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(e) Subsection (g) of section 307 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(g) Whenever there shall be filed with the Commission any schedule (except a schedule referred to in section 322) stating a new rate, fare, charge, classification, regulation, or practice for the interstate or foreign transportation of passengers or property by a common carrier or carriers by water, the Commission may upon protest of interested parties or upon its own initiative at once, and if it so orders, without answer or other formal pleading by such carrier or carriers, but upon reasonable notice, enter upon an investigation concerning the lawfulness of such rate, fare, charge, classification, regulation, or practice. "Pending such hearing and the decision thereon, the Commission may from time to time suspend the operation of such schedule and defer the use of such rate, fare, charge, classification, regulation, or practice, for a period not longer than three months beyond the time when it would otherwise go into effect but only if it determines on the basis of factual information furnished by sworn complaint, affidavit, or other evidence, furnished by the complainant, or as a result of its own investigation, (1) that the rate, fare, charge, classification, regulation, or practice would probably be unlawful, and (2) that making such rate, fare, charge, classification, regulation, or practice effective would result in injury to the complainant, and (3) that remedies available to the complainant would, in the absence of suspension, be inadequate; and the Commission shall file with such schedule and deliver to the carrier or carriers affected thereby a statement in writing of its reasons for the suspension. After hearing, whether completed before or after the rate, fare, charge, classification, regulation, or practice goes into effect, the Commission may make such order with reference thereto, as would be proper in a proceeding instituted after such rate, fare, charge, classification, regulation, or practice had become effective. If the proceeding shall not have been concluded and an order made within the period of suspension, the proposed rate, fare, charge, classification, regulation, or practice shall go into effect at the end of such period: Provided, however, That this subsection shall not apply to any initial schedule filed prior to October 1, 1941, by any such carrier (other than a carrier subject, at the time this part takes effect, to the provisions of the Intercoastal Shipping Act, 1933, as amended, or the Shipping Act, 1916, as amended) insofar as such schedule names rates on traffic, or for services connected therewith, as to which such carrier was in bona fide operation on January 1, 1940. At any hearing involving a change in a rate, fare, charge, or classification, or in a rule, regulation, or practice, the burden of proof shall be upon the carrier filing the schedule to show that the proposed rate, fare, charge, classification, rule, regulation, or practice is lawful, unless the complainant is also a carrier."

(f) Subsection (h) of section 307 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(h) Whenever, after hearing, upon complaint or upon its own initiative, the Commission finds that any minimum rate or charge of any contract carrier by water, or any rule, regulation, or practice of any such carrier affecting such minimum rate or charge, or the value of the service thereunder, contravenes the national transportation policy declared in this Act, or is in contravention of any provision of this Act, the Commission may prescribe such just and reasonable minimum rate or charge, or such rule, regulation or practice as in its judgment may be necessary or desirable in the public interest and will not be in contravention of any provision of this Act. Such minimum rate or charge, or such rule, regulation, or practice, so prescribed by the Commission, shall give no advantage or preference to any such carrier in competition with any common carrier subject to this Act, which the Commission may find to be undue or inconsistent with the public interest and the national transportation policy declared in this Act, and the Commission shall give due consideration to the cost of the services rendered by such contract carriers. All complaints shall state fully the facts complained of and the reasons for such complaint and shall be made under oath."

(g) Subsection (i) of section 307 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(i) Whenever there shall be filed with the Commission by any such contract carrier any schedule (except a schedule referred to in section 322) stating a charge for a new service or a reduced charge, directly or by means of any rule, regulation, or practice, for transportation in interstate or foreign commerce, the Commission may upon complaint of interested parties or upon its own initiative

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at once and, if it so orders, without answer or other formal pleading by the interested party, but upon reasonable notice, enter upon a hearing concerning the lawfulness of such charge, or such rule, regulation, or practice.

"Pending such hearing and the decision thereon, the Commission may from time to time suspend the operation of such schedule and defer the use of such charge, or such rule, regulation, or practice, for a period not longer than three months beyond the time when it would otherwise go into effect, but only if it determines on the basis of factual information by sworn complaint, affidavit or other evidence, furnished by the complainant, or as a result of its own investigation, (1) that the charge, rule, regulation, or practice would probably be unlawful, and (2) that making such charge, rule, regulation, or practice effective would result in injury to the complainant, and (3) that remedies available to the complainant would in the absence of suspension, be inadequate; and the Commission shall file with such schedule and deliver to the carrier affected by such suspension a statement in writing of the reasons for the suspension. After hearing, whether completed before or after the charge, or rule, regulation or practice goes into effect, the Commission may make such order with reference thereto as would be proper in a proceeding instituted after it had become effective. If the proceeding has not been concluded and an order made within the period of suspension, the proposed change in any charge or rule, regulation, or practice shall go into effect at the end of such period: Provided, That this subsection shall not apply to any initial schedule filed prior to October 1, 1941, by any such carrier (other than a carrier subject, at the time this part takes effect, to the provisions of the Intercoastal Shipping Act, 1933, as amended, or the Shipping Act, 1916, as amended) insofar as such schedule names charges on traffic, or for services connected therewith, as to which such carrier was in bona fide operation on January 1, 1940. The rule as to burden of proof specified in subsection (g) of this section shall apply to this subsection."

SEC. 18. (a) Subsection (a) of section 309 of the Interstate Commerce Act, as amended, is amended by inserting the designation "(1)" after "(a)", and by adding at the end thereof two new subparagraphs reading as follows:

"(2) Unless otherwise specifically indicated in such certificate, the holder of any certificate heretofore issued under this section, or hereafter issued under this section pursuant to an application filed on or before the date on which this paragraph takes effect, specifically authorizing the holder thereof to engage as a common carrier by water in the transportation of commodities in bulk over any route or routes or between any ports, may without making application under this section engage, to the same extent and subject to the same terms, conditions, and limitations, as a common carrier by water in the transportation of commodities in interstate or foreign commerce as specified in such certificate.

"(3) Subject to the provisions of section 310, if any such carrier or a predecessor in interest was in bona fide operation as a common carrier by water in the transportation of bulk commodities pursuant to the exemption of former section 303 (b) on January 1, 1955, over the route or routes or between the ports with respect to which application is made and has so operated since that time (or, if engaged in furnishing seasonal service only, was in bona fide operation during the seasonal period, prior to or including such date, for operations of the character in question) except, in either event, as to interruptions of service over which the applicant or its predecessor in interest had no control, the Commission shall issue such certificate without requiring further proof that public convenience and necessity will be served by such operation, and without further proceedings, if application for such certificate is made to the Commission as provided in subsection (b) of this section and prior to the expiration of one hundred and eighty days after this section takes effect. Pending the determination of any such application, the continuance of such operation shall be lawful. Any person, not included within the foregoing provision, who is engaged in such transportation of bulk commodities as a common carrier by water when this subparagraph takes effect may continue such operation for a period of one hundred and eighty days thereafter without a certificate and if application for such certificate is made to the Commission within such period, the continuance of such operation shall be lawful pending the determination of such application."

(b) Subsection (f) of section 309 of the Interstate Commerce Act, as amended, is amended by inserting the designation "(1)" after "(f)", and by adding at the end thereof two new subparagraphs reading as follows:

"(2) Unless otherwise specifically indicated in such permit, the holder of any permit heretofore issued under this section, or hereafter issued under this section

pursuant to an application filed on or before the date on which this paragraph takes effect, specifically authorizing the holder thereof to engage as a contract carrier by water in the transportation of commodities in bulk over any route or routes or between any ports, may without making application under this section engage, to the same extent and subject to the same terms, conditions, and limitations, as a contract carrier by water in the transportation of such commodities as specified in such permit.

"(3) Subject to the provisions of section 310, if any such carrier or a predecessor in interest was in bona fide operation as a contract carrier by water in the transportation of bulk commodities pursuant to the exemption of former section 303 (b) on January 1, 1955, over the route or routes or between the ports with respect to which application is made and has so operated since that time (or, if engaged in furnishing seasonal service only, was in bona fide operation during the seasonal period, prior to or including such date, for operations of the character in question) except, in either event, as to interruptions of service over which the applicant or its predecessor in interest had no control, the Commission shall issue such permit, without further proceedings, if application for such permit is made to the Commission as provided in subsection (g) of this section and prior to the expiration of one hundred and eighty days after this section takes effect. Pending the determination of any such application, the continuance of such operation shall be lawful. Any person, not included within the foregoing provision, who is engaged in such transportation of bulk commodities as a contract carrier by water when this subparagraph takes effect may continue such operation for a period of one hundred and eighty days thereafter without a permit, and, if application for such permit is made to the Commission within such period, the continuance of such operation shall be lawful pending the determination of such application."

SEC. 19. Subsection (c) of section 402 of the Interstate Commerce Act, as amended, is amended (1) by inserting after “(c)" the following: "(1) Except as provided in paragraph (2) of this subsection", and (2) by adding a new paragraph at the end thereof reading as follows:

"(2) After hearing in an investigation institute on its own motion or upon complaint the Commission, by order, shall make the exemption provided for by paragraph (1) inapplicable to any person if it finds that the activities of such person are not being conducted solely for the purpose, and within the limitations, specified in such paragraph, or that making such exemption inapplicable to such person is necessary to carry out the purposes of this part and the national transportation policy declared in this Act. In the administration of this paragraph the Commission shall consider, among other things which in its opinion are pertinent and relevant, the facts and circumstances surrounding the organization and establishment of such activities; the scope of the activities, geographically and as to commodities handled and persons served; the basis of charges, if any, for the service or services provided; and the extent such activities are in competition with the services of freight forwarders subject to this part."

SEC. 20. Subsection (a) of section 404 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(a) It shall be the duty of every freight forwarder to provide and furnish, upon reasonable request therefor, the service subject to this part covered by its permit issued under this part, and to establish, observe, and enforce rates, charges, and classifications, regulations, and practices relating thereto which result in charges not less than just and reasonable minimum charges nor more than just and reasonable maximum charges and just and reasonable regulations and practices relating thereto and to the issuance, form, and substance of receipts and bills of lading, the manner and method of presenting, marking, packing, and delivering property for transportation in service subject to this part, the facilities for such transportation, and all other matters relating to or connected with such transportation and every rate, charge, classification, regulation, or practice resulting in less than just and reasonable minimum charges or more than just and reasonable maximum charges for the service, services, or part thereof covered thereby is prohibited and declared to be unlawful."

SEC. 21. (a) Subsection (b) of section 406 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(b) Whenever, after hearing, upon complaint or in an investigation upon its own initiative, the Commission shall be of opinion that any rate or charge demanded, charged or collected for service subject to this part, or any classification, regulation, or practice relating thereto is or will be in contravention of

any provision of this part, it shall determine and prescribe the lawful reasonable minimum or maximum rate or charge thereafter to be observed or the lawful relationship, classification, regulation, or practice thereafter to be made effective."

(b) Subsection (c) of section 406 of the Interstate Commerce Act, as amended, is amended by striking out the words "justness or reasonablness" in the first clause thereof, and inserting in lieu thereof the word "lawfulness."

(c) Subsection (d) of section 406 of the Interstate Commerce Act, as amended, is hereby repealed.

(d) Subsection (e) of section 406 of the Interstate Commerce Act, as amended, is amended to read as follows:

"(e) Wherever there shall be filed with the Commission, under this part, any tariff stating a new rate, charge, classification, regulation, or practice, the Commission may upon complaint or upon its own initiative at once, and, if it so orders, without answer or other formal pleading, but upon reasonable notice, enter upon an investigation concerning the lawfulness of such rate, charge, classification, regulation, or practice.

"Pending such hearing and the decision thereon, the Commission may from time to time suspend the operation of such tariff and defer the use of such rate, charge, classification, regulation, or practice, for a period not longer than three months beyond the time when it would otherwise go into effect, but only if it determines on the basis of factual information by sworn complaint, affidavit, or other evidence, furnished by the complainant, or a result of its own investigation, (1) that the rate, charge, classification, regulation, or practice would probably be unlawful, and (2) that making such rate, fare, charge, classification, regulation, or practice effective would result in injury to the complainant, and (3) that remedies available to the complainant would, in the absence of suspension, be inadequate; and the Commission shall file with such tariff and deliver to the freight forwarder affected thereby a statement in writing of its reasons for the suspension. After hearing, whether completed before or after the rate, charge, classification, regulation, or practice goes into effect, the Commission may make such order with reference thereto as would be proper in a proceeding instituted after such rate, charge, classification, regulation, or practice had become effective. If the proceeding shall not have been concluded and an order made within the period of suspension, the proposed rate, charge, classification, regulation, or practice shall go into effect at the end of such period, which period shall not be extended by agreement or otherwise: Provided, however, That subject to section 405 (b), this subsection shall not apply to any initial tariff filed prior to the expiration of ninety days after the date of enactment of this part. At any hearing involving a change in a rate, charge, or a classification, or in a rule, regulation, or practice, the burden of proof shall be upon the freight forwarder or carrier filing the tariff to show that the proposed changed rate, charge, classification, rule, regulation, or practice is lawful, unless the complainant is also a freight forwarder or carrier."

(e) Subsection (f) of section 406 of the Interstate Commerce Act, as amended, is amended (1) by inserting in the first sentence after "made or imposed by authority of any State," the words "or any State service requirement (including any constitutional, statutory, administrative, or judicial requirement to provide, operate, or maintain freight forwarder service or facilities, or the refusal or omission of any State agency or tribunal having jurisdiction upon application, request, or notice duly presented thereto, to authorize or permit discontinuance or curtailment of such service or facilities within one hundred and eighty days after the presentation of such application)," and (2) by amending the last two sentences thereof to read as follows: "Whenever in any such investigation the Commission, after full hearing, finds that any such rate, charge, classification, regulation, or practice causes any undue or unreasonable advantage, preference, or prejudice as between persons or localities in intrastate commerce on the one hand and interstate commerce on the other hand, or any undue, unreasonable or unjust discrimination against interstate commerce, or that any such service requirement causes or will cause a net loss in revenue to the freight forwarder or forwarders involved, or otherwise unduly burdens or will burden interstate commerce, all of which are hereby forbidden and declared to be unlawful, it shall determine and prescribe such just and reasonable minimum or maximum rate, fare, or charge, thereafter to be charged, and the classification, regulation, practice, or service requirement thereafter to be observed: Provided, That in any such investigation involving a State service requirement the Commission shall not issue such order prescribing or requiring curtailment or discontinuance of

service covered thereby unless it finds that there is or will be available to the public reasonably adequate service in lieu thereof by other carriers or modes of transport (including private carriage) in the event of discontinuance or curtailment of the particular service or facility involved. Such order or orders shall be observed while in effect by the freight forwarders parties to such proceeding affected thereby, the law of any State or the decision or order of any State authority to the contrary notwithstanding."

SEC. 22. Section 418 of the Interstate Commerce Act, as amended, is amended (1) by inserting the word "or" before "common carriers by motor vehicle exempted under the provisions of section 204 (a) (4a) of this Act.", and (2) by striking therefrom "common carriers by water engaged in transportation exempted under the provisions of section 303 (b) of this Act."

SEC. 23. (a) Subsection (a) of section 321 of the Transportation Act of 1940 (49 U. S. C. 65) is amended (1) by amending the phrase "Sections 1 (7) and 22" to read "Sections 1 (7) and 15a (5)", and (2) by striking out the word "commercial" and inserting "tariff" in lieu thereof.

(b) Nothing in this section shall be construed to affect the validity of any free or reduced rates, fares or charges for transportation service rendered prior to the effective date hereof.

SEC. 24. (a) Any person holding a valid permit to operate as a contract carrier by motor vehicle as defined by former section 203 (a) (15) of the Interstate Commerce Act, as amended, or as a contract carrier by water as defined by former section 302 (e) of such Act, when this section takes effect shall elect to operate hereafter (1) as a contract carrier by motor vehicle or by water on the one hand, or (2) as a common carrier by motor vehicle or by water on the other hand, and shall advise the Interstate Commerce Commission in writing, under such regulations as the Commission may prescribe, of its election within one hundred and eighty days after the effective date of this section. The Commission shall investigate and determine, after reasonable opportunity for hearing, the character of operations authorized by each such permit, and shall, after giving due consideration to the statement of election filed by each such carrier as required by this section, and without further proceedings, issue to the carrier a confirmed or amended permit, or a certificate of public convenience and necessity, whichever is appropriate, authorizing the continuance of such operations in conformity with the amended definitions hereof. Pending determination of such investigation, the continuance of such operation as previously authorized shall be lawful.

(b) Any person who, when this section takes effect, is engaging in transportation as a private carrier of property by motor vehicle which was exempt under the provisions of section 203 (a) 17 of the Interstate Commerce Act, as amended, prior to its amendment by this Act, but which becomes subject to the provisions of part II because of such amendment, may continue to engage in such transportation for a period of one hundred and eighty days without a certificate or permit covering such transportation. If application for a certificate or permit covering such transportation is made to the Commission within such period, the Commission shall, after investigation and opportunity for hearing but without further proceedings, issue to such person a certificate or permit, whichever is appropriate, authorizing transportation which was previously exempted. Pending the issuance of a certificate or permit, the continuance of such transportation as previously authorized shall be lawful.

SEC. 25. Outstanding effective orders prescribing minimum, maximum, or maximum-and-minimum rates, fares, or charges, or issued under section 4 of the Interstate Commerce Act, as amended, prior to its amendment by this Act, shall Lot have any force and effect with respect to rates, fares, or charges filed one hundred and eighty days after the enactment hereof.

SEC. 26. Sections 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 15, 16, 17, 20, 21, and 23 shall take effect one hundred and eighty days after the enactment hereof. All other sections hereof shall take effect upon enactment.

(NOTE.-H. R. 6142 is not printed because identical to H. R. 6141.)

[H. R. 525, 84th Cong., 1st sess.]

A BILL To amend section 22 of the Interstate Commerce Act, as amended, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 22 of the Interstate Commerce Act, as amended (U. S. C., 1946 edition, title 49, sec. 22), is hereby further amended by striking from the first clause of the first sentence thereof the words

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