Mr. WIGGLESWORTH. I thought we had consolidated all of that. Mr. WIGGLESWOLTH. This applies outside the District? Mr. REYNOLDS. Outside. Mr. GUTHRIDGE. There are some in the District, some corporations, that get rent money. Mr. WIGGLESWORTH. Government corporations? Mr. GUTHRIDGE. Yes, sir. NEW LANGUAGE Mr. WIGGLESWORTH. There is some new language on page 127, as follows: In the prosecution of construction projects or planning programs assigned to the Public Buildings Administration for which funds are provided by direct appropriation or transferred under authority contained in section 35 of the Act of June 15, 19.8 (40 U. S. C. 265), an amount administratively determined as necessary for the payment of salaries and expenses of personnel engaged upon the preparation of plans and specifications, field supervision, and general office expense, may be transferred and consolidated on the books of the Treasury Department into a special account for direct expenditure in the prosecution of said work, such expenditures to be subsequently allocated and reported upon by projects in accordance with procedures prescribed by the General Accounting Office. Will you explain that new language? Mr. REYNOLDS. That is the special account. This was arrived at after discussions first with the Bureau of the Budget and then with the General Accounting Office, and an exchange of letters, in order to set up an accounting procedure. It serves two purposes. One, it clarifies the operations in our office, and, secondly, it more clearly defines the application of funds for specific projects. It is something that we have been struggling with the General Accounting Office over for a long while, and finally, a year ago, this was decided upon as a modus operandi for handling accounts. ACTIVITIES IN CONNECTION WITH CONSTRUCTION OF HOUSING FOR PERSONNEL Mr. DIRKSEN. Would you say a word about the housing situation in Washington insofar as it relates to your agency? Are you still identified in any way whatsoever with the Lanham Act funds as they relate to personnel housing? Mr. REYNOLDS. We have nothing to do with it any more, except that we are building for the National Housing agencies some dormitories in and near the District of Columbia. Mr. DIRKSEN. What is the progress of that work? Mr. REYNOLDS. It has been retarded on account of the difficulty in getting materials, and also labor; and the number of rooms has been cut at the present time from what was originally contemplated. The remainder are held in abeyance to see how the homes open up under the revised legislation with respect to District of Columbia housing. Mr. WOODRUM. If there is nothing further, Mr. Reynolds, thank you. THURSDAY, JANUARY 14, 1943. PUBLIC ROADS ADMINISTRATION STATEMENT OF THOMAS H. MacDONALD, COMMISSIONER GENERAL STATEMENT Mr. WOODRUM. We will take up the "Public Roads Administration." Mr. MacDonald, do you have a general statement you wish to make? Mr. MACDONALD. Mr. Chairman and gentlemen of the committee, I have a summary statement, which includes all of the tables which we normally place in the record at this time; and I should like to comment briefly on certain phases of the matters which are of import to the committee. Mr. WOODRUM. The statement may go into the record and we will be glad to have your comments. (The statement is as follows:) GENERAL STATEMENT COVERING THE WAR HIGHWAY WORK OF THE PUBLIC ROADS ADMINISTRATION, INCLUDING TABULATIONS SHOWING ACCOMPLISHMENTS WITH THE REGULAR FEDERAL-AID AND GRADE CROSSING FUNDS AND SPECIAL DEFENSE HIGHWAY FUNDS During the past 2 year s of the Public Roads Administration have been shifted so that practically the entire personnel of the organization is now engaged in work contributing directly to the war effort. The Defense Highway Act of 1941 (Public, 295, 77th Cong.), as amended by the act approved July 2, 1942 (Public, 646, 77th Cong.), made especial funds available for access roads to military and naval reservations, to defense industries and defense-industry sites, and to the sources of raw materials. It also provided funds for the removal of critical deficiencies in the strategic network and authorized the use of the regular Federal-aid and grade-crossing funds on defense highway projects on the strategic network with an increased Federal participation in the cost. The following tables and brief explanatory statements show the accomplishments with funds under the control of the Public Roads Administration. They include the work accomplished during the fiscal year 1942 with the regular funds. PROGRAM RESTRICTED TO PROJECTS CERTIFIED AS ESSENTIAL TO THE WAR EFFORT On December 2, 1941, all projects in the approved program stage were canceled and since that date the approval of projects for construction by the Public Roads Administration has been restricted to those essential to the national defense as certified by an appropriate Federal defense agency. Although certification of projects was not required previous to this date, the major portion of the active Federal-aid construction program consisted of projects on the "strategic network of highways" which, as used in the Defense Highway Act of 1941, means all existing or proposed highways which conform to routes designated on the map of principal highway traffic routes of military importance approved by the Secretary of War. SHIFT OF PROGRAM The shift in the program to defense highway projects began in the calendar year 1940. The following tabulation shows the Federal funds obligated and the total cost of new projects approved for construction during the calendar years 1940, 1941. and 1942. In 1940 $9 000.000 out of a total cost of $338.000,000 was for defense highway projects. In 1941, with a somewhat smaller total cost of $305 000,000, $150,000,000 was devoted to defense highway projects. In the calendar year 1942 the total cost of new work approved increased to $399,000,000 and the shift to war projects was practically complete, although a small amount of new work, required largely to preserve previous investments in preliminary improvements, was carried on. This amounted to only about a million dollars out of the $399,000,000 total. The details of the new projects approved by calendar years and by funds are shown in the following tabulation. ACCESS ROADS The major activity during the calendar year 1942 grew out of the initiation and development of the access road program with the special access road funds authorized in section 6 of the Defense Highway Act of 1941 approved November 19, 1941. Before these special funds became available the access road program had been financed with Federal-aid and State funds. As of December 31, 1942, projects for engineering on 1,958 miles and construction of 632 miles of access roads, involving a total cost of $44,223,159, and regular Federal-aid funds of $26,362,117 had been approved. The special access road funds greatly accelerated this important program and during the calendar year 1942 the Public Roads Administration investigated and reported on 5,660 miles of which 5,359 miles had been certified by the end of the year. Shift to war projects—Total cost and Federal funds—New projects approved in calendar years 1940, 1941, and 1942 89,000,000 150,000,000 398, 000, 000 Subtotal. Grand total. 91,000,000 354, 000, 000 338,000,000 305, 000, 000 393,000,000 | 203,000,000 182,000,000 355,000,000 57,000,000 The detail by States showing Federal-aid and State funds and miles of access roads financed under the regular Federal-aid plan and the access road program financed with the special access road funds are shown by States in the following two tables. Defense access projects financed with regular funds approved for construction as of Dec. 31, 1942 Defense access road funds (authorized by sec. 6 of the Defense Highway Act of 1941), funds recommended and certified by the War and Navy Departments and the War Production Board as of Dec. 31, 1942 Defense access road funds (authorized by sec. 6 of the Defense Highway Act of 1941), funds recommended and certified by the War and Navy Departments and the War Production Board as of Dec. 31, 1942-Continued Total 484.891 3, 279, 575 418, 790 1,661, 209 9, 466. 415) 3,760, 322 114. 540 23, 919, 697 4. 131, 323 3, 137, 325 597.195 153, 282 6,333,000 2, 208, 489 3,739,000 484, 891 2,700, 575 373, 790 1,661,209 8,383, 415 3,702, 322 114, 540 21,409, 697 3,640, 073 3, 137, 325 537, 195 153, 282 5,688,000 2,208, 489 3,739,000 288,960 2,088, 470 148, 926, 866 134, 591, 539 64, 531, 335, 61, 662, 535 8, 397, 366 8, 397, 366 221, 858, 567 204, 561, 470 433.891 864, 450 2,946, 751 177,000 55.000 528,960 84,000 55,000 528, 966) 84,000 8,799.928 498,259 498, 259 384 000 1,672, 882| 48,052 48.05 15,470 DEFENSE HIGHWAY PROGRAM During the past calendar year, all projects have been certified as important to the national defense. In the previous 18-month period, in connection with the approval of Federal-aid programs, emphasis had been placed on the selection of projects important to the national defense. Since July 1, 1940, the separate record of Federal-aid projects, either on the strategic network or providing access to defense activities, together with the record of projects approved under the Defense Highway Act of 1941, provides the basis for the summarization of the total defense highway record. As of December 31, 1942, a total of Federal funds of $83,812,511 has been programmed to such projects. This work involved 14,493.7 miles of construction; 3,191.9 miles on which surveys and plans were 1rovided or construction supervision furnished; 1,926 structures, of which 281 eliminated highway-railroad grade crossings; and 308 flashing light signals, gates, or similar protective devices at highway-railroad grade crossings. During the continuance of the war, the entire program will be restricted to projects certified by the appropriate Federal defense agency as important to the national defense. The following table shows the details of the defense highway program as of December 31, 1942. |