APPROXIMATE PERCENTAGE OF COMPLETION OF INDIVIDUAL FIGURES

Mr. O'NEAL. Maybe we can separate them. As to the figure of Washington, how near completion is that, and how much more money will you estimate it would take to complete that figure?

Mr. DEMARAY. Washington will probably be fully completed within this appropriation.

Mr. O'NEAL. Will all of this appropriation be needed to complete Washington?

Mr. DEMARAY. No, sir, it would not.

Mr. O'NEAL. What proportion of the remaining amount would be needed?

Mr. DEMARAY. I do not know.

Mr. O'NEAL. I should like to get some information on that, because it seems to me that no one has any definite information on this proposition. Can you tell us how near to completion the statue of Washington is?

Mr. DEMARAY. Well, I would say the statue of Washington is about 90 percent completed.

Mr. O'NEAL. And the statue of Jefferson is next.

Mr. DEMARAY. Yes, the statue of Jefferson is next, and I should say that it is probably 75 percent completed.

Mr. O'NEAL. And the statue of Lincoln?

Mr. DEMARAY. As to the statue of Lincoln, the face is nearly recognizable. It is beginning to take shape.

Mr. O'NEAL. Would you say it is 15 percent or 20 percent completed?

Mr. DEMARAY. I should say 40 percent completed.

Mr. O'NEAL. And the statue of Roosevelt?

Mr. DEMARAY. As to the statue of Roosevelt, they are simply removing the excess rock there. So, I would say it is probably 10 percent complete.

Mr. O'NEAL. Then, out of the 400 percent on the job, if you can put it that way, with 90, 75, 15, and 10 percent completion, there is a great deal of the work yet to be done?

Mr. DEMARAY. Yes; there is considerable work to be done.

SUFFICIENCY OF ESTIMATES TO COMPLETE THE JOB

Mr. O'NEAL. The amount you are asking for this year would not even closely approximate what you need to complete the job?

Mr. DEMARAY. I think we should really complete the figures of Washington, Jefferson, Lincoln, and probably make a start on the carving of the face of Roosevelt.

Mr. O'NEAL. Do you think with this $100,000 you could complete the first three statues?

Mr. DEMARAY. Yes, sir. We have approximately $34,000 left now. Mr. O'NEAL. Is it going to be the policy of your department to complete the first of those three without putting some of the money on the Roosevelt statue, and thereby leave the other three incomplete, or one or two of them incomplete while you are spending money on the fourth?

139751-37-pt. 1-8

Mr. DEMARAY. This appropriation is made for the Mount Rushmore National Memorial Commission, and it is a Commission which is set up by law, and the Commission has certain decisions which they can make under that. The Park Service is not completely the master of this job.

Mr. O'NEAL. You feel that you have not discretion to complete three of the statutes and let the other one wait?

Mr. DEMARAY. We certainly would work to that end ourselves, but we do not have complete discretion in this matter.

Mr. O'NEAL. From the point of time, could the work be done this fiscal year, during this fiscal year we are now asked to appropriate this money for, assuming the money appropriated is sufficient?

Mr. DEMARAY. In this 1 year? No, sir; I do not think so.

Mr. O'NEAL. Then, you will not spend the money that is being asked for here if it is given, in 1 year?

Mr. DEMARAY. Yes, sir. There would be simply enough left over for the summer and spring work in 1938.

Mr. FITZPATRICK. În answer to Mr. O'Neal's question, you said you would need more money if the project was going to be completed. Is there any thought in the Commission's mind that it is not going to be completed?

Mr. DEMARAY. That Commission, of course, has to report to Congress.

Mr. FITZPATRICK. I was wondering if there was any thought of that.

Mr. DEMARAY. I do not think the Commission has ever for one moment given up the thought of completing it, but they will have to bring their case back to Washington and ask Congress to authorize additional funds.

Mr. FITZPATRICK. Is there any feeling that they will not authorize sufficient funds to complete it?

Mr. DEMARAY. I do not know of any.

Mr. FITZPATRICK. The only thing that might prevent it is the delay in coming back year after year. If you come back and ask for a sum sufficiently large so you can complete it, I think it would be better.

Mr. DEMARAY. Again, I will have to ask your indulgence in saying that the Park Service got into this in 1933 when the supervision of the expenditures of the Commission was turned over to the National Park Service. During the years 1933, 1934, and 1935, 3 years, all we did was accept the vouchers that were sent to us and check them and send them to the Comptroller General's office, and if they were correct, why, checks were paid from the United States Treasury.

This past year, when full Federal funds were being expended, the Park Service at this time actually got into the construction details, and we had a man there on the job, and we believe-while we do not have a full comparison of the previous year's results-we believe that we did the best year's work that has been done on that memorial. I think, probably, in another year, if the same questions were asked of us, we would be in a better position to answer them. I might make some offhand statements now, but then next year I would come in, and you might say, "You said a year ago you could do it for a certain price."

IMPROVEMENTS ON LAND SURROUNDING THE MEMORIAL

Mr. O'NEAL. Is it the thought in the commissioner's mind that, in addition to the actual carving of the figures, it would be a desirable thing to improve the surrounding land and country and to beautify it as a park?

Mr. DEMARAY. Yes, sir; that was originally authorized in the act of Congress.

Mr. O'NEAL. And none of that has been done?

Mr. DEMARAY. No, sir.

Mr. O'NEAL. And that would cost considerable if it were done properly?

Mr. DEMARAY. It undoubtedly would.

Mr. RICH. We have now the amount of work accomplished on these four figures, and according to the appropriation $350,000 was authorized, and you say that you have about $37,000 left?

Mr. DEMARAY. Yes, sir.

Mr. RICH. How much did you get from private contributions?

Mr. DEMARAY. I do not have that information here, but it was stated in the hearings last year.

Mr. RICH. If we have already appropriated $350,000, and the work is in the state of progress that you have stated to us, I can see where you are going to have $8,000,000 in this monument. Then what do you figure the cost of the park is going to be? Have you ever given any thought to the extensive improvements that they want surrounding the park?

Mr. DEMARAY. No; we have not gone into that.

Mr. RICH. Have you any idea, any rough estimate, as to what it might be?

Mr. DEMARAY. The original act authorized the landscaping and beautifying of the grounds.

Mr. O'NEAL. And roads?

Mr. DEMARAY. I think that the State has constructed the necessary roads. From my knowledge of it, I doubt whether there will be more roads constructed in that area, but there is to be an entablature on the monument, with an inscription which former President Coolidge wrote. Mr. RICH. Would you figure that they would want at least four or five hundred thousand additional at the present time, or more?

Mr. DEMARAY. I do not think that it should be anywhere near that amount. That is my own personal view of it.

Mr. O'NEAL. Here is the figure on contributions in last year's hearings.

Mr. DEMARAY. $96,615 were in gifts, donations, and contributions. Mr. RICH. According to this report, they will complete this Rushmore National Memorial, and it is apparent that we are going to have a million and a half in it.

Mr. DEMARAY. I would not say that, Mr. Rich.

Mr. RICH. I would. I think that you will have a million and a half dollars in it before you get through.

Mr. DEMARAY. I think, of course, that Congress has to make up its own mind as to how far they want to go with this project; and when the legislation comes before them authorizing an additional appropriation, they ought to be sure what is going to be done.

Mr. O'NEAL. Was it not the original idea to match dollar for dollar?

Mr. DEMARAY. Yes.

Mr. FITZPATRICK. And the depression came along in 1929, and that killed it?

Mr. DEMARAY. Yes, sir.

TUESDAY, MARCH 16, 1937.

WAR MINERALS RELIEF COMMISSION

STATEMENT OF ROSCOE FERTICH, COMMISSIONER

SALARIES AND EXPENSES

Mr. SCRUGHAM. The next item covers the War Minerals Relief Commission. Mr. O'Neal will conduct the inquiry.

The item providing for this appropriation is as follows:

Administrative expenses: For administrative expenses made necessary by seetion 5 of the Act entitled "An Act to provide relief in cases on contracts connected with the prosecution of the war, and for other purposes", approved March 2, 1919 (40 Stat., p. 1272), including personal services, without regard to the civil-service laws and regulations; traveling and subsistence expenses; supplies and all other expenses incident to the proper prosecution of this work, both in the District of Columbia and elsewhere, $20,000.

Mr. FERTICH. I offer for the record the following justification.

The amendment approved February 13, 1929 (45 Stat. 1166), to the War Minerals Relief Act, section 5 of the act of March 2, 1919 (40 Stat. 1272), permitted claimants who filed under the original act to petition the Supreme Court of the District of Columbia for review of the decisions of the Secretary of the Interior upon questions of law.

Under the amendment, 348 cases were filed. By agreement between the attorneys for claimants and the Solicitor for the Department of the Interior, many cases were held in abeyance pending hearings, appeals, and final decisions in test

cases.

The

The court has dismissed 73 cases after hearing as to eligibility, under the act as amended, by abatement, failure to prosecute, or lack of cause of action. Secretary of the Interior, under decrees, has made 166 awards and 22 denials. These, totaling 261 cases, have been definitely closed (within the 1929 amendment). Of the 87 cases remaining to be acted upon, the Supreme Court of the District of Columbia (now the U. S. District Court for the District of Columbia) has entered 24 decrees that have been certified to the Secretary of the Interior for review. The remainder, 63 cases, are pending in the United States District Court for the District of Columbia.

The Seventy-fourth Congress amended the act as follows:

The amendment approved May 18, 1936 (49 Stat. 1355) authorized awards for payment of interest not to exceed a total of $1,250,000, when the item of interest was directed for review by decree of the United States District Court for the District of Columbia under the 1929 amendment of the act. Of the amount so authorized, $500,000 was appropriated in the second deficiency appropriation, Public, No. 739, approved June 22, 1936 (49 Stat. 1619); the remainder in the authorization, $750,000, will be required as a deficiency appropriation. Claims under this amendment present complicated evidence and require unusual delays in adjudication.

The amendment approved June 30, 1936 (49 Stat. 2040) authorized the Secretary of the Interior to reopen claims which were not filed under the 1929 amendment and review them upon matters of fact in the light of decisions of court in similar cases, and to reopen cases abated by the court, and to make awards; and provided for the rights of deceased claimants to descend to their legal successors, and for the rights of dissolved corporations to descend to any officer, director, stockholder, or legal representative who shall be entitled to benefits of this act; provided, that such claims be filed within 6 months of approval of this act.

Under these recent amendments (to date of Jan. 4, 1937), 321 claims have been filed. Some of these claims have been filed under both acts; many of the claims will be found to be ineligible under either act, but were filed to protect possible rights of claimants; some are filed by different parties on the same claim and constitute duplication. The actual number of claims to be reviewed under amendments to the act and later court decisions cannot be determined at this time.

The work of the Commission, which is being delayed by lack of action in the United States District Court for the District of Columbia, and by failure of claimants to supply proofs of loss promptly when a decree has been entered, and by the necessity to interpret the two additional amendments recently enacted, will necessitate continuance of the Commission with the present personnel throughout the entire fiscal year 1938.

The salaries of the personnel and the expenses of the Commission make a total of $20,000, which will be required for the fiscal year ending June 30, 1938.

GENERAL STATEMENT

Mr. O'NEAL. Have you any general statement that you care to make, Mr. Fertich?

Mr. FERTICH. This is simply an appropriation for the administrative expense of the Commission, the continuation of which was made necessary by two acts of the Seventy-fourth Congress.

Mr. O'NEAL. Do you care to explain what those particular acts were, so that we will have that information before us, and you might also mention the purposes of the original act.

Mr. FERTICH. The work of the Commission was concluded in 1926. Congress then amended the act, on February 13, 1929, permitting claimants to go before the Supreme Court of the District of Columbia for a review of the decisions of the Secretary of the Interior upon questions of law. Under that amendment, 348 cases were filed out of a possible 1,269 which were filed under the original act.

Under the February 13, 1929, act, the courts dismissed 73 cases, the Secretary of the Interior awarded 166 and made 22 denials. Mr. O'NEAL. That closed with 1929?

Mr. FERTICH. No. There remained in the Supreme Court of the District of Columbia under that amendment 87 cases, and there were 24 decrees from the Court to the Secretary of the Interior remaining before the Commission.

In the Seventy-fourth Congress, on May 18, 1936, the act was amended to permit the payment of interest from March 2, 1919, down to date of the approval of the act, the Secretary of the Interior having considered March 2, 1919, as the shut-off date for the payment of interest. This act was passed for the purpose of authorizing the Secretary of the Interior to review these cases and to pay actual out-of-pocket interest losses which were consistent with the original act as interpreted by the Secretary. $1,250,000 was authorized, and $500,000 was appropriated.

The Commission has under that amendment made two awards, the first for $51,591.16, and the second for $580,836.86. Under this amendment there have been accepted 65 applications for review.

Under the June 30, 1936, act, the Congress authorized the Secretary of the Interior to reopen claims which had been considered by him. under the 1919 act but which for any reason were not filed under the 1929 amendment or, where they were filed under that amendment, and the claimant had permitted the case to be abated, by failure to substitute the name of Secretary Ickes for that of Secretary Wilbur, or where through death of the claimant the Secretary had held that