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Territory of the Pacific Islands has submitted to the Secretary of the Interior a plan for the use of the grant, and the plan has been approved by the Secretary. The plan shall provide among other things for a revolving fund to make loans or to guarantee loans to private enterprise. The term of any loan made pursuant to the plan shall not exceed twenty-five years. (Pub. L. 92-257, § 2, Mar. 21, 1972, 86 Stat. 87.) SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1688, 1690, 1691, 1692 of this title.

§ 1690. Same; loan restrictions; guarantees.

No loan or loan guarantee shall be made under sections 1688 to 1693 of this title to any applicant who does not satisfy the territorial administering agency that financing is otherwise unavailable on reasonable terms and conditions. No loan or loan guarantee shall exceed (1) the amount which can reasonably be expected to be repaid, (2) the minimum amount necessary to accomplish the purposes of sections 1688 to 1693 of this title, or 25 per centum of the funds appropriated pursuant to section 1688 of this title. No loan guarantee shall guarantee more than 90 per centum of the outstanding amount of any loan, and the reserves maintained to guarantee the loan shall not be less than 25 per centum of the guarantee. (Pub. L. 92-257, § 3, Mar. 21, 1972, 86 Stat. 87.)

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1688, 1692 of this title.

§ 1691. Same; fiscal control and accounting procedures. The plan provided for in section 1689 of this title shall set forth such fiscal control and accounting procedures as may be necessary to assure proper disbursement, repayment, and accounting for such funds. (Pub. L. 92-257, § 4, Mar. 21, 1972, 86 Stat. 88.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1688, 1690, 1692 of this title.

§ 1692. Same; annual report

The High Commissioner of the Trust Territory of the Pacific Islands shall make an annual report to the Secretary of the Interior on the administration of sections 1688 to 1693 of this title. (Pub. L. 92-257, § 5, Mar. 21, 1972, 86 Stat. 88.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1688, 1690 of this title.

§ 1693. Same; audit.

The Comptroller General of the United States, or any of his duly authorized representatives, shall have access, for the purpose of audit and examination, to any relevant books, documents, papers, or records of the government of the Trust Territory of the Pacific Islands. (Pub. L. 92-257, § 6, Mar. 21, 1972, 86 Stat. 88.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1688, 1690, 1692 of this title.

Chapter 16.-DELEGATES TO CONGRESS FROM GUAM AND VIRGIN ISLANDS [New]

Sec. 1711.

1712.

1713. 1714.

Delegate to House of Representatives from Guam and Virgin Islands.

Election of delegates; majority; runoff election;

vacancy; commencement of term. Qualifications for Office of Delegate. Territorial legislature; determination of election procedure.

1715. Operation of Office; House privileges; compensation, allowances, and benefits; privileges and immunities; voting in committee; clerk hire and transportation expenses.

§ 1711. Delegate to House of Representatives from Guam and Virgin Islands.

The territory of Guam and the territory of the Virgin Islands each shall be represented in the United States Congress by a nonvoting Delegate to the House of Representatives, elected as hereinafter provided. (Pub. L. 92-271, § 1, Apr. 10, 1972, 86 Stat. 118.)

§ 1712. Election of delegates; majority; runoff election; vacancy; commencement of term.

(a) The Delegate shall be elected by the people qualified to vote for the members of the legislature of the territory he is to represent at the general election of 1972, and thereafter at such general election every second year thereafter. The Delegate shall be elected at large, by separate ballot and by a majority of the votes cast for the office of Delegate. If no candidate receives such majority, on the fourteenth day following such election a runoff election shall be held between the candidates receiving the highest and the second highest number of votes cast for the office of Delegate. In case of a permanent vacancy in the office of Delegate, by reason of death, resignation, or permanent disability, the office of Delegate shall remain vacant until a successor shall have been elected and qualified.

(b) The term of the Delegate shall commence on the third day of January following the date of the election. (Pub. L. 92-217, § 2, Apr. 10, 1972, 86 Stat. 119.)

§ 1713. Qualifications for Office of Delegate.

To be eligible for the Office of Delegate a candidate must

(a) be at least twenty-five years of age on the date of the election,

(b) have been a citizen of the United States for at least seven years prior to the date of the election.

(c) be an inhabitant of the territory from which he is elected, and

(d) not be, on the date of the election, a candidate for any other office.

(Pub. L. 92-271, § 3, Apr. 10, 1972, 86 Stat. 119.)

§ 1714. Territorial legislature; determination of election procedure.

The legislature of each teritory may determine the order of names on the ballot for election of Delegate, the method by which a special election to fill a vacancy in the office of Delegate shall be conducted, the method by which ties between candidates for the office of Delegate shall be resolved, and all other

matters of local application pertaining to the election and the office of Delegate not otherwise expressly provided for herein. (Pub. L. 92-271, § 4, Apr. 10, 1972, 86 Stat. 119.)

§ 1715. Operation of Office; House privileges; compensation, allowances, and benefits; privileges and immunities; voting in committee; clerk hire and transportation expenses.

The Delegate from Guam and the Delegate from the Virgin Islands shall have such privileges in the House of Representatives as may be afforded him under the Rules of the House of Representatives. Until the Rules of the House of Representatives are amended to provide otherwise, the Delegate from each territory shall receive the same compensation,

allowances, and benefits as a Member of the House of Representatives, and shall be entitled to whatever privileges and immunities are, or hereinafter may be, granted to the Resident Commissioner for Puerto Rico: Provided, That the right to vote in committee shall be as provided by the Rules of the House of Representatives: Provided further, That the clerk hire allowance of each Delegate shall be a single per annum gross rate that is 60 per centum of the clerk hire allowance of a Member: Provided further, That the transportation expenses of each Delegate that are subject to reimbursement under section 43b of Title 2 shall not exceed the cost of four round trips each year. (Pub. L. 92-271, § 5, Apr. 10, 1972, 86 Stat. 119.)

TITLE 49.-TRANSPORTATION

Chapter 1.-INTERSTATE COMMERCE ACT, PART I; GENERAL PROVISIONS AND RAILROAD AND PIPE LINE CARRIERS

CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in title 42 sections 4916, 4917; title 45 sections 561, 741, 744, 771, 791; title 48 section 751. § 1. Regulation in general; car service; alteration of line.

(16) Rerouting of traffic on failure of initial carrier to serve public.

(a) Whenever the Commission is of opinion that any carrier by railroad subject to this chapter is for any reason unable to transport the traffic offered it so as properly to serve the public, it may, upon the same procedure as provided in paragraph (15) of this section, make such just and reasonable directions with respect to the handling, routing, and movement of the traffic of such carrier and its distribution over other lines of roads, as in the opinion of the Commission will best promote the service in the interest of the public and the commerce of the people, and upon such terms as between the carriers as they may agree upon, or, in the event of their disagreement, as the Commission may after subsequent hearing find to be just and reasonable.

(b) Whenever any carrier by railroad is unable to transport the traffic offered it because

(1) its cash position makes its continuing operation impossible;

(2) it has been ordered to discontinue any service by a court; or

(3) it has abandoned service without obtaining a certificate from the Commission pursuant to this section;

the Commission may, upon the same procedure as provided in paragraph (15) of this section, make such just and reasonable directions with respect to the handling, routing, and movement of the traffic available to such carrier and its distribution over such carrier's lines, as in the opinion of the Commission will best promote the service in the interest of the public and the commerce of the people subject to the following conditions:

(A) Such direction shall be effective for no longer than 60 days unless extended by the Commission for cause shown for an additional designated period not to exceed 180 days.

(B) No such directions shall be issued that would cause a carrier to operate in violation of the Federal Railroad Safety Act of 1970 or that would substantially impair the ability of the carrier so directed to serve adequately its own patrons or to meet its outstanding common carrier obligations.

(C) The directed carrier shall not, by reason of such Commission direction, be deemed to have assumed or to become responsible for the debts of the other carrier.

Page 2111

(D) The directed carrier shall hire employees of the other carrier to the extent such employees had previously performed the directed service for the other carrier, and, as to such employees as shall be so hired, the directed carrier shall be deemed to have assumed all existing employment obligations and practices of the other carrier relating thereto, including, but not limited to, agreements governing rate of pay, rules and working conditions, and all employee protective conditions commencing with and for the duration of the direction.

(E) Any order of the Commission entered pursuant to this paragraph shall provide that if, for the period of its effectiveness, the cost, as hereinafter defined, of handling, routing, and moving the traffic of another carrier over the other carrier's lines of road shall exceed the direct revenues therefor, then upon request, payment shall be made to the directed carrier, in the manner hereinafter provided and within 90 days after expiration of such order, of a sum equal to the amount by which such cost has exceeded said revenues. The term "cost" shall mean those expenditures made or incurred in or attributable to the operations as directed, including the rental or lease of necessary equipment, plus an appropriate allocation of common expenses, overheads, and a reasonable profit. Such cost shall be then currently recorded by the carrier or carriers in such manner and on such forms as by general order may be prescribed by the Commission and shall be submitted to and subject to audit by the Commission. The Commission shall certify promptly to the Secretary of the Treasury the amount of payment to be made to said carrier or carriers under the provisions of this paragraph. Payments required to be made to a carrier under the provisions of this paragraph shall be made by the Secretary of the Treasury from funds hereby authorized to be appropriated in such amounts as may be necessary for the purpose of carrying out the provisions hereof.

(As amended Jan. 2, 1974, Pub. L. 93-236, title VI, § 601 (e), 87 Stat. 1021.)

REFERENCE IN TEXT

Federal Railroad Safety Act of 1970, referred to in subsec. (b) (3) (B), is classified to section 431 et seq. of Title 45, Railroads.

AMENDMENTS

1974-Pub. L. 93-236 designated existing provisions as subsec. (a) and added subsec. (b).

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 45 sections 702, 741.

§ 4. Long and short haul charges; competition with water routes.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 15a of this title.

§ 5. Combinations and consolidations of carriers.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 45 section 716.

§ 12. Authority and duties of Commission; witnesses; depositions.

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1655 of this title.

§ 13. Complaints to and investigations by Commission.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 15a, 1655 of this title.

§ 14. Reports and decisions of Commission.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1655 of this title. § 15a. Fair return for carriers.

(1) Definition of "rates".

When used in this section, the term "rates" means rates, fares, and charges, and all classifications, regulations, and practices relating thereto.

(2) Ratemaking criteria.

In the exercise of its power to prescribe just and reasonable rates the Commission shall give due consideration, among other factors, to the effect of rates on the movement of traffic by the carrier or carriers for which the rates are prescribed; to the need, in the public interest, of adequate and efficient railway transportation service at the lowest cost consistent with the furnishing of such service; and to the need of revenues sufficient to enable the carriers, under honest, economical, and efficient management to provide such service.

(3) Same; competition between carriers of different modes of transportation.

In a proceeding involving competition between carriers of different modes of transportation subject to this Act, the Commission, in determining whether a rate is lower than a reasonable minimum rate, shall consider the facts and circumstances attending the movement of the traffic by the carrier or carriers to which the rate is applicable. Rates of a carrier shall not be held up to a particular level to protect the traffic of any other mode of transportation, giving due consideration to the objectives of the national transportation policy declared in this Act.

(4) Adjustment of interstate rates.

(a) Duty of Commission; petitions; requirements and considerations.

The Commission shall by rule, on or before August 1, 1973, establish requirements for petitions for adjustment of interstate rates of common carriers subject to this chapter based upon increases in expenses of such carriers resulting from any increases in taxes under the Railroad Retirement Tax Act, as amended, occurring on or before January 1, 1975, or as a result of the enactment of the Railroad Retirement Amendments of 1973. Such requirements, established pursuant to section 553 of Title 5 (with time for comment limited so as to meet the required date for establishment and subject to future amendment or revocation), shall be designed to facilitate fair and expeditious action on any such petition as required in subparagraph (b) of

this paragraph by disclosing such information as the amount needed in rate increases to offset such increases in expenses and the availability of means other than a rate increase by which the carrier might absorb or offset such increases in expenses. (b) Same; interim rates; public notice requirement. Notwithstanding any other provision of law, the Commission shall, within thirty days of the filing of a verified petition in accordance with rules promulgated under subparagraph (a) of this paragraph, by any carrier or group of carriers subject to this chapter, permit the establishment of increases in the general level of the interstate rates of said carrier or carriers in an amount approximating that needed to offset increases in expenses theretofore experienced or demonstrably certain to occur commencing on or before the effective date of the increased rates, as a result of any increases in taxes under the Railroad Retirement Tax Act, as amended, occurring on or before January 1, 1975, or as a result of the enactment of the Railroad Retirement Amendments of 1973. Such increases in rates may be made effective on not more than thirty nor less than ten days' notice to the public, notwithstanding any outstanding orders of the Commission. To the extent necessary to effectuate their establishment, rates so increased shall be relieved from the provisions of section 4 of this title and may be published in tariff supplements of the kind ordinarily authorized in general increase proceedings. (c) Same; final rate determination; hearings, burden of proof; general ratemaking criteria; refunds, interest rate.

The Commission shall within sixty days from the date of establishment of interim rates under subparagraph (b) of this paragraph commence hearings for the purpose of making the final rate determination. The Commission shall then proceed to make such final rate determination with the carrier having the burden of proof. In making such determination, the Commission may take into account all factors appropriate to ratemaking generally under this chapter and shall determine such final rates under the standards and limitations applicable to ratemaking generally under this chapter. If the increases in rates finally authorized by the Commission are less than the increases in rates initially made effective, the carrier or carriers shall, subject to such tariff provisions as the Commission shall deem sufficient, make such refunds (in the amount by which the initially increased rate collected exceeds the finally authorized increased rate) as may be ordered by the Commission, plus a reasonable rate of interest as determined by the Commission. Nothing contained in this paragraph shall limit or otherwise affect the authority of the Commission to authorize or permit to become effective any increase in rates other than the increases herein specified. (d) Adjustment of intrastate rates. (A) Duty of State authority; petitions; interim rates; refunds, interest.

The State authority having jurisdicton over petitions for intrastate rate increases by any carrier or group of carriers subject to this chapter shall, within 60 days of the filing of a verified petition for such

increases based upon increases in expenses of such carriers as a result of any increases in taxes under the Railroad Retirement Tax Act, as amended, occurring on or before January 1, 1975, or as a result of the enactment of the Railroad Retirement Amendments of 1973, act upon said petition. Such State authority may grant an interim rate increase or a final rate increase. If such State authority grants any interim rate increases, it shall thereafter investigate and determine the reasonableness of such increases and modify them to the extent required by applicable law. To the extent that any such interim increases are reduced as a result of the action of a State authority, the carrier or carriers shall make such refunds (in the amount by which the initially increased rate collected exceeds the finally authorized increased rate) as may be ordered by such State authority, plus a reasonable rate of interest as determined by the State authority. (B) Same; action by Commission where complete denial or absence of timely action by State authority; grant of interim rates by Commission; final rate determination by State authority, refunds.

If a State authority denies in toto such a petition filed with it by such carrier or group of carriers seeking relief regarding such intrastate rate increases or does not act finally on such petition withn 60 days from the presentation thereof, the Commission shall, within 30 days of the filing of a verified petition by such carrier or group of carriers relating to such intrastate rates, act upon such petition by applying the ratemaking criteria of subparagraph (c) of this paragraph. If the Commisson grants, in whole or in part, such petition by any carrier or group of carriers, the increase authorized shall be considered as an interim rate increase as provided in subparagraph (A) above and shall be subject to final determination by the State authority in accordance with the procedures prescribed for interim intrastate rate increases as provided above, including the ordering of refunds by such State authority.

(C) Same; action by Commission where partial denial by State authority results in discrimination. If a State authority denies in part such a petition filed with it by such carrier or group of carriers, within 60 days from the presentation thereof, the Commission shall, within 30 days of the filing of a verified petition by such carrier or group of carriers relating to the intrastate rates involved, act upon such petition by applying the criteria of section 13(4) of this title.

(D) Same; stay of refund pending final order under section 13(4).

Nothing in subparagraph (A) or (B) shall be construed to abrogate the authority of the Commission under section 13 (4) of this title and in the event a carrier or group of carriers subject to a refund requirement under subparagraph (A) or (B) files a petition under section 13 (3) of this title, the refund requirement shall be stayed pending final order of the Commission under section 13 (4) of this title. (E) Reasonable level for increased freight rates; preservation of market patterns and relationships and port relationships.

Any increased freight rates authorized shall not exceed a reasonable level by types of traffic, com

[blocks in formation]

The Railroad Retirement Tax Act, referred to in subsecs. (4) (a), (b), (d) (A), is classified to chapter 22 (sec. 3201 et seq.) of title 26, Internal Revenue Code.

The Railroad Retirement Amendments of 1973, referred to in subsecs. (4) (a), (b), (d) (A), means the amendments made by Pub. L. 93-69. For complete classification of Pub. L. 93-69 to this Code, see Short Title note set out under section 228b of Title 45, Railroads.

AMENDMENTS

1973-Par. (4). Pub. L. 93-69 added par. (4).

SHORT TITLE

Section 202 of Pub. L. 93-69 provided that: "This title [enacting par. (4) of this section] may be cited as the 'Railroad Rate Adjustment Act of 1973'."

§§ 16, 18, 20.

SECTIONS REFERRED TO IN OTHER SECTIONS These sections are referred to in section 1655 of this title.

§ 22. Restrictions; quotations of rates for United States Government

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in title 45 section 546.

§ 26a. State or subdivision income tax withholding on compensation paid to interstate railroad, express company, or sleeping car company employees.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 26 section 6362.

Chapter 2.-LEGISLATION SUPPLEMENTARY TO "INTERSTATE COMMERCE ACT"

§ 66. Same; payment for transportation. (a) Deduction of overcharges.

Subject to such standards as shall be promulgated by the Secretary of the Treasury and the Comptroller General of the United States, payment for transportation of persons or property for or on behalf of the United States by any carrier or forwarder shall be made upon presentation of bills therefor, prior to audit or settlement by the General Accounting Office, but the right is reserved to the United States Government to deduct the amount of any overcharge by any carrier or forwarder from any amount subsequently found to be due such carrier or forwarder.

The term "overcharges" shall be deemed to mean charges for transportation services in excess of those applicable thereto under tariffs lawfully on file with the Interstate Commerce Commission, the Civil Aeronautics Board, the Federal Maritime Commission, and any State transportation regulatory agency, and charges in excess of those applicable thereto under rates, fares, and charges established pursuant to section 22 of this title, or other equivalent contract, arrangement, or exemption from regulation: Provided, however, That such deductions shall be made within three years (not including any

1 So in original.

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