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VALLEY AUTHORITY ACT

BEFORE THE

HEARINGS 11. S. Congreve. Houve

COMMITTEE ON MILITARY AFFAIRS

HOUSE OF REPRESENTATIVES

SEVENTY-SEVENTH CONGRESS

FIRST SESSION

ON

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H. R. 4961

A BILL TO AMEND SECTION 9 (B) OF THE TENNESSEE
VALLEY AUTHORITY ACT, AS AMENDED BY SEC-

TION 14 OF THE ACT OF AUGUST 31, 1935

JUNE 18, 19, AND 27, 1941

Printed for the use of the Committee on Military Affairs

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COMMITTEE ON MILITARY AFFAIRS

ANDREW J. MAY, Kentucky, Chairman R. EWING THOMASON, Texas

WALTER G. ANDREWS, New York DOW W. HARTER, Ohio

DEWEY SHORT, Missouri CHARLES I. FADDIS, Pennsylvania LESLIE C. ARENDS, Illinois ANDREW EDMISTON, West Virginia CHARLES R. CLASON, Massachusetts EDWIN M. SCHAEFER, Illinois

ALBERT G. RUTHERFORD, Pennsylvania J. JOSEPH SMITH, Connecticut

J. PARNELL THOMAS, New Jersey
MATTHEW J. MERRITT, New York PAUL W. SHAFER, Michigan
JOHN M. COSTELLO, California

THOMAS E. MARTIN, Iowa
OVERTON BROOKS, Louisiana

CHARLES H. ELSTON, Ohio
JOHN J. SPARKMAN, Alabama

FOREST A. HARNESS, Indiana
PAUL J. KILDAY, Texas
CARL T. DURHAM, North Carolina

SAMUEL W. KING, Hawaii
CLIFFORD DAVIS, Tennessee

ANTHONY J. DIMOND, Alaska
E. C. GATHINGS, Arkansas

BOLIVAR PAGÁN, Puerto Rico
J. C. BURNETTE, Clerk
JULIA WATTERSON, Assistant Clerk

II

AMENDING THE TENNESSEE VALLEY AUTHORITY ACT

WEDNESDAY, JUNE 18, 1941

HOUSE OF REPRESENTATIVES,
COMMITTEE ON MILITARY AFFAIRS,

Washington, D.C. The committee met at 10:30 a. m., Hon. Andrew J. May (chairman) presiding

The CHAIRMAN. The committee will please be in order. While we do not have a full committee present, I think they will be in shortly.

I would like to make a very brief statement of what I understand the issue here this morning is, for the benefit of those members of the committee who have not been on the committee from the beginning of the organization of the Tennessee Valley Authority.

We have for consideration this morning H. R. 4961, a bill which I introduced in pursuance to the request of the Comptroller General of the United States to further amend section 9 (b) of the Tennessee Valley Authority Act. The question arises as to whether or not the T. V. A is subject to the supervision and control by the Comptroller General's office. As I understand the situation, there is some question about it. The Comptroller General wants to be advised exactly as to the intent of Congress, so that in the disbursement of public funds he will know exactly what his responsibility is. And, in order that the matter be definitely and unquestionably settled, I have introduced this bill so that the committee might have a hearing on it and determine just what they want to do about it.

I have asked the Comptroller General to appear here today for that purpose, and he is here with a number of witnesses; and representatives of the T. V. A. are also here. Mr. Fitts, the General Counsel of the T. V. A., and others are here. And at their request I have set tomorrow for a hearing of their testimony in opposition to the bill if they oppose it. We will start the hearing this morning. I shall call at this time the Honorable Lindsay C. Warren, Comptroller General of the United States and former Member of the House, whom we all know. We will be glad to have a statement from you, Mr. Warren, as to your position in this matter. You may proceed as you prefer.

(The bill referred to reads as follows:)

[H. R. 4961, 77th Cong., 1st sess.) A BILL To amend section 9 (b) of the Tennessee Valley Authority Act, as amended by

section 14 of the Act of August 31, 1935 Be it enacted by the Senate and House of Representatires of the United States of America in Congress (88embled, That section 9 (b) of the original Tennessee Valley Authority Act, as amended by section 14 of the Act of August 31, 1935 (49 Stat. 1080), be, and the same is hereby, further amended by adding at the end of

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