B-161661, SEPT. 13, 1968

B-161661: Sep 13, 1968

Additional Materials:

Contact:

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

 

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

INC.: REFERENCE IS MADE TO YOUR LETTER OF AUGUST 13. SAID TO HAVE BEEN DEDUCTED BY OUR TRANSPORTATION DIVISION IN CONNECTION WITH THE AUDIT OF GOLDSTEIN TRANSPORTATION AND STORAGE COMPANY BILL NO. 080905 FOR TRANSPORTATION SERVICES FURNISHED ON GOVERNMENT PROPERTY MOVING UNDERGOVERNMENT BILL OF LADING C-6707790. YOU INDICATE THAT THE GOLDSTEIN COMPANY WAS SOLD TO YOUR COMPANY. YOU STATE THAT ALTHOUGH A 35-FOOT TRAILER WAS NOT USED. TWO UNITS OF 27 FEET WERE TENDERED BUT ONLY ONE WAS NEEDED. YOU FURNISHED NO EVIDENCE TO SUPPORT THE THEORY THAT THE SHIPPER REQUESTED OR WAS TENDERED 27-FOOT TRAILERS TO LOAD THE 3. THERE IS NOTHING IN OUR RECORDS TO INDICATE THAT TWO TRAILERS WERE EITHER REQUESTED BY THE SHIPPER OR TENDERED BY PIE.

B-161661, SEPT. 13, 1968

TO NW TRANSPORT SERVICE, INC.:

REFERENCE IS MADE TO YOUR LETTER OF AUGUST 13, 1968, IN WHICH YOU REQUEST REFUND OF THE AMOUNT OF $1,308.60, SAID TO HAVE BEEN DEDUCTED BY OUR TRANSPORTATION DIVISION IN CONNECTION WITH THE AUDIT OF GOLDSTEIN TRANSPORTATION AND STORAGE COMPANY BILL NO. 080905 FOR TRANSPORTATION SERVICES FURNISHED ON GOVERNMENT PROPERTY MOVING UNDERGOVERNMENT BILL OF LADING C-6707790. YOU INDICATE THAT THE GOLDSTEIN COMPANY WAS SOLD TO YOUR COMPANY.

IN YOUR LETTER, YOU STATE THAT ALTHOUGH A 35-FOOT TRAILER WAS NOT USED, TWO UNITS OF 27 FEET WERE TENDERED BUT ONLY ONE WAS NEEDED. APPARENTLY YOU BASE THIS ASSUMPTION ON INFORMATION FURNISHED YOU BY THE PACIFIC INTERMOUNTAIN EXPRESS, THE ORIGIN CARRIER FOR THE SUBJECT SHIPMENT, ALTHOUGH A COPY OF A LETTER DATED AUGUST 8, 1968, FROM THAT CARRIER TO YOUR COMPANY DOES NOT CONTAIN THAT INFORMATION. YOU FURNISHED NO EVIDENCE TO SUPPORT THE THEORY THAT THE SHIPPER REQUESTED OR WAS TENDERED 27-FOOT TRAILERS TO LOAD THE 3,200 POUNDS OF ROCKET AMMUNITION COVERED BY BILL OF LADING C-6707790.

THERE IS NOTHING IN OUR RECORDS TO INDICATE THAT TWO TRAILERS WERE EITHER REQUESTED BY THE SHIPPER OR TENDERED BY PIE. ON THE CONTRARY, THE BILL OF LADING, A COPY OF WHICH IS ENCLOSED, CONTAINS ENTRIES IN THE APPROPRIATE SPACES AT THE TOP SHOWING THAT A 25-FOOT VEHICLE WAS ORDERED AND THAT A 25 -FOOT VEHICLE WAS FURNISHED. THE BILL OF LADING REFLECTS IN THE PACKAGE COLUMN THAT THE CARGO CONSISTED OF "1 M/CONT," PRESUMABLY SIGNIFYING ONE METAL CONTAINER. THE VOLUME OF THE CONTAINER AND CONTENTS, WEIGHING 3,200 POUNDS, IS SHOWN AS 151 CUBIC FEET. IT IS NOT UNDERSTOOD HOW A SINGLE METAL CONTAINER OF THE INDICATED SIZE COULD POSSIBLY BE LOADED IN TWO VEHICLES, AND IT DOES NOT SEEM REASONABLE TO ASSUME THAT THE TRANSPORTATION OFFICER AT TRAVIS AIR FORCE BASE ACTUALLY ORDERED TWO VEHICLES FOR THE SINGLE CONTAINER SHIPPED.

SINCE OUR RECORD SHOWS THAT A VEHICLE ONLY 25 FEET IN LENGTH WAS ORDERED AND USED, AND SINCE THE EFFECTIVE TARIFF NAMED EXCLUSIVE USE OF VEHICLE RATES ONLY IN CONNECTION WITH VEHICLES OR COMBINATIONS OF VEHICLES OF 35 FEET OR MORE IN LENGTH, THERE IS NO VALID BASIS FOR THE APPLICATION OF THE EXCLUSIVE USE OF VEHICLE RATE -- CLASS 100 AT 22,000 POUNDS IN THIS INSTANCE. AS WE STATED IN OUR LETTER OF JULY 20, 1967, THE APPLICABLE CHARGES ARE THOSE COMPUTED ON THE BASIS OF A CLASS 200 RATE OF $15.63 PER 100 POUNDS, PLUS AN ARBITRARY OF 47 CENTS PER 100 POUNDS, APPLIED TO THE ACTUAL WEIGHT OF 3,200 POUNDS. THIS PRODUCES FREIGHT CHARGES OF $515.20 WHICH IS $1,308.60 LESS THAN YOU ORIGINALLY COLLECTED ON THIS SHIPMENT. IT APPEARS, THEREFORE, THAT THE DEDUCTION OF THE OVERCHARGE, $1,308.60, WAS CORRECT. THE ENCLOSURES FORWARDED WITH YOUR LETTER ARE RETURNED HEREWITH.