FEDERAL REGISTER 1934 ¿ y VOLUME 15 NUMBER 95

Washington, Wednesday, May 17, 7950

of Puerto Rico. In other cases of State CONTENTS TITLE 7— AGRICULTURE or Federal aid, the total extent of any Agriculture Department Page Chapter VII— Production and Mar­ practice carried out shall be reduced for purposes of payment by twice the per­ See Production and Marketing Ad­ keting Administration (Agricultural centage of the total cost of the practice ministration; Rural Electrifica­ Adjustment), Department of Agri­ which the State office determines was tion Administration. culture furnished by a State or Federal agency or Air Force Department [ACF-1950-P. R. 1] any agency of the Government of Puerto Rules and regulations : Part 702—Special Agricultural Rico. California; withdrawing public Conservation Program (Sec. 4, 49 Stat. 164; 16 U. S. C. 590d. Inter­ lands for use of Department pret or apply secs. 7-17, 49 Stat. 1148, as (see Land Management, Bu­ Subpart—1950—P uerto Rico amended; 63 Stat. 524; 16 TJ. S. C. and Sup., reau of). MISCELLANEOUS AMENDMENTS 590g-590q) Civil Aeronautics Board Pursuant to the authority vested in Done at Washington, D. C. this 12th Proposed rule making: the Secretary of Agriculture under sec­ day of May 1950. Air carrier operations, long­ tions 7-17, inclusive, of the Soil Conser­ [seal! Claude R. Wickard, distance domestic scheduled- 2957 vation and Domestic Allotment Act, as Acting Secretary of Agriculture. amended, the 1950 Special Agricultural Coast Guard Conservation Program for Puërto Rico, [F. R. Doc. 50-4200; Filed, May 16, 1950; Notices: issued December 28,1949 (14 F. R. 7870), 8:50 a. m.] Approval of equipment, rein­ is amended as follows: statement ------2958 1. Section 702.3 is added as follows: Commerce Department TITLE 24— HOUSING AND § 702.3 Allocation. The amount of See International Trade, Office of. funds allocated to Puerto Rico is $997,- HOUSING CREDIT Federal Communications Com­ 000. This amount does not include the mission amount set aside for administrative ex­ Chapter VIII— Office of Housing Expediter Proposed rule making : penses and the amount required for size- Television stations ; separate of-payment adjustments in § 702.42. [Controlled Housing Rent Reg., Arndt. 246] operation of aural and visual 2. In § 702.21, the title is amended to [Controlled Rooms in Rooming Houses and transmitters______2957 read as follows: Other Establishments Rent Reg., Arndt. Federal Power Commission 243] § 702.21 Practice 11: Establishing an Notices: adequate system of ditches to carry sur­ P art 825—R ent R egulations U nder the Hearings, etc.: face run-off water on land of 10 percent Housing and Rent Act op 1947, as Iowa Public Service Co— 2964 or more slope plqnted to intertilled crops, Amended Montana-Dakota Utilities Co_ 2964 except sugarcane. Tennessee Gas Transmission CALIFORNIA, IDAHO, OHIO, AND SOUTH Co _____ —______2964 3. In § 702.28 Practice 18: Planting CAROLINA vegetative barriers on land of 10 percent United Natural Gas Co— — 2964 or more slope, paragraph (a) is amended The Controlled Housing Rent Regu­ Housing Expediter, Office of by changing the reference to § 702.17 lation (§§ 825.1 to 825.12) and the Rent Rules and regulations : therein to § 702.27. Regulation for Controlled Rooms in Rent, controlled; housing and, 4. In § 702.29 Practice 19: Construct­ Rooming Houses and Other Establish­ rooms in rooming houses and ing protected outlet channels for carry­ ments (§§ 825.81 to 825.92) are amended other establishments in Cali­ ing run-off water from ditches and in the following respects: fornia, Idaho, Ohio, and South i terrace systems, is amended by changing 1. Schedule A, Item 30, is amended to Carolina------2923 the reference to § 702.17 in the fourth describe the counties in the defense- Interdepartmental Com m ittee sentence to § 702.27. rental area as follows: 5. Section 702.52 is amended to read as on Trade Agreements Orange County, except (1) the Cities of follows: Fullerton, Huntington Beach, Laguna Beach, Notices : § 702.52 Practices carried out with Newport Beach, and Orange, (2) that portion Trade-agreement negotiations State or Federal aid. The extent of any of Orange County lying south of the south with certain countries------2961 practice shall not be reduced because it line of Township Six south, Range Eight Interior Department West, San Bernardino Base and Meridian, is carried out with materials or services and the easterly and westerly prolongation See Land Management, Bureau of. furnished by the Agricultural Conserva­ of said south line, and (3) that portion df International Trade, Office of tion Programs Branch, Production and Orange County beginning at the intersection Marketing Administration, or by any Notices: agency of Puerto Rico to another agency (Continued on p. 2925) Delegations of authority----:— 2960 2923 2924 RULES AND REGULATIONS

/ i S X CONTENTS— Continued CONTENTS— Continued Interstate Commerce Commis- Pase Rural Electrification Adminis- Pa§e FEDERAL|pEGISTER sion— Continued \ 1934 (ration— Continued <»AIITEO’ Notices—Continued Notices—Continued Applications for relief—Con. Loan announcements—Con. Published daily, except Sundays, Mondays, Paper from Atlanta, Ga„ to Texas (2 documents)___ 2959,2960 and days following official Federal holidays, Virginia------. 2965 Wyoming------2960 by the Division of the Federal Register, Pennsylvania Railroad Co.; re­ National Archives and Records Service, Gen­ routing and diversion of traf­ Securities and Exchange Com­ eral Services Administration, pursuant to the mission authority contained in the Federal Register fic------2965 Act, approved July 26, 1935 (49 Stat. 500, as Rules and regulations: Notices: amended; 44 U. S. C., ch. 8B), under regula­ Explosives and other dangerous Hearings, etc.: tions prescribed by the Administrative Com­ articles, transportation; mis­ Columbia Gas System, Inc., mittee of the Federal Register, approved by cellaneous amendments____ 2940 et al-----2------2968 the President. Distribution is made only by Labor Department Commonwealth & Southern the Superintendent of Documents, Govern­ Corp. et al------2966 ment Printing Office, Washington 25, D. C. See Wage and Hour Division. The regulatory material appearing herein Land Management, Bureau of Moor, Lee______2969 is keyed to the Code of Federal Regulations, Notices : Philadelphia Co. et al_____ 2966 which is published, under 50 titles, pursuant South Jersey Gas Co______2967 to section 11 of the Federal Register Act, as California; notice for filing ob­ Worcester County Electric Co." amended June 19, 1937. jections to order withdrawing and New England Electric The F ederal R egister will be furnished by public lands for use of De- System------2968 mail to subscribers, free of postage, for $1.50 partment of the Air Force__ _ 2958 per month or $15.00 per year, payable in Rules and regulations: State Department advance. The charge for individual copies Arizona; partial revocation of Notices: * ; (minimum 15wood, Monrovia, Montebello, Monterey Park, H O W COVERAGE IS DETERMINED commerce or in the production of goods for Pasadena, Pomona, Redondo Beach, Santa 776.1 General Interpretative guides. commerce wages at the following rates—” Monica, Sierra Madre, Signal Hill, South 776.2 Employee basis of coverage. (not less than 75 cents an hour, except in Gate and South Pasadena, v 77f.3 Persons engaging in both covered Puerto Rico and the Virgin Islands to which This decontrols the Cities of Compton, and noncovered activities. special provisions apply). 776.4 Workweek standard. The requirement of section 7 as to maxi­ Montebello and Monterey Park* in Los 776.5 Coverage not dependent on method mum hours which an employee may work Angeles County, California, portions of of compensation. without receiving extra pay for overtime is: Los Angeles, California, Defense-Rental 776.6 Coverage not dependent on place of “no employer shall employ any of his em­ Area, based on resolutions submitted in work. ployees who is engaged in commerce or in 776.7 Geographical scope of coverage. the production of goods for commerce for a accordance with section 204 (j)" (3) of workweek longer than forty hours, unless the Housing and Rent Act of 1947, as ENGAGING “IN COMMERCE” such employee receives compensation for his amended. 776.8 The statutory provisions. employment in excess of the hours above 2. Schedule A, Item 80b, is amended 776.9 General scope of “in commerce” specified at a rate not less than one and to read as follows: coverage. one-half times the regular rate at which he 776.10 Employees participating in the ac­ is employed.” (80b) [Revoked and decontrolled.] tual movement of commerce. ‘ Public Law 393, 81st Cong., 1st sess., (63 776.11 Employees doing work related to in­ Stat. 910). These amendments, effective This decontrols the entire Blackfoot, strumentalities of commerce. January 25, 1950, leave the existing law un­ Idaho, Defense-Rental Area, based on 776.12 Employees traveling across State changed except as to provisions specifically the Housing Expediter’s own initiative ' lines. amended and the addition of certain new in'accordance with section 204 (c) of the 776.13 Commerce crossing international provisions. Section 3 (b) of the act, de­ boundaries. fining “commerce” and section 3 (J), defin­ Housing and Rent Act of 1947, as ing “produced," were specifically amended amended. ENGAGING IN “THE PRODUCTION OF GOODS FOR as explained in §§ 776.13 and 776.17 (a) 3. Schedule A, Item 233, is amended to COMMERCE’' herein. describe the counties in the defense- 776.14 Elements of "production” coverage. * Skidmore v. Swift & Co., 323 U. S. 134, rental ar6a as follows: 776.15 “Production”, 138. 2926 RULES AND REGULATIONS

struction of the law which the Admin­ lication in the F ederal Register, Subpart istrator believes to be correct and which definition of “produced” and to expand A of this interpretative bulletin replaces to some extent the group covered under will guide him in the performance of his and supersedes the general statement administrative duties under the act un­ the former definition of “commerce.” previously published as Part 776 of this In his interpretations, the Administrator less and until he is otherwise directed chapter, which statement is withdrawn. by authoritative decisions of the courts will endeavor to give effect to both the All other administrative rulings, inter­ broad remedial purposes of the act and or concludes, upon re-examination of an pretations, practices and enforcement interpretation, that it is incorrect. the limitations on its application, seek­ policies relating to the general coverage ing guidance in his task from the terms Under the Portal-to-Portal Act of of the wage and hours provisions of the 1947,“ interpretations of the Administra­ of the statute, from authoritative court act and not withdrawn prior to such «decisions, and from the legislative his­ tor may, under certain circumstances, be date are, to the extent that they are in­ tory of the act, as amended.8 controlling in determining the rights and consistent with or in conflict with the liabilities of employers and employees. principles stated in this interpretative § 776.2 Employee basis of coverage. The interpretations contained in this bulletin, hereby rescinded and with­ The coverage of the act’s wage and hours t bulletin are interpretations on which drawn. provisions as described in sections 6 and reliance may be placed as provided in 7 does not deal in a blanket way with in­ section 10 of the Portal-to-Portal act, HOW COVERAGE IS DETERMINED dustries as a whole. Thus, in section 6, it so long as they remain effective and are § 776.1 General interpretative guides. is provided that every employer shall pay not modified, amended, rescinded, or The Congressional policy under which thè statutory minimum wage to “each of determined by judicial authority to be employees “engaged in commerce or in his employees who is engaged in com­ incorrect. However, the omission to dis­ the production of goods for commerce” merce or in the production of goods for cuss a particular problem in this bulletin are brought within the general cover­ commerce.” It thus becomes primarily or in interpretations supplementing it age of the act’s wage and hours provi­ an individual matter as to’the nature of should not be taken to indicate the adop­ sions is stated in section 2 of the act. the employment of the particular em­ tion of any position by the Administrator This section makes it clear that the Con­ ployee. Some employers in a given in­ with respect to such problem or to con­ gressional power to regulate interstate dustry may have no employees covered by stitute an administrative interpretation and foreign commerce is exercised in this the act; other employers in the industry or practice or enforcement policy. act in order to remedy certain evils, may have some employees covered by the (b) Exemptions and child labor pro­ namely; “labor conditions detrimental act, and not others; still other employers visions not discussed. This bulletin does to the maintenance of the minimum in the industry may have all their em­ not deal with the various specific exemp­ standards of living necessary for health, ployees within the act’s coverage. If, tions provided in the statute, under efficiency, and the general well being of after considering all relevant factors, em­ which certain employees engaged in workers” which Congress found “(a) ployees are found to be engaged in cov­ commerce or in the production of goods causes commerce and the channels and ered work, their employer cannot avoid for commerce and thus within the gen­ instrumentalities of commerce to be used his obligations to them under the act on eral coverage of the wage and hours to perpetuate such labor conditions the ground that he is not “engaged in provisions are wholly or partially ex­ among the workers of the several States; commerce or in the production of goods cluded from the protection of the act’s (b) burdens commerce and'the free flow for commerce.” To the extent that his minimum-wage and overtime-pay re­ of goods in commerce; (c) constitutes employees are so engaged, he is himself so quirements. Some of these exemptions an unfair method of competition in engaged.® are self-executing; others call for defini­ commerce; (d) leads to labor disputes In determining whether an individual tions or other action by the Administra­ burdening and obstructing commerce employee is within the coverage of the tor. Regulations and interpretations and the free flow of goods in commerce wage and hours provisions, however, the relating to specific exemptions may be and (e) interferes with the orderly and relationship of an employer’s business to found in other parts of this chapter. fair marketing of goods in commerce.” commerce or to the production of goods Coverage and exemptions under the child In carrying out these broad remedial for commerce may sometimes be an im­ labor provisions of the act are discussed purposes, however, the Congress did not portant indication of the character of the in a separate interpretative bulletin choose to make the scope of the act co­ employee’s work.10 It is apparent, too, (Part 450 of this chapter) issued by the extensive in all respects with the limits from the 1949 amendment to the defini­ Secretary of Labor. of its power over commerce or to apply it tion of “produced” and its legislative his­ (c) Earlier interpretations super- to all activities affecting commerceT tory that an examination of the charac­ ceded. All general and specific interpre­ Congress delimited the area in which the ter of the employer’s business will in tations issued prior to July 11, 1947, act operates by providing for certain ex­ some borderline situations be necessary with respect to the general coverage of ceptions and exemptions, and by making- the wage and hours provisions of the wage-hour coverage applicable only to «Footnote references to some of the rel­ act were rescinded and withdrawn by employees who are “engaged in” either evant court, decisions are made for the as­ § 776.0 (b) of the general statement on commerce”, as defined in the act, or sistance of readers who may be interested this subject, published in the F ederal “production” of “goods” for such com­ in such decisions. R egister on that date as Part 776 of this merce, within the meaning of the act’s Fqptnote references to the legislative his­ chapter (12 F. R. 4583). To the extent definitions of these terms. The Fair tory of the 1949 amendments are made at that interpretations contained in such Labor Standards Amendments of 1949 points in this part where it is believed indicate an intention to restrict some­ they may be helpful. References to the general statement or in releases, opinion Statement of the Managers on the Part of letters, and other statements issued on what the category of employees within the House, appended to the Conference Re­ or after July 11, 1947, are inconsistent the reach of the act under the former port on the amendments (H. Rept. No. 1453, with the provisions of the Fair Labor 81st Cong., 1st sess.) are abbreviated: H. of this act, shall remain in effect as an order, Mgrs. St., 1949, p. —. References to the Standards Amendments of 1949, they do regulation, interpretation, or agreement of Statement of a majority of the Senate Con­ not continue in effect-after January 24, the Administrator or the Secretary, as the ferees, 95 Cong. Rec., October 19, 1949 at i950.6 Effective on the date of its pub- case may be,-pursuant to this act, except 15372-15377 are abreviated: Sen. St., 1949 to the extent that any such order, regula­ Cong. Rec. References to the Congressional tion, interpretation, or agreement may be Record are to the 1949 daily issues, the 8 Public Law 49, 80th Cong., 1st sess. (61 inconsistent with the provisions of this act, Stat. 84), discussed in Part 790 of this permanent volumes being unavailable at chapter. or may from time to time be amended, modi­ the time this part was prepared. fied, or rescinded by the Administrator or the Kirschbaum v. Walling, 316 U. S. 517. -See «Section 16 (c) of the Fair Labor Stand­ Secretary, as the case may be, in accordance 9 ards Amendments of 1949 (63 Stat. 910) pro­ also Walling v. Jacksonville Paper Co., 317 with the provisions of this act.” U. S. 564; McLeod v. Threlkeld, 319 U. S. 491; vides: 1 Kirschbaum v. Walling, 316 U. S. 517; “Any order, regulation, or interpretation of Mabee v. White Plains Pub. Co., 327 U. S. 178. Walling v. Jacksonville Paper Co., 317 u. s’ 10 Borden Co. v. Borella, 325 U. S.'679;-10 E. the Administrator of the Wage and Hour 564; 10 East 40th St. Bldg. Co. v. Calltis, 325 Division or of the Secretary of Labor, and 40th St. Bldg. Co. v. Callus, 325 U. S. 578; U. S. 578; A. H. Phillips, Inc. v. Walling, 324 Armour & Co. v. Wantock, 323 U. S. 126; Dono­ any agreement entered into by the Admin­ U. S. 490; Fleming v. Hawkeye Pearl Button istrator or the Secretary, in effect under the van v. Shell Oil Co., 168 F. 2d 229 (C. A. 4); Co., 113 F. 2d 52 (C. A. 8); Armstrong v. Hertz Driveurself Stations v. United States, provisions of the Fair Labor Standards Act Walling, 161 F. 2d 515 (C. A. 1); Bowie v. of 1938, as amended, on the effective date 150 F. 2d 923 (C. A. 8); Horton v. Wilson & Co., Gonzalez, 117 F. 2d 11 (C. A. 1). 223 N. C. 71, 25 S. E. 2d 437. 2927 Wednesday, May 17, 1950 FEDERAI REGISTER in determining whether the employee's minimum wage and overtime pay pro­ work in order to come within its coveragè. occupation bears the requisite close rela­ visions of the act. It follows that employees otherwise com­ tionship to production for commerce.“ It is thus recognized that an employee ing within the terms of the act are may be subject to the act in one work­ entitled to its benefits whether they per­ § 776.3 Persons engaging in both cov­ week and not in the next. It is likewise form their work at home, in the factory, ered and noncovered activities. The act true that some employees of an employer or elsewhere.18 The specific provisions of applies to employees ‘'engaged in com­ may be subject to the act and others not. the act relative to regulation of home­ merce or in the production of goods for But the burden of effecting segregation work serve to emphasize this fact.18 commerce” without regard to whether between covered and noncovered work as § 776.7 Geographical scope of cover­ such employees, or their employer, are between particular workweeks for a given age. The geographical areas within also engaged in other activities which employee or as between different groups which the employees are to be deemed would not bring them within the cover­ of employees is upon the employer. “engaged in commerce or in the produc­ age of the act. The act makes no distinc­ Where covered work is being regularly tion of goods for commerce” within the tion as to the percentage, volume, or or recurrently performed by his em­ meaning of the act, and thus within its amount of activities of either employee ployees, and the employer seeks to segre­ coverage are governed by definitions in or employer which constitute engaging gate such work and thereby relieve him­ section 3 (b), (c), and (j ). In the defini­ in commerce or in the production of self of his obligations under sections 6 tion of “produced” in section 3 (j), “pro­ goods for commerce. Sections 6 and 7 and 7 with respect to particular em­ duction” is expressly confined to de­ refer to “each” and “any” employee so ployees . in particular workweeks, he scribed employments “in any State.” (See engaged, and section 15 (a) (1) prohibits should be prepared to show, and to dem­ § 776.15 (a).) “Commerce” is defined tjae introduction into the channels of onstrate from his records, that such em­ to mean described activities “among the interstate or foreign commerce of “any” ployees in those workweeks did not several States or between any State and goods in the production of which “any” engage in any activities in interstate or any place outside thereof.” (See § 776.8. ) employee was employed in violation of foreign commerce or in the production “State” is defined in section 3 (c) to mean section 6 or section 7. Although employ­ of goods for such commerce, which “any State of the United States or the ees doing work in connection with mere would necessarily include a showing that District of Columbia or any Territory or isolated, sporadic, or occasional ship­ such employees did not handle or work possession of the United States.” ments in commerce of insubstantial on goods or materials shipped in com­ Under these definitions, employees amounts of goods will not be considered merce or used in production of goods for within the District of Columbia and by virtue of that fact alone, the law is commerce, or engage in any other work within the territories and possessions settled that every employee whose en­ closely related and directly essential to (e. g. Alaska, Hawaii, Puerto Rico, the gagement in activities in commerce or in production of goods for commerce.14 The Canal Zone, Guam, Guano Islands, the production of goods for commerce, Division’s experience has indicated that Samoa, Virgin Islands)80 are dealt with even though small in amount, is regular much so-called “segregation” does not on the same basis as employees working and recurring, is covered by the act.“ satisfy these tests and that many so- in any of the forty-eight States. Con­ This does not, however, necessarily mean called “segregated” employees are in fact gress did not exercise the national leg­ that an employee who at some particular engaged in commerce or in the produc­ islative power over the District of time may engage in work which brings tion of goods for commerce. Columbia or the Territories or posses­ him within the coverage of the act is, by § 776.5 Coverage not dependent on sions referred to by extending the act reason of that fact, thereafter indefi­ method of compensation. The act’s cov­ to purely local commerce within them. nitely entitled to its benefits. erage is not limited to employees work­ . § 776.4 Workweek standard. T h e ing on an hourly wage. The require­ ENGAGING “ IN COMMERCE” workweek is to be taken as the standard ment of section 6 as to minimum wages § 776.8 The statutory provisions. in determining the applicability of the on and after January 25, 1950, is that The activities constituting “commerce” act.18 Thus, if in any workweek an em­ “each” employee engaged in commerce within the meaning of the phrase “en­ ployee is engaged in both covered and or in the production of goods for com­ gaged in commerce” in sections 6 and 7 noncovered work he is entitled to both merce must be paid wages at a rate , not of the act are defined in section 3 (b) as the wage and hour's benefits of the act for less than 75 cents an hour.15 This does all the time worked in that week, unless not mean that employees cannot be paid follows: exempted therefrom by some specific on a piecework basis or on a salary, com­ “Commerce” means trade, commerce, provision of the act. The proportion of mission, qr other basis; it merely means transportation, transmission, or communi­ his time spent by the employee in each that whatever the basis on which the cation among the several States, or between type of work is not material. If he spends workers are paid, whether it be monthly, any State and any place outside thereof.21 any part of the workweek in covered weekly, or on a piecework basis, they work he will be considered on exactly must receive at least the equivalent of 18 Walling v. American Needlecrajts, 139 F. the same basis hs if he had engaged ex­ 2d 60 (C. A. 6) ;• Walling v. Twyeffort Inc., 158 the minimum hourly rate. “Each” and F. 2d 944 (C. A. 2); McComb v. Homeworkers’ clusively in such work for the entire “any” employee obviously and necessar­ Handicraft Cooperative, 176 F. 2d 633 (C. A. period. Accordingly, the total number ily includes one compensated by a unit of 4). of hours which he works during the time, by the piece, or by any other meas­ 18 See 6 (a) (2); Sec. 11 (d). workweek at both types of work must be urement.1* Regulations prescribed by 20 An area subject to the sovereignty of an­ compensated for in accordance with the the Administrator (Part 516 of this chap­ other nation may, by virtue of the operation ter) provide for the keeping of records in of an agreement between that nation and such form as to enable compensation on the United States, become a “possession of u H. Mgrs, St., 1949, pp. 14, 15; Sen. St., the United States” within the meaning of 1949 Cong. Rec. 15372. a piecework or other basis to be trans­ this act (Vermilya-Brown Co. v. Connell, 335 « United States v. Darby, 312 U. S. 100; lated into an hourly rate.” U. S. 377 (Bermuda bases leased from Great Mabee v. White Plains Pub. Co., 327 U. S. 178; § 776.6 Coverage not dependent on Britain); see also United States v. Spelar, Schmidt v. Peoples Telephone Union of Mary­ 338 U. S. 217) . However, where such status ville, Missouri, 138 P. 2d 13 (C. A. 8); New place of work. Except for the general of an area in a foreign country has not been Mexico Public Service Co. v. Engel, 145 P. 2d geographical limitations discussed in established, -the Administrator is not pre­ 636 (C. A. 10); Sun Pub. Co. v. Walling, 140 § 776.7, the act contains no prescription pared to assert coverage with respect to any F. 2d 445 (C. A. 6), certiorari denied 322 U. S. as to the place where the employee must employee in any workweek in which he works 728; Davis v. Goodman Lumber Co., 133 P. 2d there exclusively. On the other hand, when, 52 (C. A. 4). “ See Guess v. Montague, 140 F. 2d 500 part of the work performed by an employee 13 See Gordon’s Transports v. Walling, 162 for an employer in any workweek is covered P. 2d 203 (C. A- ), eertiorari denied 332 U. S. (C. A. 4) . 6 “ Special exceptions are made for Puerto work performed in any State, it makes no 774; Walling v. Fox-Pelletier Detective Agency, difference where the remainder of such work 4 W. H. Cases 452 (W. D. Tenn.), 8 Labor Rico and the Virgin Islands. 16 United States v. Rosenwasser, 323 U. 8. is performed; the employee is entitled to the Cases 62,219; Walling v. Black Diamond Coal benefits of the act for the entire workweek Mining Co,, 59 P. Supp. 348 (W. D. Ky.); 360. 11 For methods of translating other forms of unless he comes within some specific Fleming v. Knox, 42 F. Supp. 948 (S. D. Ga.); exemption. Roberg v. Henry Phipps Estate, 156 F. 2d 958 compensation into an hourly rate for pur­ poses of sections 6 and 7, see Parts 777 and ■a As amended by section 3 (a) of the Fair (C. A. 2). For a definition of the workweek, Labor Standards Amendments of 1949. see § 778.2 (c) of this chapter. 778 of this chapter. 2928 RULES AND REGULATIONS

As has been noted in § 776.7 of this bul­ abated;25 others are whether the service receipt or distribution of goods across letin, the word “State” in this definition contributes materially to the consum­ State lines.84 Also, since “commerce” as refers not only to any of the forty-eight mation of transactions in interstate or used in the act Includes not only “trans­ States but also to the District of Colum­ foreign, commerce26 or makes it possible mission” of communications but “com­ bia and to any Territory or possession for existing instrumentalities of com­ munication” itself, employees whose of thé United States. merce 27 to accomplish the movement of work involves the continued use of the It should be observed that the term such commerce effectively and to free it interstate mails, telegraph, telephone or “commerce” is very broadly defined. from burdens or obstructions.28 similar instrumentalities for communi­ The definition does not limit the term to cation across State lines are covered by transportation, or to the “commercial” § 776.10 Employees participating in transactions involved in “trade,” al­ the actual movement of commerce. the act.85 This does not mean that any though these are expressly included. Under the principles stated in § 776.9, use by an employee of the mails and Neither is the term confined to com­ the wage and hours provisions of the act other channels of communication is suf­ merce in “goods.” Obviously, “trans­ apply typically, but not exclusively, to ficient to establish coverage. But if the portation” or “commerce’? between any employees subh as those in the tele­ employee, as a regular and recurrent State and any place outside its boun­ phone,29 telegraph,80 television, radio,81 part of his duties, uses such instrumen­ daries includes a movement of persons transportation and shipping82 industries, talities in obtaining or communicating as well as a movement of goods. And since these industries serve as the actual information or in sending or receiving “transmission” or “communication” instrumentalities and channels of inter­ written reports or messages, or orders for across State lines constitutes “com­ state and foreign commerce. Similarly, goods or services, or plans or other docu­ merce” under the definition, without employees of such businesses as banking ments across State lines, he comes within reference to whether anything so trans­ (see Subpart B of this part), insurance the scope of the act as an employee di­ mitted or communicated is “goods.” *2 (see Subpart B of this part), newspaper rectly engaged in the work of “com­ publishing,88 and others (see Subpart B munication” between the State and The inclusion of the term “commerce” places outside the State. in the definition of the same term as of this part) which regularly utilize the used in the act implies that no special channels of interstate and foreign com­ § 776.11 Employees doing work related or limited meaning is intended; rather, merce in the course of their operations, to instrumentalities of commerce. An­ that the scope of the term for purposes are generally covered by the act. other large category of employees of the act is at least as broad as it would Employees whose work is an essential covered as “engaged in commerce’' is be under concepts of “commerce” estab­ part of the stream of interstate or for­ comprised of employees .performing the lished without reference to this defini­ eign commerce, in whatever type of busi­ work involved in the maintenance, re­ tion. ness they are employed, are likewise pair, or improvement of existing instru­ engaged in commerce and within the mentalities of commerce. (See the cases § 776.9 General scope of "in com­ act’s coverage. This would include, for merce” coverage. Under the definitions cited in footnote 27 to § 776.9. See also example, employees of a warehouse the discussion of coverage of employees quoted above, it is clear that the employ­ whose activities, are connected with the ees who are covered by the wage and engaged in building and construction hours provisions of thè act as employees work, in Subpart B of this part.) Typi­ 28 Republic Pictures Carp. v. Kappler, 151 cal illustrations of instrumentalities of “engaged in commerce”* are employees P. 2d 543 (C. A. 8), afHrmed 327 U. S. 757; doing work involving or related to the New Mexico Public Service Co. v. Engel, 145 commerce include railroads, highways, movement of persons or things (whether P. 2d 636 (C. A. 10) city streets, pipe lines, telephone lines, tangibles or intangibles, and including 26 Walling v. Sondock, 132 P. 2d 77 (C. A. 5), electrical transmission lines, rivers, information and intelligence) “among certiorari denied 318 U. S. 772. See also streams, or other waterways over which the several States or between any State Horton v. Wilson & Co., 223 N. C. 71, 25 S. E. interstate or foreign commerce more or and any place outside thereof.” 22 Al­ 2d 437, in which the court stated that an less regularly moves; airports; railroad, employee is engaged “in commerce” if his bus, truck, or steamship terminals; tele­ though this does not include employees services—not too remotely but substantially engaged in activities which merely “af­ and directly—aid in such commerce as de­ phone exchanges, radio and television fect” such interstate or foreign com­ fined in the act. stations, post offices and express offices; merce, the courts have made it clear that 31 For a list of such instrumentalities, see bridges and ferries carrying traffic mov­ coverage of the act based on engaging S 776.11. ing in interstate or foreign commerce in commerce extends to every employee 28 Overstreet v. North Shore Corp., 318 U. S. (even though within a single State); employed “in the channels of” such com­ 125; J. F. Fitzgerald Constr. Co. v. Pedersen, bays, harbors, piers, wharves and docks 324 U. S. 720; Ritch v. Puget Sound Bridge & used for shipping between a State and merce or in activities so closely related Dredging Co., 156 P. 2d 334 (C. A. 9); Walling to such commerce, as a practical matter, v. McCrady Constr. Co., 156 F. 2d 932 (C. A. points outside; dams, dikes, revetments that they should be considered a part of 3); Bennett v. V. P. Loftis, 167 P. 2d 286 (C. and levees which directly facilitate the A. 4); Walling v. Patton-Tully Transp. Co,, uninterrupted movement of commerce by it.24 The courts have indicated that the 134 P. 2d 945 (C. A. 6). enhancing or improving the usefulness words “in commerce” should not be so 28 Schmidt v. Peoples Telephone JJnion of of waterways, railways, and highways limited by construction as to defeat the Maryville, Mo., 138 P. 2d 13 (C. A. 8); North through control of water depth, chan­ purpose of Congress, but should be inter­ Shore Corp. v. Barnett, 143 P. 2d 172 (C. A. nels, or flow in streams or through con­ 5); Strand v. Garden Valley Telephone Co., preted in a manner consistent with their 51 F. Supp. 898 (D. Minn.) . trol of flood waters; warehouses or practical meaning and effect in the par­ 30 Western Union Telegraph Co. v. Lenroot, distribution depots devoted to the receipt ticular situation. One practical question 323 U. S. 490; Western Union Telegraph Co. v. and shipment of goods in interstate or to be asked is whether, without the par­ McComb, 165 F. 2d 65 (C. A. 6), certiorari de­ foreign commerce; ships, vehicles, and ticular service, interstate or foreign com­ nied 333 U. S. 862; Moss v. Postal Telegraph aircraft regularly used in transportation merce would be impeded, impaired, or Cable Co., 42 P. Supp. 807 (M. D. Ga.). ' of persons or goods in commerce; and 31 Wilson v. Shuman, 140 P. 2d 644 (C. A. similar fixed or movable facilities on 8); Wabash Radio Corp. v. Walling,. 162 P. which the flow of interstate and foreign 23 “fcroods” is, .however, broadly defined in 2d 391 (C. A. 6). commerce depends. the act. See § 776.20 (a). 33 Overnight Motor Co. v. Missel, 316 U. S. 23 «Any place outside thereof’? is not limited 572; Hargis v. Wabash R. Co., 163 P. 2d 607 It is well settled that the work of in meaning to another State or country. Any (O. A. 7); Rockton & Rion R. R. v. Walling, employees involved in the maintenance, movement between a State and a place “out­ 146 P. 2d 111 (C. A. 4), certiorari denied 334 repair, or improvement of such existing side there” is “commerce” for purposes of the U. S. 880; Walling v. Keansburg Steamboat act, such as ship-to-shore communication, Co., 162 P. 2d 405 (O. A. 3); Knudsen v. Lee 34 Phillips Co. v. Walling, 324 U. S. 490; or transportation out of a State by ship of & Simmons, 163 P. 2d 95 (O. A. 2); Walling v. Clyde v. Broderick, 144 F. 2d 348 (C. A. 10). food, fuel, or ice to be consumed at sea be­ Southwestern Greyhound Lines, 65 P. Supp. And see § 776.33. fore arrival at another port. 52 (W. D. Mo.); Walling v. Atlantic Grey­ 33 McComb v. Weller, 9 W. H. Cases 53 (W. D. 24 Walling v. Jacksonville Paper Co., 817 hound Corp., 61 P. Supp. 992 (E. D. S. C.). Tenn.); Yunker v. Abbye Employment U. S. 564; Overstreet v. North Shore Corp., 38 Sun Pub. Co. v. Walling, 140 F. 2d 445 Agency, 32 N. Y. S. 2d 715; (Munie. Ct. 318 U. S. 125; McLeod v. Threlkeld, 819 U. S. (C. A. 6), certiorari denied 322 U. S. 728. See N. Y. C.) ; Phillips v. Meeker Coop. Light & 491; Boutell v. Walling, 327 U. S. 463; Peder­ also Oklahoma Press Pub. Co. v. Walling, Power Asso., 63 P. Supp. 733 (D. Minn.) ; An­ sen v. J. F. Fitzgerald Constr. Co., 318 U. S. 327 U. S. 186, and McComb v. Dessau, 9 W.H. derson Bros. Corp. v. Flynn, 218 S. W. 2d 653 740 and 324 U. S. 720. Cases 332 (S. D. Calif.) 17 Labor Cases, 65;643. (C. A. Ky.). 2929 Wednesday, May 17, 1950 FEDERAL REGISTER On the other hand, work which is less And as a general rule, employees who are instrumentalities of commerce is so regularly engaged in traveling across closely related to interstate or foreign immediately related to the functioning of instrumentalities of commerce than is State lines in the performance of their commerce as to be in practice and in duties (as distinguished from merely legal contemplation a part of it. In­ the case in the foregoing examples may be too remote from interstate or foreign going to and from their homes or lodg­ cluded among the employees who are ings in commuting to a work place) are thus “engaged in commerce” within the commerce to establish coverage on the ground that the employee performing it engaged in commerce and covered by the meaning of the act are employees of rail­ act.48 On the other hand, it is equally roads, telephone companies, and simi­ is “engaged in commerce.” This has been held true, for example, of a cook prepar­ plain that an employee who, in isolated lar instrumentalities who are engaged in or sporadic instances, happens to cross maintenance-of-way work;“ employees ing meals for workmen who are repair­ ing tracks over which interstate trains a State line in the course of his employ­ (including office workers, guards, watch­ ment, which is otherwise intrastate in men, etc.) engaged in work on contracts operate,42 and of a porter caring for washrooms and lockers in argarage which character, is not, for that sole reason, or projects for the maintenance, repair, covered by the act. Nor would a man reconstruction or other improvement is not an instrumentality of commerce, where trucks used both in intrastate and who occasionally moves to another State of such instrumentalities of commerce in order to pursue an essentially local as the transportation facilities of inter­ interstate commerce are serviced.48 There are other situations in which trade or occupation there become an state railroads, highways, waterways, or employee “engaged in commerce” by other interstate transportation facili­ employees are engaged “in commerce” and therefore within the coverage of the virtue of that fact alone. Doubtful ques­ ties, or interstate telegraph, telephone, tions arising in the area between the two or electrical transmission facilities (see Act because they contribute directly to the movement of commerce by providing extremes must be resolved on the basis Subpart B of this part) ; and employees of the facts in each individual case. engaged in the maintenance or altera­ goods or facilities to be used or con­ tion and repair of ships" or trucks88 sumed by instrumentalities of commerce § 776.13 Commerce crossing interna­ used as instrumentalities of interstate in the direct furtherance of their activi­ tional boundaries. Under the act, as or foreign commerce. Also, employees ties of transportation, communication, amended, an employee engaged in transmission, or other movement in in­ “trade, commerce, transportation, trans­ have been held covered as engaged in terstate or foreign commerce. Thus, for commerce where they perform such mission, or communication” between any example, employees are considered en­ State and any place outside thereof is work as watching or guarding ships or gaged “in commerce” where they provide covered by the act regardless of whether vehicles which are regularly used in to railroads, radio stations, airports, the “place outside” is another State or commerce89 or maintaining, watching, telephone exchanges, or other similar is a foreign country or is some other or guarding warehouses, railroad or instrumentalities of commerce such place. Before the amendment to sec­ equipment yards, etc., where goods mov­ things as electric energy,44 steam, fuel, tion 3 (b) which became effective Jan­ ing in interstate commerce are tem­ or water, which are required for the uary 25, 1950, employees whose work porarily held,40 or acting as porters, movement of the commerce carried by related solely to the flow of commerce janitors, or in other maintenance capac­ such instrumentalities.45 Such work is into a State from places outside it which “so related to the actual movement of were not “States” as defined in the act ities in bus stations, railroad stations, commerce as to be considered an essen­ airports* or other _ transportation were not employees engaged in “com­ tial and indispensable part thereof, and merce” for purposes of the act, although terminals.“ without which it would be impeded or employees whose work was concerned impaired.” 48 w Davis v. Rockton & Rion R. R., 65 P. Supp. with the flow of commerce out of the 67, affirmed in 159 F. 2d 291 (C. A. 4) ; North § 776.12 Employees traveling across State to such places were so engaged.40 Shore Corp. v. Barnett, 143 P. 2d 172 (C. A. 5), State lines. Questions are frequently This placed employees of importers in a Palmer v. Howard, 12 Lab. Cas. (CCH) par. asked as to whether the fact that an less favorable position under the act 63 756 (W. D. Tenn.) ; Williams v. Atlantic employee crosses State lines in connec­ than the employees of exporters. This Coast Lines R. R. Co., 1 W. H. Cases 289 (E. J-J* tion with his employment brings him inequality was removed by the amend­ N. C. 1940), 2 Labor Cases (CCH) par. 18, 564. within the act’s coverage as an employee ment to section 3 (b).50 Accordingly, « Slover v. Wathen, 140 F. 2d 258 (C. A. 4) ; “engaged in commerce.” Typical of the employees performing work in connec­ Walling v. Keansburg Steamboat Co., 162 P, tion with the importation of goods from 2d 405 (C. A. 3). , , employments in which such questions ®8 Boutell v. Walling, 327 ü. S. 463; Mo/ris v. arise are those of traveling service men, foreign countries are engaged “in com­ McComb, 332 U. S. 422; Skidmore v. John J. traveling buyers, traveling construction merce” and covered by the act, as Casale, Inc., 160 F. 2d 527 (C. A. 2), certiorari crews, collectors, and employees of such amended. The coverage of such em­ denied 331 ü. S. 812; Herts Drivurself Stations organizations as circuses, carnivals, road ployees, as of those performing work in v. United States, 150 F 2d 923 (C. A. 8); Wal­ shows, and orchestras. The area of cov­ connection with the exportation of goods ling v. Sturm & Sons, Inc., 6 W. H. Cases 131 to foreign countries, is determined by (D. N. J.) 10 Labor Cases (CCH) par. 62, 980. erage in such situations cannot be delim­ As to exemptions from thè overtime re­ ited by any exact formula, since questions the same principles as in the case of quirements for mechanics employed by mo­ of degree are necessarily involved. If the employees whose work is connected with tor carriers, see Part 782 of this chapter. employee transports material or equip­ goods procured from or sent to other For exemptions applicable to retail or service ment or other persons across State lines States. establishments, see Part 779 of this chapter. or within a particular State as a part of ENGAGING IN “ THE PRODUCTION OF GOODS 80 Slover v. Wathen, 140 F. 2d 258 (C. A. 4) ; an interstate movement, it is clear, of FOR COMMERCE” Aqosto v. Rocafort, 5 W .H. Cases 176 (D. P. course, that he is engaging in commerce.47 R.), 9 Labor Cases (CCH) par. 62, 610; Cannon § 776.14 Elements of “production” v. Miller, 155 P. 2d 500 (S. Ct. Wash.). coverage. Sections 6 and 7 of the act, 40 Engebretson v. E. J. Albrecht Co., 150 F. 2d 48 McLeod v. Threlkeld, 319 tJ. S. 491. 602 (C A 7) • Mid-Continent Petroleum Corp. 48 Skidmore v. John J. Casale, Inc., 160 F. 2d as has been noted, cover not only em­ v. Keen, 157 F. 2d 310 (C. A. 8); Walling v. 527, certiorari denied 331 U. S. 812 (use in ployees who are engaged “in commerce” Mutual Wholesale Food & Supply Co., 141 interstate commerce of trucks serviced was' as explained above, but also “each” and F. 2d 331 (C. A. 8) ; Walling v. Sondock, 132 F. from 10 to 25 percent of total use). New Mexico Public Service Co. v. Engel, “any” employee who is engaged in the 2d 77 (C. A. 5); certiorari denied 318 ü. S. 44 “production” of “goods” for “commerce”. 772; Reliance Storage & Insp. Co. v. Hubbard; 145 F. 2d 636 (O. A. 10); Walling v. Connecti­ 50 F. Supp. 1012. (W. D. Va.) ; Walling v. Fox- cut Co., 154 F. 2d 552 (C. A. 2). What employees are so engaged can be Pelletier Detective Agency, 4W .H . Cases 452 45 Such employees would also be covered as determined only by reference to the (W. D. Tenn. 1944), 8 Labor Cases (CCH) engaged in the production of goods for com­ merce. See Lewis v. Florida Power & Light par. 62, 219; McComb v. Russell Co., 9 W. H. 48 Reck v. Zarnocay, 264 App. Dlv. 520, 36 Cases 258 (D. Miss. 1949),-17 Labor Cases Co., 154 F. 2d 751 (C. A. 5); Walling v. Con­ necticut Co., 154 F. 2d 552 (C. A. 2); also N. YS. 2d 394; Colbeck v. Dairyland Creamery (CCH) par. 65, 519. , Co., 17 N. W. 2d 262 (S. Ct. S. D.). 41 Mornford v. Andrews, 151 F. 2d 511 (C. A. § 776.21 (b ). „ , 48 New Mexico Public Service Co. v. Engel, 48 The definition of “commerce” previously 5); Hargis v. Wabash R. Co., 163 F. 2d 607 referred to commerce “from any State to any (C. A. 7); Walling v. Atlantic Greyhound 145 F. 2d 636, 640 (C. A. 10). 47The employee may, however, be exempt place outside thereof.” The amendment Carp., 61 F. Supp. 992 (E. D. S. C.); Rouch v. substituted “between" for “from” and “and” Continental Oil Co., 55 F. Supp. 315 (D. from the overtime prövisions of the act under section 13 (b) (1). See Part 782 of this for “to” in this clause. Kans.) ; see also Williams v. Jacksonville Ter­ 68 H. Mgrs. St., 1949, pp. 13, 14. minal Co., 315 U. S. 386. chapter. 2930 RULES AND REGULATIONS

very comprehensive definitions which duced, within ninety days prior to the re­ Congress has supplied to make clear moval of the goods from such place of em­ § 776.16 Employment in “producing, what is meant by “production,” by ployment, shall be prima facie evidence that * * * or in any other manner work­ “goods,” and by “commerce” as those such employee was engaged in the produc­ ing on” goods—(a) Coverage in general. words are used in sections 6 and 7. In tion of such goods.5* Employees employed in “producing, the light of these definitions, there are (b) General scope of “production”manufacturing, mining, handling, or in three interrelated elements of coverage coverage. The statutory provisions any other manner working on” goods to be considered in determining whether quoted in paragraph (a) of this section, (as defined in the act, including parts or an employee is engaged in the produc­ show that for purposes of the act, ingredients thereof) for interstate or tion of goods for commerce: (a) There wherever goods are being produced for foreign commerce are considered actu­ must be “production”; (b) such produc­ interstate or foreign commerce, the em­ ally engaged in the “production” of such tion must be of “goods”; (c) such pro­ ployees who are1 covered as “engaged in goods, within the meaning of the act. duction of goods must be “for the production” of such goods, include, Such employees have been within the • commerce” ; all within the meaning of in general, all those whose work may general coverage of the wage and hours the act.61 The three elements of “pro­ fairly be said to be a part of their em­ provisions since enactment of the act in duction” coverage are discussed in order ployer’s production of such goods,56 and 1938, and remain so under the Fair Labor in the sections following. include those whose work is closely re­ Standards Amendments of 1949.68 lated and directly essential thereto,56 (b) Activities constituting actual § 776.15 “Production”—(a) The stat­ whether employed by the same or a “production” under statutory definition. utory provisions. The activities con­ different employer. (See §§ 776.17— It will be noted that the actual produc­ stituting “production” within the mean­ 776.19.) Typically, but not exclusively, tive work described in this portion of ing of the phrase “engaged in * * * this includes that large group of em­ production of goods for commerce” are ployees engaged in mines, oil fields, thç definition of “produced” includes not defined in the a c t62 as follows: quarries, and manufacturing, process­ only ,the work involved in making the products of mining, manufacturing, or “Produced” means produced, manufac­ ing, or distributing plants where goods tured, mined, handled or in any other man­ are produced for commerce. The em­ processing operations, but also includes ner worked on in any State; and for the ployees covered as engaged in “produc­ “handling, transporting, or in any other purposes of this act an employee shall be tion” are not limited, however, to those manner working on” goods. This is so, deemed to have been engaged in the pro­ engaged in actual physical work on the regardless of whether the goods are to be duction of goods if such employee was em­ product itself or to those in the fac­ ployed in producing, manufacturing, mining, further processed or are so-called “fin­ handling transporting, or in any other man­ tories, mines, warehouses, . or other ished goods.” The Supreme Court has ner working on such goods, or in any closely places of employment where goods in­ stated that this language of the defini­ related process or occupation directly essen­ tended for commerce are- being pro­ tion brings within the scope of the term tial to the production thereof, in any State. duced. If the requisite relationship to “production,” as used in the act, “every production of such goods is present, an The act bars from interstate commerce employee is covered, regardless of step in putting the subject to commerce “any” goods in the production of which whether his work brings him into actual in a state to enter commerce,” including “any” employee was employed in viola­ contact with such goods or into the “all steps, whether manufacture or not, tion of the minimum-wage or overtime- establishments where they are pro­ which lead to readiness for putting goods pay provisions,63 and provides that in de­ duced, and even though his employer into the stream of commerce,” and termining, for purposes of this provision, may be someone other than the pro­ “every kind of incidental operation whether an employee was employed in ducer of the goods for commerce.6T As preparatory to putting goods into the the production of such goods— explained more fully in the sections fol­ stream of commerce.” 60 * * * proof that any employee was em­ lowing, the act’s “production” coverage However, where employees of a com­ ployed in any place of employment where embraces many employees who serve mon carrier, by handling or working on goods shipped or sold in commerce were pro- productive- enterprises in capacities which do not involve working directly goods, accomplish the interstate transit on goods produced but which are never­ or movement in commerce itself, such 51 These elements need not be considered handling or working on the goods is not if the employee would be covered in any theless closely related and directly es­ event because engaged “in commerce” under sential to successful operations in pro­ “production.” The employees in that the principles discussed in preceding sections ducing goods for interstate or foreign event are covered only under the phrase of this part. commerce. And as a general rule, in’ “engaged in commerce.” 61 62 Act, sec, 3 (J). This definition is also conformity with the provisions of the (c) Physical labor. It is clear from applicable in determining coverage of the act quoted in paragraph (a) Of this sec­ the principles stated in paragraphs (a) child labor provisions of the act. See Part 450 of this chapter. X _' tion, an employee will be considered to and (b), above, that employees in ship­ 83 Act, sec. 15 (a) (1 ). The only exceptions be, within the general coverage of the ping rooms, warehouses, distribution are stated in the section itself, which pro­ wage and hours provisions if he is work­ yards, grain elevators, etc., who sort, vides that “it shall be unlawful for any ing in a place of employment where screen, grade, store, pack, label, address person—(1 ) to transport, offer, for transpor­ goods sold or shipped in interstate tation, ship, deliver, or sell in commerce, or commerce or foreign commercé are be­ or otherwise handle or work on goods in to ship, deliver, or sell with knowledge that ing produced, unless the employer preparation for shipment of the goods shipment or delivery or sale thereof in com­ maintains the burden of establishing out of the State are engaged in the pro­ merce Is intended, any goods in the produc­ duction of goods for commerce within tion of which any employee was employed that the employee’s functions are so in violation of section or section , or in definitely segregated from such produc­ 6 7 tion that they should not be regarded 69 H. Mgrs. St., 1949, p. 14; Sen. St., 1949 violation of any regulation or order of the Cong. Rec. p. 15372. Administrator issued under section 14; ex­ as closely related and directly essential cept that no provision of this Act shall im­ thereto.68 80 Western Union Tel. Co. v. Lenroot, 323 pose any liability upon any common carrier U. S. 490. See, to the same effect, Walling v. Friend, 156 P. 2d 429 (C. A. 8); Walling v. for the transportation in commerce in the “ Act, sec. 15 (b). Comet Carriers, 151 P. 2d 107 (C. A. 2); Phil­ regular course pf its business of any goods 55 Borden Co. v. Borella, 325 U. S. 679; Ar­ lips v. Star Overall Dry Cleaning Laundry Co., not produced by such common carrier, and mour & Co. v. Wantock, 323 U. S. 126. See 149 P. 2d 416 (C. A. 2); certiorari denied 327 no provision of this Act shall excuse any com­ also paragraph (c) of this section. U. S. 780; Walling v. Griffin Cartage Co., 62 mon carrier from its obligation to accept any 56 Kirschbaum v. Walling, 316 U. S. 517; P. Supp. 396, affirmed in 153 F. 2d 587 (C. A. goods for transportation; and except that Roland Electrical Co. v. Walling, 326 U. S. 6). For examples, see paragraphs (c) and any such transportation, offer, shipment, de­ 657; H. Mgrs. St., 1949, p. 14; Sen. St. 1949 (d) of this section. Employees who are not livery, or sale of such goods by a purchaser Cong. Rec., p. 15372. engaged in the actual production activities who acquired them in good faith in reliance 51 Borden Co. v. Borella, 325 U. S. 679; Ro­ described in section 3 (J) of the act are not on written assurance from the producer that land Electrical Co. v. Walling, 326 U. S. 657; engaged in “production” unless their work is the goods were produced in compliance with Kirschbaum v. Walling, 316 U. S. 517; Walton “closely related” and “directly essential” to the requirements of the Act, and who ac­ V. Southern Package Carp., 320 U. S. 540. such production. See §§ 776.17-776.19". quired such goods for value without notice 58 Guess v. Montague, 140 P. 2d 500 (C. A. 81 Western Union Tel. Co. v. Lenroot, 323 of any such violation, shall not be deemed 4). Cf. Armour & Co. v. Wantock, 323 U. S. U. S. 490. For examples, see paragraph (c) unlawful; ” 126. of this section. Wednesday, May 17, 1950 .FEDERAL REGISTER 2931 the meaning of the act.62 The same has paragraph (b) of this section, handling are not actually “producing * * * been held to be true of employees doing or working on goods constitutes engage-, or in any other manner working on” such work as handling ingredients (scrap ment in “commerce” only and not en­ goods for commerce are, nevertheless, iron) of steel used in building ships which gagement in “.production” of the goods engaged in the “production” of Such will move in commerce;63 handling and when it is done by employees of a com­ goods within the meaning of the act and caring for livestock at stockyards where mon carrier and is itself the means therefore within its general coverage if the livestock are destined for interstate whereby interstate transit or movement they are employed “in any closely related shipment as such64 or as meat prod­ of the goods by the carrier is accom­ process or occupation directly essential ucts; 65 handling or transporting contain­ plished. Thus, employees of a telegraph to the production thereof, in any ers to be used in shipping product? inter­ company preparing messages for inter­ State.” 77 Prior to the Fair Labor Stand­ state; 86 transporting, within a single state transmission, television cameramen ards Amendments of 1949, this was true State, oil to a refinery67 or lumber to a photographing sports or news events for of employees engaged “in any process or mill,68 where products of the refinery or simultaneous viewing at television re­ occupation necessary to the production” mill will be sent out of the State; trans­ ceiving sets in other States, and railroad of goods for commerce. The amend­ porting parts or ingredients of other train crews or truck drivers hauling ments deleted the word “necessary” and types of goods or the finished goods goods from one State to another are substituted the words “closely related” themselves between processors, manufac­ not engaged in the “production” of goods and “directly essential” contained in the turers, and storage places located in a by virtue of such activities, but are cov­ present law. The words “directly essen­ single State, where goods so transported ered by the act only as employees tial” were adopted by the Conference will leaVe the State in the same or an “engaged in commerce.” - Committee in lieu of the word “indis­ altered form;69 and repairing or other­ (d) Nonmanual work. The “produc­ pensable” contained in the amendments wise working on ships,™ vehicles,71 ma­ tion” described by the phrase “producing as first passed by the House of Repre­ chinery,72 clothing,78 or other goods * * * or in any other manner work­ sentatives. Under the amended lan­ which may be expected to move in inter­ ing on” goods includes not only the guage, an employee is covered if the state commerce. manual, physical labor involved in proc­ process or occupation in which he is em­ These examples are, of course, illus­ essing and working on the tangible- ployed is both “closely related” and trative rather than exhaustive. Some products of a producing enterprise, but “directly essential” to the production of of them relate to situations in which the equally the administration, planning, goods for interstate or foreign com­ handling or working on goods for inter­ management, and control of the various merce. state or foreign commerce may consti­ physical processes together with the ac­ The legislative history shows that the tute not only “production for commerce” companying accounting and clerical ac­ new language in the final clause of sec­ but also engaging “in commerce” .because tivities.™ An enterprise producing goods tion 3 (j) of the act is intended to nar­ the activities are so closely related to for commerce does not accomplish the row, and to provide a more precise guide commerce as to be for all practical pur­ actual production of such goods solely to, the scope of its coverage with respect poses a part of it.74 However, as noted in with employees performing physical to employees (engaged neither “in cqm- labor on them. Other employees may merce” nor in actually “producing or in « McComb v. Wyandotte Furn. Co., 169 P. be equally important in actually produc­ any other manner working on” goods for 2d 766 (C. A. 8); Walling v. Mutual Whole­ ing the goods, such as employees who commerce) whose coverage under the sale Food & Supply Co., 141 F. 2d 331 (C. A. conceive and direct policies of the enter­ act formerly depended on whether their 8); West Kentucky Coal Co. v. Walling, 153 prise; employees who dictate, control, work was “necessary” to the production F. 2d 582 (C. A. 6); Walling v. Home Loose and coordinate the steps involved in the Leaf Tobacco Warehouse Co., 51 F. Supp. 914 of goods for commerce. Some employees (E. D. Ky.); Walling v. Yeakley, 3 W. H. physical production of goods; employees whose work might meet the “necessary” Cases 27, modified and affirmed in 140 F. 2d who maintain detailed and meticulous test are now outside the coverage of the 830 (C. A. 10); Shain v. Armour & Co., 50 F. supervision of productive activities; and act because their work is not “closely Supp. 907 (W. D. Ky.); Walling v. McCracken employees who direct the purchase of related” and “directly essential” to such County Peach Growers Assn., 50 F. Supp. 900 raw materials and supplies, the methods production; others, however, who would (W. D. Ky). See also Clyde v. Broderick, of production, the amounts to be pro­ have been excluded if the indispensa­ 144 F. 2d 348 (C. A. 10) . ' % duced, the quantity and character of the bility of their work to production had 88 Bracey v. Luray, 138 F. 2d 8 (C. A. 4). labor, the safety measures, the budget­ 84 Walling v. Friend, 156 F. 2d 429 (C. A. 8). been made the test, remain within the 85 Fleming v. Swift & Co., 41 F. Supp. 825, ing and financing, the labor policies, and coverage under the new language.78 affirmed in 131 F. 2d 249 (C. A. 7); McComb the maintenance of the plants and The scope of coverage under the v. Benz Co., 9 W. H. Cases 277 (S. D. ind.). equipment. (For regulations governing “closely related” and “directly essential” 88 Walling v. VUlaume Box & Lbr. Co., 58 F. exemption from the wage and hours pro­ language is discussed in the paragraphs Supp. 150 (D. Minn.). visions of employees employed in a bona following. In the light of explanations 67 Mid-Continent Pipe Line Co. v. Hargrave, fide executive, administrative, or profes­ provided by. managers of the legislation 129 F. 2d 655 (C. A. 10); Boling v. B. J. Allison sional capacity, see Part 541 of this chap­ Co., Inc., 4 W. H. Cases 500 (N. D. Okla.). in Congress78 including expressions of 88 Hanson v. Lagerstrom, 133 F. 2d 120 ter.) Employees who perform these and their intention to leave undisturbed the (C. A. 8). similar activities are an integral part of areas of coverage established under court 89 Walling v. Griffin Cartage Co., 62 F. Supp. the coordinated productive pattern of a decisions containing similar language,7* 696, affirmed in 153 F. 2d 587 (C. A. 6); modern industrial organization. The this new-language should provide a more Walling v. Comet Carriers, 151 F. 2d 107 Supreme Court of the United States has (C. A. 2). held that from a productive standpoint 77 If coverage of an employee is determined 70 Slover v. Wathen, 140 F. 2d 258 (C. A. 4). and for purposes of the act the employ­ to exist on either basis, it is, of course, not 71 Hertz Drivurself Stations v. United States, ees who perform such activities “are necessary to determine whether the em­ 150 F. 2d 923 (C. A. 8); Walling v. Armbrus- actually engaged in the production of ployee would also be covered on the other ter, 51 F. Supp. 166 (W. D. Ark.); McComb v. goods for commerce just as much as are ground. See Warren-Bradshaw Drilling Co. Weller, 9 W. H. Cases 53 (W. D. Tenn.), 17 those who process and work on The tangi­ v. Hall, 124 F. 2d 42 (C. A. 5), affirmed in Labor Cases (CCH) par. 65, 332; Walling v. 317 U. S. 88. Strum & Sons, 6 W. H. Cases 131 -(D. N. J.), ble products” in the manufacturing 78 H. Mgrs. St., 1949, p. 14; Sen. St., 1949 11 Labor Cases (CCH) par. 63, 249. plants or other producing facilities of the Cong. Rec. p. 15372; Statement of the Chair­ 72 Engebretson v. Albrecht, 150 F. 2d 602 enterprise.™ man of the Committee on Education and (C. A. 7); Guess v. Montague, 140 F. 2d 500 § 776.17 Employment in a “closely re­ Labor explaining the conference agreement (C. A. 4). to the House of Representatives? 1949 Cong. 78 Walling v. Beliicoff, 147 F. 2d 1008 (C. A. lated process or occupation directly es­ Rec., p. 15135; colloquy between Representa­ 2) ; Campbell v. Zavelo, 243 Ala. 361, 10 So. sential to” production of goods—(a) tives McConnell and Javlts, 1949 Cong. Rec., 2d 29; Phillips v. Star Overall Dry Cleaning jCoverage in general. Employees who p. 15129; cf. statements of Representative Laundry Co., 149 F. 2d 416 (C. A. 2), certiorari 78 Borden Co. v. Borella, 325 U. S. 679; HertzBarden (1949 Cong. Rec. p. 15131), Repre­ denied 327 U. S. 780. sentative Brehm (1949 Cong. Rec., p. 15132), 74 Slover v. Wathen, 140 F. 2cl 258 (C. A. Drivurself Stations v. United States, 150 F.2d 4); Hertz Drivurself Stations v. United 923 (C. A. 8); Callus v. 10 E. 40th St. Bldg., and Senator Taft (1950 Cong. Rec., p. States; 150 F. 2d 923 (C. A. 8); Engebretson 146 F. 2d 438 (C. A. 2), reversed on other A—1162).~ v. Albrecht, 150 F. 2d 602 (C. A. 7); Walling v. grounds In 325 U. S. 578. 79 See Kirschbaum Co. v. Walling, 316 U. S. Sturm & Sons, 6 W. H. Cases 131 (D. N. J.). 78 Borden Co. v. Borella; 325 U. S. 679, 683. 517. No. 95----- 2 2932 RULES AND REGULATIONS

definite guide to the intended coverage employer’s business. It seems clear, on The application of these principles is under the final clause of section 3 (j) < the other hand, that the criteria for de- further explained and illustrated in than did the earlier “necessary”' test. * termining whether a process or occupa­ §§ 776.18 and 776.19. However, while the coverage or noncov­ tion is “closely related” to production (3) In determining whether an activ­ erage of many employees may be deter­ cannot be limited to thdse which show ity is “directly essential” to production, mined with reasonable certainty, no its closeness in terms of need or func­ a practical judgment is required as to precigp line for inclusion or exclusion tion.81 It may also be important to ascer­ whether, in terms of the function and may be drawn; there are bound to be tain, for instance, whether the activity of need of such activity in successful pro­ borderline problems of coverage under the employee bears a relationship to pro­ duction operations, it is “essential” and the new language which cannot be finally duction which is close in terms either of “directly” so to such operations. These determined except by authoritative de­ the place or the time of its performance, are questions of degree;83 even “directly” cisions of the courts. or in terms of the purposes with which essential activities (for example, ma­ tb) Meaning of “closely related” and the activity is performed by the particu­ chinery repair, custodial, and clerical “directly essential The terms “closely lar employer through the employee, or in work in a producing plant) (for other related” and “directly essential” are not terms of relative directness or indirect­ examples, see §§ 776.18 (a) and 776.19) susceptible of precise definition; as used ness of the activity’s effect in relation to will vary in the degree of their essen­ in the act they together describe a situa­ such production, or in terms of employ­ tiality and in the directness of the aid tion in which, under all the facts and ment within or outside the productive which they provide to production. An circumstances, the process or occupation enterprise. (Examples of the application activity may be “directly essential” with­ in which the employee is employed bears of these principles may be found in out being indispensable in the sense that a relationship to the production of goods §§ 776.18 and 776.19.) it cannot be done without; yet some for interstate or foreign commerced) (2) The determination of whether anactivities which, in a long chain of which may reasonable be considered activity is closely or only remotely re­ causation, might be indispensable to pro­ close, as distinguished from remote or lated to production may thus involve duction, such as the manufacture of tenuous, and (2) in which the work of consideration, of such factors, among brick for a new factory, or even the con­ the employee directly aids production in others, as the contribution which the struction of the new factory itself, are a practical sense by providing something activity makes to the production; who not “directly” essential.84 An activity essential to thè carrying on in an effec­ performs the activity; where, when and which provides something essential to tive, efficient, and satisfactory manner of how it is performed in relation to the meet the immediate needs of production, an employer’s operations in producing production to which it pertains ; whether as, for example, the manufacture of ar­ such goods.80 its performance is with a view to aiding ticles like machinery or tools or dies for Not all activities that are “closely re­ production or for some different purpose; use in the production of goods for com­ lated” to production will be “directly es­ how immediate or delayed its effect on merce (see § 776.19 (b) ) will, however, sential” to it, nor will all activities production is; the number and nature of be no less “directly” essential because “directly essential” to production meet any intervening operations or processes intervening activities must be performed thè “closely related” test. For example, between-the activity and the production in the distribution, transportation, and employees employed by an employer in in question; and, in air appropriate case, installation of such products before they an enterprise, or portion thereof, which the characteristics and purposes of the can be used in production.80 • is devoted to the production of goods for employer’s business.82 Moreover, in some The application of these principles is interstate or foreign commerce will, as a cases where particular work “directly further explained and illustrated in general rule, be considered engaged in essential” to production is performed by §§ 776.18 and 776.19. work “closely related” to such- produc­ an employer other than the producer, tion, but sòme such employees may be the degree of such essentiality may be § 776.18 Employees of producers for outside the coverage of the act because a significant factor in determining commerce—(a) Covered employments their work is not “directly essential” to whether the work is also “closely related” illustrated. Some illustrative examples production of the goods. (For a discus­ to such production. -(See §‘776.19.) of the employees employed by a pro­ sion of this point and specific illustra­ No one of the factors listed above is ducer of goods for interstate or foreign tions, see § 776.18 (b).) Similarly, there necessarily controlling, and other fac­ commerce who are or are not engaged in are some situations in which an employee tors may assume importance. Some may the “production” of such goods within performing work “directly essential” to have more significance than others in production by an employer other than particular cases, depending upon the the meaning of the act have already been his own may not be covered because the facts. They are merely useful guides for given. Among the other employees of kind of work and the circumstances un­ determining whether the total situation such a producer, doing work in connec­ der which it is performed show the em­ in respect to a particular process or oc­ tion with his production of goods for ployee’s activities to be so much a part of cupation demonstrates the requisite commerce, who are covered because their an essentially local business* operated by “close and immediate tie” 83 to the pro­ work, if not actually a part of such his employer that it would be unrealistic duction of goods for interstate or foreign production, is “closely related” and “dir­ to consider them “closely related” to the commerce. It is the sum of the factors ectly essential” to it,86 are such em­ productive activities of another. (For a relevant to each case that determines ployees as bookkeepers, stenographers, more detailed discussion and specific whether the particular activity is clerks, accountants and auditors, em­ illustrations, see § 776.19. “closely related” to such production. • ployees doing payroll, timekeeping and (c) Determining whether activities are time study work, draftsmen, inspectors, “closely related” and “directly essential “ Of course, if the need or function of the (1) The close relationship of an activity activity in production is such that the tie testers and research workers, industrial to production, which may be tested by a between them is both close and immediate safety men, employees in the personnel,, wide variety of relevant factors, is to be (cf. Kirschbaum Co. v. Walling, 316 U. S. 517), labor relations, advertising, promotion, distinguished from its direct essentially as for example, where an. employee is em­ and pubic relations activities of the pro­ ployed to repair electric motors which are to production, which is dependent solely used in factories in the production of goods ducing enterprise, work instructors, and on considerations of need or function of for commerce, this fact may be sufficient to other office and white collar workers; the activity in the productive enterprise. show both the direct essentiality and the employees maintaining, servicing, re- The words “directly essential” refer only close relationship of the employee’s work to to the relationship of the employee’s production. See Roland Electrical Co. v. 84 Cf. 10 E. 40th St. Bldg. v. Callus, 325 U. S. work to production. Work “directly es­ Walling, 326 U. S. 657. See also § 776.19 and- 578; Sen. St. 95 Cong. Rec., October 19, 1949, sential” to production remains so no H. Mgrs. St., 1949, pp. 14, 15. at 15372. For discussion of coverage of em­ matter whose employee does it and re­ . 82 Cf. Kirschbaum Go. v. Walling, 316 U. S. ployees engaged in construction, see subpart gardless of the nature or purpose of the 517; 10 E. 40th St. Bldg. v. Callus, 325 U. S: B of this part. 578; Schulte Co. v. Gangi, 328 U. S. 108; Bor­ 80 See Walling v. Hamner, 64 F. Supp. 690 den Co. v.. Barella, 325 U. S. 679; Armour & (W. D. Va.) 80 See H. Mgrs. St., 194Ò, pp. 14, 15; Sen. St., Co. v. Wantock, 323 U. S. 126. 86 See H. Mgrs. St., 1942, p. 14; Sen. St., 1949 1949 Cong. Ree., p. 15372; of Kirscñbaum Co. 83 See Kirschbaum Co. v. Walling, 316 U. S. Cong. Rec., p. —. See also Borden Co. v. v. Walling, 316 U. S. 517. 517. Borella, 325 U. S. 679. 2933 Wednesday, May 17, 1950 FEDERAL REGISTER dispensable to the production of goods act must be considered in the light of pairing or improving the buildings,” this fact. For example, an employee of machinery, equipment, vehicles, or other for commerce.90 Some specific examples of the appli­ such an independent employer who han­ facilities used in the production of goods dles or in any manner works on the goods for commerce,88 and such custodial and cation of these principles may be helpful. Such services as watching, which become parts or ingredients of protective employees as watchmen, such other producer’s goods is engaged guards, firemen, patrolmen, caretakers, guarding, maintaining or repairing the buildings, facilities, and equipment used in actual production of goods (parts or stockroom workers, and warehousemen; ingredients) for commerce, and the and transportation workers bringing in the production of goods for commerce are “directly essential” as well as “closely question of his coverage is determined supplies,^ materials, or equipment to the by this fact without reference to whether producer’s premises, removing slag or related” to such production as it is car­ ried on in modern industry.91 But such his work is “closely related” and “directly other waste materials therefrom,, or essential” to the production by the other transporting materials or other goods, or services performed with respect to pri­ vate dwellings tenanted by employees of employer of the goods in which such performing such other transportation parts or ingredients are incorporated. activities, as the needs of production may the producer, as in a mill village, would not be “directly essential” to production So also, if the employee is not engaged in require. These examples are intended the actual production of such parts or as illustrative, rather than exhaustive, merely because the dwellings were owned by the producer and leased to his em­ ingredients, his coverage will depend on of the group of employees of a producer whether, as an employee of a producer who are “engaged in the production” of ployees.92 Similarly, employees of the producer or of an independent employer of goods for commerce, his work is goods for commerce, within the meaning “closely related” and “directly essential” of the act, and who are therefore entitled who are engaged only in maintaining company facilities for entertaining the to the production of the parts or in­ to its wage and hours benefits unless spe­ gredients, rather than on the principles cifically exempted by some provision of employer’s customers, or in providing food, refreshments, or recreational fa­ applicable in determining the coverage the act. cilities, including restaurants, cafeterias of employees of an independent employer (b) Employments not directly essen­ who does not himself produce the goods tial to production distinguished. Em­ and snack bars, for the producer’s em­ ployees in a factory, or in operating a for commerce.98 ployees of a producer of goods for com­ children’s nursery for the convenience (3) Where the work of an employee merce are not covered as engaged in such of employees who leave young children would be “closely related” and “directly • production if they are employed solely in there during working hours, would not essential” to the production of goods for connection with essentially local activ­ be doing work “directly essential” to the commerce if he were employed by a pro­ ities which are undertaken by the em­ production of goods for commerce.98 ducer of the goods, the mere fact that the ployer independently of his productive employee is employed by an independent operations or at most as a dispensable, §776.19 Employees'of independent employer will not justify a different an­ collateral incident to them and not with employers meeting needs o f producers swer.95 This does not necessarily mean a view to any direct function which the for commerce—(a) General statement; that such work in every case will remain activities serve in production. It is clear, (1) If an employee of a producer of goods “closely related” to production when for example, that an employee would not for commerce would not, while perform­ performed by employees of an independ­ be covered merely because he works as a ing particular work, be “engaged in the ent employer. It will, of course, be as domestic servant in the home of an em­ production” of such goods for purposes “directly essential” to production in the ployer whose factory produces goods for of the Act under the principles hereto- one case as in the other. (See § 776.17 commerce, even though he is carried on force stated, an employee of an inde­ (c).) But in determining whether an the factory payroll. To illustrate fur­ pendent employer performing the same employee’s work is “closely” or. only re­ ther, a producer may engage in essen­ work on behalf of the producer would motely related to the production of goods tially local activities as a landlord, res­ not be so engaged. Conversely, as shown for commerce by an employer other than taurateur, or merchant in order to utilize in the paragraphs following, the fact his own, the nature and purpose of the the opportunity for separate and addi­ that employees doing particular work on business in which he is employed and in tional profit from such ventures or to behalf of such a producer are employed the course of which he performs the work provide a convenient means of meeting by an independent employer rather than may sometimes become important. personal needs of his employees. Em­ by the producer will not take them out­ Such factors may prove decisive in ployees exclusively employed in such ac­ side the coverage of the Act if their work particular situations where the em­ tivities of the producer are not engaged otherwise qualifies as the “production” ployee’s work, although “directly essen­ in work “closely related” and “directly of “goods” for “commerce.” tial” to the production of goods by some­ \ essential” to his production of goods for (2) Of course, in view of the act’s defi­ one other than his employer, is not far commerce merely because they provide nition of “goods” as including “any part from the borderline between those ac­ residential, eating, or other living facil­ or ingredient” of goods (see § 776.20 (a), tivities which are “directly essential” ities for his employe'es who are engaged (c)), employees of an independent em­ and those which .are not. In such a ployer providing other employers with situation, it may appear that his per­ in the production of such goods.89 Such materials or articles which become parts employees are to be distinguished from formance of the work is so much a part or ingredients of goods produced by such of an essentially local business carried on employees like cooks, cookees, and bull other employers for commerce are actu­ cooks in isolated lumber camps or min­ by his employer without any intent or ally employed by a producer of goods for purpose of aiding production of goods for ing camps, where the operation of a cook­ commerce and their coverage under the house may in fact be “closely related” commerce by others that the work, as thus performed, may not reasonably be and “directly essential” or, indeed, in- «« see Broffun v. National Surety Co., 246 U. S. 257; Consolidated Timber Co. v. Womack, considered “closely related” to such pro­ 87 No distinction of economic or statutory 132 P. 2d 101 (C. A. 9) ; Hanson v. Lagerstrom, duction.96 In other situations, however, significance can be drawn between sucb 133 F. 2d 120 (C. A. 8); cf. H. Mgrs. St., 1949, where the degree to which the work is work in a building where the production pp. 14, 15 and Sen.''St., 1949 Cong. Rec., p. directly essential to production by the of goods is carried on physically and in one 15372. producer is greater, the fact that the where such production is administered, man­ »1 H. Mgrs. St., 1949, p. 14; Sen. St., 1949 aged, and controlled. Borden Co. v. Borella, Cong. Rec., p. 15372; Kirschbaum v. Walling, 316 U. S. 517; Borden Co. v. Borella, 325 U. S. 94 Bracey v. Luray, 138 P. 2d 8 (O. A-. 4); 325 U. S. 679. Walling v. Peoples Packing Co., 132 P. 2d 236 88 Such mechanics and laborers as machin­ 679; Walton v. Southern Package Corp., 320 ists, carpenters, electricians, plumbers, Ü. S. 540; Armour & Co. v. Wantock, 325 U. S. (C. A. 10), certiorari denied 318 U. S. 774; steamfitters, plasters, glaziers, painters, metal 126. Mid-Continent Pipe Line Co. v. Hargrave, 129 workers, bricklayers, hod carriers, roofers, “ H. Mgrs. St., 1949, pp. 14, 15; Morris v. P. 2d 655 (C. A. 10); Walling v. W. D. Hoden stationary engineers, their apprentices and Beaumont Mfg. Co., 84 P. Supp. 909 (W. D. Co., 153 P. 2d 196

independent employer is engaged in a clips, or filing cabinets, or automobiles It should be noted that employees of business having local aspects may not and trucks, or paint, or hardware, not independent employers providing such be sufficient to negative a close relation­ specially designed for use in the produc­ essential goods and services to producers ship between his employees’ work and tion of other goods. will not be removed from coverage be­ such production'97 And it seems clear Where such a merchant’s business is cause an unsegregated portion of their that where the independent employer essentially local in nature, selling its work is performed for customers other operates a business which,'unlike that goods to the usual miscellany of local than producers of goods for commerce. 6f the ordinary local merchant, is di­ customers without any particular intent For example, employees of public utili­ rected to providing producers with ma­ or purpose of aiding production of other ties, furnishing gas, electricity or water terials or services directly essential to goods for commerce by such customers, to firms within the State engaged in the production of their goods for com­ the local merchant's employees are not manufacturing, mining, or otherwise merce, the activities of such a business doing work both “closely related” and producing goods for commerce, are sub­ may be found to be “closely related” to “directly essential” to production, so as ject to the act notwithstanding such gas, such production.98 In such event, all the to bring them within the reach of the electricity or water is also furnished to employees of the independent employer act, merely “because some of the cus­ consumers who do not produce goods for whose work is part of his integrated ef­ tomers * * * are producing goods . commerce.4 fort to meet such needs of producers are for interstate (or foreign) commerce.” 1 (2) On similar principles, employees of covered as engaged in work closely re­ Therefore, if they do not otherwise en­ independent employers providing to lated and directly essential to production gage “in commerce” (see §§ 776.8-776.13 of goods for commerce.99 manufacturers, mining companies, or and 776.31, 776.33) or in the “produc­ other producers such goods used in their (b) Extent of coverage under “closely tion” of goods for commerce, they are production of goods for commerce as related” and “directly essential” clause not covered by the act. tools and dies, patterns, designs, or blue­ illustrated. In the paragraphs follow­ In such a situation, moreover, even prints are engaged in work “closely re­ ing, the principles discussed above are where the work done by the employees lated” as well as “directly essential” to illustrated by reference to a number of is “directly essential” to such production the production of the goods for com­ typical situations in which goods or serv­ by their employer’s customers, it may merce; 8 the same is true of employees of ices are provided to producers of goods not meet the “closely related” test: But an independent employer engaged in for commerce by the employees of inde­ the more directly essential to the pro­ such work as producing and supplying pendent employers. These examples are duction of goods for commerce such to a steel mill, sand meeting the mill’s intended not only to answer questions work is, the more likely it is that a close specifications for cast shed, core, and as to coverage in the particular situa­ and immediate tie between it and such molding sands used in the production by tions discussed, but to provide added production exists which will be sufficient, the mill of steel for commerce." Another guideposts for determining whether em­ notwithstanding the local aspects of the illustration of such covered work, ac­ ployees in other situations are doing employer’s business, to bring the em­ cording to managers of the bill in Con­ work closely related and directly essen­ ployees within the coverage of the act gress, is that of employees of industrial tial to such production. on the ground that their work is “closely laundry and linen supply companies (1) Many local merchants sell to local related” as well as “directly essential” serving the needs of customers engaged customers within the same State goods to production by the employer’s in manufacturing or mining goods for which do not become a part or ingredient customers. commerce.1 (as to parts or ingredients, see § 776.20 Such a close and immediate tie with On the other hand*, the legislative his­ (c)) of goods produced by any of such production exists, for example, where the tory makes it clear that employees of a customers. Such a merchant may sell independent employer, through his em­ “local architectural firm” are not to his customers, including producers for ployees, supplies producers of goods for brought within 'the coverage of the act commerce, such articles, for example, as commerce with things as directly essen­ by reason of the fact that their activities paper towels, or record books, or paper tial to production as electric motors or “include the preparation of plans for the machinery or machinery parts for use in alteration of buildings within the State 97 H. Mgrs. St., 1949, p. 14; Kirschbaum Co.producing the goods of a manufacturer, which are used to produce goods for in­ v. Walling, 316 U. S. 517; Warren-Bradshaw for mining operations* or for production terstate commerce.’* Such activities are Drilling Co. v. Hall, 317 U. S. 88. of oil, or for other production operations, not “directly essential” enough to the 88 See H. Mgrs. St., p. 14, and 10 E. 40th St. Bldg. Co. v. Callus, 325 U. S. 578. or the power, water, or fuel required in prpduction of goods in the buildings to 88 Kirschbaum Co. v. Walling, 316 U. S. 517 such production operations, to mention • establish the required close relationship (stationary engineers and firemen, watch­ a few typical examples.8 The fact that between their performance and such men, elevator operators, electricians, car­ these needs of producers are supplied production when they are performed by penters, carpenters’ helper, engaged in through the agency of businesses having employees of such a “local” firm.8 Of maintaining and servicing loft building for certain local aspects cannot alter the ob­ course, this result is even more apparent producers); Roland Electrical Co. v. Walling, vious fact that the employees of such where the activities of the employees of 326 U. S. 657 (foremen, trouble shooters, such a “local” business may not be mechanics, helpers, and office employees of businesses who supply these needs are company selling and servicing electric mo­ doing work both “closely related” and viewed as “directly essential” to produc­ tors, generators, and equipment for com­ “directly essential” to production by the tion. It is clear, for example, that Con­ mercial and industrial firms); Meeker Coop. employer’s customers. As the United gress did not believe “employees of an Light & Power Assn. v. Phillips, 158 P. 2d 698 States Supreme Court has stated: “Such independently owned and operated res­ (C. A. 8) (outside employees and office em­ taurant” should be brought under the ployees of light and power company serving sales and services must be immediately coverage of the Act because the restau­ producers); Walling v. New Orleans Private available to * * * [the] customers rant is “located in a factory.” To estab­ Patrol Service, 57 F. Supp. 143 (E. D. La.) or their production will stop.” 3 lish coverage on “production” grounds, (guards, watchmen, and office employees of an employee must be “shown to have a company providing patrol service for pro­ 1H. Mgrs. St., 1949, pp. 14, 15. ducers); Walling v. Thompson, 65 P. Supp. 8 See H. Mgrs. St., 1949, p. 14; Sen. St., 195 686 (S. D. Cal.) (installation and, service 4 Meeker Coop. Light & Power Assn. v. Phil- Cong. Rec., October 19, 1949, at 15372; State­ lips, 158 F. 2d 698 (C. A. 8); H. Mgrs. St., 1949, men, shopmen, bookkeeper, salesman, dis­ ment of the Chairman of the Committee on patcher of company supplying burglar alarm p. 14. For another Illustration see H. Mgrs. Education and Labor explaining the confer­ St., 1949, p. 26, with reference to industrial service to producers). ence agreement to the House of Representa­ In H. Mgrs. St., 1949, p. 14, it is said, “Em­ laundries. tives, 1949 Cong. Rec., p. 15135; Roland 'H. Mgrs. St., 1949, p. 14; Sen. St., 1949 ployees engaged in such maintenance, cus­ Electrical Co. v. Walling, 326 U. S. 657; Rey­ Cong. Rec., p. 15372. todial, and clerical work will remain subject nolds v. Salt River Valley Water Users Assn., to the act, notwithstanding they are em­ 8 Walling v. Amidon, 153 F. 2d 159 (C. A. 143 P. 2d 863 (C. A. 9); Meeker Coop. Light & 10); Sen. St., 95 Cong. Rec., October 19, 1949, ployed by an independent employer perform­ Power Assn. v. Phillips, 158 F. 2d 698 (C. A. at 15372. ing such work on behalf of the manufacturer, 8); Walling v. Hammer, 64 F. Supp. 690 (W. D. mining company, or other producer for com­ 7 H. Mgrs. St., 1949, p. 26; Sen. St., 95 Cong. Va.); Holland v. Amoskeag Machine Co., 44 F. Rec., October 19, 1949, at 15372. See also merce. All such employees perform activities Supp. 884 (D. N. H.); Princeton Mining Co. v. that are closely related and directly essen­ Koerner v. Associated Linen Laundry Sup­ Veach, 63 N. E. 2d 306 (Ind. App.). pliers, 270 App. Div. 986, 62 N. Y. S. 2d 774. tial to the production of goods for com­ Roland Electrical Co. v. Walling, 326 U. S. merce.” 8 * H. Mgrs. St., 1949, p. 15. See also McComb 657, 664. v. Turpin, 81 F. Supp. 86, 1948 (D. Md.) 2935 Wednesday, May 17, 1950 FEDERAL REGISTER lative history that Congress did not he is engaged in the “production” (as ex­ closer and a more direct relationship to plained in §§ 776.15 through 776.19) “for the producing * * • activity” than regard as “closely related” to the produc­ tion of farm products for commerce the commerce” (as explained in § 776.21) of this.® activities of employees in a local fer­ anything defined as “goods” in section 3 (3) Some further examples may help (i) of the act. This definition is; to clarify the line to be drawn in such tilizer plant producing fertilizer for use cases. The work of employees construct­ by farmers within the same State to im­ “Goods” means goods (including ships and ing a dike to prevent the flooding of an prove the productivity of the land used marine equipment), wares, products, com­ in growing such products.14 Since fer­ modities, merchandise, or articles or subjects oil field producing oil for commerce of commerce of any character, or any part or would clearly be work not only “directly tilizer is ordinarily thought to be assimi­ ingredient thereof, but does not include essential” but also “closely- related” to lated by the soil rather than by the crop goods after their delivery into the actual the production of the oil. However, em­ and, in the ordinary case, may be con­ physical possession of the ultimate consumer ployees of a materialman quarrying, sidered less directly essential to produc­ thereof other than a producer, manufacturer, processing, and transporting stone to the tion of farm products than water, or processor thereof. construction site for use in the dike livestock feed, or seed, without which (b) “Articles or subjects of commerce would be doing work too far removed such production would not be possible, it bf any character.” It will be observed from production of the oil to be consid­ seems probable that the withdrawal that “goods” as defined in the act are ered “closely related” thereto.10 Simi­ from coverage of such employees (who not limited to commercial goods or arti­ larly,, the sale of sawmill equipment to a were held “necessary” to production of cles of trade, or, indeed, to tangible producer of mine props which are in turn goods or commerce under the act prior property, but include “articles or sub­ sold to mines within the same State pro­ to the 1949 amendment“ rests wholly jects of 'commerce of any character” ducing coal for commerce is too remote • or in part on the principles stated in [emphasis supplied].18 It is well settled from production of the coal to be con­ paragraphs (a) (3)^and (b) (1) of this that things such as “ideas, * * * or­ sidered “closely related” thereto, but pro­ section. ders, and intelligence” are “subjects of duction of the mine props, like the man­ (5) Managers of the legislation in commerce.” Telegraphic messages have, ufacture of tools, dies, or machinery for Congress stated that all maintenance, accordingly, been held to be “goods” use in producing goods for commerce, has custodial, and clerical employees of within the meaning of the act.19 Other such a close and immediate tie with pro­ manufacturers, mining companies, and articles or subjects of commerce which duction of the goods for commerce that other producers of goods for commerce fall within the definition of “goods” in­ it meets the “closely related” (as well as perform activities that are both “closely related”, and “directly essential” to the clude written materials such as news­ the “directly essential”) test.“ papers, magazines, brochures, pamphlets, (4) A further illustration of the dis­ production of goods for commerce, and tinction between work that is, and work that the same is true of employees of an bulletins, and announcements;20 written that is not, “closely related” to the pro­ independent employer performing such reports, fiscal and other'statements and duction of goods for commerce may be maintenance, custodial, and clerical accounts, correspondence, 1 a w y e r s’ found in situations involving activities work “on behalf of” such producers. briefs and other documents;21 advertis­ which are directly essential to the pro­ Typical of the employees in this cov­ ing, motion picture, newspaper and ra­ duction by farmers of farm products ered group are those repairing or main­ dio copy, artwork, and manuscripts for which are shipped to other States. Em­ taining the machinery or buildings .used publication;22 sample books;28 letter­ ployees of an employer furnishing to such by the producer in his production of heads, envelopes, shipping tags, labels, farmers, within the same State, water goods for commerce and employees of a check books, blank books, book covers, for the irrigation of their crops or power watchman or guard or patrol or burglar advertising circulars and candy wrap- for use in their agricultural production alarm service protecting the producer’s premises.“ On the other hand, the for commerce are engaged in work 18 As pointed out in Lenroot v. Western “closely related” as well as “directly es­ House managers of the bill made it clear Union Tel. Co., 141 P. 2d 400 (C. A. 2), the sential” to the production of goods for that employees engaged in cleaning win­ legislative history shows that the definition commerce.“ This appears equally true dows or cutting grass at the plant of a was originally narrower, and that subjects of of producing or supplying feed for poul­ producer of goods for commerce were commerce were added by a Senate amend­ try and livestock or seed for crops, to be not intended to be included as employees ment., used by farmers within the State in the doing work “closely related” to produc­ 19 Western Union Tel. Co. v. Lenroot, 323 tion on “on behalf of” the producer U. S. 490. production bf goods that are shipped out 20 Mabee v. White Plains Pub. Co., 327 U. S. of the State.“ Like water, such com­ where they were employed by a “local 178; Yunker v. Abbye Employment Agency, modities enter directly into the very window-cleaning company” or a “local 32 n . Y. S. 2d 715; Berry v. 34 Irving-Place product that moves in commerce and are independent nursery concern,” merely Corp., 52 F. Supp. 875 (S. D. N. Y.); Ullo v. indispensable to its production. On the because the customers of the employer Smith, 62 P. Supp. 757, affirmed in 177 P. 2d happen to include producers of goods for 101 (C. A. 2); see also opinion of the four other hand, it is apparent from the legis- dissenting justices in 10 E. 40th St. Bldg. v. commerce.17 A similar view was ex­ Callus, 325 U. S. at p. 586. »H. Mgrs. St., 1049, p. 14. Cf. Bayer v. pressed with respect to employees of a Waste paper collected for shipment in Courtemanche, 76 P. Supp. 193 (D. Conn.). “local exterminator service firm” work­ commerce is goods. See Fleming y. Schiff, See also § 776.18 (b). ing wholly within the State exterminat­ 1 W. H. Cases 893 (D. Colo.), 15 Labor Cases io see E. C. Schroeder Co. v. Clifton, 153 ing pests in private homes, in a variety (CCH) par. 60,864. P. 2d 385 (C. A. 10) (opinion of Judge Phil­ 21 Phillips v. Meeker Coop. Light & Power lips) and H. Mgrs. St., 1949, p. 15. of local establishments, “and also in Asso., 63 F. Supp. 733, affirmed in 158 F. 2d «See Walling v. Hamner, 64 F. Supp. 690 buildings within the State used to pro­ 698 (C. A. 8); Lofther v. First Nat. Bank of (W. D. Va.), and statement of the Chairman duce goods for interstate commerce.” 17 Chicago, 48 P. Supp. 692 (N. D.. 111.). See also of the Committee on Education and Labor Rausch v. Wolf, 72 P. Supp. 658 (N. D. 111.). explaining the conference agreement to the § 776.20 "Goods”—(a) The statutory There are other cases (e. g., Kelly v. Ford, House of Representatives, 1949 Cong. Rec., provision. An employee is covered by the Bacon & Davis, 162 P. 2d 555 (C. A. 3), and p. 15135. „ - .. wage and hours provisions of the act if Bozant v. Bank of New York, 156 P. 2d 787 12 See Farmers Reservoir Co. v. McComb, (C. A. 2)) which suggest that such things 337 U. S. 755; Reynolds v. Salt River Valley * H. Mgrs. St., 1949, p. 15. are “goods” only when they are articles of Water Users Assn., 143 P. 2d 863 (C. A. 9); trade. Although the Supreme Court has not Meeker Coop. Light & Power Assn. v. Phillips, « McComb v. Super-A Fertilizer Works, 165 P. 2d 824 (O. A. 1) . settled the question, such a view appears 158 P. 2d 698 (C. A. 8). i« See H. Mgrs. St., 1949, p. 14; Sen. St. contrary to the express statutory definitions Reference should be made to section 13 1949 Cong. Rec. p. 15372; Kirschbaum Co. v. of “goods” and “commerce”. (a) (6) of the act providing an exemption Walling, 316 U. S. 517; Noland Electrical Co. 22 Robert v. Henry Phipps Estate, 156 F. 2d from the wage and hours provisions for em­ v. Walling, 326 U. S. 657; Walling v. Sondock, 958 (C. A. 2); Baldwin v. Emigrant Industrial ployees employed in agriculture and for cer­ 132 P. 2d 77 (C. A. 5); Holland v. Amoskeag Sav. Bank, 150 F. 2d 524 (C. A. 2), certiorari tain employees of nonprofit and share-crop Machine Co., 44 F. Supp. 884 (D. N. H.). denied 326 U. S. 767; Bittner v. Chicago Daily irrigation companies. For a discussion of the coverage of build­ News Ptg. Co., 4 W. H. Cases 837 (N. D. 111.), i» The wage and hours provisions would not ing service and maintenance employees in 29 Labor Cases (CCH) par. 62,479; Schinck apply, however, to employees of retail feed multi-tenant buildings, see Subpart B of this V. 386 Fourth Ave. Corp., 49 N. Y. S. 2d 872. or seed establishments qualifying for exemp­ 28 Walling v. Higgins, 47- F. Supp. 856 (E. tion under section 13 (a) (2), (4) of the part. » H. Mgrs. St., 1949, page 15. D. Pa.) act. 2936 RULES AND REGULATIONS pers.M Insurance policies are “goods” Similarly, if a manufacturer of buttons within the meaning of the act;25 so are produced in violation of the wage or sells his products within the State to a hours provisions of the statute. But the "bonds, stocks, bills of exchange, bills of manufacturer of shirts, who ships the fact that goods produced for commerce lading, checks, drafts, negotiable notes shirts in interstate commerce, the em­ and other commercial paper.28 “Goods” lose their character as “goods” after they ployees of the button" manufacturer come into the actual physical possession includes gold2* livestock;28 poultry and would be engaged in the production of of an ultimate consumer who does not eggs;2* vessels;80 vehicles;81 aircraft;82 goods for commerce; or, if a lumber further process or work on them does not garments being laundered or rented;88 manufacturer sells his lumber locally to affect their character as “goods” while ice ; 84 containers, as, for example, cigar a furniture manufacturer who sells fur­ they are still in the actual physical pos­ boxes or wrapping paper and packing niture in interstate commerce, the em­ session of the producer, manufacturer or materials for other goods shipped in ployees of the lumber manufacturer processor who is handling or working on commerce ; 88 electrical energy or power, would likewise come within the scope of them with the intent or expectation that gas, etc.;86 and by-products,81 to mention the act. Any employee who is engaged they will subsequently enter interstate or only a few illustrations of the articles or in the “production” (as explained in foreign commerce.46 Congress clearly did subjects of “trade, commerce, transpor­ § 776.15) of any part or ingredient of not intend to permit an employer to avoid tation, transmission, or communication goods produced for trade, commerce, the minimum wage and maximum hours among the several States, or between any transportation, transmission, or commu­ standards of the act by making delivery State and any place outside thereof” nication among the several States or within the State into the actual physical which the act refers to as “goods.” The between any State and any place outside possession of the ultimate consumer who act’s definitions do nqt, however, include thereof is engaged in the production of transports or ships the goods outside of as “goods” such things as dàms, river “goods” for commerce within the mean­ . the State. Thus, employees engaged in improvements, highways and viaducts, ing of the act.40 4 or railroad lines.88 building a boat for delivery to the pur­ (d) Effect of the exclusionary clause. chaser at the boatyard are considered (c) “Any part or ingredient” Section The exclusionary clause in the definition within the coverage of the act if the em­ 3 (i) draws no distinction between goods that excepts “goods after their delivery ployer, at the time the boat is being and their ingredients and in fact defines into the actual physical possession of the built, intends, hopes, or has reason to goods to mean “goods * * * or any ultimate consumer thereof other than a believe that the purchaser will sail it out­ part or ingrediént thereof.” The fact producer, manufacturer, or processor side the State.46 that goods are processed or changed in thereof,” is intended to protect ultimate form by several employers before going consumers other than producers, manu­ § 776.21 “For” commerce—(a) Gen­ irîto interstate or foreign commerce does facturers, or processors of the goods in eral principles. As has been made clear not affect the character of the original question41 from the “hot goods” pro­ previously, where “goods” (as defined in product as “goods” produced for com­ visions of section 15 (a) (1) ofthe act.42 the act) are produced “for commerce,” merce. Thus, if a garment manufac­ Section 15 (a) (1) makes it unlawful for every employee engaged in the “produc­ turer sends goods to an independent any person “to transport * * * (or) tion”, (as explained in §§ 776.15 through contractor within the State to have them * * * ship * * * in commerce 776.19) of such goods (including any sewn, after which he further processes * * * any goods” produced in viola­ part or ingredient thereof) is within the and ships them in interstate commerce, tion of the wage and hours standards es­ general coverage of the wage and hours the division of the production functions tablished by the act. (Exceptions are provisions of the act. Goods are pro­ between the two employers does not alter made subject to specified conditions for duced for “commerce” if they are the fact that the employees of the inde­ common carriers and for certain pur­ produced for “trade, commerce, transpor­ pendent contractor are actually pro­ chasers acting in good faith reliance on tation, transmission, or communication ducing (“working on”) the “goods” written statements of compliance. See among the several States or between any (parts or ingredients of goods) which footnote 41 to § 776.15 (a).) By defining State and any place outside thereof.” 41 enter the channels of commerce.89 “goods” in section 3 (i) so as to exclude Goods are produced “for” such com­ goods after their delivery into the actual merce where the employer intends, 24 McAdams v. Connelly, 8 W. H. Cases 498 hopes, expects, or has reason to believe (W. D. Ark.), 16 Labor Cases (CCH) par. physical possession of the ultimate con­ 64,963; Walling v. Lacy, 51 F. Supp. 1002 (D. sumer (other than a producer, manu­ that the goods or any unsegregated part Colo.); Tobin v. Grant, 8 W. H. Cases 361 facturer, or processor thereof) Congress of them will move (in the same or in an (N. D. Calif.). See also Walling v. Sieving, made it clear that it did not intend to altered form or as a part or ingredient 5 W. H. Cases 1009 (N. D. 111.), 11 Labor Cases hold the ultimate consumer as a violator of other goods) in such interstate or (CCH) par. 63,098. of section 15 (a) (1) if he should trans­ foreign commerce.48 If such movement 28 Parr v. Mutual Life Ins. Co., 169 F. 2d port “hot goods” across a State line.48 of the goods in commerce can be rea­ 262 (C. A. 2) , certiorari denied 335 U. S. 871. Thus, if a person purchases a pair of sonably anticipated by the employer 26 Bozant v. Bank of New York, 156 F. 2d 787 (C. A. 2). shoes for himself from a retail store44 when his employees perform work de­ 27 Walling v. Haile Gold Mines, 136 F. 2d and carries the shoes across a State line, fined in the act as “production” of such 102 (C. A. 4); Fox v. Summit King Mines, the purchaser is not guilty of a violation goods, it makes no difference whether he 143 F. 2d 926 (C. A. 9). of section 15 (a) (1) if the shoes were himself, or a subsequent owner or pos­ 28 Walling v. Friend, 156 F. 2d 429 (C. A. 8). sessor of the goods, put the goods in 22 Walling v. DeSoto Creamery & Produce 40 Boland Electrical Co. v. Walling, 326 U. S. interstate or foreign commerce.49 The Co., 51 F. Supp. 938 (D. Minn.). fact that goods do move in interstate or 80 Slover v. Wathen, 140 F. 2d 258 (C. A. 4). 657; Bracy v. Luray, 138 F. 2d 8 (C. A. 4); 21 Hertz Drivurself Stations v. United States, Walling v. W. J. Haden Co., 153 F. 2d 196 (C. A. foreign commerce is strong evidence 150 F. 2d 923 (C. A. ). 5); Mid-Continent Pipe Line Co. v. Hargrave, that the employer intended, hoped, ex­ 8 129 F. 2d 655 (O. A. 10); Boling v. Allison, 4 32 Jackson v. Northioest Airlines, 75 F. Supp. pected, or had reason to believe that 32 (D. Minn.). W. H. Cases 500 (N. D. Okla.); Hanson V. they would so move. Lagerstrom, 133 F. 2d 120 (C. A. 8); Walling 33 Phillips v. Star Overall Dry Cleaning v. Comet Carriers, 151 F*. 2d 107 (C. A. 2); Although it is generally well under­ Laundry Co., 149 F. 2d 416 (C. A. 2). Walling v. Griffin Cartage Co., 62 F. Supp. 396, stood that goods are produced “for” 34 Hamlet Ice Co. v. Fleming, 127 F. 2d 165 commerce if they are produced for move- (C. A. 4); Atlantic Co. v. Walling, 131 F. 2d affirmed In 153 F. 2d 587 (C. A. 6); Walling v. 518 (C A. 5). Kerr, 47 F. Supp, 852 (E. D. Pa.). 41 Southern Advance Bag & Paper Co. v. 35 Enterprise Box Co. v. Fleming, 125 F. 2d 46 See cases cited above in footnotes 41, 42, 897 (C. A. 5), certiorari denied, 316 ü . S. United States, 133 F. 2d 449 (C. A.. 5);Phillips 43, this section. 704; Fleming v. Schiff, l w . H. Cases 883 v. Star Overall Dry Cleaning Laundry Co., 46 Walling v. Lowe, 5 W. H. Cases 937 (S. D. 149 F. 2d 485 (C. A. 2), certiorari denied 327 Fla.), 10 Labor Cases (CCH) 63,033. See also (D. Colo.), 5 Labor Cases (CCH) par. 60, 864. U. S. 780. 38 Walling v. Connecticut Co., 62 F. Supp. Walling y. Armbruster, 51 F. Supp. 166 (W. D. 42 Jackson v. Northwest Airlines, 70 F. Sudo Ark.); Joshua Hendy Corp. v. Mills, 169 F. 2d 733 (D. Conn.), affirmed 154 F. 2d 552 (C. 501. — ■ A. 2). 898 (C. A. 9); St. Johns River Shipbuilding 43 Hamlet Ice Co. v. Fleming, 127 F. 2d 165 Co. v. Adams, 164 F. 2d 1.012 S (C. A. 5). 37 Walling v. Peoples Packing Co., 132 F. 2d (C. A. 4), certiorari denied 317 U. S. 634. 236 (C. A. 10), certiorari denied 318 U. S. 774. 47 Fair Labor Standards Act, section 3 (b). See also § 776.32. 44 Note that the retail or service establish­ 48 United States v. Darby, 312 U. S. 100; ment exemption in section 13 (a) (2) does Warren-Bradshaw Drilling Co. v. Hall, 317 38 Engebretsen v. Albrecht, 150 F. 2d 602 not protect the retail store from a violation (C. A. 7); Kenny v. Wigton-Abbott Corp., H. S. 88; Schulte Co. v. Gangi, 328 U. S. 108. of the “hot goods” provision if it sells in 43 Schulte Co. v. Gangi, 328 U. S. 108; War­ 80 F. Supp. 489 (D. N. J.). Interstate commerce goods produced in vio­ 38 Schulte Co. v. Gangi, 328 U. S. 108. ren-Bradshaw Drilling Co. v. Hall, 417 U. S. lation of sections 6 or 7. 88. See paragraph (d) of this section. 2937 Wednesday, May 17, 1950 FEDERAL REGISTER in the necessary repair, maintenance, or On the other hand, there are Situa­ ment in commerce to points outside the tions where materials or other goods State, questions have been raised aS to improvement of interstate communica­ tion systems; the production of crushed used in maintaining, repairing, or re­ whether work done on goods may con­ constructing instrumentalities of com­ stitute production “for” commerce even rock, ready-mixed concrete, cross-ties, concrete culvert pipe, bridge timbers, merce are produced and supplied by local though the goods do not ultimately leave materialmen under ciricumstances which the State. As is explained more fully in and similar items for use in the neces­ sary repair, maintenance, or improve­ may require the conclusion that the the paragraphs following, there are cer­ goods are not produced “for” commerce. tain situations in which this may be ment of railroad roadbeds and bridges which serve as the instrumentalities Thus, a materialman may be engaged in true, either under the principles above an essentially local business serving the stated (see paragraph (c) of this sec­ over which interstate traffic moves. Similarly, in the case of highways, usual miscellany of local customers, tion) , or because it appears that the without any substantial -part of such goods are produced “for” commerce in pipe lines, and. waterways which serve as instrumentalities of interstate and business being directed to meeting the the sense that they are produced for use needs of highway repair or reconstruc­ directly in the furtherance, within the foreign commerce, the production of goods for use in the direct furtherance tion. If, on occasion, he happens to particular State, of the actual movement produce or supply some materials which to, from, or across such State of inter­ of the movement of commerce thereon would be the production of goods “for are used within the State to meet such state or foreign commerce. « (See para­ highway needs, and he does so as a mere graph (b) of this section.) commerce.” The production of mate­ rials64 for use in the necessary main­ incident of his essentially local business, (b) Goods produced for direct further­tenance, repair, or improvement of the the Administrator will not consider that ance of interstate movement. (1) The instrumentality so that the flow of com­ his employees handling or working on act’s definition of “commerce,” as has merce will not 1ie impeded or impaired such materials are producing goods “for” been seen, describes a movement, among is an example of this. Thus, stone or commerce. This is, rather, a typically the several States or between any State ready-mixed concrete, crushed rock, local activity of the kind the act was not and any outside place, of “trade, com­ intended to cover. The same may be merce, transportation, transmission, or sand, gravel and similar materials for bridges or dams; like materials or bitu­ said of the production of ice by an es­ communication.” Whenever goods are minous aggregate or oil for road sur­ sentially local ice plant where the only produced “for” such movement, such facing; concrete or galvanized pipe for basis of coverage is the delivery of ice goods are produced “for commerce,” road drainage ; bridge planks and tim­ for the water cooler in the community whether or not there is any expectation bers; paving blocks; and other such ma­ railroad station. The employees pro­ or reason to anticipate that the partic­ terials may be produced “for” commerce ducing ice in the ice plant for local use ular goods will leave the State.60 even though they do not leave the State. would not by reason of this be covered (2) The courts have held that par­ (3) This does not, however, neces­ as engaged in the production of goods ticular goods are produced “for” com­ sarily mean that the production of such ' “for” commerce. merce when. they are produced with a matefials within a State is always pro­ Other illustrations might be given but view to their use, whether within or duction “for” commerce when the mate­ these should emphasize the essential dis­ without the State, in the direct further­ rials are used in the same State for the tinction which must be kept in mind. ance of the movement of interstate or maintenance, repair, or improvement of Borderline cases will, of course, arise. In foreign commerce. Thus, it is well set­ highways or other instrumentalities each such case the facts must be exam­ tled that ice is produced “for” commerce carrying interstate traffic. In deter­ ined and a determination made as to when it is produced for use by interstate mining whether the production is actu­ whether or not the goods may fairly be rail or motor carriers in the refrigeration ally “for” commerce in a situation where viewed as produced 4,for” use in the direct or cooling of the equipment in which the there is no reason to believe that the furtherance of the movement of inter­ interstate traffic actually moves, even goods will leave the State, a practical state or foreign commerce, and thus “for” though the particular ice may melt be­ judgment is required. Some illustrations commerce. fore the equipment in which it is placed may be helpful. (c) Controlling effect of facts at time leaves the State.61 The goods (ice) pro­ On the one hand, there are situations "production” occurs. (1) Whether em­ duced for such use “enter into the very where there is little room for doubt ployees are engaged in the production of means of transportation by which the that the goods are produced “for” com­ goods “for” commerce depends upon cir­ burdens of traffic are borne.” 61 The merce in the sense that the goods are cumstances as they exist at the time the same may be said of electrical energy intended for the direct furtherance of goods are being produced, not upon some produced and sold within a single State the movement of commerce over the in­ subsequent event. Thus, if a lumber for such uses as lighting and operating strumentalities of transportation and manufacturer produces lumber to fill an signals on railroads and at airports to communication. The most obvious illus­ out-of-State order, the employees work­ guide interstate traffic, lighting and op­ tration is that of special-purpose goods ing on the lumber are engaged in the erating radio stations transmitting pro­ such as cross-ties for railroads, télé­ production of goods for commerce and grams interstate, and lighting and phoné or telegraph poles, or concrete within the coverage of the act’s wage and message transmission of telephone and pipe designed for highway use. Another hours provisions, even though the lumber telegraph companies.63 Similar princi­ illustration is sand and gravel fbr high­ does not ultimately leave the State be­ ples would apply to the production of way repair or reconstruction which is cause it is destroyed by fire before it can fuel or water for use in the operation of produced from a borrow pit opened ex­ be shipped. Similarly, employees drilling railroads with which interstate and for­ pressly for that purpose, or from the pits for oil which the employer expects to eign commerce is carried on; the pro­ of an employer whose business opera­ leave the State either as crude oil or duction of radio or television scripts tions are conducted wholly or in sub­ refined products are engaged in the pro­ which provide the basis for programs stantial part with the intent or purpose duction of goods for commerce while the transmitted interstate; the production of filling highway contracts. (The fact drilling operations are going on and are of telephone and telegraph poles for use that a substantial portion of the em­ entitled to be paid on that basis notwith­ ployer’s gross income is derived from standing some of the wells drilled may 60 Fleming v. Atlantic Co., 40 P. Supp, 654, supplying such materials for highway eventually prove to be dry holes.66 affirmed in 131 F. 2d 518 (C. A. 5). repair and reconstruction would be (2) On the other hand, if the lumber si Hamlet Ice Co. v. Fleming, 127 F. 2d 165 one indication that a substantial part manufacturer first mentioned produces (C. A. 4), certiorari denied 317 U. S. 634; Atlantic Co. v. Walling, 131 F. 2d 518 (C. A. of his business is directed to the lumber to fill the order of a local con­ 5); Chapman v. Home Ice Co., 136 F. 2d 353 purpose of meeting such needs of com­ tractor in the expectation that it will (C. A. 6) certiorari denied 320 U. S. 761; merce.) be used to build a schoolhouse within Southern United Ice Co. v. Hendrix, 153 F. the State, the employees producing the 2d 689 (C. A. 6); Hansen v. Salinas Valley Ice M Walling v. Staffen, 5 W. H. Cases 1002 lumber are not engaged in the produc-. Co., 62 C,al. App. 357, 144 P. 2d 896. (W. D. N. Y.), 11 Labor Cases (CCH) par. tion of goods “for” commerce and are not “ Hamlet Ice Co. v. Fleming, 127 F. 2d 165 63, 102; McComb v. Carter, 8 W. H. Cases 498 (E. D. Va.), 16 Labor Cases (CCH) pan 64, 964. (C A. 4) • ■ “ Culver v. Bell & Loffland, 146 F. 2d 29 58 Levois v. Florida Power & Light Co., 154 Contra, McComb v. Trimmer, 85 F. Supp. 565 (D. N. J.). Cf. Engebretson v. Albrecht, 150 (C. A. 9) ; see also Warren-Bradshaw Drilling F. 2d 751 (C. A. 5); see also Walling v. Con­ Co. v. Hall, 317 U. S. . necticut Co., 154 F. 2d 552 (C. A. 2). F. 2d 602 (C. A. 7). 88 2938 RULES AND REGULATIONS covered by the act. This would remain Signed at Washington, D. C., this 4th true notwithstanding the contractor citizens or subjects residing in Germany day of May, 1950. or Japan, subsequently goes bankrupt and the lum­ Wm. R. McComb, ber is sold to a purchaser who moves it (Sec. 5, 54 stat. 1087; 31 U. S. C. 127) to another State; the status of the em­ Administrator. ployees for purposes of coverage cannot [P. R. Doc. 50-4119; Piled, May 16, 1950; [seal] J ohn W. S nyder, in this situation, any more than in the 8:46 a. m.J Secretary of the Treasury. others, be retroactively changed by the [P. R. Doc. 50-4195; Piled, May 16, 1950; subsequent event. 9:01 a. m.] (d) Goods disposed of locally to per­TITLE 6— AGRICULTURAL CREDIT sons who place them in commerce. It Chapter IV— Production and Market­ TITLE 39— POSTAL SERVICE is important to remember that if, at the ing Administration and Commodity time when employees engage in activi­ Chapter I— Post Office Department ties which constitute “production of Credit Corporation, Department of goods” within the meaning of the act, Agriculture Part 18—Settlement of Accounts: Legal Proceedings : Compromises their employer intends, hopes, expects, Subchapter B— Export and Diversion Programs or has reason to believe that such goods COMPROMISE OF JUDGMENT P art 524—Honey will be taken or sent out of the State by Amend § 18.51 Compromise of judg­ a subsequent purchaser or other person Correction into whose possession the goods will ment (39 CFR 18.51) to read as follows: come, this is sufficient to establish that In F. R. Document 50-4015, appearing § 18.51 Compromise of judgment. such employees are engaged in the pro­ at page 2793, of the issue for Thursday, Whenever a judgment is obtained for a duction of such goods “for” commerce May 11, 1950, in tjie application Under debt or damages due the Post Office De­ and covered by the act. Whether the Honey Diversion Program delete the title partment, and it satisfactorily appears producer passes title to the goods to “Director, Fruit and Vegetable Branch”. that such judgment, or so much thereof another within the State is immaterial.88 as remains unpaid, cannot be collected The goods are produced “for” commerce by due process of law, the Department in such a situation whether they are pur­ TITLE 31— MONEY AND of Justice may compromise such judg­ chased f. o. b. the factory and are taken FINANCE: TREASURY ment, and accept in satisfaction less than out of the State by the purchaser, or the full amount thereof. whether they are sold within the State to Chapter II— Fiscal Service, Depart­ (R. S. 161, 396, secs. 304, 309, 42 Stat. 24, 25; a wholesaler or retailer or manufacturer ment of the Treasury 5 U. S. C. 22, 369. Interprets or applies R. S. or processor who in turn sells them, 295, as amended; 31 U. S. C. 115) either in the same form or after further [1950 Dept. Circ. 655, Supp. 6] [seal] J. m . Donaldson, processing, in interstate or foreign com-’ Part 211—D elivery of Checks and War­ Postmaster General. merce. The same is true where the rants to Addresses OursibE the goods worked on by the producer’s em­ United S tates, I ts T erritories and [P. R. Doc. 50-4176; Filed, May 16, 1950; 8:47 a. m.J ployees are not owned by the producer P ossessions and are returned, after the work is done, to the possession of the owner who takes WITHHOLDING OF DELIVERY OF CfHECKS OR or sends them out of the State.81 Sim­ WARRANTS Part 36—-Unmailable Matter ilarly, employees are engaged in the pro­ M a y 10,1950. Part 51—Village D elivery duction of goods “for” commerce when Section 211.3 (a) of Department Cir­ they are manufacturing, handling, work­ cular No. 655, dated March 19, 1941 (31 P art 97—S tar, S teamship, and S teamboat ing on, or otherwise engaging in the pro­ CFR Cum. Supp. 211.3 (a) ), as amended, R outes, and Vehicle S ervice in Cities duction of boxes, barrels, bagging, crates, is hereby further amended to read as miscellaneous amendments bottles, or other containers, wrapping or follows: packing material which their employer - ; - a. In § 36.12 Mailing of pistols, re­ § 211.3 Withholding of delivery of volvers, and other firearms (39 CFR has reason to believe will be used to hold checks or warrants, (a) The Secretary 36.12) amend paragraph (a) to read as the goods of other producers which will of the Treasury hereby determines that follows: be sent out of the State in such con­ postal, transportation, or banking facili­ tainers or wrappings. It makes no dif­ ties in general or local conditions in the (a) Restrictions and penalty. Pistols, ference that such other producers are , Russian Zone of Occupation of Germany; revolvers, and other firearms capable of located in the same State and that the the Russan Sector of Occupation of Ber­ being concealed on the person are non­ containers are sold and delivered to them lin, Germany; and in Albania and Bul­ mailable and shall hot be deposited in there.88 or carried by the mails or delivered by garia are such that there is not a any postmaster, letter carrier, or other reasonable assurance that a payee in person in the Postal Service. Such arti­ 88 Hamlet Ice Co. v. Fleming, 127 P. 2d 165 those areas will actually receive checks (C. A. 4), certiorari denied 317 U. S. 634; or warrants drawn against funds of the cles may be conveyed in the mails, under Bracey v. Lauray, 138 P. 2d 8 (C. A. 4). United States, or agencies or instru­ such regulations as the Postmaster Gen­ 87 Schulte.Co. v. Gangi, 328 U. S. 108; War- mentalities thereof, and be able to nego­ eral shall prescribe, for use in connec­ ren-Bradshaw Drilling Co. v. Hall, 317 U. S. tiate the same for full value. tion with their official duty, to officers 88; Walling v. Kerr, 47 F. Supp. 852 (E. d ! of the Army, Navy, Air Force, Coast Pa.). Except to the extent they have been Guard, Marine Corps, or Organized Re­ 88 Enterprise Box Co. v. Fleming, 125 P. 2d authorized by appropriate unrevoked li­ serve Corps; to officers of the National 897 (C. A. 5), certiorari denied 316 U. S. censes, or are authorized by specific 704; Dize v. Maddrix, 144 P. 2d 584 (C. A. 4), Guard or Militia of a State, Territory, affirmed 324 U. S. 697; Walling v. Burch, 5 license issued by the Department of Jus­ or District; to officers of the United W. H. Cases 323 (S. D. Ga.); 9 Labor Cases tice, Office of Alien Property, remittances States or of a State, Territory, or Dis­ (CCH) par. 62, 613; Fleming v. Schiff, 1 W. H. by United States Government agencies trict whose official duty is to serve war­ Cases 893 (D. Colo.), 5 Labor Cases (CCH) from any accounts in which a German rants of arrest or commitments; to par. 60, 864. or Japanese interest existed on or before employees of the Postal Service; to offi­ It should be noted that where empty con­ December 31, 1946, will continue to be cers and employees of enforcement tainers are purchased, loaded, or transported restricted by Executive Order No. 8389, within a single State as a part of their move­ agencies of the United States; and to ment, as empty containers, out of the State, as amended, and rules and regulations watchmen engaged in guarding the an employee engaged in such purchasing, issued pursuant thereto, including in property of the United States, a State, loading, or transporting operations is covered particular General Ruling 11 A, as Territory, or District. Such articles also by the act as engaged “in commerce.” At­ amended. Attention is directed to the may be conveyed in the mails to manu­ lantic Co. v. Weaver, 150 P. 2d 843 (C. A. 4); provisions of Public Law No. 622, 79th facturers of firearms or bona fide deal­ Klotz v. Ippolito, 40 P. Supp. 422 (S. D. Tex.); Congress, 2d Session, which prohibits ers therein in customary trade ship­ Orange Crush Bottling Co. v. Tuggle, 70 Ga'. among other things, payments of veter­ App. 144, 27 S. E. 2d 769. ments, including such articles for repairs ans’ benefits to German or Japanese or replacement of parts, from one to the Wednesday, May 17, 1950 FEDERAL REGISTER 2939 other, under such regulations as the that the proposed route does not conflict TITLE 43— PUBLIC LANDS: Postmaster General shall prescribe. with the development of air transpor­ INTERIOR Whoever knowingly deposits for mail­ tation as-contemplated under the Civil ing or delivery, or knowingly causes to Aeronautics Act of 1938, as amended: Chapter I— Bureau of Land Manage­ be delivered by mail according to the Provided further, That any such con­ ment, Department of the Interior direction thereon, or at any place to tract made under authority of this sec­ which it is directed to be delivered by tion shall be canceled upon the issuance Appendix— Public Land Orders the person to whom it is addressed, any by the Civil Aeronautics Board of an [Public Land Order 645] pistol, revolver, or firearm declared non­ authorization under title IV of the Civil mailable by this section, shall be fined Aeronautics Act of 1938, as amended, to Arizona not more than $1,000 or imprisoned not any air carrier to engage in the trans­ REVOKING IN PART EXECUTIVE ORDER NO. more than two years, or both. portation of mail by aircraft between 1187 OP APRIL 9, 1910 any of the points named in such con­ (R,. S. 161, 396, secs. 304, 309, 42 Stat. 24, 25; tract: And provided further, That no bid By virtue of the authority vested in the 5 U. S. C. 22, 369. Interprets or applies 62 for a contract under this section shall be President and pursuant to Executive Or­ Stat. 782, as amended; 18 U. S. C. and Sup., der No. 9337 of April 24,1943 it is ordered 1715) considered unless the bidder is a resident of or qualified to do business as a common as follows: b. In § 51.1 Village delivery (39 CFR carrier by air in a State within which Executive Order No. 1187 of April 9, 51.1) amend paragraph (a) (1) to read one or more points to be served under 1910 withdrawing public lands for the as follows: such proposed contract are located. As use of the War Department for military (1) Village mail delivery may be es­ used in this section, the term “State” purposes is hereby revoked so far as it tablished under such regulations as the includes the Several States, the Territo­ affects the following-described land: Postmaster General may prescribe, in ries of Alaska and Hawaii, and the Dis­ Gila and Salt River Meridian towns and villages having post offices of trict of Columbia. T. 1 N., R. 3 W., the third class that are not by law en­ (b) Action by Civil Aeronautics Board. Sec. 19, NE14. titled to free-delivery service. The oper­ Upon receipt of a request from the Post­ ation by the Post Office Department of master General for the certification re­ The area described contains 160 acres. village delivery service in second-class quired in paragraph (a) of this section, The land shall not be subject to the post pffices shall be discontinued. the Civil Aeronautics B o a r d shall initiation of any rights or to any dis­ promptly publish in the F ederal R egis­ position under the public-land laws until Note: See § 137.48 for additional provi­ ter, and send to such persons as the it is so provided by an order of classifi­ sions, and effective date of Public Law 431. Board may by regulation determine, a cation to be issued by the Regional (R. S. 161, 396, sec. 9, 37 Stat. 559, as notice describing the proposed air star Administrator, Bureau of Land Manage­ amended; secs. 304, 309, 42 Stat. 24, 25; 5 route. After giving notice pursuant to ment, Albuquerque, New Mexico, opening U. S. C. 22, 369, 39 U. S. C. and Sup., 153) this subsection, the Board shall afford the land to application under the Small c. In Part 97 (39 CFR, Part 97) make interested persons a reasonable oppor­ Tract Act of June 1, 1938, 52 Stat. 609 the following changes: tunity to submit written data, views or (43 U. S. C. 682a) as amended, with a arguments with or without opportunity ninety-day preference right period for 1. Amend § 97.2 Contracts for serv­ to present the same orally in any man­ filing such applications by veterans of ice by air because of impracticability of ner. The Board shall give due consider­ World War II and other qualified per­ surface transportation (39 CFR 97.2) to ation to all relevant matter presented sons entitled to preference under the read as follows: and, not less than thirty days after no­ act of September 27, 1944, 58 Stat. 747, § 97.2 Contracts for service by air be­ tice is given, except in any situation in as amended (43 U. S. C. 279 et seq.). cause of impracticability or inadequacy which it for good cause finds (and incor­ C. Girard D avidson, of surface transportation—(a) Action porates the finding and a brief state­ Acting Secretary of the Interior. by Postmaster General. Whenever he ment of the reasons therefor in its order shall find it to be in the public interest,' granting certification) that such period May 10, 1950. because of the nature of the terrain, or of advance notice is impracticable, [F. R. Doc. 50-417*’ Filed, May 16, 1950; unnecessary or contrary to the public in­ 8:46 a. m.] the impracticability or inadequacy of terest, shall grant the requested cer­ surface transportation, and wheye the tification upon finding that the proposed cost thereof is reasonably compatible route does not conflict with the devel­ [Public Land Order 646] with the service to be provided, the Post­ opment of air transportation as con­ master General may award contracts for templated under the Civil Aeronautics California the transportation by aircraft upon star Act of 1938, as amended. WITHDRAWING PUBLIC LANDS FOR USE OF THE routes of any or all classes of mail (in­ - (Interprets or applies sec. 6, 52 Stat. 219, as DEPARTMENT OF THE AIR FORCE cluding but not limited to air mail and amended; 39 U. S. C. and Sup., 470) By virtue of the authority vested in the air parcel post), payment for such serv­ President and pursuant to Executive ice to be made from the appropriation 2. Add a new section, § 97.74 Utiliza­ tion of Coast Guard facilities and Order No. 9337 of April 24, 1943, it is for inland transportation by star routes: ordered as follows: Provided, That all laws and regulations personnel, in the text immediately Subject to valid existing rights, the not in conflict with this section govern­ following § 97.73 to read as follows: public lands within the following-de­ ing star routes shall be applicable to §97.74 Utilization of Coast Guard scribed areas are hereby withdrawn from contracts made under the authority of facilities and personnel. Coast Guard all forms of appropriation under the this section: Provided further, That the facilities and personnel may be utilized public-land laws, including the mining provisions of title IV of the Civil Aero­ for the transportation and delivery of and mineral-leasing laws, and reserved nautics Act of 1938, approved June 23, mail matter during emergency condi­ for the use of the Department of the Air 1938 (52 Stat. 973), as amended, other Force as an air force base: than sections 407, 408, 409, 412, 413, 414, tions or at isolated locations under such and 416 thereof shall not apply to the arrangements as may be satisfactory to San Bernardino Meridian transportation of mail under this sec­ the Secretary (of the Treasury) and the T. 10 N., R. 8 W., tion: Provided further, That prior to ad­ Postmaster General. , Sec. 18, NE1/^, lots 1 and 2 of the NW]4, and vertising for bids for the transportation (Interprets or applies 63 Stat. 506; 14 U. S. C. N1/^ of lots 1 and 2 of the SW]4. Sup., 146) T. 8 N., R. 9 W., of mail by aircraft on any star route, Sec. 10, Sy2SEV4; except as authorized by the act of Oc­ (R. S. 161, 396, secs. 304, 309, 42 Stat. 24, 25; Sec. 18, SE14; tober 14, 1940 (54 Stat. 1175), entitled 5 U. S. C. 22, 369) Sec. 23, Wy2. “An act authorizing special arrange­ [seal] J. M. D onaldson, T. 10 N., R. 9 W., ments in the transportation of mail Postmaster General. Sec. 14, SEi/4; within the Territory of Alaska,” the Post­ sec. 22, Ey2, swy4, sy2Nwy4; master General shall obtain from the [F. R. Doc. 50-4177; Filed, May 16, 1950; Sec. 24, Ny2NWy4; Civil Aeronautics Board a certification 8:49 a. m.l Sec. 30, SWy4SEy4. No. 95----- 3 2940 RULES AND REGULATIONS T. 11 N., R. 9 W., Sec. 34, S%NW&. office in Washington, D. C., on the 28th It is ordered, That the aforesaid regu­ T. 8 N., R. 10 W., day of April A. D. 1950. lations for the transportation of explo­ Sec. 6, lots 1 and 2 of the NW& and the It appearing, that pursuant to the sives and other dangerous articles be, sy2 of lot 2 of the SW&. Transportation of Explosives Act of and they are hereby, amended as T. 9 N., R. 10 W., ' March 4, 1921 (41 Stat. 1444), sections follows: Sec. 28, Wi/aNWi^; Sec. 30, lot 2 of the NW}4, and lot 2 of the 831 to 835 of Title 18 of the United States P art 72—Commodity List of Explo­ SWÎ4. Code approved June 25, 1948, and Part sives and Other D angerous Articles T. 10 N., R. 10 W., II of the Interstate Commerce Act, as Containing the Shipping Name or Sec. 2, sy2 and lots 1 and 2 of NE*4; amended, the Commission has hereto­ D escription of All Articles S ubject Sec. 4, all; to These R egulations Sec. 6, all; fore formulated and published certain Sec. 8, all; regulations for the transportation of The following amendments are made Sec. 10, all; explosives and other dangerous articles. to § 72.5 (formerly part of section 4, List Sec. 14, all; It further appearing, that in applica­ of Explosives and Other Dangerous Arti­ Sec. 18, lot 2 of NW1/4, lots 1 and 2 of cles, order August 16, 1940): SW14, Si/aSE^; tion received we are asked to amend the Sec. 20, NE 14 and SWJ4; aforesaid regulations as .set forth in § 72.5 List of explosives and other Sec. 26, Ey2; provisions made a part thereof. dangerous articles. Sec. 28, S1^; Sec. 30, all; Sec. 32, all, Exemptions and pack­ Maximum quan­ T. 11 N., R. 10 W., Article Classed as— ing (section refer­ Label required tity in one out­ ences are to part if not exempt side container s e c . 28, sy2si/2; 73 (formerly part 3)) by rail express Sec. 34, Ey2. T, 8 N., R. 11 W., (Add) Sec. 6, all; Sec. 10, Ey2NE^. Hydrogen, liquefied. Not accepted____ 1ST + . Shaped charges, commercial. See See § 73.61-4 (h)_„ T. 9 N., R. 11 W., 1 High explosives. ------— Sec. 2, all; Commercial shaped charges. See See § 73.61-4 (h)_„ Sec. 4, all; High explosives. Sec. 6, all; Tertiary butylisopropyl benzene Oxy. M _ _ . . 163 (b), 186D Yellow______1 quart. Sec. 8, all; hydroperoxide. Sec. 10, Ny2; Sec. 12, N&; P art 73—Regulations Applying to Sec. 20, SWi/4; 1 3. Section 73.33 paragraph (o) (order S hippers Sec. 26, Wy2NWi/4, SW&SWftj .February 13, 1950), is amended to read Sec. 28, Ny2, SE^; SUBPART A— PREPARATION OF ARTICLES FOR as follows: Sec. 30, NE%; TRANSPORTATION BY CARRIERS BY RAIL Sec. 32, all; (o) Each outlet of cargo tanks used FREIGHT, RAIL EXPRESS, HIGHWAY, OR Sec. 34, N14. for the transportation of liquefied com­ T. 10 N., R. 11 W., WATER pressed gases, except carbon dioxide, Sec. 14, Ey2; 1. Section 73.31 paragraph (k) (for­ shall be provided with a suitable auto­ Sec. 20, NWy4; merly section 31 paragraph (k) order matic excess-flow valve or in lieu there­ Sec. 22, all; August 16, 1940), is amended to read as of may be fitted with quick closing Sec. 23, sy2, Ny2NWi4; follows: internal valves. The quick closing in­ Sec. 24, all; ternal valve shall be operated by an Sec. 26, all; (k) All closures of openings in tank Sec. 28, all; independent fluid medium. These Sec. 32, all. cars and of their protective housings valves shall be located inside the tank T. 9 N., R. 12 W., must be properly secured in place by the or at a point outside the tank where the Sec. 2, lots 1 and 2 of NEj4. and lots 1 and use of a bar, wrench, or other suitable line enters or leaves the tank. In case 2 of NWy4; tool. A wrench having a handle at least such valve is located outside the tank, Sec. 10, SE14; 36 inches long must be used to apply the the installation shall be made in such a Sec. 12, all; outlet valve cap. Manhole covers and Sec. 14, Ny2, Ny2SV&. manner that any undue strain beyond T. 10 N., R. 12 W., outlet valve caps must be made tight the valve will cause breakage on the dis­ Sec. 34, Ey2. ' against leakage of vapor and liquid, by charge end and not between the con­ use of gaskets of suitable material, be­ tainer and the valve. Exception: Safety The areas described including both fore cars are tendered to carrier for relief valve connections and liquid level public and non-public lands, aggregate transportation. Luting materials must gauging devices which are so constructed 20,901.82 acres. not be used in outlet cap or on threads of that the outward flow of tank contents It is intended that the lands above bottom outlet. shall not exceed that passed by a No. 54 described shall be returned to the ad­ (No change in note.) drill size opening are not required to be ministration of the Department of the equipped with excess-flow valves. Interior when they are no longer needed 2. Section 73.32 paragraph (n) (order for the purpose for which they are re­ February 13, 1950), is amended to read SUBPART B— EXPLOSIVES served. as follows: Class A Explosives C. Girard D avidson, (n) Each outlet of portable tanks used 4. Section 73.53 paragraph (h) (order Acting Secretary of the Interior. for the transportation of liquefied com­ February 3, 1950), is amended to read May 10, 1950. pressed gases, except carbon dioxide, as follows: shall be provided with a suitable auto­ [F. R. Doc. 50-4170; Filed, May 16, 1950; matic excess-flow valve. These valves (h) Type 8. Any solid or liquid com­ 8:46 a. m.] shall be located inside the tank or at-a pound, mixture or device which is not point outside the tank where the line specifically included in any of the above enters or leaves the tank. In case such types, and which under special condi­ TITLE 49— TRANSPORTATION valve is located outside the tank, the tions may be so designated and approved installation shall be made in such a man­ by the Bureau of Explosives. Chapter I—-Interstate Commerce ner that any undue strain beyond the Example: Shaped charges, commercial. valve will cause breakage on the dis­ Commission (1) A shaped charge, commercial, con­ [Docket No. 3666] charge end and not between the con­ tainer and the valve. Exception: Safety sists of a plastic, paper, or other suitable T ransportation op Explosives and relief valve connections and liquid level container comprising a charge of not Other D angerous Articles gauging devices which are so constructed to exceed 8 ounces of a high explosive that the outward flow of tank contents containing no liquid explosive ingredient MISCELLANEOUS AMENDMENTS shall not exceed that passed by a No. 54 and with a hollowed out portion (cavity) At a session of the Interstate Com­ drill size opening are not required to be lined with a rigid material. This device merce Commission, Division 3, held at its equipped with excess-flow valves. shall not contain a detonator. 2941 Wednesday, May 17, 1950 FEDERAL REGISTER (g) Spec. 5A. Metal barrels or Packing and Marking Class A Explosives 10. Section 73.61-7 paragraph to) (or­ der February 3, 1950), is designated as drums only for acid of 1.7019 specific 5. Section 73.61-4 paragraph (a) (7) paragraph (c) ; and add new paragraph gravity (59.8° Be.); or acid of greater (order February 3, 1950), is amended to (b), as follows: strength with or without inhibitor, pro­ read as follows: vided such acid has a corrosive effect (b) Each outside container must be on steel measured at 100° F. no greater (7) Spec. 23G: Fiberboard boxes. plainly marked “DETONATING PRI­ than 66° Be. commercial sulfuric acid. Such explosives when packed in boxes MERS—HANDLE CAREFULLY”, consisting of more than one tube joified 16. Section 73.272 paragraph (g) (1) circumferentially are exempt from re- , SUBPART C— FLAMMABLE LIQUIDS (formerly section 272 (g) (1) order Oc­ quirements of §73.61 (f) and (g), or 11. Section 73.106 paragraph (i) (for­ tober 19, 1948), is amended to read as when packed in boxes consisting of one merly section 106 (i), order November 8, follows : tube closed at the ends are exempt from 1941), is canceled. (1) Spec. 17F: Metal barrels or drums requirements of § 73.61 (d), (e), (f) and (single trip) only for acid of 1.7019 spe­ (g). Gross weight of boxes not to exceed STTBPART D— FLAMMABLE SOLIDS AND OXIDIZING MATERIALS cific gravity (59.8° Be.) ; or acid of 65 pounds. greater strength with or without inhibi­ 6. Section 73.61-4 paragraph (d) (or­ 12. Section 73.186d paragraph (a) tor, provided such acid has a corrosive der February 3, 1950),,is amended to (formerly section 186d (a), order Octo­ effect on steel measured at 100° F. no read as follows: ber 19, 1948), is amended to read as greater than 66° Be. commercial sulfuric (d) Ammonium picrate, dry, picric follows: acid. acid, dry, trinitrobenzene, dry, and tri­ § 73.186d Cumene hydroperoxide and 17. Section 73.272 (formerly section nitrotoluene, dry, in quantity not ex­ tertiary butylisopropyl benezene hydro­ 272, order August 16, 1940), is amended ceeding 4 ounces in, one outside package peroxide. (a) Cumene hydroperoxide of by adding paragraph (q) as follows: for medicinal purposes, may be shipped strength not execeeding 75 percent in a (q) Spec. 5C: Metal barrels or drums by carriers by rail freight, rail express, non-volatile solvent and tertiary butyl­ of type 304, 316, or 347 stainless steel highway, or water as drugs, medicines, isopropyl benzene hydroperoxide not ex­ or other types of stainless steel of equiv­ or chemicals, without other restrictions, ceeding 60 percent strength must be alent corrosion resistance and physical when in securely closed glass bottles packed in specification containers as properties. Authorized only for acid of properly cushioned to prevent breakage. follows: concentration not less than 100 percent 7. Section 73.61-4 paragraphs (h), (i), (approx.) nor more than 115 percent and (j) (order February 3, 1950), are 13. ’ Section 73.206 paragraph (a) (2) (approx.). (formerly section 206 (a) (2), order Jan­ designated as paragraphs (i), (j), and SUBPART F— COMPRESSED GASES (k) , and add new paragraph (h), as uary 23, 1950), is amended to read as follows: follows: 18. Section 73.303 subparagraph (8) (iii) Of paragraph (r) (formerly sub- (h) Shaped charges, commercial, must (2) Spec. 15A or 15B: Wooden boxes, paragraph (h) (3), section 303 (r), or­ be packed in containers complying with with air-tight metal inside containers der February 13, 1950), is Amended to §§ 73a.l4, 73a.l5A, 73a.l6A, wooden which must have closing device securely read as follows: boxes, or § 73a.23F, fiberboard boxes, fastened by positive means (not friction). y With inside containers* which must be (iii) Liquid level gaging devices which strong fiber tubes. Shaped charges hav­ SUBPART E— ACIDS AND OTHER CORROSIVE are so constructed that the outward flow ing exposed lined conical cavities must LIQUIDS of tank contents exceeds that passed by have such cavities effectively filled. 14. Section 73.261a (formerly section a No. 54 drill size opening, shall be Shaped charges having conical cavities equipped with excess-flow valves. Ex­ 261A, order August 16,1940), is amended ception: Not required on gaging devices that are covered shall be paired together by adding paragraph (j), as follows: with the cavities facing each other and when used on tanks in carbon dioxide with one or more pairs in a fiber tube, or (j) Spec. 1EX: Carboys in plywood service. so arranged that the conical cavities of drums. Authorized only for export 19. Section 73.303 (k) table (formerly the shaped charges at the ends of the shipments. paragraph (k) table, section 303 orders column face toward the center of the 15. Section 73,272 paragraph (g) (for­ April 19, 1948, October 19,1948 and Jan­ tube. The shaped charges in the fiber merly section 272 (g) order January 23, uary 23, 1950), is amended to read as tube must fit snugly with no excess space follows: and the fiber tubes containing the shaped charges must be packed snugly Maximum per­ Cylinders* marked as shown in this column must Be used with no excess space in the outside fiber- mitted filling except as provided in Note 1 and sec. 303 (p) (2) to 303 board or wooden box. Gross weight of Kind of gas density (see wooden boxes not to exceed 140 pounds. sec. 303 (h)) (p) (6) ; Gross weight of fiberboard boxes not to - (Change) Percent exceed 65 pounds. 79 ICC-3A150; ICC-3B150; ICC-4B150; ICC-4BA225. 100 ICC-3A150 ICC-3B150; ICC-4B150; ICC-4BA225. 8 Section 73.61-5 paragraph (h) (or­ 59 ICG-3A150; IG.G-3B150; ICC-4B150; ICC-4BA225. Dimethylamine. anhydrous------ICC-3A150; ICC-3B150; ICC-4B150; ICC-4BA225. der February 3, 1950), is designated as Monomethylamme, anhydrous------60 57 ICC-3A150; ICC-3B150; ICC-4B150; ICC-4BA225. paragraph (i); and new paragraph (h) 68 ICC-4B300, without brazed seams; ICC-4BA300, without is added as follows: Vinyl methyl ether, inhibited (see brazed seams; ICC-3A300; ICC-3B300; ICC-25. Note 7). . (h) Each outside container must be plainly marked “ (number) BLASTING CAPS — H A N D L E CAREFULLY”, or ;v) (formerly paragraph (p) (7) (e), to read as follows: “(number) E L E C T R IC BLASTING section 303, order October 14, 1943), is (7) The maximum quantity of any CAPS—HANDLE CAREFULLY”, as the amended to read as follows:- liquefied gas, except crude nitrogen fer­ case may be. tilizer solution, fertilizer ammoniating so­ (v) Cylinderr containing: N o t e : The number of caps must be shown lution containing free ammonia, ihethyl in the marking. (1) fluorine chloride, and vinyl chloride, inhibited, , (2) methyl mercaptan 9. Section 73.61-6 paragraph (b) (or­ (3) mono, di, or trimethylamine, loaded into tanks mounted on one car der February 3, 1950), is amended to structure must not exceed 60,000 pounds. read as follows: anhydrous Provided, That for single-unit tank car (4) not over 10 pounds of nitrosyl tanks having water weight capacities (b) Each outside container must be chloride . , not less than 86,240 pounds nor over plainly marked “(number) BLASTING (5) less than 165 pounds of anhydrous 90,640 pounds, lagged with 4 inches of CAPS WITH SAFETY FUSE— HANDLE ammonia corkboard, equipped with one or more CAREFULLY”. 20. Section 73.303 paragraph (q) (7) safety valves set to open at a pressure N o t e : The number of caps m ust be shown (formerly paragraph (q) (7), section of 225 pounds per square inch the total in the marking. 2942 RULES AND REGULATIONS discharge capacity of which must be hoist, obtained from the carrier if desir­ tributed and at least inch thick. De­ sufficient to prevent building up of pres­ able, by which the tanks shall be lifted sure in the tank in excess of 225 pounds fective carboys not authorized. „ from the car and deposited directly upon (3) (i) Outside containers. Plywood per square inch, mounted on one car vehicles furnished by the consignee for structure, tank jackets stenciled ICC- drums completely enclosing body and immediate removal from carrier prop­ neck of carboy and constructed as fol-. 105A300 if tanks are forge-welded and erty or tanks must be lifted by ade­ lows: ICC-105A300W if tanks are fusion- quately safe mechanical hoist from car welded, and in all other respects con­ (ii) Body shell. To be of two plies of directly to vessels for further transpor­ hardwood veneer, each not less than structed and maintained in full tation. compliance with I. C. C. shipping con­ Yn inch in thickness, firmly glued to­ (c) Any tank car of other than ICC- gether, with the grain of the outside ply tainer specification 105A500 or 105A- 106A type, containing liquefied hydro­ 500W, the maximum quantity of lquefied parallel and the inner ply vertical to the carbon or liquefied petroleum gas, and heads. The body shall be butt-jointed chlorine .gas or liquefied sulfur dioxide having interior pipes of liquid and gas gas loaded into such tanks must be at and shall be fastened on the outside with discharge valves equipped with check a 28-g.auge steel strip, not less than 1 y2 least 107,800 pounds and not more than valves, may be consigned for delivery and 110,000 pounds. inches in width. 17-gauge staples shall unloading on carrier tracks, if the lading be driven on each side of the joint, SUBPART G— POISONOUS ARTICLES is piped directly from the car to perma­ spaced not more than 1 y2 inches apart nent storage tanks of sufficient capacity 21. Section 73.352 paragraph (b) (for­ and clinched on inside of the body. to receive the entire contents of the car. (iii) Heads. Top and bottom heads merly section 352 (b), order August 16, Such cars may also be consigned for 1940), is amended to read as follows: shall be of three ply hardwood veneer, storage on a private track or on a carrier each ply not less than y12 inch in thick­ (p) ?h, inside glass, earthenware, or track when designated by the carrier for ness, all firmly glued together, with the composition bottles or jars, or metal such storage. grain of each outer ply at right angles containers, or lock-corner sliding-lid (d) For cars of the ICC-106A type, the to the grain of the center ply. Each wooden boxes, of not over 5 pounds tanks must be placed in position and at­ head shall be circled to fit snugly inside capacity each, or chipboard, pasteboard tached to the car structure by the of the body. Interior heads shall be of or fiber cartons^ cans, or boxes, of not shipper. the same construction. over 1 pound capacity each, packed in (e) Flammable liquids must not be (iv) Hoops. To be/Of hardwood ve­ outside wooden or fiberboard boxes or loaded into tank cars on carriers’ prop­ neer, not less than 1% inches wide by wooden barrels or kegs. Net weight of erty from tank trucks, wagons or drums. Va inch thick. Hoops shall be fastened contents of outside container, not over Note 1: For this purpose a private track is to the body by 17-gauge staples on not 100 pounds. a track outside of carrier’s right-of-way, yard, less than 3 inch centers and shall be 22. Section 73.366 paragraph (a) (3) and terminals, and of which the carrier does overlapped not less than 3 inches. not own either the rails, ties, roadbed or (v) Head liners. When plywood (formerly section 366 (a) (3), order right-of-way; or a track or portion of a October 24, 1947), is amended to read track which is devoted to the purpose of cushioning is used' the inner lining- as follows: its user, either by lease or written agreement; strips which support the plywood cush­ •in which case the lease or written agreement ion shall be of hardwood veneer not less Group III. Radioactive materials will be considered as equivalent to ownership. than y5 inch in thickness and % inch in that emit electrically charged corpuscu­ Note 2: Carriers should give permission for width and shall butt or slightly gap. All lar rays only, i. e., alpha or beta, etc. or the unloading of these containers on carrier other head liniiig strips shall be made any other that is so shielded that the tracks only where no private siding is avail­ of hardwood veneer not less than y5 inch gamma radiation at the surface of the able within reasonable trucking distance of in thickness and % inch in width and package does not exceed 10 milliroent- final destination. The danger involved is the release of chlorine gas due to accidental shall overlap not less than 3 inches. gens for 24 hours at any time during injury to container in handling. The expo­ The bottom head liner and the inside transportation. sure to this danger decreases directly with liner strips for the false head and sup­ SUBPART I— SHIPPING INSTRUCTIONS the isolation of the unloading point. port of the top head shall be fastened by 17-gauge staples on not less than 3 23. Section 73.423 (formerly section inch centers. The staples shall be driven 423, order August 16, 1940), is amended P art 73a—Shipping Container through the outer hoop and body and to read as follows: Specifications clinched on the inside of the veneer § 73.423 Tank car shipments, (a) 1. Add § 73a.lEX (Specification 1EX, strips; except that the strips holding the Tank vcars containing flammable liquids order August 16, 1940), as follows: false head shall have staples only having a flash point of 80° P. or below, § 73a. 1EX Specification 1EX; glass through the body shell and liner. The except liquid road asphalt or tar, must top liner which forms the final closure not be offered for shipment unless origi­ carboys in plywood drums for export shall be fastened to the body by 14-gauge nally consigned or subsequently recon­ only—(a) General—(1) Compliance. staples driven through the head liner signed to parties having private-siding Required in all details. and body into the outer hoop on not less (see Note 1) or railroad-siding facilities (2) Lumber. To be well seasoned, than 4 inch centers. equipped for piping the liquid from tank commercially dry, and free from decay, (vi) Battens. A % inch by 2 inch cars to permanent storage tanks of suffi­ loose knots, knots that would interfere batten shall be applied to top and bottom cient capacity to receive contents of car. with nailing, and other defects that and shall be secured at each end by two (b) A tank car containing any com­would materially lessen the strength. nails driven through the hoops and pressed gas must not be offered for (3) Closing devices required. As fol­ shell. transportation unless the car is con­ lows except when otherwise authorized (4) The complete inner packing and signed for delivery (see paragraph (c) of in the packing regulations: drum specification must be filed with this section) and unloading on a private and approved by the Bureau of Explo­ track (see Note 1), except that where no (1) Acidproof stoppers or other de­ sives. private track is available, delivery and vices, with gaskets, securely fastened; (c) Marking of outside container— unloading on carrier tracks is permitted closures to be vented or sufficiently por­ (1) On each container. With letters provided the following conditions are ous to vent off pressure; gaskets to be and figures at least % inch high applied complied with: of % inch asbestos-rope or other resilient by hot branding iron or black printing (1) Any tank car of ICC-106A typematerial equivalent in efficiency; gaskets ink with high pressure dies as follows: may be offered for transportation and cut from asbestos board not authorized. (i) ICC-IEX. This mark shall be the loaded unit tanks may be removed (b> Manufacture—(1) Capacity and understood to certify that the complete from car frame on carrier tracks, pro­ marketing of carboy. Containers must package complies with all specification vided the shipper has obtained from the be 5 to 6%: gallons capacity and perma­ requirements. nently marked to indicate maker and delivering carrier and filed with originat­ year of manufacture. (ii) Name or symbol (letters) of ing carrier, written permission (see Note company setting up the package, or (2) Glass carboys. Thoroughly an­ other party assuming responsibility for 2) for such removal. The consignee nealed; top of lip smooth and even. must furnish adequately safe mechanical its compliance with specification re­ Glass in side walls should be well dis­ quirements; this must be registered with 2943 Wednesday, May 17, 1950 FEDERAL REGISTER the Bureau of Explosives and located (iv) When required. By each manu­ con, 1.5 percent to 3.85 percent; Manga­ just above or below the mark specified facturing and each filling plant; during nese, 0.25 percent to 1.10 percent. The in subdivision (i) of this subparagraph. each 6 months of each year, one series melting point of the silver alloy brazing (2) Each outside container must also each yeac to be witnessed by represent­ material must be in excess of 1000° F. be plainly marked “FOR EXPORT ative of Bureau of Explosives; separate^ When brazed, the plate edge must .be tests required for— lapped at least eight times the thickness ONLY, NOT RETURNABLE”* and the of plate, laps being held in position, sub­ top must be marked “THIS SIDE UP”. New packages (those with new outside (d) Tests—(.1) (i) Apparatus. containers). stantially metal to metal, by riveting or Standard required, as shown in specifi­ Used packages. electric spot-welding; brazing must be cation 1A, effective Oct. 1, 1930. Detail Packages with carboys, differing over 2 done by using a suitable flux and by plac­ gallon. ing brazing material on Qne side of seam prints can be obtained from Bureau of Packages differing in kind of cushioning. and applying heat until this material Explosives. shows uniformly along the seam of the (ii) Method. Fill with water to lower (v) Exception. Tests not required edge of neck; swing 55" measured from by plant which fills and ships, for one other side. wall to nearest bottom edge of basket— shipment only, packages obtained from 6. Section 73a.4BA-8 (b) and (b) (1) (formerly paragraphs (8) (b) and (b) 1st: Side shock; test at least 10. another plant where required tests are 2d: Bottom shock; test at^least 5. made. (1) of Specification 4BA, orders April 19, (vi) Reports. Required to be made 1948 and March 7, 1949), are amended (iii) Acceptable results. 90 percent to Bureau of Explosives on form as by combining the two paragraphs to read of carboys must not break under side as follows: follows: shock; same for bottom shock. (b) Longitudinal seams in shells. By R eport of T ests of Carboys copper brazing or copper alloy brazing. (As required by Í. C. O. Regulations and Specifications! Copper alloy composition must be: Cop­ per 95 percent minimum, Silicon 1.5 per­ cent to 3.85 percent, Manganese 0.25 per­ cent to 1.10 percent. The plate edge must be lapped at least eight times the (Give name and address of plant for which tests were made) thickness of plate, laps being held in position, substantially metal to metal, by Results riveting or by electric spot-welding. Brazing must be done by using a suitable 65-inch swing Description of package 55-inch swing flux and by placing brazing material on Number of Number of test test one side of seam and applying heat until Side Bottom Side Bottom this material shows uniformly along the seam of the other side. 1 13 ______;____ 2 — — 14 7. Section 73a.4BA-8 (b) (2) (for­ 15 ______Ca^ i t i l " " * 8 merly paragraph 8 (b) (2) of Specifica­ 4 :------— 16 tion 4BA-order February 13, 1950), is 6 17 ______------6 — ------18 designated (b) (1) to read as follows: 7 19 ------20 (1) Strength of longitudinal seam. 8 . , 9 21 ______------:------Copper brazed longitudinal seam must 10 ------— 22 23 have strength at least 3/2 times the Size of outside container (inside)------* 11 12 — — 24 ' strength of the steel wall. 8. Section 73a.4BA-10 (formerly par­ Specification mark is------agraph 10 of Specification 4BA order. Identification symbol is------April 19, 1948), is amended to read as follows: Section 73a.4BA-10 Heat treatment. (a) Each cylinder must be uniformly i State whether outside container is new or used. and properly heat treated prior to test 3 K whether hay'CeraTw o'oi; ground cork, excelsior, wood strips.------type, cork pads------type, etc-. by the applicable method shown in 2. Specification 3B (order August 16, ductility, or shall hold a pressure of § 73a.4BA-19, Table 1. Heat treatment 1940), is amended by adding § 73a.3B-9 12,000 pounds per square inch for 30 must be accomplished after all forming seconds without bursting, in which case and welding operations, except that (a), as follows: it shall be subjected to a flattening test when brazed joints are used, heat treat­ § 73a.3B-9 Wall thickness, (a) The without cracking to six times wall thick­ ment must follow any forming and weld­ wall stress shall not exceed 24,000 pounds ness between knife edges, wedge shaped, ing operations, but may be done before, per square inch. Minimum wall 0.090 60-degree angle, rounded out to 1/2-inch during or after the brazing operations. inch for any cylinder over 5 inches out- radius. 9. Section 73a.4B-10 (formerly para­ side diameter. Note: Inspector’s report shall be suitably graph 10 of Specification 4BA order 3. Section 73a.3C-9 (a) (formerly par­ changed to show results of latter alternate April 19, 1948), is amended by adding agraph 9 (a) of Specification 3C, order and flattening test. paragraph (b), as follows: August 16, 1940), is amended to read as (3) Other cylinders must be examined Cb) Heat treatment is not required follows: under pressure of at least 3,000 pounds after welding or brazing weldable low § 73a.3C-9 Wall thickness, (a) The * per square inch and not to exceed 3,600 carbon parts to attachments of similar wall stress shall not exceed 24,000 pounds pounds per square inch and show no de­ materials which have been previously per square inch. Minimum wall 0.090 fect. The pressure must be maintained welded or brazed to the top or bottom inch for any cylinder over 5 inches out­ for at least 30 seconds and sufficiently of cylinders and properly heat treated, longer to insure complete examination. provided such subsequent welding or side diameter. brazing does not produce a temperature 4. Section 73a.3E-13 (a) (2) and (3) 5. Section 73a.4B-8 (b) (formerly par­ agraph 8 (b) of Specification 4B, order in excess of 400° F. in any part of the top (formerly paragraphs (a) (2) and (a) or bottom material. (3) of Specification 3E, order October 19, March 7, 1949), is amended to read as 1948), aré amended to read as follows: follows: 10. Section 73a.4BA-16 (b) (1) (for­ merly paragraph 16 (b) (1) of Specifica­ (2) The cylinder referred to in sub- (b) Longitudinal seams in shells. By tion 4BA, order March 7, 1949), is paragraph (1) of this paragraph shall forged lap welding, by copper brazing, by amended to read as follows: burst at a pressure higher than 6,000 copper alloy brazing, or by silver alloy pounds per square inch without frag­ brazing. Copper alloy composition must (1) An alternate guided-bend test menting or otherwise showing lack of be: Copper, 95 percent minimum; Sili- Jig, as illustrated in Fig. 1, may be used for testing the soundness of fillet welded § 73a.4BA-15. No tested specimen shall § 73a.5B-7 Parts and dimensions. As follows: lap joints and joggle butt joints. The show a crack, or other defect, as to test specimen shall be bent across the to specified in this paragraph (b). The £ weld as illustrated in sketch A or B for gage lines shall be lightly scribed before Minimum thickness in Rolling hoops fillet welded lap joints and as illustrated the black (gage U. S. bending. The amount of elongation standard) in sketch C or D for joggle butt joints. Marked capacity mayT>e conveniently determined with a Type of container Minimum The specimen shall be bent until the Brinell microscope or any other suitable not over (gallons) Type 1 elongation at the. outer surface adjacent Body Head Weight method may be employed. sheet sheet Size (gage to* the root of the weld, between the or inch) (pounds lightly scribed gage lines—a to b, shall be 11. Section 73a.4BA-16 (b) Cl) Figure DD DD per foot) at least 20 percent; except that this per­ 1 (formerly paragraph 16 (b) (1) of fi . centage may be reduced for steels having Specification 4BA, order March 7, 1949), 10__ 24 24 None 22 22 None — a tensile strength in excess of 50,000 20 ______is amended by adding Sketches C and D, 33 20 (*) — _____ 18 18 (l) ______pounds per square inch, as provided in as follows : < 55__ 16 no _. 16 (2) ______- 13 14 (*) — ______33... 16 55__ 16 None ______14 14 None ------:------

c o n « o n 0by^LhBuPrL°u E x p l S v e ^ ^ “ ottMr also authorized when approved as to type and 2 Rolled or swedged in hoops. •

16. Section 73a.5P-2 (formerly para­ treated, provided such subsequent weld­ graph 2, of Specification 5P, order Feb­ ing or brazing does not produce a tem­ ruary 13, 1950), is amended to read as perature in excess of 400 ° F. in any part follows : of the top or bottom material. REGULATIONS AND RULES § 73a.5P-2 Rated capacity not over 19. Section 73a.l7C—9 (c) (formerly 61 gallons (see %73a.5P-12 (a) (3)). pàragraph 9 (c) of Specification 17C, < Actual capacity shall be not less than order August 16, 1940), is amended to rated capacity plus two percent nor read as follows: greater than rated capacity plus two percent plus one and one-half gallons. (c) For closure with threaded plug or cap, the seat (flange, etc.) for plug, or 17. Section 73a.8-18 (b) (formerly cap, must have 3 or more complete paragraph 18 (b) of Specification 8, order threads; two drainage holes of not over February 3,1948), is amended to read as inch diameter are allowed. Plug, follows: or cap, must have sufficient length of (b) A serial number and an identify­thread to engage 3 threads when screwed ing symbol (letters) grouped1 above or home with gasket in place. Threaded below the ICC mark. The symbol and closures having fewer threads are au­ numbers must be those of purchaser, thorized for containers having a capacity user, or maker. The symbol must be of 1? gallons or less when such closures registered with the Bureau of Explosives; are approved by the Bureau of Explosives c D duplications unauthorized. upon proof of satisfactory tests. Appendix to Figure 1—Specification 4BA. Example / ICC—8 i 20. Section 73a.l7H-9 (b) (formerly 1234 12. Section 73a.4BA-18 (a) (5) (for­ § 73a.4C-9 Wall thickness, (a) The XT paragraph 9 (b) of Special 17H, order merly paragraph 18 (a) (5) of Specifica­ wall stress shall not exceed 18,000 pounds February 24, 1947), is amended, to read 18. Section 73a.8-22 (e) (formerly as follows: tion 4BA, order April 19, 1948), is can­ per square inch for cylinders with longi­ paragraph 22 (additional type) of Spec­ celed. tudinal side seam nor 24,000 pounds per ification 8, order April 19, 1948) is (b) Drums over 5 gallons capacity 13. Section 73a.4BA-18 (a) (6) (for­ square inch for cylinders without such amended by designating the existing text miist be closed by means of 12 gage merly paragraph 18 (a) (6) of Specifica­ seam. Provided, That a wall stress of not as (1) and adding (2) as follows: bolted ring with drop forged lugs, one of over 22,800 pounds per square inch is au­ which is threaded, and having % inch tion 4BA, order April 19, 1948), is desig­ thorized for cylinders with copper brazed (2) Heat1 treatment is not required nated as (a) (5), as follows: side seam having strength at least 3/2 after welding or brazing weldable low bolt and nut for drums not over 30 gal­ lons capacity and % inch bolt and nut (5) Additional markings are permit­ times the strength of the steel wall. carbon parts to attachments specified in ted. Minimum wall 0.090 inch for any cylin­ subparagraph (1) of this paragraph of for drums not over 30 gallons capacity. der over 5 inches outside diameter. similar material which have been previ­ Five gallon drums must be of lug type 14. Section 73a.4C-9 (a) (formerly ously welded or brazed to the top or bot­ closure with cover having at least 16 15. Section 73a.5B—7 (formerly para­ tom of cylinders and properly heat lugs. Equally efficient types of closures paragraph 9 (a) of Specification 4C, graph 7, of Specification 5B, order Feb­ order March 31, 1941), is amended to ruary 13, 1950), is amended to read as are authorized upon demonstration and read as follows: follows: 1 Variation in location authorized only proof of satisfactory tests to representa­ when necessitated by lack of space. tive of Bureau of Explosives. 2945 Wednesday, May 17, 1950 FEDERAL REGISTER 21. Sections 73a.22A-6, 73a.22A-8, order January 23, 1946), is amended to § 73a.MC330-5 Protection of valves 73a.22A-9, 73a.22A-10, 73a.22A-ll, and read as follows: and accessories, (a) All valves, fittings, 73a.22A-16 (Additional container Speci­ (b) Ends. To be of one or more plies accessories, safety devices, gaging de­ of flberboard sufficiently strong to with­ vices, and the like shall be adequately fication 22A, order July 14, 1942) are protected against mechanical damage canceled. stand prescribed tests. Wax or plastic material with flberboard inserts author­ by a housing closed with a cover plate, 2la. Section 73a.23F24 (a) (formerly ized provided the completed container except that in lieu thereof tanks used paragraph 24 (a) of Specification 23F, will withstand the prescribed tests at for the transportation of carbon dioxide order August 16, 1940), is amended to temperatures from zero to one hundred may have all valves, piping, fittings, ac­ read as follows: thirty degrees F. cessories, safety devices, gaging devices § 73a.23F-24 Closing for shipment. and the like installed within the motor 24. Section 73a.23G-4 (formerly para­ vehicle framework, or a suitable colli­ (a) By coating with adhesive at least graph 4, of Specification 23G, order Jan­ 60 percent of the entire contact surface sion-resisting subframe, guard or uary 23, 1946), is amended to read as housing. of the closing flaps. follows: 22. Section 73a.23F-30 (formerly par­ § 73a.23G-4 Stitching staples. If used shall be of steel wire, copper-coated or Part 74—R egulations Applying to agraph 30 of Specification 23F, order Carriers by R ail F reight August 16, 1940), is amended to read as equivalent in non-sparking quality, at follows: least 3/32 inch by 0.019 inch or equiva­ SUBPART B— LOADING AND STORAGE CHART lent cross section, formed into staples OF EXPLOSIVES AND OTHER DANGEROUS § 73’a.23F-30 Completed containers. approximately 7/16 inch wide. ARTICLES Samples must pass the following im­ 25. Section 73a.MC330-4 (d) (order 1. Section 74.533 (formerly section 533, mediately after exposure for two weeks January 23, 1950), is amended to read order November 8,1941, as amended), is to 90 percent humidity at 75° F.; loaded as follows: amended to read as follows: containers shall contain dummy con­ (d) Stops and anchors shall be in­ § 74.533 Loading and storage chart of tents of shape ang weight of the ex­ stalled so as to be readily accessible for pected contents, and shall be closed in explosives and other dangerous articles. inspection and maintenance, except that Explosives or other dangerous articles same manner as for shipment: for lagged tanks lagging is permitted to must not be loaded, transported or stored No change in paragraphs (a), (b) and cover such areas. .together, except as provided in the load­ (c). 26. Section 73a.MC330-5 (a) (order in g and storage chart of explosives and 23. Section 73a.23G-3 (b) (formerly January 23, 1950), is amended to read other dangerous articles shown in this paragraph 3 (b) of Specification 23G, as follows: section. M m 6 © M© é S i O ©¿5 II ©P* jDS'O cô P«H U j U 8.1© 2M© 1*1 • g ® 1? o3 92 2 fe d © o a-g 4-3©.-g CO ) & O* „-g Jj E a 0-© 1 âSÆ i*> s w ^ ©8to* •'".a o, ^ S ©S’g.-g 2 p.SRg aas A* S © 5 © h toÖ i i a*of f q IIS s f s l © 31 © a3M -g gS o %a JS® o d co ©©g d n fcuO © O © 0 f i ï Mi s %* U (h • 8 I g S m if3 £ 8 »Jj © Ä -co The following table shows the explosives § § ® ©3 Co'S "f S ■cas © co « S © S and other dangerous articles which must Ö be. a © c «sä •Pgag os © s i i l not be loaded or stored together. | j ‘o § 7 s i The letter x at an intersection of hori­ tsSi Q* 0 ,3 ’o o g.,8 2 zontal and vertical columns shows that rgSi © k. ^ n a |ft S'S Itëfgu these articles must not be loaded or stored M ® 2-0 sa a ï œ P together, for example: Detonating fuzes, £ - saügo ..s So3 O.S« l£ 55 boosters (explosive) (g) horizontal colmnn 0‘S' s f ê l- g t oS'© >• pe .1 - 0 must hot be loaded or stored with high ex­ i ’S 3 .r- g8agiS d ! 8 © plosives (b) vertical column. d S ° a w ©5 fcfgs wa!? a 2 gÿgB js S M S ©rg ifs IS‘ l e e-a®© ,0 -*j p t i f i l i a l **-*.O MU * a | a g d-a g o S Opgm 8 g Sg i l « - « ’S jS gm e fa *5’S I l J *3 ® *3 § § 8 e-Sl« § I» ¡ " « i i s s « 8 a® fe ‘sa œ> ®« *2 O Æ © g lë lls l ’So ’S 0aa» O ’O au h ü 8

Class A explosives Low explosives or black powder------— High explosives, and smokeless powder for / small arms in quantity exceeding 50 pounds net weight------Initiating or priming explosives, wet: Dia- zodinitrophenol, fulminate of mercury, guanyl nitrosamino guanylidene hydra- ' zine, lead azide, lead.styphnate, nitro marmite, nitrosoguanidine, pentaerythrite tetranitrate, tetrazene...... --— Blasting caps, with or without safety fuse (including electric blasting caps), deto­ nating primers...... — ------,—.------— Ammunition for cannon with explosive pro­ jectiles, gas projectiles, smoke projectiles, incendiary projectiles, illuminating pro­ jectiles or shell, ammunition for small arms with explosive bullets, or ammuni­ tion for small arms with explosive projec­ tiles, or rocket ammunition with explo­ sive projectiles, gas projectiles, smoke projectiles, incendiary projectiles or illuminatingminating projectiles •------v----- ° •*;------. ^ . . . . «Blasting caps or electric blasting caps in quantities not exceeding 1,000 caps may also be loaded and transported with all articles named except those in columns c. e,.andIf. not be loaded or stored with chemical ammunition containing incendiary charges either with or without°burstiig fhir’ges Chemical ammunition of the same classification containing incendiary charges may be loaded and stored together. 2946 RULES AND REGULATIONS

The following table shows the explosives and other dangerous articles which must* not be loaded or stored together. The letter x at an intersection of hori­ zontal and vertical columns shows that these articles must not bC loaded or stored to­

gether, for example: Detonating fuzes, labelgas boosters (explosive) (g) horizontal column must not be loaded or stored with high ex­ plosives (b) vertical column. caps), detonating primers exceeding 50 Dounds net weight 50 exceeding grenades jet (explosive), thrust units (jato), A class • azide, lead styphnate,erythnte nitro tetranitrate, mannite, tetrazene nitrosoguanidine, penta- of mercury, guanyl nitrosamino guanylidene hydrazine, lead 9 smoke projectiles, incendiary projectiles, illuminating projectiles or shell, ammunition ammunition for small arms for small witharmsammunition with explosive withexplosive bullets, projectiles,projectiles,explosive projectiles, gas smokepro­ or rocket or jectiles, incendiary projectiles or illuminating nrnieetiles « or without projectiles, or rocket ammunition with empty pro­ of smokeless powder for class B small arms, or jet thrust units (jato), jectiles, inert-loaded oror withoutsolid Droiectiles nrolootilAs powderigniters, empty cartridge primed,primed, cases, combination empty primers grenades, orsive percussion cable cutters,caps, toy caps, explosive rivetsexplo­ delay electric igniters, electric squibs or instantaneous fuse Low or black explosives ponder Blastingcaps, withwithout or blastingfuse (includingelectricsafety iligh explosives, and smokeless powder for small arms in quantity Initiatingprimingor wet:explosives Diazodinitrophenol, fulminate Ammunition for cannon with explosive projectiles, gas projectiles, Explosive projectiles, bombs, torpedoes, or mines, rifle or hand Detonating fuzes, boosters (explosive) Ammunition cannonfor with empty projectiles,inert-loaded solid or Small armsammunition Smokeless powderpoundscannon Smokeless for netnot or 50 exceeding weight Fireworks, special Frimers for cannon or small arms, empty cartridge bags—black Percussion fuzes, tracerfuzes or tracers Time or combination fuzes Cordeau detonant fuse, safety squibs, fuse lighters, fuse igniters, f Fireworks, common Flammable compressedliquids flammable redOr gases, label Acids or corrosive liquids, white label Flammable solids or oxidizing materials, yellow label Compressed nonflammable green gases, label Poisonousliquids,or gases in cylinders,bombs, projectilesor poison Radioactive materials D(class poison) a b e d e Í g i 2 3 4 5 6 7 8 9 10 11 12 13 14 15 — Class A explosives—Continued Explosive projectiles, bombs, torpedoes, or mines, rifle or hand grenades (explosive), „Jet thrust units (jato), class A «:______f X X X X X Detonating fuzes, boosters (explosive)____ g — X X X X X . Class B explosives Ammunitionf or cannon with empty inert- loaded or solid projectiles, or without projectiles, or rocket ammunition with empty projectiles, inert-loaded or solid „ projectiles or without projectiles 1 X Bmokeies s powder for cannon or not exceed­ X ing 50 pounds net weight of smokeless powder for small arms, or jet thrust units (jato), class B______2 X 3 X bX XX X — — ~------. ----- * —— — — X — Class C explosives “ Small arms ammunition...... 4 Primers for cannon or small arms, empty cartridge bags-black power igniters, empty cartridge ca,ses, primed, empty grenades, primed, combination primers or percussion caps, toy caps, explosive cable cutters. Explosive rivets______5 X Percussion fuzes, tracer fuzes or tracers___ 6 X _ Time or combination fuzes 7. X Cordeau detonant fuse, safety squibs, fuse —— — — —— — — lighters, fuse igniters, delay electric ignit­ — ers, electric squibs or instantaneous fuse.., 8 X Fireworks, common___ 9 X z Í —r? Other dangerous articles — Flammable liquids or compressed-flamma­ ble gases, red label______9- 10 X X X « X X Flammable solids or oxidizing materials, X — ...... yellow label 11 X X X « X X X X Acids or corrosive liquids, white label X - — 12 X X X « x X X X 6x b X X - — label______13 X X X Poisonous gases or liquids, in cylinders, X projectiles or bombs, poison gas label 14 X X X X X X X X X X - — _X X X - Radioactive materials (class D poisons).... 15 X X X X X — -- — - 1 X - ______

projectiles;* SiasE,' or smokelessssk powder. ® q H’ xWUIie x i8De1' toA,ft‘a must not De loaded awith yellow a *label articles, ,¥f-i‘ ammunition ««p* «■»->for cannon «*»»»* with or *without «<.,. c h , m S S s r a Ao't s ^sssssssssmssss g a s « ^ ei,ta wm or wmmt ^ l i I A N ote 3. Gas identification sets may be loaded and transported with all articles named except those in column o.

SUBPART D— UNLOADING FROM CARS the unloading connections must be re­ valves reducer and outlet valve cap by 2. Section 74.561 (o) (formerly para­ moved and all other closures made tight, the use of a wrench having a handle at graph (o) sec. 561, order August 16,, except that heater coil inlet and outlet 1840), is amended to read as follows: least 36 inches long, and the outlet valve pipes must be left open for drainage. cap plug, end plug, and all other closures (o) As soon as a tank car is completely The manhole cover must be applied by of openings and of their protective hous­ unloaded, all valves must be made tight. the use of a bar or wrench, the outlet ings by the use of a suitable tool. Wednesday, May 17, 1960 FEDERAL REGISTER 2947

P art 77—R egulations Applying to Shipments by W ay op Common, Contract, or P rivate Carriers by P ublic Highway 1. Section 77.825 (formerly section 825, order November 8,1941 as amended), is amended to read as follows: § 77.825 Loading and storage chart of explosives and other dangerous articles. Explosives or other dangerous articles must not be loaded, transported or stored together, except as provided in the loading and storage chart of explosives and other dangerous articles shown in this section.

The following table shows the explosives and other dangerous articles which must not be loaded or stored together. The letter x at an intersection of hori­ zontal and vertical columns shows that these

articles must not be loaded or stored to­ gas label gether, for example: Detonating fuzes, boosters (explosive) (g) horizontal column must not be loaded or stored with high ex­ plosives (b) vertical column. caps), detonating primers exceeding 50 pounds exceeding 50 net weight grenades (explosive), jet thrust units (jato), A class • erythrite tetranitrate, tetrazene or without projectiles, or rocket ammunition with empty pro­ class class B of of smokeless powder for small arms, or jet thrust units (jato), jectiles, inert-loaded or solid projectiles or without projectiles sive cable cutters, explosive rivets powder igniters, empty cartridge primed,cases, primed,‘empty combination grenades,primers or percussion caps, toy caps, explo­ of of mercury, guanylazide, lead nitrosamino styphnate, guanylidene nitro hydrazine,mannite, nitrosoguanidine, lead penta- ammunitionwith explosiveprojectiles, projectiles, gas smokepro­ delay electric igniters, electric squibs or instantaneous fuse smoke projectiles, incendiary projectiles, of illuminating shell, ammunition projectiles for ammunition small armsfor small arms with with explosive explosivebullets, projectiles, jectiles, or incendiaryrocket or projectiles or illuminating projectiles * Initiatingprimingor wet: explosives Diazodinitrophenol, fulminate Blastingwithcaps,without or fusesafety (includingblasting electric Smokeless powder for cannon or not exceeding 50 pounds powderSmokelesscannon for netnot50 or exceeding weight Low explosivesor black powder Detonatingfuzes, boosters (explosive) Ammunitioncannonwithfor empty ihert-loadedprojectiles,solid or Fireworks, special Time or combination fuzes Fireworks, common Compressed nonflammable greengases, label Explosive projectiles, bombs, torpedoes, or mines, rifle or hand Radioactive materials D(class poison) Flammable solids oroxidizing materials, yellow label Acids or corrosive liquids, white label liquids,Poisonousor gases incylinders, projectiles or bombs, poison Small arms ammunition Primers for cannon or small arms, empty cartridge bags—black Percussionfuzes, tracerfuzes or tracers Cordeau detonant fuse, safety squibs, fuse lighters, fuse igniters, Flammableliquids compressedor flammable red gases, label Ammunition for cannon with explosive projectiles, gas projectiles, High explosives, and smokeless powderfor small arms in quantity

a b 0 d • t g 1 2 3 4 6 6 7 8 9 10 11 12 18 14 15

Class A explosives

X X X High explosives, and smokeless powder for small arms in quantity exceeding 50 b X X X X Initiating or prjming explosives, Wet: Diazodinitrophenol, fulminate of mer­ cury, guanyl nitrosamino guanylidene hydrazine, lead azide, lead styphnate, nitro mannite, nitrosoguanidine, penta- X X X X X X XX X XXX X XXXX Blasting caps, with or without safety fusé (including eleçtric blasting caps), deto- d X X X ® X * X X Ammunition for cannon with explosive projectiles, gas projectiles, smoke pro­ jectiles, incendiary projectiles, illuminat­ ing projectiles of shell, ammunition for small arms with explosive bullets, or ammunition for small arms with explo­ sive projectiles, or rocket ammunition with explosive projectiles, gas projectiles, smoke projectiles, incendiary projectiles X X X X Explosive projectiles,' bombs, torpedoes, or mines, rifle or hand grenades (explosive), f X X X X g XX X X X X X Class B explosives Ammunition for cannon with empty inert- loaded or solid projectiles, or without projectiles, or rocket ammunition with empty projectiles, inert-loaded or solid 1 X Smokeless powder for cannon or not exceed­ ing 50 pounds net weight of smokeless powder for small arms, or jet thrust 2 X 3 X X X «X X X X Class C explosives , 1

4 X Primers for cannon or small arms, empty cartridge bags-black powder igniters, empty cartridge cases, primed, empty grenades, primed, combination primers or percussion caps, toy caps, explosive fi X 6 X 7 X .... ax Cordeau détonant fuze, safety squibs, fuze lighters, fuze igniters, delay electric igniters, electric squibs or instantaneous 8 X Fireworks, common______9 X X X «X X X X 1 ______1 ° Blasting caps or electric blasting caps in quantities not exceeding 1,000 cape may also be loaded and transported with all articles named except those in columns c, e, and f. Blasting caps and/or electric blasting caps m ay be transported in the same motor vehicle with high explosives or nitro­ glycerin, desensitized nitroglycerin, or diethylene glycol dinitrate, in conf ormity with § 77.824 of these regulations. 6 Acids or other corrosive liquids, white label, must not be loaded above or adjacent to flammable solids or oxidizing materials, yellow label, am­ munition for cannon with or without projectiles, or smokeless powder. e Explosives, class A, and explosives, class B, must not be loaded or st ored with chemical ammunition containing incendiary charges either with or without bursting charges. Chemical ammunition of the same classification containing incendiary charges may be loaded and stored.together. No. 95----- 4 2948 RULES AND REGULATIONS

8 ’S à ..m b 0 s PI ■ël-Sgo g ftw "3 ® S 1 ^ ® ¡s° •a .S |j.S ® "g ft O P «T s a * i i oB  S, ft ’S 2j§ 73Jr © mo fl *fl ' i-a ä 2 m m ¡¡g** ® « 3 £ 8 fi *5? “ 0 8 i^ g SS S ® - &®§ BS ftJa •PtT Oc g s l üa §a © a 2 te B £ •dcp gO.T3 *3 »OïS i l s tc.0 § ’d b 9&’a RsbI* g ä § -r 3 ° is -a j ® O The following table shows the explosives J 1 «f s i .9 w and other dangerous articles which must € a s a®g •§¿2 5 a - a è l i S'il | | | ® 3 g not be loaded or stored together. 1 1 S.® e « S a The letter x at an intersection of hori­ « ° 9 « - s*»*».® g f j f ag S o PS d M b g zontal and vertical columns shows that these ra ft £■8 a 8 2 I &*§ M.g articles must not be loaded or stored to­ 1 1 g S ■= a §» 05tg ï gether, for example: Detonating fuzes, ¿ 8 £ o S g 5 S3 S g ©s ® g-c d t ® ? $£.*2 fl ■£> S-o *sÆ b B © fl , fl 3 a g> boosters (explosive) (g) horizontal column & ?.aJ§ Sf ©Îh © aoH V must not be loaded or stored with high ex­ i f P* ^ ©*t a I s l ; s mI.»» P» 0(1Ç O plosives (b) vertical column. ©7? 03-ÌS 8.9 1 1 * ft 4 111 ë f g g a® .gl|J s | fl © rt * fl© w »2 fl S© Jj SSf| s s a - s i * ! Ii'llm hri Ä& tî JEj* OT) P ft-M © r© ® © a ö ö © h 03 **’•fl +-S © « § J'! ft d I f s l i § be £•—«.ti 25X3 ~r ©sj OrQ* ^ © 22g flÖ ©.6 *fl s l ï l fl . SO w P - s a î 08© © •’S'S «3 © i a i l l s ® a 'C ftftn ©•o a fi ◄ Pli Él 14 15

Other dangerous articles Flammable liquids or compressed flam­ mable gases, red labeL______Flammable solids or oxidizing materials, yellow label______Acids or corrosive liquids, white label____ * X Compressed nonflammable gases, green label______Poisonous gases or liquids, in cylinders, projectiles or bombs, poison gas label___ Radioactive materials (class D poisons)___

• Blasting caps or electric blasting caps in quantities not exceeding 1,000 caps may also be loaded and transported with all article«* ramAd AT/*mf *hrtCfl i« Blasting caps and/or electric blasting caps may be transported in the same motor vehicle with high explosives o r e’TdV dinitrate, in conformity with § 77.824 of these regulations. irogiyoenn, aesensltlzea nitroglycerin, or diethylene glycol * Acids or other corrosive liquids, white label, must not be loaded above or adjacent to flammable solids or oxidizine material-! w i w lahoi , „ ... without projectiles, or smokeless powder. mg materials, yellow label, ammunition for cannon with or «Explosives, class A, and explosives, class B, must not be loaded or stored with chemical ammunition containing incendiarv eharve® either with ™ w.-tv,™,* *.• v Chemical ammunition of the same classification containing incendiary charges may be loaded and stored together. * . y arges eitlier or without burstmg charges. N oth 1: Charged electric storage batteries must not be loaded in the same vehicle with explosives, class A. N ote 2: Cyanides or cyanide mixtures must not be loaded or stored with acids or corrosive liquids. Note 3: Gas identification sets may be loaded and transported with all articles named except those in column c It is further ordered, That the fore­ amended is hereby authorized on and (49 Stat. 546, as amended, sec. 835, 62 Stat. going amendments to the aforesaid reg­ after the date of service of this order. 739; 49 ü. S. C. 304, 18 U. S. C.. Sup., 835) ulations shall have full force and effect And it is further ordered, That copies on July 29, 1950, and that such regula­ of this order be served upon all parties By the Commission. tions as herein amended shall thereafter of record herein, and that notice shall be observed until further order of the be given to the general public by de­ [seal] W. P. B artel, positing a copy in the office of the Sec­ Commission. retary of the Commission at Washington, Secretary. It is further ordered, That compliance D. C., and by filing it with the Director, [F. R. Doc. 50-3955; Filed, May 16, 1950; with the aforesaid regulations as herein Division of Federal Register. 8:49 a. m.]

PROPOSED RULE MAKING

DEPARTMENT OF AGRICULTURE seq.), and the applicable rules of practice area (7 CFR, 932.0 et seq.) set forth and procedure governing the formula­ herein below, or modifications thereof. Production and Marketing tion of marketing agreements and mar­ Administration The amendments proposed have not re­ keting orders (7 CFR, Part 900), notice ceived the approval of the Secretary of I 7 CFR, Part 932 ] is hereby given of a public hearing to be Agriculture. [Docket No. AO 33-A 15] held at Van Orman Hotel, 128 West The following amendments have been Berry Street, Fort Wayne, Indiana, be­ proposed by the Allen Dairy Products, Handling of Milk in F ort Wayne, ginning at 10:00 a. m., c. d. s. t., June 1, Inc., and Wayne Cooperative Milk Pro­ Indiana, Marketing Area 1950, for the purpose of receiving evi­ ducers, Inc., Fort Wayne. Indiana: NOTICE OF HEARING ON PROPOSED AMEND­ dence with respect to economic and Proposal No. 1. 1. Delete from § 932.2 M ENTS TO TENTATIVELY APPROVED MAR­ emergency conditions which relate to the (c) (10) (ii) the word “price” and sub­ KETING AGREEMENT, AS AMENDED, AND TO handling of milk in the Fort Wayne, In­ stitute therefor the word “prices.” ORDER, AS AMENDED diana, marketing area and to the pro­ posed amendments to the tentatively 2. Delete § 932.7 (b) and substitute Pursuant to the provisions of the approved marketing agreement and to therefor the following: Agricultural Marketing Agreement Act the order, as amended, regulating the (b) Computation of uniform price. of 1937, as amended (7 U. S. C. 601 et handling of milk in the said marketing For each delivery period the market Wednesday, May 17, 1950 > FEDERAL REGISTER 2949 administrator shall compute for each Dated: May 16, 1950, at Washington, and procedure governing proceedings to handler a “uniform price” per hundred­ D. C. formulate marketing agreements and weight“, on the basis of 4% butterfat con­ marketing orders have been met. [seal] J ohn I. T hompson, It is hereby ordered, That all of this tent, received from producers as follows: Assistant Administrator. (1) From the value of milk computed decision, except the attached agreement for such handler pursuant to paragraph [F. R. Doc. 50-4268; Filed, May 16, 1050; amending the marketing agreement, be (a) of this section, subtract, if the 12:19 p.-m.] published in the F ederal R egister. The weighted average butterfat test of pro­ regulatory provisions of the said agree­ ducer milk received by him is greater ment are identical with those contained than 4% or add, if the weighted average in the attached order which will be pub­ butterfat test of such milk is less than E 7 CFR, Part 962 ] lished with this decision. 4%, an amount computed by, multiply­ [Docket No. AO-162-A2] Done at Washington, D. C., this 12th ing the amount by which its weighted day of May 1950. average butterfat test varies from 4% by Handling op F resh P eaches Grown in [seal]* Claude R. Wickard, the butterfat differential computed pur­ Georgia suant to § 932.8 (c), and multiplying Acting Secretary of Agriculture. the resulting figure by the hundred­ DECISION WITH RESPECT TO PROPOSED Order1 Amending the Order Regulating weight of such milk; AMENDMENTS TO MARKETING AGREEMENT the Handling of Fresh Peaches Grown (2) Add or subtract as the case may AND"ORDEIJ in the State of Georgia be, the amount necessary to correct Pursuant .to Public Atft No. 10, 73d errors in classification for previous de­ Congress (May 12, 1933), as amended FINDINGS AND DETERMINATIONS livery periods as disclosed by audit of and as reenacted and amended by the 962.0 Findings. the market administrator; Agricultural Marketing Agreement Act of DEFINITIONS (3) Adjust the resulting amount by 1937, as amended (48 Stat. 31, as amend­ 962.1 Secretary. the sum of money used in adjusting the ed; 7 U. S. C. 601 et seq.), and'the ap­ 962.2 Act» uniform price, pursuant to subparagraph plicable rules of practice and procedure 962.3 Person. (5) of this paragraph, for the previous governing proceedings to formulate mar­ 962.4 Area. delivery period to the nearest cent; keting agreements and marketing orders 962.5 Peaches. (4) Divide the result by the total (7 CFR, Part 900), a public hearing was 962.6 Shipper. hundred-weight of producer milk repre­ held at Macon, Georgia, beginning on 962.7 Ship. sented by the value computed to para­ February 23, 1950, pursuant to notice 962.8 Grower. 962.9 Fiscal period. graph (a) of this section; and thereof published in the F ederal R egis­ 962.10 District. (5) Adjust the resulting figure to the ter (15 F. R. 875), upon proposed amend­ 962.11 Adjacent markets. nearest cent. ments to Marketing Agreement No. 99, COMMITTEES 3. Delete § 932.7 (c) (3) and redesig­ hereinafter referred to as the “marketing nate § 932.7 (c) (4) as § 932.7 (c) (3). agreement,” and Order No. 62 (7 CFR, 962.15 Establishment of Industry Com­ 4. Delete from § 932.8 (a) (1) the pro­ Part 962), hereinafter referred to as the mittee. “order,” regulating the handling of fresh 962.16 Representation by districts on Im- viso contained therein. peaches grown in the State of Georgia. dustry Committee. Proposal No. 2. Delete from § 932.1 962.17 Selection of initial members of In­ paragraph (f) and substitute therefor Upon the basis of the evidence intro­ dustry Committee. the following: duced at the hearing and the record 962.18 Nomination of succeeding members thereof, the Assistant Administrator,, of Industry Committee. • (f) “Fort Wayne, Indiana, marketing Production and Marketing Administra­ 962.19 Conduct of nomination meetings. area,” hereinafter called the “marketing tion, on April 12, 1950, filed with the 962.20 Eligibility to vote at nomination area,” means all the territory within the Heating Clerk, United States Department meetings. county of Allen; in the State of Indiana. of Agriculture, the recommended deci­ 962.21 Selection of members of Industry Committee. Proposal No. 3. The decision of the sion in this proceeding. The notice of 962.22 Vacancies. Secretary issued on May 9,1950 (15 F. R. the filing of such recommended decision, 962.23 Qualification. 2847) deferred consideration on changes affording opportunity to file written ex­ 962.24 Alternate members of Industry in the provisions of § 932.4 (e) relating ceptions thereto, was published in the Committee. to proposal No. 4 contained in the notice F ederal R egister (15 F. R. 2146). No ex­ 962.25 Eligibility for membership on Indus- of hearing issued January 24, 1950 (15 ception to said recommended decision dustry Committee. was filed. 962.26 Term of office. F. R. 466) to delete the phrases “or di­ 962.27 Compensation and reimbursement version” and “or diverted,” wherever The material issues, findings and con­ for expenses. they appear and re-caption to read clusions, and thè general findings of the 962.28 Powers. ** “transfers” pending further considera-' recommended decision, set forth in the 962.29 Duties. tion at a public hearing. The hearing is Federal R egister (F. R. D oc. 50-3210; 15 962.30 Procedure.' reopened for the purpose of receiving ad­ F. R. 2146), are hereby approved, 962.31 Funds. adopted and incorporated herein as the 962.32 Distributors’ Advisory Committee. ditional evidence in this respect, at this material issues, findings and conclusions, 962.33 Apportionment of representation. time. and general findirigs of this decision as if 962.34 Eligibility for membership. Amendment proposed by the Dairy 962.35 Election of initial members. set forth in full herein. 962.36 Election of succeeding members. Branch, Production and Marketing Amendments to the marketing agree­ 962.37 Duties. Administration: ment and order. Annexed hereto and 962.38 Compensation and reimbursement Proposal No. 4. Make such other made a part hereof are two documents for expenses. changes as may be required to make the entitled, respectively, “Agreement EXPENSES AND ASSESSMENTS entire marketing agreement and order Amending the Marketing Agreement 962.40 Expenses. conform with any amendments thereto Regulating the ' Handling of Fresh 962.41 Assessments. that may result from this hearing. - Peaches Grown in the State of Georgia” 962.42 Rate of assessment. Copies of this notice of hearing and and “Order Amending the Order Regu­ 962.43 Increase in rate of assessment. of the order, as amended, now in effect, lating the Handling of Fresh Peaches 962.44 Accounting. may be procured from the Market Ad­ Grown in the State of Georgia,” which 962.45 Suit to enforce collection. ministrator, Room 407, Strauss Building, have been decided upon as the appropri­ Fort Wayne, Indiana, or from the Hear­ ate and detailed means of effecting the 1This order shall- not become effective foregoing conclusions. The aforesaid unless and tfntil the requirement of § 900.14 ing Clerk, United States Department of of the rules of practice and procedure govern­ Agriculture, Room 1353, South Building, amendments shall not become effective ing proceedings to formulate marketing Washington 25, D. C., or may be there unless and until the requirements of agreements and marketing orders have been inspected. § 900.14 of the aforesaid rules of practice met. 2950 PROPOSED RULE MAKING

MARKETING POLICY ified in, the marketing agreement upon § 962.62 “grower” shall also include any . Sec. which hearings have been held; and 962.48 Must be submitted prior to recom- * purchaser of a crop of peaches on the mendation. (3) There are differences in the mar­ trees. 962.49 Factors to be considered. keting of peaches grown in the produc­ § 962.9 Fiscal period. “Fiscal period” 962.50 Notice shall be given. tion area covered by said order as hereby amended that make necessary different means the period beginning on March 1 MATURITY REGULATION terms and provisions applicable to dif­ of each year and ending on the last day 962.54 Establishment. ferent marketing areas; and said amend­ of February of the following year. 962.55 Modification. atory order prescribes, so far as prac­ § 962.10 District. “District” means 962.56 Suspension. ticable, such different terms, applicable the applicable one of the following de­ REGULATION OP SHIPMENTS to different marketing areas, as are nec­ scribed geographical subdivisions of the 962.60 By grades and sizes. essary to give due recognition to such area: 962.61 By minimum standards of quality differences. (a) “South Georgia District” shall in­ and maturity. It is, therefore, ordered, That, on and clude the counties of Muscogee, Chatta­ 962.62 Exemption certificates. after the effective date hereof, the han­ hoochee, Marion, Taylor, Crawford, Bibb, 962.63 Modification, suspension, or termi­ dling of fresh peaches- grown in the Twiggs, Wilkinson, Washington, Jeffer­ nation. State of Georgia shall be in conformity son, Glascock, Burke, Johnson,'Emanuel,' INSPECTION AND CERTIFICATION S to, and in compliance with, the terms Jenkins, Screven, Stewart, Webster, 962.64 Inspection. and conditions of the aforesaid order as Schley, Macon, Peach, Houston, Sumter, 962.70 Compliance of handlers. hereby amended; and such order is Dooly, Pulaski, Bleckley, Laurens, Quit- hereby amended to read as follows: man, Randolph, Terrell, Lee, Crisp, PEACHES NOT SUBJECT TO REGULATION Sections 962.1 to 962.92, inclusive, of Wilcox, Dodge, Troutlen, Chandler, “962.71 Peaches not subject to regulation. Subpart-Order Relative to, Handling Bulloch, Effingham, Clay, Calhoun, REPORTS contained in the Assistant Administra­ Dougherty, Worth, Turner,. Tift, Irwin, tor’s recommended decision, as published Ben Hill, Telfair, Wheeler, Montgomery, 962.75 Reports. in the F ederal R egister (F. R. D oc. Toombs, Tattnall, Evans, Bryan, Chat­ EFFECTIVE TIME AND TERMINATION 50-3210; 15 F. R. 2146), are hereby ham, Early, Miller, Baker, Mitchell, 962.80 Effective time. adopted and incorporated into this order Colquitt, Cook, Berrien, -Coffee, Bacon, 962.81 Termination.' as the terms and conditions hereof as Wayne, McIntosh, Jeff Davfs, Appling, 962.82 Proceedings ^after termination. if set forth in full herein. Long, Liberty, Seminole, Decatur, Grady, Thomas, Brooks, Lowndes, Lanier, MISCELLANEOUS PROVISIONS definitions Echols, Atkinson, Clinch, Ware, Pierce, 962.85 Right of the Secretary.' § 962.1 Secretary. “Secretary” means Brantley, Glynn, Charlton, and Camden; 962.86 Duration of immunities. the Secretary of Agriculture of the (b) “Central Georgia District” shall 962.87 Agents. United States, or the Under Secretary include the counties of Carroll, Douglas, 962.88 Derogation. of Agriculture of the United States, or 962.89 Personal liability. Fulton, DeKalb, Rockdale, Newton, Wal­ 962.90 Separability. the Assistant Secretary of Agriculture ton, Morgan, Greene, Taliaferro, War­ 962.91 Amendments. of the United States, or any officer or ren, McDuffie, Columbia, Heard, Coweta, 962.92 Effect of termination or amendment. employee of the United States Depart­ Fayette, Clayton, Henry, Jasper, Putnam, ment of Agriculture to whom the Secre­ Authority : §§962.0 to 962.92, issued u n ­ Hancock, Troup, Meriwether, Spalding, der 48 Stat. 31, as amended; 7 U. S. C. 601 tary of Agriculture of the United States Butts, Pike, Lamar, Monroe, Jones, et seq. has heretofore lawfully delegated, or to Baldwin, Richmond, Harris, Talbot,, and whom the Secretary of Agriculture of Upson; and F indings and D eterminations the United States may hereafter law­ (c) “North Georgia District” shall in­ § 962.0 Findings and determinations. fully delegate, the authority to act in clude the counties of Dade, Catoosa, The findings and determinations here­ his stead. Whitfield, Murray, Fannin, Union, inafter set forth are supplementary and § 962.2 Act. “Act” means Public Act Towns, Rabun, Walker, Chattooga, Gor­ in addition to the findings and determi­ No. 10, 73d Congress (May 12, 1933), as don, Gilmer, Pickens, Lumpkin, White, nations previously made in connection amended and reenacted and amended Habersham, Floyd,' Bartow, Cherokee, with the issuance of the aforesaid order; by the Agricultural Marketing Agree­ Dawson, Hall, Banks, Stephens, Frank­ and all ôf said previous findings and de­ ment Act of 1937, as amended (48 Stat. lin, Hart, Polk, Haralson, Paulding, Cobb, terminations are hereby ratified and af­ 31, as amended; 7 U. S. C. 601 et seq.). Forsyth, Gwinnett, Barrow, Jackson, firmed except insofar as such findings Madison, Clarke, Oconee, Oglethorpe, El­ and determinations may be in conflict § 962.3 Person. “Person” m,eans an bert, Wilkes, and Lincoln. with the findings and determinations set individual, marketing agent, partner­ forth herein. ship, corporation, marketing agency, § 962.11 Adjacent markets. “Adja­ (a) Findings upon the basis of the association, legal representative, or any cent markets” means the States of Flor­ hearing record. Pursuant to the Agri­ organized group or business unit of in­ ida, Alabama, Tennessee, North Carolina, cultural Marketing Agreement Act of dividuals. and South Carolina. 1937, as amended (7 U. S. C. 601 et seq.), § 962.4 Area. “Area” meahs and in­ COMMITTEES and the rules of practice and procedure cludes the entire State of Georgia. effective thereunder (7 CFR, Part 900), § 962.15 Establishment of Industry a public hearing was held at Macon, § 962.5 Peaches. “Peaches” means Committee. An Industry Committee, Georgia, beginning on February 23,1950, and includes all varieties of peaches consisting of eight (8) members, is upon proposed amendments to the mar­ grown within the aforesaid area. hereby established to administer the keting agreement and Order No.'* 62, ef­ § 962.6 Shipper. “Shipper” is syn­ terms and provisions of this part. The fective April 27,1942, regulating the han­ onymous with “handler” and means any members of said Industry Committee, dling of fresh peaches grown in the State person who, as owner, agent, or other­ and their respective alternates, shall be wise, handles peaches. selected in accordance with the provi­ of Georgia. Upon the basis of the evi­ sions of this part. dence introduced at such hearing and § 962.7 Ship. “Ship” is synonymous the record thereof, it is found that with “handle”, and means to sell, trans­ § 962.16 Representation by districts (1) The said order as hereby amend­ port, or in any other way (except as a on Industry Committee. Three (3) ed, and all of the terms and conditions common or contract carrier of peaches members of the Industry Committee thereof, will tend to effectuate the de­ owned by another person) to place shall be selected from among growers clared policy of the act; peaches, in fresh form, in the current of in the South Georgia District; three (3) (2) The said order as hereby amended commerce between the State of Georgia members of the committee shall be se­ regulates the handling of fresh peaches and any point outside thereof. lected from among growers in the Cen­ grown in the State of Georgia in the tral Georgia District; and two (2) same manner as, and is applicable only § 962.8 Grower. “Grower” means any members of the committee shall be se­ to persons in the respective classes of person engaged in the production of lected from among growers in the North industrial and commercial activity spec­ peaches for market; however, as used in Georgia District. Wednesday, May 17, 1950 FEDERAL REGISTER 2951 § 962.17 Selection of initial members eligible to participate in designating a § 962.27 Compensation and reim­ of Industry Committee. The initial nominee at the respective meeting. bursement for expenses. Each member members of the Industry Committee, of the Industry Committee, and each al­ § 962.21 Selection of members of In­ ternate member when acting for a mem­ and their respective alternates, shall be dustry Committee. The Secretary may selected by the Secretary as soon as rea­ ber or when designated by the committee select the members of the Industry Com­ to attend, may receive compensation in sonably possible after the effective date mittee and their respective alternates, of this subpart (Apr. 27, 1942). In thus an amount not in excess of five dollars subsequent to the initial members and ($5.00) per day (a) for attending each selecting the initial members and alter­ alternates, from nominations made by nates, the Secretary may consider such meeting of the committee; (b) while growers as provided in §§ 982.15 through attending to such committee business nominations or suggestions, if any,.as, 962.38 or the Secretary may select such may be submitted by growers, and such as may be authorized by the committee; members and alternates from among and (c) for attending each consultation nominations or suggestions may be by other persons. virtue of'elections conducted by groups or conference with any committee, or of growers prior to, or immediately sub­ § 962.22 Vacancies. In the event representatives thereof, established un­ sequent to, the effective date of this sub­ nominations are not made for member­ der any marketing agreement and order part (Apr'. 27, 1942). Each of the initial ship on the Industry Committee, pur­ program, pursuant to the act, with members and his respective alternate suant to the provisions of §§ 962.15. respect to the handling of peaches grown shall serve for a term ending on Febru­ through 962.38, by February 15 of the in the area or in any other State. In ary 28, 1943, and in the event that the respective fiscal period, the Secretary addition to said compensation, each of respective person’s successor has not may select such members and their re­ the aforesaid members and alternate been selected and qualified by February spective alternates without waiting for members may be reimbursed for all rea­ 28,1943, such person shall serve until his nominees to be designated. To fill any sonable expenses necessarily incurred successor has been selected and quali­ vacancy occasioned by the failure of any in attending each such meeting, con­ fied. In selecting such initial members person, selected as" a member of the In­ ference, or consultation, or while attend­ and their alternates, the Secretary shall dustry Committee or as an alternate ing to such committee business. make his selection upon the basis of the member thereof, to qualify, or in the § 962.28 Powers. The Industry Com­ representation by districts provided for event of the dqath, removal, resignation, mittee shall have the following powers: in §§ 962.15 through 962.38. or disqualification of any qualified mem­ (a) To administer, as herein specifi­ ber or alternate, a successor for his un­ cally provided the terms and provisions § 962.18 Nomination of succeeding expired term shall be selected by the members of Industry Committee. The of this part; Industry Committee shall, after the year Secretary. (b) To make,tin accordance with the 1942, hold or cause to be held prior to § 962.23 Qualification. Each person provisions herein contained, administra­ January 31 of each year a meeting or selected as a member of the Industry tive rules and regulations; meetings of growers in each of the dis­ Committee or as ah alternate member (c) To receive, investigate, and report tricts designated in § 962.10, for the pur­ thereof shall promptly qualify by filing to the Secretary complaints of violation pose of designating nominees from with the Secretary, or with the desig­ hereof; and among whom the Secretary may select nated representative of the Secretary, a (d) To recommend to the Secretary members and alternate members of the written acceptance of appointment. . amendments to this subpart. Industry Committee. The committee § 962.24 Alternate members of Indus­ § 962.29 Duties. The Industry Com­ shall give adequate notice of any such try Committee. There shall be an al­ mittee shall have the following duties: meeting or meetings to all growers in ternate member for each member of (a) To act as intermediary between the respective district. the Industry Committee. Each such the Secretary and any grower or handler; ' § 962.19 Conduct of nomination meet­ alternate member shall have the same (b) To keep minutes, books, and rec­ ings. At each election meeting held qualifications and shall be selected in ords which will clearly reflect all of its to nominate members and alternate the same manner as the respective mem­ acts and transactions, and such minutes, members -of the Industry Committee, the ber for whom such individual is to serve books, and records shall at all times be growers eligible to participate therein as alternate. The alternate for a mem­ subject to examination by the Secretary; shall select a chairman and a secretary ber of the committee shall, in the event (c) To furnish the Secretary such therefor. The chairman of each meet­ of the respective member’s absence, act available information as may be re­ ing shall announce at such meeting the in the place of said member; and, in* quested by the Secretary; name of each person for whom a vote has the event of such member’s removal, (d) To select such employees as it may been cast, whether as member or alter­ resignation, disqualification, or death, deem necessary, and to determine the nate member, and the number of votes the alternate for said member shall, un­ salaries and define the duties of such cast for each such person, and the chair­ til a successor for the unexpired term employees; man or the secretary of the meeting of said member has been selected, act (e) To cause its books to be audited shall forthwith transmit such informa­ in the place of said member. by one or more competent accountants tion to the Secretary or the designated at least once each fiscal period, and at representative of the Secretary. At each § 962.25 Eligibility for membership on such other times as it deems necessary such meeting at least two nominees shall Industry Committee. A person nomi­ or as the Secretary may request, and to be designated for each position as mem­ nated or selected to serve as a member file with the Secretary a copy of each ber and at least two nominees shall be or as an alternate member of the In­ such audit report; designated for each position as alternate dustry Committee, for any particular (f) To prepare from time to time member on the committee as represen­ period, shall be an- individual grower statements of the financial operations of tative or representatives of the respective of peaches in the respective .district for the committee and to make such state­ district. which selected, or an officer, employee, ments, together with the minutes of the or agent of a corporate grower or corpo­ meetings of said committee, available, § 962.20 Eligibility to vote at nomi­ rate growers in such district. at the office of the committee, for in­ nation meetings. Only, growers in at­ § 962.26 Term of office. The mem­ spection by any grower; tendance at a meeting for election of (g) To perform such duties in connec­ nominees shall participate in the nomi­ bers of the Industry Committee and their respective alternates, selected sub­ tion with the administration of section nation of members and their alternates. 32 of the act to amend the Agricultural In the event a grower is engaged in pro­ sequent to the initial members and al­ ternates, shall serve, for the fiscal period Adjustment Act, and for other purposes, ducing peaches in more than one district, Public Act No. 320, 74th Congress (Au­ such grower shall elect the district within for which they have been selected and if their successors have not been selected gust 24, 1935), as amended, as may from which he shall participate in designating time to time be assigned to the commit­ nominees. Each grower shall be en­ and qualified prior to the end of the respective fiscal period, each such mem­ tee by the Secretary; titled to cast only one vote on behalf of (h) To consult with any other com­ himself, his agents, affiliates, subsidiaries, ber or alternate shall continue to serve and representatives for each position on until his respective successor shall have mittee established under any marketing the committee for which such voter is been selected and qualified. agreement and order program, pursuant 2952 PROPOSED RULE MAKING to the aforesaid act, with respect to the bers, organize and commence to function. shipments of peaches. One (1) mem­ handling of peaches grown in the area A quorum shall consist of five (5) mem­ ber of the committee shall be the han­ or in any other State; and to authorize bers or alternate members then serving dler who shipped during the preceding members and alternate members of the in the place and stead of any members. marketing season the third largest pro­ Distributors’ Advisory^ Committee to at­ For any decision of the Industry Com­ portion of the total shipments of tend such conferences and consultations; mittee to be valid, not less than five (5) peaches. The remaining four (4) mem­ (i) To defend all legal proceedings affirmative votes shall be necessary. bers of the committee shall be selected against any Industry Committee mem­ (b) The Industry Committee may pro­ from among other handlers, and in the ber or members (individually or as mem­ vide for the members thereof, including election of such members each handler bers) , or any officer or employee of such the alternates when acting as members, shall be entitled to cast one (1) vote for committee, arising out of any act or to vote by mail, telephone, teletypewriter, each 387 bushels of peaches, or the omission made in good faith pursuant to telegraph, or radiograph, and any such equivalent thereof, shipped by such han­ the provisions of this subpart; vote by telephone shall be confirmed dler during the preceding marketing sea­ (j) To select a chairman of the Indus­ promptly in writing: Provided, That if son for each nominee to be elected; try Committee and such other officers as any assembled meeting of the commit­ Provided, That the aforesaid three (3) it may deem advisable; tee is held, all votes shall be cast in members, who shall serve on the said (k) To redefine, subject to the ap­ person. committee, and any corporations, mar­ proval of the Secretary, the districts into (c) The committee may adopt such keting agencies, and cooperative asso­ which the area has been divided in this rules, not inconsistent with the pro­ ciations which designate any of the subpart or change the representation, visions of this subpart, relative to the three said members to serve on the com­ subject to the approval of the Secretary, method of conducting its business as it mittee shall not participate in selecting from any district on the Industry Com­ may deem advisable. any of the remaining four (4) members mittee ; (d) The Industry Committee shall give of the committee. Each district shall (l) To authorize, whenever the com­ to the Secretary or to the designated rep­ be represented by at least one member, mittee deems it advisable, an employee resentative of the Secretary the same and his respective alternate, on the or employees of the committee to per­ notice of its meetings as is given to the committee. form any ministerial duties of the com­ members thereof. mittee, subject to the limitations set § 962.34 Eligibility for membership. forth in this subpart: Provided, That § 962.31 Funds. All funds received Any individual person, except bne who such authorization by the committee by the Industry Committee pursuant to is a member or alternate member of the shall specify the employee or employees any provision of this subpart shall be Industry Committee, shall be eligible for and state definitely the limitation of the used solely for the purposes specified in membership on the Distributors’ Ad­ authority thus vested in the respective this subpart and shall be accounted for visory Committee. The membership of employee or employees: Provided fur­ in the following manner: (a) The Sec­ the committee may include, but is not ther, That the committee shall retain retary may, at any time, require the limited to, officers, employees, or agents concurrent authority in connection with committee and its members, including of corporate handlers, marketing agen­ any such duties and shall not authorize alternate menibers, to account for all re­ cies, or cooperative associations; and in any employee or employees to perform: ceipts and disbursements; and (b) when­ the event a corporation, marketing (1) Any duties of the committee relating ever any person ceases to be a member agency, or cooperative association quali­ to the,recommfendations to the Secretary or alternate member of the committee, fies, is elected, or is eligible to serve as pursuant to §§ 962.60 through 962.63; or he shall account for all receipts and dis­ a member, under the rules in § 962.33, (2) the duties or authority of the com­ bursements and deliver all property and such corporation, marketing agency, or funds in his hands, together with all cooperative association may designate mittee relating to the establishment of books and records in his possession, to rules and regulations pursuant to the an officer or employee thereof to serve his successor in office or to such person as member or alternate member. provisions and subject to the limitations as the Secretary may designate, and set forth in this subpart; shall execute such assignments and other § 962.35 Election of initial members. (m) Each season, prior to making any instruments as may be necessary or ap­ The initial meeting of handler^, at which recommendation to the Secretary for a propriate to vest in such successor or in members of the Distributors’ Advisory regulation of shipments pursuant to this such designated person the right to all Committee are to be selected, shall be subpart to determine the marketing pol­ the property, funds, or claims vested in called and conducted by the Secretary as icy to be followed during the ensuing, such member. soon as reasonably possible after the season and to submit a report of such effective date of this subpart (Apr. 27, policy to the Secretary as required by § 962.32 Distributors’ Advisory Com­ 1942 ). Each handler who desires to vote § 962.48; mittee. A Distributors’ Advisory Com­ at said meeting for the selection of mem­ (n) To supervise the regulation of mittee consisting of seven (7) members, bers of the Distributors’ Advisory Com­ shipments of peaches pursuant to this selected by the handlers in accordance mittee shall file with the Secretary an subpart; with the provisions of this subpart, is affidavit stating the volume of his ship­ (o) To establish such other commit­ hereby established. There shall be an ments and sales of peaches during the tees or subcommittees to aid the Industry alternate for each member of such com­ preceding marketing season. Committee in the performance of its mittee. Each alternate member shall be duties under this subpart as the Industry designated by the respective person for § 962.36 Election of succeeding mem­ Committee may deem advisable; whom he serves as alternate. An alter­ bers. Election meetings held subsequent (p) To submit to the Secretary, prior nate member shall, in the event of such to the initial meeting shall be called to May 1 of each fiscal period, a budget member’s absence from a meeting of the and conducted by the Industry Commit­ of its expenses and a proposed rate of committee, act in the place and stead of tee not later than April 15 of each fiscal assessment for the then current fiscal such member, and, in the event of a period; and each handler\who desires period; vacancy in the office of such member, to vote thereat shall file with the In­ (q) To give to the Distributors’ Advi­ shall act in the place and stead of such dustry Committee, prior to the respec­ sory Committee or the chairman thereof member until a successor for the unex.- tive meeting, a* statement including the the same notice of meetings of the In­ pired term of such member has been volume of his -shipments and sales of selected. peaches during the preceding marketing dustry Committee as is given to the season. members of the said Industry Commit­ § 962.33 Apportionment of represen­ tee; and tation. One (1) member of the Dis­ § 962.37 Duties. The Distributors’ (r) To investigate and to assemble tributors’ Advisory Committee shall be Advisory Committee may submit its data with respect to the growing, har­ the handler who shipped during the pre­ recommendations at each meeting of vesting, shipping, and marketing con­ ceding marketing season the largest pro­ the Industry Committee relative to ditions relating to peaches. portion of the total shipments of recommendations with respect to the peaches. One (1) member of the com­ regulation of shipments pursuant to this § 962.30 Procedure, (a) The Industry mittee shall be the handler who shipped subpart. When authorized by the In­ Committee may, upon the selection and during the preceding marketing season dustry Committee, members and alter­ qualification of a majority of its mem- the second largest proportion of the total nate members of the Distributors’ Wednesday, May 17, 1950 FEDERAL REGISTER 2953

Advisory Committee may attend, and lected are in excess of expenses incurred, MATURITY REGULATION participate in, conferences and consulta­ each handler entitled to a proportionate § 962.54 Establishment. The Secre­ tions with any other committee, or repre­ refund shall be credited with such re­ tary shall issue an order, whenever he sentatives thereof, established under any fund, unless such handler demands pay­ determines that the initial. Industry marketing agreement and order pro­ ment thereof, in which case such sum Committee provided for in this subpart gram, pursuant to the act, with respect1 shall be paid to the respective handler. is prepared to exercise its powers and to the handling of peaches grown in the § 962.45 Suit to enforce collection. perform its duties herein assigned, which area or in any other State. The Industry Committee may, with the will provide for the regulation pursuant § 962.38 Compensation and reim­ approval of the Secretary, maintain in to §§ 962.54 through 962.56 being and be­ bursement for expenses. Each member its own name or in the name of its mem­ coming effective at the time specified in of the Distributors’ Advisory Committee, bers a suit against any handler for the said order. After the effective time spec­ and each alternate member when acting collection of such handler’s pro rata ified in said order, issued pursuant to for a member, may receive from the In­ share of expenses. the provisions of this section, no handler dustry Committee compensation and shall ship peaches which do not meet reimbursement for all reasonable ex­ MARKETING POLICY the requirements for maturity set forth penses necessarily incurred for attend­ § 962.48 Must be submitted prior to and defined in the U. S. Standards for ance, when authorized by the Industry recommendation. Before making any Peaches, issued by the United States Committee, at each meeting of the Dis­ recommendation pursuant to §§ 962.60 Department of Agriculture, effective tributors’ Advisory Committee and at through 962.63 for a particular market­ April 22, 1933, or as such standards may each conference or consultation, as ing season, the Industry Committee shall be modified, revised, or new standards aforesaid, and while attending to such submit to the Secretary a report setting promulgated. business of the Distributors’ Advisory forth the advisable marketing policy, § 962.55 Modification. The Industry Committee as may be approved by the for such season, for peaches. Such mar­ Committee may recommend to the Sec­ Industry Committee. The rates of com­ keting policy report shall set forth the retary the modification of the maturity pensation and reimbursement for rea­ estimated regulation or regulations regulation provided in § 962.54 as to any sonable expenses incurred, as aforesaid, which may be recommended by the com­ or all varieties of peaches, and such rec­ shall be the same as those applicable to mittee during such season, the justifi­ ommendation should be accompanied by members and alternate members of the cation therefor, and the estimates and supporting information. If the Secre­ Industry Committee. other factors enumerated in § 962.49. In tary finds, upon the basis of such recom­ the event the committee deems it ad­ EXPENSES AND ASSESSMENTS mendation and information submitted visable to alter such marketing policy, by said committee, of upon the basis of § 962.40 Expenses. The Industry subsequent to submitting a report there­ other available information, that to Committee is authorized to incur such on to the Secretary, the committee shall modify such maturity regulation as to expenses as the Secretary finds may be submit to the Secretary a report setting any or all varieties of peaches will tend necessary in order to enable the com­ forth such revised marketing policy. to effectuate the declared policy of the mittee to perform its functions, in § 962.49 Factors to be considered. In act, he shall so modify such regulation. accordance with the provisions of this determining such marketing policy, or Such modification may include, but it is subpart, during each fiscal period. The such revised marketing policy, the In­ not necessarily limited to, a redefinition funds to cover such expenses shall be dustry Committee, after due considera­ of the maturity, of any or all varieties acquired by the levying of assessments, tion, shall include in the report its of peaches, established pursuant to as provided in § 962.41, upon handlers. determinations and estimates of the fol­ § 962.54 or the specification of a tolerance § 962.41 Assessments. Each han­ lowing factors and conditions: (a) The or tolerances for immature peaches. dler who first ships peaches shall pay, estimated total quantity of each variety Such modification may be made appli­ upon demand, to the Industry Committee of peaches available for shipment in cable during a specified period. In like such handler’s pro rata share of the ex­ each district during the season, includ­ manner and upon the same basis, the penses which the Secretary finds will be ing the estimated percentage of such Secretary may terminate any such modi­ necessarily incurred by the committee quantity of each variety in each district fication. for its maintenance and functioning dur­ which will be represented by each of the § 962.56 Suspension. The Industry ing each fiscal period: Provided, That no various grades and sizes; (b) the esti­ Committee may recommend to the Sec­ assessment shall be levied against peach­ mated date that peaches of each variety retary the suspension of maturity regu­ es that are exempt pursuant to § 962.71. in each district will be mature and ready lation pursuant to §§ 962.54 and 962.55 Such handler’s pro rata share of such for shipment; (c) the estimated com­ and each such recommendation should expenses shall be equal to the ratio be­ mercial crop of peaches produced in be accompanied by supporting informa­ tween the total assessable quantity of competing States and the expected time tion. If the Secretary finds, upon the peaches shipped by such handler as the of shipments of peaclies from such basis of such recommendation and in­ first shipper thereof, during the applica­ states; (d) the anticipated competition formation submitted by said committee, ble fiscal period, and the total assessable to peaches from other fruits and melons; or upon the basis of other available in­ quantity of peaches shipped by all han­ (e) the estimated market prices and formation, that to suspend such matu­ dlers as the first shippers thereof during marketing conditions that are expected rity regulation will tend to effectuate the the same fiscal period. to prevail for peaches grown in the area; declared policy of the act, he shall sus­ § 962.42 Rate of assessment. The (f) the estimated harvesting and mar­ pend the operation of such maturity Secretary shall 'specify the rate of as­ keting costs and charges that are ex­ regulation so as to permit the shipment sessment to be paid by such handlers. pected to apply to peaches grown in the of peaches, the shipment of which would otherwise be prohibited pursuant to § 962.43 Increase in rate of assess­ area; (g) the level and trend in com­ modity prices and consumer purchasing §§ 962.54 through 962.56. Such suspen­ ment.. The Secretary may, at any time sion may be made applicable during a during or after a fiscal period, increase power; and (h) other factors which the specified period. In like manner and the rate of assessment in order to secure Industry Committee deems pertinent to upon the same basis, the Secretary may sufficient funds to cover any later finding the regulation of the marketing of terminate any such suspension. by the Secretary relative to the expenses peaches. REGULATION OF SHIPMENTS of the Industry Committee. Any such § 962.50 Notice shall be given. The increase in the rate of assessment shall § 962.60 By grades and sizes—(a) be applicable to all assessable peaches Industry Committee shall promptly no­ tify handlers and growers regarding any Industry Committee recommendations. shipped during the specified fiscal period. Whenever the Industry Committee In order to provide funds to enable the marketing policy report in such manner ‘ deems it advisable to limit the shipment Industry Committee to perform its func­ as may be reasonably expected to bring of any variety or varieties of peaches, tions under this subpart, handlers may such schedules of proposed regulations, it shall recommend to the Secretary the make advance payment of assessments. and such other information as the com­ grades or sizes, or both, thereof deemed § 962.44 Accounting. If, at the end mittee deems advisable, to the attention advisable by it to be shipped during a of any fiscal period, the assessments col­ of all handlers and growers. specified period or periods ; and any such 2954 PROPOSED RULE MAKING

recommendation may include a proposal formation as may be requested by the corded in the records of the committee that separate requirements be made ap­ Secretary. as the Secretary may specify. The In­ plicable to shipments of any such variety (b) Establishment of minimum stand­ dustry Committee shall from time to or varieties of peaches to destinations in ards of quality and maturity. Whenever time submit to the Secretary reports adjacent markets different from the pro­ the Secretary finds, from the recommen­ stating in detail the number of exemption posed grade and size limitations appli­ dation and information submitted by the certificates issued, the quantity of cable to shipments of the same variety Industry Committee, or from other avail­ peaches thus exempted, and such addi­ to destinations other than in adjacent able information, that to establish mini­ tional information as may be requested markets. At the time of submitting each mum standards of quality or maturity, by the Secretary. such recommendation, the Industry or of both quality and maturity, for (d) In the event the Industry Com­ Committee shall submit to the Secretary peaches and to limit the shipment of mittee shall determine and report to the the supporting data and information, peaches to those meeting such minimum Secretary that by reason of general crop upon which it acted in making such standards would be in the public interest failure or any other unusual conditions recommendation, and shall give consid­ and would tend to effectuate the declared within a particular district or districts eration,, among other things, to the policy of the act, he shall establish such it is not feasible and would not be equi­ factors required to be considered in standards, and so limit the shipment of table to issue exemption certificates to connection with the marketing policy. peaches during a specified period or pe­ growers within that district or those dis­ The committee shall submit such other riods. The Secretary shall immediately tricts on the basis set forth in preceding data and information as may be re­ notify the Industry Committee of the paragraphs of this section, the Industry quested by the Secretary. The commit­ minimum standards so established. Committee may, by resolution duly tee shall promptly give adequate notice § 962.62 Exemption certificates, (a) adopted, specify that an exemption cer­ to handlers and growers of each such tificate shall be issued to any grower recommendation submitted by it to the The Industry Committee shall, subject to the conditions set forth in this sec­ who submits proof satisfactory to said Secretary. committee to the effect that the respec­ (b) Establishment of grade and size tion, provide for the issuance of exemp­ regulations. Whenever the Secretary tion certificates to growers: Provided, tive grower will be prevented because of finds, from the recommendation and in­ That exemption certificates shall not be such regulation from shipping as large a formation submitted by the Industry issued with respect to any variety of percentage of his peaches of such vari­ Committee or from other available in­ peaches fiuring any period when a regu­ ety as the average of all growers of such formation, that to limit the shipment of lation, pursuant to § 962.60, is in effect variety of peaches in the number or any variety or varieties of peaches to and prescribes separate requirements for group of districts specified or enumer­ particular grades or sizes, or both, would peaches that may be shipped only to ated in the resolution thus adopted by tend to effectuate the declared policy of destinations in adjacent markets. The the committee. the act, he shall so limit the shipment Industry Committee shall, subject to the (e) The Industry Committee may au­ of peaches during a specified period or approval of the Secretary, adopt pro­ thorize an employee to receive applica­ periods; and any such regulation may cedural rules to govern the issuance of tions for exemption certificates, make prescribe separate requirements for exemption certificates, and, after their the necessary investigation with regard shipments of any such variety or varie­ approval by the Secretary, the Commit­ to whether an exemption certificate ties of peaches to destinations in adja­ tee shall give adequate notice of such should be issued and, if so, the quantity cent markets different from the grade rules to handlers and growers. of peaches which should be thus ex­ and size limitations applicable to ship­ (b) In the event the Secretary issues empted, and issue for and on behalf of ments of the same variety to destinations a regulation pursuant to § 962.60 or the committee an exemption certificate : other than in adjacent markets. The § 962.61, the Industry Committee shall Provided, That the committee shall not Secretary shall immediately notify the determine the percentage which the authorize an employee or employees (I) committee of the issuance of each such grades or sizes, or both, of each variety to determine the grades or sizes, or both, regulation, and the committee shall of peaches permitted to be shipped from which could be shipped in the absence of promptly give adequate notice thereof each district, by such regulation issued any regulation; (2) determine for any to handlers and growers. by the Secretary, is of the total quantity district or districts, the percentage that (c) Safeguards. The Industry Com­ of each variety of peaches which could the quantity of a particular variety or mittee may, with the approval of the be shipped from the respective district varieties of peaches permitted to be Secretary, prescribe adequate safeguards in the absence of regulation. An exemp­ shipped pursuant to grade or size reg­ to prevent peaches that are permitted to tion certificate shall thereafter be issued ulation, or both, is of the quantity which be shipped only tt) destinations in ad­ to any grower who furnishes proof, sat­ could be shipped in the absence of grade jacent markets from being shipped to isfactory to the Industry Committee, or size regulation, or both; or (3) desig­ destinations other than in adjacent that by reason of conditions beyond his nate a group or number of districts to be markets. control he will be prevented because of used as the area which, because of gen­ the regulation established, from shipping eral crop failure or any other extraor­ § 962.61 By minimum standards of a percentage of a particular variety of his dinary - conditions within a particular Quality and maturity—(a) Industry peaches equal to the percentage deter­ district or districts, shall be used in cal­ Committee recommendation. Whenever mined as aforesaid. Such exemption culating or determining the average per­ the Industry Committee deems it advis­ certificate shall permit the respective centage of a variety of peaches that able to establish minimum standards of grower to whom the certificaté is issued could be shipped by all growers, as set quality or maturity, or of both quality to ship, or have shipped, a percentage of forth in paragraph (d) of this section. and maturity, to govern shipments of (f) If any grower is dissatisfied with peaches, it shall recommend to the Secre­ his crop of such variety of peaches equal to the percentage determined as afore­ the determination of an employee or em­ tary the particular minimum standards ployees who have exercised jurisdiction which shipments of peaches must meet. said. No exemption certificate shall be with regard to the application submitted Each such recommendation of the com­ granted to include peaches which do not by the respective grower, such ''grower mittee shall be in terms Of (1) maturity; meet the maturity requirements then in may appeal to the Industry-Committee: (2) minimum standards of quality, in­ effect. Provided, That such appeal must be cluding but not being limited to, freedom (c) The Industry Committee shall taken promptly after the decision by the from damage by worms and worm holes maintain a record of all applications sub­ respective employee or employees. If and freedom from decay, or (3) any mitted for exemption certificates pur­ any grower is dissatisfied with the de­ combination or combinations of the fore­ suant to the provisions of this section; termination by the Industry Committee going. At the time of submitting each and the committee shall maintain a rec­ with respect to the grower’s application such recommendation to the Secretary, ord of all certificates issued, including for an exemption certificate or with re­ gard to an appeal, as aforesaid, by said the Industry Committee shall also sub­ the information used in determining in grower from the determination of an mit the supporting data and information each instance the quantity of peaches employee or employees, such grower may upon which it acted in making such thus to be exempted, and a record of all appeal to the Secretary: Provided, That recommendation. The said committee shipments of exempted peaches; and such appeal shall'be taken promptly shall also furnish such other data and in- such additional information shall be re­ after the determination by the com- Wednesday, May 17, 1950 FEDERAL REGISTER 2955 mittee. The Secretary may, upon an ards of quality or maturity, or both, such any fiscal period whenever he finds, by appeal as aforesaid, modify or reverse the certificate or memorandum shall also referendum or otherwise, that such ter­ action of the committee from which such state the composition of such shipment mination is favored by the majority of in terms of such minimum standards. the growers who, during such represent­ appeal was taken. The authority of the The aforesaid certificate or memoran­ ative period as may be determined by the Secretary to supervise and control the dum shall also state whether the peaches Secretary, have been engaged in the pro­ issuance of exemption certificates is un­ in such shipment meet the then effective duction of peaches for market: Provided, limited and plenary; and any determina­ requirements applicable to such ship­ That such majority has, during such tion by the Secretary with respect to an ment. representative period, produced for mar­ exemption certificate, the application for ket more than fifty (50) percent of the an exemption certificate, or an appeal § 962.70 Compliance of handlers. Ex­ volume of such peaches produced for from the action of the committee with cept as provided in § 962.71, no handler market within the area; but such termi­ respect to an application for an exemp­ shall ship peaches, the shipment of which nation shall be effective only if an­ tion certificate shall be final and has been prohibited in accordance with nounced on or before the last day of conclusive. this subpart; and no handler shall ship February of the then current fiscal pe­ peaches except in conformity to the pro­ riod. The Secretary shall hold such a § 962.63 Modification, suspension, or visions of this subpart and the pro­ referendum within the period beginning termination. Whenever the Industry visions of the regulations, if any, issued on September 1, 1944, and ending April Committee deems it advisable to recom­ by the Secretary pursuant to the pro­ 1, 1945, and alsd each succeeding two mend the modification, suspension, or visions of this subpart. termination of any or all of the regula­ years, within the same seven-months’ PEACHES NOT SUBJECT TO REGULATION period, to determine whether the ter­ tions established pursuant to §§ 962.60 mination hereof is favored, as aforesaid, and 962.61, it shall so recommend to the § 962.71 Peaches not subject to regu­ by growers. Secretary. If the Secretary finds, upon lation. Peaches shipped for consump­ (d) The provisions of this subpart the basis of such recommendation or tion by a charitable institution or for shall, in any event, terminate whenever upon the basis of other available infor­ distribution for relief purposes or for the provisions of the act authorizing mation, that to modify any such regula­ distribution by a relief agency or dis­ them cease to be in effeet. tions will tend to effectuate the declared tribution by non-profit school lunch policy of the act, he shall so modify such agencies or peaches for manufacturing, § 962.82 Proceedings after termina­ regulations. If the Secretary finds, upon processing, canning, or conversion into, tion. (a) Upon the termination of the the basis of such recommendation or by-products on a commercial scale or provisions of this subpart, the then func­ upon the basis of other available infor­ peaches shipped by express or parcel tioning members of the Industry Com­ mation, that any such regulations ob­ post, or peaches included in shipments of mittee shall continue as trustees, for the struct or do not tend to effectuate the peaches to any person during any day by purpose of liquidating the affairs of the declared policy of the act he shall sus­ any handler if such shipments do not said committee, of all the funds and pend or terminate such regulations. The aggregate more than the equivalent of property then in the possession of or Secretary shall immediately notify the five (5) bushels shall be exempt from the under control of such committee, includ­ Industry Committee, and such committee provisions of this subpart. The Secre­ ing claims for any funds unpaid or prop­ shall promptly give notice to handlers tary may prescribe, on the basis of the erty not delivered at the time of such and growers, of each order modifying, recommendation and the information termination. The procedural rules gov­ suspending, or terminating any such submitted by the Industry Committee, erning the activities of said trustees, regulations. In like manner and upon or on the basis of any other available including but not being limited to the the same basis the Secretary may termi­ information, adequate safeguards to determination as to whether action shall nate any such modification or suspension. prevent such peaches from entering the be taken by a majority vote of the commercial channels of trade for con­ trustees, shall be prescribed by the inspection and certification sumption in fresh form. Secretary. (b) The said trustees shall continue § 962.64 Inspection. During any pe­ REPORTS riod in which the shipment of peaches in such capacity until discharged by the is regulated pursuant to the provisions § 962.75 Reports. For the purpose Secretary; and shall, from time to time, of enabling the Industry Committee to account for all receipts and disburse­ of this subpart, each handler shall, prior ments and deliver all property on hand, to making each shipment of peaches, perform its functions and duties pursu­ ant to the provisions of this subpart, together with all books and records of cause each such shipment to be inspected the Industry Committee and of the by the Federal Inspection Service or the each handler shall furnish to the com­ mittee such information, in such form trustees, to such person as the Secretary Federal-State Inspection Service or any may direct; and shal1, upon request of other inspection service designated by and at such times and substantiated in such manner as shall be prescribed by the Secretary, execute such assignments the Secretary: Provided, That this re­ or other instruments necessary or appro­ quirement shall not be applicable to any the committee and approved by the Sec­ retary, as may thus be requested by the priate to vest in such person the right to shipment of peaches which has been so all of the funds, property, and claims inspected or which is exempt pursuant committee with regard to each shipment of peaches. vested in the committee or the trustees to § 962.71. Each handler shall, pursuant to this subpart. promptly after making each shipment of effective time and termination (c) Any person to whom funds, prop­ peaches, submit to the Industry Com­ § 962.80 Effective time. The provi­ erty, or claims have been transferred or mittee a copy of the inspection certifi­ sions of this subpart shall become effec­ delivered by the Industry Committee or cate or memorandum issued with respect tive April 27,1942, and shall continue in its members, pursuant to this section, to such shipment of peaches; and such force until terminated in one of the ways shall be subject to the same obligations certificate or memorandum shall state specified in § 962.81. imposed upon the members of said com­ the maturity'of the peaches in such ship­ mittee and upon the said trustees. ment and in the event of grade regula­ § 962.81 Termination, (a) The Sec­ (d) Any funds collected for expenses tion such certificate or memorandum retary may, at any time, terminate the pursuant to the provisions of this sub­ shall also state the grade or grades of provisions of this subpart by giving at part and held by such trustees or such peaches in . such shipment, and in the least one (1) day’s notice by means of a other person, over and above amounts event of size regulation such certificate press release or in any other manner necessary to meet outstanding obliga­ or memorandum shall also state the size which he may determine. tions and the expenses incurred neces­ or sizes of peaches in such shipment, and (b) The Secrétary may terminate or sarily by the trustees or such other per­ in the event separate requirements are suspend the operation of any of the pro­ son in the performance of their duties in effect for shipments of peaches to des­ visions of this subpart whenever he finds that any such provision does not tend herèunder, shall, as soon as practicable tinations in adjacent markets such cer­ after the termination of this subpart, tificate or memorandum shall also state to effectuate the declared policy of the the composition of such shipment in act. be returned to the handlers pro rata in terms of such requirements, and in the (c) The Secretary shall terminate the proportion to their contributions made event of regulation by minimum stand- provisions of this subpart at the end of pursuant to § 962.41. No. 95----- 5 2956 PROPOSED RULE MAKING

MISCELLANEOUS PROVISIONS. part or of any regulation issued here­ cast by mail, (iii) that all ballots so cast § 962.85 Right of the Secretary. The under, or (c) affect or impair any right must be addressed to D. K. Young, Chief, members of the Industry Committee, in­ or remedy of the United States, or of Southeastern -Marketing Field Office, cluding successors and alternates thereof, the Secretary, or of any other person Fruit and Vegetable Branch, 449 West and any agent or employee appointed with respect to any such violation. Peachtree Street, Northeast, Atlanta 3, or employed by the committee, shall be [F. R. Doc. 50-4199; Filed, May 16, 1950; Georgia, and (iv) of the time prior to subject to removal or suspension at any 8:51 a. m.] which such ballots must be postmarked. time by the Secretary. Each and every (3) By giving public notice (i) by uti­ order, regulation, determination, deci­ lizing (without advertising expense) sion, or other act of each committee pro­ available agencies of public information, vided for in : this subpart shall be [ 7 CFR, Part 962 ] including both press and radio facilities subject to the continuing right of the serving the State of Georgia; (ii) by Secretary to disapprove of such order, [Docket No. AO-162-A2] mailing a notice thereof (including a regulation, decision, determination, or Handling of F resh Peaches Grown In copy of the text of the amendatory order other act, and upon such disapproval, at Georgia and a copy of the appropriate ballot any time, such action by a committee form) to each such cooperative associa­ shall be deemed null and void except as ORDER DIRECTING THAT REFERENDUM ' BE tion and to each producer whose name to acts done in reliance thereon or in conducted; designation of agents to and address is known; and (iii) by such compliance therewith prior to such dis­ . conduct referendum; determination other means as said referendum agents approval by the Secretary. OF REPREÎSENTATIVE PERIOD may deem advisable. § 962.86 Duration of immunities. The Pursuant to the applicable provisions (4) By conducting meetings of produ­ benefits, privileges, and immunities con­ of Public Act No. 10, 73d Congress (May cers and arranging for balloting at the ferred upon any person by virtue of this 12, 1933), as amended and as reenacted meeting places, if said referendum subpart shall cease upon the termina­ and amended by the Agricultural Mar­ agents determine that voting shall be at tion hereof, except with respect to acts keting Agreement Act of 1937, as meetings. At each such meeting, ballot­ done under and during the existence of amended (48 Stat. 31, as amended; 7 ing shall continue until all of the pro­ this subpart. U. S. C. 601 et seq.), it is hereby directed ducers who are present, and who desire that a referendum be conducted among to do so, have had an opportunity to § 962.87 Agents. The Secretary may, . the producers who, during the period vote. Any producer may cast his ballot by designation in writing, name any per­ March 1,1949, to February 28,1950, both at any such meeting in lieu of voting by son, including any officer ôr employee dates inclusive (which period is hereby mail. of the Government, or name any bureau determined to be a representative period (5) By giving ballots and copies of the or division in the United States Depart­ for the purpose of such referendum), text of the amendatory order to produ­ ment of Agriculture to act as his agent or ' were engaged, in the State of Georgia, in cers at the meeting; and receiving any representative in connection with any the production of peaches for market, ballots when they are cast. of the provisions of this subpart. to ascertain whether such producers (6) By securing the name and address § 962.88 Derogation. Nothing con­ favor the issuance of an order amending of each person casting a ballot, and in­ tained in this subpart is, or shall be con­ Order No. 62, effective April 27, 1942, quiring into the eligibility of such per­ strued to be, in derogation or in modifica­ regulating the handling of fresh peaches son to vote in the referendum. Any in­ tion of the rights of the Secretary or of grown in the State of Georgia; and said dividual casting a ballot on behalf of a the United States to exercise any powers amendatory order is annexed to the producer or a corporation or cooperative granted by the act or otherwise, or, in decision of the Secretary of Agriculture associations of producers shall submit, accordance with such powers, to act in filed1 simultaneously herewith. D. K. with the ballot, evidence of his authority the premises whenever such action is Young and E. E. Pinkston of the Fruit to cast such ballot. deemed advisable. and Vegetable Branch, Production and (7) By giving reasonable advance pub­ Marketing Administration, United States lic notice of the time and place of each § 962.89 Personal liability.' No mem­ Department of Agriculture, are hereby meeting authorized hereunder, and, so ber or alternate of said Industry Com­ designated agents of the Secretary of far as may be practicable, by giving ad­ mittee, nor any employee thereof, shall Agriculture to perform, jointly or sever­ ditional notice in the manner prescribed be held personally. responsible, either ally, the following functions in connec­ in paragraph (a) (3) hereof. individually or jointly with others, in tion with the referendum : (8) By appointing any county agricul­ any way whatsoever, to ' any handler (a) Conduct said referendum in the tural agent, and by authorizing the or to any person for errors in judgment, manner herein prescribed : chairman of the State Production and mistakes, or other acts, either of com­ (1) By determining the time of com­ Marketing Administration committee in mission or omission, as such member, mencement and termination of the the State of Georgia to appoint any alternate, or employee, except for acts period of the referendum, and by giving member or members of a county Pro­ of dishonesty. opportunity to each of the aforesaid duction and Marketing Administration § 962.90 Separability. If any pro­ producers to cast his ballot in the manner committee in the State of Georgia, and vision of this subpart is declared invalid, herein authorized, relative to the afore­ by appointing any other persons deemed rr the applicability thereof to any per­ said amendatory order, on a copy of the necessary or desirable, to assist the said son, circumstance, or thing is held in­ appropriate ballot form. A cooperative referendum agents in performing their valid, the validity of the remainder of association of such producers, bona fide duties hereunder. Each such person so this subj art, or the applicability thereof engaged in marketing fresh peaches appointed shall serve without compen­ to any other person, circumstance, or grown in the State of Georgia or in sation; may be authorized by the said thing, shall not be affected thereby. rendering services for or advancing the referendum agents to perform any or interests of the producers of such all of the functions set forth in para­ § 962.91 Amendments. Amendments peaches, may vote for the producers who graphs (a) (3), (4), (5), (6), and (7) to this subpart may be proposed, from are members of, stockholders in, or under hereof (which, in the absence of such time to time, by the Industry Committee contract with such cooperative associa­ appointment of subagents, shall be per­ or by the Secretary. tion (such vote to-be cast on a copy of formed by said referendum agents) in § 962.92 Effect of termination or the appropriate ballot form), and the accordance with the requirements herein amendment. Unless otherwise expressly vote of- such cooperative association set forth; and shall forward to D. K. provided by the Secretary, the termina­ shall be considered as the vote of such Young, Chief, Southeastern Marketing tion of this subpart or of any regulation producers. Field Office, Fruit and Vegetable Branch, issued pursuant hereto, or the issuance (2) By giving public notice, as pre­ 449 West Peachtree Street, Northeast, of any amendment to either thereof, scribed in (a) (3) hereof, (i) of the time Atlanta 3, Georgia, immediately after the shall not (a) affect or waive any right, during which the referendum will be close of the referendum, the following: duty, obligation, or liability which shall conducted, (ii) that any ballot may be (i) A list containing the name and have arisen prior thereto, -or (b) release address of each producer to whom a bal­ or éxtinguish any violation of this sub- 1 See F. R. Doc. 50-4199, supra. lot form was given; Wednesday, May 17, 1950 FEDERAL REGISTER 2957 *

NOTICES

DEPARTMENT OF STATE Walter Kidde & Co., Inc., 675 Main designation has been signed on behalf of Street, Belleville 9, N. J. (Approved, the Government acting through the Ad­ [Public Notice 45] F ederal R egister, September 18, 1947.) ministrator of the Rural Electrification Field Organization (F. R. 4417a, 4426, 4479, 4492, 49 Stat. 1544, Administration: CORRECTION 54 Stat. 165, 166, 346, 1028, and sec. 5 (e), 55 Loan designation: ' Amount Stat. 244, as amended; 46 U. S. C. 367, 391a, Louisiana 15L Pointe Coupee.___ $141,000. Through error, the Field Organization 404, 463a, 472, 490, 526g, 526p, 1333, 50 U. S. C. of the Department of State (Public No­ 1275; 46 CFR 25.5-1, 26.3-1, 27.3-1, 34.5-1, [seal] Claude R. Wickard, tice 43), as published in the F ederal 61.13, 77.13, 95.13, 114.15) . Administrator. R egister for May 3, 1950 (15 F. R. Dated: May 9, 1950. [F. R. Doc. 50-4201; Filed, May If, 1950; 2498), omitted the following Post: 8:51 a. m.] [seal! Merlin O’Neill, Tenerife, Canary Islands______Consulate. Vice Admiral, ■ This Foreign Service Post should be U. S. Coast Guard, Commandant. added to the listing in its proper al­ [Administrative Order 2616] phabetical sequence. [F. R. Doc. 50-4196; Filed, May 16, 1950; For the Secretary of State. 8:50 a. m.] Allocation of F unds for Loans April 18, 1950. J. Carney Howell, Deputy Director, I hereby amend: (a) Administrative Office of Management and Budget. DEPARTMENT OF THE INTERIOR Order No. 441, dated March 11, 1940, by reducing the allocation of $10,000 therein . M a y 11, 1950. Bureau of Land Management made for “Indiana 0024W1 Carroll” by [P. R. Doc. 50-4224; Piled, May 16, 1950; California $9,900 so that the reduced allocation 8:53 a. m.] shall be $100. NOTICE FOR FILING OBJECTIONS TO ORDER WITHDRAWING PUBLIC LANDS FOR USE OF [seal] Claude R. W ickard, DEPARTMENT OF THE TREASURY DEPARTMENT OF THE AIR FORCE 1 Administrator. [F. R. Doc. 50-4202; Filed, May 16, 1950;. United States Coast Guard For a period of 30 days from the date of publication of the above entitled or­ 8:51 a. m.] [CGPR 50-8] der, persons having cause to object to R einstatement of Approval of the terms thereof may present their ob­ Equipment jections to the Secretary of the Interior. Such objections should be in writing, [Administrative Order 2617] By virtue of the authority vested in should be addressed to the Secretary of me as Commandant, United States Coast the Interior, and should be filed in dupli­ Missouri Guard, by R. S. 4405 and 4491, as cate in the Department of the Interior, loan announcement amended, 46 U. S. C. 375, 489, and sec­ Washington 25, D. C. In case any objec­ April 18, 1950. tion 101 of Reorganization Plan No. 3 tion is filed and the nature of the oppo­ of 1946, 11 F. R. 7875, 60 Stat. 1097, 46 sition is such as to warrant it, a public Pursuant to the provisions of the U. S. C. 1, as well as the additional au­ hearing will be held at a convenient time Rural Electrification Act of 1936, as thorities cited with the specific items and place, which will be announced, amended, a loan contract bearing the below, the listings of termination of ap­ where opponents to the order may state following designation has been signed on proval Nos. 162.005/15/0 and 162.005/ their views and whefe the proponents of behalf of the Government acting through 16/0, contained in a notice of termi­ the order can explain its purpose, intent, the Administrator of the Rural Electrifi­ nation of approval of equipment pub­ and extent. Should any objection be cation Administration : lished in the Federal R egister dated filed, whether or not a hearing is held, Loan designation : Amount March 25,' 1950, in Document. CGFR Missouri 44S Grundy______$546,000 50-8,15 F.-R. 1682, are hereby voided be­ notice of the determination by the Sec­ cause these two items were listed in error retary as to whether the order should be [seal] Claude R. Wickard, rescinded, modified or let stand will be Administrator. and no effect shall be given to the listing given to all interested ^parties of record of termination of approval for these two and the general public. [F. R. Doc. 50-4203; Filed, May 16, 1950; items, which are set forth below for in­ 8:51 a. m.] formation purposes and will remain in C. Girard Davidson, effect for a period of five years from Sep­ Acting Secretary of the Interior. tember 18, 1947, unless sooner canceled May 10, 1950. or suspended by proper authority: [Administrative Order 2618] [F. R. Doc. 50-4171; Filed, May 16, 1950; FIRE EXTINGUISHERS, PORTABLE, HAND, 8:46 a. m.] Missouri CARBON-DIOXIDE TYPE Approval No. 162.005/15/0, Kidde ■ LOAN ANNOUNCEMENT Model 10T, 10-Lb. carbon dioxide hand DEPARTMENT OF AGRICULTURE April 18, 1950. portable fire extinguisher, Assembly Pursuant to the provisions of the Rural Dwg. No. 82507, Rev. A, dated September Rural Electrification Administration Electrification Act of 1936, as amended, 27, 1945, Name plate Dwg. No. 82508, [Administrative Order 2615] a loan contract bearing the following Rev. A, dated October 4, 1945, manufac­ designation has been signed on behalf of tured by Walter Kidde & Co., Inc., 675 Louisiana the Government acting through the Ad­ Main Street, Belleville 9, N. J. (Ap­ LOAN ANNOUNCEMENT ministrator of the Rural Electrification proved, F ederal Register, September 18, Administration: 1947.) April 14, 1950. Loan designation: Amount Approval No. 162.005/16/0, Kidde Pursuant to the provisions of the Rural Missouri 27N Andrew______■ $345, 000 Model 15T, 15-lb. carbon dioxide hand Electrification Act of 1936, as amended, portable fire extinguisher, Assembly Dwg. a loan contract bearing the following [seal] Claude R. Wickard, No. 82088, Rev. B, dated August 29, 1945, Administrator. Name plate Dwg. No. 82307, Rev. A, dated 1 See F. R. Document 50-4170, Title 43, [F. R. Doc. 50-4204; Filed, May 16, 1950; September 19, 1945, manufactured by Chapter I, Appendix, cupra. 8:51 a. m.] 2959 Wednesday, May 17, 1950 f e d e r a l r e g is t e r [Administrative Order 2626] [Administrative Order 2619] of the Government acting through the Administrator of the Rural Electrifica­ M aine Colorado tion Administration! LOAN ANNOUNCEMENT LOAN ANNOUNCEMENT Loan designation: Amount Ohio 50G Union------$120, 000 April 21, 1950. April 18, 1950. Pursuant to the provisions of the Pursuant to the provisions of the [seal] Claude R. W ickard, Rural Electrification Act of 1936, as Rural Electrification Act of 1936, as Administrator. amended, a loan contract bearing the amended, a loan contract bearing the , [F. R. Doc. 50-4208; Filed, May 16, 1950J following designation has been signed on following designation has been signed on * 8:51 a. m.] behalf of the Government acting through behalf of the Government acting through the Administrator of the Rural Elec­ the Administrator of the Rural Electrifi­ trification Administration: cation Administration: Loan designation: Amount Loan designation: . Amount [Administrative Order 2623] Maine 12G Washington...... $227,000 Colorado 7P, R Mesa...... $550,0Q0 N orth Carolina [seal] Claude R. Wickard, [seal] . Claude R. Wickard, Administrator. Administrator. LOAN ANNOUNCEMENT April 20, 1950. [P. R. Doc. 50-4212; Piled, May 16, 1950; [F. R. Doc. 50-4205; Piled, May 16, 1950; 8:52 a. m.] 8:51 a. m.] Pursuant to the provisions of the Rural Electrification Act of 1936, as amended, a loan contract bearing the following designation has been signed on behalf of [Administrative Order 2627] [Administrative Order 2620] the Government acting through the Ad­ ministrator of the Rural Electrification K ansas exas T Administration: LOAN ANNOUNCEMENT LOAN ANNOUNCEMENT Loan designation: Amount April 24, 1950. North Carolina 10S Haywood-----$100,000 April 18, 1950. Pursuant to the provisions of the Rural Pursuant to the provisions of the Rural [seal] Claude R. Wickard, Electrification Act of 1936, as amended, Electrification Act of 1936, as amended, a Administrator. a loan contract bearing the following loan contract bearing the following [P. R. Doc. 50-4209; Piled, May 16, 1950; designation has been signed on behalf designation has been signed on behalf of 8:51 a. m.j of the Government acting through the the Government acting through the Ad­ Administrator of the Rural Electrifica­ ministrator of the Rural Electrification tion Administration: Administration : Loan designation: Amount Loan designation : Amount [Administrative Order 2624] Kansas 8P Allen------$333,000 Texas 135G Ochiltree______$620,000 N orth Carolina [seal] Claude R. Wickard, [seal] Claude R. Wickard, Administrator. Administrator. LOAN ANNOUNCEMENT April 20, 1950. [P. R. Doc. 50-4213; Filed, May 16, 1950; [P. R. Doc. 50-4206; Piled, May 16, 1950; Pursuant to the provisions of the Rural 8:52 a. m.] 8:51 a. m.] Electrification Act of 1936, as amended, a loan contract bearing the following designation has been signed on behalf [Administrative Order 2628] of the Government acting through the [Administrative Order 2621] Administrator Of the Rural Electrifica­ N orth Carolina Ohio tion Administration: LOAN ANNOUNCEMENT Loan designation : Amount LOAN ANNOUNCEMENT April North Carolina 34P Anson------$490,000 24, 1950. April 19, 1950, Pursuant to the provisions of the Ru­ [seal] Claude R. W ickard, ral Electrification Act of 1936, as Pursuant to the provisions of the Rural Administrator. Electrification Act of 1936, as amended, amended, a loan contract bearing the a loan contract bearing the following [P. R. Doc. 59-4210; Filed, May 16, 1950; following designation has been signed on designation has been signed on behalf of 8:51 a. m.] behalf of the Government acting through the Government acting through the Ad­ the Administrator of the Rural Electrifi­ ministrator of the Rural Electrification cation Administration: Administration : Loan designation: Amount [Administrative Order 2625] Loan designation: Amount North Carolina 50E Wayne------$610,000 Ohio 29P Pike-...... $630,000 N orth Carolina [seal] Claude R. Wickard, [seal] Claude R. Wickard, LOAN ANNOUNCEMENT Administrator. Administrator. April 20, 1950. [P. R. Doc. 50-4214; Piled, May 16, 1950; 8:52 a. m.] [F. R. Doc. 50-4207; Piled, May 16, 1950; Pursuant to the provisions of the Rural 8:51 a. m.] Electrification Act of 1936, as amended, a loan contract bearing the following designation has been signed on behalf [Administrative Order 2629] of the Government acting through the [Administrative Order 2622] Administrator of the Rural Electrifica­ N orth Carolina Ohio tion Administration: LOAN ANNOUNCEMENT LOAN ANNOUNCEMENT Loan designation! Amount April North Carolina 10P Haywood— $670,000 26, 1950. April 19, 1950. Pursuant to the provisions of the [seal] Claude R. Wickard, Rural Electrification Act of 1936, as Pursuant to the provisions of the Rural Administrator. Electrification Act of 1936, as amended, amended, a loan contract bearing the a loan contract bearing the following [P. R. Doc. 50-4211; Piled, May 16, 1950; following designation has been signed on designation has been signed on behalf 8:51 a. m.] behalf of the Government acting through 2960 NOTICES

the Administrator of the Rural Electri­ ' [Administrative Order 2633] Loan designation: Amount fication Administration: Texas 76X Blanco— ______$172,000 Missouri Loan designation: Amount [seal] Claude R. Wickard, North Carolina 31N Halifax__ $1,070,000 LOAN ANNOUNCEMENT Administrator. April 26, 1950. [seal] Claude R. Wickard, [F. R. Doc. 50-4222; Filed, May 16, 1950; Administrator. Pursuant to the provisions of the Rural 8:52 a. m.] Electrification Act of 1936, as amended, [F. R. Doc. 50-4215; Filed, May 16, 1950; following 8:52 a. m.] a loan contract bearing the designation has been signed on behalf DEPARTMENT OF COMMERCE of the Government acting through the Administrator of the Rural Electrifica­ Office of International Trade [Administrative Order 2630] tion Administration: Loan designation: Amount D elegations of Authority Iowa Missouri 32R Atchison______$240, 000 The outstanding delegations of au­ LOAN ANNOUNCEMENT [seal] Claude R. Wickard, thority by the Secretary of Commerce to April 26,. 1950. Administrator. the Director and Assistant Director of Pursuant to the provisions of the Rural [F. R. Doc. 50-4219; Filed, May 16, 1950; the Office of International Trade, as 8:52 a. m.] amended (11 P. R. 177A-303, 10389* 15 Electrification Act of 1936, as amended, CFR 1946 Supp., 13 P. R. 747; 14 F. R. a loan contract bearing the following 1620, 5725) are further amended by designation has been signed on behalf of striking out the words "Assistant Direc­ the Government acting through the Ad­ [Administrative Order 2634]. ministrator of the Rural Electrification tor” and inserting therefor the words Administration : Georgia "Deputy Director”. LOAN ANNOUNCEMENT (63 Stat; 7; E. O. 9630, Sept. 27, 1945, 10 F. R. Loan designation: Amount 12245, 3 CFR, 1945 Supp.; E. O. 9919, Jan. 3, Iowa 32U Butler______$270, 000 April 26, 1950. 1948, 13 F. R. 59, 3 CFR, 1948 Supp.) Eseal] Claude R. Wickard, Pursuant to the provisions of the Rural [seal] Charles Sawyer, Administrator. Electrification Act of 1936, as amended, Secretary of Commerce. a loan contract bearing the following [F. R. Doc. 50-4216; Filed, May 16, 1950; [F. R. Doc. 50-4194; Filed, May 16, 1950; 8:52 a. m.] designation has been signed on behalf of the Government acting through the Ad­ 8:50 a. m.] ministrator of the Rural Electrification Administration : DEPARTMENT OF LABOR [Administrative Order 2631] Loan designation; Amount Georgia 66R Taylor______$235,000 Wage and Hour and Public Contracts - N ew Jersey [seal] Claude R. Wickard, Divisions LOAN ANNOUNCEMENT Administrator. Employment of Handicapped Clients by April 26,. 1950. [F. R. Doc. 50-4220; Filed, May 16, 1950; Sheltered W orkshops Pursuant to the provisions of the Rural 8:52 a. m.] NOTICE OF ISSUANCE OF SPECIAL CERTIFICATES Electrification Act of 1936, as amended, a loan contract bearing the following Notice is hereby given that special designation has been signed on behalf of [Administrative CSrder 2635] certificates authorizing the employment the Government acting through the Ad­ of handicapped'clients at hourly wage ministrator of the Rural Electrification Wyoming rates lower than the minimum wage rates Administration: LOAN ANNOUNCEMENT applicable under section 6 of the Pair Labor Standards Act of 1938, as amended, Loan designation : Amount April 26, 1950. and section 1 (b) of the Walsh-Healey New Jersey 6H Sussex______$50,000 Pursuant to the provisions of the Rural Public Contracts Act, as amended, have [seal] Claude R. Wickard, Electrification Act of 1936, as amended, a been issued to the sheltered workshops Administrator. loan contract bearing the following des­ hereinafter mentioned, under section. 14 ignation has been signed on behalf of the [F. R. Doc. 50-4217; Filed, May 16, *1950} of the Pair Labor Standards Act of 1938, 8:52 a. m.] Government acting through the Admin­ as amended (sec. 14, 52 Stat. 1068; 29 istrator of the Rural Electrification U. S. C. 214; as amended 63 Stat. 910), Administration : and Part 525 of the regulations issued Loan designation: Amount thereunder, as amended (29 CPR, Part Wyoming 10G Platte______$320,000 525), and urider sections 4 and 6 of the [Administrative Order 2632] Walsh-Healey Public Contracts Act [seal] Claude R. Wickard, N orth Carolina (secs. 4, 6,49 Stat. 2038; 41U. S. C. 38,40) Administrator. and Article 1102 of the regulations issued LOAN ANNOUNCEMENT [F. R. Doc. 50-4221; Filed, May 16, 1950; pursuant thereto (41 CFR 201.1102). April 26, 1950. 8:52 a. m.] The names and addresses of the shel­ Pursuant to the provisions of the Rural tered workshop^ to which certificates Electrification Act of 1936, as amended, were issued, wage rates, and the effective [Administrative Order 2636] and expiration dates of the certificates a loan contract bearing the following are as follows: designation has been signed on behalf of T exas the Government acting through the Ad­ Institute for the Crippled and Dis­ ministrator of the Rural Electrification LOAN ANNOUNCEMENT abled, Therapy Division, 400 First Ave-' Administration : nue, New York 10, New York; at a wage April 27, 1950. rate of not Jess than the piece rate paid Loan designation : Amount Pursuant to the provisions of the Rural nonhandicapped employees engaged in North Carolina 32R Person_____ $100,000 Electrification Act of 1936, as amended, a the same occupation in regular com­ [seal] Claude R. Wickard, loan contract bearing the following mercial industry maintaining approved Administrator. designation has been signed on behalf of labor standards, or not less than 5 cents the Government acting through the Ad­ per hour, whichever is higher; certificate [F. R. Doc. 50-4218; Filed, May 16, 1950; ministrator of the Rural Electrification is effective May 8, 1950, and expires 8:52 a. m.] Administration: March 31, 1951. Wednesday, May 17, 1950 FEDERAL REGISTER 2961 Institute for the Crippled and Dis­ provisions of Part 525 of the regulations, proposed trade-agreement negotiations abled, 400 First Avenue, New York 10, as amended. These certificates have with the above countries, and with any New York; at a wage rate of not less than been issued on the applicants’ repre­ of the countries with which trade-agree­ the piece rate paid nonhandicapped em­ sentations that they are sheltered work­ ment negotiations were proposed in the ployees engaged in the same occupation shops as defined in the regulations and notice of April 11, 1950 published April in regular commercial industry main­ that special services are provided their 14, 1950 (15 F. R. 2114), viz., Australia, taining approved labor standards, or not handicapped clients. A sheltered work­ Austria, Belgium, Brazil, Canada, France, less than 10 cents per hour, whichever is shop is defined as, “A charitable organi­ the Federal Republic of Germany, Guate­ higher; certificate is effective May 8, zation or institution conducted not for mala, Korea, Luxemburg, New Zealand, 1950, and expires March 31, 1951. profit, but for the purpose of carrying the Netherlands, Norway, Peru, Turkey, Goodwill Industries of Brooklyn, Inc., out a recognized program of rehabilita­ the Union of South Africa, and the 369 De Kalb Avenue, Brooklyn 5, New tion for individuals whose earning United Kingdom. Articles included in, York; at a wage rate of not less than the capacity is impaired by age or physical the list annexed to the Committee’s no-, piece rate paid nonhandicapped em­ or mental deficiency or injury, and to tice published April 14, 1950, may be ployees engaged in the same occupation provide such individuals with remunera­ considered also in negotiations with the in regular commercial industry main­ tive employment or other occupational Hew countries named in this notice. taining approved labor standards, or not rehabilitating activity of an educational In the case of each article in the list less than 50 cents per hour, whichever is or therapeutic nature.” annexed to this notice with respect to higher, and a*rate of not less than 40 These certificates may be cancelled in which the corresponding product of Cuba cents for each new client during his the manner provided by the regulations, is subject to preferential treatment, the initial 4-week evaluation period in the as amended. Any person aggrieved by negotiations will involve the elimination, workshop; certificate is effective May 9, the issuance of any of these certificates reduction, or continuation of the prefer­ 1950, and expires April 30, 1951. may seek a review or reconsideration ence, perhaps with an adjustment or The Columbus Goodwill Industries, 94 thereof within fifteen days after publi­ specification of the rate applicable to North Sixth Street, Columbus 15, Ohio; cation of this notice in the F ederal the product of Cuba. at a wage rate of not less than the piece R egister. No article will be considered in the rate paid non-handicapped employees negotiations for possible modification of engaged in the same occupation in regu­ Signed at Washington, D. C., this 5th duties or other import restrictions, impo­ lar commercial industry maintaining ap­ day of May 1950. sition of additional import restrictions, proved labor standards, or not less than Jacob I. B ellow, or specific continuance of existing cus­ 20 cents per hour, whichever is higher, Assistant Chief, toms or excise treatment unless it is and a rate of not less than 10 cents for Field Overations. included, specifically or by reference, in each new Client during his initial 4-week the lifet annexed to the notice by the evaluation period in the workshop; cer­ [F. R. Doc. 50-4175; Filed, May 16, 1950; Committee of April 11, 1950, published tificate is effective May 1, 1950 and ex­ 8:47 a. m.] April 14, 1950 (15 F. R. 2114), in the pires April 30, 1951. annexed list, or unless it is subsequently Goodwill Industries of Kentucky, 214 included in a supplementary public list. South 8th Street, Louisville 2, Kentucky; INTERDEPARTMENTAL COMMIT­ No duty or import tax imposed under a at a wage rate of not less than the piece TEE ON TRADE AGREEMENTS paragraph or section of the Tariff Act rate paid non-handicapped employees en­ or Internal Revenue Code other than the gaged in the same occupation in regular T rade-A greement Negotiations With paragraph or section listed with respect commercial industry maintaining ap­ Certain Countries to such article will be .considered for a proved labor standards, or not less than possible decrease, although an additional 25 cents per hour, whichever is higher, I. Trade-agreement negotiations with or separate duty on an article included and a rate of not less than 20 cents for Denmark, the Dominican Republic, in the annexed list which is imposed each new client during his initial 4-week India, Indonesia, Italy, and Sweden, under a paragraph or section other than evaluation period in the workshop; cer­ which are contracting parties to the that listed may be bound against in­ tificate is effective May 1, 1950 and General Agreement on Tariffs and Trade crease as an assurance that the conces­ expires June 30,1950. or will be such by May 30, 1950; sion under the listed paragraph or Minneapolis Society for the Blind, II. Supplementary notice as to trade- section will not be nullified. Inc., 1936 Lyndale Avenue South, Min­ agreement negotiations with the coun­ Persons interested in export items may neapolis, Minnesota; at a wage rate of tries named in the notice of April 11, present their views regarding any tariff not less than the piece rate paid non­ 1950, published April 14, 1950 (15 F. R. (including preferential tariff) or other handicapped employees engaged in the 2114); concessions that might be requested of same occupation in regular.commercial III. Possible adjustment in preferen­ Denmark, the Dominican Republic, industry maintaining approved labor tial rates on Cuban products. India, Indonesia, Italy, and Sweden. standards, or not less than 22 cents per Pursuant to section 4 of the Trade Pursuant to section 4 of the Trade hour, whichever is higher, and a rate of Agreements Act, approved June 12,1934, Agreements Act, as amended, and Para­ not less than 10 cents for each new client as amended (48 Stat. 945, ch. 474, Public graph 5 of Executive Order 10082 of during his initial 4-week evaluation Law 307, 81st Cong.) and to paragraph 4 October 5, 1949, information and views period in the workshop; certificate is ef­ of Executive Order 10082 of October 5, as to any aspect of the proposals an­ fective May 1, 1950 and expires June 30, 1949 (14 F. R. 6105), notice is hereby nounced in this notice may be submitted 1950. given by the Interdepartmental Commit­ to the Committee for Reciprocity Infor-^ Union Gospel Mission, 716 y2 First tee on Trade Agreements of intention mation in accordance with the an-' Avenue, Seattle 4, Washington; at a wage to conduct trade-agreement negotiations nouncement of this date issued by that rate of not less than the piece rate paid with the following countries, including Committee.1 non-handicapped employees engaged in in each case areas in respect of which The United States Tariff Commission the same occupation in regular com­ the country has authority to conduct has issued a notice (15 F. R. 2114) stat­ mercial industry maintaining approved trade-agreement negotiations: Denmark, ing the location and availability of tariff labor standards, or not less than 50 cents the Dominican Republic, India, Indo­ an4 commodity information pertinent to per hour, whichever is higher, and a rate nesia, Italy, and Sweden. This notice is the pending negotiations. of not less than 25 cents for each new supplementary to the notice by the By direction of the Interdepartmental client during his initial 4-week evalua­ Committee dated April 11,1950 and pub­ Committee on Trade Agreements this tion period in the workshop; certificate lished April 14, 1950 (15 F. R. 2114). 15th day of May, 1950. m is effective January 25, 1950 and expires There is annexed hereto a list of January 24, 1951. articles imported into the United States Carl D. Corse, The employment of handicapped to be considered for possible modifica­ Chairman, Interdepartmental clients in the above-mentioned sheltered tion of duties and other import restric­ Committee on Trade Agree­ workshops under these certificates is tions, imposition of additional import ments. limited to the terms and conditions restrictions, or specific continuance of therein contained and is subject to the existing customs or excise treatment in 1 See F. R. Doc. 50-4263, infra. 2962 NOTICES

L ist of Articles I mported I nto the stoneware; all the foregoing, and manu­ sawing and wood-working machines; United States Which I t I s P roposed factures wholly or in chief value of such and parts of any of the foregoing. Should Be Considered in T rade- ware (hot including stoneware and 396. Bit braces, if hand tools, and parts Agreement Negotiations W ith the earthenware crucibles), not specially thereof, wholly or in chief value of metal, Countries Specified in F oregoing provided for. not specially provided for. Public Notice 218. (f) All articles of every descrip­ 397. Articles or wares not specially The following list contains descrip­ tion not specially provided for, composed* provided for, if composed wholly or in tions of articles imported into the United wholly or in chief value of glass, blown chief value of iron, steel, lead, copper, States which it is proposed should be or partly blown in the mold or other­ brass, nickel, pewter, zinc, aluminum, or considered for possible modification of wise, or colored, cut, engraved, etched, other metal, but not plated with plati­ duties and other import restrictions, im­ frosted, gilded, ground (except such num, gold, or silver, or colored with gold position of additional import restrictions, grinding" as is necessary for fitting lacquer, whether partly or wholly or specific continuance of existing cus­ stoppers or for purposes other than or­ manufactured: Blow torches and incan­ toms Or excise treatment in the trade- namentation), painted, printed in any descent lamps, designed to be operated agreement negotiations which are manner, sandblasted, silvered, stained, by compressed air and kerosene or gas­ proposed with the countries specified in or decorated or ornamented in any oline; and parts of carbonated-water the foregoing public notice. manner: siphons. For the purpose of facilitating identi­ Christmas tree ornaments valuqd at chedule ugar olasses and $7.50 or more per gross. S 5—S , M , fication of the articles listed, reference is Manufactures of madeJn the list to the paragraph num­ Schedule 3—Metals and Manufactures 502. Molasses and sugar sirups, not bers of the tariff schedules in the Tariff of Act of 1930. The descriptive phraseology specially provided for (except molasses is frequently limited to a narrower scope 331. Cut tacks and brads, of iron or and sugar sirups containing soluble non­ than that covered by the cited para­ steel, not exceeding two inches in length. sugar solids, excluding stny foreign sub­ graph. In such cases only the articles 353. Electrical X-ray apparatus, in­ stance that^ may have been added or struments (other than laboratory), and developed in the product, equal to more covered by the descriptive phraseology of than 6 per centum of the total soluble the list will come under consideration devices (except X-ray tubes); calculat­ solids). for negotiation. ing machines specially constructed for In the event that an article which as multiplying and dividing, having as an Schedule 6—T obacco and of January 1,1950, was regarded as clas­ essential feature an electric motor; all Manufactures of sifiable under a description included in the foregoing and parts thereof, finished the list is excluded therefrom by judicial 601. Wrapper tobacco, and filler to­ decision or otherwise prior to the inclu­ or unfinished, wholly or in chief value bacco when mixed or packed with more sion of such description in a trade agree­ of metal, and not specially provided for. than 35 per centum of wrapper tobacco. ment, the list will nevertheless be 360 [1559.1 Slide rules wholly or in Schedule 7—Agricultural P roducts and considered as including such article. chief value of synthetic resins. P rovisions The United States Tariff Commission 366. Pistols and revolvers: Automatic, has issued a notice (15 F. R. 2114) stating single-shot, magazine, or revolving, 717. (a) Fish, fresh or frozen the location and availability of tariff and valued at more than $8 each. (whether or not packed in ice), whole, 368. Clockwork mechanisms, and any or beheaded or eviscerated or both, but commodity information pertinent to the not further advanced (except that the pending negotiations announced herein. mechanism, device, or instrument in­ tended or suitable for measuring time, fins may be removed): Turbot. Schedule 1—Chemicals, Oils, and P aints distance, speed, or fares, or the flowage (b) Fish, fresh or frozen (whether or 38. Extracts, dyeing and tanning: of water or gas, or similar uses, or for not packed in ice), filleted, skinned, Chestnut, divi-divi, and hemlock. regulating, indicating, or controlling the boned, sliced, or divided into portions, 41. Glue, not specially provided for, of speed of arbors, drums, disks, or similar not specially provided for: Turbot. animal origin, and valued at less than 40 uses, or for recording or indicating time, 718. (a) Fish, prepared or preserved cents per pound. or for recording, indicating, or perform­ in any manner, when packed in oil or ing any operation or function at a in oil and other substances .'^Anchovies, Schedule 2—Earths, Earthenware, predetermined time or times, all the valued at not over 9 cents per pound, and Glassware above, whether or not in cases, contain­ including the weight of the immediate 202. (a) Tiles, unglazed, glazed, orna­ ers, or housing, if valued at more than container. mented, hand painted, enameled, vitri­ $10 each (except the articles enumer­ [1559] Antipasto, valued at not over fied, semivitrified,'decorated, encaustic, ated or described in paragraph 367, 9 cents per pound, including the weight ceramic mosaic, flint, spar, embossed, Tariff Act of 1930, and except mecha­ of the immediate container. gold decorated, grooved or corrugated, nisms, devices, or instruments intended (b) Fish, prepared or preserved in and all other earthern tiles and tiling by or suitable for measuring the flowage of any manner, when packed in air-tight whatever name known (except pill tiles, electricity, pigeon timers, ships’ logs, containers weighing with their contents but including tiles wholly or in part of depth-sounding mechanisms, devices, or not more than fifteen pounds each cement) : instruments, and time switches); and (except fish packed in oil or in oil or Clay floor and wall tiles, glazed, how­ parts provided for in paragraph 368 (c) other substances): Eels, smelts, and fish ever provided for above (except ceramic (6), Tariff Act of 1930 (except parts for livers. mosaic tiles and except quarries or clocks, clock movements, including lever 724. Corn or maize, including cracked quarry tiles), valued at more than 40 movements, or for time-keeping, time­ corn, when imported into Puerto Rico. cents per square foot; floor and wall tiles, measuring, or time-indicating mecha­ 752. Fruits in brine, pickled, dried, wholly or in part of cement; and tiles nisms, devices and instruments). desiccated, evaporated, or (if other than other than floor and wall tiles. (g) Taximeters and parts thereof, guavas) otherwise prepared or preserved, 208. (e) Mica plates and built-up mica, finished or unfinished. and not specially provided for (except and all manufactures of mica, or of 372. All other machines, finished or bananas, dried, desiccated, or evapo­ which mica is the component material unfinished, not specially provided for, rated), and mixtures of two or more of chief value, by whatever name known, and parts, not specially provided for, fruits, prepared or preserved. and to whatever use applied, and wholly or in chief value of metal or por­ 756. Chestnuts (including marrons), whether or not named, described, or pro­ celain: Calculating and accounting ma­ candied, crystallized, or glace, or pre­ vided for in a a r paragraph of the Tariff chines; tobacco machines (except pared or preserved in any manner. tobacco cutting and industrial cigarette 761. Cashew nuts, shelled or un­ Act of 1930 other than paragraph 208. making machines); wrapping and pack­ shelled. 210. Common yellow, brown, red, or aging machines (except machines for 763. Grass Seeds and other forage crop gray earthenware, plain or embossed, packaging pipe tobacco, machines for seeds: Kentucky bluegrass. composed of a body wholly of clay which wrapping cigarette packages, machines 770. Garlic. is unwashed, unmixed, and not arti­ for wrapping candy, and combination 774. Vegetables in their natural state: ficially colored; common salt-glazed candy cutting and wrapping machines); Crude horseradish. Wednesday, May 17, 1950 FEDERAL REGISTER 2963

781. Spices and spice seeds: Curry and S chedule 13—Manufactures of R ayon 1528. Rubies and sapphires, cut but curry powder. or Other S ynthetic T extile not set, and suitable for use in the man­ ufacture of jewelry. Imitation precious S chedule 8— Spirits, Wines, and Other 1306. Woyen fabrics in the piece, B everages wholly or in chief value of rayon or stones, cut or faceted, and imitation 882. Rum. other synthetic textile, not specially pro­ semiprecious stones, faceted. 804. Still wines, including ginger wine vided for, valued at not more than $4 1530. (b) Leather (except leather pro­ or ginger cordial (except still wines pro­ per pound, and whether or not Jacquard- vided for in subparagraph (d) of para­ duced from grapes, containing 14 per figured. graph 1530, Tariff Act of 1930) , made centum or less of absolute alcohol by from hides or skins of cattle of the bovine volume, and not including vermouth or Schedule 14—P apers and B ooks species: rice wine or sake); and beverages, not 1402. Leather board or compress [1559.] (5) Hides, untanned, but de- specially provided for, similar to any of leather, solid fiber shoe board and all haired and oiled or greased, and cut to the beverages specified in paragraph counterboard, not plate finished, super- even thickness. 804, Tariff Act of 1930. calendered or friction calendered, lam­ (7) Buffalo leather, rough, partly fin­ inated by means of an adhesive ished, finished, or curried, not specially S chedule 9—Cotton Manufactures substance, coated, surface stained or provided for. 909. Pile fabrics (not including pile dyed, lined or vat-lined, embossed, (c) Leather (except leather provided ribbons), cut or uncut, whether or not printed, decorated or ornamented in any for in subparagraph (d) of paragraph the pile covers the entire surface, wholly manner, nor cut into shapes for boxes 1530, Tariff Act of 1930), made from or in chief value of cotton: Twill-back or other articles and not specially pro­ hides or skins of animals (not including velveteens. vided for. cattle of the bovine species), in the 911. (a) Blankets or blanket cloth, 1406. Labels, flaps, and bands, com­ rough, in the white, crust, or russet napped or unnapped, if Jacquard- posed wholly or in chief value of paper partly finished, or finished: Skivers. figured. lithographically printed in whole or in Vegetable-tanned rough leather made 923. Manufactures, wholly or in chief part from stone, gelatin, metal, or other from goat, skins (including those com­ value of cotton, not specially provided material, not specially provided for : mercially known as India-tanned goat for: Badminton nets. Cigar bands, printed in 8 or more colors skins). (bronze printing to be counted as 2 Leather (except leather provided for in S chedule 10—F lax, Hemp, Jute, and colors), but not printed in whole or in subparagraph (d) of paragraph 1530, Manufactures of part in metal leaf ; and Tariff Act of 1930), if made from sheep, 1003. Jute yarns or roving, single. Labels, flaps, and bands (except cigar lamb, reptile, shark, or pig skins, and cut 1004. (a) Single yariis, of flax mixed bands), not exceeding 10 square inches or wholly or partly manufactured into with hemp or ramie or with hemp and cutting size in dimensions, if embossed uppers, vamps, or any forms or shapes ramie. or die-cut and printed in whole or in suitable for conversion into boots, shoes, part in metal leaf. or footwear. 1015. Fabrics, with fast edges, not 1558. Articles manufactured, in whole exceeding 12 inches in width, wholly or S chedule 15—Sundries in chief value of vegetable fiber: Web­ or in part,, not specially provided for bing wholly or in chief value of jute. 1504. (b) Hats, bonnets, and hoods, (except the following: Banana flour and 1019. Bagging for cotton, gunny cloth, composed wholly or in chief value of plantain flour; dog food, unfit for hu­ and similar fabrics, suitable for cover­ straw, chip, grass, willow, osier, rattan, man consumption; frog legs; prepara­ ing cotton, composed of single yarns real horsehair, cuba bark,' or ramie, tions (other than sauces) for flavoring made of jute, jute buttp, or other veg­ whether wholly or partly manufactured: or seasoning food, in chief value of yeast etable fiber, not bleached, dyed, colored, (1) Not blocked or trimmed, and not extract, and containing no alcohol; thick stained, painted, or printed, not exceed­ bleached, dyed, colored, or stained (not soy; edible preparations for human con­ ing sixteen threads to the square inch, including hats and hoods composed sumption; synthetic rubber and syn­ counting the warp and filling, and wholly or in chief value of the fiber of thetic rubber articles; textile grasses or weighing not less than fifteen ounces the Carludovica palmata, commercially fibrous vegetable substances; tall oil or nor more than thirty-two ounces per known as toquilla fiber or straw). liquid rosin; incense; fatty acids derived (2) Not blocked or trimmed, if from vegetable, animal, or fish oils, or square yard. bleached, dyed, colored, or stained. from animal fats or greases; marine- 1021. Carpets, carpeting, mats, mat­ 1513. Dolls and doll clothing, com­ glue pitch; coconut shell char; lecithin ting, and rugs, wholly or in chief value posed in any part, however small, of any and materials made therefrom; ficin of flax or hemp, or a mixture thereof, powder; and yeast). or a mixture of either or both with jute. of the laces, fabrics, embroideries, or other materials or articles provided for F ree List 1022. Pile mats and floor coverings, in paragraph 1529 (a), Tariff Act of 1930; wholly or in chief value of cocoa fiber. and all other dolls and parts of dolls (in­ 1656. Coir yarn. 1662. Cotton, not specially provided S chedule 12—Silk Manufactures cluding clothing and doll heads but not including dolls and parts of dolls com­ for (except linters), and cotton waste. 1205. Woven fabrics in the piece, posed wholly or in chief value of any 1669. Psyllium seed, senna, and san­ wholly or in chief value of silk, not spe­ product provided for in paragraph 31, dalwood, all the foregoing which are cially provided for: Jacquard-figured, Tariff Act of 1930). natural and uncompounded drugs and not bleached, printed, dyed, or colored; 1516. Wax matches. not edible, and not specially provided Jatquard-figured, with fibers chiefly but 1527. (c) Articles valued above 20 for, and are in a crude state, not ad­ not wholly of silk, bleached, printed, cents per dozen pieces, designed to be vanced in value or condition by shred­ dyed, or colored, and valued at more worn on apparel or carried on or about ding, grinding, chipping, crushing, or than $5 per pound; or not Jacquard- or attached to the person, and parts any other process or treatment what­ figured, with fibers chiefly but not wholly thereof, finished or unfinished : ever beyond that essential to the proper of silk, bleached, printed, dyed, or col­ (2) Composed wholly or in chief value packing of the drugs and the prevention ored. of metal other than gold or platinum of decay'or deterioration pending manu­ Woven fabrics in the piece, not exceed­ (whether or not enameled, washed, cov­ facture and not containing alcohol. ing thirty inches in width, whether ered, or plated, including rolled gold 1670. Dyeing or tanning materials: woven with fast or split edges, wholly or plate), or (if not composed in chief Divi-divi, qiyrobalans fruit, and curupay in chief value of silk, including umbrella value of metal and if not dutiable under bark, whether crude or advanced in silk or Gloria cloth: Whether or not clause (1) of subparagraph (c) of para­ Jacquard-figured, with fibers chiefly but graph 152, Tariff Act of 1930) set with value or condition by shredding, grind­ not wholly of silk, bleached, printed, and in- chief value of precious or semi­ ing, chipping, crushing, or any similar dyed, or colored, and valued at more precious stones, pearls, cameos, coral, process, not containing alcohol, and not than $5 per pound. amber, imitation precious or semipre­ specially provided for. 1211. All manufactures, wholly or in cious stones, or imitation pearls: Mesh 1684. Grasses and fibers: Sunn, not chief value of silk, not specially provided bags and parts thereof, valued at not dressed or manufactured in any manner, for. above $5 per dozen pieces or parts. and not specially provided for. No. 95----- 6 2964 NOTICES

1686. Gums and resins: Copal, kadaya, of the preference, perhaps with an ad­ By direction of the Committee for talka, and cashew nut shell liquid, not justment or specification of the rate ap­ Reciprocity Information this 15th day specially provided for. plicable to the product of Cuba. 1719. Minerals, crude, or not advanced of May, 1950. The Committee for Reciprocity Infor­ Edward. Yardley, in value or condition by refining or mation hereby gives notice that- all ap­ Secretary, Committee for grinding, or by other process of manu­ plications for oral presentation of views Reciprocity Information. facture, not specially provided for': in regard to the foregoing proposals, Kyanite, sillimanite, ilmenite, and il- [F. R. Doc. 50-4263; Filed, May 16, 1950; which must indicate the product or 2:30 p. m«] menite sand. products on which the individuals or 1731. Oils, distilled or essential: Pal- groups desire to be heard, shall be sub­ marosa, not mixed or compounded with mitted to the Committee for Reciprocity FEDERAL POWER COMMISSION or containing alcohol. Information not later than 12:00 noon, 1732. Oils, expressed or extracted; June 5, 1950, and all information and [Docket No. E-6271] Sweet almond. views in writing in regard to the fore­ 1765. Skins of all kinds, raw, and hides going proposals shall be submitted to the I owa Public Service Co. not specially provided for: Goat and kid. Committee for Reciprocity Information 1768. Spices and spice seeds: (2) Fen­ NOTICE OF ORDER AUTHORIZING ISSUANCE OF not later than 12:00 noon, June 12, 1950. SECURITIES nel. Such communications shall be ad­ [F. R. Doc. 50-4262; Filed, May 16, 1950; dressed to “The Chairman, Committee May 12, 1950. 2:30 p. m.] for Reciprocity Information, Tariff Com­ Notice is hereby given that, on May mission Building, Washington 25, D. C.’\ 11, 1950, the Federal Power Commission Ten copies of written statements, either issued its order entered May 10, 1950, COMMITTEE FOR RECIPROCITY typed, printed, or duplicated shall be authorizing issuance of securities in the INFORMATION submitted, of which one copy shall be above-designated matter. sworn to. Trade-Agreement Negotiations With Public hearings will be held before the [seal] Leon M. F uquay, Certain Countries Committee for Reciprocity Information, Secretary. SUBMISSION OF INFORMATION TO COMMITTEE at which oral statements will be heard. [F. R. Doc. 50-4193; Filed, May 16, 1950; The first hearing will be at 10:00 a. m. 8:50 a. m.] I. Trade-agreement negotiations with on June 19, 1950, in the Hearing Room Denmark, the Dominican Republic, in the Tariff Commission Building, 7th India, Indonesia, Italy, and Sweden, and E Streets NW., Washington 25, which are contracting parties to the Gen­ D. C. Witnesses who make application [Docket No. E-6280] eral Agreement on Tariffs and Trade or to be heard will be advised regarding the will be such by May 30,1950; time and place of their individual ap­ Montana-D akota U tilities Co. II. Supplementary notice as to trade- pearances. Appearances at hearings NOTICE OF ORDER AUTHORIZING ISSUANCE OF agreement negotiations with the coun­ before the Committee may be made only PROMISSORY NOTES tries named in the notice of April 11, by or on behalf of those persons who 1950, published April 14, 1950 (14 F. r ’ have filed written statements and who May 11,1950. 2114); have within the time prescribed made Notice is hereby given that, on May 10, III. Possible adjustment in preferen­ written application for oral presentation 1950, the Federal Power Commission is­ tial rates on Cuban products. of views. Statements made at the pub­ sued its order entered May 9, 1950, au­ Submission of information to the Com­ lic hearings shall be under oath. thorizing issuaiice of promissory notes in mittee for Reciprocity Information. the above-designated matter. Closing date for application to be heard, Persons or groups interested in im­ June 5,1950. Closing date for submission port products may present to the Com­ [seal] Leon M. F uquay, of briefs, June 12, 1950. Public hearings mittee their views concerning possible Secretary. open, June 19, 1950. tariff concessions by the United States [F. R. Doc. 50-4173; Filed, May 16, 1950; The Interdepartmental Committee on on any product, whether or not included 8:46 a. m.] Trade Agreements has issued on this day in the list annexed to the notice of in­ a notice of intention1 to conduct trade- tention to negotiate. However, as in­ agreement negotiations with the follow­ dicated in the notice of intention to ing countries including in each case areas negotiate, no tariff reduction will be [Docket No. G-1333] in respect of which the country has au­ considered on any product which is not U nited Natural Gas Co. thority to conduct trade-agreement included in the list annexed to the pub­ negotiations: Denmark, the Dominican lic notice by the Interdepartmental NOTICE OF FINDINGS AND ORDER ISSUING Republic, India, Indonesia, Italy, and CERTIFICATE OF PUBLIC CONVENIENCE AND Sweden. Committee on Trade Agreements of April It, 1950, published April 14, 1950 NECESSITY Annexed to the notice by the Inter­ May 11, 1950. departmental Committee on Trade (15 F. R. 2114), the list annexed to the notice issued by said Committee on this Notice is hereby given that, on May 10, Agreements is a list of articles imported 1950, the Federal Power Commission is­ into the United States to be considered date, or in a supplementary public list. sued its findings and order entered May for possible trade-agreement negotia­ Persons interested in export items may 9, 1950, issuing certificate of public con­ tions supplementary to the list annexed present their views regarding any tariff venience and necessity in the above- to the notice by that Committee of April (including preferentiaf tariff) or other designated matter. 11, 1950, published April 14, 1950 (15 concessions that might be requested of F. R. 2114). Articles in either list may Denmark, the Dominican Republic, [seal] Leon M. Fuquay, be considered for negotiation with the India; Indonesia, Italy, and Sweden. Secretary. above countries and with the countries Copies of the list attached to the notice [F. R. Doc. 50-4174; Filed, May 16, 1950; named in the notice published April 14 8:47 a. m.] 1950. of intention to negotiate may be The Interdepartmental Committee On obtained from the Committee for Reci­ Trade Agreements has also "announced procity Information at the address desig­ in such notice that, in thè case of each nated above and may be inspected at the [Docket No. G-1386] article in the list with respect to which field offices of the Department of Com­ the corresponding product of Cuba is merce. The United States Tariff Com­ Tennessee Gas Transmission Co. subject to preferential treatment, the mission has issued a notice (15 F. R. 2114) NOTICE OF APPLICATION negotiations referred to will involve the stating the location and availability of May 11, 1950. elimination, reduction, or continuation tariff and commodity information perti­ Take notice that Tennessee Gas Trans­ nent to the pending negotiations an­ mission Company (Applicant), a Dela­ 1 See F. R. Doc. 50—4262, supra. nounced herein. ware corporation, of the Commerce Wednesday, May 17, 1950 FEDERAL REGISTER 2965 Building, Houston, Texas, filed on May 4, strike of firemen over any available route [4th Sec. Application 25097] 1950, an application for a certificate of to expedite the movement; the billing Onions F rom R acine, W is ., to the South public convenience and necessity pur­ covering all such cars rerouted shall suant to section 7 of the Natural Gas carry a reference to this order as author­ application for relief Act, authorizing the sale of natural gas ity for the rerouting. May 12, 1950. to Inland Gas Corporation (Inland) It is further ordered, That this amend­ The Commission is in receipt of the through an existing connection between ment shall become effective at 4:00 p. m., above-entitled and numbered applica­ the facilities of Applicant and Inland May 10, 1950, and that this order shall tion for relief from the long-and-short- located in Carter County, Kentucky. be served upon the Association of Amer­ haul provision of section 4 (1) of the Applicant has heretofore served gas to ican Railroads, Car Service Division, as Interstate Commerce Act. Inland on an interruptible basis pursuant agent of all the railroads subscribing to Filed by: R. G. Raasch, Agent, for and to authorization granted by the Com- the car service and per diem agreement on behalf of carriers parties to his tariff missiQn in its orders of August 1, 1947, under the terms of that agreement, and I. C. C. No. 578. at Docket No. G-808 and July 26, 1949, by filing it with the Director, Division Commodities involved: Onions, with­ at Docket No. G-962. Applicant now of the Federal Register. out tops, carloads. proposes to serve Inland 20,000 Mcf per Issued at Washington, D. C., May 10, From: Racine, Wis. day on a firm basis as provided for in 1950. To: Points in the south. the contract between the parties dated Interstate Commerce Grounds for relief: Circuitous routes. January 26, 1950, which contract was Commission, Schedules filed containing proposed received in evidence as Exhibit 27 in the Homer C. K ing, rates: R. G. Raasch’s tariff I. C. C. No. proceedings in Docket No. G-1248. The Agent. 578, Supplement 106. capacity to enable Applicant to render Any interested person desiring the the service will be provided for out of [F. R. Doc. 50-4179; Filed, May 16, 1950; Commission to hold a hearing upon such facilities to be authorized in Docket No. 8:47 a. m.] application shall request the Commis­ G-1248 or out of facilities subsequently sion in writing so to do within 15 days to be applied for and authorized by the from the date of this notice. As provided Commission. by the general rules of practice .of the Protests or petitions to intervene may [4th Sec. Application 25096] Commission, Rule 73, persons other than be filed with the Federal Power Commis­ applicants should fairly disclose their sion, Washington 25, D. C., in accord­ P aper From Atlanta, Ga., to Virginia interest, and the position they intend to ance with the rules of practice and APPLICATION FOR RELIEF take at the hearing with respect to the procedure (18 CFR 1.8 or 1.10) on or be­ application. Otherwise the Commission, fore the 31st day of May 1950. The May 12,1950. in its discretion, may proceed to investi­ application is on file with the Commis­ The Commission is in receipt of the gate and determine the matters involved sion for public inspection. above-entitled and numbered applica­ in such application without further or [seal] Leon M. F uquay, tion for relief from the long-and-short- formal hearing. If because of an emer­ Secretary. haul provision of section 4 (1) of the gency a grant of temporary relief is Interstate Commerce Act. found to be necessary before the expira­ [P. R. Doc. 50-4192; Piled, May 16, 1950; Filed by: R. E. Boyle, Jr., Agent, for tion of the 15-day period, a hearing, 8:50 a. m.] and on behalf of the Atlantic Coast Line upon a request filed within that period, Railroad Company and other carriers may be held subsequently. named in the application. INTERSTATE COMMERCE Commodities involved : Paper and By the Commission, Division 2. COMMISSION paper articles, carloads. [seal] W. P. B artel, From: Atlanta, Ga. Secretary. [Rev. S. O. 562, Amdt. 2 to Rev. King’s I. C. O. To: Celco and Pearisburg, Va. Order 23] [F. R. Doc. 50-4181; Filed, May 16, 1950; Grounds for relief: Circuitous routes. 8:48 a. m.] P ennsylvania R ailroad Co. et al. Schedules filed containing proposed rates: C. A. Spaninger’s tariff I. C. C. No. REROUTING OR DIVERSION OP TRAFFIC 1069, Supplement 118. Upon further consideration of Revised Any interested person desiring the [4th Sec.'Application 25098] King’s I. C. C. Order No. 23 and good Commission to hold a hearing upon such cause appearing therefor: It is ordered, application shall requést the Commission Asphalt F rom Norfolk, Va., and That: in writing so to do within 15 days from W ilmington, N. C. Revised King’s I. C. C. Order No. 23, the date of this notice. As provided by application for relief be, and it is hereby amended by substi­ the general rules of practice of the Com­ May 12,1950. tuting the following paragraph (a) for mission, Rule 73, persons other than paragraph (a) thereof: The Commission is in receipt of the (a) Rerouting traffic. The Pennsyl­ applicants should fairly disclose their above-entitled and numbered applica­ vania Railroad west of Harrisburg, Penn­ interest, and the position they intend to tion for relief from the long-and-short- sylvania, and New Boston Junction, take at the hearing with respect to the haul provision of section 4 (1) of the Pennsylvania; the New York Central application. Otherwise the Commission, Interstate Commerce Act. System west of Buffalo, New York; the in its discretion, may proceed to investi­ Filed by: R. E. Boyle, Jr., Agent, for Southern Railway System; the Gulf, Mo­ gate and determine the matters involved and on behalf of the Atlantic Coast Line bile and Ohio Railroad Company between in such application without further or Railroad Company and other carriers Corinth, Mississippi, and Memphis, Ten­ formal hearing. If because of an emer­ named in the application. nessee, and between Corinth, Mississippi, gency a grant of temporary relief is Commodities involved: Asphalt, tank and Birmingham, Alabama; the Colorado found to be necessary before the expira­ carloads. and Southern Railway Company between tion of the 15-day period, a hearing, From: Norfolk, Va., and Wilmington, Denver, Colorado, and Pueblo, Colorado; upon a request filed within that period, N. C. The Chesapeake and Ohio Railway Com­ may be held subsequently. To: Points in North Carolina and pany between Orange, Virginia, and Po­ South Carolina. tomac Yards, Virginia; and the Atchison, By the Commission, Division 2. Grounds for relief: Circuitous routes. Schedules filed containing proposed Topeka and Santa Fe Railway Company [seal] W. P. B artel, (not including the. Gulf, Colorado and Secretary. rates: W. P. Emerson, Jr.’s tariff I. C. C. Santa Fe), and their connections are No. 369, Supplement 50. hereby authorized to reroute ^or divert [F. R. Doc. 50-4180; Filed, May 16, 1950; Any interested person desiring the traffic routed over their lines affected by 8:48 a. m.] Commission to hold a hearing upon such 2966 NOTICES application shall request the Commis­ SECURITIES AND EXCHANGE 70-2340, of Standard and Philadelphia sion in writing so to do within 15 days be, and the same hereby are, permitted from the date of this notice. As provided COMMISSION to be withdrawn. by the general rules of practice of the [File Nos. 50-34, 70-2340—2343] It is further ordered, That jurisdiction Commission, Rule 73, persons other than heretofore reserved regarding fees and applicants should fairly disclose their Philadelphia Co. et al. expenses in connection with said appli­ interest, and the position they intend ORDER PERMITTING WITHDRAWAL OF cations-déclarations be, and the same to take at the hearing with respect to APPLICATIONS-DECLARATIONS hereby is, continued in full force and the application. Otherwise the Commis­ effect. sion, in its discretion, may proceed to At a regular session of the Securities investigate and determine the matters and Exchange Commission, held at its By the Commission. involved in such application without office, in the city of Washington, D. C. pn the 11th day of May 1950. [seal] Orval L. DuBgi3, further or formal hearing. If because Secretary. of an emergency a grant of temporary In the matter of Philadelphia Com­ pany, Equitable Gas Company, Pitts­ [F. R. Doc. 50-4185; Filed, May 16, 1950; relief is found to be necessary before the 8:49 a. m.] expiration of the 15-day period, a hear­ burgh and West Virginia Gas Company, ing, upon a request filed within that Kentucky West Virginia Gas Company, period, may be held subsequently. File No. 70-2343; Philadelphia Com­ pany, File No. 70-2342; Philadelphia [File Nos. 54-75, 54-161, 59-8, 59-20] By the Commission, Division 2. Company, File No. 50-34 ; Standard Gas Commonwealth & Southern Corp. [seal] W. P. Bartel, and Electric Company, File No. 70-2341; (Del.) et al. Secretary. Standard Gas and Electric Company, Philadelphia Company, File No. 70-2340. NOTICE OF FILING AND ORDER FOR HEARING ,[F. R, Doc. 50-4182; Filed, May 16, 1950; Standard Gas and Electric Company ON APPLICATIONS FOR ALLOWANCE OF 8:48 a. m.] (“Standard”), and its subsidiary, Phil­ FEES AND EXPENSES adelphia Company (“Philadelphia”), At a regular session of the Securities both registered holding companies, hav­ and Exchange Commission held at its ing filed, in the above consolidated pro­ office in the city of Washington, D. C., [4th Sec. Application 25099] ceedings, applications-déclarations and on the 11th day of May A. D. 195Q. In the matter of the Commonwealth Bituminous R ock P rom and to P oints amendments thereto pursuant to the in the South Public Utility Holding Company Act of & Southern Corporation (Delaware), 1935 (“act”) proposing, at File No. 70- File No. 54-161; the Commonwealth & APPLICATIONS FOR RELIEF 2341, the sale by Standard of all the Southern Corporation (Delaware), May 12,1950. outstanding shares of Common Stock of respondent, File No. 59-20; the Common­ its public utility subsidiary, Wisconsin wealth & Southern Corporation (Dela­ The Commission is in receipt of the Public Service Corporation and, at File ware) , and its subsidiary companies, above-entitled and numbered application No. 70-2340, the loan by Standard to respondents, File No. 59-8; the Common­ for relief from the long-and-short-haul Philadelphia of the proceeds of such sale wealth & Southern Corporation (Dela­ provision of section 4 (1) of the Inter­ and the application of such proceeds, ware) , File No. 54-75. state Commerce Act. together with other funds to be borrowed The Commission on November 22, Piled by: R. E. Boyle, Jr., Agent, for from banks by Philadelphia, to the re­ 1948, having issued its order approving a and on behalf of carriers parties to Agent demption of all the outstanding funded plan filed by the Commonwealth & C. A. Spaninger’s tariff I. C. C. No. 1083. indebtedness of Philadelphia; and Southern Corporation (“Common­ Commodities involved : Bituminous Said transactions having been pro­ wealth”) , a registered holding company, rock, carloads. posed as an alternative to a proposal at pursuant to section 11 (e) of the Public' Between: Points in the south, between File No. 70-2342, regarding the sale by Utility Holding Company Act of 1935 points in Virginia in trunk line territory, Philadelphia of all the outstanding (the “act”) , providing, among other and between said points, on the one hand, Common Stock of Equitable Gas Com­ things, for the distribution of substan­ and points in southern territory, on the pany and the application of the pro­ tially all of Commonwealth’s assets to the other. ceeds, in part, to the redemption of the holders of its preferred and common Grounds for relief: Circuitous,routes funded indebtedness of Philadelphia; stocks, and for the dissolution of Com­ and to maintain grouping. and monwealth; and the District Court of Schedules filed containing proposed the United States for the District of rates: C. A. Spaninger’s tariff I. C. C. Applicants-declarants having elected to proceed with the sale by Philadelphia Delaware on July 15, 1949, having issued No. 1083, Supplement 19. an order approving and enforcing said Any interested person desiring the of the Common Stock of Equitable Gas Company and having reserved the right plan, and a motion for a stay of the pro­ Commission to hold a hearing upon such ceedings pending appeal having been application shall request the Commis­ to withdraw said applications-déclara­ tions relating to the sale of the Common denied by the United States Court of sion in writing so to do within 15 days Appeals for the Third Circuit by its order from the date of this notice. As pro­ Stock of Wisconsin Public Service Cor­ poration; and of September 19,1949, and the plan hav­ vided by the general rules of practice ing become effective on October 1, 1949; of the Commission, Rule 73, persons Philadelphia having consummated the sale of the Common Stock of Equitable and other than applicants should fairly dis­ The plan having provided for the pay­ close their interest, and the position Gas Company, pursuant to orders, dated they intend to take at the hearing with March 14 and March 27, 1950, of this ment by Commonwealth of all fees and respect to the application. Otherwise Commission and said orders having re­ expenses in connection therewith, and served Jurisdiction over, among other the Commission in its said order having the Commission, in its discretion, may reserved jurisdiction over the deter­ proceed to investigate and determine the things, all fees and expenses proposed matters involved in such application to be paid in connection with such con­ mination of the reasonableness and solidated proceedings; and appropriate allocation of all fees and ex­ without further or formal hearing. If penses and other remuneration incurred because of an emergency a grant of tem­ Applicants-declarants, on May 4, 1950, or to be incurred in connection with the porary relief is found to be necessary having filed an application to withdraw said plan and transactions incident before the expiration of the 15-day the said applications-declarations at File thereto; and period, a hearing, upon a request filed Nos. 7P-2341 and 70-2340; and Applications-having now been filed by within that period, may be held subse­ The Commission deeming it appropri­ numerous persons with respect to the quently. ate to grant said application subject, payment of requested fees and reim­ By the Commission, Division 2. howevèr, to the continuation of juris­ bursement for expenses; diction regarding fees and expenses Notice* is hereby given that applica­ [seal] W. P. Bartel, heretofore reserved with respect to said Secretary. tions for the payment of fees and reim­ filings: bursement of expenses have been filed by [F. R. Doc. 50-4183; Filed, May 16, 1950; It is ordered, That the applications- the following persons and in the follow­ 8:48 a. m.] déclarations, at File Nos. 70-2341 and ing amounts: Wednesday, May 17, 1950 FEDERAL REGISTER 2967 the press and mailed to the mailing list Applicant Fees Expenses Total for releases under the act, and that fur­ ther notice shall be given to all persons For services on behalf of Commonwealth1 by publication of this notice in the F ed­ (1) Winthrop, Stimson, Putnam & Roberts Counsel for Commonwealth.. $256,500.00 $2,379.34 $258,879.34 eral R egister. (2) Jay Samuel Hartt, expert witness for Commonwealth. 44,147.13 11,780.40 65,927.53 (3) Lionel D. Edie & Co., economic adviser to Commonwealth______— 2,050.00 2,050.00 By the Commission. (4) Roswell Magill, expert witness for Commonwealth______1,000.00 I , -000.00 (6) Bankers Trust Co., exchange agent in re prior voluntary exchange plan [seal] - O rval L. D uB o is, (Pilo Vn K4-1S1) » 3,500.35 » 3,500.35 Secretary. (6) Bankers Trust Co.: Distribution and scrip agent with respect to com­ mon stock in re dissolution plan (File No. 54-161)______— 133,392.70 4,247.87 »137,640.57 [F. R. Doc. 50-4184; Filed, May 18, 1950; (7) The First National Bank of the City of New York: Distribution and 8:48 a. m.] scrip agent with respect to the preferred stock in re dissolution plan (Pile lin 37,633.20 3,662.01 » 41,295.21 (8) General expenses: » 81,877.38 81,877.38 34,816,69 34,816.69 11,350.00 I I , 350.00 [File No. 70-2324] 11,117.14 11,117.14 10,198. 96 10,198. 96 South J ersey Gas Co. 3,676.37 3,676.37 ORDER GRANTING APPLICATION 478,223.38 175,106.16 653,329.54 At a regular session of the Securities For services on behalf of the Preferred Stockholders’ Committee and Exchange Commission, held at its (1) Townsend, Elliott and Munson, counsel for Preferred Stockholders’ office in the city of Washington, D. C., 150.000. 004,220.25 154,220. 25 100.000. 00 2,203.23 102,203. 23 on the 11th day of May 1950. 15,000.00 15,000.00 South Jersey Gas Company (“South 6,000.00 5.000. 00 5,000.00 5.000. Jersey”), 00 a utility subsidiary of the 1,416.95 1,416. 95 United Corporation, a registered holding (Members of Preferred Stockholders’ Committee.) company, having filed an application (3) Reis & Chandler, Inc., expert witness for Preferred Stockholders’ 22,000. 00 601.15 22,601.15 and an amendment thereto pursuant to (4) Duff and Phelps, expert witness for Preferred Stockholders’ Com- section 6 (b) of the Public Utility Hold­ 1,932. 63 1,932.63 ing Company Act of 1935 with respect to 298,416.95 8,957.26 307,374.21 the following transaction: South Jersey proposes to issue and For services on behalf of Commonwealth’s common-stock holders sell, from time to time prior to Novem­ ber 30, 1950, an aggregate of $3,300,000 (1) Alfred J. Snyder and Elizabeth C. Lownsbury A.------$300,000.00 $5,158. 69 $305,158.59 (2) George Rosier, coühsel for common-stock holders------125,000.00 2,155.03 127,155.03 of its promissory notes. Said notes will \3) Hays, St. John, Abramson and Schulman, counsel for common- be issued and sold pursuant to a loan 75.000. 0Ö 777.43 75,777.43 agreement between South Jersey and (4) William H. Brantley,4 counsel for common-stock holders------75.000. 002,429.23 77,429.23 (5) Albert Shassol, a common-stock holder------20.000. 00 185.00 20,185.00 four commercial banks which provides, inter alia, that $2,550,000 of said notes 595,000.00 10, 705. 28 605, 705.28 are to bear interest at the rate of 2i4% For services on behalf of Commonwealth’s option warrant holders per annum and mature June 30, 1951, (1) Lawrence E . Brown, counsel for option warrant holders------9,000.00 1,000.00 10,000.00 and $750,000 of said notes are to bear in­ terest a't the rate of 2%% per annum and 1,380, 640.33 195, 768. 70 1, 576,409: 03 to mature serially in principal amounts i Items (2) through (8) and part of Item (1) ($146,500) have been paid by-Commonwealth. of $75,000 commencing June 30, 1951, i Includes fees and expenses. : . , and at successive six-month intervals * Consists of amounts billed up to November-30, 1949. Further bills for services and reimbursement of expenses are to be submitted in accordance with the schedule of fees heretofore submitted to this Commission. thereafter. It is also provided, That * Also represented option warrant holders. South Jersey will pay a commitment fee The Commission deeming it appropri­ officer under the Commission’s rules of of V2 of 1 percent on the daily unused ate in the public interest and in the in­ practice. balance of notes computed from the date terest of investors and consumers that a The Division of Public Utilities of the South Jersey shall have obtained appro­ Commission having advised the Commis­ priate authorizations from this Commis­ hearing be held with respect to said sion and the several regulatory com­ applications: sion that it has made a preliminary ex­ It is ordered, Pursuant to sections 11 amination of said applications and that, missions hereinafter set forth. (e> and 18 of the act, that the hearings upon the basis thereof, the following Of the proceeds of the sale of said herein be reconvened for the purpose of matters and questions are presented for notes $1,647,000 is to be utilized to con- consideration by the Commission, with­ struct approximately 77 miles of pipeline taking evidence on said applications, and related facilities for the transporta­ said hearings to commence on May 24, out prejudice to its specifying additional tion and distribution of straight natural 1950, at 10:00 a. m., e. d. s. t.; at the matters and questions upon further ex­ gas and $578,000 to repay certain bank offices of the Commission, 425 Second amination: loans permitted to be made by order of Street NW., Washington 25, D. C. On 1. Whether the services and disburse­ this Commission dated March 21, 1950, such date the hearing room clerk in ments for which remuneration is sought as interim financing for this purpose; Room 101 will advise as to the room in are compensable, and whether it is $325,000 is to be utilized to refund an which the hearing will be held. Any per­ lawful or appropriate to grant any allow­ existing like amount of other bank loans, son desiring to be heard or otherwise ances for fees and expenses to the per­ and $750,000 is to be utilized to convert wishing to participate in the proceedings sons making such claims. customers gas appliances for the use of shall file-with the Secretary of the Com­ 2. Whether the amounts claimed are natural gas. mission, on or before May 22, 1950, a fair and reasonable and if not, what The Federal Power Commission has request or application relative thereto as amounts should be fixed by the Com­ issued to South Jersey a certificate of provided by Rule XVII of the Commis­ mission. public convenience and necessity in re­ sion’s rules of practice. It is further ordered, That particular spect of the construction of the proposed It is further ordered, That Richard attention be directed at said hearing to pipeline and related facilities. The Townsend or any other officer or offi­ the foregoing matters and questions. Board of Public Utility Commissioners of cers of the Commission designated by it It is furthered ordered, That a copy- the State of New Jersey has approved the for the purpose shall preside at the hear­ of this notice shall be mailed by regis­ proposed issuance and sale of promissory ing on such matters. The officer so des­ tered mail to Commonwealth, the South­ notes. ignated to preside at such hearing is ern Company, and the applicants herein, Said application and the amendment hereby empowered to exercise all such that notice shall be given to all other thereto having been duly filed, and no­ powers granted to the Commission under persons by general release of this Com­ tices of said filings having been duly section 18 (c) of the act and to a hearing mission, which shall be distributed to given in the form and manner prescribed 2968 NOTICES

by Rule U-23 promulgated pursuant to herein proposed will mature in equal cester County Electric Company (“Wor- said act, and the commission not having annual installments on February 15, of * cester County”), having filed a joint received a request for hearing with re­ each of the years 1952 to 1976, inclusive. - application pursuant to the Public Utility spect to said application and the amend­ Of the proceeds of the sale of said Holding Company Act of 1935, particu­ ment within the periods specified in said notes Seaboard will utilize $625,000 to larly sections 6 (b) and 10 thereof and notices, or otherwise, and not having finance, in part, its 1950 construction Rules U-23 and U-42 (b) (2) of the rules ordered a hearing thereon; and program, $550,000 and $525,000 will be and regulations promulgated thereunder, The Commission finding that no ad­ applied to the purchase of like aggregate with respect to the following proposed verse findings are necessary with respect principal amounts of 3Î4 percent notes transactions: to the proposed-transaction, and deèm- of Amere and Distribution respectively, Worcester County proposes to issue ing it appropriate in the public interest which are herein also proposed to be and sell 20,000 shares of capital stock of and in the interest of investors and con­ issued and sold. Said notes will be is­ the par value of $25 per share and NEES, sumers that said application be granted sued and sold from time to, time prior the owner of all of Worcester County’s so that the application may become ef­ to March 31, 1951, and will mature in 25 152,125 shares of capital stock presently fective forthwith: - equal annual installments commencing outstanding*, proposes to acquire said ad­ It is ordered, Pursuant to Rule U-23 February 15, 1952. The proceeds of the ditional 20,000 shares of, capital stock for and the applicable provisions of the acr sale of said notes by Amere and Dis­ a cash consideration of $1,500,000. Wor­ and subject to the terms and conditions tribution will be used in connection with cester County proposes to apply the pro­ prescribed by Rule U-24, that the appli­ their respective 1950 construction pro­ ceeds derived from said sale to retire cation, as amended, be, and the same grams, except that $97,000 thereof will $1,500,000 principal amount of 2% per­ hereby is, granted forthwith, subject to be used by Amere to reimburse its work­ cent promissory notes of yhich there are the terms and conditions provided in ing capital for expenditures heretofore presently outstanding under a bank let­ Rule U-24 of the rules and regulations made in connection with its construction ter agreement an aggregate amount of promulgated under the act. program. $4,250,000. By the Commission. The issuance and sale of said notes by The joint application states that in­ Amere and Distribution have been ap­ cidental services in connection with the [seal] Orval L. D uBois, proved by the Public Service Commis­ Secretary. proposed transactions will be performed sion of West Virginia and the State by New England Power Service Company, [P. R. Doc. 50-4187; Filed, May 16, 1950j Corporation Commission of Virginia, an affiliated service company, at the ac­ 8:49 a. m.] respectively. tual cost thereof, estimated not to ex­ Said joint application - declaration ceed $1,500 with respect to Worcester having been filed on March 15,1950, and County and $300 with respect to NEES. notice of said filing having been duly The total expenses to be borne by Wor­ [Pile No. 70-2358] given in the form and manner prescribed cester County are estimated at $2,300. Columbia Gas S ystem, I nc., et al. by Rule U-23 promulgated pursuant to The joint application further states that said act, and the Commission not hav­ the Massachusetts Department of Pub­ ORDER GRANTING APPLICATION AND PERMIT­ ing received a request for hearing with lic Utilities has approved the proposed TING DECLARATION TO BECOME EFFECTIVE respect to said joint application-declara­ sale of capital stock by Worcester County At a regular session of the Securities tion within the period specified in said and that no State Commission or Federal and Exchange Commission, held at its notice, or otherwise, and not having Commission, other than this Commission, office in the city of Washington, D. C., on ordered a hearing thereon; and has jurisdiction over the acquisition of the 11th day of May A. D. 1950. The Commission finding with respect such stock by NEES. In the matter of the Columbia Gas to said joint application-declaration NEES and Worcester County request • System, Inc., Atlantic Seaboard corpo­ that the requirements of the applicable that the Commission’s order herein be­ ration, Amere Gas Utilities Company, provisions of the act and rules there­ come effective upon the issuance thereof. Virginia Gas Distribution Corporation, under are satisfied, and deeming it ap­ Said application having been filed on Pile No. 70-2358. propriate in the public interest and in April 14, 1950, and notice of siaid filing The Columbia Gas System, Inc. the interest of investors and consumers having been duly given in the form and (“Columbia”) , a registered holding com­ that the said joint application-declara­ manner prescribed by Rule U-23 pro­ pany, Atlantic Seaboard Corporation tion be granted and permitted to become mulgated pursuant to said act and the (‘'Seaboard”), a registered holding com­ effective: Commission not having received a re­ pany and a subsidiary of Columbia, It is ordered, Pursuant to Rule U-23 quest for hearing with respect to said Amere Gas Utilities Company (“Amere”), and the applicable provisions of said act, application within the period specified in Virginia Gas Distribution Corporation that the said joint application-declara­ said notice, or otherwise, and not halving (‘Distribution”), the latter two com­ tion be, and hereby is, granted and per­ ordered a hearing thereon; and panies being subsidiaries of Seaboard, mitted to become effective forthwith, The Commission finding that the pro­ having filed a joint application-declara­ subject to the terms and conditions posed transactions are in compliance tion pursuant to the provisions of sec­ prescribed in Rule U-24. with the applicable standards of the tions 6 (b), 7, 9 and 10 of the act with By the Commission. act, that no adverse findings are neces­ respect to the following proposed sary in connection therewith and the transactions: [seal] Orval L. D uB ois, Commission deeming it appropriate that Seaboard proposes to issue and sell to Secretary. said application be granted without the Columbia, from time to time, prior, to [P. R. Doc. 50-4188; Piled, May 16, 1950; imposition of any terms and conditions March 31,1951, its 3% percent unsecured 8:49 a. m.] other than those contained in Rule U-24 notes in such principal amounts as in the and the Commission also deeming it ap­ aggregate will not exceed $1,700,000. propriate to grant applicants’ request Pursuant to an interest agreement be­ that the order herein become effective tween Seaboard and Columbia, it is pro­ [Pile No. 70-2372] forthwith upon its issuance: vided that the interest to be paid on all It is ordered, Pursuant to said Rule of Seaboard’s 3 lU percent notes now or Worcester County Electric Co. and New U-23 and the applicable provisions of hereafter held by Columbia will be in England Electric S ystem said act that said application, be, and such amount as will result in an average the same hereby is, granted forthwith, interest not in excess of 3^4 percent on ORDER GRANTING APPLICATION At a regular session of the Securities subject to the terms and conditions con­ all indebtedness of Seaboard held by tained in Rule U-24. Columbia. Giving effect to the issue and and Exchange Commission held at its sale of the 3}4 percent notes proposed office in the city of Washington, D. C., By the Commission, Columbia will hold $12,700,000 principal on the 11th day of May A. D. 1950. [seal] Orval L. D uB ois, amount of 3 Yk percent notes and $10,- New England Electric System Secretary. 665,000 principal amount of 6 percent (“NEES”), a registered holding company, notes of Seaboard. The $1,700,000 notes [P. R. Doc. 50-4189; Piled, May 16, 1950; and its public utility subsidiary, Wor­ 8:49 a. m.] Wednesday, May 17, 1950 FEDERAL REGISTER 2969

[File No. 70-2390] ing voting securities, including 15,994 or both such warrants and common shares held as trustee for Betty Lee Moor stock. Leg Moor McGuire and 379 shares held as trustee By the Commission. NOTICE REGARDING FILING for Bess Waskey. Applicant states that he is also an affiliate of Southern Union [seal] N ell ye A. Thorsen, At a regular session of the Securities Assistant Secretary. and Exchange Commission held at its Gas Company by reason of his ownership office in the city of Washington, D. C., of 219,900 shares or 14.7 percent of the [F.R. Doc. 50-4186; Filed, May 16, 1950; on the 10th day of May 195Q. outstanding voting securities, being 8:49 a. m.] Notice is hereby given that an appli­ common stock and 4,553 shares or 16.92 cation has been filed with this Commis­ percent of the outstanding 4 Vi percent/ sion pursuant to the Public Utility preferred stock of that company. Ap­ UNITED STATES TARIFF Holding Company Act of 1935 by Lee plicant proposes to acquire, directly or COMMISSION Moor. Applicant has designated sections indirectly, warrants entitling him to 9 (a) (2) and 10 of the act as applicable subscribe, directly or indirectly as [List No. 18 (E) ] to the proposed transaction. trustee, for not to exceed 4,833 shares of Emergency Lead Committee Notice is further given that any inter­ additional common stock to be issued ested person may, not later than May 22, by Arkansas pro rata to its stockholders, APPLICATION FOR INVESTIGATION and through the exercise of such war­ May 12, 1950. 1950, at 5:30 p. m., e. d. s. t., request the rants to acquire, directly or indirectly, Commission in writing that a hearing be 4,833 shares of such additional common Application has been filed with the held on such matter, stating the reasons stock, at $10.00 per share. Applicant United States Tariff Commission for in­ for such request, the nature of his in­ also proposes to acquire, directly or in­ vestigation, under the escape clause pro­ terest and the issues of fact or law raised directly, additional shares, if any, Which cedure, to determine whether as a result by said application which he desires to of unforeseen developments and of the the warrants authorize to be subscribed, concession granted in a trade agreement controvert, or may request that he be subject to allotment and which are in the articles listed below are being im­ notified if the Commission should order fact allotted thereunder. Applicant ported in such relatively increased quan­ a hearing thereon. Any such request states that, if desirable, he proposes to tities and under such conditions as to should be addressed: Secretary, Securi­ acquire as trustee for Betty Lee Moor cause or threaten serious injury to the ties and Exchange Commission, 425 McGuire all or any part of the warrants domestic industry producing like or di­ Second Street NW, Washington 25, D. C. issuable to him in his indivdual capacity rectly competitive articles. The appli­ At any time after May 22, 1950, said pursuant to warrant offering by Arkan­ cation was filed under the provisions of application, as filed, or as amended, may sas, or the common stock subject to Part HI of Executive Order 10082 of be granted as provided in Rule U-23 of subscription pursuant to such warrants, October 5, 1949. the rules and regulations promulgated under the act, or the Commission may Purpose of re­ Date received Name and address of applicant exempt such transaction as provided in Name of article quest Rules U-20 (a) and U-100 thereof. Lead-bearing ores, flue dust, and mattes of all Increase in duty. May 11,1960 Emergency Lead Committee, All interested persons are referred to kinds, and lead bullion or base bullion, lead in New York, N. Y. said application which is on file in the pigs and bars, lead dross, reclaimed lead, and scrap lead (Items 391 and 392, Schedule II of the office of this Commission for a statement trade agreement with Mexico). of the transaction therein proposed, which is summarized as follows: The application listed above is avail­ it may be read and copied by persons Applicant states that he is an affiliate able for public inspection at the office interested. of Arkansas Western Gas Company of the Secretary, United States Tariff [seal] S idney Morgan, (“Arkansas”), as that term is defined in Commission, Eighth and E Streets NW., Secretary. section 2 (a) (11) (A) of the act, by Washington, D. C., and in the New York reason of his ownership of 43,497 shares Office of the Tariff Commission, located [F. R. Doc. 50-4197; Filed, May 16, 1950; or 16.64 percent of Arkansas’ outstand­ in Room 437 of the Custom House, where 8:50 a. m.]