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210' CONGRESSIONAL RECORD-SENATE JANUARY 10 H. R. 748. A bill for the relief of T. L.
Truitt; to the •Committee on the Judiciary. H. R. 'M9. A bili for the relief of :r. 'R.
Mahon; to t he -Committee on 'the J.udiei:ary. 'H. R. !:l50. A 'bill !for the Telief •of W. '•B.
Lacy; to the Committee on the ..Judictacy. 1'1. R.'"751. A bill for'"the .rellef of W. W.ICox;
to the 'Committee on the Judiciary. H. R. 752. A bill for the .relief of G. W. :Cox;
to ·t'be.Committee o-n the Judiciary. H. R. 753. A bill for the relief of J. M. C.ox;
to the Committee on the .:Jucliciary~ "H. R. 7~. A bill ior the reliet of R 'I!. Cox;
to the Committee on 'the Judiciary. H. !R. 7§5. A bill <for the relief •of J. W. Cox; .
to the Committee en ·the Judiciary. By Mr. GWINN of New York:
H. R. 756. A 'bill for t:Be re1ief of Uta 'Bulmer; to the Committee on ·the .:JruGlteiary.
H. R. 757. A bill for the relief of Frances Monfort; to the Committee on the lJndiciary.
H. R . 758. A bill for the Teltef of Jack Cebamanos Monfort; to the Committee on the Judiciary. ·
H. R. 75.9.. A bill .for the reliief '.Of GE!orgius Ekaterinis; to .the Committee on · the Judiciary.
By Mr. LARCADE: lL B.. 760 . .A. bill .for the :r.elief of WiJJ.iam
W.. Maddox; t .o the Committee on the Judiciat:Y.·
H. R. !161. A bill for the relief ,of MrB. Anthony D. Chamber1ain; to the Commit.tee on the 4udic1a:cy.
H. R. 762. A bill for the relief of "Dudley_ Tarver; to the Committee •On the ,Judiciary.
By .l4r. LESINSKI: H. R. 763. A bill -for the ;r-elief ..of Anto:nlo
Pardo Gonzalez; to the Committee on the Judiciary..
By Mr. McDG.lilOUGH: H. R. 764:. A bill t~or th.e rel,ief ..of Frank E.
Wilmot; ro the .Committee on the .Ju.aieiary. H . R. '7.65. A bill tor the :relief of ~lwoad L.
Keeler; to th:e Ccnnmit tee on the Judici.ary. H. R. 766. A bill for the .relief of Stanley S.
Kutkowsk_y:; to the Committee on the Judiciary.
H. R. 7B7. A bi).l f-or the re-lief of J.Jarrayne ~. Graw; to the Committee .on -the ,Judiciary.
By Mr. MILLER of Cali:f.ornia: H. 'R. 768. A bill for the reli-ef of .Mrs. Vesta.
Meinn an.d Mrs. Edna Willi-ams; to the Committee ;on the Judiciary.
By Mr~ RICHARDS: H. R. 769. A bill for th:e relief of the estate
of Ruth Horton Hunter; to the Committee on the Judiciary.
By Ml:. SASSCER: H. R. 770. A bill for 'the relief of Norman
Abbott; to the Committee on the Judiciary. 'By Mr. WEICHEL:
H. R. 771. A bill f.or tlle relief :O.f Edwin R. Samsey; to th-e Committee an the Judiciary.
SENATE FRIDAtT, JANUARY 10, 194 7
The Chaplain, 'Rev. Peter Marshall, D. D., o:ffer'ed the following prayer:
Lord Jesus, Thou hast prorilised to give us the Holy Spirit if we are willing to open our hearts and let Him in. Make us willing now that tbings .of etermi.l significance may begln to h-appen · h~re. We know deep down in .our heaTts that without Th¥ ,guidance we can do nothing, but with Thee we can ao s:n things. :Let us not be frightened by the problem'S that confront us, but rather _give Thee thanks tlmt Thou hast matahed ns 'Wlth this bour. 'May we resolve, God lle1ping
us, to 'be part of the answer, and not part of the probrem.
For Je.suS' sa'ke. .Amen. 'THE JOUBNIAL
On .request of 'Mr. WHITE, and by unanimous ..consent, the .reading of the .JDur.nail .of the proceedings of Wednesday, J.anuariV 8., i9.47, w.as dispensed with and tb.e J.ouma'l as :apprev.ed.
MESSAGES FROM THE PRESIDENT
.Messages in writing irom the President of oth'e United states were communicated to the 'Sen-ate 1by Mr. Miller, one of his secretaries.
CALL OF :I:'HE 'ROLL
Mr. WHITE. I sug..gest the absence of a quorum.
The PRESiDENT pro tempore. The clerk will call the .roll.
'l:be Chief ·Clerk ailed 't1le rrul, ~and the .follow.ing Senator.s answered to thei,r names: A'iken lliayden BaldWin Mieken,'looper Ball Hill BarJtL~ :He.~ Brewster Holland Bridges Ives Brooks .J.enner BuCk Johnson,'Colo. BuSbfleld .:Johnston. S.JC. Byrd K'em Cain KUgo:r.e Capehart Knowland capper LaJ+ger Chavez ·Lodge Connall,y 'Lucas Cooper Me0a1'ran Cordon 'McOaT'tlh~ Donllleil .iMcClellan D.worshaJt Mc.Farland Eastland McGrattl Ecton Mc:Kell:ar Ferguson Nl&gn:uson Flanders Ma'lone Fulbright M!:~,ybank Ge01~e 'Ei11ik'in Green Moore GurnE:Y Mor.se Hatch Murray Hawkes ~ers .
OConor 1Q'Danlel O'Mailaney ·o:v.el"ton Pepper Reed Robertson, V..a. Robertson, Wy.o. Russell Saltonstall .Bmi.th Sparkman 'Stewarl Ta,ylor Thomas, Ukla. Thomas, Utah 'Thy.e Tobey U1Yd1Ilgs ~andenberg Watkins 'Wberr_y White wney W1111B1ml W.llson Young
Mr. WHERRY. I announcce that my colleague the senior Senator 'from Neb:raska rMr .. l.Btr:rLER1 is absent on official business..
The Senator from Ohio [Mr. BRICKER], the Senator from Pennsyl.vania [Mr. MARTIN], ~ the Senator from West Virginla rMr. REVERCOMBJ are absent by leave of the Senate.
Mr. LUCAS. I announce that the Senator from Cali.:f.ornia [Mr. DowNEY] is absent on o:ffiGial business.
The ·senator fFom Louisiana JMr. ELLENDER], the Benator from Connecticut [Mr. McMAHON], and the Senator from New York IMr. WA'GNERJ are necessarily absent.
The Senator from North Carelina IMr. UMSTEAD J is detained on public business.
The PRESIDENT pro tempore. Eight-y-five &Raters having answered to their names, a · quorum is present.
.EXECUTIVE IOOMMONICATIONS., ETC.
The P..RESIDENT :pr.o tempore laid 'before the Senate .the Iollow'lng letters, which .were .ref.err.eQ as inc:ticated: REPORT OJr OBaTAnf 1la:Jl.t.TUDIS ·zr \tiD :Ni\VY
Dill'~ A 'let'ter from -the Secre:tary -of the 'Nmry,
transmitting, _pursuant to law, a -list of institutions and ~izations, -al11 nonprofit 'and
eLigible, "Which have . requested donations from the Navy i!>epartment (with .an aocom·panyin_g re_port) ; to the Comnlltt~e •On tArmed Services.
REPORil' RELATIVE TO 'TRirAL lNBURANCE ON 'l!OBAl::CO AND CORN
A letter from the Acting Secretary of Agriculture, transmitting, pursuant to law, areport oT the 'Flederal -crop insurance Corporation, relativ-e to trial insurance on tobacco and corn (with an accompanying Tepor't); to the _Committee on Agriculture ana Forestry. JuLIUs 'STEIN, MANAGER, TULARE 'FARM LABoR
SUPPLY CENTER
A letter :fr.om the Under Secretar-y .of .Agriculture, tr.ansmittit~,g a draft of. proposed -legislation to pr..ovlde .for the relief of .Julilis Stein, manager, Tulare .F.arm 'Lab.or 'Supply Center, Linnell, Calli. (with an acco.n:>,panying paper); to the Committee on the Judiciar¥.
REPORT OF 0o.MPTROLLER fiENEB.AL
A letter from the Comptroller General of the United States, transmitting, Ji)Ursuant to law.. a report .o'f ·the Comptrollm' GeneYal ef the United -states Df the 'WOrk of !the G:eneral . Accounting omce !or t·he fiscal year 1946 (wlth an .accompan,Ying report); to the Committee on Expenditures in -the Executive Depar~ents. ·
REPORT ON 'CONT.RA:E:TS B'Y U'NITED STATES 'MA'JtlTIME CO'MMISSION
A letter from the 'Chairman -of tbe United States Marttime Commission, :transmitting, pm:suant to law, a report of 'Contracts entered into or modifioo QY :the 'LTnited .states Maritime Commission (with .an accompany-· ing r.e,Port); to the Committee on 'Jnters.tate m:td 'Foreign ·commerce.
Su.PPLEMENT:&L .REPORT -ON GoVERNMENT"C>WNED PIPE. _LINES
A letter from the Admin1stra:tor of 'the War .Assets Admiinil;tration, transmitting, pursuant :t.o law.., a .:SlJtPpm.mental .r.epor.t 'Dil Gov.: ernment-owned pipe lines (;wi th an· accompanying report); to the Committee on Armed Services.
REPDRT O:N LmD ACQm&rl"'INB
A letterftom the Chairman Df· tbe .National ~ Capital Park and Planning Commission, transmitting, pursuant to law, a lif;t of land acquisitions for parks, ,Parkwa.Ys. and playgrounds, east of each tract, and method of acquisition !by the National C.apitaJ. Paik and Planntng Commission, .ftscat year ended June 30, 1~46 (with acc0mpanying papers); to the Committee on Pubiic Works.
THE BUDGET
· The PR-ESIDENT .pr.o tempore. The Chair lays before the Senate the President's Budget message lior 1948. 'The letter of transmittal ,comprises 60 printed pages. The Chair suggests that it might . be satisfa'Cto:ry to dispense with the readin.g of the communication and ·have it printed in the REcoRD.
Mr. TO~E¥ . . I migbt ·saywith Shakespeare, "For this relief, much thanks."
The PRESIDENT pro tempore. If there is no objection, the course the Chair has :sugge-sreu w1ll be followed and the letter of transmit.tal .and the Budget will be .referred to tbe Committee on Appro-priations. .
(For letter of transmittal, see p. 2.3'1 of the House proceedings of today.')
PETITIONS AND MEMORIALS
Petitions, ~tc., were laid before the Senate, or presented, and ref-erred as indiea'ted: ·
A letter from the S:ecretary of Labor, transmitti~g a -resolution ado.Pted by the
•
1947 CONGRESSIONAL RECORD~SENATE 211 Thirteenth National Conference on Labor Legislation, composed of Governors' representatives from 48 States, in meeting at Washington, D. C., relating to increased participation by the States ·· in the program of the International Labor Organization; to the Committee on Labor .and Public Welfare.
A resolution adopted by the Juneau (Alaska) Chamber of Commerce favoring the Executive order dated August 2, 1946, curtailing the expenditures of funds by the Congress for flood control, · river and harbor improvement, for the fiscal year ·1947; to the Committee on Public Works.
A radiogram in the nature of a petition from Ernest Gruening, Governor of Alaska, stating that the Alaska Development Board condemns and urges the rejection of the proposal of the Alaska Steamship Co. and Northland Transportation Co., dated November 19, 1946, covering interim operation of water carriers in the Alaska trade; to the Committee on Interst ate and Foreign Commerce.
A memorial of certain citizens of Brooklyn, N. Y. , remonstrating against the seating of Senator-elect THEODORE G. BILBO, of MissisSippi; to the Committee on Rules and Administration.
By Mr. LODGE· (for himself and Mr. SALTONSTALL) :
A resolution adopted by the Cardinal O'Connell Council, No. 2919, Knights of Columbus, assembled in regular meeting at the American Legion Hall, Chestnut Hill, Ma.ss., relating to the trial and conviction of the Most Reverend Archbishop of Zagreb, Yugoslavia, Aloysius Stepinac; to the Committee on Rules and Administration.
USE OF GRAIN IN MAKING WHISKY AND DISTILLED...·SPffiiTS....
Mr. CAPPER:- Mr. President, I received from Mrs. A. F. Goad, corresponding secretary of the Woman's Christi~n Temperance Union, of Augusta, Kans., a memorial against the_ increased use of grain for making_ whisky and distilled spirits. I ask unanimous consent to have this memorial from the women of ·Kansas printed in the REeoan and appropriately referred.
There being no objection, the petition was referred to the Committee .on Agriculture and Forestry, and ordered to be printed in the REcoRD, as follows:
AUGUSTA, KANS., November 19, 1946. Mr. CLINTON ANDERSON,
Secretary of Agriculture, . Washington, D. C.
DEAR SIR: The Associated Press of October 21 carried this news item from Washington:
"The Agriculture Department announced tonight that the Nation's distilling industry will be granted about 16 percent more grain for making whisky and distilleft spirits in October and subsequent months until further notice. It also granted brewers about 6 percent more grain."
This note is sent to you to raise vigorous protest against the above action.
In a world that is hungry, cold,_and needy, the above action by a civilized Nation (even called a Christian Nation), is, to say the least, wasteful and disgraceful.
And, not only that, but it means ruined manhood and womanhood in our own Nation.
And sufficient grain_ is not available for steck feed and is at a prohibitive price.
As women of the Woman's Christian Temperance Union in session this afternoon we hereby register our opposition to this action and request that it be rescinded.
Enclosed you will find a copy of the action taken in the spring by a group of people, all
of them living in Augusta or its near vicinity except two-a total of 205 people.
Yours truly, Mrs. D. A. Zahn, President; Mrs.
George Patton; Mrs. William A. Johnson; Mrs. Minnie Ralston; Mrs. Williaxp. Olson; Mrs. George Snider; Mrs. F. S. Anderson; Mrs. John Luding; Mrs. C. C. Hooper; Mrs. C. E. Hanes; Mrs. A. Auer; Mrs. M. J. Cash; Mrs. C. B. Robb; Mrs. N.D. Smith; Mrs. Roy Skeels; Mrs. A. Holladay, Vice President; Mrs. A. F. Goad, Corresponding Secretary.
PROMOTION OF WORLD PEACE-ADDRESS BY SENATOR THOMAS OF UTAH
[Mr. THOMAS of Utah asked and obtained leave to have printed in the RECORD an address entitled "What We Must Do To Promote World Peace," delivered by him in the Salt Lake Tabernacle on Armistice Day, Novem.ber 11, 1946, which appears in the Appendix. J ROLE OF THE SENATE IN FOREIGN POL-
ICY-ADDRESS BY SENATOR THOMAS OF UTAH
[Mr. THOMAS of Utah asked and obtained leave to have printed in the RECORD an address entitled "The Senate's Role in Foreign Policy," delivered by him before the Institute of World Affairs at Riverside , Calif., December 9, 1946, which appears in the Appendix.]
GOD'S LAW IN MODERN LIFE-ADDRESS BY SENATOR FLANDERS
[Mr. \:;APPER asked and obtained leave to have printed in the RECORD a radio address entitled "God's Law in Modern Life," delivered by Senator. FLANDERS on Laymen's. Sunday, October 20, 1946, which appears in the Appendix.]
ATTITUDE OF NATIONAL GRANGE ON AGRICULTURE
[Mr. CAPPER asked and obtained leave to have printed in the RECORD the action taken by the National Grange at its eightieth annual session at Portland, Oreg., in Novem .. ber, regRT.ding agriculture, which appears in the Appendix.)
THE -suGAR PROBLEM--EDITORIAL.. FROM THE WASHINGTON POST'
[Mr. HATCH asked and obtained ·leave to have printed in the RECORD- an editotlaLentitled "Now It's Sugar," from the-washington::. Post of January 10, 194-'7, which appears in the Appendix.} ·
BILBO'S DRUMHEAU. TRIAL-EDITORIAL FROM THE BOSTON HERALD AND ARTICLE BY ZACHARIAH CHAFEE, JR.
. [Mr. HOEY asked and obtained leave to have printed in the RECORD an editorial entitled "BILBO's Drumhead Trial," from the Boston Herald, and an article by Professor Zachariah Chafee, Jr., of the Harvard Law School, which appear in the Appendix.}
CONGRESS COMES BACK-ARTICLE BY FRED BRENCKMAN
[Mr. ROBERTSON of Virginia a.sked and obtained leave to have printed in the RECORD an article entitled "Congress Comes Back," by Fred Brenckman, Washington correspondent for the National Grange Monthly, which
- appears in the Appendix.}
TAX REDUCTION-EDITORIAL BY C. F. BYRNS
Mr. McCLELLAN. Mr. President, one of the most important issues that will come before this Congress is that of tax reduction. There appeared in the Fort Smith <Ark.) Southwest American on January 6· an editorial by the editor,
C. F. Byrns, which is a very able discussion of this problem. Mr. Byrns' logic -and reasoning are so sound that the editorial will commend itself to the consideration of the Members of this body, and I ask unanimous consent that the editorial be inserted in the RECORD as a part of my remarks.
There being no ol;>jection, the editorial was ordered to be printed in the RECORD; as follows:
OFF THE RECORD (By C. F. Byrns)
The No. 1 bill of the Republican majority in the House of Congress proposes to cut income taxes 20 percent on 1947 incomes.
The No. 1 job of the party now in power is to manage the financial affairs of the Government so that there will be enough money to provide an adequate defense, carry on the essential operations of Government, and cut down the national debt.
A cut in income taxes is popular. I'd love it, personally. So would you. But my personal feeling about my own tax bill is not the final consideration. I'd love it, too, if J had no income tax to pay-nor any other kind. But · it would be disastrous for the country, and finally disastrous for me. The decision on a tax cut or no tax cut must be pitched on a broader plane · than the individual's selfish desire to save some of his tax bill.
Right now, the people of this country have more cash income than they ever had before. Maybe not every one of them, but all of them together. The total national income for 1946 is officially reported at about 164 billions, slightly higher· than in 1945. If we are~t going to make a sizable dent in the national debt now, we never will . . If we aren't going to provide now_for essential protection and developm.ent of our natural resources, ·with such things as flood control, navigation, and other programs of that sort, we never will.
If the RepubUcans can·. trim some of the waste out of Government expenses-· and get the. budget down- to a. point where a tax -cut is intelligent, then ~ I'm all for it. But- I'm not for it at the expense of the national . defense, nor the orderly de.velopment of internal improvements,. nor the essential.ser.Y.-1ces of government nor the reductions we should b.e making in these-good times. iQ the
· nationaL debt . .. At this moment, high taxes loom up as an
important public complaint. But at this moment, we are better able to pay- high taxes than we have evet been before. It is possible, although by no means certain, that we shall not see again in our lifetime a na-tional income as large as it is now. ·
It seems to me a sound principle of taxation to get the money when the getting is easy and reduce the demands on the taxpayer when he has less to spend. · Usually, we have operated in the other direction. When income is high and tax revenues are rising-as they have been in Arkansas and in the entire Nation in the past few years-people look at the big figures and cry out for tax reductions. At least they resist tax rises on the ground that they are not needed: When the income drops and tax revenues drop with it, cuts in t axes are resisted because the Government agencies need the money to carry on essential services, including the extra expenses caused by depression. In such circumstances Government has gone into debt.
The National Government has been on a. deficit basis since the early thirties. The debt has mounted to a figure impossible for most of us to grasp-somewhere around $275,000,-000,000. (What is a few billions, more or less?) There is a chance now to make some reduction in that debt. There is a great
212 CONG-RESSIONAL RECORD-SENATE JANUARY 10 popular cheer awaiting anybody who will cut taxes. The chances are the tax cut will win. But I keep wondering if it really makes sense. PERSONS EMPLOYED BY COMMITTEES
WHO ARE NOT FULL-TIME SENATE OR COMMITTEE EMPLOYEES
The PRESIDENT pro tempore laid before the Senate a report from the chairman of a certain committee, in response to Senate Resolution 319 (78th Cong.), relative to persons employed by committees who are not full-time employees of the Senate or any committee thereof, which was ordered to lie on the table and to be printed in the RECORD, as follows:
SPECIAL COMMITTEE INVESTIGATING NATIONAL DEFENSE
JANUARY 1, 1947. To the Sen ate:
The above-mentioned commit tee . hereby submits the following report showing the names of persons employed by the committee who are nett full-time employees of the ~nate or of the committee for the month of January 1947, in compliance with the terms of Senate Resolution 319, agreed to August 23, 1944:
Walter F. Connell, 4632 Yuma Street NW.; Bureau of Internal Revenue; annual salary, $5,905.20.
W. Harold Lane, 1436 North Inglewood, Arlington, Va.; Bureau of Internal Revenue; annual salary, $7,102.20.
Frank D. Byrne, 510 Pershing Drive, Silver Spring, Md.; General Accounting Office; annual salary, $7,341.60.
Paul F. Morrison, 1205 Braddock Road, Alexandria, Va.; General Accounting Office; annual salary, $5,403 .80.
OWEN BREWSTER, Chai rman.
REDUCTION OF NONESSENTIAL FEDERAL EXPENDITURES--ADDITIONAL REPORT ON FEDERAL PERSONNEL
Mr. BYRD. Mr. President, during the month of November 1946 Federal employment, both inside" and outside the United States, dropped 111,006 from the October total of 2,441;473 to the November total of 2,330,467. Inside the United States employment dropped 101,475 from the October total of 2,125-,469 to the November total of 2,023,994. Decreases in the War and Navy Departments totaled 40,325. Outside the United States employment dropped 9,531 from the October total of 316,004 to the November total of 306,473.
Largest increases occurred in the Veterans' Administration, which added 8,364 employees, to bring their total to 221 ,760, and the War Assets Administ ration, which added 1,599, to bring their total to 58,922. Largest decreases were in the War Department, which dropped 46,651; the Post Office Department, which dropped 37,345; the Labor Department, which, by following the direction of the Congress to return the United States Employment Service to the St ates, dropped 22,720; the Department of Agriculture, which dropped 6,516; the Navy Department, which dropped 3,456; the Office of Price Administration, which dropped 2, 706; the Interior· Department, which dropped 1,312; and the Reconstruction Finance Corporation, which dropped 1,033.
The relief which the sorely pressed taxpayer might feel in reading such figures must be mitigated somewhat by two considerations which should be borne in
mind. The first of these is that a portion of this decrease is found among seasonal a_nd temporary employees, who quite possibly may be hired again at a later date. The second is that over-all em.:. ployment, with the exception of the War and Navy Departments, is still considerably greater than it was on VJ-day. On August 31, 1945, Federal employment, excluding War and Navy but including that of 19 war agencies, stood at 1,117,-456. On November 30, 1946, this same group of establishments t otaled 1,296,-397. In other words, the reductions which are now taking place are not reductions below our war-peak total; rat her, they are merely decreases which still leave the Federal Government, excluding the War and Navy Departments, with 178,941 more employees than it needed to beat Germany and Japan.
I have heard the argument that certain agencies, forced to curtail their normal peacetime activities because of the war, now need additional employees to handle the . backlog of work, and also that the war and its aftermath have given the agencies additional responsibilities requiring more employees. Accepting this , let us· examine Federal employment as of December 1939. At that time there were 706,700 Federal employees within the United States, not including those in the War Department and Navy Department. As of November 30, 1946, there were 1,240,378 such employees within the United States and 56,019 overseas. Also, in December 1939 there were 222,136 civilian employees in the War and Navy Departments, while as of November 1946, there are 783,616 civilians in the War and Navy Departments, nor does this include 250,454 civilian War and Navy Department employees overseas. Certainly these figures offer convincing proof that our Government is still needlessly overm~nned; that our country is still needlessly over-governed; that our taxpayers are still needlessly over burdened.
The new Congress, regardless of political affiliation, must not shirk the duty which the departments and agencies, by their failure to reduce to peacetime requirements, have forced upon it. At present the annual pay roll of the executive branch of the Government approximates $6,250,000,000. This is $1,500,000,-000 more than the entire Government spent for all purposes in 1933. The executive branch now employs more people than all the State, city, and county governments of the entire · 48 States. With the exception of school teachers this includes, beside the regular State and municipal authorities, all the policemen, firemen, and public-service employees of the entire Nation. I call upon the Congress to correct this evil. If we are ever to balance the budget, to reduce the national debt, we must do it now. And we cannot do it with 2,330,000 Federal employees.
I ask unanimous consent that an additional report of the Joint Committee on Reduction of Nonessential Federal Expenditures relating to Federal personnel be printed in the RECORD.
There being no objection; the report was ordered to be printed in the RECORD, as follows:
FEDERAL PERSONNEL I_N THE EXECUTIVE BRANCH NOVEM BER 1946, AND A COMPARISON WITH OCTOBER 194 6
(All figures compiled from reports signed by the heads of' FederS.l establishments or t heir authorize-d representatives) According to monthly personnel reports
submitted to the ··Joint Committee on Reduction of Nonessential Federal Expenditures, Federal personnel wit hin the cont inental United States during November decreased 101 ,4.75 from a total of 2,125,469 in October to 2,023 ,994 in November. Excluding the War and Navy Departments, personnel decreased 61 ,150 from the _October total of 1,301,528 to the November total of 1,240,378. The War Department within the United States decreased 37,017 from the October tot al of 492,162 to the November total of 455 ,145. The Navy Department il}side the United States decreased 3,308 from the October figure of 331 ,779 to the November figure of 328,471. (See t able I.)
Outside the continental United States, Federal personnel decreased 9 ,531 from the October tot al of 316,004 to the November total of 306,473. The majority of these employees are industr ial workers. (See tables II and IV.) Exclusive of the War and Navy Departments, there was an increase of 251 from the October figure of 55 ,768 to the November figure of 56,019.
The consolidated table present_ing data with respect to personnel inside and outside continental United States shows a total decrease of 111,006 from the October total of 2,441 ,473 to the November total of 2 ,330.467. Excluding War and Navy Departments · reductions of 50,107, there was--a decrease of 60,899 employees in the executi~e branch of the Federal Government from the October figure cif 1 ,357 ,2~6 to the November figure of 1,296,397. (See table · III.) ' .-. Industrial employment during the month
of November decreased 30,852 from the October total of 690,009 to the November total of 659,757. The War Department decreased 9,872 outside continental United States and decreased 18,111 inside the United States in the industrial group, making a total reduction of 27,983 employees. The Navy Department showed a decrease of 2,786 industrial employees. The term "industrial employee&" as used by the committee refers to unskilled, semiskiiled, skilled, and supervisory employees paid by the Federal Government, who are working on construction projects such as airfields and roads and in shipyards and arsenals. It does not include regular maintenance and · custodial employees. (See table IV.)
TABLE I.-Federal personnel i n side conti nental United States employed by executive agencies during November 1946 and comparison w i th October
Increase Departments or agencies October N~~~m- dc;Je:e
(-)
Executive Office of the President: Bureau of the B_udget__ _____
1 ______ 746 700 +4
Executive departments (except War and Navy Departments):
Agriculture Depart-ment ______ --- ------ 88, 728 82,114 - 6,614
Co=erce Depart-ment ___________ ____ 35,082 35,513 +431 Interior Department_ 45,213 44, 188 -1,025 Justice Department __ 24,268 24,022 ..!.246 Labor Department_ __ 30,288 7, 629 -22,659 Post Office Depart-ment ____ ________ ___ 494,244 456,894 - 37,350 State Department ____ 8, 502 8, 587 +85 T reasury D epart-
ment _ --- ----------- 101,787 101, 655 -132 Emergency war agencies:
Office of Defense T ransportation _____ 99 103 +4
Ofli.ce of Price :Ad-ministration __ ___ __ _ 34,679 31,993 - 2, 686
..
1947 CONGRESSIONAL RECORD-SENA.TE 213 TABLE I.-Federal personnel inside continen
tal United States employed by executive agencies during November 1946 and comparison with October-Continued
Increase Departments or agencies October N~~~m- d~tj~~e
(-)
---------11----------Emergency war agencies
Continued Office of Scientific Re
search and Devel-opment ... _________ _
Office of War Mobilization.------------
Selective Service Sys-tem. __ . __ -------- --
Postw.ar agencies: Civilian Production
Administration ..... Council of Economic Advisers ___________ _ National Wage Sta
bilization Board .... Price Decontrol
Board .. ___________ _ War Assets Adminis
tration. __ ---------Independent agencies:
American Battle Monuments Com-mission ____________ _
Civil Aeronautics . Board _____________ _ Civil Service Com-
mission _____ ___ ____ _ Export-Import Bank
of Washington ____ _ Federal-Communica
tions Commission __ Federal Dep6sit In-. surance Corpora-
FJ~~~al i>owei-cfom~-• mlssion ________ : ___ _ Federal Security
F~~~~f7:rr~<re··coiii--mission ... '.------~~
Federal Works Agency ____ ____ ____ _ General Accounting
Office _________ ------Government Print·
ing O~ce-----.----· Interstate C,ommerce
Commission .. -----Maritime Commission .. National Advisory
Commission for Aeronautics .. -----
National Archives .... National Capital
Housing Authority_ National Capita l
Park and Planning · Commission __ . ____ .
National Gallery of Art. .. --------------
National Housing Agency ____________ _ National Labor ~-
lations Board ..... . National Mediation
Board .. -----------Panama CanaL •..... Railroad Retirement
Board .. -----------Reconstruction Fi
nance Corporation .. Securities and Ex
change Commission.. Smithsonian Institu·
tion __ --------------Tariff Commission __ _ Tax Court. __________ _ Tennessee Valley Au-
thority------------Veterans' Adminis·
tration •• _ ----- -- ---
259 212 -47
172 16I -11
10, 109 ll, 625 -484
4, 278 . 4, 333 +55
17. 26 +9
759 637 -122
20 ~ ~5
57, 301 58, 899 + 1, 598
+2
438 450 . +12
3, 589 3, s1z -72
114 116 +2
_ i, 347. . 1, 35_8 . + 11
1, 18I 1,178 -3
· 778 793 +is
. '30, 658 30, .671 -· + 13
529 537 + 23, 874 . 24, 035 ~161
12, 365 12, 134 -231
7, 115 8, 001 +886
2, 272 . . 2, 270 -2 13, 453 12, 952 -501
5, 692 .388
276
5, 724 392
277
17 17 ----------
316 315 -1
19, 081 19, 148 +67
873 676 +3
101 102 +I 428 417 -11
2,114 2,287 +173
11, 115 10, 084 -1, 031
1, 206 1, 207 +I
503 502 -I 222 225 +3 122 123 +I
12, 897 13, 284 +387
211, 911 220, 026 +8, 115
Total, excluding · War and Navy { -73 234 Departments ...•. I, 301,5281,240,378 + 12; 084
Net decrease, excluding War and Navy Depart-ments __ __ ________ ------------------
Navy Department.__ ____ 331,779 328,471 War Department_________ 492,162 455, 145
Total, including
-61,150 -3,308
-37,017
War and Navy {-113 559 Departments.____ 2, I25, 469 2, 023, 994 + 12; 084
Net decrease, including War and Navy Depart· ments. ----------- --------- --------- -101,475
TABLE II.-Federal personnel outside continental United States employ.ed by executive agencies during November ancl comparison with October
Increase Departments or agencies October Nob~~m- d~"tie:e
(-) ----------1---------Executive departments
(except War and Navy Departments):
Agriculture Depart· ment.______________ I, 383
Commerce Depart-ment.______________ 2, 343
Interior Department. 5, 059 ' Justice Department.. 6I8
Labor Department... 149 Post Offiee Depart-
ment.______________ I, 392 · State Department.... 13, 633 'J;'reasury Depart·
ment. ... ·----- -----Emergency war agencies:
Office of Price Ad· ministration .. --- --
Selective Service System.---- -- -~------
Postwar agencies: Civilian Production
Administration ....• - War Assets Admin-
istration. .. __ _____ _ _ -Independen-t agencies:
Ameri oan Battle ;Mon1,1ments Com· . mission __________ . .:.
Civil ·Aeronautics Board• __ . : ___ . ______ _ Civil Service . .. Com~. . mission __ __________ _ Export-Import Bank
· of Washington .. ~--·Federal Communi-
cations Commis· sian·_·. _________ _:_-__ _
'Federal l:>eposit In· surance Corpora·
€54
395
163
11
37 '
· tion. ___ ; ___________ -------·-Federal Security
Agency------------Federal Works Agen·
M~iiflli·e--·aoiiiiiiis~~ sian._--------------
National Housing Agency .o __________ _
National Labor Rela·
€68
299
47
tions Board- -- --··- 2 Panama QanaL...... 26,932 Reconstruction Fi-
n'ance Cerporation .• Smithsonian Institu· · tion _______________ _ Veterans' Adminis·
118
8
tration . .:.---------· 1, 485
Total, excluding
1, 48I
2,327 4, 772 .
609 88
I, 397 I4, 202
64I '
375
91
22
+98
-I6 -287
-9 -6I
+5 - +569
-13
-20
-72
23 +1 ~
94 -2
10 -I
- 2 +1
'36 -1
2' +2
69~ +30
:295 -4
232- +6
49 +2
2 · ---~---- '- -26, 708 -224 .
116 -2
War and Navy Departn:J,ents. .... 55, 768 56, 019 { +963
-712
Net increase, ex· ----------eluding War and Navy Depart· ments. -- --------- --------- ---------
War Department____ _____ 207, 679 108,045 NavyDepartment. .••••. 152,557 252,409
+251 -9,634
-:-I48
Total, including War and Navy { 10 494 Departments _____ 316,004 306,'473 - -t-963 Net decrease, including War and Navy Depart· ments. ----------- --------- --------- -9, 53I
1 As of Sept. 30, I!l46. 2 As of Oct. 31, I946.
TABLE III.--Consolidated table of Federal personnel inside ancl outside continental United States employed by the executive agencies during November 1946 and .comparison with October
Increase Departments or agencies October N~~~m- d~'t/e:e
(-)
Executive Office of the President: BW'eau of the Budget_____________ 746 750 +t
Executive departments <~wpt War and Navy Departments):
AgricultW'e Depart· ment·----------·--- 90, Ill 83, 595 -6, 516
.TABLE III.--Consolidated table of Federal personnel inside and outside continent.al United States employed by the exeeuti'Qe agencies during November 1946 a.na comparison with October-Continued
· · I Increase Departments or agencies October N~~~m- d~~/~~e
(-)
Executive departments (except War and Navy Departments)-Con.
Commerce Depart-ment- _· __ __________ _ Interior D'epartment. Justice Department .. Labor Department ... Post Office Depart-ment. _____ _________ · StatE) Department .... Treasury Depart·
ment. ---·---- -- --·--EmCO~~Y ~~r a~~fi~~~
TransportatioiL c __ _ Office of Price Ad·
ministration .. ----·. Office of Scientific
Research and De-velopment _________ _
Office of War' Mobili· · zation ____ __ ._ ____ : __ Selective S~rvice Sys·
tern __ -------------· Postwar agencies:
Civilian Production Administration ____ _
Council of Economic Adv1sers ___________ _ National WageStabi· · lizatiori Board ___ __ _ Price ) Decontrol . Board ______ , _____ __ _ War Assets Adminis· · tration.·----;- ~ -~-~
Indetiendent agenc1es: Am erican Battle
Monuments Com-mission ____________ _
Civil Aeronautics Board _____________ _ Civ~ _Service, .Com· · · mlsslQn _______ _____ _ Export-Import Bank
of Washington ____ _ Federal Communica
tions Commission •• Federal Deposit Ins~ance Corpora-tlOn; __ _ ------------
Federal Power Com- , mission ____________ _
Federal Security Agency ____________ _ Federal Trade Com-mission ____ ________ -Federal Works
Agency ________ ._._ .. General Accounting
Office ..... ___ -------Government Print· ing Office __ _______ _ _ Interstate Commerce
Commission _______ _ Maritime Commis·
sian._--------------National Advisory
Committee for Aer· onautics. ____ •. -----
National Archives ___ _ National Capital
Housing Authority_ N ational Capital
Park and Planning · Commission ___ __ __ _
National Gallery of Art _____ • ______ -----
National Housing Agency ___ ----------
National Labor Rela-tions Board ________ _
National · Mediation Board __ -~---------
Panama CanaL.' ..... Railroad Retirement
Board .. -----------Reconstruction Fi
nance Corporation •. Securities and Ex
change Commis· sian .• --------------
Smithsonian Institu-tion. ___ ------------
Tariff Commission ... Tax Court of the
United States _____ _ Tennessee Valley Au
thority_·--- --------
37,425 50,272 24,886 30,437
37,840 48,960 24, 6a1
7, 717
+415 -I, 312
-255 ;-22, 720
495; 636 . 458, 291 -. -37, 345 22, \35 22, 78 +654
102,4.41 102,296 -J45
99 103 +4
35, 074 32, 368 -2, 706
259 212 -47
I72 161 - -11
10, 272 9, 716 -556
4, 300 4, 355 +55
17 26 . +9
759 637 -122
20 15 . -5
. 57, 3~3 ,. 58, .922 + 1, 599
98 98 ·----~- ~--449 460 +11
3, 594 3, 522 -72
115 118 +3
1, 384 ' 1, 394 +10
I, 181 I, 180 -1
778 . 793 +IS
31, 326 31, 369 +43
529 537 +8
24, 173 24, 330 +I 57
12,365 12, 134 -231
7, 115 8, OOI +886
2, 272 2,270 -2
13, 679 13, I84 -495
5, 692 5, 724 +32 388 392 +4
276 277 +I
17 I7 -----·-·--
3I6
19, 128
875
10I 27,360
2,114
11,233
1, 206
511 222
122
I2, 897
3I5
I9, I97
878
102 27, I25
2,287
10,200
1,207
510 225
123
13,284
-1
+69
+3
+I - 235
+173
-1,033
-1 +3
+1
~387
214 CONGRESSIONAL RECORD-SENATE JANUARY 10 TABLE TII.-Consolidated table of Federal per
sonnel inside and outside continental United States employed by the executive agencies during November 1946 and comparison wi~h October-Continued
Increase Departments or agencies October Nob~~m- d~t{~~e
(-)
----------- ---------Independent agencies
Continued Veterans' Adminis-
tration _____ ____ ____ 213,396 221, 760 +8,364
Total, excluding War and Navy { -73,811 DepartmentS ___ 1, 357,296 1, 296,397 +12, 912
Net decrease, excluding War and Navy Depart-ments.- --- ----- --------- --------- -60,899
Navy Department (in-side and outside cont i-nental United States)__ 384,336 380, 880 -3, 456
War Department: I.Dside con tin en tal
United States___ ___ 492,162 455,145 -37,017 Outside continental
United States______ 207,679 198,045 -9,634
Total, including War and Navy {-123, 918 Departments ___ 2, 441,473 2, 330, 467 +12, 912
Net decrease, includingWarand Navy Depart-ments ___ _______ ------------------ -111,006
TABLE IV.-Industrial employees 1 of the Federal Government, inside and outside the continental United States, employed by executive agencies during November 1946 and comparison with October 1946
Increase Departments or agencies October No~~m- d~tJe~~e
(-)
---------1--- --------Executive departments
(except War and Navy Departments):
Commerce Depart-ment.- ---- ---------
Interior Department. State Department ___ _ Treasury_------- -----
Independent agencies: National Housing
Agency __ __ ________ _ Panama CanaL _____ _ Tennessee Valley
Authority--------- -
Total, excluding War and Navy Departments ____ _
Net decrease, excluding War and Navy Depart-
1,179 1,009 -170 5,088 4,903 -185
241 252 +11 5,690 5,684 -6
17 17 -------- - -~.675 2,689 +14
5, 922 6,175 +253
{
-361 20, 812 20, 729 +278
ments._-- -- ----- - --------- --------- -83 Navy Department, in
side and outside United States. -------- --------- 266,580 263, 794 -2,786
War Department: Inside continental
United States. __ ___ 227,029 208,918 -18,111 Outside continental
United States__ ___ _ 176, 188 166,316 -9,872
Total, including War and Navy Departments ____ _
Net decrease, including War and Navy Depart-
690, 609 659, 757 +278 {
-31,130
ments.----------- --------- --------- -30,852
1 Industrial employees include unskilled, semiskilled and skilled, and supervisory emp loyees on construct ion projects. Maintenance- and custodial workers not included. ·
POLAND
Mr. VANDENBERG. Mr. President, the United States, in a note delivered January 9 by Ambassador Arthur Bliss Lane in Warsaw, warns Poland that "the
continuation of the present policy of suppression; coercion, and intimidation as applied to political opposition in Poland constitutes a violation of the letter as well as the spirit of the Yalta and Potsdam agreements."
The matter is of such significance that I ask that the full note of the Department be printed in the RECORD.
The PRESIDING OFFICER <Mr. LoDGE in the chair) . Is there objection?
There being no objection, the note was ordered· to be printed in the RECORD, as follows:
I have the honor to refer to the Embassy's notes of August 19 and November 22, 1946, regarding the Polish national elections, to which no reply has yet been received, and pursuant to instructions from my Government to inform Your Excellency, as a signatory of the Yalta and Potsdam agreements, with particular regard to those sections of the two agreements which deal with the establishment of a government in Poland, through the instrumentality of free and unfettered elections, of my Government's continued concern over the pre-election activities of the Polish Provisional Government of national unity.
My Government is especially perturbed by the increasingly frequent reports of repressive measures which the Polish Provisional Government has seen fit to employ against those democratic elements in Poland which have not alined themselves with the bloc parties.
It is a source of regret to my Government that its previous efforts to call the attention of the Polish Provisional Government to its ·failure to perform its obligations under the agreements cited have not resulted in any change in the course which that Government has pursued in connection with pre-election political activities. ' , According to information reaching my Government from various authoritative sources, th~se repressive activities on the part of the provisional government have now · increased in intensity to the point where, if they do not cease immediately, there is little likelihood that elections can be held in accordance with the terms of the Potsdam Agreement which call for free and unfettered elections. "on the basis of universal suffrage and secret ballot in which all democratic and anti-Nazi parties shall have the right to take part and put forward candidates."
SANCTITY OF PACTS AT ISSUE
It is the view of my Government that this matter involves the sanctity of international agreements, a principle upon which depends the establishment and maintenance of peace and the reign of justice under law.
The obligations with respect to the Polish elections which my Government assumed at Yalta and reiterated at Potsdam, together with the Soviet and British Governments, and the obligations subsequently assumed by the Polish Government and frequently reiterated, provide ·for the conduct of free and unfettered elections of the type and in the manner described above.
The fact that the subject matter of these agreements relates to elections in Poland is incidental. The essential fact 1s that they constitute an international agreement under which all four nations concerned have as-sumed obligations. ·
I need hardly say that my Government is interested only in seeing that the Polish people have the opportunity to participate in a free and unfettered election and that my Government does not regard the results of such an election as being a proper concern of anyone other than the Polish people themselves.
My Government would be failing in its duty if it did not again poirit out that the continuation of the present policy of suppression,. coercion, and intimidation as applied to political opposition in Poland constitutes a violation of the letter as well as the spirit of the Yalta and Potsdam agree-ments. ·
STUDY OF PROBLEMS OF SMALL BUSINESS AND INVESTIGATION OF .NATIONAL-DEFENSE PROGRAM-REPORT OF A COMMITTEE
Mr. BROOKS. Mr. President, from the Committee on Rule3 and Administration, I report favorably without amendment the following resolutions:
S. Res. 20. A resolution appointing a special committee to study the problems of American small business; and • S. Res. 46. A resolution continuing the authority for the investigation of the national-defense program.
The PRESIDING OFFICER. The resolutions will be placed on the calendar.
Mr. HAYDEN. Mr. President, in connection with the two resolutions just reported, I want to point a moral.
The new Committee on Rules and Administration met yesterday, organized, became a going concern, and appointed subcommittees. There is a Joint Committee on the Library, which, under the Reorganization Act, must consist of four Senators from the Senate Committee on Rules and Administration and four members of the similar House cdmmittee. On the part of the Senate, Senators JENNER, IVES, GREEN, and HOLLAND were selected to serve on that joint committee.
On the Joint Committee on Printing the Senator from Illinois [Mr. BROO&S] will serve with the Senator from California [Mr. KNOWLAND] and myself.
On the Smithrmnian Institution Subcommittee the Senator from Massachusetts [Mr. LoDGE] was appointed, with the Senator from Indiana [Mr. JENNER] and the Senator from Florida [Mr. HOLLAND].
On a revision of the Senate rules there was appointed a subcommittee consisting of Senators WHERRY, IVES, and HAYDEN.
With reference to rooms, anyone .who is interested in that subject .either in the Capitol or the Senate Office Building should consult the chairman of the committee, since no subcommittee was appointed.
On the Subcommittee on Privileges and Elections, Senators HICKENLOOPER, BRICKER, and MYERS were selected, and all of the members present very properly decided that the Committee on Rules should assume the jurisdiction conferred upon it by law to take over all activities in relation to contested elections.
It will be understood that the Special Committee on Campaign Expenditures in the 1946 General Election, which continues in existence until the end of this month, was investigating the election in the State of Maryland. The Committee on Rules and Administration definitely determined that under the law that committee now had jurisdiction over all contested elections; that the committee would assert its jurisdiction and ask that the Maryland dispute be placed in its hands.
1947 .::-. CONGRESSIONAL RECORD-SENATE 215 Then, toward the close of the meeting,
much to the surprise of some of us, action was taken on the two resolutions which have been reported by the Senator from Tilinois to create special committees of the Senate. They involve a very serious question of Senate policy. At the last session of Congress the Legislative Reorganization Act of 1946 became law. That act defines the jurisdiction of the 15 committees of the Senate. Now, at the beginning of the new Congress, there is a proposal to recreate the Committee on Small Business, and to continue the Special Committee to Investigate the National Defense Program. Those of us who knew nothing about the resolutions and did not expect them to come up at the committee meeting requested they go over for a day or two, so that we might give consideration to the major problem of whether or not the Senate should at this time attempt to wreck the system of jurisdiction that had been imposed upon its various standing committees.
However, our request was very courteously but very firmly denied, and the majority of the committee decided toreport the two resolutions immediately; they have been reported, and are now on the calendar. They can come up for consideration by tlie Senate on next Monday or any day thereafter. Since a ._principle is involved, I deem it to be my duty to bring this situation to the attention of tlie Senate. The very grave and serious question is whether the Senate shall now proceed to violate both the letter and the spirit of the act to reorganize the legislative branch of the Government, which became a law last August.
I have served for a long time in Congress. I have observed the operations of special committees both in the Senate and in the House. Many, though not all of them, have performed useful public service; but I am reminded in that connection of a remark made by the late Senator Claude Swanson, of Virginia, who was conducting an investigation in the Senate at one time. He said that an· investigating committee was entitled to continue to investigate so long as it could stay on the front page, and that, his particular committee having been mentioned that morning on the fourth page of the newspapers, he thought it was high time that the investigation come to an end.
Publicity has its advantages. Members of the Senate all remember that a common or garden variety of Senator from the State of Missouri was made the chairman of an investigating committee to look into the national defense program, and that as the Tesult he became the candidate of his party for and was elected Vice President of the United States. I would be loath to say that any Senators now entertain Vice Presidential ambitions, but it is an old American custom to erect rods that may attract the lightning which is bound to strike somewhere.
I want to invite the attention o: the Senate to the fact that coming over from the last Congress there are now in existence, and will be until the end of this mqnth, the following special committees: The Committee To Study and
Survey Small Business Enterprises; the Committee To Investigate Senatorial Campaign Expenditures in 1946 General Elections; the Committee · on Problems Relating to the Development, Use, and Control of Atomic Energy; the Committee To Investigate the National Defense Program; the Committee on Petroleum Resources Within and Outside of the United States; the Committee on Postwar Economic Policy and Planning; the Committee Investigating the Effects of the Silver Purchase Act of 1934; the Committee on Conservation of Wildlife Resources; and the Committee To Investigate Production, Transportation, and Marketing of Wool.
Some of these special committees have been rendering very excellent service; for example, the Committee on Petroleum Resources Within and Outside of the United States and the Committee Investigating Production, Transportation, and Marketing of Wool. The work of both of those committees has been outstanding. If the Senate is now going to establish special committees, as is proposed in the two resolutions now on the calendar, then we must give serious consideration to the reestablishment of other special committees that · were performing valuable functions.
I have inquired of the disbursing office and find that there are 14 subcommittees of regular standing committees which have money available for expenditures at the present time. That, of course, is the regular procedure that the Senate would follow under the existing rules. The nine special committees I have mentioned aJso have money that they can expend until the end of January. I ask unanimous consent to have the list of subcommittees placed in the RECORD at this point.
There being no objection, the list was ordered to be printed in the RECORD, as follows: SUBCOMMITTEES OF STANDING COMMITTEES OF
THE SENATE
Committee on Agriculture and For~stry investigating the production and distribution of food and other allied products.
Committee on Appropriations for the purpose of obtaining and laying factual data and information before the committee for its consideration in the discharge of its functions.
Committee on Finance investigating oldage and survivors' insurance and all other aspects of social security.
Committee on Indian Affairs making a survey of Indian conditions.
Committee on Interstate Commerce investigating conditions of railroads in the hands of receivers because of insolvency proceedings under the Bankruptcy Act.
Committee on Interstate Commerce investigating international communications by wire and radio.
. Committee on Irrigation and Reclamation investigating the supply and distribution of hydroelectric power.
Committee on the Judiciary investigating activities of Security and Exchange Commission and Post Office Department.
Committee on the Judiciary investigating the disposal of the Government's interest in the Nashville Tennesseean.
Committee on Military Affairs taking testimony concerning treatment accorded the population of the Phtlippines by the Japanese.
Committee on Military Affairs investigating war contracts.
Committee on Naval Affairs inspecting . naval establishments in the Western Hemisphere.
Committee on Public Lands and Surveys investigating the administration of public lands.
Committee on Territories and Insular Affairs investigating economic conditions and war damage in the Philippines.
Mr. HAYDEN. Let me repeat that by a unanimous vote the Senate Committee on Rules and Administration has decided to take over the jurisdiction imposed upon it by law with respect to contested elections. That was the regular, and entirely proper, thing to do. But it was decidedly irregular for that same committee, after having demanded that jurisdiction be taken away from the Special Committee To Investigate Senatorial Campaign Expenditures, 1946, and be deposited with it, to turn right around and report out two resolutions which create special committees. All I can say is that the jewel of consistency was not on exhibition in the Committee on Rules and Administration's showcase yesterday.
Mr. BROOKS. Mr. President, I should like to say that there is nothing new and there is no element of surprise connected with resolutions concerning the two committees mentioned in the resolutions reported by me. A distinction exists between the two committees and the Committee on Privileges and Elections. which was absorbed by the Committee on Rules and Administration.
There was a demand that the latter committee take over the functions the Committee on Privileges and Elections has always exercised when charges have b~en filed in election cases. We would have been derelict in our duty if we had not assumed that responsibility, and we did rightfully assume it.
Mr. HAYDEN. That is correct. Mr. BROOKS. So far as continuing
the two committees in question being a surprise, I will say that one of the committees has ·become such a household word in the Nation that most people still call the Special Committee To Investigate the National Defense Program, the Truman committee, because of the distinguished President's work as a Senator on that committee. Congress appropriated $400,000,000,000 during the war, much of it behind the curtain of secrecy. Senators were not even privileged to ask questions on the record during those trying days. Much has been developed and disclosed by this committee under former Senator Truman, under former Senator Mead, and under the S:mator from West Virginia [Mr. KILGORE], and now all that is proposed to be done is to thrash the question out on the floor and determine whether we are now again going to pull the curtain over things that have been done and have been looked int<J.
The same thing is true of the Special Committee To Study and Survey Problems of Small Business Enterprises. We do not ask for immediate consideration of the resolution affecting that committee. We think it is an important matter, and it will be thrashed out completely. The reason why I, as chairman of the Rules and Administration Committee,
216 CONGRESSIONAL . RECORD-SENATE JANUARY 10 entertained the proposals with respect to the two special committees was that I thought it was so vitally important that the people know whether we are now going to look behind the curtain and see what happened to the money Congress appropriated for war purposes, and continue to investigate contracts that have been exposed and discussed recently on the :floor of the Seriate, and whether attempts will be made to block us from looking further into the subject. ·
Mr. President, I ask that the matter go over until Monday.
Mr. VANDENBERG. Mr. President, will the Senator yield?
Mr. BROOKS. I yield. Mr. VANDENBERG. The Senator
from Arizona [Mr. HAYDEN] suggested that the report made to the SeQ.ate by the committee of which the Senator from Illinois is the chairman lacks "the jewel of consistency." I suggest to the Senator that the exhibition of too much jewelry is vulgar.
Mr. TYDINGS. Mr. President, I desire to say that I agree with the point of view expressed by the Senator from Arizona [Mr. HAYDEN]. Let me point out to the able Senator from Illinois that when the ·Truman committee was appointed, which had to do with investigating the conduct of the war, there were two separate Senate committees dealing with this subject, one having to do with the Navy Department and the other having to do with the Army, and therefore it was not feasible to have these committees of the Senate, separate as they were, conduct an over-all investigation.
That situation does not apply now. We have just set up a Committee . on Armed Services, and if I may say so without immodesty, being a humble member of it, there is no abler committee in this body than the Committee on Armed Services, headed by the able Senator from South Dakota [Mr. GURNEY]. The Senator from New Hampshire [Mr. BRIDGES] is a member of that committee, and oth~r Senators who are able and experienced are members of it. I can see no logic whatsoever in taking a function from this committee, on which we have latel~ conferred complete jurisdiction over the armed services, the conduct of war, and all things related thereto, and lodging it in the hands of a special committee of Senators who are not members of the Armed Services Committee, while at the same time taking the question of elections from a special committee, which was created by the Senate and which is halfway through its work, and transferring it to the Committee on Rules and Administration. The Senator from Arizona spoke of inconsistency. If that_ is consistent, then it is equally consistent that the Committee on Armed Services should look into all matters relating to the war. I am thoroughly in fa v.or of the investigation in question. I will do nothing in the Armed Services Committee to block any investigation of matters relating to the conduct of the war. But that is the committee which should make the investigation. If Senators will look at the field of that committee's work, the scope of its activity, and consider the duties which are expressly outlined in the la'V which Congress recently passed,
they will .find that .it is -to consider all matters having to do with the conduct of the War · Department and with the conduct of the Navy Department. That certainly means co'ntracts to buy Army and Navy materials and other incidental matters. Here, as we start a new Congress, when we have recently passed a law reorganizing the Congress, the very first act of the Committee on Rules and Administration is to disorganize and attempt to reorganize the reorganized Congress all over again.
What is back of this movement? Does anyone question the ability, the standing, the knowledge, and the integrity of the able Senator from South Dakota [Mr. GURNEY]? I do not think so. I do not think there is an abler, a more judicious, and more patriotic Ser.ator in this whole body. · · ·
Who are the other members of the Committee on Armed Services? The Senator from New Hampshire [Mr. BRIDGES], the Senator from Wyoming [Mr. ROBERTSON], the Senator from Iowa [Mr. WILSON], the Senator from Massachusetts [Mr. SALTONSTALL], the Senator from Oregon [Mr. MoRsE], and the Senator from Connecticut [Mr. BALDWIN] are the Republican members and the Democratic members are the Senator from Georgia [Mr. RussELL], the Senator from Virginia [Mr. BYRD], the Senator from Alabama [Mr. HILL], the Sen~· ator from West Virginia [Mr. KILGORE]:J' the Senator from South Carolina [Mr.:. MA YBANK], and myself. Certainly the Republican members of this committee are outstanding men, both the older Members of this body and those who, as newcomers here, have made reputations which have preceded them into this Chamber. What on earth are we about to do except to take from one of the great committees of this body one of the very functions for which it was created? Is that being done in the name of public service, or in the name of greater etllciency? Not at all. If any Member of this body should desire an investigation of any phase of World, War. IT, whether it be in the Army or Navy, or in any related activity, if he should submit a resolution and it should be sent to the Committee on Armed Services, we would assist in having it adopted, and the chairman would appoint an able subcommittee to conduct the investigation.
From the public viewpoint, the principal part of the reorganization bill was the salary increase to $15,000. In my humble judgment most of us would have been red in the face had we voted for a salary increase without a reorganization of the Congress, which had become antiquated because it was an old organization with expanding special committees, which had reached the point where Members received notices to attend three or four committee meetings at the same time, and obviously could not attend them all. So we reorganized; and every Member of this body knows that one of the reasons why many Senators voted for the bill, in order to justify th~ over-all act, was that of efficiency, and the ~isposition and division of duties of the various committees, aside from the salary increase.
Now we have no sooner met than we say nothing about the $5,000 salary increase, but we ·proceed to go off in all directions at the same time, with numerous special committees; which in my judgment is a direct reflection upon the membership of the standing committees whose reasonable right and duty it is to make certain investigations. I certainly hope that when this question comes up for a vote the able Senator from South Dakota [Mr. GURNEY] who honors the Committee on Armed Services bY actfng as its chairman, will insist on his rights. I hope that Members on both sides of the aisle will sustain him, so that we may have the committees appointed by the Senate do the work of the Senate and the country, without having reflections continually cast upon the standing committees by having Senators who are for the most part unacquainted with many of the routine matters which come before such committees attempting to "barge" into their functions.
Mr. BREWSTER. Mr. President, a parliamentary inquiry.
The PRESIDING OFFICER. The Senator will state it.
Mr. BREWSTER. . I should like to know, first, what .is the question before the Senate?
The PRESIDING OFFICER. The Senate is proceeding in the morning_ hour under the head of reports of committees.
Mr. BREWSTER.· Has 'there -been any motion to· consider the continuing. resolutions concerned .with the special investi- . gating committees . to which tef'erence has been made? · ;..
The PRESIDING OFFICER. No such motion has been made. The resolutions have been placed on the calendar.
Mr. BREWSTER. I understood the Senator from Illinois [Mr. BROOKS], as chairman of the Committee on Rules and Administration, to ask that the matter go over until Monday, in accordance with the understanding which was discussed in the Committee on Rules and Administration while I was present at the meeting yesterday. Is tha~ correct?
Mr. BROOKS. I did not make any special request that the resolutions go over until Monday. They will automatically go over until Monday. They must lie over. No request has been made for immediate consideration, in order that Senators may have ample. time to study the resolutions ·and ·prepare their speeches accordingly.
Mr. BREWSTER. Mr. President, I shall not undertake to equal the eloquence of the Senator from Maryland, or to reply at this time to the gentle aspersions of the Senator from ArizJna [Mr. HAYDEN], who, I am sure, on further reflection, will not desire, even in his very gentle manner·, to question the motives of Members of this body, When we descend to that level · we depart from
· all legislative deliberation. The Senator from Arizona gently suggested the
. fate which awaited a former chairman of a special committee. We might as appropriately-and I eschew the suggestion-suggest that the heated ·oratory from the other side might properly be attributed to so.mevery ulterior motives; but that I do. not suggest. · ·
1947 CONGRESSIONAL RECORD-SENATE . 217 · Mr. TYDINGS. The Senator does it by
innuendo, and 1 am sorry he does. I made it a point not to do so, even by innuendo.
Mr. BREWSTER. I was referring to the statement of the Senator from Arizona, and not to- anything the Senator from Maryland said. However, I did re-
.fer to the eloquence which the Senator from Maryland always exhibits. I do not withdraw that reference. I am sure that is no reftection upon the Senator from Maryland.
Mr. HAYDEN. Mr. President, will the Senator yield? .
Mr. BREWSTER. I Yield. Mr. · HAYDEN. Does the Senator ob
ject to my reference to possible candidates for Vice P~esident?
Mr. BREWSTER. I stated that the suggestion of the Senator, in the very gentle and lovely manner which ~s always characteristic of him, and other considerations of that character, which we are quite accustomed to hear from columnists and commentators, re~lly had no proper place in this debate. I am sure the Senator will agree with me.
Mr. HAYDEN. I ::)tated that I was loath to believe that any Senator now entertains Vice Presidential ambitions.
Mr. BREWSTER. However, the mere fact that the suggestion was made is significant. I would be loath to believe that the decisio·n upon the other side arose from fear tnat further delinquencies of the administration might be exposed. I would certainly be loath to believe that; so we are on an equal footing.
Mr . . TYDINGS. Mr. President-The PRESIDING OFFICER. Does the
Senator from Maine yield to the Senator from Maryland?
Mr. BREWSTER. I yield to the Senator from Maryland.
Mr~ TYDINGS. I courteously point out . to the Senator from Maine, who I feel haS perhaps not given this matter his usual careful consideration, that in tlie report on the reorganization bill which I hold in my hand there are these two paragraphs, which I beg his leave to read to the Senate.
The 'first paragraph reads as follows: . A bill should be referred without rega.rd to
the author 's service on any particular committee seeking jurisdiction when its subject matter does not normally lie in the defined province of that committee. In redefining the jurisdiction of committees, great care should be taken clearly to resolve existing cenfiicts by specifying which committee shall have jurisdiction.
The second ·para.graph-and I am taking only two paragr-aph$ out of many, to show the philosophy of the bill-reads as fOllows: ·
· Directing the regular standing committees to carry on this supervisory function appeals to your committee as a better method than the appointment of numerous select investigating committees when situations have grown so di1fi.cult as to arouse public demand for correction or special study. We recommend that the practic;:e of creating special committees of investigation be abandoned.
It was that philosophy which remained clearly in my memor-y. It was expounded on this :tloor at the time the bill was passed and cau~ my earlier ex-. pression. It is that philoSophy which I
am sure impelled Members on both sides to give to the reorganization bill the standing which it had before the Congress and the country.
Mr. BREWSTER. Mr. -President, I am sure that the solicitude which has been expressed on the other side as to some possible infringement on the prerogatives of any Members on this side is duly ap-preciated. ·
It is interesting to note that this matter has already been discussed since reference of the resolution to the Committee on Rules and Administration, in accordance with what had been deemed to be the policy that should be pursued by the majority. I am happy to assure the Senator from South Dakota [Mr. GURNEY] , chairman of the Committee on Armed Services, that not only I, but the members of the special committee, would be most happy to meet with members of the Committee on Armed Services in order to clear away any possible misunderstanding either as to jurisdiction or scope, and to ·consider what should be done in the transitional period in which we now are.
I have been one .of the strongest believers in reorganization, and in the proper staffing of the standing committees, in order that they may perform their functions; but I trust we shall all understand that reorganization cannot be accomplished in a day. Time will be required .both to secure the staffs and to complete the organization which is requisite. It had been my assumption, from earlier discussions, · that it was thought possible that not only in the completion of the work which has ~een: hitherto carried on by the special investigating committee, but in winding it up with the staff which we now have, which was created under my predecessors, there might well be, at least temporarily, a continuance of the special committee: I think that is the only thing that .is contemplated in any proposal for the extension of the work. I anticipate that on Monday, when this matter will be in order for discussion, .there will be ample opportunity for the discussion which its importance merits. ·
Mr. GURNEY. Mr. President, I have been very much alive to the possible controversy on the question which the resolution has brought forward. I have had numerous talks with committee members, whicli wound up this morning with a conversation with the Senator from Maine [Mr. BREWSTER], who very graciously quickly agreed not to take up the matter today, but to meet with our committee and his committee on Monday. At th-at time I am sure we shall be able to talk over the whole question and we will then be in position to give our views to the Senate en Monday if the subject is to be .taken up at that time.
Mr. MILLIKIN. Mr. President, a parliamentary inquiry.
The PRESIDING OFFICER. The Senator will state it.
Mr. MILIJKIN. Is the presentation of a report debatable in the moi'nlng hour?
The PRESIDING OFFICER. It is not debatable.
Mr. MILLIKIN. I make that point of order.
The PRESIDING OFFICER. The point of order is well taken. Reports of committees are still in order. INVESTIGATION OF PETROLEUM RE-
SOURCES- REFERENCE OF RESOLUTION
Mr. MOORE. Mr. President, on Wednesday, on behalf of the Senator · from Maine [Mr. BREWSTER l and myself, I submitted a resolutiOn, Senate Resolution 40, providing for the extension of the Special Committee To Investigate Petroleum Resources. It had been my expectation that that resolution would be referred, as these other two resolutions were referred, to the Committee on Rules and· Administration; but I notice that it has been referred to the Committee on Public Lands, which I believe to be an erroneous reference. I should like to have unanimous consent, . since there has been no action on the resolution, · that the Committee on Public Lands be discharged from the further consideration of the resolution and that it be referred to the Committee on Rules and Administration. . ·
The PRESIDING OFFICER. . Is there objection?
Mr. HAYDEN. Reserving the right to object, I should ·like to point out that the rule of the Senate up to this time has been that no special _ investigating committee could be created unless a res.olution had been reported by the appropriate standing committee of the Senate and then referred to the Committee To Audit and Control the Contin- · gent Expenses of the Senate. The functions of the Committee To Audit and Control the Contingent Expenses of the Senate have been absorbed by the · Committee on Rules and Administration. When the Senator fi"om Nebras~ [Mr. WHERRY] introduced his resolutidfl on Wednesday he asked. unanimous consent to have· it referred to the Committee on Rules and Administration, and that is how that committee got it. In 'sug- · gesting references, nor;mally the Parliamentarian is perfectly right.
The resolution submitted by the Senator !rom Nebraska reads as follows:
Resolved, That paragraph (o) (1) (A) of rule XXV of the Standing Rules of the Sen;. ate is amended by adding at the end thereof a colon and the following: "Provided, That any resolution propo&ing to establish or to continue a special or select committee, in- . eluding a special or select joint committee, shall not be referred to any other standing committee of the Senate but shall be referred to the Committee on Rules and Administration for consideration of all phases thereof, including the substantive matter.".
Until the Senate adopts iUCh a rule, under the rule of the Senate the resolution submitted by the Senator from
· Oklahoma should be referred to the Committee on Public Lands. That is where it belongs. I object to its reference to the Committee on Rules and Administration until the · Committee on Publi.c Lands ha.s considered it.
The PRESIDING OFFICER. Objection is heard.
COMMITTEE JURISDICTION
Mr. RUSSELL. . Mr. President, a parliamentary inquiry.
218 CONGRESSIONAL RECORD-SENATE JANUARY 10 The PRESIDING OFF.ICER. The
Senator will state it. Mr. RUSSELL. Under the Reorgan
ization Act bill, in the absence of a special c0mmittee dealing witfu small business, which of the standing committees would have jurisdiction of small business?
The PRESIDING OFFICER. The Chair is of the opinion that pending a change in the rules such as has been proposed, such a. question would go to· the Committee on Banking and Currency.
The Chair will read frem. subparagraph (d) of section 102 o:£ the Reorganization Act:
Committee on Banking and Curreney, to consist of 13 Senators, to whi£h committee shall be referred all proposed legislation, messages, petitions.. memorfais, and ather matters relating to the following subjects:
1. Banking and currency generally. 2. Financial aid to commerce and industJry,
Mr. PEPPER. Mr. President, a parlia-mentary inquiry.
The PRESIDING OFFICER. The Senator will state it~
Mr. PEPPER. I can well understand that small-business legislation might properly go to the Committee. on Banking and Currency. I am not a member of that committee nor' a member of the Committee on Interstat.e · and Foreign Commer·ce; but I believe that under the Reorganization Act the Committee on Interstate and Foreign Com:Inerce has jurisdiction of commerce generally. In view of the observation of the Chair, I respectfully submit that the Chair might consider the jurisdiction of the Commi't- -tee on Interstate and F'orefgn Commerce'.
The PR.ESIDING OFFICER. The Chair will say that under the law the ~mmittee on Interstate and Foreign. Commerce is not given jurisdiction over commerce generally; it is given jurlsdiction over interstate and foreign commerce generally.
Mr. HAYDEN. Mr. President, I invite the attention of the Chair to paragraph 7, on page 7, of the Reorganization Act, under the heading "Committee on the Judiciary." It provides that tha-t committee shall have jurisdiction of the "protection of trade and commerce against unlawful restraints and monopolies ...
I understand that the real purpose of the Small Business C.ommittee is to assure · protecUon of small business against restraints and monopolies . . so I think that the question hinges upon the jurisdiction of the Committee an the Judiciary.
Mr. TOBEY. Mr~ President--The PRESIDING OFFICER. boes the
Senator from Arizona yield to the Senator from New Hampshire?
Mr. HAYDEN. I yield. Mr. TOBEY. I merely wish to relieve
the mind of the Senator from Arizona. A few moments ago he made reference· to a prophecy as to the aspirations of men to the great positions of President aJ.Ild Vice President o:f the United States. In my judgment, so far as this side o-f the aisle is concerned, if any of our friends in the press gallery were bold enough to heave a stone on this side of the aisle_. they could not fail to hit a man who is
a candidate for President or Vice Presi-dent. ·
Mr. BARKLEY. Mr. President-The PRESIDING OFFICER. Does the
Senator frem Arizona yield · to the Sen.a tor :from Kentl!lcky?
Mr. HAYDEN. I yield. Mr. BARKLEY. In one of the local'
merning newspapers-! think on yesterday morning-there was an SJrticle which indicated that there were 48 candidates for Vice President or President on the other side of the aisle. I do not know whether that is correct or not, but it was worthy of a news story.
Mr. LUCAS. Mr. President, a parliat ..... mentary inquiry.
The PRESIDING OFFlCER. The Senator will state it.
Mr. LUCAS. While we are dealing, with parliamentary inqUiries-and there will probably be a number of them as a: result of the Reorganization A.ct-1. should like a ruling by the Chair upon the one I am about to make. I contemplate introducing legislation which will ~ai. with portal-to-portal pay. ] have in mind the definition of the workweek, the question oi\ the statute of limita;tiolils, and atl'ler important matters that are involved in what seems to me to be prQb'abl:y the. most urgent and important. question which the Congress. should fu'st consider.
I base my parliamentary inquiry upom what happened the other day . when -I discovered in the CONGRESSIONAL RECORD\ that the able Senator from Indiana [Ml1. CAPEHART} had introduced Senate bill 49' to amend the Fair Labor Standards Act of 1938, as amended, and for other purposes. That resolution was referred to the Committee on Labor- and. Public Welfare~ and, I think, properly so, after reading the contents of tha.tmeas\1re.
On. the same day t.he able Senator from Wisconsin [Mr. WILEY] introduced Senate bill 70, to exempt emJ)loyers from. liability fox po-rtal-te-portal wages in certain cases, and for other purposes. For some unknown reason, that bill was referred to the Committee on the· Judiciary. I have given study to the substance and . the objective of both bills; in my humble opinion they are the same. · I raise this question because I should like to have any measures on this subject which I may introduce referred to the Labor and Public Welfare Committee. Of course, 'that, again, is a matter which is in the hands of the Cpair; but I invite the attention of the Senate to the Reorganization Act, page 8, of Public Law 601, which I hold in my hand, which states specifically that the question of wages and hours of labor is a matter to be considered by the Committee on Labor and Public Welfare.
I am satisfied that both measures to which I have referred deal with wages and hours, and all matters which are incidental and flow therefrom. It seems to me that now is the time to determine which of those committees is- to have jurisdiction over the portal-to.-poJital pay question~ I should like to know what. the Chair will :rule, so that I may be In a position either to follow the Chair's decision or to do something else, in the event that :r" introduce proposed legislation along this line.
· The .matte:r raises· a very serious questi~n. We sholilld not nave two committees handling ti+is- portal-to-portal issue. One bill is now before the Committee on Labor and P'ublic Welfare, headed by the abie Senator from Ohio [Mr. TAFT]. Anotner bill on the same · subject matter is bef<!>Fe the Committee on the Judiciary, headed by the Senator from Wisconsin [Mr. WILEY]. 'The latter bill was introduced 'by the Senator from Wisconsin; a:ncf, as I understand, the able Senator from Wisconsin requested that the bill be .referred to the C<!>mmittee on the Judiciary-the -very thing, Mr. President, regarding whi:Ch 1i made a point of order the· other day-, in connection with the question of the proper reference of bills to committees. I undertake to say that we cannot permit the persuasion of any inmvidual Senater on the floor of the Senate· to determine the committee to whtch a bill: or other measure should be referred, and especially so now that we are operating undeT the terms of the Reorganization Act, which, in my opinion, tales away a: great deal of discretionary power whfch heretofore has been given to the Chair in making decisions of this character. I th·ink it is important to raise the point at this moment, and to determine whe·re these measures should be referred.
Mxr. CAPEHART. Mr. President, will the Senator yi'eld? . -
Mr. LUCAS. I am glad to yield to the S'enator bam· Indiana: -, . Mr. CAPEHART. Mr. President, we
further find ourselves in the position that the Committee on the Judiciary will begin hearings. as I understand, on Wednesday of next week, on the bill which was introduced by the Senator from Wisconsin and was referred to that committee. The bill l introduced was referred to the Committee on Labor and Public Welfare.
.Mr. LUCAS. The Senator is correct. Mr. CAPEHART. Therefore, I should
like to ask unanimous consent that the Committee on Labor and Public Welfare be discharged fro-m the further consideration of Senate bill 49, and that it be referred to the Committee on the Judiciary, for the simple reason that, instead of having the Committee on Labor and Pubiic Welfare hold hearings on portal-to-portal bills and the Judiciary Committee bola hearings on such bills, 1 think it is only fair that my bill be refened to the Committee on the Judiciary, so that the bill may be considered by that cemmittee together with the other biJl which has been referred to the Judiciary Committee.
The PRESIDING OFFICER. Is there objection to the request of the Senator from Indiana that the Committee on La- · bor and Publi£ Welfare be discharged from the further consideration of Senate bill 49, and that the bill be referred to the Commit~ee on the JudieiaFy?
Mr. LUCAS. Mr. President, reserving the: right to object, I should like to make a further parliamentary inquiry.
The PRESIDING OFFICER. The Senator will state it. · ~ Mr. LUCAS. I should like to know what is the position of the Chair with respect to' the reference of proposed legislation of this· character, a:nd whether it
1947 - ~-/ CONGRESSIONAL RECORD-SENATE 219 is the position · of the Chair that" it should be referred to the Judiciary Com·mittee 'or should be ~eferred to the Committee on Labor and Public Welfare. That is the point I raised and which is now before the Senate.
The PRESIDING OFFICER. In the opinion of the present .. occ'!lpant of the chair, each bill has to be judged on its own terms and its own provisions. The opinion of the present occupant of the chair is that a bill which relates to wages and hours primarily and on its face, should be referred to the Committee on Labor and Public Welfare. However, the Chair would have to examine the Senator's bill before committing himself on that point.
Mr. LUCAS. I appreciate that, and I wholeheartedly concur "in the opinion of the Chair with respect to the reference of such measures to the Committee on Labor and Public Welfare.
In vi-.v of the ruling of the Chair, I shall make objection to the request that the Committee ori Labor and Public Welfare be discharged from the further consideration of Senate bill 49, and that the 'Qill be referred to the Committee on the Judiciary.
The PRESIDING OFFICER. Objection is heard:
Mr. BARKLEY. Mr. President, I should like to make a parliamentary inquiry. 11 .fJ, .
The PRESIDING OFFICER. The Senator will state it.
Mr. BARKLEY. I base· my inquiry. on my belief that under the new rules the Senate should be careful not to makeany . decision which might. be used as a precedent hereafter. If the bill introduced by the Senator from Wisconsin and the bill introduced by the Senart.or · from Indiana are. similar .in.. nature, how . did it happen that one was referred to one committee and one to anothercommittee?
Mr. CAPEHART. Mr. President, will the Senator yield?
Mr. BARKLEY. I yield. Mr. CAPEHART. When I sent my bill
to the desk, I asked that- it· be referred to the appropriate committee. I did not ask that it be referred to the Committee on Labor and Public Welfare or to the Committee on the Judiciary, but I requested that it be referred to the appropriate committee. Later I found that the Chair had referred it to the Committee on Labor and Public Welfare.
Mr. President, again I wish to call the attention of the Senate to the fact that although beginning next week hearings are to be commenced before the Judiciary Committee on a portal-to-portal bill, and although one such bill is before the Committee on Labor and Public Welfare and another bill on the subject is before the Committee on the Judiciary, nevertheless, today I have been denied the right to have my bill referred to the Committee on the Judiciary, so that both bills might be considered by that committee at the same time.
Mr. BARKLEY. Mr. President, if the Chair will permit me to make a suggestion for the benefit of the Chair, if it is of any benefit, I should like to say that if a bill is incorrectly assigned or
referred to a committee, the fact that bill to the committee to which the Senathat committee proceeds to . hold hear- tor requested that it be referred. But I ings on the blll does not give it jurisdic- know what has happened many times in tion over the bill, if the bill was incor- the past when Senators were especially rectly assigned. interested in particular bills which they
I do not know whether the two bills wished to have referred to particular are identical or similar. But if the .two committees. Such requests have been bills are similar, it is a bad beginning made by Senators on both sides of the here to have one referred to one com- . aisle, as the able Senator from Kenmittee and one referred to another com- tucky has said. mittee. I do not believe that either Under the Reorganization Act, if we committee should obtain jurisdiction by are to start out by observing its spirit }Jroviding for the holding of an early and letter, we cannot permit the prachearing. If either of the bills has been tice to continue as we have in the past, incorrectly referred, that mistake should for I undertake to say that the discrebe corrected before we proceed too far tionary power which heretofore was into the maze of parliamentary differ- lodged in the occupant of the chair has ences and into the mesh of confusion been taken away to a great extent, beby having similar bills referred to dif- cause in relation to each and every comferent committees. mittee we can find , spelled out so that
Mr. CAPEHART. Mr. President, will everyone can read, most of the informa-the Senator yield to me? tion which it is necessary to have in or-
Mr. BARKLEY. I yield. der to · determine exactly where a bill Mr. CAPEHART. Both bills amend should be referred.
the Fair Labor Standards Act of 1938. If we are to continue the practice we N.Ir. BARKLEY. Of course, without have followed in the past-and we have
reading t~e text of the bills, it would such a suggestion alr~ady-then we will seem that both of them should have have plenty of trouble in the Senate in been referred to the Committee on La- connection with which committee should bor and Public Welfare. handle this or that measure, and the
The PRESIDING OFFICER. If the Senator who reaches the Chair first and says, "I want my bill referred to such
Senator from Kentucky will suspend for and such committee," will determine the a moment, the present occupant of the Chair is advised that the reason why committee which will get the measure.
That is wrong, Such a practice cannot the bill introduced by the Senator from be justified. Now is the time to stop it. :}visconsiiL was .referr..ed to the Commit- . Mr. BARKLEY. Mr. President, we all tee on the Judiciary was that he re- know that the custom which has been quested that that- be don ; referred to grew up before the Reor-
Mr. BARKLEY: Mr. Eresident,_.tha;t ganization Act was passed. I contended raises the very question which .has-been all along, in spite of the fact that the a matter of great difficulty here irr the Senate rules- did· not. very clearly define past, and as to which I ~hink the Senate the juriSdiction of committees;._ttrat .. the -as a whole and the Chall' the other. day Chair should· exercise his owrr judgment am;munced _.:ought' nut to be the r~e- · in dete-rmining-to -which· committee a bill which wouldtcontrol the-r.eference·of bills· .. ;, should go, and in: ·a: case- where he: ·fiad an_d other measures. In otJ:er words; I- any doubt about it and consulted the thmk ~enators should refram~.from _un- Parliamentarian, that the Parliamen.dertaking to con~rol the re~erenc.e:. ~f - tarian should consider the subject mat- ' measu~~s to comrmtte·es: I thi~ .that .rs - ter of the bill in determining what ad.,. the s:t:nnt ~f the new .. ryles. I thmk that vice he should give the. Chair,. and .. no.t certamlY .. IS the spint of the Sen~te. be governed by the request · of an inThe Chair should not pay any attentiOn dividual senator. to the .personal requ~st of any Se~ator, · Those-of us who served in the- House unl.ess the request . Is that the bill be of Representatives know that the jurisassigned or referred to the proper com- diction of committees there is rather mittee.; and .if it is to go to the proper sharply defined, and there is not any committee, It should not be. necessary confusion over the subject. Sometimes for a Senator to request that It go th.ere. · the Speaker may be in some doubt as to It should go there under the rule. what committee a bill should be referred·
The PRESIDING OFFICER. The and consults the parliamentary clerk of Chair will state that the present occu- the House but I know of no custom that pant of the chair was not in the chair ever existed in the House that a bill when the Qill was referred. should be referred to a particular com-
Mr. BARKLEY. I understand that. mittee because the Member introducing But I think a new ruling of the Chair it asked that it be so referred, and it is should be used as a precedent hereafter not customary in the House to make such in determining a matter that is of some a request. · importance. ·In the Reorganization Act we made an
Mr. LUCAS. Mr. President, will the effort more sharply to define the juris-Senator yield? diction of the committees, in order to
Mr. BARKLEY. I yield. ' get away from the long-time confusion Mr. LUCAS. The Senator from Ken- which has existed, in order to get away
tucky will remember that I raised this from a sort of obiter dicta, ex cathedra very question one day earlier this week. announcement by a Presiding Officer I did so primarily because an individual then occupying the chair that he would Senator made a request from the :fioor refer any bill on any subject to any comthat a bill which he was introducing be mittee as requested by the author, which referred to a certain committee. In that was utterly unjustified, in my judgment, case the Senator's request was a correct and at that time I took the position that one, for the Chair did properly refer the 1t was.
'.-
220 CONGRESSIONAL RECORD-SENATE JANUARY 10 All I am seeking 'to do is to hav-e it ·
understood that the Ch:air shan -exercise his judgment as ,to the eomm.ittee to which a bill should go, depen.dimg upon its substance, and that he sh0uld not be governed by the f-act that ther.e is a request by a Senator that it sh<m~d ge to a particular committee.
Mr. WHERRY. Mr. ·pi'iesident, in keeping with the announcemeRt by the President pro tempore at the beginning of the session relative to procedure dUring the morning hour, I submit to the Chair that the Senate 'is now out of order, tha·t the regular order shonld be pursued. There is a time and a place when such motiolls as that we are -considering should be made.
Inasmuch as we have entered upon this matter, I shaH yield to the Senator !Tom Indiana for a further statement, but I Shall ask for the regular order after the Senator shaH conclude. 'Then, if there is to be a discussion of any motion about proper refer-ence of measures, we will take it up in the regular order.
Mr. CAPEHART. Mr. President, !l should like to ask the Senator !from Wisconsin [Mr. ·WILEY] a question, if I may. l understand that hearings will ··start
-· next week in the Commlttee on the Judida;ry on the portal-to-portal bilL
Mr. WILEY. That is correct. Mr. CAPEHART. 'Let me ask ·a fur
ther question. Will it be possibie for that committee to ·consider Senate bill •9. a bHI introduced by me, which 'ha'S to -do with the question 'Of portal-toportal pay., wi,thCJJUt having .it Teferred to his committee?
Mr. WILEY~ If I may, I 'Sh-ould like to make a brief statemen~t in the Senator's time. I have IJ.istened t-o all the lecturing this morning--
Mr. WHERRY. Mr. ·Presiden•t, .!I regret exceedingly that I mus,t rise· to a point of order. I ask that distinguished ·Senators withhold any further argument on the subject they have been di·seu'SSing, and that we proceed with the morning hour. Then Senators can take their ow.n time~ I ask for the reguiar order.
The PRESIDING OFFICER. The point of order is well tak·en. Reports of committees are still in order.
Mr. WILEY. Is it in order to introduce 'bills?
The PRESIDING OFFICER. If there . 'be no further reports of committees, the intr.oduction of bills and joint resolutions is in order.
BILLS AND JOINT RESOLU'il'IONS INTRODUCED
Bills and joint resolutions were introduced, :read the first time, and, by l.manimous consent, the second time, and referred as follows:
(Mr. WILEY introduced S. 125, to amend the Civil Service Retirement Act of 'May 29, 1930, as amended, so as to extend the benelits -of such a'ct to the Official Reporters of Debates 1n the Senate and -persons employed by them in connection-with the performance of their duties as such rep0rters, which was ref-erred to the Committee on Civil Service, and appears under a separate heading.)
(Mr. WILEY introduced B. 126, to authorize the coinage of 50-cent 'Pieces in commemoration of the one hundPedth anniversary of the admission of Wisconsin into the
Umun as :a State, which was referred to the Committee 'On Banking and Currency, an.d appears under a. separate heading.)
{.Mr. WILEY introdue.ed S. 127, to Jll'OVlde flexibility in the schedule of basic salaries of employees of Senatqrs, which was referred to the Committee on. AppropriatiGns, and appeavs 11nder a separate heading.)
.By .Mr. THOMA:S of U'tah: S. 128. A bill to authorize the cancellation
of deportation proceedings in the case of 3oseph Christian Mueller; to the Committee on the Judiciary.
By Mr. HATCH: S. 129. A bill ior the relief -of Anastasios
P. Ionnetos (known as T0m 'Panage Yanatos) ; to tae Committee .on the Judiciary.
BW Mr. AIK!EN: S. 130. A bill to amend the Mustering-Out
Payment .Act of 1944 so as to remove the time limitation on the filing of applications for benefits by persons who were discharged or released from active duty before the effective date of such act; to the Committee on Armed Services.
S. 131. A bill to safeguard the health, efficiency, .and morale of the American. people; to provide for improved nutrition through a· more effective distribution of food supplies thTough -a iood-allotment prog,ram; t-o 'assist in maintaining fair prices and incomes to farmers .by- provlcUng adequate <Outlets for ~icultural products; to prevent bu11deni:ng and obstructing chann.els or interstate eommenoe; to pv0mote tihe fuU use of -agricultural resources.; and fo.r other purposes; to the Committee on Labor apd Public We1fare. ·
By Mr. M'ILLiKIN: S. 132. A 'bili to relleve ·collectors of cus
toms of Uablility for failure to collect certa.~zi; special tonnage duties and light money, e:nd: f.mr ota•er pur.poses.; to the Committee on. Finance. ·
By Mr. BALL: S.133. A. bill to prevent the use of certain
monopolistic practices in collective bargaining, to amend the N-ational Labor Re1ations Act, and lfor other 'PUrposes; to the Committee on .La.ili>or and Public Wel:fare.
!By <Mr. O'MAHONEY: S. 184. A bill to runend tb.e act entitled "An
act authcm~ the construction and operation Gf .demonstration plants to produce synthetic liquid fuels from coal, oil ,shales, a,gri·cultural and fol"estry pr.oducts, and oth'el' substances in order to aid the prosecution of the war, to conserve and increase the oil resour-c.es .of the Nation, a~d. for oth.er purposes," approved April '5. 1944 (58 Stat. 190); oo the Committee <m PUblic Lands.
By Mr. CAPEHART: :S. 135. A bill to legalize the admission into
the United States of Frank Schindler; to the Committee on the Judiciary.
By Mr. MoCARRilN: 8. 136. A billl for the relief of Ioannis Ste
phanes.; to the Committee on the Judiciary • By 'Mr. JOHNS'OON o'f South Carolina:
S. 137. A bill to authorize the appointment of three additional judges of the municipal court for the District of Columbia and prescribe the qualifications of the judges of such court; to the Committee <m the District ef Columbia.
!By Mr .. .MURRAY {for b.im'Self, .Mr. HAYDEN, an« Mr. McFAR~D) :
S. 138. A bill to authorize mining, miUing, or smelting loans, and for other purposes; to the Committee on Banking and CUrrency.
By Mr. FULBRIGHT: S. 139. A bill ito provide for the holding of
special elections to .fill vacancies caused by .11emoval, deatb, resign'S.tion. or inability of both tb..e Pr.esldent ami the Vice President; t o the CQmmittee on Rules and AdminIstration·.
(Mr. FULBRIGHT (for 'himself and Mr. TAFT) :tntrodtuced S. 140, ·to create an executive department -or the Govemment to be kn-own as the Department of Health, Educatlon, and Security, which was referre!i
.. r~ ..
to . the Committee on Expenclitures in the ~eeutive DepBirtment~. a;nd .appears under a. _~par.ate heading.) ' · ·· ' · · ·
'By Mr. ·wmTE :· · S.l4l. A bill to create a medal to be known
as the Army Reserve Meda~; S. 142. A bill to authori'ze 1ump-sum pay
ments to tb.e beirs .QT . estates of Air Corps Reserve flying Qffioers kUled. while ·on active duty; and ·
S. 143. A bill to· create an official ribbon to be known as the Army Reserve .Special Commendation Ribbon; to the Committee on ATmed s~rvioes . . •
By Mr. SALTONSTALL (for himself and Mr. LoDGE):
S. 144. A bill pr.oviding for the conveyance to th·e town of Marblehead, in the State of ¥assaeh'!lsetts, of Marblehead Military Reservation for pub1ic use; to the Committee on Armed Services. ·
By Mr. WHERRY: S. 145. A.biH to provide for the relief of Eric
Sed-don; to the Committee on the Judiciary. S. 146. A biill authorizing the reduction of
certain accrued intenest charges payable by the farmers' irrigation clistrict, NorjjD Platte project; t0 tl:le .CammLttee on Puol-m Lands.
By Mr. MAGNUSON; . S. 147. A bill for the relief of Presly Hom- .
day, quartermaster sergeant, Quartermaster Corps, on the retired IJ.ist, and for other pur- · }llGses; t0 t'h.e C.0mmittee· on Armed Services.
S. 148. A bill for the relief of Charles G. Meyers;
S. 149. A bill for the riilief of Ha~ Haus~; , and - ·
S. 150. A bill to r~cord. the:Yawful ad~ssion to the United States for p~rY,!a:rient resldence of Go~tfri~d Schmidt-Epr~nber:g; -to the Com-mittee on the Judie.iary. ~
By Mr. PEPPER: ·.,· .. s. ~5.'L A 'bilL to provide that the United
States -shaH add the States in 1he aoq!iis\ti.pn _ a;nd development of ,systems cf State parks, &nd. for other purpose$; to the Committee on PUblic Lands. - :S.l52. A bill to authorize the admission· into the 'United States, under a. quota. for Koreans, persons of the Korean raee, to make them racially e1igib1e for natura.ilization, and . for other purpases; to the Committee on the .JudieiaT}'.
By Mr. PEPPER (for himself and Mr. HOLLANID} ;
S.153. A bill authorizing the .Secretary of War to have prepared a replica of the Dade Monument for presentation to the State of FJ.orida; to the Committee on Armed Services.
By Mr. PEPPER (for himself, Mr. M17llRAY~ and Mr: 'IEOMAS of Utah);
S. n4. A b'ill to provide for the amendment of the Fair Lab(!)r Stand..ards Act of 1938, and for other ,purposes; t0 the Committee on Labor and Public Welfare.
'By Mr. HOLLAND {for himself and Mr. PEPPER):
B. 155. A bill f-or the relief of certain claimants who sutrer-ed losses and sustained damages as the .result of the campaign carried out by the Feolerai Government f(!)r the eradication. of t he Medioorranean fruitfiy in the State of Florida; to the Committee on the Judiciary.
By Mr. HOLLAND: S. 156. A bill to permit retired officers of
the armed forces to act as agents or a.ttorn~ys for prosecuting claims against the United States; and
S.l57. A bill to amend the act entitled "An act defining the compensation of persons holding positions as deputy clerks and cGmmission.ers .of · United States district courts, and for other purposes," approved June 16, 1938; to the Committee on the Judici-ary.
!By Mr. MORSE: S. 158. A biU for the relief of certain
Basque aliens; to the .Commit tee ·on the Judiciary.
1947 CONGRESSIONAL RECORD-SENATE 221 By Mr. 0'DANIEL:
S. 159. A bill to repeal the National Labor Relations Act; _
S . 160. A bill to amend certain proyisions of law relating to overtime pay, and for other purposes; and ·
S. 161. A bill relating to the hours of employment, compensation, and conditions of employment of employees engaged in interstate commerce or the production of goods for such commerce or employed in the performance of any Government contract; to the Committee on Labor and Public Welfare.
By Mr. KILGORE: S. 162. A bill to amend sections 812 and
861 of the Internal Revenue Code so as to allow the deduction of the ·amounts of bequests, legacies, devises, or transfers to or for the use of veterans' organizations in determining the net estates of decedents subject to Federal estate taxes· to the Committee on Finance.
S.163. A bill to amend section 33 of the Longshoremen's and Harbor Workers' Compensation Act; to the Committee on Labor and Public Welfare.
By Mr. VANDENBERG: S. J. Res. 19. Joint resolution to · provide
for designation of the VetMans' Administra.tion hospital at Grand Rapids, Kent County, Mich., as the Lamoreaux Memorial Hospi- . tal; to the ·committee on Labor and Public Welfare.
By Mr. O'MAHONEY (for himself and Mr. REVERCOMB) : ~
S. J . Res. 20. Joint resolution to extend in the case of the Government-owned pipe lines known as Big Inch and Little Big Inch the
. time during which disposition of such pipe lines is prohibited under the Surplus Property Act of 194'4,"·as amended; to the Committee on Armed Services. ·
By Mr. BALDWIN: S. J. Res. 21. Joint resolution proposing an
amendment to the Constitution of the United ·States prohibiting any person from being . elected President for consecutive terms in excess of two; to the Committee on the Judiciary.
(Mr. MURRAY (for himself, Mr. WAGNER, ' Mr. THOMAS of Utah, Mr. PEPPER, Mr. -GREEN, Mr. MYERS, Mr. McGRATH,' Mr. TAYLOR, and Mr. KILGORE) · introduced ·Senate Joint Reso
·Iution 22, to create a Temporary Labor Relations Commission' to make a study and recommendations concerning labor relations, and for other purposes, which was referred to the Committee on Labor and Public Welfare , and appears under a separate heading.)
(Mr. O'DANIEL introduced · Senate Joint Resolution 23, propesing an amendment to the Constitution of the United States, relati¥e to freedom to work, which was · referred to the Committee on the Judiciary, and appears under a separate heading.)
By Mr. BRIDGES: s. J. Res. 24. Joint resolution providing for
a more effective staff organization for standing committees of the Senate; to the Committee on Appropriations.
By Mr. KILGORE: S. J. Res. 25. Joint resolution proposing an
amendment to the Con.stitution of the Un ited States, relating to the office of Vice President; to the Committee on the Judiciary.
EXTENSION OF RETIREMENT BENEFITS TO S~ATE OFFICIAL REPORTERS
Mr. WILEY. Mr. President, I introduce for appropriate reference a bill to amend the Civil Service Retirement Act of May 29, 1930, as amended, so as to extend the benefits of such act to the Official Reporters of Debates in the Senate, and persons employed by them in connection with the performance of t heir dut ies as such reporters. I ask unanimous consent that the bill, to ..
gether · with a statement by me, be printed in the RECORD.
There being no objectivn, the bill <S. 125) to amend the Civil Service Retirement Act of May 29, 1930, as amended, so as to extend the benefits of such act to the Official Reporters of Debates in the Senate and persons employed by them in connection with the performance of their duties as such reporters, introduced by. Mr. WILEY, was read twice by its title, referred to the Committee on Civil Service, and ordered to be printed in the RECORD, as follows:
Be it enacted, etc., That section 3 (a) of the Civil Service Retirement Act approved May 29, 1930, as amended, is amended by adding at the end of such subsection the following·:
"For the purposes of this act, the Official Reporters of the Proceedings and Debates of the Senate and persons employed by them in connection with the performance of their duties as such reporters shall be deemed to be officers or employees in or· under the legislative· branch of the Government, and service .heretofore or hereafter rendered as an Official Reporter .of Debates of the Senate or as a person employed by the Official Reporters of· Debates of the Senate in connection with the performance of their .. duties as such .re'porters · shal1 'be deemed to be service as an· officer or employee in or under the legislative branch of the Government. The provisiops of this act shall not apply to any such Official Reporter or person employed .by them un_til he gives notice in writing to the said Official Reporters of }lis desire t0 come withi~
.the. purview ,of this act. In the. case of .any such Official Reporter or person employed by them who is in service on the date of enactment of this subsection, such notice of desire to come within the purview of this act must be given within 6 months after such -date. In the case of any such Official Reporter or per~on employed by -them who en.ters the service subsequent to the date of enactment of this subsecti-on, such notice of desire to come within the purview of this act must be given within 6 months after the · date bf such entrance into the service. No provision of this or any other act relating
· to automatic separstion from the service shall be applicable to any such Oftlcial Reporter or person employed by them." ·
The statement presented by Mr. WILEY to accompany the bill was ordered to be printed in the RECORD, as -follows:
STATEMENT BY MR. WILEY ON REPORTERS' RETIREMENT BILL
The purpose of this bill is to fill a needless omission in the Civil Service Retirement Act. Because of that omission, Official Reporters of Debates in the Senate do not now have the benefits of the retirement provisions of the act. It seems to me, therefore, simple justice that these able and faithful men and those who work for them should have the benefits of the act. <
No Member of this distinguished body can long be here without recognizing the invaluable services that are performed for him by the Official Reporters. With patience, with care, and with complet e respect for their task, the Official Reporters chronicle each single word and action in this Chamber, editing senatorial remarks with precision, making suggestions, and otherwise helping to make an adequate and complete report for the CONGRESSIONAL RECORD. They deserve this amendment at the very minimum.
COINAGE OF 50-CENT PIECES IN COM-MEMORATION OF ONE HUNDREDTH ANNIVERSARY OF ADMISSION OF WISCONSIN INTO THE UNION
Mr. WILEY. Mr. President, I 1ntro. duce for appropriate reference a bill to authorize the coinage of 50-cent pieces
in commemoration of the one hundredth anniversary of the·admission of Wisconsin into th-e Un1on as a State. · ·r ask · unanimous consent that the bill, together with a statement by me, be printed in the RECORD.
There being no objection, the bill <S. 126) to authorize the coinage of ~0-cent pieces in commemoration of the one hundredth anniversary of the admission · of Wisconsin into the Union as a State, introduced by Mr. WILEY, was r·ead twice· by its title, referred to the Committee on Banking and Currency, and ordered to be printed in the REcoRD, as follows:
·Be it enacted, etc., That in commemoration of the one hundredth an.:niversary of the admission of Wisconsin into the Union as a State, there shall be coined not to exceed 100,000 silver 50-cent pieces of standard size, weight, and composition-, and of · a special appropriate design to be fixed by ·the Director of the Mint, with the approval of the Secretary of the Treasury; but the United States shall not be subject to the expense of makirig the necessary dies and other preparations for such coinage.
SEc. 2. The coins herein authorized shall . bear the date of the year in whiCh ·they · are
minted, .shall be legal tender to t}J.e amount of 'theil: face value, and shall be issued only upon the request of a duly authorized representative of the State of Wisconsin, upon the payment by it of the par value of such coins. Such coins shall be issued in such numbeFs and at such tinies during the cal.;
. en dar· year 1948 as shall be requested by such State .of Wisconsin .and may be disposed of ·aG par or at a pre~ium, and the net proceeds ··shall be used for the observance of the centennial as directed by the Governor of the ·state of Wisconsin.
SEc. 3. All laws now in force relating to· the subsidiary silver coins of the United States and the coining or striking of the same, regulating and guarding th~ process of coinage, providing for the purchase of material, and for the transportation, distribution, an~ redemption · of coins, for the prevention of debasem·ent or counterfeiting, for the seclirity of the ··coins, or for· any other purpose, whether such laws are penal or otherwise, shall, so fa-r as applicable, apply
. to the coinage herein authorized.
The statement presented by Mr. WILEY was ordered to be printed in the RECORD, as follows:
STATEMENT BY MR. WILEY A COMMEMORATIVE COIN FOR WISCONSIN'S
CENTENNIAL The purpose and nature of this resolution
are self-explanatory, and conform completely to legislation passed previously by Congress, for example, the measure passed in the Seventy-ninth Congress for coins commemorating Iowa's centennial.
The preparation of a special coin is but one of the ways by which I hope our Federal Government will appropriately recognize this noteworthy occasion in the life of the great Badger State. I have already written to Postmaster General Hannegan, urging immediate plans for the issuance of a special centennial stamp. I hope that by the prompt passage of the legislation which I am introducing, and the prompt preparation of the centennial stamp, we may lay the groundwork for the extensive plans that will be made by the appropriate aut horities in Wisconsin for the commemoration of the centennial.
The importance of honoring and giving appropriate recognition to our States as entities and to our St ate governments cannot be underestim ated in this day of cent ralization. Only by giving new dignity and prestige to the States can they be encouraged
222 CONGRESSIONAL RECORD-SENAT-E JANUARY 10 to solve their local problems at the grassroots level. I call attention to the fact that a special coin was struck to commemorate the centennial of Wisconsin's territorial ·government, and I believe that measures such as this are of help in promoting the prestige of our States.
BASIC SALARIES OF EMPLOYEES OF • SENATORS
Mr. WILEY. Mr. President, I introduce for appropriate reference a bill to provide flexibility in the schedule' of basic salaries of employees of Senators. I ask unanimous consent that the bill and a statement which I have prepared be printed in the RECORD.
There being no objection, the bill <S. 127) to provide flexibility in the schedule of basic salaries of employees of Senators, introduced by Mr. WILEY, was read twice by its title, referred to the Committee on Appropriations, and ordered to be printed in the RECORD, as follows:
Be it enacted, etc., That the eighth paragraph under the heading "Clerical assistance to Senators" of the Legislative Branch Appropriation Act, 1947, approved July 1, 1946, is amended to read as follows:
"Senators may change the number of employees in their respective offices, and may rearrange the schedule of basic salaries of such employees, including administrative assistants, in multiples of $5 per month: Provided, That such changes and rearrangements shall not increase the aggregate of the salaries provided for such offices by law. or Senate resolution: Provided further, That no salary, other than that of the administrative assistant, shall be fixed under this paragraph at a rate in excess of $5,040 per annum, and no action shall be taken to reduce any salary which is specifically fiXed by law at a rate higher than $5,040 per annum: Provided further, That Senators, before the day on which they are to become effective, shall certify in writing such changes or rearrangements to the disbursing oftlce of the Senate which thereafter shall pay such employees in accordance with such certifications. Any sum available for the salaries of administrative assistants to Senators shall be available for payment of salaries of clerks in the case of any Senator in an amount equal to the difference, if any, between the basic salary of the administrative assistant and $8,000."
The statement presented by Mr. WILEY was ordered to be printed in the REcORD, as follows: STATEMENT BY MR. WILEY ON ADMINISTRATIVE
ASSISTANT BILL
The purpose of this bill is to correct an inflexible feature in the Legislative Branch Appropriation Act of 1947. Under that act, each Senator was given an administrative assistant whose basic salary is not to ~;xceed $8,000. Further, under that act, if an employee is hired to fill that position at less than the top basic salary of $8,000, the difference between his salary and the $8,000 figure cannot be made available for other office purposes of the Senator.
At the time this feature was enacted I pointed out that in many senatorial offices Senators did not feel that employees hired to be administrative assistants, however capable, should be begun at the top basic salary of $8,000. On the contrary, I know that many of my colleagues are planning to hire men or have al.ready done so at lower figures, such as $6,000. Under such a present arrangement, the $2,000 that is left over cannot be used by the Senator for office purposes. I need not rem.ind each Senator that that sum might be properly used for apportionment, if only in part, among other members of the Senator's staff. I definitely do not believe that simply because a Sena-
tor has been granted this $8,000 job he should use the $8,000 in full merely in order to use up the money. On the contrary, I have stated that we must husband our funds here as much as we want the downtown agencies to husband their funds rather than to spend them recklessly, but innumerable senatorial offices would be benefitted, I humbly believe, if my amendment is passed in that each Senator will have available such additional
. sums to cover deserving needs in his office.
DEPARTMENT OF HEALTH, EDUCATION, AND SECURITY
Mr. FULBRIGHT. Mr. President, on behalf of the Senator from Ohio [Mr. TAFT] and myself, I introduce a bill to create an executive department of the Government, to be known as the Department of Health, Education, and Security. At this time I desire only to observe that this bill is very similar to the one we introduced in the last Congress, known as S. 2503. I ask for its appropriate reference.
The bill <S. 140) to create an executive department of the Government to be known as the Department of Health, Education, and Security, was read twice ' by its title and referred to the Committee on Expenditures in the Executive Departments.
TEMPORARY LABOR RELATIONS . COMMISSION
Mr. MURRAY. Mr. President, on behalf of the Senator from New York [Mr. WAGNER), the Senator from Utah [Mr. THOMAs], the Senator from Florida [Mr. PEPPER], the senior Senator from Rhode Island [Mr. GREEN), the Senator from Pennsylvania [Mr. MYERS], the junior Senator from Rhode Island [Mr. McGRATH), the Senator from Idaho · [Mr. TAYLOR], the Senator from West Virginia [Mr. KILGORE), and myself, I introduce for appropriate reference a joint resolution to create a Temporary Labor Relations Commission t~ make a study and recommendations concerning labor relations.
I am introducing the joint resolution in order to carry out, in part, the President's recommendation in his state-ofthe-Union message wherein he requests Congress to appoint such a Commission to investigate "the entire field of labormanagement relations."
Mr. President, I have for a long time felt, and-I publicly so stated as far back as April of last year, that the most intelligent approach leading to the most equitable and lasting solution of the laborrelations problem lies in a thorough and expert investigation of the whole problem, including, as the President suggested, "the underlying causes of labormanagement disputes." In June of last year I specifically recommended a Presidential commission along the lines of the one established by President Wilson, which under the very able chairmanship of the late Frank P. Walsh, of Missouri, carried out such an enlightening arid valuable investigation.
Mr. President, the sponsors of the joint resolution are in complete agreement with the President that Congress together with representatives of management, labor, and the public can carry out a more valuable and comprehensive study of the problem of labor-management relations than Congress by itself,
or management. labor, and the public by themselves. The joint.resolution, therefore, calls for the ·appointment of six Senators by the President of the Senate, six Members of the House by the Speaker of the House of Representatives, and eight members of management, labor, and the public by the President of the United States .
The joint resolution gives particular emphasis to "the special and unique problem of Nation-wide strikes in essential industries affecting the public interest." The Commission in determining the underlying causes of labor-management disputes would be charged with investigating union and employer policies and practices, economic and other factors. The methods and procedures for carrying out the . collective-bargaining process, Government policies, existing and proposed legislation, and measures designed to lessen or eliminate labormanagement disputes would also be studied.
The Commission would also investigate the problem of the health and safety of workers and the feasibility of estab,.. lishing welfare funds, as was suggested in the President's veto message on the Case biU last year. ·
The joint resolution <S. J. ·Res. 22). to create a Temporary. Labor Relations Commission te make a study and recommendations concerning labor relations, and for other purposes; introduced by Mr. MURRAY (for himself, Mr. WAGNER, Mr. THOMAS of Utah, Mr. PEPPER, Mr. GREEN, Mr. MYERS, Mr. McGRATH, Mr, TAYLOR, and Mr. KILGORE) was read twice by its title arid referred to the Committee on Labor and Public Welfare. AMENDMENT OF CONSTITUTION RELAT-
ING TO FREEDOM TO WORK
Mr. O'DANIEL. Mr. President, for several years I have sponsored in the Senate a joint resolution proposing to amend the Constitution of the United States so as to restore to all citizens the freedom to work. At this time I send an identical joint resolution to the desk for proper reference, and ask that it be printed in · the RECORD following my remarks.
There being no objection, the joint resolution (S. J. Res. 23) proposing an amendment to the Constitution of theUnited States, relative to freedom to work, was read twice by its title, referred to the Committee on the Judiciary, and ordered to be printed in the REcORD, as follows:
Resolved by the Senate and House of Representatives of the United States of Ameri ca in Congress assembled (two-thirds of each House concurring therein), That the following article is hereby proposed as an amendment to the Constit ution of the United States, which shall be valid to all intents and purposes as part of the Constitution when ratified by the legislatures in three-fourths of the several States:
"ARTICLE
"FREEDOM TO WORK
."SECTION 1. No person shall be denied employment because of membership in or affiliation with or resignation from a labor union, or because of refusal to join or affiliate with a labor union; nor shall any corporation or individual or association of any kind enter into any contract, written Qr oral, to exclude from employment members of a labor
1947 CONGRESSIONAL RECORD-SENATE 223 union or persons who refuse to join a labor union, or because of resignation from a labor union; nor shall any person against his will be_ compelled to pay dues to any labor organization as a prerequisite to or condition of employment.
"SEc. 2. The Congress shall have power and exercise it to enforce this article by appropriate legislation."
TERMINATION OF PORTAL-TO-PORTAL WAGE&-AMENDMENT
Mr. CAPEHART. Mr. President, I send to the desk a copy of a bill to amend the Fair Labor Standards Act of 1938, as amended, and for other purposes, and offer it as a substitute for Senate bill 70, to exempt employers from liability for portal-to-portal wages in certain cases, and for other purposes, and ask that it be referred to the Committee on the Judiciary.
The PRESIDING OFFICER. The bill will be appropriately referred.
Mr. HILL. Reserving the right to object, did I understand the Senator to ask unanimous consent?
The PRESIDING OFFICER. The Chair understands the Senator from Indiana to be offering an amendment as a substitute for a bill.
Mr. HILL. Did the Senator from Indiana ask that the amendment be referred to a particular committee?
The PRESIDING OFFICER. The Senator asked that it be referred to the committee which has before it the bill which his proposal is designed to amend.
Mr. CAPEHART. I asked unanimous consent.
The PRESIDING OFFICER. Without objection, it is so ordered. PRINTING OF ADDITIONAL COPIES OF
REPORT OF TEMPORARY NATIONAL ECONOMIC COMMITTEE
Mr. O'MAHONEY submitted the following concurrent resolution <S. Con. Res. 2), which was referred to the Committee on Rules and Administration:
Resolved by the Senate (the House of Representatives concurring), That there be printed 1,000 additional copies of Senate Document No. 35, Seventy-seventh Congress, first session, being the final report and recommendations of the Temporary National Economic Committee, of which 500 copies shall be for the use of the Senate Document Room and 500 copies for the use of the House Document Room.
SHORTAGE OF RAILROAD BOXCARS
Mr. REED submitted the following resolution <S. Res. 47), which was referred to the Committee on Interstate and Foreign Commerce:
Whereas there is presently available to shippers of traffic requiring boxcars approximately 700,000 cars of that type; a need for 800,000 cars is indicated; the result is a severe stringency in the supply of such cars in a ll sections of the country with consequent damage to shippers unable to receive cars adequate to their need; ana
"Whereas the rate of building new cars of all types is governed by the availability of necessary materials which has been and now is far below the needs of the commerce of the country; and
Whereas there are persistent claims that allotment of critical materials for building of fre ight cars has been below a justifiable minimum; and
Whereas the insufficient supply of boxcars produces a constant tendency to dislocate, as between railroads and as between sections
of the country, the cars that are available with damage to business generally; and
Whereas the Interstate Commerce Commission has been given full powers to control the freight-cat supply of the country (Interstate Commerce Act, sec. 1, pars . 13 to 17); and
Whereas it has been and is being vigorously asserted that the Interstate Commerce Com~ission has failed to use its power and authority to prevent or correct such dislocation: Therefore be it
Resolved, That the Interstate and Forelgn Commerce Committee, or any duly constituted subcommittee thereof, of the Senate is authorized and directed to make an early and thorough investigation on the following points and to make prompt report to the Senate together with such recommendations as to necessary legislation as it may deem desirable:
A. Whether the boxcar supply of the railroads has been and is now adequate;
B. Whether there has been an avoidable failure to make necessary material available for the building of new cars;
C. Whether material for building of freight cars. for export from the United States of America has been provided and such cars exported to the detriment of business in this country;
D. Whether the Interstate Commerce Commission has fully carried out the duties and obligations imposed upon that agency of the Congress by the Interstate Commerce Act.
CHARLOTTE D. WORDEN
Mr. MILLIKIN submitted the following resolution (S. Res. 48) , which was referred to the Committee on Rules and Administration:
Resolved, That the Secretary of the Senate hereby is authorized and directed to pay from the contingent fund of the Senate to Charlotte D. Worden, widow of Floyd Worden, late an Official Reporter of Debates of the Senate, a sum equal to 6 months' compensation at the rate he was receiving at the time of his death, said sum to be considered inclusive of funeral expenses and all other a-llowances.
AMENDMENT OF RULE RELATING TO GERMANENESS OF AMENDMENTS
Mr. KNOWLAND submitted the following resolution (S. Res. 49), which was referred to the Committee on Rules and Administration:
Resolved, That the Standing Rules of the Senate are amended by adding at the end thereof the following new rule:
"RULE XLI "GERMANENESS
"No amendment to any bill or resolution pending in the' Senate which is not germane or relevant to the subject matter contained in such bill or resolution shall be received or considered; nor shall any amendment to any item or clause of any such bill or resolution be received or considered which does not directly relate thereto. All questions of germaneness or relevancy of amendments under this rule , when raised, shall be submitted to the Senate and decided without debate."
AMENDMENT OF RULE RELATING TO VOTES ON CERTAIN MEASURES
Mr. KNOWLAND submitted the following resolution <S. Res. 50), which was referred to the Committee on Rules and Administration:
Resolved, That paragraph (3) of rule XXV of the Standing Rules of the Senate (relating to a quorum for standing committees) is amended by adding at the end thereof the following: "Any measure or recommendation rel?orted from any such committee shall be
accompanied by a report in writing, which shall be printed, and a record vote shall be taken on any such measure or recommendation and the names of those voting for and against the measure or recommendation ·shall be included in the committee report."
THE DOMESTIC SUGAR SUPPLY
Mr. BALDWIN. Mr. President, I submit a resolution pertaining to the sugar situation in the United States, and I ask that there be printed in the RECORD a letter from a young housewife in my own home State of Connecticut pertaining to the sugar situation.
The PRESIDING OFFICER. Without objection, it is so ordered.
The resolution <S. Res. 51) , submitted by Mr. BALDWIN, was referred to the Committee on Finance, as follows:
Whereas there exists in certain parts of the United States a shortage in the supply of sugar; and
Whereas this shortage is causing distress and suffering to people who are unable to obt ain sugar to meet their minimum requirements; and
Whereas there would seem to be ample productive capacity in the United States, coupled with available foreign sources, from which to obtain a supply of sugar more than sufficient to meet all our needs: Therefore be i:t
Resolved, That the Committee on Finance, or any duly authorized subcommittee thereof, is authorized and directed to make a full and complete study and investigation of the sources of our domestic sugar supply, the amount of our present inventories, the reasons for existing shortages in sugar, and possible measures for alleviating such shortages; and to report to the Senate at the earliest practicable date the results of its investigation. together with such recommendations as to necessary legislation as it may deem desirable.
The letter presented by Mr. BALDWIN is as follows:
LITCHFIELD, CONN., December 21, 1946. Senator BALDWIN,
Sta,te House;Harttord, Conn. DEAR SIR: I am writing to tell you about
our sugar problem. I am a housewife , and we live on a farm in Litchfield County. We have five children. That means I have much cooking to do. My greatest problem since sugar rationing began is how to feed my family without sugar. Substitutes do not take the place of this hard-to-get article. Before rat ioning I always used from 5 to 10 pounds each week. In canning season much more.
· We have done without our canned fruits, jams, jellies, without sugar for our table much of the time, and the pies, cakes, cookies, doughnuts, puddings, and candy have been out of the quest ion.
Now, the war has been over for some time. Reports are that Europe's sugar crop is nearly normal. We want much more sugar in our American homes, where we are trying to raise the future generation of this country.
This year we faced Thanksgiving- without sugar; now Christmas and the New Year without sugar, and it's not fair, especially to the children.
Thank you for listening. Very truly yours,
INEZ I. MAY.
PROBLEMS OF AMERICAN SMALL-BUSINESS ENTERPRISES
Mr. MURRAY submitted the following resolution <S. Res. 52), which was re·· ferred to the Committee on Rules and Administration:
Resolved, That the limit of expenditures under Senat.e Resolution 298, Seventy-sixth
224 CONGRESSIONAL RECORD-SENATE JANUARY 10 Congress (providing for a study and survey of the problems of American small-business enterprises), agreed to October 8, 1940, as continued and supplemented, is hereby increased by $7,754.
EXTENSION AND INCREASE OF AUTHORIZATION OF SYNTHETIC FUELS ACT
Mr. O'MAHONEY. Mr. President, earlier today I introduced a bill to amend the Synthetic Fuels Act by extending that act from 5 to 8 years and ·by increasing the authorization. I ask unanimous consent that there may be printed in the RECORD at this point a statement which I have just dictated for release to persons interested.
There being no objection, the statement was ordered to be printed in the REcORD, as follows: EXTENSION OF SYNTHETIC FUELS ACT AND DIS
POSAL OF GOVE:lNMENT PIPE LINES Unless the O'Mahoney-Randolph Synthet
ic FUels Act of April 5, 1944, is amended, it may be impossible for the United States Bureau of Mines to proceed effectively with the originally planned program to m ake gasoline and other fuels from coal. I have, therefore, today introduced a bill extending the effective period of the act from 5 to 8 years, and the appropriation authorization from $30,000,000 to $60,000,000.
When the law was originally passed, it was contemplated that coal hydrogenation plants to demonstrate the utilization of coal as a source of liquid fuel should be constructed 1n several parts of the country close to the Nation's large deposits of coal. Rising costs due to the war and the fact that a government ordnance plant at Louisiana, Mo., was originally made available to the Department of the Interior prevented the construction of any of these coal plants.
On September 26, 1946, however, the War Department withdrew the Missouri ordnance works because it was found that it would be needed for the emergency production of ammonia for fertilizers. This effectively put an end to the coal hydrogenation plant, except for the research work which has been carried on 1n the Bureau of Mines laboratories, because the Interior Department does not now have sufficient funds available to proceed with the original plan.
Meanwhile, the consumption of petroleum in the United States is exceeding expectations. The conversion from the use of coal to the use of oil in many industries is increasing, as, for example, on the railroads where Diesel engines in large numbers are now supplanting steam locomotives.
If such conversions continue the coal industry may be seriously impaired, and m any areas of the United States which depend upon coal mining may suffer.
Another fact which indicates the necessity for the amendment I have offered is that foreign sources of petroleum now greatly exceed domestic resources. The United States is no longer the world's greatest petroleum reservoir as it has been for 75 years until the war, and a sound conservation policy would indicate that there should be no interruption of the Bureau of Mines' program as originally contemplated in the O'Mahoney-Randolph Act to make a complete commercial demonstra tion of the possibility of making liquid fuel from coal.
The plan has the endorsement of the petroleum industry. The Independent Petroleum Association of Ainerica, for exam ple, in its suggestions for a national oil policy, recommended that "research activities should be expanded and intensified in all fields, including the development of petroleum product s from natural gas, coal, shale, and other sou rces of synthetics."
Supplementing my measure to continue the synthetic fuels program, I have, in con-
junction Wit h Senator CHAPMAN REVERCOMB, of West Virginia, introduced a resolution to postpone for 90 days the sale of the Big Inch and Little B:g Inch pipe lines so that Congress may have an opportunity to study the effect of the disposition of these lines on .all the fuel indu stries.
The report of the War Assets Administration recommends that the p ipe lines be disposed of either for the transportation of · pet roleum or natural gas by sale to the purchaser "offering the greatest net return in dollars to the United States Go~ernment."
Personally, I h ave never believed that the great est net return in dollars should be the only standard, and, as a matter of fact, the Surplus Property Act specifically set forth numerous other objectives which should guide the disposal of surplus property. Among these was the maintenance of competition, the encouragement of employment opportunit ies, and the avoidance of "dislocations of the domestic economy and of international economic relations." Moreover, it was specifically provided by Congress in the Surplus Property Act that "Governmentowned transportation facilities and equipment" should be disposed of "in such manner as to promot e an adequate and economical national transportation system."
The recently annou~ced agreement among four large American companies operating in the Middle East for the distrit u t ion of Saudi-Arabian petroleum has given great concern to domestic petroleum producers in the United States lest it should mean a sharp increase of petroleum importations in such manner as to drive small producers out of business. It has been suggested, for example, that this agreement might lead to -shifting the fiow of Latin-American oil from i
1ts
accust omed market in Europe to the United States. ·
The use of these pipe lines for gasoline was strenuously opposed at the joint hearings held in November 1945 by the Surplus Property Subcommitee of the Senate Committee on Military Affairs and the Special Senate Committee on Petroleum, by the railroads, the coal associations, and the mine workers. The hearings of the Senate Public Lantis Committee on the "original O'Mahoney-Randolph Synthetic Fuels Act developed the fact that natural gas is, next to crude petroleum, the best source of gasoline. The transportation of natural gas from the Southwest to the industrial areas of the East supplanting coal m ay be a very uneconomic use of a valuable n atural resource when it is taken into account that the position of the United States as a producer of petroleum is deteriorating in comparison with the oil areas of the Eastern Hemisphere.
It would seem to me all of these subjects should be carefully examined by the appropriate congressional committees before tbe pipe lines are sold merely for cash without regard to the effect of such disposal upon the economic system of the count ry.
DISPOSAL OF LITTLE BIG INCH AND BIG INCH PIPE LINES
Mr. O'MAHONEY. Mr. President, earlier today I introduced two measures , one a joint resolution in which I acted on behalf of the junior Senator from West Virginia [Mr. REVERCOMB] and myself. The purpose of that joint resolution is to postpone for 90 days the disposal of the Big Inch and Little Big Inch pipe lines in order that the appropriate committees of Congress may consider the many issues which are involved in that matter. According to its report, the War Assets Administration would dispose of these pipe lines merely for cash to the highest bidder, without giving consideration at all to many of the very important objectives set forth in the Surplus Prop-
erty Act, among which are the maintenance of competition, the preservation of domestic and foreign economic relations, the promotion of employment, and so forth. There was also an objective set forth in the Surplus Property Act that transportation facilities built by the Government during the war should be disposed of in a manner calculated to promote the best int erests of the country.
TRIBUTE TO SENATOR CONNALLY
Mr. VANDENBERG. Mr. President, in connection with the initial reports submitted today from the r eorganized Foreign Relations Committee I want to say a word for the RECORD regarding my predecessor in the chairmanship of this committee, the distinguished senior Senator from Texas [Mr. CONNALLY]. The "bipartisanism" in foreign affairs of which we hear so much had its primary start in Chairman CONNALLY's committee, where my able friend from Texas, as always, has been wholly generous and scrupulously fair in his dealings with all his committee colleagues, entirely without regard to partisan lines. Furthermore, he aeveloped a high committee morale and a high degree of committee efficiency by constantly bringing before us · the key men of this and other countries for informal but highly significant interchanges of opinion. I am sure I speak for the entire committee when I express our thanks to ·him for his able, friendly, and effective leadership during critical and difficult days.
I should like to add, Mr. President, that I have been privileged to serve with the distinguished Senator from Texas in the intimate contacts of many international conferences along the road which we hope may lead to international peace and security. In every instance he has put his country greatly in his debt. At the recent meeting of the General Assembly of the United Nations in New York, for example, he faced an unusually heavy accumulation of burdens because he represented us on the commission which was dealing with most of the white-hot political problems with which the General Assembly was confronted. He was called to long, arduous, delicate, and difficult labors, and he met all of these situat ions with relentless fidelity and constant success. He has richly earned our universal thanks.
The turn of the wheel, Mr. President, now calls me to the chairmanship so long and so well administered by my distinguished and able friend from Texas. I could not let the occasion pass without this expression· of my affection and respect, and of my earnest hope that a united, unpartisan, American foreign policy may be the sole and exclusive dedication of· the Senate Foreign Relations Committee in the future as it has been in the past.
Mr. CONNALLY. Mr. President, I wish to express my deep gratitude to the eminent Senator from. Michigan [Mr. VANDENBERG] for his very kind and generous remarks. I shall not take the time of the Senate to make any extended remarks in reply, but I wish to say that I very greatly enjoyed my service as chairman of the Committee on Foreign
1947 CONGRESSIONAL RECORD-SENATE 225 Relations, and I feel a- profound sense of gratitude to all the Members on both sides of the aisle for their earnest cooperation and assistance. I am happy to have served with the Senator from Michigan, who has given such fine co.operation and made such an outstanding contribution in the various conferences in which we have· taken part. I wish for him, as the chairman of the Committee on Foreign Relations, the high degree of success which I am confident he will attain, and I am sure he will have tp.e support of the members of the committee in the same degree accorded me, if not greater.
FEDERAL CIVILIAN PERSONNEL
Mr. LANGER. Mr. President, this morning, all of us received a statement made by the Senator from Virginia [Mr. BYRD] , chairman of the Joint Committee on Reduction of Nonessential Federal Expenditures, to the United States Senate, with reference to Federal civilian personnel.
For 6 years I have had the pleasure of serving with the distinguished Senator from Virginia. Time and time again we have both loyally s,upported the proposi- · tion of reducing personnel in the departments and agencies that we felt had too many employees, and we have likewise· joined in seeing to it that departments and agencies such as the Veterans' Administration received increases. Today I wish to thank the able, hard-working Senator from Virginia for again bringing this matter of Federal employment so forcibly to the attention of the Members of Congress and of the public at large by his release to the press.
I ask unanimous consent that at this point in my remarks the press release issued by the Senator from Virginia be printed in the RECORD.
There being no objection the release was ordered to be printed in the RECORD, as follows: STATEMENT MADE BY SENATOR HARRY BYRD,
DEMOCRAT, OF VIRGINIA, CHAIRMAN, JOINT
COMMITTEE ON REDUCTION OF NONESSENTIAL FEDERAL EXPENDITURES, TO THE UNITED STATES SENATE WITH REFERENCE TO FEDERAL CIVILIAN PERSONNEL
Outing the month of November, 1946, Federal employment both inside and outside the United States dropped 111,006 from the October total of 2,441,473 to the November total of 2,330,467. Inside the United States employment dropped 101,475 from the October total of 2,125,469 to the November total of 2,023,994. Decreases in the War and Navy Departments totaled 40,325. Outside the United States employment dropped
·9,531 from the October total of 316,004 to the November total of 306,473.
Largest increases occurred in the Veterans' Administration, which added 8,364 employees to bring their total to 221,760, and the War Assets Administration, which added 1,599 to bring their total to 58,922. Largest decreases were in the .War Department, which dropped 46,651; the Post Office Department, which dropped 37,345; the Labor Department, which by following the direction of the Congress to return the United States Employment Service to the States, dropped 22,720; the Department of Agriculture, which dropped 6,516; the Navy Department which dropped 3,456; the Office of Price Administration, which dropped 2,706; the Interior Department, which dropped 1,312; and the
XCIII--15 .
.Reconstruction Finance Corporation, which dropped 1,033. ·
The relief which .the sorely pressed taxpayer might feel in reading such figures must be mitigated somewhat ' by two considerations which should be borne in mind. The first of these is that a portion .of this decrease is found among seasonal and temporary employees, who quite possibly may be hired again at a later date. The second is that over-all employment, with the exception of the War and Navy Departments, is still considerably greater than it was on VJ-day. On August 31, 1945, Federal employment, excluding War and Navy but including that of 19 war agencies, stood at 1,117 ,456. On November 30, 1946, this same g.roup of establishments totaled 1,296,397. In other words, the reductions which are now taking place are not reductions below our war-peak total; rather they ar~ merely decreases which still leave the Federal Government, excluding the War and Navy Departments, with 178,941 more employees than it needed to beat Germany and Japan.
I have heard the argument that certain agencies, forced to curtail their normal peacetime activities because of the war, now need additional employees to handle the backlog of work, and also that the war and its aftermath have given the agencies additional responsibilities requiring more employees. Accepting this, let us examine Federal employment as of December 1939. At that time there were 706,700 Federal employees within the United States, not in.cluding those in the War Department and Navy Department. As of November 30, 1946, there were 1,240,378 such employees within the United States and 56,019 overseas; also, in December 1939 there were 222,136 civilian employees in the War and Navy Departments, while, as of November 1946, there are 783,616 civilians in the · War and Navy Departments; nor does this include 250,454 civilian War and Navy Department employees overseas. Certainly these figures offer convincing proof that our Government is still needlessly overmanned; that our country is still needlessly overgoverned; that our taxpayers are still needlessly overburdened.
The new Congress, regardless of political affiliation, must not shirk the duty which the dep;:~.rtments and agencies, by their failure to reduce to peacetime requirements, have forced upon it. At present the annual pay mll of the executive branch of the Government approximates $6,125,000,000. This is $1,500,000,000 more than the entire Government spent for all purposes in 1933. The executive branch now employs more . people than all the State, city, and county governments of the entire 48 States. With the exception of school teachers, this includes, beside the regular State and municipal authorities, .all the policemen, firemen, and public-service employees of the entire Nation. I call upon the Congress to correct this evil. If we are ever to balance the budget--to reduce the national debt--we must do it now, and we can't do it with 2,330,000 Federal employees.
Mr. LANGER. Under the Reorganization Act, the Committee on Civil Service, which consists of seven Republicans and six Democrats, has jurisdiction of
. "the status of officers and employees of the United States, including their compensation, classification, and retirement; also over the Federal Civil Service and the Postal Department generally." Immediately upon the convening of Congress we · organized our committee as promptly as possible, and on Wednesday we introduced a resolution, which was referred to the Committee on Civil Servi.ce.
' I ask unanimous consent that the resolution be printed at this point in my remarks.
There being no objection, the resolution <S. Res. 41) was ordered to be printed in the RECORD, as follows:
Resolved, That the Committee on Civil Service or any duly authorized subcommittee thereof is authorized and directed to ·conduct a full and complete study and investigation with a view to ascertaining ( 1) the number of officers and employees on the rolls of each department, independent establishment, or agency of the Government (including Government owned or controlled corporations); (2) whether the number of officers and employees on the rolls of each such department, establishment, agency, or corporation is adequate to enable it efficiently to perform its functions; and (3) whether the number of officers and employees on the rolls of any such department, establishment, agency, or corporation can be reduced without impairing its ability efficiently to perform its functions. The committee shall make a report (a copy of which shall be delivered to the Committee on Appropriations) to the Senate at the earliest practible date, together with such reeommendations as it may deem desirable.
SEc 2. For the purposes of this resolution the committee, or any duly authorized subcommittee thereof, is authorized to hold hearings, to sit and act at such times and places during the sessions, recesses, and adjourned periods of the Senate, during the Eightieth Congress, to employ such experts and clerical, stenographic, and other assistants, to request such assistance and information from any departments and agencies of the Government, to require by subpena or otherwise the attendance of such witnesses and the production of such books, papers, and documents; to administer such oaths, and to take such testimony and to makt~ such expenditures as it . deems advisable. The cost of stenographic services to report the educational material and data on such hearings shall not be in excess of 25 cents per 100 words. The expenses of the committee, which shall not exceed $----, shall be paid from the contingent fund of the Senate upon vouchers approved by the chairman of the committee.
Mr. LANGER. Mr. President, all Sen.ators, including the distinguished ·Senator from Virginia, will be glad to know that, as chairman of the Senate Civil Service Committee, I have already had conferences with the Civil Service Commission. A hearing has been set for Tuesday morning, at which time we shall take up one department which we believe has far too many employees, whose number we think we shall be able to reduce very materially.
Mr. President, this matter has been discussed with the other members of the Committee on Civil Service, and we plan to bring before the committee the head of every department and agency of our Government. Under the Reorganization Act we shall report our findings promptly to the Senate Committee on Appropriations. It will be our earnest endeavor to consider each department as soon as we possibly can. If funds are needed to make a thorough investigation of excess employees all over the United States where these different departments operate, I take it the Senate will gr~nt the ·pecessary funds.
Immediately upon being appointed to the committee I discussed this matter with Mr. Hoover, of the Federal Bureau
226 CONGRESSIONAL RECORD-SENATE JANUARY 10 of Investigation, and asked him for several investigators from that Bureau. I found, however, that it is not the policy of the Department of Justice, which has charge of the Federal Bureau of Investigation, to assign men to investigative work for any department of the Federal Governme-nt. Therefore, I shall confer with the Senator from Virginia [Mr. BYRD] and with the Senator from New Mexico [Mr. CHAVEZ], ranking Democratic member of the committee, and the Senator from Tennessee [Mr. McKELLAR], next ranking Democratic member, who is also a member of the Committee on Appropriations, in an endeavor to ascertain what investigations we shall need in order to rid the Government of excess employees, and to supplement those agencies which are understaffed.
So I wish to report to the Senate, so far as the release prepared by the Senator from Virginia [Mr. BYRD] is concerned, that the matter has already had and is having very careful attention by the Civil · Service Committee of the Senate.
DISCHARGE OF WAR-VETERAN EMPLOYEES OF THE SENATE
Mr. McFARLAND. Mr. President, I feel that it is my duty to call the attention of the Senate to the letters which at the direction of the majority have been sent out discharging from the employ of the United States Senate men who are war veterans. I agree that it is within the province of the majority to send out such letters, but I also feel that in the case of veterans discharges should be made in accordance with the intent of the law.
Those of us who were in service in World War I will remember the promise that we would be given back our Jobs ·when we returned from the service. We well remember that that promise was not lived up to. In the case of the last World War the Congress of the United States, in its . judgment, saw fit to correct what occurred after the First World War. Paragraph (a) and paragraph (c) of section 8 of the Selective Service Act provide that employees of the Govern·ment of the United States who are in service may not be discharged from their jobs within 1 year after return from war service, and provide for the reemployment of such veterans if they make application -for their old jobs within 90 days after their discharge. · Mr. President, I call attention to paragraph (b) of section 8 of the act, as follows:
In the case. of any such person who, in order to perform such training and service, has left or leaves a position, other than a temporary position, in the employ of any employer and who (1) receives such certificate, (2) is still qualified to perform the duties of such position, and (3) makes application for reemployment within 40 days-
That I understand has since been changed to 90 days-
After ·he is relieved from such training and service-
( A) if such position was in the employ of the United States Government, its Territories or possessions, or the District of Columbia,
_such person shall be restored to such position or to a position of like seniority, status, and pay.
Subparagraph (B) applies to private employment.
I call attention to the last sentence of paragraph (c) of section 8, reading .. as follows: And shall not be discharged from such position without cause within 1 year after such restoration.
Mr. President, some of the Senate employees who now are being discharged went into the service from their jobs here in the Capitol and fought for their country. Nobody asked them then whether they were Democrats or Republicans. - They helped defend this country in its hour of need. Some have married, some have children, and they came back to their jobs here, attempting to supplement their income so that they can pursue their education. Now they find that all the promises made them are negated by the very people who wrote the law. It is going to leave a very bitter taste. 1 regret very-much if the majority is going to carry politics this far. I hope they· will reconsider· their action in discharging these men. What can we expect of private employers if -the Congress of the United States sets such ah example? REPLETION OF SALMON FISHERIES
THROUGH COOPERATION BETWEEN THE UNITED STATES AND CANADA
Mr. MAGNUSON. Mr. President, ear-lier today the Senate had pointed out to it the great work done by the able Senator from Michigan [Mr. VANDENBERG] and the able Senator from Texas [Mr. CoNNALLY] in bringing about international cooperation. I am sure that if such men as the Senator from Michigan and the Senator from Texas continue their work we may finally achieve the goal of international cooperation for which we all hope.
Today I wish to call to the Senate's attention a matter of international cooperation which has actually occurred between this country and Canada. The great salmon runs of Puget Sound, the salmon fisheries being one of our large industries, were badly depleted from 1913 on. The mighty Fraser River, which flows wholly in Canada, dumps most oi the salmon into the Puget Sound area. The industry is a joint one between the two countries. It was found that certain obstructions in that river were the cause of the great depletion of the salmon runs since 1913. Representatives of the two countries immediately got together, held such conferences as were necessary, and appointed a joint commission, which made a thorough study of the matter. Funds were jointly appropriated and the great canyon known as Hells Gate, in the Fraser River, through which the water flows 110 feet deep during the spring season, was widened, and the salmon runs of Puget Sound are now repleted because of the cooperation between and the friendly attitude of the two countries in this international economic problem.
Mr. President, to illustrate what can be done when two countries put their heads together for the great benefit of both peoples, I ask unanimous· consent to introduce ·into the RECORD an article entitled "The Dramatic Conquest of
Hells Gate." The solution of this economic problem affecting the- great. salmon runs of Puget Sound was brought about by international cnoperatian.·be-_ tween·,canada._and ·the Unite<F S.ta-tes: -,
There being no objection, the article -was. ordered.. to be printed in~the REcoRD.; . as follows:
THE' DRAMATIC 'CONQUES~--OF HELLS "GA!l'!L
(By Edward W. Allen) Hells Gate-the conquering of the Hells
Gate Canyon obo:~troction in.the Fraser Ri.ver, where at certain stages the ruthless sweep of turbid water completely frustrated the heroic efforts of struggling thousands of sockeye salmon to reach their spawning grounds to perpetuate their race-this marked a dramattc climax to the first-·8-yea epoch of the International Pacific Salmon Fisheries Commission.
Two million dollars, half from· Canada, half from the United States, were placed at the Commission's command to aid these salmon at Hells Gate and other places in the Fraser River system. The sum is substantial, butno more sought af.ter, no more delicious, no more attractive food is to be found than canned up-river sockeye salmon. Dr. W. F. Thompson is world renowned for his work in the restoration of the Pacific -coast halibut and is known to be ultraconservative in his statements, yet he computes that since 1911 (when rocks were dumped into the Fraser in the course of construction along the river and created disastrous obstructions to the salmon's ascent) the quantity of canned salmon which should have been but was not produced would, at recent OPA ceiling prices, have had a value of about half a billion dollars.
Some background knowledge is essential to an understanding of this, one of the greatest accomplishments in the history of fishery conservation. ·
Though it is of common knowledge to fishermen, many people do · not know that Pacific coast salmon spawn in fresh-water lakes and streams, that the young spend some time in the fresh water, then go to sea until the spawning urge brings them back to the place of their birth, there to spawn and die.
About the time salmon approach fresh water on their spawning migration, they stop eating and deterioration sets in. Just before this process commences salmon have reached their greatest size, also the height of perfection in quality. It is then only that they should be caught. In the case of the sockeye salmon of British Columbia and the State of Washington, the usual period of a complete life cycle is 4- years.
Two facts, therefore, should be borne in mind. A sockeye will return to the stream where it was born; and in the Fraser this will ordinarily be in 4 years. It will be a part of a specifie-run of salmon, at a specific period of time, to a specific place.
A stream may have a run which enters the river in July. It may have another · run
, which enters the river in September. Although runs overlap, these .two runs to the same stream ·may be as independent as runs to different str-eams. Therefore to protect or build up a particular run to a particular stream in a particular year may be of no service· to any other run to that stream, or to any other stream. '
To illustrate one phase of the salmon problem in a different way: If a stream which has only one run each year is completely blocked off in any year, that stream will be barren every 4 years thereafter unless accidentally or artificially stocked. Even then it will require several 4-year periods before substantial production can be expected . .
Another interesting feature· as to the Fraser River sockeye, is that a particular spawning ground seems ca}Mllble of producing .a large run only every fourth ·year. The cycle of
1947 CONGRESSIONAL RECORD-SENATE 227 1901, 1905, 1909, and 1913 had become known as the big years. The other years were "off" years.
The biggest pack of sDckeye of all time was that of 1913, when almost 2,500,000 case"s (a case being forty-eight 1-pound cans or the equivalent) were ·produced. In that year also · the damage due to the dumping of rock into the river at Hells Gate Canyon reached its maximum. There has not been a big year since.
Attempts were made to remove the debris tram the river, also to coordinate the fishery regulations on both sides of the boundary line, but it became recognized that only by joint international action could the once great soc~ye industry be restored. In 1937 the present Commission was at last created.
The t reaty confined the first 8-years' work of the Commission to investigation and the removal of obstructions. After that the Commission became charged with the a~ditional function of regulation both for conservation purposes and to insure an approximately even diyision of the catch between the fishermen of the two Nations.
Investigation on a broad base was immediately undertaken. Eventually it centered upon Hells Gate as the outstanding culprit in obstructing restoration of the sockeye runs. It was found that the river had never been completely restored to its condition prior to the beginning of Tailroad construction. I..ut it was also found that this rock canyon, even under natural conditions, had frequently taken heavy toll.
The entire upper Fraser River Basin, an area almost as large as the entire St ate of Oregon, debouches through this canyon, the gate of which at low water is only 110 feet wide. The river has the astounding normal seasonal v.ariation 1n height at this point of 60 feet; in extreme years, 90 feet. It was definitely determined that at certain heights, particularly when the gage at the gate registered between 25 and 40 feet, that the Tiver was practically impassable to salmon, that if such levels coincided with salmon ru:n.s and lasted long enough whole runr might be killed off, and that there was probably no run which had not suffered in some yea.r or other. .
Just as Dr. W. F. Thompson had been "borrowed" from the International Fisheries Commission to <londuct the scientific investigation, so Milo C. Bell was now "borrowed" from the fisheries department of the State of Washington to grapple with the formidable task of conquering the Fraser. Mr. Bell, in consultation with Prof. C. W. Harris, of the University of Washington, and Prof. E. Pretious, of the University of British Columbia, and an able staff, built to scale on the University of Washington campus, a model ot Hells Gate Canyon.
Experiments were conducted on this model resulting in the evolution of a wholly new design of structure for assisting the passage of fish up stream. The re·mlt was called a fishway and differs radically from the fam.illar ladder. Money and authoriZation were secured and, at a cost approaching a million dollars, a fishway was constructed on each side of Hells Gate. That on the northerly or right bank Is a cement struct ure 220 teet long, 20 feet wide with vertical' sides 45 feet high. It is divided lengthwiSe into 10 compartments separated from each other by vertical baffies rising the full height of the sides. These baffies are so designed as to break and spread the spEled and drop of the water over the whole length of the rtructure instead of their being concentrated largely at one spot as on the natural river. The batHes are equally effective at any height of water in the fishway that is deep enough for fish.
The fishway on the .left bank is similar to the other except that lt is longer and that its upper end is narrower. Fishways of the same general character have also been built at Bridge River rapids farther up the
Fraser. More, but smaller, fishways are under construction or in 1:ontemplation for several other places in the area where the passage of .fish has been severely obstructed.
In 1941 water conditions at Hells Gate were so bad that a careful estimate indicated that the passage upstream of probably a million fish was absolutely blocked . In 1946 water conditions were believed to be as bad as in 1941, but the two fishways were in full operation and the bulk of the run passed through them, reaching the spawning grounds in excellent condition. However, on recommendation of its engineers, the Commission is extending its afsistance to t he fish to h igher water levels than reached by the present fish ways.
Much of the Commission's success is due to its exceptionally able experts-all of whom should be better .known by t hose interested in r.shery management. Dr . Thompson, Professors Harris and Pretious, and Chief Engineer Milo C. Bell have already been mentioned. The direct or is now B. M. Brennan, formerly director of the department of fisheries of t h e State of Washington, who resigned from the Commission to become its directo~. Dr . W . A. Clemens, as biological consultant, and Dr. H. C. Gunning, as geological con.sultant, have been generous in their assistance. The Commission feels very fortunate in having recently secured the services of Dr. Richard Van Cleve to he.ad the biological staff. He was formerly with the
..International Fisheries Commission. At the time he accepted the Commission's invitation to become its chief biologist, he was chief of the bureau of marine fisheries of the California division of fish and game. All of these men have been ably assisted by competent and loyal members of the biological, engineering, and office .staffs.
- Under the treaty creating the International Pacific Salmon Fisheries Commission, ·its work is limited to the rehabilitation of the sockeye salmon of the Fraser River, but it is confidently believed that the accomplishments of the Commission in the bro-ad fields of fishery biology and fishery engineering will prove to be of inestimable value to other fisheries throughout the world. Moreover, this Commission and the International Fisheries Commission in its iie!d of halibut, have nobly illustrated how two friendly nations .can cooperate in practical ways to their mutual advantage.
THE DOMESTfC SUGAR SITUATION
Mr. MAGNUSON. Mr. President, the Senator from Connecticut [Mr. BALDWIN] today asked and received unanimous consent to have placed in the RECORD · a letter which apparently caine from an irate housewife regarding tbe sugar situation. I appreciate that there is a scarcity of sugar, and I appreciate the concern with which all the people of the country view the situation respecting sugar. There is a great lack of sugar, but there are some justifiable reasons for the conditions which exist.
·The situation probably can be corrected and remedied to some extent. ProbablY many things can be done to increase the flow of sugar into this country and into other countries, but the reason for the situation and' the facts behind it again involve matters of international politics and international cooperation and international agreement ... so, for the benefit of many of us who probably are not so well versed as is ~ the Senator from Michigan [Mr. VANDENBERG] and other Senators in the matter of foreign relatio~s and as to certain commitments regarding this commodity so important not only to the United States but to the world at large. I wish to introduce into
the RECORD an excellent editorial published in the Washington Post of this morning, which gives a remarkable analysis of the entire sugar situation.
·Mr. HATCH. Mr. President, will the Senator yield?
Mr. MAGNUSON. I yield. Mr.lf.ATCH. I merely wanted to sug
gest to the Senator from Washington that earlier today I had asked and received consent to have the editorial published in the RECORD.
Mr_ MAGNUSON. Very well; Mr. President, I withdraw tbe request. I commend the Senator from New Mexico for feeling as I do respecting the contents of the editorial.
Mr. HATCH. It is an excellent editorial. I made no comment of my own at the time 1 offered it for the RECORD. I am very glad the Senator from Washington has spoken as be has.
REFERENCE OF BILLS RELATING 'TO PORTAL-TO-PORTAL PAY
Mr. WHITE. Mr. President--The PRESIDENT pro tempore. Does
the Senator from Maine propose to move that the Senate adjourn?
Mr. WHITE. I am about to move that the Senate adjourn until Monday next.
The PRESIDENT pro tempore. Will the Senator from Maine withhold his
-motion for a moment? Mr. WHITE. I am very glad to do so. The PRESIDENT pro tempore. The
Chair wishes to make one observation for the RECORD regarding the colloquy which occurred earlier today respecting the reference of bills dealing with the portal-to-portal problem.· The President pro tempore was in the chair at the time the reference was made on Wednesday last. He was not in the chair earlier today when the colloquy in question occurred because he was on the .floor waiting to be recognized in his ca:Pad.ty as the senior Senator from Michigan .
The Chair wishes to make this comEient: It seemed to the Chair that the ftrst portal-to-portal bill, which was introduced by the ahl1e Senator from Wisconsin [Mr. WILEY], dealt almost exclusively with a legal remedy and with a statute which essentially involved a legal question rather than a public-welfare .question, .although it could be readily argued that ·both problems were intertwined and that either decision could have been justified. But it was because at that time the Chair thought the original bill predominantly involved a legalistic contemplation that it was referred to the Committee on the Judiciary.
Subsequent bills w'ere referred auto'matically, without any particular consultation, to the Committee on Labor and Public Welfare because tLey in turn seemed to be dominated by the labor and public-welfare factor rather than tbe legalistic factor.
However, the net result is obviously an impasse which ought not be allowed to stand. The Chair will ask the cruiirman of the Judiciary Committee and the chairman of the Committee on Labor and Public Welfare to confer on this
·_subject so that we may have a unified program. The Chair respectfully suggests that it is not quite so easy, as was indicated in the debate, always to find
228 CONGRESSIONAL .RECORD-SENATE JANUARY 10 a clear~cut reference . from the text of each bill. .
Mr. LUCAS. Mr. P:resident, I deeply appreciate what the chair has said. I understand what the Chair will be up against under the Reorganization Act, in connection with a number of bills which will be introduced. However, when I saw in· the CONGRESSIONAL RECORD What had happened and realized th:at . one measure dealing witli portal-to-portal pay had been referred to one committee and another such measure had been referred to a different committee, I then took it upon myself to read both bills. I also conferred with two very good lawyers on this subject. I will say to the majority leader, who seems to be interested in this discussion, that I do not pretend to keep up with law as I once did. I have been more or less out of active practice for a long time. However, I did confer with two good lawyers to find out whether or not they believed that these bills ought to go to the Committee on the Judiciary or to the Committee on Labor and Public Welfare. I also conferred with the Parliamentarian,· and I gained the very distinct impression from all three of those gentlemen that in their opinion this problem dealt with wages and hours, and under the Reor:ganization Act dealing with that question there could be little doubt that the measures· should go to -the Committee on Labor and Public Welfare.
I mention these facts only in an attempt to initiate our proceedings under the Reorganization Act in an. orderly fashion, so that we may not set an erroneous precedent on this question which may arise to plague us later.
With all due deference-and I am always reluctant to disagree with the .able Senator who now occupies the chair because I have · great respect for his ability and judgment on all matters-! merely pass . this suggestion along for whatever it is worth. After due consideration and study I believe that this important measure ought to go to the committee which the Parliamentarian and good lawyers say should handle it, notwithstanding the fact that it may have been referred to the wrong committee in the beginning. I repeat that I do this with a full sense of the weight of responsibility which the Reorganization Act places upon the United States Senate. I am completely "sold" upon the Reorganization Act, and I wish to do what I
·can to contribute in my limited way toward seeing that we get started right under this act, rather than starting on a wrong course which may cause trouble later. That was my only purpose in raising the parliamentary issue.
The PRESIDENT pro tempore. The • Chair not only believes the able Senator from Illinois was wholly" justified in raising the point, but also that it was very important that it should be raised.
Mr. LUCAS. I thank the Chair for those remarks.
The PRESIDENT pro tempore. The Chair adds this further indication of the difficulties involved in some of these situations: The title of the original bill in-· traduced by the Senator from Wisconsin [Mr. WILEY] was "A bill to exempt employers from liability for portal-to-portal
wages in. certain cases." ~ The title o.~ the bill introduced .by the .S.en~tor ftom ::(n-. diana [Mr. GAPEHART] was "A bill to amend the Fair Labor Standards .Act of 1938." It was quite obvious that the ·latter belonged in the Committee or:. Labor and Public Welfare. It was not so obvious that the other bill belonged in the Committee on . Labor and Public Welfare.· In the view of the Chair, · it belonged in the Committee on the Judiciary. There is a mixed juriSdiction·involved, and we must stz.:aighten it out.
Mr. LUCAS. I can readily understa~d how, under those two captions, the Chair, in casually looking over the bills, should refer one to one committee and the other to another. But I seriously contend, u,pon a careful examination of each bill, that they both pursue the same objective, and they both belong in the Committee on Labor and Public Welfare.
The PRESIDENT pro tempore. The Chair agrees with the Senator from Illinois.
Mr. LUCAS. I should like to read a portion of the report of the Joint Committee on the Organization of Congress, which bears directly upon this vital issue:
The major objective or predominant character of a bill, in the opinion: of .the Pre- . siding Officers of the. Senate and the House, should be controlling in determining the reference of bills. We recommend the exercise of more care in the reference of Senate bills. A bill should be· referred without regard to the author's service on any particular pommittee seeking jurisdiction when its subject matter does not normally lie in the defined province of that committee.
Mr. · WHITE. Mr. President, I am about to make a motion to adjourn until
. Monday, but I should like to make a brief statement before making the motion.
I feel that all Members of the Senate understand that in organizing a new Congress, creating committees, and introducing bills, as well as holding hearings before committees which ultimately report legislation to the Senate, there is an inevitable delay. I believe that at this time we are experiencing that which always happens at the opening of a new Congress. So far as I know, there is no further business immediately . ready for Senate consideration. However, I am hopeful-and I think I may say I have the expectation-that in a very few days committees will be able to function, and proposed legislation will be before the Senate for consideration. I make that statement so that the country, as well as the Senate, may underst and the situation which always confronts a new Congress.
Mr. WHERRY. Mr. President, I did 'not enter into the colloquy this morning relative to special committees, or the value of reports. I believe that in time the question which has arisen will be ironed out.
I respectfully invite the attention of the Chair, as well as other Senators, to the fact that regardless of reports, and regardless of the interpretation of those who wrote the reports, the reorganization bill stands for itself. The idea has been advanced by some Senators that what is in the reports, which have been written by Senators who are interested in this, that, or the other interpretation, . is important. Let me say that what is
.in the reports is not the law itself. Af3 we ~study the iaw and make our own interpretations, these · questions will -be . iroBed out satisfactorily. ·
With re-ference to special committees, . of course if a Senator wishes to adopt
the language of a report as his own interpretation, he has a perfect right to do so. I am not questioning that right. But here we have the questio~ of special committees. I agree that as the reorganization bill passed the Senate at the last session it provided that there should
. be no more special committees. Wlien the bill reached the :fioor of the House, -that provision was eliminated. As the bill was finally passed and became law it still provided that special committees might be created if the Senate so desired. Their creation is not against the
· Reorganization Act which was passed by the Congress. .
It is still a debatable question. We might debate all day as to what the report on the reorganization bill means and what was the purpose of those who
. drafted the bill. But when we get down to brass tacks, reports are not laws. We must take the law as it now is and do the very best we can· to refer bills to committees which have jurisdiction of the subject matters involved in such bills. When it comes to the question of special committees we must decide what the policy will be, not as a party, but as the Senate of the United States.
I think my position is clear. I have gone along with the Senator from Illinois [Mr. LucAS] many times in opposing special committees that were ·hurriedly organized, · even to the extent of withholding appropriations because we felt that such committees were unnecessary. If it is to be the policy of the Senate that no special committees shall Qe organized, certainly I shall be glad to go along with that policy.
I believe I have had as much experience in the past 4 years with special committees as has any other Member of the Senate. I am just as anxious to eliminate them as is any other Senator. On the other hand, if it is to be the policy of the majority Members Qf the Senate to continue to organize special committees · which cut across standing committee lines, I think we should develop the policy.
While I am on my feet, I wish to mention the fact that one Senator said that small business committee matters should be referred to the Committee on Interstate and Foreign Commerce. A distinguished Senator who has been a member
· of the Committee on Rules for many years, the Senator from Arizona [Mr. HAYDEN], said that such matters ought to go to the Committee on the Judiciary. The ruling of the Chair was that if small business legislation were to be referred to a standing committee it should go to the Committee on Banking and Cur:.. rency.
I submit that there are special committees which cut across standing committee lines. When they do, and the Senate feels that they are sufficiently important, I think we should organize such special committees and refer all proper subject matters to them.
1947 CONGRESSIONAL "RECORD~SENATE _ '- 229 I am· not laying down a policy; I ~m
simply stating again, as i stated in the debate on the reorganization bill. that special committees should be created only when there is need for them. Because of that fact I have submitted a resolution to amend rule XXV. which provides for the very thing that has been commented upon b.y Senators, that a bill or a resolution shall first be referred to the standing committee which has jurisdiction of the subject matter. Certainly we cannot have that rule and then give another committee power to judge whether or not an appropriation should be provided for a special committee. The resolution which ! ·have offered proposing an amendment to r\lle XXV provides that where speci:ll committees are to be organized the Committee on Rules and Administration shall take jurisdiction of the subject matter: for the reason that that committee rises above the standing ·committee which has jurisdiction, and therefore it should consider not only the authorization for the special committee, but also the question of funds.
I hope that when the proposed amendment comes before us Senators will express their views, because I think this question is the meat of the whole situation. If we adopt the proposed ani endment to the rule, it means that we may create special committees. If we do not, it means that the Senate will depart from the policy of the past of having special committees cutting across standing committee lines, and that we shall have no more special committees.
Mr. WILEY. Mr. President, it seems -apparent that a bill of which I was the parent, a bill relating to portal-to-portal pay, which I introduced a few days ago, has precipitated considerable discussion. I think we haVe had sufiicient lecturing on the subject. The distinguished Senator who recently spoke called attention to the fact that men~s minds differ as to ·the proper committees to which certain bills should be referred. This particular · bill, as the distinguished Senator from Washington IMr. MAGNUSON]; who is a. member of my committee, said, involves simply a legal question. If there is any committee in the Senate which has jurisdiction of a legal question it is the Committee on the Judiciary.
When I introduced the bill I called the attention of the Parliamentarian to the fact that it involved simply a legal question, and it was referred to my committee. Someone must make the decisions. It is not the function of individual Senators to do so; it is the function of the Chair. He receives his direction and guidance from the Parliamentarian.
Yesterday the distinguished Senator from Ohio [Mr. TAFT], than whom there is no better lawyer in the Senate. agreed that our committee should have jurisdiction, and he agreed that the bill introduced by the Senator from Indiana [Mr. CAPEHART] should be referred to our committee.
We are not here to squabble over delays or methOds which occasion delays. Rather, we are here to accelerate and expedite the work of the Senat~. The Committee on Labor and Public Welfare is recognized as the proper committee to
.handle the over-all labor bill. There are various versions of it, including the socalled Ball-Taft bill, and other versions. The committee is going to work on that subject.
We recognize that one of the challenging issues before the American people today is the issue of whether or not the Supreme Court shall continue legislating, which it did in the Michigan case, which laid the basis for the portal-toportal -pay issue. We know that already suits involving approximately $3,000,-000,600 have been commenced. That is a vital matter, because it affects not only individual industries but the whole economic structure of America. It is a reeducation, as some New Dealers would have it, which might make any future labor legislation unnecessary. If industry cannot provide jobs there will be no work.
So, Mr. President, I maintain that the President pro tempore, under the guiding hand of the Parliamentarian, exercised the proper function, and that he was correct. I have appointed a subcommittee, headed by the distinguished Senator from Missouri [Mr. DoNNELL], who has been requested by the chairman of the Committee on the Judiciary to start hearings not later than Wednesday next, with reference to the vital and challenging subject of portal-to-portal pay.
EXECUTIVE MESSAGES REFERRED
As in executive session, The PRESIDENT pro tempore laid
before the Senate messages fr:om · tpe President of the United States submitting sundry nominations, which were rereferred to the appropriate committees. ·
<For nominations this day received, see the end of Senate proceedings.)
EXECUTIVE REPORTS OF A COMMITTEE
As in executive session, Mr. VANDENBERG, from the Commit
tee on Foreign Relations, reported f2vorably the following nominations:
Warren R. Austin, of Vermont, to be the representative of the United States of America to the United Nations with the rank and status of Ambassador Extraordinary and Plenipotentiary, and the representative of the United States in the Security Council of the United Nations;
Mark Foster Ethridge, of Kentucky, to be the United States representative on the Commission of Investigation established by the , Security Council of the · United Nations on December 19, 1946, to ascertain the facts relating to alleged border violations along the frontier between Greece on the one hanti and Albania, Bulgaria, and Yugoslavia on the other, to which office he was appointed during the last recess of the Senate;
0. Max Gardner, of North Carolina, to be Ambassador Extraordinary and -Plenipoten-tiary to Great Britain; ·
S. Pinkney Tuck, of New York, to be Ambassador Extraordinary and Plenipotentiary to Egypt, to which office he was appointed during tbe last recess of the Senate;
George Wadsworth, of New York, to be Ambassador Extraordinary and Plenipotentiary to Iraq, to which office he was appointed duz:ing the last recess of the Senate;
J. Rives Childs, of Virginia, now Envoy Extraordinary and Minister Plenipotentiary of the United States of America to Saudi Arabia, to serVe concurrently and without additional compensation as Envoy Extraordinary and Minister Plenipotentiary to the Kingdom of
Yemen, to which office he was appointed during the last recess of the Senate;
Lowell C. Pinkerton, of Missouri, to be Envoy Extraordinary and MiniSter Plenipotentiary to the Republic of Lebanon, to which office he was appointed during the last recess of the Senate; and
Sundry routine appointments in the diplomatic and Foreign Service.
CONVENTION BETWEEN UNITED STATES AND FRANCE RELATING TO TAXATION-REMOVAL OF INJUNCTION OF SECRECY
The PRESIDENT pro tempore. As in executive session, the Chair lays before the Senate Executive A, Eightieth Congress, first session, a convention between the United States of America and France, signed at Pa:~;:is on October 18, 1946, for the avoidance of double taxation and the prevention of evasion in the case of taxes on estates and inheritances, and for the purpose of modifying and supplementing certain provisions of the convention between the two Governments relating to income taxation signed at Paris on July 25, 1939. Without objection, the injunction of secrecy will be removed from the convention and it will be referred to the Committee on Foreign Relations, and printed in the REcoRD. The Chair hears no objection.
The convention is as follows: To the Senate of the United States:
With a view to receiving the advice and consent of the Senate to ratification, I transmit herewith the convention between the United States of America and France, signed at Paris on October 18, 1946, for the avoidance of double taxation and the prevention of evasion in the case of taxes on estates and inheritances~ and for the purpose of modifying and supplementing certain provisions of the convention between the two Governments relating to income taxation signed at Paris on July 25, 1939.
I also transmit for the information of the Senate the ·report by the Secretary of State with respect to the convention.
The convention has the approval of the Department of State and the Treasury De- -partment.
HARRY S. TRUMAN. THE WHITE HousE, January 10, 1947.
[Enclosures: 1. Report of the Secretary of State; 2. Convention of October 18, 1946, between the United States and France for the avoidance of double taxation.]
DEPARTMENT OF STATE, Washington, January 8, 1947.
The PRESIDENT, J
The White House: The undersigned, the Secretary of State,
has the honor to lay before the Presid<mt, with a view to its transmission to the Senate to receive the advice and consent of that body to ratification, if his judgment approve thereof, the convention between the United States of America and France, signed at Paris on October 18, 1946, for the avoidance of double taxation and the prevention of evasion in the case of taxes on estates and inheritances, and for the purpose of modifying and supplementing certain provisions of the convention between the two Governments relating to income taxation signed at Paris on July 25, 1939.
The Department of State and the Treasury Department collaborated in the negotiation of the convention of October 18, 1946, which was formulated as a result of technical discussions between representatives of
·this Governm~nt and representatives of the French Government. A public announce-
. ment regarding the negotiations was made
f.
230 CONGRESSIONAL RECORD-SENATE JANUARY 10 by the Department of State, the announcement referring also to the fact that attention was given to certain current questions concerning the interpretation and administration of French taxes in their application to American nationals. The position of the French Government regarding such matters and regarding the application of certain provisions- of the 1939 convention, pending the signature and coming into force of the proposed new convention, was made the sUbject of record in diplomatic notes, the texts of which were made public. ,
The new convention is in four parts, called titles. Title I (articles 1 to 6) contains substantive provisions for the avoidance of double taxation with respect to the United States estate tax and the French tax on inheritances. As in the cases of the . existing conventions on this subject with Canada and the United Kingdom, the convention with France extends in its application, insofar as the United States is concerned, only to estate taxes imposed by the Federal Government. The imposition and collection of inheritance or estate taxes by States or Territories of the United States or by the District of Columbia are not restricted by the convention. As to France, the convention is applicable to the tax on inheritances, which corresponds with the Feder;:tl - estate tax in the United States.
Title II · (article 7) contains six lettered subparagraphs, each of which involves some modification or supplementation of provisions of the convention of July 25, 1939, now in force between the two countries, relating to income · taxation.
Title III (articles 8 to 15) contains provisions relating to mutual administrative assistance through the exchange or information and for the collection of taxes in certain cases, with a vfew to (iiscouraging tax evasion. Pursuant to article 16, upon the cqm- , ing into force of the convention, the provisions of title III would apply with respect to taxes on €states or inheritances and also with respect to income taxes, the corresponding provisions of the 1939 convention being for that purpose superseded and replaced.
Title IV (articles 16 to 19) contains provisions relating to the procedure for bringing the convention into force and the procedure for terminating the convention.
The provisions relating to taxes on estates or inheritances are similar, in substantial re-
. spects, to provisions in the existing convention of June 8, 1944, between the United States and Canada and the existing convention of April 16, 1945, between the United States and the United Kingdom relating to taxes. on the estates of deceased persons. As in the case of the convention with Canada and the convention with the United Kingdom, double taxation is avoided principally by means of a credit. The country imposing the tax in the case of· a deceased person who, at the time of death, was domiciled in that country (or was a citizen thereof if that country be the Unit(ld States) allows a credit for the tax imposed by the other country with respect to property situated in ·such other country and included by both countries for the purpose of computing the tax. A further credit is provided in the event that each of the two countries determines that the decedent was domiciled in its territory at the time of death. Other important provisions in title I are those relating to rules of situs of property, exemptions, and a provision that the country which imposes the tax solely on the basis of property situated therein shall not take into account, for determining the amount· or rate of tax, property situated outside its territory. As in the convention with the United Kingdom, but unlike the convention with Canada, title I of the new convention with France contains no provision for the exemption of real or immovable property situated out&ide the taxinti country. However, under the laws of both the United States and France such
property is now exempt from tax on the estate or inheritance. France also exempts corporeal movables (tangible personal property) situated outside France.
The provisions of the convention which modify or supplement the 1939 convention with France are designed primarily to take into consideration certain changes in the laws or practices of one or the other of the two countries in regard to income taxation. Article 7, which constitutes title II of the convention, contains specific amendments to the 1939 convention, as set forth in six lettered subparagraphs, summarized as follows:
(a) The reference to the French national tax on undistributed profits as being among the taxes to which the 1939 convention relates is .eliminated, in as much as that tax has been" abolished.
(b) The first sentence is designed to embody in the convention with France the principle of article IX of the income-tax convention between the United States and the United Kingdom. The second sentence, whereby the term "royalties" shall be deemed to · include rentals in respect of motion picture films, is consistent with article VIII (3) of the convention between the United States and the United Kingdom.
(c) This amendment has the effect of making article 8 of the 1939 convention reciprocal and has its origin in the desire of the French Government to be free to subject to its sphedular taxation its own nationals-who are employed by the United States Government in France. Under the 1939 convention France waived taxation of such individuals, although the United States reserved its right to tax United States citizens employed by the French Government in the United States.
(d) The amendments here provided are de-,signed to accomplish more adequately the object of avoidance from double taxation. Under the 1939 convention France, in effect; allows a credit against its securities tax for 12 percent of the amount of income from securities derived by taxpayers in France from United States sources. At the time of the conclusion' of the .1939 convention the United States tax generally . imposed was at the. rate of 10 percent upon such income. Since that . time the rate of such tax has increased to .30 percent in the case of nonresident aliens and even higher rates where the income exceeds $15,400. Under these circumstances, the 12-percent credit allowed by France became inadequate to avoid double taxation. In recognition of· this. fact the French Government has agreed to raise the credit to 25 percent of the income taxes, effective retroactively to January 1, 1945, with respect to the taxation of income acquired since . that date on which the French tax has not been collected. The second part of the subparagraph (d) would make applicable to aliens resident in France, including United States citizens, technical changes made in article 114 of the French Code on Direct Taxation. These changes do not involve any real departure with ·respect t<;> the taxation of United States citizens in Frances. Like other aliens in the same situation, a United States citizen resident but not domicileq in France will continue to be taxed, insofar as the French general income tax is concerned, upon a sum equal to five · times the rental vaiue of the residence or residences maintained by such citizen in France. This basis is deemed to be as favorable to the taxpayer as can be reasonably expected. --
(e) The new\article 17A here set forth will have the effect of permitting American business in France a further opportunity to obtain the benefits which were accorded by article 17 of the 1939 convention.
(f) This amendment merely changes the designations of the respective officials of the two countries who shall be deemed to be the "competent authority" or "competent authorities" for the purpose of carrying out the provisions of the 1939 convention. In
this respect, the 1939 convention is made consistent with the corresponding provisions in tax conventions of the United States with other countries.
Title III, relating to administrative cooperation, corre.!j,I?Onds with title II of the 1939 convention and supersedes that title II insofar as the provisions of title III of the new convention may be applicable to income taxation. This is designed primarily to achieve uniformity, as far as possible, in the provisions for administrative . cooperation in respect of both estate taxation and in-come taxation. The_ provisions of title III are substantially similar to provisions on the same subject in the tax conventions which have entered into force recently between the United States and Canada and the United Kingdom. There are the- usual safeguards that the provisions do not impose upon either country the obligation to carry out measures .contrary to the regulations and pr!'tctice of either country or to supply information not procurable under its legislation, as well as other safeguards found in corresponding provisions of other tax conventions of the United States. The changes which are effected in relation to the 1939 convention are considered desirable in the interest of a more efficient fiscal cooperation between the revenue :;>ervices of the two countries. ·
It is anticipated that •in the course of consideration of the convention by the Senate the appropriate officials of the Treasury Department .will be called upon to furnish, and wUl furnish, a more detailed statement with respect to' the purpose and application of the substantive provisions of the convention, including those relating to exchange of information and assistance in collection.
Article 17 is similar to article XXII of the income-tax · convention between the United States and the United Kingdom, in that it lays the basis fm• application of the convention to colonies, overseas territories, .protectorates, or territories under mandate or trusteeship. Article 17 does not of itself extend the 'provisions of the convention to such colonies or other territories, but makes it possible, in the case of French colonies or other territories which nave tax systems closely_ analogous to that existing in Franbe, for the convention to be extended in its application without the nece~:sity for entering into a separate convention covering each of the colonies or other territories. This, of course, will be possible only on the conditions specified in article 17. ~s pointed out in connection with the submission to the Senate of the income-tax convention with the United Kingdom, the United States revenue laws do not extend to overseas possessions, such as Puerto Rico. Su.ch possessions will be free to elect, under article 17, to have the conventions with France extended in application to them, subject to the requirement for the giving of a notification to that effect by the United States Government . to the French Government and the right of the latter to give notice that it does not accept such notification. Adequate provision is made also with respect to the termination of the convention as to any of the. colonies or other territories to which it may have become applicable 11nder article 17.
.Art~cle 18 provides ~or ratification and for the .exchapge of instruments of ratification and prescribes the effective dates of the convention. As to 'title I and other provisions of the convention applicable with respect to taxes on estates and inheritances, the convention will enter into force on the day of the exchange of instruments of ratification and shall be applicable · solely to estates or inheritances in the case of persons who die on or after that date. As to title II and other provisions of the convention applicable with respect to taxes on income, the convention will (e.xcept as otherwise provided for special purposes, as in articles 7 and 17) ent~ into force on the 1st day of January
/
1947 CONGRESSIONAL RECORD,_SENATE 231 following the exchange of instruments of ratification. ·
It is provided in article 19 that the convention shall remain in force for a minimum period of 5 years, but may be terminated by the giving of written notice by one of the contracting countries to the other contracting country, according to the procedure and with the effect specified in that article.
Respectfully submitted._ JAMES F. BYRNES.
CoNVENTION BETWEEN FRANCE AND UNITED STATES OF AMERICA ABOUT DoUBLE TAXATION AND FISCAL ASSISTANCE
The Government of the United States of America and the Provisional Government of the French Republic,
Desiring to conclude a Convention for the avoidance of double taxation and the prevention of evasion in the case of taxes on estates and inheritances, and for the pu~pose of modifying .and supplementing certain provisions of the Convention between the two Governments relating to income taxation signed at Paris on July 25, 1939,
Have designated for this purpose as their respective Plenipotentiaries:
The Government of the United States of America: Mr. Jefferson Caffery,., Ambassador Extraordinary and Plenipotentiary of the United States of America In France,
The Provisional Government of the French · Republic: ~r. Georges Bidault, President of
. the Provisional Government of the French Republic, Minister for Foreign Affairs who, after having exchanged their full powers found to be in good and due form, have agreed as follows:
TITLE I. TAXES ON ESTATES AND INHERITANCES
Article 1 (1) The taxes which are the subject of this
Title are: (a) for the United States of America, the
Federal estate tax, and · (b) for France, the tax on ·tnheritances.
(2) This Title shall also be applicable to all other taxes of a substantially similar character imposed by either Contracting State after the signing of the present Convention, or imposed by the government of any territory to which the present Convention applies under Article 17.
(3) The present Convention is concluded with reference to United States and French law in force on the day of its signature. Accordingly, if these laws are appreciably modHied the competent authorities of the two states will consult together for the purposes of adapting the provisions of the present Convention to such changes.
Article 2 (1) In this Title, unless the context other
wise requires: (a) The term "United States" means the
U.~aited States of America, and when used in a geographical sense means only the States, the Territories of Alaska and bf Hawail, and the District of Columbia.
(b) The term "France", when used in a geographical sense, m:eans only metropolitan France, excluding Algeria and the Colonies.
(c) The term "tax'' means the French tax on inheritances or the Federal estate tax of the United States, as the context requires.
(2) In the application, by one of the Contracting States, of the provisions of this Title, any term which is not otherwise defined shall have, unless the context requires a different interpretation, t~e meaning which it has under the laws of that Contracting State relating to the t~es whichare the subject of this Title.
Article 3
(1) For the purposes of this Title, the question whether a decedent was domiciled in the territory of one of the Contracting
States at the time of his death shall be deterllUned in conformity with the law in force in that territory.
(2) In the case of the death of a person domiciled in the territory of one of the Contracting States, the situs of any of the following property or property rights shall, for the purpose of the imposition of the tax and for the purpose of the credit provided for in Article 5, be determined exclusively in accordance with the following rules:
(a) Real property shall be deemed to be situated at the place where the land involved is located. Real property includes leases of such property, unless such leases are of eighteen years' duration or less, but excludes mortgages and other liens on such property as security. ' The question whether any other property or right in property constitutes real property shall be determined in accordance with the law of the place where the land involved is located.
(b) Corporeal movable property, except as hereinafter prescribed, as well as bank notes and any other kind of money which is legal tender at the place of issuance, §haq be deemed to be situated where it is physically located at the time of the deced(mt's death.
(c) Ships and aircraft shall be deemed to be situated at the place of registration or documentation of. the ship or aircraft.
(d) The good wm of a business firm (including for the purposes of this subparagraph rights in a lease other than one deemed to be real property under the provisions of subparagraph (a) of this Article) or the good will attached to the practice of one of the liberal professions shall be deemed to be situated where the business is carried on or the profession is practiced.
(e) Patents, trade-marks and designs shall be deemed to be situated at the place where they are registered.
(f) Copyrights and rights or licenses to use any copyrighted material, patent, trademark or design shall be deemed . to be situated at the place where the rights arising therefrom are exercisable.
(g) Shares in a corporation (including shares held ~y a nominee for the benefit of the decedent) shall be deemed to be situated at the place in which, or under the laws of which, such corporation was created or
' organized. • · · (h) Bills of exchange and checks shall be
deemed to be situated at the place of the drawee's residence, and negotiable promissory notes at the place of residence of the maker.
(i) All property other than hereinbefore mentioned shall be deemed to be situated in the State in which .the deceased person was domiciled at the time of his death.
Article 4 The Contracting State which imposes tax
in the case of a decedent who, at the time of his death, was not domiciled in its territory but was domiciled in the territory of the other Contracting State:
(a) shall allow every abatement, exemption, deduction, or credit, whi9h would be applicable under its law if the decedent had been domiciled in its territory, in an amount
· not less than the proportion thereof which the value of the property, situated according to Article 3 in such State and subject to the tax of such State, bears to the value of the property which would have been subjec.t to the tax of such State if the decedent had been domiciled in its territory; and ·
(b) shall (except for the purpose of subparagraph (a) o! this Article and for the purpose of any other proportionate allowance otherwise provided) take no account of property situated according to Article 3 outside its territory in determining the amount or rate of tax.
However, the provisions of this Article shall not apply to the tax imposed by the United St ates in the case o! a deceased citiZen of the United States.
Arti cle 5 (1) The Contracting State imposing tax in
the case of a deceased person, who, at the time of his death, was domiciled in such State (or was a citizen thereof if such State is the United States), shall allow against its tax (as otherwise computed) a credit for the amount of the tax imposed by the other Contracting· State with respect to property situated in the territory of-such other Contracting State and included for tax purposes by both States, but the amount of credit shall not exceed the portion of the t ax imposed by the former State which is attributable to such pro,Perty. The provisions of this paragraph shall not apply with respect to any property referred to in paragraph (2) of this Article.
(2) If the decedent is regarded by each of the Contracting States as being domiciled in its own territory, each State shall, in addition to the credit authorized by paragraph ( 1) of this Article, allow against its tax (as otherwise computed) a credit for the part of the tax imposed by the other State with respect to property included for tax purposes by both States and situated or deemed to be situated
(a) in the territory of both Contracting States, or
(b) outside of both territories. The total of the credits authorized by this
paragraph shall be equal to the amount of tax imposed with respect to such property by the State imposing the smaller tax, and shall be divided between the two States in proportion to the amount of tax imposed by each of the two Contracting States with respect to such property.
(3) For the purposes of this article, the amount of the tax of each Contracting State attributable to any designated property shall be ascertained after taking into account any applicable abatement, credit, remittance, diminution, or increase, as provided by its law, other than any credit authorized by this article.
Article 6 ( 1) Any claim for a credit or a refund
of tax founded on the provisions of this Title shall be made within a period of five years from the date of the death of the decedent.
(2) Any such refund shall be made without payment of interest on the amount so refunded.
TITLE U. TAX ON INCOMES
Article 7 The provisions of the convention and
protocol between the United States of America and the French Republic signed at Paris on July 25, 1939, are hereby modified and supplemented as follows:
(a) In the enumeration of French taxes to which the convention of July 25, 1939, applies the reference to the national tax on undistributed profits which is set forth as number (3) in Article 1 (b) of Title I is eliminated as the tax has ceased to be imposed in France since Januar-y 1, 1941. The second paragraph of Article 15 of said convention is abrogated.
(b) For the purposes of Article 7 an indlviduar resident of France deriving from sources within the United States rents from real property, or royalties in respect to mines, quarl'ies, or other natural resources JOay elect. :for any taxable year to be subject to United States tax as if such resident were engaged in trade or business within the United States through a permanent establishment therein in such taxable year. For the purposes of Article 7 the term "royalties" as used in the second paragraph of such article shall, as to amounts paid on or after January 1, 1945, be deemed to include rentals in respect of mot.ion picture films. .
(c) Articre 8 is amended by adding after the words "other State•; in the first paragraph thereof the following:
.. (other·than citizens of such other State").
232 CONGRESSIONAL RECORD~S~NATE · JA~UARY' 10· (d) (1) Article ' 14, B, ' a) Is amended by
striking out "12" and inser,ting in lieu thereof "25". This subparagraph shall be deemed to be effective as of Jan~ary 1, 1945, with respect to the taxation of income acquired ·since that date on which the French tax has not been collected. '
(2) The last paragraph of Article 14, B, b) is abrogated and r~placed by the fqllowing provisions:
"However, the provisions of the first and second paragraphs of Article 114 of the French Code on direct taxation relative to the taxation o aiiens domicilE;d or resident in France shall continue to be applied."
(e) By adding immediately after Article 17 the following new Article:
"Article- 17 A "The American corporations affected by
Article 17 of the CoJlvention of July 25, 1939, which remain subject to · the provisions of Article 3 of the Decree of December 6, 1872, which were not placed under the special regime estal;>lished by Articles 5 and. 6 of the
· Convention for the avoidance of double taxation between the United States of America and France signed April 27, 1932, may,· during a new period of six months from the date of exchange of the instruments of ratificati_on of the present Convention, exercise with reference to past years the option provided in those two Articles under the conditions which they prescribe."
(f) Paragraph VIII of the Protocol is amended. to read as follows:
"VIII. "As used in this Convention, t'he term
'competent authority' or 'competent authorities' means, in the case of the United, States of America the Commissioner of Internal Revenue or his duly authorizep representative, and in the case of France the Chef du Service de la Coordination des Administrations Financieres or his duly authorized representative."
TrrLE Ill. ADMINISTRATIVE ASSIS'IIANCE .
Articie 8 (1) With a view to a more effective imposi
tion of the taxes referred to in Title I of the present Convention and in the Tax Convention of July 25, 1939, and to the prevention of fraud in the case of such taxes, the Contracting States agree that their competent authorities will exchange all the information which they possess or can procure under their respective laws that may be of use to the competent authorities .for these purposes. The information transmitted under the provisions of this Convention by one of the Contracting States to the other Contracting State shall not be published, revealed or disclosed to any person except to the extent permitted under the laws of the latter State with respect to similar information.
(2) In no case shall the provisions of this Title relating to disclosure of hiformation in particular cases or to mutual assistance in the collection of taxes be construed so as to impose upon either of the Contracting States the obligation to carry out administrative measures at variance with the regulations and practice of either Contracting State or to supply particulars 'Yhich are not procurable under its own legislation or information which is of such nature that it would involve violation of an' industrial, business, or trade secret or compromise its security.
(3) The State to which application is made tor information or assistance shall comply as soon as possible with tE-e request addressed to it. If, for any of the reasons set forth above, it is unable to comply with such request it shall inform as soon as ·possible the State making the application.
Article 9 (1) In conformity with the provisions of
the preceding Article the competent authorities of the United States will transmit without request to the competent authorities of the French Republic:
(a) As regards any person, corporation or other entity having an address in . France and deriving from sources· within the United States re.nts-, dividends, interest, royalties (including income from authors' rights), income from trusts, salaries, wages, bonuses, pensions, annuities, or other fixed or determinable periodical income, the name and address of such person, corporation or other entity as well as the amount of such income.
(b) As regards--- -(A) · a decedent who was ·a citizen of, or
domiciled in, the United States, any information disclosed by United States estate tax records relative to property of such decedent situated in France; and .
(B) a decedent domiciled in France, any information disclosed by United States estate tax records relative to property of such decedent situated in the United States.
(c) Any particulars which the competent authorities of the United States may obtain from banks, savings banks or other similar institutions concerning assets belonging to individuals whose addresses ,are in , France or to French corporations or other entities, as well as information on the amount of payments of coupons from securities which are made to the account of these persons. ,
(d) Any particulars which the competent authorities of the United States may, obtain from inventories in the case of property passing on death concerning debts contracted with individuals whose addresses are in Fran<;:e .or French corporations or other.' entities.
(2} The information referred to in subparagraph (a) of paragraph (1) of this Article will be transmitted as soon as possible after December 31 of each year. The information . referred to in subparagraphs (b), (c) and (d) of paragraph (1) of this Article Will be transmitted as soon as practicable in the ~ourse of audit of estate tax cases.
Article 10 (1) In conformity with the provisions of
Article 8, and independently of the enumeration below, the competent authorities of the French Republic will transmit spontaneously to the competent authorities of the United States infor-mation which they can obtain on the existence ·of property belonging to the estates of persons, domiciled at the moment of their death eittrer in France or in th'e United States · or of citizens of the United States, and which may be ·taxable under the estate tax laws of the United States.
( 2) They will furnish iri particular to these authorities:
(a) the copy of the transcript of the report of the opening of safety boxes or sections of safety boxes which were rented by the decedents or their spouses if these persons were domiciled in the United States or if they were citizens thereof;
(b) the copy of the transcript· of the reports of the inventory of the content of sealed envelopes and locked boxes deposited by said persons with bankers, brokers or other persons receiving habitually deposits of this type; .
(c) the copy of the lists of securities, cash or documents of evidences of value belongin-g to ·the estate of a person domiciled in the United States transmitted by corporations or companies, brokers, bankers, ministerial officers (notaries), business agents, custodians;
(d) the report of the opening of· each individual or joint account opened with one of the persons designated under the preceding subparagraph and concerning one or more citizens of the United States.
(3) They wlll also furnish to these authorities:
(a) the name and address of each natural or juridical person having an address in the United States and drawing from sourc,es situated in France income from immovables, dividends, interests, ro1alties, salaries, wa~"· bonuses, pensions, a:qbuities, or nther periodical (fixed or v:arfabie)_ incomes, accom-
panied by an Indication ,for each· of the said persons of the amount of this income; ·
(b)· all information which they can obtain from banks, savings banlts or other analogous institutions on assets belonging to persons who. have an address in the United States or corporat1ons or .other United States juridical persons as well as information on the amount of payments of coupons from securities which are made to the account of these persons;
(c) all information which ·· they can obtain from inventories at death concerning debts which are due to persons residing in the United States or corperations or other United States juridical persons.
(4) The information referred to in paragraph (2) and subparagraph (c) of paragraph (3) above will be transmitted as quickly as possible and as soon as it comes to the attention of the competent authorities of the French Republic; the information referred to under subparagraphs (a) and (b)
, of paragraph (3), as quicltly as possible in the . first · six months of each year.
Article 11 The competent authorities of each of the
Contracting States shall be entitled to obtain from the · competent authorities of the other Contracting State information concerning concrete cases affecting natural or juridical persons as far as the application of the taxes referred to under Title I of the pre~aent Coc vention and the taxes under the tax Convention signed July 25, 193·9, is concerned.
Article 12 (1) The two Contracting-States undertake
to lend assistance and support to each other in the collection of the taxes to which the present Convention or the Convention of July 25, 1939, relates, together with interest, costs, and additions to the taxes and fines not being of a penal character according to the laws of the State requested, in the cases where the taxes are definitively due according to the laws of the State making the application. ·
(2) In the case .Of an application for enforcement of taxes, revenue claims of each of the Contracting States which have been finally determined will be accepted for enforcement by the State to which application is made and collected in that State in accordance with the laws applicable to the enforcement and collection of its QWn taxes.
(3) The application will be accompanied by such documents as are required by the laws of the State making the application, to. establish that the taxes have been finally determined.
(4) If the revenue claim has not been finally determined, the State to which application is made will take such measures of conservancy (including measures with respect to transfer of property of nonresident aliens) as are authorized by its laws for the enforcement of its own taxes.
Article 13 (1) The competent authorities of the two
Cont.t:acting States may prescribe regulations necessary to interpret and carry out the provisions of the present Convention and the Convention of July 25, 1939. With respect to those provisions relating to exchange of information and mutual assistance in the collection of taxes, such authorities may, by common agreement, prescribe rules concerning matters of procedure, form'S of application · and replies thereto, conversion of currencies, transfer of sums collected, minimum amounts subject to cqllection, payment of costs of. collection, and . related matters.
(2) Should any difficulty or doubt arise as to the interpretation or application of the present Convention or the Convention of July 25, 1939, or their relationship to Conventions between one of the Contracting States and any other State, the competent l;l;gtll.orities of the Contracting States may settle the question by mutual agreement.
1947· CONGRESSIONAL -RECORD-SENATE 233 Article 14
Any taxpayer who shows proof that the action of the revenue authorities of the Contracting Sta~ has resulted in double taxation in this case in respect of any of the ta:l(es to WhiCh the present Convention, or the· present Convention, or the Convention of July 25, 1939, relates, sh.all be entitled to lodge a claim with the State of wllich he is a citizen or, if the taxpayer is a corporation or other entity, with the State in which it is created or organized. Should the claim be upheld, the competent' authority of each State may come to an agreement with the competent authority of the other State with a view to equitable avoidance of the double taxation in question. ·
Article 15 As used in the present Convention, the
term "competent authorities" means, in the case of United States of America, the Commissioner of Internal Revenue or his duly authorized representative, and, in the case of the French Republic, the Chef du Service de la Coordination des Administrations Financieres or his duly authorized representative.
TITLE IV. GENERAL PROVISIONS
Article -16 Upon the coming into force of the present
Convention, the provisions of Articles 20 to 26, inclusive, constituting Title II, of the Convention between the United States of America and the French Republic, signed at P!lris pn July :;!5; 1939, shall be superseded and replaced by the provisions of Articles 8 to 15, inclusive, constituting Title III, of the present Convention to the extent that such provisions may be applicable with respect to the taxes which are the subject of the Convention of July 25, 1939.
Article 17 (1) So long as the present Convention
shall be in ·force, either of the COntracting States may, by written notification to the other Contracting State through diplomatic channels, declare its desire that the operation of either
(a) Title 1, and other provisions of the present Conventi9n which may be applicable with respect to the taxes which are the sub-ject of Title I, or '
(b) the Convention of July 25, 1939, as modified and supplemented - by the present Convention, or both, shall extend to all or any of its colonies, overseas territories, protectorates, or territories under its mandate or trusteeship which impose taxes substantially similar to those which are the subject of Title I of the present Convention or which are the subject of the Convention of July 25, 1939, as the· case may be.
(2) The provisions of the present Convention, or of the Convention of July 25, 1939, as modified and supplemented by the present Convention, with respect to which a notification is given in accordance with paragraph ( 1) of this Article, shall apply to the territory or territories named in such notification,
(a) as to the taxes which are the subject of Title I of the present Convention: in the case of persons who die on or after the date or dates specified in the notification (it being understood that such date or dates shall be not le.ss than sixty days from the date of the notification) , or, if no date is specified ln respect of any such territory, on or after the date of such notification, or,
(b) as to the taxes which are the subject of the Convention of July 25, 1939: on and after the first day of January following the date of the notification (it being understood that such first day of January shall be not less than sixty days from the date of the notification). unless, b~fore the date on which the provisions would otherwise b.e applical;>le to a particular territory, the Contracting State to
which the notification is given shall nave informed the other Contracting State, in writing through diplomatic channels, that it does not accept such notification in respect of that territory. In the absence of such an extension, the provisions which are the subject of the notification shall not apply to any such territory.
(3) At any time after the expiration of a period of one year from the effective date of an extension made by virtue of paragraphs ( 1) and · ( 2) of this Artic~e. either of the Contracting States may, by a written notice of termination given to the other Contracting .State through diplomatic -channels, terminate the application of the provisions to any of the territories of the .former State to which such provisions have been extended; in which case,
(a) in so far as concerns estates or inheritances in the case of persons who die on or after the date or dates · specified in such notice (it being understood that such date or dates shall be not· less than sixty days from the date of such notice), or, if no date is specified, on or after the 'sixtieth day after
- the date of such notice, or ' (b) in so far as concerns the application
of the Convention of July 25, 1939, as modined and · supplemented by the present C:::mvention, on and after the first day of January following the date of such notice (it being understood that such first day of January £hall be not less than sixty days from the date of the notice), the provisions, as the case may be, shall cease to be applicable to the territory or territories named in such notice; provided, however, that this shall not affect the -continued application of such provisions to the United States, to France, or to any other territory te which such provisions apply and which is not namEd in the notice of termination.
(4) For the application of any of the ·provisions to any territory to which it is extended by the United States or by the French Republic, references to ···united States" or, as the case may be, "France". or to .the territory of one (or of · the other) Contracting State, shall be construed to refer to the territory to which such provisions shall hf.We been extended.
(5) For the purposes of the present Convention, Algeria shall be considered to be a French territory to which the provisions of this Article shall apply.
Article 18 (1) The present Convention shall be rati!
tied and ther instruments of ratification shall be exchanged :at Washington · as soon as possible.
(2) The provisions of Title I, and the other provisions of the p;resent Convention in so far as they may be applicable with respect to the taxes which are the subject of Title I, shall enter into force on the day of the exchange of instruments of ratification, and shall be applicable solely to estates or inheritances in the case of persons who die on or after that date. ·
(3) The provisions of Title II, and the other provisions of the present Convention in so far as they may be applicable with respect to the taxes which are the subject of the Convention of July 25, 1939, and of Title II of the present Convention, shall, except as otherwise provided in the present Convention, enter into force on the first day of January following the exchange of instruments of ratification.
Article 19
(1) The present Convention shall remain in force for a minimum period of five years after the date of the exchange of the instruments of -ratification.
(2) If, not less than six months before the expiration of such period of five years, neither of the Contracting States shall have given to the other Contracting State, through diplomatic channels, written notice of its in-
tention to termlnate the present Convention, the Convention shall remain in force after such period of five years until either of the Contracting States shall have given notice of such intention, in which event
(a) the provisions of Title I, and the other provisions of the present Convention in so far as they may be applicable with respect to the taxes which are the subject of Title I, shall not be effective as to estates or inheritances in the case of persons who die on or after the date (not being earlier than the sixtieth day after the date of the notice of termination) specified in such notice, or, if no date is specified, on or after the sixtieth day after the date of such notice; and
(b) the provisions of Title TI, and the other provisions of the present Convention in so far as they may be applicable with respect to the taxes which are the subject of the Convention of July 25, 1939, and of Title II of the present Convention, shall not be effective on or after the first day of January following· the expiration of a slx-mo th period after the date of the notice of termination.
In t~stimony whereof the Plenipotentiaries above-named have signed the present Convention and affixed thereto their seals. ·
Done at Paris, in duplicate, in the English and French languages, this 18th of October 1946.
For the Government of the United States of America:
JEFFERSON CAFFERY. For the Provisional Government of the
French Republic: BIDAULT.
ADJOURNMENT TO MONDAY
Mr. WHITE. I move that the Senate do now adjourn until 12 o'clock noon on Monday next.
The motion was agreed to; and (at 1 o'clock and 53 minutes p. m.) the Senate adjourned until Monday, January 13, 1947, _at 12 o'clock meridian.
NOMINATIONS
Executive nominations received by the Senate Friday, January 10, 1947:
UNITED NATIONS ORGANIZATION
Warren R. Austin, of Vermont, who was nominated January 8, 1947, to be the representative of the Unit_ed States of America -to the United Nations with the rank and status of Amqassador Extraordinary and Plenipotentiary, and the representative of the United States of America in the Security Council of the United Nations, to serve concurrently and without additional compensation as the representative of the United States of America on the United Nations Commission on Atomic Energy.
DIPLOMATIC AND FOREIGN SERVICE
William C. Trimble, of Maryland, now ,a Foreign Service officer of class 3 and_ a secretary in the diplomatic service, to be also .a consul of the United States of America. -
John Willard Carr.igan, of California, now a Fore.ign Service officer of class 4 and a secretary in the diplomatic service, to be also a consul of the United States of America.
UNITED STATEC DISTRICT JUDGE
John D. Clifford, Jr., of Maine, to be United States distr~ct judge for the district of Maine, vice Hon. John A. Peters, retired.
POSTMASTERS
The following-named persons to be postmasters: _./
ALABAMA
William D. Griffin, -covin, Ala., in place of A. J,. Rainwater, transferred.
James H. Pittman, Crane Hill, Ala. Office became Presidential July 1, 1945. .
Fred W. McLaurine, F'itzpatrick, Ala. Office became Presidential July 1, 1946.
234 CONGRESSIONAL RECORD-SENATE JANUARY 10 Otis L. Headrick, Pyriton, Ala., in place of
Eliza Sailors, retired. -Thomas S. Edwards, Remlap, Ala., in place
of M. B. Gamel, failed to qualify. Matthew J. S,emrick, Saint Bernard;- Ala ..
Offic·e became Presidential July 1, 1946. -Robert · Thomas Coffman, Veto, Ala. Of
fice made Presidential July l, 1946. Margaret C. Phillips; Wellington; Ala. · Of
fice became Presidential. July 1, 1945 ~
ALASKA
Lilly V. Clark, Nenana, Alaska, in place of A. E. Larson, resigned.
ARIZONA
William L. Conger, Ashfork, Ariz., in place of W. D. Washington, deceased.
Louis F. Skubitz, Avondale, Ariz., in place of E. C. E. Kinderman, deceased.
George S. Leopard, Goodyear, Ariz., in place of M. A. Jenner, resigned.
Wilfrid G. Humbert, Saint Michaels, Ariz., in place of A. G. Sippel, declined.
Esther Eshelman, Wellton, Ariz., in place of I. L. Spain, resigned.
ARKANSAS
Eugene S. Hunton, Hartford, Ark., in place of W. S. Sampson, Sr., deceased.
E. Penn. Kimbrough New Edinburg, Ark., in place of Finch McCulloch, resigned.
Rubye I. Bostick, Vanndale, Ark. Office became Presidential · July 1, 1945.
Nannie Mae Smith, Winchester, Ark. Office became Presidential July 1, 1945.
CALIFORNIA
Mary F. Feehan, Alma, Calif. Office became Presidential July 1, 1945.
Ruth A. Rodgers, Camp Me.eker, Calif. Office became Presidential July 1, 1946.
June R. Dolcini, Davis, Calif., in place of V. F. Dolcini, deceased.
Ethelyn M. Bushey, Desert Center, Calif., in place of F. G. Young, resigned.
Charles M. Tucker, Encino, Calif., in place of T. C. Gibson •. resigned.
Bertha L. Groves, Farmington, Calif. Office became Presidential July 1, 1946.
Juanita A. Dinkel, Georgetown, Calif., in place of L. J. Kiviaho, resigned.
Lydia M. Riley, Gilman Hot Springs, Calif., in place of M. J. S. Gilman, resigned.
Edward E. Enos, Niles, Calif., in place of E. E. Enos, resigned . •
Joe A. Sheeley, Portola, Calif., in place of M. E. Vance, resigned.
Byron H. Johansen, San Jacinto, Calif., in place of D. G. Mang, resigned.
Mable Clara Galle, Sunset Beach, Calif., in place of E. F. Ivey, retired.
Otto C. Meeks, White Water, Calif. Office became Presidential July 1, 1946.
Palmer A. Wells, Woodbridge, Calif., in place of E. M. Burnett, resigned.
COLORADO
Agnes G. Smith, Branson, Colo. Office became Presidential July 1, 1946.
Howard F. Wade, Cheraw, Colo. Office became Presidential July 1, 1946.
Genevieve B. Bragg, Gilman, Colo., in place of M. L. Lewis, resigned.
Frances L. Larrabee, Henderson, Colo., in place of G. F . Frost, resigned.
John V. Twomey, Julesburg, Colo., in place of ,1. H. Parker, resigned.
Raymond D. Woolley, Meeker, Colo., in place of W. 0. Ball, resigned.
William F. Luedke, Oak Creek, Colo., in place of W. D. Mcintyre, resigned.
FLORIDA
Hattie Ferrell, Foley, Fla., in place of F. G. Brown, removed.
Louie C. Wadsworth, Live Oak, Fla., in place of Joe Hinely, removed.
GEORGIA
James C. Gri:filn, Georgetown, Ga., in place of M. C. Balkcom, removed.
J. Storey Ellington, Jefferson, Ga., in place of H. J. W. Kizer, removed.
Velna P. Pittman, Meigs, Ga., in place of . D. A. Willis, transferred.
George T. Love, Jr., Morganton, Ga. Office became Presidential July 1, 1945.
HAW All..
Eva R. Andrade, Haiku, .T. H., in place- of Julia Smythe, resigned. -·
Masa.yukL .Shigemi, Kalaupapa, ·.= 'E. ·-H. Office became Presidential J.uly. 1, 19..46-~
Seichi Masumoto, - Kukuihaele, T. H. Office became Presidential July 1, 1946.
Kuulei Warren, Kurtistown, T. H. Office became Presidential July 1, 1946.
Mary M. ,Viveiros, Laupahoehoe, T. H. Office became Presidential July 1, 1946.
IDAHO
Thomas W. Rogers, Glenns Ferry, Idaho, in place of H. H. Tate, removed.
William A. Jones, Moore, Idaho. Office be-came Presidential July 1, 1946. '
Archie . V. Lott, Weston, Idaho, in place of N. S. Hansen, retired.
ILLINOIS
James H. Randolph, Beason, Ill. Office became Presidential July 1, 1945.
Ted Bauer, Benton, Ill., in place of J. W. Williams, resigned.
Winifred Hughes, Broughton, Ill., in place of R. M. McElvain, resigned.
Charles H. Lawler, Cortland, Ill. Office became Presidential July 1, 1945.
Leland Adams, Dieterich, Ill., in place of R. L. Graham, resigned.
Joseph H. Pulcher, East Carondelet, Ill. Office became Presidential July 1, 1944.
Marvin Randall, Forsyth, Ill. Office became Presidential July 1, 1946.
Oscar Hayward Holman, Geff, Ill., in place _ of P. P. Simmons, transferred.
Harry M. Ostrander, Harmon, Ill., in place of C. M. Ostrander, transferred.
Eva S. Hooe, Niantic, Ill., in place of S. H. Wheeler, deceased.
Guy E. 'Midget, Pittsburg, Hl., in place of A. M. Pulley, resigned.
Ray P. Callery, Princeville, Ill., in place of F. J. Hill, resigned.
Pauline M. Hutchison, Shirley, Ill. Office became Presidential July 1, 1946.
INDIANA
Charles W. Woods, Bowling Green, Ind. Office became Presidential July 1, 1944.
Hazel Runner, Cross Plains, Ind. Office became Presidential July 1, 1946.
Charles E. Rodenberg, Pershing, Ind. Office became Presidential July 1, 1946.
, Margaret A. Horseman, Dublin, Ind., in place of G. A. Adrian, retired.
Fern Zimmerman, Fair Oaks, Ind. Office became Presidential July 1, 1946.
Harold A. Merkling, Kendallville, Ind., in place of W. A. Maggert, retired.
Harold E. Collings, Kingsbury, Ind., in place of G. H. Collings, resigned.
Zula G. McBride, Mays, Ind. Office became Presidential July 1, 1946.
Mabel E. Deel, Rockfield, Ind. Office became Presidential July 1, 1946.
Paul Sittler, Silver Lake, Ind., in place of W. R. Meinel't, transferred.
William C. Bunner, Springport, Ind. Office became Presidential July 1, 1945.
IOWA
Anna Belle L. Nuckolls, Blanchard, Iowa, in place of J. E. Dean, removed.
Evelyn M. Chalus, Clare, Iowa, in place of C. J. Donahoe, resigned.
Marion W. Palmer, Clearfield, Iowa, in place of J. S. Walton, removed.
Ellowene Zinke, Hamlin, Iowa Office became Presidential July 1, 1946.
Stella P. Mulholland, Malvern, Iowa, in place of F. E. Mulholland, deceased.
Arnold L. Garnass, Manly, Iowa, in place of D. I. Peterson, resigned.
George C. Brauch, Marengo, Iowa, in place of R. P. Gilchrist, resigned.
Wilda Stephenson, Packwood, Iowa-, in place of L. L. Lockhart, retired.
Don J. Meggers, Walker, Iowa, in place of J .. F. Zimpfer,- deceased .
KANSAS
Earle. F. Hillr Altamont, Kans., in: place .of C. H.' Kessler, transferred. ·
Dalton H. Muck, Beloit, Kans., in place .. of E. C. Carrico, transferred. Van..W~ Brooks, Clay_to.n,..Kans.,...in place .of . -
V. H. Leichlit.er, :resigned. ----Nellie C. LUfaS, Dearing, Kans. Office be
came Preaiden.il;i:al~ July 1, 1945. Howard D. Meisel, .Haviland, Kans., in place
of H. R. Ellis, declined. Ira B. Armstrong, Hiattville, Kans., in place
of E. L. Long, retired. Dale E. Merritt, Lebanon, Kans., in place
of M. A. Nelson, resigned. Elmer G. Jackson, Manhattan, Kans., in
place of. W. ,E. Moore, retired.· , · Ralph. M. Plotner, -Mc.Cracken,. Kans., in
place of E. W. Shiney, transferred. Floyd A. Osborn, Riverton, Kans. Office
became Presidential July 1, 1945. Lester R. Campbell, Rush Center, Kans.
Office became Presidential July 1, 1945. William E. Matheny, Russell Springs, Kans.,
in place of Rollie David, resigned. KENTUCKY
Edna T. Holman·, Cerulean, Ky. Office became Presidential July 1, 1944.
Mary R. Meredith, Mammoth Cave, Ky., in place of M. R. Meredith. Incumbent's commission expired Feb. 18, 1941.
Katie Lee Walker, Paint Lick, Ky., in place of R. J. Walker, deceased.
William 0. Hopper, Willisburg, Ky., in place of Mary Crow, retired.
LOUISIANA
Murray B. McCarley, Baton Rouge, La., in place of R. L. Pettit, resigned.
Newton H. Nelson, Forest Hill, La., in place of E. P. Durio, declined.
Pearl H. Campbell~ Pine Prairie, La.., in place of Jesse Campbell, retired.
MAINE
Ellis H . Par-lin, Machias, Maine, in place of J. A. McDonald, resigned.
Frank Scott, Wilton, Maine, in place of H. F. Wright, retired.
MARYLAND
Gertrude S. Chapman, Lanham, Md., in place of H. A. Wrenn, retired.
MASSACHUSETTS
Arthur G. Dodge, Charlton, Mass. Office became Presidential July 1, 1946.
• MICHIGAN
Perry F. Frownfelder, Adrian, Mich., in place of H. I. Bourns, resigned.
Daniel Koert, Belmont, Mich. Office became Presidential July 1, 1946.
Leo L. Corbett, Blissfield, Mich., in place of Edson Porter, retired.
Frank J. Brown, Camden, Mich., in place of b. A. May, transferred.
Clifford R. Osborne, Cedar Lake, Mich., in place of E C. Williams, retired.
Thomas St. Charles, East Jordan, Mich., in place of F. H. Crowell, removed.
Clark H. Thompson, Fenton, Mich., in place of D. K Kelleher, resigned.
Robert H. Reid, Gregory, Mich., in place of G. H. Kuhn, transferred.
Hiram M. Terry, Leonard, Mich., in place of E. J. Porter, retired.
Marguerite D. Marsh, Mackinaw. City, Mich., in place of G. J. Carlton, resigned . .
Edith E. Osborn, Mecosta, Mich., in place Of C. E. Osborn, resigned.
Fern A. Pierce, Oakley, Mich., in place of A. C. Hutt, resigned.
Nina I. Wall, Parma, Mich., in place of M. B. Hawes, resigned.
Emanuel W. Rupprecht, Reese, Mich., in place of M. M. Rupprecht, resigned.
Leona M. Caffrey, Waterford, Mich., in place of A. V. Jacober, retired.
Lloyd N. Hahn, Wequetonsing-, Mich. Office bec'ame Presidential July 1, 1946.
1947 CONGRESSIONAL RECORD-SENATE 235 MINNESOTA
Otto W. Anderberg, Grove City, Minn., in place of D. G. Sundahl, resigned.
Melvin R. Henrickson, Guthrie, Minn. Of'fice became Presidential July 1, 1945.
Fred P. Schroeder, Sauk Rapids, Minn., in place of T. G. Schaefer, removed.
MISSISSIPPl
Earl B. Kisner, Bruce, Miss., in place of Pink Hardy, deceased .
Robert L. Gray, Corinth, Miss., in place of N. N. Northcross, deceased.
Albert L. Mills, Kossuth, Miss. Office became Presidential July 1, 1945.
William c. Perry, Tchula, Miss., in place of L. E. Turnage, retired. ·
MISSOURI
Frank W. WildehabH Beaufort, Mo. Office became Presidential July 1, 1945.
Elmer H. Temme, Leslie , Mo. Office became Presidential July 1, 1945.
MONTANA
James E. Elgie, Brockton, Mont., in place of A. 0. Lien, resigned .
John R. Johnson, Fairview, Mont., in place of W. L. Thompson, transferred.
NEBRASKA
Frank C. Diehl, Bassett, Nebr., in place of C. S. Carrell, resigned. ·
Mina M. Paulson, Bloomington, Nebr. Office became Presidential July 1, 1945.
Irvin C. Conkel, Burr, Nebr. Office became Presidential July 1, 1945.
Troy Kenneth McCown, Elsie, Nebr., in place of W. 0. Troxel, transferred.
Charles Edmond Rock, Geneva, Nebr., in place of G. L. Koshler, resigned.
L. Wayne Spainhourd, Thurston, Nebr. Office became Presidential July 1, 1946.
NEW HAMPSHIRE
Virginia M. Dyer, North Hampton, N. H., in place of F. C. Leavitt, resigned.
Benning W. Noyes, Salem Depot, N.H., In place of D. E. Stevens, resigned.
Joseph E. Hurley, Wilton, N.H., in place of J. R. K. Kelley, retired.
NEW JERSEY
Bertha Applegate, Barnegat City, N. J . Office became Presidential July 1, 1946.
Charles J. Winkelspecht, Delanco, N. J., In place of S. R. Hunt, removed. ·
Edith Fisler Bozarth, Elwood, N. J., in place of H. M. Milne, resigned.
Joseph E. Lyons, Vineland, N. J., in place of T. H. Hall, resigned.
Gilbert L. Morris, Wyckoff, N.J., in place of W. J. Morris, transferred.
NEW MEXICO
Clyda Morrow, House, N. Mex. Office became Presidential July 1, 1946.
NEW YORK
Catherine Damme, Atlantic Beach, N. Y., in place of W. H. French, resigned.
Clara H. Eggleston, Belleville, N. Y., in place of H. A. Williams, deceased.
Thomas F. Lyons , Brookhaven, N.Y. Office became Presidential July 1, 1945.
Charles J. O'Connell, Elmira, N.Y., in place of E. J. Reidy, deceased.
James W. Adriance, .Fishkill, N. Y., in place of J. W. Jewell, deceased.
William J. Whitney, Greenwich, N. Y., in place of W. c. Sharp, retired.
Carl R. Gleason, Groton, N. Y., in place of John Hamill, Sr., deceased.
Leonard L. Lakin, Hancock, N. Y., in place of W. L. McGra..naghan, deceased.
Edward S. Raynor, Islip, N. Y., in place of J. E. Downs, retired.
Helen Hubert, Islip Terrace, N. Y., in place of E. J. Bruger, transferred.
Doris K. Griesa, Kanona, N. Y. Office became Presiden~ial July 1, 1946.
Harry J. French, Katonah, N. Y., in place of K. L. Hunn, resigned.
Curtis G. Andrews, Kirkwood, N.Y. Offtce became Presidential July 1, 1945.
Alvin J. Jones, Marcy, N. Y., in place of W. A. Eggison, transferred.
Marie H. Saulsbury, Nineveh, N. Y. Offtce became Presidential July 1, 1945.
James F. ·Byrne, Norwich, N. Y., in place of H. M. Bulger, deceased.
Peter Mazzei, Point Lookout, N. Y. Office became J:lresidential July 1, 1946.
Winifred D. Fisher, Rock Tavern, N. Y. Office became Presidential July 1, 1946.
Jessie M. Sweeney, Shortsville, N. Y., in place of M. F. Chambers, resigned.
John J. McDonnell, Southfields, N.Y. Office became Presidential July 1, 1945.
Charles M. Bogardus, South Westerlo, N.Y., in place of C. E. Winn, resigned.
Dorothy Woodward, Stony Creek, N. Y., in place of V. A. Rogers, resigned.
Joseph L. Phillips, Valls Gate, N. Y. Office became Presidential July 1, 1946.
Charles F . Partridge, West Nyack, N.Y., in place of Theresa Jaeger, resigned.
Mildred R. Lindsey, Westtown, N. Y. Office became Presidential July 1, 1945.
NORTH CAROLINA
Exam A. Elliott, Barium Springs, N. C. Office became Presidential July 1, 1944.
Edgar William Bullard, Belmont, N. C., in place of W. M. Jefferson, deceased.
Clyde J. Smith, Bennett, N. C., in place of J. A. Purvis, retired.
Esther H. Bullock, Delco, N. C., in place of L. R. Hobbs, retired.
Beulah Johnson, Holly Springs, N.C. Office became Presidential July 1, 1945.
Russell A. Parker, Middlesex N.C., in place of J. A. Barnes, deceased.
Samuel L. Sanderlin, Shawboro, N. C., in place of M. R. Bell, resigned.
Addie S. Winborne, Sims, N. C. Office became Presidential July 1, 1946.
Herbert Maurice Brett, Winton, N. C., in place of A. T. Newsome. resigned.
NORTH DAKOTA
William A. Borderud, Da'venport, N. Dak. Office became Presidential July 1, 1946.
Nicholas G. Abel, Karlsruhe, N. Dak., in place of Dolores Bossert, resigned.
Alvin N. Anderson, Marion, N. Dak., in place of Cleo Flugga. Incumbent's commission expired August 19, 1941.
Daniel F. McMenamy, Reynolds, N.Dak., in place of H. J. Mealy, transferred.
Harold H. Neustel, Robinson, N. Dak., in place of 0. B. Wells, resigned.
Alice C. Kelly, Rogers, N. Dak. Office become Presidential July 1, 1946.
Carl E. Lindsay, Souris, N. Dak., in place of A. M. Sletten, transferred.
Philip J. Thorne, Tuttle, N.Dak., in place of W. E. Hinkel, transferred.
Amanda J. Shaw, Wolford, N. _Dak. Office became Presidential July 1, 1943.
OHIO
Min~rva S. Gray, Baybridge, Ohio. Office became Presidential July 1, 1946.
Ned Stiger, Bradner, Ohio, in place of W. L. Bryan, retired.
Esther Swerlein, Dola, Ohio, in place ·of W. G. Kahler, deceased.
Nonnie B. Irwin, Goshen, Ohio, Oftlce became Presidential July 1, 1945.
Olive A. Ruble, Haydenville, Ohio. Oftlce became Presidential July 1, 1945.
William R. Hapner, Hillsboro, Ohio, in place of E. V. Miller, resigned.
William Schroeder Warren, Jacobsburg, Ohio. Office became Presidential July 1, 1943.
Mary E. Vaughan, Jaite, Ohio, in place of Russell Jaite, resigned.
Howard R. Poole, Londonderry, Ohio, in place of H. R. Poole, resigned.
S. Albert Culbertson, New Athens, Ohio, 1n place of R. D. Hutr, resigned.
Ruth E. Sherwood, Oregonia, Ohio. 011lce became Presidential July 1, 1946.
Howard B. Acker, Perry, Ohio, in place of M. C. Hickman, resigned.
Laura V. Tipton, The Plains, Ohio. Oftlce became Presidential July 1, 1944.
Marie L. Ruff, Thurman, Ohio. Office became Presidential July' 1, 1946.
Alice Marguerite Corder, Trinway, Ohio. Offtce became Presidential July 1, 1945.
Glen M. Haas, Woodv1lle, Ohio, in place of J. K. Faist, deceased.
J. Paul Orsborn, Zanesfield, Ohio, in place Of F. V. Miller, retired.
OKLAHOMA
Elden R. Louthan, Chester, Okla., in place of D. E. Condreay, transferred.
OREGON
Bertha L. Proctor, Cove, Oreg. Office became Presidential July 1, 1945.
Leona Alice Creson, Eastside, Oreg., in place of K. F. Prey, retired.
C'hris W. Myers, Estacada, Oreg., in place of A. H. Fasel, retired.
Margaret A: Duvall, Hebo, Oreg., .in place of F. E. Cross, resigned.
James H. Driscoll, Heppner, Oreg., in place of C. B. Cox, deceased.
Duane D. Hatcher, Hubbard, Oreg., in place of B. M. Brown, deceased.
Rilla M. Schaffer, Idanha, Oreg., in place of L. H. Haseman, resigned.
Gerald P. Connor, Jr., St. Paul, Oreg., in place of P. I. McDonald, retired.
PENNSYLVANIA
Ida L. German, Andreas, Pa. Offtce became Presidential July 1, 1946.
Thelma B. Kelley, Brier Hill, Pa. Office became Presidential July 1, 1945.
Margaret E. Dell, Broad Top, Pa., in place. of W. F. Rinehart, retired.
Allen W. Kessler, Codorus, Pa. Office became Presidential July 1, 1945.
Raymond R. Walker, Ford Cliff, Pa., in place of J. M. Walker, retired.
Rose H. Poll, Forest Park, Pa. Office became Presidential July 1, 1946.
Mazie N. Fulton, Hanlin Station, Pa. Of· fice became Presidential ,July 1, 1946.
Sara M. Slight, Hartsville, Pa. Oftlce became Presidential July 1, 1946.
William G. Phillips, Joffre, Pa. Office became Presidential July' 1, 1945.
Ellen E. Malmberg, Kinzua, Pa. Office became Presidential July 1, 1945.
Gertrude M. Brown, Leckrone, Pa., in place of Catherine Duretsia, resigned.
Evalyn S. Gates, Mattawana, Pa., in place of G. J. Harshbarger, resigned.
Miles W. Miller, New Berlin, Pa. Office became Presidential July 1, 1945.
Jennie A. Evans, Orwin, Pa. Offtce became Presidential July 1, 1946.
Arthur C. Gulick, Riverside, Pa. Offtce became Presidential July 1, 1945.
Jane M. Martin, St. Thomas, Pa. Oftice became Presidential July 1, 1946.
Georgeanna Garbinsky, Smithm1ll, Pa., in place of Edward Copenhaver, removed.
William A. Bailey, Southwest, Pa. Office became Presidential July 1, 1944.
Florence D. Por.ier, Spring Creek, Pa. Office became Presidential July 1, 1945.
Leon D. Kingsley, Townville, Pa., in place of L. L. Childs, deceased.
Eugene Patrick J. McMahon, Waymart, Pa., in place of M. L. McMahon, declined.
Eleanor B. Bums, Wolfdale, Pa. Office became Presidential July 1, 1945.
PUERTO RICO
Dolores G. Sotomayor, Barceloneta, P. R., 1n place of J. R. Sotomayor, deceased.
Genoveva ~- Miura, Hormigueros, P. R., in place of L. H. Diaz, resigned.
Blanca Rosa Gomez, Las Marias, P.R. Office became Presidential July 1, 1946.
Peparada R. Roman, Toa Alta, P.R. Otnce became Presidential July 1, 1945.
236 CONGRESSIONAL RECORD-HOUSE· JANUARY 10 SOUTH CAR OLIN A
Loyd H. Johnson, Gramling, S·. C. Office became Presidential July 1, 1946. ·
SOUTH DAKOTA Elden E. Arnold, Britton, S. Dak., in place
of ·n . C. Hagen, transferred. Otto Weller, Eureka, S.Dak . Incumbent's
commission expired June 23, 1942. Reuben H. Hubbart, Fedora, S. Dak. Of
fice became Pl'esidential _J:uly_1,J94.5. Agnes I. Haarberg, Missionhill, S. Dak.
Office became Presidential July 1, 1945. Archibald B. Elliott , Valley Springs, S. Dak.,
in place of 0 . P. Ronning, resigned. TENNESSEE
John Hatcher Crowder, Fountain Head, Tenn., in place of Lizzie Roney, retired.
Myrtle Mae Atkinson, Grimsley, Tenn~ Office became Presidential July 1, 1946.
Dorsie G. Bailey, Reagan, Tenn. Office became Presidential July 1, 1946.
Eliza Cooper, Rickman Tenn. Office because Presidential July 1, 1945.
Guilford J . Hutcheson, Ripley, Tenn., in place of J . H . Morris, resigned.
TEXAS
Tobe Hahn, Beaumont, Tex., in place of Ogden Johnson, . deceased.
Marvin E. Ezell, Bovina, Tex., in place of E. T. Caldwell , deceased.
Cecelia B. Phillips, Brazoria, Tex., in place of E. B. Hopkins, retired.
Richard A. Bowers', Caldwell, Tex., in place of G. R. Kocurek, removed.
Roland N. Allbright, Crockett, Tex., in place of K. H. Godsey, resigned.
Louise I. Lintelman, Crosby, Tex., in place of C. A. Fortner, retired.
Sam S. Devall , Hallettsville, Tex., in place of Joseph Kopecky, resigned.
Louis G. Harrell, Knott, Tex., in place of I. T. Smith, resigned.
Bonnie S. Langford, Mertens, Tex., in place of C. K. Langford, deceased.
Inez L. Mullins, Sanford, Tex., in place of C. T . Page, resigned.
Imogene J . Benton, Sunray, Tex., in place of T. B. Armstrong, resigned.
Ozena H. Sharp, Vanderbilt, Tex., in place of H . M. Rust, resigned.
VERMONT · Mildred D. Murphy, Center Rutland, Vt., in
place of L. B. Loveland, retired. VIRGINIA
Elmore P. Mudd, Alexandria, Va., in place of J . 0 . Lynch, deceased.
James A. Combs, Appalachia, Va., in place of S. S . Brooke, deceased.
William P. Heath, Esmont, Va., in place of E. P. Heath, deceased.
Louis H. Suddith, Jr., Highland Springs, Va., in place of W. D. R. Proffitt, retired.
Rollie N. Phillips, Indian Valley, Va. Office became Presidential July 1, 1946.
Essery B. Nuckles , Phoebus, Va., in place of J. P. Mugler , resigned.
George H. Blick, Rawlings, Va., in place of W. E. Henderson, deceased.
WASHINGTON Ole C. Neste, Conway, Wash. Office became
Presiden t ial July 1, 1946. Ada E. Buchanan, Kahlotus, Wash., in
place of A. G . Howton, resigned. Ida B. Howell, Lakeside, Wash., in place. of
C. R. Dexter, resigned. WEST VIRGINIA
Cora B. Dearth, Bens Run, W. Va. Office became Presidential July 1, 1946.
Henry F. Jackson, Clothier, W. Va. Office became Presidential July 1, 1945.
Harry Anderson, Dorothy, W.Va., in place of M. M. Linonsy, resigned.
Sylvia J. Lilly, Stotesbury, W. Va., in place of E. W. Williams, retired.
Martha L. Shrader, Switchback, W.Va., in JANUARY 8, ·1947. place of J. H. Miller, resigned. · - T~e honorable· the · SPEAKER,
·. W.ISCONSIN . · House of Representatives. Edward H. :J3elz, Athens, Wis., tn place ' of SIR: During the interim between the a_d,-
T. E. Wozniak, deceased. journment of the ·second session of · the Seventy-ninth Congress and the convening of
Carolyn Stoxen, Bassett, Wis. Office be- the Eightieth Congress, the following re-came Presidential July 1, 1945. ports were received and printed by the Clerk
Irvin W. Henze, Sr., Big Bend, Wis. Office of the House: became Presidential July 1, 1945. House Report No. 2729, Seventy-ninth Con-. William George McCoy, Brookfield, Wis., in gress: Reconversion experience and current place of F. W. Plank, deceased. economic problems. Submitted by Mr. CoL-
Edna M. Reynolds, Cottage Grove, Wis., in MER, from the Special Committee on Postwar place of S. C. Hanson, resigned.
John E. Thorpe, Darien, Wis., in place of Economic Policy and Planning, pursuant to M. A. Thorpe, deceased. · House Resolution 60. Filed December 12,
John F. Koin, Marengo, Wis. Office became 1946· Presidential July 1, 1945. House Report No. 2730, Seventy-ninth
Violet E. Place, Nelson, Wis., in place of Congress: Operation of national sales pro-H. F. Breut zman, transferred. grams of surplus property by War Assets Ad-
Gordon J. Hansen, Oregon ; Wis., in place of m inistration. Submitted by Mr. Slaughter, c. A. E. Manion, removed. · from the Select Committee To Investiga~e
Hansel E. Jacobson, Pigeon Falls, Wis. Of- Disposition of Surplus Property, pursuant to fice became Presidential July 1, 1946. · House Resolution 385. Filed ·september 3·0,
Donald B. Prehn, Spencer, Wis., in place of 1946. Laurence Driscoll, removed. House Report No. 2731, Seventy-ninth Con-
Reuben He in, Thiensville, Wis., in place of gress : Aid to the physically handicapped. A. H. Hadler, removed. Submitted by Mr. KELLEY, from the Subcom-
Helen P. Ouellette, Townsend, Wis. Office mit1Jee on Aid to Physically Handicapped, became Presidential July 1, 1946. pursuant to House Resolution 45. Filed OC-
Ruth Mae Prosser, Winegar, Wis .. Office be- tober 10, 1946. came Presidential July 1, 1946. House R·eport No. 2732, Seventy-ninth
HOUSE OF REPRESENTATIVES FRIDAY, JANUARY .10, 1947
The House met at 12 o'clock noon. The Chaplain, Rev. James Shera
Montgomery, D. D., offered the following prayer:
Through Thee, our Heavenly Father, we rise to the great realities of our existence and know ourselves as the sons of God. Thus the things of earth are seen in their true preportion. Do Thou keep us awake and alive to our possibilities for service to raise the whole ideal of the well-being of .the Republic. · I beseech you, therefore, brethren, by the mercies of God, that you present your bodies a · living sacrifice, holy, acceptable unto God, which is your reasonable service. And be not conformed to this world, but be ye transformed by the renewing of your minds, that ye may prove what is that good, and acceptable, and perfect will of God. In the blessed name of our Saviour. Amen.
The Journal of the proceedings of yesterday was read and approved.
MESSAGE FROM THE PRESIDENT
A message in writing from the President of the United States was communicated to the House by Mr. Miller, one of his secretaries.
SWEARING IN OF MEMBER
The SPEAKER. The Chair understands that the gentlewoman from California [Mrs. DOUGLAS] is present and desires to take the oath of office.
Mrs. HELEN GAHAGAN DOUGLAS appeared at the bar of the House and took the oath of office. COMMUNICATION FROM THE CLERK OF
THE HOUSE
The SPEAKER laid before the House · the following communication from the Clerk of the House, which was read:
Congress: Report relative to investigation of circumstances with respect to disposition of the charges of espionage and the possession of documents stolen from secret Governme!lt files. Submitted by Judge HoBBS, from Subcommittee No. IV of the Committee on the Judiciary, pursuant to House Resolution 430. Filed October 23, 1946.
House Report No. 2733, Seventy-ninth Congress: Disposition of the Big Inch and Little Big In,ch Lines. Submitted by Mr. Slaughter, from the Select Committee To Investigate Disposition of Surplus Property, pursuant to House RP.solution 385. Filed December 16, 1946.
House Report No. 2734, Seventy-ninth Congress: Report on the system currently employed in the collection, evaluation, and dissemination of intelligence affecting the war potential of the United States. Submitted by Mr. May, from the Committee on Military Affairs, pursuant to House Resoluticm 20. Filed December 17, 1946.
House Report No. 2735, Seventy-ninth Congress: National transportation inquiry. Submitted by Mr. LEA, from the Special Subcommittee on Transportation, pursuant to House Resolution 318. Filed December 1.6, 1946.
House Report No. 2736, Seventy-ninth Congress: Petroleum investigation-petroleum supplies for military and civilian needs. Submitted by Mr. LEA, from the Committee on Interstate and Foreign Commerce, pursuant to House Resolution 187. Filed December 30, 1946.
House Report No. 2737, Seventy.,.ninth Congress: Economic reconstruction in Europe. Submitt ed by Mr. COLMER, from the Special Committee on Postwar Economic Policy and Planning, pursuant to House Resolution 60. Filed December 3G, 1946.
House Report No. 2738, Seventy-ninth Congress: Report relative to investigation of disposition of surplus property . Submitted by Mr Slaughter, from the Select Committee To Investigate Disposition of Surplus Property, pursuant to House Resolution 385. Filed December 31, 1946.
House Report No. 2739, Seventy-ninth Congress: Campaign Expenditures. Submitted by Mr. PRIEST, from the Special Committee on Campaign Expenditures, 1946, pursuant to House Resolution 645; Filed De-cember 31, 1946. ·
House Report No. 2740, Seventy-ninth Congress: Report relative to the study of the progress of the national war effort. Submitted by Mr. May, from the Committee on
1947 CONGRESSIONAL RECORD-HOUSE 237 . Military Affairs, pursuant to House Resolution 20. Filed Dec'ember 31, -19.46.
House Report No. 2741, Seventy-ninth Congress: Investigations of the progress of the war effort. Submitted by Mr. VINSON, from the House Committee on Naval Affairs
_. Investigating the Progress of the War Effort, pursuant to House Resolution 154. Filed January 2, 1947.
House Report No. 2742, Seventy-ninth Congress: Investigation of un-Americ.an . activities and propaganda. Submitted by Mr. woon, .from the Committee on Un-American Activities, pursuant to House Resolution 5, Filed January 2, 1947. ·
Very truly yours, JOHN ANDREWS,
Clerk of the House of Represent atives.
LEGISLATIVE PROGRAM FOR NEXT WEEK
Mr. RAYBURN. Mr. Speaker. I ask unanimous consent to proceed for 1 minute.
The SPEAKER. Is there obJection to the request of the gentleman from Texas?
There was no objection. Mr. RAYBUR-N. Mr. Speaker, in .my
opinion, it would be a very great accommodation to the Members if they knew what might be the program for next week, if any? · Mr. HALLECK. I am in agreement
with the gentleman from Texas as to the desirability of Members knowing something about what the program will be next week because it is to be hoped that committee assignments will shortly be announced.
There will be the matter of the organization of committees; and if other Members are in the same position I am, they would like to have a day or two to try to get caught up with their correspondence. It is hoped that our Committee on Committees can complete its labors and· make its reco!!liilendations Monday morning. We then hope to be in position to have a conference Monday afternoon for approval of our committee assignments and that those committee assignments will be ready for presentation to the House on Tuesday. It is my idea for next week, there being no legislation yet, of course, to come before us, that we might meet Monday, Tuesday, and Thursday, and then go over to the following Monday. I have discussed this with the minority leader and I understand it meets with his approval.
Mr. RAYBURN. I thank the gentleman. BUDGET MESSAGE F'ROM THE PRESIDENT
OF THE UNITED STATES (H. DOC. 19)
The SPEAKER laid before ·the House the following message from the Presi-dent of the United States, which was read and, together with the accompanying papers, referred to the Committee on Appropriations and ordered to be printed:
To the Congress ot the United States: I am transmitting the Budget for the·
fiscal year 1948. It includes recommendations for the -entire Federal program.
Expenditures under existing and proposed legislation are estimated at 3'1.5 billion dollars and revenues under existing tax laws at 37.7 .billion dollars. leaving a very slight margin of surplus.
I strongly recommend that the Congress take early action to continue throughout the fiscal year 1948 the war excise-tax rates, which, under the present law, will expire July 1, 1947. My declaration of the end of hostilities on December 31, 1946, was not issued in or-
'-der to ~chi eve tax reduction. I considered it essential that war excise-tax rates be retained. but I also considered it necessary to terminate the "state of hostili-
. ties" as soon as it became possible to do so.
I also recommend that the Congress increase postal rates sufficiently to wipe out the postal deficit.
These recommendations would reduce -expenditures to 37.1 billion dollars and increase revenues to 38.9 billion dollars. We would then have a budget surplus of 1.8 billion dollars.
As long as business, employment, and national income continue high we should maintain tax revenues at levels that will not only meet current expenditures but also leave a surplus for retirement of the public debt. There is no Justification now for tax reduction. At today's level of economic activity, our present revenue system, will not yield so much in 1948 as in the current year. We shall no longer collect large sums from the excess-proft.ts tax, and sales of surplus property will decline.
Revenue estimates are, of course, to a very large extent determined by the level of business activity. In this Budget, it has been assumed that, with minor fluctuations, business activity will average slightly higher than in the calendar year 1946. A recession in 'business would cause tax yields to drop. In addition, the cost of supporting agricultural prices and payments to unemployed veterans would increase. · Should such a recession occur, it would be a temporary slump growing out of transition period difficulties and would call for no revision in our budget policy.
For the fiscal year 1947 it now appears that receipts will amount to 40.2 billion dollars and expenditures to 42.5 billion dollars. The 1-billion-dollar increase in expenditures . over the August estimate occurred largely in veterans~ programs. For example, many more veterans than had been expected decided to go to college or enroll for job training. We cannot regret this demand for education, but it illustrates the kind of uncertainty that cannot be eliminated in preparing our estimates.
The deficit for the current fiscal year would have been larger if executive action had not been taken to place expenditure ceilings on some activities and to hold them well below the amounts avii.1al;>Je under appropriations already made. The way the various departments and agencies of the Government, particularly the War and Navy Departments, have succeeded in cutting their expenditures is gratifying. Although public works could not be cut so deeply as an·ticipated in August without causing a wasteful stoppage of work already under way, we shall still show a su~tantial saving in this fiscal year for these pr.ograms.
This Budget meets our basic requirements for Federal programs· at home.and 'abroad for the fiscal year 1948. The Federal Government must not only fulfill its contractual obligations; it zpust also provide the services that are necessary for the welfare and the progress of the Nation. We have to carry our proper
, share of the expense of building world organization. We must make effective provision for national defense.
We have many other commitments, both international and domestic, that must be honored. In fact, a very large part of all our expenditures in the fiscal year 1948 will be required to meet commitments already made. The Budget is designed to meet these needs and to execute every program with strict economy.
The reconversion of wartime military and civilian services was far advanced during the calendar year 1946. · Of 26 emergency war agencies in operation shortly before VJ-day, only 5 remain, and 3' of these are winding up their work. Two others-the War Assets Administration and the Office of Temporary Controls-have been added to help close out the war program. The 1948 Budget assumes a reduction of civilian employment in the Government as a whole to less than three-fifths of the wartime peak number-in addition to the heavy shrinkage of the armed forces.
The Government has been exerting every effort in the wake of the war demobilization to strengthen and make more efficient its internal organization and administrative methods. It is essential that citizens receive maximum service for their tax dollars, and the administration plans further intensive measures to improve the administrative practices, organization, and efficiency of the departments and agencies.
But the cost of peacetime services has risen strikingly as compared to these costs before the war. Prewar figures can no longer be used as a yardstick. Although Government wages have not been raised so much as private wages, the cost of supplies has r4sen in line with the cost of goods in. private markets. Further, the population to be §.erved has grown since 1939 by 10 million people, adding proportionately to the demand for many public services. Many normal maintenance items had to be postponed on account of the war, and cannot be further neglected. Normal services which were cut during the war have to be restored.
Let me now review the expenditure side of the Budget, taking first the large items which practically determine the size of the total.
1. Interest on the national debt will be 5 billion dollars. This is an obligation that must be · met.
2. Refunds due under the tax laws are ~stimated at 2.1 billion dollars. These are fixed obligations under present law.
These two items total7.1 billion dollars. 3. National defense is estimated at
more than 11.2 billion dollars, almost all for the operating expenses of the Army and Navy. Though we expect the United Nations to move successfully toward world security, any cut in our present estimate for 1948 would immediately
238 CONGRESSIONAL RECORD__LHOUSE JANUARY 10
weaken our international position. This large. part of the Budget, in my judgment, represents a proper balance between security and economy.
The total so far is 18.3 billion dollars. 4. International affairs and finance
will call for 3.5 billion dollars, a sharp reduction from the 6.4 billion dollars required in the fiscal year 1947. We still have contractual commitments to make good in connection with our loan agreement ~ith the United Kingdom and under the reconstruction lending program of the Export-Import Bank. We must discharge our occupation responsibilities in Europe and the Far East. We must provide for war damage restoration in the Philippines and for the relief and resettlement of displaced people of Europe. We must continue to give relief to some other countries which are most urgently in need. ·
The work of the United Nations and the specialized organizations associated with it is of the highest importance. We must not fail in our support. The Department of State, for which increaseJ appropriations · are requested, must be prepared to carry an increasing load of work in the growing field of American foreign relations.
Our international affairs budget is important for peace, security, and our own prosperity. To reduce it would delay the restoration of a peaceful and prosperous world.
The total of these four items is 21.8 billion dollars.
5. Veterans' services and benefits will cost more than 7.3 billion dollars. This country has provided generously for the successful return of veterans to civilian life and for the care of the disabled. While the cost looms large in the Budget, much of it goes to provide education and rehabilitation which will add to our national strength and prosperity. The cost for veterans' education, pensions, and hospitals will increase in the fiscal year 1948; but if employment remains · high, the unemployment payments should be smaller. Veterans' benefits under present law appear to be adequate.
These five items-interest, refunds, national defense, international affairs, and· veterans-require expenditures of 29.2 billion dollars, or almost four-fifths of the total Budget. _
6. Programs for regulation and improvement of the transportation ana communications systems and ·for development of natural resources will amount to 2.6 billion dollars. - The largest single item is 443 million dollars for the Atomic Energy Commission. Our major effort now must be to · exploit to the full the peacetime uses of this great discovery.
About 1.2 billion dollars of the expenditures on these two programs is for public works construction, and much of the rest is for the promotion of our merchant marine and other aids to transportation.
The expenditure for the Federal-aid program for highways rests on the Federal Government's agreements with the States. Air transport will be seriously retarded unless new air-navigation facilities are promptly supplied. River
, basin development and harbor improvement cannot be neglected without impairing efficiency in private enterp-rise. Most of the public construction projects are already under way. A few additional projects, not yet started, have been provided for in 1947 appropriations.
Public construction in these and other fields contributes to the productive capacity and taxpaying ability .of the country. The postponement of public works in good times and their expansion in hard times will make their contribution even greater. All postponable public works should be deferred at the present time. But the need to protect and improve our natural resources has become acute as a result of the war, and we must carry out the works included in this Budget if we are to a void waste.
7. Our agricultural program will amount to 1.4 billion dollars. This includes the price supports guaranteed by law, the conservation of farm land, and our investments in rural electrification. In addition, the Department of Agriculture will continue its program to promote research in agriculture and better marketing methods.
This' brings the total to 33.2 billion dollars.
8. The Budget programs for social welfare, health, and security, and for education _and general research amo.unt to 1.7 billion dollars. This total excludes unemployment compensation and oldage and survivors insurance, which are financed through trust-account operations that do not appear in Budget expenditures. It does include 481 million dollars in payments to the railroad retirement trust 'fund. More than half of the remaining expenditures is for aid to. the aged and other dependent persons. The rest is largely for protection of public health, for crime control, and for grants to States for vocational education.
9. The Federal housing program is estimated at 539 million dollars. The bulk of the housing expenditures is for purchase by the Reconstruction · Finance Corporation of guaranteed home loans to veterans and for continued operation of revenue-producing war housing in overcrowded communities.
Our social-security program and our education and housing programs can hardly be considered adequate. . Improvements in these fields are seriously needed. Although this Budget does not contemplate major extensions in the next fiscal year, I recommend that the Congress lay the legislative ground work now for the needed improvements, including general health insurance and a long-range housing program.
The costs of social ~elfare, education, and housing bring the cumulative total above 35.4 billion dollars.
The remainder of the Budget totals 2.1 billion dollars. Nearly one-third is for war liquidation, including the overhead cost of disposing of surplus property. The rest is for services to business and labor through the Commerce Department and Labor Department, for general functions of the Treasury~ the General Accounting Office, the legislative branch, the judicial branch, and the Executive
Office of the President, and for many other items. These services, with a total cost of less than 5 percent of the ;Budget, are an indispensable part of the machinery of the Government.
The Budget totaltof expenditures thus comes to 37.5 billion dollars.
It has always been the Government's duty to provide whatever assistance is required to afford private enterprise a chance to prosper. In the nineteenth century a principal economic service of the Federal Government was the opening of the West. The Government acquired the territory, granted lands to settlers, gave military protection, and subsidized railroads and highways-thereby opening opportunities for the private initiative of the American people.
Today, our great new frontiers are in river-valley developments, in air transport, in new scientific discoveries, and in application of the new science and technology to human progress. These new frontiers can be developed only by the cooperation of Government and private enterprise.
Our expenditures on developmental projects are a good investment for the Government. They increase the productive power of the country and make for higher living standards. Directly or indirectly, the Government recovers the cost in the form of either service charges or increased revenue yields to the Treasury.
The Federal Government promotes improvements in agricultural methods. It provides many services to private enterprise that could not be organized except by Government. The Bureau of Standards, for example, furnishes basic scientific data. The Weather Bureau supplies information used by thousands of farmers and business concerns and has a rapidly developing field of work in aviation weather reporting. Maps and charts, as well as lighthouses, beacons, and other physical aids to navigation, are supplied by the Federal Government. Many kinds of statistical reports, required by American business, are also provided. '
Since 1939, our complex system for the production of goods and services has grown so much that more services than ever are required frbm the Government. We cannot risk retarding our growth by lack of roads, electric power, air-navigation facilities, engineering data, maps, education, surveys of resources, weather reports, protection against disease, or any other necessary instrument of progress. There is a multitude of Government activities which the whole Nation takes for granted and on which our prosperity depends.
Let me now review briefly the appropriation side of the Budget.
This Budget recommends appropriations of 31.3 billion dollars for the fiscal year 1948 under existing and proposed legislation. It . recommends that authority of 1.5 billion dollars be granted certain agencies to contract for services and supplies, such as aircraft and construction. Payments under such authority will be financed from appropriations to be made i·n subseauent years.
1947 ·CONGRESSIONAL RECORD-HOUSE 239 The expenditures for 1948 still reflect
a portion of the cost of our tremendous war program for which appropriations were made in previous years. They also reflect certain large international commitments likewise previously authorized. These two factors in large measure explain why estimated expenditures for 1948 are so much more than the appropriations recommended for that year.
Existing appropriations available for obligation in 1948 and subsequent years are again under review. As these appropriations become unnecessary, their withdrawal will be recommended to the Congress.
The Federal Government, as shown by the size of its Budget, has far greater obligations '(,han at any time before the war. Although the Budget reflects the urgent need for rigorous economy in the execution of every program, expenditures are inevitably large. The American people surely ·will not shirk their new responsibilities at home and abroad. They will supply the necessary funds to meet these responsibilities.
RECEIPTS
As previously indicated, I cannot recommend tax reduction. The responsibilities of the Federal Government cannot be fully met in the fis~al year 1948 at a lower cost tl1an here indicated. Even if the cost were less it would be desirable in our present economic situation to maintain revenues in order ·to make a start toward the repayment of the national debt. At the present time, in my judgment, high taxes contribute to the welfare and security of the country.
Under the wartime tax system, millions of taxpayers with small incomes are called upon to pay high taxes. When the tifne comes for taxes to be reduced, these taxpayers will have a high priority among the claimants for tax relief. . I have recommended that the war excise-tax rates due to expire July 1, 1947, be continued. When the time comes for excise-tax revision, the Congress should
· review the entire group of excise taxes rather than concentrate attention on those that were imposed or increased during the war.
Our long-run tax program must be designed to maintain purchasing power and provide incentives for a high level of production.
In the corporation section of this message; legislation is recommended which will require return to the Treasury as miscellaneous receipts of certain capital funds totaling 379 million dollars.
I also recommend that the Congress reconsider . the extent to which fees should be charged for services rendered by the Federal Government. While it is not sound public policy to charge for all services of the Federal Government on a full-cost basis, and many services should be provided free, the Government should rec.eive adequate ·compensation for certain services primarily of direct benefit to limited groups. For example, I · believe that a reasonable share of the cost to the Federal Government for providing specialized transportation facilities, such as airways, should be recovered.
Budget receipts [Fiscal years. In millions]
Source Actual Esti-
1946. ~~:· Estimate, 1948
---------·-1·------Direct taxes on individuals ___ $19,008 Direct taxes on corporations .• 12,906
$18, 637 $19,120
Excise taxes .......... ________ 6, 696 Employment taxes.---------- 1, 714 Customs ... ------------------ 435 Miscellaneous receipts:
9, 227 8, 270 7, 283 6,118 1, 955 2, 694
496 517
Present law .. . _---------- a, 480 a, 987 2,620 379 Proposed legislation ______ -------- ........
Total receipts .......... 44,239 41,585 39,717 Less net appropriation to old
age and survivors insurance trust fund_----------------- 1, 201 1. 355 1, 987
Budget receipts.._______ 43, 038 40, 230 37, 730
Proposed continuation of war excise rates (not induded in
===
Budget receipts) ____________ -------- 37 1,130
Receipts from direct taxes on individuals are estimated to decrease from the fiscal year 1946 to 1947, because of the lower effective individual income-tax rates in the Revenue Act of 1945, and to increase from the fiscal year 1947 to 1948 because of higher incomes. Direct taxes on corporations decline in the ftscal year 1947 and further in 1948 largely because of repeal of the excess-profits tax.
The excise-tax estimates increase in 1947 because of increased consumer demand and increased production, and decline under present law in 1948 because of the expiration of the war-tax rates of the Revenue Act of 1943. The employment-tax estimates show increases in both fiscal years, due in 1947 mostly to larger pay rolls. and in 1948 mostly to increases in rates as provided by law. Miscellaneous receipts increase in 1947 over 1946 largely because of increased receipts from disposition of surplus property and decline in 1948 largely because of a decline in surplus_-property receipts.
BORROWING AND THE PUBLIC DEBT
The public debt reached a peak last February at 279 billion dollars. During the remainder of the calendar year, the debt was reduced by over 20 billion dol-
/ Iars and stood near 259 billion dollars at the end of December. Most of the securities retired were held by banks. This reduction was accomplished by drawing down the Treasury cash balance to a level more in line with peacetime requirements.
We propose to continue the sale of sa-vings bonds. The proceeds will be available to redeem marketable securities-particularly those held by the banking system. It is important that every citizen in a position to do so help to maintain a sound economic situation by purchasing and holding· United States savings bonds.
The annual interest charge of about '5 billion dollars is less than 3 percent of our current national income. It is well within our capacity to pay, particularly if we keep up a high volume of national production. The best method of keeping down the burden of the debt is to maintain prosperity. A single year of de: pression can lay more burdens on the
people than many years of gradual debt reduction can relieve.
Our debt-management policy is designed to hold interest rates at the present low level and to prevent undue fluctuations in the bond market. This policy has eased the financial problems of reconversion for both business and government. The stability of the Government bond market has been a maj.or factor in the business confidence which has been of such value in achieving full production. Low-interest rates have also relieved the burden on the taxpayer. The Treasury and the Federal Reserve System will continue their effective control of interest rates.
EXPENDITURE PROGRAMS
In this year's Budget, expenditures are grouped under a new functional classification in order to present to the Congress and the people a clearer picture of the purposes for which Federal funds are spent. To facilitate comparison, figures for previeus years are also given on the new basis. The new classification is described in detail in part IV of this Budget.
Budget expenditures by major programs
!Fiscal years. I:n millions]
Expenditures Appro·
Program Esti· pria-
Actual, Esti- tions, 194{) mate, mate. 1948
1947 1948
----l'\ational defense ____ $45, 012 International affairs
$14,726 $11,256 $9,493
and finance ..... __ 1,404 Veterans' services
6, 3!l4 3, 510 1,169
and benefits .. _____ (, 414 7, 601 7, 343 . 7, OIMI Social welfare,
bealtb, and scrur-ity ----- ------------ 1, 113 1, 570 1,654 1, 877
Housing and com-munity facilities . • _ -180 544 539 179
Education and gen-era! research .. ___ __ 88 71 88 85
Agricl)lture ana agri- -cultural resources .. 752 1,117 J, 381 824
Natural resources ____ 2Jj7 728 1, 101 779 Transportation and
communication. ___ 824 905 J, 530 1,196 Finance, commerce, ' and industry ______ 30 83 426 116 Labor __ .------------ · 104 124 us 118 General government. 972 l, 545 1. 492 1. 341 fntcrcst on the pub-lie debt ____________ 4, 748 4,950 5, ()()() 5,000 Refunds of receipts_. 3, 119 2,155 2,065 2,065 Reserve for contin·
gencies .... ----- __ .. 10 2Jj ----
2li Adjustment to daily
Treasury state-ment basis _________ 997 --------__ .. _____
-- P---TotaL-------- 63,714 42,523 37,528 lU,276
-----From-
General and· spe-cial accounts . .. $65,019 $42,698 $36, 6~ $31, 27ii
Corporation ac· counts. ______ -1,305 -175 829 ----------------TotaL ___ . ______ 63,714 42,523 37,528 31, 276
The Budget classifications and Budget totals reflect all transactions in the general and special accounts and the excess of expenditures over receipts of wholly owned Government corporations. For the first time, the net expenditures of w~olly owned corporatio~ are classified on a functional basis. The Budget totais do not include the operations of trust accounts. However, such transactions,
.- 240 CONGRESSIONAL RECORD-·HOUSE JANUARY 10
when significant, are discussed in connection with the various Budget. pro
. grams. National ·defense
Expenditures for "National defense'" remain by far the largest category in the Budget. The cost of maintaining the military, air, and naval forces necessary in _the fiscal year 1948 will be high. The present defense establishment requires larger forces, mere complex mechanized equipment, more intensive use of equipment, and more extensive developmental activity than before the war.
However, in the fiscal year 1948 these expenditures will be but one-eighth of the outlays in the peak wartime fiscal year, 1945. This drastic .cut reflects a corresponding reduction in the size of the armed forces. Outlays for munitions have been reduced even more.
Despite these reductions, our defense establishments will not have fallen to its ultimate peacetime level by the end of the fiscal year 1948. We still have large responsibilities arising out of the war.· Military occupation. in Europe and the Far .East must continue. The lines of communication and supporting installations for the occupation forces must be maintained. Recruits must be trained as replacements. · The high cost of our defense establish
ments requires .that the program be qperated with the utmost efficiency. In the estimates for 1948 emphasis has been placed on eliminating as ·much duplication and overlapping in activities as is ·possible under present conditions. In my State of the Union Message I have again urged establishment of a single department of national defense. This is an important step in the search for economy and efficiency in organization and administration of the armed services. ·. · I recently appointed an advisory com
mission to study the need for a universal training program. We still have available from the war much of the equipment and installations, which will pe needed for such a program. The program, after it has been worked out and approved, will still require considerable time to get under way. Estimates for it have, therefore, not been included in this Budget. Since plans are not complete for the training program, a small amount has been included in the Budget to cover the cost of induction machinery whenever provision is made for it~
National defense
[Fiscal years. In miliions]
Expenditures
.
Program or agency concerned
1---.---....--- Appropria· tions, 1948 Actual, !!t~
1946 1947'
Estimate, 1948
-------1---------Military defense:
Military- -----~-- $24,846 $6,741 $6,658 $5,942 , Atomic energy___ · 430 · ·179 ---~---- -----'---
~~r~~a1rey::ve-for- 16,763 5, ~ 4, 423 3, 540
enlisted personneL _ ••••••• 1, 900 250 -------·
National de/ense-Cqntlnued [Fiseal years . . ·In millionsr
Expenditures 1___;~__,...---,---l Appro·
Program or agency pria-concerned Actual, :~~~ . Esii- t~~~~·
1946 1947' ~t4~· ____ ..:,__ __ , ________ _ Activities support·
ing defense: Lend-lease (ex
cluding War and Navy De· partments):
Tr eas ury Depart-ment______ S672
Maritime -commis· sion and War Ship· ping Administra-tion________ 1, 045
Agriculture Depart-ment______ 1, 003
Other.._ _____ 45 Stock-piling of
strategic and critical mate· rials.
Treasury Depart-
• R~~~~ir~c-.- --------tion Fi· nance Corporation. __ --------
Reconstruction Finance Corporation (other) __ _.______ -53
War Shipping Administra-
.' tion (oth~r) ____ 187 Other____________ 74
$333 $34 --------
411 -------- --------
5 -------- --------35 -------- --------
177 • 243 --------
-87 -210 --------
-337 -121 --------
-250 -34 --------30 13 $10
TotaL_________ 45,012 •14, 726 11,256 9, 493
From-General and spe·
cial accounts___ $45,066 <>$15,149 $11,587 $9,493 Corporation ac·
counts_______ -53 -424 -331 - ------·
TotaL........ 45,012 •14, 726 11,256 9, 493 ·
"Excludes disbursements of approximately 1,500 million dollars for the War Department and 250 million dollars for the Navy Department which have appeared as Budget expenditures in previous years.
Expenditures: "Natfonal defense," as used in this Budget, is much less inclusive than the category used last year.
,For example, War Department expenditures of 645 million dollars in 1948 for supplies to and administration of occupied areas <other than Army pa:y, subsistence, and related items) are now in "International affairs and finance." Likewise, expenditures for the atomic energy activities of the Manhattan District project beginning January 1, 1947, when the Atomic Energy Commission t.ook control, are shown in "Natural resources." For the fiscal year 1946 and the first 6 months of the fiscal year 1947 this program remains in · "National defense.''
'The level of expenditures for "National defense" in 1947 would have been 1.7 billion dollars higher, and the reduction from 1947 to 1948 correspondingly greater, except for certain adjustments-1.5 billion dollars in War Department accounts and 250 million dollars in Navy accounts. Some funds withdrawn from · the Treasury in 1946 and earlier years, and reported as expenditures at the time, were not used
until 1947.' Alsb some expenditures by the War Department in 1947 were offset by credits from funds which had accumulated in trust accounts during the war. · The expenditure estimate of 11.1 bil
lion dollars in 1948 for the Army and Navy for military purposes reflects the reductions from the current fiscal year in the number of military personnel and in war-liquidation·outlays-such as mustering-out payments <reduced by 370 million dollars), ·contract termination <700 million dollars), and surplus property handling. On the other side, the estimate reflects greater procurement in the fiscal year 1948, as war inventories cease to be available to supply current needs. ' The estimated expenditures of 6.7 ·billion dollars for the War Department in the fiscal year 1948 include 132 million dollars for public works under supplemental legislation. The Navy expenditures uf 4.4 billion dollars also include 77 million dollars for ship construction and public works under supplemental legislation. In both instances the objective is to return to the peacetime procedure of obtaining specific legislative authority for these programs.
Taken tor.ether, . the War and Navy Department expenditures estimated for the fiscal year 1948 provide for an average military strength of 1,641,000 men and officer~?. ·or this, Army strength is projected at 1,070,000 throughout the year; Navy and Marine strength will begin the year at 598,000 and average 5.71,-000. These figures compare with an average strength in the fiscal year 1947 of 2,108,000. Pay, subsistence, travel, welfare, training, clothing, and medical expenditures for military personnel are estimated at 5.2 billion dollars in the fiscal year 1948, as against 6.7 billion dollars in the current year. Average annual costs per man for these purposesabout 3,100 dollars in 1948-have increased markedly since VJ'-day. Fully 45 percent of Army and Navy expendi-· tures in 1948 are in this category.
Expenditures by the War and Navy Departments for all other military purposes are estimated at 5.9 billion dollars in the fiscal year 1948. This sum covers procurement, research and development, construction, operation and . maintenance, and citizen-reserve activities. The estimates for 1948 contemplate. proceeding with construction projects of highest priority at overseas bases and in the continental United States, and limiting procurement to those items essential for the current operation, mailltenance, and training of the military forces, except for aircraft and limited quantities of newly developed items.
Effective defense under modern conditions requires us to push ahead in scientific and technological fields. Toward this end, expenditures for research and development by the Army and Navy are projected at· 530 million dollars in the fiscal .year 1948-slightly above their 1947 rate. Similarly, we must keep alive the knowledge of military skills .among our citizens. .To provide for an ·orderly
1947 C)ONGRESSIONAL RECORD-HOUSE 241 expansion of citizen-reserve· organizations, expenditures of 308 million dollars are projected in 1948-about two-thirds more than the ·outlays· in the -current fiscal year when these programs are getting under way. The Reserve organizations of the Army will still be below planned strength· at the end of 1948.
The bulk of the terminated Army and Navy contracts has already been settled, with creditable dispatch. For all agencies, total commitments canceled on 318,-000 prime contracts exceed 65 billion dollars. After deducting credits due the Government, total payments to contractors under the entire program are estimated at about 6.5 billion dollars. Of this total, about three-fourths of a billion dollars remained for payment at the beginning of the fiscal year 1947. Most of this has now been paid in final settlements or in ~dvances pending settlement.
Applistions for terminal-leave payments to enlisted military personnel have been smaller than expected. It is now estimated that .1.9 billion dollars will be paid in 1947 and only 250 million dollars in 1948. · Lend-lease expenditures in the fiscal year 1947 from funds appropriated to the President are largely interappropriation adjustments and payments for articles procured and services rendered in previous years. In 1948 there will be very small expenditures-all for closing out the program.
Except for some military aid to China and minor items, lend-lease was terminated after VJ-day. Since then, lendlease goods valued at over 1 billion dollars have been sold to foreign countries on a cash or credit basis. Much progress has been made in effecting settlements with the countries which received about 50 billion dollars of lend-lease aid and extended almost 8 billion dollars of reciprocal aid. Final settlements have now been negotiated with the United Kingdom, ~ustralia, New Zealand, India, France, Belgium, and Turkey, and discussions with the Netherlands, Norway, and the Union of South Africa are nearing completion.
The military program for stock piling of strategic materials has been reviewed carefully to minimize interference with business requirements. New stock piling is estimated at 90 million dollars in the fiscal year 1947 and 33 million dollars in 1948. In addition, excess metals and materials, amounting to 87 million dollars this year and 210 million dollars in the fiscal year 1948, will be transferred from Reconstruction Finance Corporation stocks to the Treasury military stock pile. Apart from stock piles transferred to the Treasury, the receipts of the Reconstruction Finance Corporation in its war activities reflect largely the rental and disposal of excess war plants, together with the sale of metals, minerals, and other commodities to the public.
Appropriations: To finance the expenditure program outlined above, appropriations of 9.5 billion dollars and new contract authorizations of 541 million dollars will be necessary in the fiscal year 1£48. These totals include 262 million dollars of supplemental appropria-
XCIII--16
tions and 91 million dollars of co'ntract authorizations under legislation shortly . to be submitted. The new appropriations needed in 1948 are about 2 billion dollars lower than the estimated expenditures, which include provision for payment of substantial amounts of unliquidated obligations of prior years.
International affairs and finance
The budget for our international program is designed to contribute to a peaceful world and a stable world economy. We ha~e definite responsibilities to our wartime allies . and in occupied countries. Our international lending program is an essential part of our efforts to achieve a world economy in whioh private trade will flourish.
The period when large-scale general relief is required for our allies is _ almost over. With the termination of the United Nations Relief and Rehabilitation Administration, there will remain, however, the urgent question of refugees and displaced persons. I urge the Congress to provide adequate support for the Intsrnational Refugee Organization, now in process of being formed under the United Nations. It is also necessary that we provide a modest relief program for a few countries which are still in desperate straits. I recommend that the Congress speedily enact· legislation to authorize these expenditures for which I am · making provision in this Budget. In addition, I recommend that the Congress authorize participation in the World Health Organization and the proposed International Trade Organization and have included the small amounts needed for their support.
International affairs and finance [Fiscal years. In millions]
Expenditures
Program or agency concerned
1-----,----,---l Appro· priations, 1948
Reconstruction and stabilization:
Subscriptions to International Fund and Bank ________ __
Treasury loan to United King-
Actual Esti-11?46, ~~!~·
$159 $1,426
Estimate, 1948
dom ___________ -- ----- - l, coo $1, 200 --------Reionstruction
Finance Corporation loans to United Kingdom._____ -39
Export-Import Bank loans ___ _ 464
-39 -40 --------
l, 025 730 --------Aid to China .... U. S. Commer
120 -------- -------- --------
cial Company_ -118 Foreign relief:
United Nations Relief and Rehabilitation Administration. 743
, War De part-m en t (occu-pied countries) --------
Other........... . 4 Philippine-aid pro-
gram ............. .. Membership in inter
national organizations .... ----------
Foreign relations:
28
2
State D epart-ment._________ 81
Other............ 20 Proposed legislation ........ .
20 -- ------ --------
1, 515 305
1:56 645 $725 3 ______ .,._ ------·-
105 137 144
15 18 18
140 173 197 12 15 g
116 326 76
TotaL--------- 1, 464 6, 394 3, 510 1, 169
International affairs and finance-Continued [Fiscal years. In_ millions]
Expenditures
Program or agency concerned
-----;----.-:---- Appropriations, 1948 Actual, !~~~-
1946 1947'
Estimate, 1948
-------1---------From- ,
General and special accounts:
Purchase of capital stock in ExportImport Bank .. ____ $674
Phi_lippine-ald pro-gram______ 28
Other....... . 1,129 Corporation ac-
counts: Issuance of
ExportImport Bank capi-tal stock... -674
Export-Im-port bank loans. __ ... 464
Reconstruction Finance Corporation loan to philip-pines ______ ---- ----
Other________ -157
$325
30 $137 $144 5, 283 2, 683 1, 025
-325
1, 025 730 --------
75 -------- ---------19 -40 --------
TotaL_____ 1, 464 G, 394 3, 510 1,169
Expenditures: The sharp decline in total expenditures in the fiscal year 1948 is due chiefly to the fact that in 1947 we shall compiete our payment to the International Monetar:V Fund and our basic cash subscription to the International Bank for Reconstruction and Development. Further liabilities-to the International Bank will arise only if we are called upon, within the limits of our total subscription, to join with other countries in making good any defaults by borrowers from the Bank.
More than half of our expenditures in the international field in the fiscal year 1948 will be loans for reconstruction or trade expansion. Disbursements will be predominantly under existing commitments. By the end of the fiscal year 1948 we shall have discharged about threefourths of our commitments under our loan agreement with Britain. Since the International Bank is now ready for business, new authorizations for reconstruction loans by the Export-Import Bank are being sharply curtailed. . In the future, the Export-Import Bank will be primarily concerned with loans to finance United States trade and small developmental loans in which we have a special interest. Outlays by the ExportImport Bank in the fiscal years 1946 and 1947 have been financed to a considerable extent by the sale of capital stock to the Treasury~ Since the Treasury subscription is now complete, future net outlays will be financed entirely by sale of notes
· to the Treasury. The existing appropriation for United
Nations Relief and Rehabilitation Administration expires at the_ end of the current fiscal year. · Estimated expenditures in 1948 are entirely to wind up the program.
242 CONGRESSIONAL RECORD-HOUSE JANUARY 10 During the fis.cal year 1948, the War
Department will incur expenditures for administration and relief in Germany, Japan, Korea, and the Ryukyus and for administration in Austria. We must continue to provide subsistence to prevent disease, hunger, and unrest, and to pro-vide proper administration, if these lands are eventually to become democratic and self-supporting. Moreover, shipments of food and other supplies are required to maintain the working efficiency of the populations and to stimulate production. Resulting increases in exports from these areas will furnish a growing ·source of funds to pay for necessary imports and thus help eliminate the need for financial assistance.
The recent agreement for economic unification of the British and United States zones in Germany will increase exports from those zones and . help to make them self -sufficient by the end of the calendar year 1949. All costs incurred for the support of the German economy are to be repaid out of future German exports as quickly as recovery permits.
An important contribution to the economic revival of the occupied areas is being made by Federal agencies, such as the U. S. Commercial Company, in temporarily financing exports from these areas. Net dollar proceeds are currently being used primarily to purchase raw materials and equipment needed for a further expansion of exports in order to hasten the time when the occupied areas will become fully selfsupporting. To aid in this program, I urge that the Congress authorize the U. S. Commercial Company to continue operations beyond June 30, 1947, the present expiration date. -
Aid for the Philippine . Republic includes assistance in rebuilding its economy, payments to fulfill our pledge to compensate partially for war damage, and maintenance of training programs for Philippine citizens. The 1947 total includes a Reconstruction Finance Corporation loan of 75 million dollars for aid in financing the current budget of the Republic.
Estimated expenditures of 18 million dollars for our membership in international organizations consist primarily of our share of the administrative budgets of the United Nations and its affiliated specialized organizations. In view of the immense tasks we have entrusted to the international organizations, this is a modest sum. Our contribution to the International Refugee Organization and funds for additional relief are included under proposed legislation.
Expenditures by the State Department are expected to increase in the fiscal year 1948. It is of utmost importance that the Department be equipped with sufiicient funds and an adequate staff to make its maximum contribution to international peace. In 1948 there will be an increase of expenditures to carry on the improved Foreign Service -program au-
thorized under the Foreign Service Act of 1946. The Budget estimate for the Foreign Service buildings fund provides for the purchase of real property obtained by the Office of the Foreign Liquidation Commissioner in lend-lease and surplusproperty settlement agreements with other nations. Payment for these properties by the State Department increases miscellaneous receipts of the Treasury by a corresponding amount.
Appropriations: Appropriations for the fiscal year 1948 total1,169 million dollars, mainly for the administration and relief of occupied countries and for various State Department · programs. Funds for loans by the Export-Import Bank in the fiscal year 1948 will be obtained under its current borrowing authority. Advances to the United Kingdom will be made under the existing authorization. The appropriations total includes 11 million dollars of anticipated supplementals for the State Department and 76 million dollars for proposed legislation.
Veterans' services and benefits The Servicemen's Readjustment Act
provides education and training benefits, unemployment and self-employment allowances, and loan guarantees. National service life insurance is an additional tangible benefit. For those who suffered disabilities, the best of medical care_ is provided. Pension rates for disabled veterans and for dependents of veterans were increased by the last Congress. In addition to the veterans' program, our
'servicemen have been assisted in resuming civilian life by mustering-out payments and terminal-leave payments.
Since the main purpose of our veterans' program is to reestablish former servicemen in civilian life, we must care .. fully avoid types of assistance which would encourage, or unnecessarily prolong, dependence upon Government subsidy. Any other policy would not only put an intolerable burden upon the tax .. payer, but would be a great disservice to veterans themselves.
Although some amendments to veterans' ~egislation may still be required, no major new programs of assistance appear necessary. The job is' now primarily one of effective administration. The Veterans' Administration has made great progress in establishing machinery that will administer this comprehensive program with speed and equity.
Veterans-' services and benefits
GENERAL AND SPECIAL ACCOUNTS
[Fiscal years. In millions]
Expenditures Appro
Program or agency l----.--.---l pria-concerned Actual, Est i- Esti- tions,
1946 n:~~· U::J~· 1948
-------1·--------Readjustment bene·
ti ts, Veterans' Ad-$3,484 ministration.--- - -- $1,_350 $3,467 $3, 462
Pensions, Veterans' Administ ration .. •. 1, 261 2,165 2,492 ;492
Insurance, VetC'rans'_ Administration .••• 1, 395 979 73 73
Veterans' services and benefits-Continued 1
GENERAL AND SPECIAL ACCOUNTs-continued
[Fiscal years. In millions]
'Expenditures
Program or agency I-----.--·-;--- AJJ!<:" concern~d Actual, Esti- Est~- t~~~·
1946 ~~!i· u:~~· -------1----~--- - -----HospitaJs, other serv
ices, and administrative costs:
Construction: Vete r ans'
Adm inis-tration.. .. . $27 $37 ~84 t 43
Federa l Works Agency. ___ -------- 40 50 25
War Depart-ment_ .. ___ -------- 37 290
Curr en t e x -penses:
Vetera n s ' Adminis-tration ... _. 377 870 890 892
F edera l · Wo r ks
Agency .. : . 6 War Depart-
ment . . . ___ -- ---- -- ---·· · · · --·- - - -------
TotaL.. 4, 414 7, 601 7, 343 7, 009
Expenditures: The readjustment benefits program as a whole wi-ll continue in· 1948 at its present level, as reductions· in unemployment allowances will be offset by increases in education and loanguarantee expenditures. These estimates assume continuing prosperity and present legislation.
In the fiscal year 1947, almost 1,100,000 veterans, on the average, are drawing unemployment allowances and more than 200,000 are receiving self-employment allowances, at a time when total unemployment in the United States is less than 2,500,000. The turn-over on the allowance rolls has been rapid. Almost one-half of the 14,000,000 discharged from the services have already drawn unemployment or self-employment allowances. In recent months tightened administration and a more positive jobplacement program by the employment service have contributed to a reduction in the numbers . on the allowance rolls. In the fiscal year 1948 it is expected that about 900,000 veterans on the average will receive nearly one billion dollars in these allowances.
On the average 2,000,000 veterans are receiving education and training benefits in the fiscal year 1947._ In 1948 possibly 2,100,000 will participate at a cost of over 2.3 billion dollars. We have had to meet an acute situation with respect to educational and housing facilities in universities, colleges, and schools throughout the country. In the fiscal year 1948 the Federal Works Agency will largely complete the conversion of war surplus facilities for educational purposes.
The number of trainees receiving onthe-job training has increased sharply to over 600,000. To guard against misuse of public -funds, the Congress, in its last session, wisely provided limitations on subsistence allowances to veterans whose earnings exceed fixed monthly amounts and also clarified the standards to be used by, the- States in approving
1947 CONGRESSIONAL RECORD-HOUSE 243 training-establishments. Such limitations on subsistence allowances are essential to assure equity for veterans and taxpayers alike.
Amendments liberalizing the loanguarantee program have brought a sharp increase in the number of loans guaranteed and in the average size of the guarantee. During the fiscal year 1947 new loans will be guaranteed for 750,000 veterans; in 1948 for possibly 1,000,000. Roughly, 90 percent of these loans are made to finance home purchases by veterans. Expenditures in 1948 will be somewhat higher than in 1947-just over 100 million dollars for payment of the first year's interest on the guaranteed portion of the loan and for losses which are still relatively small.
Pension payments to disabled veterans and to dependents of veterans rose sharply from 1946 to 1947; as claims arising in World War II were granted. The increase in 1947 expenditures also reflects the 20-percent rise in pension rates approved by the last session of the Congress. Estimated expenditures o[ 2.5 billion dollars for pensions in 1948 include about 150 million dollars for subsistence allowances to disabled trainees and students. An average of 3,150,000 individuals will receive pensions and compensation in 1948-50 percent more than in · 1946. This program will continue to increase for years to come.
Expenditures for insurance, which are mostly transfers to the national service life insurance trust fund, will decline sharply in 1948 with a corresponding decline in the trust-fund accumulations. The total cost to the Government for servicemen's insurance in World War II will approach 3.7 billion dollars by the end of 1948 with small additional costs to come later. ·
Veterans' services and benefits TRUST ACCOUNTS
IFi~cal years. In millions]
Item Actual, !~~~ 1946 1947'
Estimate, 1948
--·-------·--------Receipts:
Transfers from general and special accounts ....
Premiums, interest, and $1,382 $974 ~53
other ___________________ 1,085 641 653 Expenditures for benefits, re-
funds, and other (deduct) .• 340 . :298 371
Netaccumulation ....•. 2,127 1,317 335
The most extensive hospital ~nd domiciliary construction program iri the history of this Nation is now under way. The construction of veterans' hospitals and domiciliary facilities riow authorized and recommended for authorization aggregates 1 billion dollars. Suqh construction, chiefly under the direction of the Corps of Engineers, will continue to increase in the fiscal year 1948. Less than half of the total program, however, will be completed by the end of tnat year.
In the fiscal year 1948 the operating and general administration expenses for veterans' programs as a whole will be somewhat higher than in the present year, chiefly because of the expansion of hospital facilities and improvement of medical care.
General administrative expenses for programs other than hospital and medical care are estimated in 1948 at about the 1947 level. The number of veterans participating in tbe readjustment, pension, arid insurance programs will be higher, but· the work load will fall as the number of entrants drops off.
·The Administrator of Veterans' Affairs is carrying out a decentralization program aimed at attaining more effective administration through more direct con-· tact with veterans in their communities.
Appropriations: For these veterans' programs, this Budget recommends appropriations of 7,009 million dollars and contract authorizations of 220 million dollars to cover obligations to be incurred in the fiscal year 1948.
Social welfare, health, and security
In spite of the achievements of the past 11 years in promoting the health, welfare, and social security of the American people, much remains to be done. Our present program affords but partial protection against the major causes of insecurity; large segments of the population are excluded from its benefits. we· have not yet done enough to secure good health for the Nation,
The Federal Security Agency has recently been given broader jurisdiction. over the social-welfare activities of the Government. As previously recommended, I favor creating a well integrated, yet flexible, Cabinet department of health, education, and social security
' to supersede this agency. I hope that the studies already under
taken by congressional committees will result in the prompt expansion and integration of the present social-security system. Th~re is, for example, serious need to correct inequalities between States in public assistance payments and to extend the scope of Federal aid · to include general assistance programs. The temporary increase in Federal grants for public assistance enacted in the last session .of Congress will expire December 31, 1947; the Congress should now consider permanent legislation in this field. The estimated expendi.tures for the fiscal year 1948 include provision for such legislation.
The old-age and survivors insurance system at present leaves out 40 percent of those who earn their living. Even greater numbers are outside the unemployment compensation program. · It is unjust to deny these agricultural workers, public employees, and other excluded groups the protection of social insurance. The system should be extended to cover them. At the same time, retirement benefits for the aged should be liberalized to reduce the necessity for piecing out insurance benefits with publicassistance payments. ·
Recent legislation for hospital construGtion, for increased activities in mental health, and for expanded maternal and child-health services are substantial achievements toward improving the substandard health level of a large part of the population. But the major problem of financing health care . still persists. Therefore, I again urge the Congress to enact a health-insurance program which will make adequate med~
ical care available to everyone and provide protection against the economic hardships of sickness. Such a program should be almost entirely self:..financing through pay-roll contributions.
Social welfare, health, and security GENERAL AND SPECIAL ACCOUNTS
[Fiscal years. In millionsj
Expenditures
Program or Appro· pria·
ageacy concerned Actual, Esti· Esti· tions, 1!146 mate, mate, 1948
1947 1948
----Unemtoyment and
acci ent compcn-sation:
Federal Security Agency ________
Railroad Retire-$75 $74 $72 $72
mcnt Board ..• 13 14 15 13 Retirement and de-
pendency insur· anee:
Railroad Retire-ment Board ... ~94 507 487 691
Federal Security Agency and other ........ __ 24 -4 4 4
Assistance to aged and other sp'eeial groups ............. ~36 702 720 727
Promotion of public health:
Federal Security Agency ________
Federal Works 169 158 164 198
Agency, Inte-rior and War Departments .. 10 12 17 15
Crime control and correction .......... 78 81 85 75
Other ... ... c ••• ------ 13 18 16 8 Proposed legislation .. -------- -------- 74 74 ----------
TotaL ......•. I, 113 1, 570 1, 654 1,87.7
Expenditures: A large part of the so'cial-insurance program is financed through trust-account operations which are not included in Budget expenditures .. Pay-roll taxes collected by the States to finance unemployment compensation are deposited directly in a Federal trust account. The proceeds of Federal pay-roll taxes. to cover old-age and survivors insurance are deducted from the receipts side of the· Budget and do not appear as Budget expenditures. For the railroad retirement system, however, the pay-roll tax receipts are included in net Budget receipts and the amounts transferred to the trust account appear in Budget expenditures. Similarly, the Government contribution to the Federal employees' retirement funds is a transfer included
·in Budget expenditures.
Social welfare, health, and security TRUST ACCOUNTS
[Fiscal years. In millions] -
Fund and item
Unemployment trust fund: Receipts:
Deposits by Stat!'s ... Railroad unemploy·
ment taxes ........ . 'Transfers from gen·
eral and special ac· counts ............ ..
Withdrawals (deduct): State benefit pay
ments.------------R ailroad unemploy·
mcnt benefit pay· ments .. ------ -- ----
Net accumulation.
Actual, 1!l46
--
$1,010
116
10
1, 128
17 --
-9 --
Esti-mate, 1947
--
~977
129
800
36 --
279 --
E-tti7 mate, 1948
--
$1 , 124
114
700
49 --
498 --
244 CONGRESSIONAL RECORD-HOUSE JANUARY 10 Social welfare, health, and security-Con. ·
TRUST ACCO~s--contll1ued [Fiscal years. In millions]
Fund and ;tern Actual Esti-1946 ' ~8-ir
Estimate, 1948
-----------1·--------Federal old -age and survivors
insurance trust fund: Net appropriation from
g'eneral fund receipts .... Benefit payments and ad
ministrative expenses (deduct)----------~-----
Net accumulation_. __
Railroad retirement account: Transfers from general
and special accounts .. __ Benefit pa>'ments (deduct)---- ------ --- ~ -.---
Net accumulation ....
Federal ·employees' retire· mentfunds:
Receipts: Transfers from gen
eral and special accounts (from gen-eral government) __ _
Deductions from sa.l~aries- and other in-
come ______________ _ Annuities and refunds
paid (deduct)---------- -
$1, 201
321 ---
880 ---
292
152 ---
140 ---
247
280
266
Net accumulation.... ' 261
$1, 355
436 ---
919 ---
502
198 ---
304 ---
223
228
244
2A)7
$1, 987
543 ---
1,444 ---
481
270 ---
211 --
246
IS2
168
260
Trust fund withdrawals by the States to pay unemployment benefits depend-not only on the number of unemployed in covered employment, but also on the rate of turn-over. Budget expenditures for unemployment and accident compensation are mainly Federal grants to the . States for administrative expenses of unemployment compensation. With high employment, accumulations in the trust fund will continue and administrative expenses will remain low.
Withdrawals from the trust fund for old-age and survivors insurance will con-
. tinue to increase ·over a long period. As the program matures, the number of beneficiaries and the average benefit will gradually rise. A large estimated increase in receipts of this fund in the fiscal year 1948 is based on the assumption that the employment tax will rise from the present 2-percent rate on employers and employees to 5 percent on January 1, 1948, in accordance with present law.
Estimates for Budget expenditures for retirement and dependency insurance reflect the action of the last Congress in broadening the Railroad Retirement Act by addirtg survivors insurance and liberalizing benefits. Employer and employee tax rates were increased, resulting in larger payments to the trust account. These payments, which vary according to the railroad-pay-roll level, are
' expected to continue high. The major part of administrative ex)Jenses for old- . age and survivors insurance is now paid directly from the old-age and survivors insurance trust fund and is therefore not included in Budget expenditures after the fiscal year 1946; this change is responsible for a sharp drop in the Budget item for the Federal Security Agency for retirement and dependency insurance.
Federal payments for assistance to the aged and other special groups are expected to increase in. the fiscal year 1948 because of a continuing long-term rise
in benefit levels and case loads. A sharp rise in the expenditures in the fiscal year 1947 results from the higher public assistance benefits under temporary legislation and the inclusion of the schoollunch program in this category beginning this year.
Expenditures for promotion of public health are estimated slightly higher than in the current year. Although the total for the fiscal year 1948 includes expanded
· research and State-aid programs, including the Federal-State hospital program, these additions are largely offset by reductions of 24 million dollars owing to termination of the nurses' training program and of the maternity and infantcare program for families of servicemen.
Appropriations: For the fiscal year 1948 the Budget includes appropriations of 1,877 million dollars~ of which 74 million dollars are for proposed legislation. The recommended appropriation for the Railroad Retirement Board for the fiscal year 1948 exceeds the estimated expenditures to permit transfer J;o the trust account of taxes and income from 1947 and previous years; this t r ansfer will take etrect in the current fiscal year. The recommended appropriation for the hospital construction program is greater than the estimated expenditures because
· the program is just getting under way. Housing · and community facilities
I have urged the Congress to enact the essential features of the general housing bill which was passed by the Senate last year. The most urgent immediate requirements are for incentives and aids to private lenders and builders to previde lower cost housing, especially rental housing, for assistance to local communities in their programs for urban redevelopment and low-rent housing, and for a permanent agency to supervise the major housing activities- of the Federal Government.
•Housing and community facilit ies [Fiscal years. In miJlions]
ExpenditureS
Program or a{!ency 1----.----:----l Appro·
pria-concerned Actual, ::~~ .
1946 1947'
Estimate, 1948
tions, 1948
-------1------------Aids to private hous-
ing: Home Owners'
Loan Corpora-tion ... .. ....... - $275 - $245 - $210
__ ,.. _____ Mortgage pur-
chases (Recon-struction Fi· nance Corpo· ration) . ___ _____ -45 '233 443 -·------Premium pay-ments (Recon-struction Fi· nance Corpo· ration) .... ..... 60 -------- --------Federal Hou~ing Administ'ra-tion and other_ -13 19 17 --------Public housing pro-
grams: Veterans' reuse
(Federal Pub-lie Housing Authority) ..... 29 369 30 $8
W ar housing (Federal Pub-lie Housing Authority and other) ..... . .... 34 29 135 142
Low-rent and other (Federal Public · Hous-ing Authority). 14 -10 18 8
Housing and community facilit i es-Con. [Fiscal years. In millions]
Expenditures 1----,---~--- Appro-
Program or _agency · pria· conrern:>d A t 1 EsLi· Esti- tions,
.c ua' m?.te, mate, 1~48 1946 1947 1948 ---------· ----------Other housing serv-.
- ices: Housing Expediter, and Ad· ministrator, Nati ona l Housing Agency__ __________ ~3 ~11
Provision of com-munity facilities:
Federal Works Agency________ €8 t3
Reconstruction Finance Cor .. poration and other. ... .... ~. 3 25
Proposed legislation .. -------- _______ _ -----
TotaL .....••. -180 544
From- -General and spe-
cial accounts . .• $158 ~526 Corporation ac-
counts . ••••.... -337 18 -----
TotaL ••••••. -180 544
' 13 $l2
35
i! -------5 ------
539 179
$225 $179
314 --- ---
539 179
Expenditures: In our housing program we shall continue to rely primarily upon private housing coastruction. During the past year, with the assistance of many public and private agencies, we have succeeded in securing a rapid expansion in the supply of building materials available for construction of vetterans' housing. With the increased materials flow now ·evident, emphasis in the coming year will be focused on a few key mat.Jrials, on acceleration · of programs for recn:..itment and training of labor, and on provision of ample financing facilities for builders and prefabricators, as well as veterans and other purchasers. Particular attention will be given to measures to expand construction of rental housing. Many of these operations to aid private housing construction are reflecteq in expenditures of the Office of Temporary Controls, the Depart::.::.ent of Labor, the Veterans' Administration, and the Reconstruction Finance Corporation, as part of programs class~ fi=·d elsevit;_J.ere.
The programs of the Federal Housing Administration and the Federal Home Loan Bank Administration involve rela-
. tively small net expenditures, but are of major imps.rtance in stirimlating private construction. In the fiscal year 1S48 the Federal Housing Administration expects to guarantee loans on 325,000 homes and apartments, most of them for new construction. During the same period savings and loan assoeiations which are members of the Federal Home !:Joan Bank System will make an estimated 300,000 loans for financing new homes.
From an expenditure standpoint, the chief aids· to private housing in the fiscal year 1948 will be provided by Reconstruction Finance Corporation purchases of mortgages guaranteed by the Veterans' Administration and the Federal Housing Administration. In the fiscal year 1£48, purchases of veterans' home loans are expected to account for the great bulk of all mortgages purchased by the Re-
1947 CONGRESSIONAL RECORD-HOUSE 245
construction Finance Corporation . .. With the r.apid rise in guaranteed loans to veterans (see "Veterans' services and bene• fits") , the Federal Government .has recognized that its responsibility to the veterans can be realized only by assuring privat~ financial institutions the same ·ready market for these obligations that they already possess for mortgages insured by the Federal Housing Administration. The lending institutions in turn have a responsibility to make sure that their loans will benefit the veterans and will not burden them with impossible future obligations.
Reconstruction Finance · Corporation funds have also been employed to make premium payments to increase the supply of critically scarce building materials. In view of the rapid expansion in output and the decontrol of prices, it appears that these programs can be terminated before the close of the current fiscal year.
The repayment of Home Owners' Loan Corporation loans will taper off in 1948 as its outstanding loans shrink. With its profits in recent years, we · can now safely predict ·that t~is Corporationwhich refinanced the loans of -more than a million distressed borrowers ·during the depression-will liquidate without any loss to the Federal Government.
Expenditures on public housing programs are now concentrated almost entirely on liquidation of war-housing activities and provision of emergency housing units for war veterans. Conversion of barracks and other types of temporary war structures-the largest expenditure item in 1947-will be substantially completed in the current year. Under this program an estimated 255,000 units are being provided for veterans and their families-more than half for veterans in educational institutions.
The continued housing shortage in many industrial areas has made it necessary for the Government to continue operating many temporary war-housing .units longer than previously expected. More than half of these units are occupied by veterans and servicemen. Expenditures in the fiscal year 1948 for management and disposition of war housing show an apparent increase primarily because receipts from the program are now deposited in misaellaneous receipts, rather than credited against expenditures. Payments of 85 million dollars also are forecast to transfer previous net receipts from rentals and sales into the general receipts of the Treasury. If allowance is made for these transfers and nonrecurring net receipts of 64 million dollars in 1947 from liquidation of the Defense Homes Corporation, program expenditures for war housing will decline substantially in 1948 from 1947 levels.
Receipts from the low-rent housing program will temporarily exceed expenditures in the current fiscal year because of anticipated repayments of loans by local housing authorities. Annual contributions to local housing authorities
required by previous . contracts will dse. .gradually as wartime tenants are replaced·bY low-income.occupants.
Expenditures of the Federal Works Agency for defense public works will be virtually completed in the fiscal year 1948. I)isbursements to localities for detailed planning of local public works will be limited to previous commitments under existing legislation.
On the other hand, disbursements on Reconstruction Finance Corporation loans to local agencies for construction of self-liquidating projects will be increased as materials become available to resume urgently needed work. To make sure that funds are adequate for these disbursements, I request that the present 100-million-dollar limitation on Reconstruction Finance Corporation loans for these purposes be increased to 125 mil-lion .dollars. .
Appropriations: Of the total of 179 million dollars in appropriations estimated for the fiscal year 1948, an estimated 150 million dollars will be from current rental and disposition receipts of the veterans' reuse and war housing programs. Most of the 1948 expenditures will be made from Corporation funds or from unexpended balances of previous appropriations.
Education and general research
Our generous provision for education under the veterans' progra:rn should not obscure the fact that the Federal Government has large respopsibilities for the general improvement of educational opportunities throughout the country. Although the expenditure estimates for the coming fiscal year are limited to present programs, I have long been on record for basic legislation under which the Federal Government will supplement the resources of the States to MSist them to equalize educational .opportunities and achieve satisfactory educational standards.
The relationship of the Federal Government to higher education also demands serious consideration. The veterans' readjustment program, which compelled a rapid emergency expansion of facilities to meet immediate needs, has f'ocused attention on this fundamental problem. A Presidential commission on higher education is studying the matter because of its great importance to the future of the Nation.
Many agencies of the Federal Government carry on research as a part of their regular programs. But we need a central agency to correlate and encourage the research activities of the country. While freedom of inquiry must be preserved, the Federal Government should accept responsibility for fostering the :How of scientific knowledge and developing scientific talent in our youth. To accomplish this, I recommend again that a National Science Foundation, or its equivalent, be established. The Scientific Research Board appointed in October 1946 is now making a study of the research program of the entire Federal Government in its relation to all other
research activities planned or in progress. · Its report . .will undoubtedly be of service in establishing a proper program ' .for the new agency. It is assumed that no additional expenqitures will be required during the fiscal year 1948.
Education and general research
[Fiscal years. In millions]
Expenditures
Program or agency l----,---.....,---1 AtJ~_o· concerned Actual, Esti· Esti· tions,
1946 ~~l~· ~~~· 1948
--------1----1-:---------
Promotion of educa·
tio3ffice of Edu· ' cation, Fed· eral Security Agency........ $27 $2S ~35 $35
Federal Works
Educa1fo~a'l·ai(i'to. ·-------4
special groups (ex·
~~;!~~fr~~lian Affairs (Inte· rior). .......... 11 12 12 12
Other agencies... 2 3 6 6 Library and museum
services............ 6 8 17 18 General-purpose re·
search: Office or Scien
tific Research and Develop· ment. ....... ·.. 34 4 -----·-- ------·-
Commerce De· partment...... 8 11 , 14 14
Other agencies ........... ---- ---· 1 1
TotaL----·-·- 88 71 88 85
Expenditures: Federal expenditures for promotion of education, apart from the veterans' education program, now consist almost entirely · of vocational grants to States, support of land-grant colleges, and general administration of the Office of Education. The Federal Works Agency will complete during the fiscal year 1948 its expenditures for the maintenance and operation of schools in war-.affected communities. Corresponding expenditures prior to the current fiscal year are classified in ''Housing and comm1:1nity facilities."
In August 1946, the Congress increased the authorization for vocational education by 15 million dollars. It is not possible at this .time, however, for the State and local governments to make firm commitments on the availability of
. matching funds for the development of new programs of vocational education or the expansion of existing programs. Therefore, although the estimates of appropriations and expenditures for the fiscal year 1948 include an anticipated supplemental appropriation under this authorization, it may be necessary to increase the amount on the basis of later information from State and local governmEmts. Mone¥ for this purpose has been included in the reserve for contingencies.
Expenditures for educational aid to special groups include funds for educa~ tion of Indians through the Department of the Interior and smaller amounts for assistance to the blind and the deaf and to Howard University through the Federal Security Agency. The major part
CONGRESSIONA-L RECORD~HOUSE JANUARY 10 of the estimated increase in expenditures is for construction of four buildings at Howard University, for which Congress has already appropriated money for drawing .plans. Their construction is made urgent by the pressure of enrollment upon all existing facilities.
The increase in expenditures for library and museum services is due chiefly to the general expansion of activities of the Library of Congress.
Research is inherent in many Federal programs and consequently the bulk of such expenditures is included in the specific programs to which the _ research relates. The principal items of continuing expenditure for those research programs which serve several purposes or are general in character are in the Bureau of the Census, the Bureau of Standards., and the Coast and Geodetic Survey-all within the Department of Commerce. Some expansion of these activities is contemplated in the estimates for the fiscal year ·1948. The Office of Scientific Research and Development, which was devoted to research in support of the war effort, will be almost completely liquidated in the fiscal year 1947.
Appropriations: The total of appropriations for education and general research is 85 million dollars for the fiscal year 1948-3 million dollars less than the estimated expenditures. This total includes a tentative estimate of the amount which will be required under the new authorization for vocational education.
Agriculture and agricultural resources
Because of high consumer incomes in the United States and the continuing world shortage of many foods, the demand for farm products will doubtless remain strong throughout the fiscal year 1948. Agricultural production goals for the 1947 crop year, with a few exceptions, will call for another year of maximum output.
The demand for American farm products, however, cannot be cou,nted upon to continue indefinitely at the present high level. Under present legislation the Department of Agriculture is required to support prices of most agricultural commodities until December 31, 1948.
We must design our agricultural policies to work toward a better balance of. supply with demand and so avoid excessive expenditures for price support. We should facilitate the transfer of unnecessary farm labor and resources from agriculture to industrial and other pursuits. We shall need also to devise ways of supporting farm income which will retain export markets for wheat, cotton, and tobacco, and at the same time give the American consumer the benefit of increasing efficiency in farm production.
The authority of the Commodity Credit Corporation expires on June 30, 1947. Since the Corporation now has a State charter, I am recommending that it be rechartered by act of Congress and that its present borrowing authority of 4,750 million dollars be renewed.
Agriculture and agricultural resources (Fiscal years. In millions]
Program or agency concerned
Loan and invest· ment programs:
Department of Agriculture:
Price SUP· port, sup-
- ply, and purchase programs (Commod-ity Credit Corpora· tion) ... ....
Other corpo-rate trans-actions _____
Farmers' Home Ad-ministra· tion ________
Rural Elec-trification Adminis-tration ____ _
Reconstruction Finance Cor· poration:
L oans to R u r a I Elect r ifi-cation Ad· ministra· tion __ ______
Other loans .. Other financial aids:
Department of Agriculture:
Conserva-tion and use ________
Exportation and do-mestic consump-tion ........
Sugar Act.. •. Other ........
Food subsidies (Commodity Credit Corpo-ration and Re-construction Finance Cor-poration) •.....
Agricultural land and water re-sources. _._ ....• ___ .
Development and improvement ..••••
TotaL .••••••••
From-General and spe
cial accounts: Postwar
price sup-
Expenditures Appro· pria-
Actual, Est!- Esti- tions, 1946 mate, mate, 1948
1947 1948
----
-$1,3~£ -$79 t330
-261 -73 -50 $23
w 40 154 172
11 12 25 11
74 ~00 300 -24 10 -17
311 352 311 202
75 80 66 148 t4 52 53 55
3 5 7 9
1, ~34 325 6 --------
39 52 53 49
134 139 142 13.5 --------
752 1, 117 1, 381 824
port_______ $500 .••••••• -------- - --····· Cancellation
or notes of Commod· ity Credit Corpora-
of~~~======== ----535· $:~ ~~ ----$824 Corporation ac
connts: Postwar
price SUP· port.._____ -500 .••••••. -------- .•••••••
Cancellation of notes of Commodity Credit . Corpora-tion ________ -------- -921 -830 ••••••••
Other__ ______ 217 456 608 ---·----
TotaL ••••• 752 1, 117 1, 381 824
Expenditures: By the fiscal year 1948 the program of the Commodity Credit ·Corporation will be limited almost entirely to price support for agricultur-
al commodities. . Reimbursements froin lend-lease, United Nations Relief · and Rehabilitation Administration, and for·eign governments will be largely completed in the next 6 months. Liquidation of inventories is tapering off. For the present, the high level of farm prices has made price-support outlayF unnecessary except for a few commodities such as potatoes and eggs.
In 1948, however, even with continued general prosperity, an estimated 330 million dollars will be spent to support agricultural prices. Larger outlays will be required should markets weaken seriously. In addition, loans by commercial banks guaranteed·. by the Commodity Credit Corporation will probably be substantial. The present borrowing authority; if renewed, will be ample to support agricultural prices during the fiscal year 1943.
Receipts from· other corporate transactions in the Department of Agriculture are expected to be lower in 1947 and 1948 than in 1946. In 194.6 there were unusually large repayments to the farm credit agencies ·and large receipts in revolving funds of the Treasury from return of capital of mixed-ownership corporations. In view of the large repayments and refinancing of the loans of the Federal Farm Mortgage Corporation, this Budget recommends that the Corporation's borrowing authority of 2 billion dollars be reduced to an amount more nearly commensurate with foreseeable needs. This recommendation should be considered when the Farm Credit Administration submits its report on the mortgage-loan programs of the Corporation and the Federal land banks.
The rural rehabilitation and farmtenant programs, formerly under the Farm Security Administration, and the Crop and Feed Loan Division of the Farm Credit Administration have been merged to form the new Farmers' Home Administration. This program shows an apparent increase in 1948, solely because of the changed method of financing required in the Farmers' Home Administration Act of 1946.
The increased estimates for Rural Electrification Administration loans will permit expansion of a program that is urgently needed by farmers ~ut has been held back during the war years.
Commitments for payments to farmers under the Agricultural Adjustment Administration conservation and use program for the 1947 crop year have already been made as provided by the 1947 appropriation act. Expenditures for this program, including administrative expenses, are estimated at 311 million dollars in the fiscal yea1 1948.
A year ago the Budget message recom- ' mended gradual reduction of these payments, and that recommendation is now renewed. More than 60 percent of the total payments go to about one-eighth of the Nation's farmers. · Most of this money thus is being paid to farmers who, because of their · strong positiou in American agriculture, would undoubtedly continue the best farm management
•
1947 CONGRESSIONAL RECORD-HOUSE 247 practices without the persuasion of . a tural commodities, the transfer of · 100 bonus from the Treasury. million dollars to the Agricultural Ad-
. We ~ should .. shift ~o1,1r e~~rt from thJs justment Administration program for k~nd of subsidy to prov1dmg technical conservation and use of agricultural land gui~ance to all farmers for soil 'COnser-- r resouFces~is recommended: In 194-7~ 42".5 vatwn and management, along the lines million dollars:-of section 32 .funds, were~ of the Soil Conservation Service anc the so transferred. · In vie~of· trnr ·probable · Extension Service. I therefore propose ·need for these funds after ·1948 for surthat tJ:e appropriatian act limit the con- plus disposal programs., however, we_canservatwn and use prog-ram· for 'the ·crop not look forward ta their continued--anyear 1948 to 200 million dollarsc instea<L nual use · for the conservation amt::-use of the 300-million-dollar program · to program. which we are committed for the crop The operations of the various -agriculyear 1947. This will not affect expendi- tural corporations and the agricultural tures materially until the fiscal year programs of the Reconstruction Finance 1949. Corporation will be financed out of cor-
Expenditures to encourage exporta- porate funds borrowed from the Treas- · tion and domestic consumption of farm · ury. It is estimated'that-8~0 mUUon·dolproducts are financed under section 32 Iars of notes owed the Treasury b-Y"the of the act of August 24, 1935, by a per- Commodity Credit Corporation will be manent appropriation equal to 30 per- canceled in 1948 pursuant to the apcent of customs r.eceipts. In the fiscal praisal of the assets of the Corp.oration. · year 1946 expenditures for the school- as of June 30, 1946. This ·cancel_lation lunch ~ro~rallL.. were. financed by .this. _ of notes will be an expenditure. under appropnatwn. These have been trans- general and special accounts .. anct~a · referred to "Social welfare, health, and ceipt under corporation accounts an<i security" in later .years. The rP.inain- thus will have no net effect on B~dget ing expenditures in 1947 and 1948 are expenditures ~·or on· the appropriationsfor export subsidies, diversion of surplus recommended:--for 1948: commodities to new uses, and purchase and distr~bution of surplus af!ricultural commodities to State welfare agencies. Addition of ·the cotton export subsidy program previously financed by the
·Commodity Credit Corporation and other increases offset the transfer of the school-lunch program.
Almost all wartime food subsidy programs of the Commodity Credit Cor-poration and the Reconstruction Finance Corporation have now been discontinued. Subsidy payments from corporate funds in the fiscal year 1948 will be limited to sugar, which is expected to remain in short supply. In addition, payments to sugar growers in the United· States under the Sugar Act program
·will remain at approximately the pres-ent level. ·
Expendituresior agricultural land and water resources, which include the. Soil Conservation Service, upstream erosion and flood control; water conservation and utilization, and the submarginal land program, are estimated· to increaseslightly in 1948.
_Expansion of agricultural research under the Research and Marketing Act of 1946 will cost an additional 18 million dollars in the fiscal year 1948. The farm labor supply program will decrease by about 16 million dollars. Other general programs for the development and improvement of agriculture, such as the Extension Service, the scientific research agencies, and the staff agencies of the Department of Agriculture, will remain at about the present level. Thus, the programs in this category as a whole will increase by 3 million dollars.
Appropriations: To carry out our agricultural programs, I recommend that the Congress appropriate 824 million dollars for the fiscal year 1948. In addition, since not all of the pe:r;manent appropriation of section 32 funds will be required to subsidize exportation and domestic consumption of surplus agricul-
Natural r esources •
The natural-resources program has been increasing to fill some of the gaps arising from wartime deferments and depletions. The estimated expenditures for the fiscal year 1948 represent a further expansion over the current year. They do not contemplate initiation of large new projects.
The harnessing of atomic energy was a war achievement, and it remains of major military significance. With the appointment of the Atomic Energy Commission last fall we have entered on a new phase of development. This Commission has assumed direction of the Manhattan .. Engineer. Di.stri.ct .. project. Our aim is to bring the henefits of atomic _ research to industry and medicine" and to enrich standards .of. well-being.
In line with the. shift in emphasis, the atomic-energy program, since December 31, 1946, is classified in "Natural resources." This transfer in the middle of the current fiscal year and the inclusion on a full-year basis in 1948 are major reasons for the increases in expenditures for resource development in both years.
Expenditures: In order to push forward basic research in development and use of atomic.energy, I am recommending a program which will involve expend-itures of 444 million dollars in the fiscal year 1948. This compares with total outlays of 385-million dollars in the current fiscal year, of which 179 million dollars are shown in "National defense."
Much of the productive future of this Nation lies in the effective development of our river basins. Under the Bureau of Reclamation and the Corps of Engineers; this work will go forward-in 1948 at a somewhat increased expenditure rate. The estimates provide for continuation of projects under way and starting those projects for which 1947 appropriations were made, but which have been temporarily deferred.
Natural resources not primarily agricultural [Fiscal yeaPs. In millions!
Expenditures
Pr ogram or agency~ An.pro: pri~
concerned · Actual, Esti- Esti- tions, . .
1946 mate, mate, 1948 . .. 1947 1948
Atomic eneugy: Atomic Energy
Commission ... -------- $201 $443 $250 Other agencies ___
Land and water re-5 1 __ .,. _____
sources: Corps of Engi-
neers (War) ____ $89 192 ~55 189 Bureau of Recla-
mation (Inte-rior) __ ____ _____ 62 145 176 161
Bonneville and Southwestern Power Admin-istrations (In-terior) ___ ____ __ 9 ~0 'Zl 23
Tennessee Val-ley Authority __ 6 36 47 'Zl
I nte rn at ion al Boundary and Water Com-mission (State). · 1 4 10 9
Other (Interior) ___ Forest resources:
10 12 15 15
Fores t Ser vice (Agriculture)._ .:o 53 f3 64
:Cepartment of the Interior ___ _ 3 3 3 3
Mineral resources: Department of
t he Interior .... 18 21 23 20 Navy Depart-
ment __ _______ _ s 6 4 ... .................. Recreational use of
resources (Interior). Cther resources (In-
li 15 19 13
terior) _ -- --------- - 12 17 24 26 ---- -------TotaL ______ ___ 257 728 1,101 779
From-General and spe-
cia! accounts: T en nessee
Valley Au-- t hority ____ $21 $33 $45 $27 Other. .... . .. 254 694 1, 054 752
Corporation ac-counts:
T e nnessee Valley Au-thority ____ -16 3 :;: --------Reconstruc-tion Fi-nanceCor-poration. __ -2 -2 -------- --------
TotaL ... 257 728 1,101 779
The only appropriations now recommended are for projects partly provided for in previoUs appropriation acts. A substantial portion of the expenditures
. is for multiple-purpose projects which, in addition to flood ·control, navigation, and irrigation benefits, will supply needed power for industry and agriculture.
Some expansion of transmission facilities is .needed by the Bonneville Power Administration to market the hydr~electric power generated at certain of the Government's multiple-purpose . dams. Receipts of 25 million dollars from the sale of power by this agency and the Southwestern Power Administration will be paid into miscellaneous receipts of the Treasury in the fiscal year 1948.
Expenditures. of the Tennessee. Valley Authority will increase in the fisc.al year 1948 as work progresses on the two large dams provided for in the 1947 appropriations. - By the end of 1948 construction of the major dams will be almost complete; thereafter, the principal activity
'
248 CONGRESSIONAL RECORD-· HOUSE JANUARY 10 will be directed toward the effective utilization of local resources for industrial and agricultural improvement within the valley. The Tennessee Valley Authority finances its power operations and transmission fa..:ilities from its own r-evenues. The Authority will continue the practice started in the last fiscal year of _making payments to the Treasury.
Expenditures by the International Boundary and Water Commission for the United States share of the construction of dams and other water improvements on the Rio Grande, in cooperation with the "Mexican Government, will be ex·panded in 1:948, pursuant to the 1944 treaty.
Among the other expenditures by the Department of t:te Interior for land and water resourc-es in 1948, the major portion is for the use, protection, and improvement of the public lands which it manages. The estimated expenditures for 1948 for grazing activities contemplate restoration of the program to approximately the 1946 level. Appropriations for the fiscal year 1947 were cut to a level that does not permit adequate protection and conservation of these grazing resources. The Department of the Interior is investigating the feasibility o1 raising grazing fees to cover the operating cost~ of the Grazing Service and also service charges on the cost of capital improvements~ ·
Because of critical needs for lumber, our forests, both public and private, must be administered to yield the maximum immediate supply without unduly impairing future timber resources. Expenditures for the Forest Service for the fiscal year 1948 provide for increasea timber-sale administration and forestfire control. These increases are offset by decreases in other phases of the work.
Our mineral resources have been seriously depleted during the war. Substitutes or new sources of supply must now be found. As part of our military program we are accumulating a -strategic stock pile of critical materials from both domestic and foreign sources. To plan this program successfully and to assure adequate supplies for industrial and con~ sumer use, it is essential that we have full information on our domestic resources. Consequently, the Bureau of . Mines and the Geological Survey will make small expansions in their mineral resource programs in 1948.
During the war the national park system has been maintained on virtually a custcldial basis only. Increased expenditures a:ve required in 1948 to provitie the most needed improvements in roads, parkways, buildings and utilities, and for general administration and protection.
Other resource programs of the Department of the Interior will increase by 7 million dollars in 1948. General surveys and topographical mapping _-activi-
-ties by the Geological Survey must be accelerated to ·provide basic data needed for natural resources programs and industrial development. Expenditures for conservation and development of fish
and wildlife resources reftect a sman 1ncrease in operating cost-s.
Some progress h-as been made in the· development of Alaska, but only a be:.. ginning. Included in several of these progr-ams are expenditures for the. investigation and ·development of the natural resources of this vast area.
Appropriations: Appropriations of 779 million dollars for resource development in the fiscal year 1948 include an estimated supplemental of 4 million dollars !or the Forest Ser.vice. The total is substantially below estimated expenditures for that year. Postponement of some of the public works projects for flood control and reclamation in the current year will leave available in 1948 substantial balances from earlier-year appropriations. Similarly, the curtailment of other resource development activities has resulted in some carry-over of appropriations for these programs. . A smaller amount from 1948 appropriations will be available to .finance expenditures in later years.
In the case of the Atomic Energy Commission, the Budget recommendation includes contract authority in the amount of 250 million dollars in addition to the 250 million dollars of recommended appropriations. The appropriations to discnarge obligations under this contract authority will be made in future years when the payments become due.
Transporta~ion and communication
Slx years of deferred maintenance and · improvement must be made up before
the basic postwar needs of motor and water transportation are met. The highway -system, particularly, has fallen far behind the standards which should prevail under conditions of rapidly growing use. Urban congestion is again becoming a serious problem. Likewise, the ~normous expansion of civil aviation 'Since VJ -day has thrown an increasing burden upon inadequate airway and airport facilities. An expanded program is essential if undue hazards in the air are to be avoided and if the development of aviation is to continue without serious technical impediment. At the same time it is hoped to restore prewar service standards in the postal service. The enforcement of regulatory standards, particularly those designed for accident prevention in -all types of transport, should be restored, at least to prewar levels.
T1·ansportation -and communications
[Fiscal years. In millions]
Program or agency concerned
~xpenditures
1----.-----.----1 .A.~lt~?-Ac;;ual, Esti-
1946 ~~J~ Estimate, 1948
tions, 1948
-------1----1-------Promotion of the
merchant marine ~~itime Com-mlSSion)_________ __ $374 -$117 $204 $6
Provision of naviga-tion aids and facili-ties:
War De-part-ment__________ . 93 124 152 · 120
Coast Guard .••• ·-··---- 168 Ui7 149
Transportation and communications--<Jon.
[Fiscal years. 1n millions]
Program ,or agency con.cemed
Expenditures 1-----.,---~--IAtJ~~ Actual,
1946
Estimate, 1947
Estimate, 1948
tions, 1948
-------1----1---------
From-General and spe-
cial accounts.. . $866 $936 $~, 533 $1, 1~6 Corporation ac-
oounts_______ ·-43 -31 -3 -------
TotaL. _____ ~-- 824 ll05 1, 530 1,196
It is the policy of the Government to withdraw from ship operation as rapidly as possible and to dispose of vessels in a manner that will promote a large and effective merchant :fleet under our flag. But, since private operators see little prospect of profit in the coastwise trade and much of the overseas traffic is regarded as temporary, Government operations have continued. The Maritime Commission reconversion program, the lay-up of vessels in the reserve :fleet, and the preparation of war-built vessels for sale are under way.
Expenditures: The Maritime Commission, by its petition before the Interstate Commerce Commission, is attempting to obtain revision of the railroad rate structure in order to per.mit resumption of domestic shipping under private auspices. We must look to the domestic trade to provide the active core of our merchant ileet reserve, since we cannot hope to maintain in the foreign trade alone a merchant fleet adequate for the Nation's security. Because the long-run needs of foreign trade are not yet clear, the expenditure estimates contemplate only a moderate expansion in operating subsidies: Construction of new vessels is limited to those for which private purchasers are available and those essential to meet specialized needs for which warbuilt vessels cannot be adapted. I hope that the rate of ship disposition and
1947 CONGRESSIONAL RECORD-HOUSE 249 liquidation of Government operations can be expedited.
Under the War Department are two major functions relating to transportation-the Pan~ma Canal and the rivers · and harbors work of the Corps of Engineers. To make up deferred maintenance, to continue at a minimum rate river and harbor construction projects already under way, and to make a slow beginning on projects authori~ed under · the· 1947 appropriation it is necessary to expand the expenditures du:ring the fiscal year 1948.
Other aids to navigation are those. maintained and operated · by the Coast Guard (in the Treasury Department) . The large decrease in the fiscal year 1948 reflects the return to a normal program, the completion of previously deferred work during 194_7 and early· 1948, and some reduction in Coast Guard aviation. In the interest of reducing expenditures, the installation of the Loran system of radio navigation aid will be spread over a'number of years.
Most Federal expenditures for highways are concentrated in the Federalaid program under the Federal Works Agency. This is a matching program in which Federal expenditures depend upon the level of State activity within the authorized annual rate of 500 million dollars established for each of the first three postwar years by the Federal-Aid Highway Act of 1944. Materials short.:. ages, contracting difficulties, and high costs have delayed this program, but the situation should ease by next year. Sums apportioned to the States, however, are available only for a year after the close of the fiscal year for which they are authorized, and the rate of expenditure has thus far been well below congressional authorizations. States are, therefore, under pressure to obligate these funds at once. As has been urged by · Jilany of the States, it is recommended that the Congress extend for one additional year the period during which these funds may be expended. Moderate increases for the Agriculture and Interior Departments are included to begin to overcome the long deferment of work on the forest roads and trails and Indian roads.
The sharp upward trend in expenditures by the Department of Commerce for civil aviation results from the rapid expansion of the industry. Inadequate facilities and services have caused serious congestion and a threat to air safety. The expansion and modernization of the airways system provided in these estimates is essential for the continued progress of the industry and could not be reduced without great risk.
As -the rapid growth of aviation continues, I believe it is unwise to place the entire burden of expanding, improving, and maintaining the airways upon the general taxpayer. Instead, civil aviation should bear a reasonable share. The Department of Commerce is considering the feasibility of various methods to recover part of the expenses from the users.
Substantial expenditures for grantsin-aid to airports under the 1946 legis-
lation are anticipated for the first time, increasing from 7 million dollars in the fiscal year 1947 to 50 million dollars in 1948. This will be ch~nneled as far as po!)sible into urgent work designed torelieve bottlenecks in air transport, but the apportionment formula will limit the discretion of . the Civil Aeronautics Administration in scheduling first the most needed projects.
Unless legislative action is taken to revise postal rates, the Post Office deficit threatens t'o be the largest in history. Mail volume has expanded enormously, but current operating costs have increased even more rapidly. This is the chief cause of the deficit. Further tem,.. porary additions to expenditures result from the need to take up deferred maintenance and · replace equipment. The Post Office Department is studying its operations with a view to introducing economies. I am instructing the Postmaster General to institute all · operating economies consistent with reasonable service and to prepare a comprehensive recommendation for rate revision suffici&nt to wipe out the deficit.
Appropriations: Appropriations of 1,196 million dollars are included in the Budget for the fiscal year 1948 for "Transportation and communication," comp:;tred with estimated expenditures of 1,530 million dollars. Unobligated balances in Maritime Commission revolving funds are adequate for all expenditures with the exception of an appropriation of 6 million dollars recommended for the maritime training fund and aid to State marine schools. War Department and Federal Works Agency appropriations fall below expenditure estimates because of the deferral to 1948 of work for which appropriations were already made in 1947. The appropriations total includes 50 million dollars for the Civil Aeronautics Administration as an estimate of the appropriation request that will be made for the airport program as soon as the plans of the Agency are sufficiently matured. Contract authorizations of 500 million dollars are included for the Federal-aid postwar highway construction program.
. F inance, commerce: and i ndu stry
By the end of the current fiscal year, almost all wartime controls of business will have ended. I recommend that the Congress extend the authority for rent control; price control on sugar and sirups, and rice; sugar rationing; export and import c.ontrols; priority and allocation controls on a few commodities still in extremely short · supply; and a few other minimum controls which are indispensable for the time being.
Now that we are returning to a peacetime ·economy that depends for its success on private enterprise, the Government should resume and expand its services to business, including both financial and nonfinancial aids. In addition, free enterprise depends on positive Government action to preserve competition and control monopolies-proper functions that a democratic government must not neglect.
F in,ance, commerce, and industry [Fiscal years. In millions]
E xpenditures 1--- ---,----J Appro-
Program or agency pria-concern ed Esti· Esti- tions,
Actual, mate 1948 1946 1947' ~~J~·
--- -----1---------P romot ion or regula·
tion of business: Office of T em
po r a r y Con -
C~~~erce ___ De~- ~a84 $133· partment__ ___ _ 11 22
Others (Federa l T rade Com mission, Fede r a l Power Comm ission, etc.) ________ ___ 15 15
nm;ines~ loans and guaran tees:
R econstruction F inance Corporation loans to business__ ___ - 111 -21
R etirement o f Smaller War Plants Corporation capital stock __________ -- - ·-· --- ------ -
War d!lmnge insnr· ' Rnce (Wf:l-r Dam-age Corporation) ___ - 2
Aids to private financia l institu tions (R eco n struction F immce Corpora- _ ,
73 t ion)____________ ___ - 72 Control of private
finance (Securities an d E xc h ange Commission)-- ---- 5 5
Proposed legislation __ - - - --- - - ---- - ---- - --TotaL-------- 30 83
From-· G e n e r a l an d
s p ec i a l a c -counts __ ______ _ $216 $176 Corporation ae-
coun ts •. -- -- --- -185 - 93 - - --T otaL _________ 30 83
~55 $52
28 31
13 13
57 - ------ -
100
211
-55'
6 6 10 14
----426 116
$112 $116
314 ----426 116
Expenditures: During the rest of this fiscal year. the Office of Temporary Controls will discontinue as rapidly as possible direct controls over business operations previously • administered by the Civilian Production Administration and the Office of Price Administration. Although a few essential controls should be retained a -little longer, these, too, will be terminated as soon as conditions permit.
Among the other regulatory agencies, Foreign Funds Control (Treasury) and Solid Fuels Administration <Interior ) wil-l also cease operations this year.
,The peacetime regulatory agencies, however, must be strengthened from low levels justified during the war by the existence of other direct controls. This Budget, therefore, provides for the necessary increases in such essential agencies as the Federal Trade Commission, the Federal · Power Commission, the Antitrust Division <Justice ) , and the Tariff Commission.
The Antitrust Division will concentrate its efforts on major violations of the antitrust laws. The Federal Trade Commission will increase its effectiveness by operating on an industry-wide basis, rat-her than through the slower procedure of individual complaints. It will also sponsor a larger number of industry conferences designed to locate and eliminate
250 CONGRESSIONAL. RECORD-HOUSE JANUARY 10 unfair trade practices through cooperative a~tion.
In the past year, we have made a fine start in building up the business service programs of the Department of Commerce from their low wartime levels. To provide necessary information for business, provision of funds is recommended for ·a census of manufactures, already authorized by law, and likewise for a census of business to be authori.~ed by proposed legislation. No census has been taken in either area since 1939 and present information is badly out of date. A small but necessary increase in the business-service activities of the Bureau of Foreign and Domestic Commerce. is also recommended. The Patent Office urgently needs increases in personnel to cope with the growing backlog of patent applications and to handle registrations under recent trade-mark legislation. -
The Reconstruction Finance Corporation estimates assume that repayment of outstanding wartime loans to business enterprises will continue in the fiscal year '1948, but at a slower rate. In its peacetime business-loan program, the Corporation has been authorizing about 1,000 loans a month, chiefly to small business. Ninety per&,ent of them are in amounts of 100,000 dollars or less. The new program also emphasizes guarantees of private credit rather than direct Government loans. These guaranties will not require disbursements in any large amount unless there should be an economic recession. In this event the Reconstruction Finance Corporation stands ready to purchase the loans offered by participating banks.
Since January 1946 the Reconstruction Finance Corporation has been administering the loan and lease program of the Smaller War Plants Corporation. Disbursements on previously authorized Smaller War Plants Corporation loans are nearly finished and outstanding loans are gradually being repaid. In the fiscal year 1948 th~ Reconstruction Finance Corporation plans to retire an estimated 100 million dollars in Smaller War Plants Corporation capital stock.
The War Damage Corporation, a Reconstruction Finance Corporation subsidiary, which at its peak had a total af 140 billion dollars of war damage insurance in force, is also terminating its operations. By 1941S it will be in full liquidation. The Reconstruction Finance Corporation has been directed to return to the Treasury the 210 million dollars of net profits from this operation.
The expenditures of 310 million dollars for retirement of Smaller War Plants Corporation capital and return of War Damage Corporation profits will be paid into miscellaneous receipts and thus have no net effect on the total Budget. With these transfer items eliminated, the net increase of expenditures under this function in 1948 is ?3 million dollars.
Federal and State bank supervisory authorities are making special efforts to encourage banks and insurance companies to complete repayment of their prewar obligations to the Reconstruction Finance Corporation. By June 30, 1948, the outstanding volume of such loans
and investments will be down to 100 million dollars out of a total of about 3.5 billion dollars disbursed since 1932.
With stock-market activity and new security issues far above wartime levels, the Securities and Exchange Commission requires additional funds to rebuild its depleted staff and thus provide more adequate protection for the millions of investors.
Appropriations: To finance the expenditures for these programs, estimated appropriations in the fiscal year 1948 of 116 million dollars include anticipated additional appropriations of 53 million dollars required by proposed extension of the existing authority of the Office of Temporary Controls and the authority of the Department of Commerce to control exports. They also include · 14 million dollars for new censuses under proposed new legislation.
Labor
The facilities of the Federal Government for dealing with the welfare of labor and with labor-management disputes provide for the encouragement of collective bargaining, administration of laws and regulations to protect the working force, assistance to States in promoting employment opportunities, and gathering of basic labor information.
In my message on the State of the Union, I have asked that the machinery in the Department of Labor for facilitating collective bargaining and expediting the settlement of labor-management disputes be amplified and strengthened. I have included administrative funds for this purpose under proposed legislation.
I recommend also that the Congress authorize grants to States through the Department of Labor for programs fostering safe working conditions. The toll resulting from industrial hazards reduces the productive capacity of the labor force. The new program should be administered by state departments of labor under Federal standards. Funds for this purpose have likewise been included under proposed legislation.
Labor [Fiscal years. In millions]
Expenditures Appro-
Program or pria-agency concerned Actual, Esti Esti· tions,
1946 mate, mate, 1948 1947 1948
---------M ediation and regu·
lation: Labor pepart-
ment .. .. . .. • -. $14 $11 ~9 $9 N ational Labor
Relations Board _________ 4 5 8 8 Other .. _______ ___ 6 3 4 4 Training and place·
ment: Public employ-
mentoffices. ___ 71 £0 78 78 Other .. __ ____ ___ _ 1 3 3 3 Labor information
and statistics and general ad minis-tration . . ____ ---- . __ 8 12 14 14
Proposed legislation .. -------- -------- 3 3 ------TotaL _________ 104 124 118 118
Expenditures: The National Labor Relations Board has an accumulation o{ unresolved cases awaiting action owing
to the increased incidence of representation cases and unfair labor-practice cases and to the reduced appropriations available for the Board's work this year. Delay in settling such cases is in itself a cause of labor disturbance. Apart from the backlog of unsettled cases, the number of cases brought before the Board for settlement has increased. The program submitted in this Budget is designed to reduce the backlog and keep the Board more nearly current in handling cases. This should diminish the incidence of strike action by labor organizations which is encouraged by tardy handling of cases. -
The public employment service system, although now composed of the coordi_nated employment office facilities of the several States, is still financed in full by the Federal Government. Expenditures for these offices for the fiscal year 1947 are estimated at 90 million dollars. This includes the increased cost of State operation and 11 million dollars of nonrecurring terminal-leave pay for Federal employees upon the return of the employment service to the States. It is my hope that the public employment service system will maintain the high standard of operations and the efficient procedures which have proved essential for facilitating the flow of workers to areas where they are needed.
I propose also increased expenditures for labor information and statistics to facilitate collective bargaining and meet the more important needs of labor, business, Government, and the general public for current data concerning employment, wages, prices, and the like.
Appropriations: For 1948 I recommend appropriatior.s of 118 million dollars, including the amount for proposed legislation.
General government
The principal types of expenditures in "General .government" are for (1) legislative and judicial activities, and executive management and control; (2) the Government _ payment toward civilian employees' retirement; (3) other services covered by appropriations which relate to more than one function; and (4) a few special programs neces~itated by the war, such as disposal of surplus property, which do not logically belong in any other category.
Expenditures for these functions in the :fiscal year 1948 are expected to decline only moderately from the comparable total for 1947, because they will still include a substantial ·amount for war liquidation. Such activities will account for more than one-third of all the expenditures in this category.
EXpenditures: The work load of the Treasury Department remains at a high level. For example, in the Bureau of Internal Revenue tax returns for previous years remain to be audited, pending excess-profits-tax cases must be investigated and settled, special efforts are continuing to reduce tax evasion, and the number of tax returns to be reviewed is increasing as war veterans revert to civilian status. Further, with the resumption of foreign trade and passenger
~
1947 CONGRESSIONAL RECORD-HOUSE 251 travel and the desi~mation of new air- · fields in the United States and Alaska as ports of entry, the staff requirements of the Bureau of Customs are above the level of 1946.
The Government payment toward the Federal civilian employees' general retirement system· will be larger in the fiscal year 1948 than in the current year. About half of the increase reflects the advance in salary rates which took effect July 1, 1946, and was not covered in the appropriation for 1947. The remainder of the increase applies against previous liabilities of the Government to the retirement system.
General government [Fiscal years. In millions]
Expenditures
Program or agency concerned Actual, Esti- Esti-
1946 mate, mate, 1947 1948
Appro-pria-tions, 1948
------Legislative functions. $23 ,$29 $29 $25 Judicial functions .... 13 17 17 18 Executive direction
and management._ Fed eral financial
8 7 7 7
management: Treasury De-
partment. ..... 350 ~57 i161 365 General Ac-
counting Office. ES 41 37 37 Other .•... ....... 9 5 5 1
Gov ernment pay-ment toward civil-ian employees' general retirement system ..... ~------- Z45 220 244 244
Other general gov-ernment:
Reconstruction Finance Cor· poration. ______ -17 62 66 ...... .................
War Assets Ad-ministration ... £8 494 393 328
Federal Works Agency ________ 61 79 81 70 Commerce De-
partment. _____ 25 30 34 38 Justice Depart-ment. _________ 35 39 39 39 Interior Depart-
ment. _ ------· - 48 - 22 25 21 War Depart-
ment civil functions-(cemeteries)---- 2 78 €0 58
Other---- -------- 33 66 94 91 --------
TotaL ........ 972 1, 545 1, 492 1, 341
From-General and
special ac-counts.-------- $989 $1, 483 $1, 427 $1,341
Corporation ac-counts ......... -17 62 66 --~-------------
TotaL ...... 972 1, 545 1, 492 1, 341
The surplus property disposal program, ·under the War Assets Administration, is at its peak during the current fiscal year. Henceforth, it will be tapering off, but disposal will be relatively mQre difficult as Government stocks of scarce items are reduced and as civilian production increases. The statutory provisions governing the sale of surplus property which give preference to certain groups of purchasers have greatly complicated the disposal program, slowing down sales and augmenting, administrative costs .to such an extent that Congress might well reconsider these provisions. The expenditures of the War Assets Administration cover only part of the han~ dling of surplus property; many other· Federal agencies participate in this pro-
grarn. The proceeds from sales of surplus property are included in miscellaneous receipts of the Treasury.
The return of war dead from overseas is a civil function of the War Department which is just getting under way. The total cost of this program is estimated at 234 million dollars. Efforts will be made to complete this work in the next 2 years.
Public buildings construction programs of the Federal Works Agency will remain at a low level, but certain expenditures for repair and maintenance of buildings cannot be delayed. Together with expenses for current operation of the buildings, these constitute a sizable portion of "General government" expenditures.
Appropriations: The appropriation total of 1,341 million dollars for the fiscal year 1948 includes 75 million dollars for anticipated supplemental appropriations. The total is well below the estimated expenditures, mainly because the War Assets Administration will be paying obligations incurred against earlier appropriations.
Interest on the public ·debt
The volume of interest payments on the public debt reflects the magnitude and composition of the debt, as well as the level of interest rates. As long as prosperity permits, our objective should be a steady retirement in the outstanding debt. Interest rates will he kept at present low levels through continued cooperation between the Treasury Department and the Federal Reserve System.
Interest on the public debt [Fiscal years. In millions]
Expenditures
Agency Actual, Esti- Esti-
1946 mate, mate, 1947 1948
--------------Treasury Depart-
ment. •. ----------- $4,748 $4,£50 $5,000
Appro· priu-tions, 1£48
---$5,000
The estimated increase of 50 million dollars in interest payments in 1948 over 1947 is due prir.cipally to (1) increased interest payments on the larger volume of special issues held by trust funds ' which pay relatively high rates; (2) in-
' creased accruals on savings bonds,.owing to a large volume of bonds reaching higher accrual brackets; and (3) the change from semiannual to annual payment of interest on certificates of indebtedness, effective September 1, 1946. The net effect of these factors has been to increase interest costs in 1948, even though the debt has been declining since its peak on February 28, 1946.
Interest payments are made on the basis of a permanent appropriation. The amount shown under recommended appropriations is equal to the estimated ex:-penditures. ·
Refunds oj receipts
Tax refunds will be a large item in the Budget for some years to come, largely because of overpayment of individual income tax under the current ·payment system and settlement of the wartime income- and profits-tax liabilities of cor-
porations. The overpayments made each year under the current payment system are in the main refunded during each immediately succeeding year. The refunds to corporations, attrib.utable to wartime-tax liabilities, will be spread over the next several years because of the time required to effect final settlement in many cases where the various carry-back and other relief provisions are applicable. If the war excise-tax rates are continued, refunds in 1948 will be 123 million dollars lower.
Agency
Refunds of receipts [Fiscal years. In millions)
Expenditures
Actual, Esti- Esti-1946 mate, mate,
1947 1948
------Treasury Depart-
ment ..• ----------- $3, 119 $2, 155 $2.065
CIVIL PUBLIC WORKS
Appro-pria-tions, 1948
--$2,065
In the Budget, construction projects are listed in the programs which they serve, In total the expenditures for civil public works are estimated at 2.1 billion dollars in 1948 compared with 1.7 billion dollars in 1947. These are discussed in detail in part IV. ·
Federal public works provide capital assets from which the Nation derives benefits over a· long period of time. During the past decade the responsibility of the Federal Government, both directly and through grants to the States, has increased. Public construction is essential to our veterans, natural resources, transportation, social welfare, and housing.
Construction programs have to be scheduled over a number of years. The work done in any one year is largely controlled by legislation and appropriations in prior years. For these reasons the program for 1948 is larger than that for 1947. While curtailment orders in August 1946 slowed down the program, they could not alter the trends already established by legislation. ,
The recommendations for the fiscal year 194~ for grant and loan programs allow those programs to continue at rates consistent with the authorizing legislation.
Direct Federal construction of longterm projects will be confined to those for which appropriations have already been made. Short-term projects suchas provision of national-park facilities, forest roads and trails, and institutional facilities will be limited to those of an urgent character.
The Budget contemplates the construction at a conservative rate of all projects for flood control, navigation, and reclamation for which initial appro-' priations were made in prior years. It does not provide initial appropriations for any new projects under the·se three programs. Even so, expenditures will be greater in the fiscal year 1949 than· in 1948.
This upward trend in public construction deserves careful consideration by the Congress.
252 CONGRESSIONAL RECORD-HOUSE JANUARY 10 FEDERAL CIVILIAN PERSONNEL
This Budget reflects the continuing decline in .Federal civilian employment. Federal agencies have reduced their civilian personnel to 2,300,000-including those in the Territories and possessions and in foreign countries-from a wartime peak of 3,770,000 in June 1945. The Budget estimates contemplate further reductions.
Total civilian personnel of the War and Navy Departments is far below the wartime peak. Personnel in the emergency war agencies has been cut drastically except in the War Assets Administration, which is at the height of its work.
Three agencies-the Veterans' Administration, the Post Office, and the Treasury-together have almost as niany employees as the 1939 total of 900,000 for the whole Federal Government. Personnel requirements of the Veterans' Administration are large because it must administer a great variety of programs for millions of veterans. The rise in the number ·of postal employees reflects the growth of the population and the even larger increase of business and industry. _ Increased employment in the Treasury results mainly from the greater complexity and coverage of the tax system and the wide distribution of publicdebt ownership.
Total employment in all the other GovJ ernment departments and agencies combined is lower than in June 1945 even though certain functions of emergency war agencies have been returned to the peacetime agencies from which they were transferred and other permanent functions have been added.
The personnel reductions were facilitated by the · statutory limitations on personnel and provisions for detailed personnel ceiling determinations enacted by the Seventy-ninth Congress. When we began to convert to a peacetime basis and appropriations greatly exceeded expeHditures, this legislation served a useful purpose. By the Legislative Reorganization Act the Congress has in effect decided that the extent of Federal activities, and hence personnel, should be determined by the usual appropriations process. The statutory limitations and personnel ceilings constitute a separate and possibly conflicting method of controlling the number of employees. The appropriations process, to my mind, is far preferable to the personnel ceilingsand limitations, since these place undue emphasis upon the number of employees and put a premium on contractual arrangements and other measures to get the necessary work done without exceed. ing numerical limitations.
I therefore recommend the repeal of the statutory limitations on personnel and provisions for personnel ceiling determinations.
GOVERNMENT CORPORATIONS
With the termination of wartime programs, net expenditures of corporations in the fiscal year 1948 will be focused; in a few major areas-chiefly purchase of veterans' housing mortgages, loans to finance rural electrification, price-support outlays for farm commodities, and disbursements on Export-Import Bank
loans to foreign borrowers. These programs represent, in the main, capital items recoverable over a period of years. As long as high levels of business activity continue, disbursements in all other major areas will be held to low levels and will be partly or wholly offset by receipts.
In the fiscal year 1948 net expenditures from corporation accounts alone will amount to 829 million dollars, compared with net receipts of 175 million dollars in 1947. But if we take into account reduced payments by the Treasury to the corporations and increased repayment of capital funds to the Treasury by the corporations, net withdrawals from the Treasury for these programs will remain almost unchanged, despite the sharp shift in the methods of financing them. This is explained in detail in the summary narrative for part m.
At present certain wholly owned Government corporations have authority to issue obligations whose principal and interest are guaranteed by the Federal Government. During the war the Treasury, because of its tremendous public debt operations, requested the corporations to obtain their funds directly from it rather than issue obligations on the market. I now recommend that the authority of Government corporations to issue guaranteed obligations to the public be repealed and that such agencies be authorized to obtain their funds solely by borrowing from the Secretary of the Treasury.
During the war, the Treasury has been advancing funds to the corporations at an interest rate of 1 percent. This low rate was based in part on the general level of interest rates in the market and i~ part on the fact that a large proportiOn of corporation activities-like subsidies and preclusive buying-was nonincome-producing.
From ~ow on most corporation programs Will be revenue-producing. · Accordingly, I. recommend that corporations be required to reimburse the Treasury for the full cost to it of money advanced to the corporations. Interest paid on borrowings from the Treasury should be based upon the current average rate on outstanding marketable obligations of the United States-now
· about 1.8 percent. Dividends should be paid on capital stock, if earned. While these changes in the amount of intragovernmental transactions will not affect the Budget deficit or surplus, they will cause the corporations' records to reflect more nearly the true costs of their operations.
I recommend that the statutory authority of the Reconstruction Finance Corporation be extended beyond the present expiration date of June 30, 1947. Such extension is assumed in the expenditure estimates in this Budget. The new charter to be submitted will provide for the repeal of all powers not reqUired for peacetime activities. It will also provide for a reduction of 2.5 billion dollars in the Corporation's borrowing authority. With the receipts anticipated from liqUidation of war activities the reduced -au-thority should prove adequate. ·
I have already recommended extension of the authority of the U.s. Commercial Company and reduction . in the borrow-
ing authority of the Federal Farm Mortgage Corporation.
In this Budget, I am also recommending return of capital to the Treasury by certain mixed-ownership corporations. The Federal land banks will complete retirement of Government-owned capital stock during the fiscal year 1947. In the fiscal year 1-948, it appears that they can repay the outstanding paid-in surplus of 37 million dollars. These transactions will return the land banks to the status of cooperative institutions owned by the farmers they serve. In addition, I recommend a further small retirement of the capital stock of the Federal hcime loan banks. ·
The Corporation Supplement to the 1947 Budget indicated that the Federal Deposit Insurance Corporation could soan begin to retire its capital stock. The continuing rapid growth in the Corporation's resources and the exceptionally strong position of the insured banks now make it possible to propose a substantial amount of capital redemption in the fisc;:tl year 1948. Accordingly, I recommend that' the Congress authoriZ3 the Corporation to repay all uf the 139 million dollars of capital furnished by the Federal Reserve System. Since the Reserve banks have already replaced these funds from earnings in recent years, the Board of Governors of the Federal Reserve System has proposed that .the Congress at the same time authorize the payment to t.he Treasury of the 139 million dollars. I also recommend that the Congress authorize the Corporation to repay 100 million dollars of the 150 million dollars furnished by the Treasury Department.
By tQ.e close of the fiscal year 1948, after these repayments, the Corporation will still have capital ~urplus and reserves of about 1 billion dollars-the objective set several years ago.
The Board of Governors has made a further recommendation, in which I also concur, that the Congress repeal the existing, largely dormant, authority of the Federal Reserve banks to make direct loans to industry, releasing to the Treasury the funds reserved for this purpose. The gold increment fund now includes 112 million dollars reserved for such loans, and an added 28 million dollars has been advanced to the Federal Reserve banks. These sums will be transferred to miscellaneous receipts.
These transfers from the Federal Deposit Insurance Corporation, the Federal Reserve banks, and the gold increment fund will add a total of 379 million dollars in miscellaneous receipts in the fiscal year 1948 .
The Government Corporation Cant ol Act reqUires that no wholly owned Government corporation not now possessing a Federal charter shall continue . a1ter June 30, 1948, unless reincorporated before that time by act of Congress. Of the 16 such corporations in operation when the act was approved, the following 6 are already in process of liquidation: Defense Homes Corporation, Federal Surplus Commodities Corporation, InterAmerican Navigation Corporation, Institute of Inter-American Transportation, Prencinradio, and the U. S. Spruce Production Corporation.
1947 CONGRESSIQNAL RECORD-HOUSE 253 This Budget recommends the liquida•
tion of five · other State-chartered corporations: Inter--American Educati'onal Foundation; The RFC Mortgage Company, Rubber Development Corporation, Tennessee Valley Associated Cooperatives, and the Warrior River Terminal Company. The residual functions of the Rubber Development Corporation and the program of The RFC Mortgage Company will be assumed by their parent corporation, the Reconstruction Finance Corporation. The Warrior River Terminal Company will be absorbed by the Inland Waterways Corporation, of which it is now a subsidiary.
This Budget also recommends that three nonfederally chartered ' corporations be rein·corporated by act of Congress: Commodity ·CrEidit ' Corporation, . Export-Import Bank of Washington, and the Virgin Islands Company. The act establishing the Commodity Credit Corporation as an agency_ of the United States expires in June. It, therefore, needs early consideration.
Recommendations on the Panama Rail-· road Company and the Institute of Inter-American Affairs have necessarily been postponed. The Department of State is reviewing the program of the In- stitute and a recomme·naation reg·arding its future status will be forthcoming soon.
Activities of the Panama Railroad Company have become closely · interwoven with those of the Panama · Canal in the 42 years ·since the Government purchased this · Company. While its major functions obviously must be con-:tinued, a careful reexamination and reappraisal of the respective roles of the Company and the Panama Canal are required. As soon as studies are completed, my recommendations will be transmitted to the Congress.
In addition to examination of the nonfederally chartered corporations, studies are under way, in accordance with the provisions of section 107 of the Government Corporation Control Act, regarding those corporations whose fiscal affairs could be handled more appropriately in the same manner as those of ·regular Federal agencies. These and future studies will be useful, not only in developing recommendations concerning specific corporations, but also in establishing a consistent pattern for use of Government corporations.
While the general role of the Government corporation has been accepted in the laws of this country for more than 30 years, the standards for use of this instrument are not fully developed and will be subject to many refinements~ Experience indicates that the corporate form of organization is peculiarly adapted to the administration of governmental programs which are predominantly of a commercial characterthose which are revenue-producing, are at least potentially self-sustaining, and involve a large number of business-type transactions with the public.
In their business operations such programs require greater flexibility than the
·customary type of appropriation budget ordinarily permits. As a rule the use-
fulness ·of a corporation lies in its ability to deal with the public in the manner
·, employe~ by private business for similar work. Necessary controls are or can be provided under the Government Corporation Control Act. Further study may well indicate not only that some existing corporations ought to be converted into agencies, but also that some existing agencies might administer their programs more ·effectively if ·they had some or all of the attributes of corporations.
PROPOSED LEGISLATION
The new legislation and the extension of existing 'legislation, proposed in this message, for which funds are required in the fiscal year 1948 are as follows:
Estimated expenditures, 1948
I. Proposed new legislation:-International affairs and
finance: Contributions to the
support of new international organi-zations ----------- $75, 718, 000
Relief program for foreign countries__ 250, 000, 000
Social welfare, health, and security:
Increase in public as-sistance benefits___ 73, 500, 000
Antibiotics controL__ 242, 000 Housing and community
facilities: Long-range housing
program__________ 14,000,000 Transportation and com-
munication: Upward revision in
postal rates to meet the Post Office Department's operat-ing deficit________ -352, 000, 000
Finance; comm·erce, and industry:
Census of business__ ·to, 150, 000 Census of mineral in-
dustries ---------- 218, 000 Labor:
Grants to the States for programs fostering safe working conditions -------- 1, 300, 000
Strengthened m a -chinery for facilitating the settlement of industrial disputes ---------- 1, 295,000
II. Proposed extensions of ex-isting legislation:
National defense: Interim u n 1 v e r s a 1
training operation_ 10,250,000 Social welfare, health, and
security: Continued benefits
for United States civilians injured by enemy action_____ 138, 000
Finance, commerce, and industry:
Extension of rent control, price control on sugar and sirups, and rice, sugar rationing, export and import controls, priority and allocation controls on a few commodities, and a few other mint-mum controls_____ 47, 610, 700·
III. Proposed extension of corporation authorty:
U. S. Col)llllercial Comp!:!>nY: , . . Extension beyond ,June 30, 1947.
Commodity Credit Corporation: Extension beyond June 30, 1947.
Federal Farm Mortgage Corporation: Reduction of borrowing -authority.
Reconstruction Finance Corporation: Extension beyond June 30, 1947. Reduction of borrowing authority. Increase in the present limit on
loans to States or local public· authorities for construction purposes. ,, .
In this message every . effort has been made to present the Federal Budget program with as much clarity as its complexities permit. All citizens have an interest in the Budget. Both sides of the Budget touch their everyday lives. I consider it my duty to give them full information on what their Government proposes to do.
HARRY S. TRUMAN. JANUARY 3, 1947.
Mr. RANKIN· (interrupting the read-· ing of the message). Mr. Speaker, it is apparent that this message is a very long .document and will take considerable time to read. I therefore ask unanimous consent that further reading of the message be dispensed with and that it be printed in the RECORD.
.The SPEAKER. The Chair feels that we should read the communication from the President.
(The Clerk concluded the reading of the message.)
GOVERNMENT FINANCES
Mr. CANNON. Mr. Speaker, I ask unanimous consent to address the House for 15 minutes. ·
The SPEAKER. Is there objection to the request of the gentleman from Missouri? ' There was no objection.
Mr. CANNON. Mr. Speaker, when our national security, or our internal
· security, or our way of life is challenged or is in jeopardy, the membership of the House of Representatives may be depended upon to put aside partisanship and cooperate for t he public good.
There is abundant ground for that assertion in the annals of days gone by. In the words of Lord Byron, "The best prophet of the future is the past."
The people of the United States in their wisdom-or lack of wisdom-by their vote last November transferred the stewardship of the Nation and the control of the national legislative branch of the Government to the Republican Party. In our new status as the minority party of the House, the Democratic membership may be relied upon to support and aid in the enactment of measures which manifestly would promote the general welfare. That would be in keeping with the party's consistent record down through the years for initiating and enacting legislation of benefit to all the people.
Of course, Mr. Speaker, cooperation is not a one-sided thing. The head of our Government, a stanch Missouri Democrat, continues as President of all the people and a very large proportion of
254 CONGRESSIONAL RECORD-HOU_SE JANUARY 10
our people continue by choiee to be represented by Democratic Senators and Representatives. Those of us in
. the National Legislature have responsibilities to those who send us her-e. "The · President ha-s a responsibllity to all the poople which our Republican friends must recognize.
Our st-ewardship for the last 14 years is replete with accomplishments in the interest of all the people. We point to them with a deep sense of satisfaction and it will be our purpose to preserve the structure we have built and to strengthen it and make auditions to it in such ways as may point to further progress and national betterment.
We took over the conduct of the Government in 193"3 when it was tottering on the edge of a precipice. We found chaos and we leave prosperity. We have preserved the American way of life. We found half our banks in bankruptcy and we are leaving the most stable banking system men have ever created. We found farm prices below the cost of production and leave them at the highest level in history. We found old age in destitution and leave it in comfort and security. We found labor unemployed and hopeless, and today jobs are going begging. We found America facing the greatest military menace in histor.y and leave it the foremost Nation in the world.
We just listened, "Mr. Speaker, to the President's Budget message. It Is a forthright presentation of the Nation's financial status, actual and projected, so far as projection is practieal at this time. It is a further evidence of the determination of the Democratic Party to bring the cost of government down to the .lowest level consistent with outlays occasioned or required by law, contractual obligations, and expenditure objects which would be unwise from a public-spirited standpoint to ignore or defer at this time.
It is with a considerable sense Di pride that we point to the rapid .reduction .in. the rate of expenditure brought about by our party since the cessation of hostilities. Bear in mind that the Japanese war w.:as going on but 17 months ago. The .fiscal year which ended .June 30, 1946, 6 months .ago, was 'Partly a war year. Despite this pressing 'Situation, expenditures dropped in that year from a prior$100,000,000;{)00 ceiling to $65;0ao,ooo.ooo. This year the outlook is for a total of $~.50D.OOO,OOO. For 1948, commencing July 1, the President projects a total of $37 ,500,.000,000. which will be within the estimated receipts with a rela·Uvely small margin for debt retirement.
In his address to this body on the opening day of the session, r0ur new Speaker .said:
We must, after 17 long years, balance the budget and commence paying o:II 'the national debt.
There is an implication there that the Republican }?arty is proposing to start ~omething, which as a matter of fact, bas a1ready been started. Certainly there is .no mention or commendation of the unprecedented accomplishmentc already achieved. That was, to say the least,
hardly a premise on which to invite cooperation. ·
The pa.~ty newly coming into -power cannot hope to equal in this session of Congress, either in percentages or iu total amounts reclaimed, the retrenchments and rescissions effected by the party in power in the last session.
I may say, Mr. Speaker, that on this side of the aisle we will continue, as far as we are permitted, the retrenchment program which we promptly inaugurated upon the cessation of hostilities, and we will contribute every support to the further development of that program where it is evident that such course would be ·in the public interest.
Let me add that our past record would have been a better one had we had the kind of support we are being solicited now to give. I recall some very large savings that would have ensued had our friends on that side of the aisle, 1ollowing our lead, refused funds for proposed construction of a number of naval ships that Bikini rendered obsolete; riding O¥er the committee roughshod when we advocated deferment of undertaking the prosecution of a number of river and harbor projects; and other proposals for unwarranted expenditures.
When you have an economy <>bjective, Members must subordinate local interest to national interest. You will . not get anywhere unless you do, and if that policy had prevailed during the last session you would be confronted today with a smaller budget than is submitted by the President in the message just received.
However, it has been the policy of the Appropriations Committee from its inception to examine estimates of appropriations and to cut them wherever a cut seemed to be justified. You will find the Democratic members of the committee ready to. continue that -course.. Manifestly the field for application of the knife is Iimirect. Do not 1ook at totals for agencies. If you examine their ·component parts, you can better understand the problem. Of course, you can cut indiscriminately to arrive at a predetermined ceiling either with the determination to hold to such reduced .amounts or with the idea of providing supplemental amounts later.
I trust there will be no disposition to wink at any disregard of the antideficiency law. There is such a law, and it has teeth in it. Indiscriminate cuts, in view of that Jaw, can prove disastrous.
We shall not be a party to that sort of retrenchment.
The immediate ann of our Republican brethren, we are told, is tax reduction. Last summer my good friend. the gentleman from Minnesota [Mr. KNUTSON], announced on the floor here in a colloquy during the debate on the last appropriations bill that he would sponsor a 50-percent tax slash.
I notice now in the newspapers that he has come down a Tittle. He has dropped from 50 percent to 20 percent, apparently.
Speaker MARriN tells us, and I quote from his very notable .address:
We intend to reduce tax Tates whenever and as promptly as it 1s feasible to do so. We
~ave given that promise .to the American people and · we intend ..that it shall be fulfilled.
That sounds a little better; it is somewhat more reserved than some earlier utterances.
We intend to reduce tax rates whenever and as promptly as 1t is feasible to do so.
That sounds much more statesmanlike, more prudent, although there is a world of latitude in that word "feasible."
Speaking as one Democrat, I am for reducing tax rates whenever and as promptly as such course would appear to be in the public interest. I shall need much persuasion, however, to support any move that would r-educe the Federal income at this critical time. Our public debt is today above $259,000,000,000-such a debt as was never carried by any nation at any period in tbe history of the world. I am not one of those who believes 'that it should be passed on to generations a hundred years hence with the possibility of superimpostiori thereon of
. many more billions of dollars. Speaker MARTIN tells us: The debt into which this Nation has been
plunged is of such magnitude that it cannot be paid o:II in more than a century.
That is a frightening statement, it is a disheartening statement; a statement !Taught with implications which should alarm all . thinking Americans. God grant that America may never again become involved in w;ar; and God grant that .America shall never again find hersell in such dire :financial stress as the Democrats fmmd the Treasury when they .completely assumed the .reins of government :in 19.33.
The SPEAKER. The time of the gentleman from Missouri has expired~
Mr. CANNON~ Mr. Speaker, I ask unanimous consent to proceed for five additional. minutes.
The SPEAKER. Is there objection to the request of the gentleman from Missouri?
There was no objection. Mr. CANNON. What-assurances under
the proposed program that has been announced here through the newspapers in the last few days is there that such a situation will not recur? Mr~ RANKIN. Mr. Speaker, will the
gentleman yield right there? Mr. CANNON. 1 yield to the gentle
man from Mississippi. Mr. RANKIN. I think the gentleman
-ought also to include the fact that in 1930 we had only .$4,426,000,~00 in circulation. The last Treasury report 1 have is dated October Sl, 1S46. It shows that the amount of money in circulation at that time, instead of being $4,~,000,-000, was $28,600,120,086. Therefore, -when you talk all>out the national debt .and compare it with the national debt ln former years you should take in't.o consideration the depreciation .of the value of the dollar and the inflation of
"'the currency as it now exists . Mr. CANNON. 'The statement of the
·gentleman from Mississippi emphasizes· the signifieanee of the situ~tion.
1947 CONGRESSIONAL RECORD-HOUSE 255 Mr. MURDOCK. Mr. Speaker, will
the gentleman yield? Mr. CANNON. I yield to the gentle
man from Arizona. Mr. MURDOCK. Can the gentleman·
state the total amount of the rescission bills we passed during the last Congress?
Mr. CANNON. They were in excess of $64,000,000,000, an amount unprecedented in the annals of any American war.
Mr. MURDOCK. May I ask further, Is this practice of passing such rescission bills a new practice or has that been done earlier in our legislative history?
Mr. CANNON. It has not been done before- to the- amnunt or with the promptness- with which we acted in the last Congress. After· the last war a smaller amount was· recaptured following the termination · of hostilities. In this war we incorporated in the appropriation bills a provision that the Budget Bureau should submit periodically information upon which to base such rescissions, and promptly on the capitulation of the Japanese, members -of our com..:mittee were called back and proceeded without the loss of time with a program which resulted in the salvaging of this unprecedented amount of $64,000,000,-000. No committee could have proceeded with more celerity or more effectiveness.
It behooves us, therefore, to liquidate the present debt whenever and as promptly as the people's welfare will permit. I personally feel that the time is not opportune deliberately to lessen income and that it is in the Nation's interest to employ any surplus it may be practical to build up in the reduction of this enormous debt. · It cannot be repeated too often that the debt is costing us five billion annually in interest alone and that interest is at a remarkably low rate, the lowest rate at which Government expenditures of that character were ever funded. What will it be when large-scale refunding operations become necessary? Between January 1, 1950, and December 31, 1954, $38,880,000,000 of 2-percent bonds will mature.
The SPEAKER. The time of the gentleman from Missouri has expired.
Mr. RANKIN. Mr. Speaker, I ask unanimous consent that the gentleman be permitted to proceed for five addi:. tiona! minutes.
The SPEAKER. Is there objection to the request of the gentleman from Mississippi?
There was no objection. - Mr. CANNON. Mr. Speaker, will it be possible to refund -~hat amount of money at 2 percent? The day is coming when replacement issues for maturing securities will have to be made sufficiently attractive to interest those who have funds to invest. We shall not be in a market influenced by victory drives and a national spirit of sacrifica_for boys waging war in distant lands. It is entirely conceivable that replacement issues may have to be made tax-exempt, or marketed at a sufficiently attractive discount, in order that maturing obligations may be met. The potentialities are many and run to extremes disturbing to contemplate.
Froni whence comes . the urge for an immediate tax reduction? Our people were never better ·circumstanced. The banks are surfeited with deposits. At the end of August $63,200,000,000 of interest-beadng public debt was owned by. individuals. - -Wages are at top levels. Employment is at top levels. Business at present and _prospectively has never been excelled in times of peace. Does not that all point. to the wisdom of making as much inroad upon the public debt as e~isting sources of income may permit as long as such a healthy state of a_ffairs obtains?
I submit that a contrary course is fra).lght with danger and should not be embarked_:upon untiL.the potentialities pro and con have been thoroughly explored .. This is not a political or a party question. It is a question. of grave general national concern. not alone as regards the present but as regards many tomorrows. ·
So, I say to my Republican friends, we shall be glad to cooperate with you in the furtherance_of programs and policies initiated. by Democratic Chief Executives and Democratic Congresses, and to join with you in all economy measures which have firm foundations, and which in our judgment, will best promote the interests of the Republic and 'the people as a whole.
EXTENSION OF REMARK&
Mr. LYNCH asked and was given permission to extend his remarks in the RECORD.
Mr. GORDON asked and was given permission to extend his remarks in the RECORD and to include a letter from Mr. Wells relating to the coming Polish elections.
Mr. JENSEN asked and was given permission to extend his remarks in the RECORD and include an editorial appearing in the Washington Times-Herald of November 30.
Mr. CRAWFORD asked and was given permission to extend his remarks in the RECORD and include a statement appearing in the Financial Chronicle, of New York. SERGEANT AT ARMS OFFICE ACCOUNTS
Mr. CRAWFORD. Mr. Speaker, I ask unanimous consent to address the House for 1 minute.
The SPEAKER. · Is there objection to the request of the gentleman from Michigan?
There was no objection. Mr . . CRAWFORD. Mr. Speaker, the
House Members have received from Mr. Shotwell, senior investigator of the General Accounting Office, a statement
. similar to the one which I now )lold before me, asking us .to verify the accounts, or whatever we might owe to the Sergeant at Arms Office.
In discussing this form with the General Accounting Office I have made some suggestions with respect to the wording of the form. It is customary, of course, for a group of auditors to send to the creditors or debtors of a firm a figure which the creditor or debtor can verify. In this. case no figure was submitted. So I think we, as Members of the House, can expedite the work and bring about the
opening of the office much sooner if we will take our last statement received prior to January 3, 1947, and then add to that the January 3 credits of $833.33 and $208.33 and deduct such.. outstanding checks as we have, and then send the verified figure to the General Accounting Office: without delay. That is one way to avoid the necessity of the General Accounting Office having to send us another statement. What they should have done, of course, was to give us a figure to work from, but on account of conditions prevailing, they did not do that. Now we have to build our own figure if we are te hurry the work along.
MEETING OF THE WAR VETERAN CONGRESSMEN
Mr. SPRINGER. Mr. Speaker, I ask unanimous consent to address the House for 1 minute.
The SPEAKER. Is there objection to the request of the gentleman from In-diana? ·
There was no objection. Mr. SPRINGER: Mr. Speaker, I take
this time to advise the Members of the House that on Monday next, at 10 o'clock in the morning, there will be a meetin'g held in this Chamber for the veterans of all wars who are Members of the House of Representatives at this time. It will cover those from the SpanishAmerican War, World War I, and World War II.
The purpose of this meeting is for the reactivation or reorganization of a veterans' group which has been organized in this House since World War I. May I say that this meeting, or any meetings which are held in the future, will be entirely nonpolitical, and they will be wholly social in charaCter and for educational purposes. Recently-and I think it appeared in one of the papers last night-the press purported to claim that this was intended as a veterans' bloc. There is nothing of that kind or character intended. This will be a social organization entirely. This will not be a veterans' bloc in any respect.
Mr. HALLECK. Mr. Speaker, will the gentleman yield?
Mr. SPRINGER. I yield to the gentleman from Indiana.
Mr. HALLECK. I am very- glad the gentleman has made this statement, particularly with reference to the published stories about the formation of some sort of bloc. I am quite sure the last thing the gentleman from Indiana would have in mind would be that some pressure operation was contemplated.
Mr. SPRINGER. No pressure operation is contemplated, it will not be a veterans' bloc, and we will not operate as a bloc. It is entirely social in character and nature. Each veteran member will vote his own independent determination upon each measure presented.
Mr. RANKIN. Mr. Speaker, will the gentleman yield?
Mr. SPRINGER. I yield to the-gentleman from Mississippi.
Mr. RANKIN. May I say to the gentleman from Indiana that the Veterans' Association is already in existence. I believe the gentleman from North Carolina . [Mr. BULWINKLEJ is the chairman.
256 CONGRESSIONAL RECORD-HOUSE JANUARY 10 Mr. SPRINGER. .That is right. Ma- ·
jor Bulwlnkle is the present chairman of the veterans' group.
Mr. RANKIN. It has been in existence ever since the last war. It is nonpolitical ,being purely social in its nature.
Mr. BROOKS. Mr. Speaker, will the gentleman yield? .
Mr. SPRINGER. I yield to the gentleman from Louisiana.
Mr . BROOKS. I agree with what the gentleman has said. The meeting should be nonpartisan, and it should so organize as not to interfere with the normal funct ioning of House committees. To that extent, veterans have a common interest that we can sP.rve by mutual education. I hope every veteran will attend the meeting Monday at 10 a. m.
Mr. SPRINGER. That is entirely correct. Remember the time, Monday morning next, at 10 o'clock, in this chamber. All are invit-ed.
The SPEAKER. The time of the gentleman from Indiana has expired.
I ADJOURNMENT OVER
Mr. HALLECK. Mr. Speaker, I ask unanimous consent that when the House aajourns today, it adjourn to meet on Monday next.
The SPEAKER. Is there objection to . the request of the gentleman from In
diana? There was no objection.
EXTENSION OF REMARKS
Mr. PLOESER (at the request of Mr. CuRTIS) was given permission to extend his remarks in the Appendix of the REcoRD and include Report of the Special Committee of the St. Louis Airport Commission.
Mr. PLOESER Cat the request of Mr. CuRTIS) was given permission to extend his remarks in the RECORD and include an editorial from the St. Louis PostDispatch, of January 7, 1947.
Mr. FORAND asked and was given perIr'.Jssion to extend his remarks in the RECORD and include a resolution.
Mr. MURDOCK asked and was given permission to extend his remarks in the RECORD.
Mr. POULSON asked and was given permission to extend his remarks in the REcoRD and include two articles on the subject of taxes.
Mr. STEFAN asked and was given permission to extend his remarks in the REcoRD and include a speech by Judge Prettyman.
SPECIAL ORDER GRANTED
Mr. HOFFMAN. - Mr. Speaker, I ask unanimous consent that on TuesdaY next, at the conclusion of the legislative program of the day and following any special orders heretofore granted, I may be permitted to address the House for 20
·minutes. · The SPEAKER. Is there objection to
the request of the gentleman from Michigan?
There was no objection. EXTENSION OF R,EMARKS ·
Mr. HOFFMAN. Mr. Speaker, I ask unanimous consent to extend my remarks at this point in the RECORD.
The SPEAKER. Is there objection to the request of the gentleman from Mich-· igan?
There was no objection.. . - Mr. HOFFMAN. Mr. Speaker, the· National Labor RelaMons Act commonly· known as the· Wagner Act h,as been inforce since 1935. Under the interpreta-tion of that act by the NLRB and the· courts the .causes of labor disputes have increased rather than diminished as have strikes, until over the country there. has swept a wave of indignation and protE!st which can no longer be ignored by the Congress.
·Not only have employers protested but the presidents of the three major labor organizations-Mr. Green, of the A. F. of L.; Mr. Murray, of the CIO; Mr. Lewis, formerly affiliated with the A. F. of L., then with the CIO, then with the United Mine Workers and now back again with the A. F. of L.-have all on occasion charact erized the interpretation and the administration of the act as arbitrary and unfair, as tending to create labor unrest. The people now demand the repeal of the Wagner Act.
Those who understand labor's problems still believe in collective bargaining but they insist that the right of the unorganized workers, who far outnumber those who are organized, shall be protected.
They further insist that the rights of the public are paramount, cannot be destroyed in order to advance the interest of minority groups, without endangering the foundations of the Republic.
Hence, the bill today is introduced to repeal the Wagner Act ::>,nd to enact equitable, basic legislation.
Permit me briefly to recite some of the reasons for the repeal of the Wagner Act, ·for the enactment of labor legislation and to clarify by question and answer some of the provisions of the bill. The abuses perpet rated, not by workers, employees, nor friends of labor but by rack-· eteers who have taken advantage of the situation, who are injuring the causes of labor, and by a few politicians who hope through false promises to profit individually by assuming to act as spokesmen for labor, must be brought to . an end. _ _
What the bill which will be introduced on Monday attempts to do is to provide a remedy for lock-outs, slow-downs, work stoppages, and strikes which lessen production, disturb the economic structure, injuriously affect the public health, safety, and welfare. . The Labor Department reports that during the first 11 months of 1946, 107,475,000 man-days of productive work were lost through strikes, while during the preceding year strikes caused the loss of but 38,025,000 man-days. The Wagner law is not a remedy; it has not lessened labor disputes nor removed their causes. It . has created and fostered an extra.-Iegal tax-collecting-initiation fees and dues-agency. . Recently labor unions have filed lawsuits asking for the payment by employers to employees of something over $3,000,000,000 for so-called overtime spent, not in productive work, but in
going to or from the place of employment ·or in preparation for productive work. •
The demands are for · billions of dollars which employers 'never expected topay; which the employees never expected to be paid. · The suits grow out of judicial legisla
tion promulgated by certain members of the United States Supreme Court; are inspired in many mstances by racketeering labor leaders, . unscrupulous lawyers and, no doubt in some cases by Communists who desire to wreck America.
A few of the demands presented may have been made by workers who have rendered services during. overtime hours, for compensation to which they ·are justly entitled. Such actions are very few in number and the amounts involved are relatively small.
Differences t>f opinion involving questions of public policy which affect the national interest cannot be settled by legislation which is inequitable; which does not at least attempt to mete out justice to all.
Such differences of 'opinion, unlessremedied by just legislation fairly interpreted by the courts, where the issues are vital and an inequitable solution may ruin one large segment of our population, may, as did the question of slavery, involve us in civil strife.
Permitting the issue to drift until such a result comes upon us is unthinkable. Labor disputes; with their attendant strikes, accompanied by the massed· picket line, violence, destruction of property, and rioting, may, unless we now find the answer, ultimately involve us in civil war.
To remove the causes of labor disputes, to establish equality of bargaining power between employees and employers, the National Labor Relations Act-the Wagner Act-was passed in 1935. Unfortunately, that act made no effort to mete out equal justice to those required to bargain, to those compelled to work together. It carried no protection for the public.
Privileges without responsibility were given employees and labor organizations, while liabilities, penalties, and responsibility, together with a restriction on longestablished customary industrial practices and procedure, were imposed upon employers.
While the act protected employees against employers, it gave individual employees no protection whatever against labor racketeers or their own officials.
The act was so unfair, its interpretation so one-sided, that not only did employers and the public complain, but, on occasion, President Green of the A. F. of L., Murray of the CIO, and Lewis of the United Mine Workers, bitterly condemned it and its administration.
The special privileges granted by the act were so abused, it was so erroneously interpreted, so maladministered that all too often the public health, safety, and welfare were imperiled. -- Public sentiment, the public good, now demand the repeal of the National Labor Relations Act.
The security of the· worker, the freedom and prosperity of the people, the
1947 CONGRESSIONAL RECORD-HOUSE 257 welfare of the Nation demand the enactment and enforcement · of . over-all basic labor legislation safeguarding the interests of the man who must work if he would eat, of the employer who must have a profit if he creates and holds open a job, of the citizen who is not a party to a labor dispute.
To accomplish those purposes, this bill is offered without pride of authorshiPwith the hope that it may be considered on its merits-and prove to be the muchneeded, long-sought, remedy.
This is the first attempt to in one bill advance and protect the interests of all parties affected by labor disputes and strikes-the employee-the employer and the innocent citizen who all too often is trampled by the warring contestants.
The concept underlying this bill is one which has been long awaited in many quarters. It proceeds upon the theory that labor has grown up, and should no longer be permitted to continue as the "tough boy" of society, disregard the welfare of the public. Having grown up it should take its place as a responsible member of the American family, and like industry, assume responsibility, be kept within appropriate bounds.
This the bill accomplishes, by making employee and labor organizations equally. responsible with industry and employers for the perpetration of any unfair labor practice. It makes both labor and industry amenable to the courts, which under the Norris-LaGuardia and Wagner Acts, virtually refused to impose any restraint upon the activities of labor, no lJ;latter how shocking to the conscience or detrimental to the public interest or to the interest of labor those activities may have been.
Under the bill, the Federal courts are empowered to make any order or judgment, either preliminary or final, which is necessary to promote industrial harmony, protect the public and to do justice in any particular case or controversy. Nuisance suits filed either by an employee, a labor organization, or by an employer, a wide-spread practice under the Wagner Act bitterly complained of by industry, are placed under a salutary restraint. The courts are authorized to award attorneys' fees as well as legal costs to the prevailing party in any controversy arising under the act. Nuisance suits would, therefore, subject their sponsors to the obligation of paying their intended victims' court costs and ·attorneys' fees.
The bill also provides that whenever a plaintiff has himself been guilty of an unfair labor practice related to the controversy, the court shall render judgment dismissing his complaint as such practice constitutes a complete defense. This provision will insure that either employee or employer invoking the jurisdiction of a court must come in with "clean hands."
The National Labor Relations Board created by the Wagner Act is abolished and a new Board is created which is designated as the National Labor Mediation Board. The section authorizing the creation of the Mediation Board provides that it should be composed of.
XCIII--17
three members, the initial terms of whom .shall be 2, 3·, and 5 years. This will enable the President to designate one member whose term will expire in 1948 and two other members whose terms will expire in 1949 and 1951, respectively. The latter, it is anticipated, will be subject to special scrutiny by the Republican-dominated Senate.
The Board, in organizing its staff, is required by the act to select personnel who are not only American citizens but who will enable it to function in an impartial manner. This presumably would exclude all personnel who are decidedly "left or right of center" and those who 'are known as "pinkish" or "fellow travelers." This provision should prove to be a boon to industry as well as to those labor organizations which have striven with notably poor succ~ss to rid them.- -selves of Communist domination.
The Mediation Board is given exclusive jurisdiction to hear and determine controversies with respect to representatives for collective bargaining, to grant, withhold, or revoke certification of unions, to require by order the resumption of collective bargaining. Whenever it breaks down and a strike is threatened, the Board is directed to use its best endeavors in such instances to mediate industrial differences and promote harmonious relations between employees and employers.
Another area of exclusive jurisdiction which the bill gives the Mediation Board is one of outstanding importance to the Nation and its economy. We have witnessed the consequences of work stoppages in industries where harmony existed in employer-employee relations and which were brought about because of strikes called in other industries whose functioning was necessary to the pontinuance of activities in the former. We have also witnessed the paralyzing results to the Nation's economy of strikes in · those industries which were directly connected with the public health, safety, and welfare of the people.
The bill authorizes the Mediation Board to keep a watchful eye on all segments of the industrial economy and to evaluate the effect of strikes upon any level of the economy. Whenever the Board finds that any threatened strike will be inimical to the public interest by involving the safety, health, or welfare of the people, either directly or indirectly, such as by causing a slowdown or a work stoppage in a public utility or a food-processing industry, a declaration of that .fact may be made by order of the Board. Thereupon a strike ~n such industry must be deferred for a period of 6 months. The refusal of any employee to continue in his work in such an industry in the interim is-an unfair labor practice and would justify the termination of his employment and the hiring of another worker to replace him at his post of duty.
The closed shop and the closed union are banned, as is all violehce and intimidation in organizing employees, forming unions and collecting dues. Secondary strikes, sympathy strikes, jurisdictional strikes are illegal and· anyone guilty of
indulging. in any prohibited activity is subject to criminal penalties as well as to civil liabilities.
The bill certainly emancipates the American worker and protects him from violence, coercion, and compulsion. It preserves his right to free speech, to strike, and it also guarantees to him the unconditional right to work.
The bill elevates labor to the dignity and stature of responsibility and provides a sound foundation for its healthy development as a functioning element of our Nation's structure.
The bill and the index to the bill read as follows: A bill to repeal the National Labor Relations
Act, approved July 5, 1935, and to diminish the causes of labor disputes burdening c-r obstructing interstate and foreign commerce, to create a National Labor Mediation Board to protect the public health, safety, and welfare, and for other purposes Be it enacted, etc.-
FINDINGS AND POLICY
~ECTION 1. Experience has proved that protection by law of the right of employees to organize and bargain collectively safeguards commerce from injury, impairment, or interruption, and promotes the flow of commerce by removing certain recognized sources of industrial strife and unrest, by encouraging practices fundamental to the friendly adjustment of industrial disputes arising out of differences as to wages, hours, or other ~orking conditions, and by restoring equality of bargaining power between employers and employees.
Experience has proved that abuse of the rights conferred upon employees and labor organizations by the National Labor Relations Act has at times injuriously affected the public health, safety, and welfare; encouraged defiance of lawful authority and threatened civil strife.
It is hereby declared to be the policy of the United States to eliminate the causes of certain substantial obstructions to the free flow of commerce, to eliminate the slowing down or cessation of activities which injuriously affect the public health, safety, and welfare, and to mitigate and eliminate those obstructions when they have occurred by furthering the development of friendly and· mutually fair labor relations, by protecting the practice and procedure of collective bargaining and by protecting the exercise by all work'ers and employers of full freedom of association, self-qrganization, and designation of representatives of their own choosing, for the purpose of negotiating the terms and conditipns of their employment or hiring or other mutual aid or protection.
DEFINITIONS
SEC. 2. When used in thi.s act-(a) The term "person" includes one or
·more individuals, partnerships, associations, corporations, legal representat ives, trust ees, trustees in bankruptcy or receivers.
(b) The term "employer" means any person who employs more than 10 employees and includes any person acting in the interest of an employer, directly or indirectly, but shall not include the United States, or any State or political subdivl..sion thereof, or any person subject to the Railway Labor Act, as amended from time to time, or any labor organization (other than when acti.Iig as employer) ; or anyone acting in the capacity of officer or agent of sucp. labor organization.
(c) The term "employee" shall include any individual in the employ of any person including any whose work has cea~ed in conse_quence of any employer's unfair labor practice and who ·has not obtained other regular and substantially equivalent employment,
258 CONGRESSIONAL RECORD-HOUSE JANUARY 10 but shall not include any person employed as a foreman or in any other supervisory capacity, or any individual employed as an agricultural laborer or in the domestic service of any family or. person at his home, or any individual employed by his parent' or spouse, or any individual who has been discharged for lawful cause or whose work has ceased in violation of a valid contract or who, has been laid off for lack · of work, inefficiency, misconduct, or other good cause.
(d) The term "any individual employed as an agricultural laborer" shall include any person engaged as an employee in farming in all its branches and, among other things, includes the cultivation and tillage · of the soil, dairying, the production, cultivation, growing, and harvesting of any agricultural or horticultural commodities (including commodities defined as agricultural commodities in section 15 (g) of the Agricultural Marketing Act, as amended), the raising of livestock, bees, fur-bearing animals, or poultry, eggs, baby chicks, and poults, and any practices (includi:r:tg any forestry or lumbering operations whEffi it is performed in connection with bona fide farming) performed by or for a farmer or on a farm as an incident to or in connection with such farming operations, including preparation for market, delivery to storage or to any processing plant, or to market qr to carriers for transportation to market; and shall also include employees of establishments engaged in ginning or compressing of cotton, or canning or freezing during the harvesting season from their raw or natural state, or pasteurizing, or drying, or preparing .in their raw or natural state, of any agricultural or horticultural commodities for market, or making cheese or butter or any other dairy products, and such packing or handling or storing as is used in connection therewith or is incidental thereto, when such establishment is located (1) at a point where the major commodity used in such establish:r;nent is normally produced in commercial quantities within a radius of 50 miles thereof; and (2) within the general territory in any region of the United States where the farming .district or districts are located from which such commodity is produced and within or in close proximity to any such farming district; or at such place in the general territory in proximity to such farming district , where such commodity is produced (but outside of any metropolitan industrial city) as is necessary to obtain reasonable, available, and adequate transportation, water power, or other required operating facilities; and (3) such establishment is engaged in the above operations on products produced from any farming district within the same general territ ory.
(e) The term "representatives" includes any individual or labor organization.
(f) The term "labor organization" means any organization of any kind, or any agency or emplosree-representation committee or plan, formed and controlled by employees and in which employees participate and which · exists for the purpose, in whole or in part, of
· dealing with the employer of such employees concerning wages, rates of pay, hours of employment, grievances, labor disputes, or conditions of work.
(g) The term "commerce" means trade, traffic, commer.ce, transportation, or communication among the several States, or between the District of Columbia or any Territory of the United States and any State or other Territory, or between aey foreign country and any State, Territory, or the District of Columbia or within the District of Columbia or any Territory or between points in the same State but through any other State or any Territory or the District of Columbia or any foreign country.
This act shall not apply to any person whose sales in commerce-as defined herein-during the calendar year preeeding the date of filing a complaint or petition relat-
ing to that person were less than 50 percent of that person's total sales.
(h) ·The term "affecting commerce" means in commerce, or substantially burdening or obstructing commerce· or the free flow of commerce, or having led or tendii,lg to lead to a labor dispute substantially burdening or obstructing commerce or the free flow of commerce.
(i) The term "unfair labor practice" means any unfair labor practice listed in section 8.
(j) The term "labor dispute" includes any controversy concerning terms, tenure, or conditions of employment, or concerning the association or representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of employment, provided the disputantls stand in the proximate relation of employer and employee.
(k) The phrase "collective bargaining" for the purposes of this act shall be understood
- to mean the meeting together, on written request of one of the disputants, on a reasonable number of occasions and for a reasonable length of time, the reasonableness of the number of meetings and the length of the negotiations to be determined by talcing into consideration ,the views of the parties to the negotiations and the prospects of an agreement, of an employer and his employees, through accredited representatives voluntarily chosen by them, with the full and free opportunity for negotiating concerning the terms qr conditions of employment.
(I) The term "National Labor Mediation Board" means the National Labor Mediation Board created by section 3 of this act.
(m) The term "old Board" means the National Labor Relations Board established under the provisions of the National Labor Relations Act, approved July 5, 1935.
NATIONAL LABOR MEDIATION BOARD
SEc. 3. (a) There is hereby created a Board to be known as the National Labor Mediation Board (hereinafter referred to as the Board), which shall be composed of three members, who shall be appointed by the President, by and with the advice and consent of the Senate, after the date of the enactment of this act, for terms as follows: One for a term of 2 years, one for a term of 3 years, and one for a term of 5 years, as designated by the President at the time of nomination, and thereafter each member shall hold office for a term of 5 years from the expiration of the term of his predecessor, except that any individual chosen to fill a vacancy shall be appointed only for the unexpired term of the member whom he shall succeed. The President shall designate one member to serve as Chairman of the Board and may remove any mem:ber upon notice and hearing for neglect of duty or malfeasance in office but for no other cause . .
(b) Each member of the Board shall receive a salary of $15,000 a year, shall be eligible for reappointment, and shall not engage in any other business, vocation, or employment.
(c) Upon the appointment and confirmation of the three original members of the Board· and the designation of its Chairman, the old Board shall cease to exist.
(d) A vacancy on the Board shall not impair the right of the remaining members to exercise all the powers of the Board, and two members of the Board shall at all times constitute a quorum. Vacancies occurring in the membership of the Board, however, shall be filled as promptly as possible.
(e) The Board shall appoint, without regard for the prdvisions of the civil-service laws, but subject to the Classification Act of 1923, as amended, an executive secretary and such attorneys, examiners, and regional directors, and shall appoint such other employees with regard to existing laws applicable to the employment and compensation of officers and employees of the United States,
as it may, from time to time, fj.nd necessary for the proper performance of its duties and as may be from time to time appropriated for by Congress: Provided, however, That the Board shall not ~ppoint any person to any position who is not at the time of such appointment an American citizen, nor shall the Board appoint an executive secretary, attorney, examiner, regional director or employee who shall have been an employer of 10 or more persons or who shall have been on the pay roll or an officer of a labor organization or industrial association within a period of 2 years prior to the effective date of such an appointment: . Provided further, That the Board may also employ such employees of the old Board as may be specifically selected by the Board. Any employees of the old Board so selected and employed may be transferred to and become employees of the Board with salaries under the Classification Act of 1923, as amended, but no employee so transferred shall acquire a permanent or civil-service status by such transfer.
(f) All records, papers, and property of the old Board shall become records, papers, and property of the Board, and all unexpended funds and appropriations for the use and maintenance of the old Board shall become funds and appropriations availab.le to be expended by the Board in the exercise of the powers, authority, and duties conferred on it by this act.
(g) All of the expenses of the Board, including all necessary traveling and subsistence expenses outside the District of Columbia incurred by the members or employees of the Board, under its orders, shall be allowed and paid on the presentation of itemized vouchei·s therefor approved by the Board or by any individual it designates for that purpose.
(h) The principal office of the Board shall be in 'the District of Columbia, but it may meet and exercise any or all of its powers at any other place. The Board may, by one or more of its members, or by such agents or agencies as it may. designate, hold hearings necessary to its functions in any part of the United States; except that in holding hearings necessary to its functions or otherwise in exercising the powers conferred upon it by this act the Board shall not, directly or indirectly, by its employ{)es or otherwise, act in any othe'r than a completely impartial manner. The Board may establish or utilize such regional, local, or other agencies and utilize such voluntary and uncompensated service as may from time to time be necessary and desirable to effectuate the purposes of this act: Provided, That persons or agencies so utilized shall be completely impartial.
(i) The Board shall have an official seal which shall be judicially noticed.
SEc. 4. The Board shall have exclusive jurisdiction-
( a) To hear and determine any and all controversies affecting the representation of employees for collective bargaining;
(b) To grant or withhold certification of representatives of employees for collective bargaining, and to revoke certification of such representatives for cause or whenever otherwise necessary to effectuate the purposes of this act;
(c) To hold such hearings as may be necessary in the performance of its duties and the exercise of its authority upon due notice to all parties in interest therein; ·
. (d) To require 11y subpena the attendance at such hearings of any and all persons and to require the production of such books, papers, and recor.ds as may be necessary for the discharge of its duties. Any witness summoned before the Board or to any hearing or proceeding before the Board shall be paid the same fees and mileage as are paid witnesses in the courts of the United States. In case of failure to comply with any subpena or in case of the contumacy of any witness appearing before t~e Board. the
1947 CONGRESSIONAL RECORD-HOUSE 259 Board may invoke the aid of any United States district court. Such court may thereupon order the witnesses to comply with the requirements of such subpena or to give evidence touching the matter in question as the case may be. Any failure to obey such order may be punished by such court as in contempt thereof. No person shall be excused from attending or testifying nor from producing any book, paper, document, or other evidence on the ground that the testimony or evidence, documentary or otherwise, may tend to incriminate him or subject him to a. penalty or forfeiture; but no natural person shall be prosecuted or subjected to any penalty or forfeiture for or on account of any transaction, matter, or thing as to which, 1n obedience to a subpena and under oath, be may so testify or produce evidence, documentary or otherwise, but no person shall be exempt from prosecution and punishment for perjury committed in so testifying;
(e) To prescribe the forms of petitions and other pleadings and to administer all oaths and affirmations incidental to the conduct of any proceeding · or hearing within the "jurisdiction of the Board;
(f) Upon the receipt of notice that any party to a labor dispute intends to engage fn a strike affecting commerce, to require by order the parties to such labor dispute to resume collective bargaining under the supervision of the Board upon any and all matters in controversy between them and,
· in conformity with the provisions of this act, to mediate such differences and any others which may arise.
(g) The Board shali have authority from time to time to make, amend, and rescind such rules and regulations as may be necessary to carry out the provisions of this act: Provided, That such rules and regulations shall not favor or discriminate against any party to any controversy to which this act is applicable, and shall be effective upon publication in the manner prescribed by law.
SEC. 5. The Board shall at the close of each fiscal year make a report in writing to Congress and to the President stating in detail the cases it has heard, the decisions it has rendered, the names, salaries, and duties of all employees and officers in the employ or under the supervision of the Board, and an account of all money it has disbursed.
RIGHTS OF EMPLOYEES
EEC. 6. Employees shall have the unqualified right to freely form, join, and be members of any labor organization; to refrain from forming, joining, and from membership in any labor organization; to bargain individually or collectively with their employer; and to engage in and pursue individual or concerted activities for their mutual aid, protection, or for any other lawful purpose.
SEc. 7. (a) It shall be an unfair labor practice for any person-
(1) To threaten, restrain, or coerce employees in the exercise of the rights guaranteed in section 6 hereof: Provided, That nothing in this section shall abridge the freedom of speech or of the press; •
(2) To dominate or interfere by threat, restraint, or coercion with the formation or administration of ·any labor organization or for any employer to contribute financial or other support to it: PTovided, That nothing herein shall prohibit employers, individually or collectively, from furnishing housing, heating, lighting, and other facilities without charge for meetings relative :to activities of such employees, provided no discrimination is exercised among their employees in offering such facilities: Provided further, That an employer shall not be prohibited from permitting employees to confer with him during working hours without loss of time or pay-: And provided . further, That. nothing contained herein shall prevent any employee or employees, of their own initiative, from discussing any problem of common interest with their employer; or any employer from dis•
cussing with any employee or employees any such subject if in connection therewith labor-practices prohibitions herein contained are observed.
(3) To refuse to resume collective bargaining or to participate in a mediation under the auspices of the Board, whenever ordered so to do by the Board;
(4) To deny to any employee or employer the benefits of any of the terms and conditions of any agreement touching wages, rates of pay, hours of employment, or conditions of employment provided for in any agreement in existence at the time of the commencement of collective bargaining or during the pendency of any mediation. required by the provisions of this act.
(b) It shall be an unfair labor practice for an employer to violate any of the provisions of this act, or-
(1) By discrimination in regard to hire or tenure of employment or any term or condition of employment to encourage or discourage membership in any labor organization;
(2} To discharge or otherwise discriminate against an employee ·because he has filed · charges or given testimony under this act, unless such testimony be proved to be willfully false;
(3) To refuse to bargain collectively with the representatives of his employees, subject to the provisions of this act; .
( 4) To deduct from the wages of employees any dues, fees, assessments, or other contribution payable to labor organizations, or to collect or to assist in the colle tion of any such dues, fees, assessments, or other contributio.n, unless such deductions have been voluntarily authorized in writing by the employee from whose wages such deductions ·are made;
(5) To fall or to refuse to comply with a subpena to testify or to produce books, papers, and records, issued by the Board.
(c) It shall be an unfair labor practice for an employee to violate any of the provisions of this act, or-
(1) To interfere with, restrain, or coerce other employees in the exercise of the rights guaranteed in section 6 hereof; ·
(2) To threaten, intimida,te, restrain by force or threat, or coerce any other employee, directly or indirectly, for the purpose and with the intent o1 compelling such employee (a) to join or to refrain from joining any labor organization; (b) to continue .or to suspend or to cease his employment; · or (c) for the purpose or with the intent of influencing or affecting his selection of representatives for the purposes of collective bargaining;
(3) To resort to or engage in, during the coqrse of any labor dispute and in connection with such dispute, any act or practice which is a violation of any criminal law effective in the jurisdiction ln which such act or practice occurs;
(4) To interfere by threat; intimidation, or force or threat of force, with the exercise of the right by any employee to continue at his work or to go to or from his place of employment;
(5) To· strike 1n violation of a valid contract or agreement or in violation of the provisions of this act;
(6) To refuse to continue in the performance of the duties of his employment at any place of employment 1n commerce whenever the Board shall find that such refusal will seriously · endanger the public health, safety, or welfare by bringing about a work stoppage or slow-down in any industry, the continued operation of which is essential to the public health, safety, and welfare: Provided, however, That nothing herein contained shall 1n any way impede or diminish the right .of an employee to terminate such employment at any time;
(7) To fall or to refuse to comply with a subpena to testify or to produce books, papers, and records, issued by the Board.
(d) It shall not be considered an unfair labor practice for an employer to discharge or to refuse to reemploy any person who, under the terms of this act, is guilty of an unfair labor practice; nor shall it be considered an unfair labor practice for an employer to refuse to bargain with any organization which or employee who fails to recognize or be bound by the official certificate of collective bargaining representatives issued under section 9 hereof, or willfully violates the terms of a collective-bargaining contract.
(e) It shall not be considered an unfair labor practice for any person to fail to reach an agreement after bargaining for a reasonable period of time.
SEC. 8. (a) It shall be unlawful for any person, directly or indirectly, ( 1) by force, intimidation, by threat thereof, or otherwise corruptly (a) to influence or attempt to prevent the free exercise by an employee of any of the rights prescribed in section 6 hereof; (b) to require or compel an employee to refrain or desist from continuing in his employment; (c) to molest or interfere with the right of an employee to peacefully go to or from the place of his £mployment; (2) to engage in any sit-down strike or other form of strike involving the illegal seizure or occupation of property; (3) to picltet any place of employment in commerce in any manner other than peaceful; (4) to prevent, impede, or deny ingress to and egress from any place of employment iP commerce; (5) to injure or destroy any place of employment in comm~rce, or any property therein; (6) to prevent the delivery to or the movement from any place of employment in commerce of any materials, goods, or commodities in commerce; (7) to halt, delay, or impede the free movement in commerce of any materials, goods, or commodities, or to refuse to load, unload, pack, ship, process, or handle any materials, goods, or commodities in commerce by reason of their manufacture, processing, packing, handling, or shipment, in whole or in part, by persons who either are or are not members of any labor organization; (8) to engage or participate in any sympathy or jurisdictional strike affecting commerce.
(b) Any person violating any of the provisions of subdivision (a) hereof shall be guilty of a misdemeanor and upon conviction thereof shall be subject to a fine of not more than $5,000, or to imprisonment of not more than 1 year, or to both, in the discretion of the court.
SEC. 9. (a) Whenever a petition shall be filed with the Board by an employer, a group of employees numbering or a labor organization representing at least 20 percent of those employed by an employer, in a plant unit, praying for an order affecting representation of employees, affecting the certification of any labor organization as bargaining agent of employees, affecting the type of unit appropriate for the purposes of collective bargaining, or otherwise within the provisions of this act, the Board shall provide for an appropriate hearing upon due notice to all parties having any interest therein, and shall, if appropriate to such proceeding, take within 10 days thereafter a secret ballot amongst all employees concerned therewith, affordiiig adequate opportunity for all employees cor..cerned to vote thereon, to determine the views of the majority, if any, with respect to the designation of representatives for collective bargaining, the type of unit most appropriate fqr the purposes of collective bargaining, or otherwise to effectuate the purposes of this act.
(b) The form of the ballot shall be prescribed by the Board but t~e ballot shall in all cases clearly and fairly present the issue and the result of such election shall be certified by the election officials to the Board.
(c) All elections held under the provisions of this act shall be held under the direction of the local election board or boards of the election district or districts where the unit
260 CONGRESSIONAL RECORD-HOUSE JANUARY 10 appropriate for such election shall be located and shall be conducted in the same manner as is provided' by the laws of the State where such election is held insofar as the .same are applicable.
(d) Before the Board shall issue any order certifying representatives for collective bar·gaining, the labor organization or representatives seeking certification shall qualify by filing with the Board a sworn statement setting forth the following information, which shall be brought up t.o date at least annually and whenever during any year any substantial change occurs in any of the facts set forth in the statement: (1) The official name or title of the labor organization or collective-bargaining agency; (2) the date established: (3) a copy of the constitution or articles of organization and of any bylaws in effect; ( 4) the names of all officers of the organization, with the certification that each is an American citizen; ( 5) the official addr.ess or ·principal place of business of the organization; (6) the names and addresses of the individuals who will actually function in collective bargaining with the employer, the majority of whom shall be bona fide employees of that employer, with the certification that each is an American citizen, the Board to . be notified of any changes in . the identity of- the individuals who will function thus and those changes to be in accordance with the foregoing pro·Visions; (7) a statement that its members .are a majority of the employees in the bar.gaining unit in .which such representatives were chosen. · ·
(e) Any person aggrieved by any final or..der of the B'oiu'd may obtain a review of such order by the Circuit Court of 'Appeals .of the United States, in the circuit wherein such per~on resides or transacts business or -in the Court of Appeals of the District of Columbia, by filing in such court a written petitio~ praying that the order of the Board be modified ·or set aside. A copy of such petition shall be forthwith served upon all persons having any interest therein,· and ·notice thereof shall be given to the Board. Thereafter, and within such time as may be required by rule or order of such ·court, the aggrieved party shall file in such court a transcript of the entire record of the proceedings before the Board, which record shall be certified by the Board, and shall include the petition, other pleadings, the te~imony upon which the order complained of was entered, and the findings and the order of the Board. Upon such filing the court shall have jurisdiction to grant to any party to the proceeding such temporary re~ief or restraining order as it deems just and proper or otherwise necessary to effectuate the purposes of this act, and in like manner to make and enter a decree enforcing, modifying and enforcing as so modified or setting aside, in whole or in part, the order of the Board. .The findings of the Board as to the facts, if supported by the weight of the ev~dence, shall be conclusive.
(f) Representatives designated or selected for the purposes of collective bargaining by the majority of the employees in a unit appropriate for such purposes shall be the exclusive representativ~s of all the employees in such · unit for the purposes of collective bargaining in respect to rates of pay, wages, hours of employment, or other conditions of employment: Provided, That any individual employee or a group of empLoyees shall have the right at any time to present grievances to their employer.
PREVENTION OF UNFAm LABOR PRACTICES SEc. 10. (a) The district courts ·of the
United States shall have exclusive juriSdiction of all other cases and controversies arising under the provisions of this act.
(b ) Upon the filing in any district court of a com plaint charging any person with the commission of any unfair labor practice, the
court may make such temporary orders with or without bond as may effectuate the purposes of this act. The court, pursuant to such rules as may be prescribed hereunder, sha-ll summarily require the joinder of issue on any such complaint, and, if possible within 10 days after the joinder of issue, shall hear the proofs and allegations of the parties and determine the matter or matters presented thereby. If after hearing the court shall be satisfied that any party to such action has engaged or is about to engage in any unfair labor practice the court shall 'make its findings of fact and shall render and cause to be served on such party a final order or judgment enjoining such party from such unfair labor practice, and requiring such affirmative action, including the payment of remedial severance pay, as will effectuate the purposes of this act and do justipe in the cause. Such order or judgment may further require such party to report the extent to which he ha:s complied with such ·order or judgment. If after hearing the court shall be of the opinion that no party to the action has engaged in or is about to engage in any unfair labor practice, then the court shall make findings of fact and render an order or judgment accordingly, dismissing the said complaint. As an· incident to the rendition of judgment in any such ·action, the court shall award the ·prevailing party· such reasonable attorney's fees as may be determined by the court, the
· costs allowable by law, ·and in addition may render judgment for such damages as may have been susta-ined by rea-son of .. the com:.
· mis5ion of any unfair labor practice. '(c) ·The ' commission of any unfair labor
pra:ctice by or chargeable to the plaintiff in any· such action, which the court shah find is
. related· to the matter or matters· in controversy · therein, shall constitute a ·complete defense to such action.
(d) Except as hereinbefore provided, such actions shall be governed by the same rules, including rules of evidence, as may at any time be applicable in civil actions in the district courts. Any party to any such action shall ha-ve -the -same rights of appeal therein as are granted by statutes applicable in other civil actions in the district courts.
(-e) For the purposes of th:ts section, the term "district court" shall mean any dis._ trict court of the United States, including the district ·courts of Alaska, Hawaii, Puerto Rico, Canal Zone, Virgin Islands, and the District · of Columbia, and the Supreme Courts of Hawaii and Puerto Rico.
(f) The President of_ the 1J:nited States is authorized, upon request by the Chief Ju~tice of the United States, to appoint fro111 time to time, by and with the advice and consent of the Senate, such additional district judges as may be necessitated by the enlarged jurisdiction conferred upon the district courts of the United States by the terms of this section.
MEDIATION OF LABOR DISPUTES SEc. 11. Whenever any employer and his
employees or their re_presentatives, after having engaged in collective bargaining for a reasonable period of time, have been unable to agree on any matter. affecting wages, rates of pay, terms, or conditions of employment, and in the opinion of any such person a controversy affecting commerce, or a labor dispute is likely to arise, or where because of such disagreement any party thereto has given notice to an employer that in the absence of the negotiation of an agreement any employee participating in such collective bargaining intends to engage in a strike which may affect commerce, notice of such fact shall forthwith be given to the Board in writing. Such notice shall contain a summary of the matters upon which such persons are in disagreement, as well as a summary of the matters upon which such persons are in agreement, and a copy of ~';lCh notice shall be forthwith ser.ved . upon any and all other parties who have participated
in the collective. bargaining. The Board shall thereupon, by ord~r, require suc.h parties to resume their. bargaining upon limy and all matters in controversy between them and shall use its best endeavors to mediate such differences as exist between the parties. If after a period of 30 days such controversy still exists, then it shall be lawful for the em-
' ployees concerned therein to conduct a strike against such employer: Provided, however, .That whenever the Board shall find that such threatened strike will seriously endanger the
_public health, safety, or welfare by bringing -about a work stoppage or slow-down in any industry the continued operation of which is essential to the public health, safety, and welfare, it shall not be lawful for the employees concerned therein to conduct such strike until a period of 6 months has elapsed from the resumption of collective bargaining: Provided further, however, 'l'hat nothing herein contained shall in any way im-pede or diminish the right of employees in such industries to individmi lly or collectively terminate their employment therein at any time.
The wages, the rates of pay, the hours of employment, and other conditions of employment provided in the terms of any agreement .between the parti-es to a,ny_ labor : dispute shall . not be withheld, suspended, abated, · ~e.ssehed, or impaired during ',the period of collective bargaining or mediation provided for herein, or in any period during which it is unlawful for any employee.
' to engage ih a strike, l_lotwithstanding the termination of a:ny s~ch .. agre~:ment . dur~n~ the pendency of such· negotiations or media-tion. . · ·
- ' LIM:ITATIONS · SEc. ~2. If any provision of this act shall conflict with any provision of · any other statute of the United States the provisions of this act shall be controlling: Provided, however, That nothing herein contained sl).all be deemed to . modify, amend or repeal any provision of any act governing · or pro_viding . for the .adjustment of disputes between carriers and their employees: Provided further, That in any situation where the provisions of this act cannot be validly enforced the provisions of such other acts _shall remain in full force and effect.
SEc. 13. If any provision of this act, or the application of such provision to any person or circumstance, shall be ··held invalid, the remainder of. this act, or the application of such provision ·to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby. · · · The National Labor Act approved July 5, 1935 (49 Stat. 449) is hereby repealed.
SEc. 14. This act may be cited as the "National Labor Mediation Act."
INDEX TO BILL I
Section 1. Findings and declaration of policy.
Section 2. Definitions. Section 3. National Labor Mediation Board: (a) .Creation and composition. fb) Salaries. (c) Termination of old Board. (d) Vacancies and quorum. (e) Officers and employees. (f) Provision for books, papers, property,
and funds of old Board. · (g) Payment of expenses. (h) Principal office, conduct of hearings
throughout country. ( i) Official seal. Section. 4. Jurisdiction of Board: (a) To select representatives of employees
for collective bargaining. (b) ' To grant, withhold, or revoke certifi
cation of representative. (c) To conduct hearings on notice. (d) Summoning witnesses, documentary
evidence, fees of witnesses, court aid in compelling production of evidence and attend-
1947 CONGRESSIO~AL RE.CORD-HOUSE 261 a~ce of witnesses, privilege of witnesses, and immunity from prosecution.
(e) To prescrib~ forms of pleadings, to administer oaths and affirmations.
(f) To order resumption of collective bar-gaining.
(g) Rules ·and regulations. Section 5. Annual report. Section 6. Rights of employees. Section 7 (a) Unfair labor practices by
persons defined. (b) Unfair labor practices by employers
defined. (c) Unfair labor practices by employees
defined. (d) Exceptions as to employers. (e) Exceptions as to persons. Section 8 (a) Offenses. (b) Penalties. Section 9 (a) Procedure for determination
of type of unit and representative for collective bargaining.
(b) Form of ballot. (c) Conduct of elections. (d) Qualification of representative for col
lective bargaining. (e) Review of final order of Board on peti-
tion to circuit court. · · (f) Exclusive bargaining representative. Section 10 (a) Jurisdiction of district
courts as to unfair labor practices. · (b) Power of district courts; award of
judgments, costs, reasonable attorney's fees: (c) Defense to action . (d) Rules governing action. (e) Term "distri.ct court" defined. (f) Authorization of President to appoint
additional judges. Section 11. Provision for mediation andre-
sumption of collective bargaining. Section 12. Conflict of laws. Section 13 . .Separability clause. Section 14. Citation of act.
Perhaps you have not listened to what has just been said; more p:robable is it that what has been said has not been clearly and concisely stated. 'If that be true; the fault is mine; so permit me to impose upon you further by asking a few
' questions and attempting to answer . them myself. ·
Here are some of the ·questions and at least a partial answer to each: ANSWERS 'IIO SOME OF YOUR QUESTIONS AND
WHERE IN THE BIL:L YOU WILL FIND THEMTHE NUMBERS AND LETTERS REFER TO SEC· TIONS AND SUBSECTIONS OF THE BILL
Question No. 1. What is the purpose of the bill?
Answer. To diminish the causes of labor disputes burdening interstate and foreign commerce, to protect the right to work and to protect the public health, safety, and welfare-section 1.
Question No. 2. How is that purpose to be accomplished?
Answer. (a) By the enactment of legislation which insures equal privileges to, imposes equal burdens upon, employees and employers; protects the right of the unorganized worker; guarantees that labor disputes shall not be permitted to injuriously afiect the public hea1th, sa.fety, and welfare.
(b) By the c11eation of a National I:Jabor Mediation Board-section 3 (a)with authority to hear complaints, des
. ignate collective-bargaining agentssection 4 (a) -and compel mediationsection 4 (f).
Question No. 3. Are the rights of employees defined?
Answer. Yes. Under the bill-section 6-employees have the right to form and .join or to refrain from forming and
joining a 1abor ·organization; to· bargain individually or collectively.
Question No. 4. Does the bill provide for an open shop, prevent the imposition of a closed shop? · Answer. ·Yes; under section 6 employ
e'es are given the right to join or not to join a l.abor organization. That prevents the imposition of a closed shop upon unwilling workers. Subsequent provislons of the bill, such as those contained in sections·7 an<Il8, guarantee an open shop unless, by collective bargaining, all the employees themselves desire a closed shop. ' Question No. 5. Are empl[!yees, union
members and nonunion members, protected from unfair labor practices by employers, pickets, and others? · Answer. Yes; the bill-section 7 (a)
states that it is an unfair labor practice for any person to engage in certain acts; to, first, threaten or coerce any individual from exercising freely the rights guaranteed by section 6; or, second to interfere in any manner with any u:r{ion activity; or, third, to refuse to resume collective bargaining or participate in mediation; or, fourth, to deny to ~ther an ·employee .or an employer the benefits of any contract touching wages, hours of employment, or working conditions.
Question No. 6. Does the bill prohibit discrimination by an employer ag·ainst an employee?
Answer. Yes; section 7 (b) declares that it is an unfair labor practice for an employer to, first, discriminate in .regard to employment; or, second, because 'he has filed complaint against the employer; third, to refuse to bargain collectively; or, fourth, to aid in any check-off unless the employee has given his consent in writing.
Question No. 7.. Does the bill provide that certain acts performed by an employee shall be unf.air labor practices?
Answer. Yes. 'rhe bill-section 7 (c)declares it to be an unfair labor practice for an employee te-fi.rst second third, and fourth-in any ma~ner, ex~ cept by the use of free speech and peacefl'tll pieketing, interfere with the ·exercise of any of the rights guaranteed in section 6, or to in any manner interfere with the rights of an individual to join o~ not to join, to participate or not participate in union activities; or~ fifth, to strike in violation of a •contract· or of t'he provisions of the act.
Question No. 8. Are any of the benefits of the act withheld from employees guilty of an unfair labor practice?
Answer. Yes; section 7 (d) ~ An empl.oyer may discharge or refuse to reemploy an employee guilty of an unfair labor practice; may refuse to bargain with an organization or an employee who disregards the official representation certificate issued by the Board or willfully violates a contract. ·
Question No.9. How long must collective bargaining continue?
Answer. Collective bargaining need not continue-section 7 (e)-until an agreement is reached. It need continue only for "a reasonable period of time," which by the Board shall be determined by taking into consideration the number of occasi0ns upon which mediation meetings have been held, the length of time
such meetings have continued, the views o'f the parties to the negotiation, and the prospect of an agreement. See definition of collective bargaining, section 2 <k).
Question No. 10. Does the bill impose criminal liability upon ind!ividuals who violate its provisions? Answer~ Yes; section 8. It declares
that it shall be unlawful for any person, by force, intimidation, threat, or corruptly, to attempt to prevent the free exercise of any of the rights g.iv.en by section 6; to compel an employee to quit his job or to interfere with him on his way to or from his job; to participate in a sit-down strike involving the illegal occupation of property; to picket otherwise than in a peaceful manner; to interfere with the movement of materials in commerce; to engage or participate in sympathy or jurisdictional strikes. The punishment inflicted-section 8 (b) -is imprisonment of not more than 1 year or a fine of $5,000, or both. ·
Question No. 11. Does the bill outlaw the closed shop, prevent violence, ban jurisdictional, sympathetic strikes· and boycotts?
Answer. Yes. The application, of this section--section .s-and of the remedies available under section 7 (d) and section 10 will tend to prevent intimidation, violence, jurisdictional, sympathetic strikes and boycotts; will ban the closed shop.
Question No. 12. How can an election to determine a bargaining representative be called?
Answer. Section 9 (a) provides that either the employer or 20 percent of the employees in a plant unit may by petition to the Board obtain an election to determine representatives for collective bargaining.
Question No. 13. Who holds the election and c!lunts the ballots?
Answer. The local election board-section ,9 (c) ...:....the same Board which holds an election, counts the ballots, when a consta'ble or .a United States Senator is to be elected. · Question No. 14. Are there any restric
tions which limit the right of a board to call an election?
Answer. Yes; section 9 (d). If a labor organization asks for such an election, it must file a sworn statement giving its o'fficial name, the date it was established, a copy of its constitutio:a and bylaws, the names of its omcers, accompanied by a statement that each is 8IIl American citizen, the .official address of its organization, and the names and the addresses of the individuals who wm act in collective bargaining with the employer. Such bargaining agents must be certified to be American citizens. There must also be a statement that the members of the union are a majority of the employees in the baTgaining unit in which the r.epresentatives were chosen.
Question No. 15. Is there any relief from a final order made by the Board?
Alilswer. Yes; section 9 (e). By appeal to the United States circuit court of appeals.
Question No. 16. How can relief from or punishment of unfair labor practices be obtained?
Answer. By-section 10 (a, b) -filing with the United States district court a
262 CONGRESSIONAL RECORD-H0USE JANUA}tY ·10
petition setting forth the facts. upon which the complaint is based, askmg for appropriate relief. After hearing, that court may make such orders as may be· necessary to effectuate the purposes of the act and to do justice.
Question No. 17. Are there any special rules of procedure to be followed in such application?
Answer. No; except as provided in section 10. The rules of procedure applicable in civil action in the district courts, including the rules of evidence applied by those courts, shall obtain.
Question No. 18. Does the bill provide for a cooling-off period and for mediation?
Answer. Yes; section 11. After the parties have bargained for a reasonable length of time and have been unable to agree and a strike is threatened, a 30-day notice must be given before a strike can legally be . called. If the threatened strike will seriously endanger the public health, safety, and welfare, the.re must be a waiting period of 6 months, though, in the meantime, the employees may, individually or collectively, terminate their employment at any time, but, if they do, they are out of a job.
Question No. 19. Does the bill ban strikes which injuriously affect the public he.alth, safety, and welfare?
Answer. Yes. Section 11 provides that if the Board finds that any strike or threatened strike will seriously endanger the public health, safety, and welfare by either a sit-down or a work stoppage in any industry, the continued operation of which is essential to the public health, safety, and welfare, the employees shall not strike until the expiration of a 6-month period after notice thereof has been given. If they do strike, then their rights as employees cease and the employer may hire other workers without being guilty of an unfair labor practice. In effect, such procedure would deprive the striking employees of their benefits under the act and lessen strikes in public
· utilities. Question No. 20. Does the bill seek to
prevent picketing? Answer.' No; not lawful picketing. Question No. 21. Does the act repeal
or carry exemptions of any other act? Answer. Yes; section 13. It repeals
the National Labor Relations Act, but continues in force the act governing disputes between carriers and their employees. .
Mr. Speaker, in closing these somewhat extended remarks which have trespassed
·upon your time and patience, let me offer the excuse that the subject is one which is deemed to be of the utmost importance. For more than 10 years, from the floor of this House and elsewhere, in my humble way, attention was called to the situation which· from time to time has confronted us; which has steadily, and with ever-increasing speed, developed into what has now given every appearance of being an insistent demand which will not be de~ nied · that the Congress act speedily and with' the sole purpose of enacting labor legislation which will protect not only the right of collective bargaining, the right of organized workers, but as well, the
rights of the ,unorganized ·work~r ahd the paramount right of the public. .
EXTENSION OF REMARKS
· Mr. ANGELL asked and was given permission to extend his remarks in the RECORD and include an address by Mr. James H. Polhemus.
ADJOURNMENT
Mr. KEEFE. Mr. Speaker, I move that the House do now adjourn.
The motion was agreed to; accordingly (at 2 o'clock and 6 minutes p. m.) the House, under its previous order, adjourned until Monday, January 13, 1947, at 12 o'clock noon.
EXECUTIVE COMMUNICATIONS, ETC.
Under clause 2 of rule XXIV, executive communications were taken from the Speaker's table and referred as follows:
97. A letter from the Administrator, Uni.ted States Department of Labor, Wage and Hour Division, transmitting a report of the Wage and Hour and Public Cont:racts Divisions of the United States Department of Labor for the year ended June 30, 1946; to the Committee on Education and Labor.
98. 4 letter from the Comptroller General of the United States, transmitting the report of the Comptroller General of the United States of the work of the General Accounting Of.fice for the fiscal year 1946; to the Committee on Expenditures in the Executive Departments.
99. A letter from the chairman, National Capital Park and Planning Commission, transmitting a list of land acquisitions for parks, parkways, and playgrounds, cost of each tract, and method of acquisition for the fiscal year ending June 30, 1946; to the Committee on Public Works.
100. A letter from the Secretary of War, transmitting a draft of a ' proposed bill, to limit the time within which the General Accounting Office shall make final settlement of the monthly or quarterly accounts of disbursing officers under the executive branch of the Government, and for ot h er purposes; to the Committee on Expen ... itures in the Executive Departments.
101. A letter from the Director, Administrative Office of the United States Courts, transmitting a copy of the detailed statement of expenditures of appropriations for the United States Court of Customs and Patent Appeals for the fiscal year ended June 30, 1946; to the Committee on Expenditures in the Executive Departments.
102. A letter from the Secretary of the Navy, transmitting a list of institutions and organizations, all nonprofit and eligible, which have requested donations from the Navy Department under the provisions of section 2 of Public Law 649 (79th Cong. 2d sess.) approved August 7, 1946; to the Committee on Armed Services.
103. A letter from the Secretary of War, transmitting a draft of a proposed bill to authorize credit in the accounts of certain disbursing officers of the Army of the United States and for the settlement of claims approved by the War Department; to the Committ ee on the Judiciary.
PUBLIC BILLS ANI) RESOLUTIONS
Under clause 3 of rule XXII, public bills and resolutions were introduced and severally referred as follows:
By Mr. BECKWORTH: H. R. 772. A bill to remove the monthly
maximum placed on the income of veterans receiving both compensation for productive labor and subsistence allowances for education; to the Committee on Veterans' Affairs.
H. R. 773. A bill to amend the Armed Forces Leave Act of 1946 to permit settlement and compensation for terminal , leave under such act to be made in cash, to provide that bonds issued under such act shall be redeemable at any time, and for other purposes; to the Committee on Armed Services.
By Mr. BLAND: H. R. 774. A bill to amend an act to au
thorize the Secretary of War and the Secretary of the Navy to make certain disposition of condemned ordnance, . guns, projectiles, and other condemned material in their respective Departments; to the Committee on Armed Services.
By Mr. BROWN of Ohio: H. R. 775. A bill for the establishment of
the Commission on Organization of the Executive Branch of the Government; to the Committee on Expenditures in the Executive Departments.
By Mr. BUCK: H. R. 776. A bill to amend the Fair Labor
Standards Act of 1938, as amended, and for other purposes; to the Committee on Edu-cation and Labor. ·
. By Mr. CHENOWETH: H. R. 777. A bill to amend section 3 of the
Fair Labor Standards Act of 1938; to the Committee on Education and Labor.
By Mrs. DOUGLAS: H. R. 778. A . bill to prohibit discrimina
tion in employment because of race, creed, c'olor, national origin, or ancestry; to the Committee on Education and Labor.
H. R. 779. A bill making unlawful the requirement for the payment of a poll tax as a prerequisite to voting in a primary or other election for national officers; to the Committee on House Administration.
H. R. 780. A bill to authorize and request the President to undertake to mobilize -at some convenient place in the United States an adequate number of the world's outstanding experts, and coordinate and utilize their services in a supreme endeavor to discover . means of curing and preventing cancer; to the Committee m· Foreign Affairs.
By Mr. LANDIS: H. R. 781. A bill providing direct Federal
old-age assistance at the rate Of $60 per month to needy citizens 60 years of age or over; to the Committee on Ways and Means.
By Mr. RAINS: H. R. 782 . A bill to extend the benefits of
the Mustering-Out Payment Act of 1944 to certain veterans discharged or relieved from active service prior to December 7, 1941; to the Committee on Armed Services.
H. R. 783. A bill to amend the Armed Forces Leave Act of 1946 to permit future applicants to elect to be compensated for terminal leave in cash in lieu of bonds, to provide that bonds issued under such act shall be redeemable at any time, and for other purposes; to the Committee on Armed Services.
H. R. 784. A bill to provide compensation for sheriffs or other law-enforcement officers who transport mentally incompetent veterans to a Veterans' Administration hospital or home; to the Committee on Veterans' Affairs.
H. R. 785. A bill to increase the maximum amount of any deposit or trust ·fund which may be insured by the Federal Deposit Insurance Corporation under section 12B of the Federal Reserve Act, as amended; to the Committee on Banking and Currency.
By Mrs. SMITH of Maine: H . R. 786. A bill to provide for the retire
ment of certain officers and former officers of the Army Reserve, Naval Reserve, and National Guard of the several States; Territories, and the District of Columbia; to the Committee on Armed Services.
H. R. 787. A bill to provide a basis for the settlement of industrial disputes vitally affecting the national health, security, or ecoriomy; to the Committee on Education and Labor.
1947 CONGRESSIONAL RECORD-HOUSE 263 By Mr. BLAND:
H. R. 788. A bill to provide for the admission on motion of certain merchant seamen to practice law in the District of Columbia; to the Committee on the District of ' Columbia.
H. R. 789 . A b1ll to authorize the acquisition of land for addition to the Fredericksburg National Cemetery; to the Committee on Public Lands.
H. R. 790. A bill to amend the act of September 7, 1916, by providing for a bearing of claims of employees of the United States before the United States Employees' Compensation Commission; to the Committee on the Judiciary.
H. R. 791. A bill to provide for the esta;p. lishment of the Rehoboth-Assateague National Seashore in the States of Delaware, Maryland, and Virginia, and for other purposes; to the Committee on PUblic Lands.
H. R. 792. A bill to compensate Prince William County, Va., and York County, Va., for certain of their public roads and highways seized by the United States for the use of a psrmanent Marine Corps post at Quantico, Va., and a Navy mine depot at or near Yorktown, Va.; to the Committee on the Judiciary.
H. R. 793. A bill to authorize the Boa;rd of Engineers for Rivers and Harbors ~o prepare estimates and plans for improvement of certain river and harbor projects, and for other purposes; to the Committee on Public Works.
By Mr. LEMKE: H. R. 794. A bill to regulate interstate and
foreign commerce in agricultural products; to prevent unfair competition; to provide for the orderly marketing of such products; to promote the general welfare by assuring an abundant and permanent supply of such products by securing to the producers a minimum price of not less than cost of production, and for other purposes; to the Committee on Agriculture.
H. R. 795. A bill to amend the Federal Farm Loan Act approved July 16, 1916, and acts amendatory thereto and supplementary thereto; to the Committee on Agriculture.
By Mr. MASON: · H. R. 796. A bill to establish a system of
longevity pay for postal employees; to the Committee on Post Office and Civil Service.
By Mr. PEDEN: H. R. 797. A bill to change the name of the
Lugert-Altus irrigation project in the State of Oklahoma to theW. C. Austin project; to the Committee on Public Lands.
By Mr. RIVERS: , H. R. 798. A bill to amend section 302 of the
Servicemen's Readjustment Act of 1944, as amended; to the Committee on Veterans' Affairs.
By Mr. VANZANDT: H. R. 799. A bill to provide fQr lump-sum
payment for certain Army and Navy nurses of World War I; to the Committee on Armed Services. ·
By Mrs. DOUGLAS: H. R. 800. A bill for the better assurance
of the protection of persons within the several States from mob lyhching, and for other purposes; to the Committee on the Judiciary.
By Mr. FALLON: H. R. 801. A bill to extend the time within
which application for the benefits of the Mustering-Out Payment Act of 1944 may be made by veterans discharged from the armed forces before the effective date of ,such act; to the Committee on Armed Services. . . By Mr. JOHNSON of Illinois:
H. R. 802: A bill to provide equitable relief to contractors supplying dairy products to the armed forces; to the Committee on the Judiciary.
By Mr. LEWIS: H. R. 803. A bill to prohibit the exportation
of sugar and to abolish sugar rationing; to the Committee on Ways and Means.
By Mr. MILLER of Nebraska: H. R. 804. A b1ll authorizing the reduction
of certain accrued interest charges payable by the Farmers' Irrigation District, North Platte project; to the Committee on Publto Lands.
By Mr. POWELL: H. R. 805. A bill to assure to all persons
within the District of Columbia full and equal privileges of places of public accommodation, resort, entertainment, and amusement, and for other purposes; to the Committee on the District of Columbia.
H. R. 806. A bill to prohibit discrimination in employment because of race, creed, color, nat.ional origin, or ancestry; to the Committee on Education and Labor.
By Mrs. ROGERS of Massachusetts (by request): ·
H. R. 807. A bill to amend the National Service Life · Insurance Act of 1940, as amended; to the Committee on Veterans' Affairs.
H. R. 808. A bill to permit certain postal employees who are war veterans to retire after 20 years of service; to the Committee on Post Office and Civil Service.
By Mr. GORDON: H. J. Res. 65. Joint resolution authorizing
the President of the United States of America to proclaim October 11, 1947, General Pulaski's Memorial Day for the observance and commemoration of the death of Brig. Gen. Casimir Pulaski; to the Committee ·on the Judiciary.
By Mr. LEMKE: H. J. Res. 66. Joint resolution to provide
for the designation of the Veterans' Administration hospital at Fargo, N. Dak., as the Clarence TheodQre Hoverson Memorial Veterans' Hospital; to the Committee on Veterans' Affairs.
By Mr. JOHNSON of Indiana: H. Res. 45. Resolution creating a Select
Committee To Investigate Old-Age Assistance, and for other purposes; to the Committee on Rules.
By Mr. SABATH: H. Res. 46. Resolution to ·amend the House
Rules by striking out paragraph 17 of rule X and all of paragraph q of rule XI; to the Committ~e on Rules.
PRIVATE BILLS AND RESOLUTIONS
Under clause 1 of rule XXII, private bills and resolutions were introduced and severally referred as' follows:
By M!r. BLAND: H. R. 809. A bill for the relief of J. T.
Melson; to the Committee on the Judiciary. H. R. 810. A bill to confer jurisdiction up
on the Court of Claims to hear, determine, and render judgment upon a certain claim of John E. Parker, his heirs, administrators, or assigns, against the United States; to the Committee on the Judiciary.
H. R. 811. A bill for the relief of Mary Elizabeth Powers; to the Committee on the Judiciary.
H. R. 812. A bill for the relief of William A. Hallett; to the Committee on the Judiciary.
By Mr. CHENOWETH: H. R. 813. A bill for the relief of J. Don
Alexander; to the Committee on the Judiciary.
H. R. 814. A bill for the relief of Mrs. Effie S. Campbell; to the Committee on the Ju-diciary. ·
By Mr. ELLIOTT: H. R. 815. A bill for the relief of Ho Low
Ping; to the Committee on the Judiciary. By Mr. HALE:
H. R. 816. A bill for the relief of Joe Valonia; to the Committee on the Judiciary.
By Mr. HAVENNER: H. R. 817. A bill for the relief of Andres
Quinones and Le:tty Perez: to th~ Committee on the Judici~ry.
H. R. 818. A bill for the relief of Clinton Construction Co., and others; to the Committee on the Judiciary.
H. R. 819. A bill for the relief of Jose M. Arraes, also known as Jose M. Arrais; to the Committee on the Judiciary.
H. R. 820. A bill for the relief of Ruth M.uzio (Mrs. Joseph Muzio) and to the legal guardian of Louis Muzio; to the Committee on the Judiciary.
H. R. 821. A bill for the relief of Charles W. Taylor, Jr.; to ·the Committee on the Judiciary.
H. R. 822. A bill for the relief of Chin Ta Bin; to the Committee on the Judiciary.
H. R. 823. A bill for the relief of Shokichi Washimi; to the Committee on the Judiciary.
H. R. 824. A bill for the relief of . A. Boyd Puccinelli; to the Committee on the Judiciary.
H. R. 825. A bill for the relief of Benzo Okada; to the Committee on the Judiciary.
H. R. 826. A bill for the relief of Alfonso Felice; to the Qommittee on the Judiciary.
H. R. 827. A bill for the relief of the estates of Harold P. Stites and Wllliam A. Miller; to the Committee on the Judicia-ry.
H. R. 828. A bill for the relief of the State compensation insurance funds of California; to the Committee on the Judiciary.
H. R. 829. A bill for the relief of A. Boyd Puccinelli; to the Committee on the Judi· ciary.
H. R. 830. A bill for the relief of the legal representatives Qf Owen Thome, deceased; to the Committee on the Judiciary.
H. R. 831. A bill for the relief of George Chan; to the Committee on the Judiciary.
H. R. 832. A bill for the relief of Yee On Wong, also known as Wong Yee; to the Committee on the Judiciary.
By Mr. HEFFERNAN: H. R. 833. A bill for the relief of Aero
Bocker Knitting Mills, Inc.; to the Committee on· the Judiciary.
By Mr. JOHNSON of Indiana: H. R. 834. A bill for the relief of B. B.
Stringer; to the Committee, on the Judiciary. By Mr. JUDD:
H. R. 835. A bill for the relief of John Sheehy and Mrs. Anna Sheehy; to the Committee on the Judiciary.
By Mr. KILDAY: H. R. 836. A bill for the relief of Mrs. Au
gusta McCall; to the Committee on the Judiciary.
By Mr. LEFEVRE: H. R. 837. A bill for the relief of the estate
· of Abram Banta Bogert; to the Committee on the Judiciary. . By Mr. LEMKE:
H. R. 838. A bill for the relief of Frank J. Patzke, Archie Mitchell, J. L. Shoemaker, Eimir Engen, and N. L. Gifford; to the Committee on the Judiciary.
By Mr. LESINSKI: H. R. 839. A b1ll for the relief of Anthony
M. Andrzejak; to the Committee on the Judiciary.
H. R. 840. A bill for the relief of Jozef A. Jura; to the Committee on the Judiciary.
H. R. 841. A bill for the relief of Adrian Uriarte; to the Committee on the Judiciary.
H. R. 842. A bill for the relief of Stanislaw Stejden; to the Committee on the Judiciary.
H. R. 843. A bill for the relief of Peter Pitcoff Atanasoff; to the Committee on the Judiciary.
By Mr. LYNCH: H. R. 844. A bill for the relief of Gustav
Lukowicz; to the Committee on the Judiciary. By Mr. MARTIN of I ow~:
H. R. 845. A bill to reinstate John B. Day, a captain, United States Army, retired, to the active list of the Reguiar Army; to the Committee on Armed Services.
By Mr. RAINS: H. R. 846. A bill for relief of Mrs. Frances B.'
Bynum; to the Committee on the Judiciary.
264 I CONGRESSIONAL RECORD-SENATE JANUARY 13 H. R. 847. A bill for the relief of J. H: Karr
and Mrs. J. H. Karr, doing business as Home Plumbing Co.; to the Committee on the Judiciary.
H. R. 848. A bill for the relief of Loui Usry; to the Committee on the Judiciary.
By Mrs. ROGERS of Massachusetts: H. R. 849. A bill for the :relief of Barbara
Healy; to the Committee on the Judiciary. H. R. 850. A bill for the relief of the parents
of Dorothy White; to the Committee on the Judiciary.
H. R. 851. A bill for the relief of Adney W. Gray; to the Committee on the Judiciary.
H. R. 852. A bill for the relief of Winston Cann; to the Committee on the Judiciary.
H. R. 853 . A bill for the relief of Leo Joseph Berry; to the Committee on the Judiciary;
THE JOURNAL
On request of Mr. WHITE, and by unanimous consent, the reading of the Journal of the proceedings . of Friday, January 10, 1947, was dispensed with and the Journal was approved.
MESSAGE FROM THE PRESIDENT
A message in writing from the President of the United States was communicated to the Senate by Mr. Miller, one of his secretaries.
CALL OF THE ROLL
Mr. WHITE. I suggest the absence of · a -quorum.
The PRESIDENT pro tempore. The clerk will call the roll.
PETITIONS, ETC. The Chief Clerk called the roll, and Under clause 1 of rule XXII, petitions the following Senators answered to their
and papers were laid on the Clerk's desk . names: and referred as follows: Aiken Hoey O'Daniel
O'Mahoney Overton 40. By ;Mr. GRAHAM: Petition of 18 vet
erans of World War II, urging repeal of Public Law 679, Seventy-ninth Congress; to the Committee on Veterans' Affairs.
41. By Mr. HESELTON: Resolution of the town of Worthington, Mass., opposing unifying the armed forces of the Unit ed States; to the Committee on Expenditures in the Execu-tive Departments. . ·
42. By the SPEAKER: Petition of' the Thir·teenth National Conference on Labor Legislation, petitioning consideration of their resolution with reference to their endorsement of certain provisions of the International Labor Organization's constitution and commending them to the favorable consid- . eration of the President· of the United States; to the Committee cin Education and Labor.
43. Also. petition of Henry A. Alexander, Atlanta, Ga., petitioning consideration of his resQlution with reference to protesting the seating of the 10 members of the Georgia delega tion; to the Committee on House Administration.
SENATE MoNDAY, JANUARY 13, 1947
The Chaplain, Rev. Peter Marshall, D. D., offered the following prayer:
Save this moment, 0 Lord, from being merely a gesture to custom or convention, and make it a real experience for ,each one of ·us in this place, as we call upon Thee for guidance and for help.
We have felt Thee near and beside us in the exalted experience of worship in church; make us now to feel Thy ~earness in the business of the day-the Unseen Delegate, present and voting. Vote through these men, we pray Thee, 0 Jesus, that what they say and what they do may be in accordance with Thy will for this land. that we love so much.
Thou hast said: "When ye stand praying, forgive, if ye have aught against any.," Give us the grace to lay· asjde all bitterness or resentment we may be nursing in our hearts, lest their acid eat into our peace and corrode our spirits.
Thou hast said: "It is more blessed to give than to receive." Give us the grace today to think not of what we can get but of what we; can give, that a new spirit may come into our work here, with a new yision and a new purpose, that Thou wilt delight to bless.
We ask these · things in Thine own name and for Thy sake. Amen.
Baldwin Holland Barkley Ives Brewster Jenner Brooks Johnson, Colo. Buck Johnston, S. C. Bushfield Kern Butler Kilgore Cain Knowland Capehart .Langer Capper Lodge Chavez Lucas · conna:lly McCarran Cooper McCarthy Cordon McClellan Donnell McFarland Dworshak McGrath Eastland McKellar Ecton McMahon Ferguson Magnuson Flanders Malone Fulbright Martin George Maybank Green Millikin Gurney Moore Hatch Morse Hayden Murray Hickenlooper Myers Hill O'Conor
Pepper Reed · Revercomb Robertson, Va. Robertson, Wyo. Russell Saltonstall Smith Sparkman Stewart Taft Ta,ylor Thomas, Okla. Thomas, Utah Thye Tobey Tydings Vandenberg Watkins Wherry White Wiley Williams Wilson Young
Mr. WHERRY. I announce that the Senator from Minnesota [Mr. BALL] is absent from the Senate because of ill-ness. .
The Senator from Ohio [Mr. BRICKER] is absent by leave of the Senate.
The Senat.or from New Hampshire [Mr. BRIDGES] and the Senator from New Jersey [Mr. HAWKES] -are necessarily absent.
Mr. LUCAS. I announce that the Senator from Virginia [Mr. BYRD] and the Senator from California [Mr. DowNEY] are absent on official business.
The Senator from North Carolina [Mr. UMSTEAD] is detained on public business.
The Senator from Louisiana [Mr. ELLENDER] and the Senator from New York [Mr. WAGNER] are necessarily absent.
The PRESIDENT pro tempore. Eighty-six Senators J;laving answered to their names, there is a quorum present.
COMMITTEE JURISDICTION
The PRESIDENT pro tempore. Before proceeding with the morning hour the Chair wishes to rule fin·ally upon the question of order which was raised by the distinguished Senator from Illinois [Mr. LucAS] at the last session of the Senate. The Senator raised an important point of order regarding the ref-
. erence of certain bills to committees, as reported at page 218 of the CoNGRESSIONAL RECORD. There was general discussion of the matter in the Senate, but without conclusive actioil. The Chair
wishes to rule this morning on the point of order raised by the Senator from Illinois.
He pointed out that a bill dealing with the portal-to-portal problem, introduced by the able Senator from Wisconsin [Mr. WILEY], had been referred to the Judiciary Committee, while, on the same day, another bill, on the same subject, introduced by the able Senator from Indiana [Mr. CAPEHART], was referred to the Committee on Labor and Public Welfare. The Senator from Illinois appropriately raised the question whether two bills on the same general subject should not go to the same committee.
The bill introduced by the Senator from Indiana, S. 49, showed by its title that it proposed to "amend the Fair Labor Standards Act of 1938," and it was automatically referred to the Committee on Labor and Public Welfare, which is the successor to the former Senate comn1ittee from which that act came.
The bill introduced by the Senator from Wisconsin, S. 70, did not propose an amendment to the Fair Labor Standards Act of 1938 and its title invited no such impiication. The bill raised the purely legal question as to · the ·legal nature of the portal-to-portal . problem and . proposed a remedy confined exclusively to .legal procedure. Unquestionably constitutional questions are involved. It did not occur then to the Chair-nor does it now:-that such a bill should go anywhere else than to the Judiciary Committee, whfch would clearly appear to have jurisdiction, not only in the general nature of the case, but also in the definitions contained in tlie Reorganization Act. Furthermore, it is to be recalled that the so-called Gwynne bill, dealing with the statute of limitations on the same subject, was referred to the Judiciary Committee in the last session.
Upon further examination, it is entirely clear that the· subject ' matter of both bills involves the same ultimate objective and both bills have a common theme which could put them in the purview of either committee. But it is equally clear that only one committee should have jurisdiction of the problem. It was for this reason that the Chair announced his purpose to confer with the chairmen of both committees to determine, as a practical proposition, Which committee should take jurisdiction.
This has been done. The situation is as follows: The chairman of the Committee on Labor and Public Welfare· the Senator from Ohio [Mr. TAFT], believes that the bill introduced by the Senator from Wisconsin <S. 70) was properly referred to the Judiciary Committee; he further believes that the whole portalto-portal problem may be properly handled, under the rules, by the Judiciary Committie; and he is favorable to this reference. Meanwhile, the chairman of the Judiciary Committee, the Senator from Wisconsin [Mr. WILEY], has appointed a subcommittee, headed by the able Senator from Missouri [Mr. DoNNELL], which will start public h 'earings on S. 70 next Wednesday morning; and the bill (S. 49) ' introduced by the Senator from Indiana [Mr. CAPEHART] has been reintroduced as an amendment to