Canton Storage & Transfer Co. v. Public Utilities Commission

72 Ohio St. 3d 1
CourtOhio Supreme Court
DecidedApril 12, 1995
DocketNos. 93-2331, 93-2332 and 93-2449
StatusPublished
Cited by15 cases

This text of 72 Ohio St. 3d 1 (Canton Storage & Transfer Co. v. Public Utilities Commission) is published on Counsel Stack Legal Research, covering Ohio Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Canton Storage & Transfer Co. v. Public Utilities Commission, 72 Ohio St. 3d 1 (Ohio 1995).

Opinion

Per Curiam.

The appellants propound a total of twenty propositions of law. The majority of these propositions of law focus upon a single issue, whether the commission abused its discretion when it issued the certificates of public convenience and necessity. For the reasons that follow, we hold that it was an abuse of discretion to grant the twenty-two applications for statewide authority to carry household goods and reverse the order of the commission.6

Appellants raise four arguments regarding the commission’s order: (1) the commission improperly changed the applicants’ burden of proof; (2) the commission wrongly took administrative notice of testimony from some cases and used it to support unrelated applications for a certificate of public convenience and necessity that had little or no individual support; (3) there is no evidence in the record of a public need for the proposed service; and (4) there is no evidence in the record that the existing service is deficient. Appellants allege that singly and cumulatively these errors require that the commission’s order be reversed.

We will not reverse a commission order unless it is unlawful or unreasonable. R.C. 4903.13. We will not reweigh evidence or substitute our judgment for that of the commission on factual questions where there is sufficient probative evidence in the record to show that the commission’s order is not manifestly against the weight of the evidence and is not so clearly unsupported by the record as to show misapprehension, mistake, or willful disregard of duty. Indus. Energy Consumers of Ohio Power Co. v. Pub. Util. Comm. (1994), 68 Ohio St.3d 547, 554, 629 N.E.2d 414, 420; MCI Telecommunications Corp. v. Pub. Util. Comm. (1988), 38 Ohio St.3d 266, 268, 527 N.E.2d 777, 780. However, we also have complete and independent power of review as to all questions of law. Id.; Indus. Energy Consumers of Ohio Power Co. v. Pub. Util. Comm. (1994), 68 Ohio St.3d 559, 563, 629 N.E.2d 423, 426.

[5]*5Determining whether the commission deviated from the proper standard for issuing a certificate of public convenience and necessity under R.C. 4921.10 is a question of law. Accordingly, we have complete and independent power of review as to this question. Id.; MCI Telecommunications Corp., supra, 38 Ohio St.3d at 268, 527 N.E.2d at 780.

The commission, as a creature of statute, may exercise only that jurisdiction conferred upon it by statute. Columbus S. Power Co. v. Pub. Util. Comm. (1993), 67 Ohio St.3d 535, 537, 620 N.E.2d 835, 838. The commission’s authority to grant a certificate of public convenience and necessity is set forth in R.C. 4921.10:

“The commission may, after notice and hearing, when the applicant requests a certificate to serve in a territory already served by a motor transportation company holding a certificate of public convenience and necessity from the commission, grant a certificate only when the existing motor transportation company or companies serving such territory do not provide the service required or the particular kind of equipment necessary to furnish such service to the satisfaction of the commission. * * *
“Before granting any certificate the commission shall take into consideration other existing transportation facilities in the territory for which a certificate is sought. If it appears from the evidence that the service furnished by existing transportation facilities is reasonably adequate, the commission shall not grant such certificate.” (Emphasis added.)

In accordance with this statute, the commission acknowledges that it may grant an application for a certificate of public convenience and necessity only where there is a public need for the proposed service and the existing service is inadequate. However, it believes that “Ohio law does not mandate how an applicant’s evidence must be presented, only that the Commission find that a need exists for the service proposed based upon the facts presented.” Thus, the commission contends that it is free to apply evidence to support those findings as it sees fit. This is incorrect.

The commission’s discretion does not extend to changing an applicant’s standard of proof for obtaining a certificate:

“Irrespective of the nature of shipping contemplated by the applicant, the degree of proof required for the issuance of a certificate of public convenience and necessity, under existing statutes of the Motor Transportation Act, as interpreted by the courts, is the same, and must be universally applied and enforced by the Public Utilities Commission in determining whether a certificate shall issue.” (Emphasis added.) Mason v. Pub. Util. Comm. (1973), 34 Ohio St.2d 21, 63 O.O.2d 43, 295 N.E.2d 412, syllabus.

[6]*6Thus, the commission is bound to apply the same standard when reviewing all applications for a certifícate of public convenience and necessity, including applications to carry household goods.

Appellants contend that the commission erred by not requiring at least two shipper witnesses per applicant in order to obtain a certifícate under R.C. 4921.10. We agree.

An applicant must support its application with more than its desire to serve the public. Doc Goodrich & Son, Inc. v. Pub. Util. Comm. (1978), 53 Ohio St.2d 70, 7 O.O.3d 148, 372 N.E.2d 354. Moreover, we have held that since carriers can obtain contract carrier permits to service individual shippers on a statewide basis under R.C. 4923.07, a single shipper witness is not enough to support a finding of public need for a certificate under R.C. 4921.10:

“A single shipper’s need for additional service does not establish public convenience and necessity for a new certificate where the shipper’s need can be met under a permit for contract carriage.” Id. at paragraph three of the syllabus; Bob’s Truck Serv., Inc. v. Pub. Util. Comm. (1982), 2 Ohio St.3d 83, 85, 2 OBR 637, 638, 443 N.E.2d 145, 147; F.J. Egner & Son, Inc. v. Pub. Util. Comm. (1968), 13 Ohio St.2d 131, 132, 42 O.O.2d 340, 235 N.E.2d 131, 132.

Therefore, more than one supporting witness is required before the commission can find a public need for a proposed new service. This standard was not met below.

Eighteen of the twenty-two applications were directly supported either by only one shipper witness or none at all. Twelve applications were supported by only one shipper witness each. Six applications had no shipper witness support. Only four of the twenty-two applications were supported by two or more shipper witnesses each.

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Bluebook (online)
72 Ohio St. 3d 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/canton-storage-transfer-co-v-public-utilities-commission-ohio-1995.