601 KAR 1:050. Rates and fares.


      RELATES TO: KRS Chapter 281


      NECESSITY, FUNCTION, AND CONFORMITY: KRS 281.695 authorizes the Transportation Cabinet to fix or approve the rates, fares, charges, classifications, rules and administrative regulations of each carrier. This administrative regulation requires the filing and maintaining of just and reasonable rates and establishes the procedure therefor.


      Section 1. Establishment of Initial Rates or Fares. (1) An authorized carrier of either persons or property desiring to establish its intrastate rates or fares for the first time need not conform to the requirements of 601 KAR 1:045, but shall file its proposed tariff in duplicate with the cabinet not less than thirty (30) days before it is to become effective, provided that for good cause shown the cabinet may allow an initial rate or fare to become effective, on less than thirty (30) days' notice. Such tariff shall be accompanied by a statement showing how the rates, fares and charges were determined. The cabinet may subject the proposed tariff to an investigation, and it shall be subject to protests by interested parties. The cabinet, after its due consideration or upon the basis of a protest, may suspend the proposed tariff pending receipt of additional information, or the cabinet may assign the matter for public hearing. If the proposed tariff is not suspended, it will become effective on its proposed effective date.

      (2) Tariffs filed pursuant to this rule must be typewritten or legibly printed in ink or good paper of good quality, and need not conform with the requirements of 601 KAR 1:060; however, within thirty (30) days after the effective day of the proposed tariff, it must be brought in conformity with 601 KAR 1:060.


      Section 2. Change in Existing Rates or Fares of Common Carriers and Irregular Route Common Carriers of Specific Commodities. (1) All changes in any rate or fare shall be shown by the filing of a new tariff or supplement thereto, which tariff shall be in accordance with the requirements of 601 KAR 1:060. Notice of any change in any rate or fare shall be given in accordance with 601 KAR 1:070.

      (2) An authorized carrier desiring to make a change in its existing intrastate fares, rates or charges need not conform with the requirements of 601 KAR 1:045 but shall file its application and exhibits in triplicate with the cabinet, such application to be in the form of a petition filed in accordance with the requirements of 601 KAR 1:030. The application shall contain the following information:

      (a) The applicant's name and address;

      (b) The type of service rendered;

      (c) A detailed statement including the reasons why the change is necessary; and

      (d) A detailed statement of the change which is sought.

      (3) The following exhibits shall accompany any application filed by a common carrier of persons, which exhibits must be set forth separately and attached thereto:

      (a) A copy of the applicant's tariff containing the proposed change;

      (b) A comparative statement containing the applicant's present and proposed fares, showing the effect of the proposed fares;

      (c) Income statements in comparative form covering the past two (2) years' operations each year ending as of the end of the carrier's fiscal year;

      (d) An income statement and balance sheet for the year ending as of the end of the last month preceding the date of filing of the application.

      (4) Any common carrier authorized to exclusively transport property desiring to effect a change in rates upon less than thirty (30) days' notice to the cabinet shall not be required to comply with 601 KAR 1:050 unless requested, but shall furnish in addition to the other requirements a statement or statements containing such information that clearly sets forth the reasons for the proposed change upon less than thirty (30) days' notice to the cabinet.

      (5) Any applicant may furnish other information in addition to that required by this administrative regulation as may appear useful to the cabinet in determining justification for the proposed change at the time the application is filed.

      (6) The cabinet may request any additional information as may be reasonable and useful for its study of any case.


      Section 3. Change in Existing Rates or Fares of Contract Carriers. All changes in any rate or fare charged by a contract carrier shall be shown by the filing in duplicate of a new contract or supplement thereto. A statement fully setting forth the reasons for the proposed change shall accompany the contract.


      Section 4. Rates and Charges. When the cabinet removes a commodity from the list of exempted commodities as set forth in its administrative regulations, it may at any time upon its own motion, or upon the application of an affected carrier, call a hearing for the purpose of fixing or changing the rates and charges for the transportation of such commodity or commodities removed from the exempted commodity list.


      Section 5. Burden of Proof. The burden of proof as to any change of rates, fares or schedules shall be upon the applicant. (DMT-5; 1 Ky.R. 785; eff. 5-14-75.)