shipper before. For three states, the Division granted authority to all three applicants because of the volume of the proposed traffic. For the remaining state where the proposed volume to be shipped is less and to which only two of the carrier applicants requested authority, the Division chose to certificate only the carrier which had substantially greater inbound shipments to the town where shipper's factory is located, than its outbound shipments therefrom. No Rule Change For Contract Carrier Utilization of TOFC Service A practitioner petitioned the Commission to amend its rules governing the use of trailer-on-flatcar (TOFC) service, specifically open-tariff TOFC service (49 C.F.R. §1090.3 (e) ), so as to permit interchange at a nonservice point. The present rule requires: Motor and water common and contract carriers utilizing open-tariff TOFC service in the performance of authorized transportation shall tender traffic to and receive traffic from rail carriers only at points which the motor and water carriers are authorized to service. Petitioner complained that the requirement cited above acts as an impediment to contract carrier use of substituted service, since the tendering carrier cannot use the service unless it has the necessary authority. Petitioner states that liberalization of the rule would conserve energy, promote efficiency, and would not change the competitive situation since the 85 percent circuity limitation would remain in effect. (49 C.F.R. §1090.5) The Commission, with one dissent, denied the petition, Petition to Amend Part 1090.3(e) of Chap. X of C.F.R., 121 M.C.C. 812. It referred to the decision establishing the rules in Substituted ServicePiggyback, 322 I.C.C. 301 (1964), wherein five plans of TOFC service were labelled and described. Plan I under review in this proceeding was considered there, and the Commission felt that if the circuity provisions were to be effectively controlled, carriers should be limited to the use of TOFC service only between the points they are authorized to serve. The Commission also referred to its decision in National Auto Transporters Assn.-Declaratory Order, 91 M.C.C. 395 (1962), wherein it noted that where contract carriers lack authority to serve a rail TOFC loading ramp, it could seek modification of its existing permit which, if so limited, could be disposed of with a minimum of expense and effort. Relaxation of Superhighway and Deviation Rules The Commission voted en banc to enlarge the amount of operational circuity reduction permitted under the property motor carrier superhighway and deviation rules. Ex Parte No. MC-65 (Sub-No. 5), 121 M.C.C. 685. Specifically, Section 1042.3 (a) of the Superhighway Rules and Sections 1042.4 (c) (9) (i) (the regular-route dangerous articles deviation provision) and 1042.4 (c) (11) (the alternate route deviation provision) of the Deviation Rules were amended to read "80 percent" where the words "85 percent" appear. The changes resulted from a petition filed by the Regular Common Carrier Conference of American Trucking Associations, Inc., which was based on the Commission's recently adopted procedures to eliminate the gateways of irregular-route carriers in Ex Parte No. 55 (Sub-No. 8), 119 M.C.C. 530 (1974). The Commission considered that adoption of the 20 percent modification would have a number of significantly beneficial economic and environmental impacts. First, the Commission pointed to the overall economies and efficiencies which would redound ultimately to the benefit of the public in the form of improved and less expensive transportation service. Secondly, the Commission felt it was only equitable to adopt the changes to equalize whatever disparity may have existed between regular and irregular-route carriers as a result of the gateway elimination proceeding. Finally, the Commission said that affected carriers could use substantially less fuel and that this would result in a significant nationwide decrease in the emission of air pollutants and noise, and in increased highway safety and diminished traffic congestion. The Commission chose not to impose a no-tacking restriction in the future as it had done in the Gateway Elimination case because of the possible interference with the multiple pick-up and delivery operations and consolidation and distribution operations for LTL shipments of the normal regular-route carrier services. The Commission continued its exclusion of certificates of registration from the Superhighway Rules on the basis that the appropriate State regulatory body should grant any necessary relief. Conglomerates and Contract Carriage The Commission on reconsideration issued a decision in four application proceedings by the same contract carrier handled orginally by either a review board or an administrative law judge, The Commission decided to leave the proceedings open for sixty days for the contract carrier applicant to present some "plan of action" which would enable it to conduct operations lawfully as a contract carrier or to avoid the opportunity for objectionable dual operations, were its proposals to be considered as common carriage. Applicant's failure to present a plan for solution of its situation, the Commission said, "will result in our instituting an investigation proceeding whch could lead to the revocation of its outstanding permits." Continental Cont. Car. Corp., Ext.— Modif. of Permit, 121 M.C.C. 882, 905. Noting that in recent years large corporations have begun an active policy of expanding and diversifying in order to avoid future economic pitfalls, the Commission said an examination of these conglomerates to determine who are the "shippers" of the traffic is necessary for a proper disposition of the "limited number of persons" issue in a contract carriage application proceeding. The Commission said it is increasingly difficult to determine "whether the shipper is a subsidiary or an autonomous division or an affiliate or a holding company" and to determine "whether the named shipper is really the actual shipper." In reviewing the six conglomerates the contract carrier applicant here serves, the Commission found about fifteen "persons.' It held that this amount of shippers cannot be considered "limited" within the meaning of Section 203 (a) (15) of the Act, because the conglomerates served and proposed to be served are engaged in numerous largely unrelated business activities and do not belong to a "class of shippers.' ORGANIZATION, PRACTICE, AND PROCEDURE C. H. JOHNS, Editor Personnel Commissioner Kenneth H. Tuggle, the Commission's senior member and dean of all independent regulatory commissioners, retired July 31. A veteran of more than twenty-two years service with the ICC, Commissioner Tuggle was first appointed by President Eisenhower and took his oath of office on September 8, 1953. He subsequently was reappointed to additional terms by Presidents Eisenhower, Kennedy, and Johnson. Last year, on reaching the mandatory retirement age of 70, Commissioner Tuggle, by Executive Order of President Nixon, was granted an extension through 1975 to supervise the Commission's functions in the planning and implementation of the restructuring of the railroad system in the northeast quadrant of the United States. Now with that project winding down into its final stages, plus certain physical problems the Commissioner has been encountering, he said he felt it best to retire at this time. Commissioner Willard Deason also retired July 31, after nearly ten years of service with the Interstate Commerce Commission. Named to the Commission in 1965 by President Johnson, Willard Deason was subsequently reappointed by President Nixon. Upon reaching the mandatory retirement age of 70 last year, he received an extension to Dec. 31, 1975, through an Executive Order issued by President Ford. During his tenure at the ICC, Commissioner Deason served on each of the agency's three divisions (Operating Rights, Rates, and Finance) and each of its three committees (Policy and Planning, Legislation, and Rules). He also served as a delegate to the Pan American Railway Congress and as a member of the Council of the Administrative Conference of the United States. Involved in the broadcasting field for some 20 years, he was ownermanager of radio station KVET in Austin, Texas, which he sold prior to his ICC appointment. Earlier he was an attorney for the Federal Land Bank in Houston and Deputy State Administrator for Texas of the National Youth Administration. A former educator. he taught social sciences in San Antonio while attending night school classes. He received a B.S. degree from Southwest Texas State College and an LL.B. degree from the San Antonio School of Law. During World War II, he served with the Navy in the Pacific, leaving as a Commander in 1946. Effective August 4, the Divisions are constituted as follows: DIVISION ONE (Operating Rights) Commissioners Rupert L. Murphy (Chairman), DIVISION TWO (Rates) DIVISION THREE (Finance) Commissioners Dale W. Hardin (Chairman), John L. Chaney, Jr., has been appointed Chief of the Interpretations Branch of the Bureau of Operations. He replaces Thomas Delaney who has retired. In his new position, Chaney will be responsible for the legal interpretation of the Interstate Commerce Act, primarily relating to motor carrier certificates and permits. A native of Washington, D.C., Chaney received his B.A. and LL.B degrees from George Washington University. He served two years with the U.S. Navy during the Korean Conflict. Chaney joined the Commission in 1961 as an attorney-advisor in the Bureau of Operations, specializing in motor carrier interpretive work. Prior to that time, he spent four years with the Internal Revenue Service as a tax law specialist. "Blue Ribbon Panel" Recommendations The Blue Ribbon Panel has made four reports to the Commission, with more than sixty recommendations for internal, procedural, and substantive changes. One part of the report was a compilation of the Commission's major accomplishments over the past few years. Most of the internal administrative recommendations already have been effected. For example, those staff attorneys who do not customarily write decisions for the Commission have been urged to accept at least one case to help reduce the backlog. The suggestion for creation of a staff policy and planning body is already before the Office of Management and Budget. The substantive recommendations must be reviewed by the entire Commission. Towards this end, a special committee of Commissioners was created to propose means of expeditiously implementing the Panel's recommendations. The Committee is headed by Vice Chairman A. Daniel O'Neal, who is working with Commissioners Dale W. Hardin and Robert J. Corber. The Panel will continue to review other aspects of Commission activity. With the completion of this first phase, the Panel's original Chairman Administrative Law Judge Edward J. Reidy, and other members have returned to their regularly assigned positions. Alan Fitzwater, Assistant Director of the Rail Services Planning Office, has been asked to direct the next phase of the Blue Ribbon Panel's operation. Procedure In Ex Parte 286, Adequate Notice of Furnishing of Data to Public of Proposed General Increases in Freight Rates and Passenger Fares, 349 I.C.C. 741, the ICC has taken steps to assure that the general public will receive adequate notice of proposals for general increases in freight rates and passenger fares. The report notes that large seg |