B-165178, MAR. 6, 1969

B-165178: Mar 6, 1969

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TO STRICKLAND TRANSPORTATION COMPANY: FURTHER REFERENCE IS MADE TO YOUR LETTER OF AUGUST 28. FOR THIS SERVICE YOU BILLED AND WERE PAID IN THE AMOUNT OF $1. IN OUR AUDIT IT WAS DETERMINED THAT YOU COLLECTED AN OVERCHARGE IN THE AMOUNT OF $195.89. THE CHARGES ON THE HELICOPTER ROTOR WING BLADES WERE COMPUTED ON THE BASIS OF A FREIGHT. THE BASIS OF YOUR REQUEST FOR REVIEW IS THAT ITEM 35 OF QUOTATION NO. 18 REQUIRES AN EXPRESS NOTATION TO THE EFFECT THAT THE SHIPMENT IS RELEASED TO A VALUE OF 50 CENTS PER POUND. 1959) AND URGE THAT CONDITION 5 ON THE REVERSE OF THE GOVERNMENT BILL OF LADING IS NOT CONTROLLING WHEN THE RATE IN QUESTION IS NAMED IN A SECTION 22 QUOTATION. THE QUESTION HERE IS THE SAME AS ADVANCED IN YOUR LETTERS OF NOVEMBER 26.

B-165178, MAR. 6, 1969

TO STRICKLAND TRANSPORTATION COMPANY:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF AUGUST 28, 1968, FILE NO. 597065-1/67A29749, WITH ENCLOSURES, REQUESTING REVIEW OF OUR SETTLEMENT CERTIFICATE DATED AUGUST 12, 1968 (CLAIM NO. TK-876167), DISALLOWING YOUR CLAIM NO. GAO-38696 FOR ADDITIONAL FREIGHT CHARGES IN THE AMOUNT OF $195.89. THE CLAIM RELATES TO A SHIPMENT OF HELICOPTER ROTOR WING BLADES AND OTHER AIRCRAFT PARTS, TOTAL WEIGHT 11,411 POUNDS, MOVING FROM TRAVIS AIR FORCE BASE, CALIFORNIA, TO DEFENSE, TEXAS, ON BILL OF LADING NO. D- 0597065, DATED SEPTEMBER 22, 1966.

FOR THIS SERVICE YOU BILLED AND WERE PAID IN THE AMOUNT OF $1,052.75, PARTIALLY COMPUTED ON THE BASIS OF A CLASS 100 LESS TRUCKLOAD RATE OF $9.13 PER 100 POUNDS ON 9,328 POUNDS OF HELICOPTER ROTOR WING BLADES, IN ACCORDANCE WITH ITEM 1380 IN ROCKY MOUNTAIN MOTOR TARIFF BUREAU TARIFF 27- E, MF-I.C.C. 163, PLUS AN ARBITRARY OF 47 CENTS PER 100 POUNDS, TOTALING $895.49. TO THIS AMOUNT YOU ADDED $157.26 FOR THE REMAINING ARTICLES IN THE SHIPMENT, PRODUCING THE BILLED AMOUNT OF $1,052.75.

IN OUR AUDIT IT WAS DETERMINED THAT YOU COLLECTED AN OVERCHARGE IN THE AMOUNT OF $195.89, LATER RECOVERED BY DEDUCTION. THE CHARGES ON THE HELICOPTER ROTOR WING BLADES WERE COMPUTED ON THE BASIS OF A FREIGHT, ALL- KINDS, RATE OF $7.50 PER 100 POUNDS FOR 9,328 POUNDS, TOTALING $699.60, PLUS $157.26 CLAIMED ON THE BALANCE OF THE SHIPMENT, IN ACCORDANCE WITH RATE SCALE 44, RATE BASIS G, SUBJECT TO A MINIMUM WEIGHT OF 5,000 POUNDS, AS PUBLISHED IN ROCKY MOUNTAIN MOTOR TARIFF BUREAU U.S. GOVERNMENT QUOTATION I.C.C. NO. 18.

THE BASIS OF YOUR REQUEST FOR REVIEW IS THAT ITEM 35 OF QUOTATION NO. 18 REQUIRES AN EXPRESS NOTATION TO THE EFFECT THAT THE SHIPMENT IS RELEASED TO A VALUE OF 50 CENTS PER POUND. YOU RELY ON 38 COMP. GEN. 768 (MAY 18, 1959) AND URGE THAT CONDITION 5 ON THE REVERSE OF THE GOVERNMENT BILL OF LADING IS NOT CONTROLLING WHEN THE RATE IN QUESTION IS NAMED IN A SECTION 22 QUOTATION.

THE QUESTION HERE IS THE SAME AS ADVANCED IN YOUR LETTERS OF NOVEMBER 26, 1968, YOUR CLAIM FILES GAO-39238, GAO-38356 AND GAO-38885, OUR FILES T-GAO -D-0698938-3/67-A 30010, T-GAO-D-0578189-12/66-A 29408 A AND T-GAO-D- 0597141-2/67-A 29882. WE THEN CONSIDERED YOUR OBJECTIONS TO OUR NOTICES OF OVERCHARGE IN THE AMOUNTS OF $51.18, $132.09 AND $165.23 ON YOUR BILLS NO. 30010, 29408-A AND 29882.

WE RESPONDED TO YOUR LETTERS OF OBJECTION BY FURNISHING A COPY OF OUR DECISION DATED NOVEMBER 20, 1968, B-165265, TO GEORGIA HIGHWAY EXPRESS, INC., DEALING WITH ITEM 35 OF QUOTATION NO. 18. IN THAT DECISION, COPY ENCLOSED FOR READY REFERENCE, WE MENTIONED THE CASE OF STRICKLAND TRANSPORTATION COMPANY V UNITED STATES, 334 F.2D 172, IN SUPPORT OF THE PRINCIPLE THAT CONDITION 5 ON THE BACK OF THE GOVERNMENT BILL OF LADING SUBSTANTIALLY COMPLIED WITH THE REQUIREMENT IN QUOTATION NO. 18 FOR A DECLARATION OF LOWEST RELEASED VALUE. THE DISALLOWANCE OF YOUR PRESENT CLAIM WAS CONSISTENT WITH THAT PRINCIPLE AND, ACCORDINGLY, THE SETTLEMENT DISALLOWING YOUR CLAIM GAO-38696 IS SUSTAINED.