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AMOUNT AUTHORIZED AND AMOUNT EXPENDED

Mr. WIGGLESWORTH. How much has been authorized for this road?

Mr. MacDonald. There has just been passed a bill authorizing $20,000,000 to cooperate with the various countries.

Mr. WIGGLESWORTH. Is that the total that has been authorized for this purpose?

Mr. MacDONALD. We had $1,000,000 appropriated for construction previously, and the cost of the work that has been carried on so far has been supplied by the countries, outside of the limited engineering assistance that we have provided and paid for.

Mr. WIGGLESWORTH. How much are we authorized to spend for this purpose and how much have we spent to date?

Mr. MacDONALD. We were authorized to expend $1,000,000 on construction.

Mr. WIGGLESWORTH. How much have we spent?
Mr. MacDONALD. We spent the $1,000,000.

Mr. WIGGLESWORTH. Where does this authorization for $100,000 come from?

Mr. MacDoNALD. That is for engineering assistance.

Mr. WIGGLESWORTH. Where is the authority for the $100,000 expenditure that you are now requesting?

Mr. WOODRUM. I imagine that it would be the general authority of the Public Roads Administration to administer any acts, giving them the money for administrative expenses.

Mr. MacDONALD. Yes, sir. This is not an additional appropriation. This is authority to use our administrative funds.

Mr. WIGGLESWORTH. When will this road be completed?'

Mr. MacDonald. The work could be completed in about 5 years, carrying it on at a normal rate.

ASSISTANCE IN CONNECTION WITH LOANS TO CENTRAL AND SOUTH AMERICAN

COUNTRIES MADE BY EXPORT-IMPORT BANK

Mr. WIGGLESWORTH. In your justification, you state that the purpose of this authorization is to pay the salaries and expenses and other necessary expenses of engineers and their assistants in connection with the Inter-American Highway and for assistance in connection with loans to the Central and South American countries made by the Export-Import Bank.

What does that mean?

Mr. MacDONALD. The Export-Import Bank has been loaning Central American countries, and some of the South American countries funds for various purposes, including the building of highways. The Public Roads Administration has been brought in to provide engineering assistance to the Export-Import Bank.

Mr. WIGGLESWORTH. That is covered under your general authority?

Mr. MacDonald. Yes, sir; we have general authority to do engineering work for any department of the Government.

Mr. DIRKsen. Does the basic act give you authority to undertake a survey for the purpose of promoting uniform traffic rules? They have left-hand driving in Panama and also in the Argentine as well as in a number of other places. I can imagine difficulty in the future for some of our people on that account. Has any negotiation been set on foot that would have in mind working out uniform standards by the time this highway is completed?

Mr. MacDONALD. No, sir; but I think that is a very good idea. I think we ought to take that up. It is possible that could be brought about in connection with the opening of this new Trans-Isthmian Highway. There would be a possibility of danger, because of the number of people from the United States who are likely to be using this road.

Mr. DIRKSEN. They invariably get into a jam down there; I saw several.

Mr. MacDonald. Yes. We will take that up to see what can be done about it.

Mr. DIRKSEN. You do have authority in the act?

Mr. MacDONALD. Yes; we have authority to undertake research in connection with highway improvement and highway usa.

FEDERAL-AID SECONDARY OR FEEDER ROADS

Mr. WOODRUM. We will take up the item, Federal-aid secondary or feeder roads, which is as follows:

For secondary or feeder roads, including farm-to-market roads, rural free delivery mail roads, and public-school bus routes, $6,000,000, to be immediately available and to remain available until expended, which sum is a part of the amount authorized to be appropriated for the fiscal year 1942, by section 2 of the Act approved September 5, 1940.

Mr. MacDonald. The following is our justification statement on this item.

Federal-aid secondary or feeder roads Regular appropriation, 1942 act.

$15, 000, 000 Base 1943

15, 000, 000 Decrease

-9, 000, 000

Total estimate for 1943.---

6,000,000

PURPOSE OF APPROPRIATION

Federal funds for participation in the cost of improving secondary or feeder roads were first provided under the National Industrial Recovery Act of June 16, 1933 (48 Stat. 200), and subsequent emergency highway appropriations. Section 7 of the Hayden-Cartwright Act of June 16, 1936 (49 Štat. 1521), authorized for the first time an appropriation of regular Federal-aid funds, as distinguished from the emergency funds, for the construction of secondary or feeder roads. (Details included in general statement.) This policy has been continued in subsequent Federal-aid authorization acts. The act of September 5, 1940 (54 Stat. 868), authorized an appropriation of $17,500,000 for each of the fiscal years 1942 and 1943. (Exhibit D.)

As of June 30, 1941, 30,639 miles of secondary or feeder roads had been constructed with regular and emergency funds in cooperation with the State highway departments, and 2,989 miles were under construction or approved for construction.

As with projects on the Federal-aid highway system, the initiation of projects and immediate supervision of the construction of secondary or feeder roads rest with the State highway departments, and engineers of the Public Roads Administration make frequent inspections and approve all work from the inception of a project until its completion.

AVAILABLE FUNDS, 1942 The sum of $15,000,000 was appropriated in the Independent Offices Appropriation Act of 1942, which covered the full amount authorized for the fiscal year 1941. (Exhibit E.)

ESTIMATE FOR 1943

The amount requested for the fiscal year 1943 is $6,000,000, which is a part of the amount authorized for the fiscal year 1942.

Mr. WOODRUM. You are asking $6,000,000 for 1943 as against an appropriation for 1942 of $15,000,000. Tell us about this, Mr. MacDonald.

Mr. MacDONALD. Mr. Chairman, this fund, like the Federal-aid fund, can only be used on projects that are certified as defense projects and where met with State funds.

Mr. WOODRUM. You are still following the same procedure that you outlined under the Federal-aid highway system?

Mr. MacDONALD. Yes, sir.

Mr. STARNES. You have $25,000,000 additional funds that can be used on this particular program under defense roads; do you not?

Mr. MacDONALD. Many of the access roads fall into the secondary classification and for that there is available an authorization of $150,000,000.

Mr. STARNES. An authorization; how much money is actually available?

Mr. MacDONALD. This bill refersMr. STARNES. This bill carries $6,000,000 as an estimate for 1943. Mr. MacDoNALD. Yes, sir; but in addition to this $6,000,000, which can be used for that class of roads—and a good many roads of that category have been built from this fund—there is in addition a $150,000,000 authorization, of which $75,000,000 is in cash and $50,000,000 in contractual authorization.

Mr. STARNES. There is an actual cash appropriation of $75,000,000 that can be used on what you would properly classify as secondary roads?

Mr. MacDONALD. Yes, sir; for access roads.
Mr. STARNES. Which are access roads for military purposes?
Mr. MacDonald. Yes, sir.

Mr. WIGGLESWORTH. Is it also true that every cent of this $6,000,000, if spent, will be spent on roads deemed essential to national defense?

Mr. MacDONALD. That are certified; yes, sir.

ELIMINATION OF GRADE CROSSINGS

Mr. WOODRUM. The next item is "Elimination of grade crossings," as follows:

For the elimination of hazards to life at railroad grade crossings, including the separation or protection of grades at crossings, the reconstruction of existing railroad grade-crossing structures, and the relocation of highways to eliminate grade crossings, $22,000,000, to be immediately available and to remain available until expended, which sum is a part of the amount authorized to be appropriated for the fiscal year 1941 by section 3 of the Act approved June 8, 1938 (52 Stat. 634).

JUSTIFICATION OF ESTIMATE

Mr. MacDonald. We offer the following justification of this item. Regular Appropriation, 1942 Act.

$10,000,000 PURPOSE OF APPROPRIATION The elimination of hazards to life at railroad grade crossings has always been a recognized part of the regular Federal-aid highway program. Funds were first provided specifically for this work under the provisions of the Emergency Relief Appropriation Act of 1935 (49 Stat. 115), when $200,000,000 was allotted exclusively for this type of work. The Hayden-Cartwright Act of June 16, 1936 (49 Stat. 1519), carried the first authorization exclusively for this work in regular Federal-aid legislation. Subsequently, each Federal-aid authorization act has carried specific provision for the elimination of danger at grade crossings. The act of September 5, 1940 (54 Stat. 869), authorized appropriations of $20,000,000 for each of the fiscal years 1942 and 1943 for this work. (Details included in general statement.)

Base for 1943..
Increase

10, 000, 000
12, 000, 000

Total estimate for 1943.

22, 000, 000

Unlike the Federal-aid highway system and secondary or feeder road funds, which must be matched with State funds, these funds are available to pay the full cost of construction without being matched with State funds. The work under this appropriation includes the protection or separation of grades at crossings, the reconstruction of existing railroad grade crossing structures, and the relocation of highways or railroads to eliminate grade crossings.

During the fiscal year ended June 30, 1941, grade crossing projects were brought to completion and work was under way as of that date as follows:

Completed Active

during projects as fiscal year of June 30,

1940 1940

Elimination
Reconstruction.
Protection...

321

65 941

450 119 611

AVAILABLE FUNDS 1942

The sum of $10,000,000 was appropriated in the Independent Offices Appropriation Act of 1942 to provide for these activities. This amount was composed of $5,000,000, the remainder of the amount authorized to be appropriated for the fiscal year 1940, and $5,000,000, a part of the amount authorized to be appropriated for the fiscal year 1941 (exhibit F).

ESTIMATE FOR 1943 The amount requested for the fiscal year 1943 is $22,000,000, which is a part of the amount authorized for the fiscal year 1941. Although the amount requested for 1943 is $12,000,000 more than was requested for 1942, actual expenditures will be less in 1943 than in the current fiscal year. The small appropriation requested for 1942 was due to an unexpended balance of over $29,000,000 appropriated for prior years which was carried forward for expenditure in 1942 (exhibit G). The amount now requested for 1943 is actually $3,000,000 less than was appropriated for 1941 and $18,000,000 less than the appropriation for 1940.

INCREASE IN ESTIMATE OVER CURRENT APPROPRIATION

Mr. WOODRUM. The estimate for 1943 is $22,000,000 as against a current appropriation of $10,000,000.

Mr. MacDONALD. The same thing is true, Mr. Chairman, of this appropriation, as of the others.

Mr. WOODRUM. The money would be used on grade-crossing eliminations incident to the defense highway program?

Mr. MacDONALD. Yes, sir.
Mr. FITZPATRICK. That is partly matched by the States, is it not?

Mr. MacDONALD. No matching is required for construction purposes. It has been required up to the present time that the State provide the right-of-way and pay property damages.

Mr. FITZPATRICK. That is, approaching the crossing?

Mr. MacDONALD. Yes, sir.

Mr. STARNES. I notice that here for the first time there is an increase in this particular bill. There was a decrease of $45,000,000 from last year's appropriation on your Federal-aid highway system, and a decrease of $9,000,000, from $15,000,000 to $6,000,000, for your secondary or access roads. But when you come to the elimination of grade crossings, you jump from $10,000,000 to $22,000,000. What do you assign as the reason for that discrimination, if you want to call it that, as between these appropriations?

Mr. MacDONALD. You see, we had a $30,000,000 authorization for 1941.

Mr. STARNES. But for 1942 you had only $10,000,000.

Mr. MacDonaLD. The authorization for 1942 was $20,000,000. We estimate that the expenditure to take up the program that has been provided for will require $22,000,000 this year. There is a lag between the time the work is done-between the time the work is put under construction-and the time that we actually pay the money out. The appropriation for 1942 was only $10,000,000, and we are going to pick up the balance in this estimate of $22,000,000.

Mr. WOODRUM. You have still got some balance you have not picked up?

Mr. MacDONALD. Yes, sir.

Mr. STARNES. I am wondering, though, in view of the tremendous amount of money that has been spent under previous relief programs and public works programs for the elimination of grade crossings, why it is necessary to jump from $10,000,000 to $22,000,000 when every other part of your program has been cut and cut severely.

Mr. MacDONALD. We only had a $10,000,000 appropriation last year, but the authorization was for $30,000,000. That work is put under contract under the authorization. We are called upon to pay for the work later, so that this $22,000,000 estimate provides for the payment for work that was put under way under previous authorizations.

Mr. STARNES. Will you please insert in the record an allocation of this $22,000,000 by States?

Mr. MacDonald. Yes, sir.
Mr. WOODRUM. If you have not, put it in the record.

Mr. MacDONALD. Yes, sir. The apportionment for 1942 is included in material submitted for the record in exhibit F.

Mr. WIGGLESWoạth. Do you mean that all of this $22,000,000 is already under contract?

Mr. MacDonald. That and what we estimate will be put under contract as defense projects.

Mr. WIGGLESWORTH. Is the $22,000,000 under contract yet?
Mr. MacDONALD. Part of it.

Mr. WIGGLESWORTH. How much? Put the figure in the record, please.

Mr. MacDONALD. Very well.

Approximately $16,700,000 of $22,000,000 is obligated to projects that are already under way.

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