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INTERSTATE AND FOREIGN COMMERCE
UNITED STATES SENATE

EIGHTY-FIFTH CONGRESS

SECOND SESSION

ON

S. 3778

TO AMEND THE INTERSTATE COMMERCE ACT, AS AMENDED,
SO AS TO STRENGTHEN AND IMPROVE THE NATIONAL
TRANSPORTATION SYSTEM, AND FOR OTHER
PURPOSES

MAY 20 AND 21, 1958

Printed for the use of the Committee on Interstate and Foreign Commerce

58-61175

26212

UNITED STATES
GOVERNMENT PRINTING OFFICE

WASHINGTON: 1958

COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE

WARREN G. MAGNUSON, Washington, Chairman

JOHN O. PASTORE, Rhode Island

A. S. MIKE MONRONEY, Oklahoma
GEORGE A. SMATHERS, Florida
ALAN BIBLE, Nevada

STROM THURMOND, South Carolina
FRANK J. LAUSCHE, Ohio
RALPH YARBOROUGH, Texas

II

JOHN W. BRICKER, Ohio

ANDREW F. SCHOEPPEL, Kansas JOHN MARSHALL BUTLER, Maryland CHARLES E. POTTER, Michigan WILLIAM A. PURTELL, Connecticut FREDERICK G. PAYNE, Maine NORRIS COTTON, New Hampshire

EDWARD JARRETT, Chief Clerk
BERTRAM O. WISSMAN, Assistant Chief Clerk
HAROLD I. BAYNTON, Chief Counsel
JAMES E. BAILEY, Assistant Chief Counsel
FRANK L. BARTON, Transportation Counsel
WILLIAM L. KOHLER, Assistant Counsel

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162

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Hansen, H. Robert, Jr., president, Hansen Pacific Corp., Fortuna,

Calif.

Mack, Harry M., president, Ohio Valley Improvement Association,
Inc., Cincinnati, Ohio---

McDonald, Angus, coordinator, division of legislative services, Na-
tional Farmers Únion, 1404 New York Avenue NW., Washington,
D. C___

O'Reilly, Harry E., executive secretary-treasurer, maritime trades
department, AFL-CIO, 815 16th Street NW., Washington, D. C..

Letters and telegrams from—

Ames, Harry C., Ames, Hill & Ames, Washington, D. C., dated March

21, 1958.

Ash, E. C., traffic manager, Mobile Port Traffic Bureau, Inc., Mobile,

Ala., dated May 13, 1958-

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Ellender, Hon. Allen J., United States Senate, Washington, D. C.,
dated May 15, 1958.

63

Letters and telegrams from-Continued

Fitch, William K., president, Dravo Corp., Pittsburgh, Pa., dated
May 16, 1958..

Ellender, Hon. Allen J., United States Senate, Washington, D. C.,
dated May 28, 1958--

Page

195

196

Freas, Hon. Howard, Chairman, Interstate Commerce Commission,
Washington, D. C., dated March 27, 1958_

109

193

190

191

186

Henderson, J. D., national managing director, American Association
of Small Business, New Orleans, La., dated May 23, 1958-
Ingersoll, A. C., Jr., chairman of the board, the American Waterways
Operators, Inc., Washington, D. C., dated May 23, 1958.
Kuchel, Hon. Thomas H., United States Senate, Washington, D. C.,
dated May 26, 1958----

Loomis, Daniel P., Association of American Railroads, Transportation
Building, Washington, D. C., dated May 23, 1958-

Magnuson, Hon. Warren G., chairman, Senate Committee on Inter-
state and Foreign Commerce, Capitol Building, Washington, D. C.,
dated May 20, 1958...

Magnuson, Hon. Warren G., chairman, Senate Committee on Inter-
state and Foreign Commerce, dated May 28, 1958-
Olson, E. Whitney, president, Oliver J. Olson & Co., 121 North San
Mateo Drive, San Mateo, Calif., dated May 15, 1958-
O'Reilly, Harry E., executive secretary-treasurer, maritime trades de-
partment, AFL-CIO, Washington, D. C., dated May 13, 1958__
Pinkney, James F., general counsel, American Trucking Association,
Inc., 1424 16th Street NW., Washington, D. C., dated May 23,
1958.

Sinclair, J., president and general manager, Luckenbach Steamship
Co., Inc., 120 Wall Street, New York, N. Y., dated May 14, 1958-
Smith, Donald W., vice president and secretary, Seatrain Lines, Inc.,
711 Third Avenue, New York, N. Y., dated May 22, 1958-
Stoddard, A. P., president, Central Labor Council of New Orleans,
AFL-CIO, 4818 Deanne Street, New Orleans, La

Thompson, A. M., president, Inland Waterways Common Carriers
Association, Chicago, Ill., dated May 23, 1958

64

195

58

65

185

63

33

64

189

Weeks, Hon. Sinclair, Secretary of Commerce, Washington, D. C.,
dated April 22, 1958-

146

Wellen, John L., Seatrain Lines, Inc., New York, N. Y., dated May 22,
1958

188

Williams, Lindsey J., port agent, International Union AFL-CIO, 523
Bienville Street, New Orleans, La., dated May 13, 1958__.

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RATEMAKING RULE-ICC ACT

TUESDAY, MAY 20, 1958

UNITED STATES SENATE,

COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE,

Washington, D. C.

The committee met, pursuant to notice, at 2:30 p. m., in room G-16, United States Capitol, Senator George A. Smathers presiding.

Senator SMATHERS. Gentlemen, if the meeting will come to order, it is 2:30, and the meeting was announced for 2:30. There will be undoubtedly some other Senators who will show up. This afternoon's hearings are scheduled before the full Interstate and Foreign Commerce Commission on section 5, the so-called ratemaking section of Senate bill 3778, which bill has been termed the Transportation Act of 1958.

(The bill referred to is as follows:)

[S. 3778, 85th Cong., 2d sess.]

A BILL To amend the Interstate Commerce Act, as amended, so as to strengthen and improve the national transportation system, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Transportation Act of 1958."

SEC. 2. Section 1 of the Interstate Commerce Act, as amended, is amended (1) by inserting in subparagraph (a) of paragraph (2) thereof, after the word "aforesaid" and before the semicolon following that word, the words "except as otherwise provided in this part" and (2) by striking out the period at the end of the proviso in subparagraph (a) of paragraph (17) thereof and inserting in lieu thereof the following "and except as otherwise provided in this part."

SEC. 3. (a) The first sentence of paragraph (4) of section 13 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(4) Whenever in any such investigation the Commission, after full hearing, finds that any such rate, fare, charge, classification, regulation, or practice causes any undue or unreasonable advantage, preference, or prejudice as between persons or localities in intrastate commerce on the one hand and interstate or foreign commerce on the other hand, or any undue, unreasonable, or unjust discrimination against, or undue burden on, interstate or foreign commerce (which the Commission may find without considering in totality the operations or results thereof of any carrier, or group or groups of carriers wholly within any State), which is hereby forbidden and declared to be unlawful, it shall prescribe the rate, fare, or charge, or the maximum or minimum, or maximum and minimum, thereafter to be charged, and the classification, regulation, or practice thereafter to be observed, in such manner as, in its judgment, will remove such advantage, preference, prejudice, discrimination, or burden: Provided, That upon the filing of any petition authorized by the provisions of paragraph (3) hereof to be filed by the carrier concerned, the Commission shall forthwith institute an investigation as aforesaid into the lawfulness of such rate, fare, charge, classification, regulation, or practice (whether or not theretofore considered by any State agency or authority and without NOTE. Staff members assigned to the hearings: Frank L. Barton and William L. Kohler.

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