Operating Authority
FMCSA authorization required to transport regulated freight or passengers for hire in interstate commerce, represented by an MC number.
Operating authority is separate from a USDOT number — a carrier may need both. For-hire passenger carriers, freight brokers, and many for-hire freight carriers need operating authority. Owner-operators leased exclusively to a carrier operate under that carrier's authority. Those who operate under their own authority must obtain their own MC number and comply with all carrier obligations.
How to get operating authority
To apply for operating authority, the carrier must: obtain a USDOT number (if not already registered); apply through FMCSA's Unified Registration System at safer.fmcsa.dot.gov; designate a process agent in each state of operation (Form BOC-3, typically handled by a process agent service); and file proof of insurance (Form MCS-90 or BMC-91). The standard filing fee for new property carrier authority is $300. Authority typically becomes effective within 10 days of completing all requirements, though insurance filings can delay activation.
Maintaining operating authority
Operating authority can be revoked for failure to maintain insurance, failure to file the biennial MCS-150 update, or compliance failures. A revoked MC number means the carrier cannot legally transport for hire — an enforcement risk that affects every load. Carriers should ensure their insurance broker files proof of insurance directly with FMCSA (not just provides a certificate) and confirm the filing is current. Owner-operators with their own authority should calendar both the MCS-150 biennial update and insurance renewal to avoid lapses.
Last updated: May 28, 2026
When this definition matters
This term usually matters when a driver, owner-operator, or small carrier is deciding whether a federal rule applies, preparing a compliance file, or checking a state CDL step. Use this definition as a starting point, then confirm the controlling requirement in the official source listed below before making a licensing, hiring, dispatch, or recordkeeping decision.
The related terms above are included because they often appear in the same compliance workflow. Reviewing them together can prevent common mix-ups, such as treating a state licensing step as a federal carrier obligation or confusing a driver record with a separate employer record.