APPENDIX JUNE 19, 1948. ORDER APPOINTING SUBCOMMITTEE ON COMMUNICATIONS To: Senators Charles W. Tobey and Ernest W. McFarland. Re: Appointment of subcommittee to study communications matters. GENTLEMEN: In view of the fact that the Senate Committee on Interstate and Foreign Commerce, after extended hearings on S. 1333, has issued a report recommending certain amendments to the Communications Act of 1934, as amended; and in view of the further fact that it now appears unlikely that final action will be taken on these recommendations by the present Congress; and because it appears desirable that these and other legislative proposals should be considered at the earliest possible date by this committee and the Congress, I deem it advisable that additional information be procured concerning certain aspects of the operations of the Federal Communications Commission and concerning our statutory law and our international commitments. I am, therefore, today naming a subcommittee of the Senate Committee on Interstate and Foreign Commerce, consisting of Senators White (chairman), Tobey, and McFarland, which subcommittee, under the terms of the Congressional Reorganization Act, is authorized and directed to study both our domestic and foreign problems, and specifically: 1. The manner in which the Federal Communications Commission has been exercising its licensing authority with respect to radio applications; 2. The extent to which the Commission examines the qualifications of applicants for licenses or renewals of licenses in order to determine that only qualified persons are licensed to operate radio stations; 3. The extent to which the Federal Communications Commission examines the operations or proposed operations of radio stations in order to assure that such stations have been or will be operated in the public interest; 4. The problems presented by requirements of international treaties and conventions in relation to such revisions as may be necessary in the Communications Act of 1934; 5. The problems relating to American carriers operating in the domestic and international fields, including the relationship of these problems to the national security of the United States; and 6. The problems arising from unprecedented demands for frequencies for safety and special services and common-carrier uses, including new industrial uses, aviation, railroads, busses, trucks, taxicabs, and other uses. Pursuant to the Congressional Reorganization Act, the subcommittee is authorized to hold such hearings, summon such witnesses by subpena or otherwise, procure such books, papers, and documents, and make such expenditures, authorized by the chairman, as it deems necessary and advisable to carry out the purposes of the investigation and study. The subcommittee shall report to the Senate as soon after January 3, 1949, as is practicable, with such recommendations as it deems desirable for changes in the Communications Act of 1934, as amended Sincerely yours. WALLACE H. WHITE, Jr., Chairman. AUGUST 5, 1948. The tentative agenda adopted by the subcommittee follows: 1. Commission procedure and broadcast problems: A. Preliminary survey of Commission operations by a member or members of committee. 1. Prepare outline of organization, functions, personnel, and work load of Commission. 2. Outline of Commission's procedure in handling applications for 4. Survey of influence and pressures exerted within industry and on (a) Survey by committee through series of consultations B. Prepare report and recommendations, with specific attention to legislative recommendations, section by section, re Commission organization, procedures, and policies. II. Common-carrier problems: A. International carriers. 1. Bring up to date committee's study on American international carriers and their problems, re regulatory policies, financial conditions of carriers, question of merger, adequacy from defense standpoint. 2. Series of consultations by committee members with (a) officials of international carriers; (b) communications experts of armed services; and (c) survey of American communication facilities and arrangements with foreign carriers in all countries of this hemisphere. 3. Prepare report on above, making recommendations for legislation and correlating with report under I-B. B. Domestic carriers. 1. Initiate study, securing Commission views and experience, of situation and problems of domestic carriers, degree of competition; survey of regulatory practices and policies, particularly with respect to where State jurisdiction begins or should begin; accounting practices; prices of telephone equipment; effect on to!l charges; licensing contracts; telegraph problems, specifically those of Western Union; telegraph service; what should be done about Western Union cables. 2. Series of consultations by committee members with officials of telephone and telegraph carriers. 3 Prepare report on above, outlining findings and making legislative recommendations, correlating with report on II-A (3) and I-B. S. Repts., 81-1, vol. 1-45 III. Treaties and conventions: A. Obtain outline of pertinent facts contained in all international tele- 2. Consultations by committee members with State Depart- 3. Prepare report on findings, with recommendations on points covered in (1) and (2). IV. Secrecy of communications: A. Hearings by committee (possibly executive) to learn from armed forces, Commission, State Department, and Justice Department officials the policy re wire-tapping, extent to which private communications are to be private. 1. Prepare report on above, with specific legislative recommen dations. CLARIFYING THE PROVISIONS OF SECTION 602 (U) OF THE NATIONAL SERVICE LIFE INSURANCE ACT OF 1940, AS AMENDED FEBRUARY 10, 1949.-Ordered to be printed Mr. GEORGE, from the Committee on Finance, submitted the following REPORT To accompany S. 461' The Committee on Finance, to whom was referred the bill (S. 461) to clarify the provisions of section 602 (u) of the National Service Life Insurance Act of 1940, as amended, having considered the same, report favorably thereon without amendment, and recommend that the bill do pass. PURPOSE OF THE BILL The purpose of the bill is to make it clear that as to insurance maturing on or after August 1, 1946, in cases where the beneficiary could not have elected to receive in a lump-sum settlement, any accrued installments on such insurance not paid to such beneficiary during his lifetime shall be paid to the estate of the insured rather than to the estate of the beneficiary. APPROVAL OF BILL Communications received from the American Legion, Veterans of Foreign Wars, Disabled American Veterans, American Veterans of World War II (AMVETS), and the Regular Veterans Association state that they are in accord with the purpose of the bill. COST OF THE BILL This legislation was recommended by the Veterans' Administration and approved by the Bureau of the Budget. It would not involve any additional cost and would lessen the probability of future litigation in insurance matters. GENERAL STATEMENT The existing law and veterans regulations provide that payment will be made to the estate of the insured in cases: (1) Where no beneficiary is designated by the insured. (2) Where the beneficiary does not survive the insured. (3) Where a designated beneficiary not entitled to lump-sum settlement (insured did not designate such payment) survives the insured and dies before receiving all benefits due and payable, the remaining unpaid amounts go to the estate of the insured. Changes in the present law by this bill are shown by the following comparison: (u) PORTION OF SECTION 602 (U) (Changed language in black brackets. PRESENT LAW *; and in any case in which no beneficiary is designated by the insured, or the designated beneficiary does not survive the insured, or a designated beneficiary not entitled to [choose] a lump-sum settlement survives the insured, and dies before receiving all the benefits due and payable, the commuted value of the [insurance remaining unpaid] shall be paid in one sum to the estate of the insured. New language in italics) S. 461 (u) * * *; and in any case in which no beneficiary is designated by the insured, or the designated beneficiary does not survive the insured, or a designated beneficiary not entitled to (omits "choose") a lump-sum settlement survives the insured, and dies before receiving all the benefits due and payable, the commuted value of the remaining unpaid insurance (whether accrued or not) shall be paid in one sum to the estate of the insured. The letter from the Administrator of Veterans' Affairs requesting this legislation is as follows: Hon. ARTHUR H. VANDENBERG, SEPTEMBER 13, 1948. Washington 25, D. C. Dear Mr. PrESIDENT: There is transmitted herewith draft of a proposed bill to clarify the provisions of section 602 (u) of the National Service Life Insurance Act of 1940, as amended, with the request that it be introduced and considered for enactment. The purpose of the proposed legislation is to amend section 602 (u) of the National Service Life Insurance Act of 1940, as amended, to make it clear that as to insurance maturing on or after August 1, 1946, which the beneficiary could not have elected to receive in a lump-sum settlement, any accrued installment or installments of such insurance not paid to such beneficiary during his or her lifetime shall be paid to the estate of the insured rather than to the estate of the beneficiary Section 602 (u) of the act presently provides: "(u) With respect to insurance maturing on or subsequent to the date of enactment of the Insurance Act of 1946, in any case in which the beneficiary is entitled to a lump-sum settlement but elects some other mode of settlement and dies before receiving all the benefits due and payable under such mode of settlement, the present value of the remaining unpaid amount shall be payable to the estate of the beneficiary; and in any case in which no beneficiary is designated by the insured, or the designated beneficiary does not survive the insured, or a designated beneficiary not entitled to choose a lump-sum settlement survives the insured, and dies before receiving all the benefits due and payable, the commuted value of the insurance remaining unpaid shall be paid in one sum to the estate of the insured: Provided, That in no event shall there be any payment to the estate of the insured or of the beneficiary of any sums unless it is shown that any sums paid will not escheat." |