_______________________________________________ April 18, 1997 _______________________________________________ GSBCA 13839-RATE In the Matter of TRI-STATE MOTOR TRANSIT CO. Robert D. Norcom, Auditor, Tri-State Motor Transit Co., Joplin, MO, appearing for Claimant. Jeffrey J. Thurston, Director, Office of Transportation Audits, General Services Administration, Washington, DC, appearing for General Services Administration. Col. David A. Shull, Staff Judge Advocate, Headquarters, Military Traffic Management Command, Department of the Army, Falls Church, VA, appearing for Department of Defense. BORWICK, Board Judge. Claimant, Tri-State Motor Transit Company, seeks additional compensation for shipping trailers under six government bills of lading (GBLs). Claimant maintains that in the GBLs, issued by various agencies of the Department of Defense, the Government declared released values greater than the default released value. Claimant argues that it is therefore entitled to the additional compensation, greater than the amounts originally invoiced, commensurate with its tender rates for released values when excess values are declared. Claimant submitted its requests for additional compensation to GSA, which issued settlement certificates denying the requests. Claimant sought review of the GSA's action at this Board. We agree with claimant and conclude that the Government declared excess released values for the shipped items. Claimant is therefore entitled to the amounts claimed. The fact are as follows. On September 8, 1992, claimant delivered two ammunition trailers from West Plains, Missouri, to Fort Sill, Oklahoma, pursuant to GBL D-2,468,550. The GBL classified the shipped items as "freight all kinds" and had the following statement: "Released value not exceeding $2.50 per pound per article." Claimant billed the Government $702 for the shipment. Claimant then filed a claim for $21.45 as additional compensation. Claimant figured the released value of the trailers at $54,250, which is derived by taking $2.50 per pound multiplied by the weight of the trailers, 21,700 pounds. Claimant determined the excess released value to be $14,250 ($54,250-$40,000). Claimant derived $21.45 by taking the "excess declared value" of $14,300 (it rounded up to the next $50) at a rate of 15›/$100 ($14,300/$100=$143, $143x15›=$21.45). On or about September 9, 1992, the Army shipped a trailer weighing 10,600 pounds from Tooele, Utah, to Montgomery, Alabama, by GBL E-1,195,114. This item was also designated freight all kinds. Like the previous GBL, this one had the statement "released value not exceeding $2.50 per [pound]." Claimant billed the Government $1,673.20 for the shipment. Claimant filed a claim for $9.75 as additional compensation. Claimant figured the released value of the trailer at $26,500, which is derived by taking $2.50 per pound multiplied by the weight of the trailer--10,600 pounds. Claimant derived $9.75 by taking the "excess declared value" of $6,500 ($26,500-$20,000) and applying the rate of 15›/$100 ($6500/$100=$65, $65x15›=$9.75). Using similar calculations, claimant claimed additional shipping charges of $21.45 for GBL D-2,468,552; $21.45 for GBL D- 2,467,635; $9.75 for GBL E-2,295,111; and $21.45 for GBL D- 1,971,582. All claims were based on the excess declared value arising from the notation on the GBLs of "released value not exceeding $2.50 per pound per article." GSA declined to pay the claims. For the following reasons, we conclude that GSA's refusal to pay the additional charges for excess released value was incorrect. Three documents comprise the shipping contracts--the carrier's tender, which is a continuing offer to provide transportation services for the stated prices; the tariff, if applicable, where the stated prices are found and incorporated into the carrier's tender; and the GBL, which is the document by which the Government accepts the carrier's services. Baggett Transportation Co. v. United States, 969 F.2d 1028, 1029 (Fed. Cir. 1992). The shipments at issue here were performed under contracts administered by the Department of Defense's Military Traffic Management Command (MTMC). The Military Freight Traffic Rules Publication 1A (MFTRP 1A) states the terms and conditions applicable to tenders of freight services. The MFTRP 1A deals with the concept of "released value." The Interstate Commerce Act, 49 U.S.C.  20(11) (1976), provided that carriers shall be liable for the full actual loss, damage or injury to property delivered to them. The Act provided further, however, that a carrier's liability may be limited by agreement to a shipment's released value, i.e., the value declared by the shipper and to which recovery is limited in case of loss or damage to the shipment. Cf. Strickland Transportation Co. v. United States, 334 F.2d 172 (5th Cir. 1964). Released value rates are lower than unreleased rates, since the shipper becomes a co-insurer of the shipment. Id. MFTRP 1A, Item 190(4) provides a default released value of $20,000 for certain described vehicles, including trailers. It also provides that the default released value "will also apply to the described vehicles when moved . . . under the commodity description Freight All Kinds (FAK), at applicable Freight All Kinds rates, and this released value would take precedence over the FAK released value shown on line 14 of the FAK tender." MFTRP 1A, Item 190 (5) provides that "the application of released values as stated in this item [item 190] shall take precedence over all released value statements issued by the filing carrier in line 14 or line 15 of the DOD tender form." The default released values established by MFTRP 1A, Item 190(6), apply without the necessity of the shipper providing a released value statement in the GBL. Cf. Tri-State Motor Transit Co., B-254378, et al. (Feb. 16, 1994). MFTRP 1A, Item 190(6) also provides that "if a value exceeding the released value is stated on the bill of lading, such valuation shall control." Where the commodity has been released to a value exceeding $20,000 per each vehicle in the shipment, then the excess valuation charge is the base transportation rate in the carrier's tender plus an excess value charge of fifteen cents for each $100 or fraction thereof by which the declared value of the shipment exceeds $20,000 per vehicle. Claimant's tender had the following statement as to released value: "Rates quoted are subject to a released value not to exceed $02.50 per pound per article (vehicle) as prepared for shipment, except as provided in Item 190 (Released Value) of the applicable Military Freight Traffic Rules Publication." Here, claimant maintains that the statement on the GBLs "Released value not exceeding $2.50 per pound per article" is a statement of the "value exceeding the released value," such that the increased released value overrides the default released value established by Item 190. Claimant finds support for its position in a decision issued by the General Accounting Office (GAO), Tri- State Motor Transit Co., B-254378, et al., which held a statement similar to the statements in these GBLs "must be read as establishing the shipment's stated or declared value for purposes of paragraph six of item 190." The Government argues that it did not specifically "declare the value" on any of the shipments involved; it simply stated the "released valuation" in conformance with the carrier's tender offer. The Government urges us to reject Tri-State's holding that such a statement is a declaration of value which overrides the default. We conclude that the GAO decision is correct. The declared value of the shipment can easily be determined by multiplying the $2.50 per pound by the weight of the trailers, the methodology claimant contemplated in its tender. Furthermore, the Government has not explained why, in light of the default released value of $20,000, the issuer of the GBL would put the phrase "Released value not exceeding $2.50 per pound per article" on the GBL except to declare or state a released value greater than $20,000. In the future, should the Government not wish to pay for excess released valuation above $20,000, it may simply leave such a statement off the GBL. See Tri-State Motor Transit Co., GSBCA 13746-RATE (Apr. 17, 1997). Claimant is entitled to payment of its claim. ________________________________ ANTHONY S. BORWICK Board Judge