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TO AMEND THE PART OF THE ACT ENTITLED "AN ACT MAKING APPROPRIATIONS FOR THE NAVAL SERVICE FOR THE FISCAL YEAR ENDING JUNE 30, 1921, AND FOR OTHER PURPOSES', APPROVED JUNE 4, 1920, RELATING TO THE CONSERVATION, CARE, CUSTODY, PROTECTION, AND OPERATION

NAVAL PETROLEUM AND OIL-SHALE RESERVES (H. R. 3603). MR. VINSON OF GEORGIA

NAVY DEPARTMENT, Washington, January 19, 1937.

The SPEAKER OF THE HOUSE OF REPRESENTATIVES,

Washington, D. C.

My DEAR MR. SPEAKER: There is transmitted herewith a draft of a proposed bill "To amend the part of the act entitled 'An act making appropriations for the naval service for the fiscal year ending June 30, 1921, and for other purposes', approved June 4, 1920, relating to the conservation, care, custody, protection, and operation of the naval petroleum and oil-shale reserves.

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The purposes of the proposed legislation are to provide for the conservation in the ground of oil and gas; to consolidate and protect the oil lands owned by the Government, especially naval petroleum reserve no. 1; to extend the provisions of law covering the naval petroleum reserve to the oil-shale and other naval fuel reserves where applicable; and to provide that no leases within the reserves shall be granted to foreigners unless reciprocal privileges are granted by their government to our citizens.

The proposed bill also provides additional safeguards for the naval petroleum reserves; consolidates in one bill, by reenactment, existing authority of the Secretary of the Navy in respect to these reserves, thereby clarifying his powers in their administration; permits termination of existing private leases within the reserves by voiding present options of renewal, thus conserving the oil; enlarges the powers of the Secretary of the Navy in the interest of more efficient administration of the reserves; provides for utilization of moneys derived from royalties and otherwise to buy in private holdings within the reserves, permitting continuous clearing of private interests from the reserves; provides for more advantageous leasing where new leasing may be desirable.

The cost of the proposed legislation cannot be estimated at the present time. The Secretary of the Navy would be authorized to acquire land and leases by exchange or purchase and until each case has been negotiated it cannot be determined which means of acquisition would be employed. Exchange would involve no cost to the Government. If resort to purchase be had in some cases, the cost to the Government would, of course, depend upon the number of such cases and the value of the holdings involved.

This proposed legislation is considered to be of primary importance in connection with the conservation of the naval oil reserves and future naval fuel supplies. Attention is invited to the fact that the proposed bill does not appropriate any money, but is an authorization for appropriations should they become necessary.

The Navy Department recommends that the proposed legislation be enacted.

The proposed legislation is in accord with the program of the President.

Sincerely yours,

CLAUDE A. SWANSON.

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TO AMEND THE ACT ENTITLED "AN ACT MAKING APPROPRIATIONS FOR THE NAVAL SERVICE FOR THE FISCAL YEAR ENDING JUNE 30, 1903, AND FOR OTHER PURPOSES", APPROVED JULY 1, 1902 (H. R. 3605). MR. VINSON OF GEORGIA

NAVY DEPARTMENT, Washington, January 19, 1937.

The SPEAKER OF THE HOUSE OF REPRESENTATIVES,

Washington, D. C.

MY DEAR MR. SPEAKER: There is transmitted herewith a draft of a proposed bill to amend the act entitled "An act making appropriations for the naval service for the fiscal year ending June 30, 1903, and for other purposes", approved July 1, 1902.

The act approved July 1, 1902 (32 Stat. 663), provides in effect that compensation for civilian employees of the Navy Department appointed for duty in the Philippines, Hawaii, Samoa, Guam, and Puerto Rico may be computed from the date of sailing from the United States until the date of return thereto by the most direct route and with due expedition. The purpose of this provision was to facilitate the appointment of competent employees by recognizing that the travel to and from these stations was a part of the duty to which they had been appointed. The act has served a useful purpose in this regard, but with the establishment and development of the stations in Cuba and the Canal Zone, and the offices of naval attachés abroad, it has created an arbitrary distinction in favor of the employees appointed for duty in the Philippines, Hawaii, Samoa, Guam, and Puerto Rico over those appointed for duty elsewhere beyond the continental limits of the United States. The purpose of the proposed legislation is to remove this unsound distinction and to establish a uniform rule of treatment for all civilian employees of the Navy Department appointed for duty beyond the continental limits of the United States.

The estimated cost of the proposed legislation is $700 per year. The Navy Department recommends that the proposed legislation be enacted.

The proposed legislation is in accord with the program of the President.

Sincerely yours,

CLAUDE A. SWANSON.

91216-37-No. 8

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TO AMEND SECTION 22 OF THE ACT APPROVED MARCH 4, 1925, ENTITLED "AN ACT PROVIDING FOR SUNDRY MATTERS AFFECTING THE NAVAL SERVICE, AND FOR OTHER PURPOSES", (H. R. 3606). MR. VINSON OF GEORGIA

NAVY DEPARTMENT, Washington, January 19, 1937.

The SPEAKER OF THE HOUSE OF REPRESENTATIVES,

Washington, D. C.

MY DEAR MR. SPEAKER: There is transmitted herewith a draft of a proposed bill "to amend section 22 of the act approved March 4, 1925, entitled 'An act providing for sundry matters affecting the naval service, and for other purposes'.'

The purpose of the proposed legislation is to increase the limit placed on the total personnel of the Naval Reserve Officers' Training Corps from 1,200 to 2,400.

The graduates of Reserve Officers' Training Corps units are the best source from which to secure Reserve officers. With the present legal limit of 1,200 students the maximum number of graduates each year will not exceed 230, and is usually much less. The Naval Reserve can easily absorb 500 graduates annually, and in view of existing conditions it is highly desirable to increase the legal limit to 2,400. Such increase would not affect the number graduating until 4 years after the date it is authorized.

At the present time there are units at six institutions. Should the proposed increase be authorized a survey will be made in contemplation of the establishment of additional units.

The cost of the proposed legislation is estimated to be $108,518 for the first year, $64,529 for the second year, $95,268 for the third year, and $106,377 for the fourth year. The additional 1,200 students will then be enrolled and for the fifth and successive years the cost will stabilize at an estimated $89,123 per annum. The cost of maintaining the present enrollment of 1,200 students is stabilized at approximately $85,000 per annum.

The Navy Department recommends that the proposed legislation be enacted.

The proposed legislation is in accord with the program of the President.

Sincerely yours,

.91216-37-No. 9

CLAUDE A. SWANSON.

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