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GREATER U S E OF E X I S T I N G H O U S I N G

SEC. 502. Section 10(c) of the United States Housing Act of 1937 is amended by striking out '•And provided' and inserting in lieu thereof '•Provided\ and by inserting before the period at the end thereof the following: ": And provided further. That the amount of the fixed annual contribution which would be established under this Act for a newly constructed project by a public housing agency designed to accommodate a number of families of a given size and kind may be established, as a maximum annual contribution in lieu of any Other guaranteed contribution authorized under this section, for a project by such public housing agency which would provide housing for the comparable number, sizes, and kinds of families through the acquisition, acquisition and rehabilitation, or use under lease of existing structures which are suitable for low-rent housing use and obtainable in the local market".

so stau 892^

I N C R E A S E I N AUTHORIZATION FOR A N N U A L C O N T R I B U T I O N S

SEC. 503. (a) Section 10(e) of the United States Housing Act of 1937 is amended by inserting immediately following "per annum" the nl\f^^\f^l'^'' following: ", which limit shall be increased by $47,000,000 on the date of the enactment of the Housing and LTrban Development Act of 1965, and by further amounts of $47,000,000 on July 1 in each of the years 1966, 1967, and 1968, respectively". REALLOCATION OF U N I T S

SEC. 504. Section 10(e) of the United States Housing Act of 1937 is amended by striking out ^Provided, and inserting in lieu thereof the following: Provided, That subject to any contractual obligation outstanding on the date of the enactment of the Housing and Urban Development Act of 1965, any units not under construction within five years from the date they were reserved to a public housing agency may be reserved, allocated, or placed under contract for annual contributions in any State without limitation as to the aggregate amount of units which may be placed under contract for annual contributions in any one State: Provided furtlier,^\ SALE OF FEDERALLY-OWNED PROJECTS TO PRIVATE PURCHASERS

SEC. 505. The first sentence of section 12(c) of the United States Housing Act of 1937 is amended to read as follows: "The Authority 4° us^c f41*2. may sell a Federal project only to a public housing agency or to a nonprofit body for use as low-rent housing." INCREASE IN PER ROOM LIMITATIONS

SEC. 506. Paragraph (5) of section 15 of the United States Housing Act of 1937 is amended— yil^X'iS^'' (1) by striking out "$2,000" and inserting in lieu thereof 42 USC 14*15. "$2,400"; (2) by striking out "$3,000", each place it appears, and inserting in lieu thereof "$3,500"; and (3) by striking out "$3,500" and inserting in lieu thereof "$4,000".

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[79 STAT.

P U R C H A S E OF U N I T S BY T E N A N T S

50 Stat. 895.^

SEC. 507. (a) SectioH 15 of the United States Housing Act is amended by adding after paragraph (8) a new paragraph as follows: "(9) Notwithstanding any other provision of this Act, but subject to the provisions of any contract with the Authority, any public housing agency may permit any member of a tenant family to enter into a contract (either individually or as a member of a group) for the acquisition of a dwelling unit in any project of the public housing agency which is suitable by reason of its detached or semidetached construction for sale and for occupancy by such purchaser or a member or members of his family, upon the following terms: " (A) The purchaser shall pay at least (i) a pro rata share cost of any services furnished him by the public agency, including but not limited to, administration, maintenance, repairs, utilities, insurance, l)rovision of reserves, and other expenses, (ii) local taxes on his dwelling unit, and (iii) monthly payments of interest and principal sufficient to amortize a sales price, equal to the greater of the unamortized debt or the appraised value (at the time such purchase contract is entered into) of the dwelling unit, in not more than forty years: Provided, That the public housing agency may, under terms and conditions to be prescribed by it, permit a purchaser to apply an amount equal to the net rent paid for his dwelling unit, over a period not exceeding three years prior to the entering into of any such contract, toward the purchase price of such unit; " (B) The interest rate shall be fixed at not less than the average interest cost of loans outstanding on the project, except that in the case of a project on which bonds are not outstanding the interest rate shall be fixed at not less tlian the going Federal rate applicable to such project; " (C) The principal payments shall be not less than one-half of 1 per centum per annum of the sales price during the first five years after purchase, 1 per centum per annum during the next five years, 11/^ per centum per annum during the third five years, and thereafter not less than the principal payments resulting from a level debt service of interest and principal over the balance of the payment period; and " (D) If at any time (i) a purchaser fails to carry out his contract with the public housing agency and if no member of his family who resides in the dwelling assumes such contract, or (ii) the purchaser or a member of his family who assumes the contract does not reside in the dwelling, the public housing agency shall have an option to acquire his interest under such contract upon payment to him or his estate of an amount equal to his aggregate principal payments plus the value to the public housing agency of any improvements made by him, less an amount equal to 21^ per centum of the sales price." (b) Such Act is further amended— (1) by inserting in the parenthetical phrase in section 10(h) after the words "exclusive of" the following: "any part thereof covered by a contract or conveyed pursuant to paragraph (9) of section 15, and exclusive of"; (2) by inserting after "may be made" in section 10(1) the following: ", subject to any outstanding contracts made pursuant to paragraph (9) of section 15,"; (3) by inserting after "acquisition", the first place it appears in paragraphs (1), (2), and (3) of section 15, the following:" (except pursuant to paragraph (9) of section 15)"; and

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(4) by inserting before the semicolon at the end of paragraph (1) of section 22(a) a colon and the following: ''Provided, That such conveyance or delivery of title shall be subject to the rights of third parties vested pursuant to paragraph (9) of section 15".

^ ^^'^ ^^^4.^

TITLE VI—COLLEGE HOUSING I N C R E A S E I N AUTHORIZATION FOR COLLEGE H O U S I N G LOANS

SEC. 601. Section 401(d) of the Housing Act of 1950 is amended by yJl^H^^^f^' striking out "through 1964'', each place it appears, and inserting in lieu 12 USC 1749. thereof "through 1968". I N T E R E S T RATE O N COLLEGE H O U S I N G

LOANS

SEC. 602. (a) Effective with respect to loan contracts entered into after the date of the enactment of this Act, section 401(c) of the Housing Act of 1950 is amended by striking out "the higher of (1) 2 % per centum per annum, or" and inserting m lieu thereof "the lower of (1) 8 per centum per annum, or". (b) Effective with respect to notes or other obligations financing loan contracts entered into after the date of the enactment of this Act, section 401(e) of such Act is amended by striking out "the higher of (1) 21/^ per centum per annum, or" and inserting in lieu thereof "the lower of (1) 2% per centum per annum, or". PARTICIPATION

BY N E W COLLEGES A N D CERTAIN P U B L I C AND TECHNICAL INSTITUTIONS

VOCATIONAL

S E C 603. Clause (1) of section 404(b) of the Housing Act of 1950 is amended to read as follows: " (1)(A) any educational institution which offers, or provides satisfactory assurance to the Administrator that it will offer within a reasonable time after completion of a facility for which assistance is requested under this title, at least a two-year program acceptable for full credit toward a baccalaureate degree (including any public educational institution, or any private educational institution no part of the net earnings of which inures to the benefit of any private shareholder or individual), or (B) any public educational institution which (i) is administered by a college or university which is accredited by a nationally recognized accrediting agency or association, (ii) offers technical or vocational instruction, and (iii) provides residential facilities for some or all of the students receiving such instruction,". TECHNICAL

Ji stan 304^^

AMENDMENTS

SEC. 604. (a) The second paragraph of section 404(b) of the Housing Act of 1950 is amended by inserting after "would provide housing," the following: "or to a student housing cooperative corporation described in clause (5) of this subsection,". (b) Section 401(g) of such Act is amended by striking out " I n the case" and inserting in lieu thereof "Except as otherwise provided in the second paragraph of section 404(b), in the case". TITLE YII—COMMUNITY F A C I L I T I E S PURPOSE

SEC. 701. The purpose of this title is to assist and encourage the communities of the Nation fully to meet the needs of their citizens by 49-850 0-66—34

^9 Stat. 644.

^^ ^*^*- ^^• "^^ ^*^*- ^2.

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making it possible, with Federal grant assistance, for their governmental bodies (1) to construct adequate basic water and sewer facilities needed to promote the efficient and orderly growth and development of our communities, (2) to construct neighborhood facilities needed to enable them to carry on programs of necessary social services, and (3) to acquire, in a planned and orderly fashion, land to be utilized in connection with the future construction of public works and facilities. GRANTS FOR BASIC WATER A N D SEWER

33 u?c 466^'

FACILITIES

SEC. 702. (a) The Housing and Home Finance Administrator (hereinafter in this title referred to as the "Administrator") is authorized to make grants to local public bodies and agencies to finance specific projects for basic public water facilities (including works for the storage, treatment, purification, and distribution of water), and for basic public sewer facilities (other than "treatment works" as de^^^^^ i^ ^^^^ Federal Water Pollution Control Act): Provided, That no grant shall be made under this section for any sewer facilities unless the Secretary of Health, Education, and Welfare certifies to the Administrator that any w-aste material carried by such facilities will be adequately treated before it is discharged mto any public waterway so as to meet applicable Federal, State, interstate, or local water quality standards. (b) The amount of any grant made under the authority of this section shall not exceed 50 per centum of the development cost of the project: Provided, That in the case of a community having a population of less than ten thousand, according to the most recent decennial census, which is situated within a metropolitan area, the Administrator may increase the amount of a grant for a basic public sewer fapility assisted under this section to not more than 90 per centum of the development cost of such facility, if the community is unable to finance the construction of such facility without the increased grant authorized under this subsection, and if in such community (1) there does not exist a public or other adequate sewer facility which serves a substantial portion of the inhabitants of the community, and (2) the rate of unemployment is, and has been continuously for the preceding calendar year, 100 per centum above the national average: And provided further, That the limitations and restrictions contained in subsection (c) of this section shall not be applicable to any community applying for an increased grant under this subsection. (c) No grant shall be made under this section in connection with any project unless the Administrator determines that the project is necessary to provide adequate water or sewer facilities for, and will contribute to the improvement of the health or living standards of, the people in the community to be served, and that the project is (1) designed so that an adequate capacity will be available to serve the reasonably foreseeable growth needs of the area; (2) consistent with a program meeting criteria, established by the Administrator, for a unified or officially coordinated areawide water or sewer facilities system as part of the comprehensively planned development of the area, except that prior to July 1, 1968, grants may, in the discretion of the Administrator, be made under this section when such a program for an areawide water and sewer facilities system is under active preparation, although not yet completed, if the facility or facilities for which assistance is sought can reasonably be expected to be required as a part of such program, and there is urgent need for the facility or facilities; and (3) necessary to orderly community development.

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GRANTS FOR NEIGHBORHOOD F A C I L I T I E S

SEC. 703. (a) I n accordance with the provisions of this section, the Administrator is authorized to make grants to any local public body or agency to assist in financing specific projects for neighborhood facilities. Any such project may be undertaken by such body or agency directly or through a nonprofit organization approved by i t: Provided, That no grant shall be provided under this section for any project to be undertaken through a nonprofit organization unless the Administrator determines (1) that such organization has or will have the legal, financial, and technical capacity to carry out the project, and (2) that the public body or agency to which the grant is made will have satisfactory continuing control over the use of the proposed facilities. (b) The amount of any grant made under the authority of this section shall not exceed 66% per centum of the development cost of the project for which the grant is made (or 75 per centum of such cost in the case of a project located in an area which at the time the grant is made is designated as a redevelopment area under the Area Redevel75 Stat. 47. opment Act or any Act supplementary thereto). 42 USC 2501 (c) No grant shall be made under this section for any project unless note." the Administrator determines that the project will provide a neighborhood facility which is (1) necessary for carrying out a program of health, recreational, social, or similar community service (including a community action program approved under title II of the Economic Opportunity Act of 1964) in the area, (2) consistent with comprehen- ^ use 273^1 et sive planning for the development of the community, and (3) so seq. located as to be available for use by a significant portion (or number in the case of large urban places) of the area's low- or moderate-income residents. (d) For a period of twenty years after a grant has been made under this section for a neighborhood facility, such facility shall not, without the approval of the Administrator, be converted to uses other than those proposed by the applicant in its application for a grant. The Administrator shall not approve any conversion in the use of such a neighborhood facility during such twenty-year period unless he finds that such conversion is in accordance with the then applicable program of health, recreational, social, or similar community services in the area and consistent with comprehensive planning for the development of the community in which the facility is located. I n approving any such conversion, the Administrator may impose such additional conditions and requirements as he deems necessary. (e) The Administrator shall give priority to applications for projects designed primarily to benefit members of low-income families or otherwise substantially further the objectives of a community action program approved under title II of the Economic Opportunity Act of 1964. ADVANCE ACQUISITION

OF LAND

SEC. 704. (a) I n order to encourage and assist in the timely acquisition of land planned to be utilized in connection with the future construction of public works or facilities, the Administrator is authorized to make grants to local public bodies and agencies to assist in financing the acquisition of a fee simple estate or other interest in such land. (b) The amount of any grant made under the authority of this section shall not exceed the aggregate amount of reasonable interest charges on the loan or other financial obligation incurred to finance the acquisition of such land for a period not exceeding the lesser of (1) five years from the date such loan was made or such financial obligation was incurred, or (2) the period of time between the date

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such loan was made or such financial obligation was incurred and the date construction is begun on the public work or facility for which the land acquired was planned to be utilized. (c) No grant shall be made under this section for any project for the acquisition of land unless the Administrator determines that the public work or facility for which such land is to be utilized is planned to be constructed or initiated within a reasonable period of time (not to exceed five years after a contract to make such grant is entered into) and that construction of such public work or facility will contribute to economy, efficiency, and the comprehensively planned development of the area. (d) As a condition to providing assistance under this section, the Administrator may, under terms and conditions prescribed by him, require an applicant to agree to repay such assistance, if (1) the land purchased with such assistance is not utilized within five years after the agreement is entered into in connection with the construction of the public work or facility for which such land was acquired, or (2) such land is diverted to other uses. GENERAL PROVISIONS

Ts^stat^yu' 12 USC 1749a. 31 USC 529.

SEC. 705. (a) I n the performance of, and with respect to, the functions, powers, and duties vested in him by this title, the Administrator i*hall (in addition to any authority otherwise vested in him) have the functions, powers, and duties set forth in section 402, except subsections (a), (c)(2), and (f)_of the Housing Act of 1950. (b) The Administrator is authorized, notwithstanding the provisions ^-f section 3648 of the Revised Statutes, to make advance or progress payments on account of any grant made pursuant to this title. No part of any grant authorized to be made by the provisions of this title shall be used for the payment of ordinary goA^ernmental operating expenses. DEFINITIONS

SEC. 706. As used in this title— (a) The term "State" means the several States, the District of Columbia, the Commonwealth of Puerto Rico, and the territories and possessions of the United States. (b) The term "local public bodies and agencies" includes public corporate bodies or political subdivisions; public agencies or instrumentalities of one or more States, municipalities, or political subdivisions of one or more States (including public agencies and instrumentalities of one or more municipalities or other political subdivisions of one or more States); Indian tribes; and boards or commissions established under the laws of any State to finance specific capital improvement projects. (c) The term "development cost'' means the cost of constructing the facility and of acquiring the land on which it is located, including necessary site improvements to permit its use as a site for the facility. LABOR STANDARDS

49 Stat. 1011.

SEC. 707. All laborers and mechanics employed by contractors or subcontractors on projects assisted under sections 702 and 703 shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of I^abor in accordj^nce with the Davis-Bacon Act, as amended (40 U.S.C. 276a—276a-5). No such project shall be approved without first obtaining adequate assurance that these labor standards will be maintained upon the

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construction work. The Secretary of Labor shall have, with respect to the labor standards specified in this section, the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (15 F.R. 3176; 64 Stat. 1267; 5 U.S.C. 133z-15), and section 2 of the Act of June 13, 1934, as amended (48 Stat. 948; 40 U.S.C. 276c).

493

" Stat. los.

APPROPRIATIONS

SEC. 708. (a) There are authorized to be appropriated for each fiscal year commencing after June 30, 1965, and ending prior to July 1, 1969, not to exceed (1) $200,000,000 for grants under section 702, (2) $50,000,000 for grants under section 703, and (3) $25,000,000 for grants under section 704. (b) Any amounts appropriated under this section shall remain available until expended, and any amounts authorized for any fiscal year under this section but not appropriated may be appropriated for any succeeding fiscal year commencing prior to July 1, 1969. TITLE VIII — FEDERAL NATIONAL MORTGAGE ASSOCIATION INCREASE I N SPECIAL ASSISTANCE

AUTHORITY

SEC. 801. (a) Section 305(c) of the National Housing Act is amended by inserting before the period at the end thereof the following: ", which limit shall be increased by $100,000,000 on the date of the enactment of the Housing and Urban Development Act of 1965, by $450,000,000 on July 1, 1966, by $550,000,000 on July 1, 1967, and by $525,000,000 on July 1, 1968". (b) Section 305(f) of such Act is amended by inserting before the period at the end thereof the following: ": Provided further. That any portion of the total amount of authority set forth in the first proviso of this subsection, which (1) is not required under the second proviso of this subsection to be kept available for purchases and commitments with respect to mortgages insured under section 809, and (2), on the date of enactment of the Housing and Urban Development Act of 1965 and on each July 1 thereafter, would otherwise be available for making new purchases and commitments pursuant to this subsection, shall be transferred to and merged with the authority granted by subsection (a) and added to the amount of such authority which is available, as of the date of the transfer, for purchases and commitments under subsection (c); and the total amount of authority as set forth in the first proviso of this subsection shall progressively be reduced by the amount of each such transfer". P U R C H A S E OF MORTGAGES H E L D BY FEDERAL

75 Stat. 175. 12 USC 1.720.

^^ ^*^*- '^^^•

^° ^^^ xj^ih

INSTRUMENTALITIES

SEC. 802. (a) Section 302 of the National Housing Act is amended by— (1) striking out "Federal," in clause (2) in subsection (b); (2) inserting before "first mortgages" in the first sentence of subsection (c) the following: "obligations offered to it by the Housing and Home Finance Agency or its Administrator, or by such Agency's constituent units or agencies or the heads thereof, or any"; and (3) inserting "and other obligations" after "mortgages" in the last sentence of subsection (c).

\\ l'^^ ^j^^

78 Stat. soo.

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(^) Section 306(6) of such Act is amended to read as follows: " (e) Notwithstanding any other provision of law, the Association is authorized, under the aforesaid separate accountability, to make commitments to purchase, and to purchase, service, or sell any obligations offered to it by the Housing and Home Finance Agency or its Administrator, or by such Agency's constituent units or agencies or the heads thereof, or any mortgages covering residential property offered to it by any Federal instrumentality, or the head thereof. There shall be excluded from the total amounts set forth in subsection (c) the amounts of any obligations or mortgages purchased by the Association pursuant to this subsection." P U R C H A S E OF B E L O W - M A R K E T I N T E R E S T RATE MORTGAGES

73^stat^*66l^^' 12 USC 1717. 12 USC 1720. llijscinsi

^^^' ^^^- ^ection 302(b) of the National Housing Act is amended by inserting after the first sentence the following new sentence: "Notwithstanding the provisions of clause (3) in the preceding sentence, ^\^Q Association may purchase a mortgage under section 305 with an original principal obligation that exceeds $17,500 per dwelling unit if the mortgage (1) is a below-market interest rate mortgage insured under section 2 2 1 (d)(3), and (2) covers property which has the benefit of local tax abatement in an amount determined by the Federal Housing Commissioner to be sufficient to make possible rentals not in excess of those that w'ould be approved by the Commissioner if the mortgage amount did not exceed $17,500 per dwelling unit and if local tax abatement were not provided." INCREASE I N L I M I T A T I O N ON MORTGAGES FOR D W E L L I N G U N I T S FOUR OR MORE BEDROOMS

HAVING

SEC. 804. Section 302(b) of the National Housing Act is amended by inserting before the period at the end of the first sentence the following: " (plus an additional $2,500 for each such family residence or dwelling unit which has four or more bedrooms)". TITLE IX — O P E N - S P A C E L A N D AND U R B A N B E A U T I F I C A T I O N AND IMPROVEMENT C H A N G E I N N A M E OF P R O G R A M; F I N D I N G S AND PURPOSE 75 Stat. 183 42 USC 1500'

isooe.

SEC. 901. (a) The heading of title VII of the Housing Act of 1961 is amended to read as follows: " TITLE VII — O P E N - S P A C E L A N D AND U R B A N BEAUTIFICATION AND IMPROVEMENT" (b) Section 701 of such Act is amended by redesignating subsection (b) as subsection (c) and inserting after subsection (a) a new subsection as follows: " (b) The Congress further finds that there is an urgent need both for the additional provision of parks and other open-space areas in the developed portions of the Nation's urban areas and for greater and better coordinated local efforts to beautify and improve open space and other public land throughout urban areas to facilitate their increased use and enjoyment by the Nation's urban population." (c) Section 701(c) of such Act (as redesignated by subsection (b) of this section) is amended— (1) by striking out "preserve" and inserting in lieu thereof "(1) provide, preserve, and develop"; and

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(2) by striking out "purposes." and inserting in lieu thereof "uses, and (2) beautify and improve open space and other public urban land, in accordance with programs to encourage and coordinate local public and private efforts toward this end." DEVELOPMENT GRANTS FOR O P E N - S P A C E USES

SEC. 902. (a) The first sentence of section 702(a) of the Housing Act of 1961 is amended— (1) by inserting "and development" after "acquisition" the first place it appears; and (2) by inserting before the period the following: ", and the development, for open-space uses, of land acquired under this title". (b) Section 702(c) of such Act is amended by striking out "development costs or". (c) Section 709 of such Act (as redesignated by section 906 of this Act) is amended by adding at the end thereof the following: "(4) The term 'open-space uses' means any use of open-space land for (A) park and recreational purposes, (B) conservation of land and other natural resources, or (C) historic or scenic purposes."

75 Stat. 184. 42 USC 1500a.

INCREASED GRANT LEVEL FOR PRESERVATION A N D DEVELOPMENT OF OPEN-SPACE LAND

SEC. 903. The second sentence of section 702(a) of the Housing Act of 1961 is amended to read as follows: "The amount of any such grant shall not exceed 50 per centum of the total cost, as approved by the Administrator, of such acquisition and development." CONTRACT

AUTHORIZATION

SEC. 904. Section 702(b) of the Housing Act of 1961 is amended by striking out "$75,000,000" and inserting in lieu thereof the following: "$310,000,000: Provided, That of such sum the Administrator may contract to make grants under section 705 aggregating not to exceed $64,000,000, and grants under section 706 aggregating not to exceed $36,000,000". O P E N - S P A C E P L A N N I N G A N D PROGRAM

^s Stat. soe.

REQUIREMENTS

SEC. 905. Section 703(a) of the Housing Act of 1961 is amended to read as follows: " (a) The Administrator shall enter into contracts to make grants under sections 702 and 705 of this title only if he finds that such assistance is needed for carrying out a unified or officially coordinated program, meeting criteria established by him, for the provision and development of open-space land as part of the comprehensively planned development of the urban area."

42 USC isoob.

GRANTS FOR PROVISION OF O P E N - S P A C E L A N D I N B U I L T - U P U R B A N AREAS A N D FOR U R B A N B E A U T I F I C A T I O N A N D IMPROVEMENT

SEC. 906. Title VII of the Housing Act of 1961 is amended by redesignating sections 705 and 706 as sections 708 and 709, respectively, and by inserting after section 704 two new sections as follows:

^^ ^*^*- y'^i5ooe.

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[79 STAT.

FOR PROVISION OF O P E N - S P A C E L A N D I N B U I L T - U P U R B A N AREAS

"SEC. 705. The Administrator is further authorized to enter into contracts to make grants to States and local public bodies to help finance the acquisition of title to, or other permanent interests in, developed land in built-up portions of urban areas to be cleared and used as permanent open-space land. The Administrator shall make such grants only where the local governing body determines that adequate open-space land cannot effectively be provided through the use of existing undeveloped or predominantly undeveloped land. Grants under this section shall not exceed 50 per centum of the cost of acquiring such interests and of necessary demolition and removal of improvements. "GRANTS FOR URBAN BEAUTIFICATION AND IMPROVEMENT

"SEC. 706. The Administrator is authorized to enter into contracts to make grants, as herein provided, to States and local public bodies to assist in carrying out local programs for the greater use and enjoyment of open-space and other public land in urban areas. The Administrator shall establish criteria for such programs to assure that each program (1) represents significant and effective efforts, involving all available public and private resources, for the beautification of such land and its improvement for open-space uses; and (2) is important to the comprehensively planned development of the locality. Grants made under this section shall not exceed 50 per centum of the amount by which the cost of the activities carried on by an applicant during a fiscal year under an approved program exceeds its usual expenditures for comparable activities: Provided, That, notwithstanding any other provision of this section, the Administrator may use not to exceed $5,000,000 of the sum authorized for contracts under this section for the purpose of entering into contracts to make grants in amounts not to exceed 90 per centum of the cost of activities which he determines have special value in developing and demonstrating new and improved methods and materials for use in carrying out the purposes of this section." LABOR STANDARDS

SEC. 907. Title VII of the Housing Act of 1961 is further amended by inserting after section 706 (as added b}' section 906 of this Act) the following new section: ((LABOR

T use 27*6^' 276a-5. ^'

63 Stat. 108.

STANDARDS

"SEC. 707. (a) The Administrator shall take such action as may be necessary to insure that all laborers and mechanics employed by contractors or subcontractors in the performance of construction work financed with the assistance of grants under this title shall be paid Avages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance ^^^^^ ^^^ Davis-Bacon Act, as amended. The Administrator shall not approve any such grant without first obtaining adequate assurance that these labor standards will be maintained upon the construction work. " (b) The Secretary of Labor shall have, with respect to the labor standards specified in subsection (a), the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (15 F.R. 3176; 64 Stat. 1267; 5 U.S.C. 133z-15), and section 2 of the Act of June 13, 1934^ as amended (48 Stat. 948; 40 U.S.C. 276c)."

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497

PUBLICATION

SEC. 908. The second sentence of section 708 of the Housing Act of 1961 (as redesignated by section 906 of this Act) is amended to read as follows: "The Administrator is authorized to use. during any fiscal year not to exceed $50,000 of the funds available for grants under this title to undertake such studies and publish such information." CONFORMING

AMEND3IENTS

SEC. 909. (a) The heading of section 702 of the Housing Act of 1961 is amended to read as follows: "GRANTS FOR PRESERVATION AND DEVEL-

js stau ^i84.^^

OPMENT OF OPEN-SPACE LAND".

(b) Section 702(a) of such Act is amended by striking out "acceptable to the Administrator as capable of carrying out the provisions of this title". (c) Section 702(e) of such Act is amended by striking out in the second sentence "served by the open-space land acquired" and inserting in lieu thereof "assisted". (d) Section 704 of such Act is amended by striking out in the first '^^ use isooc. sentence "for which" and inserting in lieu thereof "for the acquisition of which". TITLE X—RURAL HOUSIXG LOANS FOR PREVIOUSLY OCCUPIED B U I L D I N G S A N D MINIMUM SITE ACQUISITION

SEC. 1001. (a) Section 501(a) of the Housing Act of 1949 is,/i^*^\-„"2; ,

,

^ '

^ '

"

amended— (1) by inserting after "their farms," in clause (1) the following: "and to purchase previously occupied buildings and land constituting a minimum adequate site, in order"; and (2) by inserting after "rural areas" in clause (2) the following: "for the construction, improvement, alteration, or repair of dwellings, related facilities, and farm buildings and to rural residents for such purposes and for the purchase of previously occupied buildings and the purchase of land constituting a minimum adequate site, in order". (b) Section 501(c) of such Act is amended by inserting "or a rural resident" in clause (1) after "or that he is the owner of other real estate in a rural area".

75 Stat. 186.

42 USC uyi.

INTEREST RATE OX DIRECT RURAL HOUSING LOANS

SEC. 1002. Section.502(a) of the Housing Act of 1949 is amended ^^ use 1472. by striking out "with interest at a rate not to exceed 4 per centum per annum on the unpaid balance of principal" and inserting in lieu thereof the following: "with interest, in the case of applicants described in clauses (1) and (2) of section 501(a), at a rate not to exceed 5 per centum per annum on the unpaid balance of principal, and, in the case of applicants described in clause (3) of section 501(a) and applicants ^^ ^*^*- °under sections 503 and 504, at a rate not to exceed 4 per centum per " us^c MJI annum on such unpaid balance. Loans made or insured under this 1473, 1474. title shall be conditioned on the borrower paying such fees and other charges as the Secretary may require".

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PUBLIC LAW 89-117-AUGUST 10, 1965 I N S U R E D RURAL. H O U S I N G

63 Stat. 432. 42 USC 1471 et seq.

[79 STAT.

LOANS

SEC. 1003. (a) Title V of the Housing Act of 1949 is amended by adding at the end thereof the following new sections: a I N S U R E D RURAL. H O U S I N G LOANS

52 Stat. 10; Ante, p. 466. 12 USC 1709.

75 Stat. 186; 76 Stat. 671. 42 USC 1484, 1485.

Rural Housing Insurance Fund.

"SEC. 517. (a) The Secretary may insure loans meeting the requirements of section 502, and may make loans in accordance with the requirements of such section to be sold and insured; except that such loans shall— " (1) if the borrowers are persons of low or moderate income (as defined by the Secretary), (A) not exceed amounts necessary to provide adequate housing, modest in size, design, and cost (as determined by the Secretary), (B) bear interest at a rate not to exceed 5 per centum per annum, and (C) not exceed in the aggregate $300,000,000 of new loans made or insured in any one fiscal year; and "(2) if the borrowers are persons other than those described in clause (1), bear interest and provide for insurance or service charges at rates comparable to the combined rate of interest and premium charges in effect under section 203 of the National Housing Act, as determined by the Secretary. "(b) The Secretary may insure loans in accordance with the requirements of sections 514 (exclusive of subsections (a)(3), (a)(5), and (b)) and 515 (exclusive of subsections (a) and (b)(4)), and may make loans meeting such requirements to be sold and insured. Upon the expiration of ninety days after the original capitalization of the Rural Housing Insurance Fund, created by subsection (e) of this section, no new loans shall be made or insured under section 514 or 515 (b), except in conformity with this section. "(c) The Secretary may use the Rural Housing Insurance Fund for the purpose of making loans to be sold and insured under this section, but the aggregate of such loans which are held by the Secretary at any one time shall not exceed $100,000,000. " (d) The Secretary may, in conformity with subsections (a) and (b), insure the payment of principal and interest as it becomes due on loans made by lenders other than the United States, and on loans made from the Rural Housing Insurance Fund which are sold by the Secretary. Any contract of insurance executed by the Secretary hereunder shall be an obligation supported by the full faith and credit of the United States, and shall be incontestable except for fraud or material misrepresentation of which the holder has actual knowledge. I n connection with loans insured under this section, the Secretary may take liens running to the United States notwithstanding the fact that the notes evidencing such loans may be held by lenders other than the United States. Notes evidencing such loans shall be freely assignable, but the Secretary shall not be bound by any such assignment until notice thereof is given to and acknowledged by him. "(e) There is hereby created the Rural Housing Insurance Fund (hereinafter referred to as the 'Fund') which shall be used by the Secretary as a revolving fund for carrying out the provisions of this section. There are authorized to be appropriated to the Secretary such sums as may be necessary for the purposes of the Fund. " (f) Money in the Fund not needed for current operations shall be invested in direct obligations of the United States or obligations guaranteed by the United States. " (g) All funds, claims, notes, mortgages, contracts, and property acquired by the Secretary under this section, and all collections and

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 79

STAT.}

PUBLIC LAW 89-117-AUGUST10, 1965

proceeds therefrom, shall constitute assets of the Fund; and all liabilities and obligations of such assets shall be liabilities and obligations of the Fund. Loans may be held in the Fund and collected in accordance with their terms or may be sold by the Secretary with or without agreements for insurance thereof. The Secretary is authorized to make agreements with respect to servicing loans held or insured by him under this section and purchasing such insured loans on such terms and conditions as he may prescribe. " (h) The Secretary is authorized to issue notes to the Secretary of the Treasury to obtain funds necessary for discharging obligations under this section and for authorized expenditures out of the Fund, but, except as may be authorized in appropriation Acts, not for the original or any additional capital of the Fund. Such notes shall be in such form and denominations and have such maturities and be subject to such terms and conditions as may be prescribed by the Secretary with the approval of the Secretary of the Treasury. Each note shall bear interest at the average rate, as determined by the Secretary of the Treasury, payable by the Treasury upon its marketable public obligations outstanding at the beginning of the fiscal year in which such note is issued, which are neither due nor callable for redemption for fifteen years from their date of issue. The Secretary of the Treasury is authorized and directed to purchase any notes of the Secretary issued hereunder, and for that purpose the Secretary of the Treasury is authorized to use as a public debt transaction the proceeds from the sale of any securities issued under the Second Liberty Bond Act, as amended, and the purposes for which such securities may be issued under such Act are extended to include purchases of notes issued by the Secretary. All redemptions, purchases, and sales by the Secretary of the Treasury of such notes shall be treated as public debt transactions of the United States. The notes issued by the Secretary to the Secretary of the Treasury shall constitute obligations of the Fund. " (i) The Secretary may retain out of interest payments by the borrower an annual charge in an amount specified in the insurance or sale agreement applicable to the loan. Of the charges retained by the Secretary, if any, not to exceed 1 per centum per annum of the unpaid balance of the loan shall be deposited in the Fund. Any retained charges not deposited in the Fund shall be available for administrative expenses in carrying out the provisions of this title, to be transferred annually, and become merged with any appropriation for administrative expenses of the Farmers Home Administration, when and in such amounts as may be authorized in appropriation Acts. " (j) The Secretary may also utilize the Fund— "(1) to pay amounts to which the holder of the note is entitled in accordance with an insurance or sale agreement under this section accruing between the date of any prepayment by the borrower to the Secretary and the date of transmittal of any such prepayments to the holder of the note; and in the discretion of the Secretary, prepayments other than final payments need not be remitted to the holder until due; "(2) to pay the holder of any note insured under this section any defaulted installment or, upon assignment of the note to the Secretary at the Secretary's request, or pursuant to a purchase agreement, the entire balance outstanding on the note; and "(3) to pay taxes, insurance, prior liens, expenses necessary to make fiscal adjustments in connection with the application and transmittal of collections, and other expenses and advances to protect the security for loans which are insured under this

499

3° ^QQ ^f^-

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[79 STAT.

section or held in the Fund, and to acquire such security property at foreclosure sale or otherwise. ((RURAL HOUSING D ^ S Lo^n Account.

3° u'sc 7 7 • ^4

42 USC Ssi

DIRECT LOAN ACCOUNT

"^^^- ^^^- (^) There is hereby created the Rural Housing Direct Loan Account (hereinafter referred to as the 'Account') which shall be used by the Secretary for carrying out the provisions of this section. There are authorized to be appropriated to the Secretary such sums as may be necessary for the purposes of the Account. " (b) There are transferred to the Account (1) all funds, claims, notes, mortgages, contracts, and property, and all collections and proceeds therefrom, held by the Secretary under the direct loan provisions of this title, including those securing notes issued by the Secretary to the Secretary of the Treasury under section 511 and any unexpended balance of amounts borrowed upon such notes, and (2) all unexpended balances of appropriations for direct loans under this title, including the fund authorized by section 515(a). All amounts hereafter borrowed by the Secretary from the Secretary of the Treasury under section 511 shall be deposited in the Account. All collections and proceeds from assets acquired by the Account shall be deposited in the Account. "(c) When and in such amounts as may be authorized in appropriation Acts, the Secretary may issue notes to the Secretary of the Treasury to obtain funds to be deposited in the Account. The form, denominations, maturities, and other terms and conditions of such notes shall be prescribed by the Secretary with the approval of the Secretary of the Treasury. Each note shall bear interest at the average rate determined by the Secretary of the Treasury, payable by the Treasury upon its marketable public obligations outstanding at the beginning of the fiscal year in which such note is issued, which are neither due nor callable for redemption for fifteen years from their date of issue. The Secretary of the Treasury is authorized and directed to purchase any notes of the Secretary issued hereunder, and for that purpose the Secretary of the Treasury is authorized to use as a public debt transaction the proceeds from the sale of any securities issued under the Second Liberty Bond Act, as amended, and the purposes for which such securities may be issued under such Act are extended to include the purchase of notes issued by the Secretary. All redemptions, purchases, and sales by the Secretary of the Treasury of such notes shall be treated as public debt transactions of the United States. " (d) The Account shall remain available to the Secretary for the payment of interest and principal on notes issued by the Secretary to the Secretary of the Treasury under section 511 or this section, and for direct loans and related advances under this title in such amounts as are now authorized by law and in such further amounts as shall be authorized in appropriation Acts. Amounts so authorized for such loans and advances shall remain available until expended." (^) Section 511 of such Act is amended— (1) by striking out the first sentence and inserting in lieu thereof "The Secretary may issue notes and other obligations for purchase by the Secretary of the Treasury for the purpose of making direct loans under this title."; (2) by striking out the second sentence and inserting in lieu thereof "The total principal amount of such notes and obligations issued pursuant to this section during the period beginning July 1, 1956, and ending October 1, 1969, shall not exceed $850,000,000."; and

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 79 STAT.]

PUBLIC LAW 89-117-AUGUST 10, 1965

501

(3) by striking out the fifth sentence and inserting in lieu thereof the following "Each such note or other obligation shall bear interest at the average rate, as determined hj the Secretary of the Treasury, payable by the Treasury upon its marketable public obligations outstanding at the beginning of the fiscal year in which such note or other obligation is issued, which are neither due nor callable for redemption for 15 years from their date of issue." FEDERAL N A T I O N A L MORTGAGE ASSOCIATION SECONDARY M A R K E T T I O N S FOR I N S U R E D RURAL H O U S I N G LOANS

OPERA-

SEC. 1004. (a) Section 302(b) of the National Housing Act is amended— (1) by inserting immediately after "which are insured under the National Housing Act" the following: "or title V of the Housing Act of 1949"; (2) by inserting after "any mortgage" in clause (2) of the proviso the following: ", except a mortgage insured under title V of the Housing Act of 1949,"; and (3) by inserting before the period in the last sentence the following: "or title V of the Housing Act of 1949". (b) Section 303(b) of such Act is amended by inserting "and other" after "private" in the first sentence. EXTENSION

OF RURAL

HOUSING

^v'scnii

42 USC 1471 et seq.

12 USC 1718.

AUTHORIZATIONS

SEC. 1005. (a) Section 512 of the Housing Act of 1949 is amended by striking out "September 30, 1965" and inserting in lieu thereof "October 1, 1969". (b) Section 513 of such Act is amended— (1) by striking out "September 30, 1965" in clause (b) and inserting in lieu thereof "October 1, 1969"; (2) by striking out "$10,000,000" in clause (c) and inserting in lieu thereof "$50,000,000", and by striking out "September 30, 1965" in the same clause and inserting in lieu thereof "October 1, 1969"; and (3) by striking out "September 30, 1965" in clause (d) and inserting m lieu thereof "October 1, 1969". (c) Section 515(b)(5) of such Act is amended by striking out "September 30, 1965" and inserting in lieu thereof "October 1, 1969". (d) Section 506(a) of such Act is amended by striking out "sections 501 to 504, inclusive, and sections 514—516", each place it occurs and inserting in lieu thereof "this title".

^s sta^. ige^ '^^ ^^*^ ^*^^^s Stat. 798.

42 us^c 14^
 * 76

S U M S EXCESS TO THE N E E D S OF THE RURAL H O U S I N G INSURANCE F U N D OR THE RURAL H O U S I N G DIRECT LOAN ACCOUNT

SEC. 1006. Title V of the Housing Act of 1949 is amended by adding J^^ "sc i47i et after section 518 (added by section 1003 of this Act) a new section as follows: " S U M S E X C E S S TO THE NEEDS O F THE RURAL H O U S I N G INSURANCE F U N D OR THE RURAL H O U S I N G DIRECT LOAN ACCOUNT

"SEC. 519. Any sums in the Rural Housing Insurance Fund or the Rural Housing Direct Loan Account which the Secretary determines are in excess of amounts needed to meet the obligations and carry out the purposes of such Fund or Account shall be returned to miscellaneous receipts of the Treasury."

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[79 STAT.

DEFINITION OF A RURAL AREA

seq. "^^ ^"^^^ "'

SE<^- 1007. Title V of the Housing Act of 1949 is amended by adding at the end thereof (after the new section added by section 1006 of this Act) the following new section: "DEFINITION OF RURAL AREA

"SEC. 520. As used in this title, the terms 'rural' and 'rural area' mean any open country, or any place, town, village, or city which is not part of or associated with an urban area and which (1) has a population not in excess of 2,500 inhabitants, or (2) has a population in excess of 2,500 but not in excess of 5,500 if it is rural in character." TITLE XI—MISCELLANEOUS ANNUAL REPORT ON HOUSING AND URBAN DEVELOPMENT PROGRAMS

12 USC lioio.

SEC. 1101. Section 802(a) of the Housing Act of 1954 is amended to read as follows: " (a) The Housing and Home Finance Administrator shall, as soon as practicable during each calendar year, make a report to the President for submission to the Congress on all operations and programs (including but not limited to the F H A insurance, urban renewal, public housing, and rent supplement programs) under the jurisdiction of the Housing and Home Finance Agency during the previous calendar year. Such report shall contain recommendations for strengthening or improving such programs, or, when necessary to implement more effectively Congressional policies and purposes, for establishing new or alternative programs." URBAN P L A N N I N G GRANTS

SEC. 1102. (a) The fifth sentence of section 701(b) of the Housing _ 73 Stat 678; ^^^t of 1954 is amended by striking out "$105,000,000" and inserting in 4ouic46u • lieu thereof "$230,000,000". (b) Section 701(b) of such Act is amended by striking out the period at the end and inserting in lieu thereof the following: ": Provided, That not to exceed 5 per centum of any funds so appropriated may be used by the Administrator for studies, research, and demonstration projects, undertaken independently or by contract, for the development and improvement of techniques and methods for comprehensive planning and for the advancement of the purposes of this section." (c)(1) Section 701 of such Act is amended by adding at the end thereof a new subsection as follows: " (g) In addition to the planning grants authorized by subsection (a), the Administrator is further authorized to make grants to organizations composed of public officials whom he finds to be representative of the political jurisdictions within a metropolitan area or urban region for the purpose of assisting such organizations to undertake studies, collect data, develop regional plans and programs, and engage in such other activities as the Administrator finds necessary or desirable for the solution of the metropolitan or regional problems in such areas or regions. To the maximum extent feasible, all grants under this subsection shall be for activities relating to all the developmental aspects of the total metropolitan area or urban region, including, but not limited to, land use, transportation, housing, economic development, natural resources development, community facilities, and the

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 79 STAT.]

PUBLIC LAW 89-117-AUGUST 10, 1965

503

general improvement of living environments. A grant under this subsection shall not exceed two-thirds of the estimated cost of the work for which the grant is made." (2) Section 701(b) of such Act is amended— (A) by inserting "planning" immediately before "grant" the first time it appears in the first sentence, and (B) by striking out "planning" in the fourth sentence. (d) Section 701(b) of such Act is amended by inserting after "Area Redevelopment Act" the following: "(or under any Act supplementary thereto)". AUTHORIZATION

FOR FEDERAL-STATE

TRAINING

PROGRAMS

SEC. 1103. (a) Section 802(d) of the Housing Act of 1964 is amended by striking out "$10,000,000" and inserting in lieu thereof "$30,000,000". (b) Section 803 of such Act is amended (1) by striking out "authorized to be", and (2) by striking out "by section 802(d)" and inserting in lieu thereof "for the purposes of this part". AUTHORIZATION FOR P U B L I C WORKS P L A N N I N G

HOUSING

DEMONSTRATION

TECHNICAL

^s stau ^799.

78 Stat. 796. 42 USC 1436.

PROVISION

SEC. 1106. Section 601 of the Housing Act of 1949 is amended by fctriking out the second sentence. PUBLIC FACILITY

^o use so3.

PROGRAMS

SEC. 1105. Section 207 of the Housing Act of 1961 is amended by striking out "$10,000,000" and inserting in lieu thereof "$15,000,000". ADVISORY COMMITTEE S

Hl'i^IS2:

ADVANCES

SEC. 1104. The second sentence of section 702(e) of the Housing Act of 1954 is amended by striking out "$20,000,000" and inserting in lieu thereof "$70,000,000". .AUTHORIZATION FOR L O W - I N C O M E

H l'^^- ^^g^;

f f}^}: f:*f^

LOANS

SEC. 1107. (a) Section 202(c) of the Housing Amendments of 1955 is ^9 sta^ 6«^ amended by adding at the end thereof the following new sentence: "Notwithstanding any other provision of this title, the Administrator may extend financial assistance, as otherwise authorized by clause (1) of subsection (a) of this section, to any private nonprofit corporation to finance the construction of works for the storage, treatment, purification, or distribution of water or the construction of sewage, sewage treatment, and sewer facilities, if such works or facilities are needed to serve a smaller municipality or rural area, and there is no existing public body able to construct and operate such works or facilities." (b) Section 202 (_b)(4) of such amendments is amended— 78^stat^'798'^'*' (1) by striking out the parenthetical phrase in clause (A) and inserting in lieu thereof the following: "(one hundred fifty thousand or more in the case of a community situated in an area designated as a redevelopment area under the Area Redevelopment Act or any Act supplementary thereto)"; and 42 us^c 25 1 (2) by inserting after "public works or facilities" in the sec- note. ond sentence the following: " (i) in a community in or near which is located a research or development installation of the National Aeronautics and Space Administration, or (ii)".

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[79 STAT.

FHA CONFORMING AMENDMENTS

12 us^c f7°o^3 12 USC mec

75 Stat. 157. 12 USC 1709.

12 USC 1710.

12 u*sc m ^

12 USC 1715.

^^^' ^^^^- (^) Section 2(f) of the National Housing Act is amended by striking out all that follows the first sentence. ^^^ Section 8 of such Act is amended— (1) by striking out "Title I Housing Insurance F u n d " in subsection (g) and inserting in lieu thereof "General Insurance Fund";and (2) by striking out subsections (h) and (i). (c) Section 203(k) of such Act is amended— (1) by striking out "a separate section 203 Home Improvement Account to be maintained as hereinafter provided under the Mutual Mortgage Insurance F u n d " in clause (3) of the first sentence and inserting in lieu thereof "the General Insurance F u n d "; (2) by striking out "the section 203 Home Improvement Account or in debentures executed in the name of such Account" in clause (4) of the first sentence and inserting in lieu thereof "the General Insurance Fund or in debentures executed in the name of such F u n d "; (3) by striking out all of the third sentence which follows "refer to this section 203(k) " and inserting in lieu thereof a period; and (4) by striking out the fourth, fifth, and sixth sentences. (d) Section 204 of such Act is amended— (1) by striking out "or section 210" in the first sentence of subsection (a); (2) by striking out all of the second sentence of subsection (c) after "the mortgagee" and inserting in lieu thereof "from the Mutual Mortgage Insurance Fund."; (3) by striking out all of the first sentence of subsection (d) after "shall be negotiable" the first place it appears and inserting in lieu thereof a period; (4) by striking out "the F u n d " each place it appears in subsection (d) and inserting in lieu thereof "the Mutual Mortgage Insurance F u n d "; (5) by striking out "or the Housing Fund, as the case may be," in the fifth sentence of subsection (d) ^ (6) by striking out "or the Housing F u n d " in the sixth sentence of subsection (d); and (7) by striking out the matter in subsection (f)(1)(i) which follows "section 203" and precedes the colon. (^) Section 207 of such Act is amended— (1) by striking out "and section 210" in the first sentence of subsection (d); (2) by striking out "of the Housing Insurance Fund issued by the Commissioner under this title" in the first sentence of subsection (d) and inserting in lieu thereof the following: "issued by the Commissioner under any title and section of this Act, except debentures of the Mutual Mortgage Insurance Fund, or of the Cooperative Management Housing Insurance F u n d "; ^3) by striking out subsections (f), (m), and (p); and (4) by striking out "the Housing Insurance F u n d " and "the Housing F u n d " each place they appear in subsections (b), (h), (i), (j), (k), and (1) and inserting in lieu thereof "the General Insurance Fund". ^f ^ Section 209 of such Act is amended by striking out "or account or accounts," in the second sentence.

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PUBLIC LAW 89-117-AUGUST10, 1965

(g) Section 213 of such Act is amended— (1) by striking out "the Housing F u n d " in subsection (a)(3) and inserting in heu thereof "the Cooperative Management Housing Insurance F u n d "; and (2) by striking out "(1), (m), (n), and (p) " in subsection (e) and inserting in lieu thereof " (1), and (n) ". (h) Section 220 of such Act is amended— ^ (1) by striking out "the section 220 Housing Insurance F u n d " each place it appears in subsections (d)(2) and (f) and inserting in lieu thereof "the General Insurance F u n d "; (2) by inserting "and" immediately before " (B) " in the second full sentence in subsection (f)(3), and by striking out", and (C) " and all that follows in such sentence and inserting in lieu thereof a period; (3) by striking out subsections (g) and (h)(4); and (4) by striking out "the section 220 Home Improvement Account" each place it appears in subsections (h)(5) and (h)(7) and inserting in lieu thereof "the General Insurance Fund". (i) Section 221 of such Act is amended— (1) by striking out "the section 221 Housing Insurance F u n d " each place it appears in subsections (d)(4), (f), (g)(1), and (g) (3) and inserting in lieu thereof "the General Insurance Fund; (2) by striking out all of subsection (g)(2) after "mortgages insured under this section" and inserting in lieu thereof "; or"; (3) by inserting "and" immediately before " (B) " in the first full sentence in subsection (g)(3), and by striking out ", and (C) " and all that follows in such sentence and inserting in lieu thereof a period; and (4) by striking out subsection (h). (j) Section 222 of such Act is amended— (1) by striking out "Servicemen's Mortgage Insurance F u n d " in subsection (e) and inserting in lieu thereof "General Insurance Fund";and (2) by striking out subsection (f), (k) Section 229 of such Act is amended by striking out "and Accounts" in the first sentence. (1) Section 231 of such Act is amended— (1) by striking out "the section 207 Housing Insurance F u n d " in subsection (c)(4) and inserting in lieu thereof "the General Insurance F u n d "; and (2) by striking out " (f), (g), (h),, (i), (j), (k), (1), (m), (n), and (p) " in subsection (e) and inserting m lieu thereof " (g), (h), (i),(j),(k),(l),and(n)". (m) Section 232 of such Act is amended— (1) by striking out "the section 207 Housing Insurance F u n d " in subsection (d)(1) and inserting in lieu thereof "the General Insurance F u n d "; and (2) by striking out " (f), (g), (h), (1), (j),_ (k), (1), (m), (n), and (p) " in subsection (f) and inserting in lieu thereof " (g), (h),(i),(]),(k),(l),and(n)". (n) SeOtion 233 of such Act is amended— (1) by striking out "the Experimental Housing Insurance Fund" in clause (1) of the third sentence of subsection (f) and inserting in lieu thereof "the General Insurance F u n d "; (2) by inserting "and" immediately before " (2) " in the third sentence of subsection (f), and by Striking out ", and (3) " and all that follows and inserting in lieu thereof a period; and (3) by striking out subsection (g). 49-850 0-66—35

505 J^ ^^^ ^4.^^

^IVsc

nhk.

12 USC 17 ii 5/.

12 USC 171 sm.

H ^^^ ^f'^^^

H ^^^^ f^^^'j^^

12 USC iVisx.

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 506 75 Stat. 160. 12 USC 1715y

PUBLIC LAW 89-117-AUGUST 10, 1965

[79 STAT.

(o) Section 234 of such Act is amended— (1) by striking out "the Apartment Unit Insurance F u n d " in subseotions (d)(2) and (g) and inserting in lieu thereof "the General Insurance F u n d "; (2) by striking out subsection (h) and inserting in lieu thereof the following: " (h) The provisions of subsections (d), (e), (g), (h), (i), (j), (k), 12 u^sc m 3 (1)' ^^^ (^) o^ section 207 shall be applicable to mortgages insured under subsection (d) of this section."; and (3) by striking out subsection (i) and redesignating subsection (j) as subsection (i). 12 u*^c f7*39 (P^ Section 604 of such Act is amended by striking out "the W a r Housing Insurance F u n d " each place it appears in subsections (c), (d), and (f)(1)(i) and inserting in lieu thereof "the General Insurance Fund". 12 u*sc m i (^) Section 608 of such Act is amended— (1) by striking out "the W a r Housing Insurance F u n d " each place it appears in subseotions (b)(1) and (d) and inserting in lieu thereof "the General Insurance F u n d "; and (2) by striking out subsection (f) and inserting in lieu thereof the following: "(f) The provisions of section 207(k) of this Act shall be applicable to mortgages insured under this section, except that, as applied to such mortgages, the reference therein to subsection (g) shall be construed to refer to subsection (c) of this section," 12 u*sc m 4 (''^) "^^^^fi^'®^'sentence of section 609(f) of such Act is amended by striking out clause (1) and redesignating clauses (2), (3), and (4) as clauses (1), (2), and (3), respectively. 62 Stat. 1278. (s) Section 707 of such Act is amended by striking out "the Housing 12 USC 1747f, Investment Insurance F u n d " and inserting in lieu thereof "the General Insurance Fund". 12 USC i747g. ^^^ Section 708 of such Act is amended by striking out "the Housing Investment Insurance F u n d " each place it appears in subsections (c), (e), (g), and (h) and inserting in lieu thereof "the General Insurance Fund". 52us^cm8b. (") Section 803 of such Act is amended— (1) by striking out "the Armed Services Housing Mortgage Insurance F u n d " each place it appears in subsections (b)(1), (b)(2), (e), (f), and (g) and inserting in lieu thereof "the General Insurance F u n d "; and (2) by striking out subsection (h) and inserting in lieu thereof the following: " (h) The provisions of section 207(k) and section 207(1) of this Act shall be applicable to mortgages insured under this title and to property acquired by the Commissioner hereunder, except that, as applied to such m'ortgages and property, the reference in section 207 (k) to subsection (g) shall be construed to refer to subsection (d) of this section." 12 USC msh-i ^^} Section 809 of such Act is amended by striking out "the Armed Services Housing Mortgage Insurance F u n d " each place it appears in subsections (b), (e), and (g) and inserting in lieu thereof "the General Insurance Fund". 12 u*sc m8h-2 ( ^) Section 810 of such Act is amended— (1) by striking out "the Armed Services Housing Mortgage Insurance F u n d " in subsection (e) and inserting in lieu thereof "the General Insurance F u n d "; (2) by striking out "(1), (m), (n), and (p) " in subsection (j) n.nd inserting in lieu thereof "(1), and (n) "; and

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STAT.]

PUBLIC LAW 89-117-AUGUST10, 1965

(3) by striking out the proviso in subsection (j) and inserting in lieu thereof the following: ": Provided, That wherever the words 'Fund' or 'Mutual Mortgage Insurance Fund' appear in section 204, such reference shall refer to the General Insurance Fund with respect to mortgages insured under this section", (x) Section 903 of such Act is amended by striking out "the National Defense Housing Insurance F u n d " each place it appears in subsection (a) and inserting in lieu thereof "the General Insurance Fund". (y) Section 904 of such Act is amended— (1) by striking out "the National Defense Housing Insurance F u n d " each place it appears in subsections (c) and (d) and inserting in lieu thereof "the General Insurance F u n d "; and (2) by striking out all of subsection (e) which follows "of this Act" and inserting in lieu thereof a period. (z) Section 908 of such Act is amended— _ (1) by^ striking out "the National Defense Housing Insurance F u n d " m subsection (b)(1) and inserting in lieu thereof "the General Insurance F u n d "; (2) by striking out all of subsection (d) which follows "of this Act" and inserting in lieu thereof a period; and (3) by striking out subsection (f) and inserting in lieu thereof the following: "(f) The provisions of section 207(k) and section 207(1) of this Act shall be applicable to mortgages insured under this section and to property acquired by the Commissioner hereunder, except that, as applied to such mortgages and property, the reference therein to subsection (g) shall be construed to refer to subsection (c) of this Section (aa) Sections 219, 602, 605, 710, 802, 804, 902, and 905 of such Act are repealed. (bb) Section 1 of such Act is amended by striking out "titles II, III, VI, VII, VIII, and IX ", each place it appeal's, and inserting in lieu thereof '^titles II, III, V, VI, VII, VIII, IX^ and X ".

507

^2 stat_. u. ^^ ^*|^- ^^^^^^ ^^ ^'^^

^I^Q^.

12 USC 1750g.

\\ ^'^^ /,^',12 USC 1713.

Repeals. ^^ ^^^ ^''°2-

REPEAL OF SPECIAL PROVISION I N URBAN MASS T R A N S P O R T A ' n O N ACT

SEC. 1109. Section 9 of the Urban Mass Transportation Act of 1964 is amended by striking out subsection (c) and redesignating subsections (d), (e), and (f) as subsections (c), (d), and (e), respectively. SAVINGS AND LOAN

78 sta^. aoe. ' '

ASSOCIATIONS

SEC. 1110. (a) Section 5(c) of the Home Owners' Loan Act of 1933 is amended by adding at the end of the first paragraph a new sentence as follows: "Structures or parts thereof designed or used as fraternity or sorority houses which include sleeping accommodations for students of a college or university, or designed or used principally for the provision of living accommodations for persons who are students, employees, or members of the staff of a college, university, or hospital, shall be considered, subject to such regulations as the Board may prescribe, 'other dwelling units' for the purposes of this subsection." (b) The ninth paragraph of section 5(c) of such Act is amended by striking out "fifteen years" and inserting in lieu thereof "ten years''. (c) Section 5(c) of such Act is further amended by adding at the end thereof (after the new paragraph added by section 201(b)(3) of this Act) the following new paragraph: "N,o building and loan association incorporated under the laws of the District of Columbia or organized in such District or doing business in such District shall establish any branch or move its principal

js sta^ m^

78 Stat. 80 5.

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 508

12 u*sc ^2^?'

PUBLIC LAW 89-117-AUGUST10, 1965

[79 STAT.

office or any branch without the prior written approval of the Federal Home Loan Bank Board, and no other building and loan association shall establish any branch in such District or move its principal office or any branch in such District without such approval. As used in the sentence next preceding, 'branch' means any office, place of business, or facility, other than the principal office as defined by the Board, of a building and loan association at which accounts are opened or payments thereon are received or withdrawals therefrom are paid, or any other office, place of business, or facility of a building and loan association defined by the Board as a branch within the meaning of such sentence, and as used in such sentence and in this sentence 'building and loan association' means any incorporated or unincorporated building, building or loan, building and loan, savings and loan, or homestead association or cooperative bank." ^^) Section 404 of the National Housing Act is amended by adding at the end thereof the following new subsection: " (h)(1) Each insured institution shall make such deposits in the Corporation as may from time to time be required by call of the Federal Home Loan Bank Board. Any such call shall be calculated by applying a specified percentage, which shall be the same for all insured institutions, to the total amount of all withdrawable pr repurchasable shares, investment certificates, and deposits in each insured institution. No such call shall be made unless such Board determines that the total amount of such call, plus the outstanding deposits previously made pursuant to such calls, does not exceed 1 per centum of the total amount of all withdrawable or repurchasaole shares, investment certificates, and deposits in all insured institutions. For the purposes of this subsection, the total amounts hereinabove referred to shall be determined or estimated by such Board or in such manner as it may prescribe. "(2) The Corporation, in accordance with such regulations as it may prescribe, shall credit as of the close of each calendar year, to each deposit outstanding at such close^ a return on the outstanding balance, as determined by the Corporation, of such deposit during such calendar year, at a rate equal to the average annual rate of return, as determined by the Corporation, to the Corporation during the year ending at the close of November 30 of such calendar year, on the investments held by the Corporation in obligations of, or guaranteed as to principal and interest by, the United States. "(3) The Corporation in its discretion may at any time repay all such deposits, or repay pro rata a portion of each of such deposits, in such manner and under such procedure as the Corporation may prescribe by regulation or otherwise. Any procedure for such pro rata repayment may provide for total repayment of any deposit, if total repayment of any and all deposits of equal or smaller amount is likewise provided for. "(4) The provisions of subsection (f) of this section and of the last sentence of subsection (e) of this section shall be applicable to deposits under this subsection, and for the purposes of this subsection Ihe references in such subsection (f) and such last sentence to the prepayments and the pro rata shares therein mentioned shall be deemed instead to be references respectively to the deposits under this subsection and the pro rata shares of the holders thereof, and the references in such subsection (f) to that subsection (except the last such reference) and to subsection (d) of this section shall be deemed instead to be references to this subsection."

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 79

STAT.]

PUBLIC LAW 89-118-AUGUST11, 1965

509

FEDERAL RESERVE ACT

SEC. 1111. Section 24 of the Federal Eeserve Act is amended by striking out "eighteen months", wherever it appears in the third paragraph, and inserting in lieu thereof "twenty-four months".

Jjus^ca^?^^'

R E P A Y M E N T OP CERTAIN P L A N N I N G GRANTS

SEC. 1112. Notwithstanding any other provision of law, no advance made under section 501 of Public Law 458, Seventy-eighth Congress; Public Law 352, Eighty-first Congress; or section 702, Housing Act of 1954, Public Law 560, Eighty-third Congress, for the planning of any public works project shall be required to be repaid if construction of such project has been heretofore or is hereafter initiated as a result of a grant-in-aid made from an allocation made by the President under the Public Works Acceleration Act.

58 Stat. 791. 50 USC app. 1671. 63 Stat. 841. 40 USC 45 1-458, 69 Stat. 641. 40 USC 462. 76 Stat. 541. 42 USC 2641 note.

STUDY C O N C E R N I N G R E L I E F OF H O M E O W N E R S I N P R O X I M I T Y TO AIRPORTS

SEC. 1113. The Housing and Home Finance Administrator shall undertake a study to determine feasible methods of reducing the economic loss and hardship sujffered by homeowners as the result of the depreciation in the value of their properties following the construction of airports in the vicinity of their homes, including a study of feasible methods of insulating such homes from the noise of aircraft. Find- ident^and^ccn-^^" ings and recommendations resulting from such study shall be reported gress. to the President for transmission to the Congress at the earliest practicable date, but in no event later than one year after the date of the enactment of this Act. Approved August 10, 1965.

Public Law 89-118 AN ACT

August 11, 1965

To expand, extend, and accelerate the saline water conversion program conducted by the Secretary of the Interior, and for other purposes.

^^^' ^^ "^

Be it enacted by the Senate and House of Representatives of the Saline water United States of America in Congress assembled, That in order to conversion proexpand, extend, and accelerate the saline water conversion program gra'm.^ conducted by the Secretary of the Interior, the Act of July 3, 1952 (66 Stat. 328), as amended (42 U.S.C. 1951 et seq.), is hereby further ^s Stat. 628 amended as follows: (1) I n section 2(b) add the words ", module, component," after the word "laboratory". (2) In section 8 substitute "$90,000,000, plus such additional sums as the Congress may hereafter authorize and appropriate but not to exceed $185,000,000," in lieu of "$75,000,000 in all,^' and substitute "1972" for "1967". Approved August 11, 1965.

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 PUBLIC LAW 89-119-AUGUST 12, 1965

510

[79 STAT.

Public Law 89-119 August 12, 1965

'- '

' ^

-'

Herbert Hoover National Historic Site, Iowa. Establishment.

16 USC 1 et seq. 16 USC 461-467. Appropriation.

AN

ACT

To establish the Herbert Hoover National Historical Site in the State of Iowa.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That, in order to preserve in public ownership historically significant properties associated with the life of Herbert Hoover, the Secretary of the Interior may acquire the necessary acres of land or interests in land (including scenic easements) in or near West Branch, Iowa, by donation, purchase with donated or appropriated funds, transfer from a Federal agency, or otherwise. Such property shall be known as the Herbert Hoover National Historic Site. SEC. 2. The Secretary of the Interior and the Administrator of General Services may enter into agreements which provide for the— (1) transfer of lands and other property, except the Herbert Hoover Library building, from the administrative control of the Administrator to that of the Secretary without transfer of funds; and (2) use by the Administrator of portions of facilities constructed by the Secretary. SEC. 3. The Secretary shall administer the Herbert Hoover National Historic Site in accordance with the Act approved August 25, 1916 (39 Stat. 535), as amended and supplemented, and the Act approved August 21, 1935 (49 Stat. 666). SEC. 4. There are authorized to be appropriated not more than $1,650,000 for land acquisition and development in connection with the Herbert Hoover National Historic Site as provided in this Act. Approved August 12, 1965.

Public Law 89-120 August 13, 1965 [S. 579]

State of New Hampshire. Payment of claim.

AN ACT For the relief of the State of New Hampshire.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Treasury is authorized and directed to pay, out of any money in the Treasury not otherwise appropriated, to the State of New Hampshire the sum of $23,292.50. The payment of such sum shall be in full satisfaction of all claims of the State of New Hampshire against the United States on account of judgments rendered against such State in connection with personal injury and property damage caused by the collision between a private automobile and an Army truck which was owned by the United States and which was, at the time of such collision (August 16, 1958), being operated by a member of the New Hampshire National Guard in Canton, Massachusetts, Public Highway Route 138, while on active duty for training mission authorized by the National Guard Bureau, Department of Defense: Provided, That no part of the amount appropriated in this Act shall be paid or delivered to or received by any agent or attorney on account of services rendeijed in connection with this claim, and the same shall be unlawful, any contract to the contrary notwithstanding. Any person violating the provisions of this Act shall be deemed guilty of a misdemeanor and upon conviction thereof shall be fined in any sum not exceeding $1,000. Approved August 13, 1965.

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 79 STAT.]

PUBLIC LAW 89-121-AUGUST 13, 1965

511

Public Law 89-121 AN ACT August 13, 1965 T(» amend the Coninuuiicatious Act of 1934 to conform to the Convention for the [H. R. 7954] Safety of Life a t Sea, London (1960).

Be it enacted by the S-enate and House of Representatives of the Communications United States of America in Congress assembled, That section 3 of the Act of 1934, (Communications Act of 1934, as amended (47 U.S.C. 153), is amended amendment as follows: _ so Stat. i89. (1) Subsection (w) is amended by adding the following new para- ^definitions. graph at the end thereof: "(5) 'Nuclear ship" means a ship provided with a nuclear powerplant." (2) Subsection (x) is amended to read as follows: "(x) 'Radiotelegraph auto alarm' on a ship of the United States subiect to the provisions of part II of title III of this Act means an ^o%^^l^^n}?^6 <• J

.

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1

1

T

i

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Stat. 704;

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automatic alarm rece<!vnig apparatus which responds to the radiotele- pp. 512-517. graph alarm signal and has been approved by the Commission. 47 USC 351-362. 'Radiotelegraph auto alarm' on a foreign ship means an automatic alarm receiving apparatus which responds to the radiotelegraph alarm signal and has been approved by the government of the country in which the ship is registered: Provided, That the United States and the country in which the ship is registered are parties to the same treaty, convention, or agreement prescribing the requirements for such apparatus. Nothing in this Act or in any other provision of law shall be construed to require the recognition of a radiotelegraph auto alarm as complying with part II of title III of this Act, on a foreign ship subject to such part, where the country in which the ship is registered and the United States are not parties to the same treaty, convention, or agreement prescribing the requirements for such apparatus." (3) Subsection (y) is amended to read as follows: " (y)(1) 'Operator" on a ship of the United States means, for the purpose of parts II and III of title III of this Act, a person holding a ^° use 381-386 radio operator's license of the proper class as prescribed and issued by the Commission. "(2) 'Operator' on a foreign ship means, for the purpose of part II of title III of this Act, a person holding a certificate as such of the proper class complying with the provisions of the radio regulations annexed to the International Telecommunication Convention in ^^ ^^^ ^'^^• force, or complying with an agreement or treaty between the United States and the country in which the ship is registered." (4)(A) Subsections (aa) through (dd) are redesignated as subsec- 68^s^tat*^707^V29 tions (bb) through (ee), respectively; (B) subsections (ee) and (ff) are repealed; (C) subsection {^g) is redesignated as subsection (ff); (D) subsection (z) is redesignated as subsection (aa); and (E) the following new subsection is inserted immediately after subsection (y): "(z)(1) 'Radio officer' on a ship of the United States means, for the purpose of part II of title III of this Act, a person holding at least a first or second class radiotelegraph operator's license as prescribed and issued by the Commission. When such person is employed to operate a radiotelegraph station aboard a ship of the United States, he is also required to be licensed as a 'radio officer' in accordance with the Act of May 12, 1948 (46 U.S.C. 229a-h). ^2 Stat. 232. "(2) 'Radio officer' on a foreign ship means, for the purpose of part II of title III of this Act, a person holding at least a first or second

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 512

12 usT 1761. 68^stat^*704^^' 47 USC 351.

47 USC 352.

PUBLIC LAW 89-121-AUGUST 13, 1965

[79 STAT.

class radiotelegraph operator's certificate complying" \vith the provisions of the radio regulations annexed to the International Telecommunication Convention in force."' SEC. 2. (a) The heading of section 351 of the Communications Act ^^ "^^^^ ^^ amended to read as follows: " S H I P RADIO STATIONS AND OPERATIONS".

(b) Subsection (a) of such section 351 is amended to read as follows: u ^^^ Except as provided in section 352 hereof it shall be unlawful— "(1) For any ship of the United States, other than a cargo ship of less than three hundred gross tons, to be navigated in the open sea outside of a harbor or port, or for any ship of the United States or any foreign country, other than a cargo snip of less than three hundred gross tons, to leave or attempt to leave any harbor or port of the United States for a voyage m the open sea, unless such ship is equipped with an efficient radio station in operating condition, as specified by subparagraphs (A) and (B) of this paragraph, in charge of and operated by one or more radio officers or operators, adequately installed and protected so as to insure proper operation, and so as not to endanger the ship and radio station as hereinafter provided, and, in the case of a ship of the United States, unless there is on board a valid station license issued in accordance with this Act. " (A) Passenger ships irrespective of size and cargo ships of one thousand six hundred gross tons and upward shall be equipped with a radiotelegraph station complying with the provisions of this part; " (B) Cargo ships of three hundred gross tons and upward but less than one thousand six hundred gross tons, unless equipped with a radiotelegraph station complying with the provisions of this part, shall be equipped with a radiotelephone station complying with the provisions of this part. "(2) For any ship of the United States of one thousand six hundred gross tons and upward to be navigated in the open sea outside of a harbor or port, or for any such ship of the Laiited States or any foreign country to leave or attempt to leave any harbor or port of the United States for a voyage in the open sea, unless such ship is equipped with efficient radio direction finding apparatus approved by the Commission, properly adjusted in operating condition as hereinafter provided."* SEC. 3. (a) Subsection (a) of section 352 of the Communications Act of 1934 is amended by striking out paragraph (6) and inserting after paragraph (5) thereof the following new paragraphs: "(6) A ship navigating solely on any bays, sounds, rivers, or protected waters within the jurisdiction of the United States, or to a ship leaving or attempting to leave any harbor or port of the United States for a voyage solely on any bays, sounds, rivers, or protected waters within the jurisdiction of the United States; " (7) A ship navigating solely on the Great Lakes of North America and the River Saint Lawrence as far east as a straight line drawn from Cap des Rosiers to West Point, Anticosti Island, and, on the north side of Anticosti Island, the sixty-third meridian, or to a ship leaving or attempting to leave any harbor or port of the United States for a A'oyage solely on such waters and within such area; "(8) A ship which is navigated during the course of a voyage both on the Great Lakes of North America and in the open sea, during the period while such ship is being navigated within the Great Lakes of

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 79 STAT.]

PUBLIC LAW 89-121-AUGUST 13, 1965

North America and their connecting and tributary waters as far east as the lower exit of the Saint Lambert lock at Montreal in the Province of Quebec, Canada." (b) Subsection (b) of such section 352 is amended by striking out 4° u'sc 352^" all through paragraph (1) and inserting in lieu thereof the following: " (b) Except for nuclear ships, the Commission may, if it considers that the route or the conditions of the voyage or other circumstances are such as to render a radio station unreasonable or unnecessary for the purposes of this part, exempt from the provisions of this part any ship or class of ships which falls within any of the following descriptions: " (1) Passenger ships which in the course of their voyage do not go more than twenty nautical miles from the nearest land or, alternatively, do not go more than two hundred nautical miles between two consecutive ports;" (c) Such section 352 is further amended by adding at the end thereof the following new subsection: " (d) Except for nuclear ships, and except for ships of five thousand gross tons and upward which are subject to the Safety Convention, the ^6 UST iss. Commission may exempt from the requirements, for radio direction finding apparatus, of this part and of the Safety Convention, any ship which falls within the descriptions set forth in paragraphs (1), (2), (3), and (4) of subsection (b) of this section, if it considers that the route or conditions of the voyage or other circumstances are such as to render such apparatus unreasonable or unnecessary." SEC. 4. Section 353 of the Communications Act of 1934 is amended 4^ ^^^ ^^^' to read as follows: "RADIO OFFICERS, W^VTCHES, AUTO ALARM-RADIOTELEGRAPH EQUIPPED SHIPS

"SEC. 353. (a) Each cargo ship which in accordance with this part is equipped with a radiotelegraph station and which is not equipped with a radiotelegraph auto alarm, and each passenger ship required by this part to be equipped with a radiotelegraph station, shall, for safety purposes, carry at least two radio officers. " (b) A cargo ship which in accordance with this part is equipped with a radiotelegraph station, which is equipped with a radiotelegraph auto alarm, shall, for safety purposes, carry at least one radio officer who shall have had at least six months' previous service in the aggregate as a radio officer in a station on board a ship or ships of the United States. "(c) Each ship of the United States which in accordance with this part is equipped with a radiotelegraph station shall, while being navigated in the open sea outside of a harbor or port, keep a continuous watch by means of radio officers whenever the station is not being lised for authorized traffic: Provided, That, in lieu thereof, on a cargo ship equipped with a radiotelegraph auto alarm in proper operating condition, a watch of at least eight hours per day, in the aggregate, shall be maintained by means of a radio officer. " (d) The Commission shall, when it finds it necessary for safety purposes, have authority to prescribe the particular hours of watch on a ship of the United States which in accordance with this part is equipped with a radiotelegraph station. "(e) On all ships of tTie United States equipped with a radiotelegraph auto alarm, said apparatus shall be in operation at all times while the ship is being navigated in the open sea outside of a harbor or port when the radio officer is not on watch."

513

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 514 5^ f,in Ic^'

PUBLIC LAW 89-121-AUGUST 13, 1965

[79 STAT.

SEC. 5. Section 354 of the Communications Act of 1934 is amended to read as follows: " O P E R A TO R S, W A T C H E S — R A D I O TELEPHONE EQUIPPED SHIPS

354. (a) Each cargo ship which in accordance with this part is equipped with a radiotelephone station shall, for safety purposes, carry at least one operator who may be the master, an officer, or a member of the crew. "(b) Each cargo ship of the United States which in accordance with this part is equipped with a radiotelephone station shall, while being navigated in the open sea outside of a harbor or port, maintain continuous watch whenever the station is not being used for authorized traffic." SEC. H. Section 355 of the Communications Act of 1934 is amended to read as follows: "'SEC.

47 USC 354.

" T E C H N I C A L REQUIREMENTS—RADIOTELEGRAPH EQUIPPED SHIPS

Ante, p. 512.

"SEC. 355. The radiotelegraph station and the radio direction finding apparatus required by section 351 of this part shall comply with the following requirements: " (a) The radiotelegraph station shall include a main installation and a reserve installation, electrically separate and electrically independent of each other: Provided, That, in installations on cargo ships of three hundred gross tons and upward but less than one thousand six hundred gross tons, and in installations on cargo ships of one thousand six hundred gross tons and upward installed prior to November 19, 1952, if the main transmitter complies with all the requirements for the reserve transmitter, the latter may be omitted. "(b) The radiotelegraph station shall be so located that no harmful interference from extraneous mechanical or other noise will be caused to the proper reception of radio signals, and shall be placed in the upper part of the ship in a position of the greatest possible safety and as high as practicable above the deepest load waterline. The location of the radiotelegraph operating room or rooms shall be approved by the Commandant of the Coast Guard. The radiotelegraph installation shall be installed in such a position that it will be protected against the harmful effects of water or extremes of temperature, and shall be readily accessible both for immediate use in case of distress and for repair. "(c) The radiotelegraph operating room shall be of sufficient size and of adequate ventilation to enable the main and reserve radiotelegraph installations to be operated efficiently, and shall not be used for any purpose which will interfere with the operation of the radiotelegraph station. The sleeping accommodation of at least one radio officer shall be situated as near as practicable to the radiotelegraph operating room. I n ships the keels of which are laid on or after May 26, 1965, this sleeping accommodation shall not be within the radiotelegraph operating room. " (d) The main and reserve installations shall be capable of transmitting and receiving on the frequencies, and using the classes of emission, designated by the Commission pursuant to law for the purposes of distress and safety of navigation.

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text: Appletons' Cyclopædia of American Biography/Möllhausen, Balduin


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 79 STAT.]

PUBLIC LAW 89-121-AUGUST 13, 1965

"(e) The main and reserve installations shall, when connected to the main antenna, have a minimum normal range of two hundred nautical miles and one hundred nautical miles, respectively; that is, they must be capable of transmitting and receiving clearly perceptible signals from ship to ship by day and under normal conditions and circumstances over the specified ranges. " (f) Sufficient electrical energy shall be available at all times to operate the main installation over the normal range required by subsection (e) of this section as well as for the purpose of charging any batteries forming part of the radiotelegraph station. " (g) The reserve installation shall include a source of electrical energy independent of the propelling power of the ship and of any other electrical system and shall be capable of being put into operation rapidly and of working for at least six continuous hours. The reserve source of energy and its switchboard shall be as high as practicable in the ship and readily accessible to the radio officer. " (h) There shall be provided between the bridge of the ship and the radiotelegraph operating room, and between the bridge and the location of the radio direction finding apparatus, when such apparatus is not located on the bridge, an efficient two-way system for calling and voice communication which shall be independent of any other communication system in the ship. "(i) The radio direction finding apparatus shall be efficient and capable of receiving signals with the minimum of receiver noise and of taking bearings from which the true bearing and direction may be determined. It shall be capable of receiving signals on the radiotelegraph frequencies assigned by the radio regulations annexed to the International Telecommunication Convention in force for the purposes of distress, direction finding, and maritime radio beacons, and, in installations made after May 26, 1965, such other frequencies as the Commission may for safety purposes designate.'" SEC. 7. Section 356 of the Communications Act of 1934 is amended to read as follows:

515

'^ "^^ ^^^^•

J^ us'c 35 43 ^*^.

" T E C H N I C A L REQUIREMENTS—RADIOTELEPHONE EQUirPED SHIPS

"SEC. 356. Cargo ships of three hundred gross tons and upward but less than one thousand six hundred gross tons may, in lieu of the radiotelegraph station prescribed by section 355, be equipped with a radiotelephone station complying with the following requirements: " (a) The radiotelephone station shall be in the upper part of the ship, so located that it is sheltered to the greatest possible extent from noise which might impair the correct reception of messages and signals, and, unless such station is situated on the bridge, there shall be efficient communication with the bridge. "(b) The radiotelephone installation shall be capable of transmitting and receiving on the frequencies, and using the classes of emission, designated by the Commission pursuant to law for the purposes of distress and safety of navigation. "(c) The radiotelephone installation shall have a minimum normal range of one hundred and fiitj nautical miles; that is, it shall be capable of transmitting and receiving clearly perceptible signals from ship to ship by day and under normal conditions and circumstances over this range.

Ante, p. 514.

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