BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

In the Matter of a Petition Seeking Permission to Temporarily Discontinue 
Commercial Ferry Service Authorized 
Under a Certificate of Public
Convenience and Necessity

by

PACIFIC CRUISES NORTHWEST, INC., BC-10,

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	)
	) DOCKET TS-001864
	)
	) ORDER GRANTING
	) DISCONTINUANCE OF
	) SERVICE AUTHORIZED
	) UNDER CERTIFICATE,
	) WITH CONDITIONS
	)
	)
	)
	)

BACKGROUND      

1 On November 30, 2000, the Commission received a petition from Pacific Cruises 
Northwest, Inc.  (PCNW), holder of certificate of public convenience and 
necessity Number BC-10. The petition  requests that the Commission grant PCNW 
permission to temporarily discontinue providing the   commercial ferry service 
authorized under its certificate of public convenience and necessity.  The  
petition seeks a 12-month discontinuance of service under the provisions of WAC 
480-51-130.   

2 WAC 480-51-130 provides that:  

   No certificate holder shall discontinue the service authorized under its 
certificate and set forth   in its filed time schedule without first having 
given to the commission and to the public, at least   fifteen days' notice, in 
writing, of its intention to discontinue such service, and without having   
secured the commission's permission.  The commission shall not grant permission 
for    discontinuance of service for periods exceeding twelve months.

3 The petition cites the following as reasons for requesting the temporary 
service discontinuance:

   (a)  PCNW is seeking to integrate regulated intrastate service on its 
existing international ferry route to  Victoria, British Columbia.  However, 
PCNW has been unable to resolve customs clearing logistics   on San Juan Island 
to permit passengers to freely disembark from the vessel while enroute from   
Victoria.  PCNW is working with the U. S. Customs Agency to resolve this issue, 
and anticipates   resolution sometime during 2001.

   (b) PCNW is actively pursuing various alternatives in dinner, regular route, 
and sightseeing cruise  areas.  PCNW's petition states, however, that these 
alternatives cannot be confirmed in time for the   2001 sailing season and the 
preparation and printing of schedules and advertising pertinent to those   
alternatives.

   (c) PCNW is continuing to explore tour and commercial ferry opportunities 
with various public and  private interests in Whatcom and San Juan County areas 
in order to ensure greater viability of   regulated intrastate routes.  The 
petition states that although none of PCNW's efforts has to date   resulted in 
viable business plans, PCNW is committed to pursuing the arrangements and hopes 
to   market or otherwise tie the proposals into its current viable 
international sailing route between    Bellingham and Victoria offered from May 
to October annually.

FINDINGS

4 Pursuant to review of the petition, the Commission finds that granting a 
12-month temporary   discontinuance of service at this time is warranted.  PCNW 
may request extensions to the   discontinuance should circumstances continue to 
support such action.  It will be PCNW's   responsibility to apply to the 
Commission for extension at least 60 days prior to the expiration of the  
discontinuance authorized in this docket.  That filing must be accompanied by 
data detailing  PCNW's  progress in resolving issues that resulted in PCNW's 
original request for a temporary discontinuance  of service.  

5 Further, the Commission will impose a condition that provides for passenger 
service should the need  arise.  Under this condition should an immediate need 
be demonstrated for commercial ferry service,  PCNW must be prepared to resume 
service to meet those needs.  If PCNW cannot or will not   resume service the 
Commission will consider that PCNW has waived interest in its commercial ferry  
certificate.  The Commission will then institute proceedings to cancel PCNW's 
certificate and to grant  authority to another carrier that is prepared to meet 
the needs of the traveling public.

6 The Commissioners have reviewed the petition and have been fully advised in 
the matter.  They   believe granting the petition, subject to the conditions 
set forth below, is in the public interest, and  direct the Secretary to issue 
the Order.

O R D E R


7 THE COMMISSION ORDERS:

8 Permission is granted to Pacific Cruises Northwest, Inc., BC-10, to 
temporarily discontinue the   service provided for under its commercial ferry 
certificate.

9 The discontinuance period is to begin April 12, 2001, and to expire April 11, 
2002.

10 Pacific Cruises Northwest, Inc., may apply to the Commission to extend the 
period of discontinuance  by filing a new petition that fully describes the 
need for continued discontinuance of service.  That  petition must be filed at 
least 60 days prior to the expiration date of the current discontinuance. 

11 Should an immediate, urgent need arise for commercial ferry passenger 
service in the territory   authorized by BC-10, Pacific Cruises Northwest, 
Inc., must return to service to meet that need.  In  the event that Pacific 
Cruises Northwest, Inc., cannot or will not provide such service, the   
Commission shall consider that Pacific Cruises Northwest, Inc., has waived 
interest in its certificate.   The Commission will institute a proceeding to 
cancel the certificate of Pacific Cruises Northwest, Inc.,  and to grant 
authority to a common carrier that is prepared to meet the needs of the 
traveling public.  

 DATED and signed at Olympia, Washington this 11th day of April, 2001.

 WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




      CAROLE J. WASHBURN, Secretary