B-154181, DEC. 2, 1964

B-154181: Dec 2, 1964

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TO THE DENVER AND RIO GRANDE WESTERN RAILROAD COMPANY: REFERENCE IS MADE TO YOUR LETTER DATED MAY 8. THE RECORD SHOWS THAT EACH BILL OF LADING WAS ISSUED TO COVER THE TRANSPORTATION OF TRAINING MATERIAL FROM ST. INVOLVED IN THE PRESENT CASE IS THE INTERPRETATION OF SUBSECTION 25 (E) OF THAT AGREEMENT NO. 29 WHICH. SAID SECTION 25 PROVIDES THAT CHARGES FOR THE TRANSPORTATION OF MILITARY IMPEDIMENTA IN PASSENGER TRAIN SERVICE WILL BE THE SAME AMOUNT IN DOLLARS AND CENTS AS WOULD APPLY IF THE SHIPMENT WERE MADE IN REGULAR FREIGHT TRAIN SERVICE UNDER THE CURRENT TARIFFS AND SPECIAL AGREEMENTS. IT IS YOUR CONTENTION THAT THE RATES MUST BE CONSTRUCTED OVER THE ROUTE SHOWN ON BILLS OF LADING NO.

B-154181, DEC. 2, 1964

TO THE DENVER AND RIO GRANDE WESTERN RAILROAD COMPANY:

REFERENCE IS MADE TO YOUR LETTER DATED MAY 8, 1964, YOUR FILE5 GB 27785, IN WHICH YOU REQUEST A REVIEW OF THE SETTLEMENT CERTIFICATE DATED OCTOBER 10, 1962, DISALLOWING YOUR CLAIM FOR ADDITIONAL FREIGHT CHARGES ON SHIPMENTS OF GOVERNMENT PROPERTY MOVING ON GOVERNMENT BILLS OF LADING AT- 151844, DATED DECEMBER 31, 1959, AND AT-151847, DATED JANUARY 6, 1960.

THE RECORD SHOWS THAT EACH BILL OF LADING WAS ISSUED TO COVER THE TRANSPORTATION OF TRAINING MATERIAL FROM ST. FRANCIS, TEXAS, TO ROCKY, COLORADO. THE BILLS OF LADING BEAR REFERENCES TO ,JOINT MILITARY PASSENGER AGREEMENT SEC. 25 AND AEC SEC. 22, DATED JULY 1, 1951.' THE "SEC. 25" NOTATION APPARENTLY REFERS TO SECTION 25 OF JOINT MILITARY PASSENGER AGREEMENT NO. 29. INVOLVED IN THE PRESENT CASE IS THE INTERPRETATION OF SUBSECTION 25 (E) OF THAT AGREEMENT NO. 29 WHICH, AS PROVIDED IN THE FIRST PARAGRAPH OF THE INDICATED SPECIAL SECTION 22 QUOTATION OF JULY 1, 1951, MADE TO THE ATOMIC ENERGY COMMISSION, UNDER THE AUTHORITY OF 49 U.S.C. 22, GOVERNS THE COMPUTATION OF CHARGES FOR THE SPECIAL SERVICES HERE RENDERED. SAID SECTION 25 PROVIDES THAT CHARGES FOR THE TRANSPORTATION OF MILITARY IMPEDIMENTA IN PASSENGER TRAIN SERVICE WILL BE THE SAME AMOUNT IN DOLLARS AND CENTS AS WOULD APPLY IF THE SHIPMENT WERE MADE IN REGULAR FREIGHT TRAIN SERVICE UNDER THE CURRENT TARIFFS AND SPECIAL AGREEMENTS.

IT IS YOUR CONTENTION THAT THE RATES MUST BE CONSTRUCTED OVER THE ROUTE SHOWN ON BILLS OF LADING NO. AT-151844 AND AT-151847, EVEN THOUGH FREIGHT SHIPMENTS MOVING IN FREIGHT TRAIN SERVICE BETWEEN THE POINTS INVOLVED WOULD NOT BE MOVED VIA THE JUNCTIONS SHOWN IN THE BILL OF LADING ROUTE. THE SETTLEMENT ACTION WAS BASED ON RATES OTHERWISE APPLICABLE BETWEEN THE ORIGIN AND DESTINATION POINTS IN REGULAR FREIGHT TRAIN SERVICE.

THE VIEWS OF OUR OFFICE AS TO THE PROPER INTERPRETATION AND APPLICATION OF THE PERTINENT SPECIAL QUOTATION PROVISIONS, PARTICULARLY SECTION 25 (E), JOINT MILITARY PASSENGER AGREEMENT NO. 29, WERE SET FORTH IN DETAIL IN OUR DECISION B-151820, DATED NOVEMBER 25, 1964 (COPY ENCLOSED), CONCERNING YOUR FILE 5 GB-27346, IN WHICH WE SAID WE WERE UNABLE TO FIND ANY SOUND REASON FOR REVERSING OR MODIFYING OUR EARLIER DECISION DATED JANUARY 2, 1964, ON THE SAME SUBJECT. THE REASONING AND CONCLUSION IN THAT DECISION WITH RESPECT TO THIS LONGSTANDING CONTROVERSY ARE EQUALLY APPLICABLE IN THE PRESENT CASE. THEREFORE, THE SETTLEMENT CERTIFICATE OF OCTOBER 10, 1962, DISALLOWING YOUR CLAIM ON BILL NO. 27785, WAS CORRECT, AND IT IS HEREBY SUSTAINED.