APPENDIX R SUPPLEMENT TO MAIN STATEMENT OF H. NEIL GARSON, SECRETARY OF THE INTERSTATE COMMERCE COMMISSION BEFORE THE SPECIAL COMMITTEE ON INVESTIGATIONS OF THE COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE JULY 29, 1970 This is to supplement my main statement to the Committee and contains a list of attachments which are as follows: (1) There is attached hereto as Appendix 12A a memorandum dated July 7, 1970 to Chairman Stafford of the Interstate Commerce Commission regarding a trip made by me on behalf of the Commission to St. Louis, Missouri, on May 7, 1968. The July 7, 1970 memo, as stated, supplements my memorandum to Chairman Stafford of June 26, 1970. (See Appendix 12 of main statement.) The July 7, 1970 memorandum contains an attachment consisting of a letter from Mr. Walter K. Cabot who was President of the National Association of ShipperMotor Carrier Conferences at the time of the St. Louis meeting on May 7, 1968. (2) Attached herewith as Appendix 4A is a letter dated June 26, 1970, addressed to me by Mr. George G. Martinez, Resident Manager of the Hotel Pontchartrain, which states that Room 2040 which I occupied on May 2 and 3, 1968, does not have a sitting room. (3) Attached hereto as Appendix 20A is a sworn affidavit from Mr. John R. Sims, Jr., President-Elect of the Association of Interstate Commerce Commission Practitioners and prior treasurer of the Association stating that the Association did not pay any honorarium or gratuity to H. Neil Garson. (4) Set forth below is a list of material submitted with the statement exclusive of the appendices. These items have been submitted to Committee Counsel, Mr. Lishman, and can be obtained from him. (a) Realigned and recodified version of the Interstate Commerce Act consisting of the following items: 1. Original Draft of Proposed Realigned Interstate Commerce Act and descriptive memoranda circulated to Advisory Committee on Realignment and heads of Commission Offices and Bureaus. 2. First Revised Draft Realignment consisting of three volumes. A. Volume I-containing a series of descriptive memoranda as well as all comments received on the original draft. B. Volume II-containing the text of the First Revised Draft. C. Volume III-containing the present Interstate Commerce Act as amended through January 1, 1968. These materials were circulated to members of an expanded Advisory Committee, heads of Commission Offices and Bureaus, and other interested parties. 3. Two Volume Draft of proposed Subtitle III Title 49 (an expanded version of the realignment draft containing both text and Revision Notes) plus a conversion table. These materials were submitted as a working draft to the late Dr. Charles Zinn, Law Revision Counsel for the House Judiciary Committee for the purpose of developing a Committee Print which is to be circulated for comment to interested persons and organizations. These volumes were also circulated to members of the Interstate Commerce Commission, members of the Joint Interagency Codification Group (concerned with Titles 46 and 49 of the U.S. Code), the Chairman of the House Interstate and Foreign Commerce Committee, and the Chairman of the Senate Commerce Committee. (b) Material used in preparation of proposed rules of discovery and proposed rules as submitted to the Commission by the I.C.C. Practitioners Association consisting of: 1. The large blue-backed publication is a comparative analysis of the Federal Rules of Civil Procedure relating to Discovery with the existing discovery rules of several regulatory agencies and with the proposed rules of discovery for the Interstate Commerce Commission. The Federal Regula. tory Agencies whose rules are compared in this publication are: A. Civil Aeronautics Board D. Federal Maritime Commission, and E. Federal Communications Commission. 2. The green-covered publication represents a preliminary draft of proposed rules for discovery which was prepared by an Ad Hoc Committee composed of eminent attorneys, all of whom are practitioners before the Interstate Commerce Commission. Secretary Garson was Chairman of the initial session of the Committee. 3. The brown-covered publication represents the final draft of proposed discovery rules as prepared by the Ad Hoc Committee for presentation to the I.C.C. Practitioners Association and the Motor Carrier Lawyers Association for consideration by appropriate committees of the respective groups. 4. The smaller blue-backed publication is the proposed rules for discovery presented by the Committee on Procedure of the I.C.C. Practitioners Association to then Chairman Brown for consideration and with a request that a rulemaking proceeding be instituted to consider the proposals. (c) Copy of remarks made at the Motor Carrier Lawyers Association Conference in Detroit, Michigan, May 2, 1968. (d) Copy of new edition of the Interstate Commerce Commission General Rules of Practice, September 1, 1968. (e) Copy of remarks entitled, "Commitment of Action", made at Movers' & Warehousemen's Association of America, Inc. Convention at San Juan, Puerto Rico, March 29, 1969. (f) Travel Authorities and Vouchers since 1968. (g) Copy of remarks entitled, "Progress Report on the Realignment of the Interstate Commerce Act", made before the American Bar Association in Chicago, Illinois on February 18, 1968. (h) Copy of remarks made at the National Association of Shipper-Motor Carrier Conferences Meeting in St. Louis, Missouri, May 7, 1968. (i) Copy of remarks made before the Association of Interstate Commerce Commission Practitioners in Minneapolis, Minnesota on June 21, 1968. (1) Copy of Selected Remarks from the Seminar on "Federal Regulation of Transportation", in Seattle, Washington, October 10 and 11, 1968, and a copy of the program. (k) Copy of 1968 Report of the Committee on Administration and Personnel. (1) Copy of remarks entitled, "Commission Publications", made before the Interstate Commerce Commission Practitioners Association in Houston, Texas, June 27, 1969. (m) Copy of remarks entitled, "The Interstate Commerce Commission's View of Through Routes, Through Rates and the Trade Simplification Bill", made at the Maritime Management Institute of the State University of New York Maritime College, in New York, New York, March 4, 1970. (n) Copy of remarks entitled, "The Legislative Program of the Interstate Commerce Commission", given at the Conference of the Southeastern Association of Railroads and Utilities Commissioners, at Myrtle Beach, South Carolina, May 22, 1970. Memorandum to the Chairman: OFFICE OF THE SECRETARY, July 7, 1970. This is to supplement my memorandum to you of June 26, 1970 in which I discussed the matter of an overnight trip to St. Louis, Missouri. In the memorandum, I indicated that I had undoubtedly paid for my one night stay in cash. I am attaching for your information a copy of a letter dated June 29, 1970, from Walter K. Cabot, General Traffic Manager of Johnson & Johnson, who was President of the Association at the time I appeared as a speaker. While Mr. Cabot's letter speaks for itself, I should like to direct your attention to the following remarks: “After the luncheon session, climaxed by your most interesting talk, you made your own arrangements for checking out of the hotel and transferring to the airport. I had to remain and conduct the afternoon session of the Association, which concluded my two year term as President. The Association did not supply you with any transportation, entertainment or food, except for the luncheon at which you spoke." Hon. H. NEIL GARSON, Secretary, Interstate Commerce Commission, H. NEIL GARSON, Secretary. JOHNSON & JOHNSON, New Brunswick, N.J., June 29, 1970. DEAR MR. GARSON: I clearly remember the circumstances surrounding your visit and presentation before the National Association of Shipper Motor Carrier Conferences in St. Louis on May 7, 1968. When we were discussing the arrangements, your and my specific plans for arriving in St. Louis on May 6th were so indefinite we decided to make our own arrangements for transportation from the airport to the hotel. It was not until just before noon on May 7th that I met you in the hotel lobby and we proceeded to the luncheon meeting, at which you were to speak. After the luncheon session, climaxed by your most interesting talk, you made your own arrangements for checking out of the hotel and transferring to the airport. I had to remain and conduct the afternoon session of the Association, which concluded my two year term as President. The Association did not supply you with any transportation, entertainment or food, except for the luncheon at which you spoke. Actually, I felt and still feel embarrassed over the fact we did not extend at least a minimum of courtesy in appreciation for your taking the time to join us and contribute so much to the success of our meeting. DEAR MR. GARSON: Relative to your letter inquiring information regarding Room 2040, this room does not have a sitting room. Our records indicate that this was the room occupied on May 2 and May 3, 1968. Sincerely yours, APPENDIX 20A GEORGE G. MARTINEZ, AFFIDAVIT John R. Sims, Jr., being duly sworn, deposes and says that he is the PresidentElect of the Association of Interstate Commerce Commission Practitioners, having been so elected at the annual meeting in June, 1970, and that for the preceding two years he served as Treasurer of the Association; and, that to his knowledge during this period of time the Association did not pay any honorarium or gratuity to H. Neil Garson. Given under my hand and seal this 6th day of July, 1970. District of Columbia ss: JOHN R. SIMS, Jr. I, Mary M. Patton, a notary public in and for the District of Columbia hereby certify that the foregoing was executed before me by John R. Sims, Jr. on the 6th day of July, 1970. My Commission Expires April 30, 1974. MARY M. PATTON, STATEMENT OF H. NEIL GARSON, SECRETARY OF THE INTERSTATE COMMERCE COMMISSION When I appeared before the Committee on June 18, 1970, the record was left open to permit me to make any further submissions. In addition, I was given to understand from Mr. Lishman that I would probably be called back. In view of the fact that I am an Army Reserve Officer and the Deputy Commander of a 300 man Army Reserve Unit which will be going on its two week annual active duty training at Ft. Hood, Texas from July 12 to July 26, 1970, I advised Mr. Lishman of this fact and requested him to give me an opportunity to come before you prior to my active duty training period. I wish to express my appreciation to the Committee and to Mr. Lishman for giving me this opportunty to clarify the record insofar as it affects me. When I appeared before the Committee on June 18, 1970, the letter to Chairman Stafford of the I.C.C. from Chairman Staggers of this Committee stated that I was being called to discuss and answer questions regarding the Commission's rules and regulations. From the tenor of the hearings which preceded my being called to testify, I deduced that the Committee would want to question me on the Commission's rules and regulations pertaining to train discontinuances. Additionally, the Commission's Congressional Liaison Officer and the Commission's Deputy General Counsel both indicated to me that I would be questioned only about the Commission's rules and regulations pertaining to train discontinuances. I should like to present for the record a copy of the letter dated June 9, 1970, from Chairman Staggers to Chairman Stafford of the Commission. The letter is attached as Appendix 1 to this statement. While the next to the last paragraph of the letter indicates that the Budget and Fiscal Officer Alan M. Fitzwater was to appear at the hearing and have available the travel vouchers of those called to testify, to say that I was taken completely by surprise by the immediate direction of the questions to me in this regard is an understatement. I was not concerned about my travel vouchers because my records fully substantiate my requests for reimbursement. I believe that my statement today will clarify the record and will show that my conduct in connection with travel on behalf of the Commission was at the time I prepared this statement proper in every respect. At the end of my appearance on June 18, 1970, there were several questions regarding a trip to Detroit, Michigan in May of 1968 to represent the Commission at the annual convention of the Motor Carrier Lawyers Association. I recall that Mr. Lishman asked whether I had paid the basic room rate for my room at the Hotel Pontchartrain. I also recall stating that I had paid the hotel for the bill submitted to me and the record was left open for such submission. On the evening of June 18, 1970, I searched my records and found a canceled check dated May 23, 1968, in the amount of $30.16 to the Hotel Pontchartrain and it was annotated "For Bill #C29389". The next day I sent a copy of the check to the Chairman of this Committee with a letter stating that I was submitting the canceled check, noting the annotation, and stating that "I am unable to locate a copy of the bill. However, if you feel that it is needed, I shall write to the hotel for a copy." The letter is attached as Appendix 2 to this statement. I desire to submit for the record a copy of my letter dated June 19, 1970 to Chairman Staggers with attached copy of my check to the Hotel Pontchartrain dated May 23, 1968. On the same day that I wrote the letter to Chairman Staggers I also sent a letter to the Hotel Pontchartrain requesting a copy of Bill #C29389. This letter is attached as Appendix 3 to this statement. I hereby submit for the record a copy of my letter dated June 19, 1970 to the Hotel Pontchartrain. Later I was requested by Chairman Staggers to send the Committee a copy of the bill if I received it. On June 25, 1970 I received a copy of the bill and by letter dated June 26, 1970 I sent a copy of the bill to Chairman Staggers. A copy of the letter is attached as Appendix 4 to this statement. I am submitting for the record a copy of my letter dated June 26, 1970 to Chairman Staggers to which is attached a copy of the bill. I should like to draw attention to the bill. The bill at the very top in the box designated as rate, states $14.50. I stayed at the hotel two nights. The bill balance is stated as $30.16 including tax which is the amount of my check of May 23, 1968. Contrary to the statement that is made in the letter of January 23, 1970 from Mr. Robert D. Schuler to Mr. Lippman, I paid the basic room rate of $14.50 per day. I should like to note that I saw that letter for the first time at the hearing on June 18, 1970 when it was presented to me by Mr. Lishman. Inasmuch as the letter was contrary to the facts, and since we cannot be expected to have total recall at any given moment, I was dismayed by counsel's implications. My bill and the canceled check clarify this matter. At the June 18, 1970 hearing there was a reference made to a sitting room being furnished the Association guests. I should like to point out to the Committee that the Bill #C29389 indicates that I occupied Room 2040. I desire also to point out that on June 26, 1970 at 2:10 p.m., I called the Hotel Pontchartrain and spoke with Mr. George G. Martinez, Resident Manager of the Hotel. I asked him to check whether Room 2040 has a sitting room. He told me that Room 2040 does not have a sitting room. This confirms my recollection that I was not furnished a sitting room. If the letter of January 23, 1970 is accurate and I have no reason to doubt it, then the Motor Carrier Lawyers Association also paid the basic room rate, and in addition, paid for a sitting room which was not furnished me and which I did not request. With respect to the Detroit trip, I should like to point out several matters which are pertinent to a full understanding of the events which pertain to the trip. First attendance at the convention was authorized by the Chairman of the Commission (at that time, Commissioner Paul J. Tierney), as stated in his letter of March 28, 1968 to Mr. Beverley S. Simms, at that time, President of the Motor Carrier Lawyers Association. A copy of the letter is attached as Appendix 5. I am submitting a copy of the letter for the record. Secondly, under the Commission's regulations I cannot make any official trip without approval of the Chairman or the Managing Director. With respect to the room accommodations, I did not make the reservation. The reservations were made by the Association. I have here a letter dated April 2, 1968, from Mr. George S. Dixon of the law firm of Matheson, Dixon and Bieneman of Detroit, Michigan dated April 2, 1968, addressed to me, which confirms this fact. Again, to clarify the record, Mrs. Garson did not accompany me, and the reservations were made by the Association. The letter is attached as Appendix 6 to this statement. I submit the letter for the record. Now, I should like to turn to the Travel Authority issued to me on April 18, 1968 by the Managing Director. Item 7 indicates the points of travel, that is from Washington, D.C. to Detroit, Michigan. Item 8 states that the purpose of travel is "To attend and participate in the Motor Carrier Lawyers Association Annual Conference." Item 9 relates to Mode of Travel and line "a" is checked to indicate "Common Carrier and Accommodations as prescribed by Sec. 3.6 of Standardized Government Travel Regulations." Item 10 provides for the Per Diem Allowance and four types of arrangements are indicated. The line checked is line "a” which states, "$16.00 pre day in lieu of actual expenses for subsistence within the continental United States." According to the per diem regulations then in effect and applicable to my Detroit trip, I was entitled to $16.00 per day for food or lodging or other expenses. Since the Travel Authority issued to me specifically provided for $16.00 a day in lieu of subsistence, no itemized listing of expenses-hotel or otherwise was required to be submitted at the time I submitted my voucher for any expenses which I incurred as a result of the trip such as food, tips, etc. Now reviewing my voucher, I note that the transportation was by air Jet Coach on a government transportation request. The second page of the voucher shows that I left Washington, D.C., National Airport at 11:55 a.m. on May 1, 1968. I show no claim for taxi fare from the office to the airport, nor do I show any taxi fare upon arrival in Detroit, nor when I left Detroit on May 3, 1970 to return to Washington, D.C. The only taxi fare for which I claimed reimbursement is $5.25, which consists of the combination bus and taxi fare from National Airport to my home in Silver Spring. The total claim for reimbursement consisted of 24 days of per diem amounting to $44.00 and $5.25 for only one taxi fare amounting to a grand total of $49.25. I am submitting for the record a copy of the Travel Authorization dated April 17, 1968, as approved on April 19, 1968 and the voucher relating to the Detroit trip. This travel authorization and voucher are attached as Appendix 7 to this statement. With respect to the Detroit Convention, I should also like to point out that it was a four day convention. I was there only a little over two days and attended the sessions which contained a number of excellent substantive law programs in the transportation field. I might also add that with the exception of the usual convention luncheons on Thursday and Friday, to the best of my recollection, 1 paid for my other meals. My purpose in attending the conference was to speak on two important projects to which I have devoted a great deal of time and one of which has just |