STATEMENT OF ROBERT LEWIS, TRANSPORTATION DIRECTOR, DISCIPLES OF CHRIST, INDIANAPOLIS, IND.

Mr. LEWIS. Thank you, Mr. Chairman. Today I appear before you representing the Disciples of Christ Churches, which includes nearly 2 million members. I would like to say that locally, we are known as the Christian Church. Technically, we are known as the Disciples of Christ. I have had the privilege of serving the past 3 years as a member of the Interchurch Transportation Committee composed of 22 church groups. The Disciples of Christ Churches would appreciate your sincere consideration of this legislation, amendment D of Senate bill S. 1119, sponsored by Senator Magnuson.

The leaders of our religious body strongly favor this permissive legislation which would allow the individual carriers, if desired, the right to offer free or reduced air fare to clergymen. It is the opinion of lay members within our churches who have spoken up on the subject that the religious life of our United States is of such importance at this time in the world history that every effort should be made to bring the benefits of religion to all parts of the country.

The legislation before you would make possible a greater mobility of clergy, providing that the air carriers themselves desired to reduce fare to those who qualify as ministers of religion.

In 1949 a major airline agreed to offer a reduced air fare for clergy travel, but such move was halted by action of the Civil Aeronautics Board which ruled that under the present law such a reduction was not allowable. The legislation before you would make such a reduction permissive and allow the individual carrier the right to make direct negotiations with religious representatives which would lead to proper and efficient administration of such reductions.

The airline industry is obviously satisfied that the air-tourist program of reduced rates, inaugurated some years ago has proved to be financially sound. As a matter of fact, Mr. Ralph S. Damon, president of Trans World Airlines said recently before the New York Society of Security Analysts that TWA has sharply increased its air tourist services. Tourist service now accounts for about one-third of the industry total, he said.

Any argument that a rate reduction to the clergy would mean_a loss in revenue is obviously not in line with the publicity presently being released by the industry regarding air tourist, vacation plan, family plan, on Monday, Tuesday and Wednesday.

It is our firm belief, based on the handling of transportation among the clergy that a rate reduction would mean an immediate increase in travel by local, State and national religious leaders, such travel to include a high percentage of new business and not necessarily a transfer from some other mode of transportation.

During the past year I have done considerable traveling by air, and to my knowledge I have not traveled on a plane filled to capacity. In most cases I found the load factor considerable less than the 65 percent average figure published by the Big Four (TWA, Eastern, American and United). Last week I traveled by TWA from Indianapolis to St. Louis, and there were only four passengers aboard including the hostess.

Many of our executives in missionary societies, church extension boards, benevolent associations, have indicated that they would substantially increase their travel if the rates were reduced on the airlines to the point where their church organizations would endorse such travel as financially within reach of their budgets.

The present air tourist schedule is, in most cases, not too satisfactory for a clergyman who is expected to often put in 12 to 15 hours a day, including sermon engagements, and cover considerable territory at the same time. Many contacts are denied the church because of the time element in traveling by other means of transportation.

I had opportunity to review the file of correspondence available in the office of Mr. Sweeney on this amendment D, S. 1119. The file contained a letter from the Civil Aeronautics Board, such letter listing the exemptions from the tariff rate which had been refused by the CAB during 1953-54. I had previously reviewed the list on file in the House which listed all exemptions denied since 1938. On the list were requests which to you and me might appear to be justifiable.

The fact that such requests were refused was meant to be, I assume, an indication of how strict they were in protecting the interest of the airlines. However, no mention was made of the thousands of exemptions which have been granted travel agents and brief reference was made to employees of the airlines (and their families).

It is my understanding that most travel agents, at the present, receive approval for two requests annually for a 75 percent reduction in the rate. Until approximately 18 months ago such exemptions were for free transportation. Many of the major airlines allow their employees and families to fly a certain number of free miles annually depending upon the months of service of such employee.

Undoubtedly the airlines agree that this is good business and we most certainly concur. I would like to point out, however, that the strict policy indicated in the list of exemptions denied is but a small percentage of the total number of exemptions considered.

I would like to say, Mr. Chairman, that I have requested from the Civil Aeronautics Board a list of exemptions which they have granted, and when I receive such list, if it would be of interest to the committee, I would be happy to share it with you.

Senator MONRONEY. I would be glad to have you give it to Mr. Sweeney, if our hearings are not closed.

Mr. CHARLES A. ANDERSON, Chairman

CIVIL AERONAUTICS BOARD,
Washington, D. C., May 5, 1955.

Interchurch Transportation Committee, Philadelphia, Pa.

DEAR MR. ANDERSON: We have your telegram of April 26, 1955, requesting a list of exemption requests for free or reduced-rate transportation which were granted or denied by the Board.

A list of the exemptions granted and denied during 1954 is enclosed. Such actions were taken pursuant to individual requests of air carriers for relief from the provisions of section 403 (b) of the Civil Aeronautics Act of 1938, as amended, which prohibits the carriers from furnishing free or reduced-rate transportation to persons other than those specifically named therein. You will note that the exemptions granted were limited to those requests for authority to furnish free transportation to technical personnel of manufacturers of aircraft or aircraft parts for the purpose of in-flight observation. All such exemptions were granted upon the representation of the carrier that it was necessary to have in-flight ob

servation by technical personnel in order to promote safety and reliability of operations in connection with new types of aircraft or parts.

Part 223 of the Board's Economic Regulations provides a means whereby carriers engaged in overseas and foreign air transportation may make special application for permission to furnish free or reduced-rate transportation of a type not specifically provided for in the statute. In each case the application must originate with the carrier and must include a statement that the carrier is willing and intends to furnish the transportation if authority to do so is granted by the Board. The authorization of free or reduced-rate transportation pursuant to this regulation has been limited to technical in-flight observation, inaugural flights, and those special cases appearing to be in the national interest because of the particular circumstances connected with the individual application and which usually are endorsed by the United States Department of State. Section 403 (b) limits the applicability of the above regulation to overseas and foreign air transportation.

We hope that this satisfactorily answers your inquiry.
Sincerely yours,

JOSEPH H. FITZGERALD, Director, Bureau of Air Operations.

EXEMPTION REQUESTS FOR FREE OR REDUCED-RATE TRANSPORTATION GRANTED DURING 1954

Order No. E-8084, February 8, 1954

Technical employees of Douglas Aircraft Co., Wright Aeronautical Corp., Bendix Aviation Corp., Hamilton Standard Propeller Co., and AiResearch Manufacturing Co. for the purpose of in-flight observation for 6 months, Delta Air Lines, Inc.

Order No. E-8363, May 21, 1954

Technical employees of Lear, Inc. for the purpose of in-flight observation of Lear L-5 auto pilot, for 90-day period, Braniff Airways, Inc.

Order No. E-8746, November 3, 1954

Technical personnel of Sperry Gyroscope Co., for the purpose of in-flight observation aboard Douglas DC-7 aircraft for 6-month period, United Air Lines, Inc.

EXEMPTION REQUESTS FOR FREE OR REDUCED-RATE TRANSPORTATION DENIED DURING 1954

Order No. E-8186, March 26, 1954

Airmail and postal clerks of the Post Office Department from various stations served by Mohawk Airlines, Inc., to Ithaca, N. Y., to participate in conferences designed to increase mail traffic.

Orders Nos. E-8569, E-8570, E-8571, and E-8572 of August 18, 1954

Applications of American Airlines, Inc., Delta Air Lines, Inc., Trans World Airlines, Inc., and United Air Lines, Inc., respectively, for authority to grant reduced-rate transportation to members of the American Society of Travel Agents attending a convention in San Francisco.

Mr. LEWIS. The Interchurch Transportation Committee, of which the Disciples of Christ and their 8,000 churches hold membership through their transportation director, fully realizes that should this legislation become law, and should an airline agree to reduce fare, there arises the problem of determining who is a minister of religion. We believe this does not present an insurmountable problem and that the solution lies within the present air travel card system being used by the airlines. We certainly believe that in administering a rate reduction to ministers of religion the Interchurch Transportation Committee could be of such assistance that the administration would be without difficulty and without sizable additional paperwork.

Further, in administering any possible rate reduction, we believe it would be quite acceptable to restrict such rate reduction to flights operating on specific days, such as is being done under the present

family plan. Ministers of religion would have the benefit of the more efficient first-class schedule, but would gladly assume the responsibility of traveling when the load factor was other than at its peak.

The feeder airlines would benefit the most in any rate reduction to ministers of religion. However, since these smaller airlines are presently being subsidized by the Government, it would be satisfactory to the Disciples of Christ if such free or reduced fares were allowable only on airlines not receiving Federal subsidy.

In essence this would mean TWA, American, United, and Eastern Air Lines and six others. The nonsubsidized airlines, as I understand it, handle 92 percent of the business. This would remove any question of the "separation of church and state." However, it is our opinion that these feeder airlines, with the lowest load factor, would benefit the greatest since any additional travel would be at a minimum of expense.

It is my firm conviction, as a businessman working for the church, that the increase in travel resulting from a rate reduction would mean a profitable increase in revenue to the air carriers. Our ministers would fulfill more local church commitments than at present. We heartily endorse this permissive legislation and respectfully request your approval of amendment D to S. 1119, omnibus aviation bill. Senator MONRONEY. Thank you very much, Mr. Lewis, for your helpful statement.

Senator Bible, do you have any questions?

Senator BIBLE. No, I have no questions. Thank you.
Senator MONRONEY. Senator Schoeppel?

Senator SCHOEPPEL. I have no questions. Thank you.

Senator MONRONEY. In defining a "minister of religion," would you agree with Dr. Anderson that that would be limited to ordained ministers who give sacramental rites?

Mr. LEWIS. Yes, sir.

Senator MONRONEY. So that it would not be available to ordinary business people associated with churches. There is some language, I believe, in your testimony, and also in Dr. Anderson's to indicate that board members and others than ordained ministers might be included.

Mr. LEWIS. Our reference to board members refers to ministers only. I am sure all board members are of the clergy. In discussing this with the Internal Revenue Department, they have a strict definition: The performing of the functions mentioned by Dr. Anderson. Senator MONRONEY. It, therefore, would limit it only to ordained ministers?

Mr. LEWIS. Absolutely.

Senator MONRONEY. Thank you very much for your courtesy in coming here, Mr. Lewis.

Mr. LEWIS. Thank you.

Senator MONRONEY. Mr. Hoge, vice president, Interchurch Transportation Committee (Methodist) will be our next witness.

Mr. Hoge, we are very glad to have you with us, and you may proceed in your own way.

STATEMENT OF JAMES B. HOGE, VICE PRESIDENT, INTERCHURCH TRANSPORTATION COMMITTEE (METHODIST)

Mr. HOGE. Thank you, sir.

Mr. Chairman and gentlemen of the committee, my name is James B. Hoge, and I am the director of the transportation bureau of the Methodist Church, and vice chairman of the Interchurch Transportation Committee.

The Interchurch Transportation Committee is composed of the transportation directors of religious bodies with a total membership of over 62 million. I am appearing here today to give you information regarding the proposed amendment to the Civil Aeronautics Act of 1938, which would permit airlines to grant free or reduced rate transportation to ministers of religion.

The Civil Aeronautics Act of 1938 states that the airlines may grant free or reduced rate transportation only to specifically named groups. "Ministers of religion" is not one of those groups. A number of airlines in recent years have wanted to grant this assistance to the religious work of our country and have been unable to do so because of the provisions of the above act.

Granting permission is not the same as forcing a company to comply. The airlines would act only if they felt it desirable to do so. If some of the airlines granted this assistance to the churches, the other airlines could watch their experience before deciding what action to take themselves.

The Interstate Commerce Act of 1887, which, as amended, is currently the low governing rail transportation, reaffirmed previous practice and law which allowed railroads to grant free or reduced rate transportation to ministers of religion.

Their practice is to ask ministers to fill out an application, giving such information as to their duties and responsibilities in their church so that they may be classified as to whether or not they are eligible for clergy discounts of 50 percent on the one-way first-class fare.

I may at this point correct Dr. Anderson. The 50 percent first-class fare is good on every railroad of which I have any knowledge in the entire United States, and in the southern part below the Potomac and Ohio Rivers and in the Western States, west from the Mississippi, they also give free transportation.

Senator MONRONEY. Is it unlimited or is it just a certain number of trips a year?

Mr. HOGE. It is unlimited except on certain luxury trains. They specify on the pass it it unlimited or not good on certain trains.

The clergy bureau then issues a certificate with 100 coupons. One coupon is used for each trip.

The New England Clergy Bureau represents the railroads in the New England States and charges $4 for a book of coupons good for the calendar year. It was established July 1, 1954, after having been out of existence for some decades.

The Eastern Clergy Bureau represents those railroads west of New England, north of the Ohio and Potomac Rivers, and east of the Mississipppi River. This bureau issued approximately 45,000 certificates last year and charged $6 per certificate.