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Mr. NATCHER, from the committee of conference,
submitted the following

CONFERENCE REPORT

[To accompany H.R. 18706]

The committee of conference on the disagreeing votes of the two Houses on the amendments of the Senate to the bill (H.R. 18706) making appropriations for the government of the District of Columbia and other activities chargeable in whole or in part against the revenues of said District for the fiscal year ending June 30, 1969, and for other purposes, having met, after full and free conference, have agreed to recommend and do recommend to their respective Houses as follows:

That the House recede from its disagreement to the amendments of the Senate numbered 5, 6, 7, 10, 15, 16, and 17, and agree to the same. Amendment numbered 4:

That the House recede from its disagreement to the amendment of the Senate numbered 4, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $31,770,000; and the Senate agree to the same.

Amendment numbered 8:

That the House recede from its disagreement to the amendment of the Senate numbered 8, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $104,531,000; and the Senate agree to the same.

Amendment numbered 9:

That the House recede from its disagreement to the amendment of the Senate numbered 9, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $108,676,000; and the Senate agree to the same.

Amendment numbered 11:

That the House recede from its disagreement to the amendment of the Senate numbered 11, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $121,356,000; and the Senate agree to the same.

Amendment numbered 12:

That the House recede from its disagreement to the amendment of the Senate numbered 12, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $98,510,000; and the Senate agree to the same.

Amendment numbered 13:

That the House recede from its disagreement to the amendment of of the Senate numbered 13, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $44,307,000; and the Senate agree to the same.

Amendment numbered 14:

That the House recede from its disagreement to the amendment of the Senate numbered 14, and agree to the same with an amendment as follows:

In lieu of the sum proposed by said amendment insert $7,046,020; and the Senate agree to the same.

The committee of conference report in disagreement amendments numbered 1, 2, and 3.

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STATEMENT OF THE MANAGERS ON THE PART OF THE HOUSE

The managers on the part of the House at the conference on the disagreeing votes of the two Houses on the amendments of the Senate to the bill (H.R. 18706) making appropriations for the government of the District of Columbia and other activities chargeable in whole or in part against the revenues of said District for the fiscal year ending June 30, 1969, and for other purposes, submit the following statement in explanation of the effect of the action agreed upon and recommended in the accompanying conference report as to each of such amendments, namely:"

Amendment No. 1-Federal payment to the District of Columbia: Reported in technical disagreement. The managers on the part of the House will offer a motion to recede and concur in the Senate amendment with an amendment appropriating $79,000,000 instead of $75,000,000 as proposed by the House and $80,000,000 as proposed by the Senate. Amendments Nos. 2 and 3-Loans to the District of Columbia for capital outlay: Reported in technical disagreement. The managers on the part of the House will offer a motion to recede and concur in the Senate amendment with an amendment providing loan appropriations of $66,473,000 instead of $67,390,000 as proposed by the House and $70,473,000 as proposed by the Senate, of which $57,223,000 shall be advanced to the general fund instead of $58,140,000 as proposed by the House and $61,223,000 as proposed by the Senate.

Amendments Nos. 4 and 5-General operating expenses: Appropriate $31,770,000 instead of $31,703,000 as proposed by the House and $31,827,738 as proposed by the Senate and provide that $2,500 of this appropriation may be available for unvouchered expenditures by the Chairman of the City Council as proposed by the Senate instead of $5,000 as proposed by the House.

Amendments Nos. 6 and 7-Public safety: Provide that this appropriation shall be available for the purchase of one hundred and eightyfour passenger motor vehicles (including 175 for police-type use) as proposed by the Senate instead of 109 (including 100 for police-type use) as proposed by the House.

Amendment No. 8-Public safety: Appropriates $104,531,000 instead of $100,475,000 as proposed by the House and $104,682,829 as proposed by the Senate.

Amendment No. 9-Education: Appropriates $108,676,000 instead of $108,400,000 as proposed by the House and $108,969,385 as proposed by the Senate.

Amendment No. 10-Parks and recreation: Appropriates $16,983,988 as proposed by the Senate instead of $17,041,000 as proposed by the House.

Amendment No. 11-Health and welfare: Appropriates $121,356,000 instead of $122,343,000 as proposed by the House and $121,441,870 as proposed by the Senate.

(3)

Amendment No. 12-Capital outlay: Appropriates $98,510,000 instead of $90,572,000 as proposed by the House and $105,936,000 as proposed by the Senate. The increase over the House includes the following: Public schools, $3,116,000; sanitary engineering, $4,600,000; and renovation of old Emery School, $222,000.

Amendment No. 13-Capital outlay: Provides $44,307,000 of this appropriation shall not be available for expenditure until July 1, 1969, instead of $32,114,000 as proposed by the House and $46,995,000 as proposed by the Senate.

Amendment No. 14-Capital outlay: Provides $7,046,020 of this appropriation shall be available for construction services instead of $6,765,320 as proposed by the House and $9,472,020 as proposed by the Senate.

Amendments Nos. 15, 16, and 17-General provisions: Provide increases as proposed by the Senate in allowances for privately owned automobiles used for performance of official duties from 8 to 10 cents per mile and lifts the limit per month from $25 to $35 for each automobile and increases from $410 to $550 per annum the amount of allowances that can be paid Health and Welfare investigators.

WILLIAM H. NATCHER,

ROBERT N. GIAIMO,

EDWARD J. PATTEN,
DAVID PRYOR,

GEORGE MAHON,

JOSEPH M. McDADE,

DONALD W. RIEGLE, Jr.,

Managers on the Part of the House.

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90TH CONGRESS HOUSE OF REPRESENTATIVES 2d Session

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REPORT No. 1843

TAX PROVISIONS RELATING TO DISTILLED SPIRITS

AUGUST 2, 1968.-Committed to the Committee of the Whole House on the State of the Union and ordered to be printed

Mr. WATTS, from the Committee on Ways and Means,
submitted the following

REPORT

[To accompany H.R. 11394]

The Committee on Ways and Means, to whom was referred the bill (H.R. 11394) to amend certain provisions of the Internal Revenue Code of 1954 relating to distilled spirits, and for other purposes, having considered the same, report favorably thereon with an amendment and recommended that the bill as amended do pass.

The amendment is as follows:

Strike out all after the enacting clause and insert:

That paragraph (1) of section 5008 (c) of the Internal Revenue Code of 1954 (relating to loss or destruction of distilled spirits) is amended

(1) by striking out "before the completion of the bottling and casing or other packaging of such spirits for removal from the bottling premises" and inserting in lieu thereof "before removal from the premises", and

(2) by inserting after "such loss occurred" in subparagraph (B) the following: "(i) before the completion of the bottling and casing or other packaging of such spirits for removal from the bottling premises and (ii)". SEC. 2. (a) The second sentence of section 5062(b) of the Internal Revenue Code of 1954 (relating to drawback in the case of exportation of distilled spirits) is amended to read as follows: "In the case of distilled spirits, the preceding sentence shall not apply unless the claim for drawback is filed by the bottler or packager of the spirits and unless such spirits have been stamped or restamped, and marked, especially for export, under regulations prescribed by the Secretary or his delegate."

(b) The second paragraph of section 313(d) of the Tariff Act of 1930, as amended (19 U.S.C. sec. 1313(d)) (relating to drawback) is amended

(1) by inserting "or determined" after "been paid" each place it appears, (2) by striking out the colon and the proviso, and

(3) by adding at the end thereof the following new sentence: "In the case of distilled spirits, the preceding sentence shall not apply unless the claim for drawback is filed by the bottler or packager of the spirits and unless such spirits have been stamped or restamped, and marked, especially for export, under regulations prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury.'

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