Foreign Relations of the United States, Diplomatic Papers, 1944, General: Economic and Social Matters, Volume II

840.70/9–1944

The Ambassador in the United Kingdom (Winant) to the Secretary of State

No. 18095

London, September 19, 1944.
[Received September 29.]

Sir: Referring to the Embassy’s despatch No. 16553 of June 29, 1944,²⁴ telegrams No. 5667, July 18, 6033, July 29 and the Department’s telegrams No. 5567, July 15, 5766, July 22 and 6101, August 2, I have the honor to forward copies of a revised draft of the agreement incorporating amendments subsequently agreed to between the United States and United Kingdom Governments.

Respectfully yours,

For the Ambassador:

W. J. Gallman

Counselor of Embassy

[Enclosure]

Draft Agreement for European Inland Transport Organization²⁵

Whereas, after the liberation of any territories of the United Nations in Europe, and after the occupation of any enemy territories in Europe, it is expedient for the fulfilment of the common military needs of the United Nations and in the interests of the social and economic progress of Europe, to provide for co-ordination both in the control of traffic and in the allocation of transport equipment and material with a view to ensuring the rapid movement of supplies both for military forces and the civil population and for the speedy repatriation of displaced persons, and also with a view to creating conditions in which the normal movement of traffic can be more rapidly resumed;

The Governments or Authorities whose duly authorised representatives have subscribed hereto;

Have agreed as follows:—

Article I.

There is hereby established the European Inland Transport Organisation, hereinafter called “the Organisation.”

Article II.—Membership.

The members of the Organisation shall be the Governments or Authorities signatory hereto and such other Governments or Authorities as may be admitted thereto by the Council.

Wherever the terms “member Government” is used in this Agreement it shall be construed to mean a member of the Organisation, whether a Government or an Authority.

Article III.—Constitution.

1. The Organisation shall consist of a Council and an Executive Board with the necessary headquarters, regional and local staff.

The Council.

2. Each member Government shall name one representative and such alternates as may be necessary upon the Council. The Council shall, for each of its sessions, select one of its members to preside at the session. The Council shall determine its own rules of procedure. Unless otherwise provided in this Agreement or by action of the Council, the Council shall vote by simple majority.

3. The Council shall be convened in regular session not less than twice a year by the Executive Board. It may be convened in special session whenever the Executive Board shall deem necessary and shall be convened within 30 days after request therefor by one-third of the members of the Council.

4. The Council shall perform the functions assigned to it under this Agreement and review the work of the Organisation generally.

The Executive Board.

5. The Executive Board shall consist of five members who shall be appointed by the Council for their knowledge of inland transport and for their administrative capacity and shall include one member nominated by each of the Governments of the Union of Soviet Socialist Republics, of the United Kingdom, and of the United States. Each member of the Executive Board shall be provided with a deputy similarly nominated and appointed. The members and their deputies shall be appointed in the first place for one year.

The Executive Board shall choose its own Chairman, subject to confirmation by the Council.

6. The Executive Board shall perform the executive functions assigned to the Organisation. It shall act, if necessary, in accordance with the ruling of the majority of its members. It shall present to the Council such reports on its performance of its functions as the Council may require.

7. The Executive Board shall appoint such headquarters, regional and local staff as it shall find necessary and may delegate to them such of its powers and on such conditions as it may deem appropriate.

8. Each member Government may appoint a representative for purposes of consultation and communication with the Executive Board. Such representative shall be fully informed by the Board of all activities of the Organisation.

Article IV.

The Organisation shall have powers to acquire, hold and convey property, to enter into contracts and undertake obligations, to designate or create agencies and to review the activities of agencies so created, to manage undertakings and in general to perform any legal act appropriate to its object and purposes.

Those powers are vested in the Council. The Council may, however, delegate such of these powers as it may deem necessary to the Executive Board, including the power of subdelegation. The Executive Board shall be responsible to the Council for the upkeep and administration of any property owned by the Organisation.

Article V.—Finance.

1. The Executive Board shall submit to the Council an initial budget and from time to time such supplementary budgets as may be required, covering the necessary administrative expenses of the Organisation. Upon approval of a budget by the Council the total amount approved shall be raised in such manner or be allocated in such proportions as may be agreed between the member Governments. Each member Government undertakes, subject to the requirements of its constitutional procedure, promptly to contribute to the Organisation, in such currency or currencies as may be agreed with the Executive Board, its share of the expenses. Each member Government shall also provide such facilities as are required for the purposes of the Organisation, for the transfer of sums held by the Organisation in that Government’s own currency into other currencies.

2. The Organisation shall not incur any expenses, other than necessary administrative expenses, except under the authority of the Council. Proposals for such expenses shall be submitted by the Executive Board to the Council, and when approved by the Council such expenses shall be met by contributions which a member Government or Governments may agree to make or in such other manner as may be agreed between Governments.

Article VI.—The Scope of the Organisation.

1. The Organisation shall exercise the functions set out in Article VII in respect of any territory in Continental Europe under the authority of any member Government in respect of which it has commenced operations in accordance with Article XI.

2. In respect of any territory in Continental Europe in which the Allied Commanders-in-Chief retain responsibility for the direction of the transport system, the Organisation shall give advice or assistance to the Allied Commanders-in-Chief, if so requested by them, on all questions with which it is empowered to deal under Article VII.

3. The term “territory under the authority of a member Government” shall be construed to mean territory in Continental Europe either in the sovereignty of a member Government or territory over which a member Government or Governments are exercising authority or control. Throughout this Agreement the term “Continental Europe” shall mean all territories on the mainland of Europe under the authority of member Governments, but shall not extend to territory of the United Kingdom or of the Union of Soviet Socialist Republics.

4. The Organisation shall treat with any occupation authorities set up by member Governments in respect of any territory in Continental Europe in which the occupation authorities are exercising effective control in place of the sovereign Government of such territory on all matters on which the Organisation would treat with such sovereign Governments if they were member Governments.

Article VII.—Executive Functions.

The executive functions of the Organisation shall be generally to take action towards the rehabilitation and re-equipment of the transport system in Continental Europe and to co-ordinate the movement of traffic of common concern in these transport systems and, in particular, shall include the following:—

Transport Equipment and Material.

1. The Organisation shall estimate the requirements of transport equipment and material for the territories under the authority of the member Governments in Continental Europe.

2. The Organisation shall to the extent necessary for the fulfilment of its purposes, allocate and determine the distribution for use to the member Governments concerned, on such conditions as it may prescribe and within the framework of priorities determined by the appropriate authorities of the United Nations, of transport equipment and material—

(a) imported into Continental Europe or made available by the Allied Commanders-in-Chief;

(b) made available for export from any territory of Continental Europe to any other such territory;

(c) made available to the Organisation by occupation authorities from the transport equipment and material under their control.

The Organisation may from time to time set apart any such transport equipment and material referred to in (a), (b) and (c) above as it may deem necessary for facilitating traffic of common concern, and retain or take direct control over its use for such period or periods as it may deem necessary.

The Organisation shall keep full records of transport equipment and material allocated and set apart in accordance with the provisions of this section.

3. In respect of equipment belonging to a member Government or to persons or bodies under the authority of a member Government and found during the liberation of Europe outside the territories under the authority of that member Government, the Organisation shall endeavour to arrange the restoration of such equipment to its rightful owners as soon as is practicable and convenient, acting in accordance with the general policies of the appropriate authorities of the United Nations regarding restoration and restitution of property removed by the enemy. Where immediate restoration would unduly prejudice the operation of essential transport in any area, the Organisation may make arrangements for the temporary use of equipment pending its restoration.

4. The Organisation shall at the earliest practical time organise a census of rolling-stock in Continental Europe and of such other transport equipment and material there as may appear necessary for the proper discharge of its functions.

Traffic.

5. The Organisation may make such recommendations to the appropriate authorities as it deems necessary with respect to particulars of projected movements of supplies, stores or persons, having regard to the transport facilities available for the movement of such traffic.

6. The Organisation may direct, within the framework of the priorities determined by the appropriate authorities of the United Nations, the movement of traffic of common concern on all routes of transport in Continental Europe.

7. The Organisation may take any practicable step to supervise and regulate the use and movement of transport equipment engaged in the carriage of traffic of common concern.

Charges.

8. The Organisation shall recommend to member Governments the principles by which transport charges for traffic of common concern in Continental Europe should be fixed by them in accordance with the provisions of Section 8 of Article VIII with a view to securing that such charges shall be as low and simple and as uniform in the various territories as may be practicable. This paragraph shall not apply to military traffic under the control of the Allied Commanders-in-Chief except at their request.

Rehabilitation of Transport Systems.

9. The Organisation may make recommendations to any member Government designed to promote the rehabilitation of the transport systems in Continental Europe, and as to the priority in which works or projects in respect of the rehabilitation or improvement of transport facilities shall be carried out.

10. While it remains the task of each member Government to provide for the efficient operation of the transport systems in Continental Europe for which it is responsible, the Organisation may exceptionally, at the request of any member Government, give any practicable assistance in the rehabilitation or operation of transport in any territory in Continental Europe under the authority of such Government on such conditions as may be agreed between such Government and the Organisation.

Co-ordination of European Transport.

11. The Organisation shall initiate and co-ordinate common action to secure the inauguration, maintenance or resumption of international arrangements for through working of railways and circulation of rolling-stock, and shall promote the establishment of appropriate machinery for co-operation between railway administrations.

12. The Organisation shall initiate the establishment of suitable administrations for the international waterways of Europe designed to promote their restoration and maintenance and to ensure the greatest possible freedom of movement on and between the several waterways, their tributaries and connecting canals. Such administrations may be established provisionally pending international regulation of the matter.

13. The Organisation shall take such steps as may be practicable to facilitate the movement of road transport vehicles across frontiers.

14. The Organisation shall make recommendations to the member Governments designed to promote adequate co-ordination of all European transport for the fulfilment of the common military needs of the United Nations or in the interests of the social and economic progress of Europe, and of the general well-being of the nations.

Relations with Other Agencies.

15. The Organisation shall collaborate as may be required with appropriate authorities and agencies of the United Nations and other international organisations. It shall give any assistance in its power to the Allied Commanders-in-Chief in the fulfilment of the common military needs of the United Nations.

16. The Organisation shall arrange for consultation through appropriate machinery with representatives of persons employed in inland transport.

Miscellaneous.

17. The Organisation may advise the member Governments and any appropriate authorities of the United Nations on the priority to be given in the interests of the rehabilitation of European transport to the repatriation of displaced transport personnel and skilled and other workers required for the production, maintenance or repair of transport equipment and material, and when requested by the responsible authorities the Organisation shall endeavour, with the co-operation of the Governments, to secure additional transport personnel or other suitable workers for any areas in which shortages of workers in any category may have occured.

18. The Organisation shall give all practicable assistance through the appropriate authorities to any member Government when requested by that Government in obtaining supplies of fuel, power and lubricants to meet the needs of traffic of common concern in order that that Government may fulfil its obligations under Section 6 of Article VIII.

Article VIII.—Obligations of member Governments.

1. Every member Government shall upon request, provide the Organisation with such information as is essential for the performance of its functions.

2. Every member Government undertakes that—

(i) it will facilitate the execution of Section 3 of Article VII and will recognise the arrangements for temporary use made by the Organisation under that Section;

(ii) it will not, except with the consent of the Organisation—

(a) seize nor make use of any transport equipment and material in Continental Europe found outside the territories under its authority, even though belonging to it or to persons or bodies under its authority;

(b) seize nor make use of transport equipment and material found within territory under its authority but not belonging to it or to persons or bodies under its authority;

(c) seize nor make use of transport equipment and material coming within territory under its authority under arrangements made under the auspices of the Organisation for the movement of traffic of common concern.

The provisions of this section shall not affect the rights of the Allied Commanders-in-Chief within any territory in respect of which the Organisation has not begun to exercise its functions under Article VII.

3. Every member Government undertakes to co-operate fully in the census for which provision is made in Section 4 of Article VII.

4. So long as the Organisation deems necessary for the exercise of its functions under Section 2 of Article VII every member Government undertakes that, except with the consent of the Organisation, it will not—

(a) permit the import into territories in Continental Europe under its authority of any transport equipment and material;

(b) permit the export from its own territories of transport equipment and material to any territories in Continental Europe under the authority of member Governments.

The provisions of this Section shall not debar the Allied Commanders-in-Chief from importing or exporting or permitting the import or export of transport equipment and material into or out of any territory. The provisions of this Section shall apply to the disposal of military transport equipment and material provided that the Allied Commanders-in-Chief are satisfied that military necessities permit.

5. Every member Government shall put into effect directions as to movement of traffic in Continental Europe given by the Organisation in accordance with Section 6 of Article VII.

6. Every member Government shall take all measures practicable and necessary to ensure in respect of the territory in Continental Europe under its own authority that adequate supplies of fuel, power and lubricants are available for the movement of traffic of common concern through or within any territory in Continental Europe.

7. Every member Government undertakes not to levy nor permit the levy of customs duties or other charges, other than transport charges and admissible transit charges, on traffic of common concern in transit through territories in Continental Europe under its authority.

8. Every member Government undertakes to secure that transport charges made within territories in Continental Europe under its authority on traffic of common concern, including such traffic in transit through such territories, shall be as low and simple and as uniform with those in other territories (to which this Agreement applies) as is practicable. Every member Government shall give the fullest consideration to recommendations made by the Organisation in accordance with Section 8 of Article VII and report to the Organisation on the action taken.

9. Every member Government undertakes to co-operate with the Organisation in the exercise of its functions under Sections 11, 12 and 13 of Article VII.

10. Every member Government shall use its best endeavours in its relations with any other international organisations, agencies or authorities to give effect to the provisions of this Agreement.

11. Every member Government shall give the fullest consideration to any recommendations made by the Organisation, in accordance with Sections 9 and 14 of Article VII and report to the Organisation on the action taken.

12. Every member Government shall grant all facilities to and confer authority on members of the staff of the Organisation so far as such facilities and authority are necessary to the performance by the Organisation of its functions in accordance with Article VII.

13. Every member Government shall in territory under its authority take all steps in its power to facilitate the exercise by the Organisation of any of the powers referred to in Article IV.

Article IX.

The Organisation shall be related to any general international organisation to which may be entrusted the co-ordination of the activities of international organisations with specialised responsibilities.

Article X.

The functions of the Organisation shall relate to all forms of transport by road, rail, waterway or pipeline, within the territories of the Continent of Europe in which the Organisation operates, but shall not include seagoing shipping save such shipping as may from time to time be agreed between member Governments and the shipping authorities of the United Nations to be available for coastwise traffic within any territory in Continental Europe under the authority of that Government, and for so long as it may be available for that traffic.

In regard to the handling of traffic in ports where seagoing vessels are discharged or loaded, the Organisation shall co-operate with the appropriate authorities of the member Governments and any shipping organisation set up by them to ensure—

(a) the rapid turn-round of ships;

(b) the efficient use of port facilities in the best interests of the prompt clearance of cargo of common concern.

Article XI.

1. This Agreement shall come into force on . . . . . It shall remain in force for two years from the date of general suspension of hostilities with Germany and shall thereafter remain in force, subject to the right of any member Government after the expiry of eighteen months to give six months’ notice in writing to the Council of its intention to withdraw from this Agreement.

2. The Organisation shall begin to exercise its functions under the provisions of Article VII (other than Section 1 thereof) and Article X in any territory in Continental Europe as soon as the member Government concerned becomes the effective authority for transport in that territory, provided that the Allied Commanders-in-Chief are satisfied that military necessities permit, and under such conditions as they may find it necessary to impose.

Article XII.

In the event of there being any inconsistency between the provisions of this Agreement and the provisions of any Agreement already existing between any of the member Governments, the provisions of this Agreement shall, as between such member Governments, be deemed to prevail.

Article XIII.

Until the end of the period of two years after the general suspension of hostilities with Germany, the provisions of this Agreement may be amended, suspended or terminated only by a unanimous vote of the Council. At any time, however, after that date any provision of this Agreement may be amended, suspended or terminated by a two-thirds majority of the Council, provided that no alteration shall be made in the provisions of this Agreement so as to extend the financial liability or obligations of any member Government without that Government’s consent.

Article XIV.—Definitions.

For the purpose of this Agreement the following definitions have been adopted:—

(i) The term “inland transport” shall comprise all forms of transportation listed in Article X of this Agreement.

(ii) The term “transport equipment and material” shall include, so far as the Executive Board deems it necessary for the execution of the functions of the Organisation—

(a) any items of fixed and mobile equipment, stores (other than fuel), plant and spares and accessories of all kinds specifically intended and required for use of transport undertakings, including equipment required for use in ports whether ashore or afloat or required for use in connection with pipelines;

(b) material specifically intended and required for the rehabilitation or construction of roads, railways, bridges, ports, pipelines and inland waterways;

(c) major plant and tools specifically required for use in the repair of equipment for use by transport authorities.

(iii) The term “traffic of common concern” shall include—

(a) personnel, stores, supplies or other traffic to be moved in accordance with the requirements of the Allied Commanders-in-Chief;

(b) displaced persons to be repatriated and other civilians to be moved in accordance with the priorities determined by the appropriate United Nations authority;

(c) supplies for civil needs to be moved in Continental Europe in accordance with the priority determined by the appropriate United Nations authority.

(iv) The term “persons or bodies under the authority of a member Government” shall mean “persons or bodies operating within territory under the authority of a member Government.”

(v) The term “transport charges” shall include, in addition to freight or conveyance charges, any other incidental charges, such as tolls, port charges, charges for warehousing and handling goods in transit, which may affect the cost of transport.

(vi) The term “Allied Commanders-in-Chief” shall mean “those Commanders-in-Chief designated by the appropriate authorities of the Union of Soviet Socialist Republics, United Kingdom and United States of America for commands on the Continent of Europe.”

24. Not printed.
25. This draft agreement was presented to the Conference as a printed text, and is referred to in later documents as the printed text.