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PREVENTION OF TIDAL FLOW INTO LARSON SLOUGH,

COOS BAY, OREG.

APRIL 21 (calendar day, APRIL 24), 1930.-Ordered to be printed

Mr. McNARY, from the Committee on Commerce, submitted the

following

REPORT

[To accompany S. 2898)

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The Committee on Commerce, to whom was referred the bill (S. 2898) granting the consent of Congress to the State of Oregon and the Larson Slough drainage district to construct, maintain, and operate a dam and a dike to prevent the flow of tidal waters into Larson Slough, Coos Bay, Coos County, Oreg., having considered the same, report favorably thereon and recommend that the bill do pass without amendment.

The bill has the approval of the War Department, as will appear by the annexed communication, which is made a part of this report and is as follows:

WAR DEPARTMENT, February 1, 1930. Respectfully returned to the chairman Committee on Commerce, United States Senate.

So far as the interests committed to this department are concerned, I know of no objection to the favorable consideration of the accompanying bill (S. 2898, 71st Cong., 2d sess.) granting the consent of Congress to the State of Oregon and the Larson Slough drainage district to construct, maintain, and operate a dam and dike to prevent the flow of tidal waters into Larson Slough, Coos Bay, Coos County, Oreg.

PATRICK J. HURLEY,

Secretary of War. O

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olst CONGRESS

2d Session

SENATE

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REPORT No. 520

LEASING OF OIL AND GAS DEPOSITS IN OR UNDER RAIL

ROAD AND OTHER RIGHTS OF WAY

APRIL 21 (calendar day, APRIL 24), 1930.-Ordered to be printed

Mr. NYE, from the Committee on Public Lands and Surveys,

submitted the following

REPORT

[To accompany H. R. 8154)

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The Committee on Public Lands and Surveys, to whom was referred the bill (H. R. 8154) providing for the lease of oil and gas deposits in or under railroad and other rights of way, having considered the same, report favorably thereon with the recommendation that the bill do pass with the following amendments:

On page 1, line 8, after the word®“ Provided” and the comma, beginning with the word “That” strike out all down to and including the word "individual” before the period in line 4, page 2, and insert in lieu thereof the following:

That except as hereinafter authorized no lease shall be executed hereunder except to the municipality, corporation, firm, association, or individual by whom such right of way was acquired, or to the lawful successor, assignee, or transferee of such municipality, corporation, firm, association, or individual.

On page 2, line 5, after the words "Sec. 2” and the period, beginning with the word "That” strike out all down to and including the word "individual” before the period in line 8, and insert in lieu thereof the following:

That the right conferred by this act may, subject to the approval of the Secretary of the Interior, be assigned or sublet by the owner thereof to any corporation, firm, association, or individual.

On page 2, line 9, after the words "Sec. 3” and the period, beginning with the word “That” strike out all down to and including the word "Interior" before the period in line 2, page 3, and insert in lieu thereof thereof the following:

That prior to the award of any lease under section 1 of this act, the Secretary of the Interior shall notify the owner or lessee of adjoining lands and allow him a reasonable time to be fixed in the notice given, within which to submit an offer or bid of the amount or percentage of compensatory royalty that such owner will agree to pay for the extraction through wells on his or its adjoining land, of the oil or gas under and from such adjoining right of way, and at the same time afford the holder of the railroad or other right of way, a like opportunity within the same time to submit its bid or offer as to the amount or percentage of royalty it will agree to pay, if a lease for the extraction of the oil and gas deposits under the right of way be awarded to the holder of such right of way. In case of competing offers by the said parties in interest, the Secretary shall award the right to extract the oil and gas to the bidder, duly qualified, making the offer in his opinion most advantageous to the United States. In case but one bid or offer is received after notice duly given, he may in his discretion award the right to extract the oil and gas to such bidder.

As amended, the bill would provide for competitive bids to be received by the Secretary of the Interior from the holder of the railroad or other right of way and/or the owner or lessee of adjoining lands for the right to extract the oil and gas from under the right of way.

The proposed legislation was requested by the Secretary of the Interior, because the United States has no disposable interest in the surface of lands across which easements and rights of way have been acquired under the public land laws. The result is that because of the lack of authority the oil and gas can be drained from easements and rights of way lands without remuneration to or control by the Government. The owner of the easement or right of way has no claim to the oil or gas and by reason of the narrowness of the easement and right of way the underlying oil and gas can not be disposed of or operated in terms of normal subdivision or units as is done with other lands.

The necessity for the proposed legislation is set forth in the following letter from the Secretary of the Interior, under date of December 27, 1929, requesting the introduction of S. 3074, which was identical with the House bill, H. R. 8154:

DEPARTMENT OF THE INTERIOR,

Washington, December 27, 1929. Hon. GERALD P. NYE, Chairman Committee on Public Lands and Surveys,

United States Senate. MY DEAR SENATOR NYE: It is desirable that authority be lodged in this department to safeguard the rights of the United States in deposits of oil and gas underlying easements and rights of way acquired, under the public land laws. Because of the lack of such authority in the department, the oil and gas can be drained from easement and right of way lands without remuneration to or control by the Government.

I inclose the draft of a bill for the consideration of your committee which will, if enacted into law, remedy the situation referred to.

The provisions of the suggested bill take into consideration the facts that the United States has no disposable interest in the surface of such lands; that the owner of the easement or right of way has no claim to the oil or gas; that, by reason of the extreme length and narrowness of easements and rights of way the underlying oil and gas can not be disposed of or operated in terms of normal subdivisions or units, and that if the drilling of excessive numbers of offset wells is to be avoided, the Secretary of the Interior must have the discretionary power conferred upon him. Very truly yours,

RAY LYMAN WILBUR. O

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DEFINING PRESERVE, JAM, JELLY, ETC., AND AMEND

ING THE FOOD AND DRUGS ACT OF 1906

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APRIL 21 (calendar day, APRIL 24), 1930.-Ordered to be printed

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Mr. TOWNSEND, from the Committee on Agriculture and Forestry,

submitted the following

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The Committee on Agriculture and Forestry, to whom was referred the bill (S. 3470) to define preserve, jam, jelly, and apple butter, to provide definitions and standards therefor, and to amend the food and drugs act of June 30, 1906, as amended, having considered the bill report it back with an amendment striking out all after the enacting clause and inserting in lieu thereof the following substitute, and as amended recommend its passage:

That for the purposes of the food and drugs act of June 30, 1906, as amended (U.S.C., title 21, secs. 1-15; U. S. C., Supp. III, title 21, sec. 11a)

(1) "Preserve' or “jam shall be understood to mean the clean, sound product possessing definite characteristic flavor of the fruit or fruits used in its preparation, made only by cooking to a pulpy or semisolid consistency properly prepared fresh fruit, cold-pack fruit, canned fruit, or a mixture of two or all of these, with one or more saccharine substances, in the proportion of not less than forty-five pounds of such fruit or mixture thereof to each fifty-five pounds of such saccharine substance or substances, and with or without spice and/or vinegar and/or pectin and/or pectinous preparations and/or harmless organic acids; except that when vinegar or pectin or à pectinous preparation or harmless organic acid is used the finished preserve or jam shall contain not less than 68 per centum by weight of water-soluble solids derived from the fruit and saccharine substances used in its manufacture.

(2) “Jelly" shall be understood to mean the clean, sound, semisolid, gelatinous product possessing definite characteristic flavor of the fruit or fruits used in its preparation, made only by concentrating to a suitable consistency the strained juice, or the strained water extract, from fresh fruit, from cold-pack fruit, from canned fruit, or from a mixture of two or all of these, with one or more saccharine substances, and with or without pectin and/or pectinous preparations and/or harmless organic acids; except that when pectin or a pectinous preparation or harmless organic acid is used, the finished jelly shall contain not less than 65 per centum by weight of water-soluble solids derived from the fruit and saccharine substances used in its manufacture, and its composition shall

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