Introduced in House — H.R. 7539

119th CONGRESS

2d Session

H. R. 7539

IN THE HOUSE OF REPRESENTATIVES

February 12, 2026

Ms. Hageman introduced the following bill; which was referred to the Committee on Transportation and Infrastructure

A BILL

To direct the Administrator of the Federal Motor Carrier Safety Administration to conduct a study on chameleon carriers in the United States and plan, develop, and test an advanced automation tool to help enforcement personnel detect chameleon carrier applications under the registration process of the Department of Transportation, and for other purposes.

Section 1. Short title

This Act may be cited as the Safety and Accountability in Freight Enforcement Act or the SAFE Act.

Sec. 2. Report on chameleon carriers

(a) In general

Not later than 1 year after the date of enactment of this Act, the Comptroller General of the United States shall submit to Congress a report that contains the results of a study that examines chameleon carriers on United States roadways.

(b) Contents

The report under subsection (a) shall include—

(1)

the estimated number of chameleon carriers on United States roadways at any given time;

(2)

the prevalence of chameleon carriers on United States roadways since the issuance of the report of the Government Accountability Office titled Motor Carrier Safety: New Applicant Reviews Should Expand to Identify Freight Carriers Evading Detection, issued March 22, 2012;

(3)

the estimated number of fatalities caused by chameleon carriers since the report described in paragraph (2), including the number of fatalities broken down by State;

(4)

the estimated number of serious bodily injuries caused by chameleon carriers since the report described in paragraph (2), including the number of serious bodily injuries broken down by State;

(5)

the estimated amount of property damage caused by chameleon carriers since the report described in paragraph (2);

(6)

an identification and analysis of the methods and techniques used by chameleon carriers to evade Federal enforcement, including how such methods and techniques have evolved over time;

(7)

an identification and analysis of the existing monitoring and enforcement capabilities, along with any shortcomings, of the Department of Transportation to detect and mitigate chameleon carrier activity, including—

(A)

the registration processes for Department of Transportation numbers;

(B)

the existing software capabilities of the Department of Transportation to detect chameleon carrier applicants;

(C)

any recommendations for improving data fields within the Motor Carrier Management Information System; and

(D)

any existing penalties laid out under Federal statute and regulation for chameleon carriers;

(8)

any other relevant priorities deemed necessary by the Department of Transportation; and

(9)

any legislative recommendations to address chameleon carriers.

(c) Collaboration

In carrying out the study under subsection (a), the Comptroller General may collaborate with other Federal agencies, State and local governments, institutions of higher education, and private sector entities.

Sec. 3. Advanced automation tool

(a) In general

Not later than 1 year after the date of enactment of this Act, the Administrator of the Federal Motor Carrier Safety Administration shall develop, test, and implement an advanced automation tool to help Federal Motor Carrier Safety Administration registration personnel detect chameleon carrier applications under the registration process for Department of Transportation numbers.

(b) Collaboration

(1) In general

In developing the tool under subsection (a), the Administrator may collaborate with other Federal agencies, State and local governments, institutions of higher education, and the private sector as necessary to develop and test the advanced automation tool.

(2) Federal agencies

The Administrator and any Federal agency the Administrator determines is relevant shall enter into a memorandum of understanding to share information needed to implement the requirements of the tool under subsection (c), which may include—

(A)

the Department of Treasury;

(B)

the Department of Justice;

(C)

the United States Postal Service;

(D)

the Department of Homeland Security;

(E)

the Department of Commerce;

(F)

the Department of State; and

(G)

relevant operating administrations within the Department of Transportation.

(3) State agencies

The Administrator shall enter into a memorandum of understanding with any relevant State agency to share information needed to implement the requirements of the tool under subsection (c).

(c) Requirements

The advanced automation tool developed under subsection (a) shall include—

(1)

the ability to detect chameleon carrier-like characteristics that support evidence of substantial continuity between entities, including—

(A)

whether the new or affiliated entity was created for the purpose of evading statutory or regulatory requirements, a Federal Motor Carrier Safety Administration order, enforcement action, or negative compliance history;

(B)

the previous entity's safety performance history, including, among other things, safety violations and enforcement actions of the Secretary, if any;

(C)

existing or inactive Department of Transportation numbers;

(D)

consideration exchanged for assets purchased or transferred;

(E)

dates of company creation and dissolution or cessation of operations;

(F)

commonality of ownership between the current and former company or between current companies;

(G)

commonality of officers and management personnel;

(H)

identity of physical or mailing addresses, telephone, fax numbers, or email addresses;

(I)

identity of motor vehicle equipment;

(J)

continuity of liability insurance policies or commonality of coverage under such policies;

(K)

commonality of drivers and other employees;

(L)

continuation of carrier facilities and other physical assets;

(M)

continuity or commonality of nature and scope of operations; and

(N)

advertising, corporate name, or other acts through which the company holds itself out to the public;

(2)

the ability to detect lapses in insurance coverage;

(3)

the ability to compile evidence of the chameleon carrier-like characteristics under paragraph (1) relevant to the determination of a registration application for Department of Transportation numbers;

(4)

the ability to provide automated decision support relevant to the determination of any registration application for Department of Transportation numbers, while keeping responsibility for final determinations on employees of the Administration;

(5)

the ability to automate information sharing between Federal agencies; and

(6)

any other relevant priorities determined necessary by the Administrator.

(d) Appeals for redetermination

(1) In general

In establishing the tool under this section, the Administrator shall develop an appeals process under which persons denied a Department of Transportation number on the basis of a flag by such tool may seek a review of the denial.

(2) Notification

In establishing the tool under this section, the Administrator shall provide for a process under which a person denied a Department of Transportation number as described in paragraph (1) shall receive a notification of such denial that includes the factors flagged by the tool and provides instructions to such person to correct the application for such number not later than 30 days after receipt of the notification.

(3) Timing of redetermination

The appeals process developed under paragraph (1) shall provide for a redetermination on the amended application for a Department of Transportation number to take place not later than 30 days after the receipt of the information described in paragraph (2).

(e) Briefing

Not later than 30 days after the date of enactment of this Act, the Administrator shall brief the congressional committees of jurisdiction on the issue of chameleon carriers and any ongoing efforts or progress that the Administration has made to combat such issue or meet the objectives of this Act.

(f) Rule of construction

Nothing in this Act shall be construed to allow the final use of an automated decision by the tool created under this section for Department of Transportation number registration.

(g) Data privacy

In developing the tool under subsection (a), the Administrator shall ensure that data used by such tool is not disclosed for a purpose not described in this section.

(h) Audit and report on effectiveness

(1) In general

Not later than 2 years after the date of implementation of the tool established under this section, the inspector general of the Department of Transportation shall submit to Congress a report on the effectiveness of such tool.

(2) Contents

The report under paragraph (1) shall contain—

(A)

the results of an audit of the effectiveness of the tool established under this section;

(B)

empirical data on outcomes of the use of the tool, including the number of flagged and rejected applications for Department of Transportation numbers, any reduction in severe crashes, and the number of errors and application redeterminations under subsection (d); and

(C)

any recommendations to improve the effectiveness of the tool.

Sec. 4. Definition of chameleon carrier

In this Act, the term chameleon carrier means a motor carrier, intermodal equipment provider, broker, or freight forwarder, or an officer, employee, agent, authorized representative, or other affiliated party of such an entity, that has, directly or indirectly, operated or attempted to operate a motor carrier, intermodal equipment provider, broker, or freight forwarder under a new identity or as an affiliated entity to—

(1)

avoid complying with a Federal Motor Carrier Safety Administration order;

(2)

avoid complying with a statutory or regulatory requirement;

(3)

avoid paying a civil penalty;

(4)

avoid responding to an enforcement action;

(5)

avoid being linked with a negative compliance history;

(6)

avoid or evade increased insurance premiums, policy cancellations, or underwriting restrictions by obtaining or attempting to obtain insurance coverage under a new or materially different identity, ownership structure, or corporate form;

(7)

misrepresent ownership, control, management, or operational continuity to an insurer, broker, or underwriter for the purpose of securing lower insurance rates or favorable coverage terms; or

(8)

reincorporate, re-register, or otherwise reconstitute a carrier entity following the denial, nonrenewal, or cancellation of an insurance policy due to safety, claims, or compliance history.