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B-202596 1 (1982-09-07)

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THI COMPTROLLER SGENLRAL
OF THC UNITED  TATEB
WASHINGTON, [.C30. 2-0540


FILE:     BS-

MATTEF OF:


202596


DATE:


September 7, 1982


Yellow Freight System, Inc.


  DIGEST:
     Where formula for determining freight all kinds
     (FAK) rate offered in carrieLs tender provides
     for taking percentage of applicable class 100
     rte from appropriate tariff, there is no
     intention to fuirther refer to the National
     Motor Freight Classification to determine each
     article's individual class rating because formula
     clearly implies a class 100 basis and to do so
     would defeat the obvious purpose of the tender
     to offer Government FAK rates which are in the
     nature of commodity rates and designed to by-
     pass the classification rating process.

     Yellow Freight System, Inc. (Yellow Freight), requests
review of settlement action taken by the General Services
AdministVation (GSAJ nn one less than truckload (LTL) ship-
ment of Government property which was transported from
Minneapolis, Minnesota, to San Diego, California, under
Government bill of lading (GBL) No. S-0527283.  The carrier
billed and was paid $342.05 on presentation.  GSA subse-
quently determined that the applicable charges for the
1,650-pound shipment of pillowcases in question were
$256.16 and issued a Notice of Overcharge for $76.89.  When
Yellow Freight declined to pay the overcharge, GSA caused
deduction to be made in this amount from monies otherwise
due the carrier.  The carrier has not convinced us that GS?'s
action was incorrect.


     The applicable rate for
the formula contained in ite
Tariff Bureau, Inc.,United S
ICC RMB Q33-A (RMB 033-A).
LTL rates on freight all kin
less than 10,000 pounds.  It
determine the applicable cla
Including any applicable Inct
Rocky Mountain tariff; then,
table, apply a percentage of
rate depending on the weight


the shipment is determined by
!m 1500 of Rocky Mountain Motor
tates Government Quotation
Item 1500 expressly provides
ds- (FAK) shipments weighing
provides that one must first
ss 100 cate (and minimum charge),
rease, from the appropriate
as siown in the following
the applicable class 100
of the particular .hipment.


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DECISION


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