B-131923, JUL. 24, 1957

B-131923: Jul 24, 1957

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

KATAUYA NOHARA: REFERENCE IS MADE TO YOUR LETTER OF MAY 11. YOU ASK WHETHER IT IS PERMISSIBLE. THERE IS NO REQUIREMENT THAT A CARRIER REFRAIN FROM BILLING FOR THE TRAVEL COVERED BY A TRANSPORTATION REQUEST UNTIL ALL OF THE SERVICE HAS BEEN PHYSICALLY PERFORMED AND THE CHARGES FOR THE TRAVEL OF THE PASSENGER AND FOR AUTHORIZED EXCESS BAGGAGE CAN BE RENDERED AS ONE BILL. IT IS SUGGESTED THAT CARRIERS WITHHOLD THE RENDITION OF THEIR ORIGINAL BILLS FOR A REASONABLE LENGTH OF TIME. IT IS LIKEWISE HELPFUL TO THE GOVERNMENT BECAUSE IT REDUCES PAYMENT AND AUDIT COSTS.

B-131923, JUL. 24, 1957

TO MR. KATAUYA NOHARA:

REFERENCE IS MADE TO YOUR LETTER OF MAY 11, 1957, RELATIVE TO THE PROVISIONS OF OUR GENERAL REGULATIONS NO. 123 CONCERNING EXCESS BAGGAGE CHARGES IN CONNECTION WITH ROUND-TRIP TRAVEL. YOU ASK WHETHER IT IS PERMISSIBLE, UNDER THE PROVISIONS OF OUR REGULATIONS, FOR YOU TO BILL FOR THE TRANSPORTATION CHARGES FIRST AND THEN PRESENT A SUPPLEMENTAL BILL FOR THE EXCESS BAGGAGE CHARGES.

THERE IS NO REQUIREMENT THAT A CARRIER REFRAIN FROM BILLING FOR THE TRAVEL COVERED BY A TRANSPORTATION REQUEST UNTIL ALL OF THE SERVICE HAS BEEN PHYSICALLY PERFORMED AND THE CHARGES FOR THE TRAVEL OF THE PASSENGER AND FOR AUTHORIZED EXCESS BAGGAGE CAN BE RENDERED AS ONE BILL. A CARRIER MAY RENDER ITS ORIGINAL BILL FOR CHARGES COVERING THE PASSENGER'S TICKET, ONE WAY OR ROUND TRIP, AND FOR SUCH PART OF THE EXCESS BAGGAGE CHARGES AS CAN PROPERLY BE DOCUMENTED AT THAT TIME. THEREAFTER, WHEN THE ENTIRE SERVICE HAS BEEN COMPLETED, THE BALANCE OF THE EXCESS BAGGAGE CHARGES CAN BE ASSEMBLED AND BILLED TOGETHER ON A SUPPLEMENTAL BILL, SHOWING REFERENCE ON THE SUPPLEMENTAL BILL TO THE ORIGINAL BILL, TRANSPORTATION REQUEST, ETC. IN THIS CONNECTION, SEE PARAGRAPHS 80 TO 83, INCLUSIVE, OF OUR GENERAL REGULATIONS NO. 123.

IN CONSIDERING THE MATTER OF SUCH SUPPLEMENTAL BILLING, IT IS SUGGESTED THAT CARRIERS WITHHOLD THE RENDITION OF THEIR ORIGINAL BILLS FOR A REASONABLE LENGTH OF TIME--- POSSIBLY 30 DAYS OR SO--- IN ORDER THAT THE ORIGINAL BILL MAY COVER AS LARGE A PART OF THE TOTAL CHARGES AS POSSIBLE, AND THAT ALL ADDITIONAL CHARGES BE CONSOLIDATED AS ONE SUPPLEMENTAL BILL, IF REASONABLY POSSIBLE. THIS PROCEDURE USUALLY HAS BEEN FOUND ECONOMICALLY ADVANTAGEOUS TO CARRIERS BECAUSE IT REDUCES BILLING AND SETTLEMENT EXPENSES, AND IT IS LIKEWISE HELPFUL TO THE GOVERNMENT BECAUSE IT REDUCES PAYMENT AND AUDIT COSTS.