do not have to be made under that act with respect to service performed in the employ of certain public international organizations. The enactment of H.R. 9526 is necessary both to correct an apparent oversight in the basic legislation and to erase a conflict which exists between the District of Columbia Unemployment Compensation Act and the International Organizations Immunities Act, Public Law 291-79th Cong., 59 Stat. 669.

Since the District of Columbia Unemployment Compensation Act goes to considerable extent in enumerating the employers to be exempted from the employer contribution provision of the act, it can only be assumed that public international organizations, so designated by Executive order to the President, were overlooked when the list of exempted employers was compiled. To place designated public international organizations in the same category as the employers obviously intended to be affected by the Unemployment Compensation Act is not consistent with the unique status of such organizations. Membership in public international organizations is at the governmental level and the funds which the Unemployment Compensation Act currently affects are moneys contributed by sovereign governments. Although the funds held by public international organizations are commingled, the fact remains that the source of the funds is a group of sovereign nations who, individually, are not subject to the provisions of the District of Columbia Unemployment Compensation Act. Public international organizations and the officers thereof are presently accorded other exemptions, privileges, and immunities comparable to those enjoyed by their member governments, such as immunity from suit.

As matters now stand public international organizations are subject to the Unemployment Compensation Act. Yet, under the International Organizations Immunities Act a public international organization's archives (including its payroll and other internal records) are inviolable.

We are, therefore, faced with a situation which apparently was not intended by the authors of the Unemployment Compensation Act and which is inconsistent with another act of the Congress, the International Organizations Immunities Act.

It is for the foregoing reasons that enactment of H.R. 9526 is recommended.

Sincerely yours,

WILLIAM B. MACOMBER, Jr., Assistant Secretary for Congressional Relations.

GOVERNMENT OF THE DISTRICT OF COLUMBIA,

Hon. JOSEPH D. TYDINGS,

EXECUTIVE OFFICE, Washington, D.C., July 30, 1969.

Chairman, Committee on the District of Columbia,
U.S. Senate, Washington, D.C.

DEAR SENATOR TYDINGS: The Government of the District of Columbia has for report H.R. 9526, 91st Cong., a bill "To amend the District of Columbia Unemployment Compensation Act to provide that employer contributions do not have to be made under that act

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with respect to service performed in the employ of certain public international organizations", passed by the House of Representatives on April 28, 1969.

The purpose of the bill is to exempt from coverage of the District of Columbia Unemployment Compensation Act services performed after April 1, 1962, in the employ of public international organizations designated by Executive order of the President as being entitled to the benefits of the International Organizations Immunities Act. In order to achieve this result, the bill amends section 1(b)(5) of the District of Columbia Unemployment Compensation Act, as amended (49 Stat. 946; D.C. Code, sec. 46-301(b) (5)), by adding at the end thereof a new clause (T) the effect of which would be to relieve the designated public international organizations from the requirement of registering with the District of Columbia Unemployment Compensation Board and from paying the unemployment compensation tax required by such act.

The District government offers no objection to the enactment of the proposed legislation.

Sincerely yours,

THOMAS W. FLETCHER,

Assistant to the Commissioner. (For Commissioner Walter E. Washington).

CHANGES IN EXISTING LAW

In compliance with subsection (4) of rule XXIX of the Standing Rules of the Senate, changes in existing law in the bill, as reported, are shown as follows existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, existing law in which no change proposed is shown in roman):

Section 1(b) (5) of the District of Columbia Unemployment Compensation Act (D.C. Code sec. 46-301(b)(5))

(5) The term "employment" shall not include

(A) domestic service in a private home, local college club, or local chapter of a college fraternity or sorority;

(B) casual labor not in the course of the employer's trade or business;

(C) service performed by an individual in the employ of his son, daughter, or spouse, and service performed by a child under the age of twenty-one in the employ of his father or mother;

(D) service performed in the employ of the United States Government or of an instrumentality of the United States which is (a) wholly owned by the United States, or (b) exempt from the tax imposed by section 1600 of the Internal Revenue Code of the United States or by virtue of any other provision of law: Provided, That, in the event that the Congress of the United States, or before the date of the enactment of the Act, has permitted or in the event that the Congress of the United States shall permit States to require any instrumentalities of the United

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States to make contributions to an unemployment fund under a State unemployment compensation law, then, to the extent so permitted by Congress, and from and after the date as of which such permission becomes effective, or January 1, 1940, whichever is the later, all of the provisions of this Act shall be applicable to such instrumentalities in the same manner, to the same extent and on the same terms as to all other employees, individuals, and services: Provided further, That if the District of Columbia should not be certified by the Social Security Board under section 1603 of the Internal Revenue Code for any year, the payments required of any instrumentality of the United States or its employees with respect to such year shall be refunded by the District Unemployment Compensation Board in accordance with the provisions of section 4(i) of this Act: Provided, however, That any employer required to make retroactive payment of any contributions shall be given thirty days from October 17, 1940, within which to make such retroactive payments without incurring any penalty for the late payment of such contributions and all interest charges shall commence one month from October 17, 1940:

(E) service performed in the employ of the District, or of any other State, or of any political subdivision thereof, or any instrumentality of any one or more of the foregoing which is wholly owned by the District or by one or more States or political subdivisions; and any service performed in the employ of any instrumentality of the District or of one or more States or political subdivisions to the extent that the instrumentality is, with respect to such service, exempt under the Constitution of the United States from the tax imposed by section 1600 of the Federal Internal Revenue Code;

(F) service performed in the employ of a Senator, Representative, Delegate, or Resident Commissioner, insofar as such service directly assists him in carrying out his legislative duties;

(G) service performed in the employ of a corporation, community chest, fund, or foundation, organized and operated exclusively for religious or charitable purposes, or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual;

(H) service with respect to which unemployment compensation is payable under any other unemployment compensation system established by an Act of Congress;

(I) (1) service performed in any calendar quarter in the employ of any organization exempt from income tax under section. 101 of the Internal Revenue Code of the United States, if—

(a) the remuneration for such service does not exceed $45; or

(b) such service is in connection with the collection of dues or premiums for a fraternal beneficiary society, order, or association, and is performed away from the home office, or is ritualistic service in connection with any such society, order, or association; or

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(c) such service is performed by a student who is enrolled and is regularly attending classes at a school, college, or university;

(2) service performed in the employ of an agricultural or horticultural organization exempt from income tax under section 101(1) of the Internal Revenue Code of the United States; (3) service performed in the employ of a voluntary employees' beneficiary association providing for the payment of life, sick, accident, or other benefits to the members of such association or their dependents, if (i) no part of its net earnings inures (other than through such payments) to the benefit of any private shareholder or individual, and (ii) 85 per centum or more of the income consists of amounts collected from members for the sole purpose of making such payments and meeting expenses;

(4) service performed in the employ of a voluntary employees' beneficiary association providing for the payment of life, sick, accident, or other benefits to the members of such association or their dependents or their designated beneficiaries, if (i) admission to membership in such association is limited to individuals who are officers or employees of the United States Government, and (ii) no part of the net earnings of such association inures (other than through such payments) to the benefit of any private shareholder or individual;

(5) service performed in any calendar quarter in the employ of a school, college, or university, not exempt from income tax under section 101 of the Internal Revenue Code of the United States if such service is performed by a student who is enrolled and is regularly attending classes at such school college or university and the remuneration for such service does not exceed $45 (exclusive of room board and tuition);

(J) service performed in the employ of a foreign government (including service as a consular or other officer or employee or a nondiplomatic representative);

(K) service performed in the employ of an instrumentality wholly owned by a foreign government

(1) if the service is of a character similar to that performed in foreign countries by employees of the United States Government or of an instrumentality thereof; and

(2) if the Secretary of State shall certify to the Secretary of the Treasury that the foreign government with respect to whose instrumentality exemption is claimed grants an equivalent exemption with respect to similar service performed in the foreign country by employees of the United States Government of instrumentalities thereof;

(L) service performed as a student nurse in the employ of a hospital or nurses' training school by an individual who is enrolled and is regularly attending classes in a nurses' training school chartered or approved pursuant to State law; and service performed as an interne in the employ of a hospital by an individual who has completed a four years' course in a mdedical school chartered or approved pursuant to State law;

(M) service performed by an individual for a person as an insurance agent or as an insurance solicitor, if all such service

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performed by such individual for such person is performed for remuneration solely by way of commission;

(N) service performed by an individual under the age of eighteen in the delivery or distribution of newspapers or shopping news, not including delivery or distribution to any point for subsequent delivery or distribution;

(O) service covered by an arrangement between the Board and the agency charged with the administration of any other State or Federal unemployment compensation law pursuant to which all services performed by an individual for an employer during the period covered by such employer's duly approved election are deemed to be performed entirely within such agency's State;

(P) service performed by an individual for a person as a real-estate salesman, real-estate solicitor, or real-estate agent, if all of such service performed by such individual for such person is performed for remuneration solely by way of commission [.];

(Q) service performed on or in connection with a vessel not an American vessel by an individual if he performed service on and in connection with such vessel when outside the United States;

(R) service performed by an individual in (or as an officer or member of the crew of a vessel while it is engaged in) the catching, taking, harvesting, cultivating, or farming of any kind of fish, shellfish, crustacea, sponges, seaweeds, or other aquatic forms of animal and vegetable life (including service performed by any such individual as an ordinary incident to any such activity), except (A) service performed in connection with the catching or taking of salmon or halibut, for commercial purposes, and (B) service performed on or in connection with a vessel of more than ten net tons (determined in the manner provided for determining the register tonnage of merchant vessels under the laws of the United States) [.];

(S) service performed in the employ of a Senator, Representative, Delegate, Resident Commissioner or any organization composed solely of a group of the foregoing, insofar as such service is in connection with political matters;

(T) service performed after April 1, 1962, in the employ of a public international organization designated by the President as entitled to enjoy the privileges, exemptions, and immunities provided under the International Organizations Immunities Act (22 U.S.C. 288-288f-1).

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