Opinion ID: 1149684
Heading Depth: 1
Heading Rank: 5

Heading: application of the precepts to the evidence

Text: The PSC could not reasonably have found from the evidence that Hydro-Walk carried its burden of proving issuance of the contract carrier permit was in the public interest. Consequently, we affirm the district court's judgment. The contract carrier permit was properly revoked in its entirety and PSC Order No. T-17908 was correctly annulled. Hydro-Walk did not show its five prospective shippers lacked access to existing carriers or existing carriers could not serve their particularized needs. Also, there is no evidence showing entry of an additional carrier into the market would not be detrimental to the public or to existing carriers. Hydro-Walk's case established its desire to enter the intrastate market by serving as a back-up carrier to five small companies and/or convenience store operators. Its testifying shipper witnesses established their preference for Hydro-Walk's services. Shipper preference alone, however, is not a consideration in the issuance of carrier authority. CTS Enterprises, supra . Witnesses for the prospective shippers universally testified concerning their requirements of expeditious deliveries made with little advance notice. They preferred Hydro-Walk because, as their needs would be sporadic, they felt their infrequently placed orders would receive better service from a small carrier like Hydro-Walk. The witnesses lacked confidence their orders would receive treatment equal to that which the large carriers gave their steady customers. Accordingly, a few of the shipper witnesses did not even investigate the market to find which authorized motor carriers serviced their area. Conversely, the witnesses for the protestant carriers claimed their companies actively sought new clientele, even those with only occasional single-haul needs. They denied giving preferential treatment to large accounts at the expense of their sporadically serviced customers. Witnesses for the protestant carriers agreed the nature of the hauling for hire business is short lead-time tenders with expeditious delivery needs. All witnesses for protestants affirmed that their carriers accommodated such needs. Hydro-Walk presented no evidence of existing carriers having a history of delays and unsatisfactory service. The disfavorable testimony adduced was limited to Ida's experience that Stephens provides adequate service when it carries one load a day, but not when it carries three loads a day. Ida's service complaint against Stephens, though, was a brief, conclusory allegation without factual specificity or documentation. The remaining negative testimony amounted to declarations from the witnesses for Pel State and Ida regarding their companies' decisions not to patronize their competitor, Dupré. Ida's complaints against Stephens, and Ida and Pel State's determination not to use Dupré did not, however, reflect upon or call into question the qualifications of the remaining available carriers. Bayou State had used the services of Stephens in the past without complaint, as well as those of non-protestant carriers, Davison and Wheeling. Moreover, Ida and Pel State presently use the services of Jocto and Stephens in central Louisiana without service complaints. Likewise, Clements Oil has used unnamed existing carriers without experiencing inadequate service. In protest of Hydro-Walk's application, representatives of the existing carriers demonstrated their capabilities and willingness to service the back-up needs of Hydro-Walk's prospective shippers. Stephens and Dupré agreed to set aside a transport for hauling crude for Bayou State. To acquire the shippers' business, the representative for Younger Brothers testified concerning his company's willingness to locate transports in the Shreveport area. Further, Stephens, Dupré and Jocto presently have terminals with numerous transports centrally located to the shippers' Shreveport area businesses. The protestant carriers have under-utilized equipment, ranging from ten to twenty-five percent of their transports. Their equipment is idle as a result of Louisiana's depressed oil industry. The additional revenues these prospective shippers offer might be the revenues which provide the economic feasibility for some or all of the existing carriers to remain in business. Moreover, allowing Hydro-Walk to enter the market would reduce the sporadic revenues these shippers currently provide existing, non-protestant intrastate carriers. Its entry might also prevent the expansion of Jocto and Stephens' services for their present customers, Ida and Pel State. As the PSC is obligated to protect existing carriers, the PSC should have given greater consideration than it did to the detrimental effect an additional carrier would have upon existing carriers. Hydro-Walk failed to prove a need for its particular services or to show granting its application would not be detrimental to the public or existing carriers. Hydro-Walk's proposed back-up services merely duplicate those available from existing carriers. No evidence showed the inadequacy of existing carriers or the characteristics of Hydro-Walk which would distinguish it from existing carriers. Consequently, denying Hydro-Walk's application will have no apparent adverse effect upon its prospective shippers. For the reasons assigned, the judgment of the district court is affirmed. AFFIRMED. WATSON, J., dissents and assigns reasons.