B-141147, APR. 25, 1960

B-141147, APR. 25, 1960

TO SOUTHERN PACIFIC COMPANY:

FURTHER REFERENCE IS MADE TO YOUR REQUEST, UNDER FILE YG-85-84766 W, FOR REVIEW OF THE SETTLEMENT CERTIFICATE DATED SEPTEMBER 23, 1959 (OUR CLAIM NO. TK-677411), WHICH DISALLOWED YOUR CLAIM, ON SUPPLEMENTAL BILL NO. D- 84766-M, FOR $512 AS ADDITIONAL FREIGHT CHARGES ALLEGEDLY DUE ON A SHIPMENT OF GOVERNMENT PROPERTY WEIGHING 28,100 POUNDS, WHICH, ON NOVEMBER 5, 1957, WAS TENDERED BY THE GOSLIN BIRMINGHAM MANUFACTURING COMPANY TO THE SOUTHERN RAILWAY SYSTEM FOR TRANSPORTATION FROM BIRMINGHAM, ALABAMA, TO THE BUREAU OF RECLAMATION (DEPARTMENT OF THE INTERIOR), REDDING, CALIFORNIA, UNDER GOVERNMENT BILL OF LADING NO. I-516093. THE PROPERTY IS DESCRIBED ON THE BILL OF LADING AS "4 PCS SLUICE GATES" AND "1 BOX SLUICE GATE PARTS.'

FOR THIS SERVICE, YOU CLAIMED AND COLLECTED ON BILL NO. F-84766 FREIGHT CHARGES OF $1,404, BASED ON THE CLASS 40 RATE OF $3.90 PER 100 POUNDS, MINIMUM WEIGHT 36,000 POUNDS, WHICH IS PUBLISHED IN TRANS CONTINENTAL FREIGHT BUREAU FREIGHT TARIFF 1015, I.C.C. NO. 1579, TO APPLY ON CARLOAD SHIPMENTS OF SLUICE GATES AND PARTS THEREOF AS DESCRIBED IN ITEM NO. 62350 OF THE UNIFORM FREIGHT CLASSIFICATION. THE BUREAU OF RECLAMATION SUBSEQUENTLY DISCOVERED THAT THE PROPERTY SHIPPED IN FACT CONSISTED OF THE PARTS OF A HIGH PRESSURE GATE VALVE, WHICH ERRONEOUSLY HAD BEEN DESCRIBED ON THE BILL OF LADING AS SLUICE GATES AND SLUICE GATE PARTS. THEY DETERMINED THAT THE APPLICABLE FREIGHT CHARGES WERE $892, DERIVED FROM THE USE OF A COMMODITY RATE OF $2.23 PER 100 POUNDS, MINIMUM WEIGHT 40,000 POUNDS, WHICH IS PUBLISHED IN ITEM NO. 8465 OF TRANS-CONTINENTAL FREIGHT BUREAU FREIGHT TARIFF I-F, I.C.C. NO. 1585, TO APPLY ON CARLOAD SHIPMENTS OF GATE VALVES, NOIBN, IRON OR STEEL. THE CONTROVERSY THUS PRESENTED RELATES TO THE ACTUAL DESCRIPTION OF THE COMMODITY SHIPPED FOR THE PURPOSE OF ASSESSING TRANSPORTATION CHARGES.

IN YOUR REQUEST FOR REVIEW YOU QUOTE FROM AN OPINION, SAID TO BE STATED BY THE OFFICIAL AND WESTERN CLASSIFICATION COMMITTEES, ALTHOUGH THE DATE OR THE SOURCE IS NOT SHOWN, THAT THE HIGH PRESSURE GATE VALVE SHIPPED ON BILL OF LADING NO. I-516093 IS A TYPE OF SLUICE GATE, EMBRACED WITHIN THE COMMODITY DESCRIPTION FOR SLUICE GATES IN ITEM NO. 62350 OF THE UNIFORM FREIGHT CLASSIFICATION.

THE HIGH PRESSURE GATE VALVE MOVING UNDER THE BILL OF LADING WAS PROCURED BY THE GOVERNMENT FROM THE SHIPPER, THE GOSLIN-BIRMINGHAM ENGINEERING COMPANY, UNDER GOVERNMENT CONTRACT NO. 14-06-D-2473, DATED MAY 10, 1957, AND WAS LET FOR THE PROCUREMENT OF A "HIGH-PRESSURE GATE VALVE FOR OUTLET WORKS AT TRINITY DAM.' THUS, THERE IS NO QUESTION THAT THE ARTICLE PROCURED AND SHIPPED WAS A GATE VALVE. INSOFAR AS THE QUOTED OPINION OF THE CLASSIFICATION COMMITTEES IS CONCERNED, IT MAY BE NOTED FROM THE ENCLOSED COPY OF A LETTER DATED JANUARY 28, 1960, FROM THE SOUTHERN FREIGHT ASSOCIATION TO THE BIRMINGHAM TRAFFIC ASSOCIATION (SENT HERE BY THE BUREAU OF RECLAMATION) THAT THE "CLASSIFICATION COMMITTEES" NOW FEEL THAT THE ARTICLE SHIPPED IS RATABLE AS A GATE VALVE. IT SEEMS PROBABLE THAT AFTER FURTHER DEVELOPMENT OF THE INFORMATION IN THE ENCLOSED LETTER, YOU WILL CONCUR IN THE HOLDING THAT THE RATE ON GATE VALVES WAS PROPERLY APPLIED TO THIS SHIPMENT.

THE SETTLEMENT OF SEPTEMBER 23, 1959, IN OUR CLAIM NO. TK-677411, IS NOT SHOWN TO HAVE BEEN IN ..END :