A-66116, MARCH 7, 1936, 15 COMP. GEN. 767

A-66116: Mar 7, 1936

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WITH RESPECT TO ROUTES FOR WHICH THE MILEAGE IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP. THERE IS NO AUTHORITY FOR DEFERRING SAID REDUCTION UNTIL THE MILES FLOWN EQUAL 190 PERCENT OF THE MILEAGE SO NAMED. THE AMOUNTS FOR WHICH THE WARRANTS WERE ISSUED HAVING BEEN COMPUTED ON THE BASIS OF RATES PRESCRIBED IN AN ORDER ISSUED BY THE INTERSTATE COMMERCE COMMISSION MARCH 11. THE AMOUNTS ALLOWED FOR THE ABOVE PERIODS WERE LESS THAN THOSE WHICH SHOULD HAVE BEEN ALLOWED BY THE SUM OF $9. IN THE CITED ORDER THE INTERSTATE COMMERCE COMMISSION PRESCRIBED THE FOLLOWING BASIS FOR THE ROUTES HERE CONCERNED: AND IT IS FURTHER ORDERED. DESIGNATED BELOW ARE FIXED AND DETERMINED. ARE HEREBY PUBLISHED.

A-66116, MARCH 7, 1936, 15 COMP. GEN. 767

TRANSPORTATION OF AIR MAIL - INCREASE IN AIRPLANE MILES FLOWN - RATE ADJUSTMENTS THE ORDER ISSUED BY THE INTERSTATE COMMERCE COMMISSION MARCH 11, 1935, IN AIR MAIL DOCKET NO. 1, 206 I.C.C. 675, PROVIDING FOR ADJUSTMENT IN BASE RATES FOR TRANSPORTATION OF AIR MAIL UPON INCREASE OR DECREASE IN AIRPLANE MILES ACTUALLY FLOWN REQUIRES THE FIRST DESIGNATED REDUCTION IN SAID BASE RATES WHEN, WITH RESPECT TO ROUTES FOR WHICH THE MILEAGE IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP, THE MILEAGE FLOWN IN A MONTH EXCEEDS BY 80 PERCENT THE MILEAGE NAMED FOR THE PARTICULAR ROUTE IN THE ORDER, AND THERE IS NO AUTHORITY FOR DEFERRING SAID REDUCTION UNTIL THE MILES FLOWN EQUAL 190 PERCENT OF THE MILEAGE SO NAMED.

ACTING COMPTROLLER GENERAL ELLIOTT TO NORTH AMERICAN AVIATION, INC., MARCH 7, 1936:

YOUR LETTER OF DECEMBER 24, 1935, REFERS TO CERTAIN WARRANTS ISSUED NOVEMBER 5, 1935, AND NOVEMBER 7, 1935, MAKING PAYMENT OF COMPENSATION FOR AIR-MAIL SERVICE OVER ROUTES A.M. 5 AND A.M. 10 FOR THE MONTHS OF MARCH TO SEPTEMBER 1935, INCLUSIVE, THE AMOUNTS FOR WHICH THE WARRANTS WERE ISSUED HAVING BEEN COMPUTED ON THE BASIS OF RATES PRESCRIBED IN AN ORDER ISSUED BY THE INTERSTATE COMMERCE COMMISSION MARCH 11, 1935, IN AIR MAIL DOCKET NO. 1, 206 I.C.C. 675. YOU URGE THAT BY REASON OF AN ERRONEOUS INTERPRETATION OF SAID ORDER, THE AMOUNTS ALLOWED FOR THE ABOVE PERIODS WERE LESS THAN THOSE WHICH SHOULD HAVE BEEN ALLOWED BY THE SUM OF $9,679.73 FOR ROUTE A.M. 5 AND $7,718.84 FOR ROUTE A.M. 10, MAKING AN AGGREGATE UNDERALLOWANCE ON BOTH ROUTES OF $17,398.57.

IN THE CITED ORDER THE INTERSTATE COMMERCE COMMISSION PRESCRIBED THE FOLLOWING BASIS FOR THE ROUTES HERE CONCERNED:

AND IT IS FURTHER ORDERED, THAT SAID FAIR AND REASONABLE RATES FOR EACH AIRPLANE MILE ACTUALLY FLOWN WITH MAIL ON EACH AIR MAIL ROUTE, DESIGNATED BELOW ARE FIXED AND DETERMINED, AND ARE HEREBY PUBLISHED, AT RATES, FOR 300 POUNDS OR LESS, DETERMINED IN ACCORDANCE WITH THE FOLLOWING TABLE:

TABLE FOR DETERMINING FAIR AND REASONABLE RATES ON EACH ROUTE

(THE BASE NAMED FOR EACH ROUTE SHALL BE USED ONLY FOR THE MILEAGE NAMED FOR THAT BASE AND SHALL BE (1) PROGRESSIVELY * DECREASED 1 CENT UPON EACH INCREASE IN THE NUMBER OF AIRPLANE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH WHICH EQUALS 10 PERCENT OF THE MILEAGE NAMED FOR THAT BASE, AND (2) PROGRESSIVELY * INCREASED 1 CENT UPON EACH DECREASE IN THE NUMBER OF AIRPLANE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH WHICH EQUALS 10 PERCENT OF THE MILEAGE NAMED FOR THAT BASE: PROVIDED, THAT WHERE THE MILEAGE NAMED IN THE TABLE IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP OVER THE ENTIRE ROUTE, THE BASE NAMED FOR THAT MILEAGE SHALL NOT BE DECREASED UNTIL THE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH EQUAL 180 PERCENT OF THE MILEAGE NAMED, BUT SHALL THEREAFTER BE DECREASED, AS HEREIN PROVIDED, UPON EACH FURTHER INCREASE OF 10 PERCENT IN THE MILEAGE NAMED: PROVIDED FURTHER, THAT IN NO EVENT SHALL THE RATE FOR ANY ROUTE BE GREATER OR LESS THAN THE BASE NAMED FOR THAT ROUTE BY MORE THAN 5 CENTS.)

TABLE

MILEAGE (NUMBER OF

AIRPLANE MILES

BASE PER AIRPLANE ACTUALLY FLOWN WITH

ROUTE NO. MILE MAIL EACH MONTH)

CENTS MILES

5 28 70,000

10 29 55,000

* PROGRESSIVELY, AS HERE USED, MEANS THAT UPON THE FIRST 10 PERCENT INCREASE IN MILEAGE NAMED IN THE TABLE, THE BASE SHALL BE 1 CENT LESS THAN THE BASE NAMED FOR THAT MILEAGE; UPON THE SECOND 10 PERCENT INCREASE IN MILEAGE NAMED IN THE TABLE, THE BASE SHALL BE 2 CENTS LESS THAN THE BASE NAMED FOR THAT MILEAGE, ETC., AND THE BASE AS SO DECREASED SHALL BE THE RATE TO BE APPLIED TO THE TOTAL MILEAGE. THE RATES AFTER DECREASES IN MILEAGE SHALL BE DETERMINED CONVERSELY IN THE SAME MANNER.

AND IT IS FURTHER ORDERED, THAT RATES DETERMINED IN ACCORDANCE WITH THE TABLE IN THE LAST PRECEDING PARAGRAPH HEREOF SHALL IN NO EVENT EXCEED THE MAXIMUM RATES PROVIDED BY THE ACT, AND SHALL BE SUBJECT TO THE INCREASES PROVIDED BY THE ACT FOR MAIL LOADS IN EXCESS OF 300 POUNDS.

IT APPEARS THAT THE MILEAGE NAMED IN THE TABLE FOR THESE ROUTES IS IN EACH INSTANCE SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP OVER THE ENTIRE ROUTE, AND THAT, ACCORDINGLY, THE "180 PERCENT" PROVISION OF THE ABOVE ORDER IS APPLICABLE. IN THE ADMINISTRATIVE EXAMINATION OF THE ACCOUNTS, OR BILLS, PRESENTED BY YOU, THE POST OFFICE DEPARTMENT APPLIED THE ORDER OF THE INTERSTATE COMMERCE COMMISSION AS REQUIRING, WITH RESPECT TO THESE ROUTES, A REDUCTION OF 1 CENT IN THE BASE RATES NAMED WHEN THE MILES FLOWN EXCEEDED BY 80 PERCENT THE RESPECTIVE MILEAGES NAMED IN THE TABLE. THE SETTLEMENTS BY THIS OFFICE ALLOWED THE AMOUNTS ADMINISTRATIVELY APPROVED FOR PAYMENT BY THE POST OFFICE DEPARTMENT. YOU URGE THAT NO DECREASE IN THE BASE RATE SHOULD HAVE BEEN MADE UNTIL THE NUMBER OF MILES ACTUALLY FLOWN IN EACH MONTH EXCEEDED THE MILEAGE NAMED IN THE TABLE BY AN ADDITIONAL 10 PERCENT OF THE NAMED MILEAGE; I.E., THAT THE BASE RATE NAMED IN THE ORDER IS APPLICABLE UNTIL THE MILES ACTUALLY FLOWN EXCEED THE MILEAGE NAMED IN THE ORDER BY 90 PERCENT. CONCRETELY, IT IS INSISTED THAT THERE SHOULD BE NO DECREASE IN THE BASE RATE OF 28 CENTS PRESCRIBED FOR ROUTE NO. 5, FOR WHICH THE NAMED MILEAGE IS 70,000 MILES, UNTIL THE MILEAGE FLOWN OVER SAID ROUTE IS 133,000 MILES IN ANY ONE MONTH. THIS IS 190 PERCENT OF THE NAMED MILEAGE FOR SAID ROUTE; 180 PERCENT OF SAID NAMED MILEAGE IS 126,000 MILES. SIMILARLY, WITH RESPECT TO ROUTE 10, IT IS URGED THAT THERE SHOULD BE NO DECREASE IN THE BASE RATE OF 29 CENTS PRESCRIBED FOR THAT ROUTE, FOR WHICH THE NAMED MILEAGE IS 55,000 MILES, UNTIL THE MILEAGE FLOWN OVER SAID ROUTE IS 104,500 MILES, OR 190 PERCENT OF THE MILEAGE NAMED FOR THAT ROUTE; 180 PERCENT OF SAID NAMED MILEAGE IS ONLY 99,000 MILES.

IN SUPPORT OF THE INTERPRETATION OF THE ORDER AS REQUIRING THIS RESULT, THE REQUEST FOR REVIEW STATES:

THE FIRST CLAUSE OF THIS PARAGRAPH OF THE COMMISSION'S ORDER (THAT IS, THE CLAUSE IMMEDIATELY PRECEDING THE SO-CALLED 180 PERCENT PROVISION) UNEQUIVOCALLY DECLARES THAT NO DECREASE IN THE BASE RATE SHALL BE MADE UNTIL THE EXCESS OF AIRPLANE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH EQUALS 10 PERCENT OF THE MILEAGE NAMED FOR THE BASE. IN OTHER WORDS, IT IS VERY CLEAR THAT THE INTENT OF THE FIRST CLAUSE OF THE COMMISSION'S ORDER WAS THAT THE RATE WOULD NOT DECREASE UNTIL THE MILEAGE FLOWN WOULD EQUAL 110 PERCENT OF THE BASE MILEAGE. THIS PROVISION, IN FORM, IS A STATEMENT TO THE EFFECT THAT MILEAGE FLOWN IN EXCESS OF THE BASE MILEAGE SHALL BE AT A DECREASED RATE, BUT THAT IT SHALL BE DECREASED ONLY IN THE EVENT THAT THE EXCESS EQUALS 10 PERCENT OF THE BASE MILEAGE. IN THE SAME WAY, IN THE PROVISO WITH WHICH WE ARE CONCERNED, THE COMMISSION PROVIDED THAT THERE SHALL BE NO DECREASE IN THE RATE UNTIL THE MILES FLOWN EXCEEDED 180 PERCENT OF THE BASE MILEAGE, BUT THAT IT SHOULD BE DECREASED ONLY IN THE EVENT THAT THE EXCESS OVER 180 PERCENT OF THE BASE EQUALS 10 PERCENT OF THE BASE MILEAGE. ACCORDINGLY, THERE IS NOTHING INCONSISTENT IN THE POSITION THAT IN THE SITUATION WITH WHICH WE ARE CONCERNED, NO DECREASE IN THE BASE RATE IS TO TAKE EFFECT UNTIL THE MILES FLOWN WOULD EQUAL 190 PERCENT OF THE BASE MILEAGE. IN FACT, IT IS ONLY BY THIS INTERPRETATION THAT ONE CAN MAKE THE TWO CLAUSES CONSISTENT. THERE IS EVERY INDICATION THAT THE COMMISSION MEANT THAT THERE SHALL BE NO DECREASE IN RATES UNTIL THE MILES FLOWN EQUALLED 100 PERCENT PLUS 10 PERCENT OF THE BASE MILEAGE IN ONE CASE AND 180 PERCENT PLUS 10 PERCENT OF THE BASE MILEAGE IN THE OTHER CASE.

FURTHER, SINCE THE ORDER OF THE INTERSTATE COMMERCE COMMISSION DOES NOT SPECIFY THE AMOUNT BY WHICH THE BASE RATE IS TO BE DECREASED WHEN THE MILES FLOWN EQUAL 180 PERCENT OF THE BASE MILEAGE, IT IS EXCEEDINGLY IMPROBABLE THAT THE COMMISSION INTENDED THAT THERE SHOULD BE ANY DECREASE AT THAT POINT. IN THIS REGARD IT SHOULD BE NOTED THAT THE COMMISSION DOES SPECIFY THAT WHEN THE MILES FLOWN EXCEED 180 PERCENT OF THE BASE MILEAGE BY 10 PERCENT, THE DECREASE SHOULD BE "AS HEREIN PROVIDED" (I.E., 1 CENT FOR EACH SUCH EXCESS EQUAL TO 10 PERCENT OF THE BASE MILEAGE), WHILE THERE IS NOTHING SAID AS TO THE AMOUNT OF ANY DECREASE TO TAKE EFFECT WHEN 180 PERCENT OF THE BASE MILEAGE HAS BEEN FLOWN.

EVEN WHEN STANDING ALONE, THE LANGUAGE OF THE PROVISO CLAUSE CAN, IN OUR OPINION, BE CONSTRUED TO MEAN ONLY THAT THERE SHALL BE NO DECREASE IN THE RATE BASE UNTIL THE MILES FLOWN IN EXCESS OF 180 PERCENT OF THE BASE MILEAGE SHALL EXCEED 10 PERCENT OF THE BASE MILEAGE. IN THIS REGARD IT WILL BE NOTED THAT THE LANGUAGE OF THE PROVISO IS TO THE EFFECT THAT THERE SHALL BE NO DECREASE IN THE RATE BASE "UNTIL THE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH EQUAL 180 PERCENT OF THE MILEAGE NAMED, BUT SHALL THEREAFTER BE DECREASED, AS HEREIN PROVIDED, UPON EACH FURTHER INCREASE OF 10 PERCENT OF THE MILEAGE NAMED.' IF, AS THE SOLICITOR'S OPINION STATES, THE REDUCTION IS TO TAKE EFFECT IMMEDIATELY WHEN THE MILES FLOWN EQUAL 180 PERCENT OF THE MILEAGE NAMED (BASE MILEAGE), THEN THE COMMISSION WOULD HAVE USED THE WORD "AND" RATHER THAN "BUT" IN THE PHRASE "BUT SHALL THEREAFTER BE DECREASED," ETC. IN OTHER WORDS, THE COMMISSION DID NOT SAY THAT THE RATE WAS TO BE DECREASED WHEN 180 PERCENT OF THE BASE MILEAGE HAD BEEN FLOWN,"AND" WOULD BE DECREASED FURTHER FOR EACH ADDITIONAL 10 PERCENT OF THE BASE MILEAGE FLOWN IN EXCESS OF THE BASE MILEAGE. ON THE CONTRARY, THE COMMISSION SAID THAT THERE SHALL BE NO DECREASE UNTIL 180 PERCENT OF THE BASE MILEAGE HAD BEEN FLOWN,"BUT" THERE SHOULD BE A DECREASE AFTER MILES FLOWN EXCEED SAID 180 PERCENT BY 10 PERCENT OF THE BASE MILEAGE.

THE USE OF THE WORD "THEREAFTER" IN THE LAST CLAUSE OF THE PROVISO ALSO BEARS OUT THIS INTERPRETATION. THE MEANING OF THIS MUST BE THAT THERE IS TO BE NO DEDUCTION WHEN 180 PERCENT OF THE MILEAGE NAMED HAS BEEN FLOWN BUT ONLY AFTER THERE HAS BEEN A FURTHER INCREASE OF 10 PERCENT IN THE MILEAGE.

CONCERNING THE SUGGESTION THAT THE PROVISION OF THE COMMISSION'S ORDER IMMEDIATELY PRECEDING THE 180 PERCENT PROVISION IS TO THE EFFECT THAT MILEAGE FLOWN IN EXCESS OF THE NAMED MILEAGE SHALL BE AT A DECREASED RATE, BUT THAT THE RATE SHALL BE DECREASED ONLY IN EVENT THE EXCESS EQUALS 10 PERCENT OF THE NAMED MILEAGE, AND THE FURTHER SUGGESTION THAT CONSISTENCY WITH THIS WOULD REQUIRE THAT THE "180 PERCENT" PROVISION MUST BE INTERPRETED AS MEANING SIMILARLY THAT WITH RESPECT TO ROUTES TO WHICH THE PROVISO APPLIES, NO DECREASE IN THE BASE RATE SHALL TAKE PLACE UNTIL THE MILEAGE FLOWN EQUALS 180 PERCENT PLUS 10 PERCENT OF THE NAMED MILEAGE, IT WOULD APPEAR THAT THE WORDS "THE BASE NAMED FOR EACH ROUTE SHALL BE USED ONLY FOR THE MILEAGE NAMED FOR THAT BASE," AS USED IN THE ORDER, WERE PROBABLY INTENDED AS PREVENTING ANY ATTEMPT TO USE A RATE NAMED IN THE TABLE FOR ONE ROUTE AS THE BASIS TO BE APPLIED TO THE MILEAGE NAMED THEREIN FOR ANOTHER ROUTE, RATHER THAN THAT ONLY THE EXACT MILES SPECIFIED FOR A GIVEN ROUTE SHOULD BE THE ONLY MILEAGE FOR WHICH THE RATE NAMED FOR THAT ROUTE COULD BE APPLIED. IN THIS VIEW IT WOULD NOT FOLLOW, AS SUGGESTED, THAT THE EFFECT OF THE PROVISION IMMEDIATELY PRECEDING THE "180 PERCENT" PROVISION WOULD RESULT IN THE ANOMALY OF REQUIRING THAT ANY MILEAGE FLOWN IN EXCESS OF THE NAMED MILEAGE SHALL BE AT A DECREASED RATE, BUT THAT THE RATE SHALL BE DECREASED ONLY IN EVENT THE EXCESS EQUALS 10 PERCENT OF THE NAMED MILEAGE. ON THE CONTRARY, THE EFFECT WOULD BE THAT WHILE THE RATE NAMED IN THE ORDER FOR ANY PARTICULAR ROUTE WOULD BE FOR APPLICATION IN CONJUNCTION WITH THE MILEAGE SPECIFIED FOR THAT ROUTE, RATHER THAN IN CONJUNCTION WITH THE MILEAGE SPECIFIED FOR SOME OTHER ROUTE, THE BASE RATE SO NAMED WOULD BE "PROGRESSIVELY DECREASED 1 CENT UPON EACH INCREASE IN THE NUMBER OF AIRPLANE MILES ACTUALLY FLOWN," ETC., AND SO WOULD NOT INVOLVE THE SUGGESTED CONTRADICTION IN TERMS, CONSISTENCY WITH WHICH IT IS URGED WOULD REQUIRE A LIKE APPLICATION OF THE "180 PERCENT" PROVISO. MOREOVER, THE INTERPRETATION UPON WHICH INSISTENCE IS MADE WOULD APPEAR TO REQUIRE THAT THE PROVISION OF THE ORDER RELATIVE TO DECREASING THE RATE FOR ROUTES FOR WHICH THE NAMED MILEAGE IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP SHALL BE CONSIDERED AS MERELY ANALOGOUS TO THE GENERAL PROVISION OF THE ORDER FOR DECREASING THE RATES SHOWN THEREIN, RATHER THAN AS A QUALIFICATION UPON THAT GENERAL PROVISION. THAT VIEW, HOWEVER, WOULD SEEM TO OVERLOOK THE WORDING AND THE FORM IN WHICH THE ORDER HAS BEEN DRAFTED. IN THIS CONNECTION IT IS TO BE NOTED THAT THE PROVISION FOR PROGRESSIVELY DECREASING THE BASE RATE 1 CENT UPON "EACH INCREASE IN THE NUMBER OF AIRPLANE MILES ACTUALLY FLOWN WITH MAIL EACH MONTH WHICH EQUALS 10 PERCENT OF THE MILEAGE NAMED FOR THAT BASE" IS A GENERAL REQUIREMENT STATED AS A PRINCIPAL PROPOSITION IN THE ORDER AND THAT THE PROVISION WITH RESPECT TO THE OPERATION OF SUCH GENERAL REQUIREMENT IN RELATION TO ROUTES FOR WHICH THE MILEAGE NAMED IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP IS STATED IN THE FORM OF A PROVISO TO SAID GENERAL REQUIREMENT. NORMALLY, THE PURPOSE OF A PROVISO IS TO FIX A LIMITATION UPON THE PRINCIPAL PROPOSITION UPON WHICH IT IS GRAFTED AND NOT TO CREATE A SEPARATE AND DISTINCT PROPOSITION OF ITS OWN GENESIS. GIVING THE PROVISO CLAUSE HERE CONCERNED THE USUAL EFFECT ACCORDED A PROVISO, THE BASIS PRESCRIBED IN THE ORDER OF THE INTERSTATE COMMERCE COMMISSION FOR DECREASING THE RATES SHOWN IN THE TABLE BECOMES IN SUBSTANCE A DIRECTION TO THE EFFECT THAT WHERE THE NUMBER OF MILES ACTUALLY FLOWN OVER A GIVEN ROUTE EXCEEDS THE MILEAGE NAMED FOR THAT ROUTE BY LESS THAN 10 PERCENT, THE BASE RATE SHOWN FOR SAID ROUTE IS TO APPLY; THAT WHERE THE NUMBER OF MILES FLOWN EXCEEDS THE NAMED MILEAGE BY AS MUCH AS 10 PERCENT THE BASE RATE IS TO BE DECREASED 1 CENT, WITH LIKE SUCCESSIVE DECREASES IN THE RATE UPON LIKE SUCCESSIVE INCREASES IN THE MILEAGE FLOWN, SUBJECT, HOWEVER, TO THE LIMITATION THAT IF THE MILEAGE NAMED IN THE TABLE IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP OVER THE ENTIRE ROUTE, THE BASE RATE SHALL NOT BE DECREASED UNTIL THE MILES FLOWN EQUAL 180 PERCENT OF THE MILEAGE NAMED. THE EFFECT OF THE "180 PERCENT" PROVISO, THEREFORE, WOULD APPEAR TO BE MERELY TO STAY, WITH RESPECT TO THE ROUTES TO WHICH IT APPLIES AND UNTIL THE MILEAGE FLOWN OVER SUCH ROUTE EQUALS 180 PERCENT OF THE NAMED MILEAGE, THE REDUCTION OF 1 CENT OTHERWISE REQUIRED UNDER THE PRINCIPAL PROPOSITION WHEN THE MILES FLOWN EXCEED THE MILEAGE NAMED BY 10 PERCENT. THAT IS TO SAY, THAT WITH RESPECT TO ROUTES TO WHICH THE PROVISO APPLIES, THE REDUCTION OF 1 CENT, WHICH ORDINARILY WOULD BE REQUIRED WHEN THE MILES FLOWN EXCEED BY 10 PERCENT THE MILEAGE NAMED IN THE ORDER, IS DEFERRED UNTIL THE MILES FLOWN EXCEED THE MILEAGE NAMED BY 80 PERCENT. THIS VIEW REMOVES ALSO THE OBJECTION THAT THE ORDER DOES NOT SPECIFY THE AMOUNT BY WHICH THE BASE RATE IS TO BE DECREASED WHEN THE MILES FLOWN EQUAL 180 PERCENT OF THE MILEAGE NAMED IN THE ORDER.

THE USE OF THE WORDS "BUT" AND "THEREAFTER" IN THE PROVISO, WHICH IT IS URGED, SIGNIFY AN INTENT THAT NO REDUCTION IN THE BASE RATE SHALL OCCUR UNTIL 180 PERCENT OF THE NAMED MILEAGE IS EXCEEDED, IN THE MILES FLOWN, BY A FURTHER 10 PERCENT OF THE NAMED MILEAGE, DOES NOT APPEAR INCONSISTENT WITH THE EFFECT ASCRIBED TO THE PROVISO AS INTERPRETED ABOVE. THE PROVISO HAVING STAYED THE FIRST REDUCTION OF 1 CENT UNTIL THE MILEAGE FLOWN EXCEEDS THE MILEAGE NAMED BY 80 PERCENT, IT WOULD APPEAR ONLY NATURAL AND IN THE INTEREST OF CLEARNESS TO STATE EXPLICITLY, AS WAS DONE, THAT FURTHER REDUCTIONS OF 1 CENT EACH SHOULD NOT BE STAYED UNTIL SUCCESSIVE INCREASES OF MILES FLOWN EQUALED EACH AN ADDITIONAL 80 PERCENT OF THE MILEAGE NAMED, BUT THAT ON THE CONTRARY THEREAFTER (I.E., AFTER THE INCREASE OF 80 PERCENT HAD BEEN REACHED) FURTHER SUCCESSIVE REDUCTIONS WOULD BE MADE UPON FURTHER INCREASES IN THE MILES FLOWN AMOUNTING TO 10 PERCENT IN THE MILEAGE NAMED.

ACCORDINGLY, IT WOULD APPEAR THAT THE ORDER REQUIRES THE REDUCTION OF 1 CENT IN THE BASE RATE WHEN, WITH RESPECT TO THE ROUTES FOR WHICH THE MILEAGE NAMED IS SUBSTANTIALLY THE MONTHLY EQUIVALENT OF ONE DAILY ROUND TRIP, THE MILEAGE FLOWN IN A MONTH EXCEEDS BY 80 PERCENT THE MILEAGE NAMED IN THE TABLE, AND THAT THEREFORE THE ADDITIONAL COMPENSATION CLAIMED ON THE BASIS OF FURTHER DEFERRING THE FIRST REDUCTION OF 1 CENT UNTIL THE MILES FLOWN EQUAL 190 PERCENT OF THE MILEAGE NAMED IS NOT AUTHORIZED UNDER THE TERMS OF THE ORDER.