A-9544, FEBRUARY 1, 1926, 5 COMP. GEN. 563

A-9544, FEBRUARY 1, 1926, 5 COMP. GEN. 563

APPROPRIATIONS - TRANSPORTATION OF MAILS TO INSULAR POSSESSIONS OF THE UNITED STATES THE COST OF TRANSPORTING THE MAILS TO THE INSULAR POSSESSIONS OF THE UNITED STATES IS, AS A RULE, CHARGEABLE TO THE APPROPRIATION "POWER BOAT SERVICE," BUT WHEN THE CONVEYANCE OF SUCH MAILS IS INCIDENTAL TO THE TRANSPORTATION OF MAILS TO FOREIGN COUNTRIES AND THE COST THEREOF CAN NOT BE ASCERTAINED OR APPORTIONED, THE APPROPRIATION CHARGEABLE THEREFOR IS THE APPROPRIATION TO WHICH THE COST OF THE MAJOR PORTION OF THE SERVICE IS CHARGEABLE; THAT IS, TO THE "POWER BOAT SERVICE" OR TO THE APPROPRIATION FOR "FOREIGN MAIL TRANSPORTATION" AS THE CASE MAY BE.

COMPTROLLER GENERAL MCCARL TO THE POSTMASTER GENERAL, FEBRUARY 1, 1926:

REPLYING TO YOUR LETTER OF OCTOBER 10, 1925, RELATING TO THE SUBJECT MATTER OF DECISIONS OF JULY 13, 1925, AND SEPTEMBER 21, 1925, AND REQUESTING, IN VIEW OF THE FACT THAT THE DECISIONS REFERRED TO AS CONSTRUED BY YOU, APPARENTLY PRESUPPOSE A SITUATION WITH RESPECT TO THE BASIS FOR COMPENSATION FOR CONVEYANCE OF THE MAILS TO FOREIGN COUNTRIES WHICH EXISTS ONLY IN SO FAR AS CONCERNS SERVICE PERFORMED BY THE STEAMSHIPS OF THE OCEANIC STEAMSHIP CO. FROM SAN FRANCISCO TO SIDNEY,AUSTRALIA, VIA HONOLULU AND PAGO PAGO, FOR WHICH SERVICE PAYMENT IS MADE ON A MILEAGE BASIS PURSUANT TO FORMAL CONTRACT AND IN ALL OTHER CASES COMPENSATION IS BASED ON NET WEIGHTS OF THE MAILS CONVEYED, THAT THE MATTER BE GIVEN FURTHER CONSIDERATION AND YOUR DEPARTMENT ADVISED WHETHER, IN VIEW OF THE FACTS STATED, COMPENSATION FOR THE CONVEYANCE OF THE MAILS IN QUESTION SHOULD BE CHARGED IN ANY CASE TO THE APPROPRIATION "FOREIGN MAIL TRANSPORTATION" IN VIEW OF THE DECISION OF JULY 13, 1925, A-9544, YOU ARE ADVISED THAT THE DECISION REFERRED TO HAVING BEEN RENDERED IN RESPONSE TO SPECIFIC QUESTIONS AS TO THE APPROPRIATIONS CHARGEABLE WITH THE COST OF CONVEYING THE MAILS TO THE INSULAR POSSESSIONS OF THE UNITED STATES DID NOT PRESUPPOSE A SITUATION AS SUGGESTED AS NO FACTS RELATIVE THERETO FROM WHICH SUCH A SUPPOSITION AS MENTIONED COULD HAVE BEEN DRAWN WERE BEFORE THIS OFFICE AT THE TIME.

WITH REFERENCE TO THE QUESTION NOW PRESENTED, THERE DOES NOT APPEAR TO BE ANY GOOD OR SUFFICIENT REASON WHY THE RULE LAID DOWN IN DECISION OF SEPTEMBER 21, 1925, 5 COMP. GEN. 209, NAMELY, THAT IN THE EVENT THE CHARGE FOR THE MAJOR PORTION OF THE COST OF THE SERVICE PERTAINS TO CARRYING THE MAILS BETWEEN THE UNITED STATES AND ITS INSULAR POSSESSIONS ON MAIL ROUTES EXTENDING TO FOREIGN COUNTRIES, THE APPROPRIATION CHARGEABLE THEREWITH IS THE "POWER BOAT SERVICE" APPROPRIATION BUT OTHERWISE IF SUCH COST IS MERELY INCIDENTAL TO THE LARGER SERVICE, WOULD NOT BE APPLICABLE IN CASES WHERE THE SERVICE IS TO FOREIGN COUNTRIES WITH INCIDENTAL SERVICE TO THE INSULAR POSSESSIONS WHEN THE CONTRACTS OR AGREEMENTS THEREFOR ARE ON A WEIGHT BASIS AS WELL AS WHEN ON A MILEAGE BASIS. AS POINTED OUT IN THAT DECISION, IT IS CLEAR THAT THE TRANSPORTATION OF THE MAILS TO THE INSULAR POSSESSIONS OF THE UNITED STATES HAS BEEN AND IS REGARDED AS BEING A PART OF THE DOMESTIC MAIL SERVICE AND WHERE PRACTICABLE, THE COST OF TRANSPORTING THE MAILS TO THE INSULAR POSSESSIONS MUST BE CHARGED TO THE "POWER BOAT SERVICE" APPROPRIATION REGARDLESS OF WHETHER THEY ARE CONVEYED ON A WEIGHT OR ON A MILEAGE BASIS, THE RULE REFERRED TO BEING FOR GUIDANCE ONLY WHEN THE COST OF THE SERVICE TO THE INSULAR POSSESSIONS WHEN SERVED IN CONNECTION WITH ROUTES TO FOREIGN COUNTRIES CAN NOT BE ASCERTAINED ON ANY OTHER BASIS. ACCORDINGLY, YOU ARE ADVISED IN REPLY TO THE QUESTION NOW SUBMITTED THAT IN MAKING PAYMENTS FOR SERVICES IN CONVEYING THE MAILS TO THE INSULAR POSSESSIONS OF THE UNITED STATES WHERE SUCH SERVICE IS INCIDENTAL TO SERVICES TO FOREIGN COUNTRIES, THE EXPENSE THEREOF IS TO BE PRORATED IN THOSE CASES WHERE IT IS SUSCEPTIBLE OF ASCERTAINMENT AND APPORTIONMENT AND CHARGED TO THE "POWER BOAT SERVICE" APPROPRIATION, BUT IN CASES WHERE THE COST OF CONVEYANCE CAN NOT REASONABLY BE SEGREGATED OR APPORTIONED, THE EXPENSE OF SERVING THE MAIL ROUTE IS TO BE CHARGED TO THE APPROPRIATION TO WHICH THE COST OF THE MAJOR PORTION OF THE SERVICE IS CHARGEABLE.