require aggregate contributions of not more than $1,000,000, $1,500,000, and $2,000,000 per annum, respectively.

SEC. 712. There are hereby authorized to be appropriated to the Secretary (a) such sums as may be necessary to permit payments on notes or other obligations issued by the Secretary under section 710 equal to (i) the aggregate of the contributions made by the Secretary in the form of credits on principal sums due on loans made pursuant to section 703 and (ii) the interest due on a similar sum represented by notes or other obligations issued by the Secretary; (b) an additional $1,000,000 for grants made pursuant to section 704 on or after July 1, 1948, which amount shall be increased by further amounts of $2,500,000, $4,000,000, and $5,000,000, on July 1 of each of the years 1949, 1950, and 1951, respectively; and (c) such further sums as may be necessary to enable the Secretary to carry out the provisions of sections 701 to 712, inclusive, of this title.

TITLE VIII-HOUSING FOR VETERANS WITH SERVICE-CONNECTED DISABILITIES

SEC. 801. Section 1, title I, Public Law Numbered 2, Seventy-third Congress, approved March 20, 1933, as amended, is hereby amended by adding at the end thereof a new subsection known as subsection (g) and to read as follows:

"(g) Any person who served in the active military or naval service of the United States who is entitled to compensation under the provisions of Veterans Regulation Numbered 1 (a), as amended, for permanent and total serviceconnected disability due to spinal-cord disease or injury with paralysis of the legs and lower part of the body shall be entitled to assistance in acquiring a suitable housing unit with special fixtures or movable facilities made necessary by the nature of the person's disability, and necessary land therefor, subject to the provisions and limitations of Veterans Regulation Numbered 1 (a), as amended, part IX."

SEC. 802. Veterans Regulation Numbered 1 (a), as amended, is hereby amended by adding at the end thereof a new part to be known as part IX and to read as follows:

"PART IX

"1. The Administrator of Veterans' Affairs is authorized, under such regula tions as he may prescribe, to assist any person (hereinafter referred to as 'veteran') who served in the active military or naval service of the United States, who is entitled to compensation under the provisions of this regulation for permanent and total service-connected disability due to spinal-cord disease or injury with paralysis of the legs and lower part of the body in acquiring a suitable housing unit with special fixtures or movable facilities made necessary by the nature of the veteran's disability, and necessary land therefor: Provided, That the regulations of the Administrator shall include, but not be limited to, provisions requiring findings that (a) it is medically feasible for such veteran to reside in the proposed housing unit and in the proposed locality; (b) the proposed housing unit bears a proper relation to the veteran's present and anticipated income and expenses; and (c) that the nature and condition of the proposed housing unit are such as to be suitable to the veterans' needs for dwelling purposes.

"2. The assistance authorized by paragraph 1 shall be limited in the case of any veteran to one housing unit, and necessary land therefor, and shall be afforded under one of the following plans, at the option of the veteran, but shall not exceed $10,000 in any one case

"(a) where the veteran elects to construct a housing unit on land to be acquired by him, the Administrator shall pay not to exceed 50 per certum of the total cost to the veteran of (1) the housing unit and (2) the necessary land upon which it is to be situated;

"(b) where the veteran elects to construct a housing unit on land acquired by him prior to application for assistance under this part, the Administrator shall pay not to exceed the smaller of the following sums: (1) 50 percentum of the total cost to the veteran of the housing unit and the land necessary for such housing unit, or (2) 50 per centum of the cost to the veteran of the housing unit plus the full amount of the unpaid balance, if any, of the cost to the veteran of the land necessary for such housing unit;

"(c) where the veteran elects to remodel a dwelling, which is not adapted to the requirements of his disability, acquired by him prior to application for assistance under this part, the Administrator shall pay not to exceed

the total of (1) 50 per centum of the cost to the veteran of such remodeling, plus (2) the smaller of the following sums: (A) 50 per centum of the cost to the veteran of such dwelling and the necessary land upon which it is situated, or (B) the full amount of the unpaid balance, if any, of the cost to the veteran of such dwelling and the necessary land upon which it is situated; and

"(d) where the veteran has acquired a suitable housing unit, the Administrator shall pay not to exceed the smaller of the following sums: (1) 50 per centum of the cost to the veteran of such housing unit and the necessary land upon which it is situated, or (2) the full amount of the unpaid balance, if any, of the cost to the veteran of such housing unit and the necessary land upon which it is situated.

"3. The Administrator of Veterans' Affairs is authorized to furnish to veterans eligible for assistance under this part, without cost to the veterans, model plans and specifications of suitable housing units.

"4. Any person who accepts the benefits of this part shall not by reason thereof be denied the benefits of title III of the Servicemen's Readjustment Act of 1944, as amended.

"5. The Government of the United States shall have no liability in connection with any housing unit, or necessary land therefor, acquired under the provisions of this part."

SEC. 803. There are hereby authorized to be appropriated, out of any money in the Treasury not otherwise appropriated, such sums as may be necessary to carry out the purposes of this title.

TITLE IX-ADMINISTRATIVE AND MISCELLANEOUS PROVISIONS

ADMINISTRATIVE PROVISIONS

SEC. 801. (a) Effective upon the date of enactment of this Act, the Housing and Home Finance Administrator shall receive compensation at the rate of $16,500 per annum, and the members of the Home Loan Bank Board, the Federal Housing Commissioner, and the Public Housing Commissioner shall each receive compensation at the rate of $15,000 per annum.

(b) Section 101 of the Government Corporation Control Act, as amended, is amended by inserting "Federal Housing Administration;" immediately after the semicolon which follows "United States Housing Corporation": Provided, That, as to the Federal Housing Administration, the audit required by section 105 of said Act shall begin with the fiscal year commencing July 1, 1948, and the exception contained in section 301 (d) of said Act shall be construed to refer to the cost of audits contracted for prior to July 1, 1948.

SEC. 802. In carrying out their respective functions, powers, and duties(a) The Housing and Home Finance Administrator may appoint such officers and employees as he may find necessary, which appointments shall be subject to the civil-service laws and the Classification Act of 1923, as amended. The Administrator may make such expenditures as may be necessary to carry out his functions, powers, and duties, and there are hereby authorized to be appropriated to the Administrator, out of any moneys in the Treasury not otherwise appropriated, such sums as may be necessary to carry out such functions, powers, and duties and for administrative expenses in connection therewith. The Administrator may delegate any of his functions and powers to such officers, agents, or employees as he may designate, and may make such rules and regulations as may be necessary to carry out his functions, powers, and duties. The Administrator shall cause to be prepared for the Housing and Home Finance Agency an official seal of such device as he shall approve, and judicial notice shall be taken of said seal.

(b) The Public Housing Administration shall sue and be sued only with respect to its functions under the United States Housing Act of 1937, as amended, and title II of Public Law 671, Seventy-sixth Congress, approved June 28, 1940, as amended. The Public Housing Commissioner may appoint such officers and employees as he may find necessary, which appointments, notwithstanding the provisions of any other law, shall hereafter be made hereunder, and shall be subject to the civil-service laws and the Classification Act of 1923, as amended; delegate any of his functions and powers to such officers, agents, or employees of the Public Housing Administration as he may designate; and make such rules and regulations as he may find necessary to carry out his functions, powers, and duties. Funds made available for carrying out the functions, powers, and

duties of the Administration (including appropriations therefor, which are hereby authorized) shall be available, in such amounts as may from year to year be authorized by the Congress, for the administrative expenses of the Administration.

(c) The Housing and Home Finance Administrator, the Home Loan Bank Board (which term as used in this section shall also include and refer to the Federal Savings and Loan Insurance Corporation, the Home Owners' Loan Corporation, and the. Chairman of the Home Loan Bank Board), the Federal Housing Commissioner, the Public Housing Commissioner, and the National Home Mortgage Corporation, respectively, may, in addition to and not in derogation of any powers any authorities conferred elsewhere in this Act

(1) with the consent of the agency or organization concerned, accept and utilize equipment, facilities, or the services of employees of any State or local public agency or instrumentality, educational institution, or nonprofit agency or organization and, in connection with the utilization of such services, may make payments for transportation while away from their homes or regular places of business and per diem in lieu of subsistence en route and at place of such service, in accordance with the provisions of 5 U. S. C. 73b-2;

(2) utilize, contract with, and act through, without regard to section 3709 of the Revised Statutes, any Federal, State, or local public agency or instrumentality, educational institution, or nonprofit agency or organization with the consent of the agency or organization concerned, and any funds available to said officers for carrying out their respective functions, powers, and duties shall be available to reimburse any such agency or organization; and, whenever in the judgment of any such officer necessary, he may make advance, progress, or other payments with respect to such contracts without regard to the provisions of section 3648 of the Revised Statutes;

(3) make expenditures for all necessary expenses, including preparation, mounting, shipping, and installation of exhibits; purchase and exchange of technical apparatus; and such other expenses as may, from time to time, be found necessary in carrying out their respective functions, powers and duties: Provided, That the provisions of section 3709 of the Revised Statutes shall not apply to any purchase or contract by said officers (or their agencies), respectively, for services or supplies if the amount thereof does not exceed $300: And provided further, That funds made available for administrative expenses in carrying out the functions, powers, and duties imposed upon the Housing and Home Finance Administrator (except those imposed pursuant to titles II and V hereof), the Home Loan Bank Board, the Federal Housing Commissioner, and the Public Housing Commissioner, respectively, by or pursuant to law may at their option be consolidated into single administrative expense fund accounts of said officers or agencies for expenditure by them, respectively, in accordance with the provisions hereof.

ACT CONTROLLING

SEC. 803. Insofar as the provisions of any other law are inconsistent with the provisions of this Act, the provisions of this Act shall be controlling.

SEPARABILITY

SEC. 804. Except as may be otherwise expressly provided in this Act, all powers and authorities conferred by this Act shall be cumulative and additional to and not in derogation of any powers and authorities otherwise existing. Notwithstanding any other evidences of the intention of Congress, it is hereby declared to be the controlling intent of Congress that if any provisions of this Act, or the application thereof to any persons or circumstances, shall be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder of this Act or its applications to other persons and circumstances, but shall be confined in its operation to the provisions of this Act, or the application thereof to the persons and circumstances, directly involved in the controversy in which such judgment shall have been rendered. Passed the Senate April 22, 1948. Attest:

CARL A. LOEFFLER,

Secretary.

The CHAIRMAN. We also have before us H. R. 43, introduced by Mr. Celler, of New York; H. R. 1759, introduced by Mrs. Douglas;

H. R. 2035, introduced by Mr. Crawford, of Michigan; H. R. 2523, introduced by Mr. Javits; H. R. 3508, introduced by Mr. Foote; H. R. 4012, introduced by Mr. Dirksen; H. R. 4144, introduced by Mr. Fletcher; H. R. 4770, introduced by Mr. Celler; H. R. 4771, introduced by Mr. Celler; H. R. 4916, introduced by Mr. Klein; H. R. 5015, introduced by Mr. Mitchell; H. R. 5729, introduced by Mr. Buchanan; H. R. 5862, introduced by Mr. Fletcher of California; H. R. 5920, introduced by Mr. Boggs of Louisiana; H. R. 6192, introduced by Mr. Javits of New York; S. 1543, introduced by Senator Sparkman of Alabama, and any related bills which I have omitted mentioning and which have been referred to the committee or which might be referred to the committee during the pendency of these hearings, which we hope will be as short as possible but sufficiently adequate to get a full understanding of all matters involved in these bills.

It is our purpose to have adequate hearings, though not prolonged to the point where we will defeat our purpose by delaying action. It is not our purpose to delay action on this bill. It is our purpose to get a bill reported out just as quickly as we possibly can in order to insure that it might be enacted before Congress adjourns.

I will ask the cooperation of the committee and the witnesses in the matter of geting a bill to the floor as quickly as possible.

Up to the present time, the committee has had no other hearings on the so-called public housing provisions of any of these bills. Two years ago this committee had short hearings on a bill known at that time as the Wagner-Ellender-Taft bill. It was sent over to the House shortly before the adjournment of Congress, and the committee members who were here at that time will recall that we held hearings at that time, including one night session. But the House leadership at that time decided the matter was too controversial to take up in the closing days of that Congress. For that reason no action was taken by the House.

Last year the Taft-Ellender-Wagner bill was reported out of the Senate Banking and Currency Committee and placed on the Senate calendar and there seemed to be so much controversy with respect to it in the Senate that it was found to be not advisable on the part of this committee to have hearings on the companion bill, which was known as the Javits bill, until the Senate had disposed of the matter. The sponsor of the bill in the Senate was Senator Taft, who was the chairman of the Policy Committee of the Senate. We decided that it would complicate matters if this committee had done what it could have done, of course, namely, to report out a bill. Therefore, we have awaited action by the Senate. This committee has announced as a matter of policy that as soon as the Senate had disposed of the matter, we would begin hearings. The Senate did pass S. 868 the other day, and now we are taking up this bill, along with the other bills.

As far as I know, the committee has never taken any position on the matter of public housing. The chairman has never taken any position on public housing. Our minds are wide open, and we start out on these hearings for the purpose of determining, as a matter of policy, whether it is the primary responsibility of the Federal

Government or the various State governments to clear slums and provide for low-rent housing.

If we find that, as a matter of policy, it is the Federal Government's primary obligation to clear slums and provide for low-rental housing, then, it becomes merely a question as to how much we should appropriate each year for that purpose, and as to what machinery should be set up for the administration of the law written in response to that policy.

If we determine that it is the primary obligation of the States to clear slums and provide for low-rental housing, then, we will decide, in this committee, whether there is an obligation on the part of the Federal Government to participate in any way. If we decide that the Federal Government should participate, then, it becomes a question as to how much we should participate and what standards we should set up for such participation.

In any event, after we have once decided the question of policy as to primary responsibility, then, it is a matter of very simple legislation to provide the means for effectuating that policy.

Mr. SPENCE. Mr. Chairman, I remember that just before I relinquished the position which you now hold, we had hearings on this bill, and we encountered quite a bit of opposition. Every possible dilatory action was taken in the committee to prevent the expediting of hearings. I hope that will not occur this time. I think the committee should, in one way or the other, expeditiously get through with its hearings and arrive at some conclusion. But there was such hostility shown in the committee at that time, that it was impossible to come to any conclusion.

The CHAIRMAN. It was very controversial.

Mr. SPENCE. Well, every time a quorum was not present, a point of order was made. I hope that that will not occur again, because it would just simply waste the time of the committee if we were to come to no conclusion.

The CHAIRMAN. I share your hope. I think it should be our purpose to get this matter out of the way just as quickly as we possibly can. We may be able to have some afternoon hearings, if we are granted permission to sit while the House is in session. Of course, we will not be able to get permission to sit when there are matters. of policy taken up on the floor. However, we will have afternoon hearings just as often as we can.

Mr. SMITH. Mr. Chairman, may I make an observation on that point? I think we should have afternoon sessions. However, I feel it is our responsibility also to be on the floor. During the last few years, I have missed several important measures because the committee has been sitting. I do not want to delay the action of the committee, but I think I should state quite frankly that I feel that it is my duty to be on the floor and attend to the business of legislation when the House is in session.

The CHAIRMAN. We have before us this morning Mr. Raymond M. Foley, Housing and Home Finance Administrator.

Mr. Foley has a statement.

We are very happy to have you proceed, Mr. Foley.

Mr. FOLEY. Thank you, Mr. Chairman. My statement addresses itself to S. 866, and is not, in view of the complexity of the bill, too