October 7, 2003

The Michigan Public Service Commission (MPSC) today suspended the effective date of the rate increase requested by Champion's Auto Ferry, Inc. for roundtrips between Harsens Island and Algonac until December 1, 2003.  The suspension will allow the MPSC to investigate whether the company's proposed rate increase is justified.

Champion's Auto Ferry filed with the Commission a tariff that proposes to raise the rates for round-trip passenger vehicles from $5 to $6; trucks from $10 to $12; hazardous materials haulers from $22 to $24; multi-axle trucks from $10 to $12; and dual wheel pick-up trucks from $5 to $6.  The proposed rate increase would yield increased revenue of approximately $147,000 annually.  The effective date of the proposed rate increase was November 1, 2003.

"This proposed rate increase is significant since this ferry service is the only mode of transportation for those who live on Harsens Island," said MPSC Chair J. Peter Lark.  "Therefore, it deserves close scrutiny.  The suspension of the effective date for 30 days will allow the Commission to investigate whether this proposed rate increase is indeed justified."

Today's order keeps the tariff previously issued by Champion's Auto Ferry in effect until further order of the Commission.  Administrative Law Judge Daniel E. Nickerson, Jr. will conduct an evidentiary hearing on the proposed rate increase at 9 a.m. on October 23, 2003.

The MPSC is an agency within the Department of Consumer and Industry Services.


Case No. T-1572

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