Opinion ID: 383816
Heading Depth: 1
Heading Rank: 6

Heading: scope of commission's authority upon remand

Text: 64 The railroads do not contest the jurisdiction of this court to review the Commission's decision in this case. 31 However, the railroads argue that, after a court-generated remand, 32 the Commission has no authority, because of the five year prohibition of § 10729, to reconsider, or revise its findings. The railroads admit that this limitation on the Commission's authority would as a practical matter make judicial review largely a pointless exercise. 33 But they steadfastly argue that the Commission's power, even on court-generated remand, is limited under the language of § 10729 to changing the rate only after 5 years have passed. 65 The same argument was made to the Houston Lighting & Power court: 66 In intervenors' (railroads') view, this language (in § 10729 limiting Commission's authority to suspend a rate) deprives the Commission of authority to find a capital incentive rate unlawful and to set it aside even when a reviewing court has remanded the Commission's initial decision approving the rate because of defects under the Administrative Procedure Act. 67 606 F.2d at 1143. The court there rejected the argument and we agree. To have judicial review of an agency action with no authority in that agency to correct errors is a futile exercise. We do not perceive in the legislative history of § 10729, the clear and convincing evidence necessary to conclude that Congress intended to restrict normal judicial review. Dunlop v. Bachowski, 421 U.S. 560, 567, 95 S.Ct. 1851, 1857, 44 L.Ed.2d 377 (1975), Abbott Laboratories, Inc. v. Gardner, 387 U.S. 136, 141, 87 S.Ct. 1507, 1511, 18 L.Ed.2d 681 (1967). While Congress wished to give railroads assurances that if they made substantial investments, rates associated with these investments would remain undisturbed for 5 years, there is no hint it wished to protect erroneous Commission action. On remand, accordingly, the Commission shall have authority to take whatever action our opinion requires.