the gaps through affidavits or otherwise. By having the records in its own possession, adequately protected, the loss of records in the future can be rendered of no consequence. Furthermore, smaller roads from time to time become abandoned and their records may become unavailable. The sooner the records are collected the lighter the tasks of the Board will be. (2) The Federal Government has assumed a large liability under the Railroad Retirement Act. Careful estimates of that liability have been made on the basis of a sample study which was made possible by the use of emergency funds some 61⁄2 years ago. The estimates then made have been revised by use of sample data, but there exists as yet no precise statement of the credits to which railroad employees are entitled with respect to their credit for service prior to January 1, 1937. The liabilities with respect to such service now constitute and will continue to constitute for some years the great preponderance of the total liability assumed by the Federal Government under the Railroad Retirement Act. Not until the prior service records are collected will a precise statement of prior service credits be possible. The Board now recommends that funds which have been appropriated to the Railroad Retirement Account be earmarked for a reasonable extent for the purpose of prior service record collection. We recommend that the collection of these records be made a responsibility of the employers, but that the Board be permitted to reimburse such employers for the labor involved at a rate not to exceed 50 cents for each man-year of service verified. We recommend further that there be placed a statutory time limit on the furnishing of records, to be set not later than June 30, 1943. To enable the Board to carry out its powers and duties under the joint resolution, there will be set aside on July 1, 1940, a special fund of $9,000,000 of the amount appropriated to the railroad retirement account by the Railroad Retirement Board Appropriation Act of 1941. This amount will remain available for expenditure for such purposes until June 30, 1943. Any unobligated balance on June 30, 1943, in this special fund will revert to the railroad retirement account. The joint resolution has been endorsed by the Association of American Railroads and by the Railway Labor Executives Association, and has been approved by the Bureau of the Budget which informed the Railroad Retirement Board that its enactment would not be in conflict with the program of the President. These endorsements follow: ASSOCIATION OF AMERICAN RAILROADS, The Honorable EDWIN C. JOHNSON, United States Senate, Washington, D. C. DEAR SENATOR JOHNSON: Speaking on behalf of the Association of American Railroads and representing practically all the class I railroads of the country, I am in a position to say that we are in accord with the policy of adopting a joint resolution which would read as shown by the attached. Very truly yours, R. V. FLETCHER, Vice President and General Counsel, RAILWAY LABOR EXECUTIVES' ASSOCIATION, Hon. EDWIN C. JOHNSON, Washington, D. C. DEAR SENATOR: The joint resolution providing for the acquisition by the Railroad Retirement Board of data needed in carrying out the provisions of the Railroad Retirement Acts as now before you, meets with the wholehearted approval of the Railway Labor Executives' Association. We trust that this may be handled as expeditiously as possible in order that the provisions with respect to the prior service records may be started as early as possible. When concluded by June 30, 1943, as contemplated under this joint resolution, it will place the Railroad Retirement Board in a position of knowing quite definitely the requirements of taxation necessary to meet the benefits prescribed in the present Railroad Retirement Acts. We hope for the early adoption of this joint resolution. J. G. LUHRSEN, THE AMERICAN SHORT LINE RAILROAD ASSOCIATION, Senator EDWIN C. JOHNSON, MY DEAR SENATOR: Thanks for your note and the copy of Senate Joint Resolution 267. While we still doubt the usefulness or advisability of the resolution, we have decided to refrain from taking any position with respect to it. * * * We now attach comparatively little importance to the resolution but think it is defective in that it imposes a duty on individuals who happen to be in possession of records that is unconstitutional. We know that the compensation provided for short line railroads is wholly inadequate. We doubt that there is any material usefulness to the assembling of the information and are convinced that it is a waste of money. Very truly yours, J. M. HOOD, President. RAILROAD RETIREMENT BOARD, The Honorable BURTON K. WHEELER, United States Senate, Washington, D. C. SIR: * * * The draft of the resolution has been cleared with the Bureau of the Budget and we have been informed that the enactment of this legislation would not be in conflict with the program of the President. Very truly yours, MURRAY W. LATIMER, Chairman. O 76TH CONGRESS 3d Session } SENATE { REPORT No. 1806 PROVIDING FOR THE TRANSPORTATION AND DISTRIBUTION OF MAILS ON MOTOR-VEHICLE ROUTES JUNE 11 (legislative day, MAY 28), 1940.-Ordered to be printed Mr. MEAD, from the Committee on Post Offices and Post Roads, submitted the following REPORT [To accompany H. R. 6424] The Committee on Post Offices and Post Roads of the Senate, having considered the bill (H. R. 6424) to provide for the transportation and distribution of mails on motor-vehicle routes, beg leave to report said bill back to the Senate, with the recommendation that it be amended as follows: In line 3, page 1, after the word "That", add the following: wherever it is found that adequate railroad facilities are not available, And upon being so amended your committee recommends that said bill do pass. The proposed legislation is to authorize the Postmaster General to contract for motor vehicles or use Government-owned motor vehicles, in his discretion, especially designed and equipped for the distribution of mails en route, and to place thereon railway postal clerks to perform the work of sorting and distributing mail en route the same as is now authorized on railway post-office cars. The necessity for such authorization is to enable the Postmaster General to meet a situation caused by the withdrawal of railway post offices on so many railroad lines due to the discontinuance of passenger or mail trains. There was introduced in the Seventy-fifth Congress House Joint Resolution 663, entitled "Joint resolution to provide for the operation of the Peru and Indianapolis railway post office by motor vehicle over the public highway", which was a proposal to give to the Postmaster General the same authority over the route therein specified as is now sought to be given him generally. The veto of House Joint Resolution 663 by the President pointed out that— It is recognized that with the curtailment of train service on many trunk lines and the widespread abandonment of all train service on branch lines, we are approaching the time when consideration must be given to the type of service proposed in the resolution, but it is believed that the authorization should be general and that the Post Office Department should be left free to select the routes on which the experimental service shall be inaugurated. Thus, the present proposed legislation seeks to meet the objection of the President as pointed out in the veto message in granting general authorization to the Postmaster General to make determination as to where experimental routes shall be established. In connection with the consideration of House Joint Resolution 663 the Post Office Department has informed the committee that the Department had no objection to the establishment of a distribution service on bus lines provided discretion was left with the Department to determine where experiments should be made. The proposed legislation seeks to grant the proper authority. While your committee has requested a report from the Post Office Department on the proposed legislation, sufficient time has not elapsed to permit the Department to make reply, but in view of the information contained in last year's report and veto message, such report was not considered essential. The bill H. R. 6424 was referred to your committee during the closing days of the first session of the Seventy-sixth Congress. A report was requested of the Post Office Department, and on August 28, 1939, the following report was received, which is a copy of the letter addressed to the chairman of the House Committee on the Post Office and Post Roads. Hon. MILTON A. ROMJUE, Chairman, Committee on the Post Office and Post Roads, AUGUST 28, 1939. House of Representatives. MY DEAR MR. ROMJUE: The receipt is acknowledged of your letter of July 7, 1939, requesting a report upon H. R. 6424, a bill to provide for the transportation and distribution of mails on motor-vehicle routes. Because of the growing curtailment of passenger-train service, necessitating the discontinuance of railway post-office service, there are many instances wherein adequate and expeditious mail service cannot be provided to patrons of the Postal Service except by Star Route Service. Were the Postmaster General to be given authority to inaugurate such experimental or permanent service as provided for in H. R. 6424, it would not, in our opinion, incur any additional expense as such service would either be in lieu of discontinued railway post-office service, closed pouch service, or Star Route Service. However, it will be necessary to make some transfer from the appropriation for railroad transportation or from Star Route Service since the curtailments decrease the railroad transportation costs and the transfer should properly be made from that Service. Since the service provided for in the bill is neither Star Route Service nor railway post-office service, it will be necessary to have further action by Congress to authorize the expenditure of the funds. Objectionable features of House Joint Resolution 663, passed in the last session of Congress, as set forth in the President's veto, have been eliminated from H. R. 6424. The present bill contains provisions to which might be applied the following language of the President in his veto message on House Joint Resolution 663 in which he said: "It is recognized that with the curtailment of train service on many trunk lines and the widespread abandonment of all train service on branch lines, we are approaching the time when consideration must be given to the type of service proposed in the resolution, but it is believed that the authorization should be general and that the Post Office Department should be left free to select the routes on which the experimental service shall be inaugurated." It is our view that the Department would have no authority to assign railway postal clerks to motor vehicles without direct authority to do so. Such authority is given by section 2 of this bill. In the interest of an improved and more expeditious mail service to offices seriously affected by the curtailment or discontinuance of railway post office or closedpouch service, the enactment of H. R. 6424 is recommended. It has been ascertained from the Bureau of the Budget that this report is in accord with the program of the President. Very truly yours, [H. R. 6424, 76th Cong., 1st sess.] S. W. PURDUM, Acting Postmaster General. AN ACT To provide for the transportation and distribution of mails on motor-vehicle routes Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That wherever it is found that adequate railroad facilities are not available, the Postmaster General is authorized to contract for carrying the mails and railway postal clerks on routes between points where, in his judgment, the conditions justify the operation of such service in motor vehicles especially designed and equipped for the distribution of mail en route: Provided, That such vehicles shall be constructed, fitted up, maintained, and operated in accordance with such specifications, rules, and regulations as he may prescribe: Provided further, That the Postmaster General is authorized, within his discretion, to transport and provide for the distribution of mails in Government-owned motor vehicles on such routes between points where in his judgment the conditions justify the operation of such service: Provided further, That all laws and regulations governing Star Route Service, not in conflict with this Act, shall be applicable to contracts made under the authority of this Act: And provided further, That no contract shall be awarded for a period of less than two years nor in excess of four years, and that payment for such service shall be from the appropriations for inland transportation by star routes. SEC. 2. The Postmaster General may, in his discretion, and in the interest of the Postal Service, and under such rules and regulations as he may prescribe, provide for the distribution of mail on motor-vehicle routes in motor vehicles specially designed and equipped for that purpose and provided for in section 1 of this Act: Provided, That the supervision and distribution of mails in motorvehicle service, as herein provided, shall be under the jurisdiction of the Second Assistant Postmaster General, and the personnel therein shall be a part of the Railway Mail Service under the same working conditions, rates of pay, travel allowance, and other benefits applicable to railway postal clerks: And provided further, That payment for such service shall be from the appropriations for Railway Mail Service salaries and railway postal clerks' travel allowance. SEC. 3. Every individual or company carrying the mails shall carry on any vehicle it operates and without extra charge therefor the persons in charge of the mails and when on duty and traveling to and from duty, and all duly accredited agents and officers of the Post Office Department and post-office inspectors while traveling on official business, upon the exhibition of their credentials. SEC. 4. The Postmaster General is authorized to promulgate such specifications, rules, and regulations as may be necessary to carry out the provisions of this Act. Passed the House of Representatives August 5, 1939. SOUTH TRIMBLE, Clerk. It is, therefore, seen that both the Post Office Department and the Bureau of the Budget recommend the passage of the bill. О |