U.S. and Mexican officials have signed an agreement to end the cross-border trucking dispute under which Mexican carriers could be granted provisional operating authority in as early as a month.

U.S. Transportation Secretary Ray LaHood and Secretaría de Comunicaciones y Transportes Dionisio Arturo Pèrez-Jàcome Friscione signed a Memorandum of Understanding in Mexico City on July 6.

The FMCSA’s cross-border pilot program mandates Mexican carriers meet all U.S. Motor Vehicle Safety Standards. The FMCSA will provide and pay for electronic monitoring systems to track hours-of-service compliance at a maximum cost of $2.5 million.

For Mexican program participants, the agency will review the complete driving record of each driver and require all drug testing samples to be analyzed in U.S. labs. It will assess drivers of their comprehension of English and U.S. traffic signs.

Mexico will provide reciprocal authority for U.S. carriers to engage in cross-border long-haul operations in that country. Neither nation can engage in domestic carriage of goods point-to-point in the other country.

The memorandum does not apply to hazmat carriers or carriers engaged in the cross-border transportation of passengers.