As an Alberta-based carrier, understanding the intricacies of Safety Fitness Certificates (SFC) is essential for compliance and avoiding costly penalties. A common question that arises is whether an Alberta-based carrier with a Provincial SFC can operate outside of Alberta by simply purchasing permits in other provinces like British Columbia or Saskatchewan. The short answer is no, and here's why.
Intra-Provincial vs. Extra-Provincial: Know the Difference
First, let’s clarify the two types of SFCs:
It’s crucial to understand that an Intra-Provincial SFC does not give you the flexibility to temporarily operate outside Alberta by buying a permit in another province. The permits available in British Columbia and Saskatchewan that many carriers refer to are for vehicle registration (IRP) and fuel tax (IFTA) purposes, not for operational authority. This common confusion often leads carriers into regulatory trouble. Yes, I know your cousin’s uncle that owns a trucking company has been doing it for years but, that just means they haven’t been caught yet.
Why Permits Don’t Equal Permission
Many carriers mistakenly believe that purchasing a permit for registration or fuel tax allows them to operate extra-provincially. However, these permits are solely for the legal use of highways (registration) and the payment of fuel taxes. They do not grant you the authority to pick up or deliver loads outside Alberta.
The responsibility of understanding the need for a Federal SFC falls on the carrier. Unfortunately, Transportation & Economic Corridors, Traffic Safety Services Division do not provide education on this requirement. Alberta Transportation & Economic Corridors, Traffic Safety Services Division, Monitoring & Compliance Branch, Investigations & Enforcement Section focus is on compliance, and they expect carriers to be informed about the regulations governing their operations.
The Siloed System and Its Impact
One of the reasons carriers often find themselves in violation is the lack of communication between various government departments. Transportation & Economic Corridors, Traffic Safety Services Division, the departments responsible for permits and those overseeing SFCs operate in silos. This means that when you obtain a permit from one department, there is no cross-communication to inform you of other regulatory requirements, like the need for a Federal SFC.
This disconnect often results in carriers unintentionally violating regulations. Operating extra-provincially with an intra-provincial SFC the carrier is not just risking tickets or penalties but, extra-provincial carriers carry insurance that intra-provincial carriers do not. Should the carrier have an accident while outside the jurisdiction the insurance company may deny that claim and open the carrier up to liability.
The High Stakes of Non-Compliance
Safety Fitness Certificate follows the virginity rule, you only get one shot. An Alberta carrier with a Provincial SFC that is stopped operating in another jurisdiction would be made Federal and the carrier would have to apply to return to intra-provincial. The regulation AR 314/2002 Commercial Vehicle Certificate and Insurance Regulation Section 6 4.2(1)(c) uses the wording operates or intends to operate. Getting caught operating extra-provincially proves the intention to operate. Operating with an Intra-Provincial SFC outside Alberta is not just a minor infraction—it’s a serious violation.
Carriers operating extra-provincially require ELDs, speed limiters, and are required to pay Provincial Sales Tax (PST) in jurisdictions like British Columbia and Saskatchewan. Non-compliance with these requirements may put the carrier on the radar of Alberta Transportation & Economic Corridors, Traffic Safety Services Division, Monitoring & Compliance Branch, Investigations & Enforcement Section and the carrier will be caught on the never ending NSC Audit wheel of fortune.
Final Thoughts: Stay Educated and Compliant
Remember, Alberta Transportation & Economic Corridors, Traffic Safety Services Division, Monitoring & Compliance Branch, Investigations & Enforcement Section role is enforcement, not education. Ignorance of the law is no excuse; carriers must take the initiative to educate themselves on the regulatory environment they operate in. Investing time in understanding these regulations can prevent significant headaches down the road. Stay informed, stay compliant, and keep your operations running smoothly.
BC Ministry of Transportation and Infrastructure
The federal vs provincial SFC is an Alberta system, not BC. A BC NSC Certificate is not different for carriers whether they operate only in province or over borders.
If you have a Provincial SFC, you will need to apply and obtain a Federal one in order to cross into BC. We do not issue permits changing a carrier's standing or operational category.
SASKATCHEWAN SGI PERMIT OFFICE
Saskatchewan does not have any permits that covers the provincial safety fitness, customers need to have their fitness safety changed to federal before entering SK
Alberta TEC has introduced a new risk factor scoring process as of May 1,2024 that is intended to enhance the identification of the most high-risk carriers operating in Alberta. I would ask the bridge department which carriers are high risk but, government loves data and scoring so, here we are. Roadcheck is in May and Roadcheck is when all the inspectors are out getting inspection numbers to stay certified. Roadcheck is also when all the tickets get written, what a funny coincidence that is. Historical carrier information will remain unchanged. This only applies to points after month-end for April 2024.
A carrier’s risk factor score (R-Factor) is used to determine a carrier’s on-road safety performance to pinpoint carriers with concerning data. For specific details the changes to the scoring are on the TEC (Transportation and Economic Corridors) May Bulletin 1.0: Overview of the Risk Factor Score, Risk Factor Score Change Summary & Carrier Impacts.
TEC (Transportation and Economic Corridors) acknowledges there may be fluctuations to carriers R-Factor score. Carriers may find that their risk factor score has changed from March 2024 to April 2024 month-end, as a result of the refinements. Changes in the risk factor score may impact carrier monitoring, and move the carrier on or off of monitoring, and/or move the carrier to a different stage of monitoring.
Alberta Transportation could not program an audit system that accepts time by the second (see my Data Entry Debacle BLOG). Alberta Transportation cannot get enforcement data from all jurisdictions because of a computer glitch (see my Hidden Dangers: Exposing the of Unreliable Safety Fitness Ratings of Alberta Motor Carriers BLOG). Can industry really trust Alberta Transportation to accurate calculate this “new” algorithm? Probably not. Every carrier should pull a copy of their carrier profile at the end of May, June and July to ensure there is nothing unexpected.
If you do find yourself in monitoring and you’re getting a review from the department, give me a call.
