An Act to authorize the Housing and Home Finance Administrator to provide additional assistance for the development of comprehensive and coordinated mass transportation systems, both public and private, in metropolitan and other urban areas, and for other purposes
PL 88-365 (S.6), enacted 07/09/1964

302 
PUBLIC LAW 88-364-JULY 7, 1964 
[78 STAT. 
Public Law 88-364 
July 7, 1964 
[H. R. 6777]_ 
Veterans. 
Insurance pre-
miums, waiver. 
72 Stat. 1150. 
AN ACT 
To amend section 712 of title 38 of the United & rates Code to provide for waiver 
of premiums for certain veterans holding national service life insurance 
policies who become or have become totally disabled before their sixty-fifth 
birthday. 
Be it enacted by the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That effective Janu-
ary 1, 1965, subsection (a) of section 712 of title 38, United States 
Code, is amended to read as follows: 
"(a) Upon application by the insured and under such regulations 
as the Administrator may promulgate, payment of premiums on 
insurance may be waived during the continuous total disability of the 
insured, which continues or has continued for six or more consecutive 
months, if such disability began (1) after the date of his application 
for insurance, (2) while the insurance was in force under premium-
paying conditions, and (3) before the insured's sixty-fifth oirthday^. 
Notwithstanding any other provision of this chapter, in any case m 
which the total disability of the insured commenced on or after his 
sixtieth birthday but before his sixty-fifth birthday, the Adminis-
trator shall not grant waiver of any premium becoming due prior to 
January 1, 1965.^' 
Approved July 7, 1964. 
July 9, 1964 
[S. 6] 
Urban Mass 
Transportation 
Act of 1964. 
Public Law 88-365 
AN ACT 
To authorize the Housing and Home Finance Administrator to provide additional 
assistance for the development of comprehensive and coordinated mass trans-
portation systems, .both public and private, in metropolitan and other urban 
areas, and for other purposes. 
Be it en/icted by the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That this Act may 
be cited as the "Urban Mass Transportation Act of 1964". 
FINDINGS AND PURPOSES 
SEC. 2. (a) The Congress finds— 
(1) that the predominant part of the Nation's population is 
located in its rapidly expanding metropolitan and other urban 
areas, which generally cross the boundary lines of local jurisdic-
tions and often extend into two or more States; 
(2) that the welfare and vitality of urban areas, the satisfactory 
movement of people and goods within such areas, and the effec-
tiveness of housing, urban renewal, highway, and other federally 
aided programs are being jeopardized by the deterioration or in-
adequate provision of urban transportation facilities and serv-
ices, the intensification of traffic congestion, and the lack of coordi-
nated transportation and other development planning on a com-
prehensive and continuing basis; and 
(3) that Federal financial assistance for the development of 
efficient and coordinated mass transportation systems is essential 
to the solution of these urban problems. 
78 STAT. ] 
PUBLIC LAW 88-365-JULY 9, 1964 
303 
(b) The purposes of this Act are— 
(1) to assist in the development of improved mass transporta-
tion facilities, equipment, techniques, and methods, with the coop-
eration of mass transportation companies both public and private; 
(2) to encourage the planning and establishment of area wide 
urban mass transportation systems needed for economical and 
desirable urban development, with the cooperation of mass trans-
portation companies both public and private; and 
(3) to provide assistance to State and local governments and 
their instrumentalities in financing such systems, to be operated 
by public or private mass transportation companies as determined 
by local needs. 
FEDERAL FINANCIAL ASSISTANCE 
SEC. 3. (a) In accordance with the provisions of this Act, the Ad- 
Eiigibuity. 
ministrator is authorized to make grants or loans (directly, through 
the purchase of securities or equipment trust certificates, or otherwise) 
to assist States and local public bodies and agencies thereof in financ-
ing the acquisition, construction, reconstruction, and improvement of 
facilities and equipment for use, by operation or lease or otherwise, 
in mass transportation service in urban areas and in coordinating such 
service with highway and other transportation in such areas. 
Eligible 
facilities and equipment may include land (but not public highways), 
buses and other rolling stock, and other real or personal property 
needed for an efficient and coordinated mass transportation system. 
No grant or loan shall be provided under this section unless the Ad-
ministrator determines that the applicant has or will have (1) the 
legal, financial, and technical capacity to carry out the proposed proj-
ect, and (2) satisfactory continuing control, through operation or 
lease or otherwise, over the use of the facilities and equipment. 
No 
such funds shall be used for payment of ordinary governmental or 
nonproject operating expenses. 
(b) No loan shall be made under this section for any project for 
which a grant is made under this section, except grants made for 
relocatioli payments in accordance with section 7(b). I^oans under 
this section shall be subject to the restrictions and limitations set forth 
in paragraphs (1), (2), and (3) of section 202(b) of the Housing 
Amendments of 1955. The authority provided in section 203 of such yg^stat^^iyV^' 
Amendments to obtain funds for loans under clause (2) of section 202 
42 use 1492. 
(a) of such Amendments shall (except for undisbursed loan commit- 
^
^
2 use 1493. 
ments) hereafter be exercised by the Administrator (without regard to 
the proviso in section 202(d) of such Amendments) solely to obtain 
funds for loans under this section. 
(c) No financial assistance shall be provided under this Act to any ^ ^Jj.^^^ll^ transit 
State or local public body or agency thereof for the purpose, directly °^''^ °'^' 
or indirectly, of acquiring any interest in, or purchasing any facilities 
or other property of, a private mass transportation company, or for 
the purpose of constructing, improving, or reconstructing any facilities 
or other property acquired (after the date of the enactment of this 
Act) from any such company, or for the purpose of providing by con-
tract or otherwise for the operation of mass transportation facilities 
or equipment in competition with, or supplementary to, the service 
provided by an existing mass transportation company, unless (1) the 
Administrator finds that such assistance is essential to a program, 
proposed or under active preparation, for a unified or officially coordi-
nated urban transportation system as part of the comprehensively 
304 
PUBLIC LAW 88-365-JULY 9, 1964 
[78 STAT. 
planned development of the urban area, (2) the Administrator finds 
that such program, to the maximum extent feasible, provides for the 
participation of private mass transportation companies, (3) just and 
adequate compensation will be paid to such companies for acquisition 
of their franchises or property to the extent required by applicable 
State or local laws, and (4) the Secretary of Labor certifies that such 
assistance complies with the requirements of section 10(c) of this Act. 
Planning re-
quirements. 
Appropriation. 
31 u s e 529. 
LONG-RANGE PROGRAM 
SEC. 4. (a) Except as specified in section 5, no Federal financial 
assistance shall be provided pursuant to section 3 unless the Adminis-
trator determines that the facilities and equipment for which the 
assistance is sought are needed for carrying out a program, meeting 
criteria established by him, for a unified or officially coordinated urban 
transportation system as a part of the comprehensively planned devel-
opment of the urban area, and are necessary for the sound, economic, 
and desirable development of such area. 
Such program shall encour-
age to the maximum extent feasible the participation of private enter-
prise. Where facilities and equipment are to be acquired which are 
already being used in mass transportation service in the urban area, 
the program must provide that they shall be so improved (through 
modernization, extension, addition, or otherwise) that they will better 
serve the transportation needs of the area. The Administrator, on the 
basis of engineering studies, studies of economic feasibility, and data 
showing the nature and extent of expected utilization of the facilities 
and equipment, shall estimate what portion of the cost of a project 
to be assisted under section 3 cannot be reasonably financed from reve-
nues—which portion shall hereinafter be called "net project cost". 
The Federal grant for such a project shall not exceed two-thirds of the 
net project cost. The remainder of the net project cost shall be pro-
vided, in cash, from sources other than Federal funds, and no refund 
or reduction of that portion so provided shall be made at any time 
unless there is at the same time a refund of a proportional amount of 
the Federal grant. 
(b) To finance grants under this Act there is hereby authorized to 
be appropriated at any time after its enactment not to exceed 
$75,000,000 for fiscal year 1965; $150,000,000 for fiscal year 1966; and 
$150,000,000 for fiscal year 1967. Any amount so appropriated shall 
remain available until expended; and any amount authorized but not 
appropriated for any fiscal year may be appropriated for any succeed-
ing fiscal year. The Administrator is authorized, notwithstanding the 
provisions of section 3648 of the Revised Statutes, as amended, to make 
advance or progress payments on account of any grant made pursuant 
to this Act. 
EMERGENCY PROGRAM 
SEC. 5. Prior to July 1, 1967, Federal financial assistance may be 
provided pursuant to section 3 where (1) the program for the develop-
ment of a unified or officially coordinated urban transportation system, 
referred to in section 4(a), is under active preparation although not 
yet completed, (2) the facilities and equipment for which the assistance 
is sought can reasonably be expected to be required for such a system, 
and (3) there is an urgent need for their preservation or provision. 
The Federal grant for such a project shall not exceed one-half of the 
net project cost: Provided^ That where a Federal grant is made on 
such a one-half basis, and the planning requirements specified in sec-
tion 4(a) are fully met within a three-year period after the execution 
of the grant agreement, an additional grant may then be made to the 
78 STAT. I 
PUBLIC LAW 88-365-JULY 9, 1964 
305 
applicant equal to one-sixth of the net project cost. The remainder of 
the net project cost shall be provided, in cash, from sources other 
than Federal funds, and no refund or reduction of that portion so 
provided shall be made at any time unless there is at the same time a 
refund of a proportional amount of the Federal grant. 
RESEARCH, DEVELOPMENT, AND DEMONSTRATION PROJECTS 
SEC. 6. (a) The Administrator is authorized to undertake research, 
development, and demonstration projects in all phases of urban mass 
transportation (including the development, testing, and demonstra-
tion of new facilities, equipment, techniques, and methods) which he 
determines will assist in the reduction of urban transportation needs, 
the improvement of mass transportation service, or the contribution 
of such service toward meeting total urban transportation needs at 
minimum cost. He may undertake such projects independently or by 
contract (including working agreements with other Federal depart-
ments and agencies). In carrying out the provisions of this section, 
the Administrator is authorized to request and receive such informa-
tion or data as he deems appropriate from public or private sources. 
(b) The Administrator may make available to finance projects 
under this section not to exceed $10,000,000 of the mass transportation 
grant authorization provided in section 4(b), which limit shall be 
increased to $20,000,000 on July 1, 1965, and to $30,000,000 on July 
1, 1966. In addition, notwithstanding the provisions of section 4 of 
this Act or of section 103(b) of the Housing Act of 1949, the unobli- 
^ Jta^- ^^^^^ 
gated balance of the amount available for mass transportation demon-
stration grants pursuant to the proviso in such section 103 (b) shall be 
available solely for financing projects under this section. 
(c) Nothing contained in this section shall limit any authority of 
the Administrator under section 602 of the Housing Act of 1956 or 
^° ^*^*- ^^^^' 
,
,
•
.
.
,
, 
c5 
19 u s e 
I T O I r l -
any other provision of law. 
12 u s e 1701d-3. 
RELOCATION REQUIREMENTS AND PAYMENTS 
SEC. 7. (a) No financial assistance shall be extended to any project 
under section 3 unless the Administrator determines that an adequate 
relocation program is being carried on for families displaced by the 
project and that there are being or will be provided (in the same area 
or in other areas generally not less desirable in regard to public 
utilities and public and commercial facilities and at rents or prices 
within the financial means of the displaced families) an equal number 
of decent, safe, and sanitary dwellings available to those displaced 
families and reasonably accessible to their places of employment. 
(b) Notwithstanding any other provision of this Act, financial 
assistance extended to any project under section 3 may include grants 
for relocation payments, as herein defined. 
Such grants may be in 
addition to other financial assistance for the project under section 3, 
and no part of the amount of such relocation payments shall be 
required to be contributed as a local grant. 
The term "relocation „_"^*\°''°"°" P^^" 
payments" means payments by the applicant to individuals, families, 
business concerns, and nonprofit organizations for their reasonable 
and necessary moving expenses and any actual direct losses of prop-
erty, except goodwill or profit, for which reimbursement or compensa-
tion is not otherwise made, resulting from their displacement by the 
project. 
Such payments shall be made subject to such rules and 
regulations as may be prescribed by the Administrator, and shall 
not exceed $200 in the case of an individual or family, or $3,000 (or 
if greater, the total certified actual moving expenses) in the case of 
m e n t s . " 
306 
PUBLIC LAW 88-365-JULY 9, 1964 
[78 STAT. 
a business concern or nonprofit organization. 
Such rules and regula-
tions may include provisions authorizing payment to individuals and 
families of fixed amounts (not to exceed $200 in any case) in lieu of 
their respective reasonable and necessary moving expenses and actual 
direct losses of property. 
COORDINATION OF FEDERAL ASSISTANCE FOR HIGHWAYS AND FOR 
MASS 
TRANSPORTATION 
FACILITIES 
SEC. 8. In order to assure coordination of highway and railway and 
other mass transportation planning and development programs in 
urban areas, particularly with respect to the provision of mass trans-
portation facilities in connection with federally assisted highways, the 
Administrator and the Secretary of Commerce shall consult on general 
urban transportation policies and programs and shall exchange infor-
mation on proposed projects in urban areas. 
GENERAL PROVISIONS 
SEC. 9. (a) In the performance of, and with respect to, the functions, 
powers, and duties vested in him by this Act, the Administrator shall 
(in addition to any authority otherwise vested in him) have the func-
tions, powers, and duties set forth in section 402, except subsections 
73^staS.^*68u' 
^<^) (2) and (f), of the Housing Act of 1950. Funds obtained or held 
12 use 17*493. 
by the Administrator in connection with the performance of his func-
tions under this Act shall be available for the administrative expenses 
of the Administrator in connection with the performance of such 
functions. 
(b) All contracts for construction, reconstruction, or improvement 
of facilities and equipment in furtherance of the purposes for which 
a loan or grant is made under this Act, entered into by applicants 
under other than competitive bidding procedures as defined by the 
Administrator, shall provide that the Administrator and the Comp-
troller General of the United States, or any of their duly authorized 
representatives, shall, for the purpose of audit and examination, have 
access to any books, documents, papers, and records of the contracting 
parties that are pertinent to the operations or activities under such 
contracts. 
(c) All contracts for construction, reconstruction, or improvement 
of facilities and equipment in furtherance of the purposes for which 
a loan or grant is made under this Act shall provide that in the per-
formance of the work the contractor shall use only such manufactured 
articles as have been manufactured in the United States. 
Definitions. 
((J) As used iu this Act— 
(1) the term "States" means the several States, the District of 
Columbia, the Commonwealth of Puerto Rico, and the possessions 
of the L^nited States; 
(2) the term "local public bodies" includes municipalities and 
other political subdivisions of States; public agencies and instru-
mentalities of one or more States, municipalities, and political 
subdivisions of States; and public corporations, boards, and com-
missions established under the laws of any Sti^te; 
(3) the term "Administrator" means the Housing and Home 
Finance Administrator; 
(4) the term "urban area" means any area that includes a 
municipality or other built-up place which is appropriate, in the 
judgment of the Administrator, for a public transportation sys-
tem to serve commuters or others in the locality taking into con-
sideration the local patterns and trends of urban growth; and 
78 STAT. ] 
PUBLIC LAW 88-365-JULY 9, 1964 
307 
(5) the term ''mass transportation" means transportation by bus 
or rail or other conveyance, either publicly or privately owned, 
serving the general public (but not including school buses or 
charter or sightseeing service) and moving over prescribed routes. 
(e) There are hereby authorized to be appropriated, out of any 
Appropriation. 
money in the Treasury not otherwise appropriated, the funds neces-
sary^ to carry out all functions under this Act except loans under 
section 3. All funds appropriated under this Act for other than 
administrative expenses shall remain available until expended. 
(f) None of the provisions of this Act shall be construed to author-
ize the Administrator to regulate in any manner the mode of operation 
of any mass transportation system with respect to which a grant is 
made under section 3 or, after such grant is made, to regulate the rates, 
fares, tolls, rentals, or other charges fixed or prescribed for such system 
by any local public or private transit agency; but nothing in this sub-
section shall prevent the ^Administrator from taking such actions as 
may be necessary to require compliance by the agency or agencies 
involved with any undertakings furnished by such agency or agencies 
in connection with the application for the grant. 
LABOR STANDARDS 
SEC. 10. (a) The Administrator shall take such action as may be 
necessary to insure that all laborers and mechanics employed by con-
tractors or subcontractors in the performance of construction work 
financed with the assistance of loans or grants under this Act shall be 
pjaid wages at rates not less than those prevailing on similar construc-
tion in the locality as determined by the Secretary of Labor in accord-
ance with the Davis-Bacon Act, as amended. The Administrator shall Ante, p. 238, 
not approve any such loan or grant without first obtaining adequate 
assurance that required labor standards will be maintained upon the 
construction work. 
(b) The Secretary of Labor shall have, with respect to the labor 
standards specified in subsection (a), the authority and functions set 
torth in Keorganization Plan Numbered 14 of 1950 (15 F.R. 3176; 64 
Stat. 1267; 5 U.S.C. 133z-15), and section 2 of the Act of June 13, 
1934, as amended (48 Stat. 948; 40 U.S.C. 276c). 
63 stat. los. 
(c) It shall be a condition of any assistance under this Act that fair 
and equitable arrangements are made, as determined by the Secretary 
of Labor, to protect the interests of employees affected by such assist-
ance. Such protective arrangements shall include, without being 
limited to, such provisions as may be necessary for (1) the preservation 
of rights, privileges, and benefits (including continuation of pension 
rights and benefits) under existing collective bargaining agreements 
or otherwise; (2) the continuation of collective bargaining rights; 
(3) the protection of individual employees against a worsening of 
their positions with respect to their employment; (4) assurances of 
employment to employees of acquired mass transportation systems and 
priority of reemployment of employees terminated or laid off; and 
(5) paid training or retraining programs. 
Such arrangements shall 
include provisions protecting individual employees against a worsen-
ing of their positions with respect to their employment which shall in 
no event provide benefits less than those established pursuant to section 
5(2) (f) of the Act of February 4, 1887 (24 Stat. 379), as amended. 
l^ sta^- ^'^^• 
The contract for the granting of any such assistance shall specify the 
terms and conditions of the protective arrangements. 
308 
PUBLIC LAW 88-366-JULY 9, 1964 
[78 STAT. 
AIR POLLUTION 
CONTROL 
SEC. 11. In providing financial assistance to any project under sec-
tion 3j the Administrator shall take into consideration whether the 
facilities and equipment to be acquired, constructed, reconstructed, or 
improved will be designed and equipped to prevent and control air 
pollution in accordance with any criteria established for this purpose 
by the Secretary of Health, Education, and Welfare. 
STATE LIMITATION 
SEC. 12. Grants made under section 3 (other than grants for reloca-
tion payments in accordance with section 7(b)) for projects in any 
one State shall not exceed in the aggregate 12% per centum of the 
aggregate amount of grant funds authorized to be appropriated pur-
suant to section 4(b). 
Approved July 9, 1964. 
July 9, 1964 
[H. J. Res. 475] 
Public Law 88-366 
JOINT RESOLUTION 
To authorize the President to proclaim December 7, 1966, as Pearl Harbor Day 
in commemoration of the twenty-fifth anniversary of the attack on Pearl 
Harbor. 
Pearl Harbor 
Day, 1966. 
Twenty-fifth 
anniversary. 
Proclamation. 
Whereas December 7, 1966, will mark the twenty-fifth anniversary 
of the attack on Pearl Harbor; and 
Whereas the steadfast heroism of American forces before the unfore-
seen onslaught was an inspiration throughout the grim and terrible 
struggle which followed; and 
Whereas the bright beacon of courage then ignited will burn forever in 
the hearts of freemen: Now, therefore, be it 
Resolved hy the Senate and House of Representatives 
of the United 
States of America in Congress assemhled^ That the President is hereby 
authorized and requested to issue a proclamation designating Decem-
ber 7, 1966, as Pearl Harbor Day, and calling upon the people of the 
United States to observe such day with appropriate ceremonies and 
activities. 
Approved July 9, 1964. 
July 9, 1964 
[H, R. 5478] 
Public Law 88-367 
AN ACT 
Authorizing a survey of the Frio River in the vicinity of Three Rivers, Texa?, 
in the interest of flood control and allied purposes. 
Frio River, Tex. 
Flood control 
survey. 
Appropriation. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America, in Congress assembled^ That the Secretary 
of the Army is hereby authorized to cause a survey of the Frio River 
in the vicinity of Three Rivers, Texas, to be made under the direction 
of the Chief of Engineers in the interest of flood control and allied 
purposes. 
SEC. 2. There are hereby authorized to be appropriated such sums 
as may be necessaiy to carry out the provisions of this Act. 
Approved July 9, 1964.