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B-221615 1 (1986-06-24)

handle is hein.gao/gaobadmjh0001 and id is 1 raw text is: OECISION FILE: B-221615 THE COMPTROLLER GENERAL OP THE UNITED STATUE WASHINOTON. D.C. 20548 DATE: June 24, 1986 MATTER OF: ABF Freight System, Inc. DIGEST: A motor carrier that performed all the transpor- tation service for a government shipment billed and collected charges derived from its rate tar- iff. The General Services Administration (GSA) recovered overcharges from the carrier on the basis that the Government Bill of Lading (GBL) was issued to another carrier which had lower tender rates in effect at the time of shipment. The carrier to which the GBL was issued merged into the billing carrier during transit. We sustain GSA's action since it appears that the government looked to the carrier to which the GBL was issued for performance and the operational arrangements it chose to make with the other carrier had no effect on its obligation to the government. ABF Freight System, Inc. (ABF), asks for review of deduction action taken by the General Services Administra- tion (GSA) to recover overcharges collected by ABF, which was the billing carrier on the shipment. The GSA's audit action was based on lower rates offered to the government by East Texas Motor Freight System (ETMF), which was the carrier shown on the bill of lading as the carrier to which the shipment was tendered. We sustain GSA's action. Facts The record shows that on September 9, 1982, the Naval Air Station, Kingsville, Texas, issued Government Bill of Lading No. S4270096 to East Texas Motor Freight Eor the transportation of three pieces of Freight All Kinds to Cherry Point, North Carolina. The bill of lading shows that the shipment was received on that date by ETMF's agent, but that it was delivered by ABF on September 17. In addition, the GBL contains the notation Freight All Kinds ETMF ICC 691. During the time the shipment was in transit ETMF merged with ABF, with ABF becoming the surviving carrier.

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