demnation in proceedings instituted upon application of any officer of the Government shall likewise be subject to condemnation in proceedings instituted upon application of the Corporation as herein provided. Sections 1, 2, and 4 of the Act of February 26, 1931 (46 Stat. 1421), as amended (40 U. S. C. 258 (a), 258 (b), 258 (d)), shall be applicable in any such proceeding. Any judgment rendered against the United States in any such proceeding shall promptly be paid by the Corporation. Upon the vesting of title in the United States of America in any such proceeding, the Chairman of the Board of Directors of the Corporation by deed executed by him, acting for and on behalf of the United States, shall transfer the entire title or interest so acquired to the Corporation, and the Corporation shall thereupon have the same rights with respect to any real estate or right, title, or interest therein so acquired as it has with respect to any real estate or right, title, or interest therein acquired by purchase pursuant to the authority contained in this Act. Any department, agency, or independent establishment of the Government, or any corporation, all of the capital stock of which is owned or controlled directly or indirectly by the Government, is hereby authorized, notwithstanding any other provision of law, to sell, transfer, or lease to the Corporation, with or without consideration, any real estate and any right or interest therein required by the Corporation in order to carry out its functions or those of the Secretary of the Interior under this Act. (b) For the purpose of carrying out the provisions of this Act, the provisions of the Act of June 25, 1910 (36 Stat. 851), as amended (35 U. S. C. 68), shall be applicable to the Reconstruction Finance Corporation. SEC. 11. The Secretary of the Interior and the Reconstruction Finance Corporation shall make reports to the Congress at the beginning of each regular session on their respective activities under this Act. The reports shall include suitable recommendations for further legislation and for such appropriations as may be deemed necessary to promote the establishment and development of a privately owned synthetic liquid fuel industry in the United States, and shall also include recommendations, including minority recommmendations, of any advisory committee or committees appointed pursuant to section 9 (a) of this Act. SEC. 12. (a) Whenever the Secretary of the Interior, after consultation with the Attorney General, shall find, and certify to the Attorney General in writing, that the doing of any act or thing, or the omission to do any act or thing, by one or more persons, is requisite to the accomplishment of the purposes of this Act, such act, thing, or omission shall be deemed in the public interest and no prosecution or civil action shall be commenced with 'reference thereto under the antitrust laws of the United States or the Federal Trade Commission Act. Such finding and certificate may be withdrawn at any time by the Secretary of the Interior, in his discretion, by giving reasonable notice of such withdrawal to the Attorney General, whereupon the provisions of this section shall not apply to any subsequent act, thing, or omission by reason of such finding or certificate. (b) The Attorney General shall transmit annually to the Secretary of the Interior, for inclusion in the report provided for by section 11 of this Act, a report of the operations under this section. The Attorney General may, from time to time, transmit to the Congress such additional reports of operations under this section as he may deem necessary or desirable. SEC. 13. (a) The aggregate amount of the funds of the Reconstruction Finance Corporation which may be outstanding at any one time for carrying out the provisions of this Act shall not exceed $650,000,000. (b) There is hereby authorized to be appropriated annually a sum of not to exceed $1,000,000 to carry out the functions of the Secretary of the Interior under this Act. Amend the title so as to read: "A bill to aid in averting shortages of petroleum and petroleum products in the United States by promoting the production of synthetic liquid fuels." The CHAIRMAN. The letter from the President, of March 7, 1950, to the Vice President, and the reports thereafter received by this committee from the Director of the Budget, from the Department of Labor, from the Secretary of Commerce, from the Secretary of the Interior, and from the Acting Judge Advocate General, Capt. E. E. Woods, of the United States Navy, will be made a part of the record at this point. (The documents above referred to are as follows:) Hon. ALBEN W. BARKLEY, President of the Senate of the United States. THE WHITE HOUSE, Washington, March 7, 1950. MY DEAR MR. VICE PRESIDENT: In my message of March 3, 1950, to the Congress, I urged the Congress to act immediately on legislation to authorize the Government to take possession of and operate the coal mines. I submitted with that message a draft of a bill appropriate for carrying out that recommendation. Since my message to Congress, the representatives of the miners and the representatives of the operators have negotiated a new contract and the miners are returning to work. The emergency situation which was the basis of my request for seizure authority no longer exists, therefore, and, accordingly, it is not necessary for the Congress to give further consideration to such legislation at this time. I also recommended in my message of March 3 that the Congress establish a commission, including members from the Congress, the executive branch, and the public, to make a thorough study of the coal industry in terms of national economic, social, and security objectives, and to recommend positive and constructive solutions for the basic problems of that industry. I stated that I expected to submit a draft of legislation for that purpose to the Congress at an early date. Pursuant to this statement in my message of March 3, I attach for the consideration of the Senate a draft of legislation to establish a Commission on the Coal Industry. The end of the coal strike has in no way diminished the need for a long-range study of the coal industry with the view of finding and putting into effect the best solutions of its problems from the standpoint of the miners, the operators, and, above all, the national interest. I, therefore, hope that the Congress will enact legislation of this character as soon as possible. Sincerely yours, Hon. JOSEPH C. O'MAHONEY, HARRY S. TRUMAN. DEPARTMENT OF LABOR, Washington, April 27, 1950. Chairman, Committee on Interior and Insular Affairs, United States Senate, Washington, D. C. DEAR SENATOR O'MAHONEY: This is with further reference to your request for my views on S. 3215, a bill to establish the Commission on the Coal Industry. S. 3215 would carry out the recommendation of the President that a commission of inquiry be established "to make a thorough study of the coal industry, in terms of economic, social, and national security objectives" which was contained in his message to the Congress dated March 3, 1950, and reiterated in his message to the Congress dated March 7, 1950. The need for enactment of this legislation is no less great now than it was when it was first proposed by the President. The problems of the coal industry affect in fundamental ways the bargaining relationships between the coal operators and their employees represented through the United Mine Workers of America. I am convinced that we cannot have stable industrial peace in the industry until we have knowledge about conditions in the industry which will enable us to devise sound and fair solutions of its problems. S. 3215 proceeds upon the assumption that a careful study of the coal industry must embrace consideration of the need for its products, the available coal reserves, the means and costs of mining, conditions of employment and competition within the industry and with other industries. As I pointed out in my statement to the Committee on the Judiciary in connection with its consideration of S. 2912, a bill to protect trade and commerce against unreasonable restrains by labor organizations: * * The problem of employment stability in the bituminous coal industry cannot be solved by any legislative fiat. It calls for intensive study of the facts concerning the operations of the industry, its organization, the factors governing production and prices, and the hazards of employment in the industry. The operation of our basic industries cannot be assured at a high level on a continuous basis through the adoption of any "pat" legislative formula. Our free enterprise system is characterized by and draws much of its strength from its diversity. Our aim must be to give the greatest possible scope to the diverseforces that make it go. Insofar as the relations between labor and management are concerned, the heart of the system is collective bargaining." A thorough study of the coal industry is urgently needed at this time in order to ascertain the adverse effects of its economic difficulties upon the miners and their families, and in particular, the causes of the serious unemployment in the industry. Enactment of legislation along the lines of S. 3215, therefore, has my approval, and I strongly urge enactment of such legislation at this session of the Congress. The Bureau of the Budget advises that it has no objection to the submission of this report. Yours very truly, MAURICE J. TOBIN, Secretary of Labor. THE SECRETARY OF COMMERCE, Hon. JOSEPH C. O'MAHONEY, Chairman, Committee on Interior and Insular Affairs, United Staes Senate, Washington, D. C. DEAR MR. CHAIRMAN: This letter is written in reply to your request of March 16, 1950, for our comments on S. 3215, a bill, to establish the Commission on the Coal Industry. The Department of Commerce recommends the enactment of legislation establishing a Commission, such as that proposed by S. 3215, to study and investigate the conditions and problems of the coal industry. Although the coal industry was bolstered during and immediately following the war, we are convinced that the economic structure of this basic industry is so unstable as to merit the closest sort of examination. Objective information such as could be obtained by the proposed Commission would prove invaluable to the Congress in evaluating legislative action with respect to this industry. I have been advised by the Bureau of the Budget that the enactment of S. 3215 would be in accordance with the program of the President. Sincerely yours, THOMAS C. BLAISDELL, Jr., Acting Secretary of Commerce. EXECUTIVE OFFICE OF THE PRESIDENT, BUREAU OF THE BUDGET, Washington, D. C., March 17, 1950. Hon. JOSEPH C. O'MAHONEY, Chairman, Committee on Interior and Insular Affairs, Room 224, Senate Office Building, Washington, D. C. MY DEAR SENATOR O'MAHONEY: This will acknowledge your letters of March 2, 1950, and March 9, 1950, inviting the Bureau of the Budget to comment on Senate Joint Resolution 157, to establish a Special Bipartisan Coal Commission, and S. 3215, to establish the Commission on the Coal Industry. These bills provide for the establishment of a Commission, including Members from the Congress, the executive branch, and the public, to make a thorough study of the coal industry. The need for such a study was set forth clearly by the President in his message of March 3, 1950, to the Congress, and in his letter of March 7 to the President of the Senate and the Speaker of the House. S. 3215 incorporates the legislative recommendations made by the President in his March 7 letter. It is believed that this bill provides for the establishment of the type of an investigative body that can most effectively accomplish the objectives of the study envisaged by this legislation. Accordingly, while the objectives of both bills are wholly in accord with the program of the President, it is recommended that the Congress give favorable consideration to the enactment of S. 3215. Sincerely yours, FRANK PACE, Jr., Director. Hon. JOSEPH C. O'MAHONEY, DEPARTMENT OF THE INTERIOR, Chairman, Committee on Interior and Insular Affairs, United States Senate, Washington, D. C. DEAR SENATOR O'MAHONEY: You have requested reports from this Department on Senate Joint Resolution 157, a joint resolution to establish a Special Bipartisan Coal Commission, and on S. 3215, a bill to establish the Commission on the Coal Industry. An identical resolution, House Joint Resolution 432, and an identical bill, H. R. 7599, have been introduced in the House. This Department believes that the prospect of the coal industry justifies a comprehensive study of the complex problems in which that industry is involved. Such an inquiry is essential if solutions to these vexing problems are to be pursued by government, business, and labor. Both proposals on which you request reports have as their general objective investigation of the problems of the coal industry, and both propose that the inquiry be conducted by a Commission consisting of designations by the President of the Senate, the Speaker of the House, and the President of the United States. In my opinion, S. 3215 represents a broader approach to this problem and provides for a Commission desirably smaller in number. Although both proposals represent affirmative steps in the direction in which I feel we must move, I am inclined to favor S. 3215 as the more practicable measure. I hope, in view of the very great importance of this matter, that action can be taken by the present Congress to provide for this greatly needed investigation. In event that hearings are held by your committee on these measures or on other proposals of a similar nature, I should be glad to appear and discuss their importance. I shall reserve until that time more detailed comments on the desirable scope of the inquiry. The Bureau of the Budget has advised that the enactment of a measure along the lines of H. R. 7599 would be in accord with the program of the President. Sincerely yours, Hon. JOSEPH C. O'MAHONEY, OSCAR L. CHAPMAN, Secretary of the Interior. DEPARTMENT OF THE NAVY, OFFICE OF THE JUDGE ADVOCATE GENERAL, Chairman of the Committee on Interior and Insular Affairs, United States Senate. DEAR MR. CHAIRMAN: Your request to the Secretary of Defense for the comments and recommendations of the Department of Defense on the bill (S. 3215) to establish the Commission on the Coal Industry, and the joint resolution (S. J. Res. 157) to establish a Special Bipartisan Coal Commission has been assigned to the Navy Department for the preparation of a report thereon expressing the views of the Department of Defense. Both measures seek to establish a coal commission to investigate the conditions and problems of the coal industry with a view toward achieving and maintaining a healthy and progressive industry. In view of the fact that these legislative proposals do not directly relate to matters involving the Department of Defense, the Navy Department, on behalf of the Department of Defense, submits no comments concerning the merits of these proposals. A copy of this report has been submitted to the Bureau of the Budget. E. E. WOODS, The CHAIRMAN. Senator Myers, who intends to appear, is conducting a subcommittee hearing for the Interstate Commerce Committee this morning, but he will be here before the Secretary has finished. Senator Humphrey is on his way; and Senator Kilgore will be here before the committee hearing ends this morning. That leaves the field open for you, Mr. Secretary. Will you be good enough to make your statement, please? Secretary CHAPMAN. I will be very happy to, Senator. The CHAIRMAN. I think I might say this, in passing: that this opens up a very broad problem for our committee. The competition of industries raises serious questions, as well as the competition of individuals, and we have here, unquestionably, the competition of petroleum and natural gas and coal, which is the traditional fuel. So that there are many implications to be drawn from what is said here today, and the committee will desire, on the basis of the testimony, to outline a program for study of the problem. You may proceed, Mr. Secretary. STATEMENT OF HON. OSCAR L. CHAPMAN, SECRETARY OF THE INTERIOR Secretary CHAPMAN. Mr. Chairman, I am very happy to come here this morning and have this opportunity to discuss with the committee this question. As you know, we in the Department more or less consider this committee our board of directors, and we like to report to you and we like to consult with you, because we do need your guidance. And I might say that I don't know of anything in which we need, administratively, your guidance, more than in this field. We have here four competing energies: oil, natural gas, coal, and hydroelectric power. To say that one of them is lagging in production and is not producing as much this year as last year is not an answer to our problem. I am hoping that we can find a basis for study. I may say that I have read Resolution 239, by Senator Myers, and S. 3215, by Senator O'Mahoney. There is, obviously, in both of them the basis, I think, for a proper study to be made of this subject. I would not wish to see, and I do not think it would be desirable to see, just an investigation made of a particular industry. I am looking for the answers in the competing end of this problem between the four fuels. We need to know more about it than we know at the present time, administratively as well as otherwise. I have a prepared statement, Mr. Chairman, and, if I may read that, it will take only about 12 or 14 minutes. I will then be very glad to answer any questions. I have tried in the statement to focus attention on one or two of the principal points. The charts before you contain the latest available information with respect to these fuels. I am very glad to appear before you to discuss the very important and timely matter of an inquiry into the circumstances of the coal industry as they relate to the economic health of that industry and to its relationship to the economy and security of the Nation as a whole. The chairman of this committee is to be congratulated on his foresightedness in introducing S. 3215, which would establish a commission to investigate this matter, and its related problems. The CHAIRMAN. I hardly think that I deserve the compliment, Mr. Secretary, inasmuch as I merely introduced a bill which was transmitted to the Congress by the President in his letter to the Vice President. If there is any foresight involved, it was not particularly mine. Although the chairman of the committee several years ago, in the Seventy-ninth Congress, was the chairman of a committee which made |