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SEC. 5. The President of the United States is hereby further authorized to acquire and convert or to undertake the construction of

(a) Patrol, escort, and miscellaneous craft at a total cost not to exceed $50,000,000; and

(b) One hundred thousand tons of auxiliary vessels of such size, type, and design as he may consider best suited for the purposes of national defense.

SEC. 6. The provisions of the Act of March 27, 1934 (48 Stat. 504), requiring not less than 10 per centum of the aircraft, including the engines therefor, procured subsequent to that Act to be constructed or manufactured in Government aircraft factories or other plants or factories owned and operated by the United States Government, shall not operate to curtail procurement so long as production at the said Government plants and factories is maintained at the limit of their capacity as determined by the Secretary of the Navy.

SEC. 7. No vessel, ship, or boat (except ships' boats) now in the United States Navy or being built or hereafter built therefor shall be disposed of by sale or otherwise, or be chartered or scrapped, except as now provided by law.

SFC. 8. The President of the United States is hereby authorized to acquire or construct naval airplanes, and spare parts and equipment, as may be necessary to provide and maintain the number of useful naval airplanes at a total of fifteen thousand: Provided, That if, in the judgment of the Secretary of the Navy, the total number of airplanes authorized herein is not sufficient to meet the needs of the national defense, he may, with the approval of the President, make such plans for procurement as the situation may demand. Approved, July 19, 1940.

[CHAPTER 695-3D SESSION]

[H. R. 10213]

AN ACT

To permit American vessels to assist in the evacuation from the war zones of certain refugee children.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 4, as amended, of the Neutrality Act of 1939 is amended by inserting "(a)” after "SEC. 4." and by adding at the end thereof the following new subsection:

"(b) The provisions of sections 2 (a) and 3 shall not prohibit a vessel, in ballast, unarmed, and not under convoy, and transporting refugee children, under sixteen years of age, from war zones, or combat areas, and shall not prohibit such vessel entering into such war zones or combat areas for this purpose, together with such necessary American citizen adult personnel in charge as may be approved by the Secretary of State, subject to the provisions of the immigration laws, if such vessel is proceeding under safe conduct granted by all of the States named in the proclamations issued under the authority of section 1 (a), and if such vessel has painted on a large scale promínently, distinctly, and unmistakably on each side thereof and upon the superstructure thereof plainly visible from the air an American flag and a statement to the effect that such vessel is a refugee-child rescue ship of the United States or under United States registry: Provided, That every such child so brought into the United States shall, previous to departure from the port of embarkation, have been so sponsored by some responsible American person, natural or corporate, that he will not become a public charge."

Approved, August 27, 1940.

[PUBLIC NO. 785-76TH CONGRESS]

[CHAPTER 722-3D SESSION]

[S. 2009]

AN ACT

To amend the Act to regulate commerce, approved February 4, 1887, as amended, so as to provide for unified regulation of carriers by railroad, motor vehicle, and water, and for other purposes.

TITLE II-REGULATION OF WATER CARRIERS IN INTERSTATE AND FOREIGN COMMERCE

PART III OF INTERSTATE COMMERCE ACT

SEC. 201. The Interstate Commerce Act, as amended, is further amended by adding after part II thereof the following part III:

"PART III

“SHORT TITLE

"SEC. 801. This part, divided into sections according to the following table of contents, may be cited as part III of the Interstate Commerce Act:

Sec. 301. Short title.

Sec. 302. Definitions.

"TABLE OF CONTENTS

Sec. 303. Application of provisions; exemptions.

Sec. 304. General powers and duties of the Commission.

Sec. 305. Rates, fares, charges, and practices; through routes.

Sec. 306. Tariffs and schedules.

Sec. 307. Commission's authority over rates, and so forth.

Sec. 308. Reparation awards; limitation of actions.

Sec. 309. Certificates of public convenience and necessity and permits.

Sec. 310. Dual operations under certificates and permits.

Sec. 311. Temporary operations.

Sec. 312. Transfer of certificates and permits.

Sec. 313. Accounts, records, and reports.

Sec. 314. Allowances to shippers for transportation services.

Sec. 315. Notices, orders, and service of process.

Sec. 316. Enforcement and procedure.

Sec. 317. Unlawful acts and penalties.

Sec. 318. Collection of rates and charges.

Sec. 319. Employees.

Sec. 320. Repeals.

Sec. 321. Transfer of employees, records, property, and appropriations.
Sec. 322. Existing orders, rules, tariffs, and so forth; pending matters.
Sec. 323. Separability of provisions.

"DEFINITIONS

"SEC. 302. For the purposes of this part

"(a) The term 'person' includes any individual, firm, copartnership, corporation, company, association, joint stock association, and any trustee, receiver, assignee, or personal representative thereof.

(b) The term 'Commission' means the Interstate Commerce Commission.

"(c) The term 'water carrier' means a common carrier by water or a contract carrier by water.

"(d) The term 'common carrier by water' means any person which holds itself out to the general public to engage in the transportation by water in interstate or foreign commerce of passengers or property or any class or classes thereof for compensation, except transportation by water by an express company subject to part I in the conduct of its express business, which shall be considered to be and shall be regulated as transportation subject to part I.

"(e) The term 'contract carrier by water' means any person which, under individual contracts or agreements, engages in the transportation (other than transportation referred to in paragraph (d) and the exception therein) by water of passengers or property in interstate or foreign commerce for compensation.

The furnishing for compensation (under a charter, lease, or other agreement) of a vessel, to a person other than a carrier subject to this Act, to be used by the person to whom such vessel is furnished in the transportation of its own property, shall be considered to constitute, as to the vessel so furnished, engaging in transportation for compensation by the person furnishing such vessel, within the meaning of the foregoing definition of 'contract carrier by water'. Whenever the Commission, upon its own motion or upon application of any interested party, determines that the application of the preceding sentence to any person or class of persons is not necessary in order to effectuate the national transportation policy declared in this Act, it shall by order exempt such person or class of persons from the provisions of this part for such period of time as may be specified in such order. The Commission may by order revoke any such exemption whenever it shall find that the application of such sentence to the exempted person or class of persons is necessary in order to effectuate such national transportation policy. No such exemption shall be denied or revoked except after reasonable opportunity for hearing.

"(f) The term 'vessel' means any watercraft or other artificial contrivance of whatever description which is used, or is capable of being, or is intended to be, used as a means of transportation by water.

"(g) The term 'transportation facility' includes any vessel, warehouse, wharf, pier, dock, yard, grounds, or any other instrumentality or equipment of any kind, used in or in connection with transportation by water subject to this part.

"(h) The term 'transportation' includes the use of any transportation facility (irrespective of ownership or of any contract, express or implied, for such use), and includes any and all services in or in connection with transportation, including the receipt, delivery, elevation, transfer in transit, refrigeration or icing, ventilation, storage, and handling of property transported or the interchange thereof with any other agency of transportation.

"(i) The term "interstate or foreign transportation' or 'transportation in interstate or foreign commerce', as used in this part, means transportation of persons or property

"(1) wholly by water from a place in a State to a place in any other State, whether or not such transportation takes place wholly in the United States;

"(2) partly by water and partly by railroad or motor vehicle, from a place in a State to a place in any other State; except that with respect to such transportation taking place partly in the United States and partly outside thereof, such terms shall include transportation by railroad or motor vehicle only insofar as it takes place within the United States, and shall include transportation by water only insofar as it takes place from a place in the United States to another place in the United States; "(3) wholly by water, or partly by water and partly by railroad or motor vehicle, from or to a place in the United States to or from a place outside the United States, but only (A) insofar as such transportation by rail or by motor vehicle takes place within the United States, and (B) in the case of a movement to a place outside the United States, only insofar as such transportation by water takes place from any place in the United States to any other place therein prior to transshipment at a place within the United States for movement to a place outside thereof, and, in the case of a movement from a place outside the United States, only insofar as such transportation by water takes place from any place in the United States to any other place therein after transshipment at a place within the United States in a movement from a place outside thereof.

"(j) The term 'United States' means the States of the United States and the District of Columbia.

"(k) The term 'State' means a State of the United States or the District of Columbia.

"(1) The term 'common carrier by railroad' means a common carrier by railroad subject to the provisions of part I.

"(m) The term 'common carrier by motor vehicle' means a common carrier by motor vehicle subject to the provisions of part II.

"APPLICATION OF PROVISIONS; EXEMPTIONS

"SEO. 303. (a) In the case of transportation which is subject both to this part and part I, the provisions of part I shall apply only to the extent that part I imposes, with respect to such transportation, requirements not imposed by the provisions of this part.

(b) Nothing in this part shall apply to the transportation by a water carrier of commodities in bulk when the cargo space of the vessel in which such commodities are transported is being used for the carrying of not more than three such commodities. This subsection shall apply only in the case of commodities in bulk which are (in accordance with the existing custom of the trade in the handling and transportation of such commodities as of June 1, 1939) loaded and carried without wrappers or containers and received and delivered by the carrier without transportation mark or count. For the purposes of this subsection two or more vessels while navigated as a unit shall be considered to be a single vessel. This subsection shall not apply to transportation subject, at the time this part takes effect, to the provisions of the Intercoastal Shipping Act, 1933, as amended. "(c) Nothing in this part shall apply to transportation by a contract carrier by water of commodities in bulk in a non-ocean-going vessel on a normal voyage during which (1) the cargo space of such

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