B-134773, MAY 14, 1958

B-134773, MAY 14, 1958

TO UNION PACIFIC RAILROAD COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 24, 1957, FILE GW 42310, REQUESTING REVIEW OF OUR SETTLEMENT CERTIFICATE DATED SEPTEMBER 12, 1955, WHICH DISALLOWED YOUR CLAIM, PER SUPPLEMENTAL BILL NO. IW 42310-A, FOR $117.04 ADDITIONAL TO THE AMOUNT PREVIOUSLY ALLOWED FOR THE TRANSPORTATION OF A SHIPMENT OF DETONATING BURSTERS, WEIGHING 100,950 POUNDS, FROM ILLIOPOLIS, ILLINOIS, TO CLOVER, UTAH, ON BILL OF LADING WQ-13922051.

THE RECORD SHOWS THAT YOU ORIGINALLY CLAIMED AND WERE PAID FREIGHT CHARGES OF $2,897.27, COMPUTED ON THE BASIS OF A RATE OF $2.87 PER 100 POUNDS. THE RECORD SHOWS FURTHER THAT 42,435 POUNDS OF THIS SHIPMENT WAS RESHIPPED UNDER TRANSIT TO A PACIFIC COAST PORT AND THE REMAINDER OF THE SHIPMENT, 58,515 POUNDS, WAS LOCALIZED AT CLOVER, UTAH. IN THE SUBSEQUENT AUDIT OF THE PAYMENT ON THE LOCALIZED TONNAGE WE FOUND AN OVERPAYMENT OF $392.84, COMPUTED ON A RATE OF $2.05 PER 100 POUNDS, LESS APPROPRIATE LAND -GRANT DEDUCTIONS, ON THE MOVEMENT FROM ILLIOPOLIS, ILLINOIS, TO SALT LAKE CITY, UTAH, AND A RATE OF 45 CENTS PER 100 POUNDS ON THE MOVEMENT BEYOND TO CLOVER, UTAH. THE RATE OF 45 CENTS IS AUTHORIZED UNDER THE PROVISIONS OF SECTION 22 QUOTATION NO. 14-A. THE AMOUNT OF $392.84 WAS COLLECTED BY SETOFF IN MAKING PAYMENT OF OTHER AMOUNTS DUE YOU. THEREAFTER, YOU RECOMPUTED THE CHARGES ON THE LOCALIZED PORTION OF THE SHIPMENT ON THE BASIS OF A COMBINATION OF PUBLISHED TARIFF RATES TO AND FROM SALT LAKE CITY, UTAH, LESS APPROPRIATE LAND-GRANT DEDUCTIONS. YOU CLAIMED, ON THE BASIS OF THIS COMBINATION OF RATES, $117.04, WHICH AMOUNT WAS DISALLOWED IN OUR SETTLEMENT CERTIFICATE DATED SEPTEMBER 12, 1955.

IN YOUR REQUEST FOR REVIEW, YOU CITE OUR DECISION B-129288 OF JUNE 17, 1957, CONCERNING YOUR BILL NO. IW-75405-A, AS HOLDING---

"* * * THAT THE COMBINATION OF ONE FACTOR PUBLISHED IN AN AUTHORIZED TARIFF AND ANOTHER FACTOR FROM A SECTION 22 QUOTATION WAS NOT APPLICABLE WHEN THROUGH RATES APPLIED BETWEEN SUCH POINTS.'

YOU REQUEST THE ALLOWANCE OF $117.04 ON THE BASIS OF THAT DECISION.

OUR DECISION B-129288 OF JUNE 17, 1957, DOES NOT REPRESENT A WITHDRAWAL FROM THE POSITION WE HAVE CONSISTENTLY MAINTAINED AS TO THE AVAILABILITY, UNDER CERTAIN CIRCUMSTANCES, OF A SECTION 22 QUOTATION RATE IN COMBINATION WITH PUBLISHED TARIFF RATE. THUS, WE THERE STATED --

"* * * SECTION 22 QUOTATION 14-A NAMES A RATE OR A BASIS FOR RATES, OTHER THAN SPECIFIC RATES FROM AND TO DEFINITELY NAMED POINTS, AND, IN PROPER INSTANCES, IT DOES NOT SEEM THAT THERE COULD BE A VALID OBJECTION TO THE APPLICATION OF TARIFF RATE, OTHERWISE LEGALLY APPLICABLE, AS ONE FACTOR OF A COMBINATION RATE, AND, AS THE OTHER FACTOR, A GENERAL BASIS SECTION 22 QUOTATION RATE SUCH AS SPECIFIED IN QUOTATION 14-A.'

IN THAT CASE, AS IN THIS CASE, THE APPLICATION OF THE AUTHORIZED BASIS RESULTED IN HIGHER CHARGES THAN THE BASIS APPLIED BY YOU. IN SUCH INSTANCES WE HAVE NO OCCASION TO GIVE EFFECT TO THE PRINCIPLE WHICH WE WILL CONTINUE TO MAINTAIN IN OUR AUDIT WHERE ADVANTAGEOUS TO THE GOVERNMENT. ACCORDINGLY, YOUR CLAIM IS BEING RETURNED TO OUR TRANSPORTATION DIVISION FOR FURTHER EXAMINATION AND THE ALLOWANCE OF SOME ADDITIONAL AMOUNT WHICH SHOULD REACH YOU IN DUE COURSE.