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utes and regulations authorize the establishment and operation of bonded warehouses for customs purposes. It is suggested that the proponents of the project consult with the collector of customs for the district of Alaska to ascertain whether it is possible, as it appears to be under existing law, to work out procedures satisfactory to the proponents, whereby sales of merchandise under customs bond for exportation, without imposition of duties and import taxes, may be accomplished without need for further legislation.

The Department has been advised by the Bureau of the Budget that there is no objection from the standpoint of the administration's program to the submission of this report to your committee.

Sincerely yours,

ROBERT H. KNIGHT, General Counsel.

Washington, February 7, 1962.

Chairman, Committee on Interstate and Foreign Commerce,
U.S. Senate.

DEAR MR. CHAIRMAN: Your communication of September 18, 1961, requests Agency comments on S. 2484, a bill to provide for establishing and operating a foreign trade zone, a Hall of States, and an international reception and information center at the Anchorage International Airport, Anchorage, Alaska, and for other purposes.

The Agency has no objection to the establishment of an international reception and information center at the Anchorage International Airport, Anchorage, Alaska, as proposed in S. 2484. We do not believe, however, that it would be appropriate for the Agency to be responsible for the planning and construction of the center, or for the maintenance and operation of the foreign trade zone.

As you know, the Agency functions exclusively abroad and has no operational responsibilities in the United States. Furthermore, the Agency utilizes, to a large extent, the facilities of the Department of State for the management of its oversea operations, including such activities as the construction, acquisition, and maintenance of its buildings abroad. Thus, the Agency has neither experienced personnel nor the facilities required for the planning, construction, and maintenance of the center.

Should the center be established, we believe that the Agency's role should be limited to the provision of publications, exhibits, and other materials to the extent appropriations may be available therefor.



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