utility companies with respect to the relocation of utility lines and other facilities in the development area) as may be deemed necessary or apprópriate to the conduct of activities authorized under this Act;

(8) may establish (through covenants, regulations, agreements, or otherwise) such restrictions, standards, and requirements as are necessary to assure development, maintenance, and protection of the development area in accordance with the development plan;

(9) may borrow money prior to July 1, 1981, by issuing marketable obligations, in such amounts as may be authorized in appropriation Acts. The Corporation's obligations issued under this paragraph shall be in such forms and denominations, shall have such maturities (not in excess of forty years), shall bear such rates of interest, shall be subject to such terms and conditions, and shall be issued in such manner and at such times and prices as may be approved by the Secretary of the Treasury.

(10) may borrow money from the Treasury of the United States in lieu of issuing marketable obligations under paragraph (9), under the same conditions as set forth in the first sentence of that paragraph. Such borrowings from the Treasury shall have such maturities, terms, and conditions as may be agreed upon by the Corporation and the Secretary of the Treasury, but the maturities may not be in excess of forty years, and such borrowings may be redeemable at the option of the Corporation before maturity. Such borrowings shall bear interest at a rate determined by the Secretary of the Treasury, taking into consideration the average market yield on outstanding marketable obligations of the United States of comparable maturities during the month preceding the issuance of the obligations of the Corporation. The interest payments on such obligations may be deferred with the approval of the Secretary of the Treasury but any interest payment so deferred shall bear interest. The Secretary of the Treasury is authorized and directed to purchase any obligations of the Corporation to be issued under this paragraph and for such purpose the Secretary of the Treasury is authorized to use as a public debt transaction of the United States the proceeds from the sale of any securities issued under the Second Liberty Loan Bond Act, as amended, and the purposes for which securities may be issued under the Second Liberty Loan Bond Act, as amended, are extended to include any purchase of the Corporation's obligations under this paragraph;

(11) may invest any funds held in reserve or sinking funds, or any moneys not required for immediate use or disbursement, with the approval of the Secretary of the Treasury, in obligations of the United States Government, or obligations the principal and interest of which are guaranteed by the United States Government: Provided, That this authority shall not extend to moneys obtained by borrowing from the Government or through appropriations to the Corporation;

(12) may procure insurance against any loss in connection with its property and other assets and operations;

(13) may contact for and accept any gifts or grants or property of financial or other aid in any form from the Federal Government or any agency or instrumentality thereof, or from any State or any agency or instrumentality thereof, or from any source, and comply subject to the provisions of this Act, with the terms and conditions thereof;

(14) may determine the character of and necessity for its obligations and expenditures, and the manner in which they shall be incurred, allowed and paid, subject to provisions and laws specifically applicable to wholly owned Government corporations;

(15) may prepare or cause to be prepared plans, specifications, designs, and estimates of cost for the construction, reconstruction, rehabilitation, improvement, alteration, or repair of any project, and from time to time may modify such plans, specifications, designs, or estimates:

(16) may acquire, construct, reconstruct, rehabilitate, improve, alter, or repair or provide for the construction, reconstruction, improvement, alteration, or repair of any project:

(17) may grant options to purchase any project or may renew any leases entered into by it in connection with any of its projects, on such terms and conditions as it may deem advisable:

(18) may manage any project, owned or leased by the Corporation, and may enter into agreements with the District of Columbia government or any agency or instrumentality thereof, or with any person, firm. partner

ship, or corporation, either public or private, for the purpose of causing any such project to be managed;

(19) may utilize or employ the services of personnel of any agency or instrumentality of the Federal Government or of the District of Columbia, with the consent of the agency or instrumentality concerned, upon a reimbursable basis, or utilize voluntary or uncompensated personnel;

(20) shall publish and disseminate information and make known to potential users, by advertisement, solicitation, or other means, the availability for development of lands in the development area;

(21) may execute all instruments necessary or appropriate in the exercise of any of its functions under this Act. and may delegate to members of the Board or the Executive Director such of its powers and responsibilities as it deems appropriate and useful for the administration of the Corporation; and

(22) shall be entitled to the use of the United States mails in the same manner as the executive departments of the Government, and shall have all the rights, privileges, and immunities of the United States with respect to debts due from insolvent, deceased, or bankrupt debtors.

SEC. 7. (a) Nothing in this Act shall preclude other agencies or instrumentalities of the Federal Government or of the District of Columbia from exercising any lawful powers in the development area consistent with the development plan or the provisions and purposes of this Act; but no such agency or instrumentality shall release, modify, or depart from any feature or detail of the development plan without the prior approval of the Corporation.

(b) After the date of the enactment of this Act, no new construction (including substantial remodeling, conversion, rebuilding, enlargement, extension, or major structural improvement of existing buildings, but not including ordinary maintenance or remodeling or changes necessary to continue occupancy) shall be authorized or conducted within the development area except upon prior certification by the Corporation that the construction is, or may reasonably be expected to be, consistent with the carrying out of the development plan for the area: Provided, That if the development plan for the area does not become effective under the provisions of section 5 within twelve months of the date of enactment of this Act, this subsection shall be of no further force and effect until such time as the development plan does become effective under that section. SEC. 8. (a) The title to any real property (or interest therein) acquired under the authority of this Act shall be taken by and in the name of the Corporation and proceedings for condemnation or other acquisition of property shall be brought by and in the name of the Corporation.

(b) In the administration of a relocation program or programs pursuant to the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, the Corporation may utilize the services of the District of Columbia Redevelopment Land Agency. Costs of such services shall be reimbursed by the Corporation to the District of Columbia Redevelopment Land Agency.

(c) All relocation services performed by or on behalf of the Corporation shall be coordinated with the District of Columbia's central relocation programs. (d) Owners of real property whose retail, wholesale, or service business thereon is terminated pursuant to this Act shall be afforded an opportunity to lease or purchase from the Corporation or its agent such like real property as may become available for a similar use upon implementation of the development plan.

SEC. 9. (a) In effectuating the purposes of this Act, the Corporation :

(1) shall consult and cooperate with District of Columbia officials and community leaders at the earliest practicable time;

(2) shall give primary consideration to local needs and desires and to local and regional goals and policies as expressed in urban renewal, community renewal and comprehensive land use plans and regional plans; and (3) shall foster local initiative and particiaption in connection with the planning and development of its projects.

(b) The Corporation shall comply with all District of Columbia laws, ordinances, codes, and regulations in constructing, reconstructing, rehabilitating, altering, and improving any project: Provided, That the provisions of section 428 of title 5 of the District of Columbia Code shall apply to all the constructing, reconstructing, rehabilitating, altering, and improving of all buildings by the Corporation. The construction, reconstruction, rehabilitation, alteration and improvement of any project by non-Government sources shall be subject to the provisions of the District of Columbia Code and zoning regulations.

SEC. 10. (a) Since the exercise of the powers granted by this Act will be in all respects for the benefit of the people, the Corporation is hereby declared to be devoted to an essential public and governmental function and purpose and shall be exempt from all taxes and special assessments of every kind of the United States and of the District of Columbia.

(b) To the end that the District of Columbia may not suffer undue loss of tax revenue by reason of the provisions of subsection (a), the Corporation, in connection with any real property acquired and owned by the Corporation in carrying out the provisions of this Act shall pay to the District of Columbia government an amount equal to the amount of the real property tax which would have been payable to the District of Columbia government beginning on the date of acquisition of such real property by the Corporation if legal title to such property had been held by a private citizen on such date and during all periods to which such date relates.

SEC. 11. The Corporation shall transmit to the President and the Congress, annually each January and at such other times as it deems desirable, a comprehensive and detailed report of its operations, activities, and accomplishments under this Act.

SEC. 12. (a) The Corporation shall contribute to the civil service retirement and disability fund, on the basis of annual billings as determined by the Civil Service Commission for the excess, if any, of the Government's share of the normal cost of the civil service retirement system applicable to the Corporation's employees and their beneficiaries over the agency contributions required by section 8334 (a) (1) of title 5, United States Code.

(b) The Corporation shall include in the annual billings provided for under subsection (a) above, a statement of the fair portion of the cost of the administration of the fund, which shall be paid by the Corporation into the Treasury as miscellaneous receipts.

SEC. 13. The Corporation is authorized to use in the conduct of its business all its funds and other assets and all funds and other assets which have been or may hereafter be transferred to, allocated to, borrowed by, or otherwise acquired by it.

SEC. 14. (a) All general penal statutes relating to the larceny, embezzlement, or conversion of public moneys or property of the United States shall apply to moneys and property of the Corporation.

(b) Any person who, with intent to defraud the Corporation, or to deceive any director, officer, or employee of the Corporation or any officer or employee of the United States, (1) makes any false entry in any book of the Corporation, or (2) makes any false report or statement for the Corporation, shall, upon conviction thereof, be fined not more than $10,000 or imprisoned not more than five years, or both.

(c) Any person who with intent to defraud the Corporation (1) receives any compensation, rebate, or reward, or (2) enters into any conspiracy, collusion, or agreement, express or implied, shall, on conviction thereof, be fined not more than $5,000 or imprisoned not more than five years, or both.

SEC. 15. Section 101 of the Government Corporation Control Act (31 U.S.C. 846) is amended by inserting "Pennsylvania Avenue Bicentennial Development Corporation:" after "Farmers Home Corporation;".

SEC. 16. If any provisions of this Act or the application thereof to any body, agency, situation, or circumstances is held invalid the remainder of the Act and the application of such provision to other bodies, agencies, situations, or circumstances shall not be affected thereby.

SEC. 17. There are hereby authorized to be appropriated $ out the purposes of this Act.

to carry

Hon. WAYNE N. ASPINALL,

U.S. DEPARTMENT OF THE INTERIOR,
OFFICE OF THE SECRETARY,
Washington, D.C., March 16, 1972.

Chairman, Committee on Interior and Insular Affairs,
House of Representatives,
Washington, D.C.

DEAR MR. CHAIRMAN: This responds to your request for our comment on H.R. 10751, a bill "To establish the Pennsylvania Avenue Bicentennial Development Corporation, to provide for the preparation and carrying out of a development plan for certain areas between the White House and the Capitol, to further the

purposes for which the Pennsylvania Avenue National Historic Site was designated, and for other purposes."

We strongly recommend the prompt enactment of H.R. 10751 with two amendments.

H.R. 10751 would establish the Pennsylvania Avenue Bicentennial Development Corporation, and charge it with responsibility for the development and implementation of a plan to revitalize the area of Washington adjacent to Pennsylvania Avenue, between the Capitol and the White House. The Corporation would be directed by a 15-member Board, composed of seven public officials, including the Secretary of the Interior, and eight citizens appointed by the President, at least four of whom shall be residents and registered voters of the District of Columbia. The Board would be aided in its efforts by eight nonvoting members and an Advisory Board of seven members to be appointed by the Chairman from among tenants and owners of real property within the development area. Administrative services would be provided to the Board on a reimbursable basis by the General Services Administration.

In conceiving its plan for the development area, which is described specifically in section 2(h) of H.R. 10751, the Corporation would use as a general framework the earlier recommendations of the President's Temporary Commission on Pennsylvania Avenue and those factors enumerated in section 5 of the bill. The development plan would be prepared in cooperation with this Department, the General Services Administration, and the District of Columbia Government. Once prepared, the development plan would be subject to modification, if recommended, and approval by the Secretary of the Interior, the National Capital Planning Commission, and the District of Columbia Government. The Corporation would be authorized to proceed with implementation of an approved plan sixty days following its transmittal to the President of the Senate and the Speaker of the House of Representatives. Section 7(b) provides that no new construction shall be undertaken within the development area unless certified by the Corporation as being consistent with its development plan. If a development plan had not become effective within twelve months from the date of enactment, however, subsection 7(b) would be of no further force and effect until such time as the development plan does become effective. Section 17 of H.R. 10751 would authorize the appropriation of an unspecified sum to carry out the purposes of this legislation.

In his message of February 4 outlining plans for Federal partnership in the District's observance of the American Revolution Bicentennial, President Nixon spoke of the Bicentennial Era as "the right time for Washington to gain a new and more expansive sense of itself, and to find in its dual identity an opportunity for dual excellence unparalleled among American cities". "The seat of government", he said, "can excel as an exemplary living city, at the same time the home of 750,000 local residents excels as a gracious host to fellow citizens and foreign visitors who may number 40 million during 1976 alone."

We believe, as does the President, that revitalization of the area adjacent to Pennsylvania Avenue will stimulate the return of commercial and residential activity to this part of the Nation's Capital. Redevelopment of this area, which constitutes the heart of the Federal presence in Washington, will provide a focal point for other activity intended to fulfill, at last, the grand plan of Pierre L'Enfant. We believe, too, that the redevelopment program contemplated by H.R. 10751 is both workable and realistic. It provides for representation of all who have an interest, direct or indirect, in improvement of Pennsylvania Avenue, and the administrative flexibility needed for implementation of a plan that will be of credit to the City and the Nation. Active cooperation with the private sector, without which no such program could succeed, is assured by ample representation on the Board of Directors.

The Department of the Interior is prepared and, indeed, anxious to exercise the responsibilities intended by H.R. 10751. Our authority for administration of the Pennsylvania Avenue National Historic Site, nearly all of which lies within the development area, will not be impaired by enactment of H.R. 10751. We intend to participate fully as a member of the Board of Directors, and to assist in the preparation of a development plan, as required by section 5(b). In short, we anticipate with enthusiasm the opportunity to help attain in Washington an "excellence unparalleled among American cities".

We recommend that H.R. 10751 be amended in two ways. First, we recommend the deletion of subsection 6(9), which provides that the Corporation may issue marketable obligations to borrow capital from private sources. We are advised

by the Department of the Treasury, which will comment in greater detail, that there would be no advantage gained by the Corporation in its issuance of such obligations. Second, we recommend against the imposition of an arbitrary ceiling on the amount authorized to be appropriated for the purposes of this legislation, and suggest that section 17 be revised to read that "There are hereby authorized to be appropriated such funds as may be required to carry out the purposes of this Act".

It has been 18 months since President Nixon first proposed enactment of legislation similar to H.R. 10751, and expressed his hope that partial completion of the redevelopment program would coincide with our observation of the Nation's Bicentennial. The President noted on February 4 that:

Of the time available between that 1970 statement and the beginning of the Bicentennial year, more than a fourth is already gone. Every month that passes without this legislation further dims our chances of giving all Americans one birthday present they ought to have-a Capital "main street" to be proud of.

It is for this reason that we urge your Committee and the Congress to proceed promptly with enactment of H.R. 10751.

The Office of Management and Budget has advised that, if amended as recommended above, enactment of H.R. 10751 would be in accord with the program of the President.

DEAR CONGRESSMAN ASPINALL: I am writing to you in response to your request for a report on H.R. 10751, a bill "To Establish the Pennsylvania Avenue Bicentennial Development Corporation".

We are very pleased that the bill now makes provision for the inclusion of the Mayor-Commissioner, City Council Chairman, and four other District residents on the Corporation's Board of Directors. We also heartily endorse the requirement that the District of Columbia Government have the right to approve the Corporation's development plan. Finally, the bill coordinates the Pennsylvania redevelopment with our own downtown urban renewal plan.

The District of Columbia Council wholeheartedly endorses the bill.
Very cordially yours,

GILBERT HAHN, Jr.,

Hon. WAYNE N. ASPINALL,

Chairman, City Council.

THE DISTRICT OF COLUMBIA, Washington, D.C., March 17, 1972.

Chairman, Committee on Interior and Insular Affairs,
U.S. House of Representatives,
Washington, D.C.

DEAR MR. CHAIRMAN: The Commissioner of the District of Columbia has for report H.R. 10751, a bill "To establish the Pennsylvania Avenue Bicentennial Development Corporation, to provide for the preparation and carrying out of a development plan for certain areas between the White House and the Capitol, to further the purposes for which the Pennsylvania Avenue National Historic Site was designated, and for other purposes." The bill is substantially similar to draft legislation submitted to the Congress by the Secretary of the Interior on January 26, 1971.

H.R. 10751 would create a Federal corporation, to be known as the Pennsylvania Avenue Bicentennial Development Corporation, to implement development plans for certain areas of Pennsylvania Avenue between the White House and the Capitol. The area proposed for development is generally the same as that studied by the President's Temporary Commission on Pennsylvania Avenue.

The Corporation would have a fifteen-member Board of Directors, as follows: the Secretaries of Interior, Treasury, Transportation, and Housing and Urban