complaint, at once, and if it so orders without answer or other formal pleading by the interested carrier or carriers, but upon reasonable notice, to enter upon a hearing concerning (1) the reasonableness or lawfulness of any through route or joint rate filed pursuant to such order of the commission, or (2) the reasonableness of any minimum differentials between all-rail rates and joint rates in connection with any water service, or (3) the reasonableness of any division of joint rates ordered by the commission under the provisions of this Act; and after full hearings the commission may make such order with reference to any such matters as it may find to be proper and in the public interest. At any such hearing the burden of proof concerning the unreasonableness or unlawfulness of any through route, joint rate, minimum differentials between all-rail rate and joint rate in connection with water service, or division of joint rates shall be upon the carrier or carriers making the complaint; and the commission shall give the hearing and decision of such questions preference over all other questions pending before it, except such questions as are given like preference by law, and decide the same as speedily as possible: Provided, That if the Inland Waterways Corporation sells or leases its transportation facilities to any person, firm, or corporation to be operated as a common carrier, such person, firm, or corporation shall be entitled to a certificate of public convenience and necessity upon making application therefor; and all through-traffic arrangements and joint tariffs with rules, regulations, and practices in connection therewith published by the Inland Waterways Corporation and filed with the Interstate Commerce Commission and participated in by other carriers shall remain in full force and effect between such carriers and the person, firm, or corporation purchasing or leasing such transportation facilities from the Inland Waterways Corporation and operating the same as common carriers until changed by order of the commission, except that such through-traffic arrangements and joint tariffs, with rules, regulations, and practices therewith, may be changed by mutual consent of the water carrier and the other participating carriers. Joint rail and water rates as herein used shall be deemed to include every movement of traffic in which a water line can participate.

(f) The operation of the transportation and terminal facilities under this Act shall be subject to the provisions of the Interstate Commerce Act, as amended, and to the provisions of the Shipping Act, 1916, as amended, in the same manner and to the same extent as if such facilities were privately owned and operated; and all vessels of the corporation operated and employed solely as merchant vessels shall be subject to all other laws, regulations, and liabilities governing merchant vessels. Sec. 3, act of June 3, 1924 (43 Stat. 361); sec. 2, act of May 29, 1928 (45 Stat. 978); act of June 16, 1934 (48 Stat. 968); act of August 29, 1935 (49 Stat. 958); 49 U. S. C. 153.

The Secretary of War is authorized to extend the services and operations of the Inland Waterways Corporation to the Savannah River, under the same terms and conditions as are prescribed for the extension of such services and operations to any tributary or connecting waterway of the Mississippi River in section 3 (b) of this Act, as amended by section 2 of the Act approved May 29, 1928 (45 Stat. 979). Sec. 7, added to act of June 3, 1924, by act of June 19, 1987 (50 Stat. 304); 49 U. 8. C. 157.

1879. Inland Waterways Corporation; advisory board.-(a) The Secretary of War shall appoint an advisory board of six members (hereinafter referred to as the "board") from individuals prominently identified with commercial or business interests in territory adjacent to the operations of the corporation. No member of the board shall be an officer, director, or employee of, or substantially interested in, any railroad corporation. Two of such members shall con

tinue in office for terms of one year, and the remaining four for terms of two, three, four, and five years, respectively, from the date of appointment, the term of each to be designated by the Secretary of War. Each successor shall be appointed by the Secretary of War for a term of five years from the date of the expiration of the term of the member whom he succeeds, except that any successor appointed to fill a vacancy occurring prior to the expiration of a term shall be appointed only for the unexpired term of the member whom he succeeds. A vacancy in the board shall not impair the powers of the remaining members to execute the functions of the board.

(b) The members shall receive no salary for their services on the board but, under regulations and in amounts prescribed by the Secretary of War, may be paid by the corporation a reasonable per diem compensation for attending meetings of the board and for time spent on special service of the corporation, and their traveling expenses to and from such meetings, or when assigned to such special service.

(c) In addition to the six members, the Secretary of War shall appoint an individual from civil life, or (notwithstanding section 1222 of the Revised Statutes or any other provision of law, or any rules or regulations issued thereunder) detail an officer from the Military Establishment of the United States as chairman of the board. Any officer so detailed at the date of the passage of this amendatory Act shall, during his term of office as chairman, have the rank, pay, and allowances of a major general, United States Army, and shall be exempt from the operation of any provision of law, or any rules or regulations issued thereunder, which limits the length of such detail or compels him to perform duty with troops. Any individual appointed from civil life shall, during his term of office as chairman, receive a salary not to exceed $10,000 a year, to be fixed by the Secretary of War. The Secretary of War may delegate to the chairman any of the functions vested in the Secretary by this Act.

(d) The board shall meet for organization purposes when and where called by the Secretary of War, and thereafter at such times and places as the Secretary deems necessary. The board shall consider matters submitted to it by the Secretary of War, and make recommendations thereon, and from time to time advise him and make recommendations in respect of the management and operation of existing facilities or the development and operation of new lines. Sec. 4, act of June 3, 1924 (43 Stat. 361); act of Feb. 28, 1927 (44 Stat. 1261); 49 U. S. C. 154.

1880. Inland Waterways Corporation; powers.-The corporation

(a) Shall have succession in its corporate name during its existence;

(b) May sue and be sued in its corporate name;

(c) May adopt a corporate seal, which shall be judicially noticed, and may alter it at pleasure;

(d) May make contracts;

(e) May acquire, hold, and dispose of property;

(f) May appoint, fix the compensation of, and remove such officers, employees, attorneys, and agents as are necessary for the transaction of the business of the corporation, define their duties, and require bonds of them, and fix the penalties thereof;

(g) May incur obligations, borrow money for temporary purposes, and issue notes or other evidences of indebtedness therefor, but the aggregate amount of the indebtedness at any time shall not exceed 25 per centum of the value of the assets at such time;

(h) May exercise any of the functions vested in the Secretary of War by sections 201 and 500 of the Transportation Act, 1920, as amended;

(1) May, in the exercise of such functions, conduct the business of a common carrier by water, and maintain, manage, and operate properties held for or used in the service of transportation or necessary or convenient to such use; and

(j) In addition to the powers specifically granted, shall have such powers as may be necessary or incidental to fulfill the purposes of its creation. Sec. 5, act of June 3, 1924 (43 Stat. 362); 49 U. S. C. 155.

Notes of Decisions

Purchase of bank stock. The Inland | entire capital stock is subscribed for and Waterways Corporation has the power and discretion under this section, in order to avoid or minimize losses growing out of the failure of the bank in which its funds are deposited, to participate in the organization of a new national bank and subscribe to the capital stock of same. (1933) 37 Op. Atty. Gen. 141.

Suits against.-Seaman who was injured on navigable waters while serving on vessel of Inland Waterways Corporation, whose

owned by United States, held not entitled to sue corporation at law at his election, since procedure against corporation is governed by Suits in Admiralty Act (Merchant Marine Act of 1920, sec. 33, 46 U. S. C. A. sec. 688; Suits in Admiralty Act of 1920, sec. 1, 46 U. S. C. A., sec. 741; 49 U. S. C. A. secs. 151, et seq., 152, 153 (f), 155 (b)). Sevin v. Inland Waterways Corp. (C. C. A., 1937), 88 F. (2d) 988.

1881. Inland Waterways Corporation; property, rights, duties, liabilities.— (a) The Secretary of War shall transfer to the corporation all assets transferred to or acquired, constructed, or operated by, or under the direction of, the Secretary of War, or which revert to the United States, under section 201 of the Transportation Act, 1920, as amended, or under the joint resolution entitled "Joint resolution to exempt the New York State Barge Canal from the provisions of section 201 of the Transportation Act, 1920, and for other purposes," approved February 27, 1921.

(b) The rights, privileges, and powers, and the duties and liabilities of the Secretary of War, or the inland and coastwise waterways service, in respect of any contract, loan, lease, account, or other obligation, under section 201 of such Act, or under such joint resolution, shall become the rights, privileges, and powers, and the duties and liabilities, respectively, of the corporation.

(c) All money available for expenditure or the making of loans under such joint resolution or section 201 of such Act, and all money repaid in pursuance of loans made under subdivision (c) of section 201 of such Act, shall be available for expenditure or the making of loans by the corporation under this Act.

(d) The enforcible claims of or against the Secretary of War for the inland and coastwise waterways service, in respect of the operation, construction, or acquisition of any such transportation facilities, shall become the claims of or against, and may be enforced by or against, the corporation.

(e) The Secretary of War shall adjust and appraise the value, at the time of transfer, of all assets transferred to the corporation under this Act, and such value shall be entered upon the books of the corporation.

(f) In the determination of the running of the statute of limitations or of any prescriptive right, the period of time shall be computed in the same manner as though this Act had not been passed. Sec. 6, act of June 3, 1924 (43 Stat. 362); 49 U. S. C. 156.

For acts referred to, see 1873, 1874, ante.

Notes of Decisions

Liabilities. The Inland Waterways Corporation. poration held not liable for damages for poration breach of a lease of tow boats, made by the 497. Secretary of War and devolving on the cor

Goltra v. Inland Waterways Cor(App. D. C., 1931), 49 F. (2d)

1882. Mississippi River Commission; establishment and personnel.--The President of the United States shall, by and with the advice and consent of the Senate, appoint seven commissioners, three of whom shall be selected from the Engineer Corps of the Army, one from the Coast and Geodetic Survey, and three from civil life, two of whom shall be civil engineers. And any vacancy which may occur in the commission shall in like manner be filled by the President of the United States; and he shall designate one of the commissioners appointed from the Engineer Corps of the Army to be president of the commission. The commissioners appointed from the Engineer Corps of the Army and the Coast and Geodetic Survey shall receive no other pay or compensation than is now allowed them by law, * and the commissioners appointed under this Act shall remain in office subject to removal by the President of the United States. Sec. 2, act of June 28, 1879 (21 Stat. 37); 33 U. S. C. 642.

* The salary of the president of the Mississippi River Commission shall hereafter be $10,000 per annum, and the salary of the other members of the commission shall hereafter be $7,500 per annum. The official salary of any officer of the United States Army or other branch of the Government appointed or employed under this Act shall be deducted from the amount of salary or compensation provided by, or which shall be fixed under, the terms of this Act. Sec. 8, act of May 15, 1928 (45 Stat. 537); 33 U. S. C. 702h.

1883. Mississippi River Commission; duties.-It shall be the duty of said commission to direct and complete such surveys of said river, between the Head of the Passes near its mouth to its headwaters as may now be in progress, and to make such additional surveys, examinations, and investigations, topographical, hydrographical, and hydrometrical, of said river and its tributaries, as may be deemed necessary by said commission to carry out the objects of this Act. And to enable said commission to complete such surveys, examinations, and investigations, the Secretary of War * shall place in the charge and for the use of said commission such vessel or vessels and such machinery and instruments as may be under his control and may be deemed necessary. * Sec. 3, act of June 28,

1879 (21 Stat. 37); 33 U. S. C. 647.

As to prosecution of flood-control work, see 1854, ante, et seq. 1884. Tennessee Valley Authority; establishment. That for the purpose of maintaining and operating the properties now owned by the United States in the vicinity of Muscle Shoals, Alabama, in the interest of the national defense and for agricultural and industrial development, and to improve navigation in the Tennessee River and to control the destructive flood waters in the Tennessee River and Mississippi River Basins, there is hereby created a body corporate by the name of the "Tennessee Valley Authority" (hereinafter referred to as the "Corporation"). The board of directors first appointed shall be deemed the incorporators, and the incorporation shall be held to have been effected from the date of the first meeting of the board. This Act may be cited as the "Tennessee Valley Authority Act of 1933." Sec. 1, act of May 18, 1933 (48 Stat. 58); 16 U. S. C. 831. A special joint congressional committee to investigate the Tennessee Valley Authority was authorized to be appointed by public resolution of April 4, 1938 (52 Stat. 154).

Notes of Decisions

In general. This section is a permissible | agency of the United States, is a public selection of means and agencies for the ac instrumentality and holds electric energy complishment of ends within the power of Congress. State of Alabama v. U. S. (1930), 38 F. (2d) 897, reversed on other grounds (1931), 282 U. S. 502.

The Tennessee Valley Authority, as an

generated at its dams in trust for the people of the whole country. Memphis Power & Light Co. v. City of Memphis (Tenn., 1937), 112 S. W. (2d) 817.

* * *

1885. Tennessee Valley Authority; cooperation by Executive Departments.— The board is hereby authorized (i) To request the assistance and advice of any officer, agent, or employee of any executive department or of any independent office of the United States, to enable the Corporation the better to carry out its powers successfully, and as far as practicable shall utilize the services of such officers, agents, and employees, and the President shall, if in his opinion, the public interest, service, or economy so require, direct that such assistance, advice, and service be rendered to the Corporation, and any individual that may be by the President directed to render such assistance, advice, and service shall be thereafter subject to the orders, rules, and regulations of the board: * * Sec. 5, act of May 18, 1933 (48 Stat. 61); 16 U. S. C. 831d. 1886. Tennessee Valley Authority; disposition of products.-The board is hereby authorized (j) Upon the requisition of the Secretary of War or the Secretary of the Navy to manufacture for and sell at cost to the United States explosives or their nitrogenous content.

*

(k) Upon the requisition of the Secretary of War the Corporation shall allot and deliver without charge to the War Department so much power as shall be necessary in the judgment of said Department for use in operation of all locks, lifts, or other facilities in aid of navigation.

*

(m) No products of the Corporation shall be sold for use outside of the United States, its Territories and possessions, except to the United States Government for the use of its Army and Navy, or to its allies in case of war. Sec. 5, act of May 18, 1933 (48 Stat. 62); 16 U. S. C. 831d.

Under authority of section 7 (b), act of May 18, 1933, supra (48 Stat. 63), certain lands in Alabama formerly reserved for the use of the War Department were transferred to the Tennessee Valley Authority by Executive Order No. 8059, March 3, 1939.

1887. Tennessee Valley Authority; sale of surplus power.-The board is hereby empowered and authorized to sell the surplus power not used in its operations, and for operation of locks and other works generated by it, to States, counties, municipalities, corporations, partnerships, or individuals, according to the policies hereinafter set forth; and to carry out said authority, the board is authorized to enter into contracts for such sale for a term not exceeding twenty years, and in the sale of such current by the board it shall give preference to States, counties, municipalities, and cooperative organizations of citizens or farmers, not organized or doing business for profit, but primarily for the purpose of supplying electricity to its own citizens or members: Provided, That all contracts made with private companies or individuals for the sale of power, which power is to be resold for a profit, shall contain a provision authorizing the board to cancel said contract upon five years' notice in writing, if the board needs said power to supply the demands of States, counties, or municipalities. In order to promote and encourage the fullest possible use of electric light and power on farms within reasonable distance of any of its transmission lines the board in its discretion shall have power to construct transmission lines to farms and small villages that are not otherwise supplied with electricity at reasonable rates, and to make such rules and regulations governing such sale and distribution of such electric power as in its judgment may be just and equitable: Provided further, That the board is hereby authorized and directed to make studies, experiments, and determinations to promote the wider and better use of electric power for agricultural and domestic use, or for small or local industries, and it may cooperate with State governments, or their subdivisions or agencies, with educational or research institutions, and with cooperatives or other organizations, in the application of electric power to the fuller and better balanced development of the resources of the region. Sec. 10, act of May 18, 1933 (48 Stat. 64); 16 U. S. C. 831i.