AIR MAIL CONTRACTS LETTER FROM THE POSTMASTER GENERAL TRANSMITTING IN RESPONSE TO SENATE RESOLUTION NO. 394, CERTAIN INFORMATION RELATIVE TO AIR MAIL CONTRACTS, EXISTING AIR MAIL ROUTES IN THE UNITED STATES, NEW ROUTES TO BE ESTABLISHED, AND NAMES OF OFFICERS AND ATTORNEYS THAT HAVE BEEN EMPLOYEES OF THE UNITED STATES GOVERNMENT WITHIN THE PAST FIVE YEARS FEBRUARY 17 (calendar day, FEBRUARY 28), 1931.-Ordered to lie on the table and to be printed POST OFFICE DEPARTMENT, Washington, D. C., February 26, 1931. The PRESIDENT OF THE SENATE. SIR: I take pleasure in supplying the information requested by Senate Resolution 394, dated January 21, 1931, as follows: 1. The name and termination of each existing air mail route in the United States, what part of said route was established as an original route, and what part is an extension of the original route, and the name of the person, firm, or corporation holding the contract for carrying of mail over said route, and the terms of contract for each route. Statements are attached as Exhibits 1 to 26, inclusive, giving this information for each existing air mail route. 2. The new routes to be established by the air mail appropriation provided in the appropriation act for 1931-32 for air mail service in continental United States, when it becomes a law, and also what extensions of routes will be made, and to what person, firm, or corporation each added extension will bring additional contracts for air mail service. It is contemplated that service on the following additional routes will be provided under the appropriation for contract air mail service for the fiscal year 1932: Louisville-Nashville. Nashville-Dallas-Fort Worth. Kansas City-Denver. Greensboro-Columbia-Augusta. The route from Louisville to Nashville has been authorized, to be effective March 2. It will be an extension of the Cleveland-Louisville route, operated by Continental Air Lines (Inc.). It has not yet been determined whether the other six routes will be handled as extensions of existing routes, or advertised for separate service. 3. Names of officers and attorneys of parent corporations, subsidiary, or affiliated corporations, holding air mail contracts, who have been employees or officials of the United States Government within the past five years. Following is a statement giving this information so far as it is available in the records of the department: Name of officer or Department with which attorney Mabel Walker Willebrandt, attorney. William P. MacCracken, jr., attorney. W. J. Barry, secretary. C. E. Johnson, vice Frank B. Kellogg, D. B. Colyer, vice president. James P. Murray, formerly connected Company with which associated Department of Justice. Colonial Air Transport (Inc.); Robertson Aircraft Corpora- Department of Com merce. War Department; U. 4. The requirements by the Post Office Department for the establishment of new air mail routes or extension of air mail routes previous to their establishment as to airports, distances between emergency landing fields and other aids to navigation, and whether or not such requirements have been met previous to the establishment or extension of air mail routes in the past. The following paragraph, taken from the last advertisement issued for proposals for contract air mail service, shows the department's requirements in this particular: Such land lighthouses, emergency landing fields, radio stations, other means of communication, and other aids to navigation as may be necessary for the proper navigating of aircraft of these contractors must be provided for by the contractors or through such Government department as may be authorized to do so. These or substantially similar requirements have uniformily been met in connection with the establishment or extension of air mail routes in the past. Very truly yours, WALTER F. BROWN. EXHIBIT 1 Name of route: A. M. No. 1. Termination: Boston, Mass.-New York, N. Y. Statement of original route: Boston, Mass., via Hartford, Conn., to New York, N. Y., and return. Extensions to original route: None. Name of person, firm, or corporation holding the contract: Original contractor, Colonial Air Lines (Inc.); name of contractor changed to Colonial Air Transport (Inc.), November 12, 1925. Terms of contract: Copy of the air mail route certificate containing the terms and conditions under which service over this route is performed is attached hereto. The following service is authorized on route A. M. No. 1, Colonial Air Transport (Inc.), as of February 12, 1931: Route: Boston, Mass., by way of Hartford, Conn., to New York, N. Y., and return. Carrier: Colonial Air Transport (Inc.), of New York, N. Y. Whereas section 2 of the act of Congress, approved on the 29th day of April, 1930, entitled "An act to amend the air mail act of February 2, 1925, as amended by the acts of June 3, 1926, and May. 17, 1928, further to encourage commercial aviation," is as follows: The Postmaster General may, if in his judgment the public interest will be promoted thereby, upon the surrender of any air-mail contract, issue in substitution therefor a route certificate for a period of not exceeding ten years from the date service started under such contract to any contractor or subcontractor who has satisfactorily operated an air-mail route for a period of not less than two years, which certificate shall provide that the holder thereof shall have the right, so long as he complies with all rules, regulations, and orders that may be issued by the Postmaster General for meeting the needs of the Postal Service and adjusting, mail operations to the advances in the art of flying and passenger transportation to carry air mail over the route set out in the certificate or any modification thereof at rates of compensation to be fixed from time to time, at least annually, by the Postmaster General, and he shall publish in his annual report his reasons for the continuance or the modification of any rates: Provided, That such rates shall not exceed $1.25 per mile. Such certificate may be cancelled at any time for willful neglect on the part of the holder to carry out any rules, regulations, or orders made for his guidance, notice of such intended cancellation to be given in writing by the Postmaster General and forty-five days allowed the holder in which to show cause why the certificate should not be cancelled. And whereas the Colonial Air Transport (Inc.), of New York, N. Y., a corporation duly organized and existing under the laws of the State of Connecticut, hereinafter called the carrier, on the 7th day of November, 1925, duly entered into a contract with the United States to transport the air mail by aircraft on a route from Boston, Mass., by way of Hartford, Conn., to New York, N. Y., and return, the said contract having been extended pursuant to the terms thereof for a period of six months and presently being in full force and effect: And whereas the said carrier has satisfactorily operated said air route for a period of not less than two years, to wit, from the 1st day of July, 1926, and is willing to surrender the said air-mail contract and accept in substitution therefor a route certificate as provided in section 2 of the act of Congress approved the 29th day of April, 1930; And whereas in the judgment of the Postmaster General, the public interest will be promoted by the issuance to said carrier of a route certificate in substitution for said contract; Now therefore, pursuant to the authority in me vested by the provisions of said act, I hereby certify that said Colonial Air Transport (Inc.), of New York, N. Y., shall have the right, so long as it complies with all rules, regulations, and orders that may be issued by the Postmaster General for meeting the needs of the Postal Service and adjusting mail operations to advances in the art of flying and passenger transportation, to carry air mail over the route hereinafter set out or any modification thereof, at rates of compensation fixed herein, or to be fixed from time to time, at least annually, by the Postmaster General, provided that such rates shall not exceed $1.25 per mile for a period ending not more than 10 years from the date of beginning service under said contract, to wit, on the 5th day of April, 1936, subject to the following conditions: TERMS AND CONDITIONS 1. The issuance of this certificate by the Postmaster General and its acceptance by the carrier as hereinafter provided shall be deemed a full mutual release of the United States and the said carrier from all the terms, conditions, and obligations of the air-mail contract hereinbefore referred to, dated the 5th day of November, 1925, from the date of the acceptance of this certificate, except compensation due for service performed prior to the date hereof, and upon the acceptance thereof the said carrier shall surrender the said contract to the United States. 2. The route over which the carrier shall have the right to carry air mail shall be from Boston, Mass., by way of Hartford, Conn., to New York, N. Y., and return, including any extension or other modification of said route that may be made as hereinafter provided. 3. Upon 60 days' notice to the carrier, the Postmaster General from time to time may modify said route by an extension or extensions thereof, including lateral extensions or consolidations, and prescribe the schedule therefor including the stops thereon, and determine the mileage upon which the compensation of the carrier is to be based. 4. For the purpose of this certificate the distance between the terminal points of the route hereinbefore prescribed shall be deemed to be 201 miles. 5. The aircraft employed by the carrier in the service authorized hereby shall be manufactured in the United States. They shall be of modern design, airworthy, and suitable for the service prescribed; the design and capacity of such aircraft, and the location, size, and construction of the mail compartments therein shall be subject to the approval of the Postmaster General. The following services may be prescribed by the Postmaster General: A. Night mail service. B. Night mail and passenger service. C. Day mail service. D. Day mail and passenger service. 6. Until and including the 31st day of December, 1930, or until otherwise directed by the Postmaster General, the carrier shall provide the following service over said route: (1) One flight by a plane having not less than 47 cubic feet of space for 750 pounds of air mail, departing from New York at 5.15 a. m., daily except Sundays and holidays, to be classified as class A service, and payment made therefor at the rate of 88%1⁄2 cents per mile, until otherwise ordered. (2) One flight by a plane having not less than 12.5 cubic feet of space for 200 pounds of air mail, and accommodations for not less than 10 passengers, departing from Boston at 11 a. m., daily, to be classified as class D service, and payment made therefor at the rate of 69 cents per mile, until otherwise ordered. (3) One flight by a plane having not less than 25 cubic feet of space for 400 pounds of air mail, departing from Boston at 6.15 p. m., daily except Sundays and holidays, to be classified as class A service, and payment made therefor at the rate of 86%1⁄2 cents per mile, until otherwise ordered. 7. Upon 60 days' notice to the carrier, the Postmaster General may increase, diminish, or modify the service above prescribed, and make such adjustments in the compensation of the carrier as he may deem proper. 8. The carrier shall transport the mails of the United States offered for carriage over the route herein before set out with due celerity, in a safe and secure manner, free from wet or other injury, receiving and delivering the same at fields and points therein designated on schedules. prescribed by the Postmaster General. 9. Payments shall be made to the carrier monthly upon evidence that the service authorized hereby has been well and faithfully performed in accordance with the provisions hereof. 10. The carrier shall keep and maintain an accurate system of accounting in accordance with regulations prescribed by the Postmaster General. These accounts shall include a record of all obligations, investments, expenditures, receipts, and earnings from any source whatsoever, and shall be subject at all reasonable times to |