^ X O N A L 4/fQ FEDERAL REGISTER

VOLUME 14 , 1 9 3 4 NUMBER 176 ^A/ITEO ^

Washington, Tuesday, , 1949

TITLE 3— THE PRESIDENT EXECUTIVE ORDER 10079 CONTENTS EXECUTIVE ORDER 10078 T ransferring Certain P roperty in the THE PRESIDENT Virgin I slands to the P ermanent Con­ Creating an Emergency B oard T o Inves­ trol and Jurisdiction of the S ecre­ Executive Orders **a8e tigate a Dispute B etween the Monon- tary of the Interior Monongahela Connecting Rail­ road Co. ; creation of emergency gahela Connecting R ailroad Company WHEREAS Executive Order No. 5602 and Certain of I ts Employees board to investigate dispute with of April 20, 1931, transferred certain ______5585 lands, buildings, and improvements in certain employees WHEREAS sl dispute exists between the Virgin Islands permanently to the Virgin Islands ; transfer of certain the Monongahela Connecting Railroad control and jurisdiction of the Secretary property to permanent control Company, a carrier, and certain of its and jurisdiction of Secretary of of the Interior for use in the adminis­ the Interior______5589 employees represented by the Brother­ tration of the government of the Virgin hood of Railroad Trainmen, a labor or­ Islands, the property so transferred be­ EXECUTIVE AGENCIES" ganization; and ing enumerated under Class One of the WHEREAS this dispute has not hereto­ order; and Agriculture Department fore been adjusted under the provisions WHEREAS the said Executive order See Commodity Credit Corpora­ of the Railway Labor Act, as amended; tion; Production and Market­ also transferred certain other lands, ing Administration. and buildings, improvements, and furnish­ WHEREAS this dispute, in the judg­ ings in the Virgin Islands temporarily to Alien Property, Office of ment of the National Mediation Board, the control and jurisdiction of the Sec­ Notices: threatens substantially to interrupt in­ retary of the Interior for use in the Vesting orders, etc.: terstate commerce within the State of* administration of the government of the Boyle, Margaretha______5620 Pennsylvania to a degree such as to de­ Virgin Islands, on condition that the Castellani, Dr. Aldo______5620 prive that portion of the country of essen­ premises be returned to the control and Dresdner Bank and Allge­ tial transportation service: jurisdiction of the Secretary of the Navy meine Waren-Finanzier- ungs Gesellschaft m. b. H__ 5620 NOW, THEREFORE, by virtue of the when required for naval use, the prop­ Edelman, Mrs. Rosa______5618 authority vested in me by section 10 of erty so transferred being enumerated Higashida, George, et al____ 5616 the Railway Labor Act, as amended (45 under Class Two of the order; and Kestner, Fritz Albert______5615 U. S. C. 160), I hereby create a board of WHEREAS the property enumerated Kilgus, Margarete______5617 three members, to be appointed by me, under the said Class Two is no longer re­ Klingelhofer, Charles Louis_ 5620 to investigate the said dispute. No mem­ quired for naval use but is needed by the Michaelsen, Johann Henry M_ 5614 ber of the said board shall be pecuniarily Secretary of the Interior for permanent Müngersdorf, Maria______5619 or otherwise interested in any organiza­ use in the administration of the govern­ Neumann, Minna______5617 tion of railway employees or any carrier. ment of the Virgin Islands: Nomura, Yoshiharu______5618 Reichle, Herbert______5618 The board shall report its findings to NOW, THEREFORE, by virtue of the authority vested in me by the Organic Scheible, Karl______5618 the President with respect to the said dis­ Schineis, Annie Z______5619 pute within thirty days from the date of Act of the Virgin Islands of the United States, approved June 22, 1936 (49 Stat. Stinnes, Ernst______5616 this order. Unknown persons______5619 As provided by section 10 of the Rail­ 1807), and as President of the United Wilts, Mrs. Hermann______5615 States, it is ordered that all the lands, way Labor Act, as amended, from this Army Department date and for thirty days after the board buildings, improvements, and furnish­ ings enumerated under Class Two of the See also Engineers Corps. has made its report to the President, no Rules and regulations : change, except by agreement, shall be said Executive Order No. 5602 of April 20, 1931, be, and they are hereby, trans­ Oregon; withdrawing public made by the Monongahela Connecting lands for use of Department Railroad Company or its employees in the ferred permanently to the control and jurisdiction of the Secretary of the In­ for flood control purposes conditions out of which the said dispute (see Land Management, Bu­ arose. terior for use in the administration of reau of). the government of the Virgin Islands. Commerce Department Harry S. Truman Harry S. T ruman See International Trade, Office of. The White House, The W hite House, , 1949. September 9,1949. Commodity Credit Corporation Rules and regulations; IP. R. Doc. 49-7414; Piled, Sept. 10, 1949; [P. R. Doc. 49-7415; Plied, 8epf. 12, 1949; Farm storage facility loan pro­ 10:47 a. m.] 9:51 a. m.] gram bulletin______65&l 5585 5586 RULES AND REGULATIONS

i&g*l*LA%ry CONTENTS— Continued CONTENTS— Continued Federal Power Commission— PaSe Securities and Exchange Com- Pa&e FEDERAL^REGISTER Continued mission— Continued V,rHNiHO* ¿r Proposed rule making: Notices—Continued Natural gas companies; form Hearings, etc.—Continued and filing of annual reports_ 5609 Sioux City Gas and Electric Published daily, except Sundays, Mondays, Foreign and Domestic Com­ Co. et al______5612 and days following official Federal holidays, United Gas Corp______5613 by the Division of the Federal Register, the merce Bureau National Archives, pursuant to the authority See International Trade, Office of. Veterans’ Administration contained in the Federal Register Act, ap­ Interior Department Rules and regulations: proved July 26, 1935 (49 Stat. 500, as Vocational rehabilitation and amended; 44 U. S. C., ch. 8B ), under regula­ See also Land Management, Bu­ education; provisional regu­ tions prescribed by the Administrative Com­ reau of. lations for training facilities- 5593 mittee, approved by the President. Distribu­ Virgin Islands ; transfer of certain tion is made only by the Superintendent of property to permanent control Wage and Hour Division Documents, Government Printing Office, and jurisdiction of Secretary of Notices: Washington 25, D. C. the Interior (see Executive or­ Employment of handicapped The regulatory material appearing herein clients; issuance of special is keyed to the Code of Federal Regulations, der). which is published, under 50 titles, pursuant International Trade, Office of certificates to sheltered work­ to section 11 of the Federal Register Act, as Rules and regulations: shops______5610 amended June 19, 1937. British token import plan____ 5588 The F e d er a l R e g is t e r will be furnished by CODIFICATION GUIDE mail to subscribers, free of postage, for $1.50 Export regulations: per month or $15.00 per year, payable in ad­ BLT (blanket) license; mis­ A numerical list of the parts of the Code cellaneous amendments__ 5591 of Federal Regulations affected by documents vance. The charge for individual copies published in this issue. Proposed rules, as (minimum 150) varies in proportion to the Export clearance; shippers opposed to final actions, are identified as size of the issue. Remit check or money export declaration______5591 such. order, made payable to the Superintendent General in-transit license__ 5591 of Documents, directly to the Government Justice Department Title 3 Page Printing Office, Washington 25, D. C. Chapter I (Proclamations): There are no restrictions on the republica­ See Alien Property, Office of. Jan. 25, 1907 (see PLO 604 and tion of material appearing in the F e d er a l Labor Department R e g is t e r . PLO 605)______5596, 5597 See Wage and Hour Division. Mar. 2, 1907 (see PLO 604 and Land Management, Bureau of PLO 605)______5596, 5597 Notices: June 7,1911 (see PLO 605)------5597 7 949 Edition Oregon; filing of objections to June 30,1911 (see PLO 604)----- 5596 order withdrawing public Chapter II (Executive orders): CODE OF FEDERAL lands for use of Department Sept. 28,1893 (see PLO 604)___ 5596 of the Army for flood control June 30, 1908 (see PLO 605)----- 5597 REGULATIONS purposes (2 documents)- 5610,5611 July 1, 1908 (see PLO 604 and Rules and regulations: PLO 605)______5596, 5597 The following book is now available: Oregon; withdrawing public Apr. 6, 1933 (see PLO 604 and Title 19 ($3.25) lands for use of Department PLO 605)______5596, 5597 of the Army for flood control 5602 (see EO 10079)______5585 Previously announced: Title 3, 1948 Supp. purposes (2 documents) _ 5596, 5597 10078 ______5585 ($2.75); Titles 4-5 ($2.25); Title 6 ($3.00); Maritime Commission 10079 ______5585 Title 7: Parts 1-201 ($4.25); Parts 210- Notices: Title 6 874 ($2.75); Parts 900 to end ($3.50); Alcoa Steamship Co. et al.; Chapter IV: Title 8 ($2.75); Title 9 ($2.50); Titles Part 674_____ 5587 10-13 ($2.25); Title 14: Parts 1-399 hearing with respect to rates ($3.50); Parts 400 to end ($2.25); Title granted oil companies_____ 5614 Title 7 15 ($2.50); Title 16 ($3.50); Title 17 Post Office Department Chapter IX: ($2.75); Title 18 ($2.75) Rules and regulations: Part 957______5588 Ocean mail service; compen­ Part 974 (proposed)______5597 Older from Superintendent of Documents, sation for transportation of Part 979 (proposed)------5609 Government Printing Office, Washington 25, D. C. foreign mails______:____ 5595 Title 15 Postal service, international: Chapter III: Miscellaneous amendments 5595 Part 361______5588 Poland______5596 Part 371__ 5591 CONTENTS— Continued Production and Marketing Ad­ Part 375______5591 ministration Part 379______5591 Engineers Corps Pas® Proposed rule making: Title 18 Rules and regulations: Milk handling, Columbus, Ohio, Chapter I: Danger zone regulations; mis­ area______5597 Part 260 (proposed)______5609 cellaneous amendments------5592 Potatoes, Irish, in eastern Title 33 Federal Communications Com­ South Dakota area______5609 Rules and regulations: Chapter Hi mission Potatoes, Irish, in certain coun­ Part 204______5592 Notices : ties in Idaho and in Malheur Title 38 Lewis, R ichard Field, Jr. County, Oreg.; limitation of Chapter I: (WINC) and A lam ance shipments______5588 Part 21______5593 Broadcasting Co., Inc.; hear­ ing ______5611 Public Contracts Division Title 39 Federal Power Commission See Wage and Hour Division. Chapter I: Securities and Exchange Com­ Part 120___ 5595 Notices: Part 127 (2 documents)----- 5595,5596 Compania Servicios Publicos mission Fomentos de Reynosa, S. A., Notices : Title 43 et al. ; notice of order author­ Hearings, etc.: Chapter I: izing transmission of electric Arkansas Natural Gas Corp. Appendix (Public land orders): energy to Mexico and rescind­ and Arkansas Louisiana 604 ______5596 ing previous authorization— 5612 Gas Co______5613 605 ______5597 Tuesday, September IS, 1949 FEDERAL REGISTER 5587

TITLE 6— AGRICULTURAL CREDIT § 674.105 Eligible structures, (a) In all other commodities, or eighty-five per­ order to be eligible for a loan, the storage cent (85%) of the cost, whichever is less. Chapter IV— Production and Market­ facility must be for the storage of cotton­ In computing the capacity of the storage ing Administration and Commodity seed, corn, wheat, rye, oats, barley, grain facility, two and one-half (2V2 ) cubic Credit Corporation, Department of sorghums, soybeans, flaxseed, rice, dry feet shall be considered equivalent to one edible beans, dry peas, or peanuts, in the bushel of ear corn, ninety (90) cubic feet Agriculture production and storage of which the bor­ equivalent to one ton of cottonseed, and Subchapter C— Loans, Purchases, and Other rower has an interest or such commodi­ one and one-fourth (iy4) cubic feet Operations ties produced on a farm where the land­ equivalent to one bushel of all other com­ lord is obtaining the loan and rents the modities. In determining the cost, the P art 674—F arm S torage F acilities farm on a cash-rental basis. Storage applicant’s and other labor usually em­ SUBPART— FARM STORAGE FACILITY LOAN loans will not be available to increase ployed on the farm shall be excluded. PROGRAM storage facilities for commodities pur­ (c) Repayment of loan. Payment will chased or for commodities in which the be due annually in equal principal in­ This bulletin states the requirements borrower has no interest in the produc­ stallments beginning January 31, 1951. with respect to the Farm Storage Facil­ tion. Loans for the construction of im­ The borrower is required to prepay the ity Loan Program formulated by Com­ movable storage facilities for cottonseed, amount of any annual installment out of modity Credit Corporation (hereinafter beans, peas, or peanuts, will be approved the proceed from any price support loan referred to as “CCC”) and the Produc­ only in areas for which the State PMA or purchase agreement due the borrower tion and Marketing Administration committee determines that existing pri­ within 12 months preceding the date on (hereinafter referred to as “PMA”). vately owned storage facilities for such which the installment falls due. Any The program will be carried out by PMA commodity or commodities in the area past due installment may be deducted under the general supervision and direc­ concerned are not adequate. and paid out of any amounts due the tion of the Manager, CCC. (b) Loans will be made for the pur­ borrower under any program carried out Sec. chase or construction of new farm-stor­ by the Department of Agriculture. In 874.101 Administration. age facilities which will meet require­ addition^/ any farm-storage payments 674.102 Availability of loans. ments for eligible storage under CCC due the borrower by CCC for storage of 674.103 Approved lending agencies. commodity loan programs, provided there commodities in such farm-storage fa­ 674.104 Eligible borrowers. is a need for the facility and it is of cilities may be applied to any installment 674.105 Eligible structures. suitable capacity. Loans will not be made past due or next maturing, and any ex­ 674.106 Terms and conditions of loan. 674.107 Disbursement of loan. for repair, remodeling, or maintenance of cess thereover may be applied on the 674.108 Service fees. present facilities or for the purchase of remaining principal. The loan may be second-hand facilities. Loans will, how­ paifl in part or in full by the borrower A u t h o r i t y : §§ 674.101 to 674.108, issued under sec. 4 (d) Pub. Law 806, 80th Cong.; ever, be made to finance additions to ex­ at any time before maturity. interpreting and applying sec. 4 (h), Pub. isting immovable facilities. A loan will (d) Insurance. With- respect to mov­ Law 806, 80th Cong., as amended by Pub. Law not be approved for any facility on which able storage facilities, if the total amount 85, 81st Cong.; sec. 5, Pub. Law 806, 80th Cong. construction was begun prior to June 7, loaned is $1,000 or more, insurance on 1949. the facility shall be required in an § 674.101 Administration. In t h e amount sufficient to cover the loan, and field, the program will be administered § 674.106 Terms and conditions of with coverage for hazards existent through county agricultural conservation loan, (a) Term. The maximum term of in the area. With respect to immovable committees (hereinafter referred to as the loan will be approximately five years, storage facilities, insurance shall be re­ “county committees”) and State PMA except that the term of an individual loan quired in like amount and coverage re­ committees. may be extended for one year by the gardless of the size of the loan. All in­ § 674.102 Availability of loans—(a) county committee in case of catastrophic surance shall be maintained during the Area. Loans will be available in all losses of crops or other conditions beyond life of the loan and the cost shall be States. the control of the borrower. Loans will be borne by the borrower. (b) Time. Loans will be available payable in equal annual principal pay­ (e) Maintaining storage facility. The through June 30, 1950. ments with interest at four percent on borrower shall be required to maintain (c) Source. All forms and documents the unpaid balance. Loans on movable the storage facility in condition and keep will be made available through the offices storage facilities will be secured by chat­ it available for storage until the loan is of county committees. Disbursements tel mortgages on the storage facilities. paid. on loans will be made by approved lend­ Loans for the construction of immovable ing agencies under agreements with CCC, storage facilities will be secured by a real § 674.107 Disbursement of loan. In of Uy drafts drawn on CCC by the State estate mortgage, deed of trust, or other the case of movable storage facilities, dis­ PMA committee. security instrument approved by CCC, on bursement will be made in full at the the borrower’s farm or other property on time of completion of the facility and § 674.103 Approved lending agencies. which the facility is to be located, or on a after the facility has been inspected and An approved lending agency shall be any sufficient acreage of the farm which, in approved by the county committee. bank, partnership, individual, or other the judgment of the county committee, With respect to immovable storage facili­ legal entity which has entered into a will. make the site easily accessible for ties, disbursement will be made either in lending agency agreement for storage use of other farmers in the area, and con­ full at the time of completion and ap­ loans (Form PMA 97B or other form stitute a salable unit. A first mortgage proval of the facility or on a partial ad­ prescribed by CCC). will be required except that where a first vance plan, as elected by the borrower in § 674.104 Eligible borrowers. Storage mortgage is not obtainable, a second his application for a loan. Under the facility loans will be available to any mortgage loan may be made (except in partial advance plan, the proceeds of the tenant, landlord, owner-operator, or North Dakota), provided the prior lien on loan will be disbursed in the following partnership of producers. Loans will the farm is small enough that the bor­ manner: 10 percent upon the execution also be available to landlords who rent rower’s equity in the farm, in the opinion of the security instrument, an additional their land on a cash-rental basis. With of the county committee, is sufficient to 20 percent when the construction is one- respect to loans to tenants on immovable assure his continued tenure of the farm, half completed, an additional 20 percent form storage facilities, the property on and provided the prior lienholder subor­ when the construction is three-fourths which the facility is to be located must be dinates his lien as to the structure and completed, and the remainder when the held under an assignable long-term lease the site on which it is located, with the construction is fully completed. Final (i. e., a lease which will run for at least right of access to the storage facility. and complete disbursement of the loan ten years beyond the maturity of the No second mortgage loans will be made proceeds on movable or immovable struc­ loan), and, in addition, the lease must on structures not located on the farm. tures will not be made under any plan contain the written consent of the owner (b) Amount of loan. The maximum until the borrower furnishes satisfactory of the land to construct the facility amount loaned shall be $30 per ton of evidence of the payment of any debts on thereon or the lessee must obtain such the rated storage capacity for cottonseed the facility in excess of the amount dis­ consent. and forty-five cents (45tf) per bushel for charged with the loan. 5588 RULES AND REGULATIONS

§ 674.108 Service fees. There shall be (b) Order. (1) During the period be­ INTRODUCTION ginning 12:01 a. m., m. s. t., September Sec. collected from the applicant at the time 361.2 What the plan is. the application is made, a service fee of 15,1949, and ending 12:01 a. m., m. s. t., 361.3 How to obtain information. thirty cents (300) per ton of the rated July 1, 1950, no handler shall ship pota­ 361.4 Effect on export restrictions. storage capacity of the structure to be toes of the Russet Burbank and Long White varieties which are of sizes smaller PROCEDURE FOR OBTAINING CERTIFICATION OF acquired or erected for the storage of PREWAR EXPORTS cottonseed and a fee of lU cent per bushel than 2 inches in diameter or 4 ounces in of the rated capacity for all other com­ weight, as such sizes are defined in the 361.5 Eligibility. United States Standards for Potatoes 361.6 Applying for certification. modities, but in no case shall the fee be 361.7 Action by Office of International less than $2.50. If the loan is rejected (14 F. R. 1955, 2161), including the tol­ Trade. or is not completed, the minimum fee of erances set forth therein. 361.8 Use of token scrip by certified ex- $2.50 shall be retained by the county com­ (2) During the period beginning 12:01 porter. mittee and the balance returned to the a. m., m. s. t., , 1949, and 361.9 Validity period of scrip. applicant. ending 12:01 a. m., m. s. t., November 1, 1949, no handler shall ship potatoes of LIST OF commodities s u b j e c t t o t h e p l a n Issued this 7th day of September 1949. the Russet Burbank variety which do 361.10 Commodity list. [seal] H arold K. Hill, not comply with the grade and size re­ A u t h o r i t y : §§ 361.1 to 361.10 issued under Acting Manager, quirements in effect at the time of ship­ R. S. 161; 5 U. S. C. 22. Commodity Credit Corporation. ment and which are more than “mod­ § 361.1 Procedure. The procedure Approved: erately skinned,” as such term is defined in the United States Standards for Pota­ governing administration of the British R alph S. T rigg, toes (14 F. R. 1955, 2161), which means Token Import Plan, and the role of the President, that not more than 10 percent of the Office of International Trade therein, Commodity Credit Corporation. potatoes in any lot have more than one- have been revised as set forth in this part. [F. R. Doc. 49-7359; Filed, Sept. 12, 1949; half of the skin missing or feathered: INTRODUCTION 8:46 a. m.] Provided, That 200 hundredweight of Russet Burbank potatoes of each pro­ § 361.2 What the plan is. The “Brit­ ducer thereof may be handled without ish Token Impost Plan” is an arrange­ TITLE 7— AGRICULTURE regard to the aforesaid skinning require­ ment with the British Government which ment if (i) the handler of such potatoes permits United States manufacturers, Chapter IX— Production and Mar­ reports, prior to shipment, the name and their authorized agents, or other quali­ keting Administration (Marketing address of each producer of the exces­ fied exporters, with established pre-war sively skinned potatoes involved therein, trade connections in the United King­ Agreements and Orders), Depart­ and (ii) each lot of such potatoes so re­ dom (England, Scotland, Wales, and ment of Agriculture ported is handled as an individual Northern ) to export to that area [Reg. 3] entity. token shipments of specified commodi­ (3) The limitations set forth in sub- ties, the importation of which the British Part 957—Irish Potatoes Grown in paragraphs (1) and (2) of this para­ Government prohibited as a war meas­ Certain D esignated Counties in Idaho graph shall not be applicable to ship­ ure. Under the plan, the British Gov­ and in Malheur County, Oregon ments of potatoes for the purposes set ernment will permit imports in a yearly forth in § 957.6 (7 CFR 957.6) and to amount not to exceed 20% of the value LIMITATION OF SHIPMENTS shipments of potatoes for livestock feed, of the average annual shipments of the § 957.303 Regulation No. 3— (a) Find­ and nothing contained in this section specified commodities of each qualified ings. (1) Pursuant to the provisions of shall suspend or modify Regulation No. 1 exporter during a base period consisting Order No. 57 (7 CFR 957.1 et seq.), regu­ (7 CFR 957.301), issued pursuant to of the years 1936, 1937, and 1938. The lating the handling of potatoes grown in § 957.2 (General Cull Regulation), which British Government requires appropri­ certain designated counties in Idaho and has been in effect since August 6, 1948, ate evidence, issued under authority of in Malheur County, Oregon, effective un­ and will continue in effect until sus­ the United States Government, that der the applicable provisions of the Agri­ pended or modified pursuant to the pro­ manufacturers wishing to take advan­ cultural Marketing Agreement Act of visions of § 957.2 (b). tage of opportunities under the arrange­ 1937, as amended (7 U. S. C. 601 et seq.), (4) The terms used in this section, ment did in fact make shipments of the and upon the basis of the recommenda­ except as herein otherwise indicated, commodities to the United Kingdom dur­ tion and information submitted by the shall have the same meaning as when ing the base period. The Office of In­ Administrative Committee established used in Marketing Order No. 57. ternational Trade has. agreed to act as under said order, and upon other avail­ certifying agent and issue appropriate able information, it is hereby found (48 Stat. 31, as amended: 7 U. S. C. 601 certificates, in the form of token scrip, that the limitation of shipments, as here­ et seq.; 7 CFR 957.1 et seq.). which the exporter forwards to the Brit­ inafter provided, of such potatoes will ish importer for presentation to the Brit­ tend to effectuate the declared policy of Done at Washington, D. C., this 12th ish Board of Trade as a basis for the act. day of September 1949. obtaining an import license. (2) It is hereby further found that it [seal] S. R. Smith, § 361.3 How to obtain information. is impracticable and contrary to the pub­ Director, Fruit and Vegetable All announcements regarding the plan lic interest to give preliminary notice, Branch, Production and Mar­ will be published in the “Foreign Com­ engage in public rule-making procedure, keting Administration. merce Weekly,” subscription to which and postpone the effective date hereof until 30 days after publication in the [F. R. Doc. 49-7413; Filed, Sept. 12, 1949, may be arranged through the Super­ 9:37 a.m.] intendent of Documents, Government Federal R egister (5 U. S. C. 1001) in that the harvest season for Russet potatoes Printing Office, Washington 25, D. C. has already begun, immature Russet po­ Announcements will also be made in TITLE 15— COMMERCE AND presi releases which will be available to tatoes are shipped mostly at the begin­ trade journals. Copies of announce­ ning of the season, the time intervening FOREIGN TRADE ments (including lists of commodities between the date when information upon currently subject to the plan) as well as which this section is ' based became Chapter III— Bureau of Foreign and all fofms needed in connection with the available and the time when this section Domestic Commerce, Department plan may be obtained from the Office of must become effective in order to ef­ of Commerce International Trade, Areas Division, fectuate the declared policy of the Agri­ British Token Import Plan Unit, Wash­ cultural Marketing Agreement Act of Subchapter C— Office of International Trade ington, D. C., or from any of the Field 1937, as amended, is insufficient, and a Offices of the Department of Commerce. reasonable time is permitted, under the Part 361—B ritish T oken Import P lan circumstances, to prepare for the effec­ Sec. § 361.4 Effect on export restrictions. tive date of this section. 361.1 Procedure. The issuance of token scrip in no way Tuesday, September IS, 1949 FEDERAL REGISTER 5589 affects United States export restrictions under section 6 should cover only the other than the one for which it was which may be applicable to commodities permitted types of each commodity issued. coming under the plan. shown on the approved list. All data (2) Under the terms of the plan, as shown on the form must be based upon established by the British Government, PROCEDURE FOR OBTAINING CERTIFICATION OF actual records or other documentary evi­ import licenses will be issued by the PREWAR EXPORTS dence. Only those applications will be British Board of Trade, up to 20% of § 361.5 Eligibility, (a) Manufactur­ considered which have the certification each United States applicant’s pre-war ers, or their duly authorized agents, who on the bottom of the form executed. exports into the United Kingdom. Since exported any of the items on the ap­ (2) All applications should be filed as the total exports of these items, as re­ proved list to the United Kingdom (Eng­ early in the year as possible. The follow­ ported by individual applicants, should land, Scotland, Wales, and Northern Ire­ ing conditions will apply: not exceed 20% of the total imports for land) during the base period 1936, 1937, (1) Only those applications received each commodity during the base period, and 1938, are eligible for certification on or before April 30, of the current year, the pre-war exports certified by the under the plan. “Manufacturer” means can be assured of consideration as claims Office of International Trade and scrip an individual, firm or corporation that for full annual basic quotas. issued under such certification must be manufactures products sold through es­ (ii) Applications received later than kept within the over-all national quotas tablished markets. “Authorized agent” April 30, may require treatment as par­ computed from official trade statistics means an export merchant, export com­ tial claims entitling applicants to al­ and mutually accepted by the Depart­ missioner, or any other person who has lotments of scrip only in proportion to ment of Commerce and the British Board been authorized by the manufacturer to the number of months remaining after of Trade. handle products produced by the manu­ the applications are received. (3) In order to operate the plan with facturer. Such an individual cannot be (iii) No applications for scrip can be the flexibility needed for convenience of certified under the plan without a letter accepted after of the cur­ American exporters, and, at the same from the manufacturer addressed to the rent year. time, with assurance that total national Office of International Trade, specifically (b) Evidence of authority. If* an ap­ quotas will not b6 exceeded in any way authorizing him to apply for certification plication is signed by an agent, it will be which would endanger the continuance of for the manufacturer’s total basic quota necessary to have evidence of authoriza­ the program, it is necessary to issue scrip or for a portion of the total basic quota. tion as explained in § 361.5. on an installment basis. It is to be Such authorization must be submitted expected that scrip can be issued during for each calendar year or otherwise must § 361.7 Action by Office of Interna­ the year to the full amount of each state the period of time for which the tional Trade—(a) Numbering and certi­ applicant’s basic quota, but since errors authorization is made. “Basic quota” fying applications. (1) Upon receipt of are possible and time is therefore re­ means 20% of the value of the manu­ Form IT-558 (Rev.) by the Office of quired before there can be complete as­ facturer’s average annual shipments of International Trade, a number is as­ surance that all data are accurate, the the product to the United Kingdom dur­ signed to the application for identifica­ quantities of scrip will be issued from ing the base period years 1936, 1937, and tion purposes. The first part of the time to time in installments as follows: 1938. If a manufacturer authorizes an number corresponds to the commodity (i) Applications filed on or before agent, or agents, to apply for certification group number, assigned to the item as April 30. For applications filed by April of only a portion of the quota, the manu­ shown on the approved list. The second 30, in accordance with instructions in this facturer may apply for certification of part of the number is a numerical case part, the procedure will be, in general, to the balance. number. For example, number 17-435 issue scrip immediately upon receipt of (b) Individuals or firms, other than indicates that the application covers the application in an amount totaling manufacturers, having an established “Lawnmowers,” since “17” is the com­ approximately one-third of the appli­ export trade from the United States to modity group for lawnmowers and “435” cant’s basic quota. As soon as possible the United Kingdom during the years is the numerical case number. after April 30, a second installment of 1936, 1937 and 1938 in the items on the (2) When an applicant has been ap­ scrip will be issued in as large amount as approved list, may be eligible if they can proved for participation under the plan, practicable. If it is clear that there will demonstrate clearly that such trade was the Department of Commerce certifica­ be no danger of the total of all applica­ developed by them and net by a manu­ tion stamp is placed on all three copies tions covering a specific commodity ex­ facturer. Any person who is not a manu­ of the application. The original copy is ceeding the over-all national quota for facturer, or an authorized agent, who returned to the applicant, together with that commodity, scrip will be issued for feels that he is eligible for participation token scrip. The duplicate copy is re­ the full remainder of the individual’s under the plan should request a deter­ tained by the Office of International basic quota. The amount of the initial mination of eligibility from the Office of Trade, and the triplicate copy is for­ and subsequent installments of scrip will International Trade, Areas Division, warded through the U. S. Embassy in vary for different commodities. Appli­ British Token Import Plan Unit. Such a London to the British Board of Trade. cants having justifiable need for the full request should fully identify his export If scrip cannot be issued for the total issue of scrip may request that arrange­ connections during the years 1936, 1937, amount of the basic quota requested on ments be made to have their records and and 1938 with the United Kingdom and „the application, notice will be sent to the documents examined by a Department of should explain in detail his reasons for applicant and to the Board of Trade of Commerce representative. If this is requesting eligibility under the plan. the amount of scrip "which is being issuea as an interim allotment pending verifica­ done, and it is found that the full claim is § 361.6 Applying for certification—(a) tion or adjustment of the claim as ex­ substantiated, scrip will then be issued Time and manner of submitting applica­ plained in paragraph (b) of this section. for the total unissued balance of the basic tion. (1) Applications for certification quota. Final issue of all scrip will be (b) Issuance of token scrip. (1) made as soon as possible after the clos­ shall be made in triplicate on Form IT- When an application is approved in full 558 (Rev.), “Request for Certification of ing date for filing applications, Septem­ or in part, scrip will be issued in de­ ber 30. - Pre-War Exports to the United King­ nominations requested by the applicant dom,” and submitted to the Office of In­ under section 7 of Form IT-558 (Rev.) (ii) Applications filed after April 30, ternational Trade, Areas Division, Brit­ totaling, to the nearest $25, an amount but prior to October 1. Applications filed ish Token Import Plan .Unit, Washing­ determined as explained in subpara­ after April 30 will be certified in amounts ton, D. C. A separate application .^Form graph (3) (i) of this paragraph. When consistent with any balance of the over­ IT-558 (Rev.), shall be submitted for issued, scrip is given a number identical all national quota which was not applied each commodity group covered by the with the number assigned to the certi­ for on or before April 30. plan and shall give the information re­ fied application, Form IT-558 (Rev.). § 361.8 Use of token scrip by certified quested on the application form. The Scrip is neither transferable nor nego­ exporter. When the certified exporter commodity description, section 3, should tiable. It cannot be transferred by the receives an order from a United Kingdom include brand name(s) for all branded certified manufacturer to another man­ importer, he should forward to the im­ products included in the applicant’s ex­ ufacturer of the same commodity or to porter sufficient scrip, to the nearest $25 port figures for the base period. The a manufacturer of another product, nor to cover the order. The importer will quantity and value of exports listed can it be used by the holder for a product attach the scrip to his application for an 5590 RULES AND REGULATIONS import permit. The British Board of COTTON FABRICS AND MANUFACTURES PAPER AND RELATED PRODUCTS Trade, upon receipt of the import license 168. Bed ticking. 210. Adhesive labels. application and accompanying scrip, will, 141. Cotton boot and shoe and corset laces 112. Blotting paper. prior to issuance of an import permit, and braid. 117. Bristol boards. check the application and scrip against 143. Cotton ribbon and tapes; trimmings of 116. Duplicating paper. the certified copy of the Form IT-558 cotton and cotton-rayon mixtures. 211. Indexing or filing cards. 79. Embroidery and embroidered articles 65. Paper dress patterns. (Rev.) forwarded from the Office of (other than apparel) of descriptions 114. Printing paper of the following types:,, International Trade. currently manufactured in the United book, text, cover, litho, offset. §361.9 Validity period of scrip. Scrip Kingdom for the home market, of 113. Stationery paper in uncut form and will be valid and accepted by the British which the base fabric is wholly or writing paper in large sheets (bond mainly of cotton. ledger). Board of Trade through February 28 of 170. Finished cotton sewing thread. 66. Wallpaper. the year following that in which it is 167. Furnishing fabrics of cotton and cotton- 123. Yellow varnished paper for bottle-cap issued. In no event will import licenses rayon mixtures. linings. granted by the Board of Trade against 169. Quilts, counterpanes, and other bed cov­ GLASS, CLAY, AND MANUFACTURES token scrip issued under any calendar erings of cotton and cotton-rayon year program be valid beyond March 31 mixtures. 148. Bottles other than ornamental, pharma­ 166. Woven cotton piece goods of all kinds. ceutical, medicine, wine, and spirit of the following year. Accordingly, all bottles. shipments must be landed in the United WOOLEN FABRICS 171. Colored sheet and plate window glass. Kingdom by that date. 122. Glazed wall tiles. 147. Wool and mohair plushes and other wool 154. Illuminating glassware of the following: COMMODITIES SUBJECT TO THE PLAN pile fabrics. Oil-lamp chimneys, hurricane-lamp § 361.10 Commodity list. The com­ 146. Woolen damasks, tapestries, and bro­ glasses, globes, and shades. cades. 4. Industrial porcelain insulators. modities listed below have been accepted 145. Woolen tissues. by the British Board of Trade as those 177. Mirrors conforming in shape and size to SYNTHETIC FIBER MANUFACTURES those in current use for utility furni­ to which the British Token Import Plan ture. shall apply. The number preceding each 63. Artificial silk woven fabric of a width 78. Table glassware as follows: Plain stem- commodity is the “Commodity Group not exceeding 12 inches. ware, tumblers, tableware, and heat- Number” which must be entered under 7. Woven fabric of a width exceeding 12 resisting glassware. inches of artificial silk or of artificial Section 4 of the application for certifica­ IRON AND STEEL MANUFACTURES tion, Form IT-558 (Rev.). silk mixed with other materials except silk. (Furnishing fabrics of cotton- 49. Axes. FOOD AND DRINK rayon mixtures under group 167.) 197. Belt fasteners for conveyor belts. 56. Bolts and nuts of all kinds, other than 156. Bottled fruits, processed for serving with LINEN MANUFACTURES ice cream. precision bolts and nuts. 85. Canned lobster. 164. Finished linen thread. 99. Carpet sweepers and repair parts. 75. Canned macaroni and spaghetti. 23. Domestic cutlery (includes only knives, 163. Linen canvas not under 12 ounces per forks, and spoons). 76. Canned pork and beans. square yard. 74. Canned soups. 161. Printed or dyed linen piece goods. 127. Domestic hand-operated meat mincers, 84. Canned vegetables, other than tomatoes coffee and spice mills. and tomato puree (including tomato APPAREL 217. Furniture casters and parts thereof. juice). 20. Furniture of metal (other than domes­ 87. Cheese rennet. 6. Artificial silk clothing, except lace tic furniture). 118. Glacé cherries. trimmed, excluding hose. (Women’s 89. Gasoline and kerosene pressing irons. 1. Jelly powder. hose under group 179.) 96. Hard haberdashery, such as eyelets and 120. Marshmallow (cooking ingredient). 64. Athletes’ supporters. hooks for boots and shoes, hooks and 82. Mustard. 108. Children’s outer garments, knitted, eyes, safety and other pins, snap fas­ 83. Olives preserved in salt or brine. netted, or crocheted, except lace- teners, studs, steel fasteners, etc. (ex­ 188. Onion and garlic salt. trimmed, excluding hose. (Artificial cluding hair combs). 219. Pectin, domestic pack. silk clothing under group 6; cotton 218. Ladies’ handbag and purse frames. 157. Pickles. and woolen stockings under group 21. Locks, padlocks, keys, and key blanks. 185. Quick-frozen fruits. 200 .) 124. Machine knives. 203. Corsets, girdles, and brassieres. 55. Nails and staples of all kinds except for 119. Quick-frozen peas. decorative purposes (including hob­ 73. Rolled or flaked oats. 202. Garter and sanitary belts. 178. Sugar confectionery of all kinds, exclud­ 107. Men’s and boys’ outer garments of ma­ nails and boot and shoe studs and ing cocoa preparations. terial other than artificial silk, exclud­ spikes). 86. Vegetable butter coloring. ing knitted, netted, or crocheted. 125. Paper machine wires. 77. Whisky. (Artificial silk clothing under group 6; 134. Pipe Joints of iron and steel excluding men’s shirts under group 139.) malleable cast iron and nonmalleable TOBACCO MANUFACTURES 140. Men’s felt hats, unlined. cast iron. 133. Pipe joints of nonmalleable cast iron. 186. Cigarettes. 139. Men’s shirts. 187. Manufactured smoking tobacco and 201. Men’s socks. 184. Precision screws and other precision 106. Underwear of material other than artifi­ turned parts of metal. plug tobacco. cial silk, except lace-trimmed, exclud­ 57. Rivets of iron and steel. LEATHER PRODUCTS ing corsets, girdles, and brassieres. 190. Safety razors. 151. Fancy leather goods, excluding trunks, (Artificial silk clothing under group 25. Slide fasteners. traveling bags, handbags, wallets, and 6.) 194. Spectacle frames other than of gold or 92. Proofed clothing of all kinds (including gold-filled. pochettes.. blankets, baby pants, and crib sheets.) 189. Stropping machines, razor grinders, and 221. Leather footwear. 200. Women’s and children’s cotton and razor sharpeners, all hand-operated. 138. Leather gloves, excluding industrial woolen stockings. 172. Weighing apparatus (other than per­ gloves. 199. Women’s dresses other than of silk or sonal and baby scales) of less than 5- RUBBER MANUFACTURES artificial silk. (Women’s dresses of hundredweight capacity, and sold at artificial silk under group 6.) a retail price not exceeding 50 pounds 142. Elastic braid. 91. Household rubber gloves. 5. Women’s felt hats. sterling. 68. Rubber bands. 179. Women’s full-fashioned stockings of silk 126. Woven wire cloth, gauze, fabric, or 67. Rubber bathing caps. and artificial silk, excluding nylon. meshing. 47. Rubber belting, other than conveyor WOOD MANUFACTURES ALUMINUM AND MANUFACTURES belting. 174. Aluminum and aluminum alloys in 69. Rubber erasers. 31. Domestic woodware (clothes pegs, etc.). sheets, disks, wire, tubes, rods, angles, 152. Rubber garden hose. 222. Manufactures of mulga wood. shapes, and sections. 15. Rubber heels and soles. 158. Wood wool (excelsior). 54. Aluminum cooking utensils. 80. Rubber hot-water bottles. 02. Wooden mouldings for picture and mir­ 175. Aluminum kitchen utensils other than 94. Rubber soling slabs. ror frames. cooking utensils. 16. Surgeon’s rubber gloves. 61. Wooden picture and mirror frames. 173. Beer barrels, made of aluminum or 10. Waterproof rubber footwear of all types. 70. Wooden spring blind or shade rollers. aluminum alloys. Tuesday, September IS, 1949 FEDERAL REGISTER 5591

ELECTRICAL MACHINERY, SUPPLIES, AND 215. Miscellaneous office supplies: telephone were originally grown, produced, or man­ APPARATUS indexes, numbering machines, sta­ ufactured in the United States but which plers and stapler refills, eyeletting have been so altered by further process­ 2. Carbon electrodes. machines and eyelets. 29. Dry batteries (high tension). 43. Propelling pencils and parts. ing, manufacture, or assembly in the 28. Dry batteries (torch). 137. Typewriter ribbons. foreign country that such commodities 104. Electrical equipment for cycles and mo­ have either thereby been substantially torcycles. SPORTING GOODS enhanced in value, or have lost their 130. Electric fans complete with motors for 41. Ice skates, roller skates, ice hockey original identity with respect to form. domestic use. equipment, and other sports equip­ 132. Electric-light bulbs. ment. 2. Section 379.3 Shipper's export dec­ 103. Electric-light fixtures. 214. Loaded sporting cartridges, ^and loaded laration; miscellaneous is amended in 102. Electric meters. shotgun shells. the following particulars: 153. Electric switches. 71. Sporting cartridges, primed, empty. Paragraph (c) In-transit goods, sub- 101. Electric refrigerators and parts for do­ 135. Sporting guns, sporting rifles, and spare paragraph (2), is amended to read as mestic purposes. parts thereof.1 follows: 131. Electrically operated domestic washing machines. MISCELLANEOUS (2) Underneath the name and address 27. Vacuum cleaners and parts. 196. Aquarium equipment (includes aquar­ of the intermediate consignee, also with­ ium pumps). in columns 1-6, one of the following INDUSTRIAL MACHINERY AND APPARATUS 193. Artificial teeth. statements must be made, whichever is 129. Gear transmissions and gears. 183. Baskets and basketware. appropriate: 24. Mechanical valves. 32. Brushes. (i) For in-transit shipments of for­ 128. Pulley blocks. 44. Buttons of all kinds other than vege­ table-ivory and dum buttons. eign merchandise: “The merchandise de­ AGRICULTURAL AND GARDEN MACHINERY AND 18. Cooking and heating appliances and scribed herein is of foreign origin.’’ EQUIPMENT parts. N o t e : For definition of “foreign origin”, 192. Dental equipment and instruments. see § 371.9 (a). 46. Beehives and frames, bee veils, bee 95. Goldsmiths’ and silversmiths’ wares. smokers, and other beekeepers’ acces­ 160. Granite pavement kerbs and setts. (ii) For in-transit shipments of do­ sories. 88. Ice-cream cabinets. mestic (17. S.) merchandise: “The mer­ 53. Hand cultivators for garden and farm 33. Imitation jewelery (excluding Jewelry chandise described herein is of the use. findings, cigarette cases, cigarette growth, production, or manufacture of 50. Forks for garden and farm use. lighters, hair ornaments, insignia, lip­ 191. Hand seeders for garden and farm use. stick cases, match boxes, military or­ the United States.” 51. Hoes, for garden and farm use. naments, rhinestone buckles, Bonson N o t e : Any commodities shipped in-transit 17. Lawn mowers. repeaters, shoulder devices, and watch through the United States, from one foreign 100. Milk churns, cans, pails, and strainers. containers). destination to another, which are of the 52. Bakes for garden and farm use. 144. Jute webbing. growth, production, or manufacture of the 207. Laundry soap. United States, do not fall within the scope AUTOMOTIVE EQUIPMENT 90. Manufactured abrasive cloths, papers, of general in-transit license GIT and are sub­ 19. Antiskid chains. and disks. ject to the export control provisions which 212. Automotive cables. 97. Musical boxes. are applicable to any other U. S. export in­ 216. Chemical maintenance products for 22. Oil lamps and lanterns for illumination. volving the same commodity to the same 8. Papermakers’ felts. foreign destination. motorcars except oils and polishes (in­ 220. Pocket watches, except watches in cases cludes valve-grinding compounds; ra­ made of gold or other precious metals. This amendment shall become effective diator leak stop, weather sealer, gasket 165. Saddlers’ thread. October 1, 1949. cement, radiator flush, hydraulic- 150. Sun goggles and sun glasses. brake fluid, rubbing compound, me­ 40. Toilet requisites (includes only powder (Pub. Law 11,81st Cong.; E. O. 9630, Sept. chanics’ blue for marking valves, bear­ bowls or boxes, powder puffs, nail 27,1945,10 P. R. 12245, 3 CPR, 1945 Supp.J ings, etc., and tar remover). polishes, nail clippers, nail files, den­ E. O. 9919, Jan. 3,1948,13 F. R. 59, 3 CPR, 30. Spark plugs. ture bowls, manicure sets, compacts, 1948 Supp.) 213. Windshield wipers and parts. vanity cases, and pancake cases). Dated: August 31, 1949. CHEMICALS AND RELATED PRODUCTS 9. Toys, dolls, and parts, of all kinds ex­ cept those made of hemp. LorIng K. Macy, 204. Bone black. 03. Varnished cambric insulating material. Assistant Director, 136. Fuses and detonators. 206. Medicinal preparations packed ready for T homas R. Wilson, Office of International Trade. retail sale under proprietary or trade Director, Areas Division, [F. B. Doc. 49-7365; Filed, Sept. 12, 1949; names (excluding veterinary medici- Office of International Trade. 8:46 a. m.] nals). 110. Meta fuel (solidified mentholated [F. B. Doc. 49-7357; Filed, Sept. 12, 1949; 8:46 a. m.] spirits). [4th Gen. Bev. of Export Begs., Arndt. 38] 3. Paints and varnishes. 37. Petroleum-jelly preparations. P art 375—BLT (Blanket) Licenses 205. Porcelain enamel frit. MISCELLANEOUS AMENDMENTS 72. Powder for sporting cartridges. [4th Gen. Eev. of Export Begs., Arndt. 37] 155. Shampoos, nonliquid, in containers hold­ 1. Section 375.1 BLT (Blanket) licenses ing no more than 1 ounce. Part 371—General Licenses 182. Toilet preparations, including tooth is amended to read as follows^ paste and powder, but excluding per­ P art 379—Export Clearance § 375.1 BLT (Blanket) licenses. fumery and soap. Under the provisions of this part there GENERAL IN-TRANSIT LICENSE AND SHIPPER’S is established a procedure for the expor­ PHOTOGRAPHIC AND PROJECTION GOOgS EXPORT DECLARATION tation of certain RO commodities set 105. Cinematographic cameras and projec­ 1. Section 371.9 General in-transit forth in this part. Pursuant to this pro­ tors (for 16-mm. film or less). license GIT is amended in the following cedure, application may be made for a 26. Film for photographers’ use. particulars: BLT (Blanket) license, which, if issued, 60. Photographic coated paper (not sensi­ Paragraph (a) General provisions is authorizes exportation of the same com­ tized) . amended by adding thergto a new un­ modity to two or more consignees in the 59. Photographic paper and cloth, unex­ numbered paragraph to read as follows: same country of destination. posed, sensitized. 58. Photographers’ plates. Commodities which originate in a for­ 2. Section 375.2 Commodities subject eign country include commodities which to procedure is amended to read as fol­ OFFICE SUPPLIES lows: 1 Imported sporting guns and sporting rifles 176. Carbon paper. will be subject to the provisions of the § 375.2 Commodities subject to proce­ 198. Filing boxes or filing trays (of wood or British 1937 Firearms Act, except smooth­ dure. The following commodities are cardboard). bore guns having a barrel not less than 20 subject to the BLT (Blanket) license 42. Fountain pens and parts. inches in length. procedure: 5592 RULES AND REGULATIONS

Schedule § 204.2 Atlantic Ocean in vicinity of A parallelogram off the west coast of Commodity B No. Duck Island, Maine, Isles of Shoals; naval Aluminum and aluminum-base alloy Florida between Anclote Keys and Cedar sheets, plates, and strips (0.006 inch aircraft bombing target area.—(a) The Keys, bounded as follows: Beginning at and over in thickness)______630301 danger zone. A circular area with a Anclote Keys light, latitude 28°10'00", Milk shipping containers (5 gallons radius of 500 yards having its center on longitude 82°50'42'i; thence to latitude or over)______759300 Shag Rock in the vicinity of Duck Island 28°10'00", longitude 83°31'00"; thence Milk shipping cans (less than 5 gal­ at latitude 43°00T2", lon gitu d e to latitude 28°58'30", longitude 83° lons)______780200 70°36'12". 50'00"; thence to Seahorse Reef Light, In addition, all RO commodities with (b) The regulations. (1) No vessel latitude 28°58'30", longitude 83°09'12"; the following processing code symbols of shall enter or remain in the danger zone and thence to the point of beginning. the Office of International Trade: from 8:00 a. m. to 5:00 p. m. (local time) (2) The regulations, (i) The fact daily, except as authorized by the en­ that aerial target practice is to take SEED CERL STEE forcing agency. place over the danger zone will be adver­ 3. Section 375.3 Application require­ (2) The regulations in this section,' tised to the public through the usual ments is amended in the following par­ shall be enforced by the Commandant, media for the dissemination of informa­ ticulars: First Naval District, and such agencies as tion. Inasmuch as such practice is likely Paragraph (c) Commodities which he may designate. to be conducted throughout the year may he grouped on one application is § 204.4 Cape Cod Bay south of Well- without regard to season, such advertis­ amended to read as follows; ing of firing will be repeated at frequent fleet Harbor, Mass.; naval aircraft bomb­ intervals not exceeding three months and (c) Commodities which may be ing target area—(a) The danger zone. at more frequent intervals when, in the grouped on one application. A separate A circular area with a radius of 1,000 opinion of the enforcing agency, more application must be submitted for each yards having its center on the aircraft frequent repetition is necessary in the commodity which it is proposed to export bombing target hulk James Longstreet interests of public safety. to the same country of destination except in Cape Cod Bay at latitude 41°49'46", (ii) Prior to the conducting of each that all accepted orders which an appli­ longitude 70°02'54". target practice the area will be patrolled cant holds from consignees in the same (b) The regulations. (1) No vessel by Air Force aircraft to insure that no country of destination for the same com­ shall enter or remain in the danger zone watercraft are within the danger zone modity which are not more than $100 in at any time, except as authorized by the and to warn any such watercraft seen value, or not more than twice the GLV enforcing agency. in the vicinity by means of signals that dollar-value limit of the named commod­ (2) The regulations in this section target practice is about to take place. ity, whichever is higher, should be in­ shall be enforced by the Commandant, The patrol aircraft will employ the cluded in a single application. First Naval District, _and such agencies method of warning known as “buzzing” as he may designate. This amendment shall become effective which consists of low flight by the air­ , 1949. § 204.12 Block Island Sound in vicinity plane and repeated opening and closing of Gardiners Point, N. Y.; naval aircraft of the throttle. (Pub. Law 11, 81st Cong.; E. O. 9630, bombing target area—(a) The danger (iii) Any such watercraft shall, upon Sept. 27, 1945, 10 F. R. 12245, 3 CFR, 1945 zone. A circular area with a radius of being so warned, immediately leave the Supp.; E. O. 9919, Jan. 3,1948,13 F. R. 59, 2,000 feet having its center on the Ruin area designated and, until the conclusion 3 CFR, 1948 Supp.) at Gardiners Point, latitude 41°08'30", of the practice, shall remain at such a Dated: August 17, 1949. longitude 72°08'46", which point bears distance that it will be safe from falling 326° true, 2,700 yards, from the northern projectiles. Loring K. Macy, end of Gardiners Island. (iv) The regulations in this para­ Assistant Director, (b) The regulations. (1) No vessel graph shall not deny access to or egress Office of International Trade. shall enter or remain in the danger zone from harbors contiguous to the danger [F. R. Doc. 49-7366; Piled, Sept. 12, 1949; at any time, except as authorized by the zone in the case of regular cargo-carry­ 8:46 a. m.] enforcing agency. ing vessels proceeding to or from such (2) The regulations in this section harbors. In case of the presence of any shall be enforced by the Commander, such vessel in the danger zone the offi­ TITLE 33— NAVIGATION AND Naval Air Bases, First Naval District, cer in charge shall cause the cessation or NAVIGABLE WATERS Quonset Point, Rhode Island, and such postponement of fire until the vessel agencies as he may designate. shall have cleared that part of the area Chapter II— Corps of Engineers, § 204.57 Waters of the Atlantic Ocean; in which it might be endangered by fall­ Department of the Army ing projectiles. The vessel shall proceed Army Air Corps, Aerial Gunnery Target on its normal course and shall not delay P art 204—D anger Zone R egulations Range near Murrells Inlet, South Caro­ lina. [Revoked.] its progress unnecessarily. MISCELLANEOUS AMENDMENTS (v) All aircraft and watercraft shall § 204.60 Charleston Harbor, S. C.; be presumed to know their whereabouts Pursuant to the provisions of section 7 U. S. Military Reservations; Fort Moul­ by distances and directions from land­ of the River and Harbor Act of August 8, trie, Fort Sumter and Marshall Reserva­ marks or other topographical features 1917 (40 Stak 266; 33 U. S. C. 1), and tion. [Revoked.] along the shore. Chapter XIX of the Army Appropriation (vi) The regulations in this paragraph Act of July 9,1918 (40 Stat. 892; 33 U. S. C. .§ 204.70 Waters of the Atlantic Ocean; shall be enforced by the Commanding 3), §§ 204.57, 204.60, 204.70, 204.83, 204.85, United States Marine Corps firing range Officer, MacDill Field, Tampa, Florida, 204.110, and 204.118 are hereby revoked, between Hilton Head Island and Hunt­ and such agencies as he may designate. § 204.125 is hereby redesignated § 204.228, ing Island, S. C. [Revoked.] (b) Bombing target areas—(1) The §§ 204.105 and 204.140 (a) are hereby § 204.83 Waters of the Atlantic Ocean; danger zones—(i) South area. A rec­ amended, and §§ 204.2, 204.4, 204.12, and U. S. Army Air Corps, Aerial Gunnery tangular area off the west coast of Florida 204.222 are hereby prescribed, the revoca­ Target Range between Jupiter Inlet and between Hudson and Bayport bounded on tion of § 204.118 to be effective on the Fort Pierce, Fla. [Revoked,] the south by latitude 28° 23'; on the west date of publication of this revocation, and § 204.85 Waters of the Atlantic Ocean by longitude 82° 56'; on the north by § 204.222 to be in full force and effect on latitude 28°33'; and on the east by longi­ and after the date of its publication, in (Straits of Fla.); Fort Taylor Military tude 82°43'. the F ederal R egister due to the urgent Reservation, Key West, Florida. [Re­ voked.] (ii) North area. A rectangular area need on the part of the United States off the west coast of Florida between Navy for continuing operations in the § 204.105 Gulf of Mexico between Chassahowitzka Bay and Crystal Bay existing restricted area and commencing Anclote Keys and Cedar Keys, Fla.; Air bounded on the south by latitude 28°43'; operations in the newly established re­ Force aerial gunnery target range and on the west by longitude 82°58'; on the stricted area at the earliest practicable bombing target areas—(a) Aerial gun­ north by latitude 28°53'; and on the east date, as follows: nery target range—(1) The danger zone. by longitude 82°45'. Tuesday, September 13, 1949 FEDERAL REGISTER 5593

(2) The regulations, (i) Vessels and 10-fathom depth whichever is farther rate has been established or a “customary other watercraft are prohibited from en­ from the west shore. cost of tuition” has been established tering the danger zones at all times. (b) The regulations. (1) Naval oper­ through contract with the Veterans’ Ad­ (ii) Advance notice will be given of ations will be conducted within the Hood ministration over a two year period. the date on which bombing practice shall Canal danger zone between 9:00 a. m., (b) Law. Public Law 266, 81st Con­ begin. Thereafter, at intervals of not and 2:00 p. m., Pacific standard time, on gress, by which funds were appropriated more than three months, notices will be all days other than Saturdays and Sun­ for activities of the Veterans’ Admin­ published stating that bombing practice days, from ,1949, to Septem­ istration for the fiscal year 1950, contains is continuing. Such notices will appear ber 23, 1949, inclusive. No vessel shall the following proviso and limitations: in local newspapers and in “Notice to enter or remain in the danger zone during Provided, further, That no part of this Mariners” published by the United States these periods. Operations will be con­ appropriation for education and training Coast Guard. fined so far as practicable to the easterly under Title II of the Servicemen’s Readjust­ (iii) The regulations in this paragraph portion of the waterway. ment Act, as amended, shall be expended (2) Naval operations will be conducted subsequent to the effective date of this act shall be enforced by the Commanding for subsistence allowance or for tuition, fees, Officer, MacDill Field, Tampa, Florida, within the Dabob Bay danger zone be­ or other charges in any of the following and such agencies as he may designate. tween 8:00 a. m. and 2:00 p. m., Pacific situations: standard time, on all days other than N ote: Section 204.105 was formerly §204.88. (1) For any veteran for a course in an in­ Saturdays and Sundays, from August 29, stitution which has been in operation for a § 204.110 Waters of Gulf of Mexico; 1949, to September 9, 1949, inclusive. No period of less than one year immediately U. S. Army Air Corps, Aerial Gunnery vessel shall enter or remain in the danger prior to the date of enrollment in such course Target Range between Anclote Keys and zone during these periods. unless such enrollment was prior to the date Cedar Keys, Fla. [Revoked.] (3) During naval operations, surface of this act; (2) For any course of education or train­ Note: Section 204.110 was formerly and air patrol will be maintained at all ing for which the educational or training in­ § 204.88a. times in the danger zones and an escort stitution involved has no customary cost of § 204.118 Hood Canal, Wash.; tempo­ will be provided for vessels using the navi­ tuition, until a fair and reasonable rate of rary naval restricted area for deep-water gation lanes described in paragraph (a) payment for tuition, fees, or other charges of this section. for such course has been determined. In any aircraft torpedo drops. [Revoked effec­ (4) This section shall be in full force case in which one or more contracts pro­ tive on the date of publication of this re­ and effect on and after the date of its viding a rate or rates of tuition have been vocation in the Federal R egister.] publication in the F ederal R egister, and executed for two successive years, the rate established by the most recent contract shall § 204.125 Atlantic Ocean and Carib­ shall be enforced by the Commandant, be considered to be the customary cost of bean Sea in vicinity of Puerto Rico; Thirteenth Naval District, and. such tuition notwithstanding the definition of practice firing areas, United States agencies as he may designate. “customary cost of tuition” as hereinafter Army Forces Antilles. [Redesignated § 204.228 Atlantic Ocean and Carib­ set forth. If the Administrator finds that § 204.228.] any institution has no customary cost of tui­ bean Sea in vicinity of Puerto Rico; prac­ tion he shall forthwith fix and pay or cause § 204.140 Gulf of Mexico in vicinity of tice firing areas, United States Army to be paid a fair and reasonable rate of pay­ Eglin Field, Fla.; guided missiles test Forces Antilles. * * * ment for tuition, fees, and other charges for operations area, Air Proving Ground [Regs. Sept. 6, 1949, 800.2121—ENGWO] the courses offered by such institution. Any Command—(a) The danger zone. An educational or training institution which is (40 Stat. 268, 892; 33 U. S. C. 1, 3) dissatisfied with a determination of a rate area in the Gulf of Mexico bounded as of payment for tuition, fees, or other charges follows: Beginning at a point on the [seal] Edward F. W itsell, Major General, under the foregoing provisions of this para­ south shore of Santa Rosa Island at graph shall be entitled, upon application longitude 86° 47'20"; thence easterly The Adjutant General. therefor, to a review of such determination along the south shore of Santa Rosa [F. R. Doc. 49-7363; Filed, Sept. 12, 1949; (including the determination with respect Island, across the mouth of Choctawhat- 8:46 a. m.] to whether there is a customary cost of tui­ chee Bay Entrance, and along the south tion) by a board to be known as the “Veter­ shore of Moreno Point and the peninsula ans’ Tuition Appeals Board” consisting of TITLE 38— PENSIONS, BONUSES, three members, appointed by the Adminis­ south of Choctawhatchee Bay to longi­ trator for such purpose. Such board shall be tude 86°05T0"; thence southeasterly to AND VETERANS’ RELIEF subject, in respect to appointment, hearings, latitude 28°10'00", longitude 84°30'00"; appeals, and all other actions and qualifica­ thence 270° true to longitude 86° 47'20"; Chapter I— Veterans’ Administration tions, to the provisions of sections 5 to 11, inclusive, of the Administrative Procedure and thence due north to the point of Part 21—Vocational R ehabilitation and beginning. Act, approved June 11, 1946, as amended. Education The decision of such board with respect to Note: Section 204.140 was formerly Subpart C—Training F acilities all matters shall constitute the final admin­ § 204.90a. istrative determination. In no event shall provisional regulations the board fix a rate of payment in excess of § 204.222 Hood Canal and Dabob Bay, the maximum amount allowable under the Wash.; temporary naval restricted areas Immediately below § 21.671 add the Servicemen’s Readjustment Act as amended. for deep-water aircraft torpedo drops— centerhead “Provisional Regulations” The term “customary cost of tuition,” as em­ (a) The danger zones—(1) Hood Canal. and insert new § 21.690. ployed herein and in paragraph 5, part VIII, All waters of Hood Canal between lati­ § 21.690 Application of the provisions Veterans’ Regulation Numbered 1 (a), as tude 47°46'00" and latitude 47°41'35", amended, is regarded as that charge which an of Public Law 266, 81st Congress, pro­ educational or training institution requires exclusive of a navigation lane one-fourth hibiting expenditure of Government a nonveteran enrollee similarly circum­ nautical mile wide along the west shore. funds for courses of education or training stanced to pay as and for tuition for a course, (2) Dabob Bay. All waters of Dabob until certain requirements are met— except that the institution (other tb#n a Bay, an arm of Hood Canal, between (a) Purpose. The purpose of the pro­ nonprofit institution of higher learning) is latitude 47°47'00" and la titu d e vision contained in Public Law 266, 81st not regarded as having a “customary cost of 47°42'00", exclusive of a navigation lane Congress, is to prohibit the Veterans’ tuition” for the course or courses in ques­ along the west side the easterly bound­ Administration from expending any tion in the following circumstances: ary of which is a line one-fourth nautical (a) Where the majority of the enrollment Government funds for courses of educa­ of the educational and training institution in mile from the southeast shore of Bolton tion or training in educational institu­ the course in question consists of veterans Peninsula, a line extending from the tion s : in training under Public Laws 16 and 346, southernmost point of Bolton Penin­ (1) Which have not had at least one 78th Congress, as amended; and sula to Whitney Point, a line one-fourth year of operating experience in providing (b) One of the following conditions pre­ nautical mile from shore from a point the type of training now offered or pro­ vails : northeast of Whitney Point to a point posed to be offered to veterans under 1. The institution has been established southwest of Pulali Point, a line tangent Public Law 346, 78th Congress, as subsequent to June 22, 1944. to Pulali Point and Wawa Point, and amended. 2. The institution, although established south of Wawa Point a line one-fourth (2) Which have no customary cost of prior to June 22, 1944, has not been in con­ nautical mile from shore or the line of tuition until either a fair and reasonable tiguous operation since that date. No. 176----- 2 5594 RULES AND REGULATIONS

8. The Institution, although established tion applicable to eligible veteran en- deficit of $3,000. The third contract prior to June 22, 1944, has subsequently in­ rollees notwithstanding the definition of creased its total tuition charges for the rate was $15 per student per month course to all students more than 25 per “customary cost of tuition” as provided which rate was determined by arriving centum. in § 21.467. Therefore, no further fair at a basic fair and reasonable rate of 4. The course (or a course of substantially and reasonable cost determination will $19 per student per month less an ad­ the same length and character) was not pro­ be required by the Veterans’ Administra­ justment of $4 per student per month to vided for nonveteran students by the insti­ tion with respect to contract rates which absorb an accumulated surplus. The $19 tution prior to June 22, 1944, although the are considered to be the customary cost fair and reasonable rate will become the institution itself was established before June of tuition established by the most recent customary cost of tuition though an ad­ 22, 1944: Provided further, That nothing in the foregoing proviso shall be construed to cdhtract where contracts have been exe­ ditional allowance will be made in the affect'Adversely any legal rights which have cuted on a fair and reasonable basis cov­ contract rate to reimburse the institu­ accrued prior to the date of enactment of ering a period of two successive years. tion for the $3,000 deficit as of June 30, this Act, or to affect payments to educational (ii) Special cases involving surplus or 1950. or training institutions under contracts in deficit. A contract rate with a non­ (iii) Educational institution’s right to effect on such date. profit school where there has been a con­ appeal to Veterans’ Tuition Appeals (c) Policy—(1) Institutions in opera­ sideration of surplus or deficit in deter­ Board. Where a mutually satisfactory tion less than one year, (i) Benefits mining such rate is not considered to be fair and reasonable rate cannot be under Title II, part VIII, Public Law 346, a customary cost of tuition. Where con­ agreed upon and the educational or as amended, will not be authorized for tracts have been or are in the future training institution is dissatisfied with a any veteran who, on or subsequent to executed with nonprofit schools covering Veterans’ Administration determination August 24, 1949, commences a course in a period of two or more successive years of a fair and reasonable rate of payment an institution which has been in opera­ and the most recent contract rate has for tuition, fees, or other charges, such tion for a period of less than one year. been or is adjusted to take into consid­ educational institution shall be entitled, (ii) For the purpose of Public Law 266, eration a surplus or deficit, the custom­ upon application and the filing of an 81st Congress, an institution is defined ary cost of tuition established by such appeal in accordance with the rules pre­ as a school when it operates in one loca­ contract will be the fair and reasonable scribed therefor, to a review of such tion. A subsidiary, branch or extension rate without regard to the adjustment determination of a fair and reasonable of an existing school in the same or dif­ for surplus or deficit. For example: rate (including the determination with ferent community will be considered as A contract has been negotiated on a respect to whether there is a customary a separate institution. In determining fair and reasonable basis for the period cost of tuition) by the Veterans’ Tuition whether a school has been in operation September 1, 1947, to August 31, 1948, Appeals Board. s for a period of less than one year, the and a second contract has been negoti­ (d) Application of law and policy— effective date of operation will be the ated for the period September 1,1948, to (1) Determination of contract rate. For date on which a full schedule of instruc­ August 31, 1949. The rate provided in any course of education or training for tion was commenced by the school to a the second contract is $15 per student which the educational or training insti­ minimum of 25 students for which the per month, which rate was determined tution involved has no customary cost school collected tuition. The school by arriving at a basic fair and reasonable of tuition as defined in § 21.467 (except must have been in continuous operation rate of $20 per student per month less as established by the most recent con­ under substantially the same ownership an adjustment of $5 per student per tract after contracts covering a mini­ and management for a full twelve month to absorb an accumulated surplus. mum of two successive years have been months period including reasonable va­ The customary cost of tuition established executed as set forth in paragraph (c) cation and holiday periods and must have by the second contract is the basic rate (2) (i) and (ii) of this section), a fair provided to a minimum of 25 students of $20 per student per month and not and reasonable rate of payment for tui­ during that full twelve months period the adjusted rate of $15 per student per tion, fees, or other charges for such the course or courses of substantially the month. Where the surplus or deficit has course will be determined by the regional same length and character as those of­ not been completely absorbed prior to office after reviewing the cost data as fered following the twelve months period. the termination date of the contract submitted by the educational institution (2) Courses which do not have a cus­ which established or establishes the cus­ in accordance with regulations in this tomary cost of tuition. The following in­ tomary cost of tuition, the succeeding part and after consulting with the insti­ structions issued pursuant to the provi­ contract rate will provide for a rate based tution to the extent necessary to arrive sions of Public Law 266, 81st Congress, upon the customary cost of tuition in­ at the fair and reasonable determination. are for application in connection with creased or decreased to provide for the The Veterans’ Administration regional Veterans’ Administration contracts for liquidation of the remaining surplus or office will then prepare a contract con­ the education and training of veterans deficit during the next ensuing periods taining the proposed fair and reasonable under Public Law 346, as amended, where except that the institution may arrange rate, and such contract together with a a fair and reasonable cost determination for the return of any surplus in a lump copy of the cost data and the regional is required except as to contracts for sum. Only a surplus accumulated or a office analysis thereof, will be submitted, courses of less than 30 weeks, corre­ deficit incurred prior to the termination prior to signature either by educational spondence courses and institutional on- date of the contract by which the cus­ institution or the Veterans’ Administra­ farm training courses which ara specific­ tomary cost of tuition is established will tion, for approval of the special assist­ ally provided for elsewhere in the stat­ be for consideration in contracts for en­ ant to director, training facilities service, utes. These instructions do not apply suing periods or for lump-sum recovery. for the area concerned. Upon notice of where the institution applies for payment For example: approval or upon notice of approval sub­ of adjusted tuition pursuant to §§ 21.473, A contract has been negotiated on a ject to amendment in accordance with 21.474 and 21.475. fair and reasonable basis for the period’ regulations in this part by the special (i) Contract requirements. Existing September 1, 1947, to June 30, 1948, and assistant to the director, training facili­ regulations in this part requiring con­ a surplus of $10,000 existed on June 30, ties service, the regional office will sub­ tracts on a fair and reasonable basis will 1948. A second contract has been nego­ mit the proposed approved contract to continue in full force and effect except tiated for the period July 1, 1948, to the educational institution for signature. that in any case in which one or more June 30,1949, the operation of which has (2) Notice of intent to appeal. Where contracts providing a rate or rates of tui­ resulted in reducing the $10,000 surplus the educational institution is dissatisfied tion under Public Law 346 (not under to a $5,000 surplus on June 30, 1949. A with the fair and reasonable determina­ Public Law 16) have been executed irf third contract is negotiated for the tion and a mutually satisfactory rate accordance with regulations in this part period July 1, 1949, to June 30, 1950, to cannot be negotiated between the Veter­ for two successive years in calendar time, absorb the $5,000 surplus and this third ans’ Administration and the institution, except as provided in subdivision (ii) of contract completes the calendar time for the institution has the right to appeal to this subparagraph, the rates established the requirement of the second successive the Veterans’ Tuition Appeals Board. by the most recent contract shall be con­ year. On June 30, 1950, the operation In the event the institution desires to sidered to be the customary cost of tui- of the third contract has resulted in a appeal, it must file with the regional of- Tuesday, September 13, 1949 FEDERAL REGISTER 5595 flee a written notice bf such intent and amount billed, the adjusted amount per § 127.78 Certificates of mailing, (a) a copy of such notice must be forwarded veteran based on the findings of the ap­ Postmasters are instructed on request, at by the institution at the same time to peals board and the difference between time of mailing, to issue for an ordinary the Veterans’ Tuition Appeals Board, such amounts in order that proper pay­ parcel-post package a certificate of mail­ Veterans’ Administration, Washington ment may be effected. Where the de­ ing (Form 2965 or 3817), or a receipt 25, D. C. Appeals made by educational cision of the appeals board results in an from a firm mailing book (Form 3877-A, institutions which concern either the overpayment to the institution the usual 3881-A, or 3882-A). If desired by the Veterans’ Administration determination collection procedures will be followed. mailer one certificate of mailing may be of fair and reasonable rates or the deter­ (6) Effect on current contracts. Ef­ issued to cover one or more parcels sent mination with respect to whether there fective immediately the escape clause at one time to one addressee. A charge of is a customary cost of tuition will be re­ authorized by the administrator for use 1 cent will be made for each certificate garded as premature unless cost data has in Veterans’ Administration contracts of mailing issued to the sender, and for been submitted, and a fair and reason­ affected by litigation between Metro­ each parcel represented if a single cer­ able rate or rates determined in accord­ politan Training Center, Inc. vs. Carl R. tificate covers more than one parcel; ance with regulations in this part. Gray, Jr., et al., is not authorized for in­ that is, if a certificate of mailing is issued (3) Renewal of contracts which es­ clusion in Veterans’ Administration con­ for 10 parcels, even though identical, the tablish the rate for the customary cost tracts for education and training of vet­ charge will be 10 cents. When a certifi­ of tuition. Under the provisions of para­ erans and will not be included in any con­ cate of mailing is issued for an air par­ graph (c) (2) (i) of this section, the tract for any period beginning on or after cel, the certificate shall be endorsed “Via most recent contract which established August 24, 1949. The foregoing will not air mail”. or establishes the rate considered to be preclude the inclusion of such escape 2. In § 127.101 Special provisions ap­ the customary cost of tuition will be clause where otherwise authorized in a plicable to international registry service renewed (or new contracts prepared contract to cover a period up to August (13 F. R. 9101), amend paragraph (d) where existing contracts are not on VA 24, 1949. Existing contracts which con­ to read as follows: Form 7-1903) at the last effective rate. tain such escape clause are unaffected by (4) Payment authorized pending ac­ Public Law 266 for any period prior, to (d) Registry receipt. The usual regis­ tion of appeals board. Upon receipt by August 24, 1949. On and after such try receipt shall be issued for mail matter the regional office of the notice of intent date contracts with cited escape clause accepted for registration to foreign coun­ to appeal, the regional office will insert in are subject to the limitations of Public tries. In instances in which parcel post the proposed contract a clause which is Law 266 and payments by the Veter­ is presented for registration to foreign authorized for use in such cases, read­ ans’ Administration for services fur­ countries under the provisions of the ing as follows: “The execution of this nished following August 24, 1949, will be Agreement relative to parcel post of the contract shall be without prejudice to the made at the fair and reasonable rates Postal Union of the Americas and ______to appeal to the stipulated in the contract. Payments for of Rio de Janeiro (see § 127.104), there (Name of institution) services furnished on and after August must be a notation on the receipt showing Veterans’ Tuition Appeals Board the 24, 1949, will not be subject to the pro­ the exact weight of the parcel and the question of existence of customary costs visions of the escape clause referred to total amount of postage paid (including or of fair and reasonable rates; and the in this subparagraph. transit charges and/or surcharges wher­ contract shall be subject to any revision ever applicable), in addition to the regis­ (Instruction 1, Pub. Law 266, 81st Con­ tration number, amount of fee paid, date made by said board pursuant to the gov­ gress) erning statutes and regulations”. The of mailing, and the name and address of proposed contract will then be submitted [seal] O. W. Clark, sender and addressee. The registration immediately to the educational institu­ Deputy Administrator. receipt and office record covering an air tion for signature and the educational in­ [F. R. Doc. 49-7372; Filed, Sept. 12, 1949; mail article or air parcel shall be en­ stitution will be informed that the Veter­ 8:49 a. m.] dorsed “Via air mail”. ans’ Administration will make payment 3. In § 127.102 Special provisions ap­ under such contract at the determined plicable to international insurance serv­ fair and reasonable rates pending final TITLE 39— POSTAL SERVICE ice (13 F. R. 9102), amend paragraph action by the appeals board. If an insti­ (b) (7) to read as follows: tution declines to execute the contract Chapter I— Post Office Department (7) The insurance number shall be and files an appeal, the rates determined Part 120—Ocean Mail S ervice by the Veterans’ Administration will be legibly written immediately below the payable subject to action by the board. COMPENSATION FOR TRANSPORTATION OF endorsement “Insured.” Insured par­ Where a fair and reasonable rate offered FOREIGN MAILS cels may be numbered in the same series by the Veterans’ Administration for the In § 120.7 Compensation for transpor­ and recorded in the same Form 3813-a most recent contract period which com­ (sender’s receipt for insured mail) as tation of foreign mails (13 F. R. 9068; 14 domestic insured mail. However, where pletes the second successive year is ap­ F. R. 2015), amend paragraph (d) (2) by pealed by the educational institution, the advisable, a separate series of numbers adding “Venezuela” to the list of coun­ may be used for insured parcels for rate determined by the Veterans’ Tuition tries. Appeals Board will establish the final foreign countries (or for each foreign rate for the contract and such contract (R. S. 4007,4009, as amended, 44 Stat. 900, country to which insured parcel-post rate will become the customary cost of as amended; 39 U. S. C. 652, 654) service is in effect) and they may be recorded on a separate Form 3813, or a tuition. [seal] J. M. D onaldson, (5) Voucher requirements. Vouchers Postmaster General. firm mailing book. The insurance re­ submitted by educational institutions un­ ceipt and office record covering an air der contracts containing the savings [F. R. Doc. 49-7351; Filed, Sept. 12, 1949; mail article or air parcel shall be en­ clause or under other arrangement for 8:45 a. m.] dorsed “Via air mail.” payment without a contract authorized in subparagraph (4) of this paragraph, 4. In § 127.103 Special provisions ap­ will be complete regarding names of vet­ plicable to international c. o. d. service erans, C-numbers, etc., in accordance Part 127—International P ostal Service : (13 F. R. 9103), amend paragraph (a) with regulations in this part. In the P ostage R ates, Service Available, and (7) to read as follows: event that it is determined by the appeals Instructions for Mailing (7) The usual registration receipt will board that the educational institution MISCELLANEOUS AMENDMENTS be issued for c. o, d. registered parcels has a customary cost of tuition or that for foreign countries. In addition to the the fair and reasonable rate or rates are In Part 127 make the following other than the stipulated rate or rates in changes : data ordinarily placed upon such receipts, the contract, the educational institution 1. In § 127.78 Certificates of mailing there must be added a notation showing will be required to submit a second billing (13 F. R. 9096), amend paragraph (a) to the amount of charges to be collected showing for each veteran the original read as follows: and the amount of the c. o. d. fee paid, 5596 RULES AND REGULATIONS

exclusive of postage. The mailing office (b) Parcel post. * * * TITLE 43— PUBLIC LANDS: record must also show such charges and (1) Table of rates. * * • fee. Firm mailing records may be used (ii) Air parcels. INTERIOR when desired. The registration receipt Chapter I— Bureau of Land Manage­ and office record covering a c. o. d. air­ Lb. O z. Rate Lb. O*. Rate mail Postal Union article or air parcel ment, Department of the Interior shall be endorsed “Via air mail.” 0 4...... $1.06 22 4 ...... $46.82 Appendix— Public Land Orders 0 8...... 1.58 22 8 47.34 5. In § 127.104 (13 F. R. 9104), the 0 1 2...... 2.10 22 12 47.86 [Public Land Order 604 headnote is amended to read “Special 1 0...... 2.62 23 0 48.38 1 4______3.14 23 4 48.60 provisions applicable to ordinary parcel 1 8...... 3.66 23 8 49.42 Oregon post (surface and air) for Argentina, 1 12...... 4.18 23 12 49.64 Bolivia, Brazil, Chile, Colombia, Costa 2 0...... 4.70 24 0 60.46 WITHDRAWING PUBLIC LANDS FOR USE OF 2 4...... 5.22 24 4 50.98 DEPARTMENT OF ARMY FOR FLOOD CON­ Rica, Dominican Republic, Ecuador, 2 8...... 5.74 24 8 61.60 Guatemala, Haiti, Honduras (Republic 2 12...... 6.26 24 12 62.02 TROL PURPOSES 3 0...... 6.78 25 0 52.54 of), Mexico, Morocco (Spanish Zone), 3 4______7.30 25 4 63.06 By virtue of the authority vested in the Nicaragua, Panama, Paraguay, Peru, 3 8...... 7.82 25 8 . 63.58 3 12...... 8.34 25 12 54.10 President and pursuant to Executive Salvador (El), Spain, Spanish Guinea, 4 0...... 8.86 26 0 64.62 Order No. 9337 of April 24, 1943, it is Uruguay, and Venezuela,” and para­ 4 4______9.38 26 4 56.14 4 8...... 9.90 26 8 55.66 ordered as follows: graph (a) (2) is amended to read as 4 12...... 10.42 26 12 56.18 Subject^ to valid existing rights, the follows: 5 0...... 10.94 27 0 66.70 following-described public lands in the 5 4...... 11.46 27 4 57.22 (2) Ordinarily the descriptive regis­ 6 8...... 11.98 27 8 57.74 State of Oregon are hereby withdrawn 6 12...... 12.50 27 12 58.26 from all forms of appropriation under tration receipt (Form 3805) should be 6 0...... 13.02 28 0 58.78 used by carbon process. It is believed 6 4...... 13. 54 28 4 59.30 the public-land laws, including the min­ 6 8______14.06 28 8 59.82 ing and mineral-leasing laws, and re­ this form would be more advantageous 6 12...... 14. 58 28 12 60.34 at smaller offices. Each descriptive re­ 7 0 ...... 15.10 29 0 60.86 served for use in the construction of the ceipt and its counterpart (mailing office 7 4______15.62 29 4 61.38 Detroit Dam and Reservoir on the North 7 8...... 16.14 29 8 . 61.90 Santiam River, under the supervision of record) shall show date of mailing, 7 12...... 16.66 29 12 . 62.42 name and address of the sender and of 8 0...... 17.18 30 0 . 62.94 the Department of the Army as author­ 8 4____ ...... 17.70 30 4 63.46 ized by the act of June 28, 1938 (5Z Stat. the addressee, exact weight of the parcel 8 8...... 18.22 30 8 63.98 and total amount of postage paid (in­ 8 12...... 18.74 30 12 . 64.50 1215,1222, Willamette River Basin): 9 0...... 19.26 31 0 65.02 cluding transit charges wherever appli­ 9 4______19.78 31 4 65.54 W il l a m e t t e M e r id ia n cable). 9 8...... 20.30 31 8 66.06 At offices where the mailings of ordi­ 9 12...... 20.82 31 12 66.58 T. 9 S., R. 5 E., 10 0...... 21.34 32 0 67.10 Sec. 35, SE14SE14; nary parcels for the countries named in 10 4...... 21.86 32 4 67.62 Sec. 36, S1/2NE14, SW14, Ny2SE}4; this section are small, a portion of the 10 8...... 22.38 32 8 68.14 10 12...... 22.90 32 12 68.66 T. 10 S., R. 5 E., window registration book may be set 11 0...... 23.42 33 0 69.18 Sec. 1, lot 4; aside for the entries of such parcels. At 11 4...... ‘ 23.94 33 4 69.70 Sec. 2, lot 1, NW1/4SE1/4, Ey2SW%; 11 8...... 24.46 33 8 70.22 Sec. 2, lot 2, SW&NE14, W ^SW ^, those first- and second-class offices where mail­ 11 12...... 24.98 33 12 70.74 ings are more frequent and in larger 12 0...... 25.50 34 0 71.26 parts south and east of the southerly quantities, Form 2932 (receipts for ordi­ 12 4...... 26.02 34 4 71.78 right-of-way line of the proposed relo­ 12 8...... 26.54 34 8 72.30 cation of the North Santiam National nary Americo-Spanish parcel-post pack­ 12 12...... 27.06 34 12 72.82 Forest Highway No. 24. ages) should be used. The receipt and 13 0...... 27.58 35 0 73.34 13 4...... 2a 10 35 4 ’ 73.86 Sec. 3, E y2 SW % and SEi4; office record covering an air parcel shall 13 8...... 28.62 35 8 74.38 Sec. 6, lot 7, that part south and west of be endorsed “Via air mail.” 13 12...... : 29.14 35 12 74.90 the southerly right-of-way line of the 14 0...... 29.66 36 0 75.42 proposed relocation of the North San­ 14 4______30.18 06 4 75.94 (R. S. 161, 396, 398, secs. 304, 309, 42 14 8...... 30.70 36 8 76.46 tiam National Forest Highway No. 24. Stat. 24, 25, 48 Stat. 943; 5 U. S. C. 22, 14 12...... 31.22 36 12 76.98 Sec. 7, lot 1, that part east of the center 369, 372) 15 0...... 31.74 37 0 77.60 15 4...... 32.26 37 4 78.02 Of the North Santiam River. [seal] J. M. D onaldson, 16 8______32.78 37 8 78.54 Sec. 7, lots 2, 4, NE>4, Ey2NW^, SE^SW^, 15 12...... 33.30 37 12 79.06 Postmaster General. 16 0...... 33 82 38 0 79.68 Ny2sEy4, SE14SE14; 16 4...... 34.34 38 4 80.10 Sec. '10, N%, SWi/4; IF. R. Doc. 49-7352; Filed, Sept. 12, 1949; 16 8...... 34.86 38 8 80.62 Sec. 11, NWJ4, N%SW^4, and also a frac­ 8:45 a. m.] 16 12...... 35.38 38 12 . 81.14 17 0______35.90 39 0 81.66 tional part of the Ni/aSE^SW^ de­ 17 4...... 36.42 39 4 82.18 scribed as follows: Beginning at a point 17 8...... 36.94 39 8 . 82.70 17 12______37. 46 39 12__ 83.22 on the north boundary of the SE^SW^, 18 0...... 37.98 40 0...... 83.74 from which thei northeast corner of the 18 4...... 38.50 40 4 84.26 SE%SW»4 bears N. 89°51' E., 206.2 feet; P art 127—I nternational P ostal S ervice: 18 8...... 39.02 40 8 . 84.78 18 12...... 39.54 40 12 . 85.30 thence by metes and bounds, S. 89°51' P ostage R ates, Service Available^ and 19 0...... 40.06 41 0 - 85.82 W., 871.5 feet, S. 33°43' E., 632.6 feet, N. Instructions for Mailing 19 4...... 40.58 ■41 4 86.34 19 8...... 41.10 41 8 - 86.86 44°34' E., 741.7 feet to the point of POLAND 19 12...... 41.62 41 12 . 87.38 • beginning. 20 0...... 42.14 42 0...... 87.90 Sec. 12, WI/2NE14SW^NE14, NW%SWi4 20 4...... 42.66 42 4 88.42 In § 127.331 Poland (13 F. R. 9205), 20 8...... 43.18 42 8 .. 88.94 n e >4, sy2swy4NEy4, wy2sw^sE^ make the following changes: 20 12...... 43 70 42 12... 89.46 NEy,, SE14SW14SE14NE14, 8Wi4NW!4, 21 0...... 44.22 43 0 - 89.98 1. Amend paragraph (a) (5) to read 21 4...... 44.74 43 4 . 90.50 NW%SW%; as follows: 21 8...... 45.26 43 8. 91.02 sec. 14, n w &n e ^ , sy2Nwy4; 21 12...... 45.78 43 12 01.54 Sec. 15, SE^SW^; (a) Regular mails. * * * 22 0...... 46.30 44 0 92.06 Sec. 16, SW ^SE^; NE^NE^, NW&SE^, (5) Air mail service. Postage rates: those parts south and east of the east­ Letters, letter packages, and post cards, 3. The foregoing amendments will take erly right-of-way line of the proposed re­ 15 cents per half ounce. Air-letter effect September 1, 1949. location of the North Santiam National sheets, 10 cents each. Other regular- Forest Highway No. 24. mail articles, 46 cents for the first two (R. S. 161, 396, secs. 304, 309, 42 Stat. 24, 25; 5 U. S. C. 22, 369) Sec. 17, SW&NW^, Wy2SW»4; SE&SW^, ounces and 25 cents for each additional that part south and west of the southerly two ounces. (See § 127.20.) [seal] J. M. D onaldson, right-of-way line of the proposed reloca­ 2. Amend paragraph (b) (1) by the Postmaster General. tion of the North Santiam National For­ addition of a new subdivision (ii) to read IF. R. Doc. 49-7353; Filed, Sept. 12, 1949; est Highway No. 24. as follows: 8:45 a. m.] Sec. 18, NE1/4NW&, Sy2NE}4; Tuesday, September IS, 1949 FEDERAL REGISTER 5597

Sec. 20, SE%NE*4; NE^NE^,, that part [Public Land Order 605] SW14NEI4NW14, N y2 SE i/4 NE14 Nw yA, south of the southerly right-of-way line Sw SE 14 NE14 N W14, Wy2NEy4SE^ of the proposed relocation of the North Oregon NW14, N W14 SE % N W14 > that portion of Santiam National Forest Highway No. 24. lot 2, and that portion of the SW% WITHDRAWING PUBLIC LANDS FOR USE OF SE^NW^ lying within the railroad Sec. 21, W%W%; DEPARTMENT OF ARMY FOR FLOOD CON­ Sec. 22, Ni/2NW%; right-of-way of the Southern Pacific Sec. 27, sy2Nwy4; TROL PURPOSES Company, SE^SE^NW ^, and Wy2SEy4. Sec. 28, sy2NEV4, SE%; By virtue of the authority vested in Sec. 17, lots 1 and 2, Sy2NEy4SWy4, T. 10 S., R. 6 E„ the President and pursuant to Executive Ny2SWy4SEV4, Ey2SW 14SW 14 SEy4 and Sec. 7, lot 2, NE*4 lot 3, SW$4SW% lot 8; s e % s w % s e %; NE14SW14, N W % SE %, those parts Order No. 9337 of April 24, 1943, it is Sec. 18, sy 2 lot 13, lots 14, 15, 17, 18, 19 to south and west of the southerly right- ordered as follows: 26 inclusive, that part of lot 27 included of-way line of the proposed relocation Subject to valid existing rights, the within the existing road (Willamette of the North Santiam National Forest public lands in the following-described Highway-State Highway No. 58) and lot Highway No. 24. areas are hereby withdrawn from all 28; forms of appropriation under the public- Sec. 19, lot 1 and NE^NW^; The areas described aggregate approx­ land laws, including the mining and min­ Sec. 20, lot 4, SW14NW14, and NE%SW>4; imately 3,400 acres. eral-leasing laws, and reserved for use Sec, 21, SEi4SEi/4; This order shall take precedence over Sec. 28, lots 1, 2, and 3, being the fractional in the construction of the Lookout Point N'/2NEy4. but not modify (1) the Executive Orders Dam Project, Oregon, under the super­ of , 1893, July 1, 1908, and vision of the Department of the Army, The areas described including both April 6, 1933 and the Proclamations of as authorized by the act of June 28, 1938, public and non-public land, aggregate January 25, 1907, March 2, 1907, and 52 Stat. 1215: approximately 2,120 acres. June 30,1911, setting aside certain lands This order shall take precedence over for national forest purposes and chang­ W il l a m e t t e M e r id ia n but not modify (1) the Proclamations ing the names or boundaries of national T. 20 S., R. 1 E., of January 25, 1907, March 2, 1907, and forests, (2) the withdrawals of March 9, Sec. 1, lots 1, 2, and 3, Sy2NWy4SW%, and June 7, 1911, and the Executive Orders 1931 and May 16, 1936, for power pur­ SE14SE14; of June 30, 1908, July 1, 1908, and April poses made under Federal Power Com­ Sec. 2, lot 3 and Ny2NWV4; Sec. 3, lots 4 and 6, SW^NW1^ and SW1^ 6, 1933, establishing or changing the mission Projects Nos. 1155 and 1375 re­ SE»4; boundaries or names of national forests, spectively, and (3) the order of Septem­ Sec. 4, lot 1 and SE^NEyi; and (2) the orders of July 19, 1926, and ber 9, 1936 of the Secretary of the Inte­ Sec. 10, Ey2NEi4, SV&SW&NE^, and December 9, 1946, of the Secretary of rior, Power Site Classification No. 291, so N^SEyU the Interior, Power Site Classifications Sec. 11, Ei/2SEV4NEyi, NW^SW^, and Nos. 150 and 379 respectively, so far as far as such orders affect any of the NEV4SE14; . above-described lands. such proclamations and orders affect Sec. 12, Sy2NW>4, NW14SW14, Ny2SEy4, any of the above-described lands. J. A. Krug, Ny,SEy4SEy4, and Ny2Sy2SEi4SE^; Secretary of the Interior. T. 20 S., R. 2 E., Oscar L. Chapman, Sec. 6, SW14SE14; Acting Secretary of the Interior. , 1949. Sec. 7, lots 1, 3, 4, 5, and 6, N^NW ^NE^, NW ^ S W % NW i/4 NE>/4, Ei/2SEy4NWV4 , 1949. [F. R. Doc. 49-7354; Filed, Sept. 12, 1949; nev4, NEi4swy4NE>4, Ey2Nwy4swy4 [F. R. Doc. 49-7370; Filed, Sept. 12, 1949; 8:45 a. m.] NE14. sy2swy4NEy4, Ny2NEy4NW%, 8:48 a. m.]

PROPOSED RULE MAKING

DEPARTMENT OF AGRICULTURE Interested parties may file exceptions skim milk used to produce • cottage to this recommended decision with the cheese be changed from Class II milk to Production and Marketing Hearing Clerk, Room 1353, South Build­ Class IH milk; (c) the classification of Administration ing, United States Department of Agri­ condensed milk, condensed skim milk, ice culture, Washington 25, D. C., not later cream, ice cream mix, ice cream novel­ [ 7 CFR, Part 974 ] than the close of business on the 15th ties, ice sherbets, imitation ice cream and Handling of Milk in Columbus, Ohio, day after its publication in the F ederal frozen cream be changed from Class III Marketing Area R egister. milk to Class II milk; (d) skim milk and Preliminary statement. A public butterfat disposed of in bulk for use in NOTICE OF RECOMMENDED DECISION AND OP­ hearing was called by the Production and commercially manufactured food prod­ PORTUNITY TO FILE WRITTEN EXCEPTIONS Marketing Administration, United States ucts be changed from Class I milk and WITH RESPECT TO PROPOSED AMENDMENT Department of Agriculture, on the re­ Class H milk, respectively, to Class HI TO TENTATIVELY APPROVEL MARKETING quest of a majority of the handlers of milk; (e) the method of allocating AGREEMENT AND TO ORDER, AS AMENDED milk in the Columbus, Ohio, marketing “other source milk” be revised; and (f) Pursuant to the rules of practice and area. The hearing was held April 18-22 the plant shrinkage “allowance” in Class prodedure, as amended, governing pro­ and May 3-4, 1949. Proposed amend­ IV milk be reduced; ceedings to formulate marketing agree­ ments were submitted by the petitioning (2) Revision of the class price formu­ ments and orders (7 CFR, 900.1 et seq.) handlers, the Borden Company, the Ohio las so as to (a) reduce the price of skim notice is hereby given of the filing with Jersey Breeders’ Association, The Cen­ milk dumped or disposed of for animal the Hearing Clerk of this recommended tral Ohio Cooperative Milk Producers, feed; (b) reduce the price of skim milk decision of the Assistant Administrator, Inc. (hereinafter referred to as the “pro­ and the price of butterfat made into Production and Marketing Administra­ ducers’ association”), and the Dairy butter in Class IV milk; (c) increase the tion, United States Department of Agri­ Branch, Production and Marketing Ad­ Class I and Class II price differentials culture, with respect to proposed amend­ ministration. (over the basic formula price) 25 cents ments to the tentatively approved The major issues presented on the rec­ per hundredweight in the months of marketing agreement and to the order, ord of the hearing and covered by this October, November and December; and as amended, regulating the handling of decision were whether the order should (d) change the basis for pricing Class III milk in the Columbus, Ohio, marketing be amended to provide for: milk and to reduce the level of prices for area, to be effective pursuant to the (1) Revision of the classification of such class; provisions of the Agricultural Market­ milk to provide that (a) “Reddi-Wip” (3) Revision of the alternate basic ing Agreement Act of 1937, as amended topping and similar products be classified price formula based on the market prices (7 U. S. C. 601 et seq.). as Class i n milk; (b) the classification of of butter and nonfat dry milk solids re- 5598 PROPOSED RULE MAKING ducing the level of prices resulting from milk on the ground that the contents of cheese. They pointed out that inspected such formula; such product are substantially the same milk is required for cottage cheese man­ (4) Adoption of a “contra-seasonal” as those of ice cream mix. Producers ufacture. The latter statement was at­ price provision for Class I, Class II, and contended that this product should be tested to by a representative of the Class III milk; included in Class II milk on the basis Columbus Board of Health. Producers (5) Maintenance of Class I, Class II, that it is in competition with whipping contended that a lower classification and and Class III price differentials for a cream, that producers should not be re­ price would tend to encourage the use limited period in 1949 at the level which quired to supply milk for this product of milk for cottage cheese when such prevailed in ; at a price sufficiently low to permit sale milk was needed for a higher class use. (6) Revision of the formula for com­ over a wide area in competition with They testified further that in the event puting the butterfat differential payable uninspected milk put to the same use, the uniform price was reduced by such to producers for milk testing above or and that classification as Class III milk a lower classification, it would be neces­ below 3.5 percent of butterfat; would discourage the transfer of milk be­ sary to make price adjustments on other (7) Elimination of the price credit ap­ tween handlers for higher-valued uses. classes of milk to prevent a reduction in plicable to excess skim milk disposed of The record shows the basic ingredient the level of uniform prices received by as sweetened condensed skim milk in the of “Reddi-Wip” to be fluid cream of ap­ producers. months of January, February or March; proximately 30 percent butterfat content, Cottage cheese is a product handled by (8) Coverage as “producer milk” of to which is added nonfat- milk solids, Columbus milk handlers on a year Columbus approved milk received at any sugar, flavoring and a stabilizer. The around basis. For those producing it its plant approved by the Columbus health mixture is placed in a container with a manufacture and sale are a part'- of reg­ authorities for the receipt of milk for valve opening through which a pressure ular business operations. It is necessary fluid use in any delivery period when any of gas is applied. The emitted product that a supply of inspected milk be avail­ such milk is disposed of from such plant is highly similar in form to whipping able for this product under local health to any other Columbus approved plant, cream.* Its butterfat content is sub­ requirements if the product is to be mar­ with provision for a plant location price stantially higher than that of ice cream keted in Columbus. The record shows adjustment to the operating handler; mix and approaches (within 2 percent) that the daily average sales of skim milk (9) Monthly reports by the market ad­ the butterfat content of whipping cream and butterfat in the form of cottage ministrator to a cooperative association customarily sold in the market. The cheese in January, February, and March setting forth (a) the percentage of mem­ stated uses of “Reddi-Wip” place it in 1949 were 58.5 percent above the corre­ ber milk utilized in each class, and (b) competition with whipping cream. The sponding months of 1948. Daily sales the quantity of milk delivered by each Columbus Board of Health requires that during March 1949 were the highest of member-producer, the average butterfat the cream and nonfat milk solids used in any previous month for the past three test o' such milk, the amount of any ad­ the preparation of “Reddi-Wip” for sale years. These increases in sales occurred vance payment made to such producer in Columbus come fram inspected milk. while cottage cheese was classified as by a handler, and other information re­ A classification lower than Class II milk Class II milk. It is recommended in an­ lating to the payment for such milk ; would give such product a distinct mar­ other part of this decision that a revision (10) Adoption of provisions requiring keting advantage over whipping cream of the price formula for Class II milk payment by handlers to a cooperative as­ and unduly lower returns to producers. should be made which, among other sociation with respect to milk delivered It may be noted that ice cream and ice things, reduces the price of skim milk by producer-members of such associa­ cream mix, formerly in Class III milk, used for this product. In view of the tion, if such association^ has received have been changed to Class II milk on above it is concluded that the classifica­ written authorization to collect such pay­ the basis of another conclusion set forth tion of skim milk and butterfat used to ment and elects to do so; in this decision. From the above it is ^produce cottage cheese should not be (11) Monthly announcements by the concluded that skim milk and butterfat changed. market administrator of rates charged used to produce “Reddi-Wip,” and any (c) The definitions of the classes of by haulers of milk; other product substantially similar in milk should be revised to include in Class (12) Revision of the provision for form or use, should be classified as Class II milk all products currently classified marketing services to producers not II milk. as Class II and Class III milk; the price members of a cooperative association (b) The classification of skim milk and of Class II milk should be lowered 10 performing such marketing services so butterfat used to produce cottage cheese cents per hundredweight; and the Class as to (a) establish the maximum deduc­ should not be changed from Class II milk I and Class H butterfat and skim milk tion for such purposes at 5 cents per to Class III milk. prices should be computed by allocating hundredweight of milk in lieu of 4 cents, It was proposed by handlers that the 82 percent of the class price per hundred­ and (b) require marketing services with classification of cottage cheese be weight of milk to butterfat and 18 per­ respect to a handler’s own production of changed from Class II milk to Class IH cent of such price to skim milk. / milk; milk. Proponents stated a belief that Producers proposed that all products (13) Adoption of individual-handler more milk solids would be utilized in cot­ now classified in Class II and Class III pools in substitution for a “market-wide” tage cheese if the prices of skim milk milk be combined into a single class to pool in distributing returns to producers; and butterfat used to produce this prod­ which the present Class II price provi­ (14) Preparation and dissemination uct were reduced. It was argued that sions would apply. The proposal would by the market administrator of general this change would result in the disposal have the effect of moving ice cream and statistics and information regarding or­ of less milk solids in uses now covered related products into a higher-priced der operations; by Class IV milk. It was estimated that classification. They pointed out in sup­ (15) Reporting of multiple fluid milk the producers’ uniform price would be port that the sanitary requirements of plant operations by a handler as the op­ reduced about 2 cents per hundredweight the Columbus Board of Health apply eration of a single plant; and by such a change in classification, as­ equally to milk used to produce cream (16) Minor modifications of language suming the same quantity of cottage for fluid consumption and milk used in for clarification and' to make the entire cheese sold. However, assuming the sale the manufacture of ice cream, a,nd do order conform with any amendments of a greater quantity of cottage cheese, not allow the use of uninspected milk in adopted. r-suiting in some milk solids being moved ice cream, either as cream or nonfat milk Findings and conclusions. The follow­ from Class IV to Class III milk, it was solids. Handlers did not object to the ing findings and conclusions on the is­ felt that the producers’ uniform price proposed revision of class definitions but sues decided herein are hereby made would not be affected appreciably. The did object to application of the present upon the basis of the record of the hear­ further contention was made that if the Class II price formula to products now in ing: price of milk used for cottage cheese Class III milk. It should be noted in this (1) (a) “Reddi-Wip” topping and simi­ were reduced, permitting a reduction in connection that handlers have proposed lar products should be classified as Class the resale price, a greater amount could that the level of the Class III price be II milk. be supplied to outlets outside of the changed from 40 cents under the Class I Handlers proposed that skim milk and Columbus marketing area. price to the Class IV price plus 15 cents butterfat used to produce a new product, Producers opposed a lower classifica­ in April, May, June, and July, 65 cents in “Reddi-Wip,” be classified as Class III tion of milk utilized to produce cottage October, November, and December, and Tuesday, September 13, 1949 FEDERAL REGISTER 5599

40 cents in other months. Under the lat­ cent to the skim milk. In recent months concerns located within the marketing ter proposal the price of Class III milk open market values of butter and nonfat area are using condensed skim milk, con­ would be reduced. dry milk solids have indicated relative densed milk, nonfat dry milk solids and Since sanitary requirements for milk values of butterfat and skim milk in 3.5 some uninspected whole milk in lieu of used for fluid cream and for ice cream are percent milk ranging from a ratio of 80- Columbus inspected milk, and that they identical, most bulk condensed skim milk 20 to 85-15. Computation of butterfat are permitted to use the former products made is used in ice cream manufacture and skim milk values by use of a 73-27 under local health regulations. in plants required to use inspected milk ratio therefore results in relatively low The producers’ association opposed for this purpose, and no uninspected butterfat and relatively high skim milk any lower classification and pricing of milk or milk products are permitted to prices in relation to current market val­ milk or skim milk so disposed of on the be used in ice cream, it is concluded that ues. The method of computing the but­ basis it is not economically-sound for cream, ice cream and related products, terfat and skim milk prices in the price producers to furnish these outlets- with frozen cream, and bulk condensed milk formula for Class II milk (as revised) an inspected milk supply the year around and skim milk should be classified to­ therefore should be revised by substitut­ at a price that would allow competition gether, for pricing purposes as Class II ing for the 73-27 ratio a ratio allotting with uninspected milk. It was stated milk. The evidence indicates, however, 82 percent of the hundredweight price that any reduction below the present that certain changes in the method of for milk to butterfat and 18 percent to level in the producers’ uniform price computing the skim milk and butterfat skim milk. In order to maintain a simi­ brought about by such a proposal must prices in such class, and in Class I milk, lar relationship between butterfat values be offset with a compensating- price ad­ should be made. in Class I and Class II and between the justment on some other classification. Handlers claimed that the cost of respective skim milk values in these The order should provide for the com­ butterfat and skim milk used in the classes, the same method of computation putation of a credit to the handler in manufacture of ice cream and bulk con­ should be applied to the hundredweight connection with the type of disposition densed skim milk is too high under the price for Class I milk. in question in the computation of the present Class III price formula. The The present Class II hundredweight total value of his milk. In view of ac­ Class III price formula proposed by han­ price is 25 cents less than the Class I price cessible outlets for seasonal surpluses of dlers would have resulted in 1948 in a and the Class i n price is 40 cents less skim milk and butterfat derived from reduction in the simple monthly average than the Class I price.„ Since the revised producer milk in the form of cream and of skim milk prices of 40.7 cents per hun­ definition of Class n milk will include condensed skim milk, the returns to pro­ dredweight and in butterfat prices of 4.14 ice cream, ice cream mix, and condensed ducers from skim milk and butterfat sold cents per pound. The reductions in the skim milk, the price differential below to manufacturers of soup, candy, or 4-month period, April through July, in Class I applicable to the new Class II milk bakery products should be, however, as which about half of the Class III utili­ should be somewhat wider than now ex­ high as returns from these alternative zation for the year occurs, would have ists between Class I and Class II. In view uses. Handlers indicated also a desire averaged 55 cents and 5.75 cents, respec­ of the change made in the computation to dispose of condensed skim milk to such tively. The Class III price of butterfat, of the butterfat price which will result in outlets in the flush production months. together with the skim milk price, re­ increasing the price of Class II butterfat, Although no change in the classification sulted for the year 1948 in an average a differential of 35 cents per hundred­ of this product was proposed, a lower cost of $32.25 to handlers for a ten gal­ weight of milk below the Class I price will level of prices was sought in connection lon can of 40 percent cream. At the result in a Class II price appropriate for with a suggested revision of the Class HI prices proposed by the handlers this av­ the various products to be included in price formula. Such pricing problem is erage cost would have been $30.67. The that class under present conditions. discussed in another part of this deci­ corresponding average market price at It is concluded, therefore, that all sion. Philadelphia for cream approved for products now classified as Class III milk The price credit should apply during Pennsylvania, Newark and Lower Merion should be included in Class II milk, that April, May, June and July and should be Township was $37.28. These prices for the Class II price per hundredweight of computed at the difference between the the month of March 1949 were $24.92, milk should be established at a level 35 Class I prices and the Class n prices for $23.52 and $28.12, respectively. Even a cents below the Class I price, and that skim milk and butterfat, respectively. very liberal allowance for separating the butterfat and skim milk prices in Orderly marketing of producer milk in cream at Columbus would not offset these Class I and Class II milk should be com­ excess of marketing area requirements differences. This comparison of cream puted by allotting 82 percent of the hun­ during the flush production season will costs based on the Class III price with dredweight price to butterfat and 18 per— be promoted by this change. Such price the Philadelphia market price of cream cent to skim milk. credit will make it possible for the han­ of inspected quality indicates that the (d) The handler should be given adler to compete in the surplus season for Class III butterfat price is resulting in a credit at the difference between the Class the type of business sought on the basis relatively low return to producers for I and Class n milk prices with respect of a purchase cost reasonably in line with Columbus inspected cream and therefore to skim milk and butterfat disposed of that of competitors not under the order the price of butterfat for fluid cream and during April, May, June, or July as milk and not under Columbus health inspec­ ice cream uses should be increased rather or skim milk in bulk fluid form to a man­ tion. Provision for a price credit as ex­ than decreased. ufacturer of soup, candy, or bakery prod­ plained above appears to be a simpler The Class III skifri milk price, on the u cts for use in such manufacturing op­ method of achieving the desired objective other hand, averaged $1.28 per hundred­ erations. than that proposed by the handlers. weight for the year 1948 and $0.9921 for Handlers proposed an amendment to (e) The method of allocating “other March 1949. According to the testi­ the present Class n i milk definition to source milk” should not be revised. mony the market price in March for classify in such class any skim milk and Handlers proposed that in the alloca­ sweetened condensed skim milk ranged butterfat sold in bulk as milk or skim tion of other source milk there should from 6.75 cents to 7.75 cents per pound. milk for use in commercially manufac­ be subtracted from Class I milk for the It appears that while the Class III but­ tured food products other than dairy months of October through January, in­ terfat price is below the level necessary products. In support of this amendment clusive, an amount of other source milk to reflect a reasonable market value for it was testified that such classification up to the difference in quantity between butterfat in ice cream, the Class HI skim would permit sales to food processing the total receipts of producer milk by the milk price is high in relation to the open concerns, particularly local bakeries, handler and 115 percent of his Class I market value of nonfat solids, even after candy makers, and soup companies, on a milk prior to the subtraction of other making some allowance for the addi­ reasonable competitive basis with per­ source milk in series beginning with the tional value of nonfat solids derived from sons selling uninspected, or manufactur­ lowest-priced class. The present order inspected milk when used locally for ice ing, milk. Although the proposal was provides that all other source milk shall cream. This condition may be attributed designed to have year-around effect, the be allocated in series beginning with principally to the method of computing problem was represented primarily as one Class IV milk, the lowest-priced class. Class III butterfat and skim milk prices of disposing of seasonal surpluses of pro­ Supporting testimony stated that this which allots 73 percent of the hundred­ ducer milk in the flush production proposal is needed to encourage a greater weight price to the butterfat and 27 per­ months. It was shown that such food production of milk in the months of sea- 5600 PROPOSED RULE MAKING sonally low production since handlers de­ been in effect (since ). * It (b) The formulas for determining the sire a supply well in excess of Class I was shown that the yearly average of price of Class IV butterfat made into but­ requirements. It was shown that pro­ butterfat shrinkage is less than 2.0 per­ ter and the price of skim milk should be ducer receipts were below 115 percent of cent of total butterfat receipts. The revised to increase the manufacturing Class I milk sales in February, October, February- average shrink­ margins provided. November, and December 1946, in No­ age was 1.8 percent, the 1947 average Handlers proposed that in the formula vember and , and in Jan­ 1.53 percent, and the 1948 average 1.94 for pricing Class IV butterfat the manu­ uary 1948. percent of such receipts. Shrinkages of facturing margin for producing butter be Producers opposed the suggested skim milk have been slightly greater than increased from $4.20 to $6.60 per hun­ change in allocation on the grounds that butterfat shrinkages during the same dredweight of butterfat so used. It was it would lower prices unduly at a time of period. Skim milk shrinkage amounted stated that manufacturing costs such as the year when production should be en­ to 2.28 percent of total skim milk re­ equipment, supplies, fuel, transportation couraged, that market supply statistics ceipts in 1946 (11 months), 2.19 percent and labor have increased during the past do not indicate a need for the provision, in 1947, and 1.84 percent in 1948. These year. Testimony was presented that di­ and that handlers would be less inclined data represent total amounts and include rect manufacturing costs were 4.32 cents under such an allocation plan to share both shrinkage priced at the Class IV per pound of butter made at a large milk with other handlers in the short price and that priced at the Class I price. creamery in New York State during 1948 production months. Handlers opposed the reduction con­ and indirect costs 1.55 cents per pound, A similar proposal was heard at a pub­ templated by the producers’ proposal, as compared to 4.07 cents and 1.44 cents, lic hearing held March 10-14, 1947, and stating that such reduction would be dis­ respectively, for 1947. Average butter was denied on the basis of the evidence criminatory against certain handlers, manufacturing costs at 172 cooperative presented. In the decision made at that that milk is handled as economically as creameries for the year ending April 30, time certain facts regarding other source possible, that handlers pay a price for 1948, were given from a survey report to milk eligible for Class I use were set forth. the shrinkage in any event, and that be 4.49 cents per pound. The conditions referred to then with re­ shrinkage is a complete loss to the Producers opposed the proposal on the spect to such other source milk still ob­ handler. They stated that the 2.5 per­ basis that an increase for manufacturing tain. The present record shows also cent allowance should be continued to costs would reduce the uniform price. A that handlers desire now as at the time allow for accidents in the plant. Wisconsin manufacturer who operates a of the hearing to encourage The shrinkage data shown in the rec­ milk manufacturing plant, testifying for a greater production of milk in the ord indicate that on the average handlers the producers, estimated that his costs months involved in this proposal. We in the Columbus market do not experi­ for manufacturing butter have increased cannot conclude, however, that the pro­ ence a plant shrinkage of skim milk or about 7 percent in 1949 as compared with posal would achieve the objective sought. butterfat exceeding 2.0 percent of total 1948. However, no figure representing The Columbus market is available to all receipts. In the interest of preventing his current cost per pound of butter was dairy farmers who can meet the health lower prices to producers resulting from presented. requirements and is not limited to the excessive shrinkage losses and of main­ The -various cost data presented may producers now supplying the market. taining an equitable price plan among be viewed only as one phase of the ques­ The total milk supply is dependent upon all handlers, it is concluded that shrink­ tion of establishing a proper margin in the supply responses of all producers now age on producer milk allowed to be priced the formula for pricing surplus butter­ qualified under prevailing health require­ as Class III milk (formerly Class IV milk) fat. The main problem is to price sur­ ments or who may become so qualified. should be limited to 2.0 percent of total plus butterfat necessarily marketed as The proper pricing of milk is a more ap­ receipts of producer milk. As a corollary butter at a level sufficiently low to pro­ propriate method of inducing an ade­ action the order should be modified fur­ vide an incentive for the orderly market­ quate supply of milk, by stimulating an ther to permit all shrinkage prorated to ing of such butterfat but not low enough increase in the production of present pro­ other source milk to remain in Class III to encourage the disposition of butterfat ducers and by providing an incentive for milk. in this form if it is needed in higher­ new producers to come into the market, (2) (a) The price for skim milk valued uses. A margin of 5.0 cents per than the proposal under consideration. dumped or used to produce livestock feed pound of butterfat made into butter The seasonal pattern of prices provided should not be reduced. should provide sufficient incentive for should encourage the production at all Handlers proposed that (a) the phrase the orderly marketing of surplus butter­ seasons of the year of milk needed not “having been dumped or disposed of for fat in uses not requiring inspected milk. only for Class I use but also for all other livestock feeding” be deleted from the A greater incentive for the disposal of uses requiring inspected milk. It is Class IV milk definition, and (b) the butterfat in this manner would not be shown further in the record that in the price of skim milk used for livestock feed appropriate in view of the year-around most recent season of short production or accounted for as dumped be priced by needs of the market for butterfat in -, inclusive, the adoption of a new formula based on other forms. It is concluded, therefore, producer milk deliveries were more than the average market price of roller proc­ that the manufacturing margin factor 10 percent greater than 115 percent of ess nonfat dry milk solids for animal in the formula for pricing butterfat used Class I milk sales. The indications are feed, f. 0. b. area manufacturing in making butter should be increased that producer milk deliveries will be plants. from $4.20 to $5.00 per hundredweight higher in relation to Class I sales in 1949 Proponents indicated that the price of of butterfat. than in 1948. The type of allocation skim milk utilized for animal feed would Handlers proposed further that the proposed is not warranted for adoption be reduced approximately 30 cents per manufacturing margin in the formula except in the presence of a short supply hundredweight by this proposal. Such for pricing Class IV skim milk be in­ condition. a reduction was stated to be necessary creased from 4 cents to 5.5 cents per It is concluded, therefore, that the to compensate handlers for losses sus­ pound. They offered testimony to in­ method of allocating other source milk tained when skim milk is so utilized. dicate that the adoption of the pro­ should not be revised. Producers opposed any lower price for posal would be helpful in disposing of (f) The plant shrinkage “allowance” skim milk for this purpose on the basis excessive surpluses. It was pointed out in Class III milk (formerly Class IV milk) it would reduce the uniform price. that the principal product use of skim should be revised. There are no market quotations avail­ milk in Class IV milk is condensed but­ The producers’ association proposed a able for roller process nonfat dry milk termilk for animal feed. The handler reduction in the plant shrinkage allow­ solids for animal feed, f. o. b. Chicago making this product stated his manu­ ance on producer milk to be classified area manufacturing plants. The price of facturing cost to be 5.4 cents per pound as Class IV milk from 2 V2 to 2 percent of Class IV skim milk has been reduced in of condensed buttermilk made, exclusive the skim milk and butterfat in producer connection with a revision of the present of container cost, overhead, or selling milk receipts. In support of the proposal Class IV price formula. It is concluded expense and prices «received for the a table was presented showing monthly for these reasons that the proposal for manufactured product were not suffi­ shrinkage experience of skim milk and a special formula for this purpose should ciently high to pay the price resulting butterfat for the period the order has not be adopted. from the Class IV price formula which Tuesday, September IS, 1949 FEDERAL REGISTER 5601 is based on the prices of spray and roller this decision. It is concluded therefore which have obtained. They contended process nonfat dry milk solids for human that Class I and Class II price differen­ also that the purpose of a basic price consumption. tials should not be increased for the formula is to measure price changes gen­ Producers contended they were opposed months of October, November and De­ erally for manufacturing milk. to this, as to other proposed reductions cember as proposed. The principal use of the butter-nonfat in class prices, because of the effect of (d) The level of prices for Class III milk solids formula has been its appli­ lowering the uniform price to producers. milk should be adjusted in connection cation as an alternative basic price for­ The quantity of skim milk utilized in with a revision of classification involving mula. If manufacturing margins for products ordinarily included in Class IV elimination of Class HI milk as now butter and nonfat dry milk solids, as milk (to become Class III milk) is in defined. presently contained in the formula, were excess of "that of previous years. The Handlers proposed changing the basis increased without compensatory adjust­ market prices for the principal product of pricing Class HI milk from a differen­ ment to class price differentials it would manufactured from Class IV skim milk tial over the basic formula price to a dif­ tend to defeat th’e main purpose of the do not appear to justify the returns ferential over the price of Class IV milk. formula by causing an unwarranted de­ presently received by producers for skim The proposal would result in lower prices crease in the class prices based on such milk so used. An adjustment in the for both skim milk and butterfat in Class formula. It was made clear by the pro­ manufacturing margin would permit III milk. This proposal is discussed un­ ponents of the change that reductions in more orderly marketing of skim milk in der paragraph (1) (c) above which deals the Class I and Class II prices as cur­ this class. Therefore, it is concluded with a revision of the classification rently determined were not contemplated that the manufacturing margin in the structure and appropriate pricing based by the proposal and no related proposals price formula for Class IV skim milk thereon. The adjustment of prices in were presented to offset any resulting de­ should be increased from 4 cents to 5.5 connection with the classification change creases in class prices. No showing was cents per pound. The revised formulas discussed under paragraph (1) (c) re­ made that such prices are too high. The for pricing skim milk and butterfat sults in a lower price for skim milk used impact of the proposed change on the should result also in a reasonable align­ in products presently covered by Class class price structure would have been ment of the Class IV price with the gen­ III milk, but a lower price for butterfat substantial if it had been in effect in the eral level of. manufacturing milk prices. used in such products would not be ap­ past several months. Changes in the (c) The Class I and Class II price dif­ propriate for the reasons there set forth. basic formula price provisions should be ferentials for the months of October, (3) The alternate basic price formula considered primarily in light of their re­ November and December should not be based on the market prices of butter and lation to and effect on the price structure. increased. nonfat dry milk solids should not be This record does not approach the prob­ Handlers proposed that the differen­ revised. lem in such manner and likewise does tials to be added to the basic formula Handlers proposed that in the com­ not indicate that the change suggested price to determine the Class I and Class putation of the butter-nonfat dry milk would produce a superior alternative II prices be increased from $1.00 to $1.25 solids basic formula price the 3.5-cent basic price formula. Similarly, no at­ and from $ .75 to $1.00, respectively, for deduction from the price of butter be tempt was made to show that the sub­ the months of October, November and increased to 5.5 cents and the 4-cent ject price formula has not performed its December. It was claimed that these in­ deduction from the price of nonfat dry function satisfactorily. It is concluded creases are desirable to provide a greater milk solids be increased to 5.5 cents. therefore that the butter-nonfat dry incentive for production of milk in the Proponents contended that this change milk solids formula should not be months of short production. is necessary to reflect increased manu­ changed in connection with its applica­ It should be noted that this proposal facturing costs of butter and nonfat dry tion as a basic price formula. The pro­ was made in connection with other pro­ milk solids. It was indicated, however, posed change in the formula as it ap­ posals which in part would offset its ef­ that the prices of Class I, Class H and plies to the price of skim milk in Class fect. The net result of all handler price Class HI milk should not be reduced al­ IV qiilk is discussed in connection with though no proposals were offered to conclusion (2) (b). proposals applied to the last three compensate for any reduction that the (4) A seasonal price provision to miti­ months of 1948 would have been an aver­ above proposal might bring about. They gate contra-seasonal movements in Class age increase in the uniform price of 11.6 furnished data showing the butter man­ I and Class II prices should be adopted. cents per hundredweight. For the 9 ufacturing cost in a New York creamery Producers proposed that the prices for months in 1948 other than October, No­ to be 5.87 cents per pound during 1948 Class I, Class II and Class III milk for vember and December, handler price and a cost of 4.49 cents for 172 coopera­ any of the months of September, Octo­ proposals would have resulted in an aver­ tive creameries for the year ending April ber, November and December should not age reduction in the uniform price of 30, 1948. They also submitted data on be less than such prices, respectively, for over 24 cents. It is not clear that an the cost of manufacturing nonfat dry the preceding month, and that for each adequate production for all seasons milk solids, showing a cost of 5.773 cents of the months of January, February and would result from an increase in the uni­ per pound for a plant in the Columbus March such prices should not be less than form price of less than 12 cents for three area. the corresponding prices for the preced­ months of the year together with a de­ A Wisconsin manufacturer who oper­ ing month less 22 cents. They testified crease of. over 24 cents for nine months. ates a milk drying plant testified on that this proposal was necessary to pre­ It appears from study of the several han­ behalf of producers that he estimated his vent a decline in prices during the fall dler proposals that the proposal here manufacturing costs (excluding broker­ and winter months when production costs under consideration is intended largely age fee) for 1949 tc be about 7 percent are normally at a high level seasonally. to be a method of offsetting to some ex­ above 1948. This would bring such costs Thereby, the production of milk during tent the proposed price reductions in to approximately 3.781 cents per pound the normally short production season of Class III and Class IV milk as now de­ of nonfat dry milk solids made. Pro­ the year would be encouraged. fined. Without additional reason the ducers stated in opposition to the han­ Handlers contended that the proposal proposed increase in Class I and Class II dlers’ proposal that the butter-nonfat automatically would project prices for prices is not justified. It may be noted dry milk solids formula price would be milk over too many months into the fu­ also that the Class I and Class II price lowered to the point where it would no ture, thus creating an undesirable price differentials are intended to compensate longer serve as an adequate alternative condition during the present period of •producers for extra costs involved in formula to the “paying price’’ of the 18 decline in retail prices generally. producing milk under Columbus inspec­ midwestern condenseries. It was testi­ The utilization of Class I milk and tion and for producing in a manner nec­ fied that during the past 38 months the Class II milk has been relatively uniform essary to supply a fluid milk market butter-nonfat dry milk solids formula throughout the seasons of the year, adequately. The evidence does not show price has been used 11 times as the basis whereas the record indicates substantial any indication of a change in these costs for the Class I, H and III prices. The variations in the seasonal production pat­ or in supply trend which requires an in­ adoption of this proposal, it was alleged, tern, with the lowest level of production crease in the amount of the differentials. would make necessary an increase in the generally occurring in the months of Oc­ The Class II price differential has been class price differentials in order to main­ tober through December and the highest reduced as explained in another part of tain the producers’ price at or near levels production usually occurring in the No. 176----- 3 5602 PROPOSED RULE MAKING

months of May through July. Con­ an increase in both total deliveries and caloric content of the component parts versely, the cost pf producing milk is con­ in deliveries per producer in the first few contained therein and that a higher siderably higher during the low produc­ months of 1949 over the corresponding butterfat differential would place too tion period of October through December months of 1948. higlj^ a value on the caloric content of than during the flush production months The time period involved in the pro­ the butterfat in milk as compared to the of May through July. However, in the posed change has expired. Also, records caloric content of the solids not fat. months of October through December, of milk production did not indicate that The butterfat differential is added to, 1948 producer prices for Class I and Class a seasonal decline in class price differen­ or subtracted from, the producer’s uni­ II milk -were below the prices for such tials during the spring and summer of form price per hundredweight of milk milk during the flush production months 1949 would seriously threaten the future delivered, for each one-tenth of 1 per­ of May through July of that year. supply of milk for the Columbus market. cent that the butterfat content varies In order to encourage the production The number of producers supplying the from 3.5 percent. The butterfat differ­ of milk in those months when it is most market has shown a fairly steady in­ ential now provided, based on the value needed, it is considered desirable to lessen crease over a long period and producer of Class IV butterfat, is lower than the contraseasonal price movements so as to deliveries for the first 3 months of 1949 value of the butterfat used in all other achieve a closer alignment of prices sea­ were the highest for the months of Janu­ classes of milk. Producers delivering sonally with seasonal changes in the cost ary, February, and March in any year milk testing above 3.5 percent therefore of production. * Therefore, it is concluded since the promulgation of the order. In receive less for butterfat in excess of 3.5 that a provision should be adopted under addition, a seasonal pricing plan should percent than the price for all butterfat which the minimum prices for Class I be continued for the encouragement of used by handlers, except Class IV butter­ and Class II milk in October, November a higher fall production relative to the fat, and the additional value accrues to and December shall not be less than the production level for the spring and sum­ producers delivering milk of relatively simple average of the minimum prices mer months. In view of these circum­ low butterfat content. Returns to pro­ in effect for such classes* respectively, in stances, it is concluded that the pro­ ducers for high butterfat content milk the two calendar months immediately posed change in the price differentials of are less per unit of butterfat than to preceding the delivery period and the Class I, Class II and Class III milk for those delivering milk with a butterfat test minimum prices for such classes in May, the months of April, May, June and July, below the average of all producer re­ June and July shall not be higher than 1949 would not have been appropriate. ceipts. Since the average butterfat con­ the simple average of those in effect for .(6) The producer butterfat differen­ tent of Class I milk is between 3.6 per­ the two immediately preceding calendar tial should be computed in accordance cent and 3.7 percent and the average test months. It is felt, however, that such with the weighted average value of of producer milk is above 4.1 percent, modification of the formula in effect butterfat in Class II and Class III milk most butterfat delivered in excess of 3.5 should not determine the price pattern less the weighted average value of skim percent is used in classes other than for as long a period as suggested by the milk in such classes. Class I. The market value of such producers’ proposal. For this reason the A breed association of producers pro­ butterfat is greater than that result­ contraseasonal price provision would not posed that the producer butterfat differ­ ing from the present butterfat differ­ determine the prices for the month of ential be related directly to the weighted ential formula. The revised differen­ September or provide for adoption of the average value of butterfat in all classes tial formula should not increase the proposal that the price of Class I, Class of milk minus the weighted average differential sufficiently to encourage the II and Class III milk during each of the value of skim milk in all classes. Pres­ production of milk of unduly high but­ months of January, February and March ently, the order provides that the pro­ terfat content. It is not feasible to adopt should not be less than the correspond­ ducer butterfat differential be computed the proposal to establish the value of ing price for the preceding month less in direct ratio to the value of butterfat butterfat in milk in relation to the value 22 cents. in Class IV milk. The proposed change of solids not fat on the basis of the Under another proposal Class III milk was supported also in the record by testi­ caloric content of each component. In is being combined with present Class II mony of representatives of two other view of the above it is concluded that the milk, and Class IV milk is being renamed breed associations. It was stated by the producer butterfat differential should be as Class III milk. With these changes proponents that a butterfat differential computed in direct ratio to the weighted in classification inspected milk will not determined from the weighted average average price of butterfat in Class II be required for the products to be covered value of all butterfat would reflect an and Class III milk (formerly Classes II, by Class III milk and it is concluded, adequate and proper value of the butter­ III and IV) less the weighted average therefore, that the contraseasonal pro­ fat component in producer milk and, on price of skim milk in such classes. vision should not apply to Class III milk. the contrary, that a butterfat differen­ (7) The proviso of § 974.6 (a), which (5) The Class I, Class II and Class III tial based on the value of Class IV allows handlers a price credit with re­ price differentials for the months of April butterfat is not a fair measure of the spect to sweetened condensed skim milk through should not have been classified value of the butterfat delivered disposed of under certain conditions, maintained at the March 1949 levels. by producers in their milk. It was con­ should be deleted from the order. Producers proposed that the price dif­ tended that producers supplying milk Handlers proposed that the amend­ ferentials for Class I, Class II and Class with a butterfat content higher than the ■ ment made effective October 1, 1948, III milk for April, May, June and July, average test of the market would receive which allows a. credit of the difference 1949, be maintained at the March 1949 a higher uniform price and share more between the prices of skim milk in Class levels. The present order provides for a equitably in the returns for milk and III and Class IV milk with respect to ex­ 25-cent seasonal decline in these differ­ that the change to a slightly higher cess skim milk disposed of as sweetened entials during the normally high pro­ butterfat differential would not be suffi­ condensed skim milk by a handler during duction months of April through July. cient to stimulate the production of January, February, or March to nonhan­ The proponents offered testimony to in­ milk with an unduly high butterfat dlers, be deleted from the order. They dicate that the class price differentials content. testified in support of this proposal that should be maintained in this manner to The adoption of the proposal was during flush production months skim compensate producers for the decrease in opposed by a third breed association. A milk is in excess of the total requirements the basic formula price which had taken representative of the latter association for the market and that their disposal place in months just prior to the April testified that the proposed butterfat problem occurs at that time rather than hearing. It was argued that such change differential would decrease the uniform after the close of the low production sea­ would aid in sustaining production dur­ price to producers delivering milk with a son. It was alleged that the present pro­ ing the fall and winter months of this butterfat content below the average of vision operates against seasonal pricing year, when production will be low sea­ the market. This would encourage the and requires handlers to pay too high a sonally, by encouraging producers to production of milk with a higher butter­ price for skim milk made into condensed continue in the production of milk rather fat content. The present method of skim milk during the flush production than to shift to some alternate farm distributing returns to producers was period when skim milk is in excess of the enterprise. claimed to be equitable. It was stated market requirements. It was argued Handlers offered opposition to this pro­ further that the price of producer milk further that it is not profitable to dispose posal. They presented evidence showing should be more closely related to the „ of condensed skim milk processed during Tuesday, September IS, 1949 FEDERAL REGISTER 5603 the flush months in the months of Janu­ dairy farmers supplying milk to such needed to provide for price equity be­ ary, February or March of the following plant are “producers.” Milk so supplied tween producers delivering milk to any year. is “producer milk” and is classified and such plant in the event of such qualifi­ Producers offered no direct testimony priced under the provisions of the order. cation and producers delivering to in opposition to the proposal made by All such plants presently covered by the fluid milk plants in or near the mar­ the handlers. order are located in or close to the mar­ keting area. It is not evident from The price credit provision was adopted keting area. The present order provides the record, however, that any other plant originally to give handlers who had no location differentials. located at a distance from Columbus is stored sweetened condensed skim milk Discussion of the proposal under con­ seeking entrance to the market pool. not subsequently usetkfor ice cream sideration centered mainly around the While producers agreed to the proposal within the Columbus market an opportu­ operations of a plant operated by the for a handler location differential on milk nity to dispose of such storage stocks in proponent handler which is located more received at an approved plant located advance of the next storage season on than 40 miles from Columbus. Such more than 40 miles from Columbus, they the basis of a price which would permit plant receives Columbus inspected milk contended that such differential should disposal in the open market without un­ from dairy farmers and approval of the apply only to milk actually moved to due hardship. It was adopted to facili­ plant to send milk into the Columbus the marketing area in fluid form. They tate the orderly marketing of excess skim market is maintained by the operator. proposed a differential of 25 cents per milk and to remove a price burden to the Inspection of the Cleveland, Ohio, health hundredweight but presented no evi­ handlers. Earlier disposition of con­ authorities also is maintained for milk dence to show that this amount would densed skim milk on such a price basis at this plant. Although th£ present or­ be preferable to 17 cents which was testi­ was not permitted in order to insure the der provides that any plant may become fied to be the actual transportation cost market of a sufficient supply of inspected a fluid milk plant if milk is disposed of from the plant being given primary con­ milk. However, in connection with an­ from such plant as Class I milk in the sideration at this time. other proposal, it is concluded that the marketing area on a wholesale or retail It is concluded that no change should method of pricing skim milk so utilized route or through a store, milk from this be made in the definition of a fluid milk should be revised in a manner which will particular plant customarily has been plant, but that a handler location differ­ lower-the price of such skim milk. In disposed of directly in the marketing ential of 17 cents per hundredweight view of the latter conclusion and testi­ area in several months of the year only should be allowed on milk moved as mony which indicates that the intended through fluid milk plants located in the whole milk to the marketing area from a objective of § 974.6 (a) will not be accom­ marketing area. This milk has entered fluid milk plant located more than 40 plished under its terms, it is concluded the market as other source milk and has miles from Columbus and that a pro­ that such provision should be deleted represented only a small proportion of ducer location differential of 17 cents per from the order. such plant’s total receipts. The major hundredweight should be applied to all (8) Milk received from producers at a portion of the milk supply of such plant milk received from producers at a fluid fluid milk plant located more than 40 has been utilized for the manufacture of milk plant so located in determining the miles from the Ohio State Capitol, Col- plain and sweetened condensed skim uniform price applicable at such plant. lumbus, should be subject to a handler milk, nonfat dry milk solids (roller proc­ (9) (a) The proposal that the mar­ location differential of 17 cents per hun­ ess) and fluid cream, all primarily for ket administrator be required to furnish dredweight on that portion moved as sale to outlets other than the Columbus rto each cooperative association a month­ whole milk to the marketing area, and fluid milk plants. The record shows ly report of the percent of each han­ to a producer location differential of 17 further that until this time the propo­ dler’s utilization in each class of milk of cents per hundredweight in the compu­ nent handler has elected to keep milk at producers as qualified in accordance with tation of the uniform price for producers this plant from being covered by the or­ § 974.9 (b) should not be adopted. at such plant. der as producer milk. It is evident also Producers proposed that § 974.2 (c) be A handler proposed that any Colum­ from the record that a sufficient supply amended to provide that on or before the bus-approved milk received at a plant of milk can be obtained from the general 12th day after each delivery period, the approved by the Columbus Board of area from which “direct-shipped” milk market administrator shall report to Health for the receipt of milk for fluid is now received to remove the necessity each cooperative association with respect use be considered “producer milk” if for fluid milk plants to depend upon to each handler the percent of utilization any portion of such milk is delivered to other plants as regular sources of supply. in each class of milk received in the de­ any other plant similarly approved for Under these conditions it is not feasible livery period from producers who are the receipt and processing of fluid milk. to expand the coverage of the market qualified in accordance with § 974.9 (b). This would, in effect, require a change in pool to include any plant, particularly a This proposal is similar to proposed the definition of “fluid milk plant.” This plant engaged primarily in manufactur­ amendments offered at two prior hear­ handler proposed also that milk received ing milk products, not having a Colum­ ings on order No. 74 held March 10-14, from producers at any such plant lo­ bus fluid milk plant as its primary outlet. 1947 and March 8-10, 1948. It was con­ cated more than 40 miles from the Ohio Although a substantial amount of testi­ cluded from the record of the March State Capitol be subject to an “adequate” mony was given to show the desirability 10-14, 1947 hearing that the adoption of handler location adjustment. It was pro­ of having milk delivered to the subject the proposal was not necessary to effec­ posed in testimony that this adjustment plant included in the market pool and tuate the market-wide pool provision of be set at 17 cents per hundredweight of priced under the order in the future it the order or to establish producer prices milk actually moved to the marketing was not indicated why this cannot be at proper levels. The evidence presented area. readily accomplished under the present at that time failed to reveal that pro­ The producers’ association opposed the terms of the order by qualifying such ducer milk was being used in Class III proposed change but contended that plant itself as a fluid milk plant. or Class IV uses in excessive quantities milk received at any fluid milk plant lo­ It was testified further by the pro­ during delivery periods when such milk cated some distance from the market ponent handler that the actual cost of might be made available for Class I use. should be subject not only to a handler transporting whole milk from such plant It was concluded from the evidence pre­ location differential but also to a pro­ to the marketing area is 17 cents per sented at the March 8-10, 1948 hearing ducer location differential. It was sug­ hundredweight. Testimony also indi­ that the extent of utilization of milk in gested that 25 cents per hundredweight cates an average cost to farmers of 30 the lower-priced classes did not warrant be fixed as the amount of each differen­ cents per hundredweight for the hauling adoption of the proposal for the purpose tial. of milk from the farm to such country of facilitating a better allocation of pro­ The present order provides that any plant and the necessity of a somewhat ducer milk among handlers by transfers plant engaged in the processing or pack­ greater cost to the farmers at such plant or shifts of producers. aging of milk, all or a portion of which if their milk were to be delivered directly The proponents indicate that the pro­ is disposed of from such plant as Class I from the farm to Columbus. Producers posal is necessary at this time to facili­ milk in the marketing area on wholesale testified that several other plants are in tate a better allocation of producer milk or retail routes or through stores, shall a favorable geographic position to qual­ among handlers to mitigate the possibil­ be a “fluid milk plant.” The operator of ify as fluid milk plants for Columbus and ity of producer milk being replaced with such a plant is a “handler” and approved that a producer location differential is other source milk in the higher-valued 5604 PROPOSED RULE MAKING

uses. Handlers, on the other hand, con­ producers and from producers who are ciation in fulfilling its membership tend that since they voluntarily transfer not members but who have authorized agreement with producers. It was con­ producer milk among themselves to meet the association to receive such informa­ tended that the proponent association the Class I and Class II milk needs of tion. Such report would include also the has authority to collect and disburse pay­ the market, the proposal would not serve percentage of butterfat contained in the ments for its member-producers and cer­ any useful purpose. producers’ milk, the amount of any tain other producers under its contrac­ The statistics of the market show that advance payment, and the amount of tual arrangements with such producers. the bulk of other source milk has been each deduction or charge made against Handlers opposed this proposal on the received during the fall and winter payment. It may be noted that the basis that it is not necessary to modify months of seasonally short production. order provides at present that on or the order to enable the producers’ asso­ For the period of October 1948 through before the 25th day after the end of the ciation to carry out its contractual obli­ there was 32.7 percent less delivery period the market administra­ gations with producers and that orderly other source milk used as Class I and tor shall supply each association of pro­ marketing would not be promoted neces­ Class II milk than during the correspond­ ducers with a record of the amount of sarily by adoption of the proposal. ing period of 1947-1948. For the above member milk received by handlers dur­ A cooperative association may estab­ 1948-1949 period producer receipts in­ ing the delivery period. Proponents in­ lish its right to collect payment for milk creased 15.3 percent above the same pe­ dicated that the requested reports by without the requirement in the order that riod a year earlier while the percentage the. market administrator to the cooper­ handlers shall make payment to such of all producer milk in Class IV increased ative association are essential to the association. There is not sufficient evi­ only from 6.7 to 13.4 percent. This would development of an orderly pattern of dence in the record to show that the lat­ indicate that there should be still less marketing and to assist the association ter requirement is necessary to the or­ need to facilitate the allocation of pro­ in the proper fulfillment of its member­ derly marketing of milk. The current ducer milk among handlers by this means ship agreement with the producers. order, however, is not clear that handlers in the fall and winter months this year Such reports were desired also to enable may make payment for milk to a cooper­ than was the case a year ago. the association to collect payment for ative association which has established In view of the above supply condition, milk for Which it is authorized to collect its authority to collect payment in lieu of it is concluded that a provision requiring and, in turn, pay producers for such milk making payment to the individual pro­ the market administrator to report to a by the 15th day after the delivery period ducers involved. In order that there cooperative association each handler’s for milk delivered during the delivery may be no doubt that the order permits utilization of milk of member producers period. payment of producers through coopera­ is not necessary at this time in the in­ Handlers opposed the reporting of tive associations on this basis, it is con­ terest of orderly marketing. such information to the association cluded that § 974.7 should be revised. (b) The time limit within which han­ principally on the basis that from the The revision made does not make pay­ dlers should furnish producer payroll standpoint of orderly marketing it is not ments in this manner mandatory when reports should not be changed ; the mar­ necessary to modify the order in such a producer has authorized a cooperative ket administrator should not be required manner to enable the producers’ asso­ association to collect payment, but makes to furnish to cooperative associations ciation to carry out its contractual obli­ it clear that the order does not prevent certain requested information concern­ gations with producers. ^payment in this way. ing (i) the amount of milk received by The record does not indicate any rea­ (11) A provision requiring the market handlers from producers marketing son why a cooperative association cannot administrator to publicly announce haul­ through such association, and (ii) pay­ obtain the information through the me­ ing rates charged producers should not ment for such milk. dium of voluntary negotiation with han­ be adopted. The producers’ association proposed dlers. Such information is obtained in a The producers’ association proposed that § 974.3 of the order be changed to number of other markets in this man­ that § 974.2 of the order be amended to require each handler to submit his pro­ ner in the absence of order enforcement. require the market administrator to an­ ducer payroll to the market administra­ The record does not show that more or­ nounce the hauling rates charged pro­ tor on or before the 5th day after the derly marketing conditions would result ducers by sending notice thereof to pro­ end of the delivery period. The present from adoption of the proposal submitted. ducers who are not members of an asso­ order provides that handlers may submit It is concluded, therefore, that the mar­ ciation. It was testified that such a their producer payroll up to the 20th day ket administrator should not be required provision would assist in mitigating in­ after the delivery period. to make this additional report to .coop­ equalities in the hauling rates now being This proposal was associated with erative associations. charged individual producers. It was another which, if adopted, would require (10) The producer payment provisions stated further that such a provision handlers to make payment to coopera­ of the order should be revised in regard should tend to stabilize hauling rates and tive associations with respect to milk de­ to payments to be made through a co­ to keep them uniform throughout the livered by producers marketing through operative association. market. such association. The question of re­ The producers’ association proposed Hauling rates charged members of the quiring handlers to pay cooperative asso­ that § 974.7 of the order be changed to producers’ association are established by ciations in this manner is dealt with in require that handlers make payment to contract of the association with the milk connection with conclusion (10) below. a cooperative association with respect to haulers’ union. Such contract covers a In order to carry out the particular pro­ member milk and the milk of producers large proportion of the milk hauled. vision adopted in connection with con­ not members who have authorized the The record does not reveal a particular clusion (10) it is not necessary to change association to collect payment, if the problem resulting from any variations in the date on which handlers shall file pay­ association elects to receive such pay­ the rates charged individual producers roll reports. There appears to be no ments. Such payments would be made by milk haulers. In the absence of evi­ reason why handlers should not continue on or before the 14th day after the end dence of a definite problem which might to file such reports on or before the 5th of the delivery period. In this connec­ be solved by the requested provision, it day after the delivery period as they have tion it may be noted that the payment is concluded that the reporting, compila­ by market custom under the more lib­ provisions of the order now provide that tion, and publication of information on eral filing date provided by the present each handler shall make payment for hauling rates for non-member producers order. Therefore, it is concluded that milk “to each producer” on or before the such report should be required to be filed 15th day after the end of the delivery would place a burden on the market ad­ by handlers on or before the 20th day period. Such provisions are silent in ref­ ministrator not justified by the record after the end of the delivéry period. erence to payments to cooperative asso­ and that therefore the market adminis­ The producers’ association proposed ciations on behalf of producers. trator should not be required at this time that § 974.2 of the order be revised to It was argued by the proponents that to make public announcement of such require the market administrator to re­ the inclusion in the order of provisions hauling rates. port, upon request of a cooperative asso­ for paying producers through cooper­ (12) (a) The maximum deduction for ciation, on or before the 10th day after ative associations is essential for the de­ marketing services should be increased the end of the delivery period, each velopment of an orderly pattern of mar­ from 4 to 5 cents per hundredweight of handler’s receipts of milk from member- keting and to assist the proponent asso­ milk. Tuesday, September 13, 1949 FEDERAL REGISTER 5605

Producers proposed that the market­ in manufacturing operations and that information were made by interested ing service deduction for producers not, this proposal is necessary in order to parties. It is therefore concluded that members of a cooperative association pool such a plant separately in order specific provision should be made for the performing marketing services be in­ to prevent an undue dilution of the pro­ preparation and dissemination of such creased from 4 to 6 cents per hundred­ ducer price. statistics and information as the market weight of milk. Handlers offered testimony to indicate administrator may deem advisable and The producers’ association is engaged that individual-handler pools would dis­ as do not reveal confidential information. by the market administrator as an agent courage the utilization of surplus milk (15) A provision to require a person to perform butterfat check-testing and by those handlers who have facilities operating more than one fluid milk plant milk weighing services for a number of for processing such surpluses and that (as defined in the order) to make a single producers who are not members of the the determination of uniform prices to report of his operations at all such plants association. A representative of the as­ producers based upon the individual should be adopted. sociation testified that costs for render­ handler’s utilization of milk could result It was proposed by the producers’ asso­ ing such services have increased since in a different producer price for each ciation that § 974.3 of the order be the inception of the order and that be­ handler and thereby could be adverse amended to include a provision that a cause of such increased costs the asso­ to orderly marketing. person operating more than one fluid ciation had notified the market admin­ A similar proposal was presented at a milk plant be required to report all such istrator that an increase of V2 cent per hearing on amendments to the order operations as those of one plant. Under hundredweight in the rate charged held March 10-14, 1947. It was con­ the present order a person operating would be necessary. The rate in effect cluded from the record of that hearing more than one fluid milk plant may file a at the time of the hearing was 2 cents that individual-handler pools should not separate report of receipts and utiliza­ per hundredweight of milk. It appears be adopted at that time. It was pointed tion for each such plant. Proponents from the evidence that if the association out that individual-handler pools prob­ offered testimony to indicate that the was paid such increased rate by the mar­ ably would establish as many different submission of one report covering all ket administrator the expenditures for uniform prices as there are handlers fluid milk plant operations of a person marketing services to “non-member” in the market, tending to create dissatis­ would be conducive to orderly market­ producers would exceed income received faction among producers. It was shown ing by overcoming the possibility that for this purpose. In addition to check­ further that the facilities for handling producer milk may be replaced by other testing and weighing services non­ surplus milk are limited to a few plants source milk in the higher-valued use member producers receive releases of in the market. classes at times when such person actu­ market information supported by the The handlers’ proposal to pool a plant ally is receiving a total amount of pro­ marketing services fund. There was that is primarily a manufacturing plant ducer milk sufficient to meet the needs further testimony to the effect that ac­ has been discussed herein under conclu­ of all his fluid milk plants..' cording to estimates made marketing sion (8). The evidence adduced at this Handlers opposed the proposal on the service costs as a whole will be up about hearing fails to sufficiently establish any basis that it would discriminate against 25 percent this year. No evidence was other new situation which would war­ a person operating more than one fluid presented to show that check-testing and rant a change from the present method milk plant, would be against the princi­ weighing services could be performed at of determining the uniform price to pro­ ple of the market-wide pool, and would a cost lower than the charge made by the ducers. It is therefore concluded that not be conducive to orderly marketing. association. Therefore, it is concluded the present market-wide pool method of The principal supply of other source that the maximum deduction allowed for distributing returns for producer milk milk in the Columbus market is con­ marketing services should be increased should be retained. trolled by a handler operating two fluid from 4 to 5 cents per hundredweight of (14) The order should include a pro­ milk plants in the market. It is possible milk to allow for any increased cost of vision in regard to the preparation and for either producers or the milk of pro­ performing such services. dissemination to producers, handlers, ducers to be shifted readily between these (b) The marketing service deduction and others of such statistics and infor­ two plants. The record indicates that should not be made on milk of a han­ mation as the market administrator may procurement of milk from producers is a dler’s own production. deem advisable and as do not reveal con­ joint field operation of the two plants. It was proposed by the producers’ as­ fidential information. Therefore it is possible for a person op­ sociation that § 974.9 be revised to pro­ Producers proposed that § 974.2 of the erating two fluid milk plants in the mar­ vide for marketing services with respect order be amended to provide for the ket to concentrate producer milk at one to a handler’s own production of milk. preparation and dissemination, for the plant to the extent that considerable It was contended that such change is benefit of producers, handlers, and con­ amounts of other source milk may be re­ necessary to provide equality among sumers, of such statistics and informa­ ceived and allocated to the higher-valued producers. tion concerning the operation of the or­ uses at his other plant. Such action On July 1, 1949, the order was der, as do not reveal confidential would tend to lower the classified value of amended to provide that a handler’s own information. They indicated that the producer milk and would operate against production shall not be subject to the inclusion of such a provision under the the principle that producers should re­ deduction for marketing services. At duti.es of the market administrator ceive the benefit of the higher class uses. that time it was concluded that market­ would assist in the orderly marketing of In view of the above it is concluded ing services were not necessary with re­ milk. The proponents, however, did not that the order should be amended to re­ spect to a handler’s own production since outline in definite terms what type of quire a person operating more than one such a handler has full control of the information was in mind. fluid milk plant to file a single report of handling of such milk from the point of The market administrator has access receipts and uses of milk covering all his production to its disposition from his to valuable statistical information con­ fluid milk plant operations. plant. The present record does not in­ cerning the market. Much of this ma­ (16) Minor modifications of order lang­ dicate that conditions have changed in terial is now regularly compiled and re­ uage should be made for clarification and a manner to warrant the proposed re­ leased to the public by his office. The to make the entire order conform with vision of the order. It is concluded, release of such statistics and information any amendments to be adopted. therefore, that the marketing service as do not reveal confidential informa­ deduction should not be applied to milk tion may well be of assistance to pro­ In order that the entire order may con­ of a handler’s own production. ducers, handlers, and consumers, in form with the amendments resulting (13) The proposal to replace the acquainting them with general market from the hearing, it is concluded that “market-wide pool” with individual- conditions, and in promoting the orderly certain changes in language in other pro­ handler pools should not be adopted. marketing of milk. The inclusion of visions are necessary and such changes The producers’ association proposed such a provision would clarify the duties have been made to prevent inconsisten­ that the necessary amendments be made of the market administrator in this re­ cies. to provide for individual-handler pools spect. However, the preparation of sta­ General findings, (a) The proposed in lieu of the present market-wide pool. tistics and analytical information with­ marketing agreement and the order, as They indicated that handlers had pro­ out the use of discretion could become amended, and as hereby proposed to be posed to pool a plant primarily engaged burdensome if unusual demands for such further amended, and all of the terms 5606 PROPOSED RULE MAKING and conditions thereof will tend to ef­ § 974.4 Classification—(a,) Skim Milk class in accordance with such use or fectuate the declared policy of the act; and butterfat to be classified. Skim disposition. (b) The prices calculated to give milk milk and butterfat contained in (1) all (d) Transfers. (1) Subject to the produced for sale in the said marketing milk, skim milk, cream, and milk prod­ conditions set forth in paragraph (c) of area a purchasing power equivalent to ucts (except in the case of milk products this section and subparagraphs (3) and the purchasing power of such milk as de­ disposed of in the form in which re­ (4) of this paragraph, skim milk and termined pursuant to sections 2 and 8e of ceived) received during the delivery butterfat when transferred by a handler the act are not reasonable in view of the period by a handler at a fluid milk plant, from a fluid milk plant to any other price of feeds, available supplies of feeds, and (2) all producer milk received dur­ milk distributing or milk manufacturing and other economic conditions which af­ ing the delivery period in the manner plant in the form of milk, skim milk, fect market supply and demand for such described in § 974.1 (f) (2), shall be flavored milk, flavored milk drinks, or milk, and the minimum prices specified classified by the market administrator buttermilk, shall be classified as follows: in the proposed marketing agreement in the classes set forth in paragraph (b) (1) According to the utilization as and the order, as amended, and as hereby of this section. mutually indicated in writing by both proposed to be further amended, are (b) Classes of utilization. Subject to handlers if transferred to another fluid such prices as will reflect the aforesaid the conditions set forth in paragraphs milk plant, except one as referred to in factors, insure a sufficient quantity of (c), (d), and (e) of this section, the subdivision (ii) of this subparagraph; pure and wholesome milk, and be in the classes of utilization shall be: (ii) As Class I milk if transferred to public interest; and (1) Class I milk shall be all skim milk the fluid milk plant of a handler who (c) The proposed marketing agree­ and butterfat (i) disposed of (except receives no milk from producers or asso­ ment and the order, as amended, and as that which has been dumped or disposed ciations of producers other than such hereby proposed to be further amended, of for livestock feed) as milk; skim milk; handler’s own farm production; or will regulate the handling of milk in the buttermilk; or flavored milk or flavored (iii) As Class I milk if transferred to same manner as, and will be applicable milk drinks; and (ii) not specifically ac­ any such plant not a fluid milk plant: only to persons in the respective classes counted for under subdivision (i) of this Provided, That if the transferring han­ of industrial and commercial activity subparagraph or as Class II milk or Class dler on or before the 5th day after the specified in, a marketing agreement upon III milk. end of the delivery period during whicjj. which hearings have been held. (2) Class II milk shall be all skim such transfer is made furnishes to the , Briefs. Briefs were filed on behalf of milk and butterfat (i) disposed of in market administrator a statement the producers’ association, the majority fluid form for consumption as sweet or signed also by the receiver that such of the handlers subject to order No. 74, sour cream, frozen cream, or any mixture skim milk and butterfat was used as a breed association of producers, a milk of cream or milk (or skim milk) includ­ Class II milk or Class III milk, and that haulers’ union organization, and two ing eggnog, containing more than 6 per­ such utilization may be audited at the handlers individually. The briefs con­ cent of butterfat; (ii) used to produce receiving plant, such skim milk and tained proposed findings of fact, con­ aerated products containing milk, butterfat shall be classified accordingly. clusions and argument with respect to cream, or any combination thereof (such (2) Subject to the conditions set forth the proposals discussed at the hearing. as “Reddi-Wip,” “Instant Whip,” etc.), in paragraph (c) of this section and in Every point covered in the briefs was condensed milk and condensed skim subparagraphs (3) and (4) of this para­ carefully considered along with the evi­ milk (except evaporated milk or skim graph, skim milk and butterfat when dence in the record in making the find­ milk in hermetically sealed cans) ice transferred by a handler from a fluid ings and reaching the conclusions here­ cream, ice cream mix, ice cream novel­ milk plant to any other milk distributing inbefore set forth. To the extent that ties, ice sherbets, or imitation ice cream; or milk manufacturing plant in the form such suggested findings and conclusions and (iii) used to produce cottage cheese. of cream shall be classified as follows: contained in the briefs are inconsistent (3) Class III milk shall be all skim (i) According to the utilization as with the findings and conclusions con­ milk and butterfat specifically accounted mutually indicated by both -handlers if tained herein the request to make such for as (i) having been Used to produce transferred to another fluid milk plant, finding or to reach such conclusions are any milk product other than as specified except one as referred to in subdivision denied on the basis of the facts found in subparagraphs (1) (i) and (2) of this (ii) of this subparagraph; and stated in connection with the con­ paragraph; (ii) having been dumped or (ii) As Class II milk if transferred to clusions in this recommended decision. disposed of for livestock feeding; (iii) the fluid milk plant of a handler who Recommended marketing agreement actual plant shrinkage of skim milk and receives no milk from producers or from and amendments to the order. The fol­ butterfat in producer milk received but an association of producers other than lowing amendments to the order, as not to exceed 2 percent of such receipts such handler’s own farm production; or amended, are recommended as the de­ of skim milk and butterfat, respectively; (iii) As Class n milk if transferred to tailed and appropriate means by which and (iv) actual plant shrinkage of skim any such plant not a fluid milk plant: these conclusions may be carried out. milk and butterfat in other source milk Provided, That if the transferring han­ The proposed marketing agreement is received* Provided, That if producer dler on or before the 5th day after the not included because the regulatory pro­ milk is utilized as milk, skim milk, or end of the delivery period during which visions thereof would be the same as cream in conjunction with other source such transfer is made furnishes to the those contained in the order, as amended, milk, the shrinkage allocated to each market administrator a statement and as proposed to be further amended : signed also by the receiver that such shall be computed pro rata according to skim milk and butterfat was used as 1. Add the following as § 974.2 (c) the proportions of the volume of skim Class I milk or Class III milk, and that ( 10) : milk and butterfat, respectively, received such utilization may be audited at the from each source to their total. receiving plant, such skim milk and (10) Prepare and disseminate to the (c) Responsibility of handlers and re­ public such statistics and information butterfat shall be classsified accordingly. classification of milk. (1) In establish­ (3) The utilization of all transfers as he deems advisable and as do not re­ ing the classification of skim milk and veal confidential information. made pursuant to subparagraphs (1) (i), butterfat as required in paragraphs (b) (1) (iii), (2) (i), and (2) (iii) of this 2. At the end of § 974.3 (a) replace and (d) of this section, the burden rests paragraph shall be subject to verification upon the first handler who receives such by the market administrator. the period with a colon and add thereto skim milk or butterfat to prove to the the following: (4) No statement made relative to market administrator that such skim transfers as provided for in this para­ Provided, That any person operating milk or butterfat should not be classfied graph shall operate to deter the prior more than one fluid milk plant shall as Class I milk. subtraction of other source milk pursu­ make one report covering all such opera­ (2) Any skim milk or butterfat clas­ ant to paragraph (f) (2) of this section tions for the purposes of subparagraphs sified in one class shall be reclassified if or the prior subtraction of skim milk or (1), (2), and (3) of this paragraph. found by the market administrator to butterfat pursuant to paragraph (f) (3) have been used or disposed of (whether of this section, or the pro rata subtrac­ 3. Delete § 974.4 and substitute there­ in original or other form) by such han­ tion of skim milk or butterfat pursuant for the following: dler or by any other person in another to paragraph (f) (5) of this section. Tuesday, September IS, 1949 FEDERAL REGISTER 5607

Any quantity reported for allocation to a milk and butterfat (in whatever form) 5. Delete § 974.5 and substitute there­ particular class but hot eligible therefor used to produce each of the several items for the following: because of paragraph (f) (2), (f) (3), of Class III milk; (ii)^subtracting the § 974.5 Minimum prices—(a) Basic or (f) (5) of this section shall be classi­ result obtained in subparagraph (8) (i) formula prices for skim milk and butter- fied by the market administrator as Class of this paragraph; and (iii) adding the I milk, pending his verification. fat. The basic formula price per hun­ actual plant shrinkage of skim milk re­ dredweight of milk shall be the higher (e) Computation of the classification ferred to in paragraph (b) (3) (iii) and of all skim milk and butterfat for each of the prices as computed by the market (iv) of this section. administrator for each delivery period handler. For each delivery period the (f) Computation of the classification market administrator shall correct for pursuant to subparagraphs (1) and (2) of skim milk and butterfat in producer of this paragraph. mathematical and for other obvious milk for each handler. For each delivery errors the delivery period report submit­ (1) Compute the arithmetical average period, the market administrator shall of the basic (or field) prices per hun­ ted by each handler and compute sepa­ com pute separately the respective rately the respective amounts of skim dredweight reported to have been paid, amounts of skim milk and butterfat of or to be paid, for milk of 3.5 percent but­ milk and butterfat in Class I milk, Class producer milk in Class I milk, Clas§ II H and Class III milk, as follows: terfat content received from farmers milk and Class III milk for each handler during the delivery period at the follow­ (1) Determine the handler’s total re­ by making the following computations in ceipts by adding together the total ing places for which prices are reported the order specified: to the market administrator or to the pounds of milk, skim milk, and cream re­ (1) Subtracting from Class III milk ceived, and the pounds of skim milk and Department of Agriculture by the com­ (other than butterfat used in butter mak­ panies listed below: butterfat used to produce all other milk ing) the actual plant shrinkage of skim products received (except milk products milk and butterfat, respectively, allowed Companies and Locations disposed of in the form in which re­ pursuant to paragraph (b) (3) (iii) and Borden Co., Black Creek, Wis. ceived without further processing in his (iv) of this section; Borden Co., Greenville, Wis. fluid milk plant) regardless of source; (2) Subtracting from the remaining Borden Co., Mt. Pleasant, Mich. (2) Determine the total pounds of Borden Co., New London, Wis. pounds of skim milk and butterfat, in Borden Co., Orfordville, Wis. butterfat contained in the total receipts series beginning with the lowest-priced computed pursuant to subparagraph (1) Carnation Co., Berlin, Wis. uses, the skim milk and butterfat, re­ Carnation Co., Jefferson, Wis. of this paragraph; spectively, received as other source milk, Carnation Co., Chilton, Wis. (3) Determine the total pounds of except that received under an emergency Carnation Co., Oconomowoc, Wis. skim milk contained in the total receipts permit in writing issued by the appropri­ Carnation Co., Richland Center, Wis. computed pursuant to subparagraph (1) ate health authorities in the marketing Carnation Co., Sparta, Mich. of this paragraph by subtracting there­ Pet Milk Co., Belleville, Wis. from the total pounds of butterfat com­ area; Pet Milk Co., Coopersville, Mich. puted pursuant to subparagraph (2) of (3) Subtracting from the remaining Pet Milk Co., Hudson, Mich. this paragraph; pounds of skim milk and butterfat, in Pet Milk Co., New Glarus, Wis. (4) Determine the total pounds of but­ series beginning with the lowest-priced Pet Milk Co., Wayland, Mich. uses, the skim milk and butterfat, respec­ White House Milk Co., Manitowoc, Wis. terfat in Class I milk by: (i) Computing •White House Milk Qo., West Bend, Wis. the aggregate amount of butterfat in­ tively, received from any other handler cluded in each of the several items of who received no milk from producers or (2) Compute the price per hundred­ Class I milk; and (ii) adding all other from an association of producers other weight by adding together the amounts butterfat not specifically accounted for than such handler’s own farm produc­ resulting under subdivisions (i) and (ii) under subdivision (i) of this subpara­ tion; of this subparagraph: graph or in Class II milk or Class III (4) Adding to the remaining Class III (i) From the arithmetical average of milk; milk the amount subtracted pursuant to the daily wholesale prices per pound (5) Determine the total pounds of subparagraph (1) of this paragraph; (using the midpoint of any price range skim milk in Class I milk by: (i) Com­ (5) Subtracting pro rata from the as one price) of Grade A (92-score) puting the aggregate amount of skim remaining pounds of skim milk and but­ bulk creamery butter for the month, as milk and butterfat included in each of terfat in each class, the skim milk and reported by the Department of Agricul­ the several items of Class I milk; (ii) butterfat, respectively, received as other ture for the Chicago market, subtract subtracting the result obtained in sub- source milk under an emergency permit 3.5 cents, add 20 percent, and then mul­ paragraph (4) (i) of this paragraph; and in writing issued by the appropriate tiply the resulting amount by 3.5, and (iii) adding all other skim milk not spe­ health authorities m the marketing (ii) From the' arithmetical average of cifically accounted for under subdivision area; the weighted averages of the carlot (i) of this subparagraph or in Class II (6) Subtracting from the remaining prices per pound of spray and roller milk or Class III milk; pounds of skim milk and butterfat in process nonfat dry milk solids in barrels (6) Determine the total pounds of but­ each class (not including plant shrink­ for human consumption, f. o. b. Chicago terfat in Class II milk by computing the age on producer milk in Class III milk), area manufacturing plants, as published aggregate amount of butterfat included the total pounds of skim milk and but­ for the month by the Department of in each of the several items of Class II terfat, respectively, received from other Agriculture, deduct 4 cents, multiply by milk; handlers (except those referred to in 8.5, and multiply by 0.965. (7) Determine the total pounds of subparagraph (3) of this paragraph) (b) Class I milk prices. Subject to skim milk in Class II milk by: (i) Com­ and stated by the transferring handler the provisions of paragraph (d) of this puting the aggregate amount of skim and receiver to have been used in such section, the respective minimum prices milk and butterfat included in (or, in the class, to the extent of the amounts of per hundredweight to be paid by each case of products other than cream or skim milk and butterfat remaining in handler for skim milk and butterfat in eggnog, used to produce) each of the sev­ such class after making the computa­ producer milk received at his fluid milk eral items of Class II milk; and (ii) sub­ tion pursuant to subparagraph (5) of plant and classified as Class I milk shall tracting the result obtained in subpara­ this paragraph: Provided, That skim be as follows as computed by the market graph (6) of this paragraph; milk or butterfat allocated by such state­ administrator: (8) Determine the total pounds of but­ ments to Class n milk or Class III milk, (1) Add to the basic formula price the terfat in Class III milk by: (i) Computing in excess of amounts subtracted above following amount for the delivery period the aggregate amount of butterfat used pursuant to this subparagraph shall be indicated : "April, May, June and July, to produce each of the several items of subtracted from Class I milk; and $0.75; and all others $1.00; Provided, Class III milk; and (ii) adding actual (7) If the total amount of skim milk That the price of Class I milk for any plant shrinkage of butterfat referred to or butterfat in all classes, after the com­ of the months Of October through De­ in paragraph (b) (3) (iii) and (iv) of putations made above pursuant to this cember, inclusive, shall not be lower this section; and paragraph, is greater than the skim milk than the arithmetical average of the (9) Determine the total pounds of or butterfat in producer milk, decrease prices computed for such class pursuant skim milk in Class III milk by: (i) Com­ the lowest-priced available class, or to this subparagraph (prior to this pro­ puting the aggregate amount of skim classes, by such excess. viso) for the two months immediately 5608 PROPOSED RULE MAKING preceding; and the price of Class I milk same as the price applicable within the fund or the amount to be paid by such for any of the months of April through Columbus, Ohio, marketing area: Pro­ handler to the producer-settlement fund, June, inclusive, shall not be higher than vided, That Class I milk or Class II milk as the case may be; and (4) the total the arithmetical average of the prices disposed of in another fluid milk mar­ amounts to be paid by such handler pur­ computed for such class pursuant to keting area covered by a Federal milk suant to §§ 974.7, 974.8, and 974.9. this subparagraph (prior to this proviso) marketing agreement or order, issued (d) Computation of uniform price. for the two months immediately pre­ pursuant to the act, shall be the price For each delivery period, the market ad­ ceding. applicable within the Columbus, Ohio, ministrator shall compute a uniform (2) The price of butterfat shall be the marketing area, pursuant to this section, price per hundredweight for producer amount obtained in subparagraph (1) of or the price applicable for milk of milk by: this paragraph multiplied by 23.43. similar use or disposition in the other (1) Combining into one total the (3) The price of skim milk shall be marketing area, whichever is higher. values computed pursuant to paragraph the amount obtained in subparagraph (a) of this section for all handlers except (1) of this paragraph multiplied by 6. Delete § 974.6 and substitute there­those who did not “make the payments 0.1865. for the following: required pursuant to § 974.7 (c) for the (c) Class II milk prices. Subject to § 974.6 Determination of uniform price previous delivery period; the provisions of paragraph (d) of this to producers—(a) Computation of total (2) Adding an amount representing section, the Respective minimum prices value of producer milk for each han­ not less than one-half the unobligated per hundredweight to be paid by each dler. Subject to the location adjustment balance in the producer-settlement handler for skim milk and butterfat in provided in paragraph (b) of this section, fund; producer milk received at his fluid milk the value of producer milk received by (3) Adding the aggregate of the values plant and classified as Class II milk shall each handler during each delivery period of all allowable location adjustments be as follows as computed by the market shall be a sum of money computed by computed pursuant to § 974.7 (b); administrator: the market administrator by multiply­ (4) Subtracting, if the weighted aver­ (1) Add to the basic formula price the ing by the respective class prices for skim age butterfat test of all pooled milk is following amount for the delivery period milk and butterfat, the skim milk and •greater than 3.5 percent, or adding, if indicated: April, May, June and July, butterfat according to classification pur­ the weighted average butterfat test of $0.40; and all others $0.65; Provided, suant to § 974.4 (f), and adding together such milk is less than 3.5 percent, an That the price of Class II milk for any the resulting amounts: Provided, That amount computed by multiplying the of the months of October through De­ if such handler, after subtracting all re­ total pounds of butterfat represented by cember, inclusive, shall not be lower than ceipts other than producer milk has dis­ the difference of such weighted average the arithmetical average of the prices posed of skim milk or butterfat in excess butterfat test from 3.5 percent by the computed for such class pursuant to this of the skim milk or butterfat received in butterfat differential computed pursuant subparagraph (prior to this proviso) for producer milk, there shall be added a to § 974.7 (g) times 10. the two months immediately preceding; further amount equal to the value of (5) Dividing by the hundredweight of and the price of Class II milk for any of such skim milk or butterfat in the class producer milk pooled; and the months of April through June, in­ from which subtracted pursuant to (6) Subtracting not less than 4 cents clusive, shall not be higher than the § 974.4 (f) (7): Provided further, That if nor more than 5 cents. The result shall arithmetical average of the prices com­ in the verification of the reports or pay­ be known as the “uniform price” per puted for such class pursuant to this sub- ments of such handler for any previous hundredweight for producer milk of 3.5 paragraph (prior to this proviso) for the delivery period, the market administra­ percent butterfat content. two months immediately preceding. tor discovers errors which result in pay­ (2) The price of butterfat shall be the ments due the producer-settlement fund 7. Delete § 974.7 and substitute there­ amount obtained in subparagraph (1) of or the handler, there shall be added, or for the following: this paragraph multiplied by 23.43. subtracted, as the case may be, the § 974.7 Payments for milk (a) Time (3) The price of skim milk shall be the amount necessary to correct such errors: and method of payment. On or before amount obtained in subparagraph (1) of And provided also, That such handler the 15th day after the end of each deliv­ this paragraph multiplied by 0.1865. shall be credited at the difference be­ ery period, each handler shall make pay­ (d) Class III milk prices. The re­ tween the applicable class prices for skim ment to each producer for fnilk received spective minimum prices to be paid by milk and butterfat and the Class II prices during the delivery period at not less each handler for skim milk and butterfat for skim, milk and butterfat, respectively, than the uniform price per hundred­ in producer milk received at his fluid with respect to milk or skim milk dis­ weight, subject to the location adjust­ milk plant and classified as Class III milk posed of in bulk .fluid form during April, ment pursuant to paragraph (b) of this shall be as follows as computed by the May, June, or July, to a manufacturer of section and the butterfat differential market administrator: soup, candy, or bakery products for use computed pursuant to paragraph (g) of (1) The price per hundredweight of in such manufacturing operations. this section: Provided, That payment such skim milk shall be computed as (b) Location adjustment to handlers. may be made to a cooperative associa­ follows: From the arithmetical average With respect to the actual weight of tion qualified under § 974.9 (b) with re­ of the weighted average of the carlot whole milk which is moved directly to the spect to milk received from any producer prices per pound of spray and roller marketing area from a fluid milk plant who has given such association authori­ process nonfat dry milk solids in barrels located more than 40 miles from the Ohio zation by contract or other written in­ for human consumption f. o. b. manufac­ State Capitol, Columbus, by shortest strument to collect the proceeds from the turing plants in the Chicago area as pub­ highway distance as determined by the sale of his milk and any payment made lished for the month by the Department market administrator, there shall be de­ pursuant to this proviso shall be made on of Agriculture subtract 5.5, multiply by ducted 17 cents per hundredweight in or before the 14th day after the end of 8.5 and multiply by 0.965. the computation of the value of producer each delivery period; And provided fur­ (2) The price per hundredweight of milk received by the handler operating ther, That if by such date such handler such butterfat shall be the arithmetical such plant. has not received full payment for such average of the daily wholesale prices per (c) Notification of handlers. On or delivery period pursuant to paragraph pound of 92-score butter in the Chicago before the 10th day after the end of each (e) of this section, he shall not be deemed market as reported by the Department of delivery period, the market administra­ to be in violation of this paragraph if Agriculture during the delivery period, tor shall notify each handler of (1) the he reduces uniformly for all producers multiplied by 120: Provided, That the amount and value of his milk in each his payments per hundredweight by a price per hundredweight of butterfat class as computed pursuant to § 974.4 (f) total amount not in excess of the reduc­ made into butter shall be such price per and paragraph (a) of this section, re­ tion in payment from the market admin­ hundredweight less $4.50. spectively, and the totals of such istrator; however, the handler shall (e) Prices of Class I milk and Class II amounts and values, including any ad­ make such balance of payment uniformly milk disposed of outside the marketing justments thereto} (2) the uniform price to those producers to whom it is due on area. The price to be paid by a handler computed pursuant to paragraph (d) of or before the date for making payments for Class I milk or Class II milk disposed this section; (3) the amount due such pursuant to this paragraph next follow­ of outside the marketing area shall be the handler from the producer-settlement ing that on which such balance of pay- Tuesday, September 13, 1949 FEDERAL REGISTER 5609

ment is received from the market admin­ amount not to exceed 5 cents as the Sec­ Done at Washington, D. C., this 7th istrator. retary may from time to time prescribe, day of September 1949. (b) Location adjustment to producers. from the payments made to each pro­ In making payments pursuant to para­ ducer pursuant to § 974.7 (a), and shall [seal] S. R. S mith, graph (a) of this section a handler may pay such deductions to the market ad­ Director, Fruit and Vegetable deduct, with respect to producer rriilk ministrator on or before the 12th day Branch, Production and Mar­ received at a fluid milk plant located after the end of such delivery period. keting Administration. more than 40 miles from the Ohio State Such moneys shall be used by the market [F. R. Doc. 49-7358; Filed, Sept. 12, 1949; Capitol, Columbus, by shortest highway administrator to check weights, samples, 8:46 a. m.] distance as determined by the market and tests of producer milk received by administrator, not more than 17 cents handlers and to provide producers with per hundredweight. market information, such services to be FEDERAL POWER COMMISSION (c) Producer-settlement fund. The performed by the market administrator market administrator shall establish and or by an agent engaged by and responsi­ U 8 CFR, Part 260 1 maintain a separate fund known as the ble to him. [Docket No. R-112] “producer-settlement fund” into which Filed at Washington, D. C., this 8th orm and iling of nnual eports for he shall deposit all payments made by F F A R handlers pursuant to paragraph (d) of day of September 1949. N atural Gas Companies (Classes A and B) this section and out of which he shall [seal] J ohn I. Thompson, make all payments to handlers pursuant Assistant Administrator. notice of proposed rule making to paragraph (e) of this section: Pro­ [F. R. Doc. 49-7391; Filed, Sept. 12, 1949; S eptember 7, 1949. vided, That the market administrator 8:50 a. m.] shall offset any such payment due any 1. Notice is hereby given of proposed handler against payments due from such rule making in the above-entitled matter. handler. 2. It is proposed to amend § 260.1 en­ (d) Payments to the producer-settle­ titled “Form No. 2, Annual report for ment fund. On or before the 12th day [ 7 CFR, Part 979 ] natural gas companies (Classes A and after the end of each delivery period, I rish P otatoes G rown in Eastern S outh B),” of Part 260—Statements and Re? each handler shall pay to the market D akota P roduction Area ports (Schedules), Subchapter G—Ap­ administrator the amount by which the NOTICE OF PROPOSED BUDGET AND RATE OF proved Forms, Natural Gas Act, Chapter total value computed for him pursuant ASSESSMENT I of Title 18, Code of Federal Regulations, to § 974.6 (a) for such delivery period is to prescribe the accompanying revised greater than the sum required to be paid Notice is hereby given that the Sec­ schedules1 for inclusion in the Annual by such handler pursuant to paragraph retary of Agriculture is considering the Report Form for Natural Gas Companies (a) of this section. approval of the budget of expenses and (Classes A and B), to be prepared and (e) Payments out of the producer-set­ rate of assessment which are hereinafter filed annually with the Commission. The tlement fund. On or before the 14th set forth and were recommended by the revised schedules here propo'sed, if day after the end of each delivery pe­ South Dakota Potato Committee, estab­ adopted will supersede corresponding riod, the market administrator shall pay lished pursuant to Marketing Agreement schedules now contained in FPC Form to each handler the amount by which No. 103 and Order No. 79 (7 CFR, Part No. 2, heretofore adopted and prescribed the sum required to be paid producers 979), regulating the handling of Irish by the Commission’s Order No. 113, dated by such handler pursuant to paragraph potatoes grown in Eastern South Dakota December 21,1943, which superseded the (a) of this section is greater than the production area, effective under the Commission’s Order No. 100, dated No­ total value computed for him pursuant Agricultural Marketing Agreement Act vember 24, 1942, and readopted former to § 974.6 (a) for such delivery period: of 1937, as amended (7 U. S. C. and FPC Form No. 133, redesignating said Provided, That if the balance in the pro­ Sup. I 601 et seq.). form as FPC Form No. 2. ducer-settlement fund is insufficient to Consideration will be given to any data, 3. On October 6,1948, the Commission make all payments pursuant to this views, or arguments pertaining thereto by its Order No. 142, in Docket No. R-109, paragraph, the market administrator which are filed in triplicate with the Di­ adopted a coordinated annual report shall reduce uniformly such payments rector, Fruit and Vegetable Branch, Pro­ form for electric utilities and licensees and shall complete such payments as duction and Marketing Administration, which had been recommended by the soon as the necessary funds are avail­ United States Department of Agricul­ Committee on Statistics and Accounts of able. ture, Washington 25, D. C., not later than the National Association of Railroad and (f) Adjustment of errors. Whenever 15 days following publication of this no­ Utilities Commissioners and which was audit by the market administrator of the tice in the F ederal R egister. designed to provide for interchangeable payment required to be made by a han­ The proposals are as follows: financial schedules for electric, gas, dler to a producer pursuant to para­ (1) That the Secretary of Agriculture water, and combination utilities. The graph (a) of this section discloses pay­ find that expenses necessary to be in­ revised schedules for natural gas com­ ment of less than is required, the handler curred by the South Dakota Potato Com­ panies here proposed correspond to those shall make up such payment not later mittee, established pursuant to Market­ adopted for electric utilities and licensees than the time for making payments pur­ ing Agreement No. 103 and Order No. and establish uniformity for electric and suant to paragraph (a) of this section 79, to enable it to carry out its functions, natural gas companies in the form of next following such disclosure. pursuant to provisions of the aforesaid balance sheet, income account and other (g) Butter fat differential. For each marketing agreement and order, during general financial schedules. delivery period, the market administra­ the fiscal year ending June 30, 1950, will 4. It is to be noted that the amend­ amount to $2,500; and ments proposed to be adopted will effect tor shall compute (to the nearest one- (2) That the Secretary of Agriculture/ tenth cent) a butterfat differential by the following deletions and changes in fix, as the pro rata share of such ex­ the present FPC Form No. 2: dividing by 1,000 the weighted average penses which each handler who first price per hundredweight of all butterfat handles potatoes shall pay in accordance a. The identity, balance sheet, and in­ from producer milk in Class II milk and with the marketing agreement and or­ come account sections of the present Class III milk less the weighted average der, during the aforesaid fiscal year, the Annual Report FPC Form No. 2, appear­ price per hundredweight of all skim milk rate of assessment at five mills ($0.005) ing on pages 1 to 43, inclusive, will be from producer milk in Class II milk and per hundred pounds of potatoes handled deleted, and the balance sheet and other Class III milk. general schedules of the coordinated re­ by him as the first handler thereof dur­ port form recommended by the NARUC 8. Delete § 974.9 (a) and substitute ing said fjscal year. Committee, which appear on pages 3 to therefor the following: (3) Terms used herein shall have the 59, inclusive, of FPC Form No. 1 for elec­ (a) Deductions. Except as set forth in same meaning as when used in Market­ tric utilities and licensees will be paragraph (b) of this section, each han­ ing Agreement No. 103 and Order No. 79. adopted. dler for each delivery period shall de­ (48 Stat. 31, as amended; 7 U. S. C. and duct 5 cents per hundredweight, or such Sup. I, 601 et seq.; 7 CFR, Part 979) 1 Filed as a part of the original document No. 176----- 4 5610 PROPOSED RULE MAKING

b. The following schedules in the Page 103: 5. The amendments to the Commis­ present Annual Report PPC Form No. 2 Schedule 499, Distribution of Salaries and sion’s rules herein described and set forth Wages for the Year. which are duplicated by the coordinated are proposed to be issued under the au­ general schedules will be deleted: c. The following operating and statis­ thority granted the Federal Power Com­ Page 54: tical schedules which have been sus­ mission by the Natural Gas Act? particu­ Schedule 420A, Common Utility Plant. pended annually for several years, and larly sections 4 (c), 8 (a), 10 (a), and 16 Schedule 420B, Reserve for Depreciation of which are not duplicated by the coordi­ thereof (52 Stat. 822, 825, 826, 830; 15 Common Utility Plant. nated general schedules, will be sus­ pended for 1949 : U. S. C. 717c (c), 717g (a), 717i (a), 717o). Schedule 420C, Common Utility Plant Ex­ 6. Any interested persons may submit penses. Page 75: to the Federal Power Commission, Wash­ Page 76: Schedule 463, Administrative and General Schedule 466, Regulatory Commission Ex­ Expenses Transferred—Credit. ington 25, D. C., not later than October penses. Schedule 464, Rents Charged to Gas Op­ 10, 1949, data, views and comments in Schedule 467, Officers’ Salaries. erating Expenses. writing concerning the proposed amend­ Page 78: Page 77: ments. The Commission will consider Schedule 470, Taxes Charged During the Schedule 468, Joint Expenses—Debit and Credit. these written submittals before acting Year. Page 98: upon the proposed amendments. Page 84: Schedule 493, City Gate and Main Line Schedule 476, Service Contract Charges by Industrial Measuring and Regulating [seal] Leon M. F uquày, Associated Companies. Station Plant and Expenses. Secretary. Schedule 477, Management and Engineer­ Page 102: ing Contracts with Non-associated Com­ Schedule 498, Number of Employees and [P. R. Doc. 49-7356; Filed, Sept. 12, 1949; panies. Their Compensation. 8:53 a. m.]

NOTICES

wage raté of not less than the piece rate conducted not for profit, but for the pur­ DEPARTMENT OF LABOR paid non-handicapped employees en­ pose of carrying out a recognized pro­ Wage and Hour and Public Contracts gaged in the same occupation in regular gram of rehabilitation for individuals Divisions commercial industry maintaining ap­ whose earning capacity is impaired by proved labor standards, or not less than age or physical or mental deficiency or Employment op Handicapped Clients by 30 cents per hour, whichever is higher, injury, and to provide such individuals Sheltered Workshops and a rate of not less than 25 cents for with remunerative employment or other each new client during his initial 4-week occupational rehabilitating activity of NOTICE OF ISSUANCE OF SPECIAL an educational or therapeutic nature.” CERTIFICATES evaluation period in the workshop; cer­ tificate is effective September 1,1949, and These certificates may be cancelled in Notice is hereby given that special expires August 31,1950. the manner provided by the regulations. certificates authorizing the employment Industrial Aid for the Blind, Inc., 2533 Any person aggrieved by the issuance of of handicapped clients at hourly wage Sullivan Avenue, St. Louis, Missouri; at any of these certificates may seek a re­ rates lower than the minimum wage a wage rate of not less than the piece view or reconsideration thereof within rates applicable under section 6 of the rate paid non-handicapped employees .fifteen days after publication of this no­ Fair Labor Standards Act of 1938 and engaged in the same occupation in reg­ tice in the Federal R egister. section 1 (b) of the Walsh-Healey Public ular commercial industry maintaining Contracts Act have been issued to the Signed at Washington, D. C., this 30th approved labor standards, or not less day of . sheltered workshops hereinafter men­ than 30 cents per hour, whichever is tioned, under section 14 of the Fair Labor higher, and a rate of not less than 30 Raymond G. Garceau, Standards Act of 1938 (sec. 14, 52 Stat. cents for each new client during his ini­ Director, 1068; 29 U. S. C. 214) and Part 525 of the tial 4-week evaluation period in the Field Operations Branch. regulations issued thereunder (29 CFR, workshop; certificate is effective Septem­ [P. R. Doc. 49-7364; Piled, Sept. 12, 1949; Cum. Supp., Part 525, amended 11 F. R. ber 1, 1949, and expires December 31, 8:46 a. m.] 9556), and under sections 4 and 6 of the 1949. Walsh-Healey Public Contracts Act (secs. Alabama Goodwill Industries, Inc., 4, 6, 49 Stat. 2038; 41 U. S. C. 38, 40) and 1715 Avenue F, Ensley, Birmingham 8, d e p a r t m e n t o f t h e in t er io r Article 1102 of the regulations issued Alabama; at a wage rate of not less than pursuant thereto (41 CFR, Cum. Supp., the piece rate paid non-handicapped em­ Bureau of Land Management 201.1102). ployees engaged in the same occupation Oregon The names and addresses of the shel­ in regular commercial industry main­ tered workshops to which certificates taining approved labor standards, or not NOTICE FOR FILING OBJECTIONS TO ORDER were issued, wage rates, and the effective less than 20 cents per hour, whichever is WITHDRAWING PUBLIC LANDS FOR USE OF and expiration dates of the certificates higher, and a rate of not less than 15 DEPARTMENT OF ARMY FOR FLOOD CON­ are as follows: cents for each new client during his ini­ TROL PURPOSES 1 Veterans of Foreign Wars of the tial 4-week evaluation period in the For a period of 30 days from the date United States, 406 West 34th Street, workshop; certificate is effective Septem­ of publication of the above entitled order, Kansas City 2, Missouri; at a wage rate ber 5, 1949, and expires August 31, 1950. persons having cause to object to the of not less than the piece rate paid non­ The employment of handicapped clients terms thereof may ^present their objec­ handicapped employees engaged in the in the above-mentioned sheltered work­ tions to the Secretary of the Interior. same occupation in regular commercial shops under these certificates is limited Such objections should be in writing, industry maintaining approved labor to the terms and conditions therein con­ should be addressed to the Secretary of standards, or not less than 10 cents per tained and is subject to the provisions the Interior, and should be filed in dupli­ hour, whichever is higher, and a rate of of Part 525 of the regulations. These cate in the Department of the Interior, not less than 5 cents for each new client certificates have been issued on the ap­ Washington 25, D. C. In case any objec­ during his initial 4-week evaluation pe­ plicants’ representations that they are tion is filed and the nature of the opposi­ riod in the workshop; certificate is sheltered workshops as defined in the tion is such as to warrant it, a public effective September 1, 1949, and expires regulations and that special services are hearing will be held at a convenient time August 31, 1950. provided their handicapped clients. A Goodwill Industries of Detroit, 6522 sheltered workshop is defined as, “A 1 See P. R. Doc. 49-7354, Title 43, Chapter I, Brush Street, Detroit, Michigan; at a charitable organization or institution Appendix, supra. Tuesday, September IS, 1949 FEDERAL REGISTER 5611

and place, which will be announced, Washington, D. C., on the 31st day of plication of Richard Field Lewis, Jr., for where opponents to the order may state August 1949; hearing are amended to read as follows : their views and where the proponents of The Commission having under consid­ 1. To determine the technical, finan­ the order can explain its purpose, intent, eration the above-entitled application of cial and other qualifications of the ap­ and extent. Should any objection be Richard Field Lewis, Jr., for a construc­ filed, whether or not a hearing is held, plicant, Richard Field Lewis, Jr., to con­ tion permit to change frequency and struct and operate Station WINC as notice of the determination by the Secre­ power of Station WINC, Winchester, Vir­ proposed. tary as to whether the order should be ginia, from 1400 kc, 250 w, unlimited 2. To determine the areas and popula­ rescinded, modified or let stand will be time, to 950 kc, 500 w, 1 kw-LS, using a tions which may be expected to gain or given to all interested parties of record directional antenna at night, unlimited lose primary service from the operation and the general public. time; and of Station WINC as proposed, and the J. A. K rug, It appearing, that on March 18, 1948, character of other broadcast service Secretary of the Interior. the said application of Richard Field available to those areas and populations. Lewis, Jr., was designated for hearing 3. To determine the type and char­ S eptember 3, 1949. in consolidation with the application of acter of program service proposed to be [P. R. Doc. 49-7355; Filed, Sept. 12, 1949; Winchester Broadcasting Corporation, rendered and whether it will meet the 8:45 a. m.] File No. BP-6187, Docket No. 8638, re­ requirements of * the populations and questing a construction permit for a new areas proposed to be served. standard broadcast station to operate on 4. To determine whether the opera­ 1270 kc, 1 kw, daytime only, at Win­ Oregon tion of Station WINC as proposed would chester, Virginia; that the said applica­ involve objectionable interference with NOTICE FOR FILING OBJECTIONS TO ORDER tion of Winchester Broadcasting Corpo­ any existing broadcast station, and, if WITHDRAWING PUBLIC LANDS FOR USE OF ration has this day been dismissed with­ so, the nature and extent thereof, the DEPARTMENT OF ARMY FOR FLOOD CONTROL out prejudice; that on October 20, 1948 areas and populations affected thereby, PURPOSES 1 and January 26, 1949, respectively, the and the availability of other broadcast applications of Richard Field Lewis, Jr. For a period of 30 days from the date service to such areas and populations. for renewal of license of Station WRFL- 5. To determine whether the opera­ of publication of the above entitled order, FM, Winchester, Virginia (File No. persons having cause to object to the tion of Station WINC as proposed would BRH-54, Docket No. 9174), and of Fred­ involve objectionable interference with terms thereof may present their objec­ ericksburg Broadcasting Corporation for tions to the Secretary of the Interior. the services proposed in the other appli­ renewal of license of Station WFVA, cation in this consolidated proceeding or Such objections should be in writing, Fredericksburg, Virginia (File No. BR- in any other pending applications for should be addressed to the Secretary of 1011, Docket No. 9223) were designated broadcast facilities and, if so, the na­ the Interior, and should be filed in du­ for hearing; and that said applications ture and extent thereof, the areas and plicate in the Department of the Interior, of Richard Field Lewis, Jr. and Fred­ populations affected thereby, the avail­ Washington 25, D. C. In case any ob­ ericksburg Broadcasting Corporation for ability of other broadcast service to such jection is filed and the nature of the op­ renewal of license have this day been re­ areas and populations. position is such as to warrant it, a public moved from the hearing docket and 6. To determine whether the installa­ hearing will be held at a convenient time granted; and tion and operation of Station WINC as and place, which will be announced, It further appearing, that on May 18, proposed would involve objectionable where opponents to the order may state 1949, the above-entitled application of interference with Station CMBF at their views and where the proponents of the Alamance Broadcasting Company, , , and, if so, whether such the order can explain its purpose, intent, Inc., to modify its construction permit to interference would be in contravention of and extent. Should any objection be change frequency, power, and hours of any international agreement or the Com­ filed, whether or not a hearing is held, operation of Station WBBB, Burlington, mission’s rules and Standards of Good notice of the determination by the Secre­ North Carolina, from 920 kc, 5 kw, day­ Engineering Practice. tary as to whether the order should be time only, to 950 kc, 1 kw, DA-2, unlim­ 7. To determine whether the installa­ rescinded, modified or let stand will be ited time, was designated for hearing in tion and operation of Station WINC as given to all interested parties of record consolidation with the application of proposed would be in compliance with and the general public. Greensboro Broadcasting Company, Inc. the Commission’s rules and Standards Oscar L. Chapman, (File No. BP-6558, Docket No. 9327), for of Good Engineering Practice Concern­ Acting Secretary of the Interior. change in facilities of Station WGBG, ing Standard Broadcast Stations, with particular reference to the relative per­ September 7, 1949. Greensboro, North Carolina, and the Evening News Association, licensee of centage of the population residing in the [P. R. Doc. 49-7371; Piled, Sept. 12, 1949; Station WWJ, Detroit, Michigan, was area between the normally protected and 8:49 a. m.] made a party to the proceeding; that on the interference-free contours and the August 5, 1949 William Penn Broadcast­ population in the actual primary service ing Co., licensee of Station WPEN, Phila­ area. FEDERAL COMMUNICATIONS delphia, Pennsylvania was granted leave 8. To determine upon comparative COMMISSION to intervene in said proceeding; that on basis which, if either, of the applications [Docket Nos. 8842, 9328] August 19, 1948 the said application of in this consolidated proceeding should be Greensboro Broadcasting Co. was dis­ granted. R ichard F ield Lewis, J r. (WINC) and missed without prejudice; and that said It is further ordered, That the Com­ Alamance B roadcasting Co. Inc. hearing on the above-entitled applica­ (WBBB) mission’s order of May 18,1949, designat­ tion of the Alamance Broadcasting Com­ ing the above-entitled application of ORDER CONTINUING HEARING AND AMENDING pany, Inc. is presently scheduled to com­ Alamance Broadcasting Company, Inc., ISSUES mence , 1949 at Washington, for a consolidated hearing is amended to D. C.; include the application of Richard Field In re applications of Richard Field „ It is ordered, That, pursuant to sec­ Lewis, Jr. (WINC), Winchester, Virginia, Lewis, Jr., and Issue No. 8 as set forth tion 309 (a) of the Communications Act above. Docket No. 8842, File No. BP-6242; for of 1934, as amended, the hearing here­ construction permit. Alamance Broad­ It is further ordered, That the hearing tofore ordered on the above-entitled ap­ in this proceeding is continued to Sep­ casting Company, Inc., Burlington, North plication of Richard Field Lewis, Jr. is tember 26, 1949, at Washington, D. C. Carolina (WBBB), Docket No. 9328, File consolidated with the hearing heretofore No. BMP-4492; for modification of con­ ordered on the above-entitled application F ederal Communications struction permit. of Alamance Broadcasting Company, Commission, At a session of the Federal Communi­ [seal] T. J. Slowie, cations Commission held at its offices in Inc.; and It is further ordered, That the issues Secretary. 1 See P. R. Doc. 49-7370, Title 43, Chapter I specified in the said order of March 18, [F. R. Doc. 49-7390; Piled, Sept. 12, 1949; Appendix, supra. 1948, designating the above-entitled ap­ 8:53 a. m.] 5612 NOTICES

FEDERAL POWER COMMISSION and all the assets thereof transferred to, tion or simplification of the Sioux City and the liabilities thereof assumed by, holding company system and are neces­ [Docket Nos. IT-5725, E-6191] Sioux City, which proposals are also in­ sary or appropriate to effectuate the pro­ COMPANIA SERVICIOS PUBLICOS POMENTOS cluded in the plan, and the Commission visions of section 11 (b) of the act and DE REYNOSA, S. A. ET AL having consolidated said applications- are hereby authorized, approved and di­ déclarations with the aforesaid applica­ rected : NOTICE OF ORDER AUTHORIZING TRANSMIS­ tion filed by Sioux City and IPS pursuant 1. The sale and transfer by Sioux City SION OF ELECTRIC ENERGY TO MEXICO AND to section 11 (e) of the act; and and IPS to Penn-Western Service Cor­ RESCINDING PREVIOUS AUTHORIZATION The applicants having requested the poration of 1,184 shares of capital stock S eptember 7, 1949. Commission to enter an order approving of Penn-Western Service Corporation In the matters of Compania Servicios the Amended Plan and containing cer­ held by them for $10 per share and the Publicos Pomentos de Reynosa, S. A. and tain recitals in accordance with Supple­ repurchase by Penn-Western Se'rvice Central Power and Light Company, ment R and section 1808 (f) of the Corporation of such stock at such price. Docket No. IT-5725; Luz y Fuerza de Internal Revenue Code; 2. The merger of IPS into Sioux City Reynosa, S. A. and Central Power and Sioux City having also requested that in accordance with applicable law and Light Company, Docket No. E-6191. such order rescind certain provisions of the transfer and conveyance to Sioux Notice is hereby given that, on Sep­ our order of November 29, 1945 (Holding City of all of the assets of IPS and the tember 2, 1949, the Federal Power Com­ Company Act Release No. 6256) contain­ assumption by Sioux City of all of the mission issued its order entered August ing restrictions upon the payment of debts of IPS. 30,1949, in the above-designated matters dividends on the common stock of Sioux 3. The assets of IPS to be transferred authorizing transmission of electric City, upon the ground that substantially and conveyed to Sioux City in accord­ energy to Mexico, rescinding previous similar dividend restrictions will be ance with the provisions of the next pre­ authorization and releasing Presidential embodied in the charter of the merged ceding paragraph hereof include, among Permit. company ; other things, 2,300 shares of capital stock The applicants having further re­ of Nebraska and the real and personal [seal] Leon M. P uquay, quested the Commission, pursuant to Secretary. property of IPS located or situated in the section 11 (e) of the act, to apply to an following Counties in the State of Iowa: [P. R. Doc. 49-7350; Filed, Sept. 12, 1949; appropriate court, in accordance with Audubon, Black Hawk, Bremer, Bu­ 8:45 a. m.] the provisions of subsection (f) of sec­ tion 18 of the act to enforce and carry chanan, Buena Vista, Butler, Calhoun, out the terms and provisions of the Carroll, Cerro Gordo, Cherokee, Chicka­ SECURITIES AND EXCHANGE Amended Plan ; and saw, Clay, Crawford, Floyd, Franklin, Grundy, Humboldt, Ida, Kossuth, Lyon, COMMISSION Public hearings having been held, after appropriate notice, at which secu­ Monona, O’Brien, Osceola, Palo Alto, [Pile Nos. 54-174, 70-1741] rity holders and all other interested per­ Plymouth, Pocahontas, Sac, Shelby, Sioux, Tama, Webster, Woodbury and Sioux City Gas 'and Electrical Co. et al. sons were afforded an opportunity to be heard and the participants having Wright; and all other property of IPS, ORDER APPROVING PLAN AND GRANTING AND waived the filing of briefs and oral argu­ real or personal, wheresoever situated or PERMITTING JOINT APPLICATIONS-DECLA­ ment before the Commission; located. RATIONS TO BECOME EFFECTIVE The Commission having considered 4. The liquidation and dissolution of At a regular session of the Securities the record and having issued its findings South Dakota, Yankton and Nebraska and Exchange Commission held at its and opinion, finding therein that the and the transfer and conveyance of all office in the city of Washington, D. C., Amended Plan is necessary to effectu­ of the assets of such corporations to, and on the 7th day of September 1949. ate the provisions of section 11 (b) of the assumption of the liabilities thereof In the matter of Sioux City Gas and the act and fair and equitable to the by, Sioux City in complete cancellation Electric Company, Iowa Public Service persons affected thereby, that the re­ of all of the stock of South Dakota, Yank­ Company, Nebraska Public Service Com­ quested recitals may appropriately be ton and Nebraska. pany, Penn-Western Service Corpora­ made, and that said application-decla­ 5. The assets of South Dakota, Yank­ tion, File No. 54-474; Sioux City Gas and rations meet the applicable standards of ton and Nebraska to be transferred and Electric Company, South Dakota Public the act; conveyed by them, respectively, to Sioux Service Company, Yankton Gas Com­ It is ordered, That said Amended Plan City in accordance with the provisions of pany, File No. 70-1741. be, and the same hereby is, approved, and the next preceding paragraph hereof in­ Sioux City Gas and Electric Company that the joint applications-déclarations clude, among other things, (a) with re­ (“Sioux City”) , a registered holding com­ of Sioux City, South Dakota and Yank­ spect to South Dakota, all of its property, pany and a public utility company, and ton be, and the same hereby are, granted real and personal, located or situated in Iowa Public Service Company (“IPS”), and permitted to become effective, sub­ Lincoln County and Union County in the a direct public utility subsidiary of Sioux ject to the terms and conditions con­ State of South Dakota and in Lyon City and also a registered holding com­ tained in Rule U-24 and to the following County, Plymouth County and Sioux pany, having filed an application pursu­ additional terms and conditions : County in the State of Iowa; (b) with ant to section 11 (e) of the Public Utility (1) That the order herein shall not respect to Yankton, all of its property, Holding Company Act of 1935 (the be operative to authorize the consumma­ real and personal, located or situated in “act”) , which was joined in by Nebraska tion of the transactions proposed in the Yankton County in the State of South Public Service Company (“Nebraska”), said Amended Plan until an appropriate Dakota; (c) with respect to Nebraska, all a direct public utility subsidiary of IPS, United States District Court shall, upon of its property, real and personal, located and Penn-Western Service Corporation, application thereto, enter an order en­ or situated in Dakota County and Dixon an affiliated service company, for ap­ forcing said Amended Plan. County in the State of Nebraska; and all proval of a plan as amended (“Amended (2) That jurisdiction is hereby specif­ other property of South Dakota, Yankton Plan”) providing, among other things, ically reserved to determine the reason­ and Nebraska, real or personal, whereso­ for the consolidation of all the companies ableness and appropriate allocation of ever situated or located. in the Sioux City system into one surviv­ all fees and expenses and other remuner­ 6. The issuance by Sioux City of “First ing corporation, namely Sioux City; and ation incurred or to be incurred in con­ Mortgage Bonds, 2%% Series due 1975” Sioux City and its wholly owned pub­ nection with the said Amended Plan in the aggregate principal amount of lic utility subsidiaries, South Dakota and the transactions incident thereto; $7,920,000, pursuant to the Amended Public Service Company (“South Da­ It is further ordered and recited, That Plan, in exchange for the presently out­ kota”) and Yankton Gas Company all steps and transactions embraced standing “First Mortgage and Collateral (“Yankton”) , having filed joint applica­ within the Amended Plan, and all issu­ Trust Bonds, 2%% Series due 1975” of tions-déclarations, pursuant to sections ances, transfers, exchanges and convey­ Sioux City in the aggregate principal 9 (a) (1), 10 and 12 (b), (c) and (d) of ances made in accordance with the terms amount of $7,920,000 and the surrender the act and Rules U-42, 43, 44, 45 and 46 and provisions thereof, including but not of such outstanding bonds by the holders thereunder, proposing that South Dakota limited to those referred to below, are thereof for cancellation, and the execu­ and Yankton be dissolved and liquidated necessary or appropriate to the integra­ tion and delivery by Sioux City and Tuesday, September IS, 1949 FEDERAL REGISTER 5613

Chemical Bank & Trust Company of the [File No. 70-2192] ecute an amendment to the Subordina­ proposed Third Supplemental Indenture. tion Agreement executed in connection 7. The issuance by Sioux City of “First Arkansas Natural Gas Corp. and with the original Loan Agreement, pro­ Mortgage Bonds, 3% Series due 1978” in Arkansas Louisiana Gas Co. viding for the subordination of a 4XA% the aggregate principal amount of $1,- ORDER PERMITTING DECLARATION TO BECOME Sinking Fund Debenture due 1955 of Ar­ 000,000, pursuant to the Amended Plan, EFFECTIVE kansas Louisiana in the principal amount in exchange for the presently outstand­ of $6,500,000 held by Arkansas Natural ing “First Mortgage and Collateral Trust At a regular session of the Securities to the payment of principal and interest Bonds, 3% Series due 1978” of Sioux and Exchange Commission, held at its on the notes issued pursuant to the Sup­ City in the aggregate principal amount office in the city of Washington, D. C., plemental Loan Agreement. of $1,000,000 and the surrender of such on the 6th day of September A. D. 1949. Declarants having requested that the outstanding bonds by the holders thereof Arkansas Natural Gas Corporation Commission’s order permitting the dec­ for cancellation. , (“Arkansas Natural”) , a registered hold­ laration to become effective issue as 8. The issuance by Sioux City of 42,500 ing company and its subsidiary, Arkansas promptly as may be praticable and that shares of cumulative preferred stock des­ Louisiana Gas Company (“Arkansas it become effective upon issuance; and ignated as “3.75% Cumulative Preferred Louisiana”) , having filed a joint declara­ Said declaration having been filed on Stock” ($100 par value), pursuant to the tion, and amendments thereto, with this August 5,1949, and notice of filing having Amended Plan, in exchange for the 42,500 Commission pursuant to sections 6, 7 been duly given in the form and manner presently outstanding shares of “3.75% and 12 of the Public Utility Holding Com­ prescribed in Rule U-23 under said act Cumulative Preferred Stock” of IPS and pany Act of 1935 (“act”) and Rule U-45 and the Commission not having received the surrender of such presently outstand­ promulgated thereunder with respect to a request for hearing with respect to said ing shares by the holders thereof for the following transactions: declaration within the period specified in cancellation. Arkansas Louisiana proposes to enter said notice, or otherwise, and not having 9. The issuance by Sioux City of 941,- into a Supplemental Loan Agreement ordered a hearing thereon; and 987.2 shares of common stock ($5 par with the Guaranty Trust Company of The Commission finding with respect value), pursuant to the Amended Plan, in New York (“Bank”) pursuant to which to said declaration, as amended, that the exchange for the 428,176 shares' of the it proposes to borrow $9,500,000. This applicable provisions of the act and the presently outstanding common stock of borrowing is to be evidenced by promis­ rules and regulations thereunder have Sioux City and the surrender of such sory^ notes to be issued by Arkansas been satisfied and that there is no basis presently outstanding common stock of Louisiana bearing interest at the rate for adverse findings and deeming it ap­ Sioux City by the holders thereof for of 2%% per annum payable semi-an­ propriate in the public interest and in cancellation. nually and maturing three years after the interest of investors or consumers 10. The issuance by Sioux City of 258,- date of issue. Under the proposed Sup­ to permit said declaration, as amended, 995 shares of common stock ($5 par plemental Loan Agreement, Arkansas to become effective as requested by value), pursuant to the Amended Plan, Louisiana will also have the right to declarants: in exchange for the presently outstand­ borrow from the Bank at any time and It is ordered, Pursuant to Rule U-23 ing 258,995 shares of common stock of from time to time ;for a period of 12 and the applicable provisions of the act IPS held by persops other than Sioux months from the date of the said Supple­ and subject to the terms and conditions City and the surrender of such presently mental Loan Agreement, additional prescribed in Rule U-24, that said dec­ outstanding shares of common stock of amounts to aggregate not exceeding $3,- laration, as amended, be, and the same IPS by the holders thereof for cancel­ 500,000, to be evidenced by a new note hereby is, permitted to become effective lation. or notes bearing interest at the rate of forthwith. 11. The cancellation of the 510,070 2%% per annum and maturing three shares of the presently outstanding com­ years from the date of said Supplemental By the Commission. mon stock of IPS held by Sioux City. Loan Agreement. Arkansas Louisiana [SEAL] NELLYE A. THORSEN, 12. The issuance by Sioux City of scrip will pay the Bank a commitment fee Assistant Secretary. computed quarterly at the rate of Vfe of certificates in lieu of fractional shares of [F. R. Doc. 49-7369; Filed, Sept. 12, 1949; common stock of Sioux City ($5 par 1% per annum on the daily average un­ 8:47 a. m.] value) and the acquisition of such scrip used amount of the said $3,500,000, the certificates by the persons entitled to first payment being due October 15,1949. receive the same. The Supplemental Loan Agreement 13. The issuance of the shares of stock, makes provisions for the prepayment of the bonds and the scrip certificates to be all the notes and provides that if the [File No. 70-2206] issued, by Sioux City in accordance with notes are prepaid on or before 12 months United Gas Corp. the Amended Plan to exchange agents from the date of the Supplemental Loan and the transfer of such shares of stock, Agreement, that, under specified circum­ NOTICE OF FILING bonds and scrip certificates by exchange stances, the notes may be prepaid with­ At a regular session of the Securities agents to the persons entitled thereto in out premium and the interest rate ad­ and Exchange Commission held at its of­ accordance with the Amended Plan. justed downward from 2%% to 2x/4% fice in the city of Washington, D. C., on It is further ordered, That the afore­ per annum. the 6th day of September A. D. 1949. mentioned condition in the Commission’s It is represented that Arkansas Louis­ Notice is hereby given that United Gas order dated November 29, 1945, which iana will use the proceeds from the pro­ Corporation (“United”), a gas utility restricts the payment of dividends on posed borrowings to finance in part, its subsidiary of Electric Bond and Share Sioux City’s common stock shall cease to construction program for the years 1949 Company, a registered holding company, be effective upon the taking effect of and 1950. has filed an application-declaration pur­ the proposed dividend restriction in the Under the original Loan Agreement suant to the Public Utility Holding Com­ charter of the merged company. with the Bank dated as of October 15, pany Act of 1935, particularly sections It is further ordered, That jurisdiction 1947, Arkansas Louisiana borrowed $11,- 9 (a) (1), 10 (a) (1), 10 (b) and 10 (c) be, and hereby is, specifically reserved to 500,000 evidenced by 2%% installment with respect to the following proposed entertain such further proceedings, to promissory notes, payable semi-annually transactions: make such supplementary findings and through April 15,1957, of which $10,000,- United proposes to purchase certain to take such further action as may be 000 principal amount was outstanding securities of Carthage Hydrocol, Inc. appropriate in connection with the as at June 30, 1949. There is also out­ (“Hydrocol”). This Commission by or­ Amended Plan, the transactions incident standing under this original Loan Agree­ ders dated March 14, 1946 and March 8, thereto and the consummation thereof. ment an additional 2 x/4 % promissory 1948 (Holding Company Act Release Nos. By the Commission. note of Arkansas Louisiana due October 6478 and 8022) authorized the purchase 15, 1957, representing $2,500,000 bor­ by United of certain notes and shares of [seal] Orval L. DtjB ois, rowed on October 11,1948. It is proposed common stock of Hydrocol. Hydrocol is Secretary. that upon execution of the Supplemental constructing a plant near Brownsville, [F. R. Doc. 49-7368; Filed, Sept. 12, 1949; Loan Agreement, Arkansas Natural, Ar­ Texas, for the purpose of manufacturing 8:47 a. m.] kansas Louisiana and the Bank will ex­ gasoline from natural gas by a synthesis 5614 NOTICES process known as the “Hydrocol Proc­ Steamship Co. (Koninklijke Neder- Pro­ landsche Stoomboot Maatschappij N. V.), ess”. It was originally estimated that posed the cost of the proposed plant would be Name of subscriber Present sub­ Total Rederiet Vindeggen A/S, Rederiet Bes- $14,000,000. It is now estimated, by holdings scrip­ seggen A/S, Skipsaksjeselskapet Essi, reason of changes in plans and increased tions Skipsaksjeselskapet EStero, Dampskib- costs, that the aggregate cost, including saksjeselskapet Esito, and Bj Ruud- Chicago Corp______67.500 30.000 97.500 necessary working capital, will be $38,- Forest Oil Corp______168.750 31.250 200.000 Pedersen, members of steamship confer­ 168,000. Of the total present estimated 135.000 135.000 ences engaged in the transportation of Niagara Share Corp...... __ 168.750 75.000 243.750 cost, the Reconstruction Finance Cor­ Stone & Webster, Inc...... 118.125 71.475 189.600 freight between United States Atlantic poration (“RFC”) has agreed to loan up The Texas Co______506.250 309.550 815.800 and Gulf ports and ports in Curacao, to $18,500,000. The balance of the United Gas Corp...... 135.000 82.725 217.725 Aruba, Bonaire, Netherlands West In­ funds, including funds for working cap­ Western Natural Gas C o.. 50.625 50.625 dies and Venezuela, of establishing and ital and other corporate purposes, was Total...... 1,350.000 600.000 1,950.000 charging rates on commodities to be de­ proposed to be acquired from certain livered to oil companies at their private selected subscribers, including United, United and its two wholly owned sub­ docks different from those charged other through the issuance by Hydrocol of 6% sidiaries, United Gas Pipe Line Company shippers for transportation to regular promissory notes and shares of $1 par and Union Producing Company, are prin­ ports of Netherlands West Indies and value common stock, these notes and cipally engaged in the production, pur­ Venezuela; and requiring the respond­ common stock to be sold in units consist­ chasing, transportation, distribution and ents named in said order to show cause ing of one $10,000 note and 75 shares sale of natural gas, and Union Produc­ why an order should not be entered dis­ of common stock. The first subscrip­ ing Company is the owner of extensive approving Agreement No. 6870 and Sub­ tion involved the issuance and sale of gas reserves. The application-declara­ division (c) of Clause 6 of Agreement No. $10,000,000 principal amount of notes, tion states that the Hydrocol Process can 6190. due 1960, and 75,000 shares of common possibly result in important benefits to The hearing therein ordered will be stock for an aggregate consideration of the United System, by increasing the held before an examiner of the Commis­ $10,075,000, of which United subscribed value of its gas reserves and widening the sion’s Office of Trial Examiners, the time to 10%, or $1,007,500. At the same time market for its products. and place of said hearing to be announced Hydrocol obtained a loan from Recon­ Applicant-declarant requests that the by written notice to the persons making struction Finance Corporation^ in the Commission issue an order granting ;the request to appear and be heard. amount of $9,000,000. application and permitting the declara­ The hearing will be conducted pursu­ On August 8,1948, the Commission au­ tion to become effective as soon as prac­ ant to the Commission’s rules of proce­ thorized the subscription arid acquisition ticable and that said order become effec­ dure (12 F. R. 6076). A recommended by United of 35 additional units for a cash tive upon the issuance thereof. decision will be issued by the examiner. consideration of $352,625, this being Notice is further given that any in­ All persons (including individuals, cor­ United’s 10% allocation of an over-all terested person may, not later than Sep­ porations, associations, firms, partner­ subscription of $3,526,250. At the same tember 15,1949, at 11:30 a. m., e. d. s. t., ships, and public bodies) desiring to in­ time Hydrocol obtained a further loan request the Commission in writing that a tervene in this proceeding should notify from Reconstruction Finance Corpora­ hearing be held on such matter, stating the Commission accordingly on or before tion of $3,500,000. the reasons for such request, the nature October 3, 1949, and file petitions for in­ Hydrocol is now offering subscriptions of his interest, and the issues of fact or tervention in accordance with 5 201.81 to 600 additional units to present holders law raised by said application-declara­ of the Commission’s rules of procedure. on the same basis as that on which the tion which he desires to controvert, or Dated: , 1949. initial subscription to 1,000 units were may request that he be notified if the obtained. Of the offering of said 600 Commission should order a hearing By order of the United States Maritime additional units 473% units are being thereon. Any such request should be Commission. subscribed for by certain of the initial addressed as follows: Secretary, Securi­ [seal] A. J. [Williams, subscribers on the same basis as the ini­ ties and Exchange Commission, 425 Sec­ Secretary. tial subscription, including 60 units being ond Street NW., Washington 25, D. C. subscribed to by United, that being its [F. R. Doc. 49-7362; Filed, Sept. 12, 1949; At any time after September 15, 1949, 8:46 a. m.] allocated portion of the offering. The at 11:30 a. m„ e. d. s. t., said application- remainder, or 126% units are being of­ declaration as filed or as amended may fered to subscribers participating in the be granted and permitted to become ef­ DEPARTMENT OF JUSTICE present offering with, the provision that fective as provided in Rule U-23 of the the $1,262,500 principal amount of notes rules and regulations promulgated under Office of Alien Property included therein will have preference as said act, or the Commission may exempt to principal and interest over all other such transactions as provided in Rule A u t h o r i t y : 40 Stat. 411, 65 Stat. 839, Pub. outstanding notes of Hydrocol. United U-20 (a) and Rule U-100 thereof. Laws 322, 671, 79th Cong., 60 Stat. 50, 925; 50 proposes to acquire as a result of the sub­ D. S. C. and Supp. App. 1, 616; E. O. 9193, By the Commission. July 6, 1942, 3 CFR, Cum. Supp., E. O. 9567, scription and over-subscription 82.725 June 8, 1945, 3 CFR, 1945 Supp., E. O. 9788, units for an aggregate cash consideration [ seal] Nell ye A. Thorsen, Oct. 14, 1946, 11 F. R. 11981. of $833,454.38, represented by $227,250 Assistant Secretary. [Vesting Order 13688] principal amount of preferred notes, [F. R. Doc. 49-7367; Filed, Sept. 12, 1949; $600,000 principal amount of subordi­ 8:47 a. m.] J ohann Henry M. Michaelsen nated notes, and 6,204.375 shares of $1 par value common stock. In re: Estate of Johann Henry M. As part of the subscription of the 600 UNITED STATES MARITIME Michaelsen, deceased. File No. D-66- units described, Hydrocol has obtained a 575; E. T. sec. 4342. loan from Reconstruction Finance Cor­ COMMISSION Under the authority of the Trading poration in the amount of $6,000,000. [Docket No. 693] With the Enemy Act, as amended, Exec­ United, as the holder of $1,350,000 prin­ utive Order 9193, as amended, and Exec­ Alcoa S teamship Co. et al. cipal amount of Hydrocol’s 6% notes, pro­ utive Order 9788, and pursuant to law, poses to submit such notes for over­ NOTICE OF HEARING WITH RESPECT TO RATES after investigation, it is hereby found: stamping or in the alternative to surren­ GRANTED OIL COMPANIES 1. That Elfriede Michaelsen Hoffman, whose last known address was, on June der such notes for new notes which will By order of August 23, 1949, the Com­ be subordinated to $1,262,500 principal mission entered upon a proceeding of 22, 1949, Germany, was on such date a amount of preferred notes heretofore de­ inquiry and investigation concerning the resident of Germany and a national of scribed. lawfulness under the Shipping Act, 1916, a designated enemy country (Germany); The present holdings of units of Hy­ of the practices of Alcoa Steamship Com­ 2. That Kasse Der Evangelical Luth­ drocol and the proposed subscriptions on pany, Inc., Grace Line, Inc.r Lykes Bros. eran Kirchengemeinde and Von Pius a unit basis are as follows; Steamship Co., Inc., Royal Netherlands Hospital, whose last known address was, Tuesday, September IS, 1949 FEDERAL REGISTER 5615 on June 22,1949, Germany, were on such utive Order 9788, and pursuant to lavf, E xh ibit A date corporations, partnerships, associa­ after investigation, it is hereby found: tions or other organizations, organized 1. That Fritz Albert Kestner, whose Description of issue Bond No. Face under the laws of Germany, which had last known address is Shinjuku-Ku, value their principal places of business in Ger­ Shinan Omachi 26/2, Tokyo, , is a Kingdom of Belgium S/F_____ 018685 1 , 000.00 many and were nationals of a designated resident of Japan and a national of a des­ D o...... 00071 500.00 enemy country (Germany) ; ignated enemy country (Japan); Konversionskasse Fur Deutche 3. That the sum of $368.92 was paid 2. That the property described as fol­ A uslandsschulden Berlin, Germany, Ctfs. of Indbt. to the Attorney General of the United lows: , Series E ______.______N R 3622832 RM 5 States by Joseph A. Reiman, surviving Konversionskasse Fur Deutche a. That certain debt or other obliga­ A uslandsschulden Berlin, executor of the estate of Johann Henry tion of The National City Bank of New Germany, Ctfs. of Indebt. M. Michaelsen, deceased; York, 55 Wall Street, New York 15, New Series C, 1934...... NY 0378986 RM 50 4. That the said sum of $368.92 was York, arising out of a clean credit deposit f 060266 20.00 Konversionskasse Fur Deutche 060267 20.00 accepted by the Attorney General of the account, account numbered 6723-BB, en­ Auslandsschulden 3%, SeriesC. < 060268 20.00 United States on June 22, 1949, pursuant 0883441 100.00 titled Hermann Bosch as Guardian of 1 006103 2.60 to the Trading with the Enemy Act, as Fritz Albert Kestner, maintained at the Free State of Prussia S/F amended ; aforesaid bank, and any and all rights to 6J^% pf. 1926...... 01062 1, 000.00 6. That the said sum of $368.92 is demand, enforce and collect the same, presently in the possession of the At­ b. Those certain bonds described in [F. R. Doc. 49-737$; Filed, Sept. 12, 1949; torney General of the United States and Exhibit A, attached hereto and by ref­ 8:5Î a. m.] was property within the United States erence made a part hereof, presently in owned or controlled by, payable or de­ the custody of The National City Bank liverable to, held on behalf of or on ac­ of New York, 55 Wall Street, New York count of, or owing to, or which was evi­ 15, New York, in a safekeeping account, [Vesting Order 13731] dence of ownership or control by, the account numbered B24188, entitled Her­ Mrs. Hermann Wilts aforesaid nationals of a designated en­ mann Bosch as Guardian of Fritz Albert emy country (Germany) ; Kestner, together with any and all rights In re: Bank account and certificate of thereunder and thereto, and deposit owned by Mrs. Hermann Wilts. and it is hereby determined: F-28-715-A-1, E-l. 6. That to the extent that the persons c. One (1) Certificate of Deposit for Under the authority of the Trading named in subparagraph 1 hereof and Chicago Rapid Transit Co., 1st and Re­ With the Enemy Act, as amended, Execu­ Kasse Der Evangelical Lutheran Kirch- funding Mortgage, Series A.6% Bond, of tive Order 9193, as amended, and Execu­ engemeinde and Von Pius Hospital were $1000 face value, said certificate of de­ tive Order 9788, and pursuant to law, not within a designated enemy country posit bearing the number NA322, regis­ after investigation, it is hereby found: on June 22, 1949, the national interest tered in the name of Hurley & Co., and 1. That Mrs. Hermann Wilts, whose of the United States required that such presently in the custody of The National last known address is Grosse Rossberg- persons be treated as nationals of a City Bank of New York, 55 Wall Street, strasse 27, Leer/Ostfriesland, Germany, designated enemy country (Germany) New York 15, New York, together with is a resident of Germany and a na­ on such date. any and all rights therein and thereto, All determinations and all action re­ tional of a designated enemy country quired by law, including appropriate con­ is property within the United States (Germany); sultation and certification, having been owned or controlled by, payable or deliv­ 2. That the property described as made and taken, and, it being deemed erable to, held on behalf of or on account follows: necessary in the national interest, of, or owing to, or which is evidence of a. That "certain debt or other obliga­ ownership or control by, the aforesaid tion of the Farmers State Bank of Ben­ There is hereby vested in the Attorney son, Benson, Illinois, arising out of a General of the United States the prop­ national of a designated enemy country (Japan); savings account, entitled Herman Wilts, erty described above, to be held, used, maintained at the aforesaid bank, and administered, liquidated, sold or other­ and it is hereby determined: any and all rights to demand, enforce wise dealt with in the interest of and for 3. That to the extent that the person and collect the same, and the benefit of the United States. named in subparagraph 1 hereof is not This vesting order is issued nunc pro b. One (1) Deferred Certificate of De­ within a designated enemy country, the posit of the Farmers State Bank of Ben­ tunc to confirm the vesting of the said national interest of the United States re­ son, Benson, Illinois, of the original face property by acceptance as aforesaid. quires that such person be treated as a value of $537.00, bearing the number 87, The terms “national” and “designated national of a designated enemy country registered in the name of Herman Wilts, enemy country” as used herein shall (Japan). have the meanings prescribed in section and presently in the custody of Mrs, 10 of Executive Order 9193, as amended. All determinations and all action re­ Anna Wilts, Washburn, Illinois, and quired by law, including appropriate con­ those seven (7) checks drawn in payment Executed at Washington, D. C., on sultation and certification, having been thereof by the aforesaid Farmers State August 18, 1949. made and taken, and, it being deemed Bank of Benson, payable to Herman For the Attorney General. necessary in the national interest, Wilts, dated and in the amounts as set There is hereby vested in the Attorney forth below: [seal] Harold I. B aynton, General of the United States the prop­ Deputy Director, erty described above, to be held, used, Number Date Amount Office of Alien Property. administered, liquidated, sold or other­ [F. R. Doc. 49-7374; Filed, Sept. 12, 1949; wise dealt with in the interest of and for 7...... Dec. 6,1941 $26.85 the benefit of the United States. 8...... Oct. 8,1942 26.85 8:51 a. m.] 9...... Aug. 6,1943 26.85 The terms “national” and “designated 10 ...... Apr. 28,1944 53.70 1 1 ...... June 23,1945 53. ft) enemy country” as used herein shall have 12 ...... Jan. 25; 1946 53.70 the meanings prescribed in section 10 of 13...... Oct. 19,1946 107.40 [Vesting Order 13671] Executive Order 9193, as amended. F ritz Albert K estner Executed at Washington, D. C., on said checks presently in the custody of August 17, 1949. said Farmers State Bank of Benson, to­ In re: Bank account and securities gether with any and all rights in, to and owned by Fritz Albert Kestner. F-28- For the Attorney General. under the aforesaid Deferred Certificate 5289-T-l; E-l. of Deposit and any and all rights in, to Under the authority of the Trading [seal] Malcolm S. Mason, and under the aforesaid checks, includ­ With the Enemy Act, as amended, Exec­ Acting Deputy Director, ing particularly the right to possession utive Order 9193, as amended, and Exec­ Office of Alien Property. and to present for payment, 5616 NOTICES is property within the United States New York, for account of Mrs. Bertha 3 Match holders. owned or controlled by, payable or deliv­ L. Kelly, 1236 Marseilles Drive, Miami 3 Cigarette holders. 3 Cigarette boxes. erable to, held on behalf of or on account Beach 41, Florida, subject, however, to 2 Cigarette cases. of, or owing to, or which is evidence of any and all lawful liens of said Gilbert 1 Mustard barrel. ownership or control by Mrs. Hermann Storage Co., Inc., and said Mrs. Bertha 2 Candlesticks with four (4) arms. Wilts, surviving spouse of Herman Wilts, L. Kelly against the aforesaid property, 2 Candlesticks (for single candle). deceased, the aforesaid national of a 1 Playing card-box. designated enemy country (Germany) ; is property within the United States 1 Ice bowl. owned or controlled by, payable or de­ 1 Glass jam dish. and it is hereby determined: liverable to, held on behalf of or on ac­ 3 Small nut bowls. 3. That to the extent that the person count of, or owing to, or which is evi­ 3 Picture frames. named in subparagraph 1 hereof is not dence of ownership or control by, the 2 Napkin rings inscribed "Ernst”. within a designated enemy country, the aforesaid national of a designated enemy 1 Napkin ring inscribed “Anne Sofie”. national interest of the United States re­ country (Germany); 1 Cocktail shaker, inscribed “A. S. E. St.” quires that such person be treated as a 2 Baby cups. and it is hereby determined: 1 Baby set, knife, fork and spoon. national of a designated enemy coun­ 3. That to the extent that the person 6 Cocktail sticks with holders. try (Germany). named in subparagraph 1 hereof is not 1 Set knife, fork and spoon. All determinations and all action re­ within a designated enemy country, the 1 Small plate. quired by law, including appropriate con­ national interest of the United States 4 Bottles with silver neck. sultation and certification, having been requires that such person be treated as a 1 Flower vase. made and taken, and, it being deemed 3 Large platters, inscribed “E. St.” national of a designated enemy country 2 Round platters, one inscribed "E. St.” necessary in the national interest, (Germany). There is hereby vested in the Attorney 2 Gravy bowls. All determinations and all action re­ 1 Gravy bowl with handle. General of the United States the prop­ quired by law, including appropriate con­ 1 Coffee pot. erty described above, to be held, used, sultation and certification, having been 1 Teapot. administered, liquidated, sold or other­ made and taken, and, it being deemed 1 Sugar bowl. wise dealt with in the interest of and for necessary in the national interest, 1 Cream pitcher. the benefit of the United States. There is hereby vested in the Attorney 1 Cream pitcher. The terms “national” and “designated 2 Cocktail cups. General of the United States the prop­ 4 Bottle holders. enemy country” as used herein shall have erty described above, to be held, used, the meanings prescribed in section 10 of 1 Small basket with angel. administered, liquidated, sold or other­ 2 Oval trays. Executive Order 9193, as amended. wise dealt with in the interest of and for 5 Candy dishes. Executed at Washington, D. C., on the benefit of the United States. 1 Baby dish. August 25, 1949. The terms “national” and “designated 1 Sugar bowl. enemy country” as used herein shall have 1 Small pitcher. For the Attorney General. 1 Barrel (wood). the meanings prescribed in section 10 of 2 Ornamental cups. [seal! David L. Bazelo-n , Executive Order 9193, as amended. 1 Crystal perfume bottle. Assistant Attorney 'General, 1 Pill box. Director, Office of Alien Property. Executed at Washington, D. C., on August 26, 1949. 1 Salad dish. [F. R. Doc. 49-7375; Filed, Sept. 12, 1949; 1 Small bottle With porcelain top. 8:51a. m.] For the Attorney General. 1 Base for serving dish. 1 Small ornament. [seal] Harold I. Baynton, 2 Round serving bowls. Deputy Director, 3 Large oval bowls. Office of Alien Property. 1 Fruit dish. [Vesting Order 13736] 1 Small cup. E x h ib it A—S il v e r w a r e a n d H o u s e h o l d E f ­ Ernst Stinnes 1 Silver bottle top. f e c t s i n C u s t o d y o f M r s . B e r t h a L. 1 Vinegar bottle. In re: Silverware and household effects K e l l y 1 Small nut dish. and mixed personal property owned by Number of Items; Description 2 Round bowls. Ernst Stinnes. F-28-627-C-2/3. 1 Nut dish with porcelain top. 23 Fish forks, with monogram “E. St.” 1 Baby cup, inscribed. Under the authority of the Trading 25 Fish knives, with monogram “E. St.” 1 Egg cup, inscribed. With the Enemy Act, as amended, Ex­ 24 Lunch forks, with monogram "E. St.” 2 Cocktail cups, inscribed. ecutive Order 9193, as amended, and Ex­ 24 Lunch knives, with monogram “E. St.” 1 Small teapot. ecutive Order 9788, and pursuant to law, 24 Dinner forks, with monogram “E. St.” 1 Sugar bowl. after investigation, it is hereby found: 24 Dinner knives, with monogram “E. St.” 1 Oval dish, inscribed. 1. That Ernst Stinnes, whose last 24 Soup spoons, with monogram “E. St.” 1 Small box, baby toys, rattles, etc. 24 Tea spoons, with monogram “E. St.” known address is Mulheim-Ruhr, Ger­ x h i b i t ix e d e r s o n a l r o p e r t y i n 12 Lunch forks. E B—M P P many, is a resident of Germany and a 12 Lunch knives. C u s t o d y o f G il b e r t S to r a g e Co., I n c . national of a designated enemy country 12 Dinner forks. Number of Items; Description (Germany); 12 Dinner knives. 2. That the property described as 12 Salad forks. 2 Bookcases. follows: 12 Fruit knives. 6 Pictures. 12 Butter forks. 2 Golf bags. a. Those certain articles of silverware 2 Paintings. and household effects, including particu­ 1 Knife. I Fork. 1 Bundle Skiis. larly but not limited to those articles de­ 12 Large soup spoons. 2 Bundles bookshelves. scribed on Exhibit A, attached hereto 12 Small soup spoons. 1 Glass desk top. and by reference made a part hereof, II Teaspoons. 1 Top of desk (flat top). presently in the custody of Mrs. Be.rtha 18 Small coffee spoons. 2 Ends of desk (flat top). L. Kelly, 7921 West Drive, North Bay 6 Lemon pressers. 4 Pictures. Village, Miami Beach 41, Florida, subject, 1 Soup ladle. 2_ Chairs. however, to any and all lawful liens of 5 Small salt spoons. 7 Oriental rugs (used). said Mrs. Bertha L. Kelly against the 3 Sugar tongs. [F. R. Doc. 49-7376; Filed, Sept. 12, 1949, 1 Nutcracker. 8:51 a. m.] aforesaid articles of silverware and 1 Tea sieve, with holder. household effects, and 1 Bell. , b. Those certain articles of mixed 1 Sugar tong. personal property, including particularly 8 Salt shakers. [Vesting Order 13740] but not limited to those articles described 2 Salt bowls. George Higashida et al. on Exhibit B, attached hereto and by 1 Pepper and salt bowl. reference made a part hereof, presently 2 Porcelain ashtrays. In re: Debts owing to George Higa­ in the custody of the Gilbert Storage Co., 6 Small ashtrays. shida and others. D-39-970, D-39- Inc., 250 West 65th Street, New York 23, 2 Sets ashtrays, 6 each. 15261, D-39-17663. Tuesday, September IS, 1949 FEDERAL REGISTER 5617

Under the authority of the Trading Under the authority of the Trading [Vesting Order 13741 ] With the Enemy Act, as amended. Ex­ With the Enemy Act, as amended, Exec­ Margarete K ilgus ecutive Order 9193, as amended, and Ex­ utive Order 9193, as amended, and Exec­ ecutive Order 9788, and pursuant to law, utive Order 9788, and pursuant to law, In re : Bank acount owned by and debt after investigation, it is hereby found: after investigation, it is hereby found: owing to Margarete Kilgus, also known 1. That George Higashida, Kyutaro 1. That Minna Neumann, whose last as Margarete A. Kilgus. F-28-3187-E-1, Asakawa and S. Nekomoto, also known known address is Zeithainerst 1, 10 a ' E-2, D -l. as Shunichi Nekomoto, each of whose Dresden—No. 23, Germany, is a resident Under the authority of the Trading last known address is Japan, are resi­ of Germany and a national of a desig­ With the Enemy Act, as amended, Execu­ dents of Japan and nationals of a desig­ nated enemy country (Germany) ; tive Order 9193, as amended, and Execu­ nated enemy country (Japan); 2. That the property described as tive Order 9788, and pursuant to law, 2. That the property described as follows : after investigation, it is hereby found: follows: The sum of $332.99, presently a. That certain debt or other obliga­ 1. That Margarete Kilgus, also known in the possession of the Attorney Gen­ tion of the Lincoln National Bank, as Margarete A. Kilgus, whose last known eral of the United States in a Collection Fourth and Vine Streets, Cincinnati, address is London Saarpfolz-Horst, Wes- Account, Symbol 896-027, representing Ohio, arising out of a savings account, selstrasse, No. 27, Germany, is a resident amounts owed to the persons named in account number 17273, entitled Mrs. W. of Germany and a national of a desig­ subparagraph 1 hereof by Prank Nichols, M. Gray, maintained at the aforesaid nated enemy country (Germany) ; Limited, 119 Merchant Street, Honolulu bank, and any and all rights to demand, 2. That the property described as 4, T. H., arising out of collections by enforce and collect the same. follows : said Prank Nichols, Limited, of accounts b. Twenty (20) shares of $25.00 par a. That certain debt or other obliga­ payable to the aforesaid persons in the value common capital stock of The Cin­ tion owing to Margarete Kilgus, also amounts set forth below opposite the cinnati Street Railway Company, 809 known as Margarete A. Kilgus, by The names of said persons: Dixie Terminal Building, Cincinnati 2, Manufacturers Trust Company of New Names : Amounts Ohio, a corporation organized under the York, 1511 3d Avenuè, New York 28, New George Higashida______$30.77 laws of the State of Ohio, evidenced by York, arising out of a special interest ac­ Kyutaro Asakawa______11.95 a certificate numbered 110870, registered count, numbered 189247 Y, entitled Mar­ S. Nekomoto, also knows as in the name of Minna Neumann, and garete Kilgus, maintained with the Shunichi Nekomoto______290.27 presently in the custody of Mrs. Wallace aforesaid company and any and all rights together with all rights to demand and M. Gray, 1828 Dexter Avenue, Cincinnati to demand, enforce and collect the same, collect the same, 6, Ohio, together with all declared and and unpaid dividends thereon, and is property within the United States, b. That certain debt or other obliga­ c. One hundred (100) shares of North tion of Clinton Trust Company (in dis­ owned or controlled by, payable or de­ American Trust Shares 1956, of $1.00 par solution) , Trustees for holders of partici­ liverable to, held on behalf of or on value, evidenced by a certificate num­ pation certificates of Clinton Title and account of, or owing to, or which is bered DD32228, in bearer form, and evidence of ownership or control by, the Mortgage Guaranty Company, c/o Riker, presently in the custody of Mrs. Wallace Emery and Danzig, 744 Broad Street, aforesaid nationals of a designated M. Gray, 1828 Dexter Avenue, Cincinnati enemy country (Japan) ; Newark, New Jersey, in the amount of 6, Ohio, together with all declared and $1,800.00 as of December 31, 1945, rep­ and it is hereby determined : unpaid dividends thereon, resenting the proceeds allocable to a cer­ -3. That to the extent that the persons is property within the United States tificate issued by the aforesaid Clinton named in subparagraph 1 hereof are not owned or controlled by, payable or de­ Title and Mortgage Guaranty Company, within a designated enemy country, the liverable to, held on behalf of or on said certificate numbered 1-Series, M 756, national interest of the United States account of, or owing to, or which is evi­ registered in the name of Margarete requires that such persons be treated as dence of ownership or control by, Minna Kilgus, together with any and all accru­ nationals of a designated enemy country Neumann, the aforesaid national of a als to the aforesaid debt or other obliga­ (Japan). designated enemy, country (Germany) ; tion and any and all rights to demand, All determinations and all action re­ and it is hereby determined: enforce and collect the same, and any quired by law, including appropriate con­ and all rights in, to and under the afore­ sultation and certification, having been 3. That to the extent that the person said certificate, made and taken, and, it being deemed named in subparagraph 1 hereof is not necessary in the national interest, within a designated enemy country, the is property within the United States There is hereby vested in the Attorney national interest of the United States re­ owned or controlled by, payable or deliv­ General of the United States the prop­ quires that such person be treated as a erable to, held on behalf of or on ac­ erty described above, to be held, used, national of a designated enemy country count of, or owing to, or which is evi­ administered, liquidated, sold or other­ (Germany). dence of ownership or control by, Mar­ wise dealt with in the interest of and All determinations and all action re­ garete Kilgus, also known as Margarete for the benefit of the United States. quired by law, including appropriate A. Kilgus, the aforesaid national of a The terms “national” and “designated consultation and certification, having designated enemy country (Germany) ; enemy country” as used herein shall have been made and taken, and, it being and it is hereby determined : deemed necessary in the national in­ the meanings prescribed in section 10 3. That to the extent that the per­ of Executive Order 9193, as amended. terest, There is hereby vested in the Attorney son named in subparagraph 1 hereof Executed at Washington, D. C., on General of the United States the proper­ is not within a designated enemy coun­ August 26, 1949. ty described above, to be held, used, ad­ try, the national interest of the United ministered, liquidated, sold or otherwise States requires that such person be For the Attorney General. treated as a national of a designated dealt with in the interest of and for the enemy country (Germany). [seal] Harold I. Baynton, benefit of the United States. Deputy Director, The terms “national” and “designated All determinations and all action re­ Office of Alien Property. enemy country” as used herein shall have quired by law, including appropriate con­ sultation and certification, having been [F. R. Doc. 49-7377; Filed, Sept. 12, 1949? the meanings prescribed in section 10 of Executive Order 9193, as amended. made and taken, and, it being deemed 8:51 a. m.] necessary in the national interest, Executed at Washington, D. C., on August 26, 1949. There is hereby vested in the Attorney General of the United States the prop­ [Vesting Order 13744] For the Attorney General. erty described above, to be held, used, [seal] Harold I. B aynton, administered, liquidated, sold or other­ Minna Neumann Deputy Director, wise dealt with in the interest of and In re: Bank account and securities Office of Alien Property. for the benefit of the United States. owned by Minna Neumann. F-28-8174- [F. R. Doc. 49-7379; Filed, Sept. 12, 1949; The terms “national” and “designated E-l; D-l; A-l; C-l. 8:51 a. m.] enemy country” as used herein shall have

I 5618 NOTICES the meanings prescribed in section 10 of [Vesting Order 13752] utive Order 9788, and pursuant to law, Executive Order 9193, as amended. Mrs. R osa Edelman after investigation, it is hereby found: 1. That Yoshiharu Nomura, whose last Executed at Washington, D. C., on In re: Stock owned by Mrs. Rosa Edel­ known address is Japan, is a resident of August 26, 1949. man. F-28-30451-D-1. Japan and a national of a designated For the Attorney General. Under the authority of the Trading enemy country (Japan); With the Enemy Act, as amended, Execu­ 2. That the property described as fol­ [seal] Harold I. B aynton, tive Order 9193, as amended, and Execu­ lows: That certain debt or other obliga­ Deputy Director, tive Order 9788, and pursuant to law, Office of Alien Property. tion of The Yokohama Specie Bank, Ltd., after investigation, it is hereby found: Office, Los Angeles, Califor­ [P. R. Doc. 49-7378; Filed, Sept. 12, 1949; 1. That Mrs. Rosa Edelman, whose nia, and/or Superintendent of Banks of 8:51 a. m.] last known address is Wiederholdstr. the State of and Liquidator of 10B, Stuttgart-N., Germany, is a resi­ The Yokohama Specie Bank, Ltd., Los dent of Germany and a national of a Angeles Office, c/o State Banking De­ designated enemy country (Germany); partment, 111 Sutter Street, San Fran­ 2. That the property described as [Vesting Order 13745] cisco, California, arising out of a fixed follows: Eleven (11) shares of no par deposit account, Account Number 67824 K arl S cheible value common capital stock of Tampa entitled Kosuye Nomura, Trustee for Yo­ Electric Company, c/o Stone & Webster shiharu Nomura (a minor), maintained In re: Postal savings account owned Service Corporation, 49 Federal Street, at the aforesaid Los Angeles Office, and by Karl Scheible. F-28-30416-E-1. Boston 7, Massachusetts, a corporation any and all rights to demand, enforce Under the authority of the Trading organized under the laws of the State of and collect the same, With the Enemy Act, as amended, Execu­ Florida, evidenced by certificate num­ tive Order 9193, as amended, and Ex­ bered 22913, for ten (10) shares and is property within the United States ecutive Order 9788, and pursuant to law, certificate numbered 52893, for one (1) owned or controlled by, payable or deliv­ after investigation, it is hereby found: share, registered in the name of Mrs. erable to, held on behalf of or on account 1. That Karl Scheible, whose last Rosa Edelman, together with all de­ of, or owing to, or which is evidence of known address is Marktplatz 6, Wasser- clared and unpaid dividends thereon, ownership or control by Yoshiharu No­ alfingen, Wuerttemburg, Germany, is a mura, the aforesaid national of a desig­ resident of Germany, and a national of is property within the United States nated enemy country (Japan); a designated enemy country (Germany) ; owned or controlled by, payable or de­ and it is hereby determined: 2. That the property described as fol­ liverable to, held on behalf of or on ac­ 3. That to the extent that the person lows: That certain debt or other obliga­ count of, or owing to, or which is evidence named in subparagraph 1 hereof is not tion arising out of a postal savings ac­ of ownership or control by, the aforesaid within a designated enemy country, the count, Account Number 116098, main­ national of a designated enemy country national interest of the United States tained in the name of Karl Scheible, (Germany); requires that such person be treated as a With the United States Post Office at De­ and it is hereby determined: national of a designated enemy country troit, Michigan, and any and all rights 3. That to the extent that the person (Japan). to demand, enforce and collect the same, named in subparagraph 1 hereof is not All determinations and all action re­ quired by law, including appropriate is property within the United States within a designated enemy country, the national interest of the United States re­ consultation and certification, having owned or controlled by, payable or de­ been made and taken, and, it being liverable to, held on behalf of or on ac­ quires that such person be treated as a national of a designated enemy country deemed necessary in the national inter­ count of, or owing to, or which is evidence est, of ownership or control by, the afore­ (Germany). All determinations and all action re­ There is hereby vested in the Attorney said national of a designated enemy General of the United States the prop­ country (Germany) ; quired by law, including appropriate con­ sultation and certification, having been erty described above, to be held, used, ad­ and it is hereby determined: made and taken, and, it being deemed ministered, liquidated, sold or otherwise 3. That to the extent that the person necessary in the national interest, dealt with in the interest of and for the named in subparagraph 1 hereof is not There is hereby vested in the Attorney benefit of the United States. within a designated enemy country, the General of the United States the prop­ The terms “national” and “designated national interest of the United States erty described above, to be held, used, enemy country” as used herehvshall have requires that such person be treated as administered, liquidated, sold or other­ the meanings prescribed in section 10 of a national of a designated enemy country wise dealt with in the interest of and for Executive Order 9193, as amended. (Germany). the benefit of the United States. Executed at Washington, D. C., on All detèrminations and all action re­ The terms “national” and “designated August 29, 1949. quired by law, including appropriate con­ enemy country” as used herein shall have sultation and certification, having been the meanings prescribed in section 10 of For the Attorney General. made and taken, and, it being deemed Executive Order 9193, as amended. [seal] D avid L. B azelon, necessary in the national interest, Executed at Washington, D. C., on Assistant Attorney General, There is hereby vested in the Attorney August 29, 1949. Director, Office of Alien Property. General of the United States the property For the Attorney General. [F. R. Doc. 49-7382; Filed, Sept. 12, 1949; described above, to be held, used, admin­ 8:52 a. m.] istered, liquidated, sold or otherwise [seal] David L. B azelon, dealt with in the interest of and for the Assistant Attorney General, benefit of the United States. Director, Office of Alien Property. The terms “national” and “designated [Vesting Order 13761] enemy country” as used herein shall [F. R. Doc. 49-7381; Filed, Sept. 12, 1949; have the meanings prescribed in section 8:52 a. m.] Herbert R eichle 10 of Executive Order 9193, as amended. „ In re: Bank account and personal property owned by Herbert Reichle also Executed at Washington, D. C., on known as Herbert S. Reichle. D-28- August 26, 1949. [Vesting Order 13759] 6431-E-l. For the Attorney General. Y oshihartj N omura Under the authority of the Trading With the Enemy Act, as amended, Exec­ [seal] Harold I. B aÿnton, Deputy Director, In re: Debt owing to Yoshiharu No­ utive Order 9193, as amended, and Exec­ Office of Alien Property. mura, F-39-5572-E-1. utive Order 9788, and pursuant to Jaw, Under the authority of the Trading after investigation, it is hereby found: [F. R. Doc. 49-7380; Filed, Sept. 12, 1949; With the Enemy Act, as amended, Exec­ 1. That Herbert Reichle also known as 8:51 a. m.] utive Order 9193, as amended, and Exec­ Herbert S. Reichle, whose.last known ad- Tuesday, September 13, 1949 FEDERAL REGISTER 5619 dress Is Germany, is a resident of Ger­ 1. That Maria Mungersdorf, whose count, account number 410052, entitled many and a national of a designated last known address is Coin, Germany, is Annie Z. Schineis, maintained at the enemy country (Germany); a resident of Germany and a national of aforesaid bank, and any and all rights to 2. That the property described as a designated enemy country (Germany); demand, enforce and collect the same, follows: 2. That the property described as fol­ is property within the United States a. That certain debt or other obliga­ lows: That certain debt or other obliga­ owned or controlled by, payable or de­ tion owing to Herbert Reichle also known tion of United States Trust Company of liverable to, held on behalf of or on ac­ as Herbert S. Reichle, by Central Na­ Paterson, New Jersey, 126 Market Street, count of, or owing to, or which is evi­ tional Bank of Cleveland, 509 Euclid Paterson, New Jersey, arising out of a Avenue, Cleveland, Ohio, arising out of dence of ownership or control by, the Savings Account, account number 75910, aforesaid national of a designated enemy a Corporate Trust Department Account, entitled William A. Merz or Maria Mun­ country (Germany) ; account number C 2895, entitled Herbert gersdorf or to the survivor, maintained S. Reichle, maintained at the aforesaid and it is hereby determined: at the aforesaid bank, and any and all 3. That to the extent that the person bank, and any and all rights to demand, rights to demand, enforce and collect named in subparagraph 1 hereof is not enforce and collect the same, and the same, b. One (1) sealed envelope from Na­ within a designated enemy country, the tional City Bank of New York, Mexico is property within the United States national interest of the United States City Branch, addressed to Mr. Herbert owned or controlled by, payable or deliv­ requires that such person be treated as Reichle, M. D., c/o Central National Bank erable to, held on behalf of or on account a national of a designated enemy coun­ of Cleveland, postmarked July 23, 1941, of, or owing to, or which is evidence of try (Germany). ownership or control by, Maria Mungers­ All determinations and all action re­ presently in the custody of Central Na­ dorf, the aforesaid national of a desig­ quired by law, including appropriate con­ tional Bank of Cleveland, 509 Euclid nated enemy country (Germany); sultation and certification, having been Avenue, Cleveland, Ohio, and all rights *made and taken, and, it being deemed of Herbert Reichle also known as Herbert and it is hereby determined: necessary in the national interest, S. Reichle in and to the contents thereof, 3. That to the extent that the person There is hereby vested in the Attorney is property within the United States named in subparagraph 1 hereof is not General of the United States the prop­ owned or controlled by, payable or deliv­ within a designated enemy country, the erty described above, to be held, used, erable to, held on behalf of or on account national interest of the United States re­ administered, liquidated, sold or other­ of, or owing to, or which is evidence of quires that such person be treated as a national of a designated enemy country wise dealt with in the interest of and for ownership or control by, Herbert Reichle (Germany). the benefit of the United States. also known as Herbert S. Reichle, the All determinations and all action re­ The terms “national” and “designated aforesaid national of a designated enemy quired by law, including appropriate con­ enemy country” as used herein shall have country (Germany); sultation and certification, having been the meanings prescribed in section 10 of and it is hereby determined: made and taken, and, it being deemed Executive Order 9193, as amended. 3. That to the extent that the person necessary in the national interest, Executed at Washington, D. C., on named in subparagraph 1 hereof is not There is hereby vested in the Attorney August 29, 1949. within a designated enemy country, the General of the United States the property national interest of the United States described above, to be held, used, admin­ For the Attorney General. requires that such person be treated as istered, liquidated, sold or otherwise dealt [seal] David L. Bazelon, a national of a designated enemy country with in the interest of and for the benefit Assistant Attorney General, (Germany). of the United States. Director, Office of Alien Property. All determinations and all action re­ The terms “national” and “designated quired by law, including appropriate enemy country” as used herein shall have [F. R. Doc. 49-7340; Filed, Sept. 9, 1949; consultation and certification, having the meanings prescribed in section 10 of 8:50 a. m.] been made and taken, and, it being Executive Order 9193, as amended. deemed necessary in the national interest, Executed at Washington, D. C., on There is hereby vested in the Attorney August 29, 1949. - [Vesting Order 137651 General of the United States the prop­ For the Attorney General. erty described above, to be held, used, Unknown Persons administered, liquidated, sold or other­ * [seal] D avid L. Bazelon, In re: Debts owing to persons whose wise dealt with in the interest of and for Assistant Attorney General, names are unknown. D-29-98-C-1. the benefit of the United States. Director, Office of Alien Property. Under the authority of the Trading The terms “national’' and “designated [F. R. Doc. 49-7339; Filed, Sept. 9, 1949; With the Enemy Act, as amended, Ex­ enemy country” as used herein shall have 8:50 a. m.] ecutive Order 9193, as amended, and Ex­ the meanings prescribed in section 10 of ecutive Order 9788, and pursuant to law, Executive Order 9193, as amended. after investigation, it is hereby found : Executed at Washington, D. C., on 1. That United Fruit Company holds August 29, 1949. [Vesting Order 13762] rebates aggregating $7,589.09, resulting from through freight charges collected For the Attorney General. Annie Z. S chineis by said United Fruit Company on ship­ [seal] D avid L. Bazelon, In re: Bank account owned by Annie ments moving from * Germany and Assistant Attorney General, Z. Schineis. F-28-30436-E-1. shipped by various German firms. Director, Office of Alien Property. Under the authority of the Trading 2. That the owners of the property [F. R. Doc. 49-7383; Filed, Sept. 12, 1949; With the Enemy Act, as amended, Execu­ referred to in subparagraph 1, hereof 8:52 a. m.] tive Order 9193, as amended, and Execu­ who, if individuals, there is reasonable tive Order 9788, and pursuant to law, cause to believe are residents of Ger­ after investigation, it is hereby found: many, and who, if partnerships, corpora­ 1. That Annie Z. Schineis, whose last tions, associations or other business [Vesting Order 13758] known address is 191 Duerrwangen bei organizations, there is reasonable cause Dinkelsbuehl, Germany, is a resident of to believe are organized under the laws Maria Mungersdorf Germany and a national of a designated of Germany, and which have or, since In re: Bank account owned by Maria enemy country (Germany); the effective date of Executive Order Mungersdorf. F-28-7879-E-1. 2. That the property described as 8389, as amended, have had their princi­ Under the authority of the Trading follows: That certain debt or other obli­ pal places of business in Germany and With the Enemy Act, as amended, Exec­ gation owing to Annie Z. Schineis, by are nationals of a designated enemy utive Order 9193, as amended, and Exec­ The Franklin Savings Bank in the City country (Germany) ; utive Order 9788, and pursuant to law, of New York, 656 8th Avenue, New York, 3. That the property described as fol­ after investigation, it is hereby found: New York, arising out of a Savings Ac- lows: Those certain debts or other obli- 5620 NOTICES gâtions of United Fruit Company, 1 forth with respect to St. Louis-San Fran­ [Return Order 417] Federal Street, Boston, Massachusetts, cisco Railway Company 4 Second Charles Louis K lingelhofer in the aggregate amount of $7,589.09, Mtge. Income A Bonds of $500 and $100 as of December 31, 1945, constituting face value respectively and substituting Having considered the claim set forth rebates resulting from through freight therefor the numbers RD463 and RC707 below and having issued a determination charges collected by said United Fruit respectively. allowing the claim, which is incorporated Company ' on shipments moving from c. By deleting from subparagraph 3 (g) by reference herein and filed herewith, Germany and shipped by various German of said Vesting Order 13319, the certifi­ It is ordered, That the claimed prop­ firms, together with any and all ac­ cate number TVD14321 set forth with re­ erty, described below and in the determi­ cruals to the aforesaid debts or other spect to St. Louis-San Francisco Railway nation, be returned, subject to any in­ obligations and any and all rights to Company Voting Trust Certificate for crease or decrease resulting from the demand, enforce and collect the same, nine (9) shares of $100.00 par value 5% administration thereof prior to return, preferred A stock of the aforesaid com­ and after adequate provision for taxes is property within the United States and conservatory expenses: owned or controlled by, payable or de­ pany and substituting therefor the num­ bers TV014321, and Claimant, Claim No., Notice of Intention To liverable to, held on behalf of or on Return Published, and Property account of, or owing to, or which is evi­ d. By deleting from subparagraph 3 (i) dence of ownership or control by, the of said Vesting Order 13319 the certifi­ Charles Louis Klingelhofer, Hyattsville, persons referred to in subparagraph 2 cate number TVD13803 set forth with Md.; Claim No. 41068, July 15, 1949 (14 F. R. respect to St. Louis-San Francisco Rail­ 3972); one-hundred and twenty (120) shares hereof, the aforesaid nationals of a of the no par value common stock of The designated enemy country (Germany) ; way Company Voting Trust Certificate for twenty (20) shares of no par value Commonwealth and Southern Corporation, a and it is hereby determined : Delaware corporation, evidenced by stock common stock of the aforesaid company certificate No. 430927 representing 100 shares 4. That to the extent that the persons and substituting therefor the number and stock certificate No. 548205 representing referred to in subparagraph 2 hereof ar# TVO13803. 20 shares, both certificates registered in the not within a designated enemy country, All other provisions of said Vesting name of the Attorney General of the United the national interest of the United States Order 13319 and all actions taken by or States, Account No. 28-31482, presently in requires that such persons be treated as on behalf of the Attorney General of the the custody of the Safekeeping Department nationals of a designated enemy country of the Federal Reserve Bank of New York. (Germany). United States in reliance thereon, pur­ suant thereto and under the authority Appropriate documents and papers ef­ All determinations and all action re­ fectuating this order will issue. quired by law, including appropriate thereof are hereby ratified and confirmed. consultation and certification, having Executed at Washington, D. C., on Executed at Washington, D. C., on been made and taken, and, it being August 25, 1949. September 8, 1949. deemed necessary in the national For the Attorney General. interest, For the Attorney General. There is hereby vested in the Attorney [ seal ] David L. Bazelon, [seal] David L. Bazelon, General of the United States the prop­ Assistant Attorney General Assistant Attorney General, erty described above, to be held, used, Director, Office of Alien Property. Director, Office of Alien Property. administered, liquidated, sold or other­ [F. R. Doc. 49-7386; Filed, Sept. 12, 1949; wise dealt with in the interest of and [F. R. Doc. 49-7384; Filed, Sept. 12, 1949; 8:52 a. m.] for the benefit of the United States. 8:52 a. m.] The terms “national” and “designated enemy country” as used herein shall have the meanings prescribed in section D r. Aldo Castellani 10 of Executive Order 9193, as amended. [Vesting Order 13353, Amdt.] NOTICE OF INTENTION TO RETURN VESTED PROPERTY Executed at Washington, D. C., on Margaretha B oyle August 29, 1949. Pursuant to section 32 (f) of the Trad­ In re: Stock and certificates of indebt­ For the Attorney General. ing With the Enemy Act, as amended, edness owned by and debts owing to notice is hereby given of intention to re­ [seal] D avid L. Bazelon, Margaretha Boyle. turn, on or after 30 days from the date Assistant Attorney General, Vesting Order 13353, dated June 1, of the publication hereof, the following Director, Office of Alien Property. 1949, is hereby amended as follows and property, subject to any increase or de­ [F. R. Doc. 49-7343; Filed, Sept. 9, 1949; not otherwise: crease resulting from the administration 8:51 a. m.] By deleting therefrom subparagraph thereof prior to return, and after ade­ 2 (c) in its entirety, and substituting quate provision for taxes and conserva­ therefor the following: tory expenses: Claimant, Claim No., Property and Location [Vesting Order 13319, Amdt.] One (1) United States Treasury 1 x/\ % Certificate of Indebtedness, Series E, due Dr. Aldo Castellani, New Orleans, La.; D resdner Bank and Allgemeine Waren- June 1,1950, of $1,000,00 face value, bear­ 30961; $19,401.83 in the Treasury of the F inanziertjngs Gesellschaft m. b. H. United States. ing the number 7078, together with any The following securities in the possession In re: Bank accounts owned by Dresd­ and all rights thereunder and thereto. of the Office of Alien Property, 120 Broadway, ner Bank and bank accounts, stock and New York, New York: 22 $100.0.00 face-value All other provisions of said Vesting Laundry & Dry Cleaning Service, Inc. (a bonds owned by Allgemeine Waren- Order 13353 and all actions taken by or Maine corporation) First Mortgage 7% Serial Finanzierungs Gesellschaft m. b. H. on behalf of the Attorney General of the Gold Bonds, with April 1, 1933, and subse­ Vesting Order 13319, dated May 31, United States in reliance thereon, pur­ quent coupons attached. Bonds stamped 1949, is hereby amended as follows and suant thereto and under the authority "the sum of $928.95 has been paid on account not otherwise: of each bond.” April 1, 1933, coupons marked thereof are. hereby ratified and con­ "Paid.” a. By deleting from subparagraph 3 (c) firmed. of said Vesting Order 13319, the certificate Executed at Washington, D. C., on number TD8037 set forth with respect to Executed at Washington, D. C., on September 8, 1949. August 26, 1949. St. Louis-San Francisco Railway Com­ For the Attorney General. pany, 4% 1st Mtge. A, Temporary Bearer For the Attorney General. Certificate, of $500.00 face value and sub­ [seal] David L. B azelon, [seal] Harold I. B aynton, Assistant Attorney General, stituting therefor the number D542. Deputy Director, b. By deleting from subparagraph 3 (e) Director, Office of Alien Property. of said Vesting Order 13319, the cer­ Office of Alien Property. [F. R. Doc. 49-7387; Filed,' Sept. 12, 1949; tificate numbers TRD4455, TRC6304 set [F. R. Doc. 49-7385; Filed, Sept. 12, 1949; 8:53 a. m.] 8:52 a. m.]