29 1946 CONTENTS Statement of— W. R. Arrington, 135 South LaSalle Street, Chicago, Ill., representing Carl H. Bier, general chairman, Brotherhood of Railway Clerks, repre- senting employees working for forwarding companies in the United Paul W. Brown, traffic manager, Sears, Roebuck & Co., Chicago, John T. Corbett, assistant grand chief engineer and national legisla- tive representative, Brotherhood of Locomotive Engineers, Wash- John M. Costello, general manager, Washington, D. C., office of Los John F. Coyle, chairman, transportation council, Associated Indus- tries of New York State, Inc., Rochester, N. Y. Lewis T. Cuthbert, Norristown, Pa., traffic manager for the American- Franklin-Olean Tile Co. of Lansdale, Pa Earl Girard, general manager, Chicago-Milwaukee Motor Carriers Conference, and Chicago Suburban Motor Carriers Association__-- Wallace Green, traffic manager of Huey & Philp Hardware Co., J. M. Hood, president, American Shortline Railroad Association, Page 209 69 75 219 John B. Keeler, president and assistant general traffic manager, Koppers Co., Pittsburgh, Pa., representing the Industrial Traffic Ernest J. Leger, traffic manager, Johnson & Johnson, New Brunswick, 213 Ervin Manske, general traffic manager, Allis-Chalmers Manufacturing Giles Morrow, executive secretary and general counsel, Freight John L. Rogers, Chairman, Interstate Commerce Commission. Frank R. Russell, traffic manager, Denver Dry Goods Co., Denver, 3, 232 192 120 107 Walter M. W. Splawn, Interstate Commerce Commission. Thomas J. Townsend, traffic manager, Sullivan Machinery Co., Carl I. Wheat, attorney at law, Shoreham Building, Washington, D. C., representing the Shippers Consolidators Institute__ Telegrams, letters and written statements submitted by- Hart, E. L., secretary, Atlanta Freight Bureau, Atlanta, Ga.. Kerr, Joseph G., 101 Marietta Street Building, Atlanta, Ga.. Conn, Donald, D., executive vice president, Transportation Association of Fred A. Virkus, chairman, the Conference of American Small Business 199 SERVICES OF FREIGHT FORWARDERS FRIDAY, FEBRUARY 8, 1946 UNITED STATES SENATE, COMMITTEE ON INTERSTATE COMMERCE, Washington, D. C. The committee met at 10 a. m., pursuant to call, in the Capitol, Senator Burton K. Wheeler, chairman, presiding. Present: Senators Wheeler (chairman), Tunnell, Johnson, Johnston, Mitchell, Austin, Reed, and Hawkes. The CHAIRMAN. The committee will please come to order. This morning we are beginning hearings on H. R. 2764, an act to amend section 409 of the Interstate Commerce Act, with respect to the utilization by freight forwarders of the services of common carriers by motor vehicle. H. R. 2764 is a companion bill to S. 797 which I introduced. The bill will be made a part of the record at this point. (The bill under consideration, H. R. 2764, is as follows:) [H. R. 2764, 79th Cong., 2d sess.] AN ACT To amend section 409 of the Interstate Commerce Act, with respect to the utilization by freight forwarders of the services of common carriers by motor vehicle Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 409 of the Interstate Commerce Act, as amended, is amended to read as follows: "UTILIZATION BY FREIGHT FORWARDERS OF SERVICES OF COMMON CARRIERS BY MOTOR VEHICLE "SEC. 409. (a) (1) The Commission shall at the earliest practicable time determine and by order prescribe the reasonable, just, and equitable terms and conditions, including terms and conditions governing the determination and fixing of the compensation to be paid or observed, under which freight forwarders subject to this part may utilize the services and instrumentalities of common carriers by motor vehicle subject to part II of this Act, under agreements between such freight forwarders and common carriers (which agreements may be required by the Commission to be subject to its approval, disapproval, or modification), in such manner as will be in furtherance of the national transportation policy declared in this Act: Provided, That in the case of line haul transportation between concentration points and break-bulk points in truckload lots, such terms and conditions shall not permit payment to common carriers by motor vehicle of compensation which is lower than would be received under rates or charges established under part II of this Act, except to the extent that such lower compensation is found by the Commission to be justified by reason of the conditions under which the services and instrumentalities of common carriers by motor vehicle are utilized by freight forwarders and the character of the services performed by common carriers by motor vehicle and by freight forwarders. "(2) The Commission, when it has prescribed such terms and conditions, shall by order specify a reasonable time after which subsection (b) of this section shall no longer be effective; and the order or orders issued under this paragraph 1 |