Iron and Steel Scrap

[Iron and Steel Scrap]
[From the U.S. Government Publishing Office, www.gpo.gov]

Collation No. 1.
UNITED STATES OF AMERICA
OFFICE OF PRICE ADMINISTRATION
Part 1304—Iron and Steel Scrap
REVISED PRICE SCHEDULE NO. 4—IRON AND STEEL SCRAP
Fed. Reg.
This copy incorporates the following: Issued 4-2-41 Effective 4-3-41 Citation 7 F. R. 1207
1304.9 as amended by Order Amending Modification Provision in Certain Revised Price Schedules 3-10-42 3-10-42 7 F. -R. 1836
1304.10 as amended by Order Amending Enforcement Provision of Certain Revised Price Schedules 3-16-42 3-16^42 7 F. R. 2132
Amendment No. 1 ... 3-18-42 3-18-42 7 F. R. 2155
Amendment No. 2 3-30-42 3-31-42 . 7 F. R. 2507
Amendment No. 3 4-24-42 4-28-42 7 F. R. 3087
Amendment No. 4 5-12-42 5-18-42 7 F. R. 3550
Amendment No. 5 * 5-22-42 5-26-42 7 F. R. 3889
Amendment No. 6 6-13-42 ,6-17-42 7 F. R. 4488
§1304.1 Maximum prices on sales of iron and steel scrap other than railroad scrap. On and after April 3, 1941, regardless of the terms of any contract of sale or purchase or other commitment theretofore entered into, no person shall sell, offer to sell, deliver, or transfer iron and steel scrap other than railroad scrap, to the consumer of such scrap or to his broker, at prices higher than the prices set forth in Appendices A, C, D and E, Incorporated herein as §§ 1304.13, 1S34.15,r43e4.H7 arrd l304.17, and no consumer or his broker shall buy, offer to buy, or accept delivery of, iron and steel scrap other than railroad scrap at prices higher than the prices set forth in An-pendices A, C, D and E (§§ 1304.13, 1304.15, 1304.16 and 1304.17) except, as provided in §§ 1304.6 and 1304.9 heredf.*
§ 1304.2 Maximum Prices on sales of iron and steel railroad scrap. On and after April 3, 1941, regardless of the terms of any contract of sale or purchase, or other commitment theretofore entered into, no person shall sell, offer to sell, deliver or transfer iron and steel railroad scrap to the consumer of such scrap or to his broker, at prices higher than the prices set forth in Appendices B, D and E, incorporated herein as §§ 1304.14, 1304.16 and 1304.17, and no consumer or his broker shall buy, offer to buy, dr accept delivery of iron and steel railroad scrap at prices higher than the prices established in Appendix B, except as provided in §§ 1304.6 and 1304.9 hereof.*
§ 1304.3 Lower than maximum prices. Lower prices than those set forth in Appendices A, B, C, D and E (§§ 1304.13, 1304.14, 1304.15, 1304.16 and 1304.17) may, however, be charged, demanded, paid or offered.*
*§§ 1304.1 to 1304.17, inclusive, issued pursuant to the authority contained in Executive Orders Nos. 8734, 8875, 6 F.R. 1917, 4483. (Executive authority superseded by Emergency Price Control Act of 1942, Pub. Law 421, 77th Cong.)
§ 1304.4 Method of securing information governing maximum prices on sales of iron and steel railroad scrap. On and after April 3, 1941, no sale of any grade of iron and steel railroad scrap, for which a maximum price is not listed in § 1304.14, Appendix B, shall be made until after the Office of Price Administration has established a maximum price therefor, and until opportunity has been given any prospective buyer of such scrap to learn the maximum price applicable to such sale. The prospective buyer may ascertain such maximum price by addressing an inquiry to the Office of Price Administration, Washington, D. C. The railroad maker thereof or other person shall file with the Office of Price Administration the information required to determine with § 1304.14, Appendix B, the maximum price thereby established for such grade.*
§ 1304.5 Geographical application. The provisions of Price Schedule No. 4 shall apply only to sales, offers to sell, deliveries, or transfers of iron and steel scrap moving within, into or out of one of the 48 States of the United States or the District of Columbia.*
§ 1304.6 Commissions, (a) No commission shall be payable hereunder, except by a consumer to a broker for brokerage services rendered to the consumer. In the event that a broker purchases iron and steel scrap for sale to a consumer, such consumer may pay such broker a commission not exceeding 50 cents per gross ton.2 No commission shall be payable unless (1) the broker guarantees the quality and delivery of an agreed tonnage of scrap; (2) the scrap is purchased by the consumer at a price not higher than the maximum applicable herein; (3) the broker sells the scrap to the consumer at the same price at which he
2 For grades of scrap commanding a premium for contained nickel under § 1304.13 (a) (4), the maximum commission shall be $1.00 per gross ton.
purchased it; (4) the broker does not split or divide the commission, in whole or in part, with the seller or sellers of the scrap, with another broker or sub-broker, or with the consumer; (5) the commission is shown as a separate item on the invoice. No commission shall be payable to a person for scrap which he prepares.
(b) Whenever a consumer shall employ, or retain in its employ or as its agent, for the purchase of iron and steel scrap, any individual who, at any time since April 3, 1941, has been engaged as the partner, officer, employee or agent of a person who is or was engaged in the business of selling iron and steel scrap to consumers, or who holds or, since April 3, 1941 has held, any direct or indirect interest, in any such person, such consumer (1) shall neither retain nor acquire any business or commercial relations with such person or with any other person owning a substantial interest in such person, or with any affiliate of such person or of such other person; and (2) shall in no event pay a commission in connection with the purchase of iron and steel scrap to any person whatsoever: Provided, however, That the prohibitions of this paragraph shall not apply if the arrangement for employment of such individual has been submitted to and approved by the Office of Price Administration as not designed or tending toward the evasion of the provisions of this Revised Price Schedule.
§ 1304.7 Evasion. The price limitations set forth in Price Schedule No. 4 shall not be evaded whether by direct or indirect methods, in connection with the purchase, sale, delivery or transfer of iron and steel scrap, alone or in conjunction with any other material, or by way of any commission, cross-billing, service, transportation, or other charge, or discount, premium, or other privilege, or by tying-agreement or other trade understanding, or by upgrading, or otherwise.*
§ 1304.8 Record-keeping and reporting requirements. Every dealer in, and
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every maker, smelter, processor, broker, or consumer of, and every other person purchasing or selling iron and steel scrap shall keep for inspection by the Office of Price Administration for a period of not less than one year, complete and accurate records of:
(a) As of the close of each month, the quantity in pounds and quality by grades of iron and steel scrap, (1) on hand and (2) on order;
(b) In the case of transactions for which maximum prices are established in Price Schedule No. 4, each such purchase or sale, the date thereof, the name and address of the buyer or the seller, the shipping point price, the quantity in pounds and quality in grades, as defined in the applicable appendix, the mode or modes of transportation used from shipping point to point of delivery, the transportation charges involved, the bills of lading and other documents evidencing the movement from shipping point to point of delivery, the delivered price and the commission, if any, involved in the transaction. The record shall also contain such further requirements as are set forth- in the applicable appendix (see especially § 1304.15 (b) (2) (iii)).
(c) In the case of transactions (including purchases or sales of used material which is to be made into iron and steel scrap, e. g., a box car, locomotive, graveyard automobile or the like) for which no maximum prices are established hereunder, each such purchase or sale, the date thereof, name and address of the buyer or seller, the type of material involved, the purchase or sales price, and the terms of such price (i. e. whether the material is purchased or sold as is, where is, or delivered to the dealer’s yard, or otherwise.
(d) Persons affected by Price Schedule No. 4 shall submit such reports to the Office of Price Administration as it may from time to time require.*
(e) Where shipment of scrap to the consumer .or his broker involves rail or water movement, the shipper must execute and mail to the consumer or broker a shipping notice simultaneously with the shipment of the scrap. Such shipping notice must contain the date of shipment, number and initial of car or name of vessel, the consumer’s and/or broker’s purchase order number, the specific grade or grades of scrap as they are designated in the applicable appendix of this Revised Price Schedule No. 4 (e. g., No. 2 Heavy Melting Steel, Cut Automotive Steel 2 ft. and under, Unprepared Heavy Melting Steel, Heavy Breakable Cast, No. 1 Cupola Cast), and the signature of the shipper or his duly authorized representative.
§ 1304.8a Licensing order applicable. The provisions of Supplementary Order No. 52—Licensing, are applicable to every dealer subject to this Revised Price Schedule No. 4, as amended, selling iron and steel scrap to a consumer or his broker. In this section, and this section only, the term “dealer” shall have the
2 7 F.R. 3403.
meaning given to it by Supplementary Order No. 5.
§ 1304.9 Petitions for Amendment. Persons seeking any modification of this Revised Price Schedule No. 4 or an adjustment or exception not provided for therein may file petitions for amendment in accordance with the provisions of Procedural Regulation No. 1 (§§ 1300.1-1300.56)3 issued by the Office of Price Administration.
§ 1304.10 Enforcement, (a) Persons violating any provision of this Revised Price Schedule No. 4 are subject to the criminal penalties, civil enforcement actions, license suspension proceedings, and suits for treble damages provided for by the Emergency Price Control Act of 1942.
(2) Persons who have evidence of any violation of this Revised Price Schedule No. 4 or any price schedule, regulation or order issued by the Office of Price Administration or of any acts or practices which constitute such a violation are »urged to communicate with the nearest field or regional office of the Office of Price Administration or its principal office in Washington, D. C.
§ 1304.11 Definitions, (a) “Person” includes an individual, corporation, partnership, association, or any other organized group of persons, or legal successor or representative of any of the foregoing, and includes the United States or any agency thereof, or any other government, or any of its political subdivisions, or any agency of any of the foregoing.
(b) “Iron and steel scrap” means all ferrous materials, either alloyed or unalloyed, of which iron or steel is a principal component, which are the waste of industrial fabrication, or objects that have been discarded on account of obsolescence, failure, or other reasons, and shall include any material, whether reusable or not, which is normally consumed (by way of example but not by way of limitation) in remelting, rerolling, reworking, ballast, or annealing operations, or as a reduction agent.
(c) “Iron and steel scrap other than railroad scrap” means the kinds and grades of imported and domestic iron and steel scrap referred to in Appendices A, C, D and E (§§ 1304.13, 1304.15, 1304.16 and 1304.17)
(d) “Iron and steel railroad scrap” means iron and steel scrap having a railroad origin a$d includes the kinds and grades of imported and domestic iron and steel scrap referred to in Appendices B, D and E (§§ 1304.14, 1304.16 and 1304.17)
(e) “Railroad” means steam and electric railroads, street, suburban, and interurban electric railways and local trolleys, and mines, logging roads and similar sources of iron and steel scrap.
(f) “Consumer” means a purchaser for its own consumption of iron or steel scrap—(by way of example but not by way of limitation) smelter, foundry, steel mill, briquetter, forge shop, and any
3 7 FJR. 971.
governmental agency or sub-division other than the Metals Reserve Corporation.
(g) “Imported scrap” means iron and steel scrap which does not originate in and is not shipped from one of the 48 States or the District of Columbia.*
§ 1304.12 Effective date. Price Schedule No. 4 shall become effective April 3, 1941, except as otherwise specifically provided herein. *
§ 1304.12a Effective dates of amendments. (a) Amendment No. 1 (§ § 1304.6, 1304.12a, 1304.13 (c) (3),(d) (3), (d) (4), 1304.14 (a), 1304.15 (b) (3)) to Revised Price Schedule No. 4 shall become effective March 18, 1942.
(b) Amendment No. 2 (§§ 1304.11 (b), (f), 1304.12a (b), 1304.13 (a), (f), 1304.14 (c), (d), (e), 1304.15 (a)) to Revised Price Schedule No. 4 shall become effective March 31, 1942.
(c) Amendment No. 3 (§§ 1304.8 (e), 1304.13 (a), 1304.14 (d) (2) (v), 1304.15 (a)J to Revised Price Schedule No. 4 shall become effective April 28, 1942.
(d) Amendment No. A (§§ 1304.8a, 1304.10 (a), 1304.11 (a),z1304.13 (d), 1304.15 (d)) to Revised Price Schedule No. 4 shall become effective May 18, 1942.
(e) Amendment No. 5 (§ 1304.13 (f) to Revised Price Schedule No. 4) shall become effective May 26, 1942.
(f) Amendment No. 6 (§§ 1304.6, 1304.11 (f), 1304.13 (a), (c) (1) (i), (c) (2) (i), (c) (4), (c) (5), (d) (1), (d) (4) Exceptions 3, 7, and 8, (f), 1304.14 (d) (1), (d) (3), (e), 1304.15 (a) footnote 1, (a) (2), (a) (3), (a) (4), (a) (5). (a) (6),(b) (1), 1304.17) to Revised Price Schedule No. 4 shall become effective June 17, 1942.
§ 1304.13 Appendix A: Maximum prices for iron and steel scrap other than railroad scrap, (a) Basing point prices from which shipping point prices and consumers’ delivered prices are to be computed.
( 1) Basing point1 prices of the base grade, No. 1 heavy melting steel.
No. 1 Heavy Melting Steel (Item 1)
Basing Point: Price per gross ton
Pittsburgh, Pa? $20.00
Brackenridge, Pa 20.00
Butler, Pa 20.00
Monessen, Pa 20.00
Midland, Pa— 20.00
Johnstown, Pa 20.00
Sharon, Pa 20.00
Canton, Ohio 20.00
Steubenville, Ohio__ 20. 00
Youngstown, Ohio.. 20.00
Warren, Ohio 20.00
Weirton, W. Va 20.00
Cleveland, Ohio 19.50
Cincinnati, Ohio8-- 19.50
Middletown, Ohio__ 19.50
Portsmouth, Ohio__ 19.50
Ashland, Ky 19.50
Buffalo, N. Y 19.25
Claymont, Del 48.75
2 The Pittsburgh Basing Point includes the switching districts of Bessemer, Homestead, Duquesne, Munhall and McKeesport, Pa.
3 The Cincinnati Basing Point includes the switching district of Newport, Ky.
lA Basing Point includes th? switching district of the city named.
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No. 1 Heavy Melting Steel (Item 1)—Con.
Basing Point—Con. Price per gross ton
Coatesville, Pa $18.75
Conshohocken, Pa 18.75
Harrisburg, Pa 18.75
Phoenixville, Pa 18.75
Sparrow’s Point, Md 18.75
Chicago, Ill 18.75
Bethlehem, Pa 18.25
Kokomo, Ind_ 18.25
Duluth; Minn 18.00
Detroit, Mich 17.85
Toledo, Ohio4 >
St. Louis, Mo5 17.50
Atlanta, Ga 17.00
Alabama City, Ala 17.00
Birmingham, Ala_ 17.00
Los Angeles, Calif 17.00
Pittsburg, Calif 17.00
San Francisco, Calif8- 17.00
Minnequa, Colo 16.50
Seattle, Wash 14.50
4 Toledo, Ohio shall be a basing point for Items 8, 9, 10, 11, and 12 and the basing point ptices for those items shall be:
Price per gross ton
Item 8. Machine shop turnings $13. 85
Item 9. Mixed borings and turnings. 13.85
Item 10. Shovelling turnings 13.85
Item Ttpm 11. No. 2 Busheling 19 Cast, iron borine'S 13.85 13. 85
5 The St. Louis Basing Point includes the switching districts of Granite City, East St. Louis and Madison, Illinois.
8 The San/Francisco Basing Point includes the switching districts of South San Francisco, Niles and Oakland, California.
(2) Basing point prices of standard grades. The basing point price of any of the following standard grades at the applicable basing point named in subparagraph (1) of this paragraph shall be the basing point price of No. 1 heavy melting steel at such basing point, plus or minus the adjustment specified below:
Adjustments Standard grades (plus or minus)
Basic Open Hearth Grades:
2. No. 2 heavy melting steel
3. No. 1 busheling —
4. No. 1 bundles
5. No. 2 bundles. _ __ _ _ _
6. No. 3 bundles -$2.00
7. Tin-can bundles - 4.00
8. Machine shop turnings. Blast Furnace Grades: - 4.00
9. Mixed borings and turnings - 4. 00
10. Shoveling turnings - 4.00
11. No. 2 busheling - 4.00
12. Cast iron borings Electric Furnace, Acid Open Hearth and Foundry Grades—For Electric Furnace, Acid Open Hearth arid Foundry Use Only: 1 - 4.00
13. Billet, bloom and forge crops— + 5.00
14. Bar crops and plate scrap + 2.50
15. Cast steel + 2.50
16. Punchings and plate scrap + 2.50
17. Tube scrap + 3.00
18. Cut structural and plate scrap, 3 ft. and under + 1.00
19. Cut structural and plate scrap, 2 ft. and under + 1.50
1 No Basic Open Hearth or Blast Furnace consumer may purchase any Electric Furnace, Acid Open Hearth or Foundry Grade at a price in excess of the price listed in this paragraph for the corresponding Basic Open Hearth or Blast Furnace Grade. The prices of Items 13, 25, 26 shall not exceed the prices of Basic Open Hearth and Blast Furnace Grades respectively, unless delivered to the consumer direct from the industrial producer thereof.
Adjustments Standard grades (plus ar minus)
Electric Furnace, Acid Open Hearth
and Foundry Grades—For Elec-
trie Furnace, Acid Open Hearth
and Foundry Use Only—Con.
20. Cut structural and plate scrap,
1 ft. and under - +-$2.00
21. Cut automotive steel scrap, 3
ft. and under
22. Cut automotive steel scrap, 2
ft. and under ■ 4- .50
23. Cut automotive steel scrap* 1
ft. and under 1 - 4- 1.00
24. Automotive springs and crank-
shafts • 4- 1.00
25. Alloy free turnings - — 2.00
26. Heavy turnings - — . 50
27. Electric furnace bundles - 4. 1.00
(3) Basing point prices of special grades. The basing point price of any of the following special grades at the applicable basing point named in subparagraph (1) of this paragraph shall be the basing point price of No. 1 heavy melting steel at such basing point, plus or minus the adjustment specified below:
Adjustments Special grades (plus ar minus)
28. Briquetted machine shop turnings
29. Briquetted shovelling turnings
30. Briquetted cast iron borings —$1.00 Cast iron borings—for Chemical use only:
31. No. 1 chemical borings1. — 1.00
32. No. 2 chemical borings1 — 2. 00
1 An additional charge of 75 cents per gross ton may be made where Items 31 and 32 are loaded in box cars.
(4) Premiums for alloy content. With the exception of the premiums specifically authorized below or in any other price schedule or regulation issued by the Office of Price Administration, no premium may be charged for contained alloys;
(i) Nickel steel scrap 5.25% nickel and under. Where any grade of scrap governed by this Appendix contains 1% or more nickel, a premium of $1.00 per gross ton for each of 1% nickel may be charged. The premium shall be applied in accordance with the1 following table:
1% up to 1.25% nickel content+ $4.00
1.25% up to 1.50% nickel content+ 5. 00
1.50% up to 1.75% nickel content+ 6. 00
1.75% up to 2.00% nickel content+ 7.00
2.00% up to 2.25% nickel content+ etc. 8.00
No premium for nickel content may be charged for any grade having less than 1% nickel.
(ii) Where, apart from alloy content, any grade of scrap meets the specifications contained in paragraph (f) of this section for Items 13, 14, 16, 25, or 26, the following premiums above the maximum prices for such items shall be the maximum applicable for the contained alloys:
(a) Alloy steel scrap containing less than, 1% nickel, no premium for the nickel content.
(b) Alloy steel scrap containing 1% or more nickel, $1.00 per gross ton for each 54 of 1% nickel, but no premium for other contained alloys.
(c) Alloy steel scrap in which molybdenum is contained, $2.00 per gross ton for .15% to .65% molybdenum, or $3.00 per gross ton for over .65% molybdenum; but no premium for nickel content under 1%, or for other contained alloys. If the nickel content is 1% or more, no premium is allowable for the contained molybdenum.
(d) Alloy steel scrap conforming to specifications SAE 52,100 and sold for Electric Furnace Use only, $1.00 per gross ton.
(ii i) Where high manganese steel scrap containing at least 10% manganese, cut 12" x 24" x 8" and under, and suitable without further preparation for direct charging into an electric furnace, is sold for Electric Furnace, Add Open Hearth and Foundry use only, a premium of $7.00 per gross ton may be charged.
(5) Prohibition against special preparation charges. Except upon prior approval by the Office of Price Administration, no charge may be made for special preparation.
(6) Grades superior to No. 1 heavy melting steel. Except upon prior approval by the Office of Price Administration, no grade of scrap (other than those listed in this paragraph) shall command a premium over the maximum price established herein for the base grade, No. 1 heavy melting steel.
(7) Grades inferior to No. 1 heavy melting steel. Grades (other than those listed in this paragraph) which are inferior to the base grade, No. 1 heavy melting steel, shall be priced at the average differential below the base grade price which the seller received during the base period September 1, 1940 to January 31, 1941.
(8) Mixed shipments, (i) When grades of scrap commanding different maximum prices under the provisions of this Revised Price Schedule No. 4, are included in one vehicle, the maximum price for the scrap in such vehicle shall be the maximum price applicable to the lowest priced grade in the vehicle.
(ii) The limitation in (i) of this subparagraph shall not affect shipments involving vessel movement if each grade commanding a different maximum price under the provisions of Revised Price Schedule No. 4 is segregated in the vessel.
(iii) Where one vehicle contains exclusively grades of scrap for which premiums for alloy content are established under the provisions of this Revised Price Schedule No. 4, such premiums shall not apply (and the limitations set forth in (i) of this subparagraph shall apply), unless each such grade is segregated in the vehicle.
(b) The most favorable basing point. The “most favorable basing point” is the basing point which, when used to compute the shipping point price in the manner set forth in paragraph (c) (1) and (2) below, will yield the highest shipping point price.
(c) Maximum shipping point prices. (1) Where shipment to the consumer is wholly or partially by rail, or vessel, or combination of rail and vessel. Where
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the shipment of scrap to the consumer Is by rail, or vessel, or combination of rail and vessel, the scrap is at its shipping point when it has been placed f. o. b. railroad car or f. a. s. vessel for shipment to the consumer. In such cases, the maximum shipping point price shall be:
(i) For shipping points located within a basing point, the price established in paragraph (a) of this section for the scrap at the basing point in which the shipping point is located, minus the applicable switching charge deduction set forth in subparagraph (5); and
(ii) For shipping points located outside a basing point, the price listed in paragraph (a) hereof for the scrap at the most favorable basing point, minus the lowest established charge for transporting scrap from the shipping point to such basing point by rail or water carrier, or combination thereof. Where vessel movement is involved in the computation, in lieu of any established charges at the dock or of any charge or cost customarily incurred at the dock, 75 cents per gross ton must be included as part of the deduction in computing the shipping point price: Provided, however, At Memphis, Tenn., the deduction shall be 50 cents per gross ton, at Great Lakes ports $1.00 per gross ton, and at New England ports $1.25 per gross ton.
(2) Where shipment to the consumer is solely by motor vehicle. Where the shipment of scrap to the consumer is solely by motor vehicle, the scrap is at its shipping point when it has been loaded on such vehicle. In such cases, the maximum shipping point price shall be:
(i) For shipping points located within a basing point, the price established in paragraph (a) of this section for the scrap at the basing point in which the shipping point is located, minus the applicable switching charge deduction set forth in subparagraph (5); and
(ii) For shipping points located outside a basing point, the price listed in paragraph (a) hereof for the scrap at the most favorable basing point minus the lowest established charge for transporting scrap by public carrier from the shipping point to such basing point. Where vessel movement is involved in the computation, in lieu of. any established charges at the dock or of any charge or cost customarily incurred at the dock, 75 cents per gross ton must be included as part of the deduction in computing the shipping point price: Provided, however, At Memphis, Tenn., the deduction shall be 50 cents per gross ton, at Great Lakes ports $1.00 per gross ton, and at New England ports $1.25 per gross ton. If no established transportation rate exists for a portion of the movement from shipping point to basing point, the actual charge or cost customarily incurred by the shipper in such portion of the movement shall be included as part of the deduction in computing the shipping point price.
(3) Established charges. (i) The transportation charges or switching charges used in computing shipping point
prices need not reflect any rise in rates which became effective after March 14, 1942;
(ii), No charge shall be deemed an established charge within the meaning of Price Schedule No. 4 unless it has been the basis of actual movement of scrap to the most favorable basing point during the calendar year 1941.
(4) Exceptions to the formula for computing shipping point prices.3 (i) At all shipping points in the United States, the maximum shipping point price for No. 1 Heavy Melting Steel Scrap (with differentials established in paragraph (a) of this section for all other grades) need not fall below $13.00 per gross ton. In Tampa, Florida, Pensacola, Florida, Gulfport, Mississippi, Mobile, Alabama, New Orleans, Louisiana, Lake Charles, Louisiana, Port Arthur, Texas, Beaumont, Texas, Galveston, Texas, Texas City, Texas, Houston, Texas, and Corpus Christi, Texas, the maximum shipping point price need not fall below $14.00 per gross ton for No. 1 Heavy Melting Steel Scrap (with differentials established in paragraph (a) of this section for all other grades).
(ii) The maximum shipping point price for No. 1 Heavy Melting Steel (with differentials established in paragraph (a) of this section for all other grades) at all shipping points in New York City or Brooklyn, N. Y., shall be $15.33 per gross ton f. o. b. cars or f. a. s. vessel, or, where delivery to the consumer is solely by motor vehicle, loaded on such vehicle. The maximum shipping point prices at all shipping points in the state of New Jersey shall be computed from the most favorable basing point in terms of all-rail transportation charges.
(iii) The maximum shipping point price for No. 1 Heavy Melting Steel (with differentials established in paragraph (a) of this section for all other grades) at all shipping points within the Boston, Mass., switching district shall be $15.05 per gross ton f. o. b. cars or f. a. s. vessel, or, where delivery to the consumer is solely by motor vehicle, loaded on such vehicle. ' (5) Switching charge deductions for shipping points within basing points.
[Switching charge deduction]
Basing point: Cents per gross ton
Pittsburgh, Pennsylvania 55
Brackenridge, Pennsylvania. „— 55
Butler, Pennsylvania 28
Monessen, Pennsylvania. _ _ 28
Midland, Pennsylvania 42
Johnstown, Pennsylvania — 42
Sharon, Pennsylvania._ _ __ 42
Canton, Ohio 28
Steubenville, Ohio " 28
Youngstown, Ohio 42
Warren, Ohio . 42
Weirton West Virginia 42
Cleveland, Ohio.. 42
Cincinnati, Ohio1 28
Portsmouth, Ohio., 28
Middletown. Ohio _ 14
1 For Basic Open Hearth Grades, and Items
21, 22, 23, and 24, the switching charge de-
duction shall be 80 cents per gross ton.
sSee also paragraph (e) of this section.
[Switching charge deduction]
Basing point—Con. Cents per gross ton
Ashland, Kentucky 28
Buffalo, New York 36
Claymont, Delaware 36
Coatesville, Pennsylvania. 28
Conshohocken, Pennsylvania • 36
Harrisburg, Pennsylvania 5-28
Phoenixville, Pennsylvania £ 28
Sparrow’s Point, Md . . 11
Chicago, Ill : 84
Bethlehem, Pennsylvania ■28
Kokomo, Indiana »23
Duluth, Minnesota ^23
Detroit, Michigan » 53
Toledo, Ohio 42
St. Louis, Missouri - 28
Atlanta, Georgia 32
Alabama City, Alabama. 26
Birmingham, Alabama. f 32
Los Angeles, California 42
Pittsburg, California 32
San Francisco, California 42
Minnequa, Colorado , 22
Seattle, Washington ? _— 38
(d) Maximum prices delivered to the plant of a consumer. Scrap is at its point of delivery to the consumer when it has arrived for unloading at the plant of the consumer. In no case shall any charge or cost incurred in placing the scrap at the shipping point or any charge or cost incurred in unloading the scrap at the point of delivery, or in subsequent handling, be included in the maximum delivered price.
(1) Where transportation from shipping point to point of delivery is wholly or partially by rail, by vessel, or combination of rail and vessel, the maximum delivered price shall be the shipping point price as determined in paragraph (c) of this section, plus the established charge for transporting the scrap from the shipping point to the point of delivery by the mode of transportation employed.
Where transportation from shipping point to point of delivery includes water movement, if no established rate exists for such water movement,, then the actual charge or cost incurred in such movement may be used in computing the maximum delivered price.
Where transportation to the point of delivery includes water movement, no established charges at the dock, or any charge or cost customarily incurred at the dock, may be included in the delivered price. In lieu thereof, 75 cents per gross ton may be included in the delivered price where the movement is other than by deck scow or railroad lighter: Provided, however, That this maximum allowance shall be 50 cents per gross ton at Memphis, Tenn., $1.00 per gross ton at Great Lakes ports, and $1.25 per gross ton at New England ports. In the case of water movement by deck scow or railroad lighter, the maximum allowance shall be 50 cents per gross ton. Such allowances must be shown as a separate item on the invoice.
(2) Where transportation from shipping point to point of delivery is solely by motor vehicle, (i) Where transportation is by public carrier, the maximum delivered price shall be the shipping
4
point price as determined in paragraph (c) of this section, plus the established public carrier charge for transporting the scrap by motor vehicle from the shipping point to the point of delivery.
(ii) Where transportation is by other than, public carrier, the maximum delivered price shall be the shipping point price as determined in paragraph (c) of this section, plus the charge for transporting the scrap at the established rail carload rate for the lowest minimum weight from the rail siding nearest the shipping point to the rail siding nearest the point of delivery: Provided, however, That this charge need never fall below $1.00 per gross ton,
(3) For the purpose of computing maximum delivered prices under this paragraph, any increase in transportation charges resulting from a rise in rates which became effective after March 14, 1942 may be included only if shown as a separate item on the invoice.
(4) In no case, however, shall the delivered price exceed the price listed in paragraph (a) for the basing point nearest, in terms of established transportation charges, to the consumer’s plant, by more than $1.00 plus any increase in the transportation charge from shipping point to point of delivery resulting from a rise in rates which became effective after March 14, 1942, with the following exceptions:
Exception 1. For consumers having St. Louis as their nearest basing point the delivered price may not exceed the St. Louis basing point price by more than $1.50 plus any increase in transportation charges mentioned in (d) (3) above: Provided, That the delivered price of scrap shipped to such consumers from shipping points in Arkansas may not exceed the St. Louis basing point price by more than two dollars plus any increase in transportation charges mentioned in (d) (3) above. For consumers whose nearest basing points are Detroit, Birmingham and Alabama City, respectively, the delivered price may not exceed by more than two dollars plus any increase in transportation charges mentioned in (d) (3) above, the price at their respective basing points.
Exception 2. In the case of machine shop turnings or related grades of turnings, as defined herein, delivered to electric furnace producers of ferro alloys, and in the case of chemical borings delivered to chemical users thereof, the delivered price shall not be limited to one dollar etc., in excess of the price at the basing point nearest the consumer’s plant.
Exception 3. “Remote Scrap” means all the kinds and grades of iron and steel scrap referred to in § 1304.13, Appendix A, and having a shipping point and a point of origin within the states of Montana, Idaho, Wyoming, Nevada, Arizona, New Mexico, Texas, Oklahoma, Florida, Oregon, Utah, Washington, North Dakota, South Dakota and Louisiana. Colorado scrap shall be remote scrap for Colorado consumers only.
(i) The delivered price of remote scrap may exceed by more than $1.00 but not more than $5.00 the price at the basing plant nearest the consumer’s plant: Provided, That immediately upon delivery of such scrap, the consumer files with the Office of Price Administration, Washington, D. C., (a) a fully detailed statement under oath setting forth the name and address of the seller, the shipping point of the scrap, the grade, quantity and price at shipping point, delivered price, the mode of transportation employed and the transportation charges from the shipping point to the point of delivery, and (b) certified copies of all bills of lading covering the shipment of such scrap from the remote shipping point to the point of delivery.
(ii ) Where the delivery price of remote scrap would exceed by more than $5.00 the price at the basing point nearest the consumer’s plant, the consumer may not purchase or accept delivery of such scrap until his application to the Office of Price Administration, Washington, D. C., for permission to absorb the additional transportation charges necessary to secure such scrap has been approved. Applications by consumers must be under oath and fully detailed, setting forth the name and address of the seller, point of. shipment of the scrap, the grade, quantity and price at shipping point, proposed delivered prices, the mode of transportation to be employed, and the transportation charges from the shipping point to the consumer’s plant. The application must also contain a statement by the consumer of its need for, and its willingness to accept, such scrap at the price quoted.
Immediately upon delivery of such scrap, the consumer must comply with the filing requirements of paragraph (i) (b) above.
Exception 4. Where scrap is shipped by vessel from Duluth, Minnesota, or Superior, Wisconsin, to consumers located in Buffalo, New York, Elyria, Ohio, Cleveland, Ohio, Saginaw, Michigan, Detroit, Michigan, or Chicago, Illinois, the delivered price shall not be limited to one dollar, etc., in excess of the basing point nearest the consumer’s plant.
Exception 5. In computing the delivered price of Billet, Bloom and Forge crops originating in and shipped from the Pittsburgh Basing Point, the maximum transportation charges which may be added to the shipping point price shall be $2.65.
Exception 6. The delivered price of Low Phos. and Sulphur Punchings and Plate Scrap, Low Phos. and Sulphur Bar Crops and Smaller, Alloy Free Low Phos. and Sulphur Turnings, and First Cut Heavy Axle and Forge Turnings produced in industrial plants in the State of Michigan and shipped directly to consumers located in or nearest, in terms of established transportation charges, to the Buffalo, N. ¥., Pittsburgh, Brackenridge, or Midland, Pa., basing point, shall not exceed by more than $3.00 plus any increase in transportation charges mentioned in (d) (3) above the price at the
basing point nearest the consumer’s plant.
Exception 7. (i) Where scrap is shipped from a New England shipping point to a consumer outside New England, the maximum transportation charges which may be added to the shipping point price shall be $6.65 per gross ton.
(ii ) Where scrap is shipped from a New England Shipping point to a New England consumer, the delivered price shall not be limited to $1.00, etc., over the price at the nearest basing point nor by the $6.65 per gross ton transportation allowance contained in (i) of this exception.
Exception 8. Revoked.
Exception 9. Where scrap is shipped pursuant to an allocation order issued by the War Production Board, the delivered price shall not be limited to $1.00 etc., in excess of the price at the basing point nearest the consumer’s plant: Provided, however, That in all such cases, the most economical transporation facilities must be employed. For example, but not by way of limitation:
(!) If vessel or rail-vessel or vessel-rail facilities are available from shipping point to point of delivery, and use of such facilities will result in lower transportation charges than all-rail movement, the maximum transportation charges which may be added to the shipping point price may not exceed the charges which would apply if the cheapest available facility were employed;
(ii ) Where the most economical method available involves rail movement, the rail transportation charges must be computed on the basis of the rates for the highest minimum carload weight.
(e) Unprepared scrap. The maximum prices established hereinabove are maximum prices for prepared scrap. The term “unprepared scrap” shall have its customary trade meaning and shall not include such demolition projects as bridges, box cars or graveyard automobiles, which must be so priced that the prepared scrap will deliver to the consumer within the maximum delivered price established hereinabove.
For unprepared scrap, maximum prices shall be $2.50 less than the maximum prices for the corresponding grade or grades of prepared scrap. In no case, however, shall Electric Furnace and Foundry grades, listed in paragraph (a) above be used as the “corresponding grade or grades of prepared scrap.”
Except as otherwise provided hereunder, where scrap is to undergo preparation prior to its arrival at the point of deliver, such scrap is not at its shipping point, as that phrase is defined in paragraph (c) of this section, until after such preparation has been completed. Where a consumer purchases unprepared remote scrap in rail carload lots, if no adequate facilities for preparation exist at or near the shipping point, the consumer may designate a dealer or dealers to prepare such scrap for its use at a maximum preparation fee of $2:50 per gross ton. In such cases the maximum delivered
5
price shall be the shipping point price for unprepared scrap at the remote shipping point plus all-rail transportation charges to the point of delivery at the dealer’s yard plus a $2.50 per gross ton preparation fee plus transportation charges from the dealer’s yard to the point of delivery after the scrap has been loaded on the delivering carrier. Interim loading, unloading and similar charges may not be absorbed by the consumer. The maximum delivered price of such scrap shall not exceed by more than $5.00 the price at the basing point nearest the consumer’s plant except upon prior approval of the Office of Price Administration as provided in Exception 3 in paragraph (d) of this section. Every purchase of scrap on this preparation fee basis shall likewise be subject to all the filing and other requirements in Exception 3 of paragraph (d) of this section.
At no time shall ownership of such scrap reside in the dealer to whom the preparation fee is paid.
(f) Definitions of grades referred to in paragraph (a). All grades must be free of dirt, non-ferrous metals, or foreign material of any kind and free of excessive rust and corrosion.
Basic Open Hearth Grades
(1) No. 1 heavy melting steel. Clean wrought iron or steel scrap % inch and over in thickness, not over 18 inches in width and not over 5 feet in length. Individual pieces must, be free from attachments and so cut as to lie fiat in the charging box. No piece may weigh less than 5 pounds. May include heavy forgings, forge butts, billet, bloom, slab or bar crops not conforming to chemical analysis required for electric furnace or acid open hearth use. May include new mashed pipe ends, original diameter 4 inches and over. May not include auto body and fender stock.
(2) No. 2 heavy melting steel. Wrought iron or steel scrap % inch and over in thickness, not over 18 inches in width and not over 5 feet in length. Individual pieces must be free from attachments and so cut as to lie flat in the charging box. May include mashed or unmashed pipe ends under 4 inches in diameter. May include heavy oil field or similar cable not less than 1 inch in diameter and cut to lengths of 3 feet or less. May include car sides and light plate cut 15 inches by 15 inches or under. May not include auto body and fender stock.
(3) No. 1 Busheling. Clean wrought iron and steel scrap A inch and heavier in thickness, not exceeding 12 inches in any dimension. May not contain burnt material, cast or malleable scrap or auto body and fender material. Must be free of coated, painted, limed, or enameled stock.
(4) No. 1 Bundles. New black steel sheet scrap, hydraulically compressed to charging box size and weighing not less than 75 pounds per cubic foot. May contain new black sheet clippings and skeleton scrap. Must be free of paint or protective coating of any kind. May not
include detinned scrap, electrical sheets, or any material over 0.5% of silicon.
(5) No. 2 Bundles. Body and fender scrap or similar black sheet scrap, hydraulically compressed to charging box size and weighing not less than 75 pounds per cubic foot. May include chemically detinned material. No tin can will be deemed to be detinned unless it has undergone the chemical process for the removal and recovery of tin. May not include galvanized, vitreous enameled stock, tin plate, terne plate or other metal coated material. Painted or lacquered material shall not be considered as coated material. May include hydraulically compressed uncoated fence wire and light coil springs.
(6) No. 3 Bundles. Galvanized sheet scrap or galvanized wire hydraulically compressed into charging box size and weighing not less than 75 pounds per cubic foot. May not include terne plate or vitreous enameled stock.
(7) Tin-can bundles. Must be exclusively tin-coated or tin-alloyed material, reasonably clean with all contents removed, and hydraulically compressed into charging box size. Minimum weight 75 pounds per cubic foot.
(8) Machine shop turnings. New, clean steel turnings, including high sulphur shell turnings, free of lumps, tangled or matted material, cast-iron borings, non-ferrous metals, or excessive oil. May not contain badly rusted or corroded stock. This grade may include high sulphur turnings or shell turnings.
Blast Furnace Grades
(9) Mixed borings and turnings. Clean, short, steel and wrought iron turnings, drillings, screw cuttings and cast or malleable iron borings and drillings, free of stringy, bushy, tangled lumps, scale, and excessive oil.
(10) Shovelling turnings. Clean, short, steel and wrought iron turnings, drillings, or screw cuttings free of stringy, bushy or tangled material, lumps, excessive oil or scale.
(11) No. 2 busheling. Cut hoops, netting, cut unbaled fence wire, light sheets, rusted car sides, cotton ties, under A inch in thickness and no dimension over 8 inches. May include galvanized pipe or sheet iron. No hard steel, cast or malleable or metal coated material may be included.
(12) Cast iron borings. Clean cast iron borings and drillings, free of steel turnings, scale, lumps, and excessive oil.
Electric furnace, acid open hearth and foundry grades.
(13) Billet, bloom and forge crops. Billet, bloom, axle and heavy forge crops, not over 0.05% phosphorus or sulphur, not over 0.5% silicon and free from alloys. Not less than 2 inches square or diameter, not over 18 inches wide and sheared to lengths not over 36 inches. No piece to weigh less than 10 pounds nor more than 500 pounds. Must be new material.
(14) Bar crops and plate scrap. Bits, jars, tool joints, shell forgings, flashings.
bar crops, and plate scrap, not over 0.05% of phosphorus or sulphur, not over 0.5% of silicon, and free from alloys. Not less than 2 inches square or diameter, not over 18 inches wide and sheared to lengths not over 36 inches, except that flashings shall not exceed 2 feet in length, and plate scrap may not be less than % inch in thickness.
(15) Cast steel. All cast steel not over 48 inches long or 18 inches wide, not over 0.05% phosphorus or sulphur, free of alloys and attachments. May include heads, gates, and risers.
(16) Punchings and plate scrap. Punchings from plate and structural-steel scrap, not less than % inch diameter, not over 0.05% of phosphorus or sulphur, not over 0.5% of silicon, free of alloys. Pieces must be cut 12 inches and under.
(17) Tube scrap. Tube scrap, seamless or welded, not over 0.05% phosphorus and sulphur, free of alloys. Not more than 18 inches in length, and not over 6 inches inside diameter. May be mashed or unmashed. Pieces over 6 inches inside diameter may be included when throughly flattened. Must be new material.
(18) Cut structural and plate scrap, 3 feet and under. Clean, open-hearth steel plates, structural shapes, crop ends, shearings, or broken steel tires. Must be not less than % inch thick, cut to 3 feet and under. Not over 0.05% of phosphorus or sulphur.
(19) Cut structural and plate scrap, 2 feet and under. Clean open-hearth steel plates, structural shapes, crop ends, shearings, or broken steel tires. Must be not less than % inch thick, cut to 1 foot and under. Not over 0.05% of phosphorus or sulphur.
(20) Cut structural and plate scrap, 1 foot and under. Clean open-hearth steel plates, structural shapes; crop ends, shearings, or broken steel tires. Must be not less than % inch thick, cut to 2 feet and under. Not over 0.05% of phosphorus or sulphur.
(21) Cut automotive steel, 3 feet and under. Steel parts of automobiles free from attachments and non-ferrous metals. Cut 3 feet and under. May include frames, driving rods, rear-ends, front axles, and rims. No body and fender stock may be included.
(22) Cut automotive steel, 2 feet and under. Steel parts of automobiles free from attachments and non-ferrous metals. Cut 2 feet and under. May include frames, driving rods, rear ends, front axles, and rims. No body and fender stock may be included.
(23) Cut automotive steel, 1 foot and under. Steel parts of automobiles free from attachments and non-ferrous metals. Cut 1 foot and under. May include frames, driving rods, rear-ends, front axles, and rims. No body and fender stock may be included.
(24) Automotive springs and crankshafts. Clean automotive springs, and crankshafts.
(25) Alloy free turnings. New, short, clean steel turnings, free from lumps,
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tangled or matted material, cast iron borings, alloys, or excessive oil, containing not more than 0.05% phosphorus or sulphur.
(26) Heavy turnings. Short, heavy steel turnings not over 0.05% phos-(phorus or sulphur. Must be free from alloys. Must weigh not less than 75 pounds per cubic foot. This grade may include rail chips.
(27) Electric furnace bundles. New, black steel sheet scrap hydraulically compressed into bundles 14 x 14 x 20 or smaller.
Special Grades
(28) Briquetted machine shop turnings. Machine shop turnings. Item 8, compressed into a cohesive non-friable solid reasonably free from oil, each briquette to weigh not more than 20 pounds and to have a density of not less than 60%. ;
(29) Briquetted shovelling turnings. Shovelling turnings, Item 10, compressed into a cohesive non-friable solid reasonably free from oil, each briquette to weigh not more than 20 pounds and to have a density of not less than 60%.
(30) Briquetted cast iron borings. Cast iron borings, Item 12, compressed into a cohesive non-friable solid reasonably free from oil, each briquette to weigh not more than 20 pounds and to have a density of not less than 60%.
(31) No. 1 chemical cast iron borings. New clean cast iron borings and drillings containing not more than 1.00% oil, free from steel turnings or chips, lumps, scale, corroded or rusty material.
(32) No. 2 chemical cast iron borings. New clean cast iron borings and drillings containing not over 1.50% oil, free from steel turnings or chips, lumps, scale, corroded or rusty material.
§ 1304.14. Appendix B: Maximum prices for iron and steel scrap originating from railroads—(a) Scrap originating from railroads—operating in a basing point named below (all prices given below are per gross ton). The scrap is at its point of delivery to the consumer when it has arrived for unloading at the plant of the consumer. Where used in this appendix, the term “transportation charges” means the established charges for transporting the scrap to the point of delivery by the mode of transportation employed. The term “transportation charges” shall include any increase in transportation charges resulting from a rise in rates which became effective after March 14, 1942; and where specific amounts of allowable transportation charges are mentioned, there may be superadded thereto 6% of such allowable charge. In no case shall the maximum delivered price include any charge or cost incurred in unloading the scrap at the point of delivery or in subsequent handling.
(1) Delivered to a consumer's plant located on the line of the railroad from which the scrap originated
(All the prices given below are per gross ton]
(i) Listed grades
Basing points
No. 1 railroad grade heavy melting steel Scrap rails Rails for rerolling 2 Scrap rails 3 feet and under Scrap rails 2 feet and under Scrap rails 18 inches and under
Ashland, Ky„. $20.50 $21.50 $23.00 $23.50 $23.75 $24 00
Birmingham, Ala 18.00 19.00 20.50 21.00 21.25 21 50
Buffalo, N. Y 20.25 21.25 22.75 23.25 23.50 23.75
Canton, Ohio 21.00 22.00 23.50 24.00 24.25 24.50
Chicago, Ill : „ 19.75 20.75 22.25 22.75 23.00 23.25
20. 50 21.50 23.00 23.50 23.75 24 00
Cleveland, O........ 20.50 21.50 23.00 * 23.50 23 75 24 00
Detroit, Mich 18.85 19.85 21.35 21 85 22, IQ
Duluth, Minn 19.00 20.00 21.50 22.00 22* 25 22 50
Kansas City, Mo _ Kokomo, Ind 1 17.00 18.00 19.50 20.00 20.25 20 50
19.25 20.25 21.75 22.25 22.50 22 75
Cos Angeles, Calif 18.00 19.00 20.50 21.00 21 25 21 50
Middletown, O 20.50 21.50 23.00 23.50 23.75 24 00
Philadelphia, Pa—; 19.75 20.75 22.25 22.75 23.00 23 25
Pittsburgh, Pa .............. 21.00 22.00 23.50 24.00 24.25 24. 50
Portsmouth, O . 20.50 21.50 23.00 23.50 23.75 24.00
Man Prancisco, Calif,, 18.00 19.00 20.50 21.00 21.25 21.50
Seattle, Wash ; 15. 50 16.50 18.00 18. 50 18.75 19.00
Sharon, Pa ___ 21.00 22.00 23.50 24.00 24.25 24.50
Bparrows Point, Md 19.75 20.75 22.25 22.75 23.00 23.25
Steubenville, O_ 21.00 22.00 23.50 24.00 24.25 24.50
Ot. Louis, Mo. 18.50 19.50 21.00 21.50 21.75 22 00
Wheeling, W. Va_— 21.00 22.00 23.50 24.00 24 25 24 50
Wilmington, Del 19.75 20.75 22.25 22.75 23.00 23 25
toungstown, O 21.00 22.00 23.50 24.00 24.25 24 50
Of tfe -he railro.ad of scr»p operates m two or more of the Basing Points named above, the highest
to « mum prices established above for such Basing Points shall be the maximum price of the scrap delivered w2a consumer’s plant at any point on the railroad s line.
not “rails f°r rerolling” includes any rads which are sold to be used for rerolling, irrespective of whether or
“or such rails are usable for re-laying.
(ii) Grades not listed, (a) The price at which a consumer located on the line of the railroad from which the scrap originated may purchase any grade of scrap not listed above shall not exceed
the average price per gross ton which such railroad sold such grade delivered to the plant of a consumer, whether located on or off the line of the railroad, during the period commencing Septem-
ber 1,1940, and ending January 31, 1941, or, in case no sale was made during the period, the price at which the grade was last sold by the railroad prior thereto, and, in either event, adjusted to allow for the average grade differentials of the railroad in a manner indicated in subparagraph (b) below.
(b) For purposes of subparagraph (a) above, the maximum prices for any grade not listed in paragraph (1), (i), shall be adjusted to allow for the average grade differentials of the railroad by:
First, computing the amount of the base grade differential for the railroad which shall be the difference between the average price per gross ton at which the railroad from which the scrap originated sold No. 1 Railroad Grade Heavy Melting Steel Scrap delivered to the plant of the consumer, whether located on or off the line of the railroad during the period commencing September 1, 1940, and ending January 31, 1941, and the railroad’s maximum price established for such grade under paragraph (1), (i); and
Second, by applying this base grade differential to the price to be adjusted by either subtracting the amount of such differential from such prices in case the railroad’s average price of No. 1 Railroad Grade Heavy Melting Steel Scrap exceeds the railroad’s maximum price established for such grade under paragraph (a), (1), or adding the same in case the railroad’s average price is less than such maximum.
(2) Delivered to a consumer's plant located off the line of the railroad from which the scrap originated. Except in the case of shipments of scrap by vessel from Duluth, Minnesota, or Superior, Wisconsin, to consumers located in Buffalo, N. Y., Cleveland, Ohio, Elyria, Ohio, Detroit and Saginaw, Michigan, and Chicago, Illinois, the maximum price is either of the following, whichever is greater:
(i) The maximum price established in paragraph (1) above, for scrap delivered to a consumer on the line of the railroad from which the scrap originated, or, if the consumer can establish that he has been served by the same source of scrap in the past, the maximum price plus transportation charges (including off - the - line s w i t c hi n g charges), from the railroad’s line to the point of delivery, of not more than two dollars per gross ton for Rails for Re-rolling, Scrap Axles and other Scrap for rerolling, and of not more than one dollar per gross ton for all other grades of scrap; or
(ii) The prices listed in paragraph (1) above, for the Basing Point nearest the consumer’s plant.
Where scrap is shipped by vessel from Duluth, Minnesota, or Superior, Wisconsin, to consumers located in Buffalo, New York, Elyria, Ohio, Cleveland, Ohio, Detroit and Saginaw, Michigan, and Chicago, Illinois, the maximum delivered price shall be the maximum price established in paragraph (1) above, for scrap delivered to a consumer on the line of the railroad from which the scrap origi-
7_
nated, plus transportation charges from the railroad’s line to the point of delivery.
(b) Scrap originating from railroads not operating in any of the basing points named above. Except in the case of Rails for Rerolling, the maximum price of any grade of such scrap delivered to consumers located on and off the line of the railroad shall not exceed:
(1) For the grades listed above, either of the following, whichever is less:
(i) The average price per gross ton at which the railroad originator of the scrap sold any such grade to consumers located on and off the line of the railroad during the period commencing September 1, 1940 and ending January 31,1941; or
(ii) The price at the Basing Point nearest, in terms of transportation charges, to the consumer’s plant; and
(2) For the grades not listed above, either of the following, whichever is less:
(i) The average price per gross ton at which the railroad originator of the scrap sold any such grade to consumers located on and off the line of the railroad during the period commencing September 1, 1940, and ending January 31, 1941; or
(ii) The average price per gross ton as determined in Subparagraph (i) hereof, minus the amount by which the average price of No. 1 Railroad Grade Heavy Melting Steel scrap, as determined in (i), exceeds the price of No. 1 Railroad Grade Heavy Melting Steel scrap at the Basing Point nearest, in terms of transportation charges, to the consumer’s plant.
In the case of Rails for Rerolling, the maximum price of such scrap f. o. b. the line of the railroad originator thereof shall be the average price per gross ton at which the railroad originator sold such grade f. o. b. its line during the period commencing September 1,1940, and ending January 31, 1941. The maximum price of Rerolling Rails shall be the f. o. b. line price thus established plus transportation charges from the railroad’s line to the rerolling mill’s point of delivery.
This exception for Rails for Rerolling applies only to railroads not operating in a Basing Point named in paragraph (a), (1), (i) hereof.
(c) Railroad scrap prepared by a dealer. Railroad scrap prepared by a dealer shall be deemed to have lost its railroad origin, and the maximum prices of such scrap shall be governed by paragraph (d) of this section.
(d) Maximum prices for scrap which has lost its railroad origin, scrap originating from mines, logging roads, and similar sources and scrap originating from roads who did not within two weeks after February 9, 1942, file average price information with the Office of Price Administration. In the case of scrap which has lost its railroad origin, scrap originating from mines, logging roads, and similar sources, and any grade of scrap originating from a railroad which did not within two weeks after February 9, 1942, file the average price information for such grades as required under paragraphs (a) or (b) hereof and by
§ 1304.4, the maximum prices shall be as follows:
(1) In the case of scrap rails, scrap rails 3 feet and under, scrap rails 2 feet and under, scrap rails 18 inches and under, and rails for rerolling, the maximum shipping point price shall be computed by application of the provisions of paragraphs (b) and (c) of § 1304.13, Appendix A, to the prices at the most favorable basing points in this Appendix. The switching charge deductions pursuant to the provisions of paragraph (c) (1) (i) and (c) (2) (i) of § 1304.13 shall be those listed in said paragraph, supplemented by the following switching charge deductions:
Switching charge deduction Basing Point: Cents per gross ton
Philadelphia, Pennsylvania 14
Wheeling, West Virginia 28
Wilmington, Delaware 28
Kansas Citv. Missouri 32
In no case need this maximum shipping point price fall below $14.00 per gross ton for scrap rails, $16.00 per gross ton for scrap rails 3 feet and under, $16.25 per gross ton for scrap rails 2 feet and under, $16.50 per gross ton for scrap rails 18 inches and under, and $15.50 per gross ton for rails for rerolling. The maximum delivered price shall be the shipping point price thus obtained plus transportation charges from the shipping point to the point of delivery.
(2) All other grades of such scrap shall be classified under § 1304.13, Appendix A, or § 1304.15, Appendix C, and their maximum prices shall be governed by the provisions of the applicable appendix, except that:
(i) In the case of railroad steel axles sold for rerolling or reforging use only, the basing point price for such grade at the applicable basing point under the provisions of § 1304.13. Appendix A, shall be $6.00 per gross ton over the basing point price for No. 1 Heavy Melting Steel. The definition of “Railroad steel axles” shall be : solid car and/or locomotive axles (free of axles with key-way between wheel seats, no axles of shorter lengths than distances between wheel seats to be included).
(ii) In the case of railroad steel wheels sold for Electric Furnace, Acid Open Hearth and Foundry use only, the basing point price for such grade at the applicable basing point under the provisions of § 1304.13, Appendix A; shall be $3.50 per gross ton over the basing point price for No. 1 Heavy Melting Steel. The definition of “Railroad steel wheels” shall be: solid cast steel, forged, pressed or rolled steel car and/or locomotive wheels, 36" and under in diameter.
(iii) In the case of railroad couplers and railroad knuckles sold for Electric Furnace, Acid Open Hearth and Foundry use only, the basing point price for such grade at the applicable basing point under the provisions of § 1304.13, Appendix A, shall be $3.00 per gross ton over the basing point price for No. 1 Heavy Melting Steel. The definition of “Railroad couplers and railroad knuckles” shall be: railroad car and/or locomo
tive steel couplers, knuckles and/or locks I stripped clean of all other attachments. I
(iv) In the case of railroad springs sold I for Electric Furnace, Acid Open Hearth I and Foundry use only, the basing point I price for such grade at the applicable I basing point under the provisions of I § 1304.13, Appendix A, shall be $3.50 per gross ton over the basing point price for No. 1 Heavy Melting Steel. The definition of “Railroad springs” shall be: coil springs made of material less than %" in diameter and elliptical springs made of material less than 1A" in thickness, not over 18" width.
(v) In the case of railroad brake shoes, the maximum shipping point price shall be $4.75 per gross ton below the price of No. 1 Cupola Cast at the applicable shipping point. The definition of “Railroad brake shoes” shall be: cast iron driving and/or car brake shoes of I all types except composition filled shoes, suitable for foundry use.
(e) Unprepared scrap. (1) The maximum prices listed in paragraph (a) (1) (i) of this section of Appendix B are for prepared scrap. For such grades, in unprepared form, the maximum prices shall be $3.50 per gross ton under the maximum prices for the corresponding grade or grades of prepared scrap.
(2) Pursuant to paragraph (a) (1) (i) and paragraph (b) (2) of this section, Appendix B, the Office of Price Administration has authorized maximum prices for prepared grades of scrap originating from railroads that filed the required average price information. For such grades, in unprepared form, the maximum prices shall be $3.50 under the maximum prices for the corresponding grade of prepared scrap.
(3) Except as provided in (4) of this paragraph, where scrap is to undergo preparation prior to its arrival at the point of delivery; such scrap is not at its shipping point as that phrase is defined in paragraph (c) of § 1304.13 hereof, until after such preparation has been completed. «
(4) where a consumer purchases grades of unprepared scrap for which maximum prices have been authorized under paragraph (a) (1) (ii), or paragraph (b) (2) of this section, the consumer may designate a dealer or dealers to prepare such scrap for its use at a maximum preparation fee of $2.50 per gross ton. In such cases the maximum delivered price shall be the maximum delivered price applicable to an identical shipment of the unprepared scrap direct to such consumer, plus a $2.50 per gross ton preparation fee. At no time shall ownership of such scrap reside in the dealer to whom the preparation fee is paid.
§ 1304.15 Appendix C: Maximum price for cast iron scrap other than railroad scrap1—(a) Maximum price at shipping point—(1) Listed grades. Where shipment of the scrap to the consumer is wholly or partially by rail, or vessel, or
1 AU prices given below are per gross ton.
8
combination of rail and vessel, the scrap is at its shipping point when it has been placed f. o. b. railroad car or f. a. s. vessel for shipment to the consumer.
Where shipment of the scrap to the consumer is solely by motor vehicle, the scrap is at its shipping point when it has been loaded on such vehicle.
The shipping point price for grades of cast iron scrap at the following shipping points in the United States shall be:
Group A Group B Group C
1. No. 1 Cupola Oast $18* 00 $19.00 $20.00
2. No. 1 Machinery Cast, Drop Broken 150 lbs. and under _ 18.00 19.00 20.00
3. Clean Auto Cast . 18.00 19.00 20.00
4. Unstripped Motor Blocks 17.50 18.50 19.50
5. Stove Plate 17.00 18.00 19.00
6. Heavy Breakable Cast... 15.50 16.50 17.50
7. Charging Box Cast 17.00 18.00 19.00
8. Miscellaneous Malleable 20.00 21.00 22.00
Group A includes the states of Montana, Idaho, Wyoming, Nevada, Utah, Arizona and New Mexico.
Group B includes the states of North Dakota, South Dakota, Nebraska, Colorado, Kansas, Oklahoma, Texas and Florida.
Group C includes all states not named in groups A and B, and includes the switching district of Kansas City, Kans.-Mo.
(2) Prohibition against special preparation charges. Except upon prior approval by the Office of Price Administration, no charge may be made for special preparation.
(3) Grades superior to No. 1 cupola cast. Except upon prior approval by the Office of Price Administration, no grade of scrap (other than miscellaneous malleable) shall command a premium over the maximum price established herein for No. 1 cupola cast.
(4) Grades inferior to No. 1 cupola cast. Grades (other than those listed in this paragraph) which are inferior to No. 1 cupola cast shall be priced at the average differential below the base grade price which the seller received during the base period September 1, 1940 to January 31, 1941.
(5) Purchases by basic open hearths. Except in the case of Item 4 (Unst-ripped Motor Blocks) and Item 7 (Charging Box Cast) no basic open hearth (and, in the case of item 8, no consumer other than malleable foundry) may pay for any grade a price in excess of the price listed in this paragraph for Item 6 (Heavy Breakable Cast).
(6) Mixed shipments, (i) When grades of scrap commanding different maximum prices under the provisions of this Revised Price Schedule No. 4, are included in one vehicle, the maximum price for the scrap in such vehicle shall be the maximum price applicable to the lowest price grade in the vehicle.
(ii) The limitation in (i) of this subparagraph shall not affect shipments involving vessel movement if each grade commanding a different maximum price under the provisions of Revised Price Schedule No. 4 is segregated in the vessel.
(b) Maximum price delivered to a consumer. Scrap is at its point of delivery to a consumer when it has arrived for unloading at the plant of the
consumer. In no case shall any charge or cost incurred in placing the scrap at the shipping point or any charge or cost incurred in unloading the scrap at the point of delivery, or in subsequent handling, be included in the maximum delivered price.
The maximum price at which any grade of cast iron scrap may be delivered to a consumer shall be:
(1) Where transportation from shipping point to point of delivery is wholly or partially by rail or vessel, or combination of rail and vessel, the maximum delivered price shall be the shipping point price listed in paragraph (a) of this section, plus the established charge for transporting the scrap from the shipping point to the point of delivery by the mode of transportation employed. Where transportation- to the point of delivery includes water movement, other than by deck scow or railroad lighter, and tariffs establishing charges at the dock are published, charges incurred at the dock, but not to exceed the published tariffs, may be included in the delivered price. Where no such tariffs are published, actual charges incurred at the dock but not to exceed 75 cents per gross ton, may be included in the delivered price. In the case of water movement by deck scow or railroad lighter, the maximum charge shall be 50 cents per gross ton. In any case such charges must be shown as a separate item on the invoice.
(2) Where transportation from shipping point to point of delivery is solely by motor vehicle, (i) Where transportation is by public carrier, the maximum delivered price shall be the shipping point price listed in paragraph (a) of this section, plus the established public carrier charge for transporting the scrap by motor vehicle from the shipping point to the point of delivery.
(ii) Where transportation is by other than public carrier, the maximum delivered price shall be the shipping point price listed in paragraph (a) of this section, plus the charge for transporting the scrap at the established rail carload rate for the lowest minimum weight, from the rail siding nearest the shipping point to the rail siding nearest the point of delivery, provided however that this charge need never fall below $1.00 per gross ton.
(iii) Where shipment of the scrap to the consumer is solely by motor vehicle, the delivered price shall not exceed the shipping point price unless the consumer shall receive a certificate made out to the Office of Price Administration, Washington, D. C., and signed by the person from whose yard or point of accumulation the scrap was placed at its shipping point and by the person by whom or on behalf of whom the scrap was transported from shipping point to point of delivery. Such certificate shall, among other things, specify the quantity and grade of the scrap, the shipping point, the point of delivery, and the transportation charges from shipping point to point of delivery. The consumer shall acknowledge receipt of the material on the face of the certificate. Certification must be executed on
the Office of Price Administration’s Form 104.15 (or a copy thereof). Such forms may be secured from the Office of Price Administration, Washington, D. C., or from any Regional Office.
The above mentioned certificate, shall be preserved by the consumer as part of the record-keeping requirements outlined in § 1304.8 A copy shall likewise be preserved by all persons signing the certificate.
(3) For the purpose of computing maximum delivered prices under this paragraph, any increase in transportation charges resulting from a rise in rates which became effective after March 14,1942, may be included. ‘
(c) Definitions of grades referred to in paragraph (a).
Item 1. No. 1 Cupola Cast. Clean cast-iron scrap, such as columns, pipes, plates and castings of miscellaneous nature, but free from stove plate and agricultural scrap. Must be cupola size, not over 24 by 30 inches in dimensions, and no piece to weigh over 150 pounds. Must be free from steel and malleable parts and foreign material.
Item 2. No. 1 Machinery Cast, Drop Broken, 150 lbs. and under. Clean machinery cast-iron scrap. May include the cast-iron parts of agricultural machinery. Must be cupola size, not over 24 by 30 inches in dimensions, and no piece to weigh over 150 pounds. Must be free from steel and malleable parts.
Item 3. Clean Auto Cast. Clean, broken auto blocks, free of all steel parts and broken 75 pounds or under.
Item 4. Unstripped Motor Blocks. Motor blocks from which steel or nonferrous fittings have not yet been removed.
Item 5. Stove Plate. Clean cast-iron stove plate. Must be free from malleable and steel parts, window weights, plow points, grates, burnt iron, etc.
Item 6. Heavy Breakable Cast. Clean cast-iron scrap, such as columns, pipes, plates, and castings of miscellaneous nature, weighing over 150 pounds, and which can be broken by an ordinary drop into cupola size.
Itpm 7. Charging Box Size Cast. Clean cast-iron scrap, such as columns, pipes, plates and castings of miscellaneous nature, but free from stove plate and agricultural scrap. Must be 18 in. x 5 ft. and smaller.
Item 8. Miscellaneous Ma lleable. Malleable parts of automotive vehicles, agricultural implements, and miscellaneous malleable iron castings. Must be free from cast iron and steel parts and other foreign material.
(d) Unprepared scrap. Except in the case of Heavy Breakable Cast, the maximum prices established hereinabove are maximum prices for prepared scrap. For unprepared scrap, exclusive of Heavy Breakable Cast, maximum prices shall be $2.50 less than the maximum prices for the corresponding grade or grades of prepared scrap.
Where scrap is to undergo preparation prior to its arrival at the point of delivery, such scrap is not at its shipping
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point, as that phrase is defined in paragraph (a) hereof, until after such preparation has been completed.
§ 1304.16 Appendix D: Maximum prices for iron and steel scrap for export from the United States. (Per Gross Ton, f. a. s. and f. o. b. Point of Export)
(a) Other than railroad scrap. The maximum export prices of any grade of iron and steel scrap other than railroad scrap shall be the maximum shipping point price derived under § 1304.13, Ap-pendix A, or § 1304.15, Appendix C, plus all transportation charges, as defined in paragraph (d) of § 1304.13, Appendix A, for transporting the scrap from the shipping point to the place of export. For scrap exported by ship this maximum export price shall be f. a. s. vessel at the place of export and actual costs incident to shipment for export may be added if shown as a separate charge on the invoice. For scrap exported by means other than by ship, this maximum export price shall f. o. b. railroad cars at the place of export. Commission of the domestic broker may be added as provided in § 1304.6 of Price Schedule No. 4 and must be shown as a separate charge on the invoice.
(b) Scrap originating from railroads. The maximum export price of any grade of iron and steel scrap of railroad origin, shall be the maximum price established and determined under § 1304.14 Appendix B for a consumer located on the line of the railroad originator of the scrap plus all transportation charges, as defined in paragraph (a) of § 1304.14 Appendix B, from the line to the place of export. For scrap originating from a railroad not operating at a Basing Point, no transportation charges shall be added to the maximum prices of such scrap as determined under § 1304.14 Appendix B. For scrap exported by ship these maximum prices shall be f. a. s. vessel at the place of export and actual costs incident to shipment for export may be added if shown as a separate charge on the invoice. For scrap exported by means other than by ship, this maximum export price shall be f. o. b. railroad cars at the place of export. Commission of the domestic broker may be added as provided in § 1304.6 of Price Schedule No. 4 and must be shown as a separate charge on the invoice.*
§ 1304.17 Appendix E: Maximum prices for iron and steel scrap imported
into the United State^. With the exception of the Metals Reserve Corporation, only consumers, and persons acting as brokers on behalf of specific consumers, may enter into contracts to import iron and steel scrap.
Imported scrap is at its point of delivery to a consumer when it has arrived for unloading at the consumer’s plant.
No such purchase of imported scrap may be made until after the consumer has filed with the Office of Price Administration, Washington, D. C., a fully detailed statement under oath setting forth the name and address of the seller, the grade and quantity of the scrap, a detailed breakdown of all factors of which the price at the point -of delivery is comprised; and until such application has been approved.
Immediately upon delivery of such scrap, the consumer must file certified copies of bills of lading covering the shipment of such scrap.
Issued this 2d day of April 1941.
[Effective April 3d, 1941]
Leon Henderson,
Administrator.
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U. S. GOVERNMENT PRINTING OFFICE: 1042
0811^