B-22840, JANUARY 16, 1942, 21 COMP. GEN. 670

B-22840: Jan 16, 1942

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THE COST OF WHICH TRANSPORTATION IS PAYABLE FROM THE APPROPRIATION MADE BY THE DEFENSE AID SUPPLEMENTAL APPROPRIATION ACT. IS TRANSPORTATION OF . THE COST OF SUCH TRANSPORTATION IS FOR COMPUTATION ON THE BASIS OF APPROPRIATE DEDUCTION FOR LAND GRANT. 1942: I HAVE YOUR LETTER DATED DECEMBER 29. AS FOLLOWS: THERE IS TRANSMITTED HEREWITH CHESAPEAKE AND OHIO BILL CP-25579 WHICH HAS BEEN PRESENTED TO THE UNDERSIGNED. THE SUPPORTING TRANSPORTATION REQUEST WAS ISSUED FOR TRANSPORTATION OF AN ARMY OFFICER OVER A LAND GRANT LINE AND THE COST IS PAYABLE FROM DEFENSE AID APPROPRIATION. AN ADVANCE DECISION IS REQUESTED AS TO WHETHER OR NOT LAND GRANT DEDUCTION SHOULD BE MADE IN CONNECTION WITH TRAVEL OF THIS OFFICER.

B-22840, JANUARY 16, 1942, 21 COMP. GEN. 670

TRANSPORTATION - LAND-GRANT DEDUCTIONS - MILITARY PERSONNEL THE TRANSPORTATION OF A MEMBER OF THE MILITARY FORCES OF THE UNITED STATES TRAVELING ON DUTY IN CONNECTION WITH THE PROMOTION OF THE NATIONAL DEFENSE PURSUANT TO THE ACT TO PROMOTE THE DEFENSE OF THE UNITED STATES, APPROVED MARCH 11, 1941, THE COST OF WHICH TRANSPORTATION IS PAYABLE FROM THE APPROPRIATION MADE BY THE DEFENSE AID SUPPLEMENTAL APPROPRIATION ACT, 1941, IS TRANSPORTATION OF ,TROOPS OF THE UNITED STATES" WITHIN THE MEANING OF THE LAND-GRANT STATUTES, AND, THEREFORE, THE COST OF SUCH TRANSPORTATION IS FOR COMPUTATION ON THE BASIS OF APPROPRIATE DEDUCTION FOR LAND GRANT.

ASSISTANT COMPTROLLER GENERAL ELLIOTT TO COL. W. M. DIXON, U.S. ARMY, JANUARY 16, 1942:

I HAVE YOUR LETTER DATED DECEMBER 29, 1941, FAC/CAM FILE REFERENCE 553.4- TD, C. AND O. CP-25579, AS FOLLOWS:

THERE IS TRANSMITTED HEREWITH CHESAPEAKE AND OHIO BILL CP-25579 WHICH HAS BEEN PRESENTED TO THE UNDERSIGNED, A DISBURSING OFFICER, FOR PAYMENT. THE SUPPORTING TRANSPORTATION REQUEST WAS ISSUED FOR TRANSPORTATION OF AN ARMY OFFICER OVER A LAND GRANT LINE AND THE COST IS PAYABLE FROM DEFENSE AID APPROPRIATION.

AN ADVANCE DECISION IS REQUESTED AS TO WHETHER OR NOT LAND GRANT DEDUCTION SHOULD BE MADE IN CONNECTION WITH TRAVEL OF THIS OFFICER.

IT SEEMS PROBABLE THAT YOUR SUBMISSION MAY HAVE ARISEN BY REASON OF THE REQUIREMENTS OF SECTION 321, PART II, TITLE III, OF THE TRANSPORTATION ACT OF 1940, 54 STAT. 898, 954, WHICH PROVIDES THAT SUBJECT TO THE PROVISIONS OF SECTIONS 1 (7) AND 22 OF THE INTERSTATE COMMERCE ACT, AS AMENDED, THE FULL APPLICABLE COMMERCIAL RATES, FARES, OR CHARGES SHALL BE PAID FOR TRANSPORTATION BY ANY COMMON CARRIER SUBJECT TO SUCH ( INTERSTATE COMMERCE) ACT OF ANY PERSONS * * * FOR THE UNITED STATES, OR ON ITS BEHALF, EXCEPT THAT THE FOREGOING PROVISION SHALL NOT APPLY * * * TO THE TRANSPORTATION OF MEMBERS OF THE MILITARY OR NAVAL FORCES OF THE UNITED STATES * * * WHEN SUCH MEMBERS ARE TRAVELING ON OFFICIAL DUTY * * *.

THE OPERATION OF THIS PROVISION IN CONNECTION WITH CERTAIN TRAVEL OF PERSONNEL OF THE ARMY WAS THE SUBJECT OF CONSIDERATION IN DECISION OF APRIL 12, 1941, B-15568, 20 COMP. GEN. 627, AND ATTENTION IS INVITED PARTICULARLY TO THE FIRST AND SECOND PARAGRAPHS OF PAGE 629.

IN THE PRESENT INSTANCE THE SUPPORTING TRANSPORTATION REQUEST SHOWS THAT IT WAS ISSUED ON JULY 2, 1941, BY THE TRANSPORTATION OFFICER AT LANGLEY FIELD, VA., REQUESTING THE CHESAPEAKE AND OHIO RAILWAY CO. TO FURNISH "2D LT. WINFRED O. CRAFT, A.C., AND 1 OTHER" TRANSPORTATION FROM HAMPTON, ., TO KANSAS CITY, KANS., "VIA C. AND O.-1CINCINNATI; BIG 4-1ST. LOUIS; MP- DESTN.' EACH CARRIER SO INDICATED WAS "SUBJECT TO THE INTERSTATE COMMERCE ACT, AS AMENDED," AND LIEUTENANT CRAFT PRESUMABLY WAS A MEMBER "OF THE MILITARY * * * FORCES OF THE UNITED STATES" AT THE TIME THIS TRANSPORTATION WAS REQUESTED AND FURNISHED. THE " AUTHORIZATION OR OBJECT" OF THIS TRAVEL AS INDICATED ON THE FACT OF THE REQUEST WAS " TELEGRAM ACFC 46, 7/1/41; MILITARY; TO FERRY AIRCRAFT.'

YOUR QUESTION IN THIS MATTER IS BASED APPARENTLY ON THE FACT THAT THE TRANSPORTATION COST IS ,PAYABLE FROM DEFENSE AID APPROPRIATION.' IT MAY BE NOTED IN THIS CONNECTION, HOWEVER, THAT THE SPACE PROVIDED FOR SHOWING ON THE CARRIER'S BILL THE APPROPRIATION INVOLVED HAS NOT BEEN FILLED OUT AND THE ONLY FURTHER SHOWING IN THIS RESPECT OCCURS ON THE FACE OF REQUEST WQ-3,949,173, HERE INVOLVED, WHICH SHOWS " APPROPRIATION AC-299 P-111- 06A0021-13.' THIS IS UNDERSTOOD TO BE AN ADMINISTRATIVE SYMBOL FOR DESIGNATING, AS AN APPROPRIATION, THE TITLE " DEFENSE AID, AIRCRAFT AND AERONAUTICAL MATERIAL ( ALLOT. TO WAR) ( D.A.A. AND A.M.).' SEE WAR DEPARTMENT FINANCE CIRCULAR NO. D-17, JUNE 30, 1941.

THE ACT OF MARCH 11, 1941, 55 STAT. 31, BEING "AN ACT TO PROMOTE THE DEFENSE OF THE UNITED STATES," PROVIDES IN SECTION 3 THAT THE PRESIDENT MAY, WHEN HE DEEMS IT IN THE "INTEREST OF NATIONAL DEFENSE," AUTHORIZE THE SECRETARY OF WAR, THE SECRETARY OF THE NAVY, OR THE HEAD OF ANY OTHER DEPARTMENT OR AGENCY OF THE GOVERNMENT, TO MANUFACTURE, ETC., OR OTHERWISE PROCURE "ANY DEFENSE ARTICLE" FOR THE GOVERNMENT OF ANY COUNTRY WHOSE DEFENSE THE PRESIDENT DEEMS VITAL TO THE ,DEFENSE OF THE UNITED STATES.' THE ACT, IN SECTION 2, DEFINED THE TERM "DEFENSE ARTICLE" AS MEANING IN PART "/1). ANY WEAPON, MUNITION, AIRCRAFT, VESSEL, OR BOAT" AND AS INCLUDING "ANY ARTICLE" SO DESCRIBED " MANUFACTURED OR PROCURED PURSUANT TO SECTION 3, OR TO WHICH THE UNITED STATES OR ANY FOREIGN GOVERNMENT HAS OR HEREAFTER ACQUIRES TITLE, POSSESSION, OR CONTROL.'

THE ACT OF MARCH 27, 1941, 55 STAT. 53, BEING THE " DEFENSE AID SUPPLEMENTAL APPROPRIATION ACT, 1941," APPROPRIATED A TOTAL AMOUNT OF $7,000,000,000 TO "ENABLE THE PRESIDENT, THROUGH SUCH DEPARTMENTS OR AGENCIES OF THE GOVERNMENT AS HE MAY DESIGNATE, TO CARRY OUT THE PROVISIONS OF" THE CITED ACT OF MARCH 11, 1941,"AND FOR EACH AND EVERY PURPOSE INCIDENT TO OR NECESSARY THEREFOR.' OF THE TOTAL AMOUNT OF $7,000,000,000 THERE WERE:

* * * APPROPRIATED * * * THE FOLLOWING SUMS FOR THE FOLLOWING RESPECTIVE PURPOSES, NAMELY:

(A) FOR THE PROCUREMENT, BY MANUFACTURE OR OTHERWISE, OF DEFENSE ARTICLES FOR THE GOVERNMENT OF ANY COUNTRY WHOSE DEFENSE THE PRESIDENT DEEMS VITAL TO THE DEFENSE OF THE UNITED STATES, INCLUDING SERVICES AND EXPENSES IN CONNECTION THEREWITH, AS FOLLOWS:

(2) AIRCRAFT AND AERONAUTICAL MATERIAL, INCLUDING ENGINES, SPARE PARTS, AND ACCESSORIES $2,054,000,000.

(D) FOR NECESSARY SERVICES AND EXPENSES FOR CARRYING OUT THE PURPOSES OF SUCH ACT NOT SPECIFIED OR INCLUDED IN THE FOREGOING $40,000,000.

IT IS ASSUMED, IN VIEW OF THE APPROPRIATION SYMBOL APPEARING UPON THE TRANSPORTATION REQUEST, THAT THE COST OF THE TRANSPORTATION HERE CONCERNED IS PAYABLE FROM THE APPROPRIATION SO MADE.

IN EXECUTIVE ORDER NO. 8751, DATED MAY 2, 1941, PERTAINING TO THE CITED ACT OF MARCH 11, 1941, IT IS STATED:

* * * IN ORDER TO PROVIDE FOR THE EFFECTIVE ADMINISTRATION OF SAID ACT IN THE INTEREST OF NATIONAL DEFENSE, IT IS HEREBY ORDERED AS FOLLOWS:

1. THERE IS ESTABLISHED WITHIN THE OFFICE FOR EMERGENCY MANAGEMENT OF THE EXECUTIVE OFFICE OF THE PRESIDENT THE DIVISION OF DEFENSE AID REPORTS, AT THE HEAD OF WHICH SHALL BE AN EXECUTIVE OFFICER APPOINTED BY THE PRESIDENT

2. * * * THE DIVISION OF DEFENSE AID REPORTS SHALL PERFORM AND DISCHARGE THE FOLLOWING DESCRIBED DUTIES AND RESPONSIBILITIES:

A. PROVIDE A CENTRAL CHANNEL FOR THE CLEARANCE OF TRANSACTIONS AND REPORTS, AND COORDINATE THE PROCESSING OF REQUESTS FOR AID UNDER THE ACT.

B. MAINTAIN SUCH SYSTEM OF RECORDS AND SUMMARY ACCOUNTS TO BE APPROVED BY THE BUREAU OF THE BUDGET, AS MAY BE NECESSARY FOR ADEQUATE ADMINISTRATIVE AND FINANCIAL CONTROL OVER OPERATIONS UNDER THE ACT AND AS WILL CURRENTLY REFLECT THE STATUS OF ALL SUCH OPERATIONS.

C. PREPARE SUCH REPORTS AS MAY BE NECESSARY TO KEEP THE PRESIDENT INFORMED OF PROGRESS UNDER THE ACT; ASSIST IN THE PREPARATION OF REPORTS PURSUANT TO SECTION 5B OF THE ACT; AND SERVE GENERALLY AS A CLEARING HOUSE OF INFORMATION FOR AGENCIES PARTICIPATING IN THE PROGRAM.

D. PERFORM SUCH OTHER DUTIES RELATING TO DEFENSE AID ACTIVITIES AS THE PRESIDENT MAY FROM TIME TO TIME PRESCRIBE.

SUBSEQUENTLY BY " MILITARY ORDER" OF MAY 6, 1941, THE PRESIDENT," BY VIRTUE OF THE AUTHORITY VESTED IN ME AS PRESIDENT OF THE UNITED STATES AND AS COMMANDER IN CHIEF OF THE ARMY AND NAVY OF THE UNITED STATES," DESIGNATED MAJOR GENERAL JAMES H. BURNS, OF THE UNITED STATES ARMY, AS EXECUTIVE OFFICER OF THE DIVISION OF DEFENSE AID REPORTS IN THE OFFICE FOR EMERGENCY MANAGEMENT,"TO ADMINISTER THE FUNCTIONS DESCRIBED IN THE EXECUTIVE ORDER (8751) ESTABLISHING SAID DIVISION, WHICH FUNCTIONS ARE ESSENTIALLY OF A MILITARY CHARACTER, UNDER THE DIRECTION AND SUPERVISION OF THE PRESIDENT AS COMMANDER IN CHIEF OF THE ARMY AND NAVY OF THE UNITED STATES.'

IN VIEW OF THE MILITARY CHARACTER SO ASCRIBED TO THE INDICATED FUNCTIONS REQUIRED UNDER THE CITED ACT OF MARCH 11, 1941, NO REASON IS APPARENT WHY THE TRANSPORTATION OF THE OFFICER HERE CONCERNED, AS A MEMBER OF THE MILITARY FORCES OF THE UNITED STATES TRAVELING ON DUTY IN CONNECTION WITH THE PROMOTION OF THE NATIONAL DEFENSE, LIKEWISE REQUIRED UNDER SAID ACT, IS NOT PROPERLY TO BE REGARDED AS TRANSPORTATION OF "TROOPS OF THE UNITED STATES" WITHIN THE MEANING OF THE LAND-GRANT STATUTES. ACCORDINGLY, THE COST OF HIS TRANSPORTATION IS PROPERLY FOR COMPUTATION ON THE BASIS OF APPROPRIATE DEDUCTION FOR LAND GRANT.

THE CARRIER'S BILL AND SUPPORTING PAPERS TRANSMITTED WITH YOUR REQUEST ARE RETURNED HEREWITH.