PURCHASE OF MOTOR TRUCK PARTS MAY 28, 1930.-Referred to the House Calendar and ordered to be printed Mr. SPROUL of Illinois, from the Committee on the Post Office and Post Roads, submitted the following REPORT [To accompany H. R. 12285] The Committee on the Post Office and Post Roads, having had under consideration the bill (H. R. 12285) to authorize the Postmaster General to purchase motor truck parts from the truck manufacturer, reports the same back to the House with the following amendment: In lines 3 and 4, strike out "in the operation of motor trucks purchased", and in line 5 strike out "as the" and insert in lieu thereof "in the operation of motor trucks purchased as a". So amended, the committee recommends that the bill do pass. All purchases and contracts for supplies or services, in any of the departments of the Government, except for personal services, shall be made by advertising a sufficient time previously for proposals respecting the same, when the public exigencies do not require the immediate delivery of the articles, or performance of the service. When immediate delivery or performance is required by the public exigency, the articles or service required may be procured by open purchase or contract, at the places and in the manner in which such articles are usually bought and sold, or such services engaged, between individuals. The matter of permitting the Post Office Department to purchase motor-truck parts from the truck manufacturers without advertising for bids has been under consideration by your committee, and it is believed that the department should be allowed to enter into agreements with truck manufacturers for the purchase of such truck parts at a price not exceeding the truck manufacturer's list price, less regular discounts, without advertising, when the motor-truck parts are needed by the department in the operation of motor trucks purchased as a result of competitive bidding. HR-71-2-VOL 4-23 The following letters from the Postmaster General explain the department's desire for this legislation: Hon. A. D. SANDERS, POST OFFICE DEPARTMENT, Washington, D. C., May 16, 1930. Chairman Committee on the Post Office and Post Roads, MY DEAR MR. CHAIRMAN: In answer to your letter of the 13th instant, transmitting a copy of bill H. R. 12285, relative to the purchase of motor truck parts from the truck manufacturer, it is recommended that lines 3, 4, and 5 be changed to read as follows: That whenever motor-truck parts are needed by the Post Office Department in the operation of motor trucks purchased as a result of competitive bidding the Postmaster * * * This change will cover the procurement of repair parts, not only for trucks actually purchased by the Post Office Department, under competitive bids, but also for the trucks operating in the Postal Service, which were purchased by the War Department and later transferred to the Postal Service as surplus equipment in accordance with an act of Congress. A considerable number of the trucks received by transfer from the Army surplus and for which it is necessary to purchase parts, are still being used by the Postal Service. It is recommended that the proposed legislation, with the slight change in the wording suggested herein, be given favorable consideration. In this connection, there is inclosed a copy of a letter to you under date of January 21, 1930, recommending that favorable consideration be given a bill proposing similar legislation. Very truly yours, WALTER F. BROWN, Postmaster General. Hon. A. D. SANDERS, POST OFFICE DEPARTMENT, Washington, D. C., January 22, 1930. Chairman Committee on the Post Office and Post Roads, House of Representatives. MY DEAR MR. SANDERS: The annual report of the Postmaster General for the fiscal year ended June 30, 1929 (p. 82), recommends that legislation be otbained permitting a standardization of motor-truck equipment and authorizing the purchase of motor-truck parts from the manufacturers of the motor trucks under such arrangements as may be deemed advantageous to the Government. I am inclosing a draft of legislation which will enable the department to carry out the latter part of this recommendation, affecting the purchase of truck parts, which I would be pleased to have considered by your committee. At the present time the Postal Service owns and maintains 16 different types of motor trucks, for each of which approximately 1,500 different kinds of parts are purchased a total of 24,000 separate items. Until recently practically all parts required in repairing the different types of trucks were purchased from the manufacturers of the trucks under agreements stipulating discounts from list prices ranging from 10 to 40 per cent. The Comptroller General has ruled that this method of securing truck parts does not comply with the requirements of section 3709, Revised Statutes, and has ruled that it is necessary to advertise for parts, specifying the approximate quantity of each of the 24,000 different kinds required during the fiscal year in order that there may be competition. This procedure will have to be duplicated each year unless legislative authority is obtained to purchase parts under agreements with the truck manufacturers. The procedure required under rulings of the Comptroller General necessitates a considerable volume of work obtaining estimates from postmasters, tabulating the estimates, printing the advertisements, and preparing abstracts of bids on the approximately 24,000 items involved. Any saving to the Government which could possibly result from such a course would undoubtedly be rapidly absorbed in the cost of the clerical labor involved and it would be necessary to sacrifice to a large extent the facilities for servicing, inspection, and test set up by the truck manufacturer in order to effect a small saving on the few items which can be purchased elsewhere. I am inclosing a copy of a letter from the Bureau of the Budget approving the proposed legislation. It will be appreciated if the proposed legislation can be given early consideration by your committee. Very truly yours, WALTER F. BROWN, Postmaster General. BUREAU OF THE BUDGET, The POSTMASTER GENERAL. MY DEAR MR. POSTMASTER GENERAL: I have your letter of January 4, inclosing drafts of proposed legislation relating to the operations of the Post Office Department which you desire to submit to Congress for its consideration. In reply thereto I have to advise that of the several items forwarded the submission to Congress of the following would not be in conflict with the financial program of the President: 1. Authorizing the Postmaster General to hire vehicles from letter carriers for use in the village delivery and collection service. 2. Authorizing the Postmaster General to purchase motor truck parts from the manufacturers of motor trucks under such arrangements as the Postmaster General may deem advantageous to the Government. 3. Establishing additional salary grades for motor vehicle service employees in so far as it relates to mechanics' helpers. With reference to the item for establishing additional salary grades for motor vehicle service employees, in so far as it relates to employees other than mechanics' helpers, I have to advise that the proposed legislation would not be ir accord with the financial program of the President. Very truly yours, J. CLAWSON ROOP, Director. |