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In re Petition of Golden Plains Servs. Transp.
297 Neb. 105
| Neb. | 2017
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Background

  • Golden Plains Services Transportation, Inc. is a Nebraska-certified "open class" carrier. The Nebraska Public Service Commission (Commission) accused Golden Plains of operating "on a taxi basis" and ordered it to cease such operations, prompting Golden Plains to seek a declaratory ruling on the scope of services permitted under Rule 010.01C.
  • Rule 010.01C defines "open class service" by three elements: (i) carrying passengers for hire by vehicle, (ii) along the most direct route or a route controlled by the hirer and not a defined regular route, and (iii) at a mileage-based or per-trip fare.
  • The Commission treated Golden Plains’ petition as presenting a statewide commercial question and initiated an investigative proceeding rather than issuing a declaratory ruling.
  • After investigation the Commission concluded Rule 010.01C permits only prearranged for-hire service and forbids on-demand service by open class carriers.
  • Golden Plains appealed, arguing the plain language of Rule 010.01C allows both prearranged and on-demand service and that the Commission’s new interpretation effectively created a restriction not found in the rule; Golden Plains also claimed entitlement to protection based on prior operations (grandfathering/color-of-right).

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Rule 010.01C limits open class carriers to prearranged service only Rule language does not limit open class to prearranged trips; it permits on-demand service Rule should be read to allow only prearranged for-hire service; Commission has authority to interpret scope Court held Rule 010.01C's plain text does not restrict open class carriers to prearranged service; Commission's contrary interpretation was erroneous and vacated
Whether Golden Plains was entitled to grandfathering/color-of-right protection for past on-demand operations Golden Plains argued historical practice and Commission comments at adoption showed permissive on-demand operation and supported protection Commission did not apply grandfathering and asserted authority to regulate current scope instead Court did not grant grandfathering; decision focused on textual interpretation and reversed Commission's restrictive interpretation

Key Cases Cited

  • Shaffer v. Nebraska Dept. of Health & Human Servs., 289 Neb. 740, 857 N.W.2d 313 (2014) (appellate review of statutory/regulatory interpretation is de novo)
  • Chase 3000, Inc. v. Nebraska Pub. Serv. Comm., 273 Neb. 133, 728 N.W.2d 560 (2007) (agency rule interpretations treated like statutes)
  • In re Proposed Amendments to Title 291, 264 Neb. 298, 646 N.W.2d 650 (2002) (Commission may interpret existing rules under statutory authority but may not promulgate new rules without APA procedures)
  • Utelcom, Inc. v. Egr, 264 Neb. 1004, 653 N.W.2d 846 (2002) (regulatory language given plain and ordinary meaning; ambiguity required to construe)
Read the full case

Case Details

Case Name: In re Petition of Golden Plains Servs. Transp.
Court Name: Nebraska Supreme Court
Date Published: Jun 30, 2017
Citation: 297 Neb. 105
Docket Number: S-16-734
Court Abbreviation: Neb.