Press Release

PUC Seeks Comments on Proposed Changes to Simplify Rate Increase Requests for Small Motor Passenger Carriers

Published on 1/15/2009

Filed under: Transportation and Safety

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today issued for comment a proposed rulemaking designed tosimplify rate increase procedures for small motor passenger carriers.

“I believe our actions here today are a first step toward increasing efficiency within the Commission and assisting small motor passenger carriers in timely receiving rate increases,” said Commission Vice Chairman Tyrone J. Christy in a statement.

The Commission voted 5-0 to seek comments on the proposed rulemaking. The Commission has found that small motor carriers sometimes have difficulty keeping the detailed business records needed to support a rate increase request. The small carriers lack of expertise with the ratemaking process can result in denial or lengthy delays in disposing of a carrier’s proposed rate increase.

The proposed regulations define small motor carriers of passengers as those with gross operating revenues of less than $500,000. The proposed regulations also contain a one-year stay-out provision for those receiving a rate increase unless the carrier’s operating revenue is above 93 percent.

The Commission proposes simplifying the rate process by permitting a small carrier to request a revenue increase each year by filing:

• Total gross annual intrastate revenue for the most recent fiscal year;
• The dollar amount of the increase revenue that the projected rate increase is expected to produce;
• Total projected operating revenue after the revenue increase;
• Total projected operating expenses; and
• The resulting operating ratio.

Comments are due 30 days from the publication of the proposed rulemaking in the Pennsylvania Bulletin. An original and 15 copies of comments should be marked with the appropriate docket number and submitted to:

Pennsylvania Public Utility Commission

Attention Secretary

P.O. Box 3265

Harrisburg, PA  17105

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner.

For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our Web site at www.puc.state.pa.us.

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Docket No.  L-2008-2057661

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• Press Secretary
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