PART 2 APPENDIXES A. ICC Act excerpts. B. Administrative Procedures Act excerpts C. ICC "Rules Governing the Separation of Operating Expenses, Railway D. Report dated April 22, 1968 entitled "Adequacy of Railroad Passenger E. Executive order dated May 8, 1965. G. Report dated October 21, 1968 by Joel E. Burns, Chief of Rail Investi- H. Additional material submitted for record by ICC Chairman George I. Court decision in CA No. 5316_ K. "ICC Staff Report on Savings by St. Louis-San Francisco Railroad Company as a Result of Discontinuance of Rail Passenger Service 1965 through 1967."___ Page 401 409 417 428 475 480 487 503 530 540 567 L. Correspondence between Chairman Staggers and ICC Chairmen re rail passenger service cost studies__. M. Statement with attachments of Dr. Beatrice Aitchison, Director, Trans- O. Additional material submitted for record by Robert A. Scherr, Deputy Q. Additional material submitted for record by James C. Cheseldine... 579 587 605 608 791 861 862 INTRODUCTORY NOTE Certain data, including the names of some individuals, have been eliminated from the printed record of these proceedings. These deletions have been made where the information in question has no substantial bearing on the subject matter under investigation by the subcommittee and where its publication might needlessly embarrass or otherwise violate the privacy of the persons referred to. The deletions are minor and are indicated herein. (VIII) INQUIRY INTO CERTAIN PROCEDURES OF THE INTERSTATE COMMERCE COMMISSION WEDNESDAY, JANUARY 7, 1970 HOUSE OF REPRESENTATIVES, SPECIAL SUBCOMMITTEE ON INVESTIGATIONS, Washington, D.C. The subcommittee reconvened in executive session at 11:15 a.m., pursuant to notice, in room 2323, Rayburn House Office Building, Hon. Lionel Van Deerlin presiding. (Hon. Harley O. Staggers, chairman). Mr. VAN DEERLIN. The session of the Commerce Subcommittee on Investigations will continue. Mr. Carroll F. Genovese, executive secretary of Movers' & Warehousemen's Association of America, Inc., Washington, D.C., was duly served on December 22, 1969, to be and appear before the Special Subcommittee on Investigations of the Interstate and Foreign Commerce Committee of the U.S. House of Representatives and to bring with him all books, records, papers, memoranda, correspondence, agreements, arrangements, invitations, and commitments, pertaining and related to the 32d, 33d, and 34th annual conventions of the Movers' & Warehousemen's Association of America, Inc. Such subpena duces tecum is returnable today, January 7, 1970, at 10 a.m. Without objection I direct that the full text of the subpena served upon Mr. Genovese be inserted in the record at this point. (The document referred to follows): BY AUTHORITY OF THE HOUSE OF REPRESENTATIVES OF THE CONGRESS OF THE UNITED STATES OF AMERICA To Benjamin M. Smethurst and/or Robert L. Rebein, Special Subcommittee on Investigations, House Interstate and Foreign Commerce Committee: You are hereby commanded to summon Carroll F. Genovese, executive secretary, Movers & Warehousemen's Association of America, Inc., Suite 1101, Warner Building, Washington, D.C., to be and appear before the Special Subcommittee on Investigations (vested under authority of H. Res. 116, 91st Cong.) of the Interstate and Foreign Commerce Committee of the House of Representatives of the United States, of which the Hon. Harley O. Staggers is chairman, and to bring with him all items on the attachment herewith in their chamber in the city of Washington, on January 7, 1970, at Room 2323 Rayburn House Office Building, at the hour of 10:00 am then and there to testify touching matters of inquiry committed to said Committee; and he is not to depart without leave of said Committee. Herein fail not, and make return of this summons. Witness my hand and the seal of the House of Representatives of the United States, at the city of Washington, this 19th day of December, 1969. Attest: HARLEY O. STAGGERS, Chairman. W. PAT JENNINGS, Clerk. Subpena for Carroll F. Genovese, Executive Secretary, Movers' & Warehousemen's Association, Inc., Suite 1101, Warner Bldg., Washington, D.C., before the Special Subcommittee on Investigations, of the Committee on Interstate and Foreign Commerce. Served at 10:40 a.m., December 22, 1969, on Carroll F. Genovese, Executive Secretary, Movers' & Warehousemen's Association, Inc., Suite 1101, Warner Bldg., Wash., D.C., by Robert L. Rebein and Benjamin M. Smethurst. ROBERT L. REBEIN ATTACHMENT INCORPORATED IN THE INSTANT SUBPOENA DATED DECEMBER 19, 1969, ISSUED BY THE HONORABLE HARLEY O. STAGGERS, CHAIRMAN OF THE HOUSE INTERSTATE AND FOREIGN COMMERCE COMMITTEE AND OF ITS SPECIAL SUBCOMMITTEE ON INVESTIGATIONS, TO CARROLL F. GENOVESE, EXECUTIVE SECRETARY, MOVERS' & WAREHOUSEMEN'S ASSOCIATION OF AMERICA, INC. 1. All books, records, papers, memoranda, correspondence, agreements, arrangements, invitations and commitments, pertaining and related to the 32nd, 33rd and 34th annual conventions of the Movers' & Warehousemen's Association of America, Inc. held, respectively, at Las Vegas, Nevada, Hollywood, Florida, and San Juan, Puerto Rico. 2. All records, accounts, memoranda, documents and papers, including the "master account" and supplementary data, submitted to the Association by Caesar's Palace Hotel, Las Vegas, Nevada for the 32nd Annual Convention of the Association, by The Diplomat Hotel and Country Club, Hollywood, Florida, for the 33rd Annual Convention, and by the Americana Hotel, San Juan, Puerto Rico, for the 34th Annual Convention, pertaining to or connected with each of the said three conventions. 3. All records, ledgers, accounts, memoranda, documents and papers of the Association showing amounts expended and commitments made by or on behalf of the Association to defray or reimburse the charges or expenses of any persons other than an Association member who attended each of the said three conventions. 4. All records, ledgers, accounts, memoranda, documents and papers of the Association showing any financial commitment and/or expenditure made or incurred by or on its behalf covering the period before, during and after each of said conventions, and the names of all persons to whom such commitments or expenditures were made. Mr. VAN DEERLIN. I also direct that Mr. Genovese be supplied with the subcommittee pamphlet dated April 1969 which contains the text of rules XI, 11, and XI, 26, Rules of the House of Representatives, and of section 136 of the Legislative Reorganization Act of 1946 and of House Resolution 116, 91st Congress. Our hearing today is concerned with a number of investigative and legislative purposes, including: 1. To ascertain whether the Interstate Commerce Act properly preserves and protects the interest of the public. 2. To ascertain whether the Interstate Commerce Commission has properly administered the act so as to preserve and protect such public interest. 3. To ascertain what measures need to be taken to insure that such protection of the public interest will prevail. I will now state our authority to conduct the present hearing. The Special Subcommittee on Investigations has been duly established to assist the House Committee on Interstate and Foreign Commerce to carry out the duties imposed by section 136 of the Legislative Reorganization Act of 1946 upon the standing committees of Congress to: Exercise continuous watchfulness of the execution by the administrative agencies concerned of any laws, the subject matter of which is within the jurisdiction of such committee. House Resolution 116, 91st Congress, first session, agreed to February 5, 1969, contains authorization implementing the Legislative Reorganization Act. Such resolution authorizes the parent committee, or any subcommittee thereof, to make investigations and studies into a number of matters, including "Adequacy of the national transportation system for defense and the needs of an expanding economy," and "The administration of provisions of law relating to the above subjects and all others which are in the jurisdiction of such committee." Transportation and the activities of the Interstate Commerce Commission are within the purview of the committee's legislative and investigative jurisdiction. The texts of the above section 136 of the Legislative Reorganization Act of 1946, of the House Resolution 116, 91st Congress, and of rules XI, 11 and XI, 26, of the Rules of the House of Representatives are already in the record. Today our specific business is to receive the records and other material subpenaed from the Movers' & Warehousemen's Association of America, Inc. I will now call upon Mr. Genovese, the secretary of the association, to be sworn in. Mr. Genovese, will you stand and raise your right hand. Do you solemnly swear or affirm that the testimony you are about to give before this subcommittee is the truth, the whole truth and nothing but the truth, so help you God? Mr. GENOVESE. I do. Mr. VAN DEERLIN. Thank you. TESTIMONY OF CARROLL F. GENOVESE, EXECUTIVE SECRETARY, MOVERS' & WAREHOUSEMEN'S ASSOCIATION OF AMERICA, INC., WASHINGTON, D.C.; ACCOMPANIED BY HERBERT BURSTEIN, GENERAL COUNSEL FOR THE ASSOCIATION Mr. VAN DEERLIN. Mr. Genovese, are you the executive secretary of the Movers' & Warehousemen's Association of America? Mr. GENOVESE. Yes, sir. Mr. VAN DEERLIN. Were you served with a subpena, a copy of which appears in the record and which you now have in your hand? Mr. GENOVESE. Yes, sir. Mr. VAN DEERLIN. Prior to the service of the subpena upon you on December 22, 1969, were you requested as executive secretary to permit Mr. Rebein and Mr. Smethurst, staff members of the subcommittee, to inspect the records and papers referred to in the subpena? Mr. GENOVESE. Yes, sir. |