Section R. 460.19201 - DefinitionsRule 1201. As used in this part:
(a) "Agent" means a person or corporation duly authorized by a carrier to publish rates and provisions for that carrier's account in tariffs published in the name of the agent.(b) "Aggregate" means the net rate or charge increases or decreases of the carrier filing the proposed rate change within the year since the effective date of the proposed rate.(c) "Amendment" means any change to a tariff, including additions or cancellations.(d) "Capital structure ratio" means the sum of a carrier's debt due after 1 year divided by shareholder's equity plus the debt due after 1 year.(e) "Cost evidence" means those financial schedules, statements, and reports which are submitted to the department in supportive justification of a proposed rate increase or decrease.(f) "Current ratio" means current assets divided by current liabilities.(g) "Expense ratio" means the sum of expenses plus interest on long-term debt divided by revenue.(h) "Expenses" means those financial charges or costs incurred for hire upon the public highways of, and between points within this state.(i) "Financial schedules, statements, and reports" means evidence presented in the form of charts, balance sheets, ledgers, graphs, tables, computer printouts, or narrative account that serves to illustrate, explain, justify, and identify the revenues and expenditures realized by a particular motor carrier operation.(j) "Fixed or constant costs" means those costs that do not change as a result of changes in the volume of business.(k) "Foreseeable future cost" means a new cost, an increase or decrease in wage-related costs, a non-labor expense, or a cost attributable to fuel and fuel-related expenses. These costs shall not be merely speculative, but shall have a high probability of occurring within a period of time not longer than 6 months from the effective date of the rate proposal to which foreseeable future costs are applied.(l) "Fully allocated costs" means total costs, including variable costs plus an allocation of fixed costs.(m) "Item" means a tariff provision of any kind bearing an item number designation.(n) "Labor expenses" means charges or costs incurred by a motor carrier enterprise in payment for all wages and expenses incidental to employment.(o) "Long-term debt" means debt due after 1 year.(p) "Loose-leaf tariff" means a tariff, not a bound tariff, consisting of loose-leaf pages.(q) "Operating ratio" means the quotient of a carrier's operating expenses divided by its operating revenues.(r) "Post" refers to the maintenance of a file of tariffs which the public may inspect.(s) "Predatory rate" means a rate that is below or in excess of its fully allocated cost. Fully allocated costs are total costs, including variable costs plus an allocation of fixed costs.(t) "Producer price index" means the producer price index of industrial commodities, less fuels and related products and power, as published by and available from the United States Department of Labor, Bureau of Labor Statistics, Washington, D.C. 20212.(u) "Rate proposal" means a formal request made to establish a rate or rule before publication in a tariff to be filed with the department.(v) "Return on transportation investment" means that formula used to determine the amount of income a carrier is receiving as compared to the carrier's investment.(w) "Revenue need" means the demonstrated need of a motor carrier of household goods for a change in rates.(x) "Statutory notice" means 30 days' notice or 45 days' notice, as the case may be, as set forth in the act.(y) "Supplement" means a publication, indicated as a supplement, consisting of a single sheet, or 2 or more sheets bound at the left edge in pamphlet or book form, issued to amend or cancel the tariff.(z) "Tariff" means a publication containing 1 or more rates, charges, rules, regulations, or other provisions, or any combination thereof, of 1 or more motor carriers of household goods, together with its supplements or loose-leaf page amendments thereto, if any.(aa) "Tariff identification designation" means an approved consecutive number system used to identify tariffs filed with the department.(bb) "Variable costs" means those business-related costs that vary with changes in the volume of business.Mich. Admin. Code R. 460.19201
1984 AACS; 2018 MR 24, Eff. 12/20/2018