State Of New York et al v. Mnuchin et al

Filing 47

DECLARATION of Owen T. Conroy in Support re: 44 CROSS MOTION for Summary Judgment .. Document filed by State Of Connecticut, State Of New York, State of Maryland, State of New Jersey. (Attachments: # 1 Exhibit 1, # 2 Exhibit 2, # 3 Exhibit 3, # 4 Exhibit 4, # 5 Exhibit 5, # 6 Exhibit 6, # 7 Exhibit 7, # 8 Exhibit 8, # 9 Exhibit 9, # 10 Exhibit 10, # 11 Exhibit 11, # 12 Exhibit 12, # 13 Exhibit 13, # 14 Exhibit 14, # 15 Exhibit 15, # 16 Exhibit 16, # 17 Exhibit 17, # 18 Exhibit 18, # 19 Exhibit 19, # 20 Exhibit 20, # 21 Exhibit 21, # 22 Exhibit 22, # 23 Exhibit 23, # 24 Exhibit 24, # 25 Exhibit 25, # 26 Exhibit 26, # 27 Exhibit 27, # 28 Exhibit 28, # 29 Exhibit 29, # 30 Exhibit 30, # 31 Exhibit 31, # 32 Exhibit 32, # 33 Exhibit 33, # 34 Exhibit 34, # 35 Exhibit 35, # 36 Exhibit 36, # 37 Exhibit 37, # 38 Exhibit 38, # 39 Exhibit 39, # 40 Exhibit 40, # 41 Exhibit 41, # 42 Exhibit 42, # 43 Exhibit 43, # 44 Exhibit 44, # 45 Exhibit 45, # 46 Exhibit 46, # 47 Exhibit 47, # 48 Exhibit 48, # 49 Exhibit 49, # 50 Exhibit 50, # 51 Exhibit 51, # 52 Exhibit 52, # 53 Exhibit 53, # 54 Exhibit 54, # 55 Exhibit 55, # 56 Exhibit 56, # 57 Exhibit 57, # 58 Exhibit 58, # 59 Exhibit 59, # 60 Exhibit 60, # 61 Exhibit 61, # 62 Exhibit 62, # 63 Exhibit 63, # 64 Exhibit 64, # 65 Exhibit 65, # 66 Exhibit 66, # 67 Exhibit 67, # 68 Exhibit 68, # 69 Exhibit 69, # 70 Exhibit 70, # 71 Exhibit 71, # 72 Exhibit 72, # 73 Exhibit 73, # 74 Exhibit 74, # 75 Exhibit 75, # 76 Exhibit 76, # 77 Exhibit 77, # 78 Exhibit 78, # 79 Exhibit 79, # 80 Exhibit 80, # 81 Exhibit 81, # 82 Exhibit 82, # 83 Exhibit 83, # 84 Exhibit 84, # 85 Exhibit 85, # 86 Exhibit 86, # 87 Exhibit 87, # 88 Exhibit 88, # 89 Exhibit 89, # 90 Exhibit 90, # 91 Exhibit 91, # 92 Exhibit 92, # 93 Exhibit 93, # 94 Exhibit 94, # 95 Exhibit 95, # 96 Exhibit 96, # 97 Exhibit 97, # 98 Exhibit 98, # 99 Exhibit 99, # 100 Exhibit 100, # 101 Exhibit 101, # 102 Exhibit 102, # 103 Exhibit 103, # 104 Exhibit 104, # 105 Exhibit 105, # 106 Exhibit 106)(Conroy, Owen)

Exhibit 36

'L

78d CONGRESS.

195

SESS. I. OHS. 89, 00. JUNE 16, 1933.

corporation (other than a mutual savings bank) or a member of a
partnership organized for any purpose whatsoever which shall make
loans secured by stock or bond collateral to any individuals association, partnership, or corporation other than its own subsidiaries."
SEC. 34. The right to alter, amend, or repeal this Act is hereby
expressly reserved. If any provision of this Act, or the application
thereof to any person or circumstances, is held invalid, the remainder
of the Act, and the application of such provision to other persons
or circumstances, shall not be affected thereby.
Approved, June 16, 1933, 11:45 a.m.

Atndmnt.
Separabity of pro.

vi'os

[CHAPTER 90.]
AN ACT
To encourage national industrial recovery, to foster fair competition, and to
provide for the construction of certain useful publio works, and for other

JueI1

(.R.57M5.1
TPublo, No. OT.)

purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congrees assembled,
TITLE I-INDUSTRIAL RECOVERY
DECLARATION OF POLICY

SECTION 1. A national emergency productive of widespread unemployment and disorganization of industry, which burdens interstate
and foreign commerce, affects the public welfare, and undermines
the standards of living of the American people, is hereby declared
to exist. It is hereby declared to be the policy of Congress to remove
obstructions to the free flow of interstate and foreign commerce
which tend to diminish the amount thereof; and to provide for the
general welfare by promoting the organization of industry for the
purpose of cooperative action among trade groups, to induce and
maintain united action of labor and management under adequate
governmental sanctions and supervision, to eliminate unfair competitive practices, to promote the fullest possible utilization of the
present productive capacity of industries, to avoid undue restriction
of production (except as may be temporarily required), to increase
the consumption of industrial and agricultural products by increasing purchasing power, to reduce and relieve unemployment, to
improve standards of labor, and otherwise to rehabilitate industry
and to conserve natural resources.
ADMINISTRATIVE AGENCIES

auoIseustu

TL2I-INDtS.

TRIAL RECOVERY.

Appropriation for.
P681, p. 276.
Declaration ofpolloy.

cldministrativeagen.

SEQ.2. ()
aPresident
SEO. 2. (a) To effectuate the policy of this title, the President is establish. at thorized

hereby authorized to establish such agencies, to accept and utilize
such voluntary and uncompensated services to appoint without
regard to the provisions of the civil service laws, such officers and

Appointments.

employees, and to utilize such Federal officers and employees, and, cooton of Fed.
with the consent of the State, such State and local officers and em- eral and state ofncers,

ployees, as he may find necessary, to prescribe their authorities, *
duties, responsibilities, and tenure and, without regard to the Classification Act of 1923, as amended, to fix the compensation of any
officers and employees so appointed.
(b) The President may delegate any of his functions and powers notsao

under this title to such officers, agents, and employees as he may
designate or appoint, and may establish an industrial planning and
research agency to aid in carrying out his functions under this title.

of tune-

Indutrial planning
Establishmentu.
tborked

~

~'~-&

196

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78d CONGRESS.

-.-'

-~

~-~"~-'

-~

-~

- -~

--

'

SESS. 1. CH. 00. JUNE 16, 1933.

(c) This title shall cease to be in effect and any agencies established
hereunder shall cease to exist at the expiration of two years after
the date of enactment of this Act, or sooner if the President shall.
by proclamation or the Congress shall by joint resolution declare
that the emergency recognized by section 1 has ended.

CT etnaon of

Codes of fair compe.

tition.

CODES OF FAIR COMPETITION

SEc. 3. (a) Upon the application to the President by one or more
trade or industrial associations or groups the President may approve
a code or codes of fair competition for the trade or industry or subdivision thereof, represented by the applicant or applicants, if the
President finds (1) that such associations or groups impose no
inequitable restrictions on admission to membership therein and are
truly representative of such trades or industries or subdivisions
thereof, and (2) that such code or codes are not designed to promote monopolies or to eliminate or oppress small enterprises and will
not operate to discriminate against them, and will tend to effectuate
oiles,etc., not the policy of this title: Provided, That such code or codes shall not
permte
atermit
monopolies or mono olistic practices: 'Provided rather
a
hat where such code or co es affect the services and we fare ol
teC habe
persons engaged in other steps of the economic process, nothing in
this section shall deprive such persons of the right to be heard prior
to approval by the President of such code or codes. The President
imposititon of condi.cndto
oProtection of may, as a condition of his approval of any such code impose such
to
consumers, etc.
conditions (including requirements for the making of reports and
the keeping of accounts) for the protection of consumers competitors, employees, and others, and in furtherance of the public interEeptons and ex- est, and may provide such exceptions to and exemptions from the
provisions of such code, as the President in his discretion deems
necessary to effectuate the policy herein declared.
Approval

by

the

Ap roveIcdeb

(b) After the President shall have approved any such code, the
provisions of such code shall be the standards of fair competition

stdon.
itionseme
unfair pmdeemed for such trade or industry or subdivision thereof.

Any violation of
such standards in any transaction in or affecting interstate or foreign
commerce shall be deemed an unfair method of competition in com-

Vol.3, P.m7.

merce within the meaning of the Federal Trade Commission Act, as

amended; but nothing in this title shall be construed to impair the
powers of the Federal Trade Commission under such Act, as
amended.
(c) The several district courts of the United States are hereby
uridictio of s.
violatons.invested with jurisdiction to prevent and restrain violations of any
code of fair competition approved under this title* and it shall be
the duty of the several district attorneys of the ignited States in
their respective districts, under the direction of the Attorney deneral, to institute proceedings in equity to prevent and restrain such
violations.
Est aublishment
(d) Upon his own motion, or if complaint is made to the President
P omdepusory code that
abuses inimical to the public interest and contrary to the policy
herein declared are prevalent in any trade or industry or subdivision
Notie. and bearing thereof, and if no code of fair competition therefore has
theretofore
been approved by the President, the President, after such public
notice and hearing as he shall specify, may prescribe and approve

a code of fair competition for such trade or industry or subdivision

thereof, which shall have the same effect as a code of fair competition approved by the President under subsection (a) of this section.
Imprtaiorofcom(e) On his own motion, or if any labor organization, or any trade

kfEect

of oode.

maintenanceof

or industrial organization, association, or group, which has complied
with the provisions of this title, shall make complaint to the President

-

78d CONGRESS.

SESS. I. CH. 90. JUNE 10, 1933.

//197

that any article or articles are being imported into the United States
/
in substantial quantities or increasing ratio to domestic production
of any competitive article or articles and on such terms or under
such conditions as to render ineffective or seriously to endanger the
maintenance of any code or agreement under this title, the President Investigation by Tar.
may cause an immediate investigation to be made by the United "n
commission.
States Tariff Commission, which shall give precedence to investigations under this subsection, and if, after such investigation and such Notice and hearing.
public notice and hearing as he shall specify, the President shall find
the existence of such facts, he shall, in order to effectuate the policy Presidenttoprescribe
of this title, direct that the article or articles concerned shall be t
for admispermitted entry into the United States only upon such terms and
conditions and subject to the payment of such fees and to such Lmtaton of totni
limitations in the total quantity which may be imported (in the admitted quantity.
course of any specified period or periods) as he shall find it necessary
to prescribe in order that the entry thereof shall not render or tend
forto render ineffective any code or agreement made under this title. In Preident mayunless
,
.bid
Importations
order to enforce any limitations imposed on the total quantity of importer Hoense ob*
imports, in any specified period or periods, of any article or articles taled.
under this subsection, the President may forbid the importation of
such article or articles unless the importer shall have first obtained
from the Secretary of the Treasury a license pursuant to such regu- Administration of
lations as the President may prescribe. Upon information of any
, imposed by
action by the President under this subsection the Secretary of the
Treasury shall, through the proper officers, permit entry of the
article or articles specified only upon such terms and conditions and
subject to such fees, to such limitations in the quantity which may
be imported, and to such requirements of license, as the President
shall have directed. The decision of the President as to facts shall Decision conclusive.
be conclusive. Any condition or limitation of entry under this sub- Conditions andeint.
section shall continue in effect until the President shall find and riod.

inform the Secretary of the Treasury that the conditions which led
to the imposition of such condition or limitation upon entry no
lon ger exists.
When a code of fair competition has been approved or pre- sitosof
scribed by the President under this title any violation of any provision thereof in any transaction in or aecting interstate or foreign
commerce shall be a misdemeanor and upon conviction thereof an
offender shall be fined not more than $500 for each offense and each Penalty.
day such violation continues shall be deemed a separate odense.
AGREEMENTS AND LICENSES

SEO. 4. (a) The President is authorized to enter into agreements
with, and to approve voluntary agreements between and among, persons engaged ina trade or industry, labor organizations, and trade
or industrial organizations, associations, or groups, relating to any
trade or industry, if in his judgment such agreements will aid in
effectuating the policy of this title with respect to transactions in or
affecting interstate or foreign commerce, and will be consistent with
the requirements of clause (2) of subsection (a) of section 8 for a
code of fair competition.
(b) Whenever the President shall find that destructive wage or
price cutting or other activities contrary to the policy of this title
are being practiced in any trade or industry or any subdivision
thereof, and, after such public notice and hearing as he shall specify,
shall find it essential to license business enterprises in order to make
effective a code of fair competition or an agreement under this title
or otherwise to effectuate the policy of this title, and shall publicly

of provi.

Agreements and I1.
oenses.
Authority of Preident to enter trd
agreements.

Ant, p. 198
Licenses.
Issue of, to business
enterprises when unfair
nractites n trade or

198

78d CONGRESS.

ngfiIn bu*sones

bbited.

SESS. I. CH. 90.

announce, no person shall, after a date fixed in such announce-

inentengage1no business, in or affecting interstate or
carry on any
foreign commerce, specified in such announcement, unless he shall
have first obtained a license issued pursuant to such regulations as

nevocatfonorlicense. the President shall prescribe.
Finality of revoking
order.

JUNE 16, 193.

The President may suspend or revoke

any such license, after due notice and opportunity for hearing,
violations of the terms or conditions thereof. Any order of for
the

President suspending or revoking any such license shall be final if
in accordance with law. Any person who, without such a license
or in violation of any condition thereof, carries on any such business for which a license is so required, shall, upon conviction thereof,
be fined not more than $500, or imprisoned not more than six months,
autor.or both, and each day such violation continues shall be deemed a
nof

Penalty for violation.

expiration o

separate offense.

Notwithstanding the provisions of

section 2
this subsection shall cease to be in effect at the expiration of (c),
one
year after the date of enactment of this Act or sooner if the President shall by proclamation or the Congress shall by joint resolution
declare that the emergency recognizedby section 1 has ended.
Fet t in in the case 'of a license, while
rith
.5. Wietis title is
Anirs
asntSEc.
While this ilsi
arplcable to odn
Ank, P. 190.

agreements, etc.

('inm eempt.
plicatnon of

title.

section 4 (a) is in effect) and for sixty days thereafter, any code,
agreement, or license approved, prescribed, or issued and in effect
under this title, and any action complying with the provisions
thereof taken during such period shall be exempt from the provisions of the antitrust laws o the United States.
Nothing in this Act, and no regulation thereunder, shall pre-

vent an individual from pursuing the vocation of manual labor and

selling or trading the products thereof ; nor shall anything in this
Act, or regulation thereunder, prevent anyone from marketing or
trading the produce of his farm.

LIMITATIONS UPON APPLICATION OF TITLE
Statements of trade,
etc. associations before
benefits to accrue.

nules

t[on s.

and

regula-

InvcstU nations by
Federnlrmde Com.
mission.

Conditions required
in codes, agreements,
and licenses.

SEC. 6. (a) No trade or industrial association or group shall be
eligible to receive the benefit of the provisions of this title until it
files with the President a statement containing such information
relating to the activities of the association or group as the President
shall by regulation prescribe.
(b) The President is authorized to prescribe rules and regulations

designed to insure that any organization availing itself of the bene.
fits of this title shall be truly representative of the trade or industry
or subdivision thereof represented by such organization. Any organization violating any such rule or regulation shall cease to be entitled
to the benefits of this title.
(c) U pon the. request of the President, the Federal Trade Commission shall make such investigations as may be necessary to enable
the President to carry out the provisions of this title, and for such
-purposes the Commission shall have all the powers vested in it with
respect of investigations under the Federal Trade Commission Act,
as amended.
SEO. 7. (a) Every code of fair competition, agreement, and license
approved, prescribed, or issued under this title shall contain the
following conditions: (1) That enployebs shall have the right to
organize and bargain collectively through representatives of their
own choosing, and shall be free from the interference restraint, or
coercion of employers of labor, or their agents, in the designation of
such representatives or in self-organization or in other concerted
activities for the purpose of collective bargaining or other mutual
aid or protection; (2) that no employee and no one seeking employ-ment shall be required as a condition of employment to join any

78d CONGRESS.

199

SESS. I. CH. 90. JUNE 16, 1933.

company union or to refrain from joining, organizing, or assisting
a labor organization of his own choosing; anid(8) that employers
shall comply with the maximum hours of labor, minimum rates of
pay and other conditions of employment, approved or prescribed by
the President.
Employer
(b) The President shall, so far as practicable, afford every oppor- wage and -empoyes
hours of
tunity to employers and employees in any trade or industry or subdi- work agreements.
vision thereof with respect to which the conditions referred to in
clauses (1) and (2) of subsection (a) prevail, to establish by mutual
agreement, the standards as to the maximum hours of labor, minimum rates of pay, and such other conditions of employment as may
be necessary in such trade or industry or subdivision thereof to
Effectiveness of
effectuate the policy of this title; and the standards established in proved agreements. ap.
such agreements, when approved by the President, shall have the Ante, p. 1m6.
same effect as a code of fair competition, approved by the President
under subsection (a) of section 8.
Code authorized.
(c) Where no such mutual agreement has been approved by the when mutual green.
President he may investigate the labor practices, policies, wages, ment not approved.
hours of labor, and conditions of employment in such trade or
industry or subdivision thereof; and upon the basis of such investigations, and after such hearings as the President finds advisable, he
is authorized to prescribe a limited code of fair competition fixing
such maximum hours of labor minimum rates of pay, and other
conditions of employment in th trade or industry or subdivision
thereof investigated as he finds to be necessary to effectuate the Effectiveness.
policy of this title, which shall have the same effect as a code of fair
competition approved by the President under subsection (a) of
section 3. The President ma differentiate according to experience
and skill of the employees affected and according to the locality of
employment; but no attempt shall be made to introduce any classification according to the nature of the work involved which might
tend to set a maximum as well as a minimum wage.
(d) As used in this title, the term " person'"
includes any indi- Terms construed.
vidual, partnership, association, trust, or corporation; and the terms "Person." and for.
"Interstate
"in"interstate and foreign commerce " and "interstate or foreign com- eigll commerce"- com.
terstate or foreign
merce."
merce included, except where otherwise indicated, trade or commerce
among the several States and with foreign nations, or between the
District of Columbia or any Territory of the United States and any
State, Territory or foreign nation, or between any insular possessions or other places under the jurisdiction of the United States, or
between any such possession or place and any State or Territory of
the United States or the District of Columbia or any foreign nation,
or within the District of Columbia or any Territory or any insular
possession or other place under the jurisdiction of the United States.
APPLICATION OF AGRICULTURAL ADJUSTMENT ACT1

Application of Agricutual Adjustment

SEc. 8. (a) This title shall not be construed to repeal or modify irovidons
any of the provisions of title I of the Act entitled "An Act to relieve peaed
the existing national economic emergency by increasing agricultural
purchasing power, to raise revenue for extraordinary expenses
Incurred by reason of such emergency, to provide emergency relief
with respect to agricultural indebtedness, to provide for the orderly
liquidation of joint-stock land banks, and for other purposes ,
approved May 12, 1938; and such title I of said Act approved May
12, 1983, may for all purposes be hereafter referred to as theAno.
"Ag icultural Adjustment Act."
(b) The Presi dent may, in his discretion, in order to Avoid con- tns g
flirts in the administration of the Agricultural Adjustme t Act and
this title, delegate any of his functions and powers under this title

not re.

efw

200

78d CONGRESS.

SESS. I.

CH. 90.

JUNE 10, 1933.

with respect to trades, industries, or subdivisions thereof which are
engaged in the handling of any agricultural commodity or product
thereof, or of any competing commodity or product thereof, to the
Secretary of Agriculture.
Oil regulation.

OIL REGULATION

Regulation ofoll-pipe
Executive Orders
Nos.6199, Julyll1, 1933;
6204 July 14, 1933.

rrans rtation rates

to W xed.

ortatins.no m
nosr
oreedings against.

Prohibition on transportation of oil In Interstate,etc., commerce of
tateee.,limi station.

s7
p

7.

Penalty.

Rules and regulations.
Prescribed by President.
Penanty for viol*lions.
Amendment
ders.

of or

SEO. 9. (a) The President is further authorized to initiate before
the Interstate Commerce Commission proceedings necessary to pre.Iolie

'

scribe regulations to control the operations of oil pipe lines andto
fix reasonable, compensatory rates for the transportation of petro.
leum and its products by pipe lines, and the Interstate Commerce
Commission shall grant preference to the hearings and determination of such cases.
( b) The President is authorized to institute proceedings to divorce
from any holding company any pipe-line company controlled by
such holding company which pipe-line company by unfair practices
or by exorbitant rates in the transportation of petroleum or its
products tends to create a monopoly..
(o) The President is authorized to prohibit the transportation in
interstate and foreign commerce of petroleum and the products

thereof produced or withdrawn from storage in excess of the amount
permitted tor be produced or withdrawn from storage by any State
law or valid regulation or order prescribed thereunder, by any board,
commission officer, or other duly authorized agency of a State. Any
violation of any order of the President issued under the provisions
of this subsection shall be punishable by fine of not to exceed $1,000,
or imprisonment for not to exceed six months, or both.
RULES AND REGULATIONS

SEO. 10. (a) The President is authorized to prescribe such rules
and regulations as may be necessary to carry out the purposes of
this title, and fees for licenses and for filing codes of fair competition and agreements, and any violation of any such rule or regulation shall be punishable by fine of not to exceed $500, or imprisonment for not to exceed six months or both.
(b) The President may from time to time cancel or modify any
order, approval, license, rule, or regulation issued under this title;
and each agreement code of fair competition, or license approved,
prescribed or issued under this title shall contain an express pro.

vision to that effect.
TI1L' AND CONWORKS 1-PUBLIC

aTRVCrIOHPROIECTS.

TITLE

II-PUBLIC

WORKS AND
PROJECTS

CONSTRUCTION

FEDERAL EMERGENCY ADMINISTRATION OF PUBLIO WORKS
Federal JEr
oN 201. (a) To effectuate the purposes of this title, the
Administratioi in
ofEPuISr
I1o Works.
President is hereby authorized to create a Federal Emergency
Establishme nt au- Administration of Public Works, all the
of which shall be
thorized.
exercised by a Federal Emergency Admiistrator of Public Works
Post, P. 31.

powers

Appointment

Duties to be preacribed.

(hereafter referred to as the "Administrator "), and to establish
such agencies, to accept and utilize such voluntary and uncompen-.
sated services, to appoint, without regard to the civil service laws
such officers and employees, and to utilize such Federal officers and
employees, and, with the consent of the State, such State and local
officers and employees as lie may find necessary, to prescribe their
authorities,,duties, responsibilities, and tenure, and, without regard
to the Classification Act of 1923, as amended, to fix the compensation
of any officers and employees so appointed. The President niaY dele-

<

"W-

-

73d CONGRESS.

,

SESS. I. CH. 90.

cw

",law

JUNE 16, 1933.

201

gate any of his functions and powers under this title to such officers,
agents, and employees as he may designate or appoint.
(b) The Administrator may, without regardto the civil service Appointment of ex.
laws or the Classification Act of 1923, as amended, appoint and p
fix the compensation of such experts and such other officers and compensation.
employees as are necessary to carry out the provisions of this
title; and may make such expenditures (including expenditures for Expenditures.
personal services and rent at the seat of government and elsewhere 1,,rinting and bind.
for law books and books of reference, and for paper, printing and'
binding) as are necessary to carry out the provisions of this title.
(c) All such compensation, expenses, and allowances shall be Funds available.
paid out of funds made available by this Act.
(d) After the expiration of two years after the date of the enact- Terminaion of pow*
ment of this Act, or sooner if the President shall by proclamation or the Congress shall by joint resolution declare that the emergency recognized by section 1 has ended, the President shall not
make any further loans or grants or enter upon any new construction under this title, and any agencies established hereunder shall Trnser of agencies.
cease to exist and any of their remaining functions shall be transferred to such departments of the Government as the President shall
designate: Provided, That he may issue funds to a borrower under Pneso.
this title prior to January 23, 1939, under the terms of any agree- tofuandIMor

ment, or any commitment to bid upon or purchase bonds, entered
into with such borrower prior to the date of termination, under this
section, of the power of the President to make loans.
bli
SEc. 202. The Administrator, under the direction of the President woogram of
shall prepare a comprehensive program of public works, which shall fProjectsined.
include among other things the following: (a) Construction, repair,
and improvement of public highways and park ways, public buildings, and any publicly owned instrumentalities and facilities; (b)
conservation and development of natural resources, including control, utilization, and purification of waters, prevention of soil or
coastal erosion, development of water power, transmission of electrical energy, and construction of river and harbor improvements
and flood control and also the construction of any river or drainage
improvement required to perform or satisfy any obligation incurred
Construction
by the United States through a treaty with a foreign Government traty obligations.under
ratified and to restore or develop for the use of any State
heretofore
or its citizens water taken from or denie tto them by performance
on the p art of the United States of treaty obligations heretofore
assumed: Provided, That no river or harbor improvements shall be more.
carried out unless they shall have heretofore or hereafter been ivremnds harbor
adopted by the Congress or are recommended by the Chief of.-Engi- Apprval required,
neers of the United States Army; (c) any projects of the character
heretofore constructed or carried on either directly by public authority or with public aid to serve the interests of the general public;
(a) construction, reconstruction, alteration, or repair under public
regulation or control of low-cost housing and slum-clearance projects; (e) any project (other than those included in the foregoing
P.
classes) of any character heretofore eligible for loans under sub. vol ,47 711.
section (a) of section 201 of the Emergency Relief and Construction
Act of 1932, as amended, and paragraph (3) of such subsection (a)
shall for such purposes be held to include loans for the construction
or completion of hospitals the operation of which is partly financed
from public funds, and of reservoirs and pumping plants and for
the construction of dry docks; and if in the opimon of the President
it seems desirable, the construction of naval vessels within the terms

and/or limits established by the London Naval Treaty of 1930 and
of aircraft required therefor and construction of heavier-than-air

of
Cnton
s
285#
Vol .4 P.

202
AirerA

eAr

$us

Afatr

78d CONGRESS.

SESS. I. CH. 90. JUNE 16,1933.

aircraft and technical construction for the Army Air Corps and
housing proj. such Army housing projects as the President may approve, and
provision of original equipment for the mechanization or motorization of such Army tactical units as he may designate: Provided,
That in the event of an international agreement for the
however,
on
&;construcfurther

limitation of armament to which the United States is

signatory, the President is hereby authorized and empowered to
suspend, in whole or in part, any such naval or military construction
or mechanization and motorization of Army units: Provided f/T-

Construction une their That this title shall not be applicable to public works under

the jurisdiction or control of the Architect of the Capitol or of any
commission or committee for which such Architect is the contracting
and/or executive officer.
SEC. 203. (a) With a view to increasing employment quickly (while
employment rf.
reasonably securing any loans made by the United States) the PresiAgencies to be
atdenc.e o"
dent is authorized and empowered, through the Administrator or
through such other agencies as he may designate or create*(1) to conConstruction of pub. struct, finance, or aid in the construction or financing of any public,
lie works project.
works project included in the program prepared pursuant to section
202; (2) upon such terms as the President shall prescribe, to make
grants to States.
grants to States, municipalities, or other public bodies for the construction, repair, or improvement of any such project, but no such
imit.
grant shall be in excess of 30 per centum of the cost of the labor and
Aci asition of prop. materials employed upon such project; (3) to acquire by purchase, or
erty.
by exercise of the power of ement domain, any real or personal
Architect ofeCap.

[to).

of any such project,

property in connection acquired
and to sell any security with the construction
or any property so constructed or
acquired or to lease any such property with or without the privilege
of purchase: Provided, That all moneys received from any such sale
Useoproceeds.
or lease or the repayment of any loan shall be used to retire obligaPost, p. 206.
tions issued pursuant to section 209 of this Act, in addition to any
, .Iiroad mainte. other moneys required to be used for such purpose; (4) to aid in
the financing of such railroad maintenance and equipment as may
be approvedby the Interstate Commerce Commission as desirable
for the improvement of transportation facilities; and (5) to advance,
upon request of the Commission having jurisdiction of the project,
the unappropriated balance of the sum authorized for carrying out
the provisions of the Act entitled "An Act to provide for the
inbry fs reconstruction and equipment of an annex to the Library of ConVol. 48, p. 683.
gress ", approved June 13, 1930 (46 Stat. 583) ; such advance to be
expended under the direction of such Commission and in accordance
with such Act: Provided, That in deciding to extend any aid or
refneosatdf*et
Sales.

tures.

grant hereunder to any State, county, or municipality the President

may consider whether action is in process or in good faith assured
therein reasonably designed to bring the ordinary current expenditures thereof within the prudently estimated revenues thereof. The
visios.i
provins
of this section and section 202 shall extend tojpublio
wo= in the several States Hawaii, Alaska, the District of Columbia, Puerto Rico, the Canal Zone, and the Virgin Islands.
'ravel expenses.
(b) All expenditures for authorized travel by officers and
employees, including subsistence, required on account of any Federal
public-works projects shall be charged to the amounts allocated to
such projects, notwithstanding any other provisions of law; and
Personal services.there is authorized to be employed such personal services in the
District of Columbia and elsewhere as may be required to be engaged
upon such work and to be in addition to employees otherwise pro..
vided for, the compensation of such additional personal services to
be a charge against the funds made available for such construction
work.

WOO

78d CONGRESS.

SESS. I. CH. 90. JUNE 16, 1933.

(c) In the acquisition of any land or site for the purposes of

Federal public buildings and in the construction of suchibuildings

203
Provisionsfable
for
b
igs.

ub

provided for in this title, the provisions contained in sections 805 v bu.722,724
and 306 of the Emergency Relief and Construction Act of 1932, as
amended shall apply.
as
(d) The President, in his discretion, and under such termsany to Extension of benefits
States,.to.
he may prescribe, may extend any of the benefits of this title to
State, county, or municipality notwithstanding any constitutional
or legal restriction or limitation on the right or power of such State,
county, or municipality to borrow money or incur indebtedness.
Satetigs
.
SEO. 204. (a) For the purpose of providing for emergency con- wayo
struction of public highways and related projects, the President is oPM, 9M3.
p.
authorized to make grants to the highway departments of the several Limt.1
States in an amount not less than $400,000,000, to be expended by
such departments in accordance with the provisions of the Federil
Highway Act, approved November 9, 1921 as amended and supplemented, except as provided in this title, as follows:
(1) For expenditure in emergency construction on the Federal omergenccs at
aid highway system and extensions thereof into and through munici- h hwaysystems.
o
palities. The amount apportioned to any State under this paragraph amonm
may be used to pay all or any part of the cost of surveys, plans, and Pot, pp. 9K 1067.
of highway and bridge construction including the elimination of
hazards to highway traffic, such as the separation of grades at crossing, the reconstruction of existing railroad grade crossing structures,
the relocation of highways to eliminate railroad crossings, the widening of narrow bridges and roadways, the building of footpaths,
the replacement of unsafe bridges, the construction of routes to
avoid congested areas, the construction of facilities to improve
accessibility and the free flow of traffic, and the cost of any other
construction that will provide safer traffic facilities or definitely
eliminate existing hazards to pedestrian or vehicular traffic. No Use of funds for land
funds made available by this title shall be used for the acquisition Udjetions,

etC.,

of any land, right of way, or easement in connection with any railroad grade elimination project.

(2) For expenditure in emergency construction on secondary or Emn

feeder roads to be agreed upon by the State highway departments
and the Secretary of Agriculture: Provided, That the State or
responsible political subdivision shall provide for the proper maintenance of said roads. Such grants shall be available for payment
of the full cost of surveys, plans, improvement and construction of
secondary or feeder roads, on which projects shall be submitted by
the State highway department and approved by the Secretary of
Agriculture.

enoy costrue.

n to b
provided.
Availability of funds.

rtlonmef
(b) Any amounts allocated by the President for grants under
among Stats.
subsection (a) of this section shall be apportioned among the several

States seven-eighths in accordance with the provisions of section
21 of the Federal Highway Act, approved November 9, 1921, as
amended and supplemented (which Act is hereby further amended
for the purposes of this title to include the District of Columbia),
and one-eighth in the ratio which the population of each State
bears to the total population of the United States, according to the
latest decennial census and shall be available on July 1, 1933 and
shall remain available until expended; but no part of the funds
apportioned to any State need be matched by the State, and such
funds may also be used in lieu of State funds to match unobligated
balances of previous apportionments of regular Federal-aid
appropriations.

Vol. 42, p.
217.

themndt
umbia.

toofinlu

Matchingoftfunds by

States not required.

204

73d CONGRESS.

SESS. I. CH. 90.

JUNE 16, 1933.

(c) All contracts involving the expenditure of such grants shall
contain provisions establishing minimum rates of wages, to be predetermined by the State highway department, which contractors
shall pay to skilled and unskilled labor, and such minimum rates
shall be stated in the invitation for bids and shall be included in
proposals for bids for the work.
Limitations of Fed.
(d) In the expenditure of such amounts, the limitations in the
eral Hiha Act notofsciaonste
liuosin
e
appliao
Federal Highway Act, approved November 9, 1921, as amended and
supplemented, upon highway construction, reconstruction, and
bridges within municipalities and upon payments per mile which
may be made from Federal funds, shall not aply.
(As used in this section the term "State includes the Territory
'Tstcnstrued.
"Hnighway."
of awaii and the District of Columbia. The term "highway " as
Vol.42, p. 212.
defined in the Federal Highway Act approved November 9, 1921
as amended and supplemented, for the purposes of this section, shall
be deemed to include such main parkways as may be designated by
the State and approved by the Secretary of Agriculture as part of the
Federal-aid highway system.
(f) Whenever, in connection with the construction 'of any highway
of Agreent for rei
tracts involving expen;
diture of funds.

properY.

project under this section or section 202 of this Act, it is necessary

F

to acquire rights of way over or through any property or tracts of
land owned and controlled by the Government of the United States,
it shall be the duty of the proper official of the Government of the
United States having control of such property or tracts of land with

fproval

ofPreg-4 the approval of the President and the Attorney General of the

o b
aon
costs.

e

rpldt received from the operation of any such bridge, less the actual cost
of operation and maintenance, shall be applied to the repayment of

United States, and without any expense whatsoever to the United
States, to perform any acts and to execute any agreements necessary
to grant the rights of way so required, but if at any time the land
Reversion for non, or the property the subject of the agreement shall cease to be used
user.
for the purposes of the highway, the title in and the jurisdiction
over the land or property shall automatically revert to the Government of the United States and the agreement shall so provide.
(g) Hereafter in the administration of the Federal Highway Act,
Vol2,sp. .
Collection of, nu* and Acts amendatory thereof or supplementary thereto, the first
thorized.
paragraph of section 9 of said Act shall not apply to publicly owned
toll bridges or approaches thereto, operated by the highway departCondition'
meant of any State, subject, however, to the condition that all tolls
General.

re

the cost of its construction or acquisition, and when the cost of its
construction or acquisition shall have been repaid in full, such bridge
thereafter shall be maintained and operated as a free bridge.

national forest igh!

ways, trails, etc.

SEC. 205. (a) Not lss than $50,000,000 of the amount made available by this Act shall be allotted for (A) national forest highways,

(B) national forest roads, trails, bridges, and related projects, (02
national ark roads and trails in national parks owned or authorized,
Roads on Indian''
reservations.n Idi (D) roas on Indian reservations, and (E) roads through public
lands, to be expended in the same manner as provided in paragraph
lnrhroug
Fen,.. nditure s.
(2) of section 301 of the Emergency Relief and Construction Act
of 1932, in the case of appropriations allocated for such purposes,
respectively, in such section 801, to remain available until expended.
Construction, Terr(b) The President may also allot funds made available by this
torlos and Insular pos-A
c
National park roads.

sessions.

Actor

the construction

repair and improvement of public hig-

uerto Rico, and the Virgin Islands.
contract provisions. ways in 206. All the Canal Zone, for construction projects and all
SEc. Alaska, contracts let
loans and grants pursuant to this title shall contain such provisions
hrtyhour wokr.

as
hon

are necessary to insure (1) that no convict labor shall be employed
any such project; (2) that (except in executive, administrative,

73d CONGRESS.

SESS. T. CH. 90.

205

JUNE 10, 1933.

and supervisory positions), so far as practicable and feasible, no
individual directly employed on any such project shall be permitted
to work more than thirty hours in any one week; (8) that all employees shall be paid just and reasonable wages which shall be
compensation sufficient to provide, for the hours of labor as limited,
a standard of living in decency and comfort; (4) that in the employment of labor in connection with any such project, preference shall
be given, where they are qualified to ex-service men with dependents,
and then in the following order: ?A) To citizens of the United States
and aliens who have declared their intention of becoming citizens,
who are bona fide residents of the political subdivision and/or county
in which the work is to be performed, and (B) to citizens of the
United States and aliens who have declared their intention of becoming citizens, who are bona fide residents of the State Territory, or
district in which the work is to be performed: Provided, That these
preferences shall apply only where such labor is available and qualified to perform the work to which the employment relates; and
(5) that the maximum of human labor shall be used in lieu of
machinery wherever practicable and consistent with sound economy
and public advantage.
SEC. 207. (a) F.or the purpose of expediting the actual construetion of public works contemplated by this title and to provide a
means of financial assistance to persons under contract with the
United States to perform such construction, the President is authorized and empowered, through the Administrator or through such
other agencies as he may designate or create, to approve any assignment executed by any such contractor, with the written consent of
the surety or sureties upon the penal bond executed in connection
with his contract, to any national or State bank, or his claim against
the United States, or any part of such claim under such contract;
and any assignment so approved shall be valid for all purposes, notwithstanding the provisions of sections 3737 and 3477 of the Revised
Statutes as amended.
(b) The funds received b a contractor under any advances made
assignment
of any suConsideration are hereby declared to be
trust funds in the hands of such contractor to be first applied to
the payment of claims of subcontractors, architects, engineers, surveyors, laborers, and material men in connection with the project,
to the payment of premiums on the penal bond or bonds, and promiums accruing during the construction of such project on insurance policies taken in connection therewith. Any contractor and
any officer, director, or agent of any such contractor, who applies, or
consents to the application of, such funds for any other purpose and
fails to pay any claim or premium hereinbefore mentioned shall be
deemed guilty of a misdemeanor and shall be punished by a fine
of not more than $1,000 or by imprisonment for not more than one
year, or by both such fine and imprisonment.
(c) Nothing in this section shall be considered as imposing upon
the assignee any obligation to see to the proper application of the
funds advanced by the assignee in consideration of such assignment.
SUBSISTENCE HOMESTEADS

SEO. 208. To provide for aiding the redistribution of the overbalance of population in industrial centers $25,000,000 is hereby made
available to the President, to be used by him through such agencies
as he may establish and under such regulations as he may make, for
making loans for and otherwise aiding in the purchase of subsistence
homesteads. The moneys collected as repayment of said loans shall

Wage scaes.

Preferences.

When preferences ap.
plicable.
Use of human labor.

Assinments by contractor authorize.

Approval required.
Consent of sureties.

S.,sees.m34n, 3737,
pp 689 737.
i b..., pp. 987, 1310.
Funds received in
consideration of assign.
ment to be trust funds.

Penalty for misappli.
cation.

Assignee not liable.

Subsistence homesteads.
Executive Order
number 620, July 21,
1933.
Loan for purchase
of, authorized.
Amount available,
Repayments to con.
stitute revolving fund.

-s

206

~

Z..~M44

78d CONGRESS.

SESS. I. CH, 90.

-~A~j~4~W

~~

JUNE 16, 19383.

constitute a revolving fund to be administered as directed by the
President for the purposes of this section.
RULES AND REGULATIONS

Sw. 209. The may be is authorized to out the such rules
Yorviola- and regulations asPresident necessary to carry prescribe purposes of

tnd
uola
Pnat

'

this title, and any violation of any such rule or regulation shall

be punishable by fine of not to exceed $500 or imprisonment not to
exceed six months, or both.

Issue of securtles and
sinking fund.

ISSUE OF 8EOURITIE8AND LINKING FUND

SEC. 210. (a) The Secretary of the Treasur is authorized to
borrow, from time to time, under the Second Liberty Bond Act,
as amended, such amounts as may be necessary to meet the exlenditures authorized by this Act, or to refund any obligations previously
issued under this section, and to issue therefor bonds notes, certiffAdditionalamoucates of indebtedness, or Treasury bills of the United States.
annually appropriated.
b) For each fiscal year beginning with the fiscal year 1934 there
vol.o, p.131.
is hereby appropriate d in addition to and as part of, the cumulative
sinking fund provided by section 6 of the Victory Liberty Loan
Act, as amended, out of any money in the Treasury not otherwise
appropriated, for the purpose of such fund, an amount equal to
2
per centum of the aggregate amount of the expenditures made
out of appropriations made or authorized under this Act as determined by the Secretary of the Treasury.
Tre

toborrow.

4 , p. 288.

Reemployment and
relief taxes.
Renue A
r e3.
(asoln e toA.

sreenzol."

REDEPLOYMENT AND RELIEF TAXES
EMLYEN

SEc. 211. (a) Effective as of the day following the date of the
enactment of this Act, section 617 (a) of the Revenue Act of 1982
is amended by striking out " 1 cent" and inserting in lieu thereof
"1 c entss.
()

Effective as of the day following the date of the enactment

of this Act, section 617 (c) (2) of such Act is amended by adding
at the end thereof a new sentence to read as follows: "As used in
this paragraph the term 'benzol' does not include benzol sold for
use otherwise than as a fuel for the propulsion of motor vehicles,
motor boats, or airplanes and otherwise than in the manufacture or
Title IV-Manutac- production of such fuel.
turers excise tax.
SEO. 212. Titles IV and V of the Revenue Act of 1932 are amended
Title -cellane.
by striking out "1934 " wherever
02 tes .We
0.
in lieu thereof "1935". Section appearing therein and byof 1932 is
761 of the Revenue Act inserting
further amended by striking out" and on July 1 1933" and inserting
in lieu thereof "and on July 1, 1933, and on Jul 1, 1934,".
Tax on dividends.
SEo. 213. (a) There is hereby imposed upon the receipt of diviVol.4,p. 18
dends (required to be included in the gross income of the recipient
under the provisions of the Revenue Act of 1932) by any person
other than a domestic corporation, an excise tax equal to 5 per centum
of the amount thereof, such tax to be deducted and withheld from
such dividends by the payor corporation. The tax imposed by this
section shall not apply to dividends declared before the date of
the enactment of this Act.
n
s o withhold. (b) Every corporation required to deduct and withhold any tax
under this section shall, on or before the last day of the month following thep ayment of the dividend, make return thereof and pay
the tax to the collector of the district in which its principal place
of business is located, or, if it has no principal place of business
in the United States, to the collector at Baltimore, Maryland.

t~4E.~'

~

h
oj" W,. W'a -, -11

?8d CONGRESS.

r

SESS. I. CH. 90. JUNE 16, 1983.

--

207

Liability of corpora(c) Every such corporation is hereby made liable for such tax "ion.
and is hereby indemnifled against the claims and demands of any
person for the amount of any payment made in accordance with the
provisions of this section.
Provisions of eve(d) The provisions of sections 115, f?1 to 74, inclusive, and 1111 nue Act of 1932, appli.
of the Revenue Act of 1932 shall be applicable with respect to the cable. 47, pp. 20, 277,
'Vol.
tax imposed by this section.
2M~
DIldendsnot
(e) The taxes imposed by this section shall not apply to the divi. Vol.47o P. 193. taxed.
dends of any corporation enumerated in section 103 of the Revenue vol. 479'P.oM
Act of 1932.
ccumulation of sur.
SwO. 214, Section 104 of the Revenue Act of 1982 is amended b
putoevade any
striking out the words "the surtax" wherever occurring in sue tenal-revenus tax. In.
vol. 47, p. 177.
section and inserting in lieu thereof "any internal-revenue tax.$$
The heading of such section is amended by striking out "surtaxes "
and inserting in lieu thereof "internal-revenue taxes." Section
18(c) of such Act is amended by striking out "surtax" and
inserting in lieu thereof " internal-revenue tax.'
Tax on
SE. 215. (a) For each year ending June 80 there is hereby im- porations. domestic corposed upon every domestic corporation with respect to carrying
on or doing business for any part of such year an excise tax of $1 PosE, p.771.
for each $1,000 of the adjusted declared value of its capital stock.
(b) For each year ending June 80 there is hereby imposed upon Foreign corporate ions.
every foreign corporation with respect to carrying on or doing business in the United States for any part of such year an excise tax
equivalent to $1 for each $1,000 of the adjusted declared value of
capital employed in the transaction of its business in the United
States.
Corporationsbto
(c) The taxes imposed by this section shall not applywhich not applicable.
(1) to any corporation enumerated in section 103 of the Revenue Vol. 47, p. 193.
Act of 1932;
(2) to any insurance company subject to the tax imposed by Vol. 47, pp. 223, 225.
section 201 or 204 of such Act;
(3) to any domestic corporation in respect of the year ending
June 80, 1933, if it did not carry on or do business during a part
of the period from the date of the enactment of this Act to June
30, 1933, both dates inclusive; or
(4) to any foreign corporation in respect of the year ending
June 80, 1933, if it did not carry on or do business in the United
States during a part of the period from the date of the enactment
of this Act to June 80, 1933, both dates inclusive.
Returns of corpora(d) Every corporation liable for tax under this section shall make tions.
a return under oath within one month after the close of the year
with respect to which such tax is imposed to the collector for the
district in which is located its principal place of business or, if it
has no principal place of business in the United States, then to the
collector at Baltimore, Maryland. Such return shall contain such Contents.
information and be made in such.manner as the Commissioner with
the approval of the Secretary may by regulations prescribe. The When tax payable.
tax shall, without assessment by the Commissioner or notice from
the collector, be due and payable to the collector before the expiraInterest
tion of the period for filing the return. If the tax is not paid when paid when rate. IUnot
due.
due, there shall be added as part of the tax interest at the rate of 1
per centum a month from the time when the tax became due until
paid. All rovisions of law (including penalties) applicable in Penalty provisions.
tol.
44mpo93.
respect of the taxes imposed by section 600 of the Revenue Act of
1926 shall, in so far as not inconsistent with this section, be applicable
in respect of the taxes imposed by this section. The Commissioner FstnsiOn of time fq(
maigretirns
may extend the time for making the returns and paying the taxes

208

73d CONGRESS.

SESS. I. CH. 90. JUNE 16, 1988.

imposed by this section, under such rules and regulations as he may
prescribe with the approval of the Secretary, but no such extension
shall be for more than sixty days.
Inspection ofrreturns.
(e) Returns required to be filed for the purpose of the tax imposed
by this section shall be open to inspection in the same manner, to
Vol. 44, p. 10.
the same extent, and subject to the same provisions of law, including
penalties, as returns made under title II of the Revenue Act of 1926.
Adjusted
declared
(f) For the first year ending June 30 in respect of which a tax
value.
Computation of, first is imposed by this section upon any corporation, the adjusted declared
year.
value shall be the value, as declared by the corporation in its first
return under this section (which declaration of value cannot be
amended), as of the close of its last income-tax taxable year ending
at or prior to the close of the year for which the tax is imposed by
this section (or as of the date of organization in the case of a corporation having no income-tax taxable year ending at or prior to the
close of the year for which the tax is imposed by this section). For
Subsequent years.
in
Domestic corpora- any subsequent year ending June 80, the adjusted declared value
tion.
the case of a domestic corporation shall be the original declared
value plus (1) the cash and fair market value of property paid in
for stock or shares, (2) paid-in surplus and contributions to capital,
and (3) earnings and profits, and minus (A) the value of property
distributed in liquidation to shareholders, (B) distributions of earnings and profits, and (0) deficits, whether operating or nonoperating; each adjustment being made for the period from the date as of
which the original declared value was declared to the close of its
last income-tax taxable year ending at or prior to the close of the
year for which the tax is imposed by this section. For any subseAdjusted declared quent year ending June 80, the adjusted declared value in the case
value foreign corpora.tions.'
of a foreign corporation shall be the original declared value adjusted,
in accordance with regulations prescribed by the Commissioner with
the approval of the Secretary, to reflect increases or decreases (for
the period specified in the preceding sentence) in the capital
employed in the transaction of its business in the United States.
Meaning of terms.
(g) The terms used in this section shall have the same meaning
as when used in the Revenue Act of 1932.
Tax on net income
SEO. 216. (a) There is hereby imposed upon the net income of
of corporations.
I
Computation of.
every corporation for each income-tax taxable year ending after
the close of the first year in respect of which it is taxable under
row, . .m.
section 215, an excess-profits tax equivalent to 5 per centum of such
portion of its not income for such income-tax taxable year as is in
excess of 121/2 per centum of the adjusted declared value of its
capital stock (or in the case of a foreign corporation the adjusted
declared value of capital employed in the transaction of its business
in the United States) as of the close of the preceding income-tax
Ante, p.207.
taxable year (or as of the date of organization if it had no preceding
Meaning of terms.
income-tax taxable year) determined as provided in section 215. The
terms used in this section shall have the same meaning as when used
in the Revenue Act of 1932.
Assessment and cot.
(b) The tax imposed by this section shall be assessed, collected,
lection of tale&.
Vol. 47, . 173.
and paid in the same manner, and shall be subject to the same provisions of law (including penalties), as the taxes imposed by title I
of the Revenue Act of 1982.
Proclamations.
SEo. 217. (a) The President shall roclaim the date offlevenues of United
States exceed expeadi(1) the close of the first fiscao year ending June 80 of any
tures.
year after the year 1933, during which the total receipts of the
Pos t, p. 1e20.
United States (excluding publfe-debt receipts) exceed its total
expenditures (excluding public-debt expenditures other than
those Qhargeable against such receipts), or

B

.78d CONGRESS.

SESS. I. OHI 90. JUNE 16, 1988.

(2) the repeal of the eighteenth amendment to the Constitution,
whichever is the earlier.
(b) Effective as of the 1st day of the calendar year following the
date so proclaimed section 617(a) of the Revenue Act of 1932, as
amended, is amended by striking out "11/ cents " and inserting in

209
RepeaIof eighteenth
amendment.
Post, p. 1720.
Tax reductions.
Vol. 47, p. 266.

lieu thereof " 1 cent ",

(c) The tax on dividends imposed by section 218 shall not apply A nte, p. 20.
to any dividends declared on or after the 1st day of the calendar
year following the date so proclaimed.
Ante,
(d) The capital-stock tax imposed by section 215 shall not apply ..771. p. 207;
to any 14txpayer in respect of any year beginning on or after the 1st
day of July following the date so proclaimed.
(e) The excess-profits tax imposed by section 216 shall not apply P.Ant, P. 208;
to any taxpayer in respect of any taxable year after its taxable year
during which the date so proclaimed occurs.
Sections repealed.
SEO. 218. (a) Effective as of Janua
Vol
1, 1933, sections 117, 28(i), W, 22, 47p. 18D, 207,
.
169 187 and 205 of the Revenue Act 071932 are repealed.
(b) Effective as of January 1, 1933, section 28(r) (2) of the Reve- vol. 47, p. 183.
nue Act of 1982 is repealed.
(c) Effective as of January 1, 1933, section 23(r) (8) of the Reve- SeetIon amended.
nue Act of 1932 is amended by striking out all after the word "Ter- Vol. 47, p. 183.
ritory "and inserting a period.
(d) Effective as of January 1, 1983, section 182(a) of the Revenue Vol. 47, p.222.
Act of 1932 is amended by inserting at the end thereof a new sentence
as follows: "No part of any loss disallowed to a partnership as a
deduction by section 23(r) shall be allowed as a deduction to a Vol. 47op. 183.
member of such partnership in computing net income."
(e) Effective as of January 1, 1933, section 141 (c) of the Revenue Vol. 47, p. 213.returns
Consolidated
corporations.
Act of 1982 is amended by striking out "except that for the taxable of
years 1932 and 1938 there shall be added to the rate of tax prescribed by sections 18(a), 201(b), and 204(a), a rate of three fourths
of 1 per centum " and inserting in lieu thereof the following: "except
that for the taxable years 1932 and 1983 there shall be added to the
rate of tax prescribed by sections 18(a), 201(b), and 204(a), a rate of
three fourths of 1 per centum and except that for the taxable years
1984 and 1985 there shall be added to the rate of tax prescribed by
sections 13(a), 201(b), and 204 (a), a rate of 1 per centum ".
etc. of
(f) No interest shall be assessed or collected for any period prior i Assessment, to *ep*
terest,rior
to September 15, 1933, upon such portion of any amount determined to 15 1I3.
ember
as a deficiency in income taxes as is attributable solely to the amendments made to the Revenue Act of 1932 by this section.
(g) In cases where the effect of this section is to require for a Time for making retaxable year ending prior to June 30, 1933, the making of an income- t urn hereunder.
tax return not otherwise required by law, the time for making the
return and paying the tax shall be the same as if the return was for
a fiscal ,year ending June 80, 1933. Revenue
(h) Section 55 ofthe Revenue Act of 1982 is amended by inserting wndment.Act of 10A2,
before the period at the end thereof a semicolon and the following: Vol. 47, P. 189.
" and all returns made under this Act after the date of enactment Inspection Qtreturns.
of the National Industrial Recovery Act shall constitute public
records and shall be open to public examination and inspection to
such extent as shall be authorized in rules and regulations promulgated by the President ".
Sw. 219. Section 500 (a) (1) of the Revenue Act of 1926, as Vol. 44,p.e01;tVol. 45,
amended, is amended by striking out the period at the end of the ' Tax on admissions
second sentence thereof and inserting in lieu thereof a comma and a d duos.
the following: "except that no tax shall be imposed in the case of
persons admitted free to any spoken play (not a mechanical repro.
port,

Po81,

86037---84-14

210

78d CONGRESS.

SESS. I. C11. 90. JUNE 16, 1988.

duction), whether or not set to music or with musical parts or accompaniments, which is a consecutive narrative interpreted by a single
set of characters, all necessary to the development of the plot, in
two or more acts, the performance consuming more than 1 hour and
45 minutes of time."
APPROPRIATION
Approprlafi
P16.11, pp. 275,
Amount.

Allocation.

Agricultural Adjustmont Act.
Ante, p. 34.
Cotton salft
Prodfo.

Total disposeition by
March 1, me8.
Option contrracts of
sale authorized.

information
Ing to admire tao
of Adt.

TILX Ill-AMNDRELIE AND CON8TRUC*

ova RIlN.LANE*
Apcumuforlois

inao Crouasl.

SEo. 220. For the purposes of this Act, there is hereby authorized
to be appropriated, out of any money in the Treasury not otherwise
appropriated, the sum of $3,300,000,000. The President is author.
ized to allocate so much of said sum not in excess of $100,000,000, as
he may determine to be necessary ?or expenditures in carrying out
the Agricultural Adjustment Act and the purposes, powers, and funetions heretofore and hereafter conferred upon the Farm Credit
Administration.
SEO. 221. Section 7 of the Agricultural Adjustment Act, approved
May 12, 1933, is amended by striking out all of its present terms and
provisions and substituting therefor the following:
"ISEO. 7. The Secretary shall sell the cotton held by him at his
discretion, but subject to the foregoing provisions: Provided, That
he shall dispose of all cotton held by him by March 1, 1936: Provided
further, That notwithstanding the provisions of section 6, the Secretary shall have authority toeiter into option cofitracts withproducers of cotton to sell to the producers such cotton held by him, in
such amounts and at such prices and upon such terms and conditions
as the Secretary may deem advisable, in combination with rental or
benefit payments provided for in part 2 of this title.
"Notwithstanding any provisions of existing law, the Secretary
of Agriculture may in the administration of the Aaricultural Adjustment Act make public such information as he eems necessary in
order to effectuate the purposes of such Act."
TITLE III-AMENDMENTS TO EMERGENCY RELIEF

AND CONSTRUCTION ACT AND MISCELLANEOUS
PROVISIONS

SECTION 801. After the expiration of ten days after the date upon
which the Administrator has qualified and taken office, (1) no

v.0 7i71l* to application shall be approved by the Reconstruction Finance Corhave acess to files, etc. poration under the rovisions of subsection (a) of section 201 of
Po, p.1110.

Pro

fud.
s

boueer.otf

the Emergency Relie and Construction Act of 1932, as amended, and
(2) the Administrator shall have access to all applications, files and
records of the Recnstruction Finance Corporation relating to loans
and contracts and the administration of funds under such subsection: Provided, That the Reconstruction Finance Corporation may
issue funds to a borrower under such subsection (a) prior to January
23, 1939, under the terms of any agreement or any commitment
to bid upon or purchase bonds entered into with such borrower pursuant to an application approved prior to the date Qf termination,
under this section, of the power of the Reconstruction Finance Corporation to approve applications.
DECREASE OF BORROWING POWER OF RECONSTRUCTION
CORPORATION

Decrease of borrowg power of Reconstruction Finance CorVol. 47, p.9.

FINANCE

SEC. 302. The amount of notes, debentures, bonds, or other such
obligations which the Reconstruction Finance Corporation is authorized and empowered under section 9 of the Reconstruction Finance
Corporation Act, as amended, to have outstanding at any one time is
decreased by $400,000,000.

--

78d CONGRESS.

-k

-0-0
1-1"1

I- 04,0141

iW6

SESS. I. CHS. 90, 91. JUNE 10, 1933.

211

SEPARABILITY CLAUSE

SEO. 803. If any provision of this Act, or the application thereof
to any person or circumstances, is held invalid, the remainder of
the Act and the application of such provision to other persons or
circumstances, shall not be affected thereby.

Separability clause.

SHORT TITLE

SEO. 304. This Act may be cited as the "National Industrial
Recovery Act."
Approved, June 16, 1933, 11:55 a.m.

Short tite.

[CHAPTER 91.]
AN ACT
To relieve the existing national emergency In relation to interstate railroad
transportation, and to amend sections 5, 15a, and 10a of the Interstate Com.
merce Act, as amended.

June

1, 1933.

(Public, No. 68.]

Be it enacted by the Senate and Houe of Representatives of the

United states of Amerca in Congress asembled, That this Act may
be cited as the '"Emergency Railroad Tiansportation Act, 1933."

Emergency Railroad
Transportation Act,
1933.

TITLE I-EMERGENCY POWERS
TITLX I-Emergency
powers.
SECION 1. As used in this titleDefinitions.
(a) The term "Commission" means the Interstate Commerce "Commission."
Commission.
(b) The term "1Coordinator " means the Federal Coordinator of "Coordinator."
Transportation hereinafter provided for.
(e) The term "committee " means any one of the regional coordi- **committee."
rating committees hereinafter provided for.
(d) The term "carrier " means any common carrier by railroad "Carrier."
subject to the provisions of the Interstate Commerce Act, as amended,
including any receiver or trustee thereof.
(e) The term "subsidiary " means any company which is directly "Subsidiary."
or indirectly controlled by, or affiliated with, any carrier or carriers.
For the purpose of the foregoing definition a company shall be
deemed to be affiliated with a carrier if so affiliated within the meaning of paragraph (8) of section 5 of the Interstate Commerce Act,
as amended by this Act.
(f) .The term " employee "includes every person in the service of "Employee."
a carrier (subject to its continuing authority to supervise and direct
the manner of rendition of his service) who performs any work
defined as that of an employee or subordinate official in accordance
with the provisions of the Railway Labor Act.
(gj The term "State commission " means the commission, board "State commLsslon."
or oci al, by whatever name designated exercising power to regulate
the rates or service of common carriers by railroad under the laws of
any State.
SEO.2. In order to foster and protect interstate commerce in rela. Objects of title d*e
tion to railroad transportation by preventing and relieving obstruetions and burdens thereon resulting from the present acute economic
emergency, and in order to safeguard and maintain an adequate
national system of transportation, there is hereby created the officeO ce of Federal
of Federal Coordinator of Transportation, who shall be a pointed by r<tio; created.
the President, by and with the advice and consent of the enate! or be
designated by the President from the membership of the Commission.
If so designated, the Coordinator shall be relieved from other duties
as Conxiishisioner during his term of service to uell extent as the