Table Of Content

APR 21 aD ICC92 Interstate Conmamerce Comin SSION) 1902 Annual Repor ICC92 Interstaie Commerce Commission 1992 Annual Report S\ ”- For sale by the U.S. Government Printing Office Supermtendent of Documents. Mail Stop: SSOP, Washington, DC 20402-932% ISBN 0-16-041615-9 TABLE OF CONTENTS Letter of Transmittal... __.. 3 Directed Service.......... Passenger Service........ The Commissior,........... 4 Functions anc Responsibility. 5 Trucking Companies........ How the ICC Operates ..... 5 Financial Condition........ Mergers and Unifications ... Year in Review............. 7 Rates and Rate Bureaus.... Operating Rights Administration............. 13 Safety.........02.0.... Organization and Foreign Carriers.......... Management .......... 13 Household Goods Human Relations ......... 13 Insurance............... Office of Public Assistance .. 13 Office of Inspector General... 13 Bus Companies......_—-_—s.i..... Commission Buc.get....... 14 Financial Condition. ....... Fiscal Year 1992 Operating Rights Appropriations ......... 14 Rates Fiscal Year 1993 Appropriations ......... 14 Payments for Directed Rail Freight Forwarders, Water Service Appropriation .... 15 Cai riers, Property Brokers, and Pipelines. _. (ebews eeaveecee ba 17 Regulation of Commercial intermodal Transportation. . Motor Carriers .... . 7 Other Legislative Proposals. . 20 Energy and Environment | Transportation and Related New Environmental Rules . Agencies Appropriations Rail Line Constructions. . Bill for 1993 ........... 21 Other Finance Transactions Pipeline Safety Improvement and Rulemakings ... ee 22 Rail Line Abandonments . Overweight Containers... .. 23 Historic Review Process ... Administrative Procedure Public Assistance......... Technical Amendments Act. 23 ICC Sunset ............. 23 Tariffs and Rail Contracts __. informal Rate Cases....... Railroads.....s.s......... 25 Suspension/Special Financial Condition. . . 25 Permission Board . Financial Transactions 25 Labor issues ......... 30 Financial Oversight... —_—_—.. Short L wand 0 Accounting and Reporting. . P ‘roads. ... 32 Cost and Financial Analysis. . Abandurments. tneew ee 33 Cost Development ........ Construx. 9°3 eenneeen 40 Auditing. . . Rates and. actices 41 Joint Rate © irchane r E..éorcement....—.—s—a—acic.w«s. Cancellations, and Tar:ff Compliance Compr“tive Access ..... 48 Automobile Driveaway Freight Car Servi +........ 49 Service Failures ~ Small Business Protection... 90 Appendices............... 101 Unauthorized Transportation Commission Organization... 101 by Mexican Owned or Commission Workload ..... 111 Controlied Motor Carriers .. 92 Publications............. 122 Unsafe or Uninsured Appropriations and Operations............ 93 Employment........... 125 Carrier Financial and Court Actions.............. 95 Statistical Data......... 127 LETTER OF TRANSMITTAL April 4, 1993 To the Congress of the United States: It is my pleasure to submit the one hundred and sixth Annual Report of the Interstate Commerce Commission. The report covers the fiscal year ended September 30, 1992, except in the discussion of significant actions that transcend the 12-month period, or where necessary to conform to various statistical analyses. The statement of appropriations and aggregate expenditures for the fiscal year appears in Appendix D. Edward J. Philbin Chairman 4 THE COMMISSION (As of September 30, 1992) Term Expires Appointed Dec. 31 Chairman Edward J. Philbin (R) California 1990 1993 Vice Chairman Gail Clements McDonald (D) Oklahoma 1990 1994 Commissioners J. J. Simmons I!!! (0D) Oklahoma 1984 1995 Karen Borlaug Phiilips (Rj Virginia 1988 1996 Edward M. Emmett (R) Texas 1989 1992 On November 22, 1991, the Senate confirmed the nomination by President Bush of Commissioner Karen Boriaug Phillips to another five-year term. She took her second oath-of-office on December 5, 1991. The Commissioners: From the left, Commissioner Karen Borlaug Phillips, Vice Chairman Gail Clements McDonald, Chairman Edward J. Philbin, Commissioner J. J. Simmons Ill, and Commissioner Edward M. Emmett Funcatnd iResoponnsibsili ty fulfillment of the Commission's many duties and functions. The Interstate Commerce Com- mission (ICC) is an independent Fed- The Vice Chairman represents the eral agency responsible for regulating Commanid asssumses ithe oChainrman 's interstate surface transportation within duties during the Chairman's absence. the United States. In carrying out its Additionally, the “ommission delegates regulatory responsibilities, the ICC at- several important functions to the Vice tempts to ensure that competitive, effi- Chairman, including oversight of matters cient, ard safe transportation services involving the admission, disbarment, and are provided to meet the needs of ship- discipline of non-attorney interstate Com- pers, receivers, and consurners. merce Commission Practitioners. The ICC today maintains jurisdic- During the fiscal year, the Commis- tion over some 57,000 for-hire compa- sion’s activities were carried out nies providing surface transportation in through an organizational structure the U.S. Among these companies are consisting of the Commission's bu- railroads, trucking firms, bus lines, barge reaus and o/fices, as follows: operations, one coal slurry pipeline, cer- Office of Compliance and Con- tc... types of chemical pipelines, house- sumer Assistance monitors the activi- hold goods movers, and freight for- ties of ICC-reguilated companies and rate warders of household goods. bureaus to ensure Compliance with the The Interstate Commerce Commis- law administered by the ICC, and assists sioners are appointed by the President the public in the resolution of complaints and confirmed by the Senate. The ICC against |CC-regulated companies. is authorized to have five Commission- Office of Congressional and ers each with a five-year term of office. Legislative Affairs develops and How tiie ICC Operates maintains Cooperative relations with Congress; performs liaison activities Tne Commissioners supervise all with Congress to enhance understand- of the I(>C's activities, and delegate ing of Commission actions; responds specific authority to the Commission's to Congressional inquiries; and pre- bureaus and offices. pares testimony for presentation at As the executive head of the Com- Congressional hearings and written mission, the Chairman coordinates and comments on proposed legislation for organizes the agency's work and acts submission to Congress. as its representative in legislative mat- Office of Economics cc"ducts ters and in relations with other govern- economic and statistical analyses of mental bodies. In addition, the Chair- the transportation industries and pro- man generally is responsible for: vides economic advice to the Commis- 1. Overall Commission management sion. The Office determines and applies and operations; uniform accounting and reporting rules: 2. Formulation of plans and policies reviews various financial reports; ana- designed to ensure Commission ef- lyzes cost, economic, engineering, and fectiveness and the able administra- financial evidence submitted by parties tion of the Interstate Commerce Act; in cases before the Commission; com- . Identification and resolution of major piles and publishes transportation regulatory problems; and, statistics and cost studies; conducts . Development and utilization of ef- audits of pertinent records of trans- fective, expert staff support for the portation firms; and ensures that energy and environmental concerns are ade- rates, abandonments, and competitive quately assessed. practices. Office of Externa! Affairs directs Office of Public Assistance (Spe- the intergovernmental, State and local cial Counsel) functions as a clearing- house for resolution of smail-business and media affairs for the Commission. problems related to surface transporta- Office of the General Counsel tion regulation: advises the Commission renders legal opinions to the Commis- on the nature and status of such prob- sion, and defends Commission deci- lems; contributes to the public interest sions challenged in court. record in Commission cases; and assists Office of Hearings is staffed by individuals, Consumer groups, small Administrative Law Judges that conduct communities, small shippers, as well as various hearings and render initial deci- transportation and public utility commis- sions as directed by the Commission. sion Officials participating in those cases. Office of Human Relations man- Office of the Secretary serves as ages the Commission's program to pro- the Commission's documentation center vide equal employment opportunity for all and clerk of the Commission. The Secre- employees and applicants, and provides tary's legal unit prepares procedural de- traiinn thie narega of human relations. cisions and informal opinions. The Office Office of Inspector General is responsible for record keeping and the conducts independent interna! audits issuance of the Commission's decisions and investigations of the Commission's and other legal documents. The Office operations. also administers the examination pro- Office of the Managing Direc- gram for non-attorney ICC practitioners tor manages the Commission's day-to- and is involved in the acceptance of fil- day operations. This includes budget, ings and the assignment of proceedings personnel, administrative services, and to the Commission's Bureau and Offices. systems development. Office of Tariffs monitors tariff Office of Proceedings processes publication, filing, and interpretation, and Commission cases pertaining to oper- suspends any unreasonable or unlawful! ating rights, financial matters, mergers, tariffs before they become effective. YEAR IN REVIEW 1991 18 Commidenises sreqiuesto fonr re in- Statement of short-tanrioff tauithocritey in OCTOBER response to recentiy increased fuel costs. 10 Commission releases 1990 Uniform 19 Commission issues guide for new Railroad Costing System unit costs. environmental rules. Reveriues, earnings. and ridership Nation's larger trucking Companies of Nation's larger bus Companies im- report decline in earnings Guring third proves during second quarter of 1991. quarter of 1991. 23 Commission announces settie- Nation's largest household goods ment in Pueblo international v. Puerto Carners show earnings increase, reverive Rico Maritime rate complaint case. declines during third quarter of 1991. Earnings of Nation's largest railroads in Union Pacific Railroad Company aban- increase during third quarter of 1991. donment proposal in Wallace, idaho. 1992 24 Commission modifies procedures to determine the Rail Cost Adjustment JANUARY Factor (RCAF) for long-run changes in railroad productivity. 3 Commission sets first quarter rail cost adjustment factor; maximum RCAF rate levels decrease 1.6 percent 4 Commission announces new en- from the previous quarter. forcement policy. Commission finds Pittsburgh a Conneaut Dock Company to be a rail 6 Commission adopts 1909 railroad common carrier and requires Black- stone to obtain authority for the pur- 7 Commission announces settiement in chase or divest the company. lowa Power v. Burlingten Northern Rail- 6 Nation's larger bus Companies re- road switching Charge complaint case. port increased revenues, earnings dur- 11 Commission adopts rules to apply ing third quarter of 1991. new Uniform Railroad Costing System Commission appeals, seeks stay of for off-branch cost determinations in adverse Transcon court decision, in JOC abandonment proceedings. v. Transcon Lines et al, No. 91-5036-1H. 18 Commission establishes a maxi- (C.D. Cal.) mum period of 180 days for railroads 10 Commission seeks emergency in- to reinstate expired railroad transporta- junctive relief from Ninth Circuit Court in tion contracts. Transcon litigation. 19 Commission reminds Nation's li- 18 Appeals Court orders Transcon censed interstate ruck and bus opera- * sstee to cease discount-related col- tors of responsibilities under Nation- | %tion activity pencing appeal. wide commercial driver's license. 2 Commission releases staff report discussing the effects of economic policy § Commission and Federal Maritime ard deregulation on nonfinancial corpo- Commission issue joint policy statement rations, Carriers, the public and utilities. concerning domestic offshore trade. FEBRUARY Commission determines 1992 rev- enue-to-variable cost ratio caps for § Commission finds mileage-based nonferrous recyclable commodities rates of Overland Express cannot form transported by railroad. the basis for undercharge clairns.