Tennessee Valley Authority-Approved budget, fiscal year 1940—Continued Additions required because of Memphis acquisition: Sardis-Como line and terminals.. Tennessee Valley Authority, budget estimates-Fiscal year 1940 Before proration of general and administrative expense Total available funds: Appropriation 1 Net revenue from power operations.. Total Proposed allotments: Gilbertsville Dam and Reservoir.. Pickwick Dam and Reservoir_ Wilson Dam and Reservoir. Wheeler Dam and Reservoir.... Guntersville Dam and Reservoir.. Hales Bar Dam channel improvements. Chickamauga Dam and Reservoir. Watts Bar Dam and Reservoir. Coulter Shoals Dam preliminary investigations... Hiwassee Dam and Reservoir. Norris Dam and Reservoir... Other tributary project investigations. Transmission, other electric plant, and power inventories.. Obligations of municipalities and associations_. Navigation operations-- Flood-control operations.. Common operations. Fertilizer plant and inventories. Fertilizer operations- Related property plant and equipment_ General plant, equipment and inventories. Related property operations- Related development activities.. 6,781,000 $35, 003, 000 5, 933, 000 40, 936, 000 10, 220, 000 640, 000 280, 000 32, 000 1, 225, 000 39, 000 3,840, 000 4,530, 000 111, 000 3, 960, 000 76, 000 6, 781, 000 200, 000 82, 000 1,000 611, 000 824, 000 1, 725, 000 52, 000 605, 000 1,075, 000 207, 000 -855, 000 4, 675, 000 40, 936, 000 1 Total 1940 appropriation $39,003,000, of which $4,000,000 is set aside for payment of 1939 contract obligations, leaving a balance of $35,003,000 available for 1940 obligations. Requirements for Tennessee Valley Authority-Commonwealth & Southern deal Purchase, Tennessee Electric Power Co.: Contract amount... Prorated share taxes-estimated. Estimated amount taxes since July 1, 1939. Miscellaneous capital additions since Apr. 30, 1939 $44,578, 300 521, 700 200, 000 400.000 300, 000 46, 000, 000 275,000 170, 000 100, 000 40, 000 1, 415, 000 2, 000, 000 1, 000, 000 1, 600, 000 900, 000 3, 500, 000 1, 300, 000 1, 300, 000 300, 000 600, 000 3,500,000 6, 500, 000 61, 500, 000 The Authority's self-imposed limitations on its activities during the fiscal year ending June 30, 1940, taken in conjunction with the limitations on the use of bond proceeds contained in the conference report will constitute an effective geographical limitation on the Authority's activities, at least until Congress is called upon to make appropriations to carry out its activities during the fiscal year ending June 30, 1941. PROVISIONS RELATING TO COMPTROLLER GENERAL The House amendment (sec. 2) provided that all money made available for expenditure in carrying out the purposes of the act should be withdrawn from the Treasury only pursuant to accountable warrants for advances to the credit of an adequately bonded disbursing officer, as determined by the Comptroller General, or certificates of settlement issued by the General Accounting Office. The Comptroller General, however, was authorized in his discretion to allow credit for payments from moneys under the control of the Authority, not otherwise allowable, when shown to be reasonably necessary to the accomplishment of the work authorized by law to be done by the Authority. The Senate bill contained no similar provisions. The conference report contains no similar provisions. PROVISIONS RELATING TO LOCAL TAXATION The House amendment (sec. 3) provided that the percentages of the Authority's gross receipts which the present law requires be paid to the States of Alabama and Tennessee should not be changed to reflect any loss in tax revenue to any State or political subdivision by reason of the ownership or use by the Authority of, or income derived by the Authority from, any property for or connected with the generation or transmission of electric power. This provision prohibited payments, except as otherwise authorized in the section of the act which is amended, to be made by the Authority or by the United States for, or on account of, or in lieu of, any such loss in tax revenue, and it was declared to be the intention of Congress that any such loss in revenue be recovered by the several States involved in such manner as each might see fit from the persons benefited by the use of electric power generated by the Authority. The Senate bill contained no similar provisions. The conference report contains no similar provision. SINKING FUND PROVISIONS The House amendment (sec. 4) required the Authority to provide from the earnings of electric properties under its control interest on its bonds, and to deposit prior to each interest date such interest in such agencies as might be designated from time to time by the Secretary of the Treasury. The Authority was also required to provide from such earnings an annual sinking fund in an amount sufficient to pay at maturity the entire principal of the bonds issued under the Act, the sinking fund to be deposited in an agency to be designated by the Secretary of the Treasury and to be used to retire the bonds as they mature. The payments to the sinking fund were to be in a uniform amount and to be so distributed so that each year would bear its proportionate share of the total. It was declared to be the purpose and intent of this provision that the principal and interest of all such bonds be paid in full at or before maturity by the Authority on the earnings of its electric properties. The Senate bill contained no similar provisions. Although the conference report does not contain any provisions requiring the maintenance of a sinking fund for the retirement of bonds, the limitation on the amount of bonds which may be issued and the consequent limitation on the power of the Authority to refund its bonds have the effect of requiring the Authority to maintain a sinking fund to retire these bonds as they mature. REIMBURSEMENT OF THE UNITED STATES FOR COST OF TENNESSEE VALLEY AUTHORITY PROPERTIES ALLOCATED TO GENERATION AND TRANSMISSION OF ELECTRICITY The House amendment (sec. 4) required the Authority to issue to the Secretary of the Treasury one or more bonds, in such denominations and with such maturities not exceeding 50 years as the Secretary of the Treasury might designate, in an amount equal to the total cost allocated to the development of power and the total cost of the other properties of the Authority devoted to the transmission or distribution of electric power for sale. The Authority was required to provide from the earnings of such electric properties interest on such bond or bonds and deposit such interest when due in the Treasury of the United States. These bonds were to bear interest at a rate equal to the average rate of interest payable by the United States on its obligations having maturity of 10 or more years after the dates thereof, issued during the last preceding fiscal year in which such obligations were issued. The Senate bill contained no similar provision. A. J. MAY, EWING THOMASON, Dow W. HARTER, Managers on the part of the House. О INVESTIGATION OF THE MILK AND CREAM SUPPLY OF THE DISTRICT OF COLUMBIA JULY 12, 1939.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. BATES of Kentucky, from the Committee on the District of Columbia, submitted the following REPORT [Pursuant to H. Res. 113] The Committee on the District of Columbia, who were directed by the resolution (H. Res. 113) authorizing an investigation of the milk industry in the District of Columbia, having concluded the investigation directed by the House, respectfully submit the following report: On March 13, 1939, the House of Representatives adopted the following resolution (H. Res. 113, 76th Cong., 1st sess.): Resolved, That the House Committee on the District of Columbia, or a duly authorized subcommittee thereof, be, and is hereby, authorized and directed to make a full and complete investigation of (1) the sources and purity of the milk and cream supply of the District of Columbia; (2) of any violation of the law of the District of Columbia or regulations of the District Commissioners made pursuant thereto with respect to the importation of milk or cream into the District of Columbia or importation of unlicensed milk or cream into the District of Columbia and the method by which such violations are perpetrated; (3) the possible effect upon the health of the community by reason of the unlawful importation of unlicensed milk or cream into the District of Columbia; (4) whether and to what extent cream for ice-cream purposes, under section 4 of the 1925 Milk Act of the District of Columbia, is being diverted unlawfully to milk or cream for fluid consumption; (5) whether any conspiracy exists on the part of any distributor of any dairy products to violate the provisions of the 1925 District Milk Act or the regulations made pursuant thereto; (6) the propriety and feasibility of licensing, or otherwise permitting under proper regulation, in such manner as to fairly protect the safety and health of consumers in the District of Columbia, the entry into the District of Columbia of so-called western cream and milk, and cream and milk from any available sources in the United States for fluid, manufacturing, or other use in the District of Columbia and on the Washington market; (7) and whether the 1925 Milk Act and all other Acts relating to the importation, distribution, and inspection of milk and dairy products require modification, alteration, or improvement in order to insure an adequate supply of milk and dairy products for the residents of the District of Columbia at reasonable and fair prices. Pursuant to the foregoing resolution, the chairman appointed a subcommittee consisting of Hon. Messrs. Joe B. Bates (chairman), |