(g) The Commission shall, as soon as practicable after the close of each fiscal year, transmit to the President and to the Congress a report concerning its activities during such fiscal year which may include such recommendations for proposed legislation concerning matters within the purview of this Act as it may deem advisable.

CONSUMERS' COUNSEL

SEC. 5. (a) There is hereby established within the Department of the Interior an Office of Bituminous Coal Consumers' Counsel, which shall be headed by a Consumers' Counsel who shall be appointed by the President, by and with the advice and consent of the Senate, for a term of five years, and who shall receive compensation at the rate of $15,000 per year. The Consumers' Counsel shall have no direct or indirect financial or other interest in the production, transportation, or sale of, or in the manufacture of equipment for the production of, coal, lignite, anthracite, oil, gas, or wood, or in the generation, transmission, or sale of hydroelectric power, or in the manufacture of equipment for the use thereof, nor shall he engage in any other business or employment. The Consumers' Counsel may be removed from office by the President; upon notice and after opportunity for hearing, for neglect of duty or malfeasance in office, but for no other cause.

(b) The principal office of the Office of Bituminous Coal Consumers' Counsel shall be in the District of Columbia, but the Consumers' Counsel may exercise any or all of his powers in any other place, and may establish and maintain such offices throughout the United States as he deems necessary for the effective performance of the duties of his office under this Act.

(c) The Consumers' Counsel may appoint wihout regard to the civil-service laws, a deputy and not more than three technical advisers, and, subject to the civilservice laws, such other employees as he deems necessary to carry out the functions and duties of his office under this Act. The salaries of all persons appointed pursuant to this subsection shall be fixed in accordance with the Classification Act of 1949.

(d) It shall be the duty of the Consumers' Counsel to appear before the Commission, and he may appear before any other agency of the United States, to represent the interests of the consuming public in any matter or proceeding dealing with coal, and for such purpose he shall be an interested person within the meaning of the Administrative Procedure Act.

(e) It shall be the duty of the Consumers' Counsel to conduct such independent investigation of matters relative to the coal industry and to the administration of this Act as he may deem necessary to enable him properly to represent the consuming public pursuant to this section. Whenever, in connection with any such investigation, the Consumers' Counsel finds that it is in the interest of the consuming public to have the Commission furnish to him any information available to it, he shall so certify to the Commission, specifying in the certificate the information desired, and the Commission thereupon shall furnish to the Consumers' Counsel the information so certified as promptly as possible.

(f) The Consumers' Counsel shall, as soon as practicable after the close of each fiscal year, transmit to the President and to the Congress a report concerning the activities of his office during such fiscal year, which may include such recommendations for proposed legislation concerning matters within the purview of this Act as he may deem advisable.

PRODUCERS' DISTRICT BOARDS

SEC. 6. (a) There are hereby established twenty-three producers' district boards (hereinafter referred to as "district boards"), one for each of the geographical districts described in the annex to this Act, which is hereby made a part of this Act, to advise the Commission with respect to the performance of its functions under this Act, and to perform such administrative duties in connection therewith as the Commission by regulation shall from time to time delegate to such district boards.

(b) Each district board shall be composed of such odd number of members, not less than three or more than nineteen, as shall be determined, subject to the approval of the Commission, by vote of the producers of the plurality of the tonnage of coal produced in such district during the calendar year next preceding the date of the initial or any subsequent meeting of the producers in such district called by the Commission for such purpose. The membership of each such board shall include one member who shall be selected by the organization of employees

representing the preponderant number of employees in the coal industry of the district, and an even number of members who are producers or representatives of producers of coal within such district and who shall be selected at the initial or any subsequent meeting of the producers of such district called by the Commission. Of the members so selected by producers, one-half shall be elected by the plurality in number of the producers of such district who are represented at such meeting, and the remainder shall be elected by the vote of the producers of the plurality of the tonnage of coal produced in such district during the calendar year next preceding the date on which such meeting is held. Each district board member shall serve as such without compensation, but with reimbursement for necessary expenses actually incurred in the performance of his duties as such member, for a term of two years, and may continue in office until his successor has been duly selected and has qualified. Not more than one officer, employee, or representative of any producer within any district shall be a member of the district board for such district at the same time. The Commission may remove any member of a district board upon its finding, after notice and opportunity for hearing, that such member is guilty of malfeasance in office, but for no other (c) Without regard to the civil-service laws and the Classification Act of 1949, each district board is authorized—

cause.

(1) to appoint such administrative officers as it shall determine to be necessary to carry out its functions and duties, and to prescribe their tenure, duties, and compensation; and

(2) to employ and fix the compensation of such other persons as it shall deem necessary to carry out its functions and duties.

(d) Under such regulations as each district board shall prescribe with the approval of the Commission, the expenses incurred or to be incurred by such district board in carrying out its functions and duties under this Act shall be assessed against the producers in such district, such assessments to be prorated among such producers according to the tonnage of coal produced by each such producer in such district during the calendar year next preceding the date on which such assessment is made. Each district board may recover the amount of any unpaid assessment or any unpaid portion thereof, together with interest thereon at the rate of 6 per centum per annum from the date thereof, by civil action brought against the delinquent producér in the district court of the United States for any district in which such producer resides or is found, or in any other court of competent jurisdiction.

(e) Each district board shall be an interested person within the meaning of the Administrative Procedure Act, in any proceeding before the Commission affecting such district board, any producer within such district, or the production of coal within such district.

(f) Nothing contained in this Act shall constitute the members of any district board partners for any purpose. No member or officer of any such board shall be liable in any manner to any other person for any act performed by any other member, officer, agent, or employee of such board, nor shall any such member or officer, exercising reasonable diligence in the performance of his duties under this Act, be liable to any other person for any act taken, or any omission to act, pursuant to this Act, except for his own willful misfeasance or for nonfeasance involving moral turpitude.

(g) Subject to the approval of the Commission, each district board may adopt such bylaws and rules of procedure, and make such rules, regulations, and determinations as it shall determine to be necessary for the performance of its duties under this Act.

NATIONAL DISTRIBUTOR'S BOARD

SEC. 7. (a) There is hereby established a National Distributors' Board (hereinafter referred to as the "distributors' board") which shall advise the Commission with respect to the performance of its functions under this Act, and shall perform such administrative duties in connection therewith as the Commission by regulation shall from time to time delegate to such board.

(b) The distributors' board shall consist of such even number of members, not less than eight or more than sixteen, as shall be determined, subject to the approval of the Commission, by vote of the distributors of the plurality of the tonnage of coal distributed within the United States during the calendar year next preceding the date of the initial or any subsequent meeting of the distributors of the United States called by the Commission. One-half of the members of such

board shall be elected by the plurality in number of the distributors represented at such meeting, and the remainder shall be elected by the vote of the distributors of the plurality of the tonnage of coal distributed within the United States during the calendar year next preceding the date on which such meeting is held. Each member of the distributors' board shall serve as such without compensation, but with reimbursement for necessary expenses actually incurred in the performance of his duties as such member, for a term of two years, and may continue in office until his successor has been duly selected and has qualified. Not more than one officer, employee, or representative of any distributor shall be a member of the distributors' board at the same time. The Commission may remove any member of the distributors' board upon its finding, after notice and opportunity for hearing, that such member is guilty of malfeasance in office, but for no other cause.

(c) Without regard to the civil-service laws and the Classification Act of 1949, the distributors' board is authorized—

(1) to appoint such administrative officers as it may determine to be necessary to carry out its functions and duties, and to prescribe their tenure, duties, and compensation; and

(2) to employ and fix the compensation of such other persons as it shall deem necessary to carry out its functions and duties.

(d) Under such regulations as the distributors' board may prescribe with the approval of the Commission, the expenses incurred or to be incurred by such board in carrying out its functions and duties under this Act shall be assessed against the distributors in the United States, such assessment to be prorated according to the tonnage of coal distributed by each such distributor during the calendar year next preceding the date on which such assessment is made. The distributors' board may recover the amount of any unpaid assessment or any unpaid portion thereof, together with interest thereon at the rate of 6 per centum per annum from the due date thereof, by civil action brought against the delinquent distributor in the district court of the United States for any district in which such distributor resides or is found, or in any other court of competent jurisdiction.

(e) The distributors' board shall be an interested person, within the meaning of the Administrative Procedure Act, in any proceeding before the Commission affecting such distributors' board, any distributor, or the distribution of coal. (f) Nothing contained in this Act shall constitute the members of the distributors' board partners for any purpose. No member or officer of such board shall be liable in any manner to any other person for any act performed by any other member, officer, agent, or employee of such board, nor shall any such member or officer exercising reasonable diligence in the performance of his duties under this Act be liable to any other person for any act taken, or any omission to act, pursuant to this Act except for his own willful misfeasance or nonfeasance involving moral turpitude.

(g) Subject to the approval of the Commission, the distributors' board may adopt such bylaws and rules of procedure, and make such rules, regulations, and determinations as it shall determine to be necessary for the performance of its duties under this Act.

MINIMUM PRICES

SEC. 8. (a) With respect to coal produced in any of the minimum-price areas described in the appendix to this Act, which is hereby made a part of this Act, the Commission shall determine and prescribe the minimum prices which any producer may charge, free on board transportation facilities at the mine, for the sale of coal in commerce for delivery within the United States, the Dominion of Canada, or the Republic of Cuba.

(b) In the initial establishment of such minimum prices pursuant to this section, the Commission, after making such adjustments as it shall determine to be necessary to reflect changes in conditions, shall use as a basis therefor the minimum prices, classifications of coal, market area, and marketing rules and regulations in effect on August 23, 1943, under the provisions of section 4 of the Bituminous Coal Act of 1937. In the case of coal for which minimum prices were not established pursuant to section 4 of such Act, the bases of the minimum prices initially established pursuant to this section shall be those which shall be proposed to the Commission by the respective district boards.

(c) In establishing and maintaining minimum prices, the Commission shall take into account the comparative values of different coals for different uses, seasonal demands, transportation methods and charges, competitive relation

ships between coal and other forms of fuel and energy, and such other marketing factors as it may deem pertinent to the end that a reasonable opportunity to compete on a fair basis shall be accorded to all producers by the coordination of minimum prices in common consuming market areas. The minimum prices established and maintained under this section shall

(1) be just and equitable, and shall not be unduly prejudicial or preferential as between or among producers and distributors whithin the same or different districts;

(2) have due regard for the interests of the consuming public; and

(3) reflect as nearly as possible the relative market values at points of delivery in each common consuming market area of the various kinds. qualities, and sizes of coal produced in the various districts.

(d) Subject to the principles set forth in the preceding subsection, the minimum prices established and maintained under this section for coals of each of the minimum-price areas shall be fixed at such levels

(1) that the net amount per net ton which will be realized at the mine upon the sale of the entire tonnage of coal produced in such minimum-price area will approximate, as nearly as may be (if all such coal is sold at the minimum prices so prescribed), the weighted average of the total costs per net ton of producing the total ascertainable tonnage of coal produced within such minimum-price area; and

(2) as to yield a return per net ton for each district within each minimumprice area equal, as nearly as practicably may be attained, to the weighted average of the total costs per net ton of the production of the total ascertainable tonnage of coal produced within such minimum-price area. (e) In computing such weighted average of total costs, the Commission shall take into account the cost of labor, supplies, power, taxes, insurance, workmen's compensation, royalties and rentals, depreciation and depletion, interest, all other direct expenses of production, coal operators' association dues, district board assessments, cost of administration, and cost of selling, including distributors' discounts (not to exceed in any case the maximum discount from minimum prices established under section 9 of this Act) but excluding any such costs of selling which the Commission shall determine to be unreasonable. (f) The Commission shall

(1) within ninety days following the expiration of each calendar month, compile, publish, and transmit to each district board statistics showing (A) the total weighted average costs of producing coal, and (B) the total weighted. average realization at minimum prices by producers for coal mined, within every district during such calendar month; and

(2) within one hundred and twenty days following the close of each calendar quarter, compile, publish, and transmit to each district board statistics showing (A) the total realization at minimum prices and (B) the average per net ton realization of producers at minimum prices within every district on all coals, showing separately such figures with respect to each size group and use classification of coal shipped into each applicable market area, together with the total and average per net ton amount of discounts and price allowances granted to distributors thereon.

(g) At any time after the initial establishment of any minimum prices pursuant to this section, the Commission, upon its own motion or upon petition of the Consumers' Counsel or any district board, may conduct a hearing for the purpose of determining

(1) the extent of any variation between (A) the realization of producers at minimum prices and (B) the costs of production upon which such prices were established; and

(2) upon as current a basis as may be practicable, the minimum prices required to produce an approximate equivalence between (A) realization at minimum prices and (B) costs of production.

Upon satisfactory proof of the existence of a variance in excess of 2 cents per net ton between the weighted average realization at minimum prices and the weighted average of the total costs within any minimum-price area, exclusive of seasonal changes, the Commission shall adjust the minimum prices in accordance with standards prescribed in subsections (c) and (d) of this section.

(h) Pending final disposition of any proceeding instituted pursuant to the preceding subsection, the Commission may, upon reasonable showing of cause therefor, make such preliminary or temporary order as in its judgment may be appropriate. Within thirty days after the institution of any such proceeding, the Commission shall, in accordance with such rules and regulations as it may

prescribe, issue such interim order as it shall determine to be appropriate for the purpose of adjusting minimum prices to whatever extent may be shown to be necessary to reflect changes in production costs resulting from any change in the cost of labor as evidenced by duly authenticated copies of labor agreements applicable to the production of coal.

(i) Whenever any producer or distributor believes that any proposed sale of coal is not subject to the provisions of this Act, such producer or distributor may file with the Commission an application for a declaration that such sale is exempt from the provisions of this Act. Such application shall set forth, in such detail as the Commission may prescribe, the facts upon which such claim is based, and shall be verified by oath or affirmation. Within a reasonable time after the filing of such application, the Commission shall conduct a hearing thereon, and thereafter shall enter such order as it shall determine to be warranted by the evidence granting, denying, or otherwise disposing of such application. Any such order granting any such application may be limited in time and may be conditioned upon the filing of (A) periodic applications for the renewal of such order and (B) such periodic reports as the Commission shall deem necessary or appropriate to enable it to determine from time to time whether the conditions supporting the allowance of the exemption continue to exist. Pending the final disposition of any such application for exemption, the Commission may, upon a satisfactory showing of good faith on the part of the applicant and reasonable proof of the necessity therefor, issue such temporary or preliminary order of exemption as it may deem appropriate.

(j) The Commission may at any time, upon its own motion or upon the petition of any producer, district board, State or political subdivision thereof, consumer, or the Consumers' Counsel, conduct a hearing for the purpose of determining whether any change in the boundaries or limits of any district described in the annex to this Act, or of any minimum-price area described in the appendix to this Act, is required for the proper administration of this Act or for the accomplishment of its purposes. If, after such hearing, the Commission shall determine that the boundaries of any such district or of any such minimum-price area should be changed to facilitate the proper administration of this Act or the accomplishment of its purposes, the Commission shall by order make such changes, divisions, and consolidations with respect thereto as it shall determine to be appropriate.

MAXIMUM DISCOUNTS TO DISTRIBUTORS

SFC. 9. As soon as practicable after the effective date of this section and from time to time thereafter, the Commission shall determine and prescribe reasonable maximum discounts which any producer may allow to any distributor from minimum prices, established pursuant to section 8 of this Act on any sale of coal in commerce for delivery within the United States, the Dominion of Canada, or the Republic of Cuba. In determining the amount of such discounts, the Commission shall take into consideration the costs of distribution and such other marketing factors as it may deem appropriate to the end that reasonable opportunity may be maintained for competition among the producers and among distributors.

MAXIMUM PRICES

SEC. 10. (a) Whenever the Commission deems it necessary in the public interest to protect consumers of coal against unreasonably high prices therefor, the Commission may determine and prescribe the maximum prices which any producer may charge, free on board transportation facilities at the mine, for the sale of coal in commerce. Before establishing or modifying any such maximum prices, the Commission shall

(1) advise and consult with the district board of each district to be affected thereby and with the distributors' board; and

(2) give due consideration to the desirability of preventing the diversion of coal tonnage from one consuming market area to another, or from one use to another.

(b) At any time at which maximum prices established pursuant to this section are in effect, the Commission, upon its own motion or upon petition of any producer, district board, distributor, the distributors' board, or the Consumers' Counsel, may conduct a hearing for the purpose of determining whether any such maximum price should be modified or rescinded. After such hearing, the Commission shall adjust such maximum price to whatever extent it shall find necessary in order to remove inequities, or to stimulate the production and distribution of coal.