B-130259, JUN. 11, 1957

B-130259: Jun 11, 1957

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BURLINGTON AND QUINCY RAILROAD COMPANY: REFERENCE IS MADE TO YOUR LETTER OF JANUARY 2. THE PERCENTAGE PROPORTION OF THAT PRODUCTION WHICH WAS REPORTED TO THE WAR CONTRACTS PRICE ADJUSTMENT BOARD AS BEING SUBJECT TO THE PROVISIONS OF THE RENEGOTIATION ACT OF 1943 (50 U.S.C. 1191) WILL BE TREATED AS SUBJECT TO LAND GRANT. WERE CONSIDERED SUBJECT TO THE RENEGOTIATION ACT.

B-130259, JUN. 11, 1957

TO THE CHICAGO, BURLINGTON AND QUINCY RAILROAD COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF JANUARY 2, 1957, FILE GOV-T.-183, A- 548.4.2, REQUESTING REVIEW OF THE SETTLEMENT ACTIONS OF OUR TRANSPORTATION DIVISION IN AUGUST 1956, DISALLOWING YOUR SUPPLEMENTAL BILLS IN THE AGGREGATE AMOUNT OF $15,970.13 FOR ADDITIONAL FREIGHT CHARGES FOR THE TRANSPORTATION OF SHIPMENTS OF MARITIME COMMISSION SCRAP STEEL IN 1944 AND 1945 FROM VARIOUS PACIFIC COAST ORIGIN POINTS CONSIGNED TO THE NORTH WESTERN STEEL AND WIRE COMPANY AT STERLING, ILLINOIS.

YOUR REQUEST HAS BEEN CONSIDERED, AND OUR TRANSPORTATION DIVISION HAS BEEN INSTRUCTED TO SETTLE YOUR CLAIMS ON A PERCENTAGE BASIS. THE NORTH WESTERN STEEL AND WIRE COMPANY'S PRODUCTION REPORTED TO THE WAR PRODUCTION BOARD FOR THE PERIOD COVERED BY THE SHIPMENTS HERE INVOLVED HAS BEEN DETERMINED, AND THE PERCENTAGE PROPORTION OF THAT PRODUCTION WHICH WAS REPORTED TO THE WAR CONTRACTS PRICE ADJUSTMENT BOARD AS BEING SUBJECT TO THE PROVISIONS OF THE RENEGOTIATION ACT OF 1943 (50 U.S.C. 1191) WILL BE TREATED AS SUBJECT TO LAND GRANT, AND LAND-GRANT DEDUCTIONS MADE FROM THIS PERCENTAGE PROPORTION OF EACH SHIPMENT. THE RECORDS OF THE WAR CONTRACTS PRICE ADJUSTMENT BOARD, THE AGENCY WHICH ADMINISTERED THE RENEGOTIATION ACT, INDICATE WITH RESPECT TO THE PRODUCTION AND SALE OF STEEL ARTICLES BY THE NORTH WESTERN STEEL AND WIRE COMPANY THAT FOR THE PERIODS MARCH 1, 1944, TO JULY 1, 1944, AND FROM JULY 2, 1944, TO JULY 1, 1945, 10.09 PERCENT AND 8.9 PERCENT, RESPECTIVELY, WERE CONSIDERED SUBJECT TO THE RENEGOTIATION ACT.

IN CONNECTION WITH THE BASIS FOR SETTLEMENT OUTLINED ABOVE, SEE CHICAGO, ROCK ISLAND AND PACIFIC RAILROAD COMPANY V. UNITED STATES, C.CLS. NO. 49213, DECIDED JUNE 5, 1957.