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Secretary of War.
land water trans
Sec. 201 section 1 of the Act entitled "An Act making appropriations for the support of the Army for the fiscal year ending June 30, 1917, and for other purposes,” approved August 29, 1916) to take possession and assume control of any system of transportation and utilize the same.
GOVERNMENT-OWNED BOATS ON INLAND WATERWAYS. SEC. 201. (a) On the termination of Federal control, Transfer of as provided in section 200, all boats, barges, tugs, and owned boats to other transportation facilities, on the inland, canal, and coastwise waterways (hereinafter in this section called 41 Stat. L., 458. “transportation facilities") acquired by the United States in pursuance of the fourth paragraph of section 6 of the Federal Control Act (except the transportation facilities constituting parts of railroads or transportation systems over which Federal control was assumed) are transferred to the Secretary of War, who shall operate or cause to be operated such transportation facilities so that the lines of inland water transportation established, Operation of in. by or through the President during Federal control shall portation lines. be continued, and assume and carry out all contracts and agreements in relation thereto entered into by or through the President in pursuance of such paragraph prior to the time above fixed for such transfer. All pay- Contracts made ments under the terms of such contracts, and for claims control. arising out of the operation of such transportation facilities by or through the President prior to the termination of Federal control, shall be made out of moneys Appropriation. available under the provisions of this Act for adjusting, settling, liquidating, and winding up matters arising out of or incident to Federal control. Moneys required for such payments shall, from time to time, be transferred to the Secretary of War as required for payment under the terms of such contracts. (b) All other payments after such transfer in connection Expenses after
transfer, how do with the construction, utilization, and operation of any such frayed." transportation facilities, whether completed or under construction, shall be made by the Secretary of War out of funds now or hereafter made available for that purpose.
(c) [As amended March 4, 1921.] The Secretary of Construction of War is hereby authorized, out of any moneys hereafter ties. made available therefor, to construct or contract for the construction of terminal facilities for the interchange of traffic between the transportation facilities operated by him under this section and other carriers whether by rail or water, and to make loans for such purposes under Loans to State such terms and conditions as he may determine to any for
State, municipality, or transportation company; or to expend such moneys for necessary terminal improvements and facilities upon property leased from States, cities, or transportation companies under terms approved by the Interstate Commerce Commission, or otherwise, in accordance with any order rendered by said Commission under subheading (a), paragraph 13, section 6, Interstate
Commerce Act. Facilities on (d) Any transportation facilities owned by the United Mississippi River above st. Louis. States and included within any contract made by the
United States for operation on the Mississippi River above Saint Louis, the possession of which reverts to the United States at or before the expiration of such contract, shall be operated by the Secretary of War so as to provide facilities for water carriage on the Mississippi River
above Saint Louis. Application of (e) The operation of the transportation facilities remerce and ship-ferred to in this section shall be subject to the provisions ping Acts.
of the Interstate Commerce Act as amended by this Act or by subsequent legislation, and to the provisions of the “Shipping Act, 1916,” as now or hereafter amended, in the same manner and to the same extent as if such transportation facilities were privately owned and operated; and all such vessels while operated and em
ployed solely as merchant vessels shall be subject to all Laws, regula. other laws, regulations, and liabilities governing merchant ties, generally."" vessels, whether the United States is interested therein
as owner, in whole or in part, or holds any mortgage,
lien, or interest therein. For the performance of the duAdministra- ties imposed by this section the Secretary of War is tion by Secretary of War. authorized to appoint or employ such number of ex
perts, clerks, and other employees as may be necessary for service in the District of Columbia or elsewhere, and as may be provided for by Congress.
1 Joint Resolution, approved February 27, 1921, provides as follows: 41 Stat. L., 1149.
"That at the end of thirty days after the passage of this resolution the authority conN. Y. Statele
to ferred upon the Secretary of War under section 201 of the Transportation Act, 1920, to Barge Canal ex. operate for commercial purposes boats, barges, tugs, or other transportation facilities empted.
upon the New York State Barge Canal shall cease, and thereafter there shall be no such operation by the Secretary of War or any other agency of the United States. Tho Secretary of War shall as soon as is practicable, dispose of boats, barges, tugs, and other transportation facilities purchased or constructed for use upon the said
I, and, pending final disposition, the Secretary of War may lease the same: Provided, That all Money from the money obtained from the sale or lease of these boats, barges, and tugs shall be availsale of boats to be able until expended by the inland and coastwise waterways service of the War Departspent on other ment in the inauguration and development of other inland, canal, and coastwise waterwaterways. ways in accordance with the expressed desire of Congress in section 500 of the Trans
Percentage of portation Act, 1920: Provided further, That not to exceed 25 per centum of the boats, boats to be re- barges, and tugs built or purchased for the United States, herein authorized to be sold, tained.
may be retained by the United States for the operation of other inland, canal, or coastwise routes of the United States until such equipment can be replaced by other equipment to be purchased from funds received from the sale prescribed above."
tions, and liabili
President to settle matters
41 Stat. L., 459.
ereby real money ise arising
Secs. 202 and 203 SETTLEMENT OF MATTERS ARISING OUT OF FEDERAL CONTROL. SEC. 202. The President shall, as soon as practicable to after the termination of Federal control, adjust, settle, aris
', Federal control. liquidate, and wind up all matters, including compensa- a tion, and all questions and disputes of whatsoever nature, arising out of or incident to Federal control. For these purposes and for the purpose of making the payments specified in subdivision (a) of section 201, all unexpended, balances in the revolving fund created by the Federal Control Act or of the moneys appropriated by the Act entitled “An Act to supply a deficiency in the appropriation for carrying out the Act entitled 'An Act to provide for the operation of transportation systems while under Federal control, for the just compensation of their owners, and for other purposes,' approved March 21, 1918,” Certain gums approved June 30, 1919, are hereby reappropriated and" made available until expended; and all moneys derived from the operation of the carriers or otherwise arising out of Federal control, and all moneys that have been or may be received in payment of the indebtedness of any carrier to the United States arising out of Federal control, shall be and remain available until expended for the aforesaid purposes; and there is hereby appropriated for the aforesaid purposes, out of any money in the Treasury not otherwise appropriated, $200,000,000 in Additional apaddition to the above, to be available until expended.
COMPENSATION OF CARRIERS WITH WHICH No CONTRACT MADE.
Sec. 203. (a) Upon the request of any carrier entitled President shall to just compensation under the Federal Control Act, but sary for fixed with which no contract fixing or waiving compensation charges. has been made and which has made no waiver of compen- 41 Stat. L., 459. sation, the President: (1) shall pay to it so much of the amount he may determine to be just compensation as may be necessary to enable such carrier to have the sums required for interest, taxes, and other corporate charges and expenses referred to in paragraph (b) of section 7 of the standard contract between the United States and the carriers, accruing during the period for which such carrier is entitled to just compensation under the Federal Control Act, and also the sums required for dividends declared and paid during the same period, including, also, in addition, a sum equal to that proportion of such last dividend which the period between its payment and the Payment of retermination of the period for which the carrier is entitled mated just.com
mainder of estito just compensation under the Federal Control Act bears pe to the last dividend period; and (2) may, in his discretion,
and corporate Effect of 80ceptance of bene fits
of claim for addi
may have reim
Secs. 203 and 204
pay to such carrier the whole or any part of the remainder
of such estimated amount of just compensation. . (b) The acceptance of any benefits by a carrier under
this sectionAscertainment (1) shall not deprive it of the right to claim additional tional compensa compensation, which, unless agreed upon, shall be ascer
tained in the manner provided in section 3 of the Federal
Control Act; but Federal Control (2) shall constitute an acceptance by the carrier of all Act binding.
the provisions of the Federal Control Act as modified by this Act, and obligate the carrier to pay to the United
States, with interest at the rate of 6 per centum per anRepayment of num from a date or dates fixed in proceedings under secexcessive pay
tion 3 of the Federal Control Act, the amount by which the sums received on account of such compensation, under this section or otherwise, exceed the sum found due in such proceedings.
REIMBURSEMENT OF DEFICITS DURING FEDørAL CONTROL.
SEC. 204.1 (a) When used in this sectionWhat carriers The term “carrier” means a carrier by railroad which, bursement for during any part of the period of Federal control, engaged
as a common carrier in general transportation, and com41 Stat. L., 460.a
peted for traffic, or connected, with a railroad under Federal control, and which sustained a deficit in its railway operating income for that portion (as a whole) of the
period of Federal control during which it operated its own Street and in: railroad or system of transportation; but does not include railways ex- any street or interurban electric railway which has as its
principal source of operating revenue urban, suburban, or interurban passenger traffic or sale of power, heat, and
light, or both; and Test period de The term “test period” means the three years ending
June 30, 1917.
(b) For the purposes of this sectionComputation of Railway operating income or any deficit therein for income or deficit the period of Federal control shall be computed in a man
ner similar to that provided in section 209 with respect to such income or deficit for the guaranty period; and
Railway operating income or any deficit therein for the test period shall be computed in the manner provided in
section 1 of the Federal Control Act. Commission to (c) As soon as practicable after March 1, 1920, the control and test Commission shall ascertain for every carrier, for every
month of the period of Federal control during which its railroad or system of transportation was not under Federal operation, its deficit in railway operating income, if
See section 212, post, page 132.
system of tranhole of, the test therein, fo
Sec. 204 any, and its railway operating income, if any, (hereinafter called “Federal control return”), and the average of its deficit in railway operating income, if any, and of its railway operating income, if any, for the three corresponding months of the test period taken together, (hereinafter called “test period return”): Provided, That “test period return,” in the case of a carrier which operated its railroad or system of transportation for at least one year during, but not for the whole of, the test period, means its railway operating income, or the deficit therein, for the corresponding month during the test period, or the average thereof for the corresponding months during the test period taken together, during which the carrier operated its railroad or system of transportation.
(d) For every month of the period of Federal control Sums to be during which the railroad or system of transportation of rier. the carrier was not under Federal operation, the Commission shall then ascertain (1) the difference between its Federal control return, if a deficit, and its test period return, if a smaller deficit, or (2) the difference between its test period return, if an income, and its Federal control return, if a smaller income, or (3) the sum of its Federal control return, if a deficit, plus its test period return, if an income. The sum of such amounts shall be credited to the carrier.
(e) For every such month the Commission shall then Sums to be ascertain (1) the difference between the carrier's Federal United States. control return, if an income, and its test period return, if a smaller income, or (2) the difference between its test period return, if a deficit, and its Federal control return, if a smaller deficit, or (3) the sum of its Federal control return, if an income, plus its test period return, if a deficit. The sum of such amounts shall be credited to the United States.
(f)' If the sum of the amounts so credited to the carrier Payment of balunder subdivision (d) exceeds the sum of the amounts carrier. so credited to the United States under subdivision (e), the difference shall be payable to the carrier. In the case of a carrier which operated its railroad or system of transportation for less than a year during, or for none of, the test period, the foregoing computation shall not be used, but there shall be payable to such carrier its deficit in railway operating income for that portion (as a whole) of the period of Federal control during which it operated its own railroad or system of transportation.
1 See provisions as to paragraphs (f) and (8) of this section, ante, page 83.
ance in favor of