404(a) RATES, CHARGES, AND PRACTICES. DUTY TO ESTABLISH 207 406(e) NEW RATES; DETERMINATION OF FAIRNESS BY COMMISSION; 207 To The Advance Bulletin supplements the Commission's bound volumes of Interstate Commerce Acts Annotated. This issue is number 5 of volume 1. A number of Bulletins will constitute a volume; and the pages will be numbered consecutively within each volume rather than within individual Bulletins. facilitate the location of subject headings, the Table of Contents of each Bulletin may ultimately be removed to form a cumulative table for the volume. We plan to publish the Bulletin bimonthly. Members of the public, attorneys and practitioners, the I.C.C. staff may consult the consolidated file from which the Bulletin is compiled in Room 1205 of the I.C.C. Building. For cases which appear in the Bulletin only as reconsidered or appealed, prior citations and annotations may be obtained by consulting the consolidated file or by calling (202) 343-3267. Material in this volume of the Bulletin will appear in Volume 22 of the Interstate Commerce Acts Annotated. an asterisk (*), its history may be found in the Table of Cases at the back of the Bulletin. Volume 21 of the Interstate Commerce Acts Annotated is currently being printed and should be available from the U.S. Government Printing Office in approximately two months at which time a general press release will be issued. The Advance Bulletin is prepared in the Annotations Unit under the direction of Mr. Jack R. Long, Chief, Reference Services Branch, Section of Case Control and Information, Office of Proceedings, Interstate Commerce Commission, Washington, D.C. 20423. Comments and suggestions regarding improvement of the format of the Bulletin will be welcomed, and may be made in writing or by calling (202) 343-3766. §1(4). DUTY TO FURNISH TRANSPORTATION AND ESTABLISH THROUGH ROUTES; DIVISION OF JOINT RATES Duty to Establish Through Routes 61. In general.--Commission held that if application of the proposed reduced proportional rate herein is restricted against use with reshipping proportionals through Chicago, Ill., the result would be the commercial closing of the competitive route taking higher rates which would violate $1(4) of the Act.--Corn and Corn Products, Illinois to Official Territory, 332 I.C.C. 485 (489-90)*. §1(5). JUST AND REASONABLE CHARGES Cost of Service Generally 81. Wages, taxes, and interest.--Although petitioner-respondent railroads' evidence as to wages and wage-related items are so overstated as to bring all evidence into doubt, the Commission finds that cost increases in the constructive year 1967 will substantially approximate the aggregate rate increases authorized herein. Increased freight rates authorized on an interim basis found just and reasonable.--Increased Freight Rates, 1967, 332 I.C.C. 280 (287-88)*. What Constitutes Cost of Service 85. Out-of-pocket cost.--Complainant shipper's contention that out-of-pocket rather than fully distributed costs are meaningful in determining maximum reasonable rates on iron ore from Pilot Knob, Mo., to Granite City, Ill., is fallacious as it wrongfully assumes that the defendant railroads are not entitled to compensation for their fixed costs as well as to a reasonable profit.--Hanna Mining Co. v. Missouri Pac. R. Co., 332 I.C.C. 166 (170). Ascertainment of Cost 95. Apportionment of joint costs; system average costs.--Upon further investigation in this general revenue proceeding, Commission found that territorial average costs used by respondent railroads are not determinative of the precise costs of particular movements and are not sufficient, standing alone, to show additional increase just and reasonable.--Increased Freight Rates, 1967, 332 I.C.C. 280 (296)*. |