suits arising in connection with such movements will also be determined under existing law. The intent of the section is to permit a shipper or carrier to assert with respect, to a claim concerning a movement under a joint rate the same rights and remedies wihch would have been available if the shipment had moved under separate tariffs established by existing laws.

Section 11. International Cooperation; Reports. This section directs the Secretary of Transportation, in consultation with the interested agencies and the Secretary of State, to facilitate international transportation of goods, and to report to the Congress from time to time on the use of joint rates and the facilitation of international movements.

Section 12. Effect on Existing Law. This section states that this Act is intended to supplement the jurisdiction and authority each agency has. Where provisions of the Interstate Commerce Act, the Federal Aviation Act or the Shipping Act, 1916, are clearly inconsistent with this Act they will be deemed to be changed by this Act. The agencies are directed to exercise their existing authority so as to implement the policy expressed in this Act.

Section 13. Amendments. This section amends two sections of the Federal Aviation Act of 1958: the first concerns establishment of through service and joint rates between air carriers and carriers subject to the Interstate Commerce Commission pursuant to section 1003 to restrict its future application to interstate transportation of property. The other amends section 412 (b) of the Federal Aviation Act to make it clear that air freight forwarders may enter into the joint rates encouraged by this Act. This is similar to the kind of clarification of the role of surface forwarders conveyed by section 4 (b) of this Act. Section 14. Effective Date. Makes the Act effective ninety days after enactment to permit the regulatory agencies to promulgate necessary implementing rules and regulations. The agencies are required to publish regulations for the filing of tariffs by the effective date.

Section 13. Amendments. (a) Section 1003 of the Federal Aviation Act of 1958, as amended (49 U. S. C. 1483), is amended by adding the following subsection at the end thereof:

"(f) This section does not apply to joint rates for international transportation of property; however, joint rates for international transportation of property established and filed under this section before the effective date of this amendment are not affected."

(b) Section 412 (b) of the Federal Aviation Act of 1958, as amended 49 U.S.C. 1382(b)), is amended by inserting, immediately before the word "between," the following:

"(other than an agreement relating to joint rates for international transportation of property)."

Section 14. Effective Date.

This Act shall be effective ninety days after the date of enactment. Not later than the effective date, the agencies shall publish rules for the filing of tariffs.

NEW VOLUME OF ICC REPORTS NOW AVAILABLE

Volume 98 M.C.C. of the Interstate Commerce Commission reports, containing operating rights decisions affecting motor carriers is now on sale at the Government Printing Office.

The cloth bound volume may be ordered for $4.00 (Cat. No. IC.1 mat. 8:98) from the Superintendent of Documents, United States Government Printing Office, Washington, D. C. 20402, with check or money order payable to the Superintendent of Documents.

DEPARTMENT OF TRANSPORTATION

WILLIAM L. SLOVER, Editor

1. Proceedings

Inside the Department

Hazardous Materials Board. The Department's Hazardous Materials Board is in the process of evolving rules of practice and procedure for proceedings before the Board. The Board's jurisdiction includes the functions formerly handled by the Federal Aviation Administration (air carriers), the United States Coast Guard (certain water carriers) and the Interstate Commerce Commission (rail & motor). Since the procedural rules of these former agencies imposed differing requirements, the Board seeks to create uniform rules. Preliminary comments have been received from interested parties and an oral hearing was held in Washington on March 19, 1968. The Board contemplates future publication of the rules in the Federal Register for final comment.

Tire Standards. The Bureau of Motor Carrier Safety, Federal Highway Administration is currently evaluating standards and requirements relating to tire tread depths and the use of regrooved tires by interstate motor carriers of freight and property. Comments have been solicited from interested parties and road tests have been conducted in conjunction with the Bureau of Standards. Final rules await publication in the Federal Register.

Annual Report for Private Carriers. The Bureau of Motor Carrier Safety is also reaching the final stages of its consideration of annual reporting requirements for private carriers who transport hazardous materials. The Bureau is designing a uniform Annual Report Form for these motor carriers who have heretofore been free of any regular reporting requirements.

2. Projects

Trans-Oceanic Cargo Study. The Department's Office of Economics has embarked on a mammoth research project to probe every aspect and dimension of the trans-oceanic movement of freight. The study is designed to formulate guides and projections that will aid importers, exporters, transportation companies, equipment manufacturers, municipalities, port authorities, and others responsible for the development of transportation facilities to plan their activities on a basis that is consistent with the national outlook. The Department in announcing the two year study ascribed to it the following objectives:

1. To forecast (a) the transportation demand derived from U.S. transoceanic commerce, 1970, 1975, 1980, (b) the competitive level of various modes in terms of total "distribution" or "ownership" costs, (c) the probable modal split of estimated total transportation demand based on relative distribution or ownership cost, (d) the share of total demand by mode accruing to U.S. Flag carriers on at least two alternative assumptions as to U.S. Merchant Marine policy, and (e) probable U.S. transportation investment requirements attendant upon the alternative modal distributions forecast in (d) above, subject to further alternative hypothesis concerning construction for U.S. carriers in U.S. or foreign yards.

2. To develop computerized systems which can be used to continuously reevaluate and upgrade the above forecasts.

In discussing the immediate need for a study of this type, the Department stated:

Technological developments in transportation systems such a.s "jumbo-jets," high speed surface effect ships, and containerized automated, and nuclear powered ships, etc. are forcing reevaluation of the utilization of conventional break-bulk cargo ships. Simultaneous developments which combine new communication techniques, electronic data processing, automated materials handling procedures and containerization introduce a scientific note into physical distribution methods. Systems analysis procedures such as mathematical modeling, computer simulation, and gaming techniques provide management with increasingly sophisticated tools for making modal choice selections that involve the new transportation technology. The magnitude of the potential impact of these developments on existing institutions and the speed with which such impact is likely to come, exert compelling pressure for utilizing correspondingly modern forecasting and estimating techniques as aids in determining potential changes in the government's roles.

Most previous attempts at detailed transportation forecasts have not been noted for their accuracy. This research is an attempt to improve the situation by combining forecasting methodology, modern distribution theory, market analysis techniques and automatic data processing in a systems approach, hoping to produce more reliable results and to develop methodology that will permit continuous updating of forecasts when necessary.

Transportation of the Handicapped. Preliminary analysis by the Department's Office of Economics reveals that thirty million (30,000,000) Americans are physically handicapped. The mobility problems of this segment of our population have received only sporadic consideration in the design and operation of transportation facilities. In a research study now in process, the Department is formulating a set of guidelines for use by transportation planners and operators to meet the requirements of the handicapped. In announcing the study, the Department stated:

Transportation provides access to the community and its activities. To the extent that it is unavailable to any group, that group is denied full participation in the society. The transportation system as we know it today either completely shuts out or unreasonably restricts one particular element in our society-those whose physical capacities are significantly below the fully-functioning individual. Transportation systems have been designed for those in the positive state of "good health". There is a need to make our planning processes more sophisticated and/or humanly responsive in order to account for the broad range of physical capacities actually present in the population. There is also a need for a more vivid grasp of the transportation needs of the handicapped.

Outside the Department

Recents months have witnessed an increasing level of participation by the Department in regulatory proceedings before other transportation agencies. The Department has become a party in eighteen proceedings before the ICC, CAB, and FMC.

Motor Carrier General Rate Increases. Most recently the Department has taken a vigorous position before the ICC Board of Suspension in opposition to rate increases published by several motor carrier rate bureaus. The Department has assailed the utility and relevance of the Commission's basic techniques for evaluating such requests and especially its reliance on operating ratios to assess rate reasonableness and revenue requirements. Instead the Department urges that the Commission should gauge the industry's need for increased revenues against standards such as the rate of return on investment which it alleges are more reliable indicators of the true need for additional revenues.

Remembering that the Department's last action with regard to motor carrier rate increases merely took the form of a disapproving letter to the Commission, the current challenge is regarded as significant in that it may mark the beginning of a new force in carrier rate litigation. This is especially true in light of the fact that the National Industrial Traffic League, which has traditionally opposed such increases on behalf of the shipping public has taken no position on the Pacific Inland, Middlewest, Middle Atlantic and New England proposals.

Grain by Rent a Train. (No. 34905). The Department has come out in favor of Illinois Central's new rent a train rates. The Department contends that wholesaling by the railroad industry is a needed as well as healthy development. The Department intends to offer expert economic witnesses during the investigation hearings who will amplify its position. As an aside, it is interesting to note that the Department of Justice does not view these rates with the same enthusiasm.