National Association of Township Officials, Pennsylvania State Association of Township Supervisors, statement submitted by Ormsby, Ross R., president, The Rubber Manufacturers Association, Proctor, Carlton S., chairman, committee on national highway pro- gram, American Society of Civil Engineers, statement_-- Ray, Philip A., General Counsel, Department of Commerce, letter, April 29, 1955, to Hon. Charles A. Buckley, with memorandum. Renwick, Bruce, vice president and general counsel, Southern Cali- Rich, Hon. Carl W., mayor of Cincinnati, Ohio, letter, June 29, 1955, Robertson, J. N., president, American Road Builders' Association: Supplementary data, Task Force Findings.. Resolution adopted April 25, 1955- - Sampton, Clifford L., vice president, Northwestern Bell Telephone Simms, Hon. John F. Governor of New Mexico, submitted statement_ Sisk, Hon. B. F., a Representative in Congress from the State of California, letter, May 20, 1955, to Hon. Charles A. Buckley, with enclosed telegrams from A. C. Knapp, president, Sanger Telephone Co., and Richard D. Crowe, of Dos Palos Telephone Co.......... Sproule, F. R., of Northville, Mich., submitted statement_ Stinchcomb, William A., chairman, American Automobile Association on highway committee, letter, May 18, 1955, to Hon. George H. Fal- The committee met, pursuant to call, at 10:30 a. m., in room 1304, New House Office Building, Hon. George H. Fallon presiding. Mr. FALLON. Gentlemen, the committee meets this morning to hold hearings on bills introduced by Mr. Buckley, Mr. Dondero, Mr. Demp- sey, and Mr. George H. R. 4260, H. R. 4261, H. R. 4364, and H. R. 518-to create a Federal Highway Corporation for financing the construction of the national system of interstate highways within the next 10 years and to continue for the same period the regular Federal- At this point, without objection, a copy of the bill H. R. 4260 will A BILL To create a Federal highway corporation for financing the construction of the National System of Interstate Highways; to amend and supplement the Federal-Aid Road Act approved July 11, 1916 (39 Stat. 355), as amended and supplemented; and Be it enacted by the Senate and House of Representatives of the United States SEC. 2. It is hereby declared to be in the national interest to foster and acceler- ate the develoment of a modern, adequate, safe, and efficient system of highways deemed essential for the expression of the economy and the changing concepts of the military and civil defense of the United States. It is further declared to be desirable that the development of such system of highways be continued through the cooperation and joint efforts of the Federal Government, the States, and local subdivisions thereof. It is hereby found that those essential highways are in fact inadequate to meet the needs of interstate commerce and the national and civil defense, and that the most important portion of such highways are, or should be, located on the National System of Interstate Highways. Accordingly, it is the objective of this Act to complete the construction of the National System of Interstate Highways within the next ten years up to such standards as will produce safe highways adequate to handle traffic needs for at least the next twenty years. This objective will be reached only by means of a program which will presently assure the financing of the system as a whole, and provide for prompt acquisition of necessary rights-of-way. It is hereby declared to be the policy of Congress to continue or to impose such taxes as may be neces SEC. 3. This Act is divided into titles and sections according to the following Sec. 201. Cancellation of authorizations. Sec. 204. Expenditure authorization. Sec. 205. Distribution by States. Sec. 206. Scheduling of construction and participation by States. Sec. 301. Definitions. Sec. 302. Without compensation employees. Sec. 303. Amendment to Corporation Control Act. Sec. 304. Construction of this Act. Sec. 305. Effect on present law. TITLE I-FEDERAL HIGHWAY CORPORATION CREATION OF CORPORATION SEC. 101. There is hereby created, subject to the direction and supervision of MANAGEMENT OF CORPORATION SEC. 102. (a) The management of the Corporation shall be vested in a Board (b) The Chairman of the Board shall receive compensation at the rate of $17,500 per annum. As Chairman, he shall preside at meetings of the Board and be the Corporation's chief representative. He shall be responsible for general (c) The public members of the Board (other than the Chairman) shall receive (d) In addition to managing the Corporation, the Board is authorized to re- solve divergencies of views concerning the interpretation or application of the policies under this Act which it considers will have significant effect upon the program, excluding (1) divergencies between two or more Federal agencies. Within this limitation, the Board shall have the right to determine the matters which it shall consider and act upon, under such rules and regulations as it may DUTY OF CORPORATION SEC. 103. It shall be the duty of the Corporation (a) to receive and borrow funds, (b) to provide and make available to the Secretary such sums as are necessary to permit him to make the payments or advances to the States of the Federal share of the cost of construction of projects on the interstate system, and such other costs or expenses as are permitted or required to be paid or advanced by him in connection with the interstate system under the terms of this Act, and (c) to perform such other duties as may be required in the performance of its functions and the exercise of its powers under this Act. CORPORATE POWERS SEC. 104. For the purpose of carrying out its functions under this Act, the Corporation (1) shall have succession in its corporate name; (2) may adopt and use a corporate seal, which shall be judicially noticed; (3) may sue and be sued in its corporate name; (4) may adopt, amend, and repeal bylaws, rules, and regulations governing the manner in which its functions may be carried out and the powers vested in it may be exercised; (5) may make and carry out such contracts, agreements, or other transactions as it may deem necessary or advisable in the conduct of its business; (6) may incur indebtedness as provided in section 105, and incur current obligations incidental to performing its functions, subject to provisions of law applicable to Government corporations; (7) may appoint such officers, agents, attorneys, and employees as it deems necessary for the conduct of its affairs, define their authority and duties, delegate to them such of the powers vested in the Corporation as the Board may determine, require bonds of such of them as the Board may designate, and fix the penalties and pay the premiums on such bonds; (8) may utilize the available services and facilities of other agencies as provided in section 106; (9) may use the United States mails in the same manner as its executive departments; and (10) may take such actions and exercise such other powers as may be necessary, incidental or appropriate to carry out the function of the Corporation, and to further the objectives of this Act. CORPORATE FINANCING SEC. 105. (a) The Corporation is authorized to issue, upon the approval of the Secretary of the Treasury, obligations in an amount not to exceed $21,000,000,000. Obligations issued under this subsection shall have such maturities, not to exceed thirty years, and shall bear such rate or rates of interest, as may be determined by the Corporation with the approval of the Secretary of the Treasury, and they shall be redeemable at the option of the Corporation before maturity in such manner as may be stipulated in the obligations. The aggregate amount of obligations under this subsection outstanding at any one time shall not exceed the maximum amount of obligations, as determined by the Secretary of the Treasury as of July 1 of each year, on which the annual principal and interest payments required over the life of the obligations can be made from prospective appropriations under subsection (b) and other revenues of the Corporation, but obligations lawfully issued hereunder will not be affected by determinations subsequent to date of issue. The Corporation shall insert appropriate language in all of its obligations issued under this subsection clearly indicating that the obligations, together with the interest thereon, are not guaranteed by the United States and do not constitute a debt or obligation of the United States or of any agency or instrumentality thereof other than the Corporation. The Corporation is authorized to purchase in the open market for retirement, at any time and at any price, any outstanding obligations issued under this subsection. (b) There are hereby authorized to be appropriated and there shall be paid by the Secretary of the Treasury to the Corporation for the fiscal year 1957, and for each fiscal year thereafter in which there are outstanding unmatured obligations of the Corporation, out of any moneys in the Treasury not otherwise appropriated, amounts equal to the revenue in excess of the $622,500,000 col |