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GEOLOGICAL SURVEY

Amendment no. 100: Appropriates $140,000 for salaries in the District of Columbia, as proposed by the House, instead of $165,000, as proposed by the Senate.

Amendment no. 101: Increases to $3,000, as proposed by the Senate, the limitation on traveling expenses in attendance upon meetings, in lieu of $2,500, as proposed by the House.

Amendment no. 102: Appropriates $650,000 for topographic surveys, as proposed by the House, instead of $800,000, as proposed by the Senate.

Amendment no. 103: Makes $25,000 available for personal services in the District of Columbia, in connection with mineral resources of Alaska, instead of $34,000, as proposed by the Senate.

Amendments nos. 104 and 105: Appropriates $900,000 for gaging streams, instead of $800,000 as proposed by the House and $1,000,000 as proposed by the Senate; and provides that $700,000 of such sum shall be available only for cooperation with States or municipalities, instead of $600,000, as proposed by the House, and $800,000, as proposed by the Senate.

Amendment no. 106: Appropriates $60,000 for personal services in the District of Columbia in connection with the classification of lands, instead of $50,000 as proposed by the House and $70,000 as proposed by the Senate.

Amendments nos. 107 and 108: Appropriates $315,000 for mineral leasing, instead of $275,000 as proposed by the House and $350,000 as proposed by the Senate; and provides that $60,000 of such sum shall be available for personal services in the District of Columbia, as proposed by the House, instead of $75,000, as proposed by the Senate.

Amendment no. 109: Corrects a total.

BUREAU OF MINES

Amendments nos. 110 and 111: Appropriates $65,500 for salaries and expenses, as proposed by the House, instead of $68,380, as proposed by the Senate; and provides that not exceeding $52,000 shall be available for personal services in the District of Columbia, as proposed by the House, instead of $54,900, as proposed by the Senate. Amendment no. 112: Appropriates $624,000 for operating mine rescue cars and stations, instead of $615,000, as proposed by the House, and $637,500, as proposed by the Senate.

Amendment no. 113: Appropriates $250,400 for testing fuel, as proposed by the Senate, instead of $240,400, as proposed by the House.

Amendment no. 114: Appropriates $359,000 for mining experiment stations, instead of $305,000, as proposed by the House, and $388,850, as proposed by the Senate, the increase of $54,000 above the bill as passed by the House being provided for additional experimental work at the mining experiment station at Tuscaloosa, Ala.

Amendment no. 115: Appropriates $87,690 for the care of buildings and grounds at Pittsburgh and Bruceton, Pa., as proposed by the Senate, instead of $82,690, as proposed by the House.

Amendments nos. 116 and 117: Appropriates $300,000 for economics of mineral industries, instead of $274,790 as proposed by the House and $324,970 as proposed by the Senate; and provides

$225,000 for personal services in the District of Columbia, instead of $200,000 as proposed by the House and $262,700 as proposed by the Senate.

Amendment no. 118: Increases the limitation on expenditures for attendance upon meetings to $3,000, as proposed by the Senate, instead of $2,500, as proposed by the House.

Amendment no. 119: Corrects a total.

NATIONAL PARK SERVICE

Amendment no. 120: Appropriates $196,940 for salaries in the office of the Director, as proposed by the House, instead of $150,000, as proposed by the Senate.

Amendment no. 122: Appropriates $20,000 for improvement of the lighting system at the Oregon Caves National Monument, Oreg., as proposed by the Senate.

Amendment no. 126: Appropriates $24,000 for a survey of historic sites and buildings, as proposed by the House, instead of $50,000, as proposed by the Senate.

Amendments nos. 127 and 128: Appropriates $7,137,280, as proposed by the House, instead of $7,237,280, as proposed by the Senate, the effect of the two amendments as agreed to by the conferees being to deny an additional $100,000 for increases in the pay of custodial employees under this service.

OFFICE OF EDUCATION

Amendment no. 130: Appropriates $425,000 for salaries and expenses of administering the so-called George-Deen and Smith-Hughes Vocational Education Acts, as proposed by the Senate, instead of $350,000, as proposed by the House.

Amendment no. 131: Increases the limitation on expenditures for attendance upon meetings to $3,000, as proposed by the Senate, instead of $2,500, as proposed by the House.

AMENDMENTS IN DISAGREEMENT

The committee of conference report in disagreement the following amendments of the Senate:

Amendment no. 5: Relating to the purchase of furniture and equipment without regard to the provisions of section 3709 of the Revised Statutes.

Amendment no. 8: Relating to continuation during the fiscal year 1938 of the George Rogers Clark Sesquicentennial Commission and the unexpended balances of appropriations therefor.

Amendment no. 12: Relating to the appropriation for the Petroleum Conservation Division.

Amendment no. 24: Fixing the per-diem allowance which may be paid Indians traveling in connection with Indian organization work. Amendment no. 28: Authorizing contractual obligations to the extent of $500,000 in connection with the purchase of land for Indians. Amendment no. 30: Reappropriation of an unexpended balance in connection with the purchase of land for Indians in California.

Amendments nos. 35 and 37: Relating to the disposition of sheep on the Navajo Indian Reservation and authorizing loans to old and indigent Indians and for educational purposes for Indian youths.

Amendments nos. 46 and 53: Authorizing the Secretary of the Interior to enter into contracts not exceeding $750,000 in connection with the Colorado River irrigation project; and correcting the total of the several irrigation items.

Amendment no. 54: Relating to an appropriation of $100,000 for the improvement and extension of school buildings in Glacier County, Mont.

Amendment no. 73: Appropriating $2,000 from tribal funds for attorneys rendering service to the Creek Nation of Indians.

Amendment no. 74: Providing that section 2 of the act of August 12, 1935, shall not apply to the Five Civilized Tribes.

Amendment no. 87: Authorizing a per-capita payment of $50 each to members of the Menominee Tribe.

Amendment no. 89: Appropriating funds for construction of the Gila reclamation project in Arizona.

Amendment no. 90: Appropriating funds for beginning construction of the Colorado-Big Thompson project, Colorado.

Amendment no. 93: Appropriating funds for administrative expenses in connection with the construction of reclamation projects under the reclamation fund.

Amendment no. 94: Reappropriating unexpended balances of appropriations from the reclamation fund, contained in the Interior Department Appropriation Act, 1937.

Amendment no. 95: Correcting a total.

Amendment no. 97: Appropriating funds for general investigations in connection with proposed Federal reclamation projects, etc. Amendment no. 98: Correcting a total.

Amendment no. 121: Appropriating funds for the acquisition of a fish hatchery for Glacier National Park, Mont.

Amendment no. 123: Relating to the giving of educational lectures in the national parks.

Amendments nos. 124 and 125: Relating to the appropriation for continuing construction of the Blue Ridge and Natchez Trace Park

ways.

Amendment no. 129: Relating to the employment of per-diem workers and the hire of draft animals by the Director of the National Park Service.

Amendment no. 132: Appropriating $110,000 for defraying_the deficits in the treasuries of the municipalities of St. Thomas, St. John and St. Croix, Virgin Islands.

Amendment no. 133: Making available from and including July 1, 1937, appropriations contained in the act, and ratifying obligations incurred between June 30, 1937, and the date of approval.

Amendment no. 134: Correcting a section number.

JED JOHNSON,

J. G. SCRUGHAM,
JAMES M. FITZPATRICK,
CHAS. H. LEAVY,

Managers on the part of the House.

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1st Session

SUGAR ACT OF 1937

No. 1179

JULY 2, 1937.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed

Mr. JONES, from the Committee on Agriculture, submitted the

following

REPORT

[To accompany H. R. 7667]

The Committee on Agriculture, to whom was referred the bill (H. R. 7667) to regulate commerce among the several States, with the Territories and possessions of the United States, and with foreign countries; to protect the welfare of consumers of sugars and of those engaged in the domestic sugar-producing industry; to promote the export trade of the United States; to raise revenue; and for other purposes, having had the same under consideration, report it back to the House with amendments and recommend that the bill as amended do pass. The committee amendments are as follows:

On page 24, in the table between lines 2 and 3, strike out "30,000 to 50,000" and insert in lieu thereof "more than 30,000" and strike out the last line of the table.

On page 26, line 8, after the period insert the following:

Notwithstanding the foregoing exceptions, sugar in liquid form (regardless of its nonsugar solid content) which is to be used in the distillation of alcohol shall be considered manufactured sugar.

On page 29, line 20, strike out the comma following the word "EXPORTATION" and the words "LIVESTOCK FEED, AND DISTILLATION" and insert in lieu thereof the words "AND LIVESTOCK FEED".

On page 30, line 14, strike out "or for the distillation of alcohol,".

GENERAL STATEMENT

This bill has the purpose of providing for the stabilization of the sugar producing, refining, and importing industries.

The President in his message to Congress of March 1, 1937, stated that "The Jones-Costigan Act has been useful and effective and it is my belief that its principles should again be made effective." He recommended to the Congress "the enactment of the sugar-quota

system, and its necessa y complements, which will restore the operation of the principles on which the Jones-Costigan Act was based." He also recommended that adequate safeguards to protect all interests be provided in the legislation; that the consumer be protected against unreasonable prices; that our foreign markets be protected by retaining the shares of foreign countries in the established quotas; that if the domestic sugar industry is to obtain the advantage of a quota system it ought to be a good employer and to carry this out, legislation should prevent child labor and assure reasonable wages; that the small family size farm should be encouraged by the payment of higher benefits; and that an excise tax could and ought to be imposed on sugar manufacturing.

The committee is of opinion that the principles outlined in the President's message are essentials of adequate and fair sugar legislation and the bill reported herewith carries out these principles. In evolving this legislation the committee has held extensive hearings at which every interested party was heard. Following that, long executive sessions and frequent conferences with Government officials familiar with the sugar problem were held.

JONES-COSTIGAN ACT

Prior to the enactment of the Jones-Costigan Act the income of domestic producers of sugar had declined steadily for 3 years. The average return to sugar-beet growers had declined from 7.14 cents per ton of sugar beets harvested in 1930 to 5.94 cents in 1931, 5.26 in 1932, and 5.13 in 1933. The income of sugarcane growers showed a similar decline. The returns of sugar-beet processors declined after 1929 to a point where a majority of them were operating at a loss. Moreover, the revenue obtained by the Federal Government from sugar imported into this country dropped from an average of $125,000,000 for the 5year period 1925-29 to $63,000,000 in 1933.

Imports of Cuban sugar into this country dropped approximately 1,500,000 tons during the period from 1928 to 1932, and the total exports of American agricultural and industrial products to Cuba decreased from an average of more than $150,000,000 during the 5year period from 1925 to 1929 to $25,000,000 in 1933. The price of Cuban sugar in the American market had fallen below the cost of production and Cuba was suffering severe economic consequences.

In an attempt to correct these conditions Congress, in May 1934, enacted the Jones-Costigan Act. The act provided for quotas, benefit payments, and a tax. The results of the program under the act as thus constituted were, for the most part, encouraging. The returns to domestic producers of sugar were increased considerably. Sugarbeet growers, for example, obtained an average return, including benefit payments, of 6.91 per ton of sugar beets in 1934 and 6.90 in 1935, as compared with 5.26 per ton in 1932 and 5.13 cents in 1933.

By means of provisions in the production adjustment contracts, child labor in sugar production was nearly eliminated and the income of adult laborers was increased substantially. The net returns to sugar-beet and sugarcane processors were increased. The net revenue from sugar increased from $63,000,000 in 1933 to $69,000,000 in 1934, but showed a decline to $23,000,000 in 1935. The average unit prices paid by domestic consumers of sugar did not advance greatly. The national average retail price during 1933 was 5.4 cents, 5.6 in 1934,

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