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id) At the time of signing the ship's articles, the seaman shall surrender his continuous discharge book to the muster and it shall be kept in the mister's custody until the seaman is discharged from the vessel The distinguishing number of the book stall be entered in the articles on the same line as the se... an's signature When a seaman is left in a hospital in a foreign port the master shall leave the book in the custody of the nearest United States consul When a waman is left in a hospital in an American port the master shall leave The book in the custody of the shipping commissioner at such port, and in both soh instines, there shall be made in the et innous discharge book by the nəvət⋅r the entry, left in hospit il', plue and date If the wat in deserts, the master st all return the book to the United States shipping comanis, ter at the port of a pment

"ie) The Director of the Burwin of Navigation and Steamboat Inspection Is author god to make such rules and regulations as the necess IV to administer this section and to insure the autenticity of the discharge books inted, and the identity of the owners thereof “

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SECTION 901 All the power and authority vested in the United States Shipping Board or the United States Shipping Board Emergenes Fleet Corporntion or the United States Shipping Board Merchant Fleet Corporation by the Shipping Act, 1916, the Merchant Marine Act, 1929, the Merchant Marine Act 192% the Intercoastal Shipping A ↑ 193 and the Act authorizing suits In admiralty against the United States, and so forth approved March 9 1920, and not by this Act transferred to aid vested in the Authority, are hereby transferred to and vested in the Secretary of Commerce

RULES AND REGULATIONS

Suc. 902 The Authority shall prescribe and publish such rules and regu atins not inconsistent with the provisions, purpose, and intent of th• Act as may be necessary to the efficient administration of the function with which it is charged under this Act.

TITLE X MISCELLANEOUS

APPROPRIATIONS

SECTION 1001 There are hereby auta ize! to be appropriated such suns as are necessary to carry out the provisions of this Act

Sp 102 To aid in carrying out the peliv and primary purpose of this Act, there is hereby authorized to be appropriated from time to time such sums as may be necessary, for expenditure by the Authority, for trade pr mo fun porposes for operating ships or hues of ships which have been or may taken over by the United States and when not inconsistent with the pabe terest to insure a fir rate to shipters of Americ in goods to enable Amerien ship operators to carry an equitable so s′′e of our foreigt, commerce, or to Paure vessels of American registry equitable consideration in confe ence harements,

TRANSITE OF APPROPRIATIONS

Src 1000 (0) All appropriations and "nexpen·led bilances of appropriations available for expenditure by the United States Shirping Board Burean, with wey'd other{w he ripplicable to functions transferred by this Act, in ludng the fund appropria'ed to enable the United States Shirping Board Mer he at Fleet Corporation to operate ships or lines of ships which have been or may be taken back from purchasers by reason of competition or offer methoes eployed by foreign ship owners or operators as appropriated under the In dependent Offices A; propriation A ↑ for the final veur 1927 and respirapolated nder the Appr priation A t of February 20, 1929, «till be ava? 2*p* penditure by the Authority for any and all obects of expen hirure wat? razed by this Act in the dis retion of the Authority, with out regard to t'e require. IA * of apportiorment enter the Antidefletemov A ↑ of February 27 1'} (b) All appropriations and neexper de 194'arces of aupropriations av (}} @ for expen fiture by the Post Offe De r'met for Foren Mail Servi e. Mer hant Marine Act" under the Mer hant Marine Act of 1928 shall be

available for expenditure by the Authority in the same manner and to the same extent as if the Authority had been named in the law making such appropriations.

REQUISITION OF VESSELS

SEC. 1004. Section 702 of the Merchant Marine Act, 1928, is hereby amended to read as follows:

66

66 REQUISITION OF VESSELS

SEC. 702. (a) The following vessels may be taken over and purchased or used by the United States for national defense or during any national emergency declared by proclamation of the President:

"(1) Any vessel in respect of which, under a contract heretofore or hereafter entered into, a loan is made from the construction-loan fund created by section 11 of the Merchant Marine Act, 1920, as amended-at any time until the principal and interest of the loan have been paid; and

"(2) Any vessel in respect of which an ocean-mail contract has been heretofore or is hereafter entered into-at any time during the period for which the contract is in effect.

"(3) Any vessel in respect of which a construction or operating subsidy or shipping trade promotion aid is granted pursuant to the Merchant Marine Act, 1935, and any vessel which the Government of the United States has the right to acquire or take over pursuant to such Act.

"(b) In such event the ownershall be paid the fair actual value of the vessel at the time of taking, or paid the fair compensation for its use based upon such fair actual value; but in neither case shall such fair actual value be enhanced by the causes necessitating the taking. In the case of a vessel taken over and used, but not purchased, the vessel shall be restored to the owner in a condition at least as good as when taken, less reasonable wear and tear, or the owner shall be paid an amount for reconditioning sufficient to place the vessel in such condition. The owner shall not be paid for any consequential damages arising from such taking over and purchase or use.

"(c) The President shall ascertain the fair compensation for such taking over and purchase or use and shall certify to Congress the amount so found by him to be due, for appropriation and payment to the person entitled thereto. If the amount so fixed by the President is unsatisfactory to the person entitled thereto, such person shall be entitled to sue the United States for the amount of such fair compensation, and such suit shall be brought in the manner provided by paragraph 20 of section 24 or by section 145 of the Judicial Code. as amended (U. S. C., title 28, secs. 41, 250)."

CONFERENCES

SEC. 1005. To aid in carrying out the primary purpose and intent of this Act, the Authority is authorized to have its representatives sitting with and participating in discussions or decisions of pools, conferences, and associations having for their general purpose the distribution of traffic, fixing of rates, and such other matters as are usually the subject of such organizations, and for any such organization to refuse or fail to permit an accredited representative or representatives of the Authority to sit with and participate in such discussions or decisions, shall render such organization, its officers and directors, or each of them, liable to a fine of $

SEC. 1006. The Authority shall have the power to permit members of conferences to enter into contracts with shippers providing for a return of a stipulated part of freight moneys to the shipper in consideration of the shipper confining his shipments to lines and vessels which are members of the conference.

ANNUAL REPORTS

SEC. 1007. (a) The Authority shall make an annual report to the President of the administration of the functions with which it is charged, including statements relating to the grants of financial aid under this Act.

(b) The Authority shall also, on or before the 1st day of December in each year, make a report to Congress, which shall include the results of its investigations, a summary of its transactions, its recommendations for legislation, a statement of all receipts under this act and the purposes for which all expenditures were made, and the names and compensation of all persons employed by the Authority.

Suc. 1008. All mails of the United States carried on vessels between ports between which it is inwful under the navigation laws for a vesel not documented under the laws of the United States to carry merchandise shall, if practi abie, be carried on vessels in respect of which a contract is made under this title,

UNFAIR COMPETITION OB PRACTICES

SEC. 1000. The Authority shall have full power and authority to use any funds not designated for other purposes to give aid and support to the holder of any contract under this Act, in meeting any unfair competition or practice by any foreign vessels or vessel, together with the power and authority to aid and support a "fighting ship" as defined in paragraph 2 of section 14 of the Shipping Act of 1916, and to use said money in the aid and support of such ship.

DEFINITIONS

Suc 1010 When used in this Act —

(a) The words "foreign trade" mean trade between the United States, its ferritories or possessions, or the District of Columbia, and a fore gn country. The loading or the unloading of cargo, mail, or passengers at any port in any territory or possession of the United States shall be deemed to be foreign trade if the stop at such territory or possessiofà in an intermediate stop on what would otherwise be a voyage in foreiần trade, and

(b) The term “citizen of the United States includes a corporation, partdership, or association only if it is a citizen of the United States within the meaning of section 3% of the Merchant Marine Act, 1950, as amended (U. 8 €, titie 46, rec, NC),

(c). The term “person includes corporations, partnerships, and associations existing under or authorized by the laws of the United States, or any State, territory, District, or possession thereof, or of any foreign country.

SEPARABILITY CLAUSE

Sve 1011 If any provision of this Act, or the app'eation thereof to any person or circumstance, is held invalid, the remainder of the Act, and the appli m'on of such provision to other persons or circumstances shall not be affected thereby.

BEPLALA

Sir 1012 All Acts and parts of Acts inconsistent with the provisions of this Act are hereby repealed, but the provisions of this Act so all not be construed to repeal any of the provisions of the Shipp′g Act, 1918, the Merchant Marine Act, 1920 the Merchant Marine Act 1928, or the Intercoastal Stopping Act, 1933, unless directly in confl et there with

SHORT TITLE

Săc, 1013. This Act may be cited as the " Merchant Act, 1935 **

BLAND BILL

[Committee print no. 2, Apr. 30, 1935, H. R. 7521, 74th Cong., 1st sess.]

[Omit the part struck through and insert the part printed in italics]

A BILL To develop a strong American merchant marine, to promote the commerce of the United States, to aid national defense, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

TITLE I-DECLARATION OF POLICY

SECTION 1. It is necessary for the national defense and development of its foreign and domestic commerce that the United States shall have a merchant marine (1) sufficient to carry its domestic water-borne commerce and at least onehalf of the foreign commerce water-borne export and import foreign commerce of the United States and to provide shipping service on all routes essential for maintaining the flow of national such domestic and foreign water-borne commerce at all times, (2) capable of serving as a naval and military auxiliary in time of war or national emergency, (3) owned and operated under the United States flag by citizens of the United States and so operated and regulated as to secure to the shipper of American products by the Government as to secure to the shipper and receiver of products in the domestic and foreign water-borne commerce of the United States adequate service and parity of rates to foreign markets, and (4) composed of the best equipped, safest, and most suitable types of vessels, constructed in the United States and manned with a trained and efficient citizen personnel. It is hereby declared to be the policy of the United States to foster the development and encourage the maintenance of such a merchant marine by the means hereafter expressly provided in this Aet and by any other means which the Congress from time to time may deem necessary. Insofar as not consistent with the express provisions of this Act, the agencies of the United States Government charged with the administration of this Act and shipping laws shall, in such administration and in the making of rules and regulations, marine. All the agencies of the United States Government shall keep always in view the purpose and object of the policies herein expressed as the primary end to be attained.

TITLE II-UNITED STATES MARITIME AUTHORITY

SECTION 201. (a) A board is hereby created to be known as the "United States Maritime Authority", and hereinafter referred to as the "Authority." The Authority shall be composed of five persons, hereinafter referred to as "members", to be appointed by the President by and with the advice and consent of the Senate; and the President shall designate the member to act as chairman of the Authority, and the Authority may elect one of its members as vice chairman. The members of the Authority shall be appointed as soon as practicable after the enactment of this Act, and shall continue in office for terms of three, four, five, six, and seven years, respectively, from the date of their appointment, the term of each to be designated by the President, but their successors shall be appointed for terms of seven years, except that any person chosen to fill a vacancy shall be appointed only for the unexpired term of the member whom he succeeds. The members shall be appointed with due regard to their fitness for the efficient discharge of the duties imposed upon them by this Act. Not more than one member shall be appointed from the same State. Not more than three of the members shall be appointed from the same political party. A vacancy in the Authority shall be filled in the same manner as the original appointment. No member shall take any part in the consideration or decision of any claim or particular controversy in which he has a pecuniary interest.

b N member shall be appointed who is in the employ of, or holds any official relation to, any common carrier by water or other person subject to this Act or the slapping laws, or owns any stock or bonds thereof, or is pecuniarily interested, d vetiv or indirectly, in any person subject to this Act No member while in office shall engage in any other business, vocation, or employment, or hold anv official relation to any common carrier by water or other person subject to this Act, or the shipping laws, or own any stock or bonds thereof, or be in any manner pee highly interested, directly or indirectly, in such person.

fer. The duties of the Authority may be so divided that under its supervision the directorship of various activities may be assigned to one or more members. Any member may be removed by the President for inefficiency, neglect of duty, or ma feasance in office. In case of a vacancy in the Authority the remaining members at all exercise all its powers The Authority shall have an official seni, which shall be paid.cally noticed

The Authority may adopt rules and reg ilations in regard to its procedure and the conduct of its business. It may employ, within the limits of appropria tions made therefor by Congress such attorneys as it finds necessary in the condiet of its work, or for proper representation of the public interest in investigations made by it or in proceedings pending before it, whether at the Authority's own instance or upon compiair 1, or to appear for or represent the Authority in any case in court or other tribunal

Each member at all receive a salary of $12,000 per annum. The Authority et all appoint a secretary at a salary of $7,500 per annum, and employ and fix the compensation of such attorneys, officers, Laval architects, special experts, examiners, clerks, and other employees as it may find necessary for the proper performaree of its duties and as may be appropriated for by the Congress, and shaii, whenever possible, in such, employment, employ quashed present employees of the United States Shipping Board Bureau or United States Shipping Board Merchant Fieet Corporation The Presider t, upon the request of the Authority, nav authorize the detail of otheers of the military, naval, or other services of the United States for such duties as the Authority may deem necessary in connection with its b¡×17,ernm

With the execption of the secretary, a clerk to each member, the attorneys, naval architects, and such other special experts and examiners as the Authority may from time to time find necessary to employ for the conduct of its work, all en plovces of the Authority shall be appointed from qualified present employees of the United States Shipping Board Bureau or United States Shipping Board Mercha't Fieet Corporation, or from lista of eligit les to be applied by the Civil Service Commission and in accordance with, the civil-service law, when no such qualified Shipping Board employee is available.

* The experses of the Aithority in the conduct of its business, including Decessary expet ses for transportation incurred by the members of the Authority or designated empovers juder its orders in making any investigation, or upon off.c.altisites ili any other place than at the city of Washir gton, shal, be alowed and paid on the preser tation of itemized vouchers therefor approved by the Chairma: of the Authority or a desig sted eng lover of the Authority. Sic_202 The A „thority is authorized and grrecte i

1. To study all nationai faritime prot ems and their proper relationship to trade and ecminaree, inels fing the interligufiona, studies, and duties prescribed in pection N of the Merchant Marine Act of 1999

2 To ar als ze a i edit partient data and develop to collaborate with vessel DANATS 1% developing plans for construction and eff cient operation of vean is, taking into consideration the be efits accruing from standardized production at pooling of operations where practica' ‚e.

3′ To detern, re, under r„es and reglations to be prescribed by the Authors, the amorts of direct firarea and to be paid under contracts awarded pursart to tities 111 m2 4 V of this Act; and

4 To study means by which through ad sed of ciency the revenue of contractors Ihas be terasest by adverting and misertation on the part of operators and wherein economics may be effected increased and operating costs decreased, and means by which the importers as i exporters of the United States can be induced to que preference to vessels under United Staten Feguetry.

5 fo establish and mantar, hassen with much other departments and boards of the Federa, Government and with representative trade organizations throughout the United States as av be concerted directly or indirectly, with any movement of commodities 1 foreign commerce for the purpose of securing prefere: ce to vessels of United States register in such shipments.

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