85th Congress, S. 3100 AN ACT 72 Stat. 244. To provide transportation on Canadian vessels between ports in southeastern Alaska, and between Hyder, Alaska, and other points in southeastern Alaska or the continental United States, either directly or via a foreign port, or for any part of the transportation. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled. That, until June 30, Alaska. 1959, notwithstanding the provisions of law of the United States Transportation restricting to vessels of the United States the transportation of pas- on Canadian sengers and merchandise directly or indirectly from any port in the vessels, United States to another port of the United States, passengers may be transported on Canadian vessels between ports in southeastern Alaska, and passengers and merchandise may be transported on Canadian vessels between Hyder, Alaska, and other points in southeastern Alaska or the continental United States either directly or via a foreign port, or for any part of the transportation, unless the Secretary of Commerce determines that United States flag service is available to provide such transportation. Approved June 30, 1958. 85th Congress, H. R. 11451 July 15, 1958 AN ACT To authorize the construction and sale by the Federal Maritime Board of a superliner passenger vessel equivalent to the steamship United States, and a superliner passenger vessel for operation in the Pacific Ocean, and for other purposes. construction. 49 Stat. 1985. 46 USC 1245. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That it is necessary, Superliner in order to carry out the merchant marine policy declared in the Mer- passenger chant Marine Act, 1936, as amended, to have (a) a superliner passenger vessels, vessel equivalent to the steamship United States, to replace the steamship America for operation on an essential trade route in the North Atlantic, and (b) a superliner passenger vessel with capacity of approximately one thousand four hundred passengers for operation on an essential trade route in the Pacific Ocean. Nothing herein shall preclude the operation of either of these vessels in other areas, subject to the approval of the Federal Maritime Board. There is hereby authorized to be appropriated to the Department of Commerce such sums as may be necessary, to remain available until expended, for the construction, outfitting, and equipping of such vessels. SEC. 2. Concurrently with entering into contracts with shipbuilders Sale contracts. for the construction of said vessels, the Board is authorized to enter into contracts for the sale of the vessels, fully outfitted and equipped, 72 Stat. 359. upon their completion, (a) with respect to the superliner passenger Prices. vessel equivalent to the steamship United States, to the United States Lines Company, for the fixed price of $47,000,000, and (b) with respect to the superliner passenger vessel for operation in the Pacific Ocean, to the American President Lines, Limited, for the fixed price of $34,000,000, or 45 per centum of the domestic construction cost of the vessel fully outfitted and equipped (excluding national defense features and escalation) whichever is the greater. The sales prices stated herein shall include the cost of stabilizers, all outfit and equipment not covered by the shipbuilders' bids, customary architects and interior decorators' fees for design, inspection during construction, and all escalation provided for in the shipbuilders' bids: Provided, however, That such prices shall be increased in an amount equal to 45 per centum of any net change in the cost of the vessels (other than 72 Stat. 360. national defense features) arising out of any changes in the bid specifications approved by the Federal Maritime Board or any changes in the usual outfitting and equipping of the vessels if such changes are requested by the purchasers and approved by the Federal Maritime Board after the enactment hereof. Terms and conditions of payment Terms. of the purchase price shall be as provided for in sections 502 (c) and 46 USC 1152, 503 of the Merchant Marine Act, 1936, as amended. In order that 1153. such construction of the superliner passenger vessel equivalent to the steamship United States may be accomplished promptly, the Federal Maritime Board, in its discretion, may have such a vessel constructed, without further bidding, under outstanding bids which have hitherto been made by United States shipbuilders on a similar vessel. SEC. 3. Except as otherwise provided in this Act, the construction and sale of the superliner passenger vessels authorized by this Act shall be in accordance with the provisions of the Merchant Marine Act, 1936, as amended. SEC. 4. For the purposes of this Act the words "construction dif- "Construction ferential subsidy" used in the Merchant Marine Act, 1936, as amended, differential shall mean the difference between the sales price paid by the pursubsidy''. chaser hereunder and the cost of the vessel (less national defense features) including the cost of stabilizers, all outfit and equipment not Recapture provision. 46 USC 11711182. 72 Stat. 360. covered by the shipbuilders' bids, customary architects' and interior decorators' fees for design, inspection during construction, and all escalation provided for in the shipbuilders' bids. SEC. 5. Any contract for an operating differential subsidy on the operation of a vessel constructed and sold under this Act shall be subject to the provisions of title VI of the Merchant Marine Act, 1936, as amended: Provided, however, That such contract shall provide that, if at the end of any recapture period, the net profits on the operation of such vessel for such recapture period, computed without regard. to profits or losses on other vessels operated by the contractor, exceed 10 per centum per annum on a cumulative basis upon the contractor's capital necessarily employed in the operation of such vessel, as determined by the Federal Maritime Board, the contractor shall account to the United States for an amount equal to 75 per centum of such excess profits. Approved July 15, 1958. 85th Congress, H. R. 12739 July 15, 1958 AN ACT To amend section 1105 (b) of title XI (Federal Ship Mortgage Insurance) of the Merchant Marine Act, 1936, as amended, to implement the pledge of faith clause. 8 Insurance. 72 Stat. 358. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 1105 Vessels. (b) of the Merchant Marine Act, 1936, as amended (46 U. S. C. 1275 Federal Ship (b)), is amended by inserting at the end thereof the following sen- Mortga tences: "If at any time the moneys in the Federal Ship Mortgage Insurance Fund authorized by section 1102 of this Act are not sufficient to pay any amount the Secretary of Commerce is required to pay by subsection (a) of this section, the Secretary of Commerce is authorized to issue to the Secretary of the Treasury notes or other obligations in such forms and denominations, bearing such maturities, and subject to such terms and conditions as may be prescribed by the Secretary of Commerce, with the approval of the Secretary of the Treasury. Such notes or other obligations shall bear interest at a rate determined by the Secretary of the Treasury, taking into consideration the current average market yield on outstanding marketa- 72 Stat. 359. ble obligations of the United States of comparable maturities during the month preceding the issuance of such notes or other obligations. The Secretary of the Treasury is authorized and directed to purchase any notes and other obligations to be issued hereunder and for such purpose he is authorized to use as a public debt transaction the proceeds from the sale of any securities issued under the Second Liberty Bond Act, as amended, and the purposes for which securities 40 Stat. 288. may be issued under such Act, as amended, are extended to include 31 USC 774(2). any purchases of such notes and obligations. The Secretary of the Treasury may at any time sell any of the notes or other obligations acquired by him under this section. All redemptions, purchases, and sales by the Secretary of the Treasury of such notes or other obligations shall be treated as public debt transactions of the United States. Funds borrowed under this section shall be deposited in the Federal Ship Mortgage Insurance Fund and redemptions of such notes and obligations shall be made by the Secretary of Commerce from such Fund." Approved July 15, 1958. 62555 O-60-52 To authorize the transfer of naval vessels to friendly foreign countries. 70A Stat. 452. Be it enacted by the Senate a. d House of Representatives of the United States of America in Congress assembled, That, notwith- Vessels. standing section 7307 of title 10, United States Code, or any other Transfer to law, the President may extend the loan of one aircraft carrier to the foreign counGovernment of France until June 30, 1960, and may in addition lend tries. or otherwise make available to friendly foreign nations, from the reserve fleet, on such terms and under such conditions as he deems appropriate, destroyers, destroyer escorts, and submarines, as follows: (1) North Atlantic Treaty Organization and European Area (the Federal Republic of Germany, Greece, Italy, Norway, Spain and Turkey) not to exceed nineteen ships; (2) Latin American area (Argentina, Brazil, Chile, Colombia, Cuba, Ecuador, Peru and Uruguay) not to exceed eighteen ships; (3) far eastern area (Japan, Taiwan, and Thailand) not to exceed four ships; and (4) a pool of not to exceed two such ships to be loaned to friendly nations in an emergency. The President may promulgate such rules and regulations as he deems necessary to carry out the provisions of this Act. SEC. 2. Loans under this Act shall be for periods not exceeding five Loans. years. All loans shall be made on the condition that they may be Condition. terminated at an earlier date if necessitated by the defense requirements of the United States. SEC. 3. All expenses involved in the activation, rehabilitation, and Expenses of outfitting, including repairs, alterations, and logistic support, of ves- repairs, etc. sels transferred under this Act shall be charged to funds programed for the recipient government under the Mutual Security Act of 1954, 68 Stat. 832. SEC. 4. No vessel may be made available under this Act unless the Report to advised of all transfers under this Act. date. SEC. 5. The authority of the President to transfer naval vessels Termination under this Act terminates on December 31, 1960. Approved July 18, 1958. |