Section 7 (b) Written proposals to contain (1) identification of principal for whom proposal is mad including business affiliations; (2) plants to be purchased and order of preference; (3) arrangements for supply of feedstock and disposal products of plants; (4) amount proposed to be paid and financial arrangement (5) terms purchaser of copolymer plants would accept to mal products of plants available to small business and terms purchas of butadiene or styrene facility would accept to make produc of plants available to purchasers of copolymer plants; and (6) other information Commission requires including pu chaser's acceptance of national security clause requirements. Section 7 (c) If needed in disposal program, Commission may disclose propos contents after end of time for submitting proposals. Section 7 (d) Deposit of cash or Federal bonds of face amount equal to 21⁄2 perce of amount to be paid to accompany proposals, but deposit not exceed $250,000 for each plant. If purchaser makes proposal several plants for purpose of buying only one, deposit is computed highest amount proposed to be paid for any one plant. Deposi returned to nonpurchasers at end of period for congressional review disposal plan. Deposits by purchasers are applied to purchase pric Cash equal to face amount of bonds to be substituted by purchas Section 7 (e) Purchase money mortgage up to 75 percent of price may be accepte Mortgage terms to be determined by negotiation but maturity cann exceed 10 years and mortgage note shall provide for periodic amortiz tion and uniform interest rate not less than 3 percent per year. Section 7 (f) At end of period for receiving proposals, Commission may negotia for sale of plants for period not exceeding 6 months, provided th President may extend period for additional 30 days, if desirable. Section 7 (g) Commission may secure additional information from persons su mitting proposals. Section 7 (h) Contracts of sale to contain national security clause to assu prompt availability of plants (or those with equal capacity) production of synthetic rubber and component materials for 10 ye after contract date. Section 7 (i) Contracts of sale are effective at end of period for congression review unless Congress disapproves Commission's report. Possessi of plants to be transferred as soon as practicable after effective date contracts and at least within a period ending 60 days after the e of the time for congressional review. Failure to transfer within t period is not a cause of rescission of contract. Section 7 G At end of transfer period, agency operating plants shall make no further sales of synthetic rubber and component materials except to dispose of stocks on hand. Section 7 (k) During 1 year after end of transfer period, agency operating plants shall offer stock on hand for sale to plant purchasers on basis prorated to capacity of plants, at prices determined under pricing policy prevailing at end of transfer period. If any eligible purchaser fails to buy his share of stock on hand they may be periodically offered to other eligible purchasers on similar prorated basis. Stocks unsold 1 year after transfer period shall be disposed of in manner deemed advisable by agency operating plants. Section 8 (a) At end of transfer period, agency operating plants is to cease production and the unsold plants be put in standby as soon as possible. These unsold plants may be transferred to GSA for handling under the National Industrial Reserve Act of 1948, or to any other agency designated by the President for administration as he shall direct. no plant in standby shall be operated to make rubber for the Government except under a further act of Congress; (2) no plant in standby, except alcohol-butadiene plants, shall be leased to make rubber; and (3) no plant in standby shall be sold for 3 years after end of the transfer period. In any later lease or sale, the Government agency having jurisdiction over the plants shall within 60 days before disposal, request advice from the Attorney General concerning antitrust situation. Attorney General to give such advice 45 days after request. Upon request Attorney General to be given necessary information by Government agency having jurisdiction over plants. Section 8 (b) Unexpended funds budgeted for standby and maintenance are transferred with unsold plants to agency assuming jurisdiction. Section 9 (a) Not more than 30 days after the end of negotiation period and not later than June 1, 1954, Commission to report to Congress (1) steps taken to obtain proposals and proposals received; (2) terms of sale contracts and Commission's recommendations; (3) why highest amount proposed was not accepted, if this be the case; (4) Attorney General's advice concerning disposals, if he wishes to include such advice; (5) standby program for unsold plants; (6) inventory report on Government stocks of synthetic rubber and component materials; (7) one-year Government research program for fiscal year following that in which transfer period ends; (8) names of persons representing Government or purchasers in negotiations and contracts for disposal. Section 9 (b) Report to be submitted to both Houses of Congress on same day Commission to proceed with disposal and other action outlined report unless either House disapproves report by resolution withi 30 days of continuous session of Congress after submission of repor Section 9 (c) In computing continuity of congressional session (1) continuity of session is considered broken only by adjour ment sine die; but (2) in computing the 30-day period, days on which eith House is not in session because of an adjournment of more tha 3 days to a day certain shall be excluded. Section 9 (d) No plant shall be sold or leased except under this act or under th Rubber Act of 1948, which permits sale or other disposition of of solete property or property not needed to produce the rated capacit of the plant to which it is charged. Section 9 (e) Sums required for foregoing purposes of act may be provided o of disposal proceeds. Annual budgets for necessary expenses sha be submitted under the Government Corporation Control Act of 194 Section 9 (f) Commission may lease alcohol-butadiene plants from 1 to 3 yea after obtaining Attorney General's advice as to antitrust situatio Such lease shall contain a national-security clause and a recaptu clause. Advice shall be requested from the Attorney General least 60 days before executing the lease. Attorney General shall giv his advice within 45 days after such request. Section 10 One year after transfer period for plants or thereafter as soon Congress convenes, President shall report to Congress concerning t Nation's rubber requirements and resources and the need for furth research by the Government Section 11 As used in this act, rubber-producing facilities do not include t Akron laboratory. Section 12 Final net proceeds from disposal go into miscellaneous receipts the Treasury. Section 13 Sales, leases, or other disposal previously made under the Rubb Act of 1948 shall not be affected by this act. Section 14 If Commission submits no report or if its report is disapproved either House of Congress, the Rubber Act of 1948 is extended March 31, 1956. If the Commission's report is not disapproved either House, the Rubber Act of 1948 terminates at the end of t period for transfer of the plants to private ownership (not more tha 60 days after the period for congressional review). Section 15 Thirty days after receiving proposals for purchase, the Commission shall report to Congress funds expended or obligated or upkeep of the rubber plants for which proposals have been suested. Such reports to be made monthly thereafter until Congress shall have permitted or disapproved disposal. Section 16 In negotiating for sale, Commission to use, as basis, the highest amount proposed to be paid for each plant, if it is a bona fide proposal submitted by a person competent to operate the plant (competency does not require prior experience). Using this basis the Commission may negotiate with any person who submitted a proposal on any facility and may recommend sale at that price which the Commission feels will carry out the purposes of the act. Section 17 Commission to use these criteria in arriving at recommendations for disposal- (1) Disposal program to be designed so as to best afford small business and nonpurchasers of plants opportunity to obtain a fair share of the plant's products at fair prices. (2) Purchaser has technical competence to operate plants, but prior experience not necessary. (3) Program to provide development of free competitive synthetic rubber industry, and not to permit anyone to possess unreasonable control over the industry. (4) Purchaser is acting in good faith and intends to operate the plants to produce synthetic rubber or component materials. (5) Full fair value for plants to be received by Government, considering the policy in section 2 of this act. (6) Disposal to be consistent with national security. (7) Plants to be sold to have aggregate annual capacity of at least 500.000 long tons of general purpose synthetic rubber (GR-S) and at least 43,000 long tons of butyl rubber. Section 18 Unless otherwise provided in this act. disposal of Government synthetic rubber plants is authorized despite provisions of Rubber Act of 1948. Section 19 Costs of Commission activities to be charged against operating income of Government rubber plants so long as synthetic rubber is produced for Government account in such plants, unless otherwise provided by this act. Section 20 Commission terminates 30 days after end of period for transferring plants to private ownership. Nothing to affect contracts previously made by Commission. President succeeds to Commission's duties in winding up its affairs. Section 21 Definitions: (a) synthetic rubber. (b) general-purpose rubber, tej rubber-producing facilities, (d) component materials, (e) standby condition, person, (g) operating agency, and (h) small business enterprise. Section 22 Section 20 of the Rubber Act of 1948 is amended to extend that act to September 1, 1954 (compare sec. 14 of this act providing for different termination dates hinging on success or failure of disposal plan). CHANGES IN EXISTING LAW In compliance with subsection (4) of rule XXIX of the Standing Rules of the Senate, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in brackets, new matter is printed in italics, existing law in which no change is proposed is shown in roman). RUBBER ACT OF 1948, AS AMENDED AN ACT To strengthen national security and the common defense by providing for the maintenance of a adequate domestic rubber-producing industry, and for other purposes Be it enacted by the Senate and House of Representatives of the United States o America in Congress assembled, That this Act may be cited as the "Rubber Ac of 1948." DECLARATION OF POLICY SEC. 2. It is the policy of the United States that there shall be maintained a all times in the interest of the national security and common defense, in addition to stockpiles of natural rubber which are to be acquired, rotated, and retaine pursuant to the Strategic and Critical Materials Stock Piling Act (Public La 520, Seventy-ninth Congress, approved July 23, 1946), a technologically advance and rapidly expandible rubber-producing industry in the United States of sufficien productive capacity to assure the availability in times of national emergency o adequate supplies of synthetic rubber to meet the essential civilian, military, and naval needs of the country. It is further declared to be the policy of the Congres that the security interests of the United States can and will best be served by the development within the United States of a free, competitive synthetic-rubbe industry. In order to strengthen national security through a sound industry it i essential that Government ownership of production facilities, Government produc tion of synthetic rubber, regulations requiring mandatory use of synthetic rubber and patent pooling be ended and terminated whenever consistent with nationa security, as provided in this Act. AUTHORITY TO EXERCISE CERTAIN CONTROLS OVER NATURAL RUBBER AND SYNTHETI RUBBER AND PRODUCTS CONTAINING NATURAL AND SYNTHETIC RUBBER an SEC. 3. To effectuate the policies set forth in section 2 of this Act, the Presiden is authorized to exercise allocation, specification, and inventory controls of natura rubber and synthetic rubber, and specification controls of product containing natural rubber and synthetic rubber notwithstanding any changes in the supply or estimated supply of natural rubber or synthetic rubber; and he sha exercise such controls by issuing such regulations as are required to insure (a) th consumption in the United States of general-purpose synthetic rubber in a specifie percentage of the combined total estimated annual consumption of natural rubbe and general-purpose synthetic rubber consumed within the United States (b) the consumption in the United States of any or all types of special-purpos synthetic rubber in specified percentages of the combined total estimated annua consumption of natural rubber, general-purpose synthetic rubber, and special purpose synthetic rubber consumed within the United States. Such percentage shall be established so as to assure the production and consumption of general purpose synthetic rubber and special-purpose synthetic rubber in quantitie determined by the President to be necessary to carry out the policy of section 2 c this Act, and the provisions of Public Law 520, Seventy-ninth Congress, approve July 23, 1946: Provided, That the minimum percentages established by th President shall result in a total annual tonnage consumption of synthetic rubbe of at least the amounts specified in section 5 (d) of this Act, and that any manda |