OTA Dispatch Issue 4 2017

23 www.ortrucking.org Issue 4 | 2017 of return on equity and capital were historically used in approving specific and blanket rate proposals. By a long history of financial analyses of both the household goods and passenger motor carrier industries the Department and predecessor Public Utility Commission had developed industry target revenue need operating ratios specific to these two groups of carriers. The operating ratio is expenses divided by revenues. For example, a carrier with yearly operating expenses of $450,000 and operating revenues of $475,000 would have an operating ratio of 94.7 percent. The Department determined that the appropriate operating ratio for household goods carriers was 96.0 percent (Order 94-758). ODOT subsequently observed that several things had occurred in the Oregon environment that made a continuation of this approach problematic. With 1991 deregulation of interstate commerce and 1994 deregulation of intrastate commerce save HHG and passenger carriage PUC and later ODOT began to lose expert staff through normal attrition that traditionally attended to this work. Additionally, the standardized chart of accounts that HHG carriers maintained to facilitate such P & L statement analysis began to diverge into many different versions making apples to apples comparisons difficult and complicating the continuation of that work. ODOT hired a consultant economist to recommend a different methodology for considering tariff rate increases and adopted the method now used which begins with the existing legitimate rate and then applies successive CPI increases as appropriate. OMSA Tariff 200 740-050-0010 Regulation of Oregon Intrastate Motor Carrier Rates and Routes, Classifications and Mileage Guides (1) “Participating carriers” means a carrier for whom an agent files a tariff, or any part thereof, with the Department for review and approval. (2) To provide antitrust immunity to persons who collaborate for the purpose of determining all rates for the transportation of household goods for the transportation of other property, classifications, mileage guides and other publications relating to the transportation of property, the Department will accept for review and approval tariffs and other relevant submissions presented by carriers or their agents. (5) Tariffs which are subject to the jurisdiction of the Department and are filed by a carrier for review and approval may be filed by an authorized agent of the carrier if the carrier has provided the agent with a written power of attorney authorizing the agent to act on its behalf. A tariff published and filed by an agent on behalf of a carrier shall identify clearly the carrier for whom the tariff is being published. 740-050-0140 Posting of Tariffs (1) The provisions of this rule shall apply to for-hire carriers transporting household goods. (2) A copy of the tariffs of carriers showing all rates, classifications, charges, or rules and regulations affecting rates, classifications or charges shall be kept by every carrier readily accessible for inspection by the public at all reasonable times in every station or office of such carrier where property is received for transportation, when such station or office is in charge of an agent. (3) Agents shall be provided with facilities for tariffs in readily accessible form and shall be instructed and required to give information contained in such tariffs to lend assistance to seekers for information therefrom and to accord inquirers opportunity to examine any of said tariffs without requiring the inquirer to assign any reason for such desire. Motor carriers which apply for and receive authority from ODOT to perform work as a household goods mover are required to submit a written statement (tariff) of the rates they propose to charge. Motor carriers may submit individual tariffs or they may join and participate in a collective tariff. The largest collective tariff in Oregon is the OMSA Tariff 200. OTA manages the content in Tariff 200 on behalf of OMSA and submits revisions to ODOT from time to time as agent for the individual members of OMSA. Members of OMSA voluntarily commit themselves to a “Code of Ethics” being united in a common belief that honest, ethical, efficient, and quality services to the public are the ultimate goals of their association. OTA is proud to work alongside OMSA in the collective pursuit of the ideals and principles embodied in this code of ethics. About OMSA and Were Afraid to Ask