83D CONGRESS 2d Session } SENATE { REPORT No. 1502 AMENDING THE COMMODITY EXCHANGE ACT SO AS TO INCLUDE ONIONS JUNE 3 (legislative day, MAY 13), 1954.-Ordered to be printed Mr. AIKEN, from the Committee on Agriculture and Forestry, submitted the following REPORT [To accompany H. R. 6435] The Committee on Agriculture and Forestry, to whom was referred the bill (H. R. 6435) to amend the Commodity Exchange Act, having considered the same, report thereon with a recommendation that it do pass with an amendment. This bill would include onions in the commodities for which futures trading is subject to regulation under the Commodity Exchange Act. The purpose of the bill and the amendment recommended by your committee are fully explained in the following letter from the Department of Agriculture. Hon. GEORGE D. AIKEN, DEPARTMENT OF AGRICULTURE, Chairman, Committee on Agriculture and Forestry, United States Senate. DEAR SENATOR AIKEN: This is in reply to your letter of February 22 enclosing H. R. 6435 for consideration and report. This bill would amend the Commodity Exchange Act, as amended, by extending its provisions to onions, thus subjecting futures trading in onions to regulation under the Commodity Exchange Act. In view of the perishable nature of the commodity and its susceptibility to wide price fluctuations, both before and since the advent of futures trading in onions, regulation of such trading under the Commodity Exchange Act could not reasonably be expected to prevent the wide seasonal price swings traditional in the marketing of onions. Enactment of the bill would, however, enable the Department to obtain the facts as to what takes place in the onion futures market and to deny trading privileges thereon to any person found, after notice and opportunity for hearing, to have engaged in manipulative trading or other unlawful trade practices. Also, information developed through investigations and reports required under authority of the Commodity Exchange Act could provide a factual basis for determining whether futures trading in onions serves the public interest or whether the Congress should consider legislation looking to the drastic curtailment or prohibition of such trading. Should the bill meet with the approval of the committee, we suggest that the following be added as section 2 thereof: "SEC. 2. This Act shall take effect sixty days after the date of its enactment." The suggested amendment would provide necessary opportunity for the consideration of applications of commodity exchanges for designation as contract markets for onions. The Department estimates that the enactment of H. R. 6435 would necessitate an additional annual appropriation of approximately $40,000 for the enforcement of the Commodity Exchange Act. The Bureau of the Budget advises that, from the standpoint of the program of the President, there is no objection to the submission of this report. Sincerely yours, TRUE D. MORSE, Under Secretary. CHANGES IN EXISTING LAW In compliance with subsection (4) of rule XXIX of the Standing Rules of the Senate, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italics, existing law in which no change is proposed is shown in roman): COMMODITY EXCHANGE ACT, AS AMENDED * SEC. 2. (a) For the purposes of this Act "contract of sale" shall be held to include sales, agreements of sale and agreements to sell. The word "person" shall be construed to import the plural or singular, and shall include individuals, associations, partnerships, corporations, and trusts. The word "commodity" shall mean wheat, cotton, rice, corn, oats, barley, rye, flaxseed, grain sorghums, mill feeds, butter, eggs, onions, Solanum tuberosum (Irish potatoes), wool tops, fats and oils (including lard, tallow, cottonseed oil, peanut oil, soybean oil and all other fats and oils), cottonseed meal, cottonseed, peanuts, soybeans and soybean meal. ✶✶ ✶ 83D CONGRESS 2d Session } SENATE '{ REPORT No. 1503 CONSENT TO TRANSFER OF FORT BUFORD SITE TO NORTH DAKOTA JUNE 3 (legislative day, MAY 13), 1954.-Ordered to be printed Mr. YOUNG, from the Committee on Agriculture and Forestry, submitted the following REPORT [To accompany H. R. 107] The Committee on Agriculture and Forestry, to whom was referred the bill (H. R. 107) to provide for the transfer of the site of the original Fort Buford, N. Dak., to the State of North Dakota, having considered the same, report thereon with a recommendation that it do pass without amendment. This bill would authorize the Secretary of Agriculture to consent to the conveyance of certain land, as is more fully described in the attached report to the House of Representatives by the Committee on Agriculture (H. Rept. 891). No property rights of the United States are involved. House Report 891 is as follows: [H. Rept. No. 891, 83d Cong., 1st sess.] The Committee on Agriculture, to whom was referred the bill (H. R. 107) to provide for the transfer of the site of the original Fort Buford, N. Dak., to the State of North Dakota, having considered the same, report favorably thereon with amendment and recommend that the bill, as amended, do pass. The amendment is as follows: On page 1, after the enacting clause, strike out through line 10 and substitute in lieu thereof the following: "That, notwithstanding the provisions of the Act of May 3, 1950 (64 Stat. 98; 40 U. S. C. 440), the Secretary of Agriculture is authorized to consent to a grant, donation, and conveyance by the North Dakota Rural Rehabilitation Corporation to the State of North Dakota, for the use of the North Dakota State Historical Society, of that portion of the site of the original Fort Buford, North Dakota, which is more particularly described as follows:". STATEMENT This bill, as amended, authorizes the Secretary of Agriculture to consent to the conveyance by the North Dakota Rural Rehabilitation Corp. to the State of North Dakota of a certain portion of the site of the original Fort Buford, for the use of the North Dakota State Historical Society. As originally introduced, January 3, 1953, the bill authorized and directed the Secretary to convey this property by deed to North Dakota, but subsequently the land in question was transferred (on February 21, 1953) to the North Dakota Rural Rehabilitation Corp. and now is held by this corporation for such ruralrehabilitation purposes as are permissible under its charter as may be agreed upon by the corporation and the Secretary of Agriculture. Therefore, your committee has amended the bill to accomplish its original purpose by changing the language to embrace the changed circumstances brought about by the transfer of this property on February 21, 1953. The bill conditions the conveyance (or consent of the Secretary) upon the consent of the Legislative Assembly of the State of North Dakota and the North Dakota Rural Rehabilita tion Corp. It requires expenditure of no Federal funds. The hearings on this bill developed some of the history of old Fort Buford that should be a part of the record of this legislation. This information was presented for Mr. Burdick, author of the bill: The site of what was to become Fort Buford was used as a trading post as early as 1774 by the Northwest Fur Co. of Montreal, competitor of the Hudson's Bay Co. The trading post was short-lived, but in 1821 a second trading post, Fort Floyd, was located in the same general area. This post continued until 1827, when the American Fur Co. bought it out. This company flourished, and the imposing Fort Union had replaced Fort Floyd, on the same location, by 1829. In 1833 Fort William was completed 21⁄2 miles away, but the last was heard of this trading post sometime in the early 1840's. Fort Union and Fort William were, of course, competitors for the fur trade. In 1866 the Government decided to build Fort Buford, as a military post, where it could better regulate traffic with the Indians. A 33-mile area was established as a military reservation. Buford was built adjacent to Fort Union, with some of the materials being taken from the oid post. Fort Buford became the base for operations against hostile Indians, and troops from there accepted the surrender of Sitting Bull upon his return from Canada, where he had taken refuge after the Custer massacre. It also was used as a camp for captured Indian prisoners, and at one time held more than a thousand. The fort was closed by the Government about 1895, and many of the buildings were torn down or moved away. There are a few remaining buildings however, and a military cemetery, all neglected. Through H. R. 107 history-minded citizens of the area and the North Dakota State Historical Society hope to restore the Fort Buford site to impress its history on future citizens. Hon. CLIFFORD R. HOPE, Chairman, Committee on Agriculture, House of Representatives. JULY 7, 1953. DEAR MR. HOPE: This is in reply to your request of May 7, 1953, for the recommendations of this Department on H. R. 107, a bill to provide for the transfer of the site of the origina! Fort Buford, N. Dak., to the State of North Dakota. The bill directs the Secretary, upon the assent of the North Dakota Assembly and the North Dakota Rural Rehabilitation Corp. to convey by deed to North Dakota for the use of North Dakota State Historical Society any United States interest in a certain portion of the original Fort Buford, N. Dak, site as described in the bill. The land described in H. R. 107, 83d Congress, 1st session, has, since introduction of the bill on January 3, 1953, been transferred (on February 21, 1953) to the North Dakota Rural Rehabilitation Corp. pursuant to its application of December 29, 1952, and is now held by said corporation for such of the ruralrehabilitation purposes permissible under its charter as may from time to time be agreed upon by the corporation and the Secretary of Agriculture or his delegates This Department's responsibility with respect to the property is (1) regarding the rural-rehabilitation purposes for which the property shall be used, and (2) in determining that such agreed purposes are being carried out. It is therefore recommended that the bill be changed to provide "That notwithstanding the provisions of the Act of May 3, 1950 (64 Stat. 98; 40 U. S. C. 440), the Secretary of Agriculture is authorized to consent to a grant, donation, and conveyance by the North Dakota Rural Rehabilitation Corporation to the State of North Dakota, for the use of the North Dakota State Historical Society, of that portion of the site of the original Fort Buford, North Dakota, which is more particularly described as follows: ***” Since the bill conditions the conveyance (or consent of the Secretary) upon the consent of the Legislative Assembly of the State of North Dakota and the North Dakota Rural Rehabilitation Corp., we believe that the bill would not have an adverse effect on any programs of this Department. The bill will require the expenditure of no Federal funds. For the foregoing reasons, we recommend that the bill be enacted. The Bureau of the Budget advises that there is no objection to the submission of this report. Sincerely yours, TRUE D. MORSE, 58003-55 S. Repts., 83-2, vol. 3-67 |