award or payment under such Acts, shall be punished by a fine or not [less than $100 nor] more than $10,000 or by imprisonment not exceeding one year. SEPARABILITY SEC. [12] 14. If any provision of this Act or the Railroad Retirement Act of 1935, or the application thereof to any person or [circumstances, is] circumstance, should be held invalid, the remainder of [the] such Act, or the application of such provision to other persons or circumstances, shall not be affected thereby. RAILROAD RETIREMENT ACCOUNT SEC. 15. (a) There is hereby created an account in the Treasury of the United States to be known as the Railroad Retirement Account. There is hereby authorized to be appropriated to the account for each fiscal year, beginning with the fiscal year ending June 30, 1937, as an annual premium an amount sufficient, with a reasonable margin for contingencies, to provide for the payment of all annuities, pensions, and death benefits in accordance with the provisions of this Act and the Railroad Retirement Act of 1935. Such amount shall be based on such tables of mortality as the Railroad Retirement Board shall from time to time adopt, and on an interest rate of 3 per centum per annum compounded annually. The Railroad Retirement Board shall submit annually to the Bureau of the Budget an estimate of the appropriation to be made to the account. (b) At the request and direction of the Board it shall be the duty of the Secretary of the Treasury to invest such portion of the amounts credited to the account as, in the judgment of the Board, is not immediately required for the payment of annuities, pensions, and death benefits in accordance with the provisions of this Act and the Railroad Retirement Act of 1935 in interest-bearing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States. For such purpose such obligations may be acquired on original issue at par or by purchase of outstanding obligations at the market price. The purposes for which obligations of the United States may be issued under the Second Liberty Bond Act, as amended, are hereby extended to authorize the issuance at par of special obligations exclusively to the account. Such special obligations shall bear interest at the rate of 3 per centum per annum. Obligations other than such special obligations may be acquired for the account only on such terms as to provide an inves'ment yield of not less than 3 per centum per annum. It shall be the duty of the Secretary of the Treasury to sell and dispose of obligations in the account if it shall be in the interest of the account so to do. Any obligations acquired by the account, except special obligations issued exclusively to the account, may be sold at the market price. Special obligations issued exclusively to the account shall, at the request of the Board, be redeemed at par plus accrued interest. All amounts credited to the account shall be available for the payment of all annuities, pensions, and death benefits in accordance with the provisions of this Act and the Railroad Retirement Act of 1935. (c) The Board is hereby authorized and directed to select two actuaries, one from recommendations made by representatives of employees and the other from recommendations made by representatives of carriers. These actuaries, along with a third who shall be designated by the Secretary of the Treasury, shall be known as the actuarial advisory committee with respect to the Railroad Retirement Account. The committee shall examine the actuarial reports and valuations made by the Railroad Retirement Board and shall have authority to recommend to the Board such changes in actuarial methods as they may deem necessary. The compensation of the members of the committee of actuaries, exclusive of the member designated by the Secretary, shall be fixed by the Board on a per-diem basis. (d) The Board shall include in its annual report a statement of the status and the operations of the Railroad Retirement Account. At intervals not longer than three years the Board shall make a valuation of the liabilities created by this Act and the Railroad Retirement Act of 1935 having due regard for the recommendations of the actuarial advisory committee with respect to the Railroad Retirement Account and shall include such valuation in its annual report. [APPROPRIATION AUTHORIZED SEC. 13. The appropriation of such money from time to time out of the Treas ury of the United States as may be necessary to carry this Act into effect, is hereby authorized.] APPROPRIATION FOR ADMINISTRATIVE EXPENSES SEO. 16 There is hereby authorized to be appropriated from time to time such sums as may be necessary to provide for the expenses of the Board in administering the provisions of this Act and the Railroad Retirement Act of 1935. [SHORT TITLE SEC. 14. This Act may be cited as the "Railroad Retirement Act of 1935".] NOTE.-Section 201 of the bill reads as follows: "SEC. 201. The Act entitled 'An Act to establish a retirement system for employees of carriers subject to the Interstate Commerce Act, and for other purposes', approved August 29, 1935, as in force prior to its amendment by part I of this Act, may be cited as the 'Railroad Retirement Act of 1935'; and such Act, as amended by part I of this Act, may be cited as the 'Railroad Retirement Act of 1937.' SOCIAL SECURITY ACT SEC. [15] 17. The term "employment", as defined in subsection (b) of section 210 of title II of the Social Security Act, shall not include service performed [in the employ of a carrier as defined in subdivision (a) of section 1 of the Railroad Retirement Act of 1935] by an individual as an employee as defined in section 1 (b). FREE TRANSPORTATION SEC. 18. It shall not be unlawful for carriers by railroad subject to this Act to furnish free transportation to individuals receiving annuities or pensions under this Act or the Railroad Retirement Act of 1935 in the same manner as such transportation is furnished to employees in their service. O 1st Session No. 1070 ACQUISITION OF PUYALLUP INDIAN TRIBAL SCHOOL PROPERTY FOR SANATORIUM PURPOSES JUNE 21, 1937.-Committed to the Committee of the Whole House on the state of the Union and ordered to be printed Mr. HILL of Washington, from the Committee on Indian Affairs, submitted the following REPORT [To accompany H. R. 4290] The Committee on Indian Affairs, to whom was referred the bill (H. R. 4290) to authorize acquisition of complete title to the Puyallup Indian Tribal School property at Tacoma, Wash., for Indian-sanatorium purposes, having considered the same, report thereon with a recommendation that it do pass without amendment. The Tacoma United States (Indian) Hospital was started in 1929 with Dr. John N. Alley as medical superintendent in charge and head of the institution. The 30-acre tract includes about 10 large and 20 small buildings, namely: 4 main tuberculosis wards, 1 with a diet kitchen; 1 surgery building with a diet kitchen; a schoolhouse where the first 8 grades are taught; a vocational-training building; a main kitchen and dining room; a Protestant meeting house; a Catholic meeting house; homes of employees; clubhouse for the nurses. It has its own laundry, water supply, and heating system. It is the largest Indian hospital in the United States, but all buildings are old; there is no elevator service (stretchers are used); patients represent tribes from almost every State in the Union and Alaska with the service unlimited to them. The present facilities are insufficient, but the doctors go ahead and do their work with the few conveniences and despite the handicaps. There are 233 beds with a continual overflow and no vacant beds. The average number of patients is 241. The annual appropriation is $200,000. A consultant staff of seven specialists from the city of Tacoma is available on call. There are five staff doctors, including one full-time dentist. There are 75 regular employees, with extra help from time to time. Fifty percent of em ployees are civil service. The rest come under civil service but are excepted positions. (They are local people from the surrounding vicinity.) A modernized hospital is needed and needed badly. The entire place is rented from the Puyallup Tribe. The tribe is willing to sell to the Government and have accepted the appraisal of $228,525, desiring per-capita payment. The grounds and buildings have been appraised by a committee, which included some of the tribal members. To date $200,000 has already been invested on permanent improvements. These are the heating system, waterworks, sewers and tunnels, and paving. Points in favor of keeping the hospital here and of having the Government purchase property from the Puyallup Tribe are: The site is ideal. It is on the edge of the city limits, on a hillside overlooking the city and countryside. The location is handy and close to conveniences. Transportation-near railroads, highways, boats, etc. Water supply is unexcelled, plentiful, and cheap. Everything about it is up to date. Permanent improvements are already there. The following is a letter from the Acting Secretary of the Interior relative to this legislation: Hon. WILL ROGERS, THE SECRETARY OF THE INTERIOR, Chairman, Committee on Indian Affairs, House of Representatives. MY DEAR MR. CHAIRMAN: Further reference is made to your letter requesting a report on H. R. 4290, a bill to authorize acquisition of complete title to the Puyallup Indian tribal school property at Tacoma, Wash., for Indian sanatorium purposes. As stated in the bill, this property embraces 38.50 acres of land, identified as tract no. 6, containing 7.78 acres, and tract no. 7, containing 30.72 acres. It is part of the Puyallup Indian tribal lands that were embraced in the Indian addition to the city of Tacoma, Wash., under the act of March 3, 1889 (27 Stat. 633). The property has been used for school and hospital purposes over a period of years and has been leased by the Indian Service since July 1, 1929, for Indiansanatorium purposes. In 1931 the Indians expressed a desire to sell to the Government. Under instructions issued by this Department on March 31 of that year, a board of appraisers was formed and the property appraised. Tract no. 6, unimproved, was appraised at $1,000 per acre, or $7,780. In addition thereto there was included the value of 55 front lots, 25 feet wide, at $500 each, or $27,500, making a total appraisement of $35,280. The 30.72 acres comprising tract no. 7, were appraised at $1,500 per acre, or $46,080, including water tank and main, hydrants, steam and sewer lines. In this instance there was also included the value of 45 front lots, 25 feet wide, at $500 each, or $22,500, making a total appraisement of $68,500 on tract no. 7, exclusive of the value of any buildings. This tract also contains 31 buildings erected between 1898 and 1916, with tribal funds, at a cost of $170,258. These buildings were appraised at $124,665. The total value of the land, buildings, and improvements comprising tract no. 7 was $193,245. The entire value of the land and improvements was $228,525, which is the amount mentioned in the bill. Title is to be conveyed to the United States by such form of relinquishment or deed as may be found necessary completely to extinguish the interests of the Indians. The annual rental for Indian-sanatorium purposes is $9,000, plus the yearly premium of fire insurance, amounting to $965. Since the property was taken over by the Indian Service on July 1, 1929. $107,500 of Government funds have been used in making repairs, rehabilitating the heating system, and improving the water supply. Also, the sum of $24,275 was expended by the Government in erecting 10 buildings on tract no. 7 between the years 1874 and 1930. The Government has more than $131,000 invested in the property in the form of buildings and improvements. In addition to the improvements mentioned above, and since the appraisal in 1931, many other improvements of a permanent nature which greatly enhance the value of the property have been made. Five acres of swamp land facing the street |