Tap any paragraph to write a margin note. Your notes collect in the Desk below the text and file under cases with @. The side-by-side margin rail opens on a larger screen.

§
Marginalia
Code · STATUTES-AT-LARGE · Vol. 48 STAT. · Public Law 68

Public Law 68.

17,951 words·~82 min read·/statutes-at-large/vol-48/public-law-68·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(/us/pl/73/67).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*,National Industrial Recovery Act. TITLE I— INDUSTRIAL RECOVERY title i—industrial recovery. declaration of policy Appropriation for. *Post*, p. 275. Section 1. A national emergency productive of widespread unemployment Declaration of policy. and disorganization of industry, which burdens interstate and foreign commerce, affects the public welfare, and undermines the standards of living of the American people, is hereby declared to exist.
It is hereby declared to be the policy of Congress to remove obstructions to the free flow of interstate and foreign commerce which tend to diminish the amount thereof; and to provide for the general welfare by promoting the organization of industry for the purpose of cooperative action among trade groups, to induce and maintain united action of labor and management under adequate governmental sanctions and supervision, to eliminate unfair competitive practices, to promote the fullest possible utilization of the present productive capacity of industries, to avoid undue restriction of production (except as may be temporarily required), to increase the consumption of industrial and agricultural products by increasing purchasing power, to reduce and relieve unemployment, to improve standards of labor, and otherwise to rehabilitate industry and to conserve natural resources. administrative agencies Administrative agencies.
Sec. 2.
(a)To effectuate the policy of this title, the President is President authorized to establish. hereby authorized to establish such agencies, to accept and utilize such voluntary and uncompensated services, to appoint, without Appointments. regard to the provisions of the civil service laws, such officers and employees, and to utilize such Federal officers and employees, and, Cooperation of Federal and State officers, etc. with the consent of the State, such State and local officers and employees, as he may find necessary, to prescribe their authorities, duties, responsibilities, and tenure, and, without regard to the Classification Act of 1923, as amended, to fix the compensation of any officers and employees so appointed.
(b)The President may delegate any of his functions and powers Delegation of functions. Industrial planning and research agency. Establishment authorized. under this title to such officers, agents, and employees as he may designate or appoint, and may establish an industrial planning and research agency to aid in carrying out his functions under this title. 196 (c)Termination of agencies, etc. This title shall cease to be in effect and any agencies established hereunder shall cease to exist at the expiration of two years after the date of enactment of this Act, or sooner if the President shall by proclamation or the Congress shall by joint resolution declare that the emergency recognized by section 1 has ended. codes of fair competitionCodes of fair competition. Sec. 3.Approval by the President.
(a)Upon the application to the President by one or more trade or industrial associations or groups, the President may approve a code or codes of fair competition for the trade or industry or subdivision thereof, represented by the applicant or applicants, if the President finds
(1)that such associations or groups impose no inequitable restrictions on admission to membership therein and are truly representative of such trades or industries or subdivisions thereof, and
(2)that such code or codes are not designed to promote monopolies or to eliminate or oppress small enterprises and will not operate to discriminate against them, and will tend to effectuate *Provisos*. Monopolies, etc., not permitted. Right of persons affected to be heard. the policy of this title: *Provided*, That such code or codes shall not permit monopolies or monopolistic practices: *Provided further*, That where such code or codes affect the services and welfare of persons engaged in other steps of the economic process, nothing in this section shall deprive such persons of the right to be heard prior to approval by the President of such code or codes. The President Imposition of conditions for protection of consumers, etc. may, as a condition of his approval of any such code, impose such conditions (including requirements for the making of reports and the keeping of accounts) for the protection of consumers, competitors, employees, and others, and in furtherance of the public interest, Exceptions and exemptions. and may provide such exceptions to and exemptions from the provisions of such code, as the President in his discretion deems necessary to effectuate the policy herein declared. (b)Approved code to be standard of fair competition. Violations deemed unfair practice. After the President shall have approved any such code, the provisions of such code shall be the standards of fair competition for such trade or industry or subdivision thereof. Any violation of such standards in any transaction in or affecting interstate or foreign commerce shall be deemed an unfair method of competition in commerce Vol. 39, p. 717. within the meaning of the Federal Trade Commission Act, as amended; but nothing in this title shall be construed to impair the powers of the Federal Trade Commission under such Act, as amended. (c)Jurisdiction of district courts to restrain violations. The several district courts of the United States are hereby invested with jurisdiction to prevent and restrain violations of any code of fair competition approved under this title; and it shall be the duty of the several district attorneys of the United States, in their respective districts, under the direction of the Attorney General, to institute proceedings in equity to prevent and restrain such violations. (d)Establishment of compulsory code by President. Upon his own motion, or if complaint is made to the President that abuses inimical to the public interest and contrary to the policy herein declared are prevalent in any trade or industry or subdivision Notice and hearing required. thereof, and if no code of fair competition therefor has theretofore been approved by the President, the President, after such public notice and hearing as he shall specify, may prescribe and approve a code of fair competition for such trade or industry or subdivision Effect of code. thereof, which shall have the same effect as a code of fair competition approved by the President under subsection
(a)of this section. (e)Importation of competitive articles affecting maintenance of code. On his own motion, or if any labor organization, or any trade or industrial organization, association, or group, which has complied with the provisions of this title, shall make complaint to the President 197 that any article or articles are being imported into the United States in substantial quantities or increasing ratio to domestic production of any competitive article or articles and on such terms or under such conditions as to render ineffective or seriously to endanger the maintenance of any code or agreement under this title, the President Investigation by Tariff Commission. may cause an immediate investigation to be made by the United States Tariff Commission, which shall give precedence to investigations under this subsection, and if, after such investigation and such Notice and hearing. public notice and hearing as he shall specify, the President shall find the existence of such facts, he shall, in order to effectuate the policy President to prescribe terms, etc., for admission of articles. of this title, direct that the article or articles concerned shall be permitted entry into the United States only upon such terms and conditions and subject to the payment of such fees and to such Limitation of total admitted quantity. limitations in the total quantity which may be imported (in the course of any specified period or periods) as he shall find it necessary to prescribe in order that the entry thereof shall not render or tend to render ineffective any code or agreement made under this title. In President may forbid importations unless importer license obtained. order to enforce any limitations imposed on the total quantity of imports, in any specified period or periods, of any article or articles under this subsection, the President may forbid the importation of such article or articles unless the importer shall have first obtained from the Secretary of the Treasury a license pursuant to such regulations Administration of terms, etc., imposed by President. as the President may prescribe. Upon information of any action by the President under this subsection the Secretary of the Treasury shall, through the proper officers, permit entry of the article or articles specified only upon such terms and conditions and subject to such fees, to such limitations in the quantity which may be imported, and to such requirements of license, as the President shall have directed. The decision of the President as to facts shall Decision conclusive. be conclusive. Any condition or limitation of entry under this subsection Conditions and limitations, effective period.shall continue in effect until the President shall find and inform the Secretary of the Treasury that the conditions which led to the imposition of such condition or limitation upon entry no longer exists.
(f)When a code of fair competition has been approved or prescribed Violations of provisions of code. by the President under this title, any violation of any provision thereof in any transaction in or affecting interstate or foreign commerce shall be a misdemeanor and upon conviction thereof an offender shall be fined not more than $500 for each offense, and each Penalty. day such violation continues shall be deemed a separate offense. agreements and licenses Agreements and licenses. Sec. 4.
(a)The President is authorized to enter into agreements Authority of President to enter trade agreements. with, and to approve voluntary agreements between and among, persons engaged in a trade or industry, labor organizations, and trade or industrial organizations, associations, or groups, relating to any trade or industry, if in his judgment such agreements will aid in effectuating the policy of this title with respect to transactions in or affecting interstate or foreign commerce, and will be consistent with the requirements of clause
(2)of subsection
(a)of section 3 for a *Ante*, p. 196. code of fair competition.
(b)Whenever the President shall find that destructive wage or Licenses. Issue of, to business enterprises when unfair practices in trade or industry. price cutting or other activities contrary to the policy of this title are being practiced in any trade or industry or any subdivision thereof, and, after such public notice and hearing as he shall specify, shall find it essential to license business enterprises in order to make effective a code of fair competition or an agreement under this title or otherwise to effectuate the policy of this title, and shall publicly 198Engaging in business without license prohibited. so announce, no person shall, after a date fixed in such announcement, engage in or carry on any business, in or affecting interstate or foreign commerce, specified in such announcement, unless he shall have first obtained a license issued pursuant to such regulations as Revocation of license. the President shall prescribe. The President may suspend or revoke Finality of revoking order. any such license, after due notice and opportunity for hearing, for violations of the terms or conditions thereof. Any order of the President suspending or revoking any such license shall be final if Penalty for violation. in accordance with law. Any person who, without such a license or in violation of any condition thereof, carries on any such business for which a license is so required, shall, upon conviction thereof, be fined not more than $500, or imprisoned not more than six months, or both, and each day such violation continues shall be deemed a Expiration of authority. *Ante*, p. 196. separate offense. Notwithstanding the provisions of section 2 (c), this subsection shall cease to be in effect at the expiration of one year after the date of enactment of this Act or sooner if the President shall by proclamation or the Congress shall by joint resolution declare that the emergency recognized by section 1 has ended. Sec. 5.Antitrust laws not applicable to codes, agreements, etc. While this title is in effect (or in the case of a license, while section 4
(a)is in effect) and for sixty days thereafter, any code, agreement, or license approved, prescribed, or issued and in effect under this title, and any action complying with the provisions thereof taken during such period, shall be exempt from the provisions of the antitrust laws of the United States. Businesses exempt. Limitations upon application of title. Nothing in this Act, and no regulation thereunder, shall prevent an individual from pursuing the vocation of manual labor and selling or trading the products thereof; nor shall anything in this Act, or regulation thereunder, prevent anyone from marketing or trading the produce of his farm. limitations upon application of title Sec. 6.Statements of trade, etc., associations before benefits to accrue.
(a)No trade or industrial association or group shall be eligible to receive the benefit of the provisions of this title until it files with the President a statement containing such information relating to the activities of the association or group as the President shall by regulation prescribe. (b)Rules and regulations. The President is authorized to prescribe rules and regulations designed to insure that any organization availing itself of the benefits of this title shall be truly representative of the trade or industry or subdivision thereof represented by such organization. Any organization violating any such rule or regulation shall cease to be entitled to the benefits of this title. (c)Investigations by Federal Trade Commission. Upon the request of the President, the Federal Trade Commission shall make such investigations as may be necessary to enable the President to carry out the provisions of this title, and for such purposes the Commission shall have all the powers vested in it with respect of investigations under the Federal Trade Commission Act, as amended. Sec. 7.Conditions required in codes, agreements, and licenses.
(a)Every code of fair competition, agreement, and license approved, prescribed, or issued under this title shall contain the following conditions:
(1)That employees shall have the right to organize and bargain collectively through representatives of their own choosing, and shall be free from the interference, restraint, or coercion of employers of labor, or their agents, in the designation of such representatives or in self-organization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protection;
(2)that no employee and no one seeking employment shall be required as a condition of employment to join any 199 company union or to refrain from joining, organizing, or assisting a labor organization of his own choosing; and
(3)that employers shall comply with the maximum hours of labor, minimum rates of pay, and other conditions of employment, approved or prescribed by the President.
(b)The President shall, so far as practicable, afford every opportunity Employer-employee wage and hours of work agreements. to employers and employees in any trade or industry or subdivision thereof with respect to which the conditions referred to in clauses
(1)and
(2)of subsection
(a)prevail, to establish by mutual agreement, the standards as to the maximum hours of labor, minimum rates of pay, and such other conditions of employment as may be necessary in such trade or industry or subdivision thereof to effectuate the policy of this title; and the standards established in Effectiveness of approved agreements. *Ante*, p. 196. such agreements, when approved by the President, shall have the same effect as a code of fair competition, approved by the President under subsection
(a)of section 3.
(c)Where no such mutual agreement has been approved by the Code authorized, when mutual agreement not approved. President he may investigate the labor practices, policies, wages, hours of labor, and conditions of employment in such trade or industry or subdivision thereof; and upon the basis of such investigations, and after such hearings as the President finds advisable, he is authorized to prescribe a limited code of fair competition fixing such maximum hours of labor, minimum rates of pay, and other conditions of employment in the trade or industry or subdivision thereof investigated as he finds to be necessary to effectuate the Effectiveness. policy of this title, which shall have the same effect as a code of fair competition approved by the President under subsection
(a)of section 3. The President may differentiate according to experience and skill of the employees affected and according to the locality of employment; but no attempt shall be made to introduce any classification according to the nature of the work involved which might tend to set a maximum as well as a minimum wage.
(d)As used in this title, the term “person” includes any individual, Terms construed. “Person.” “Interstate and foreign commerce”; “interstate or foreign commerce.” partnership, association, trust, or corporation; and the terms “interstate and foreign commerce” and “interstate or foreign commerce” include, except where otherwise indicated, trade or commerce among the several States and with foreign nations, or between the District of Columbia or any Territory of the United States and any State, Territory, or foreign nation, or between any insular possessions or other places under the jurisdiction of the United States, or between any such possession or place and any State or Territory of the United States or the District of Columbia or any foreign nation, or within the District of Columbia or any Territory or any insular possession or other place under the jurisdiction of the United States. application of agricultural adjustment act Application of Agricultural Adjustment Act. Sec. 8.
(a)This title shall not be construed to repeal or modify Provisions not repealed. any of the provisions of title I of the Act entitled “An Act to relieve the existing national economic emergency by increasing agricultural purchasing power, to raise revenue for extraordinary expenses incurred by reason of such emergency, to provide emergency relief with respect to agricultural indebtedness, to provide for the orderly liquidation of joint-stock land banks, and for other purposes”, approved May 12, 1933; and such title I of said Act approved May 12, 1933, may for all purposes be hereafter referred to as the Citation. *Ante*, p. 31. “Agricultural Adjustment Act.”
(b)The President may, in his discretion, in order to avoid conflicts Delegation of functions authorized. in the administration of the Agricultural Adjustment Act and this title, delegate any of his functions and powers under this title 200 with respect to trades, industries, or subdivisions thereof which are engaged in the handling of any agricultural commodity or product thereof, or of any competing commodity or product thereof, to the Secretary of Agriculture. oil regulationOil regulation. Sec. 9.Regulation of oil-pipe lines. Executive Orders Nos. 6199, July 11, 1933; 6204, July 14, 1933. Transportation rates to be fixed.
(a)The President is further authorized to initiate before the Interstate Commerce Commission proceedings necessary to prescribe regulations to control the operations of oil pipe lines and to fix reasonable, compensatory rates for the transportation of petroleum and its products by pipe lines, and the Interstate Commerce Commission shall grant preference to the hearings and determination of such cases. (b)Transportation monopolies. Proceedings against. The President is authorized to institute proceedings to divorce from any holding company any pipe-line company controlled by such holding company which pipe-line company by unfair practices or by exorbitant rates in the transportation of petroleum or its products tends to create a monopoly. (c)Prohibition on transportation of oil in interstate, etc., commerce of quantity in excess of State, etc., limitation. The President is authorized to prohibit the transportation in interstate and foreign commerce of petroleum and the products thereof produced or withdrawn from storage in excess of the amount *Post*, p. 1057.permitted to be produced or withdrawn from storage by any State law or valid regulation or order prescribed thereunder, by any board, commission, officer, or other duly authorized agency of a State. Any Penalty. violation of any order of the President issued under the provisions of this subsection shall be punishable by fine of not to exceed $1,000, or imprisonment for not to exceed six months, or both. rules and regulationsRules and regulations. Sec. 10.Prescribed by President.
(a)The President is authorized to prescribe such rules and regulations as may be necessary to carry out the purposes of this title, and fees for licenses and for filing codes of fair competition Penalty for violations. and agreements, and any violation of any such rule or regulation shall be punishable by fine of not to exceed $500, or imprisonment for not to exceed six months, or both. (b)Amendment of orders. The President may from time to time cancel or modify any order, approval, license, rule, or regulation issued under this title; and each agreement, code of fair competition, or license approved, prescribed, or issued under this title shall contain an express provision to that effect. TITLE II— title ii—public works and construction projects. PUBLIC WORKS AND CONSTRUCTION PROJECTS federal emergency administration of public works Section 201.Federal Emergency Administration of Public Works.
(a)To effectuate the purposes of this title, the President is hereby authorized to create a Federal Emergency Establishment authorized. Administration of Public Works, all the powers of which shall be exercised by a Federal Emergency Administrator of Public Works *Post*, p. 351.(hereafter referred to as the “Administrator”), and to establish such agencies, to accept and utilize such voluntary and uncompensated Appointments. services, to appoint, without regard to the civil service laws, such officers and employees, and to utilize such Federal officers and employees, and, with the consent of the State, such State and local officers and employees as he may find necessary, to prescribe their Duties to be prescribed. authorities, duties, responsibilities, and tenure, and, without regard to the Classification Act of 1923, as amended, to fix the compensation of any officers and employees so appointed. The President may dele-201gate any of his functions and powers under this title to such officers, agents, and employees as he may designate or appoint.
(b)The Administrator may, without regard to the civil service Appointment of experts. laws or the Classification Act of 1923, as amended, appoint and fix the compensation of such experts and such other officers and Compensation. employees as are necessary to carry out the provisions of this title; and may make such expenditures (including expenditures for Expenditures. personal services and rent at the seat of government and elsewhere, Printing and binding. for law books and books of reference, and for paper, printing and binding) as are necessary to carry out the provisions of this title.
(c)All such compensation, expenses, and allowances shall be Funds available. paid out of funds made available by this Act.
(d)After the expiration of two years after the date of the enactment Termination of power. of this Act, or sooner if the President shall by proclamation or the Congress shall by joint resolution declare that the emergency recognized by section 1 has ended, the President shall not make any further loans or grants or enter upon any new construction under this title, and any agencies established hereunder shall Transfer of agencies. cease to exist and any of their remaining functions shall be transferred to such departments of the Government as the President shall designate: *Provided*, That he may issue funds to a borrower under *Proviso*. Issue of funds prior to January 23, 1939. this title prior to January 23, 1939, under the terms of any agreement, or any commitment to bid upon or purchase bonds, entered into with such borrower prior to the date of termination, under this section, of the power of the President to make loans. Sec. 202. The Administrator, under the direction of the President, Program of public works to be prepared. Projects included. shall prepare a comprehensive program of public works, which shall include among other things the following:
(a)Construction, repair, and improvement of public highways and park ways, public buildings, and any publicly owned instrumentalities and facilities;
(b)conservation and development of natural resources, including control, utilization, and purification of waters, prevention of soil or coastal erosion, development of water power, transmission of electrical energy, and construction of river and harbor improvements and flood control and also the construction of any river or drainage improvement required to perform or satisfy any obligation incurred by the United States through a treaty with a foreign Government Construction under treaty obligations. heretofore ratified and to restore or develop for the use of any State or its citizens water taken from or denied to them by performance on the part of the United States of treaty obligations heretofore assumed: *Provided*, That no river or harbor improvements shall be *Provisos*. River and harbor improvements. carried out unless they shall have heretofore or hereafter been adopted by the Congress or are recommended by the Chief of Engineers of the United States Army;
(c)any projects of the character Approval required. heretofore constructed or carried on either directly by public authority or with public aid to serve the interests of the general public;
(d)construction, reconstruction, alteration, or repair under public regulation or control of low-cost housing and slum-clearance projects;
(e)any project (other than those included in the foregoing classes) of any character heretofore eligible for loans under subsection Vol. 47, p. 711.
(a)of section 201 of the Emergency Relief and Construction Act of 1932, as amended, and paragraph
(3)of such subsection
(a)shall for such purposes be held to include loans for the construction or completion of hospitals the operation of which is partly financed from public funds, and of reservoirs and pumping plants and for the construction of dry docks; and if in the opinion of the President Construction of naval vessels. it seems desirable, the construction of naval vessels within the terms and/or limits established by the London Naval Treaty of 1930 and Vol. 46, p. 2858. of aircraft required therefor and construction of heavier-than-air 202Aircraft. aircraft and technical construction for the Army Air Corps and Army housing projects, etc. such Army housing projects as the President may approve, and provision of original equipment for the mechanization or motorization of such Army tactical units as he may designate: *Provided, *Provisos*. Suspension of naval and military construction. however*, That in the event of an international agreement for the further limitation of armament, to which the United States is signatory, the President is hereby authorized and empowered to suspend, in whole or in part, any such naval or military construction or mechanization and motorization of Army units: *Provided further*, That this title shall not be applicable to public works under Construction under Architect of the Capitol. the jurisdiction or control of the Architect of the Capitol or of any commission or committee for which such Architect is the contracting and/or executive officer. Sec. 203.Unemployment relief.
(a)With a view to increasing employment quickly (while reasonably securing any loans made by the United States) the President Agencies to be created. is authorized and empowered, through the Administrator or through such other agencies as he may designate or create,
(1)to construct, Construction of public works project. finance, or aid in the construction or financing of any public-works project included in the program prepared pursuant to section 202;
(2)upon such terms as the President shall prescribe, to make Grants to States. grants to States, municipalities, or other public bodies for the construction, repair, or improvement of any such project, but no such Limit. grant shall be in excess of 30 per centum of the cost of the labor and Acquisition of property.materials employed upon such project;
(3)to acquire by purchase, or by exercise of the power of eminent domain, any real or personal property in connection with the construction of any such project, Sales. and to sell any security acquired or any property so constructed or acquired or to lease any such property with or without the privilege *Provisos*. Use of proceeds. of purchase: *Provided*, That all moneys received from any such sale or lease or the repayment of any loan shall be used to retire obligations *Post*, p. 206. issued pursuant to section 209 of this Act, in addition to any Railroad maintenance. other moneys required to be used for such purpose;
(4)to aid in the financing of such railroad maintenance and equipment as may be approved by the Interstate Commerce Commission as desirable for the improvement of transportation facilities; and
(5)to advance, upon request of the Commission having jurisdiction of the project, the unappropriated balance of the sum authorized for carrying out the provisions of the Act entitled “An Act to provide for the Library of Congress. Annex construction. Vol. 46, p. 583. construction and equipment of an annex to the Library of Congress”, approved June 13, 1930 (46 Stat. 583); such advance to be expended under the direction of such Commission and in accordance Balance of State, etc., revenues and expenditures. with such Act: *Provided*, That in deciding to extend any aid or grant hereunder to any State, county, or municipality the President may consider whether action is in process or in good faith assured therein reasonably designed to bring the ordinary current expenditures thereof within the prudently estimated revenues thereof. The Applicability of provisions. provisions of this section and section 202 shall extend to public works in the several States, Hawaii, Alaska, the District of Columbia, Puerto Rico, the Canal Zone, and the Virgin Islands. (b)Travel expenses. All expenditures for authorized travel by officers and employees, including subsistence, required on account of any Federal public-works projects, shall be charged to the amounts allocated to such projects, notwithstanding any other provisions of law; and Personal services. there is authorized to be employed such personal services in the District of Columbia and elsewhere as may be required to be engaged upon such work and to be in addition to employees otherwise provided for, the compensation of such additional personal services to be a charge against the funds made available for such construction work. 203
(c)In the acquisition of any land or site for the purposes of Provisions applicable to site acquisitions for public buildings. Vol. 47, pp. 722, 724. Federal public buildings and in the construction of such buildings provided for in this title, the provisions contained in sections 305 and 306 of the Emergency Relief and Construction Act of 1932, as amended, shall apply.
(d)The President, in his discretion, and under such terms as Extension of benefits to States, etc. he may prescribe, may extend any of the benefits of this title to any State, county, or municipality notwithstanding any constitutional or legal restriction or limitation on the right or power of such State, county, or municipality to borrow money or incur indebtedness. Sec. 204.
(a)For the purpose of providing for emergency construction Grants to State highway departments. *Post*, p. 993. Limit. Vol. 42, p. 212. of public highways and related projects, the President is authorized to make grants to the highway departments of the several States in an amount not less than $400,000,000, to be expended by such departments in accordance with the provisions of the Federal Highway Act, approved November 9, 1921, as amended and supplemented, except as provided in this title, as follows:
(1)For expenditure in emergency construction on the Federal Emergency construction on Federal aid highway systems. Apportionment of amount. *Post*, pp. 996, 1057. aid highway system and extensions thereof into and through municipalities. The amount apportioned to any State under this paragraph may be used to pay all or any part of the cost of surveys, plans, and of highway and bridge construction including the elimination of hazards to highway traffic, such as the separation of grades at crossing, the reconstruction of existing railroad grade crossing structures, the relocation of highways to eliminate railroad crossings, the widening of narrow bridges and roadways, the building of footpaths, the replacement of unsafe bridges, the construction of routes to avoid congested areas, the construction of facilities to improve accessibility and the free flow of traffic, and the cost of any other construction that will provide safer traffic facilities or definitely eliminate existing hazards to pedestrian or vehicular traffic. No Use of funds for land acquisitions, etc., denied. funds made available by this title shall be used for the acquisition of any land, right of way, or easement in connection with any railroad grade elimination project.
(2)For expenditure in emergency construction on secondary or Emergency construction feeder roads. feeder roads to be agreed upon by the State highway departments and the Secretary of Agriculture: *Provided*, That the State or *Proviso*. Maintenance to be provided. Availability of funds. responsible political subdivision shall provide for the proper maintenance of said roads. Such grants shall be available for payment of the full cost of surveys, plans, improvement, and construction of secondary or feeder roads, on which projects shall be submitted by the State highway department and approved by the Secretary of Agriculture.
(b)Any amounts allocated by the President for grants under Apportionment of funds among States. subsection
(a)of this section shall be apportioned among the several States seven-eighths in accordance with the provisions of section Vol. 42, p. 217. 21 of the Federal Highway Act, approved November 9, 1921, as amended and supplemented (which Act is hereby further amended Amended to include the District of Columbia. for the purposes of this title to include the District of Columbia), and one-eighth in the ratio which the population of each State bears to the total population of the United States, according to the latest decennial census and shall be available on July 1, 1933, and shall remain available until expended; but no part of the funds Matching of funds by States not required. apportioned to any State need be matched by the State, and such funds may also be used in lieu of State funds to match unobligated balances of previous apportionments of regular Federal-aid appropriations. 204 (c)Provisions of contracts involving expenditure of funds. All contracts involving the expenditure of such grants shall contain provisions establishing minimum rates of wages, to be predetermined by the State highway department, which contractors shall pay to skilled and unskilled labor, and such minimum rates shall be stated in the invitation for bids and shall be included in proposals for bids for the work. (d)Limitations of Federal Highway Act not applicable. In the expenditure of such amounts, the limitations in the Federal Highway Act, approved November 9, 1921, as amended and supplemented, upon highway construction, reconstruction, and bridges within municipalities and upon payments per mile which may be made from Federal funds, shall not apply. (e)Terms construed. “State.” “Highway.” Vol. 42, p. 212. As used in this section the term “State” includes the Territory of Hawaii and the District of Columbia. The term “highway” as defined in the Federal Highway Act approved November 9, 1921, as amended and supplemented, for the purposes of this section, shall be deemed to include such main parkways as may be designated by the State and approved by the Secretary of Agriculture as part of the Federal-aid highway system. (f)Agreement for rights of way over Federal property. Whenever, in connection with the construction of any highway project under this section or section 202 of this Act, it is necessary to acquire rights of way over or through any property or tracts of land owned and controlled by the Government of the United States, it shall be the duty of the proper official of the Government of the United States having control of such property or tracts of land with Approval of President and Attorney General. the approval of the President and the Attorney General of the United States, and without any expense whatsoever to the United States, to perform any acts and to execute any agreements necessary to grant the rights of way so required, but if at any time the land Reversion for non-user. or the property the subject of the agreement shall cease to be used for the purposes of the highway, the title in and the jurisdiction over the land or property shall automatically revert to the Government of the United States and the agreement shall so provide. (g)Tolls. Vol. 42, p. 214. Collection of, authorized. Hereafter in the administration of the Federal Highway Act, and Acts amendatory thereof or supplementary thereto, the first paragraph of section 9 of said Act shall not apply to publicly owned toll bridges or approaches thereto, operated by the highway department Condition. of any State, subject, however, to the condition that all tolls Tolls to be applied to repayment of construction costs.received from the operation of any such bridge, less the actual cost of operation and maintenance, shall be applied to the repayment of the cost of its construction or acquisition, and when the cost of its construction or acquisition shall have been repaid in full, such bridge thereafter shall be maintained and operated as a free bridge. Sec. 205.Amount available for national forest highways, trails, etc.
(a)Not less than $50,000,000 of the amount made available by this Act shall be allotted for
(A)national forest highways,
(B)national forest roads, trails, bridges, and related projects,
(C)National park roads. Roads on Indian reservations. Through public lands. Expenditures. Vol. 47, p. 717. national park roads and trails in national parks owned or authorized,
(D)roads on Indian reservations, and
(E)roads through public lands, to be expended in the same manner as provided in paragraph
(2)of section 301 of the Emergency Relief and Construction Act of 1932, in the case of appropriations allocated for such purposes, respectively, in such section 301, to remain available until expended. (b)Construction, Territories and Insular possessions. The President may also allot funds made available by this Act for the construction, repair, and improvement of public highways in Alaska, the Canal Zone, Puerto Rico, and the Virgin Islands. Sec. 206.Contract provisions. All contracts let for construction projects and all loans and grants pursuant to this title shall contain such provisions Convict labor. as are necessary to insure
(1)that no convict labor shall be employed Thirty-hour week.on any such project;
(2)that (except in executive, administrative, 205 and supervisory positions), so far as practicable and feasible, no individual directly employed on any such project shall be permitted to work more than thirty hours in any one week;
(3)that all employees Wage scales. shall be paid just and reasonable wages which shall be compensation sufficient to provide, for the hours of labor as limited, a standard of living in decency and comfort;
(4)that in the employment Preferences. of labor in connection with any such project, preference shall be given, where they are qualified, to ex-service men with dependents, and then in the following order:
(A)To citizens of the United States and aliens who have declared their intention of becoming citizens, who are bona fide residents of the political subdivision and/or county in which the work is to be performed, and
(B)to citizens of the United States and aliens who have declared their intention of becoming citizens, who are bona fide residents of the State, Territory, or district in which the work is to be performed: *Provided*, That these *Proviso*. When preferences applicable. preferences shall apply only where such labor is available and qualified to perform the work to which the employment relates; and
(5)that the maximum of human labor shall be used in lieu of Use of human labor. machinery wherever practicable and consistent with sound economy and public advantage. Sec. 207.
(a)For the purpose of expediting the actual construction Assignments by contractor authorized. of public works contemplated by this title and to provide a means of financial assistance to persons under contract with the United States to perform such construction, the President is authorized and empowered, through the Administrator or through such other agencies as he may designate or create, to approve any assignment Approval required. executed by any such contractor, with the written consent of Consent of sureties.the surety or sureties upon the penal bond executed in connection with his contract, to any national or State bank, or his claim against the United States, or any part of such claim, under such contract; and any assignment so approved shall be valid for all purposes, notwithstanding [R.S., secs. 3477, 3737, pp. 689, 737](/us/rs/s3477/3737/pp689/737). [U.S.C., pp. 987, 1310](/us/usc/pp987/1310). the provisions of sections 3737 and 3477 of the Revised Statutes, as amended.
(b)The funds received by a contractor under any advances made Funds received in consideration of assignment to be trust funds. in consideration of any such assignment are hereby declared to be trust funds in the hands of such contractor to be first applied to the payment of claims of subcontractors, architects, engineers, surveyors, laborers, and material men in connection with the project, to the payment of premiums on the penal bond or bonds, and premiums accruing during the construction of such project on insurance policies taken in connection therewith. Any contractor and Penalty for misapplication. any officer, director, or agent of any such contractor, who applies, or consents to the application of, such funds for any other purpose and fails to pay any claim or premium hereinbefore mentioned, shall be deemed guilty of a misdemeanor and shall be punished by a fine of not more than $1,000 or by imprisonment for not more than one year, or by both such fine and imprisonment.
(c)Nothing in this section shall be considered as imposing upon Assignee not liable. the assignee any obligation to see to the proper application of the funds advanced by the assignee in consideration of such assignment. subsistence homesteads Subsistence homesteads. Executive Order number 6209, July 21, 1933. Loans for purchase of, authorized. Amount available. Sec. 208. To provide for aiding the redistribution of the overbalance of population in industrial centers $25,000,000 is hereby made available to the President, to be used by him through such agencies as he may establish and under such regulations as he may make, for making loans for and otherwise aiding in the purchase of subsistence homesteads. The moneys collected as repayment of said loans shall Repayments to constitute revolving fund. 206 constitute a revolving fund to be administered as directed by the President for the purposes of this section. rules and regulations Sec. 209.Rules and regulations to be prescribed. Penalty for violations. The President is authorized to prescribe such rules and regulations as may be necessary to carry out the purposes of this title, and any violation of any such rule or regulation shall be punishable by fine of not to exceed $500 or imprisonment not to exceed six months, or both. issue of securities and sinking fundIssue of securities and sinking fund. Sec. 210.Power of Secretary of Treasury to borrow. Vol. 40, p. 288.
(a)The Secretary of the Treasury is authorized to borrow, from time to time, under the Second Liberty Bond Act, as amended, such amounts as may be necessary to meet the expenditures authorized by this Act, or to refund any obligations previously issued under this section, and to issue therefor bonds, notes, certificates of indebtedness, or Treasury bills of the United States. (b)Additional amount annually appropriated. Vol. 40, p. 1311. For each fiscal year beginning with the fiscal year 1934 there is hereby appropriated, in addition to and as part of, the cumulative sinking fund provided by section 6 of the Victory Liberty Loan Act, as amended, out of any money in the Treasury not otherwise appropriated, for the purpose of such fund, an amount equal to 2½ per centum of the aggregate amount of the expenditures made out of appropriations made or authorized under this Act as determined by the Secretary of the Treasury. reemployment and relief taxesReemployment and relief taxes. Sec. 211.Revenue Act of 1932. Vol. 47, p. 266. Gasoline tax.
(a)Effective as of the day following the date of the enactment of this Act, section 617
(a)of the Revenue Act of 1932 is amended by striking out “1 cent” and inserting in lieu thereof “1½ cents”. (b)Terms construed. “Benzol.” Effective as of the day following the date of the enactment of this Act, section 617
(2)of such Act is amended by adding at the end thereof a new sentence to read as follows: “As used in this paragraph the term ‘benzol’ does not include benzol sold for use otherwise than as a fuel for the propulsion of motor vehicles, motor boats, or airplanes, and otherwise than in the manufacture or production of such fuel.” Sec. 212.Title IV—Manufacturers’ excise tax. Vol. 47, p. 259. Title V—Miscellaneous taxes. Vol. 47, p. 270. Titles IV and V of the Revenue Act of 1932 are amended by striking out “1934” wherever appearing therein and by inserting in lieu thereof “1935”. Section 761 of the Revenue Act of 1932 is further amended by striking out “and on July 1, 1933” and inserting in lieu thereof “and on July 1, 1933, and on July 1, 1934,”. Sec. 213.Tax on dividends. Vol. 47, p. 178.
(a)There is hereby imposed upon the receipt of dividends (required to be included in the gross income of the recipient under the provisions of the Revenue Act of 1932) by any person other than a domestic corporation, an excise tax equal to 5 per centum of the amount thereof, such tax to be deducted and withheld from such dividends by the payor corporation. The tax imposed by this section shall not apply to dividends declared before the date of the enactment of this Act. (b)Returns of withholding corporation. Every corporation required to deduct and withhold any tax under this section shall, on or before the last day of the month following the payment of the dividend, make return thereof and pay the tax to the collector of the district in which its principal place of business is located, or, if it has no principal place of business in the United States, to the collector at Baltimore, Maryland. 207
(c)Every such corporation is hereby made liable for such tax Liability of corporation. and is hereby indemnified against the claims and demands of any person for the amount of any payment made in accordance with the provisions of this section.
(d)The provisions of sections 115, 771 to 774, inclusive, and 1111 Provisions of Revenue Act of 1932, applicable. Vol. 47, pp. 203, 277, 289. of the Revenue Act of 1932 shall be applicable with respect to the tax imposed by this section.
(e)The taxes imposed by this section shall not apply to the dividends Dividends not taxed. Vol. 47, p. 193. Vol. 47, p. 195. of any corporation enumerated in section 103 of the Revenue Act of 1932. Sec. 214. Section 104 of the Revenue Act of 1932 is amended by Accumulation of surplus to evade any internal-revenue tax. Vol. 47, p. 177. striking out the words “the surtax” wherever occurring in such section and inserting in lieu thereof “any internal-revenue tax.” The heading of such section is amended by striking out “surtaxes” and inserting in lieu thereof “internal-revenue taxes.” Section 13(c) of such Act is amended by striking out “surtax” and inserting in lieu thereof “internal-revenue tax.” Sec. 215.
(a)For each year ending June 30 there is hereby imposed Tax on domestic corporations. upon every domestic corporation with respect to carrying on or doing business for any part of such year an excise tax of $1 *Post*, p. 771. for each $1,000 of the adjusted declared value of its capital stock.
(b)For each year ending June 30 there is hereby imposed upon Foreign corporations. every foreign corporation with respect to carrying on or doing business in the United States for any part of such year an excise tax equivalent to $1 for each $1,000 of the adjusted declared value of capital employed in the transaction of its business in the United States.
(c)The taxes imposed by this section shall not apply— Corporations to which not applicable. Vol. 47, p. 193.
(1)to any corporation enumerated in section 103 of the Revenue Act of 1932;
(2)to any insurance company subject to the tax imposed by Vol. 47, pp. 223, 225. section 201 or 204 of such Act;
(3)to any domestic corporation in respect of the year ending June 30, 1933, if it did not carry on or do business during a part of the period from the date of the enactment of this Act to June 30, 1933, both dates inclusive; or
(4)to any foreign corporation in respect of the year ending June 30, 1933, if it did not carry on or do business in the United States during a part of the period from the date of the enactment of this Act to June 30, 1933, both dates inclusive.
(d)Every corporation liable for tax under this section shall make Returns of corporations. a return under oath within one month after the close of the year with respect to which such tax is imposed to the collector for the district in which is located its principal place of business or, if it has no principal place of business in the United States, then to the collector at Baltimore, Maryland. Such return shall contain such Contents. information and be made in such manner as the Commissioner with the approval of the Secretary may by regulations prescribe. The When tax payable. tax shall, without assessment by the Commissioner or notice from the collector, be due and payable to the collector before the expiration of the period for filing the return. If the tax is not paid when Interest rate, if not paid when due. due, there shall be added as part of the tax interest at the rate of 1 per centum a month from the time when the tax became due until paid. All provisions of law (including penalties) applicable in Penalty provisions. Vol. 44, p. 93. respect of the taxes imposed by section 600 of the Revenue Act of 1926 shall, in so far as not inconsistent with this section, be applicable in respect of the taxes imposed by this section. The Commissioner Extension of time for making returns. may extend the time for making the returns and paying the taxes 208Limit. imposed by this section, under such rules and regulations as he may prescribe with the approval of the Secretary, but no such extension shall be for more than sixty days. (e)Inspection of returns. Returns required to be filed for the purpose of the tax imposed by this section shall be open to inspection in the same manner, to Vol. 44, p. 10. the same extent, and subject to the same provisions of law, including penalties, as returns made under title II of the Revenue Act of 1926. (f)Adjusted declared value. Computation of, first year. For the first year ending June 30 in respect of which a tax is imposed by this section upon any corporation, the adjusted declared value shall be the value, as declared by the corporation in its first return under this section (which declaration of value cannot be amended), as of the close of its last income-tax taxable year ending at or prior to the close of the year for which the tax is imposed by this section (or as of the date of organization in the case of a corporation having no income-tax taxable year ending at or prior to the close of the year for which the tax is imposed by this section). For Subsequent years. Domestic corporation. any subsequent year ending June 30, the adjusted declared value in the case of a domestic corporation shall be the original declared value plus
(1)the cash and fair market value of property paid in for stock or shares,
(2)paid-in surplus and contributions to capital, and
(3)earnings and profits, and minus
(A)the value of property distributed in liquidation to shareholders,
(B)distributions of earnings and profits, and
(C)deficits, whether operating or nonoperating; each adjustment being made for the period from the date as of which the original declared value was declared to the close of its last income-tax taxable year ending at or prior to the close of the year for which the tax is imposed by this section. For any subsequent Adjusted declared value, foreign corporations. year ending June 30, the adjusted declared value in the case of a foreign corporation shall be the original declared value adjusted, in accordance with regulations prescribed by the Commissioner with the approval of the Secretary, to reflect increases or decreases (for the period specified in the preceding sentence) in the capital employed in the transaction of its business in the United States. (g)Meaning of terms. The terms used in this section shall have the same meaning as when used in the Revenue Act of 1932. Sec. 216.Tax on net income of corporations. Computation of.
(a)There is hereby imposed upon the net income of every corporation, for each income-tax taxable year ending after *Post*, p. 771.the close of the first year in respect of which it is taxable under section 215, an excess-profits tax equivalent to 5 per centum of such portion of its net income for such income-tax taxable year as is in excess of 12½ per centum of the adjusted declared value of its capital stock (or in the case of a foreign corporation the adjusted declared value of capital employed in the transaction of its business in the United States) as of the close of the preceding income-tax *Ante*, p. 207. taxable year (or as of the date of organization if it had no preceding Meaning of terms.income-tax taxable year) determined as provided in section 215. The terms used in this section shall have the same meaning as when used in the Revenue Act of 1932. (b)Assessment and collection of taxes. Vol. 47, p. 173. The tax imposed by this section shall be assessed, collected, and paid in the same manner, and shall be subject to the same provisions of law (including penalties), as the taxes imposed by title I of the Revenue Act of 1932. Sec. 217.Proclamations. Revenues of United States exceed expenditures. *Post*, p. 1720.
(a)The President shall proclaim the date of—
(1)the close of the first fiscal year ending June 30 of any year after the year 1933, during which the total receipts of the United States (excluding public-debt receipts) exceed its total expenditures (excluding public-debt expenditures other than those chargeable against such receipts), or 209
(2)the repeal of the eighteenth amendment to the Constitution, Repeal of eighteenth amendment. *Post*, p. 1720. whichever is the earlier.
(b)Effective as of the 1st day of the calendar year following the Tax reductions. Vol. 47, p. 266. date so proclaimed section 617(a) of the Revenue Act of 1932, as amended, is amended by striking out “1½ cents” and inserting in lieu thereof “1 cent”.
(c)The tax on dividends imposed by section 213 shall not apply *Ante*, p. 206. to any dividends declared on or after the 1st day of the calendar year following the date so proclaimed.
(d)The capital-stock tax imposed by section 215 shall not apply *Ante*, p. 207; *post*, p. 771. to any taxpayer in respect of any year beginning on or after the 1st day of July following the date so proclaimed.
(e)The excess-profits tax imposed by section 216 shall not apply *Ante*, p. 208; *post*, p. 771. to any taxpayer in respect of any taxable year after its taxable year during which the date so proclaimed occurs. Sec. 218.
(a)Effective as of January 1, 1933, sections 117, 23(i), Sections repealed. Vol. 47, pp. 180, 207, 222, 223, 227. 169, 187, and 205 of the Revenue Act of 1932 are repealed.
(b)Effective as of January 1, 1933, section 23(r)
(2)of the Revenue Vol. 47, p. 183. Act of 1932 is repealed.
(c)Effective as of January 1, 1933, section 23(r)
(3)of the Revenue Section amended. Vol. 47, p. 183. Act of 1932 is amended by striking out all after the word “Territory” and inserting a period.
(d)Effective as of January 1, 1933, section 182(a) of the Revenue Vol. 47, p. 222. Act of 1932 is amended by inserting at the end thereof a new sentence as follows: “No part of any loss disallowed to a partnership as a deduction by section 23
(r)shall be allowed as a deduction to a Vol. 47, p. 183. member of such partnership in computing net income.”
(e)Effective as of January 1, 1933, section 141(c) of the Revenue Vol. 47, p. 213. Consolidated returns of corporations. Act of 1932 is amended by striking out “except that for the taxable years 1932 and 1933 there shall be added to the rate of tax prescribed by sections 13(a), 201(b), and 204(a), a rate of three fourths of 1 per centum” and inserting in lieu thereof the following: “except that for the taxable years 1932 and 1933 there shall be added to the rate of tax prescribed by sections 13(a), 201 (b), and 204(a), a rate of three fourths of 1 per centum and except that for the taxable years 1934 and 1935 there shall be added to the rate of tax prescribed by sections 13(a), 201(b), and 204(a), a rate of 1 per centum”.
(f)No interest shall be assessed or collected for any period prior Assessment, etc., of interest prior to September 15, 1933. to September 15, 1933, upon such portion of any amount determined as a deficiency in income taxes as is attributable solely to the amendments made to the Revenue Act of 1932 by this section.
(g)In cases where the effect of this section is to require for a Time for making return hereunder. taxable year ending prior to June 30, 1933, the making of an income-tax return not otherwise required by law, the time for making the return and paying the tax shall be the same as if the return was for a fiscal year ending June 30, 1933.
(h)Section 55 of the Revenue Act of 1932 is amended by inserting Revenue Act of 1932, amendment. Vol. 47, p. 189. Inspection of returns. before the period at the end thereof a semicolon and the following: “and all returns made under this Act after the date of enactment of the National Industrial Recovery Act shall constitute public records and shall be open to public examination and inspection to such extent as shall be authorized in rules and regulations promulgated by the President”. Sec. 219. Section 500
(1)of the Revenue Act of 1926, as Vol. 44, p. 91; Vol. 45, p. 863. Tax on admissions and dues. amended, is amended by striking out the period at the end of the second sentence thereof and inserting in lieu thereof a comma and the following: “except that no tax shall be imposed in the case of persons admitted free to any spoken play (not a mechanical repro-210duction), whether or not set to music or with musical parts or accompaniments, which is a consecutive narrative interpreted by a single set of characters, all necessary to the development of the plot, in two or more acts, the performance consuming more than 1 hour and 45 minutes of time.” appropriation Sec. 220.Appropriations. *Post*, pp. 275, 1055. For the purposes of this Act, there is hereby authorized to be appropriated, out of any money in the Treasury not otherwise Amount. appropriated, the sum of $3,300,000,000. The President is authorized Allocation.to allocate so much of said sum, not in excess of $100,000,000, as he may determine to be necessary for expenditures in carrying out the Agricultural Adjustment Act and the purposes, powers, and functions heretofore and hereafter conferred upon the Farm Credit Administration. Sec. 221.Agricultural Adjustment Act. *Ante*, p. 34. Section 7 of the Agricultural Adjustment Act, approved May 12, 1933, is amended by striking out all of its present terms and provisions and substituting therefor the following: " “Sec. 7.Cotton sales. *Provisos*. Total disposition by March 1, 1936. The Secretary shall sell the cotton held by him at his discretion, but subject to the foregoing provisions: *Provided*, That he shall dispose of all cotton held by him by March 1, 1936: *Provided Option contracts of sale authorized. further*, That notwithstanding the provisions of section 6, the Secretary shall have authority to enter into option contracts with producers of cotton to sell to the producers such cotton held by him, in such amounts and at such prices and upon such terms and conditions as the Secretary may deem advisable, in combination with rental or benefit payments provided for in part 2 of this title. Information pertaining to administration of Act. “Notwithstanding any provisions of existing law, the Secretary of Agriculture may in the administration of the Agricultural Adjustment Act make public such information as he deems necessary in order to effectuate the purposes of such Act.” " TITLE III— title iii—amendments to emergency relief and construction act—miscellaneous provisions. AMENDMENTS TO EMERGENCY RELIEF AND CONSTRUCTION ACT AND MISCELLANEOUS PROVISIONS Section 301.Applications for loans to Reconstruction Finance Corporation. Vol. 47, p. 711. Administrator to have access to files, etc. *Post*, p. 1110. After the expiration of ten days after the date upon which the Administrator has qualified and taken office,
(1)no application shall be approved by the Reconstruction Finance Corporation under the provisions of subsection
(a)of section 201 of the Emergency Relief and Construction Act of 1932, as amended, and
(2)the Administrator shall have access to all applications, files, and records of the Reconstruction Finance Corporation relating to loans and contracts and the administration of funds under such subsection: *Proviso*. Issue of funds to borrower. *Provided*, That the Reconstruction Finance Corporation may issue funds to a borrower under such subsection
(a)prior to January 23, 1939, under the terms of any agreement or any commitment to bid upon or purchase bonds entered into with such borrower pursuant to an application approved prior to the date of termination, under this section, of the power of the Reconstruction Finance Corporation to approve applications. decrease of borrowing power of reconstruction finance corporation Sec. 302.Decrease of borrowing power of Reconstruction Finance Corporation. Vol. 47, p. 9. The amount of notes, debentures, bonds, or other such obligations which the Reconstruction Finance Corporation is authorized and empowered under section 9 of the Reconstruction Finance Corporation Act, as amended, to have outstanding at any one time is decreased by $400,000,000. 211 separability clause Sec. 303. If any provision of this Act, or the application thereof Separability clause. to any person or circumstances, is held invalid, the remainder of the Act, and the application of such provision to other persons or circumstances, shall not be affected thereby. short title Sec. 304. This Act may be cited as the “National Industrial Short title. Recovery Act.” Approved, June 16, 1933, 11:55 a.m. To relieve the existing national emergency in relation to interstate railroad transportation, and to amend sections 5, 15a, and 19a of the Interstate Commerce Act, as amended. Chapter 91 48 Stat. 211 1933-06-16 United States Government Publishing Office text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Digitization Vendor 2024-12-11 73 1 public [CHAPTER 91.] AN ACT To relieve the existing national emergency in relation to interstate railroad transportation, and to amend sections 5, 15a, and 19a of the Interstate Commerce Act, as amended.June 16, 1933. [[S. 1580](/us/bill/73/s/1580).] [[Public, No. 68](/us/pl/73/68).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*, That this Act may Emergency Railroad Transportation Act, 1933. be cited as the “Emergency Railroad Transportation Act, 1933.” TITLE I— EMERGENCY POWERS title i—Emergency powers. Section 1. As used in this title— Definitions.
(a)The term “Commission” means the Interstate Commerce “Commission.” Commission.
(b)The term “Coordinator” means the Federal Coordinator of “Coordinator.” Transportation hereinafter provided for.
(c)The term “committee” means any one of the regional coordinating "Committee.” committees hereinafter provided for.
(d)The term “carrier” means any common carrier by railroad “Carrier.” subject to the provisions of the Interstate Commerce Act, as amended, including any receiver or trustee thereof.
(e)The term “subsidiary” means any company which is directly “Subsidiary.” or indirectly controlled by, or affiliated with, any carrier or carriers. For the purpose of the foregoing definition a company shall be deemed to be affiliated with a carrier if so affiliated within the meaning of paragraph
(8)of section 5 of the Interstate Commerce Act, as amended by this Act.
(f)The term “employee” includes every person in the service of “Employee.” a carrier (subject to its continuing authority to supervise and direct the manner of rendition of his service) who performs any work defined as that of an employee or subordinate official in accordance with the provisions of the Railway Labor Act.
(g)The term “State commission” means the commission, board, “State commission.” or official, by whatever name designated, exercising power to regulate the rates or service of common carriers by railroad under the laws of any State. Sec. 2. In order to foster and protect interstate commerce in relation Objects of title declared. to railroad transportation by preventing and relieving obstructions and burdens thereon resulting from the present acute economic emergency, and in order to safeguard and maintain an adequate national system of transportation, there is hereby created the office Office of Federal Coordinator of Transportation; created. of Federal Coordinator of Transportation, who shall be appointed by the President, by and with the advice and consent of the Senate, or be designated by the President from the membership of the Commission. If so designated, the Coordinator shall be relieved from other duties as Commissioner during his term of service to such extent as the 212Not to serve on Commission of review. President may direct; except that the Coordinator shall not sit as a member of the Commission in any proceedings for the review or suspension Powers and duties of Coordinator. of any order issued by him as Coordinator. The Coordinator shall have such powers and duties as are hereinafter set forth and prescribed, and may, with the approval of the President, and without Appointment of assistants. regard to the civil service laws and the Classification Act of 1923, as amended, appoint and fix the compensation of such assistants and agents, in addition to the assistance provided by the Commission, as may be necessary to the performance of his duties under this Location, etc., of office. Act. The office of the Coordinator shall be in Washington, District of Columbia, and the Commission shall provide such office space, facilities, and assistance as he may request and it is able to furnish. Compensation; restriction. The Coordinator shall receive such compensation as the President shall fix, except that if designated from the Commission, he shall receive no compensation in addition to that which he receives as a member of the Commission. Sec. 3.Coordinator to divide carriers into three regional groups. *Post*, p. 974. The Coordinator shall divide the lines of the carriers into three groups, to wit, an eastern group, a southern group, and a western group, and may from time to time make such changes or subdivisions in such groups as he may deem to be necessary or desirable. At the earliest practicable date after the Coordinator Regional coordinating committees to be created. Membership. shall have initially designated such groups, three regional coordinating committees shall be created, one for each group, and each committee shall consist of five regular members and two special Selection by carriers; rules governing operation. members. The carriers in each group, acting each through its board of directors or its receiver or receivers or trustee or trustees or through an officer or officers designated for the purpose by such board, shall select the regular members of the committee representing Railroad system limited to one representative. that group, and shall prescribe the rules under which such committee shall operate; but no railroad system shall have more than one representative on any such committee. In such selection each carrier Vote.shall have a vote in proportion to its mileage lying within the Selection of two special members; to represent steam and electric railroads.group. The two special members of each committee shall be selected in such manner as the Coordinator may approve, one to represent the steam railroads within the group which had in 1932 railway operating revenues of less than $1,000,000 and the other to represent electric railways within the group not owned by a steam railroad or operated as a part of a general steam Notice of meetings, etc. railroad system of transportation. Each such special member shall have reasonable notice of all meetings of his committee at which any matter affecting any carrier which he represents is to be considered, and may participate in the consideration and disposition Removals and vacancies. of such matter. Members of the committees may be removed from office and vacancies may be filled in like manner. Sec. 4.Purposes of title. The purposes of this title are
(1)to encourage and promote or require action on the part of the carriers and of subsidiaries subject to the Interstate Commerce Act, as amended, which will Avoid unnecessary duplication, etc.; joint use of tracks and terminals. *Proviso*. Restriction on eliminating existing routes. Control allowances and accessorial services.
(a)avoid unnecessary duplication of services and facilities of whatsoever nature and permit the joint use of terminals and trackage incident thereto or requisite to such joint use: *Provided*, That no routes now existing shall be eliminated except with the consent of all participating lines or upon order of the Coordinator,
(b)control allowances, accessorial services and the charges therefor, and other practices affecting service or operation, to the end that undue impairment of net earnings may be prevented, and
(c)avoid other wastes and preventable expense;
(2)to promote financial Promote economies. Financial reorganization of carriers. reorganization of the carriers, with due regard to legal rights, so as to reduce fixed charges to the extent required by the public inter-213est and improve carrier credit; and
(3)to provide for the immediate Study of conditions for improving transportation. study of other means of improving conditions surrounding transportation in all its forms and the preparation of plans therefor. *Post*, p. 216. Sec. 5. It shall be the duty of the committees on their own initiative, Provisions of title to be executed by regional committees, etc. severally within each group and jointly where more than one group is affected, to carry out the purposes set forth in subdivision
(1)of section 4, so far as such action can be voluntarily accomplished *Ante*, p. 212. by the carriers. In such instances as the committees are Authority of Coordinator when committee reports inability to perform. unable, for any reason, legal or otherwise, to carry out such purposes by such voluntary action, they shall recommend to the Coordinator that he give appropriate directions to the carriers or subsidiaries subject to the Interstate Commerce Act, as amended, by order; and the Coordinator is hereby authorized and directed to issue and enforce such orders if he finds them to be consistent with the public interest and in furtherance of the purposes of this title. Sec. 6.
(a)The Coordinator shall confer freely with the committees Committee conferences. and give them the benefit of his advice and assistance. At his request, the committees, the carriers, the subsidiaries, and the Reports, etc., to be submitted. Commission shall furnish him, or his assistants and agents, such information and reports as he may desire in investigating any matter within the scope of his duties under this title; and the Coordinator, his assistants, and agents, and the Commission, shall at all times have Access to accounts, records, etc., of carriers. access to all accounts, records, and memoranda of the carriers and subsidiaries. If, in any instance, a committee has not acted with respect to any matter which the Coordinator has brought to its Coordinator may act on his own initiative, if committee fails. attention and upon which he is of the opinion that it should have acted, under the provisions of section 5, he is hereby authorized and directed to issue and enforce such order, giving appropriate directions to the carriers and subsidiaries subject to the Interstate Commerce Act, as amended, with respect to such matter, as he shall find to be consistent with the public interest.
(b)Insofar as may be necessary for the purposes of this title, Proceedings before Commission. the Commission and the members and examiners thereof shall have the same power to administer oaths and require by subpena Attendance of witnesses; production of books, etc. the attendance and testimony of witnesses and the production of books, papers, tariffs, contracts, agreements, and documents and to take testimony by deposition, relating to any matter under investigation, as though such matter arose under the Interstate Commerce Act, as amended and supplemented; and any person subpenaed or testifying in connection with any matter under investigation under this title shall have the same rights, privileges, and immunities Penalty provisions. and be subject to the same duties, liabilities, and penalties as are provided in the case of persons subpenaed or testifying in connection with any matter under investigation under the Interstate Commerce Act, as amended. Sec. 7.
(a)A labor committee for each regional group of carriers Labor committees; selection. may be selected by those railroad labor organizations which, as representatives duly designated and authorized to act in accordance Railway labor organizations to represent. with the requirements of the Railway Labor Act, entered into the agreements of January 31, 1932, and December 21, 1932, with duly authorized representatives of the carriers, determining the wage Vol. 44, p. 577. payments of the employees of the carriers. A similar labor committee Committee to represent other organizations. for each regional group of carriers may be selected by such other railroad labor organizations as may be duly designated and authorized to represent employees in accordance with the requirements of the Railway Labor Act. It shall be the duty of the regional Labor conferences. coordinating committees and the Coordinator to give reasonable notice to, and to confer with, the appropriate regional labor committee Notice to regional labor committee. or committees upon the subject matter prior to taking any 214 action or issuing any order which will affect the interest of the employees, and to afford the said labor committee or committees reasonable opportunity to present views upon said contemplated action or order. (b)Reduction in number of employees restricted. The number of employees in the service of a carrier shall not be reduced by reason of any action taken pursuant to the authority of this title below the number as shown by the pay rolls of employees in service during the month of May, 1933, after deducting the number who have been removed from the pay rolls after the effective date of this Act by reason of death, normal retirements, or resignation, Vacancies caused by death, etc. but not more in any one year than 5 per centum of said number in service during May, 1933; nor shall any employee in such service be deprived of employment such as he had during said month of May or be in a worse position with respect to his compensation for such employment, by reason of any action taken pursuant to the authority conferred by this title. (c)Regional boards of adjustment, establishment. The Coordinator is authorized and directed to establish regional boards of adjustment whenever and wherever action taken pursuant to the authority conferred by this title creates conditions that make necessary such boards of adjustment to settle controversies between carriers and employees. Carriers and their Equality of representation, etc.employees shall have equal representation on such boards of adjustment for settlement of such controversies, and said boards shall exercise the functions of boards of adjustment provided for by the Railway Labor Act. (d)Carriers to pay property losses of employees incident to transfers of work. The Coordinator is authorized and directed to provide means for determining the amount of, and to require the carriers to make just compensation for, property losses and expenses imposed upon employees by reason of transfers of work from one locality to another in carrying out the purposes of this title. (e)Compliance with Railway Labor and Bankruptcy Acts by carriers required. Carriers, whether under control of a judge, trustee, receiver, or private management, shall be required to comply with the provisions of the Railway Labor Act and with the provisions of section 77, paragraphs (o), (p), and (q), of the Act approved March 3, 1933, Vol. 44. p. 577; Vol. 47, p. 1481. entitled “An Act to amend an Act entitled ‘An Act to establish a uniform system of bankruptcy throughout the United States’, approved July 1, 1898, and Acts amendatory thereof and supplementary thereto.” Sec. 8.Orders of Coordinator to be made public. Any order issued by the Coordinator pursuant to this title shall be made public in such reasonable manner as he may determine Effective date, etc. and shall become effective as of such date, not less than twenty days from the date of such publication, as the Coordinator shall prescribe in the order; and such order shall remain in effect until it is vacated by him or suspended or set aside by the Commission Pooling arrangements, etc. or other lawful authority, as hereinafter provided, and such order may include provision for the creation and administration of such just pooling arrangements or for such just compensation for the use of property or for carrier services as he may deem necessary or desirable and in furtherance of the purposes of this title. Sec. 9.Appeals to Commission. Any interested party, including, among others, any carrier, subsidiary, shipper, or employee, or any group of carriers, shippers, or employees, or any State commission, or the Governor of any State, or the official representative or representatives of any political subdivision thereof, dissatisfied with any order of the Coordinator may, at any time prior to the effective date of the order, file a petition with the Commission asking that such order be reviewed and suspended pending such review, and stating fully the reasons therefor. Rules governing. Such petitions shall be governed by such general rules as the Commission may establish, If the Commission, upon considering such 215 petition and any answer or answers thereto, finds reason to believe that the order may be unjust to the petitioner or inconsistent with the public interest, the Commission is hereby authorized to grant such review and, in its discretion, the Commission may suspend the Review by commission; suspension of order. order if it finds immediate enforcement thereof would result in irreparable damage to the petitioner or work grave injury to the public interest, but if the Commission suspends an order, it shall expedite the hearing and decision on that order as much as possible. Thereupon the Commission shall, after due notice and a public hearing, review the order and take such action in accord with the purposes of this title as it finds to be just and consistent with the public interest, either confirming the order or setting it aside or reissuing it in modified form, and any order so confirmed or reissued shall thereafter remain in effect until vacated or modified by the Commission. Sec. 10.
(a)The carriers or subsidiaries subject to the Interstate Suspension of the antitrust laws, etc. Vol. 38, p. 730. Commerce Act, as amended, affected by any order of the Coordinator or Commission made pursuant to this title shall, so long as such order is in effect, be, and they are hereby, relieved from the operation of the antitrust laws, as designated in section 1 of the Act entitled “An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes”, approved October 15, 1914, and of all other restraints or prohibitions by law, State or Federal, other than such as are for the protection of the public health or Protection of public health or safety excepted. safety, in so far as may be necessary to enable them to do anything authorized or required by such order made pursuant to this title: *Provided, however*, That nothing herein shall be construed to repeal, *Proviso*. Railway Labor Act not affected. Vol. 44, p. 577. amend, suspend, or modify any of the requirements of the Railway Labor Act or the duties and obligations imposed thereunder or through contracts entered into in accordance with the provisions of said Act.
(b)The Coordinator shall issue no order which shall have the Notification to State of intention to relieve carrier from operation of State law. effect of relieving any carrier or subsidiary from the operation of the law of any State or of any order of any State commission until he has advised the State commission of said State, or the Governor of said State if there be no such commission, that such order is in contemplation, and shall afford the State commission or Governor so Hearings. notified reasonable opportunity to present views and information bearing upon such contemplated order, nor unless such order is necessary, in his opinion, to prevent or remove an obstruction to or a burden upon interstate commerce. Sec. 11. Nothing in this title shall be construed to relieve any Prior contractual obligations continued in force. carrier from any contractual obligation which it may have assumed, prior to the enactment of this Act, with regard to the location or maintenance of offices, shops, or roundhouses at any point. Sec. 12. The willful failure or refusal of any carrier or subsidiary Penal provisions. Violation of Coordinator’s, etc., order. or of any officer or employee of any carrier or subsidiary to comply with the terms of any order of the Coordinator or of the Commission made pursuant to this title shall be a misdemeanor, and upon conviction thereof the carrier, subsidiary, or person offending shall be subject to a fine of not less than $1,000 or more than $20,000 for Penalty. Each day a separate offense. each offense, and each day during which such carrier, subsidiary, or person shall willfully fail or refuse to comply with the terms of such order shall constitute a separate offense. It shall be the Prosecution proceedings. duty of any district attorney of the United States to whom the Coordinator or the Commission may apply to institute in the proper court and to prosecute under the direction of the Attorney General of the United States all necessary proceedings for the enforcement of the provisions of this title and for the punishment 216Payment of expenses. of all violations thereof, and the costs and expenses of such prosecution shall be paid out of the appropriation for the expense of the *Proviso*. Employee’s right to refuse to render services, etc. courts of the United States: *Provided*, That nothing in this title shall be construed to require any employee or officer of any carrier to render labor or service without his consent, or to authorize the issuance of any orders requiring such service, or to make illegal the failure or refusal of any employee individually, or any number of employees collectively, to render labor or services. Sec. 13.Study of means of improvement, etc., to be made. It shall further be the duty of the Coordinator, and he is hereby authorized and directed, forthwith to investigate and consider means, not provided for in this title, of improving transportation conditions throughout the country, including cost finding in rail transportation and the ability, financial or otherwise, of the carriers to improve their properties and furnish service and charge rates which will promote the commerce and industry of the country and including, also, the stability of railroad labor employment and Recommendations to be submitted. other improvement of railroad labor conditions and relations; and from time to time he shall submit to the Commission such recommendations calling for further legislation to these ends as he may deem necessary or desirable in the public interest. The Commission Transmission to President, etc. shall promptly transmit such recommendations, together with its comments thereon, to the President and to the Congress. Sec. 14.Expenses of Coordinator. *Ante*, p. 211. The expenses of the Coordinator except so far as they are borne by the Commission in accordance with the provisions of section 2, but not including the expenses of the coordinating committees, shall be allowed and paid, on the presentation of itemized Fund, obtained from assessments on carriers. vouchers therefor approved by the Coordinator, out of a fund obtained from assessments on the carriers, and said fund is hereby appropriated for the payment of such expenses. It shall be the Basis of computation. duty of each carrier, within thirty days after the date of enactment of this Act, to pay into this fund, for the first year of the operation *Post*, p. 954. of this title, one and one-half dollars for every mile of road operated by it on December 31, 1932, as reported to the Commission, and to pay into said fund within thirty days after the expiration of such year a proportional amount covering any period of extension of this *Post*, p. 217. title by proclamation of the President under section 17, and it shall be the duty of the Secretary of the Treasury to collect such assessments. Pro rata return of any balance. Any amount remaining in the fund when this title ceases to have effect shall be returned by the Secretary of the Treasury to the Free transportation, etc., provided Coordinator, assistants, etc. Vol. 35, p. 60, waived. carriers in proportion to their contributions. The carriers and the Pullman Company shall be permitted, anything in the Interstate Commerce Act, as amended, to the contrary notwithstanding, to provide free transportation and other carrier service to the Coordinator and his assistants and agents and to the employees of the Commission when engaged in the service of the Coordinator. Sec. 15.Loans to carriers denied when financial reorganization essential. Vol. 47, p. 7. The Commission shall not approve a loan to a carrier under the Reconstruction Finance Corporation Act, as amended, if it is of the opinion that such carrier is in need of financial reorganization *Proviso*. “Carrier” not to include receiver, etc. Court review of orders. in the public interest: *Provided, however*, That the term “carrier” as used in this section shall not include a receiver or trustee. Sec. 16. Any final order made under this title shall be subject to the same right of relief in court by any party in interest as is now provided in respect to orders of the Commission made under the Venue of suits on orders of Coordinator or Commission. Vol. 38, p. 219, amended. Interstate Commerce Act, as amended. The provisions of the Urgent Deficiencies Appropriation Act of October 22, 1913 (38 Stat.L. 219), shall be applicable to any proceeding in court brought to suspend or set aside any order of the Coordinator or of the Commission entered pursuant to the provisions of this title. 217 Sec. 17. This title shall cease to have effect at the end of one year Duration of title. Extension by proclamation. *Post*, p. 1740. after the effective date, unless extended by a proclamation of the President for one year or any part thereof, but orders of the Coordinator or of the Commission made thereunder shall continue in effect Continuing effectiveness of Coordinator’s orders. until vacated by the Commission or set aside by other lawful authority, but notwithstanding the provisions of section 10 no such order shall operate to relieve any carrier from the effect of any State law or of any order of a State commission enacted or made after this title ceases to have effect. TITLE II— AMENDMENTS TO INTERSTATE COMMERCE title ii—Interstate Commerce Act amendments. ACT Section 201. Section 5 of the Interstate Commerce Act, as amended Vol. 24, p. 380. [U. S. C., p. 1655](/us/usc/p1655). (U.S.C., title 49, sec. 5), is amended by striking out paragraphs
(2)and
(3)and by renumbering paragraphs
(4)and
(5)as paragraphs
(2)and (3), respectively, and by striking out the last sentence of the paragraph so renumbered as paragraph (3). Sec. 202. Such section 5 is further amended by striking out Combination, consolidation, etc. paragraphs (6), (7), and (8), and by inserting in lieu thereof the following paragraphs: " “(4)
(a)It shall be lawful, with the approval and authorization Mergers authorized. of the Commission, as provided in subdivision (b), for two or more carriers to consolidate or merge their properties, or any part thereof, into one corporation for the ownership, management, and operation of the properties theretofore in separate ownership; or for any carrier, or two or more carriers jointly, to purchase, lease, or contract Contract to operate another’s properties. to operate the properties, or any part thereof, of another; or for any carrier, or two or more carriers jointly, to acquire control Acquire control, through purchase of stock. Holding companies, etc. of another through purchase of its stock; or for a corporation which is not a carrier to acquire control of two or more carriers through ownership of their stock; or for a corporation which is not a carrier and which has control of one or more carriers to acquire control of another carrier through ownership of its stock. “(b) Whenever a consolidation, merger, purchase, lease, operating Application for authority to be made to Commission. contract; or acquisition of control is proposed under subdivision (a), the carrier or carriers or corporation seeking authority therefor shall present an application to the Commission, and thereupon the Commission shall notify the Governor of each State in which any part Notices to governors of States, etc. of the properties of the carriers involved in the proposed transaction is situated, and also such carriers and the applicant or applicants, of the time and place for a public hearing. If after such hearing Approval, if in harmony with Commission’s plan, and in public interest. the Commission finds that, subject to such terms and conditions and such modifications as it shall find to be just and reasonable, the proposed consolidation, merger, purchase, lease, operating contract, or acquisition of control will be in harmony with and in furtherance of the plan for the consolidation of railway properties established pursuant to paragraph (3), and will promote the public interest, it may enter an order approving and authorizing such consolidation, merger, purchase, lease, operating contract, or acquisition of control, Terms and conditions. upon the terms and conditions and with the modifications so found to be just and reasonable. “(5) Whenever a corporation which is not a carrier is authorized, Holding company acquiring control of carriers. by an order entered under paragraph (4), to acquire control of any carrier or of two or more carriers, such corporation thereafter shall, to the extent provided by the Commission, for the purposes of paragraphs
(1)to (10), inclusive, of section 20 (relating to reports, Supervision of Commission. accounts, and so forth, of carriers), including the penalties applicable in the case of violations of such paragraphs, be considered as 218 a common carrier subject to the provisions of this Act, and for the As to issues of securities, liabilities, etc. purposes of paragraphs
(2)to (11), inclusive, of section 20a (relating to issues of securities and assumptions of liability of carriers), including the penalties applicable in the case of violations of such To be treated as a “carrier.” paragraphs, be considered as a ‘carrier’ as such term is defined in paragraph
(1)of such section, and be treated as such by the Commission in the administration of the paragraphs specified. In the Assumption of obligations. application of such provisions of section 20a in the case of any such corporation the Commission shall authorize the issue or assumption applied for only if it finds that such issue or assumption is consistent with the proper performance by each carrier which is under the control of such corporation of its service to the public as a common carrier, will not impair the ability of any such carrier to perform such service, and is otherwise compatible with the public interest. “(6)Control or management unification of two or more carriers. It shall be unlawful for any person, except as provided in paragraph (4), to accomplish or effectuate, or to participate in accomplishing or effectuating, the control or management in a common interest of any two or more carriers, however such result is attained, whether directly or indirectly, by use of common directors, officers, or stockholders, a holding or investment company or companies, a voting trust or trusts, or in any other manner whatsoever. It shall be unlawful to continue to maintain control or management accomplished or effectuated after the enactment of this amendatory paragraph and in violation of its provisions. As used in this paragraph “Control or management”, construed. and paragraph (7), the words ‘control or management’ shall be construed to include the power to exercise control or management. “(7)Transactions deemed effecting control or management. For the purposes of paragraphs
(6)and (11), but not in anywise limiting the application thereof, any transaction shall be deemed to accomplish or effectuate the control or management in a common interest of two carriers— “(a) If such transaction is by a carrier, and if the effect of such transaction is to place such carrier and persons affiliated with it, taken together, in control of another carrier. “(b) If such transaction is by a person affiliated with a carrier, and if the effect of such transaction is to place such carrier and persons affiliated with it, taken together, in control of another carrier. “(c) If such transaction is by two or more persons acting together, one of whom is a carrier or is affiliated with a carrier, and if the effect of such transaction is to place such persons and carriers and persons affiliated with any one of them and persons affiliated with any such affiliated carrier, taken together, in control of another carrier. “(8)“Affiliated person”, defined. For the purposes of paragraph
(7)a person shall be held to be affiliated with a carrier if, by reason of the relationship of such person to such carrier (whether by reason of the method of, or circumstances surrounding organization or operation, or whether established through common directors, officers, or stockholders, a voting trust or trusts, a holding or investment company or companies, or any other direct or indirect means), it is reasonable to believe that the affairs of any carrier of which control may be acquired by such person will be managed in the interest of such other carrier. “(9)Immaterial whether references to control relate to direct or indirect. For the purposes of paragraphs (6), (7), (8), and (11), wherever reference is made to control it is immaterial whether such control is direct or indirect. As used in this paragraph and paragraphs Control construed. (7), (8), and
(11)the term ‘control’ shall be construed to include the power to exercise control. “(10)Investigations authorized. The Commission is hereby authorized, upon complaint or upon its own initiative without complaint, but after notice and hearing, to investigate and determine whether any person is violating 219 the provisions of paragraph (6). If the Commission finds after such Commission to order discontinuance of violations. investigation that such person is violating the provisions of such paragraph, it shall by order require such person to take such action as may be necessary, in the opinion of the Commission, to prevent continuance of such violation. “(11) For the proper protection and in furtherance of the plan Control, interfering with Commission’s consolidation plan or carrier’s independence to be investigated. for the consolidation of railway properties established pursuant to paragraph
(3)and the regulation of interstate commerce in accordance therewith, the Commission is hereby authorized, upon complaint or upon its own initiative without complaint, but after notice and hearing, to investigate and determine whether the holding by any person of stock or other share capital of any carrier (unless acquired with the approval of the Commission) has the effect
(a)of subjecting such carrier to the control of another carrier or to common control with another carrier, and
(b)of preventing or hindering the carrying out of any part of such plan or of impairing the independence, one of another, of the systems provided for in such plan. If the Commission finds after such investigation that such Restricting voting power of controlling stock. holding has the effects described, it shall by order provide for restricting the exercise of the voting power of such person with respect to such stock or other share capital (by requiring the deposit thereof with a trustee, or by other appropriate means) to the extent necessary to prevent such holding from continuing to have such effects. “(12) If in the course of any proceeding under this section before Suspension of proceeding in certain cases. the Commission, or of any proceeding before a court in enforcement of an order entered by the Commission under this section, it appears that since the beginning of such proceeding the plan for consolidation has been reopened under paragraph
(3)for changes or modifications with respect to the allocation of the properties of any carrier involved in such proceeding, then such proceeding may be suspended. “(13) The district courts of the United States shall have jurisdiction Jurisdiction of district courts. upon the application of the Commission, alleging a violation of any of the provisions of this section or disobedience of any order issued by the Commission thereunder by any person, to issue such writs of injunction or other proper process, mandatory or otherwise, as may be necessary to restrain such person from violation of such provision or to compel obedience to such order. “(14) The Commission may from time to time, for good cause Supplemental orders authorized. shown, make such orders, supplemental to any order made under paragraph (1), (4), (10), or (11), as it may deem necessary or appropriate. “(15) The carriers and any corporation affected by any order Carriers affected relieved from operation of antitrust laws. Vol. 38, p. 730. [U.S.C., p. 352](/us/usc/p352). made under the foregoing provisions of this section shall be, and they are hereby, relieved from the operation of the antitrust laws as designated in section 1 of the Act entitled ‘An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes’, approved October 15, 1914, and of all other restraints or prohibitions by or imposed under authority of law, State or Federal, insofar as may be necessary to enable them to do anything authorized or required by such order. “(16) If any provision of the foregoing paragraphs of this section, Separability provisions. or the application thereof to any person or circumstances, is held invalid, the other provisions of such paragraphs, and the application of such provision to any other person or circumstances, shall not be affected thereby. “(17) As used in paragraphs
(4)to (16), inclusive, the term “Person” defined. ‘person’ includes an individual, partnership, association, joint-stock 220“Carrier.” company, or corporation, and the term ‘carrier’ means a carrier by railroad subject to this Act.” " Sec. 203.Designated paragraphs renumbered. Vol. 42, p. 27. [U.S.C., p. 1655](/us/usc/p1655). Such section 5 is further amended by renumbering as paragraph
(18)the paragraph added by the Act entitled “An Act to amend section 407 of the Transportation Act of 1920”, approved June 10, 1921, and by renumbering the remaining three paragraphs as paragraphs (19), (20), and (21), respectively. Sec. 204.Interstate Commerce Act. Provisions, as amended, to remain in force. The provisions of the Interstate Commerce Act, as amended, and of all other applicable Federal statutes, as in force prior to the enactment of this title, shall remain in force, as though this title had not been enacted, with respect to the acquisition by any carrier, prior to the enactment of this title, of the control of any other carrier or carriers. Sec. 205.Vol. 41, p. 488, amended. [U.S.C., p. 1663](/us/usc/p1663). Section 15a of the Interstate Commerce Act, as amended (U.S.C., title 49, sec. 15a), is amended to read as follows: " “Sec. 15a. (1)“Rates” defined. When used in this section, the term ‘rates’ means rates, fares, and charges, and all classifications, regulations, and practices relating thereto. “(2)Fair return for carriers; factors in determining. In the exercise of its power to prescribe just and reasonable rates the Commission shall give due consideration, among other factors, to the effect of rates on the movement of traffic; to the need, in the public interest, of adequate and efficient railway transportation service at the lowest cost consistent with the furnishing of such service; and to the need of revenues sufficient to enable the carriers, under honest, economical, and efficient management, to provide such service.” " Sec. 206.Sums heretofore paid by carriers to Commission under section 15a
(6)to be returned. [U.S.C., p. 1663](/us/usc/p1663).
(a)All moneys which were recoverable by and payable to the Interstate Commerce Commission, under paragraph
(6)of section 15a of the Interstate Commerce Act, as in force prior to the enactment of this title, shall cease to be so recoverable and payable; and all proceedings pending for the recovery of any such moneys Liquidation of general railroad contingent fund. shall be terminated. The general railroad contingent fund established under such section shall be liquidated and the Secretary of the Treasury shall distribute the moneys in such fund among the carriers which have made payments under such section, so that each such carrier shall receive an amount bearing the same ratio to the total amount in such fund that the total of amounts paid under such section by such carrier bears to the total of amounts paid under such section by all carriers; except that if the total amount in such Distribution among carriers. fund exceeds the total of amounts paid under such section by all carriers such excess shall be distributed among such carriers upon the basis of the average rate of earnings (as determined by the Secretary of the Treasury) on the investment of the moneys in such fund and differences in dates of payments by such carriers. (b)Tax liabilities for periods after February 28, 1920; computation. The income, war-profits, and excess-profits tax liabilities for any taxable period ending after February 28, 1920, of the carriers and corporations whose income, war-profits, or excess-profits tax liabilities were affected by section 15a of the Interstate Commerce Act, as in force prior to the enactment of this Act, shall be computed Sums excluded from gross income. as if such section had never been enacted, except that, in the case of carriers or corporations which have made payments under paragraph
(6)of such section, an amount equal to such payments shall be excluded from gross income for the taxable periods with Distributions included. respect to which they were made. All distributions made to carriers in accordance with subdivision
(a)of this section shall be included in the gross income of the carriers for the taxable period Restriction on affect of provisions. in which this Act is enacted. The provisions of this subdivision shall not be held to affect
(1)the statutes of limitations with respect 221 to the assessment, collection, refund, or credit of income, war-profits or excess-profits taxes or
(2)the liabilities for such taxes of any carriers or corporations if such liabilities were determined prior to the enactment of this Act in accordance with section 1106
(b)of the Revenue Act of 1926 or section 606 of the Revenue Act of 1928, or in Vol. 44, p. 113; Vol. 45, p. 874. accordance with a final judgment of a court, an order of the Board of Tax Appeals which had become final, or an offer in compromise duly accepted in accordance with law. Sec. 207. Paragraph
(a)of section 19a of the Interstate Commerce Physical valuation of property. Vol. 37, p. 701; Vol. 40, p. 271, amended. *Post*, p. 515. Act, as amended (U.S.C., title 49, sec. 19a (a)), is amended to read as follows: " “(a) That the Commission shall, as hereinafter provided, investigate, Street, etc., railways, not a part of railroad system excluded. ascertain, and report the value of all the property owned or used by every common carrier subject to the provisions of this Act, except any street, suburban, or interurban electric railway which is not operated as a part of a general steam railroad system of transportation; Discretionary inclusion in separate valuation report. but the Commission may in its discretion investigate, ascertain, and report the value of the property owned or used by any such electric railway subject to the provisions of this Act whenever in its judgment such action is desirable in the public interest. Employment of experts. To enable the Commission to make such investigation and report, it is authorized to employ such experts and other assistants as may be necessary. The Commission may appoint examiners who shall Examiners. have power to administer oaths, examine witnesses, and take testimony. The Commission shall, subject to the exception hereinbefore Classification and inventory. provided for in the case of electric railways, make an inventory which shall list the property of every common carrier subject to the provisions of this Act in detail, and show the value thereof as hereinafter provided, and shall classify the physical property, as nearly as practicable, in conformity with the classification of expenditures for road and equipment, as prescribed by the Interstate Commerce Commission.” " Sec. 208. Paragraphs
(f)and
(g)of such section 19a, as amended [U.S.C., p. 1667](/us/usc/p1667). (U.S.C., title 49, sec. 19a (f), (g)), are amended to read as follows: " “(f) Upon completion of the original valuations herein provided Valuations; current maintenance of. for, the Commission shall thereafter keep itself informed of all new construction, extensions, improvements, retirements, or other changes in the condition, quantity, use, and classification of the property of New construction, etc., to be added. all common carriers as to which original valuations have been made, and of the cost of all additions and betterments thereto and of all changes in the investment therein, and may keep itself informed of current changes in costs and values of railroad properties, in order that it may have available at all times the information deemed by it to be necessary to enable it to revise and correct its previous inventories, Revision and inventories. classifications, and values of the properties; and when deemed necessary, may revise, correct, and supplement any of its inventories and valuations. “(g) To enable the Commission to carry out the provisions of the Duty of carriers to make reports. preceding paragraph, every common carrier subject to the provisions of this Act shall make such reports and furnish such information as the Commission may require.” " Sec. 209. If any provision of this Act, or the application thereof Saving provisions. to any person or circumstances, is held invalid, the other provisions of this Act or the application of such provision to any other person or circumstances shall not be affected thereby. Approved, June 16, 1933, 12:05 p.m. To extend the times for commencing and completing the construction of a bridge across the French Broad River on the proposed Morristown-Newport Road between Jefferson and Cocke Counties, Tennessee. Chapter 92 48 Stat. 222 1933-06-16 United States Government Publishing Office text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Digitization Vendor 2024-12-11 73 1 public 222 [CHAPTER 92.] AN ACT To extend the times for commencing and completing the construction of a bridge across the French Broad River on the proposed Morristown-Newport Road between Jefferson and Cocke Counties, Tennessee.June 16, 1933.[[S. 1872](/us/bill/73/s/1872).][
Connectionstraces to 2
1 reference not yet in our index
  • 48 Stat. 211
Citation graph
cites case law
Public Law 68
Stat.Chapter 482
Stat.Public Law 70
Stat.48 Stat. 211
Cites 3Cited by 0 across 0 sources
★   the supreme law of the land   ★
Don't Tread on Me
E Pluribus Unum — out of many, one

"If you don't know your rights, you don't have any."

Marginalia · a citizen's law index
A research desk, not legal advice. Always read the cited source before relying on a summary.
Questions or an issue? support@self-law.org
disclaimerMarginalia is a research index, not a law firm. Nothing on this site is legal, tax, or financial advice and no attorney–client relationship is formed by using it. Statutes, regulations, and case law change; summaries, search results, AI output, and member posts may be incomplete, out of date, or wrong. Any interpretation drawn from material on this site should be validated by a licensed attorney in your jurisdiction before you act on it.