CCSB DOCKET 2017-2 SECTION I SUBJECT 1 Re: Pipe, Tubing, or Pipe or Tubing Fittings, aluminum, including Aluminum Electrical Conduits CCSB Contact: Erin N. Topper Telephone — (703) 838-8856 [email protected] Proponent: Commodity Classification Standards Board Present Classification Provisions Item Description Class CONDUITS, OTHER THAN EARTHEN, GROUP: subject to item 50750 50940 Conduits, electrical, aluminum, in straight lengths not exceeding 10 feet, inside diameter not exceeding 6 inches, with a wall thickness 0.0907 inch or thicker, threaded ends protected, with or without couplings or ferrules, see Notes, items 50942 and 518221, in packages ................. 70 50942 NOTE—Also applies on conduit in bent shapes not in excess of 10 percent of the weight on which charges are assessed. 52175* Pipe, Tubing, or Pipe or Tubing Fittings, aluminum, combined or not combined with other materials, NOI, in packages: Sub 1 Greatest dimension exceeding 192 inches .................................................. 100 Sub 2 Greatest dimension exceeding 96 inches but not exceeding 192 inches. 85 Sub 3 Greatest dimension not exceeding 96 inches ............................................... 70 *Published in Supplement 1 to NMF 100-AQ, effective April 15, 2017. Proposed Classification Provisions Item 50940 50942 Description Class CONDUITS, OTHER THAN EARTHEN, GROUP: subject to item 50750 Conduits, electrical, aluminum, in straight lengths not exceeding 10 feet, inside diameter not exceeding 6 inches, with a wall thickness 0.0907 inch or thicker, threaded ends protected, with or without couplings or ferrules, etc .............................................. Cancel; see item 52175 NOTE—Cancel; no further application. Note, item 51822, which read “Detached couplings, ferrules, valves or nipples must be in bags, boxes or drums,” was canceled effective April 15, 2017 by action taken on Subject 6 of Docket 2017-1 (January 2017). 1 ©2017 National Motor Freight Traffic Association, Inc. Subject 1, Page 1 of 6 CCSB DOCKET 2017-2 SECTION I SUBJECT 1 Proposed Classification Provisions — Concluded Item Description Class CONDUITS, OTHER THAN EARTHEN, GROUP: subject to item 50750 52175 Pipe, Tubing, or Pipe or Tubing Fittings, aluminum, combined or not combined with other materials, NOI, in packages: Sub 1 Greatest dimension exceeding 288 inches, subject to Item 170 and having a density in pounds per cubic foot of: Sub 2 Less than 15 ................................................................................................. 250 Sub 3 15 or greater ................................................................................................ 100 Sub 4 Greatest dimension exceeding 192 inches but not exceeding 288 inches, subject to Item 170 and having a density in pounds per cubic foot of: Sub 5 Less than 15 ................................................................................................. 200 Sub 6 15 or greater .................................................................................................. 92.5 Sub 7 Greatest dimension exceeding 96 inches but not exceeding 192 inches, subject to Item 170 and having a density in pounds per cubic foot of: Sub 8 Less than 15 ................................................................................................. 125 Sub 9 15 or greater .................................................................................................. 77.5 Sub 10 Greatest dimension not exceeding 96 inches, subject to Item 170 and having a density in pounds per cubic foot of: Sub 11 Less than 15 ................................................................................................. 110 Sub 12 15 or greater .................................................................................................. 65 Analysis Background of Proposal This proposal is based on the continuation of Research Project 1282 on aluminum pipe, tubing, or pipe or tubing fittings. The project was initiated in June of 2016 in response to reports of densities inconsistent with the then-assigned classes. Docket 2017-1, Subject 6 (January 2017) was a proposal based on the information developed through the project. As a result of action taken on that docket, new item 52175 was established, with classes predicated on greatest dimension. During the January 2017 CCSB meeting at which the proposal was considered, persons in attendance questioned whether the classes in the new item should be further delineated by density, in addition to greatest dimension. Since the last docket, it was found that Note, item 51822, which was canceled as of April 15, 2017 as a result of action taken on that proposal, is referenced by item 50940. Item 50940 applies on a very specific type of aluminum electrical conduit. The provisions of item 50940 were established as a result of action taken on Docket 831, Subject 22 (January 1983), which was a shipper proposal to add a new item for their products. Information from that record indicates the proponent’s densities ranged from 32.5 to 70.46 pcf, with an average of 44.16 pcf. A competitor’s products ranged in density from 24.3 to 60 pcf, with an average of Subject 1, Page 2 of 6 ©2017 National Motor Freight Traffic Association, Inc. CCSB DOCKET 2017-2 SECTION I SUBJECT 1 39.06 pcf. The value of the proponent’s products was $1.00 per pound (in 1983 dollars). There was no indication of any negative handling, stowing or liability considerations. The proposal was approved as modified, and the provisions first appeared in Supplement 5 to NMF 100-J, effective August 13, 1983. The provisions have remained substantially unchanged to the present. Due to the similar nature of these products and the aluminum pipe or tubing evaluated on the last docket, data for shipments moving under item 50940 has been incorporated into this record. Transportation Characteristics Density—The information of record includes 19,102 density figures observed firsthand on a CCSB dock survey and obtained through the CCSB’s Density Study2. The densities range from 0.60 to 70.61 pcf, with an overall average of 17.61 pcf. When the data is evaluated based on greatest dimension, where known, and a density break at 15 pcf, the following density ranges and averages are found. Greatest Dimension Exceeding 288 inches Greatest Dimension Exceeding 192 inches but not exceeding 288 inches Greatest Dimension Exceeding 96 inches but not exceeding 192 inches Greatest Dimension Not exceeding 96 inches Density Group (pcf) Less than 15 15 or greater Density Range (pcf) 2.46 – 14.88 15.07 – 70.50 Average Density (pcf) 10.24 31.21 Density Group (pcf) Less than 15 15 or greater Density Range (pcf) 1.10 – 14.98 15.00 – 69.92 Average Density (pcf) 8.68 29.25 Density Group (pcf) Less than 15 15 or greater Density Range (pcf) 1.16 – 14.96 15.00 – 70.59 Average Density (pcf) 9.08 27.27 Density Group (pcf) Less than 15 15 or greater Density Range (pcf) 1.10 – 14.98 15.00 – 70.00 Average Density (pcf) 8.06 28.60 The Density Study is part of an ongoing effort by the CCSB to collect information on actual shipments; it is not tied to any particular research project, nor does it target any particular product category. Carriers that choose to participate in the study periodically submit shipment data captured through their respective freight auditing programs. The data is identified by NMFC item, and only verifiable data points, which include the weight and the dimensions and/or cube of the shipping unit involved, are used. 2 ©2017 National Motor Freight Traffic Association, Inc. Subject 1, Page 3 of 6 CCSB DOCKET 2017-2 SECTION I SUBJECT 1 Handling—The aluminum pipe, tubing and fittings of record vary greatly in size, with reported lengths up to 360 inches (30 feet) and an average length of approximately 14 feet. As the length increases, the handling into and out of the vehicle becomes considerably more difficult, and certain equipment, or additional personnel, may be necessary to safely handle long shipments. Furthermore, as the length increases, cross-dock operations can be significantly affected. Often there is not enough room at carrier facilities to safely or easily handle and maneuver excessively long pipe or tubing. When secured to a lift truck skid or pallet the freight may be handled more readily with mechanical equipment, since there is clearance for the fork tines to get under and lift them. However, when the length exceeds 96 inches, even palletized shipments can be difficult to safely handle with mechanical equipment. The level of difficulty increases as the length of the article increases, even if fork extensions are available and used. Pipe or tubing tendered in bundles require extra care and attention during handling, as there is often no clearance under the bundle for fork tines. Stowability—Fittings and shorter lengths of pipe or tubing may be tendered in boxes, often unitized on lift truck skids or pallets, while longer pieces may be tendered in boxes, bundles or crates. When tendered in boxes or crates the shipments generally provide a flat load-bearing surface. Excessively long pipe or tubing tendered in boxes, bundles or crates may be difficult to stow with other general freight and will typically require floor loading. When floor loaded, it may be difficult to stow adjacent freight, and those tendered in bundles do not provide a flat load-bearing surface, which reduces or complicates the carrier’s ability to load freight on top and maximize vehicle utilization. Depending on the length of the package or handling unit, the carrier will have to ensure that the freight will fit in the vehicle. Liability—Pipe, tubing or fittings may damage other freight if not stowed properly within the vehicle and may be at risk for some damage from handling, particularly when the greatest dimension exceeds 96 inches. In this regard, the Note, item 50752 requires pipe, tubing and fittings having surfaces liable to damage to be in boxes, crates or fiberboard tubes or to be completely wrapped in material sufficient to prevent abrasion, marring or denting during transit. The Note also requires threaded or machined ends liable to damage to be protected with plugs or caps. One carrier reported a claims ratio of 0.35% for aluminum pipe or tubing, NOI, moving under former item 51820. No value information on the involved articles was obtained. Subject 1, Page 4 of 6 ©2017 National Motor Freight Traffic Association, Inc. CCSB DOCKET 2017-2 SECTION I SUBJECT 1 Relationship to CCSB Policies and Guidelines CCSB policies state that provisions that are a source, or potential source, of interpretation disputes should be amended, and classifications embracing related commodities should be combined. For these reasons, it would be in keeping with CCSB policy, as proposed, to cancel item 50940 with reference to item 52175 to combine provisions applying on similar commodities and to mitigate the chance of interpretation issues. The Note, item 50942 would be concurrently canceled with no further application. CCSB policies also state that classifications should reflect a commodity’s known transportation characteristics. The information of record includes 19,102 density observations, which average 17.61 pcf, with a range from 0.60 to 70.61 pcf. Under CCSB guidelines, an average density of 17.61 pcf would generally call for class 70, absent any negative handling, stowing and liability considerations. However, as discussed in this analysis, pipe, tubing and pipe or tubing fittings exhibit significant negative handling, stowing and liability considerations. Specifically, it was found that greatest dimension has the most considerable effect on the transportability of these products, and as greatest dimension increases the issues increase exponentially. Due to the range of densities exhibited within each of the greatest dimension delineations, the tables below identify the resulting average densities, classes based on CCSB density guidelines and the proposed classes when the data is evaluated based on greatest dimension (in eight-foot increments) and a density break at 15 pcf. Greatest Dimension Exceeding 288 inches Greatest Dimension Density Group (pcf) Less than 15 15 or greater Average Density (pcf) 10.24 31.21 Guideline Class 100 60 Class Adjustment Density Group (pcf) Average Density (pcf) Guideline Class Class Adjustment Less than 15 8.68 110 200 15 or greater 29.25 65 92.5 Density Group (pcf) Average Density (pcf) Guideline Class Class Adjustment Less than 15 9.08 100 125 15 or greater 27.27 65 77.5 Exceeding 192 inches but not exceeding 288 inches Greatest Dimension Exceeding 96 inches but not exceeding 192 inches Greatest Dimension Not exceeding 96 inches Density Group (pcf) Less than 15 15 or greater Average Density (pcf) 8.06 28.60 ©2017 National Motor Freight Traffic Association, Inc. 250 100 Guideline and Proposed Class 110 65 Subject 1, Page 5 of 6 CCSB DOCKET 2017-2 SECTION I SUBJECT 1 Based on the information of record, as greatest dimension increases, the more difficult the pipe, tubing, or pipe or tubing fittings are to handle and stow. The proposed classes account for the increasingly less-than-favorable handling, stowing as well as liability characteristics. The class assignments to pipe, tubing and fittings having greatest dimension exceeding 96 inches—in respective eight-foot increments—reflect the increasingly significant handling, stowing and liability problems associated with those articles. In this regard, an additional greatest dimension delineation at 288 inches would be added to item 52175 in view of reported lengths of up to 360 inches. This proposal is also in keeping with CCSB precedent. As a result of action taken on Subject 1 of Docket 2017-1 (January 2017), new item 108775, applying on ladders or stepladders, NOI, was established with classes predicated on greatest dimension and density. That proposal was approved as docketed, and the provisions first appeared in Supplement 1 to NMF 100-AQ, effective April 15, 2017. Based on the information of record, this proposal, as docketed, is in keeping with CCSB policies and precedent. Subject 1, Page 6 of 6 ©2017 National Motor Freight Traffic Association, Inc.
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