NC NC AG Advisory Opinion (1990-07-17) 1990-07-17

When a logging operation transports forest products in a heavy truck, do the drivers need a commercial driver's license (CDL), or do they qualify for the same farm-vehicle exemption available to traditional farmers?

Short answer: They qualify for the farm-vehicle exemption only if the forest products were raised and grown by the employer and the employer is not in the business of buying products for resale. If the forester buys forest products from other landowners and transports them, that transportation is commercial trucking and CDL rules apply.
Currency note: this opinion is from 1990
Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.
Disclaimer: This is an official North Carolina Attorney General advisory opinion. AG opinions are persuasive authority but not binding precedent like a court ruling. This summary is for informational purposes only and is not legal advice. Consult a licensed North Carolina attorney for advice on your specific situation.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official AG opinion. The original opinion (linked at the bottom of this page) is the authoritative source for any reliance.

Plain-English summary

When North Carolina implemented the federal Commercial Driver's License (CDL) program in the late 1980s, the General Assembly adopted FHWA's farm-vehicle exemption verbatim, with one important addition: "A farm vehicle includes a forestry vehicle that meets the listed criteria when applied to the forestry operation." N.C.G.S. § 20-37.16(e)(3). That single sentence raised an enforcement question. When was a logging truck a "farm" vehicle?

Representative Beverly M. Perdue asked the AG. Special Deputy Attorney General Jane P. Gray answered: the forestry exemption is real, but it applies only when the logger qualifies as a "farmer" by raising and growing the forest products being hauled, and only when the logger is not in the business of buying products from others for resale.

The opinion built its answer from two pieces. First, the underlying federal exemption (the source the NC statute tracks verbatim) was deliberately limited to the "traditional" farmer. The FHWA's summary to the rule, at 53 Fed. Reg. 37314-37315, makes the policy choice explicit:

The waiver would not be available to operators of farm vehicles who operate over long distances, operate to further a commercial enterprise, or operate under contract or for-hire for farm cooperatives or other farm groups. Such operators drive for a living and do not drive only incidentally to farming.

That cut against extending the exemption to commercial timber operations that buy from landowners and resell.

Second, the NC statutory definitions reinforced the same point. N.C.G.S. § 20-88(b)(2), the farmer-license-plate qualification, requires the operator to be "engaged in the raising and growing of farm products on a farm in North Carolina not less than 10 acres in area, and who does not engage in the business of buying products for resale." N.C.G.S. § 20-88(b)(4) defines "farm products" to include "logs, bark, pulpwood, tannic acid wood and other forest products grown, produced, or processed by the farmer." Both definitions key the exemption to a grower-hauler match: the products must have been grown by the farmer who is now transporting them.

So the AG's test for the forestry CDL exemption: (1) the forester transporting the timber must have raised and grown the timber, on a farm of at least 10 acres in NC, (2) the forester must not be in the business of buying products for resale, (3) the vehicle must be controlled and operated by the farmer or employee, used exclusively for farm use, (4) the vehicle must transport agricultural products, farm machinery, or farm supplies to or from a farm, (5) it must not be used as a common or contract carrier, and (6) it must be operated within 150 miles of the farmer's farm.

Two important corollaries. First, an employee of a qualifying forester is also exempt, as long as the employee is driving the qualifying forester's vehicle for qualifying purposes. Second, if a forester both grows their own and buys from others, the exemption applies only to the home-grown loads; the bought-for-resale loads are commercial trucking and require CDL.

Currency note

This opinion was issued in 1990. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here. The federal CDL regulations have been amended several times since 1990, with substantial changes to driver medical certification, hazmat endorsements, and Entry-Level Driver Training requirements. The farm-vehicle exemption has been retained in modified form. North Carolina's farmer-license-plate qualifications in N.C.G.S. § 20-88 have also been amended, and the acreage threshold and "for resale" disqualifier may have changed. The grower-hauler match concept that drives this opinion has been durable, but specific dollar and acreage thresholds should be verified against current law before any enforcement decision.

Background and statutory framework

The federal Motor Carrier Safety Act of 1986 created the CDL program in response to safety concerns about large commercial vehicles driven by inadequately trained or qualified drivers. The Act required all drivers of commercial motor vehicles (typically vehicles over 26,000 pounds, vehicles carrying hazardous materials in placardable quantities, and certain passenger vehicles) to obtain a CDL, with a single license per driver, disqualification for serious traffic violations, and strengthened testing standards. The deadline for compliance was April 1, 1992.

The Act's stated purpose, "to reduce or prevent commercial motor vehicle accidents, fatalities and injuries," was a national-safety justification. But Congress recognized that some categories of operators do not fit the commercial-trucker model. Farmers driving their own crops to market, for example, are not professional truckers; they drive only occasionally as part of larger farming work. Treating them like long-haul commercial drivers would impose disproportionate costs without proportionate safety benefits. The FHWA was directed to identify exemption categories and, after rulemaking, settled on three: government vehicles, certain emergency response vehicles, and farm vehicles meeting specific criteria.

The farm-vehicle exemption was structured to limit it to "traditional" farming. The 150-mile radius restriction kept the exemption from extending to long-haul movement. The "exclusively for farm use" requirement kept it from extending to dual-use commercial trucking. The "not used in the operations of a common or contract motor carrier" requirement kept it from extending to for-hire trucking operations dressed up as farming.

North Carolina's adoption of the federal language added the forestry-vehicle clause. The legislative intent, the AG inferred, was to recognize that forestry operations in NC have many of the same operational characteristics as traditional farming: a landowner working land they own, harvesting their own product, transporting it to market. The intent was not to convert all of the logging industry into a CDL-exempt class. Hence the qualification: forestry vehicles get the exemption "when applied to the forestry operation" that meets the four federal criteria, which the AG read alongside the NC farmer-license-plate qualifications to confine the exemption to grower-haulers.

The opinion is a useful example of how NC statutes incorporating federal language are interpreted. The federal statute and its summary explanation provide the baseline meaning. NC-specific provisions (like § 20-88's farmer definition) supply additional content where the federal rule is open-textured. The grower-hauler match is essentially a doctrinal gloss on the federal criteria that NC's statutes support.

Common questions

Does this opinion mean a logging-truck driver who owns 100 acres of timberland and hauls only his own timber is CDL-exempt?

Under the 1990 opinion's analysis, yes, if the other federal criteria are satisfied (under 150 miles from the farm, exclusively for farm use, not a contract carrier). The owner is a "farmer" raising and growing forest products; the timber being hauled was grown by him; he is not buying for resale.

What if a logging contractor cuts and hauls timber for a landowner under contract?

The contractor is not the grower. The contractor is hauling for someone else, and is therefore acting as a contract motor carrier. CDL applies. The 150-mile radius does not save this case because the contractor is "used in the operations of a common or contract motor carrier."

What about a logging company that buys standing timber from a landowner, harvests it, and hauls it to a mill?

The buyer is in the business of buying products for resale. The N.C.G.S. § 20-88(b)(2) farmer qualification fails. CDL applies.

Could the General Assembly have created a broader forestry exemption?

In theory, yes, by amending the statute. But the federal CDL rules are tied to federal highway funding. NC's adoption of the federal exemption was structured to qualify for the federal preemption framework. Going broader would have risked challenges from FHWA. The legislature instead made a narrower addition (forestry vehicles that meet the federal farm criteria) and let the AG's interpretation flesh out the limits.

What were the per-violation consequences if a driver was found driving without a required CDL?

CDL violations carry civil penalties under the Motor Vehicle Code and can be charged as misdemeanors depending on the circumstances. Repeated violations can disqualify the driver under the federal CDL framework. Enforcement is typically by the State Highway Patrol or local law enforcement during routine traffic stops, and through DMV records review.

Source

Citations

  • N.C.G.S. § 20-37.11 (NC CDL purpose)
  • N.C.G.S. § 20-37.16(e)(3) (CDL farm vehicle exemption with forestry clause)
  • N.C.G.S. § 20-4.01(3d) (commercial motor vehicle definition)
  • N.C.G.S. § 20-88(b)(2) (farmer license plate qualifications)
  • N.C.G.S. § 20-88(b)(4) (farm products including forest products)
  • 53 Fed. Reg. 37314-37315 (FHWA CDL exemption summary)

Original opinion text

Requested By:

Representative Beverly M. Perdue
3rd District: Craven, Lenoir, Pamlico Counties

Question:

Are private carriers operated by drivers employed in logging operations entitled to the exemption for "farm" vehicles under G.S. 20-37.16(e)(3)?

Conclusion:

Yes, if the forest products being transported were raised and grown by the employer.

By April 1, 1992, all drivers of commercial vehicles as defined in G.S. 20-4.01(3d) will be required to obtain a commercial driver's license (CDL) in order to continue driving such a vehicle. The CDL legislation is a result of the federal Motor Carrier Safety Act of 1986 and its stated purpose is to "reduce or prevent commercial motor vehicle accidents, fatalities and injuries" by allowing commercial drivers to hold only one license, by disqualifying commercial drivers who have committed serious traffic violations and by strengthening commercial driver licensing and testing standards. G.S. 20-37.11. The Federal Highway Administration (FHWA) was charged with promulgating certain regulations that the states would have to follow in implementing their CDL programs or face the loss of federal highway funds. During the rulemaking process, comment was sought on providing exemptions for certain classes of vehicles and after the comments had been received, the FHWA provided for three types of exemptions. (They had already indicated that the law was not meant to apply to personal use vehicles such as recreational vehicles.) North Carolina adopted the language from the federal regulations verbatim with two exceptions as underlined below:

(3) Farm vehicles that meet all of the following criteria:

a. Controlled and operated by the farmer or the farmer's employee and used exclusively for farm use;

b. Used to transport either agricultural products, farm machinery, farm supplies, or any combination thereof to or from a farm;

c. Not used in the operations of a common or contract motor carrier; and

d. Used within 150 miles of the farmer's farm. A farm vehicle includes a forestry vehicle that meets the listed criteria when applied to the forestry operation.

The basis for the exemption for certain farm vehicles can be found in the summary to the rules found in Volume 53 of the Federal Register, pages 37314-37315. In pertinent part that summary states: "The FHWA has determined that is not contrary to the public interest to allow States, at their discretion, to waive certain farmers from the requirements of the CDL program. Absent a waiver, all farmer operators of commercial vehicles of over 26,000 pounds and of vehicles carrying hazardous material in amounts sufficient to be placarded would be subject to the CDL program. Based on the farm vehicle operations safety data available to FHWA at this time, comments to the docket, and the potential burdens imposed on the farmers, FHWA believes that a waiver for farmers involved in small scale farm to market transportation movements is appropriate. The FHWA believes that it is contrary to public interest to waive long haul farm vehicle movements, as well as persons that provide for-hire trucking services to the farm community. . . . The waiver would not be available to operators of farm vehicles who operate over long distances, operate to further a commercial enterprise, or operate under contract or for-hire for farm cooperatives or other farm groups. Such operators drive for a living and do not drive only incidentally to farming."

The last sentence of the statute makes it clear that farm vehicles include forestry vehicles that meet the four listed criteria. The remaining questions are what constitutes a "farmer" and what are "agricultural products" within the forestry industry?

The Commercial Driver License Act does not contain a specific definition of farmer. The summary language would indicate the federal rule envisioned the "traditional" farmer. The only definition of farmer found in the Motor Vehicle Code is that in G.S. 20-88(b)(2), but it is limited to defining the qualifications necessary to purchase a farmer license plate as the farmer plate costs one-half of the regular rate for other private carriers. However, it does require that to be eligible for farmer plates, the farmer must be "engaged in the raising and growing of farm products on a farm in North Carolina not less than 10 acres in area, and who does not engage in the business of buying products for resale." "Farm products" as defined in subsection (b)(4) includes "logs, bark, pulpwood, tannic acid wood and other forest products grown, produced, or processed by the farmer." Reading the federal rule summary in conjunction with the definitions contained in the registration criteria for farmer plates, it is reasonable to conclude that if the agricultural or forest products being transported were raised and grown by the farmer/forester and he does not engage in the business of buying products for resale, then he and his employees could transport such forest products within 150 miles of the farm in vehicles not used in common or contract motor carrier operations without obtaining a CDL. Conversely, if the forest products were not raised and grown by the forester, or he engages in the buying of forest products for resale, the transporting of those products by him or his employees would not be exempt from the CDL requirements. As to those forest products, the forester was not a farmer.

LACY H. THORNBURG
Attorney General

Jane P. Gray
Special Deputy Attorney General