An Act to amend the Federal Aid Highway Acts of 1956 and 1958 to make certain adjustments in the Federal-aid highway program, and for other purposes.
PL 86-342 (H.R.8678), enacted 09/21/1959

73 S T A T . ] 
PUBLIC LAW 86-342-SEPT. 21, 1959 
611 
(b) The term "sanitary container" means any container of such 
material and construction as (1) will not permit the infiltration of 
foreign matter into the contents of such container under ordinary 
conditions of shipping and handling, and (2) will not, for a period 
of at least one year, disintegrate so as to contaminate the contents of 
the container, necessitating the washing of the contents prior to use. 
SEC. 202. In lieu of the limitation on annual payment rates for 
1960 conservation reserve contracts prescribed in clause (2) of the 
sixth proviso under the head "Conservation Keserve" in Public Law 
86-80, no such annual payment rate shall be established in excess of 20 
per centum of the value of the land placed under contract, such value 
to be determined without regard to physical improvements thereon or 
geographical location thereof; but in no event shall such annual pay-
ment rate be established in excess of the maximum rate which the 
county committee determines would have been established for such 
land under the 1959 Conservation Reserve Program, except that the 
county committee in making such determination shall not be required 
to obtain the landowner's or operator's estimate as to value or his cer-
tificate as to production history and productivity. 
SEC. 203. Section 347(b) of the Agricultural Adjustment Act of 
1938, as amended, is amended by striking out the period at the end 
thereof and inserting a colon and the following: '''Provided^ however^ 
That the national marketing quota for the 1960 crop of such cotton 
shall be not less than 90 per centum of the 1959 marketing quota for 
such cotton." 
SEC. 204. Section 206(a) of the Agricultural Act of 1956 is amended 
by inserting before the period at the end thereof a comma and the 
following: "or to meet requirements of Government agencies". 
Approved September 21, 1959. 
Definition. 
Ante, p. 174. 
66 Stat. 759. 
7 u s e 1347. 
70 Stat. 200. 
7 u s e 1856. 
Public Law 86-342 
A N A C T 
c 
. 
,, 
o . 
. o c n 
September 2 I, 1959 
To amend the Federal-Aid Highway Acts of 1956 and 19.18 to make certain 
[H. R. 8678] 
adjustments in the Federal-aid highway program, and for other purposes. 
Be it enacted by the Senate and House of Reprenentatives 
of the 
United States of America in Congress assembled^ 
TITLE I—FEDERAL-AID HIGHWAY 
PROGRAM 
SECTION 101. SHORT TITLE. 
This Act may be cited as the "Federal-Aid Highway Act of 1959"'. 
SEC. 102. REVISION OF AUTHORIZATION OF APPROPRIATIONS FOR 
INTERSTATE SYSTEM. 
Subsection (b) of section 108 of the Federal-Aid Highway Act of 
1956, as amended, is amended by striking out "the additional sum of 
$2,500,000,000 for the fiscal year ending June 30, 1961," and inserting 
in lieu thereof the following: "the additional sum of $2,000,000,000 
for the fiscal year ending June 30,1961,". 
SEC. 103. EXTENSION OF APPROVAL OF ESTIMATE OF COST OF COM-
PLETING INTERSTATE SYSTEM. 
Section 8 of the Federal-Aid Highway Act of 1958, as amended, 
is hereby further amended by striking out "the fiscal years ending 
June 30, 1960, and June 30, 1961." and inserting in lieu thereof "the 
fiscal years ending June 30,1960, 1961, and 1962." 
F e d e r a l - Aid 
H i g h w a y Act of 
1959. 
72 Stat. 94. 
23 u s e 10 I note. 
72 Stat. 1725. 
23 u s e 104 note. 
Report to Con-
gress. 
72 Stat. 905. 
612 
PUBLIC LAW 86-342-SEPT. 21, 1959 
[73 S T A T . 
SEC. 104. PARKWAYS. 
For the purpose of carrying out the provisions of section 4(b) of 
the Federal-Aid Highway Act of 1958 (72 Stat. 93), there is hereby 
authorized to be appropriated for the construction, reconstruction, and 
improvement of parkways, authorized by Acts of Congress, on lands 
to which title is vested in the United States, the additional sum of 
$2,000,000 for the fiscal year ending June 30, 1960. 
SEC. 105. NATIONAL SYSTEM OF INTERSTATE AND DEFENSE HIGH-
WAY MILEAGE STUDY FOR ALASKA AND HAWAIL 
The Secretary of Commerce is authorized and directed to make a 
study of the need for the extension of the National System of Inter-
state and Defense Highways within the States of Alaska and Hawaii, 
and report the results of such study to the Congress within ten days 
subsequent to January 4,1960. 
The report shall include recommenda-
tions as to the approximate routes and mileages thereof which should 
be included in such system within those States. 
SEC. 106. EXEMPTION FROM NATIONAL STANDARDS OF CERTAIN 
AREAS ADJACENT TO THE INTERSTATE SYSTEM. 
That subsection (b) of title 23, section 131 of the United States Code 
is amended by striking therefrom the following language: "Uj)on 
application of the State, any such agreement may, within the discretion 
of the Secretary of Commerce consistent with the national policy, 
provide for excluding from application of the national standards 
segments of the Interstate System which traverse incorporated munici-
palities wherein the use of real property adjacent to the Interstate 
System is subject to municipal regulation or control, or which traverse 
other areas where the land use is clearly established by State law as 
industrial or commercial:" and substituting therefor the following 
language: "Agreements entered into between the Secretary of Com-
merce and State highway departments under this section shall not 
apply to those segments of the Interstate System which traverse com-
mercial or industrial zones within the presently existing boundaries 
of incorporated municipalities wherein the use of real property 
adjacent to the Interstate System is subject to municipal regulation 
or control, or which traverse other areas where the land use, as of the 
date of approval of this Act, is clearly established by State law as 
industrial or commercial:" 
SEC. 107. EMERGENCY RELIEF. 
(a) That section 125 of title 23, United States Code, is amended 
to read as follows: 
"§ 125. Emergency relief 
"(a) An emergency fund is authorized for expenditure by the Secre-
tary, subject to the provisions of this section and section 120, for 
the repair or reconstruction of highways, roads, and trails which he 
shall find have suffered serious damage as the result of disaster over 
a wide area, such as by floods, hurricanes, tidal waves, earthquakes, 
severe storms, landslides, or other catastrophes in any part of the 
United States. 
The appropriation of such moneys, not to exceed 
$30,000,000, as may be necessary for the initial establishment of this 
fund and for its replenishment on an annual basis is authorized. 
Pending such appropriation or replenishment the Secretary may 
expend from any funds heretofore or hereafter appropriated for 
expenditure in accordance with the provisions of this title, including 
existing Federal-aid appropriations, such sums as may be necessary 
for the immediate prosecution of the work herein authorized, such 
approj)riations to be reimbursed from the appropriations herein 
authorized when made. 
72 Stat. 901. 
73 S T A T . ] 
PUBLIC LAW 8 6 - 3 4 2 - S E P T . 21, 1959 
613 
"(b) The Secretary may expend funds from the emergency fund 
herein authorized for the repair or reconstruction of highways on the 
Federal-aid highway systems, including the Interstate System, in 
accordance with the provisions of this diaj^ter. 
Except as to high-
ways, roads, and trails mentioned in subsection (c) of this section, no 
funds shall be so expended unless the Secretary has received an 
application therefor from the State highway department, and unless 
an emergency has been declared by the Governor of the State and 
concurred in by the Secretary. 
"(c) The Secretary may expend funds from the emergency fund 
herein authorized, either independently or in cooperation with any 
other branch of the Government, State agency, organization, or per-
son, for the repair or reconstruction of forest highways, forest devel-
opment roads and trails, park roads and trails, and Indian reserva-
tion roads, whether or not such highways, roads, or trails are on any 
of the Federal-aid highway systems." 
(b) Subsection (f) of section 120 of title 23, United States Code, 
^^ stat. 899. 
is amended to read as follows: 
"(f) The Federal share payable on account of any repair or recon-
struction provided for by funds made available under section 125 of 
this title shall not exceed 50 per centum of the cost thereof, except 
that the Federal share payable on account of any repair or reconstruc-
tion of forest highways, forest development roads and trails, park 
roads and trails, and Indian reservation roads may amount to 100 
per centum of the cost thereof, whether or not such highways, roads, 
or trails are on any Federal-aid highway system. Any project agree-
ment for w^hich the final voucher has not been approved by the Secre-
tary on or before the date of this Act may be modified to provide 
for the Federal share authorized herein." 
SEC. 108. INCREASE IN AMOUNT AUTHORIZED FOR BRIDGES OVER 
FEDERAL DAMS. 
That subsection (d) of section 320 of title 23, United States Code, 
72 stat. 9is. 
entitled "Highways", is amended by striking out "$10,000,000" and 
inserting in lieu thereof "$13,000,000". 
TITLE II—INTERNAL REVENUE CODE 
AND HIGHWAY TRUST FUND AMEND-
MENTS 
SEC. 201. TEMPORARY INCREASE IN MOTOR FUEL TAXES, ETC. 
(a) GASOLINE.—Section 4081 of the Internal Revenue Code of 1954 
26^icf*408*i^' 
(relating to imposition of tax on gasoline) is amended by adding at 
the end thereof the following new subsection: 
"(c) TEMPORARY INCREASE IN TAX.—On and after October 1, 1959, 
and before July 1, 1961, the tax imposed by this section shall be 4 
cents a gallon." 
(b) DIESEL FUEL AND SPECIAL MOTOR FUELS.— 
(1) IMPOSITION OF TAX.—Section 4041 of such Code (relating 
to imposition of tax on diesel fuel and special motor fuels) is 
amended by adding at the end thereof the following new sub-
section : 
"(f) TEMPORARY INCREASES IN TAX.—On and after October 1,1959, 
and before July 1,1961— 
"(1) if (without regard to this subsection) the tax imposed 
by subsection (a) or (b) is 3 cents a gallon, the tax imposed by 
such subsection shall be 4 cents a gallon, and 
68A Stat. 478. 
26 u s e 4041. 
614 
PUBLIC LAW 86-342-SEPT. 21, 1959 
[73 STAT, 
"(2) if (without regard to this subsection) the tax imposed 
under paragraph (2) of subsection (a) or (b) is 1 cent a gallon, 
the tax imposed under such paragraph shall be 2 cents a gallon." 
70 Stat. 387. 
^2) TECHNICAL AMENDMENTS.—The secoud seuteuces of sub-
sections (a) and (b) of such section 4041 are each amended by 
striking out "in lieu of 3 cents a gallon". 
(c) FLOOR STOCKS TAX AND REFUNDS ON GASOLINE.— 
26us1;*4226. 
(1) TAX.—Sectiou 4226(a) of such Code (relating to floor 
stocks taxes) is amended by adding at the end thereof the follow-
ing new paragraph: 
"(5) 1959 TAX O
N GASOLINE.—Oil gasoliue subject to tax Under 
section 4081 which, on October 1, 1959, is held by a dealer for 
sale, there is hereby imposed a floor stocks tax at the rate of 1 
cent a gallon. The tax imposed by this paragraph shall not apply 
to gasoline in retail stocks held at the place where intended to be 
sold at retail, nor to gasoline held for sale by a producer or 
importer of gasoline." 
(2) DATE FOR PAYMENT OF TAX.—Section 4226(d) of such Code 
(relating to due date of taxes) is amended by inserting before 
the period at the end thereof the following: "; except that the 
tax imposed by paragraph (5) shall be paid at such time after 
December 31, 1959, as may be prescribed by the Secretary or his 
delegate". 
(3) TECHNICAL AMENDMENT.—Section 4226(c) of such Code 
(relating to definition of dealer, etc.) is amended by striking out 
"section 6412(a) (3)" and inserting in lieu thereof "section 6412 
(a)(4)". 
ll%fc%4ii' 
(4) REFUNDS.—Section 6412(a) of such Code (relating to floor 
stocks refunds) is amended by renumbering paragraph (3) as 
paragraph (4) and by inserting after paragraph (2) the follow-
ing new paragraph: 
"(3) GASOLINE HELD ON JULY i, loci.—^Where before July 1, 
1961, any gasoline subject to the tax imposed by section 4081 has 
been sold by the producer or importer and on sucli date is held by 
a dealer and is intended for sale, there shall be credited or refunded 
(without interest) to the j^roducer or importer an amount equal 
to the difference between the tax paid by such producer or 
importer on his sale of the gasoline and the amount of tax made 
applicable to such gasoline on and after July 1, 1961, if claim for 
such credit or refund is filed with the Secretary or his delegate on 
or before November 10, 1961, based upon a request submitted to 
the producer or importer before October 1, 1961, by the dealer 
who held the gasoline in respect of which the credit or refund is 
claimed, and, on or before November 10, 1961, reimbursement has 
been made to such dealer by such producer or importer for the 
tax reduction on such gasoline or written consent has been obtained 
from such dealer to allowance of such credit or refund. No credit 
or refund shall be allowable under this paragraph with respect 
to gasoline in retail stocks held at the place where intended to be 
sold at retail, nor with respect to gasoline held for sale by a pro-
ducer or importer of gasoline." 
(d) CREDITS AND REFUNDS.— 
II vie 64 i t 
(1) 
TAX 
PAYMENTS 
CONSIDERED 
OVERPAYMENTS.—Section 
6416(b) (2) of such Code (relating to special cases in which tax 
payments are considered overpayments) is amended— 
(A) by striking out "at the rate of 3 cents a gallon"' each 
place it appears in subparagraphs (H), (I), and (J) and 
inserting in lieu thereof "at the rate of 3 cents or 4 cents a 
gallon"; 
73 S T A T . ] 
PUBLIC LAW 86-342-SEPT. 21, 1959 
615 
(B) by striking out "1 cent for each gallon*' in subpara-
graph (H) and inserting in lieu thereof "1 cent (where tax 
was paid at the 3-cent rate) or 2 cents (where tax was paid 
at the 4-cent rate) for each gallon"; and 
(C) by striking out "at the rate of 1 cent a gallon;" at the 
end of subparagraphs (I) and (J) and inserting in lieu 
thereof the following: "at the rate of 1 cent a gallon where 
tax was paid at the 3-cent rate or at the rate of 2 cents a 
gallon w^here tax was paid at the 4-cent rate;". 
(2) 
GASOLINE USED FOR CERTAIN NONHIGHWAY PURPOSES OR BY 
L
O
C
A
L TRANSIT SYSTEMS.—Subscctions (a) and (b)(1)(A) of sec-
tion 6421 of such Code (relating to gasoline used for certain non- 
^o stat. .394. 
highway purposes or by local transit systems) are each amended 
by striking out "1 cent for each gallon of gasoline so used" and 
inserting in lieu thereof "1 cent for each gallon of gasoline so 
used on which tax was paid at the rate of 3 cents a gallon and 2 
cents for each gallon of gasoline so used on which tax was paid at 
the rate of 4 cents a gallon", 
(e) 
COLLECTION OF GASOLINE TAX AT WHOLESALE DISTRIBUTOR 
LEVEL.— 
(1) TREATMENT OF WHOLESALE DISTRIBUTOR AS PRODUCER.—The 
first sentence of section 4082(a) of the Internal Kevenue Code of 
1954 (relating to definition of "producer" for purposes of tax on 
68A stat. 483. 
gasoline) is amended to read as follows: "As used in this sub-
part, the term 'producer' includes a refiner, compounder, blender, 
or wholesale distributor, and a dealer selling gasoline exclusively 
to producers of gasoline, as well as a producer." 
(2) WHOLESALE DISTRIBUTOR DEFINED.—Section 4082 of such 
Code is amended by adding at the end thereof the following new 
subsection: 
"(d) WHOLESALE DISTRIBUTOR.—As used in subsection (a), the term 
'wholesale distributor' includes any person who— 
"(1) sells gasoline to producers, to retailers, or to users who 
purchase in bulk quantities for delivery into bulk storage tanks, 
and 
"(2) elects to register and give a bond Avith respect to the tax 
imposed by section 4081. 
Such term does not include any person who (excluding the term 
'wholesale distributor' from subsection (a)) is a producer or importer." 
(3) EFFECTIVE DATE.—The amendments made by paragraphs 
(1) and (2) shall take effect on January 1, 1960. 
SEC. 202. TRANSFERS TO HIGHWAY TRUST FUND. 
(a) TRANSFER.—Section 209(c) of the Highway Revenue Act of 
1956 (relating to transfer to Highway Trust Fund of amounts equiv-
alent to certain taxes) is amended by renumbering paragraphs (2) 
and (3) as paragraphs (3) and (4), respectively, and by inserting 
after paragraph (1) the following new paragraph: 
" (2) 
EXCISE TAX ON AUTOMOBILES, PARTS AND ACCESSORIES, ETC.— 
There is hereby appropriated to the Trust Fund, out of money in 
the Treasury not otherwise appropriated, amounts equivalent to 
that portion of the taxes received in the Treasury after June 30, 
1961, and before July 1, 1964, under subsection (a) (2) (tax on 
passengerautomobiles, etc.) and (b) (tax on parts andf^ccessories) 
of section 4061 of the Internal Revenue Code of 1954 which is equal 
26'^i(?*406*i! 
to the amount which would have been so received if the tax rate 
under each such subsection had been 5 percent in lieu of the 
applicable rate." 
70 Stat. 397. 
23 u s e 120 note. 
616 
PUBLIC LAW 86-343-SEPT. 21, 1959 
[73 ST A T . 
70 Stat. 399. 
23 use 120 note. 
68A Stat. 795. 
26 use 6412. 
(b) CONFORMING AMENDMENTS.— 
(1) CLERICAL AMENDMENT.—Parajjraph (4) (as renumbered 
by subsection (a)) of such section 209(c) is amended by striking 
out "paragraphs (1) and (2)" each place it appears and inserting 
in lieu thereof "paragraphs (1), (2), and (3)". 
(2) FLOOR STOCKS REFUNDS.—Section 209(f) of the Highway 
Revenue Act of 1956 (relating to expenditures from Highway 
Trust Fund) is amended— 
(A) b}^ striking out the heading to paragraph (4) and 
inserting in lieu thereof the following: 
" ( 4 ) 
1972 FLOOR STOCKS REFUNDS.—''; a n d 
(B) by adding at the end thereof the following new para-
graph : 
"(5) 1961 F
L
O
O
R STOCKS REFUNDS ON GASOLINE.—The Secretary 
of the Treasury shall pay from time to time from the Trust Fund 
into the general fund oi the Treasury amounts equivalent to the 
floor stocks refunds made before July 1, 1962, under section 
6412(a)(3)." 
Approved September 21, 1959. 
Public Law 86-343 
September 2 I, 1959 
[H. R. 8694] 
AN ACT 
To authorize the Starr-Camargo Bridge Company to construct, maintain, and 
operate a toll bridge across the Rio Grande, at or near Rio Grande City, 
Texas. 
Bridge construc-
tion. 
Rio Grande City, 
Tex. 
34 Stat. 84. 
33 use 491 note. 
Tolls. 
34 Stat. 84. 
33 use 494. 
Right to s e l l , 
transfer, etc. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of A?nerica in Congress assembled, That in order to 
facilitate international commerce, improve the postal service, and 
other purposes, the Starr-Camargo Bridge Company of the State of 
Texas is authorized to construct a toll bridge and approaches thereto 
across the Rio Grande, at a point suitable to the interests of naviga-
tion, at or near Rio Grande City, Texas, and for a period of sixty-six 
years from the date of completion of said bridge, to maintain and 
operate same and to collect tolls for the use thereof, so far as the 
United States has jurisdiction over the waters of such river in accord-
ance with the provisions of the Act entitled "An Act to regulate the 
construction of bridges over navigable waters", approved March 23, 
1906, subject to the conditions and limitations contained in this Act, 
and subject further to the approval of the International Boundary 
and Water Commission, United States and Mexico, and also subject 
to the approval of the proper authorities in the Republic of Mexico 
to the construction, operation, and maintenance of such bridge. 
SEC. 2. The Starr-Camargo Bridge Company is hereby authorized 
to fix and charge tolls for transit over such bridge in accordance with 
any laws of the State of Texas or the United States applicable thereto, 
and the rates of toll so fixed shall be the legal rates until changed 
under the authority contained in the Act of March 23,1906. 
SEC. 3. The right to sell, assign, transfer, and mortgage all the 
rights, powers, and privileges conferred by this Act to any public 
agency, or to an international bridge authority or commission, is 
hereby granted to the Starr-Camargo Bridge Company; and any 
such public agency, international bridge authority, or international 
bridge commission to which such rights, powers, and privileges may 
be sold, assigned, or transferred, or which shall acquire the same by 
mortgage foreclosure or otherwise, is hereby authorized and em-
powered to exercise the same as fully as though conferred herein 
directly upon such public agency, international bridge authority, or 
international bridge commission.