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1 Prior to the 1937 fiscal year, this activity was provided for in the appropriation for "General administrative expenses.

2 Included in the Supplemental Appropriation Act, fiscal year, 1936.

Included $75,000 for printing and binding which was eliminated by the Bureau of the Budget. The estimate for the regular appropriation for printing and binding was increased by the Bureau of the Budget from $125,000, the Commission's estimate, to $175,000 to take care of the "Motor transport regulation." 4 $75,000 of this amount was included in the appropriation for "Motor transport regulation" in the Supplemental Appropriation Act, fiscal year, 1936.

A total of $157,000 of this amount was reappropriated from the unexpended balances of the 1935 fiscal

year.

General administrative expenses.-This appropriation is essential, for the exercise, by the Commission of the powers delegated to it under the general sections of the Interstate Commerce Act. It includes the salaries of the Commissioners and the Secretary and other officers and employees necessary in the execution of the laws to regulate commerce.

The Commission's estimate to the Bureau of the Budget for the 1938 fiscal year was $50,000 more than the appropriation for the 1937 fiscal year. This proposed increase was to provide for the filling of a number of vacancies caused by transfers of personnel to other activities under other appropriations within the Commission, and made necessary to get down and within the current appropriation which was reduced materially under the preceding appropriation, as the increased work because of largely restored railroad business, will make it increas ingly difficult to keep the work of the Commission current, with the reduced force now employed. Inasmuch as the estimates for other obligations had not been changed from those for 1937, and to change them would handicap if not actually curtail our formal hearings and investigations in the field, it was necessary to provide for the reduction by increasing the allowance for administrative furloughs and lapses.

General administrative expenses:

Amount available for obligation fiscal year 1936.
Amount obligated, fiscal year 1936.

Unobligated balance_

Amount available for fiscal year 1937, regular act..

Amount reappropriated for fiscal year 1937 from fiscal year 1935.

Total available, fiscal year 1937.

Amount of estimated obligations__

Estimated balance...

Commission's estimate to the Bureau of the Budget for fiscal
year 1938_..

Bureau of the Budget estimate for fiscal year 1938_.

$2,796, 465 2,627, 922

168, 543 2, 426, 000

118,000

2, 544,000 2, 544, 000

None

2, 594, 000 2, 544, 000

As to each appropriation following, in column 1 will be found the actual obligations for fiscal year 1936; in column 2, the estimated obligations for 1937; in column 3, the Commission's estimate to the Bureau of the Budget for 1938; and in column 4, the amount allowed by the Bureau of the Budget.

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Regulating accounts.-This appropriation is for the purpose of enforcing compliance with section 20 and other sections of the Interstate Commerce Act, as amended by the act approved June 29, 1906, and as amended by the Transportation Act of 1920, in respect of uniform accounting systems of carriers, and policing carriers' accounts.

The Commission's estimate to the Bureau of the Budget was in the exact amount approved by that body and by the Congress for fiscal year 1937, viz, $852,000, and was agreed to as submitted.

Regulating accounts:

Amount available for fiscal year 1936 appropriation_.
Amount obligated, fiscal year 1936.

Unobligated balance.

Amount available for fiscal year 1937, regular act..

Amount reappropriated for fiscal year 1937, from fiscal year 1935..

Total available, fiscal year 1937

Amount of estimated obligations...

Commission's estimate to the Bureau of the Budget for fiscal year
1938_..

Estimated balance....

Bureau of the Budget estimate for fiscal year 1938.

$851, 976

847, 999

3, 977 847,000 5,000

852, 000 852, 000

None

852, 000 852, 000

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Safety of employees.-This appropriation has to do with the enforcement of laws, enacted to promote the safety of employees and travelers upon railroads; investigating and reporting upon accidents on the lines of common carriers; and investigating and testing certain classes of appliances intended to promote the safety of railway operation.

The Commission's estimate to the Bureau of the Budget was in the same amount appropriated for this activity in the 1936 fiscal year which was reduced for 1937. The increase was intended principally for increased travel, as the greatly increased activity of the carriers will call for much more travel, and although reduced passenger rates have helped, the additional travel required would more than offset the saving. However the Bureau of the Budget allowed no more than the appropriation for the current fiscal year, and our estimates have been reduced to comply with their action.

Safety of employees:

Amount available for obligation, fiscal year, 1936, regular appro

priation_

Amount obligated fiscal year 1936__

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Unobligated balance___

Amount available for fiscal year 1937, regular act..

20, 156

Amount reappropriated for fiscal year 1937 from fiscal year 1935..

500, 000

6, 000

Amount of estimated obligations..

Total available, fiscal year 1937.

506, 000

506, 000

Estimated balance___

Commission's estimate to the Bureau of the Budget for fiscal year
1938_..

Bureau of the Budget estimate for fiscal year 1938.

None

514, 195

506, 000

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Signal safety systems.-This appropriation covers the Commission's activities under section 26 of the Interstate Commerce Act as amended by the Transportation Act of 1920 and the joint resolution approved June 30, 1906, insofar as it provides for the installation, testing and investigation of block signals and train control systems and devices. It is necessary that the systems already installed by inspected from time to time and that new installations be tested and approved. The Commission's estimate to the Bureau of the Budget for this item for the 1938 fiscal year showed an increase of $8,465 over the appropriation for the 1937 fiscal year. This increase was to provide for one additional CAF-3 clerk whose services are very much needed, owing to the increased work in the Bureau, also for some adjustments in salaries, and an additional amount for increased travel.

The Bureau of the Budget has allowed an increase of $2,950 and the estimate has been modified to meet that figure.

Signal safety systems:

Amount available for fiscal year 1936 regular appropriation..
Amount obligated, fiscal year 1936...

Unobligated balance...

Amount available for fiscal year 1937, regular act...

Amount reappropriated for fiscal year 1937 from fiscal year 1935__

Total available, fiscal year 1937.

Amount of estimated obligations___

Estimated balance....

Commission's estimate to the Bureau of the Budget for fiscal year 1938_.

Bureau of the Budget estimate for fiscal year 1938.

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$39, 682

38, 008

1, 674

36, 550

2,000

38, 550

38, 550

None

47, 015 41, 500

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Locomotive inspection. This appropriation is for all authorized expenditures under the act of February 17, 1911 and various amendments thereto, all of which refer to the promotion of safety of employees on the railroads by compelling carriers to equip their locomotives with safe and suitable boilers and appurtenances thereto, and applying with equal force to the tender and its appurtenances.

The Bureau also investigates and reports on accidents caused by the failure of any part of the locomotive and its appurtenances, and on that account its work is most important in pointing out ways and means of preventing such accidents, which frequently result in loss of life and limb as well as property. The work of this Bureau is especially important at this time, because many carriers have neglected to make inspections and repairs that are made as a matter of routine in more normal times.

Salaries of the chief inspector and the two assistant chief inspectors, together with the number and salaries of the district inspectors are fixed by law.

The Commission's estimate as submitted to the Bureau of the Budget for this purpose for the 1938 fiscal year showed an increase of $14,000 over the appropriation for the current fiscal year. This increase was intended to provide for one additional CAF-2 clerk, and some adjustments in salaries, also a slight increase in the amount allotted for allowances to inspectors, together with an additional amount for travel expenses and miscellaneous objects of expenditure made necessary by the greatly increased activity of the railroads, which results in much additional work for the inspectors.

However, the Bureau of the Budget disapproved of the increase and our estimate has been reduced accordingly.

Locomotive inspection:

Amount available for fiscal year, 1936 regular appropriation____.
Amount obligated, fiscal year 1936..

Unobligated balance...

$482, 238

472, 129

10, 109

Amount available for fiscal year 1937, regular act....

Total available, fiscal year 1937.

Amount reappropriated for fiscal year 1937 from fiscal year 1935..

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Amount of estimated obligations...

471, 000

Estimated balance_..

Commission's estimate to the Bureau of the Budget for fiscal year
1938_.

Bureau of the Budget estimate for fiscal year 1938.

None.

485, 000 471, 000

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Valuation of property of carriers.-This appropriation is to enable the Commission to carry out the objects of the act approved March 1, 1913, and the amendments thereto which provide for the valuation of the several classes of the property of carriers subject to the Interstate Commerce Act, and the securing of information concerning their stocks, bonds, and securities.

The original valuations having been completed, the Bureau's activities are now mainly centered on the further compliance of the act in bringing valuations to the current date and keeping informed and reporting on all new construction, extensions, improvements, retirements, or other changes, and the condition, use, and classification of such property of each carrier and the costs and values in order that the Commission may have available at all times the information necessary to revise and correct its previous inventories, classifications, and values, and in addition analyzing proposals in connection with the issuance of securities, bankruptcy, and voluntary reorganizations and consolidations and absorptions.

The Commission's estimate to the Bureau of the Budget for the 1938 fiscal year was in the same amount as that approved by the Bureau of the Budget and the Congress for the current fiscal year. However, the Bureau of the Budget cut $100,000 from the Commission's estimate, and so the estimates have been arbitrarily revised to come within the reduced amount.

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