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Briefly, these amendments would authorize the Secretary of Health, Education and Welfare to establish a Federal Air Pollution Control Laboratory within the Department "to conduct such phases of the national research and development program for the prevention and control of air pollution as he deems appropriate." In addition, it authorizes the appointment by the Secretary of a technical committee composed of representatives of the Departments of Interior and Health, Education, and Welfare, the coal and petroleum industries, the electric power industry, and the Federal Power Commission to encourage "the development of improved low-cost techniques designed to reduce emissions of oxides of sulfur produced by the combustion of sulfur-containing fuels." The committee would evaluate progress in the development of pollution control techniques and recommend additional research programs. A major purpose of the bill is to encourage research relating to the direct control of hydrocarbon emissions resulting from the operation of automotive vehicles.

The Commission strongly supports the basic purposes and objectives of the bill insofar as it seeks to solve the sulfurous air pollution problem through research, and we believe that continued Federal efforts should facilitate and encourage the execution and coordination of research programs in that field. At the same time, however, we believe that consideration should be given to broadening the scope of the contemplated research programs along the lines discussed below to embrace a broader program for combating the overall problem of air pollution.

The focus of this Commission's interest, as far as air pollution is concerned, is of course primarily with respect to the pollution resulting from the operation of steam-electric generating plants. The Commission has no direct control under the Federal Power Act over the location of such plants, the nature of the fuel they burn, or the installations incorporated into such plants to minimize pollution caused by waste from combustion. Nevertheless, the Commission is, we believe, playing an important indirect role to improve this situation through the exercise of the responsibility contained in section 202(a) of the Federal Power Act directing the Commission to promote interconnection and coordination of electric utility systems for "the purpose of assuring an abundant supply of electric energy throughout the United States with the greatest possible economy and with regard to the proper utilization and conservation of natural resources." Pursuant to this authority the Commission's recent National Power Survey Report, issued December 12, 1964, presents guidelines for development of the Nation's electric power industry, designed to encourage full regional and countrywide coordination of the Nation's 3,600 electric utilities and to help achieve savings in the cost of generation and transmission of electricity. The power survey emphasizes the importance of lowering power costs through fully coordinated networks, including cooperative planning and construction of larger and more efficient generating plants near fuel sources and outside metropolitan centers to feed electricity into extra-high-voltage regional grids.

The survey, which was conducted in cooperation with advisory committees drawn from all segments of the electric power industry, gives prominent recognition to the problems of air and water pollution and their significance in regard to the design, location, and operation of larger thermal electric plants. The report points up the possibilities for combating air pollution through greater interconnection of utility systems and emphasizes in particular the importance of careful plant site selection in minimizing the adverse economic and social effects of pollution. It also calls for more research to identify pollution damage limits and more information on methods and equipment to bring costs down. The survey reaches the significant conclusion that despite the effect on costs, the Nation's capacity to produce needed electrical energy will not be impaired by an adequate program of pollution control. See chapter 9, National Power Survey.

The electric power industry has been much concerned with the problem of air pollution control, and most present installations are equipped with high stacks and with devices that limit plant emissions of particulate matter. The most severe air pollution problems involving electric generating plants normally occur at stations within urban areas. If the industry pools its resources along the lines advocated in the National Power Survey, and it has done this in some instances already, it is reasonable to anticipate that the large generating plants of the future will be designed and located to serve overall network loads, and utilities serving metropolitan areas will be locating much of their new capacity beyond the metropolitan zones. Even absent an air pollution problem, utilities

serving large metropolitan areas will often be justified in constructing their large steam plants many miles from these congested areas. Moreover, new plants will be more efficient than the older ones now in operation and, since they will operate continuously to serve the system base loads, air pollution will be minimized. Thus, as a matter of economy, the existing plants, many of which are located in urban areas, will tend to be retired much earlier.

We do not wish to convey the impression that the construction of mine-mouth steam-electric generating stations will solve the air pollution problems, because there will be problems attendant to these installations. Pollution abatement

facilities such as precombustion treatment of fuels, high stacks, dust collectors, and treatment of flue gases will be required, but the acceptable level of tolerance will be such that the control facilities can be provided at a more reasonable cost. While this is a proper concern of the industry, presently known processes for precombustion treatment of fuels are expensive and the matter may appropriately concern the projected Federal air pollution control research effort.

We also suggest that the committee, in addition to encouraging research with respect to atmospheric pollution arising from sulfur-containing fuels, may also want to encourage research with respect to controlling combination caused by the emission of nitrogen oxides and particulates from the combustion of various fuels.

Without implying any limit on the potential research areas, it is suggested that revolutionary advancements are possible in two areas which would seem to merit appropriate attention as a part of the Federal air pollution control research effort:

Rechargeabe batteries.—The development of a rechargeable battery for motor vehicles could overcome a major source of air pollution in our cities; yet, little real improvement in large power storage battery construction has been made in this century. Such development initially would permit converting the multitudes of motor vehicles used for short haul, stop-and-start activities in urban areas to battery-powered operation. Even this limited application would achieve major benefits in pollution abatement and noise control. The energy conversions in modern electric powerplants are far more efficient than those in internal combustion auto engines, so that the total pollutant potential would decrease, and the combustion refuse would be concentrated where it could be better controlled. The batteries would normally be charged during the night, when power system loads are at a minimum, thus further improving the efficiencies of the electric power system operations.

While the development of such batteries is likely to be difficult and expensive, it does not appear to be impossible. In fact, several industrial manufacturers are known to be working on the problem. The Edison Electric Institute is also supporting some research. However, the present scale of effort is not likely to result in rapid progress. Substantial Government support would not guarantee success, but the potential benefits are so great that it seems that serious consideration of a much enlarged research and development program would be waranted.

Electrified mass transportation.-Along the same lines, electrified rapid transit facilities would help to relieve air pollution as well as traffic congestion.

The Federal Power Commission is aware of the seriousness of air pollution problems, and recognizes that the electric power industry has major responsibilities in helping to solve these problems. The Commission stands ready to continue to cooperate with the Department of Health, Education, and Welfare and other interested groups and agencies in their continuing efforts to meet this major challenge of our industrialized society through strengthened research.

Hon. OREN HARRIS,

FEDERAL POWER COMMISSION,
JOSEPH C. SWIDLER, Chairman.

DEPARTMENT OF THE AIR FORCE,

OFFICE OF THE SECRETARY,
Washington, June 10, 1965.

Chairman, Committee on Interstate and Foreign Commerce,
House of Representatives

DEAR MR. CHAIRMAN: Reference is made to your request to the Secretary of Defense for the views of the Department of Defense with respect to H.R. 7065, 89th Congress, a bill "To amend the Clean Air Act to require national standards

for reducing or eliminating the emission of air pollutants from gasoline-powered vehicles, to authorize grants to municipalities and air pollution control agencies for the acquisition, construction, or installation of devices or facilities designed to reduce or eliminate air pollution resulting from the disposal of solid wastes, to direct the Surgeon General to conduct a study of and report to Congress on the effect of air pollution from all sources on human health (particularly lung cancer), and for other purposes; and to amend the Internal Revenue Code of 1954 to permit deduction of expenditures and increased investment credit for the acquisition, construction, or installation of water and air pollution control devices" and H.R. 7394, 89th Congress, a bill "To amend the Clean Air Act to require national standards for reducing or eliminating the emission of air pollutants from gasoline-powered vehicles, to direct the Surgeon General to conduct a study of and report to Congress on the effect of air pollution from all sources on human health (particularly lung cancer), and for other purposes; and to amend the Internal Revenue Code of 1954 to permit deduction of expenditures and increased investment credit for the acquisition, construction, or installation of water and air pollution control devices." The Secretary of Defense has delegated to the Department of the Air Force the responsibility for expressing the views of the Department of Defense.

The bills are similar in their effect upon the Department of Defense. A related bill, S. 560, was the subject of congressional hearings in February 1965, at which time the views of the Department of Defense were elicited. Testimony of the Department of Defense spokesman appears at pages 137-146, of the hearings (Federal Installations, Facilities, and Equipment Pollution Control Act, hearings before a Special Subcommittee on Air and Water Pollution of the Committee on Public Works, U.S. Senate, February 23, 24, and 26, 1965). The views of the Department of Defense were considered by the Senate committee and, in the main, those views are reflected in the amended version of S. 560 as it passed the Senate on March 25, 1965. The Department of the Air Force, on behalf of the Department of Defense, recommends, in lieu of amendment of sections 6 and 7 of the Clean Air Act as proposed by H.R. 7065 and H.R. 7394, those sections be amended as proposed by the Senate-passed version of S. 560 with the modifications indicated below.

(a) With regard to the exemption for special-purpose vehicles (new sec. 6(c) as proposed by S. 560), the utilization by the Department of Defense and other agencies of heavy-duty track and wheeled vehicles presents a special problem. As now written, the amendment would not provide for the test of practicability or effects on operational capability as was envisioned in the Department of Defense position as presented in the hearings on S, 560. It is suggested that, on page 4, line 17 of S. 560 as passed by the Senate, the period be changed to a comma and the following be added: "taking into account the practicability of providing such air pollution control devices without degrading the operational capabilities or utilities of these special-purpose vehicles."

With regard to other provisions relating to limitations on air pollution emissions from motor vehicles, the Department of the Air Force, on behalf of the Department of Defense, defers to the position of the Department of Health, Education, and Welfare. As in the case of other standards and rules, the Department of Defense should be consulted insofar as the special interests of this Department are concerned.

(b) As pointed out in the Department of Defense testimony on S. 560, and equally applicable to H.R. 7065 and H.R. 7394, the development of Federal standards for Federal agencies would appear to obviate the need for the "permit" system contemplated by section 7(b) of the Clean Air Act. Recognizing, however, that there may be overriding legislative and administrative considerations which make continuation of the permit system necessary, it is considered essential that both the standards and the regulatory provisions relating to permits be developed by the Department of Health, Education, and Welfare in consultation with the Federal agencies affected. The rulemaking system under the Administrative Procedure Act does, to a certain extent, provide such an approach. It is the opinion of the Department of the Air Force, however, that due to the complicated technical and professional problems involved in pollution abatement, the Secretary of Health, Education, and Welfare or his designated representative should be required by legislation to coordinate and consult with the other departments on this subject. Accordingly, it is recommended that a new subsection (h) be added to title II of S. 560 as follows:

"(h) In developing Federal standards for Federal installations, determining

special classes of pollutants, and establishing regulatory procedures relating to permits, the Secretary shall consult with the Federal departments or agencies concerned and shall take into account the practicability of achieving the desired controls."

The Department of the Air Force is opposed to the establishment by statute of another technical committee (additional subec. 3(a) (7) of the Clean Air Act as proposed by H.R. 7065 and H.R. 7394) relating to research on jet aircraft, missiles, and fuels therefor. It is noted that this amendment would require the initiating, conducting, and accelerating of research programs. It assigns to the technical committee the task of carrying out research without providing the funds or facilities to do so. On the other hand, the desirability of liaison and consultation among the Department of Health, Education, and Welfare, Department of Defense, Federal Aviation Agency, National Aeronautics and Space Administration, Atomic Energy Commission, Commerce, and the affected industries, is concurred in. It is further recognized that dependence upon ad hoc liaison without some formalized arrangement is not a completely satisfactory procedure. It is therefore suggested that proposed subsection 3(a) (7) provide that the Secretary of Health, Education, and Welfare issue, in conjunction with other appropriate Secretaries and Administrators, a Federal policy establishing rules and procedures for consultation on research and control measures associated with the jet aircraft, missile, and fuel problem.

The need for study to determine the effects of air pollution from all sources on human health (as proposed in sec. 5 of H.R. 7065 and sec. 4 of H.R. 7394) is a matter within the primary cognizance of the Department of Health, Education, and Welfare. The desirability of such studies may more appropriately be commented upon by that Department. With regard to potential air pollutants associated with military activities, in the event such studies are undertaken either as a result of legislation or by the Public Health Service on its own initiative, professional and technical information and assistance will be made available, consistent with other requirements, by the Department of Defense.

With regard to the proposed tax treatment (sec. 8, H.R. 7065; sec. 7, H.R. 7394) of expenditures for acquisition, construction, or installation of water and air pollution control devices, the Department of Defense defers to the views of the Treasury Department. Such proposals could possibly resolve some of the current problems associated with Defense contractors. In the event these provisions are enacted into law, it is suggested that, in defining "devices" for tax treatment purposes, those items necessary for detecting and measuring pollution be included within the meaning of the term.

The following technical changes are recommended in H.R. 7065 :

(a) Page 2, lines 5 to 7, should be changed to read:

"(1) by striking out the periods at the end of paragraph (4) of subsection (a) and paragraph (8) of subsection (b) and inserting in lieu of each '; and', and by striking out 'and' at the end of paragraph (7) of subsection (b);".

(b) On page 2, lines 10 and 20; page 3, lines 4 and 15; and page 4, line 7, the first letters in the first words should be lower case.

(c) On page 11, line 16, the present provisions of section 5, H.R. 7065, should be designated as subsection (a) and a subsection (b) inserted after line 14, page 12, as follows:

"(b) Subsection (a) of section 4 of such Act is amended by striking out 'section 9' and inserting in lieu thereof 'section 10' ".

(d) Page 16, line 2, "taxpayers's" should read "taxpayer's".

(e) Page 19, line 7, the reference to "section 18.3" should read "section 183". The following technical change is recommended in H.R. 7394:

(a) Page 2, lines 1 to 3, should be changed to read:

"(1) by striking out the periods at the end of paragraph (4) of subsection (a) and paragraph (8) of subsection (b) and inserting in lieu of each '; and', and by striking out 'and' at the end of paragraph (7) of subsection (b) ;".

This report has been coordinated within the Department of Defense in accordance with procedures prescribed by the Secretary of Defense.

The Bureau of the Budget advises that, from the standpoint of the administration's program, there is no objection to the presentation of this report for the consideration of the committee.

Sincerely,

ROBERT H. CHARLES,

Assistant Secretary of the Air Force,

(Installations and Logistics).

GENERAL SERVICES ADMINISTRATION,
Washington, D.C., July 9, 1965.

Hon. OREN HARRIS,

Chairman, Committee on Interstate and Foreign Commerce,
House of Representatives, Washington, D.C.

Dear Mr. ChaIRMAN: Your letter of April 9, 1965, requested the views of the General Services Administration on H.R. 7065, 89th Congress, a bill to amend the Clean Air Act to require national standards for reducing or eliminating the emission of air pollutants from gasoline-powered vehicles, to authorize grants to municipalities and air pollution control agencies for the acquisition, construction, or installation of devices or facilities designed to reduce or eliminate air pollution resulting from the disposal of solid wastes, to direct the Surgeon General to conduct a study of and report to Congress on the effect of air pollution from all sources on human health (particularly lung cancer), and for other purposes; and to amend the Internal Revenue Code of 1954 to permit deduction of expenditures and increased investment credit for the acquisition, construction, or installation of water and air pollution control devices.

The purposes of the bill are stated in the title.

The President in his message to the Congress of February 8, 1965, on the subject of "Natural Beauty" stated, among other things, that the Administrator of General Services has already taken steps to assure that motor vehicles purchased by the Federal Government meet minimum standards of exhaust quality. Since that time the administration has indicated the recommendation of legislation along the lines of S. 306, which is applicable to all liquid fueled vehicles. In this connection, we are pleased to advise that GSA has developed a regulation, pursuant to Public Law 88-515, approved August 30, 1964 (78 Stat. 696), and section 206(a)(4) of the Federal Property and Administrative Services Act of 1949, as amended, which will establish a Federal standard covering motor vehicle exhaust emission on vehicles purchased by the Federal Government.

This standard was developed in full collaboration with industry and concerned Government agencies. It was published in the Federal Register on January 26, 1965 (30 Fed. Reg. 801), for comment by interested parties. The regulation is based on the "California Test Procedure and Criteria in Motor Vehicle Exhaust Emission Control" which is the only criteria known at this time. Further development of standards for exhaust emission control will probably be based on limits established by the Department of Health, Education, and Welfare.

The GSA standard will be effective September 28, 1966, for the purchase by the Federal Government of the 1967 model series of motor vehicles in accordance with the provisions of section 4 of the act of August 30, 1964.

Specifications developed by GSA for the purchase of automotive vehicles to be used by the Federal Government already have included a requirement that the engines be provided with positive crankcase ventilation systems. These systems route most crankcase emissions back into the combustion chambers of the engines, thereby substantially reducing the pollutants released by the crankcase. Further developments in this area will also probably be based on limits or requirements established by the Department of Health, Education, and Welfare.

We believe that GSA's program is consistent with the objectives of section 1 of H.R. 7065 as augmented by section 3 of the bill which prescribes specific limitations on allowable emissions of pollutants for gasoline-powered vehicles. As a practical matter, however, we believe that standards should be established administratively rather than by statute in order to permit flexibility to conform to future development of methods and devices for the control or elimination of air pollutants by motor vehicles.

Further, in view of the foregoing, we see no purpose to be accomplished by the enactment of the proposed section 6(e) of the Clean Air Act set forth on lines 11 through 20, page 8 of the bill, which would prohibit the purchase by the Government of gasoline-powered vehicles not equipped with devices to reduce or eliminate the discharge of air pollutants from such vehicles. In the event the committee favorably considers these provisions, however, we recommend that at line 12, page 8, the date "July 1, 1965," be amended to read "July 1, 1966."

Section 1 of the bill would also add a section 3 (e) to the to the Clean Air Act to authorize the Secretary of Health, Education, and Welfare to appoint a technical committee consisting of representatives from DHEW, the Bureau of Mines of the Department of the Interior, the Federal Power Commission, and the coal,

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