Town of Charlestown v. Kennelly

93 A.2d 728, 80 R.I. 148, 1953 R.I. LEXIS 43, 98 P.U.R. (N.S.) 348
CourtSupreme Court of Rhode Island
DecidedJanuary 13, 1953
DocketM. P. Nos. 1007, 1008
StatusPublished
Cited by4 cases

This text of 93 A.2d 728 (Town of Charlestown v. Kennelly) is published on Counsel Stack Legal Research, covering Supreme Court of Rhode Island primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Town of Charlestown v. Kennelly, 93 A.2d 728, 80 R.I. 148, 1953 R.I. LEXIS 43, 98 P.U.R. (N.S.) 348 (R.I. 1953).

Opinion

*149 O’Connell, J.

These are two appeals from an order of the public utility administrator, No. 6687, docket No. 544, which was entered April 7, 1952 pursuant to a prior order No. 6683, and permitted the Westerly Automatic Telephone Company to place into effect on April 10, 1952 certain revised telephone rates and charges under its tariff filing of March 31, 1952. The first appeal is that of the town of Charlestown, and the second that of the town of Westerly, which was joined in by the town of Richmond, all of which towns are located in Rhode Island. At the instance of the appellants and after hearing, the operation of the order appealed from was stayed by this court on April 30, 1952 pending the determination of the appeals on their merits.

It appears from the record that on May 28, 1951 the Westerly Automatic Telephone Company, hereinafter referred to as the company, filed with the public utility administrator a schedule of revised telephone rates and charges. This proposed schedule, which was filed under the provisions of general laws 1938, chapter 122, §45, as amended, was to become effective June 28, 1951. Such schedule contained increased rates and charges designed to provide additional revenue of approximately $146,000 annually. On June 12, 1951 the administrator on his own motion under the statute suspended the effective date of the aforementioned schedule and ordered public hearings thereon, which were held.

On October 11, 1951 the administrator took the case under advisement and permitted counsel to file written arguments. On March 28, 1952 he rendered a decision in which he found: (1) that the evidence clearly indicated that the company was entitled to receive some measure of rate relief; (2) that its rate base for rate-making purposes as of June 30,1951 was $916,740; (3) that the Rhode Island portion of such rate base was $779,229; (4) that the company should be permitted to earn a 6 per cent rate of return on the rate base allocated for the use of Rhode Island subscribers, and that such a rate of return on the Rhode Island *150 portion of the company’s rate base would amount to $46,753; and (5) that the company should be permitted to file a revised schedule of telephone rates and charges designed to produce increased net telephone earnings from Rhode Island subscribers in an amount not to exceed $46,753.

The administrator thereupon entered his order No. 6683. Under such order the original tariff filing made by the company on May 28, 1951 was denied and dismissed insofar as the company’s request for relief to the extent of $146,000 was concerned, and the company was directed to submit to the administrator within thirty days from the date thereof a new schedule designed to produce annually from Rhode Island subscribers additional net telephone earnings in an amount not to exceed the sum of $46,753.

Pursuant to said order, from which no appeal was taken, the company on March 31, 1952 filed a schedule of revised rates and charges and at the request of the administrator furnished the working papers showing the details thereof. On April 7, 1952 he issued order No. 6687 as follows:

“Whereas the Public Utility Administrator of Rhode Island by Order Number 6683 issued under date of March 28, 1952, found that Westerly Automatic Telephone Company was entitled to revise its existing telephone tariff-in a manner to provide net telephone earnings from Rhode Island subscribers in an amount not to exceed $46,753 annually, and
Whereas said Westerly Automatic Telephone Company in conformity with the Administrator’s Order of March 28, 1952, did file a revised tariff on March 31, 1952, to increase net telephone earnings from Rhode Island subscribers in the amount indicated above and has supplied the Administrator with the working papers underlying the construction of said revised tariff, and
Whereas after examination of said working papers, the Administrator is of the opinion that the revised tariff as filed by said Westerly Automatic Telephone Company on March 31, 1952, conforms to the Administrator’s Order of March 28, 1952, now, therefore, it is *151 (6687) Ordered: That Westerly Automatic Telephone Company be and the same is hereby permitted to place into effect on April 10, 1952, the revised telephone rates and charges for Rhode Island subscribers as contained in its tariff filing of March 31, 1952, and it is further
Ordered: That this Order shall become effective forthwith.”

From this order appellants have prosecuted the instant appeals. The town of Charlestown has set out three reasons of appeal and the towns of Westerly-and Richmond have assigned twenty-five such reasons. Many of these were neither briefed nor argued but all the appellants relied primarily upon two contentions, namely, that the filing by the company of the revised schedule on March 31, 1952 in effect is for all purposes a new filing and application for a change in rates and charges, thus requiring notice to the public and a new hearing thereon; and secondly, that the administrator’s order No. 6687 under date of April 7, 1952 is erroneous in law and not supported by legal evidence.

Upon a careful examination of the record we cannot agree with either of these contentions. The appellants’ argument in support thereof is apparently based upon the fact that in order No. 6683 the administrator employed language to the effect that the original tariff filing made by the company on May 28, 1951 was denied and dismissed. From these premises they reason that the revised schedule which the company submitted on March 31, 1952 pursuant to the administrator’s order No. 6683 must be treated as a new filing under the statute requiring notice and hearing as therein provided.

In our opinion, appellants read the words “denied and dismissed” out of their context. It is clear from the decision as a whole and from the findings of the administrator, which preceded the order in question, that he concluded the company was not entitled to all the relief which it requested in its original filing of May 28, 1951, namely, $146,000 annually, but was entitled to receive an annual increase of $46,753. This amount was found by him upon evidence and after *152 extended hearings on the original filing. It is also clear that the administrator’s use of the words “denied and dismissed” was not intended to be construed as applying to the whole proceeding. Obviously their use was intended only so far as they related to the amount of relief originally requested, that is, in the sum of $146,000, because thereafter in the same order No. 6683 he found that the company was entitled to relief to the extent of $46,753 and ordered it to file within thirty days a revised schedule designed to produce said sum in conformity with his findings and decision.

The appellants’ argument that he had delegated his rate-making power might have some force if the administrator had permitted the company to write and present its own revised schedule of tariffs so as to take effect without further action or approval by him. But this was not done. On the contrary he merely directed the company to submit for his approval

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Town of Narragansett v. Malachowski
621 A.2d 190 (Supreme Court of Rhode Island, 1993)
Narragansett Electric Co. v. Burke
404 A.2d 821 (Supreme Court of Rhode Island, 1979)
Eastern Communications Corp. v. Burman
397 A.2d 1317 (Supreme Court of Rhode Island, 1979)
Berberian v. Public Utility Hearing Board
112 A.2d 876 (Supreme Court of Rhode Island, 1955)

Cite This Page — Counsel Stack

Bluebook (online)
93 A.2d 728, 80 R.I. 148, 1953 R.I. LEXIS 43, 98 P.U.R. (N.S.) 348, Counsel Stack Legal Research, https://law.counselstack.com/opinion/town-of-charlestown-v-kennelly-ri-1953.