Moving Words – Last Mile

Timothy Brady

“All endeavor calls for the ability to tramp the last mile, shape the last plan, endure the last hours toll.” Henry David Thoreau

We have all heard the logistics term the Last Mile and how it applies to the small package and food delivery business. However, in the moving business we’ve been dealing with the last mile pickup and delivery of household goods from the very inception of the industry, when buckboards were the preferred means of transporting household goods.

We’re all very aware that 50% of shipping costs are due to the challenges of the Last Mile delivery. For the moving business, those challenges include finding suitable parking locations to load and unload, and distances from the street to the entrance of the house or apartment building. Or, when there’s no suitable parking, the need to shuttle using a smaller truck so we can get our crews as close to the delivery location as possible. Then there’s the traffic congestion in the inner cities.

Have you heard about the Strengthening Mobility and Revolutionizing Transportation (SMART) Grants Program from the US Department of Transportation? The Bipartisan Infrastructure Law established the SMART discretionary grant program with $100 million appropriated annually for fiscal years 2022-2026. The SMART program was established to provide grants to eligible public sector agencies for conducting demonstration projects focused on advanced smart community technologies and systems in order to improve transportation efficiency and safety.

One idea being funded through the SMART grant are Zero Emissions Zones. As an example, Portland, Oregon just announced a 16-block zone in their downtown will be off limits to traditional gas and diesel-powered delivery vehicles. (Passenger vehicles won’t be affected.)

In a press release, Portland officials said, “The goal of the project, in part, will be to reduce traffic from heavy trucks in the downtown area and replace those trips with zero-emission vehicles, such as electric vans and trucks, cargo bikes, or hydrogen-fueled vehicles. The 16-block area would mostly be made up of city, county and federal office buildings, with several other blocks taken up by parks or parking structures. Of the 16 blocks, just four are home to commercial offices.”

The press release continued, “The exact details are still being worked out, but those who violate the rules will be subject to a parking citation. … The city will create distribution hubs, likely on the east side, where larger loads can be broken down and delivered by electric bike to smaller private businesses. The city plans to partner with B-line Sustainable Urban Delivery, a local business that specializes in zero-emissions delivery tricycles and will provide incentives to companies as they work to adjust to the new rules.” The plan will be implemented in early 2024.

Now you might be asking what this has to do with delivering household goods or office moves, etc. to this 16-block area of Portland, Oregon? The short answer? Probably not much. However, it’s an indication of the future as cities begin looking to further reduce both pollution and congestion in their central business districts.

Questions you might want to ask and find the answers to now:

As this idea develops, should our moving company be involved in the development and planning of these Zero Emission Delivery Zones?

How is it going to impact our costs of delivering to Zero Emission Delivery Zones as they grow in locations and size?

Should this be included in our future strategic planning?

Is there a business opportunity in Zero Emission Delivery of which we should be taking advantage?

While delivering small packages and food to the last mile is very different from the logistics of delivering household goods, store fixtures and office furniture, there are similarities where there might be a seed worth planting. Let’s see what emerges that would be useful for the moving industry and potentially profitable.

“Projects like these show that addressing safety priorities and addressing climate priorities are the same two sides of the same coin…” – Ben Levine, Senior Advisor of Research & Technology at USDOT.