
Committee report
S. Rept. 119-112