This is similar to several other bills included in this list, one on which we have filed a report. It is H.R. 1905.

(H.R. 1905 follows:)

[H.R. 1905, 86th Cong., 1st sess.]

A BILL To amend the Federal Employees' Compensation Act to provide that an employee who has received compensation for total disability continuously for twenty years shall thereafter be paid com. pensation for total disability for the remainder of his life

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 3 of the Federal Employees' Compensation Act, as amended (5 U.S.C. 753), is amended by adding at the end thereof the following new subsection:

"(c) A disabled employee who has been paid compensation for his total disability continuously for a period of twenty years pursuant to this Act shall for the purposes of this Act be deemed to be totally disabled thereafter for the remainder of his life except on a showing that payment of such compensation pursuant to this Act during any part of such twenty-year period was induced by fraud."

Mr. MCCAULEY. The bill as drawn would, to your way of thinking, not be practical of administration and would not conform with the principles of the act which bases compensation on loss in earning power. As a practical matter, any case that has been on the rolls for 20 years is very unlikely to have compensation readjusted.

In our report on H.R. 1905

Mr. WIER. Just a minute, right there. Where you have a similarity and you have some others under the so-called non-civil-serviceMr. MCCAULEY. Yes, sir.

Mr. WIER. Maybe you will take H.R. 1905 out and consider it with H.R. 92. You say they were almost identical?

Mr. MCCAULEY. They are not necessarily identical but they are very similar in purpose, and the comment on one would, I think, be equally applicable to the other.

Mr. WIER. That is what I thought.

period

Mr. MCCAULEY. Yes, sir. In our report on H.R. 1905 we noted that the proposal is unrealistic as a means for measuring earning capacity. In other words, we average the compensation over a of 20 years. Included in that 20-year period may be periods of total disability. There may be periods of partial disability. And compensation is intended to replace a loss in wages, so that the injection of the rate for total disability into a period of partial disability to our way of thinking is unrealistic. We should compensate the man on what he is losing by reason of his injury. For that reason we were not favorably disposed toward H.R. 92 or H.R. 1905.

As I say, as a practical matter, cases that have been paid steadily for a period of 20 years are very unlikely to have any change in the compensation award unless there would be evidence of fraud or some improper reporting, error in calculation, or something like that.

Mr. WIER. If you will do the same thing, Mr. McCauley, on any of these other bills that you and your counsel have found to be quite similar, that will save us repetition on that bill later on.

Mr. MCCAULEY. Yes, sir; I will.

Mr. WIER. That disposes of two bills here that you put in about the same category.

Mr. MCCAULEY. I think there are several other bills of the same category.

Mr. WIER. Yes, sir.

Now we go to H.R. 433.

(H.R. 433 follows:)

[H.R. 433, 86th Cong., 1st sess.]

A BILL To extend the benefits of the Federal Employees' Compensation Act to certain volunteer firemen injured while performing duty as firemen on real property under the exclusive jurisdiction of the United States, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the provisions of the Federal Employees' Compensation Act, as amended, shall apply in the case of any individual who(1) is a member of a volunteer fire department;

(2) while in the performance of duty as a volunteer fireman responds to a call for assistance on real property under the exclusive jurisdiction of the United States and sustains a personal injury, whether or not resulting in death, while rendering such assistance; and

(3) either (A) is not entitled, or whose heirs or beneficiaries are not entitled, by reason of such injury or death, to any disability or death benefits provided for by the law of any State or political subdivision thereof, or (B) is entitled, or whose heirs or beneficiaries are entitled by reason of such injury or death, to any disability or death benefits provided by the law of any State or political subdivision thereof in an amount which is less than the amount of corresponding disability or death benefits provided by the Federal Employees' Compensation Act, as amended.

SEC. 2. (a) For the purpose of determining the monthly compensation which any individual may be entitled to receive by reason of the enactment of this Act, the monthly pay of each member of a volunteer fire department coming within the purview of the first section of this Act shall be considered to be at the rate of $200 per month at the time of injury.

(b) The compensation which any individual may be entitled to receive, by reason of the enactment of this Act, under the Federal Employees' Compensation Act, as amended, shall be reduced by an amount which is equal to the difference between such compensation and the corresponding compensation which any such individual may be entitled to receive under the law of any State or political subdivision thereof.

SEC. 3. As used in this Act or in section 1346 (e) of title 28 of the United States Code the terms

(1) "Injury" has the same meaning as when used in the Federal Employees' Compensation Act, as amended;

(2) "Rendering assistance" includes extinguishing fires, saving property, and saving lives, on real property under the exclusive jurisdiction of the United States, and traveling to and from such real property for such purposes;

(3) "Volunteer fire department" includes an incorporated or unincorporated volunteer fire department, fire company, or organization of firemen; and

(4) "Federal agency" includes the executive departments and independent establishments of the United States, and corporations primarily acting as instrumentalities or agencies of the United States but does not include any contractor with the United States.

SEC. 4. The United States shall be liable, subject to the provisions of this Act, for all loss of or damages to property owned by any volunteer fire department, city, village, or fire district, which occurs while a volunteer fire department is using such property in rendering assistance on real property under the exclusive jurisdiction of the United States and which is not the result of willful misconduct or gross negligence of a member of the volunteer fire department which owns or is using, or of an official or employee of the city, village, or fire district which owns, such property so damaged or lost, but the United States shall not be liable for interest prior to judgment or for punitive damages.

SEC. 5. (a) The head of each Federal agency, or his designee for the purpose, acting on behalf of the United States, may consider, ascertain, adjust, determine, and settle any claim for money damages against the United States accruing on or after the date of enactment of this Act, for loss of or damages to property owned by any volunteer fire department, city, village, or fire district, which occurs while a volunteer fire department is using such property in rendering assistance pursuant to a call for assistance on real property under the exclusive jurisdiction of the United States and which is not the result of the willful misconduct or gross negligence of a member of the volunteer fire department which owns or is using, or of an official or employee of the city, village, or fire district which owns, such property so damaged or lost.

(b) Any award made pursuant to this section, and any award, compromise, or settlement made by the Attorney General pursuant to section 7 of this Act, shall be paid by the head of the Federal agency concerned out of such agency's appropriations therfor, which appropriations are hereby authorized.

(c) The acceptance by the claimant of any such award, compromise, or settlement shall be final and conclusive on the claimant, and shall constitute a complete release of any claim against the United States by reason of such subject matter. SEC. 6. (a) An action shall not be instituted under section 1346(e) of title 28 of the United States Code upon a claim against the United States which has been presented to a Federal agency pursuant to section 5 of this Act unless such Federal agency has made final disposition of the claim.

(b) The claimant, however, may, upon fifteen days' written notice, withdraw such claim from consideration of the Federal agency and commence action thereon under section 1346(e) of title 2 of the United States Code. Action under such section shall not be instituted for any sum in excess of the amount of the claim presented to the Federal agency, except where the increased amount is based upon newly discovered evidence not reasonably discoverable at the time of presenting the claim to the Federal agency, or upon allegation and proof of intervening facts, relating to the amount of the claim.

(c) Disposition of any claim by the Attorney General or other head of a Federal agency shall not be competent evidence of liability or amount of damages.

SEC. 7. The Attorney General, with the approval of the court, may arbitrate, compromise, or settle any claim cognizable under section 1346(e) of title 28 of the United States Code, after the commencement of an action thereon.

SEC. 8. Section 1346 of title 28 of the United States Code is hereby amended by adding at the end thereof the following new subsection:

"(e) Subject to the Act entitled 'An Act to extend the benefits of the Federal Employees' Compensation Act to certain volunteer firemen, and their dependents, injured while performing duty as firemen on real property under exclusive jurisdiction of the United States, and for other purposes', the district courts, together with the District Court of the District of the Canal Zone, and the District Court of the Virgin Islands, shall have exclusive jurisdiction of civil actions on claims against the United States, for money damages, accruing on or after the date of enactment of this subsection, for loss of or damages to property owned by any volunteer fire department, city, village, or fire district, which occurs while a volunteer fire department is using such property in rendering assistance pursuant to a call for assistance on real property under the exclusive jurisdiction of the United States and which is not the result of the willful misconduct or gross negligence of a member of the volunteer fire department which owns or is using, or of an official or employee of the city, village, or fire district which owns, such property so damaged or lost."

Mr. MCCAULEY. The next bill, H.R. 433, proposes to extend the Federal Employees' Compensation Act to volunteer firemen who may suffer an injury while responding to a call for assistance on real property under exclusive jurisdiction of the United States.

The bill proposes to establish a wage base of $200 per month for the purpose of computing the compensation award in such cases. It also provides that where an individual may come within the purview of this proposal and is also entitled to benefits under a State workmen's compensation law, he shall receive the difference between the compensation payable under this proposal and that which he would receive under State law or other similar plan.

We have not been asked to consider this specific proposal. We have not been asked to file a report on it. But as a matter of policy, we have generally taken a position that it is not desirable to extend the Federal Employees' Compensation Act to employments outside of Federal jurisdiction. In this case the persons proposed to be covered would not be within the jurisdiction of a Federal agency. They would be purely local organizations, and as far as we can determine most of these volunteer fire departments are covered under State workmen's compensation law.

I am not clear as to the reason for proposing to extend the Federal law to that service or how the members of a volunteer fire department would differ from members of an organized paid department who might also render service in fighting fires on Federal property. That is not indicated and I have no information on that point.

The second part of the bill deals with the question of liability for damage to property of the department. Of course that would not be a matter that we are directly concerned with in the Bureau of Employees' Compensation.

In connection with this bill I might call attention to Public Law 46 of the 84th Congress, which was approved May 27, 1955, which authorized the execution of agreements between agencies of the United States and other agencies for mutual aid and fire protection.

Under this bill the head of any Federal agency is authorized to enter into reciprocal agreements with any local fire organization where the exchange of personnel and equipment fighting fires in the community, the Federal agency agreeing to lend its facilities and services when needed to aid local authorities in fighting fires off the Federal property, and, conversely, the local agency agreeing to aid in suppression of fires or fighting fires on Federal property.

Mrs. BOSONE. Mr. McCauley, what was the number of that publication?

Mr. MCCAULEY. Public Law 46 of the 84th Congress, approved May 27, 1955.

I merely call attention to that because it seems to us a different approach to that which is proposed here in H.R. 433. It may be noted, also, on a wage base proposed in the bill here for the computing of compensation for benefits under the Federal agent, the maximum compensation rate would be $150 a month, or on a weekly basis that would be approximately $35 a week. Many of the State laws have higher maximum rates than $35, and I don't know, however, on what basis awards are computed on State law.

(Mr. Frelinghuysen entered the room.)

Mr. FRELINGHUYSEN. My apologies. I had a conflict with my other subcommittee.

Mr. WIER. Off the record.

(Discussion off the record.)

Mr. WIER. We are now on Mrs. St. George's bill, 433. This has to do with the volunteer firemen that Mrs. St. George feels ought to be covered.

Proceed.

Mr. MCCAULEY. Are there any questions on that?

Mr. WIER. Mr. McCauley, I am a little more familiar with your coverage. We have some bills in here and we will come to them again, and this is one of them

Mr. MCCAULEY. Yes, sir.

Mr. WIER. That deals with a phase of disability, that is not now covered. Maybe it would be well for you, Mr. McCauley, and our counsel, to outline who in the Federal Government is eligible for benefits under your act, because you will find some that are not and this is one of them.

Mr. MCCAULEY. The Federal Employees' Compensation Act covers all civilian officers and employees of the Federal Government, including employees of the federally owned corporations, and applies to all

branches of the Federal service, from the legislative, judicial and executive branch. There is complete coverage for all personnel who are under the direction, control, or within the jurisdiction of the Federal Government.

It includes also persons who are engaged by the Federal Government without compensation to render service comparable to that performed by Federal personnel.

It provides medical care, compensation for temporary and permanent injury, compensation for death, burial expenses, and rehabilitation services for permanently disabled beneficiaries.

The benefits are paid by annual appropriation made by the Congress for that purpose.

Prior to January 1, 1957, the law also extended to members of the Reserve components of the Armed Forces in time of peace and, incidentally, Mr. Chairman, there is a bill in here that touches on that subject.

However, that coverage was discontinued effective January 1, 1957. We no longer cover military personnel.

During the depression years in the thirties, when the Federal Government had undertaken different kinds of employment projects for the relief of the unemployed, this law was extended to such employments in a modified form. The old WPA program, the CCC program, the CWA, were given benefits under this act but with very severe limitations as to the amount of benefits that could be paid and the type of disability and death that would be covered.

For example, under the Federal Employees' Compensation Act, the term "injury" includes any disease approximately caused by the employment. The extension of this law to the relief employments did not provide coverage for disease and there were other similar restrictions and limitations.

The law is intended to deal with Federal personnel or personnel under Federal jurisdiction, and that was one of the reasons for noting that this proposal, H.R. 433, is not in accord with that underlying principle because the personnel this bill proposes to bring within the coverage of the law are not in Federal jurisdiction. They are under the jurisdiction of the State or local communities. Perhaps some of them are incorporated bodies that are independent entirely.

Mr. WIER. Mr. McCauley, on that point, the assumption is that all of our so-called Federal employees necessarily have to be under the jurisdiction of civil service, too?

Mr. MCCAULEY. No, sir. We go beyond the civil service coverage. Mr. WIER. That is what I was trying to bring out.

Mr. MCCAULEY. We cover any person who is employed by the United States in any capacity; persons employed temporarily in emergency situations, like firefighters and Forest Service in the West, maybe picked up just for a few days in the fighting of a fire, would be covered.

As I mentioned a moment ago persons who are employed in an advisory capacity or whose services are engaged in some advisory capacity without compensation or for a very nominal compensation would be covered if the employment of such persons was authorized by law or provision is made by law for payment of their travel or other expenses while engaged in rendering such service.