4188 Coal procured under "Q" requisitions. INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [61 STAT. charged has been given to the French by the Army-Navy Petroleum Board, showing that these were actual landed cost prices. The French have accordingly withdrawn this claim. 14. French Petroleum Deliveries to the North African Pool. 93,000 tons of French-owned petroleum were contributed to the North African pool through the British. The French claim derives from that of a private French company against which France will agree to indemnify the United States. The French felt that petroleum is a product in such short supply in French territory as not to be a sub- ject of reciprocal aid, and they therefore claim for the full value of these petroleum deliveries. The U.S . side maintained that in view of the large volume of petroleum products furnished by the United States to France on a straight lend-lease basis, the United States should not be required to pay for the comparatively small amount of petroleum furnished to the pool by France, and that France's contributions to the pool must be treated in the same way as those of other members. The U.S . side therefore believed the French contribution should be considered as applied first against French military withdrawals, which considerably exceeded the tonnage of petroleum put into the pool by France. The claim was withdrawn. 15. Price of Rubber. It is agreed that the price charged to the French should be the same as that paid by the United States, sub- ject to adjustment for accrued charges, etc. The U.S. side states that necessary revisions will be made as a routine accounting matter. 16. Missing or Damaged Goods. France has abandoned this claim. 17. Cost of Procurement. France has waived its claim for reduction of the 15% accessorial charge (to cover inland transportation, han- dling, etc.) on cash reimbursable and 3(c) goods. However, with respect to coal procured under "Q" requisitions, the U.S . procuring agency requests reimbursement for actual expenses instead of adding 15% to the purchase price. The French point out that the 15% charge is an average designed to cover the overall pro- curing expenses on a group of commodities. If therefore actual cost of services is to be the rule for coal, the same rule should apply for all other commodities procured under "Q" requisition. The U. S. side replies that 15% is clearly inadequate to cover ac- cessorial charges in the case of coal and that coal constitutes $23 million of $62 million of "Q" requisitions. Application of the 15% rule could therefore result in a loss to the United States which no appropriations are available to cover. On the other hand a com- plete departure from such rule would create a precedent which would have to be extended to other countries and would greatly disturb the accounting procedure followed by the U. S . procuring agency. While it seems that technically the accessorial charge should be consistent throughout, the French side recognizes the problem facing the American administration. Upon the request of the U. S. side, France has consented to withdraw this claim. 18. Petroleum delivered to Metropolitan France for Civilian Use from February 28 to September 2, 1945. The French request that
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