Why Some States Are “Participating” and Others Are Not

Dec. 8, 2025, 8:14 p.m.
The Unified Carrier Registration (UCR) Program is a federal mandate, but participation is implemented on a state-by-state basis. While most states actively participate, a handful do not. This creates a common point of confusion for carriers and brokers operating across state lines. Here’s a breakdown of why this happens and what it means for carriers.
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1. UCR Participation Is Optional for States

Although the UCR Program is federally authorized, states are not legally required to participate. Each state independently decides whether to join the program based on:

  • Administrative capacity

  • Cost-benefit analysis

  • Revenue expectations

  • Legal or legislative considerations

Some states simply choose not to operate the program.

2. States Must Collect and Distribute Fees—Not All Want That Responsibility

Participating states are responsible for:

  • Managing UCR fee collection

  • Enforcing UCR compliance

  • Handling audits and disputes

  • Reporting funds to the UCR Board

These activities require staffing, technology systems, and interagency coordination.
A few states opt out because they prefer not to take on the administrative overhead.

3. Some States Rely on Other Revenue Systems Instead

Certain non-participating states have separate revenue structures for commercial motor carriers. For example, they may rely heavily on:

  • Highway use taxes

  • Weight-distance taxes

  • Other state-specific registration fee systems

For these states, the UCR program may be seen as redundant or unnecessary.

4. States Receive Limited Financial Benefit from UCR Funds

UCR revenue is pooled nationally and redistributed. Each state has a legally capped revenue level based on federal law. Because of this:

  • Some states would receive limited financial benefit

  • Administrative costs may outweigh revenue gains

States that see little financial incentive are more likely to decline participation.

5. Differences in Legislative Processes

For a state to join UCR, it typically must pass enabling legislation. In some states:

  • Bills have stalled

  • Political priorities differ

  • Legislative cycles delay participation

Thus, in some cases, lack of political movement—not opposition—keeps them out.

6. Non-Participating States Still Must Recognize UCR

Even though states like Arizona, Florida, Hawaii, Maryland, Nevada, New Jersey, Oregon, Vermont, Wyoming, and others historically did not participate (list can change), they:

  • Still enforce UCR compliance for carriers that should have it, and

  • Recognize registrations from participating states

This is because UCR applies to interstate carriers, regardless of where they are based.

7. How Non-Participating States Handle Their Own Carriers

Carriers based in non-participating states still need UCR registration—but they must register through another participating state.

Example:
A Florida-based carrier registers through a state like Georgia or Alabama.

This ensures nationwide uniformity even when a carrier’s home state opts out.

Summary

Some states are not “participating” in the UCR Program because:

  • Participation is optional

  • Administrative overhead may be too high

  • Revenue benefit may be low

  • They have alternative taxation systems

  • Their legislatures haven’t approved participation

Despite this, all states enforce UCR compliance, and carriers in non-participating states must still register.