996 EXTENSIONS OF REMARKS January 26, 1976
WOMENS ARMY CORPS MEDICAL SERVICE CORPS To be captain To be colonel To be colonel Baxendale, John R., xxx-xx-xxxx . Gannon, Frances C., xxx-xx-xxxx . Angel, Charles R., xxx-xx-xxxx . Bolz, Farrell P., xxx-xx-xxxx . Grimes, Mary J., xxx-xx-xxxx . Arnold, John W., xxx-xx-xxxx . Borgen, Mack W., xxx-xx-xxxx . Heinze, Shirley R., xxx-xx-xxxx . Becknell, George P., xxx-xx-xxxx . Brownback, Peter E., xxx-xx-xxxx Hopfenspirger, N., xxx-xx-xxxx . Carmick, Edward J., xxx-xx-xxxx . Campbell Larry J., xxx-xx-xxxx . Smith, Elizabeth R., xxx-xx-xxxx . Funk, John C., xxx-xx-xxxx . Carter, Victor S., xxx-xx-xxxx . VETERINARY CORPS Hall, Ellis F., xxx-xx-xxxx . Chwalibog, Andrew J., xxx-xx-xxxx . To be colonel Hamm, Charles R., xxx-xx-xxxx . Donnelly, Terrence, xxx-xx-xxxx . Henley, Stephen, xxx-xx-xxxx . Dooley, Joseph M., xxx-xx-xxxx . Baker, Roger F., xxx-xx-xxxx . Kneessy, Alfred D., xxx-xx-xxxx . Englehardt, Joseph P., xxx-xx-xxxx . Eckermann, Edgar H., xxx-xx-xxxx . Lask, Alphonse F., xxx-xx-xxxx . Fowler, James L., . Feighney, Michael L., xxx-xx-xxxx . xxx-xx-xxxx Leven, Fred J., xxx-xx-xxxx . Fess, Kenneth E., xxx-xx-xxxx . ARMY MEDICAL SPECIALIST CORPS Marshall, John D., xxx-xx-xxxx . Fichtner, James M., xxx-xx-xxxx . McDonald, Neil J., xxx-xx-xxxx . To be colonel Finlayson, Robert M., xxx-xx-xxxx , McSwain, Earl C., xxx-xx-xxxx . Barr, Virginia M., xxx-xx-xxxx . Foster Michael V., xxx-xx-xxxx . Patch, Charles E., xxx-xx-xxxx . Hammill, Janet A., xxx-xx-xxxx . Godwin, Fitzhugh L., xxx-xx-xxxx . Peterson, Merrill C., xxx-xx-xxxx . DENTAL CORP Grace, John P., xxx-xx-xxxx . Rogers, John E., xxx-xx-xxxx . Gregg, Robert E., xxx-xx-xxxx . To be colonel Wilson, Kenneth R., xxx-xx-xxxx . Hagan, William R., xxx-xx-xxxx . Adams, John C., xxx-xx-xxxx . ARMY NURSE CORPS Hagewood, Eugene G., xxx-xx-xxxx Bleicher, Philip A., xxx-xx-xxxx . To be colonel Hamilton, John R., xxx-xx-xxxx . Brown, Allen W., xxx-xx-xxxx . Brantly, Ruth S., xxx-xx-xxxx . Hill, Roger D., xxx-xx-xxxx . Clifford, Arthur G., xxx-xx-xxxx . Costello, Bambara R., xxx-xx-xxxx . Hopkins, Frank E., xxx-xx-xxxx . Cote, Robert R., xxx-xx-xxxx . Fritz, Mildred C., xxx-xx-xxxx . Hopkins, Gary L., xxx-xx-xxxx . Gasior, Edwin J., xxx-xx-xxxx . Hill, Nellie M., xxx-xx-xxxx . Horbaly Jan., xxx-xx-xxxx . Holt, John E., xxx-xx-xxxx . McLean, Mary F., xxx-xx-xxxx . Huffman, Walter B., xxx-xx-xxxx . Jacobson, Sheldon E., xxx-xx-xxxx . Nuttall, Edith M., xxx-xx-xxxx . Kain, Harold R., xxx-xx-xxxx . Jacoway, John R., xxx-xx-xxxx . Parks, Madelyn N., xxx-xx-xxxx . Kirby, Robert B., xxx-xx-xxxx . Maddox, Belman C., xxx-xx-xxxx . Wengenmair, Norma A., xxx-xx-xxxx . Kittel, Robert N., xxx-xx-xxxx . Nichols, Wharton A., xxx-xx-xxxx . The following-named officers for promotion Knight, Sammy S., xxx-xx-xxxx . Obermeier, Bernard, xxx-xx-xxxx . in the Regular Arm y of the U nited States, LaGrade, Michael J., xxx-xx-xxxx . Peppe, Isadore 0., xxx-xx-xxxx . under the provisions of title 10, United States Lancaster, Steven F., 3 xxx-xx-xxxx . Radentz, William H., xxx-xx-xxxx . Code, 3284 and 3299: Lane, Thomas C., xxx-xx-xxxx . Valkavich, Eugene S., xxx-xx-xxxx . To be major Lewis, Robert E., xxx-xx-xxxx . Vinall, William H., xxx-xx-xxxx . Lieteau James N., xxx-xx-xxxx . Wagner, Allyn G., xxx-xx-xxxx . Calhoun, William R., xxx-xx-xxxx . Limbaugh, Daniel B., xxx-xx-xxxx . MEDICAL CORPS Campbell, David B., xxx-xx-xxxx . Davis, Myron D., . Mackey, Richard J., xxx-xx-xxxx . To be colonel xxx-xx-xxxx Fellers, Donald P., xxx-xx-xxxx . Meires, William D., xxx-xx-xxxx . Arbiter, David, xxx-xx-xxxx . Foster, Edward S., xxx-xx-xxxx . Meyer, John J., III, xxx-xx-xxxx . Augerson, William S., xxx-xx-xxxx . Gooden, William J., xxx-xx-xxxx . Miller, Ralph I., xxx-xx-xxxx . Bensen, Jack 0., xxx-xx-xxxx . Haselgrove, Leighton 0., xxx-xx-xxxx . Mueller, Patrick A., xxx-xx-xxxx . Bruager, Archie M., xxx-xx-xxxx . Kelly, Gerald L., xxx-xx-xxxx . Northrop, John K., xxx-xx-xxxx . Conklin, Harvey B., xxx-xx-xxxx . Neves, Eugene E., xxx-xx-xxxx . Page, Stevenson W., xxx-xx-xxxx . Cutting, Robert T., xxx-xx-xxxx . Newman, William F., xxx-xx-xxxx . Pine, Louis F., xxx-xx-xxxx . Decastro, Carlos M., xxx-xx-xxxx . Nicholson, Thomas L., xxx-xx-xxxx . Polley James D., xxx-xx-xxxx . Dirks, Kenneth R., xxx-xx-xxxx . 011ie, Louis W., xxx-xx-xxxx . Ruppert, Raymond C., xxx-xx-xxxx , Freeman, Mahlon V., xxx-xx-xxxx . Piper, Paul K., xxx-xx-xxxx . Schwender, Craig S., xxx-xx-xxxx . Gauld, John R., xxx-xx-xxxx . Price James W., xxx-xx-xxxx . Searle, Paul M., xxx-xx-xxxx . George, Richard E., xxx-xx-xxxx Riggs, Clyde Jr., xxx-xx-xxxx . Smith, Brian K., xxx-xx-xxxx . Green, David C., xxx-xx-xxxx . Sabino, Anthony P., xxx-xx-xxxx . Sommers, Lawrence E., xxx-xx-xxxx . Saiki, Owen H., . Hefner, James D., xxx-xx-xxxx . xxx-xx-xxxx Taylor, Vaughan E., xxx-xx-xxxx . Sinkler, Paul F., . Lau, Bennett M., xxx-xx-xxxx . xxx-xx-xxxx Taylor, William S., xxx-xx-xxxx . Smith, Randolph L., . Nelson, Harold S., xxx-xx-xxxx . xxx-xx-xxxx Thompson, Jeffrey B., xxx-xx-xxxx . Otterson, Warren N., xxx-xx-xxxx . Stevens, Jackson C., xxx-xx-xxxx . Tobin, Edward J., Jr., xxx-xx-xxxx . Parsons, Robert W., xxx-xx-xxxx . Wolf, Thomas R., xxx-xx-xxxx . Vickery Arnold A., xxx-xx-xxxx . Plunkett, Guy D., xxx-xx-xxxx . CHAPLAIN CORPS Walczak, Alexander M., xxx-xx-xxxx Schane, William P., xxx-xx-xxxx . To be major Waple, Mark L., xxx-xx-xxxx . Stanek, Robert G., xxx-xx-xxxx . Whatley, Charles J., xxx-xx-xxxx . Gardai, Lavern W., xxx-xx-xxxx . Stromberg, LaWayne, xxx-xx-xxxx . Wilson, Johnnie E., xxx-xx-xxxx . MEDICAL SERVICE CORPS Tilson, Donald H., xxx-xx-xxxx . Willson, Michael P., xxx-xx-xxxx . To be major Vazquez, Angel M., xxx-xx-xxxx . Wzorek, Lawrence E., xxx-xx-xxxx , Waugh, David E., xxx-xx-xxxx . Johnson, Michael L., xxx-xx-xxxx . Yustas, Vincent P., xxx-xx-xxxx .
EXTENSIONS OF REMARKS
UKRAINIAN INDEPENDENCE DAY: A this our Bicentennial Year it is fitting Today the steadfast Ukrainian people TIME FOR REFLECTION that we pay homage to the Ukrainians still seek their freedom and we are deeply and to all peoples who have sacrificed aware of the magnitude of their depri- in the quest for liberty. vation. We are also deeply aware of the HON. PAUL S. SARBANES The millions of Ukrainian people who o u tstan d in g co n tribu tio n w h ich th e OF MARYLAND died fo r the right to decide their own U krainian im m igrants have m ade to IN THE HOUSE OF REPRESENTATIVES destiny, and those w ho endure today America's economic and cultural devel- immi- Monday , Janu ary 2 6 , 1 9 7 6 without freedom, are very much in our opment. As a citizen the Ukrainian m inds and in our hearts as w e observe grant stood out not only by his hard work M r. S A R B A N E S . M r. S p e a k e r, tw o th e 5 8 th an n iv ersary o f U k rain ian In d e- an d in tellig en ce b u t also b y h is h o n esty score and 18 years ago the brave Ukrain- pendence Day. For the Ukrainian revo- and sense of justice. Ukrainian Ameri- ian people issued their declaration of in- lution sought as its overriding objective cans have contributed to the m aterial dependence which, though short lived, a free an d in d ep en d en t state o f th e and cultural development of America reverberates through the corridors of Ukrainian people, just as the American through the scientific knowledge and ar- history as another fervent gesture of Revolution sought freedom for the Thir- tistic talents of their many gifted indi- the yearnings of a people to be free. In teen Colonies. v idu als and by intro du cing into th e Janua1·y 26, 1976 .EXTENSIONS OF REMARKS 997 American cultw·al pattern the basic Nature's role is twofold. First, last year's sota are proud of Miss Cindy Lee, 17, of values of their native land. big corn crop and the · forthcoming lush St. Paul, who was chosen Miss American· spring p·astures have lowered the cost of Teen-Ager in the recent Miss American .we iii Maryland are very fortuna~ to feeding cows. Partly because of lower feed have a large ~nd active Ukrainian-A~er · costs, gross profitability for dairy fat·mers is Teen-Ager Pageant held at Miami Beach,: ican community; a community which the highest in nearly four years, whicl;l is en Fla. · through its cultural, social, and religious couraging farmers to spur production. We are proud of Miss Lee because .she activities has greatly enriched the life Second, cows' reproductive cycles normally won her coveted prize from among 250,- of our State. More important, however, slow and quicken the flow of milk; output 000 contestants not merely on the basis is the contribution which Ukrainian usually hits its annual low point in Novem of pulchritude but because of her per Americans make every day through their ber and reaches its high in May or early sonality, outstanding scholastic record, June. Milk output rose 25% from November numerous academic activities, and par stable family life, their commitment to 1974 to May 1975, and a similar increase is their church, and their sense of indiVid expected this year. ticipation in diversified community and ual and community responsibility. I Because of these factors milk production civic programs. have had the great honor of working in the first half of 1976 could be up 1% or Miss Lee, to cite first things first, has closely with the Ukrainian-American more from the year-earlier period, says James achieved a B-plus scholastic average at community and know firsthand of . its J. Miller, a government dairy specialist. That Johnson Senior High School in St. Paul dedication to a strong and just America. would amount to nearly 600 million pounds where she is completing her senior year. of milk--equal to more than one quart for She is now making plans to attend Maryland and our Nation are greatly every person in the U.S. strengthened by the contributions which That's good news for consumers, who college. Ukrainian Americans have made to om· watched butter and cheese prices shoot up That Miss Lee has diversified and well society. to record levels last month {they've since rounded interests and activities is proved As we look back upon the rich and di declined a bit) and who still are paying rec by the fact that she is a winner of four verse contributions of the Ukrainian ord prices for fluid milk. One expert thinks Presidential Physicial Fitness Awards people we are seized with a sense of the increased milk flow could result in are and is a membe1~ of the girls' track team pride in their accomplishments and also tail price decline of five cents to 10 cents a and cheerleading squad. In addition to gallon by the second quarter. Butter and being a member of the student council with a deep sense of concern for those cheese prices could decline a.s much as 10 wh remain b~hind, subject to a govern cents a pound from current levels by spring. and senior class council, she is also active ment which denies basic freedoms. It is But these declines could be limited by a with the drama group and serves on the therefore, essential for us, as citizens bill that is awaiting action by President yearbook staff. She is a national teen of a great nation founded on the con Ford. It is a bill that would increase the fed crusader of the American Cancer Society viction that every individual has the eral support price for milk; one dairy econo and works with organizations helping right to life, liberty, and the pursuit of mist calculates the increase would be about the ill and underprivileged. With all this, happiness, to speak out on behalf of 50 cents a hundredweight, raising the sup she still holds down a part-time job as port to around $8.20. The price support for cashier in a local supermarket and is a those Ukrainians whose life in a total cheese could be raised about five cents a itarian state makes it difficult for them pound, he figures. member of the Retail Clerks Interna to speak out for themselves. Farmers currently receive more than $10 tional Union AFL-CIO. a hundredweight for their milk, and whole Miss Lee's talen~s and versatility will sale prices of butter and cheese are still be displayed on a TV network show, part well above the higher price supports indi of the "Happy Day" series, on Janu cated in the bill. But if it became law, the ary 27. She has appeared on the cover of MOTHER NATURE AND CONGRESS bill would put a higher floor under these two national magazines and is given TEAM TO CREATE SURPLUS prices, which in turn could cushion any fu ture price weakness. laudatory attention by the cunent news The Agriculture Department estimates the letter of the President's Council on bill could raise consumer dairy-product costs Physicial Fitness and Sports. HON. PAUL FINDLEY as much a.s $1.4 billion over its two-year life. Our Plide in Miss Lee is increased by OF ILLINOIS Dairy cooperatives respond that consumers the fact that she is the first Minnesotan IN THE HOUSE OF REPRESENTATIVES would have to pay even higher prices if some to win the Miss Teen-Ager competition. thing isn't done to expand and maintain Monday, January 26. 1976 I believe her father may be known to milk output. Members of this House who are baseball Mr. FINDLEY. Mr. Speaker, the fol "It cannot be charged that this legislation fans. He is Eugene "Mickey" Lee, the lowing article from the Wall Street Jow· will increase consumer prices unless one is willing to tell farmers that milk priees will former Los Angeles and Brooklyn Dodger nal is an important addition to the dialog be sharply reduced in the months ahead," pitcher. on the dairy price support issue. Supply the National Milk Producers Federation says. I am sw·e that Members of the House and demand-not the Congress-should Terry Francl, agricultural economist a.t the will join me in wishing Miss Cindy Lee determine the amount of milk produced Federal Reserve Bank of Chicago, says the the greatest possible success both in her in this country. Greener pastures and in question is whether the higher price supports college education and in whatever sub creased corn production will stimulate in the bill would significantly distort supply sequent career she selects. Bessie and provide an adequate supply of demand signals between producers and con We are confident that Miss Lee will milk for the consumer. The article sug sumers. The bill would lead to increased milk production, it is agreed, but if the higher carry her present honors and future suc gests, as I have contended, that an in prices accelerate the long-term trend of de cesses with dignity and with credit not crease in the price support will result in creasing per-capita milk consumption, a only to St. Paul but to Minnesota and a troublesome surplus of product. But costly surplus of dairy products would re- the country. the extra production will not cause a re . sult, Mr. Francl says. duction in price to consumers. Price sup-· ports will keep consumer prices up and require a costly government subsidy for surplus production. LETTER FROM HEW SECRETARY The article follows: GIFTED ST. PAUL GIRL 1976 "MISS OPPOSING H.R. 8069 AMERICAN TEEN-AGER" [From the Wall Street Journal, Jan. 23, 1976] COSTLY U.S. MILK SURPLUS Is PossmLE IF NATURE, LAWMAKERS BOTH PREVAIL HON. JOHN J. RHODES . (By Norman H. Fischer) HON. JOSEPH E. KARTH OF ARIZONA · Mother Nature is moving in the direction OF MINNESOTA IN THE HOUSE OF REPRESENTATIVES of lower prices for milk, butter and cheese, IN THE HOUSE OF REPRESENTATIVES Monday, January 26, 1976 but Congress has passed a bill that could Monday, Januarv 26, 19'16 raise prices eventually. If both nature and Mr. RHODES. Mr. Speaker, tomorrow Congress prevail, the U.S. might wind up Mr. KARTH. Mr. Speaker, St. Paul afternoon, Tuesday, January 27, . the · with an expensive milk surplus. and, indeed, the entire State of Minne- House is scheduled to vote on the J?resi- 998 EXTENSIONS OF REMARKS Janua,ry 26, 1976 dent's veto of H.R. 8069, the Labor-HEW House of Representatives will join me in reasonable interest rates to state and appropriation for fiscal year 1976. For saluting the distinguished public career local governments and -to business and the benefit of my colleagues, I am in of one of my constituents, Mr. Victor industry when these bon-owers could not serting the text of a letter I l'eceived W. Sauer. I am proud to count this re obtain loans at acceptable terms from from HEW Secretary Mathews indicat spected local official among my close any other source. ing his opposition to the bill. friends. Congress has provided rna ive assist · Secretary Mathews also indicates his Mr. Sauer is retiring as public works ance to rescue New York City, but many support for the Michel compromise. I director of Contra Costa County, Calif., other local governments throughout the have also been assured by the White after a career in local government which country are being squeezed out of a tight House that the Michel proposal is ac has spa1med some 40 years. municipal bond market and are having ceptable to the President. I urge all my Following his graduation from the difficulty raising funds for necessary pur colleagues to consider this matter care University of California at Berkeley in poses. H.R. 10452 was introduced to pro fully, to sustain the veto, and support 1935, Mr. Sauer worked for the city of vide a time-tested Federal framework for the Michel compromise. Oakland and participated in the con meeting the priolity credit needs of our The letter follows: struction of the Caldecott Tunnel. Dur governmental bodies and the economy THE SECRETARY OF HEALTH, ing World War II he supervised engi generally. For 30 years, from the Hoover EDUCATION, AND WELFARE, neering projects in New Guinea and was to the Truman administrations, the RFC Washington, D.C., January 22, 1976. discharged as a major. played a major role in pulling our econ Hon. JOHN J. RHODES, After the war he retw·ned to the city omy out of the Great Depression and in I10'LLSe of .Representatives, of Oakland, later moving to Contra financing much of the industrial mobili lVashington, D.C. zation requirements of World Warn. DEAR MR. RHODES: I wanted personally to Costa County where he was appointed add my voice to those who a1·e counseling the county's first road commissioner in And the RFC, I might add, ended in the Congress to sustain the President's veto 1952. In 1955, he was named the coun the black. of H.R. 8069, the 1976 appropriations for the ty's first public works director. Mr. Speaker, the new bill introduced Departments of Labor .and Health, Educa Under his able leadership the public today is cosponsored by Representatives tion, and Welfare. I was one of those with works department expanded its scope to HUGHES, OTTINGER, FLORIO, ElLBERG, FAS whom the President consulted, and I rec include such areas of responsibility as CELL, RICHMOND, DELLUMS, DANIEL$ Of ommended that the bill be vetoed. transportation planning and environ New Jersey, and GILMAN. They join the No one should interpret this advice to cosponsors of H.R. 10452 in support of represent a lack of concern for the health mental control. During the cow·se of his and welfare programs of the Federal Gov career, Mr. Sauer has served on over 30 this approach to solving our credit crisis: ernment or for the recipients of our funds statewide committees dealing with social Representatives PATMAN, MILLS, MADDEN. and services. I vigorously support the ob and engineering issues, chairing several PRICE, BARRETT, BOLLING, BURKE Of Mas jectives toward which those programs a1·e of them. But his contributions have not sachusetts, RANDALL, PEPPER, MINISH, AN directed, and I intend to continue my ef been limited to service within California. NUNZIO, MEEDS, BIAGGI, MURPHY of Tili forts to see that these objectives are met. He bas participated also on national nois, NIX, and ZEFERETTI. However, H.R. 8069 would appropriate near committees of such organizations as the Mr. Speaker, if additional Members ly $1 billion more in spending authority than the President requested, and it would sig National Association of County Engi wish to sponsor this legislation, they nificantly increase the Federal deficit in both neers and the American Society for Civil should call my office on extension 52673. FY 1976 and 1977. Engineers. It iS my View that unless we do a better Mr. Sauer's numerous achievements job in holding down Federal spending, the have earned him citations and awards impact of that spending on this Depart from several prestigious organizations. THE NATURAL GAS SWIN""DLE ment's beneficiaries would do greater harm In 1964, he was selected one of the top than the benefits that would accrue from 10 public works men of the year by the the Congressional add-ons to the budget. American Public Works Association and For example, we are already asking for more HON. MICHAEL HARRI G ON than $1.6 billion for NIH research. The bill Kiwanis International after an inter OF ~SSAC~SETTS would add more than $400 million to that. national screening process. He also has I do not suggest that these research pro been appointed to the board of trustees IN THE HOUSE OF REPRESENTATIVES grams are in any sense unworthy, but we of the Public Works Historical Society. Monday, January 26, 1976 believe the level of funding requested in All Members of this body can appreci the President's budget is adequate and ap ate, I believe, Mr. Sauer's long dedication Mr. HARRINGTON. Mr. Speaker, in propriate in light of competing demands for to high quality public service. His long an a1·ticle in the January 24 issue of The scarce Federal dollars. Throughout our and distinguished public career will Nation, Robert Sherrill enumerates the budget, I think the same thing can be said. serve as a standard to which all others countless illegal and quasi-legal steps The President has asked for a sufficient level engaged in government can aspire. taken by natural gas producers and in of funding to maintain a strong and . vi dustrialists, with the willing collabora able Federal base for health and welfare. tion of Members of the Congress and the I therefore, urge the Congress to give the national media, to convince the Ameri Pre'sident its support and sustain his efforts can public by fair means or foul that de to hold down Federal spending. ADDITIONAL SPONSORS OF EMER regulation of natural gas prices is not We will be glad to work with the Con GENCY FINANCIAL ASSISTANCE gress in an effort to develop a new bill di just extremely desirable for gas com rected toward these ends. CORPORATION ACT panies but is actually in the interests of Cordially, all Americans. Sherrill illustrates how, DAVID MATHEWS, when a policy of restrained force proved Secretary. HON. LEONOR K. SULLIVAN unsuccessful in convincing the skeptical OF MISSOURI public of the truth of this giant lie, the IN THE HOUSE OF REPRESENTATIVES industry quickly moved on to a policy of outright blackmail. A DISTINGUISHED PUBLIC SERV Monday, Janum·y 26, 1976 Then last December, House Speaker ANT-VICTOR W. SAUER Mrs. SULLIVAN. Mr. Speaker, I have CARL ALBERT and the Rules Committee today reill!troduced with addi-tional co made their own not insignificant con HON. GEORGE MILLER sponsors the legislation I first introduced tributions to the deception scheme, tak OF CALIFORNIA on October 30, 1975, to establish a Fed ing unprecedented and highly question IN THE HOUSE OF REPRESENTATIVES eral loan agency patterned on the old able action blatantly in favo1· of advo Reconstl·uction Finance Corporation. cates of decontrol who are rallying to Monday, January 26, 1976 The proposed agency, the Emergency Fi gain pa-ssage of legislation now being Mr. MILLER of California. Mr. Speak nancial Assistance Corporation, would be considered in the Subcommittee on En er, I know that an the Members of the authorized to extend long term credit at ergy and Power. With a quick sleight of January 26, 1976 EXTENSIONS OF REMARKS 999 hand, the Congress and the Nation has ural gas had grown to the point that the oil to oil and gas concessions in other coun been placed in the greedy hands of the men knew they could demand, and get, much tries." oil and gas industry on an issue whose higher prices if the FPC would allow them. He's absolutely right. You won't find an complexity has discouraged many from But that was pre-Nixon, in an era when Arab country giving an oil company a lease government officials took the law a little more that it can ~ust sit on, without production. seriously scrutinizing the clever, even seriously. And the Natural Gas Act, under The U.S. Government is more generous with subtle, propaganda being disseminated which the FPC operated, clearly stated that its land. In its entire twenty-one-year his by the industry, the administration, and pricing could not be done according to free tory of leasing federal lands offshore, the now Members of the Congress. market principles of supply and demand, but Interior Department has yet to cancel a I am submitting for publication in t.o only according to the cost of production plus lease for the failure of an oil company a reasonable profit. day's RECORD Mr. Sherrill's important to develop the tract during the five-year So in the late 1960s the industry began contract period. Today, more than 52 per article, "The Natw·al Gas Swindle," at pretending that the law was unfair be cent of the federal leases in the Gulf of this critical time when the House is soon cause the known reserves of natural gas Mexico, or a total of 838,000 acres, are shut to face the issue of deregulation on the were dropping fast ~.nd unless prices were in-the companies are waiting for higher :floor. A thorough understanding of the allowed to rise enough to restrict its use, prices. Meanwhile, on the basis of the short lie being perpetrated, and of the manner the nation would soon run out of the stuff. age created by their own actions, the com in which House rules have been sub Since 1968 the oil companies have been panies demand higher prices to encourage verted to push the cause of deregulation, claiming that they were finding less natural them to "look" for gas that they have al gas than America was using; they argued is vital if we hope to protect ourselves ready found. that only if the Natural Gas Act were And now back to the FPC, which all dur and the public from the massive and junked and gas prices were deregulated ing the post-Nixon years has happily based self-serving power of the industry be completely would industry feel that it was its rate-making decisions on false and per hind all this. worthwhile to look fo= more. jurious evidence from industry, and consist The text of the article follows: Many expert observers believed the oil ently violated federal law in order to help the THE NATURAL GAS SWINDLE and gas men were lying about the supply natural gas corporations gouge the consumer. situation, but there was no way to prove it (By Robert Sherrill) In 1971 Jack Anderson reported seeing doc because industry refused to show anyone uments from the FPC's files that proved the WASHINGTON .-It lOOks as if the 40 million its production records. The Federal Trade producers had greatly underestimated the households and 3 m111ion business establish Commission (FTC) subpoenaed natural gas amo"Lmt of natural gas available from the ments that consume natural gas will wind supply data from eleven companies-Con Louisiana fields (which, along with the Texas up betrayed by just about everyone in Wash tinental, Gulf, Union, Exxon, Mobil, Penn and Oklahoma fields, hold most of the na ington-by the Ford administration, by the zoil, Shell, Standard of California, Standard tion's natural gas). He accused Chairman Federal Power Commission, by most members of Indiana, Superior and Texaco--but seven Nassikas of suppressing this information, and of Congt·ess, including such velveteen liberals of the companies refused to produce the in Nassikas did not rebut the charge. In 1973 as Sen. John Tunney of California, and by formation and took their case to court, Sen. Philip Hart, who said he thought the t11e press. where legal complications will doubtless pro claimed shortage of gas "might be a hoax," If the oil and gas lobby can get over one tect them from disclosure for several years. disclosed that FPC officials had ordered un last hurdle-the House of Representatives, Nevertheless, although the FTC staff had derlings to tear up and burn documents that where Speaker Carl Albert is now clearing only the incomplete and hedgy data di would have thrown significant light on the the way. for the industry-then natural gas vulged by fom· of the companies (Conti the matter. (They weren't burned because is destined to be deregulated. The House vote nental, Gulf, Union and Pennzoil) to work the incinerator was out of order.) is expected. soon, now that members have with, it concluded that "The American Gas For four years the FPC knew that the ma returned. If deregulation occurs, experts say Association [the trade organization for the jor natural gas producers were failing to de it will take an extra $7 billion to $11 billion producers] reserve-reporting procedures are liver gas to their pipeline customers in the out of consumers' pockets the first year. tantamount to collusive price rigging." quantities they had contracted for-but the Within five years, the expected additional On June 10, last year, the FTC staff urged FPC did nothing about it. The FPC was cost to consumers from deregulation could the Justice Department to sue the AGA aware, according to Senator Hart, that in be as high as $30 billion a year. and eleven major oil companies for con some instances producers' books showed that Indeed, deregulation will affect everyone, sistently underreporting the nation's nat they had 1,000 times more natural gas avail not just those who heat and cook with nat ural gas reserves. But, as usual, the Justice able than they reported to the government ural gas, for it is also used as fertilizer, for Department immediately came down with but the agency did nothing about it. The FPC irrigation, and for crop drying; this will be a case of paralysis. was also aware that the AGA had under written into all food costs. Most clothing to On June 13, Rep. John Moss, chairman stated reserves in the Gulf of Mexico by 54 day is wowen of synthetic fibers, which are of the Interstate Commerce Committee's per cent-but again the FPC did nothing. made from natural gas, as are many plastics, Oversight and Investigations Subcommit The FPC allowed this kind of misconduct de paper products and detergents. Deregulation tee, brought forward evidence that some spite the fact that the Natural Gas Act em will pump inflation into all these products. industry witnesses had been obstructing his powers it to get injunctions to stop industry President Ford and the Democratic Congress committee's attempts to uncover the truth violations. But as Congressman Moss has have been claiming great generosity for giv about natural gas supplies and had com pointed out, "To our knowledge, the FPC ing the public a $10-billion tax cut this year. mitted perjury. The Justice Department has never applied for such an injunction in If they now let natural gas prices rise as high allowed as now he was possibly right, but the more than twenty years that it has had as a noncompetitive market will bear, the still it took no action. the power to do so." blessings of tax cuts will be wiped out im· Despite these developing scandals and The malfeasance of the FPC reached e•1en mediately. despite the fact that FPC Chairman John more destructive plateaus in its setting <.f For twe;nty-one years the industry has N. Nassikas acknowledged "gross deficien prices. Bear in mind that the very exis.f;ence sought to free interstate gas sales from the cies" in the gas supply data that indus of the FPC is justified by Congress's intent to regulation of the Federal Power Commission try had submitted to his agency, the FPC save the public from being exploited by the (FPC), but not until 1975 did it work up an regularly capitulated to the natural gas petroleum industry. The Natm·al Gas Act of efficient scheme to bring this about. The industry's demands and allowed prices to 1938 clearly instructs the FPC to set the low strategy is worth reviewing because it shows rise. Between 1972 and 1974 the FPC per est reasonable rates and to establish a perma cnce again the power of the big lie. mitted prices for new natural gas to go up nent and effective bulwark against excessive During most of the years that natm·al gas 100 percent-with no reference to the law's corporate greed. has been regulated, supply was obviously far restrictions. The most important part of this bulwark greater than demand and the petroleum in But before getting down to the details was then, and remains today, the Congres dustry could hardly argue that the FPC of the FPC's malfeasance and nonfeasance, sional mandate (supported repeatedly by was preventing it from enjoying free-market a word about the Interior Department's col rulings of circuit courts and of the Supreme profits. In fact, for most of those years the lusion with the oil industry. As Joseph Court) that the FPC must establish prices petroleum industry was lucky if it could give C. Swidler (former chairman of the Fed according to the cost of exploration, produc away all the natm·al gas it produced. It vol eral Power Commission) pointed out recent tion and transportation. That is not to say untarily held prices low in order to lm·e more ly, "under p1·esent laws the federal govern that the FPC was to be stingy with produc customers. To get rid of its surplus natural ment cannot force a faster pace of explora ers: it was instructed to take into considera gas, the oil men teated this sideline com t!on and development on private or state tion all costs, including the cost of drilling modity like a supermarket "loss leader." owned lands. The same is not true, how dry holes, and then on top of that to give Heavy industries that could waste natural ever, for federal leases. It. is something of a the companies a reasonable return on their gas in impressive volume were given espe mystery why these federal leases do not con equity investment-which has usually been cially low prices. tain provisions requ!ring prompt and sys in the neighborhood of 15 per cent or higher. But by the mid-1960s the market for nat- tematic exploration in the manner common This mandate to the FPC, both by Congress 100_() EXTENSIONS OF REMARKS January 26, 1976 and the courts, is well understood by com Many of Transco's customers literally de ply whip out some commonsense remedy to mission officials. Last summer Chairman Na.s pended on it for economic life. They became get the nation through this winter and P.er sikas acknowledged in testimony before desperate when, in September 1974, Transco haps next. It was also obvious, as Staggers Moss's subcommittee that "the Natural Gas announced that during the winter months told one reporter, that plenty of gas was Act of 1938 does not empower us to go higher it would curtail deliveries by 20 per cent. available-for a price. So the problem was than cost-based prices. Now, sure, the courts They became hysterical the next month when not an act ual shortage of gas; it was how talk about noncost factors and the courts Transco notified its customers of an addi to meet the producer-hijacker's demands at have a very sophisticated way of expressing tional system-wide curtailment of 33 per a level sufficiently high to dissuade them t hat we can consider other commodities and cent. In southern New Jersey, for one ex from destroying the country-but to make the supply-eliciting effect, but when it gets ample, unemployment was already hovering t he payoff on a temporary basis. down to each time the commission attempts around 14 per cent-double the national On December 2, Stagger's committee voted to depart in any way from an energy model, average-and these curtailments promised to out just such a bill: it provided emergency or a cost model not directly based on cost, wipe out 25,000 jobs at eighteen factories in methods for, allowing job-stricken areas to we get reversed. That is the reason we cannot that area. At Danville, Va., the curtailments buy gas at partly decontrolled prices. But it allow commodity value, we cannot set prices threatened to idle 9,800 people out of a popu was a short-term bill. Staggers Wl'Ote to on the basis of economic factors .... We are lation of 47,000. House Speaker Albert, an Oklahoman who not empowered to deregulate, we cannot set New Jersey Rep. William Hughes observed has always been friendly to the oil and gas prices except on cost-based factors and this that "one of the great mysteries" was why industry, asking t hat the bill be pla<:ed on is what I intend to do as long as I am chair Transco, the sole supplier of natural gas to the "suspension" calendar on December 15 man of this commission." Hughes's district, had to cut down on de or 16. A bill placed on the suspension-of-the That was grossly inaccurate testimony. livery even while sitting on 2.23 trillion cubic rules calendar can be voted only up or down; Throughout his term as chairman, Nassikas, feet of available natural gas. But irony no it cannot be amended. Staggers wanted it with the wholehearted support of other com longer had an effect on the producers, nor that way because, if the bill were amendable, mission members, found ways to side-step were they much bothered when Congressman the oil and gas industry, through their many the cost-plus regulation. Many times they Moss disclosed what seemed to be calculated friendly members, would obviously have a permitted gas producers to sell their com efforts to keep some of the crucial wells out chance to amend it to death. The industry modity on an "emergency" basis, or "pub of commission and "under repairs" during wanted the Senate's total deregulation bill, lic interest" basis, lasting six months and the winter months. No longer did the pro not Stagger's temporary deregulation bill. longer, at rates as high as the market would ducers seem to mind a reputation for crook Albert refused Staggers' request, ordering bear. These were sometimes five times higher edness; what they wanted was more money, him to go instead through the Rules Com than the normal rate. Usually the FPC made and never mind the public's opinion. mittee and get the standard ruling to bring no attempt even to pretend that the rate After the frightening experiences of the the bill to the floor. This would have meant was based on the cost of production. Al winter of 1974-75, the people who depended his bill could be amended, so Staggers most always the courts would slap the FPC on natural gas for their jobs became panicky refused. down for such actions, but as Sen. James when the industry announced in the summer At that point, the Rules Committee Abourezk, one of the few consistently pro of 1975 that prospects for the coming winter which is run by men whom Albert ap consumer members of the Senate, once said, were worse than ever. The panic was com points-took two drastic and highly unusual "No sooner is one high-priced commission pounded in August when the Federal Energy steps, both of them serious breaches of program set aside by the courts than the Administration issued a report which pre House protocol. In the first place, the exist commission cooks up a new, higher priced dicted that the coming winter would see ing rules of the Rules Committee provided program." This routine was very clever, for curtailments 45 per cent greater than in the that no bill would be taken up that late in as long as the illegal FPC directives were previous winter. It predicted a shortage equal the session, or even be considered by the being fought over in court, the companies to about 15 per cent of demand, and since Rules Committee, unless it was submitted could charge the higher prices and, when by law the household consumer must be by the chairman of the jurisdictional com they eventually lost, they did not have to served before the industrial customer this mittee (in this case, Staggers) as an emer reimburse the consumer. meant that many industries would be hit gency matter. Staggers not only refused to The General Accounting Office investigated doubly hard and many thousands of people submit the bill as an emergency; he refused the FPC in the fall of 1974 and uncovered would be out of a job. to submit it at all through the Rules Com some of its illegalities, including those men At that point, pressure on Congress be mittee. Nevertheless, the Rules Committee tioned above. It found that between 1970 and came tremendous. Just about every member went ahead and scheduled the legislation for 1973 the FPC had found ways to let the gas seemed willing to capitulate to industry's floor action on instructions from Albert. companies reap an extra and unjustified $3.3 blackmail; the only dispute was over whether In the second place, it is standard pro billion. The GAO also discovered one of the gas prices should be freed from regulation cedure for the chairman of the subcommit reasons why the FPC was so cozy with indus partially and temporarily, or whether they tee where the legislation originated to han try-nineteen key officials at FPC owned should be freed permanently. dle a bill on the floor. In this case, that stock they were not permitted to own in The Senate moved faster t han the House. would mean Rep. John Dingell, who is op petroleum companies. With men like Sens. Russell Long and John posed to total deregulation. The Rules Com After observing that kind of government Tunney leading the way, it passed a bill de mittee ignored this tradition and adopted industry collusion for several years, informed regulating prices permanently. The House instead a rule with an extraordinary provi segments of the American public were under lumbered along at its customarily slower sion authorizing Speaker Albert to recognize standably dubious about all claims of a pace, and by the time Chairman Harley Stag any member of the committee--even a mem natural gas shortage and of the need for gers's Interstate Commerce Committee was ber who wanted to kill the bill-to bring the higher prices to relieve it. Skepticism was so ready, in December, to vote on a piece of bill up for debate. deep that mere public relations programs emergency legislation, the emergency had be And as a final insult, the Rules Committee of the sort that have become commonplace: gun to disappear. Whereas the Federal En allotted two-thirds of the debate time to full-page ads in The New York Times, The ergy Administration had once warned dole advocates of decont rol. Thus the Rules Com Washington Post and other national jour fully that at least fourteen states would be mittee has made sure that when this issue nals, defending the petroleum industry-no short of gas, now it was conceding that no reaches the floor the oil lobby's spokesmen longer were having much impact. more than three states might experience a will be in a dominant position to destroy the So the industry got tough. In the fall of slight pinch. Mild weather-if not the gov committee's short-term legislation with an 1974 it began to close the natw·al gas valve. ernment-had sided with the people, and gas amendment to make decontrol of natural gas No longer did it rely on threats; now it was supplies were, in fact, in surplus. The eco prices a permanent load on consumers' backs. actually lessening the supply. If the public nomic slowdown had also helped the energy Rep. Bob Eckhardt, chairman of the wouldn't accept higher prices happily and if supply. In August, President Ford had told Democratic Study Group and a member of Congress wouldn't consider total deregula Governors along the East Coast that 1.3 tril the Interstate Commerce Committee, was an tion of prices, then industry was ready for a lion cubic feet of the 9 trillion cubic feet inside spectator of this debacle. Although slowdown. needed in their states would not be available; representing a district in Houston where pe Typical of the action at the time was in December the White House acknowledged troleum is the big industry, Eckhardt has Transcontinental Gas Pipe Line Corpora that "the shortage has not materialized" been one of the most stalwart opponents of tion's brutal squeeze play on the East Coast. partly because producers were selling gas decontrol. Albert's betrayal of the commit Transco is a major interstate pipeline sys they hadn't told anybody they had. tee's work was, says Eckhardt, a rare per tem that purchases, transports and sells Consequently, Chairman Staggers and oth formance of bad faith in an institution that natural gas to distributors in eleven states er members of his committee, recognizing holds tradition to be sacred. from the Gulf Coast to New York. It serves that the Issue of natural gas pricing was "Members are usually very courteous to the residential needs of some 25 million peo enormously complex and controversial, de each other," he says, "and committees are ple and of industries employing more than cided to put off any consideration of a punctilious in their interrelations. When 1.25 million workers. long-term solution to the problem and sim- customs of rest raint and deferrence are January 26, 1976 EXTENSIONS OF REMARKS 1001 flouted in so cavalier a fashion, one seeks They were very calm and gave me in Serious crime in 1974 was 18 per cent an explanation." structions as to how to treat her until an greater than in 1973. The stunning increase Eckhardt's own explanation is that Albert"s ambulance arrived. They never got off of was from 8.6 million such crimes in 1973 to betrayal was merely the last act in "the the phone for a minute until she was ready 10.2 million in 1974. The increase was bad stratagem of the oil and gas lobby"-a strata to go to the hospital. I don't think people enough in major cities-up 12 per cent--but gem that moved expertly through several realize what a wonderful thing those three the increase in suburbs and rural areas was stages: from the panic raised by the indus little munbers can do. still worse: up 20 per cent. The pattern is try and by the Ford administration with false IVIrs. JosEPH Juo. sickening. Since 1969, the number of persons warnings of a natural gas shortage this win South Bend, Ind. under 18 arrested for crime has grown by 16 ter, to a hurried manipulation of the Senate per cent. Ten per cent of those arrested in into passing a total decontrol bill, to the per 1974 for violent crime were female, and a version of the House's rules. When many fourth of these were girls of 17 or younger. billions of dollars are at stake, the oil lobby Enough. Our country is plagued by crime, is willing to neglect some of the niceties. FORD"S TOUGH APPROACH TO infested with crime, and in some neighbor The only possible hope for defeat of the CRIME MERITS SUPPORT hoods terrorized by crime. The problem is lobby's stratagem would come from a massive overwhelmingly a problem for the states and outpouring of angry opposition from the peo localities to de&l with, but they have dealt ple who are going to be gouged. It may sound wi~h it poorly. Ford's recommendations old-fashioned, but letters from constituents HON. TIM LEE CARTER necessarily deal with federal offenses and still do carry great weight around Congress. OF KENTUCKY federal law enforcement, but his tough ap Unfortunately, it is probably much too late proach should provide a model for all juris to get the public stirred up. When the topic IN THE HOUSE OF REPRESENTATIVES dictions. is something as complicated as petroleum Monday, January 26~ 1976 The President starts with the grim truth prices, the education program has to be that most crime goes unpunished. Fewer spread over a long period and the press has Mr. CARTER. Mr. Speaker, \\hile we in than half the crimes of violence, and only to give it a great deal of space. the Congress attempt to deal with the 18 per cent of the crimes against property, For the most part the press has been silent many sources of concern to our citizens, are cleared by arrest. Those who are arrest~d about the natural gas robbery, or has given there is an insidious area of concern to seldom are tried or convicted on the charges it the most cursory attention. Eckhardt tried ward which we should be devoting greater originally brought against them; those found to get The Washington Star to write some effort. That area is crime, and fear of guilty seldom stay behind bars for long. At thing about Albert's misuse of the House crime, which seriously impinges on the every point there is a watering down: plea rules, but the Star's management turned him quality of life for our citizens. bargaining, probation, early parole, sus down. Over at The Washington Post things pended sentences. were even worse: the paper has for years sided With the most recent FBI statistics The machinery of justice simply is inade with industry in favor of higher prices. The chronicling a 20-percent rise in the inci quate to cope 'Vith the volume of crime. Post reached a: new low in editorial ethics dence of crime in our rural areas alone, Ford recommends more judges, more prose a few months ago when it acknowledged that this is a matter that increasingly effects cutors, more marshals. He proposes four new the FPC was breaking the law-the Post more of our people, especially our elder federal prisons. On Monday he returned to called it "an elegant evasion of the regulatory citizens who feel most threatened by, and the concept of mandatory prison sentences principle"-but then cheered the agency on vulnerable to lawless persons in a society for certain offenses. This is an idea whose to do more lawless acts with the observa so different from the one in which they time most surely has come. tion, "But since the principle is a bum one Specifically, the President asked manda were reared. tory sentences in federal cases involving the and is creating serious trouble for industry President Ford dealt with the problem in this part of the country, the evasion is use of a gun. He urges a punishment that of crime in his state of the Union message could not be bargained away in some cozy useful and welcome." As for The New York last week. While much focus has been little meeting among the defendant's law Times, there is some question as to whether brought to some portions of that address, yer, the prosecutor and the judge. He wants anyone on its staff knows how to spell nat a greater spotlight should be put on his mandatory sentences for dealers in hard ural gas. In this fight--as in most consumer drugs. Where these criminals are concerned fights-the public is strictly on its own. proposals as they relate to crime and how to combat it. Ford would take off the kid gloves. Lock •en{ up! His aim is to get the repeaters off the In the January 24 edition of the Wash streets, and to keep them off the streets. ington Star, columnist James Kilpatrick The merits of sheer incarceration seldom discussed the President's comments on are sufficiently acclaimed. Most serious crime 911 HOT LINE FOR EMERGENCIES crime control and the need for manda is the work of c1·iminals who have been tory sentences. I believe his remarks bear around the track once or twice before. They close scrutiny, and I enclose for the REc are cold-blooded professionals, and they are ORD a copy of Mr. Kilpatrick's column: virtually beyond redemption. In all but a HON. J. EDWARD ROUSH tiny fraction of such cases, efforts at l"eha OF INDIANA FoRD'S TOUGH APPROACH TO CRIME l\1ERITS bilitation are a wastes of time and money. IN THE HOUSE OF REPRESENTATIVES SUPPORT Law-abiding people have a right to demand (By James J. Kilpatrick) Monday, January 26, 1976 that these vicious misfits be put away "Lmtil In his State of the Union message last time turns them into old men. Mr. ROUSH. Mr. Speaker, for many Monday, the President devoted only a few The Ford program, extended to the states years now I have been an active sup paragraphs to the unyielding problem of would require major outlays to expand th~ porter of the "911" single, emergency crime in the United States. Understandably, machinery of justice. State legislators, number. Increasingly this simple, three because other parts of the speech had more pressed from every quarter, may be reluctant pizzazz, his comments on crime claimed little to provide the courtrooms, judges, prosecu digit number is being adopted through notice. They merit your thought. tors and new prisons that will be needed if out the United States. The figures for Ford hammered anew at the same hard the incidence of crime is to be effectively re last year are not as yet available, but themes he developed last summer in a special duced. But the President's approach is bas at least 33,000,000 Americans now have message on crime. Congress made little re ically sound. It ought to be pursued. "911". Invariably when the number is sponse in its first session. If the ideal of adopted newspaper articles attest to its domestic tranquility is to be taken seriously, Congress owes it to the people to make some value through the comments of local response now. cit~zens. I would like to include at this Here and there, it is true, the situation im URGING RETENTION OF J. EDGAR time a short arttcle from the South proves, but the improvement is only here and HOOVER'S NAME ON FBI BUILD Bend Tribune which is published in there, and it is a poor kind of improvement: ING IN WASHINGTON, D.C. South Bend, Ind., not far from my own the rate of increase declines. That is the best congressional district in Indiana. South that can be said. Otherwise the picture is Bend just adopted "911" last year: bleak. HON. ROMANO L. MAZZOLI CALLED 911 The most recent figures we have are for 1974, and these admittedly are incomplete. OF KENTUCKY A tragedy hit my house last week. My baby From one third to one half of all serious IN THE HOUSE OF-REPRESENTATIVES tripped on a cord and was badly burned by crime never is reported to the police or to hot grease. For the first time I used South the FBI. The figures long ago ceased to Monday, January 26, 1976 Bend's emergency number-911. I'm only shock-we are numb to crime statistics-but Mr. MAZZOLI. Mr. Speaker, the Louis writing to thank ev~ryone involved. they cry out for legislative action. Ville Chapter of the Society of Former 1002 EXTENSIONS_ OF REMARKS Janual"y 26, 1976 .FBI Agents passed the following resolu South Korea has had to pay a price, how manufacturers' exports began to increase . tion urging the retention of the late J. ever, for its strong economic performance. under severe prodding from the government. And while the present trends are encourag South Korea reported a small trade ·surplus Edgar Hoover's name on the new FBI ing, the future is still clouded by some nag in May-its first since the end of 1973. Small building in Washington. ging problems. The government achieved surpluses have continued most months since I would like to bring this resolution economic growth, but it didn't curb infla then. The recent 10% price increase for oU ~dopted by the men and women who tion. Wholesale prices, which rose about 45% from the Organization of Petroleum Export served under the directorship of Mr. in 1974, will rise another 20 % this year. ing Countries was more than offset by a rec Hoover-to the attention of my col There is also the question of South Ko ord rice crop, which enabled the South Ko rea's long-term external debt, which is ex reans to eliminate most rice imports. There l ~ agues. pected to rise to $5.83 billion by the end of will still be a substantial trade deficit for the The resolution is as follows: this year, up 34% from the end of 1974. The year, but government officials now say it The membership of the Louisville Chapter increased borrowing was to help South Ko won't exceed $1.4 billion. of the Society of Former Agents of the Fed rea pay for the higher cost of imported oil As a result, planners say South Kore ~· s eral Bureau of Investigation officially go on and to help finance its ambitious growth current balance-of-payments deficit for 1975 record as supporting the retention of the plans. will be below $1.7 billion. While still high, name of the honorable J. Edgar Hoover, for A CHANGING PICTURE that Is well under last year's deficit of $2 mer director of the FBI, as the official name billion and significantly below the $2.5 bil of the new headquarters of this great orga South Korea has indicated it expects for eign borrowings to continue to increase lion deficit that some foreign economists were nization. projecting only a few months ago. Further, this local chapter recommends sharply through the decade as its economy REDUCING SHORT-TERM DEBT that a similar resolution be circulated for continues to expand. The government, along approval by the several other local chap with many foreign bankers who visit Seoul South Korea has also been reducing its ters comprising the entire society of former frequently or who are based here, says that short-term debts in the past few months and agents of the Federal Bureau of Investiga it is managing its debt well and that it increasing its foreign-exchange holdings. tion. should remain a good credit risk in the fu During the first six months of this year, ture. But some bank executive in New York, short-term debt rose by $843 million, or aL No human is perfect. Mr. Hoover's per already awash in red Ink from U.S. corporate most as much as it rose in all 1974. But Mr. formance as head of the FBI, in retro and real-estate loans, have been questioning Nam, the deputy prime minister, · now pre spect, could have been bettered. the wisdom of advancing big new loans to dicts that the increase for the year will be But, once we require that structures South Korea or any other high-debt develop $621 million, far narrower than last year's ing nation. These bankers were further jolted $960 million gain. At the same time, Mr. can only be named after the faultless, we by two adverse reports on Korea In the pas" Nam says foreign-exchange holdings will be could name not a single new buDding few weeks. a record $1.5 billion, almost 50% above year and all structures would have to be "re Nonetheless, the general economic picture earlier levels. dedicated." in South Korea today contrasts sharply with Commenting on the economic prospects In naming the FBI building after Mr. the Image earlier in the year. For the govern for next year, Mr. Nam says he sees GNP Hoover, we honor his good and loyal serv ment's planners, April was the cruelest rising another 8 ~'o in real terms. He says ice. We do not honor, thereby, his mis month. The recession was dragging on longer next year's increase would be even higher than anyone had anticipated, and no one "except we have to moderate growth" to takes and excesses. seemed to know when the economy would help curb inflation. Mr. Nam says he thinks I think the building should not be begin its revival. that wholesale-price increases can be kept renamed. In an effort to stimulate the economy, the to "around 10%" next year and says he government had relaxed its credit controls hopes reduced inflation will prompt an in- last December. The relaxation prompted a crease In domestic savings. · ftood of imported raw materials but did The Korean official declined to forecast SOUTH KOREAN OFFICIALS EX nothing to spur exports to the biggest pur exports for next year, but other government PRESS OPTIMISM ON ECONOMY chasers of South Korean manufactured officials are privately predicting increases ALTHOUGH PROBLEMS PERSIST goods-Japan and the U.S. of 20% to ao rL Those predictions assume Statistics for the first quarter of 1975 that the U.S. al!d Japanese economies will showed the trade deficit running at an an perform much better in 1976 than they did in HON. WILLIAM M. KETCHUM nual level of $2.88 billion, or about 50% wider 1975 and that South Korean textiles, which than the record $1.94 billion deficit for 1974. were largely responsible for the recent OF CALIFORNIA Other economic indicators were equally de surge in exports, will continue to sell well IN THE HOUSE OF REPRESENTATIVES pressing. Foreign-exchange holdings, which abroad. Monday, January 26, 1976 are one gauge of a country's ability to service RENEWED BANKER INTEREST its external debt, were falling, and industrial Reflecting the turnaround in South Ko Mr. KETCHUM. Mr. Speaker, at this production, which had risen briefly in March, rea's economy, some foreign bankers are time I would Hke to share with my col was again stagnant. beginning to show renewed interest in fi leagues an article which recently ap STRONG ACTION AND GOOD LUCK nancing some of the country's planned in peared in the Wall Street Journal. As one dustrial projects. "Our reading is that Moreover, lndlcations that North Korea banker confidence is on the rise," one West who was privileged to view Korea's eco hoping to duplicate the Communist takeover ern-embassy official says. "All the mice nomic growth firsthand, I find this state in Indochina-was considering an invasion smell cheese and are coming out of their ment both interesting and timely: added a measure of political Instabllity to holes." The article follows: the uncertain economic climate. In such an A group of U.S. banks now is discussing a atmosphere, the foreign bankers, who had rFrom the Wall Street Journal, Dec. 16, 1975] $100 million syndication to finance South Ko just completed a syndicated $200 million rean construction activities in the Mideast. SOUTH KOREAN OFFICIALS EXPRESS OPTIMISM balance-of-payments loan to South Korea, ON ECONOMY, ALTHOUGH PROBLEMS PERSIST And Kim Woun Gie, governor of the state were unwilling to advance additional funds controlled Korea Development Bap.k, adds (By Norman Pearlstine) on a long-term basis. As a result, South Korea that "foreign bankers now are approaching SEOUL, SOUTH KOREA.-Most of the world's had to increase its short-term borrowings and us on several other loans for projects in nations that don't produce oil would just as rely more heavily on public lending facilities, South Korea." soon forget about 1975. But South Korea's such as the World Bank and the Interna· Nonetheless, many bank executives re economic planners-having weathered a tional Monetary Fund. main cautious about South Korea and are rocky start-are viewing the year as a quali But strong government action and some easily frazzled by adverse reports about fied success. good luck helped turn the economy around. South Korea. For example, the top manage This resource-poor, developing nation is "South Korea can move very quickly once ment of several New York banks ordered about to report substantial increases in ex it decides to change its economic policy," an thorough reviews of their loan commitments ports and gross national product. Nam Duck admiring banker here says. "And they decided to South Korea last month after The Ne\v Woo, deputy prime minister and head of to move during the spring." York Times carried a story about the sharp South Korea's .economic planning board, Political tensions calmed after the U.S. increase in South Korea's debt. says that exports will grow by more than renewed its commitment to defend South The pa.ce of international telephone calls 10 % this year and that real GNP will In Korea from attack and after North Korean and Teletype messages between branch of crease by almost 8 %. One foreign economist President Kim D-sung return~d from a trip fices here and home offices abroad picked with direct access to internal government to Peking without a public promise of Chi up again last week a.fter the private~ Wash working figures iS even more optimistic. He nese support for a "war of liberation" against ington-based Institute for Internatl~nal thinks the· real GNP will rise by 10 %, giv the South. Policy published· a study saying that· South i:lag -south Korea one of the highest growth At the same time, South· Korea reestab Korea is headed for default on its debts rates in the world. lished strict Import controls. And, finally, abroad and for economic chaos at home. EXTENSIONS OF REMARKS 1003 TALKING WITH BANKERS The article follows: air or shunted into a regular steam plan_t) South Korean government officials are [The Manchester Times, Jan. 15, 1976] in 1982 would cost about 2.7 cents per kilo~ convinced that the report is based on false watt hour for construction and around se-ven MHD BEST OF 10 ENERGY ALTERNATIVES, tenths of a cent per kilowatt hour for fuel, assump~ions and that it won't be taken seri~ NASA FINDINGS SHOW ously by the banking community. Nonethe~ operation and maintenance. STUDIED AT UTSI, AEDC less, several South Korean government offi~ In other words, the estimated cost ex clals took time to meet with more than 50 Magnetohydrodyna.mics (MHD) -an alter pressed in costs of electric power production international · bankers in New York last native way for generating electric power be~ totals about 3.4 cents for each kilowatt hour. This is considerably higher than the present Wednesday to explain their balance-of-pay~ ing investigated at the University ci Tennes~ see Space Institute and Arnold Center cost, which ranges from about 25-hundredths ments position and to try to refute the re~ of a cent per KWH in the Tennessee Valley port. is the best bet for the future, a recent gov~ ernment energy study shows. Authority region to about half a cent per Mr. Nam says South Korea. can deal with KWH nationwide. The study, which covered 10 proposed al~ the concern in New York. He says the coun~ Dr. Dicks said costs may very well not run try doesn't need "any additional balance-of~ ternative ways for generating power in the future, was commissioned by the National this high, but that the researchers obviously payments fl.na.ncins from banks at this have assumed a great escalation in the cost time," in part because he thinks South Ko Aeronautics and Space Administration and of coal (which has tripled in the past few rea can get additional financing from public was done by the General Electric Co. and years) as well as the expense of materials, lending fac111tles. And while he concedes it Westinghouse Corp. borrowed money and labor. may be "understandable that people are The MHD process on which the Space In~ But for the other alternatives that were concerned about us," he suggests that con~ stitute has been working for a decade has considered, estimated costs go even higher. cern would vanish if South Korea's present decidedly the best showing on cost of pro Generating power with a. gas turbine powered economic situation .v-ere better understood. ducing electricity in term of both construc by coal gas, for example, is estimated to cost tion and operating expenses, the report He says, for example, that many persons about 4.2 cents per KWH while a combina~ don't realize that South Korea's revenues shows. tion of a gas turbine with a conventional from exports have been growing about as "The results of this study are quite im steam plant comes to about 3.5 cents. fast as its long-term debt, thus providing portant," said Dr. John B. Dicks, head of For even more seemingly far-out proposals sufficient funds to meet the debt obligations. energy conversion studies at UTSI. "It is go that have been advanced-such as generating "Everybody knows the non-oil-producing ing to malre an impact on the U.S. Energy power by MHD in a closed-cycle system that countries are having balance-of-payments Research and Development Administration uses a gas in somewhat the same fashion as problems," he says. "That's not new. The as to what programs get funded and what a heat pump or refrigerator-the cost is on real issue now is that we have managed our don't." the order of 8.5 cents per KWH. debt, and we have gotten through the oil Dr. Dicks says he has learned that the It's about the same for a p:-oposed system crisis.'' 1976-77 fiscal year budget will seek $36 that would use carbon dioxide gas at ultra Philip Sherman, head of First National million for MHD research programs nation high pressures in a circulating system or a City Bank's Seoul branch, agrees with much wide, nearly a three-fold increase over the closed-cycle MHD generator which uses a of Mr. Nam's analysis. "There is always $13 million which were budgeted for the liquid metal for heating rather than coal. some vulnera.blllty when a nation has high current fiscal year. Also in the high-cost category are some debt, but the debt can also be a sign of dy~ But he says it apparently will take an~ other proposed methods that include fuel namism. Korea's debt is related to deyelop other strong fight to get a meaningful share cells that combine hydrogen and oxygen to ment and it is making good use of the funds of the funds for Tennessee because he has generate direct current (power most com brought in," he says. "In that respect, the been told that Montana interests will try monly used now is alternating current). situation is somewhat similar to what Japan to get it all. The study showed that an MHD plant like went through ooveral years ago." Sen. Mike Mansfield of Montana, the Sen~ the one UTSI is trying to develop would have ate majority leader, has been instrumental an overall efficiency of 48 to 54 percent, as in getting a big share of Federal MHD money compared with a top efficiency of 40 percent for colleges and universities in his state, for present steam plants. which is also a. big coal producer. Dr. Dicks said conventional steam plants NASA. REPORT CITES POTENTIAL One of the big attractions of MHD is its usually run at about 36 to 38 percent effi~ OF MHD RESEARCH-TENNESSEE potential for getting about 50 percent more ciency and that pollution control equipment SPACE INSTITUTE IS PIONEER electric power production from a ton of coal cuts it down even more. MDH plants he ING IN THIS RESEARCH than present conventional steam plants do. pointed out, won't need any special pollu~ The MHD process also removes sulphur di tion-control g~gets. oxide, which causes air pollution· associated In its study, Westinghouse estimated that with steam plants. the cost of a. one-million-kilowatt MHD plant RON. JOE L. EVINS In conventional steam plants-such as by 19.82 would be $596,200,000, a figure Dr. OF TENNESSEE Widows Creek in North Alabama or Kingston Dicks says is about in the ball park with in East Tennessee--coal is burned to heat what he and his colleagues estimate. IN THE HOUSE OF REPRESENTATIV'"ES water and produce steam, which turns power On the other hand, G.E. concluded the Monday, January 26, 1976 turbines. cost would be something over $1.1 billion, But in MHD, a super-hot, floWing gas pro~ which Dr. Dicks calls "ridiculous." He said Mr. EVINS of Tennessee. Mr. Speaker, duced by coal or some other fuel is chan~ that if G .E. had any direct experience with some of the most important research In neled through a magnetic field between the open-cycle MHD devices, it would have come this Nation ts currently underway at the poles of a giant magnet and produces elec up with a more realistic estimate. University of Tennessee Space Institute tricity directly. Scientists have known for Nuclear power plants, he said, will have an more than a century that power could be even higher price tag in the years to come, and the Arnold Engineering Center, both a factor which he expects to make MHD more at Tullahoma, Tenn., into a more ef generated this way, but only recently have serious attempts been made to do it. attractive as the years go by. ficient method of generating electricity UTSI is the only place in the world using by burning coal, called magnetohydro coal for MHD power generation, utilizing a dynamics-MHD. 100-kilowatt generator in its laboratory. It Certainly we want this research in has awarded design and fabrication contracts Tennessee to be continued and acceler for a. 3000~kilowatt plant it will erect on the 911 HOT LINE FOR EMERGENCIES ated in view of a recent report com UTSI campus with funds from an $8.1 mil~ missioned by the National Aeronautics lion contract. and Space Administration which con At Arnold Center, an existing MHD genera HON. J. EDWARD ROUSH tor is being modified for studies also financed OF INDIANA cluded that MHD offers the most poten by the Fedreral government. IN THE HOUSE OF REPRESENTATIVES tial for successful development and im Arnold's -project will use toluene, a. solid plementation as an alternative source of propellant fuel with heat properties much Monday, January 26, 1976 energy. like coal, to study techniques for extracting electric power from a hot, flowing gas while Mr. ROUSH. Mr. Speaker, once again A recent article in the Manchester I would like to take up my effort to intro Times concerning the NASA report is the goal at UTSI is to dewlop longer gen erator runs utilizing coal. duce into the pages of the CoNGRESSIONAL placed in the RECORD herewith, because The recent NASA study done by G.E. and RECORD a complete listing by State of the of the interest of my colleagues and tbe Westinghouse concluded that a power plant communities which now have the "911" American J)eople in energy research and using the open ~cycle MHO process (in which single emergency number, or which plan development. the hot gas used either is exhausted into the on adopting the same in the near future. 1004 EXTENSIONS OF REM ARKS January 26, 1976
2 1 . No tes P ayable to O thers, Un secu red, 2 . M arried filing joint return (even if only Date Population $225,701. one had incom e). served In Sched- (thou- 2 7 . M o rtg a g e P a y a b le o n R e a l E sta te , Exemptions: Regular, 2. Systems location service Wed sands) $52,291. 7. Total exemptions claimed, 2. 33. Net worth (F rom line no. 1 5) $34 2,4 61 . 8. Presidential Election Campaign Fund : 34. T otal liabilities and net worth (L ine 21 American Telephone & D o you wish to designate $1 of your taxes Telegraph: plus line 33) $652,453. for this fund? Y es. I ouisiana: SO URCE O F IN CO M E If jo in t re tu rn , do e s y o u r sp o u se wish to Alexandria Anti! 1970 110.0 designate $1? Yes. Baton Rouge September 1970 302.0 Salary, U.S. Congressman, $42,500. Bunk ie January 1972 10.0 Dividends, P Stock W . L. Buick, $4,200. INCOM E Lake Providence____ July 1973 13.0 Leesville December 1974 25.0 PERSONAL INFORM ATION 9. W ages, sa la rie s, tip s, a n d o th e r e m - Oakdale March 1973 10.0 Business or occupation, U.S. Congressman. ployee compensation, $42,500. Rayne July 1971 17.0 Married, X. 10a. Dividends, $4,964, 10b Less excluSion Ruston July 1972 44.0 Dependent Children, 0. $200, Balance, $4,764. Tullulah January 1971 14.0 11. Interest income, $27,640. Vidalia March 1973 10.0 SUPPLEM ENTARY SCHEDULES Maine: 12. In co m e o ther than wages, dividen ds, Boothbay Harbor__ April 1972 3. 1 No. 1 B ank ing R elations. (A list of all m y a n d in te re st (fro m lin e 3 8) , $ (4,3 84). Camden O cto ber 1 9 69 3. 5 bank accounts, including savings, and loans). 13. T o tal (add lin es 9 , 1 0 c, 11, and 12) , Waterville February 1973 35.0 Name and Location of Bank : Maryland: $70,520. Charles County July 1974 47.0 First National B ank M iam i, C ash balance, 14. A djustm ents to incom e (such as "sick Montgomery County_ October 1974 523.0 $2,000. Amount of loan, $32,000. pay," m oving ex penses, etc. from line 43) , Prince Georges October 1973 750.0 First S ta te B a n k M ia m i, C a sh b a la n ce , County. $(3,709). Independent telephone $1,919. 15. Subtract line 14 from line 13 (adjusted Company, Maine: Comm Bank, $498. gross income) , $66,811. Hampden December 1975 4.0 Comm Bank, Say, $2,000. Comm Bank, Say, $7,147. TAX, PAYMENTS AND CREDITS No. 2. A ccounts, loans and Notes R eceiva- 16'. Tax, check if from : Tax R ate Schedule DISCLOSURE OF ASSETS AND ble. (A list o f the largest am o u n ts o win g to X, Y, or Z, $18,321. TAX RETURNS me.) 1 8. Incom e tax (subtract line 1 7 from line A ddress of Debtor: 16), $18,321. HON. WILLIAM LEHMAN W illiam L ehm an L easing C orp., A m ount 20. Total (add lines 18 and 19), $18,321. owing, $50,000. Description of nature of debt, 2 1 a . T o ta l Fe de ra l in co m e ta x withhe ld OP FLORIDA loan. (a tta c h Fo rm s W -2 o r W -2 P to fro n t) , IN THE HOUSE OF REPRESENTATIVES W illiam Lehman, Jr., Amount owing, $165,- $11,060. 000. D escription of nature of debt, Purchase 22. T o ta l (a d d lin e s 2 1 a , b , e , a n d d ) Monday, January 26, 1976 Stock W LB. $3 1 ,060. Mr. LEHMAN. Mr. Speaker, it has been No. 3. Life Insurance. BALANCE DUE OR REFUND m y practice since m y first cam paign for Nam e of Person Insured: W illiam Lehm an. 23. If lin e 2 0 is larger than lin e 2 2 , en ter Congress in 1972 to make a full disclosure N am e o f B en eficiary , Jo an L ehm an . balance due IR S, $7,261. N am e o f In su ran ce C o ., M ass, M U T . of m y assets and tax returns. PART 1. INCOM E OTHER THAN W AGES, DIVIDENDS. MONY. AND INTEREST I had been advised earlier last y ear Type of Policy, OL. that n ew fo rm al p ro cedu res wo u ld be Face amount of policy, $205,000. 28. B u sin e ss in c o m e o r (lo ss) (a tta c h established for mak ing such disclosures. T otal cash surrender value, ?. Schedule C) , ($4,625). S in ce the se p ro ce du re s we re still n o t T otal loans against policy, ?. 29. Net gain or (loss) from sale or exchange A mount of yearly premium, $6,909. o f c a p i t a l a s s e t s (a t t a c h S c h e d u l e D ), established by the en d o f the first ses- ($1,000). sion, I am now inserting into the RECORD N o . 4. Sto ck s an d Secu rities O ther T han G uaranteed U.S. G overnm ent Securities and 3 1 . P e n sio n s, a n n u itie s, re n ts, ro y a ltie s, com plete financial disclosure inform a- Government Agencies. p a rtn e rsh ip s, e sta te s o r tru sts, e tc. (a tta ch tion in k eeping with m y past practice. Face value ( bonds) No. of shares (stock s), Schedule E) , $1,241. The information includes the financial 1 0 50 P rf. D escrip tio n o f Secu rity, W illiam 38. T otal (add lines 2 8, 2 9, 30, 31, 32 , 33, disclosure statement which I filed earlier L ehm an B uick . R egistered in Nam e of W m . 34, 35, 36, and 37) . Enter here and on line 12, th is y e a r with th e S ta te o f Flo rid a 's & Joan Lehman. Present mark et value, $105,- ($4,384) . Commission on Ethics. The statement in- 000. Income received last year, $4,200. PART II. ADJUSTM ENTS TO INCOM E cludes m y com plete incom e tax returns Face value (bonds) No. of shares (stock s), 41 . E m p lo y e e b u sin e ss e x p e n se (a tta ch for 1974: 225 C. Description of Security, W illiam Leh- Form 2106 or statem ent) . Schedule attached, m an B u ick . R egistered in Nam e o f W in . & ( $3,709). PE RSO N A L FIN A N CIA L STA TE M E N T Joan Lehman. Present market value, $156,350. 43. Total adjustm ents (add lines 39, 40, 41, I Suggested by Federal R eserve B ank of Face value ( bonds) No. of shares (stock s) , and 42 ) . Enter here and on line 14, ($3,709) . A tlanta) 44.5 C. Description of Security, W illiam Leh- PART III. TAX COM PUTATION Name: Mr. & Mrs. W illiam Lehman, Sr. man Used Car. Registered in Name of W m. & T o : S o u th e a s t Firs t N a tio n a l B a n k o f Joan Lehm an. Present m ark et value, $41,639. D o n o t u se this p art if yo u u se T ax T ables Miami. D escription of Security, JC P enny & B ro- 1-12 to find your tax.) I m ak e the fo llo win g statem en t o f all m y m ar. R egistered in N am e o f Jo an L ehm an . 44. A djusted gross incom e (from line 15), a sse ts a n d lia bilitie s a s o f th e 2 8th da y o f Present mark et value, $3,500 $66,811. February, 1975, and other m aterial inform a- No. 5. R eal Estate. The legal and equitable 45. (a) If y o u item ize dedu ctio n s, check tion for the purpose of obtaining credit with title to all the real estate listed in this state- here an d en ter to tal fro m S chedu le A , lin e you on notes and bills bearing m y signature, m e n t is so le ly in th e n a m e o f th e u n d e r- 41 and attach Schedule A , $12,819. e n d o rse m e n t, o r g u a ra n te e , a n d a g re e to signed, except as follows: 46. Subtract line 45 from line 44, $53,992. notify you prom ptly of any change affecting D escription or Street No. 1 7 2 R iverwood. 47. M u ltip ly to tal n u m ber o f ex em p tio n s m y ability to pay. Dimensions or acres, Condo Dkylake E. Mort- claimed on line 7, by $750, $1,500. ASSETS gages or liens, $44,720. Present mark et value, 48. Taxable incom e. Subtract, line 47 from $55,900. line 46, $52,492. 1 . C ash, on hand, a n d u n r e s t r i c t e d i n D escription or Street No. D uplex , Selm a, b a n k s , $13,564. Ala. Present market value, $25,000. 2 . U .S. G o vern m en t Secu rities (G u aran - Description or Street No. Studio Mem. Hwy. teed) US T Notes, $10,000. M o rtg a g e o r lie n , $ 7 ,57 1 . P re se n t m a rk e t C O ST L Y G O O FS T Y PIFY V A HO S- 5 . N o te s R e c e iv a b le , N o t D isc o u n te d , value, $25,000. $ 2 1 5,0 0 0 . PITAL CONSTRUCTION 8. Stock and Securities O ther T han G uar- U.S. IN DIVIDUA L IN CO M E TA X RE TURN . 1974 a n te e d U .S . G o v 't a n d G o v 't A g e n c ie s , $306,489. KK xxx-xx-xxxx . xxx-xx-xxxx D59 3. HON. MARTIN A. RUSSO 9. R eal Estate, R egistered in o wn n am e, W illiam & Joan Lehman. O F IL L IN O IS 2269 NE 163rd St. $105,900. 1N THE HOUSE OF REPRESENTATIVES 1 . O ther A ssets (Item ize) , Israel B o n ds, North Miami Beach, Fl., 33162. County of residence, Dade. $1,500. Monday, January 26, 1976 Your social security num ber. xxx-xx-xxxx . 7. Total assets, $652,453. Spouse's social security no. xxx-xx-xxxx . M r. R USSO . M r. Speak er, the third L IA BIL ITIE S A N D N E T W O RTH o ccu p atio n : part of the Chicago Tribune series on the 1 8. N o tes P ay able to B an k s, U n secu red. Yours, Congressman. V eteran s A dm in istratio n , which I am Direct borrowings only, $32,000. Spouse's, Self-Employed. p la cin g in the RE CO RD in its e n tire ty . January ?6, 1976 . . l EXTENSIONS OF REMARKS 1005 deals with VA hospital construction. I Also boosting the cost of the project were Because contractors know the VA cannot think iriy colleagues will find it niost in- . changes in the V A's hospital plans made to sue them-the VA says it has won only two accommodate a new state medical school in suit~ in recent years-the VA has little pro rer~tmg. . · Columbia. - tection against shoddy work, Proxmire said. The article follows: Told of the 95 per cent cost overrun, Prox "We would have to have a blatant incom COSTLY GOOFS TYPIFY VA HOSPITAL mire complained: petent before we could even think of recov CONSTRUCTION "It is like building another. hospital." ering funds," Miller said. The Veterans Administration wanted to An oversight on a hospital project in the While the VA isn't adequately studying build a hospital in Loma Linda, Cal. It told Bronx-not listing parking lots and research hot"pitals it plans to put up, the agency is Congress the project would cost $46 mllllon. areas in the first cost estimates-added $30 conducting a study of the hospitals already The final tab to the VA and the taxpayer Inillion in the final bill. standing-an earthquake study. came to $64 mUlion--$18 million more than VA officials admitted at the hearings that VA hospitals at 68 locations from Boise the agency first said. the agency has omitted provisions for cel· to Buffalo, from Seattle to Salt Lake, are un Did the VA know how many floors the tain key facilities when it has given cost esti dergoing "seismic evaluations"-at a cost hospital would have when it asked Congress mates to Congress, though it knew these of more than $3.8 million. for the initial authorization? The Tribune facilities eventually would be included. The U.S. Geological Survey (USGS) says asked. "A flat misstatement, a deception of Con no other agency is making such studies, "No," Marvin Spatz, director of the VA gress," Proxmire called it. "When we were which were begun after the 1971 California Estimating Service, said in an interview. told that this would complete the hospital in earthquake. The VA drew new maps that Did the VA know the shape of t he build the Bronx and it did not include parking and duplicate existing USGS maps and spent ing? research facilities ... when we were told we money on elementary "ground motion" "No." would pay for the hospital in the Bronx if we studies. Did the VA kn ow how many rooms it spent $72,644,000 for 1975, that was simply The studies did find some soft spots in the would have? and absolutely a false statement." E-vent of earthquakes. They also identified "No," was the answer again. Roudebush responded: "I do not think it 25 sites that are so stable that no work need The VA did know how many patients the was done in deception, but it was in error, be done on hospitals there. These include hospital expected to handle, Spat z explained. no question." such historically quake-free cities as In Lack of further planning meant that 36,QOO What never came out in those hearings, dianapolis, Phoenix, and Wichita. square feet of space had to be added to the The Tribune learned, is that the VA, unlike Even so, the VA is plowing ahead with building's final specifications to make room other big contracting agencies such as the more studies at the 25 stable sites, the VA for all the rooms the hospit al was supposed Defense Department, estimates its construc told The Tribune. to have, VA records show. ' tion costs without any detailed working When The Tribune questioned the VA's The $18-million cost overrun at the Loma plans and specifications. James Lefter, director of civil engineering, Linda hospital is just one in a long string "As a rule of thumb," construction chief about the continuation of the studies at the of blunders in the VA's planning and con Mlller told The Tribune, the VA goes to Con 25 stable sites, he said, "We are not over struction program, which wastes millions of gress for money long before it knows what reacting." tax dollars every year. a hospital will look like. He says its staff of But later, when asked by The Tribune, Here is what The Tribun e foun d out about 300 architects and engineers does not have Administrator Roudebush said the agency the VA's spending habits: the money to prepare a set of working draw indeed may have gone overboard. Cost overruns on just three hospital proj ings on which to base probable costs and Another key area where planning has gone ects last year, including Loma Linda, to cost increases. awry, GAO studies reveal, is the installation taled $68 million. So reguarly does the VA "We would get a hell of a sight closer," of special medical facilities. seek extra money for its construction proj Miller said, if the VA bad money for such As open-heart surgery techniques advance ects that Congress soon may require the planning, like the Defense Department. A the VA began installing special surgery cen agency to file special quarterly reports, a spokesman at the Pentagon confirmed the ters for the procedure at many of its hos Senate committee aide told The Tribune. department's policy of providing Congress pitals around the country in 1965. The VA 'awards and develops construction with detailed working drawings when seek The VA itself and other competent medical contracts under a method that practically ing construction money. opinion say it is essential for open-heart guar·antees its outside architect-engineers Roudebush told The Tribune during an surgery teams of doctors, nurses, and tech won't be held responsible for costly mistakes. interview, "I have recommended that a plan nicians to perform frequent operations in The VA spends millions on sophisticated ning fund be brought about . . . but we order "to attain and retain the high degree but unneeded medical equipment. One audit · have never been given permission to es of technical skill that is required for this by the federal General Accounting .Office tablish one. ·• He said the request was made type of surgery." _ found that many specially installed surgical to the Office of Management and Budget. The experts recommend that surgical units costing as much as $500,000 each are The v A argues that part of the problem teams perform a. minimum of two and pref use~ . so infrequently that doctors don't get at Loma Linda was that the hospital was erably four operations a week. One VA center enough experience to maintain their profl a rush project intended to replace the San performed only seven operations in 1971, ci(mcy in delicate techniques. Fernando VA hospital destroyed by an earth the GAO found, and only five of the 23 VA Following an earthquake that destroyed a quake in 1971. And part of the $18-milllon surgical centers performed operations often VA hospital in California five years ago, the cost increase was the result of new rules enough to meet the VA's less-rigid standard VA began a multimillion-dollar series of passed by Congress that increased the out of one operation a week. "earthquake studies" at sites around the patient load for VA hospitals. The VA frequently subcontracts surgery to country, many of which are virtually earth But about $5.6 million of the extra cost other hospitals that have better equipment quake-free. was incUITed because the outside architect or staffing for certain procedures. Recently charged with running the na engineering firm made what Proxmire called But the VA is taking on open-heart sur tional cemetery system, the VA has embarked an "elementary mistake"-rooms were in gery itself. Despite the infrequent use of the cluded that the VA didn't ask for, and some centers already established, the agency dou on a plan to add millions of new grave sites were designed larger or smaller than in at a cost of $331.6 million-though the bled its number of open-heart surgery cen tended. ters to 50. In 1974, only 19 of them were used agency's own evidence indicates that 93 per Yet when outside designers make mis cent of America's veterans prefer to be buried more than once a week. takes that cost millions, the VA does not Dr. John Chase, the VA's chief medical di in private family plots. go after them, according to the General Ac·. The V A's construction budget of $400 mil rector, said the agency installs the special counting Office. medical units to better serve the veteran and lion a year is one of the largest in the federal "The cozy relationship between the Vet government--even before the cost overruns. to save money. "Traditionally," he said, "we erans Administration and a large number of find it is less expent)ive for us to give treat In trying to explain the overruns to an its architectural-engineering contractors ... angry Sen. William Proxmire [D., Wis.] at ment in our own hospitals than to give that has resulted in the failure of the VA to sue same treatment on a fee basis." Sena~e Appropriations Committee hearings the firms to recover the losses," said And he denies there is a lack of planning: last year, VA Administrator Richard Roude Proxmire, who commissioned the GAO study. · "We find from time to time that even our bush and other officials admitted, "We have ·The GAO explains that legally, the VA l:>est planning does not work out.... We may not been realistic about inflation." is virtually barred from recovering anything discover while we are doing this kind of An overrun on a hospital project in co from architect-engineering firms because its planning that another hospital is doing the lumbia, S. C., last year, for example, raised own staff works closely with the contractors same thing: and for some reason we don't the cost from $21 million to $41 million on every step of the design and execution know another hospital is doing it." almost double. The VA said it assumed an in of a major project. Governxnent reports have documented ,fiatlon rate of 3.5 per cent. "As it worked out, "We, generally speaking are implicated other cases of probl~ms in planning, ill inflation is running about 12 per cent a year,'' with the architect-engineer," Miller said. He eluding: said Viggo Miller, head of all VA construe said the problem is not unique to just this Kidney transplant centers. The facilities, tic>~ one government agency. which cost up to $500,000 to install, also
· .1 . 1006 EXTE SIONS OF REMARKS January 26, 1976 must 'Qe fully utilized for the surgical teams considered what he would demand of a ment. Instead there· are in this republic oruy to remain proficient. medical authorities say. Presidential candidate in 1976. He called indignant taxpayers deeply angry abou~ the Yet. af~r thl·ee years and $465,000, the Ma~ for three promises. The first would be willful idleness of the unemployed. The only hattan VA, hospital had performed only two . exhaustive investigations into the cir sophisticated policy 1s their appeasement. transpl~nt~;~. lJl one year. only six of the. 27 The prime enemy of the people i6 the state, VA centers performed more than the VA cumstances under which Ge1·ald Ford be save only as it involves itself in the exigent minim~ of ~o to 25 transplants annually; came President and pardoned Richard needs of national defense and bankrupt cor 18 of the centers performed less than one Nixon and into the assassination of John porations. The ultimate tendency (and hope) transplant a month. F. Kennedy. The second Pl'omise would of om· politics is to two equally conserva Electron microscopes. The VA had planned, be an end to American covert intelligence tive parties competing for the great conser over the next two years. to acquire 69 elec operations abroad. vative majority. tron microscopes for $27 million with an an His final promise would be implemen We should have a name for this ph enom nual operating cost of $1.7 million. Yet the enon; I propose that it be called "The Con GAO found that the 40 instruments the VA tation of a full employment program for servative-Majority Syndrome." In an earlier already had were being used only 20 percent all our people willing and able to work. time it would have been called ••The Dayton of the time. The VA then cut back its request As Tom Wicker wrote- Housewife Discovery"; that was its last mani to less than 56. Even so. the GAO said, each The thil·d promise would be t o undertake festation. That excellent woman, you will of the sophisticated instrumen-ts could be to provide the American people with full em recall, was also unblack. unpoor. definitely expected to look at less than one specimen ployment--not 4 or 6 or 7 percent unemploy uninterested in anything as unrefined as a day. ment--but a job for everyone willing and women's rights, and, you can be SUl·e, deeply In 1973 the Veterans Admirustration took able to work, in private enterprise to the ex concerned about taxes. I have always thought over from the At·my 105 cemeteries of the na tent possible, in public employment to the that both she and Dayton were greatly tional system. which range in size from a extent necessary. This would not be offered libeled. few dozen acres to more than 200,000 acres. as a panacea for all economic ills, but as a The success of the conservative syndrome The Army had decided to phase out the positive step to reduce poverty, welfare de depends on four motivating factors, all system. pendence and possibly street crime, accom powerful in our time. The first is the suscep Figures from the American Cemetery As plish certain public purposes (for example, tibility of much of our political comment sociation indicate there is no need for more the reconstruction of raih·oad lines) . and and many of our political commentators and federal cemeteries. Private cemetery space hold down lnfiation by increasing both sup sages to the rediscovery of the wheel. Its spe currently available around the country is suf ply and demand. cial manifestation is the recurrent discovery, ficent to bury the entire U.S. population for offered each time as a breathtaking revela the next 140 years, the group says. It is time for action on the Hawkins tion of only slightly less than scriptural im And experience has shown that a bare 7 Humphrey full employment legislation. pact, that people of means would rather not per cent of the veterans eligible use their H.R. 50. pay taxes. This is not combined, unfortu rights to be buried in a national cemetery. nately. with the companion revelation that the VA admits. Surveys show that most vet people of means are indefinitely more articu erans prefer to be buried in family plots, late than anyone else, their spokesmen and close to their homes, and often in a religious POLITICAL RECYCLING intellectual sycophants alone excluded. So it setting. is not noticed that. by its sheer volume, the Still, the VA is moving ahead wit h a plan voice of the relatively affiuent 1n our land for 10 regional cemeteries, wit h 3.5 million gets mistaken for the voice of the masses. If graves for veterans and their dependents, HON. MICHAEL HARRINGTON you are in doubt on this point, recall how which will cost $331.6 million to develop and OF J!,tASSACHUSETTS many welfare recipients you have heard on nearly $20 million a year to maintain. I T THE HOUSE OF REPRESENTATIVES the question of the profiigacy of New York The irony is that the VA provides an al City. Compare this with the volume of ex tel:native for the veteran-a $150 burial pay Monday. January 26, 1976 pression emanating from Chase Manhattan, ment, an option which, coupled with the Mr. HARRINGTON. Mr. Speaker. the Lazard Freres, and Secretary of the Treasury Social Security benefit of $255, is sufficient William Simon. The Westchester COunty congressional debate over national eco budget, it was announced in mid-November, to cover the cost of a private plot , interment, nomic policy is focusing now on President a-nd perpetual care. will rise by 25 per cent in 1976. That. in those The Tribune has calculated that if the VA Ford's state of the Union message and mostly pleasant precincts. was the result of encom·aged use of the $150 allotment and his proposed budget for fiscal year 1977. changing population structure, inflation. and adopted a caretaker role over the cemetery If we really want to restore some com recession. In New York it would be caused by .system. U.S. taxpayers, including the 29 mil monsense to the way we set our priorities. the idle and the unions. And, of course. John lion living veterans, would be saved $2.55 however, we will do far better to heed Lindsay and Abe Beame. billion over the next 50 years. the advice of John Kenneth Galbraith as The second support to the conservative "I envision more than a series of ceme it appeared in the December 22 issue of syndrome is related: it resides in the deep teries:• John Mahan. director of the national desire of politicians, Democrats in particular, New York Magazine. I commend this ar for respectability. All seek to inspire confi cemetery system, said in his "VA Pledge on ticle to all of my colleagues, and espe Cemeteries." dence, convey an aspect of sound judgment. "I believe Congress has pointed the way cially to Members of my own party: And what is the test of sound, confidence to development of a network of national [Fl·om the New York Magazine, Dec. 22, 1975] inspiring judgment? It is, broadly, whether shrines embodying the life of om· nation over THE CoNSERVATIVE-MAJORITY FALLACY speech and action are consistent with the comfort and well-being of the afiluent, in the past 200 years. Each can include visitors (By John Kenneth Galbraith) or learning centers that will recreate great cluding, needless to say. the people who lead American moments." I would like to identify and comment in the great financial institutions and man the And Mahan is not alone in his vision for a scientific way on one of the notable politi large corporations. A radical is anyone who the cemetery system. Says Thomas "Pete" cal phenomena of our time. That is the causes discomfort or otherwise offends such Walker, commandei' of the Veterans of For powerful and wonderfully persistent devices interests. Thus, in our politics, we test even eign Wars: "There are a lot of military men by which recurrently we are persuaded that liberals by their conservatism. Alfred Mar who just live to be buried in a national conservatism is the wave of the future. These shall. the great founder of neoclassical (and cemetery." instruments of persuasion are brought to now conservative) economics. once said that TomotTow: Avalanche of forms and papers bear a.t all times and with much success on there is nothing an economist should so fear overshadows the VA's real job. the Congress. And once every four years, at as applause. Certainly nothing should be so about this time in relation to the election, damaging to a Democrat as an approving edi they are directed at the Democratic party and torial in The Wall Street Journal or the mo t the nation at large. primitive nod from Evans and Novak. The purpose is always the same. It is to TOM WICKER ENDORSES FULL The self-reinforcing characte of our on persuade all susceptible citizens-particu servatism works with particular force in EMPLOYMENT larly Democrats, their legislators, and the Washington. There some public official to candidates-that the country has, at long whom Andrew Mellon would seem advanced last. moved sharply to the right. Specifically, identifies an action as likely to cause pain HON. CHARLES B. RANGEL the object is to persuade them that, politi to the privileged. He forthrightly communi OF NEW YORK cally speaking, there are no poor. no aged, cates his alarm to Messrs. Evans and Novak. IN THE HOUSE OF REPRESENTATIVES no sick, no black, no other unemployed is These scholars tell of the intended action, a major issue, no one whatever whose health, note that it is a potential cause for popular Monday_. January 26, 1976 education. food. shelter. protection from eco indignation, maybe even ma.ss anguish. '.rhe Mr. RANGEL. Mr. Speaker. New York nomic abuse or exploitation. or even sur original progenitor reads their story and is Times columnist Tom Wicker recently vival itself depends on the services of govern- ~ffl rmed in his fears. So a.r e ot hers It is, I JanuaTy 26, 1976 EXTENSIONS OF REMARKS 007 believe, the only successful closed-circuit view. And out of the service to corporations duction conditional on expenditure reduc system for recycling garbage that has yet comes the rather less innocent desire to pro tion, promised the reqUisite vetoes if the been devised. tect one's income. Much of what was once spending reduction is not made good. Those The third strength of the conservative· called liberal economics has become very con of us who had fea:red this result must be syndi-ome lies in the superb tactical position servative in our time. grateful to him for clarifying a difficult point. of the Republicans when they are in power The conservatism of contemporary eco We should also be grateful to my friend Pro as now. For they can attack government for nomics manifests itself in two major matters, fessor Milton Friedman, a man of great if indifference, callousness, or incompetence both vital for the Democratic position. inconvenient honesty, who also has made and then justify the attack by making it so. The established economics can, in priucl the conservative position wonderfully clear. This is the history of the last seven years. ple, treat unemployment. It cannot in its In a Newsweek column on OCtober 27, he When Republicans attack government, let accepted form deal with such part of the in could not have been more forthright: "I am us be sure as many as possible know .that fi.ation problem as is caused by the wage/ in favor of a Federal tax- cut at all times-as the government of Richard Nixon or that of price spiral in the industrial sector of the t he only way to exert effective pressure on Gerald Ford or-let me be nonpartisan economy. No one, or not many, doubt tlie Congress to keep down Federal spending." that of George Wallace in Alabama is not importance of this spiral. Not having a cure The reduction in spending inevitably affects our model. Govexnment was not thought cal for infiation, the accepted economics mini the services and support of the poor, for de lous or indifferent or even incompetent in mizes it as a problem, asserts that at any fense and business needs are always exempt. the days of Roosevelt or, for that matter, given time the real economic need is for more And if it succeeds, it also means-much more Lyndon Johnson. growth, more jobs. The result, so far as this than incidentally-that there is no expan Let us not, above all, allow anyone to be guidance is accepted, is to divide ow· politi sive effect at all from the tax reduction. lieve that we take the economic manage cal life between conse1·vatives who prefer uh There would be contractive effect, in fact, for ment of William Simon and Alan Gxeen employment to infiation but do not say so the tax savings are not as reliably spent as span-men, as I've often said, who see prog and liberals who prefer inflation to unem the proceeds of the outlays so curtailed. ress as escape to the eighteenth century-as ployment but do not say so. It is federal taxes that are reduced. These, our model of what intelligent macroeco There is no political future for Democrats in substantial though not exclusive part, are nomic management of the economy can ac in such a debate. Unemployment hurts a on middle- and upper-income brackets of the complish. smaller number of people a lot; inflation personal income tax and on corporations. I must add a special note here. Even those, hurts a larger number of people a little. We This reduction comes at a time when states and I am one, who are celebrated for their cannot defend either. It is not possible to and cities, in consequence of the recession patience, their kindly tolerance of human persuade people-as some economists the tax reduction is to cure, are being forced frailty, must be discow·aged at the recep would-that inflation is an overrated evil. to raise their taxes, and these invariably are tion which the prophets of the respect For the person wondering how to stretch lim taxes on the poor. While the House Ways and able view ·accOl'New York City to raise its sales to attribute the recession to natural cyclical likes as they are. We know they dislike tax to 10 percent. Highly regressive taxes were causes, and they are further forgiven for its infiation. raised. And the serVices of a city already deep not preventing the inflation. Had men of This leads t-o the unsm·prising conclusion in public squalor have been ruthlessly cur similar competence been in charge of the that there must be direct intervention on tailed. In the same week that the committee space program. we would now be digging the incomes and prices in the organized sector of reported out the tax-cut bill, the Common boys out of the Grand Canyon. And had the the economy. Next time it must be done wealth of Massachusetts agreed on a tax in same standards of judgment been brought to seriously; it cannot be again, as it was crease of $364 million, all of it in relatively bear, the failure would have been accepted as in 1971, for the purpose of getting a Republi regressive taxes, for no others were available. a natural manifestation of the law of gravity. can president by an election. And you will (Two hundred and eighteen milllon dollars We must never minimize the importance notice that I use the word incomes. We have would be from taxes on sales and on meals.) of good public management and administra a. labor movement in the United states, The Boston Globe, noting the juxtaposition tion. This is a dull but important business, which on this issue, is quite possibly more of these events, said they made no sense. one that must always be part of our claim to reasonable, modern, and nontheologlcal than How right. And again. there is no economic govern. It has not had the attention from any other in the world. It will, as George stimulation in a shift from progressive fed Democrats that it deserves. But let us not Meany has reiterated, accept such a policy eral to regressive state and local taxes. If join in the curl·ently fashionable tendency to as long as it is fair and general-as long as anything, the reverse. There is only joy for defame either government or those who work it applies equitably to all incomes. It must the affluent. for government. The civil service of the also keep living costs effectively stable or We are learning, finally, that federal tax United States is as honest, effective, and otherwise protect real wages. Any trade reduction, taken by itself, is an inefficient perhaps even as innovative as that of any union leader is right to insist on these con form of stimulation. In the second quarter other country. It was stubbornly honest peo ditions. The pl'Oblem for Democrats is not of this year there was a big bulge in private ple in the Department of Justice, the FBI, whether to have such controls; this the cir savings. Its source was the tax reduction and the IRS, and elsewhere who frustrated the cumstances of economic power in the econ refunds. People who didn't need the money tax evasion, obstruction of justice, suborna omy have already decided for us. The ques were not using it. This would not have been tion of perjury, and constitutional sub tion is how to meet the required conditions the case if the money had gone instead to version of Richard Nixon and the less imagi of their equitable application and effective employ people on useful work, maintain or native felonies of Spiro Agnew. Had our pub administration. For so long as the estab improve public services, provide help to the lic servants not been honest, our case would lished economics ignores the problem of con large cities, prevent layoffs, ease the burden have been hopeless. trols, and its counsel is followed, Democxats of state and local welfare costs. That money The final buttress to the conservative syn are left With no viable alternative to the would have been spent. In buying tax reduc drome is those whom we may perhaps call the present conservative mismanagement of the tion as the magic of the Establishment liberal-Establishment economists. Here I economy. economists, Democrats have bought a slightly must proceed tactfully; I am speaking of the The second support to conservatism from modified version of the Hoover trickle-down work of conscientious and intelligent men, t he established economics, a very urgent doctrine. And the tt•ickle is as unreliable a excellent citjzens, good friends. But, alas, matter, lies in its formula for expanding the recovery instrument now as it was then. As time, in its ineluctable march, has made I've said, next year's tax policy is over the economy, for curing unemployment. In re dam. Thereafter let us spend instead for them also pillars of the conserv·ative edifice. cent years its remedy has become the reduc This is because some inevitably yearn for the needed services as a substitute for regressive tion of federal taxes. It is offered all but t axes. Establishment's applause and test their per automatically whenever the economy is op formance by its volume. Alfred Marshall's Thus the lesson: liberals can become con erating at less than full capacity, which of servatives, Democrats can become Republic warning has been forgotten even here. Some late has been all the time. This remedy is a inevitably are confined by the institutions ans, we can have not one conservative party liberal and Democratic disaste1'. Nothing in but two. We have only to test our policies by they serve. This is a subtle but powerful in recent times has so played into the hands of fluence in our time. Most economists serve the affluent applause, seek respectability be conservatives. fore all else, assume that government must within an institutional framework; some ad There was always the danger that tax: re ditionally are sustained visibly and directly be as bad as under Nixon and Ford, and be duction would be seized upon by conserva guided on controls and taxation by the es~ by the banks and corporations they assist or tives as the excuse for limiting publlc ex tablished economics. We ru·e, I venture, well advise. Out of this comes a largely innocent penditure&-always excluding defense and on the way. The only problem is that if and natural desire to avoid embarrassing those ln which business has a prime inter Democrats continue on course they will have one's colleagues and institutions by urging est. That danger Gerald Ford has now made deserted their natural constituency. They policies tpat are at odds with the. respectable explicit. He has made acceptance of t ax re- won't be worth electing. Nor wiD they 'be CXXII--64--Pa.ri 1 .10~8 .EXTENSIONS OF REMARKS Janua1·y 26, 1976 elected. For, as Harry Truman once observed, By misleading citation th~ leaflet implies bill would take away the authority of parants given the · choice between two conservative that this material app~ared in the CONGRES· over their own children, the campaign has parties, people will always choose tlie one SIONAL RECORD this year and that it repre · tried to arouse anger and fear with fabrica that is honestly and deliberately so. sents the contents of the bill. There is no tions -and malicious implications contained in such Charter contained iD. this bill. I ha-d a widely circulated unsigned flyer. never even heard of the Charter or this Brit• The flyer quotes from statements in the ish group until I saw the leaflet and investi· Congressional Record, implying both that the gated the source Of the CONGRESSIONAL REc~ opinions expressed are facts and that the CHILD AND FAMILY SERVICES ACT ORo statement. information is current. But the quotes seem OF 1975 . This legislation is designed to provide the to have been pieced together from various following services: statements made on Dec. 2, 1971, during a dt Proper prenatal care for mothers and bate on an earlier child-care bill. health care for children to insure that the;y For one thing, the Record is a ponderous HON. HAROLD E. FORD are not subject to handicapping conditions work of fiction. Although its essential purpose OF TENNESSEE that could put them on welfare as adults; is to report everything that is said and done IN THE HOUSE OF REPRESENTATIVES Proper care for the children of working in cong~·essional sessions, it also includes just mothers who are desperately trying to stay about anything the congressmen choose to Monday, January 26, 1976 off welfare; insert. Speeches, excerpts from books, news Mr. FORD of Tennessee. Mr. Speaker, Food programs to fight malnutrition which paper stories and editorials and a host of so quickly can ruin a child's body and mind. other miscellaneous matter choke the Record I rise today to express my concern about In every instance, the Child and Family like Amazonian undergrowth. The rhetoric the confusion many of the people in my Services Act requires not only the parent's is grandiose and occasionaly impressive, but district feel in regard to the Child and request for any service, but their participa any assumption of accuracy or factualness Is Family Services Act of 1975. It has come tion in as many activities as possible. ridiculous. to my attention that a leaflet is circulat As With any piece of legislation, this bill The bill in question, which is titled the ing in Memphis, and, as I gather from has supporters and opponents in the Con Child and Family Services Act of 1975, has my distinguished colleagues, in other gress. There is the question of whether the many reasonable, responsible critics. It has government should spend the amount of been challenged on grounds of cost, duplica communities across the Nation.. This money this bill authorizes. There is the ques tion and possible psychological harm to chil leaflet contains false information which tion of what services should be offered, and dren caused by institutional care and day- · has misled many people. It claims that how they can be administered effectively and long separation from a parent. Supporters the Child and Family Services Act would efficiently. These are the kinds of questions argue that the bill would strengthen low allow the Government to take over re that must be debated and resolved by the income famllies by providing the children sponsibility for childrearing. Those who Congress and the American people. They are with the care and experiences they need for support the bill know that there . is no precisely the issues which will be addressed normal development and by giving mothers such provision in it. The Child and by the Committee on Education and Labor a greater opportunity to raise their families' when it considers this legislation. standards of living through work. The im· Family Services Act would in no way The debate about this blll or any bill must mediate issue, however, is the smear cam. interfere in family life. be based on facts. This legislation provides paign. Until that is thoroughly discredited, As a result of this confusion, I released needed services to help: it will be difficult for Congress to deal with a statement to the local press in my The over 200,000 children who are struck the merits of the bill. One indication of the district which point by point denounces each year by handicaps because their mothers highly emotional controversy stirred up by the claims of the leaflet and which also had not received early health care; the fiver is the fact that the bill's Senator attempts to clarify some of the bill's The 65 percent of all handicapped pre sponsor, Democrat Walter Mondale of Min school children who do not receive special nesota, has received about 2,000 letters a week major provisions. I would like to share services to help them overcome their handi about it. this statement with you: cap; The flyer states, "The Charter of Children's STATEMENT OF CONGRESSMAN HAROLD FORD The 40 percent of all young children of this Rights of the National Council of Civil Liber THE CHILD AND FAMILY SERVICES ACT OF 1975, country who are not fully immunized against ties is becoming part of the Child Devek>p E.R. 2966/S. 626 childhood diseases; ment Act." That's a fiat lie, unless the "act" The working mothers of the five million referred to is not the Mondale bill. Such a In recent weeks leaflets have been dis children for which there are no spaces in tributed in Memphis and in other cities possibility can't be discounted because of the licensed day care centers (statistics furnished flyer's deviousness. The national council is a around the country which attempt to dis . by the U.S. Senate Subcommtttee on Chil credit "The Child and Family Services Act British lobbying group. The flyer continues, dren and Youth). "Following are four of the several items pro· o:t 1975." I want the people of Memphis to know the The leaflet purports to cite passages and posed in this charter (as taken from the facts about this legislation. The person or Congressional Record 44138 • • • ) " They in quotes from the CONGRESSIONAL RECORD in persons who have prepared these leaflets describing the provisions of the bill. These clude assertions that children should be pro anonymously, I might add-are using scare tected from inadequacies in their homes, leaflets are totally false and misleading. They tactics and outright lies in a campaign to bear absolutely no resemblance to this legis from religious or political indoctrination deceive the people of Memphis. (presumably by parents) and from "excessive lation. For example: one leaflet indicates There are really two issues here. One is the that there is a Child Advocacy Clause in the claims made on them," which the flyer con bill itself, whether or not I should support strues as encompassing household chores. blll which would allow the government to it based on the facts. The other issue is this come into a home and take over the re A grlm prospect, indeed. But Mondale's smear campaign against the bill. office says no such charter or statement of sponsibility of a child. There is no such The first issue I can handle. I am always clause in the bill. Indeed, the b111 specifically rights has been proposed for the bill, nor ready to hear opposing views from my con would he approve of it. The Record quote states in Section 504 that "nothing in this stituents on any piece of legislation. My job Act shall be construed or applied in such a comes from the 1971 debate. in which Sen. is to inform my constituents to the best of Carl Curtis (R-Neb.) cited the national coun manner as to infringe upon or usurp the my ability, to solicit their views, and to in moral and legal rights and responsibilities o:t cil's charter during an attack on what he sure that when I cast my vote, it is a vote for called the "child development" school of parents or guardians With respect to the Memphis. · · moral, mental, emotional, physical, or other thought. He warned about the possibility of development of their children". The second issue, the distribution of these day-care ce:Q.ter.s becoming "child ware The leaflet also indicates that there is a leaflets, is one that I cannot handle alone. houses" as a "logical extension of that kind ,;Charter of Child's Rights" in the b111 which For that rea.son I want to call upon the of rhetoric." The word "rhetoric" referred would allow children to disobey their par members of the press to investigate these grammatically to the charter not the bill. leaflets. Take a hard look at these leaflets The ' leaflet Cites the CONGRESSIONAL Curtis did not say that the charter was ents. and compare to it the bill itself. The people RECORD in listing the child's rights. The of Memphis deserve to know the facts. becoming a part of any Child Development Gharter of Child's Rights did appear in the Thank you. · · Act. Curtis told The Commercial Appeal that, CONGRESSIONAL RECORD. On December 2, 1971, while he opposes Mondale's bill on grounds the Senate was debating a Conference Report After I made this statement, the press of ·excessive federal regulation, he has not on the Office of Economic Opportunity Act. did indeed examine the bill against the seen the flyer and could not comment on This Act contained child care provisions. In claims of the lea:fiet. The following edi its contents. Other critics of the bill have the cotrrse of the debate Senator Carl T. in specifically denounced the flyer. Onalee Mc Curtis of Nebraska stated, "In England, child torial appeared the Commercial Ap Graw of the National Coalition for Children, development advocates have gone so far as peal in Memphis on January 26, 1976: . which argues .that the bill's apprpach to chil~ to draft a Charter of Children ·s Rights". SMEAR ON CHILD CARE development favors special-interest educa Curtis continued by reading from something An anonymous, unfounded campaign is tion groups, called the smear tactics counter . he called "The Charter of Children's Rights" being conducted across the country against productive and a barrier to "true debate." of the "British Advisory Center of Education a bill that would provide comprehensive day The fiver also attributes to the Record a and the National Council for Civil Liberties". care services for children. Claiming t hat tlle stateme1;t t hat cllild advocates appointed by Januatt·y 26, 1976 the government would be able to take over llshes the fact that a town 1s located there. lt may have plans. for a manned space the education of children, "even within the You know the community existS because program. . . .. home... .IIi a careful r~ing of the 1971 .de that sign says lt does. In fact, more than I include·an article by John Noble Wil bate, we could not. find the quote. But there one Texas community got into an argument ford that was pubUshed recently 1n the were pages of inserted comment. so~e of with pOstal authorities · right back at its which had nothing· to do with the earlier bill beginning because the government people New York Times for the information of itself. Some, for instance, dealt with child didn't like the name the citizens had picked my colleagues: care programs in other countries. Be that as out for it. And in every case I know of, the CHINA HINTS AT A MANNED SP~CE PROGRAM i1j may, Mondale's office says his bill does not post office won. The name had to be changed (By John Noble Wilford) contain the words "child advocate" or pro because some other town had already claimed pose such a position. it, or because it didn't sound quite dignified China published yesterday the first clear In fact, the bill bans any infringement on enough to be written on the front of a hint that it might have plans for a m anned t he "moral and legal rights and responsibili letter. space program. ties of parents or guardians with respect to Now, in the name of efficiency, the Postal An article in the Peking Dally Kwangning the moral, mental, emotional, physical or Service has set out to closse thousands of Jih Pao said that a recent unmanned space other development of their children... The these offices around the country. They claim flight, which apparently demonstrated the proposed child-care services would be de that the offices aren't big enough to pay for capability not only to orbit a spacecraft but signed, set up and supervised by local coun themselves. What's neede:i, say the postal au also to bring the capsule back to earth, con cils, of which hal! the members would be thorities, is a bigger, more centralized office stituted an "important aspect in the develop parents with children in the program. The located in a bigger town nearby. That way the ment of the technology of manned artificial children would receive only t hose services new office can handle a larger volume of mail satellites ... that parents requested. and come closer to paying for itself. American space observers said that the The Child and Family Services Act deserves Generally speaking, I've always been in newspaper article was the first · public an open, honest debate. The flyer 1s an un favor of more government efficiency. But this acknowledgement by the Chinese of what derhanded, spurious attempt to play on the time I'm doubtful that building bigger post some Western experts had grown to suspect emotions of uninformed parents. It deserves offices is likely to save all that much money, in recent weeks. nothing but ridicule. This is one more ex China has put five satellltes lnto earth cut postal rates or serve anyone better. If you orbit since 1970. The fourth. launched last ample of the danger of accepting as fact the follow that "big is better" type of reasoning Nov. 26, "returned to earth as scheduled after material printed in the Congressional Rec out to its logical conclusion, you'd wind up ord-material that can even be amended by functioning normally," the Peking article with the impression that New York City said. oongressmen if they have second thoughts must be lots more efficient than say Cuero, about what they've said or inserted. It was this successful recovery that · led Texas. But somehow I doubt the truth ln Prof. Heinz Kaminski, a West German space Although this editorial calls into ques that. It shouldn't take an efficiency expert to expert, among other observers, to suggest tion the credibility of articles appearing see that there must be an error in this reason that the day of China's first manned space ing somewhere along the way. mis.sion was not far away. in the RECORD, I would like to note that And I can't help but take exception to the statement I have just made is an ac something else. The post office higher ups llECOVEBT DESCIUBED curate account of the events which have have been very careful to explain that no one The writer of the Chinese article, ~ i en transpired in regard to this bill. will lose their jobs when the smaller post Chu, said: I sincerely appreciate this opportunity offices are closed. I know that's good news to "The recovery of a satellite constitutes an to speak to you today. lots of postal clerks. And I don't want to important aspect in space technique. It has slight the feelings of ~. ny of our postal a positive signlficance for increasing the friends out through the country, but lt value of the artl:flcial satellite, and de'felop doesn't seem to me as if that should be the ing space technology and sending men lnto first consideration. Post offices are intended space.'' to serve the public. It seems to me as if that's Excerpts from the article were reported by CLOSING OF RURAL POST OFFICES the Peking correspondent of Agence France BY THE U.S. POSTAL SERVICE why they were established in the first place. Service 1s the whole idea behind what most Presse. of us one knew as Rural Free Delivery. rm The following description of the recovery sure that name is long gone by now. but I'll presumably on land-wall given: HON. CHARLES WILSON bet that the service itself still isn't a paying "After overcoming the difficulty of heat, the satellite, having down a deter OF TEXAS come to proposition. Nor should it be. Mter all, lt mined altitude, opens Its landing parachute IN THE HOUSE OF REPRESENTATIVES seems to me as if mail delivery has to stack reduce further its speed and lands slowly up as one of the prime reasons we have a to Monday, January 26, 1976 in the prescribed zone. government in tlle first place. Goodness "Landing 1n the sea also exists: The satel Mr. CHARLES W~ON of Texas. kn'>ws I can't think of any other govern lite in the water will be refloated by heli Mr. Speaker, the following article was mental agency that's a paying proposition. copter and boat. There also exists alr recov taken from a recent issue of The Texas And it will take a powerful amount of solid ery: A plane recovers the vessel and the para evidence to convince me that what could chute. to which it is suspended, in its hold." Farmer-Stockman and was sent to me come out of all these proposed changes would by Newton County Judge, Lee Roy Fill Space experts in Washington said that it be either cheaper or better postal service for was unclear whether the Chinese meant that yaw. It expresses perfectly my feelings anyone. We've heard that story before. I'm they had tested sea and air recovery of space on the closing of 1·ural post offices by for holding on to the small post offices. We craft. Most American spacecraft are recovered the U.S. Postal Service: n eed them. at sea. though the Air Foree has used an air "Down through the years. those of us who recovery method for some of its secret recon work on The Farmer-Stockman have held on naissance satellites. to a special kind of neighborly feeling about The American experts also said that they rural post offices. That plus the fact we knew of no immediate Chinese plans for a also felt the post offices are logical and worth CHINA HINTS AT A MANNED SPACE manned space mission. But the recent tests, while conununity centers. Rural carriers leave PROGRAM they said, indicated an accerelated effort and from the back door every morning, tying the probable development of a launching a collection of folks toget her as they stop rocket more powerful than the ones used in at boxes along t he route. the first Chinese space flights. I know ranchers who have met t heir HON. OLIN E. TEAGUE neighbors in the post office lobby at the OF TEXAS same time every morning for the past 40 IN THE HOUSE OF REPRESENTATIVES years. They are careful t o allow 15 minutes THE of each day there for a check on cattle ]f,fonday, January 26, 1976 CUT PROMISES markets and what kind of shape pastures are in. Mr. TEAGUE. Mr. Speaker, at a time HON. STEVEN D. SYMMS For many folks, the local post office is when many of the critics of our space t he nearest contact they have to the federal program call for continued reduction in OF mAHO government. It is a place to get information. NASA's budget. I believe it is important IN THE HOUSE OF REPRESENTATIVES a. place to establish contact with a Wa.sh to examine the space activities of other Monday, Jan'!-lary 26, 1976 ingon, D.C. that too often is separated from t he reality of what rural America actually countlies. The countdes of Western Eu Mr. SYMMS. Mr. Speaker, numer.ous is. .. rope and the U.S.S.R. are increasingly articles have appeared over . the past A Flag flies out in front of the building adding emphasis to their space programs. months analyzing the problems· in the and a sign located somewhere on it estab- More recently China has indicated that Social Security Administration and the 1010 EXTENSIONS OF REMARKS January 26, 19.76 fact that social security programs have future benefits; the liberal "solution•· ac Know,'' so . much, that they still sub been promising too much to too many. tually expands the actuarial deficit by leaps scribe to her paper. and bounds. The following article, taken from the The size of the problem also makes it pain Although she will no longer work with Wall Street Journal, puts several of fully clear that it is nonsense to talk of "dip the Courier on a full-time basis, I join these problems into a nutshell and calls ping into general revenues" to pay Social her many fans in hoping that she will for some hard answers to this serious Security benefits. For one thing, there are still favor us with an occasional column. financial problem. Many of my constitu no general revenues to dip into, which means I am enclosing a copy of her widely ents have written to me and stated that either income taxes have to be raised or gov read column which appeared in the they know that there will be nothing left ernment borrowings increased. How can any January 8, 1976 issue of the Courier: one seriously propose raising income taxes by in the social security trust fund when FOLKS WE KNOW $1 trillion-70% of gross national product they retire. Thh; leads me to believe that to close the actuarial deficit, or postpone the (By Mrs. Stella Gliddon) today's workers are willing to face the problem and have future politicians raise $1 After doing newspaper work for over 60 serious questions connected with ~ocial trillion plus interest? yea1·s, there are both joys and regrets in our security and accept some hard solutions. The long and short of these numbers is heart this week as we turn over the editor It would be a shame if the worst ex that more benefits have been promised than ship of the Record-Courier to someone else pectations of these workers-that there can reasonably be expected to be paid. The Last week we sold the paper to George and will be nothing left for them in the social only solution is to reduce the promises Joan Puckett from Austin, who also own two which we hasten to add does not mean re papers in that city and The Burnet County security till-are realized because poli ducing present benefits. Nor do we think the Bulletin in Burnet. ticians were too afraid to cut the polit public would find this reduction unaccept Our joy comes from now being able to ical promises and get down to the hard able, or even unattractive, compared with the retire and do a few of the things we would business of restoring the fiscal sound alternative, which is a remorseless rise in tax have liked to have do-ne long ago, but for ness of social security. rates. whicll. there just wasn't time. The article follows: The trick is to find the least painful way The regrets are manifold-We will miss HALFWAY ON SOCIAL SECURirY to reduce the promises. Almost all of the re recording the weddings of the Susies and maining deficit could be closed if futw'e Jims, the arrival of new babies, the many re No doubt President Ford believes he is benefits were tied to prices instead of wages unions, meeting the new preachers and being responsible in asking Congress to in guaranteeing the purchasing power of future others who come here to live, but most of crease the payroll for Social Security. Even retirees but not guaranteeing them a share all the happy conversations it has been our though the increase would not take effect of future economic growth. Or benefits could privilege to enjoy with the folks here-Their until next January, after the elections, it is gradually be subjected to some kind of tax. joys were our joys and their sorrows we still not easy to ask that employes and em Or Congress could pass legislation today shared. ployers each be made to pay another 0.3% specifying gradual increases in the retire In retrospect, we rejoice in that never dur of wages, bringing the combined payroll tax ment age in the future--economically some ing our long career as editor did we ever to a loey 12.3% of covered wages. such step will be almost mandatory when print gossipy news or news that was better But those who have been following our "baby boom" workers start to retire, and in left unsaid-in a small town newspaper, at observations on the problems of Social Se any event anyone who wants to retire at 65 least. curity should not be surprised to learn is given warning to prepare on his own for Por the past seven years we had two of the that the tax boost is no solution to the big the first two or three years. finest gentlemen as partners, Art Kowert and problem, which is that incredibly high fu Facing these issues now strikes us as good Marcus Wehmey, both of Fredericksburg ture benefits have been built into the sys common sense, since the American people This business relationship was kin to heaven tem and will ultimately wreck it. Our im seem receptive to confronting new realities. so harmoniously was it carried on-Both are pression is that Mr. Ford to this day has not The Social Security problem can't be wished connected with the Fredericksburg Standard, been carefully briefed on the subject. away, but neither is it so hideous that can Art as editor and Marcus as foreman in the For an idea of how little Mr. Ford's pro didates for national office should fear to dis mechanical department. posals touch the big issue consider the fol cuss it. President Ford has tackled the easy These are the things we will miss and yet lowing: As of last June 30, the Social secu half. A presidential election year is the proper we know that our retirement will be just as rlt:· system recorded an actuarial deficit of time to debate the hard half. full of happenings as it has been when sit $2.1 trillion. That's trillion! Mr. Ford's tax ting in the editor's chair-For our successors, increase will trim the deficit to about $1.85 Mr. and Mrs. Puckett, hope for a bright fu trlllion. A separate proposal, ending the in ture and ·we wis~ them every success possible. advertent "super index" that increases bene "MISS STELLA''' GLIDDON: JOUR To you, dear readers, we give many fits to future retirees at approximately NALIST, AND PUBLIC SERVANT thoughts and recall how "we walked to~ twice the inflation rate, would reduce this gether" arm in arm for more than half a by .roughly half. That leaves a deficit of century and a sincere "thank you" awaits nearly $1 trillion. every one of you. A word about these numbers: The actu HON. J. J. PICKLE Our retirement does not necessarily mean arial deficit ls the amount of money the OF TEXAS a goodbye, for we hope to meet again with goverruri.ent would need to have on hand to I THE HOUSE OP REPRESENTATIVES you at various times in "Folks We Know," to day, earning interest, to cover the shortfalls tell about you and your loved ones, to boost present tax and benefit rates would generate Monday, January 26, 1976 Johnson City, and to write about some re over the next 75 years. The above numbers mote beauty spot, or the big oak trees, or the reflect special actuarial methods Congress Mr. PICKLE. Mr. Speaker, Mrs. Stella birds, and the love o! the folks around us mandated for the Social Security system; Gliddon has recently sold her interest in that will forever make them the best folks under the concepts applied to private pen the Johnson City Record Courier and we ever know-Auf Wiedersehn. sions the numbers would be even larger. will relinquish her position as full-time These numbers put aside the question of editor. "Miss Stella," as she is affection whether present economic policies can gen ately known by all, is the epitome of the erate the capital formation needed to meet country newspaper editor. For more than NOTICE OF HEARINGS ON NATIONAL the growth and inflation rates assumed in a half-century' she has reported the news PARK SERviCE PERSONNEL AND the actuarial calculations. of her friends and neighbors, faithfully BUDGETARY SHORTAGES Even lf the President's proposals . are adopted, in short, Washington's current poli and factually. · · ticians will be wishing on their heirs a prob Her most famous subscriber was the lem that by generous calculations amounts 36th President of the United States, HON. WILLIAM S. MOORHEAD ta $1 trillion. This is precisely what Mayor Lyndon B. Johnson, whom she had OF PENNSYLVANIA Lindsay did to New York City, coping with known since he was a young boy. In IN THE HOUSE OF REPRESENTATIVES current problems by running up future li· their stays in Blanco County during Mr. Monday, January 26, 1976 abilities in the pension system for his suc Johnson's 6 years, the national press cessors to deal with. corps and thousands of Amel'icans be Mr. MOORHEAD of Pennsylvania. Mr. At least President Ford is willing to go came acquainted with "Miss Stella." Speaker, the Conservation, Energy, and halfway toward solving the problem, instead Natural Resources Subcommittee of the of ma}dng it worse. His liberal .critics in Con These visitors to the hill country of gress talk of. replacing his tax rate increase Texas soon regarded her with the same Committee on Government Operations by jU,lJlping the Social Security wage base to fondness that her life-long fr-iends did. will continue its investigation of person $24,000 fro_II). the current $15,300. But since Many of those who have passed through nel and budgetary restrictions imposed benefits are calculated on the wage base. Johnson City over the years have en upon the National Park Service at a every increase in the base is an lncrea.se in joyed Miss stella's column, "Folks We hearing on January 30. InteriQr Depart- EXTENSIONS OF REMARKS 1011 . ment Secretary Thomas Kleppe will be said, "and many historical (structures) are THE lOOTH ANNIVERSARY OF IVES the primary witness. in jeopardy of being lost forever." Among those most in danger, he said, is co. The subcommittee began its investiga historic Fort Jefferson in the Dry Tortugas tion of the impacts of Park Service per off the Florida Keys. The fort is being slowly HON. ROBERT N. GIAlMO sonnel and budgetary restrictions on the consumed by the sea.. National Park System during the last The superintendents chronicled a long list OF CONNECTICUT session of Congress. At a December 4, of deteriorating assets in their parks. IN THE HOUSE OF REPRESENTATIVI!:S 1975, hearing witnesses from the Na Roads, hiking trails, buildings, campsites, Monday, January 26, 1976 tional Parks and Conservation Associa historical structures, patrolling and policing tion, a panel of park superintendents and services, wildlife management and protec Mr. GIAIMO. Mr. Speaker, as we cele tion, and natural wonders all are going to brate our Bicentennial year, the people Park Service Director Gary Everhardt pot, they said. of the United States should take appro agreed that the natural resources and Meanwhile, vandalism, mindless destruc priate note of the social, political and facilities in the National Park System tion of plants, animals and natural monu economic forces which shaped the char will continue to deteriorate unless pres ments, they said, continue apace as the ent restrictions on manpower and budget ranks of forest rangers are thinned by acter and history of the Nation. Among budget shrinkage. those dynamic forces was the industrial for park operations are lifted. The sub revolution of the 19th century. committee has asked Secretary Kleppe William R. Failor, superintendent of the C&O National Historical Park on the Potomac Central to the development and to explain the Interior Department's role River, said he needs at least 20 rangers to growth of that impressive phenomenon in developing the budget and personnel protect park property and ensure public was the contributions made by the in requests for the Park Service. safety. His budget allows him to employ only dustries of New Haven, Conn .• for many I am extremely grateful that the rank eight. years a major manufacturing center, as ing minority member of the subcommit In a dramatic plea for congressional help, Boyd Evislon, superintendent of the Great well as those in other parts of New Eng tee, Representative GILBERT GunE from land. New Haven residents take pride Maryland, has played an active role in Smoky Mountains National Park, said: "In parks, the medium most assuredly is in the fact that Eli Whitney established this examination of the problems con the message. Rotting historic structures, the principle of interchangeable parts in fronting the preservation of our national rutted trails and littered roadsides tell the a local factory and that Charle.:; Good parks. His invaluable expertise and keen public that America doesn't care enough to year discovered a method of vulcanizing interest in outdoor recreation has cer husband its most distinctive natural and his rubber while at work in our city. tainly been of great benefit to the sub toric resources. Through the years, other, though less committee. "The results are costly. The costs are not only in terms of dollars, or of manpower. spectacular, breakthroughs in manufac The hearing will begin at 10 a.m. in Perhaps the most serious costs are in terms turing marked the work of energetic and .1·oom 2203, Rayburn House Office build of resources irretrievably impaired and of ex talented men in various lo~l industries. ing. periences forever lost." Such a man was Hobart B. Ives-1840- Following is the text of an article on Anthony Wayne Smith, head of the pri 1926-a retired prosperous farmer who the investigation which appeared in the vately supported National Parks and Conser obtained a patent for a mortise door bolt Philadelphia Inquirer, December 7, 1975: vation Association (NCPA). delivered a de and founded the H. B. Ives Co. in 1876 in [From the Philadelphia Inquirer, Dec. 7, tailed inventory of the deteriorated facilities and services in each of the major parks. a small New Haven barn. For the next 1975] The superintendents said Smith's survey 100 years the H. B. Ives Co. prospered and NATIONAL PARKS ARE FALLING was "essentially accurate." became well known for the production (By David Hess) As examples of deteriorated facilities and and distribution of quality hardware. To WASHINGTON.-8ome of the nation's most curtailed services, the NCPA survey showed this day the secwity lock, as well as a priceless assets-its national parks and his the following "deficiencies": window sash lock invented and patented toric sites-are falling into disrepair and In Everglades National Park: Inadequate by Mr. Ives a few years after the com ' will continue to deteriorate unless current law enforcement; the halting of back-coun pany's founding, remain in the com . budget handcuffs are removed, a group of try campsite construction; rampant destruc pany's present line of more than 300 park superintendens has told Congress. tion of fragile ecological areas due to a short Four superintendents and the spokesman age of rangers and other personnel; no main builders hardware products. · for a national conservation group all drew tenance at all of most permanent buildings Upon Mr. Ives' death, ownership of the a bleak picture of the seedy condition of and other structures. firm passed to his widow, three daughters most of the nation's parks in testimony last Crater Lake National Park: Suffered a and five business associates. One, Lauren week before a House Government Operations "near catastrophe" last summer when the Humiston, succeeded to the presidency. subcommittee. water supply became contaminated because and he in turn was succeeded by Hobart Their portrayals were a.fH.nned by National of budget cuts in construction of sewer and J. Hendrick and John B. Morse, grand Park Service Director Gary Everhardt, who water systems. Grea.t Smoky Mountains National Park: sons of the founder. In 1968, the company said "a son of domino effect has set in." became the Ives Division of Leigh Prod Stingy budgets over the past several years, Under the onslaught of the largest in1lux of Everhardt said, have led to a steady decline visitors to any park, facilities are run-down, ucts Inc. of G1·and Rapids, Mich., also vandalized and overused: the Appalachian a m~nufa-eturer and marketer of building of park services and facilities. · · Trail is rutted and badly eroded, miles of · "Neglect of maintenance leads to rehabill products. Frank H. Woodman, Jr., has tation," he slii.d. "A lack of rehabilitation roads are unsafe in wet weather; law enforce been president since 1971. ment is inadequate; wild boars are destroy leads to reconstruction, so that in the long ing vast tracts of forest land-all because of This year the H. B. Ives Co. is com 1·un the cost is even greater than if we'd at budget restraints that have caused a severe memorating the centennial of the com tended to the repairs in the :first place." manpower shortage. pany's founding with the presentatipn of Subcommittee Chairman William S. Moor Shenandoah National Park: Deteriorating an appreciative Centennial Award to the head (D., Pa.) said a preliminary investiga buildings and other facilities; eroded trails top 100 of its longest and leading active tion by his staff shows that manning levels and campgrounds, substandard water and customers. for park operations have remained essentially sewerage systems, uncontrolled poaching of Among the celebrants, as well, will be the same as they were 10 years ago, despite a game. approximately 200 employees of the H. B. doubling in the number of park visitors and National Capital Parks in the District of the addition of hundreds of thousands of Columbia: With as many as 3 million tour Ives Co., which continues to be a major new acres. ists anticipated in the bicentennial year, source of employment for New Haven's Everhardt said there has been an increase Superintendent Manus Fish said the Capital skilled labor force and a valuable citizen in Park Service spending over the past dec Parks system could be overwhelmed. and taxpayer of that community. ade. Yosemite National Park: Camp grounds in The Ives name, however, is appre.cjated MONEY DIVERTED a "major state of disrepair"; the bridge on beyond the borders of Connecticut. Wide But new additions to the ·park system, the John Muir Trail over the Dana Fork of ly known and recognized for leadership along with "new responsibilities"-such as the Tuolumne River i5 "in an extremely dan administration of Job Corps Centers-have gerous condition of disrepair;" inadequate in quality products and customer service. · · diverted money from basic park operations patrolling of back-country camping sites. the Ives name is prominent both in the · and management. Everhardt said -$57 million was slashed consumer and new building construc some park roads and bridges are approach last ye.ar from the Pal,'k Service budget. tion markets. Its residential products in ing "a state ot disrepair that 11' left untended Everhardt sai(l -mosii p~rk f\ervices and clude not only property protection hard W:ill require total reconstruction," Everh_ardt maintenan~ eff?rts are_ now "substandard." ware, but also door closers, c~binet hard- 1012 EXTENSIONS OF REMARKS January 26, 1976 ware, casement operators and hydraulic as Felix Rohatyn of Lazard Freres and Henry is to discover what combinations of such door closers. In the commercial, institu· Ford, have spoken out for the establishment general goals are compatible. tional and multiple dwelling building of some form of national economic planning. It follows that planning is by no means a Thus, for better or worse, whether we wel wholly foreign kind of economic activity. field, the company holds patents for sev come it or not, under the Humphrey-Javits Every deliberate etfort to bring about an out eral types of automatic flush bolts for bill, or another, I expect that within five come of the economic process different from the operating control of fire doors, and years, perhaps much sooner, we will be offi that which would emerge spontaneously produces other items of essential con· cially embarked on something called National from the mru:ket system is a form of plan venient hardware. The company occupies Economic Planning. ning. Unemployment compensation, Social a modern and recently enlarged facility What will that planning be like? What Security and Medicare are forms of planning built in 1965. changes would it bring to the American econ just as much as wage and price controls. The Mr. Speaker, I am confident that Ives' omy? In what follows I shall try to give anti-inflationary actions of the Federal Re plausible and realistic answers to some of the serve Board are efforts to plan the outcome second century will be as exciting and main questions that planning will force us to of the economic process just as much as the innovating as was it first centw·y. My confront. designation of a national target of, say, 4 congratulations go both to the company Quite properly, the first question that peo percent growth. What we mean by national managers and its employees for a job ple ask is how national economic planning economic planning, in its broadest sense, is wen done. will affect their lives. thus an effort to coordinate existing plaP..s, This is not an easy question to answer, be quite as much as an effort to extend the cause the impact of planning may be large reach of our control over the economy. or small, depending on what our planning ef HOW IS THE PLANNING DONE? ON ECONOMIC PLANNING fort is trying to achieve. National planning may mean an attempt to reach ambitious but This brings us to a consideration of the narrowly defined goals-for example, con planning mechanism itself. Here a basic mis verting the economy entirely to solar energy conception must first be put down. It is the HON. MICHAEL HARRINGTON in, say, 20 years, Such a plan would have an idea that planning means the creation of an OF MASSACHUSETTS immense impact on a limited number of peo enormous blueprint of production, specify ing the size and number and quality of but IN THE HOUSE OF REPRESENTATIVES ple. It would do away with jobs in oil re fining or coal mining, it might bring bank tons on every shirt. Monday, Janum·y 26, 1976 ruptcy to innumerable businesses hitched to There have been efforts at such total plan coal or oil and unable to find another berth. ning, notably in the Soviet Union, and they Mr. HARRINGTON. Mr. Speaker, this have been largely adjudged as failures. Use Sunday an article by Robert Heilbroner On the other side, of course, it would mean a bonanza for everyone connected with the de ful for mobilizing an economy on a war basis entitled "The American Plan" appeared velopment of solar energy. So far as the ma (and the early Soviet planning efforts were a kind of war mobilization for economic in the New York Times magazine. Mr. jority of households is concerned, however, it growth), they have proved cumbersome and Heilbroner, who is Norman Thomas pro would probably mean little, until it came harmful once an economy has attained the fessor of economics at the New School time to change over from gasoline-powered complexity of a fully industrial system. for Social Research in New York City, to electric-powered automobiles or from Only the advent of another conventional clearly and knowledgeably introduces the home furnaces to heat pumps. war or an environmental threat of warlike main concepts of national economic plan But not all national planning will be nar proportions would cause national economic ning. In his article, Mr. Heilbroner raises rowly targeted, and the wider and more gen planning in the United States to assume this and discusses the major questions and eral its goals, the larger the number of indi kind of exacting specification. Rather, plan viduals who will be affected. Planning to ning would almost certainly take the form of concerns surrounding the frequently mis limit inflation, for example, is likely to exert conceived proposal for economic plan a series of steps of a very different nature. its impact on nearly everyone-perhaps only The initial step in planning would neces ning. mildly, if the anti-in:flation plan is limited to sarily be an effort to expand the amount Mr. Heilbroner's article is a compre taxes; probably much more sharply if it in and accuracy of the economic information at hensive summary of the key elements in cudes controls over wages and salaries and our disposal. Although we possess the larg volved in undertaking economic plan profits and prices. So, too, planning to avoid est and probably the best statistical service ning at the Federal level, and it is the dangerous economic growth might brush in the world, we are still woefully ignorant lightly over our lives if it required no more of many of the essential facts about our most thorough discussion of the central than slight curtailments in our use of energy issues that I have seen to date. The first economy. When the Arab oil embargo struck, (smaller cars, or higher electricity charges), for example, we did not possess information part of the article covers such concerns or it might interfere with life very signif about the size of our stocks of gasoline. Al as who and what gets planned in a icantly if a plan sought to bring industrial though we pretend that we have 8 percent planned economy, how planning gets growth to a virtual halt because of the ac unemployment, it is common knowledge that done and by whom, and how planning tions of a world-wide cartel such as OPEC or the unemployment "count" is extremely in and the market interact. The text of the because of a very serious danger of atmos accurate, especially for the black and Puerto first section follows for the benefit of my pheric pollution. Rican minorities, and to this very day we do colleagues: Thus, one cannot give bland assurances not possess an inventory of the numbers or that planning will be painless, any more than kinds of job openings in the economy. Our THE MlERICAN PLAN one is warranted in issuing pronouncements estimates for many important economic mag (By Robert L. Heilbroner) that it will be traumatic. What determines nitudes-our stock of money, our balance of America is drifting into economic planning. the extent of planning is the need for it, payments, our Gross National Product-are One may deplore the fact-Herbert Stein, but that selfsame need may diminish the all much too unreliable. chairman of the Council of Economic Ad psychological impact of planning. For ex The first step in national planning must, visers under President Nixon, tells us that ample, we are not likely to impose wage, price therefore, be an expansion and improvement planning will make the economy "more in and profit controls unless inflation continues of our fund of economic information. The flationary, less free, and less efficient." One its ravages, in which case we are apt to wel next step is to use this information to create may denounce it-Thomas Murphy, chair come intrusive planning, not object to it. a bigger and better flow-chart for the econ man of General Motors, predicts that na We will certainly not plan for a low rate of omy. We call such a flow-chart an input-out tional planning will be a "prescription for economic growth unless considerations of na put matrix. An input-output matrix i5 a national chaos, or, at best, national stag tional survival are involved. In that case, too, kind of recipe book for production. Devel nation." One may dread it-Walter Wriston, planning will more likely be felt as a form oped by Wassily Leontief, it enables us to chairman of First National City Bank, warns of collective guidance than as an invasion of ascertain (albeit only very roughly) how us that planning will destroy our personal our freedom. much steel, rubber, copper, cloth, etc., it liberties. WHAT GETS PLANNED IN A PLANNED ECONOMY? takes to "cook" an automobile, a steel girdel', But I do not think one can any longer It must already be clear that there is no or a billion doliars' worth of G.N.P. of a given deny it. Senators Hubert Humphrey and preordained size or shape to the activity we kind. This is a much more complicated cal Jacob Javits have joined forces to introduce a call "national planning." It is possible to culation than it might at first appear, be bill (called by Humphrey his "single most plan for very clearly defined objectives. But cause the ingredients for a given menu of important piece of legislation") establishing we can also plan on a much broader scale. A output are larger in number and more di a national planning agency. A roster of emi national economic plan will probably be a verse in kind than one could divine by look nent economists led by John Kenneth Gal coordinated set of general economic targets; ing at the final products. Input-output may braith and Nobel Prize winner Wassily Leon say, a 50 percent reduction in unemploy show us that an attractive looking menu tie! have endorsed the bill. So have many ment. plus a reduction of the rate of inflation of output cannot be produced without ex labor leaders, following the lead of Leonard to 5 percent, plus an expansion of economic panding our facilities for production, or it Woodcock of the United Automobile Work growth to 6 percent. Needless to say, these may reveal an unexpected bottleneck that ers. Most surprising of all, a small but grow economic targets are not picked at random. would ab:.>rt a seemingly feasible plan for ing number of influential businessmen, such In fact, one of the main purposes of planning expansion. January 26, 1976 EXTENSIONS OF REMARKS 1013 Nevertheless, input-output, indispensable will substitute their judgment for the "de prices when they want to, not when an though it may be, is not planning itself. The mocracy" of the market. Business fears a oceanic flood of competition forces them to. act of planning consists of the selection and paralyzing bureaucracy. The left is suspicious So, too, they expand (or contract) their realization of goals for the economy. These of a corporate take-over of the planning enterprises according to long-range forecasts may be narrow, specific "micro" targets, such apparatus. that ignore the immediate press of busi as an energy program, or broad "m.acro" None of these warnings are to be lightly ness conditions. goals, such as a reduction of unemployment, disregarded, and I shall return to them. But Second, we must realize that the market is or both. (Needless to say, this brings up the I think it is best to begin with a more posi far from the democratic institution that is question of who selects our goals, but I will tive approach. I envisage the planning proc popularly projected. The market is a kind of defer this problem momenta.rlly.) ess as closely resembling the legislative continually recurring economic election, in Goal-setting, as it is envisaged in the process. This means that at every stage of which households vote with their dollars for Humphrey-Javits bill or in any variant of planning-informating gathering (what in the kinds of goods they want. That would this bill that is likely to become law, does formation?), input-output model-building be democratic indeed, if all households had not consist of the designation by a planning (under what assumptions?), alternative plan equal votes. But of course they do not. The agency of one set of targets known as "the ning goals (for what ends?)-there will be a top 20 percent of households have 40 percent national plan." Rather, the procedure in struggle to insinuate many views. Corporate of the economic "voting" power; the bottom goal-setting is to work up a number of alter elites, charismatic individuals, powerful poli 20 percent only 5 percent of the purchasing native planning possibilities. These may be ticians, labor unions, regional and other power. A family like the Rockefellers casts as a series of specific microprograms-housing, lobbies, public groups of many sorts will be many votes as ten thousand families at the urban rehabilitation, mass transit-any one writing letters, taking people out to lunch poverty line. Is this democracy? of which could be undertaken singly, but or trying to pull strings to get some portion Last, the market surely serves very well to all of which could not be mounted simul of the plan to represent their interests or express the collective, albeit lopsided, appe taneously because of the strain on our labor points of view. tities of its constituency for commodities, but or material capacities. Or the alternative Hence I suspect that the goals presented it has no means of giving voice to objectives plans might consist of different combina for debate and deliberation will already re that are not themselves given the status of tions of macrotargets. Plan A might sug flect the untidy, adversary, influence-ped commodities. For example, the market brings gest 5 percent inflation and 6 percent un dling ways by which a democratic system forth an assemblage of cars-big cars for big employment. Plan B might suggest 8 per runs. I also suspect the final plans will be pocketbooks, small cars for small pocket cent inflation. Plan C might offer 4 percent as good and as bad, as outrageous and as books. Even if we accept this distribution of inflation and 3 percent unemployment-a sensible, as reactionary or as radical as the output as "right," we must not forget that more attractive combination, but one that mass of legislation that today emerges in in addition to automobiles, the market proc would require much stiffer controls than roughly the same way. In a word, if one has ess has also brought forth traffic congestion, Plans A and B. faith that a democracy can govern itself, pollution, risk to life and limb. But the mar The job of the planning agency, working there is no reason to believe that it cannot ket pla.ce is blind to these "externalities" with its statistical information and input plan for itself. that is, to these side-effects of production. output "recipes," is to concoct a number of Of course, it is possible to harbor severe Perhaps the planning-market controversy such feasible alternative plans or scenarios. doubts about the self-governing abilities of can best be summed up by saying that the But a number of feasible plans having been a democracy; and for the same reason it is market is a poor goal-setting mechanism. hatched, the full-fledged public debate now possible to harbor serious doubts about plan The "goals" it establishes reflect the buying begins. This debate may be limited to Con ning. There is a danger that the planning power of the rich far more than that of poor, gress, or might possibly be extended to the options may be usurped by faceless experts are distorted by powerful aggregates of public, especially if Plan A were endorsed by who will try to apply to the national econ massed corporate wealth, and are without one party and Plan C by another. Eventually omy the same masterminding that they ap recognition of any end-result of economic one or another set of plans is decided on plied to the conduct of the Vietnam War. activity that bears no price tag. Planning is housing is given preference to mass transit, It is certainly possible that the planning an effort to remedy this distorted or missing or vice versa; Plan D is arrived at by a process agency will become bureaucratic. goal-setting ability along the messy but of compromise. The final plans are given the And I would assuredly not dismiss the fears workable ways we have described. approval of Congress and the President and of the left that planning may become an On the other hand, the market is a 1·emark become the official economic goals of the instrument of corporate capitalism. Indeed, able administrative mechanism, even in those nation. it seems very plain that the main purpose areas where private power is most eVident. How are the various goals to be reached? of planning will be to shore up and underpin, Far better than any corps of planning in W·ritten into each plan is a series of stimuli not to weaken or undo, the business system. spectors, it oversees the quick adaptation of and sanctions designed to bring the objec Nevertheless I do not think that business new techniques; it provides factories and tive into actuality. These may be nothing interests must dominate planning even stores with opportunities to deal with effi more than an appropriation of funds, com though the business interest is served by cient suppliers; and it offers customers the parable to the plans that once built the it. Labor and consumer groups will prob ultimate weapon of choice. Planning does all Union Pacific Railway or the Panama Canal. ably have more power and influence under a these things badly, if at all. Therefore, any Or the necessary measures may be of a planning arrangement than they have today. national economic plan, save one designed broader kind, such as a general injunction to to implement a crash program of vital im use "all monetary and fiscal means" to HOW MUCH MARKET WILL BE LEFT IN A portance, would lean heavily on the market achieve such and such a level of inflation PLANNED ECONOMY? system. The flow of goods from plant to plant and employment. It is also entirely possible The great hue and cry of those who oppose or from plant to customer; the entry of labor that a given plan will include tax changes planning is that it will replace the market and capital into industries or their exit from as part of its means-ends machinery: tax that vast, flexible, democratic instrument those industries; the organization of produc incentives for industries to invest in ways by which a "free" economy makes its collec tion, will all be largely entrusted to the that are congenial to the plan; tax penalties tive decisions about the kinds of goods it profit-seeking, competitive ways of the accus for industries that do not; tax inducements will produce. tomed market mechanism. Planning may for consumers to use their purchasing power I have no desire to deprecate the useful have to intervene in nonmarket ways, such in consonance with the objective of speeding ness of the market, whose capabilities have as by control over prices and wages or by up economic expansion, or slowing it down, been reluctantly recognized even within direct materials allocations, but only if milder or changing the composition of output. the Soviet bloc. But it is necessary to view techniques for influencing inflation or out If the plan is of the highest importance the market with the same degree of skeptical put are ineffective. The preferred ways of for national survival, it will surely contain criticism that we apply to planning. First, making a plan work will be by techniques coercive measures of various kinds. Materials we should recognize that what we ca.ll "the that work through the market, rather than may have to be allocated to industries market" is not a single great current of eco against it. deemed to be of the highest priority; crash nomic activity against which no institution programs of investment may have to be can assert its independent will. This may mounted, perhaps by the creation of a Gov be true for the individual farmer, retailer, NMC: A LIFE SAVING PRIVATE or small businessman, but it is emphatically ernment effort such as the Manhattan Proj BUSINESS ect; very stringent controls or pi'ohibitions not the case with large companies that domi might have to be imposed on industry and nate their fields and that can assert their household alike if we had to execute an wills to a very considerable extent. As Ameri abrupt aboutface in our economic direction can Telephone and Telegraph states in a HON. ROBERT F. DRINAN series of recent advertisements. "The tele as a consequence of a very serious external OF ~SSACFUGSETTS threat. phone system didn't just happen. It was planned, right from the start." IN THE HOUSE OF REPRESENTATIVES WHO MAKES THE PLANS IN A PLANNED In fact, the big corporations in all indus Monday, January 26, 1976 ECONOMY? trial areas act like private planning agencies, A vast amount of alarm and confusion a point eloquently expounded by Galbraith. Mr. DRINAN. Mr. Speaker, the very s·u.rrounds the problem of decision-making. To a very great degree, the big companies distressing recommendations made by Conservatives warn us of faceless experts who hold the market at bay, raLsing or lowering the administration to cut back on Federal 101! EXTENSIONS OF REMARKS Janua1·y 26, 1976 funding for all types of medical research Care is aiming at getting a share of it, say earnings, in the July to September period in and health care programs prompt me 10 percent this year. creased to a seasonally adjusted annual rate The company's revenues increased from of $82.6 billion-up 17.5 percent from the to share with my colleagues a very mov $30.6 million in 1973 to $49.5 million in 1974. $70.3 billion rate of the previous quarter, the ing account of a very valuable health Next year it is looking at $100 million sharpest jump since 1950. progt·am made possible by the 92d Con revenues as it opens new health delivery Earlier government estimates had put gress. Publi'c Law 92-603 provides medi systems centers across the country. It has earnings in the September quarter at an $82.2 care payment for dialysis treatments. a capital expansion budget; of about $15 billion adjusted annual rate, or 17 percent The law results in the Federal Govern million for the year and it expects to create over the second-quarter level. ment paying 80 percent of the typical about 1000 new jobs. About 75 percent of the profits rise in the Public Law 92-603 provides Medlcare pay July-September period wa..s accounted for by $120 per visit cost for persons afflicted ment for dialysis treatments. The law, in manufacturing industries, especially durable with kidney disease-as described in the effect, results in the Federal government producers such as automakers, the Commerce attached article. paying 80 percent of the typical $122 per Dept. reported. Utilities, railroads, communi The Boston Sunday Herald Advertiser visit cost. This law was a major factor in cations and trade concerns also posted large on October 26, 1975, printed an article the development and growth of the modern gains. written by Ed Francis on National Medi kidney machine centers now being built, Stockholders' equity in manufacturing cal Care, Inc., a life-saving private busi and development and application of the concerns increased in the third quarter to technology that permits people to use the 12.4 percent from 11.8 percent in the second ness. This story demonstrates the mag treatment in a dignified, comfortable man quarter, the government said. nificent help which citizens can receive ner, and in a highly sophisticated, safe when the Federal Government collab environment provided by a new form of Mr. Speaker, I also wish to incorporate orates with private agencies specializing privately financed, health care service. with my remarks a few paragraphs from in the delivery of advanced health care. the editorial page of an outstanding Re The article follows: publican newspaper from Indiana, the NM:C: A LIFE SAVYNG PRIVATE BUSINESS Indianapolis Star of Friday, January 23, (By Ed Francis) PROFITS AND DETENTE to wit: There's a bronze-tone glass and concrete DETENTE DIPLOMACY HAS LOST MEANING building on Commonwealth Avenue called That we no longer possess a coherent for The Kidney Center. Some 250 persons enter eign policy has been amply demonstrated by its doors three or four times a week and HON. RAY J. MADDEN the Ford administration's contradictory re stav 4 to 6 hours on each visit. For each OF INDIANA sponses to the Angolan situation. American individual the visit is a matter of life. They IN THE HOUSE OF REPRESENTATIVES foreign policy is conceptually bankrupt. are on dialysis, the life-giving artificial kid As originally formulated, the idea of "de ney machines. Monday, January 26, 1976 tente" had a number of features, but abso But there's a story behind that story. It's Mr. MADDEN. Mr. Speaker, on last lutely central was the concept of "linkage." National Medical Care, Inc., headquartered Monday evening millions of people who Secretary of State Henry Kissinger claimed at 77 Pond Avenue, Brookline. to view all aspects of U.S.-Soviet relations as Founded in 1968 on a unique concept were listening to the President's annual interconnected. Thus, a Soviet power play which aims at providing highly efficient, state of the Union message were amazed in Angola or elsewhere might not be met advanced health care delivery systems. Na that there were no reasons given for the with military force, but it would cost the tional Medical Care has grown into a major fabulous billions of dollars that have Soviets commensurately in terms of credits, New York Stock Exchange listed company been sent to about 45 nations over the or grain, or technology, and presumably with assets over $55 million serving a globe during the last 5 or 6 years. Most of other weapons, diplomatic and economic, specialized market estimated at over $200 the listeners remembered the President's could be brought to bear. million and growing. All of this now looks like a gossamer fan The Kidney Center is a unit of National nationwide broadcast in late November tasy. Linkage was not applied to the Soviet Medical Care. So is Erika, Inc., headquartered. wherein he devoted most of his time to backed conquest of South Vietnam, nor to at Englewood, N.J. with manufacturing calling the 94th Congress a spendthrift the attempted pro-Soviet coup in Portugal. plants in Dallas, Texas. Congress. It has not been applied to Angola, and in At The Kidney Center patients occupy In the second day after that broad deed the Ford administration has explicitly some 44 stations around the clock. Each cast at a news conference the President disavowed it as a weapon. Gtation has a comfortable lounge which announced the granting of approximate To be sure, in his talk to the American serves as a bed or recliner, a TV set, reading ly $4 billion to 28 nations in sums rang Farm Bureau Federation in St. Louis, the Ugh~ and a dialyser, (artificial kidney). President warned that continued Soviet in ing from $50 million to $300 million. tervention in Angola will harm Moscow's Typically, each patient is connected to the Many of these nations were in far bet artificial kidney for a period of 4 to 6 hours "broader relations" with the United States. ter economic status than the United But the President removed all substance three days a week. And while on the machine, from the threat when he added immediately they read, watch TV or sleep. That's how far States. The President devoted considerable that American grain sales to the Russians the technology has advanced. would be in no way affected. Following the procedure, the patient is time to the budget and the problem of in We were to reach limited agreements with detached from the equipment and can return our tax income order to wipe out any the Soviets on strategic hardware. We would home or go back to work. Patients with no possible deficit for 1976-77. He had sev conclude trade agreements beneficial to the kidney function at all now can lead near eral suggestions about raising taxes pri Soviets but available to us as leverage. Under normal lives for prolonged periods. A few marily on programs which would throw the "Nixon Doctrine," we would supply mili years ago, a patient with kidney failure was a further bU"!'den on the wage and salary tary and economic aid to those who were lucky to stay alive. taxpayers but in no way indicated that willing to "help themselves" when threat National Medical Care, Inc. now does all there might be an increase in taxes on ened with Communist takeover. It was a of the outpatient dialysis treatments for the fabulous profits enjoyed by corporate paradoxical combination of agreement plus Massachusetts General; Tufts New England leverage plus tough competition. Nixon Medical Center, Peter Bent Brigham and St. conglomerates during his short term in himself was an important part of the equa Elizabeth. In other cities across the country, office and that of his immediate prede tion: His 1972 bombing and mining showed the same type of operation exists with the cessor. that the U.S. had an impressive repertoire same relationship to major hospitals and Many Members of the House regretted of responses, and that the risks of aggression medical schools. this omission and as evidence of their could be high. The stair of The Kidney Center includes apprehensions, I am herewith incorpo As detente is now being pursued, however, 15 doctors who specialize in nephrology and rating with my statement a short resume the vital elements of leverage, tough com some 200 employees including registered on corporate profits which was contained petition, and helping those who help them nurses and technicians who work one of selves have all dropped out of the equation. in one of our weekly publications re That is why Ford and Kissinger received three .shifts. Nationwide, National Medical cently: Care ~enters employ over 2600 doctors, nurses blunt lectures on the hollowness of detente and technicians. THmD QUARTER PROFIT JUMP EXCEEDS EARLY on their recent visit to Peking, and, strangely In addition, National Medical Care's sub ESTIMATE enough, it may explain the effusively warm sidiary, Erika, manufactures the filters used Corporate profits in the third quarter of reception given by the Chinese leadership in the dialysis machines. This is a $66 mil 1975 rose even more than initially reported, to David and Julie Eisenhower, nee Nixon. lion .per market currently dominated by the Commerce Dept. announced. Kissinger no longer has a credible foreign Baxter Laboratories but National Medical Revised government figures show after-tax policy vis a vis the Soviet Union. Januarry 26, 19t6 EXTE SIONS OF REMARKS 1015 AMERICAN COLLEGE OF l\TUCLEAR Complex State and Federal regula AMERICAN -TRAINED COMMUNITY _PHYSICIANS tions; PLANNER REVISITS CHILDHOOD Transportation difficulties involving HOME nuclear medicine supplies: and HON. WILLIAM LEHMAN The previous lack of a cohesive effort to OF FLORIDA attack such problems. HON. BILL ALEXA WDER The thrust of the new organization's OF ARKANSAS IN THE HOUSE OF REPRESENTATIVES efforts has been in the direction of foster Monday, January 26, 1976 ing activities which will help practi !J. THE HOUSE OF REPRESENTATIVES Monday, January 26, 1976 Mr. LEHMAN. Mr. Speaker, I would tioners deliver this health care to the like to bring to the attention of my col public, safely and at minimal cost. Mr. ALEXANDER. Mr. Speaker, in leagues the official recognition of a rela For instance, the college has been in 1923 J. Anton Hagios came to the United tively new discipline of medicine-nu close contact with the Subcommittee on Stat.es from his home in Germany to clear medicine-and the establishment of Government Activities and Transporta study at Brown University, and stayed the American College of Nuclear Medi tion, particularly regarding its recent to make our Nation his home and to cine, which has been of considerable as oversight hearings on the implementa build a career in community planning sistance to the Congress in it.:; efforts to tion of the Hazardous Transportation Act and transportation. Last summer he insure the safe and speedy delivery of by the Department of Transportation visited Germany for the first time in this sophisticated type of health care. and the Federal Aviation Administration. 52 years. Nuclear medicine is the clinical field The college found itself in agreement Mr. Hagios is now executive director of concerned with the diagnostic and with the members of the subcommittee the New Jersey Citizens Highway Com therapeutic use of radiactive materials, on the necessity of safe transportation of mittee. In response to a 1·equest from a called radiopharmaceuticals. It is a hazardous materials-including nuclear friend who is a journalist, Mr. Hagios vigo1·ous, dynamic field that has had supplies-without the disruption of set down his observations from his first phenomenal growth over the past few speedy delivery of medical supplies. kip to Germany in half a century. In years and will continue to grow rapidly Both the subcommittee staff and the view of Mr. Hagios' experience in plan in the future, given the proper condi Air Line Pilots• Association reaffirmed the ning and transportation and our own tions. necessity of fast and efficient air ship concern for learning from the experi Not only is nuclear medicine an in ment of radiopharmaceuticals, subject ences other peoples have with transpor fant compared to the basic practice of to proper packaging and quantity safe tation systems, I believe his comments medicine, but the fearful images sparked guards. on transportation planning and systems by thoughts of nuclear reaction make it The organization is also vitally in operations in Germany would be of in more difficult to deliver the benefits of terested in the proposed amendments to terest to my colleagues. Therefore, I this discipline to our Nation. the Public Health Service Act, and has would like to make a part of the RECORD The newness of the discipline was un made its input to the Senate and House some excerpts from Mr. Hagios' "Notes derlined recently in the action of the Subcommittees on Health in this area on Trip to Europe." Amel'ican Medical Association, which, of health care. Excerpts from "Notes on Trip to Eu- despite the long-time existence of other The college was one of the organiza rope" follow: · tions filing comments on proposed Fed special sessions, voted on in November NoTEs ON TRIP TO EUROPE of last year to establish a special section eral Aviation Administration regulations Tile trip was strictly personal, being my on nuclear medicine. on the monito1•ing of radioactive ma first visit "back home" since I came to Dr. Gerald DeNardo, president of the terials by aircraft operators. A number America in 1923 to complete my education at American College of Nuclear Physicians, of organizations felt that the emphasis Brown University. It had no business eon spoke to this issue at the annual conven in the regulations was wrong, and the notations. tion of the AMA in Atlantic City last college felt that the proposed rules could During the Hitler era I would not visit year, and noted: hamper the speedy delivery of medical Germany, and after World War n, I had As no desire to see my old home town, heavily The College respectfully urges the estab supplies. a result of comments, the damaged at it was from bombing. lishment of a Section on Nuclear Medicine. Department of Transportation revoked Now it is rebuilt except for a half dozen There is a special urgency for action at this the rules and proposed new ones. time. houses. One of these turned out to be my The college is also working with the family home. A temporary brick wall has been The pressures of current social crises, built over and around a lone foundation while affecting all medical practice are espe Food and Drug Administration and other Government organizations in promoting stone-the last remaining relic of what I cially pressing in the area of nuciear medi had known as home. cine. The air transportation of radlophar programs which will benefit the Nation maceuticals is just one area in which we in the field of nuclear medicine. GENERAL IMPRESSIONS have been active recently. This, and the res The activities in this a1·ea are too nu Having been deeply involved in post-war olution of other matters, would be more merous to 1·ecooot at this time. My pur planning of Newark and of the North Jersey effectively enhanced by the establishment Metro Area., and later, as Washington Repre of a section. pose is simply to draw attention to some sentative of the National Good Roa.ds Associ Untn such a section exists, the practi of the many efforts being made to co ation, in the development of the expanded tioners of nuclear medicine cannot properly operate with the Federal Gove1·nment Federal-aid Interstate Highway Program, I contribute to organized medicine and the to facilitate the delivery of health cro·e could not help but make some snecific ob health care delivery system. to our citizens. It might also be worth servations in these two areas without how- ever, giving them in-depth study. ' noting that the college is active in en This is the principal purpose of the CURRENT UNEl\IPLOYMEN'l' college. It grew out of the Society of Nu com·aging State organizations of nuclear medicine to work with the States for The German construction industry would c~ear Medicine•. which is devoted prin seem to be crying wolf. If there was one proj CIPally to the scientific progression of the more consistent nationwide programs. ect, there were at least fifty of major pro discipline. The founders of the college The college is closing its second year portions going on in Freiburg alone, and a felt that an organization was needed to of existence with a convention in Miami half dozen in the little village of Gottenheim deal with problems of a more ordinary beginning January 28. During the con where even for small homes, cranes are used nature which were hampering or threat vention, members of the college will dis for hoisting building materials. I found one ened to hamper the safe and economical cuss ways of building on cooperative dilapidated house in all of Gottenheim and upon inquiry, I was informed it is scheduled delivery of this health care service. efforts to foster the safe and economical for the bulldozer for a highway widening The college listed among the problems delivery of nuclear medicine. Recogniz next year. The leading Stuttgart newspaper encoootered in the field the following: ing the vital importance of progress in was reporting in July that Germany and Public fear, lack of understanding and preventing and treating diseases with France are jointly planning to prime the misinformation about nuclear medictne; the best methods and technologies that pump for constl·uction employment relief Unnecessary and costly regulations a1·e available, I hope my colleagues join this fall at the rate of $2-blllion 1n Germany and restrictions; and $5-billion in France-most of it to go to with me in wishing them well. transportation-highways, rails, nals, 1016 , EXTENSIONS OF REMARKS Ja·nuary 26, 1976 bri4ges.and, most important, for projects au rates in Ne:\.v York. Nothing sacrosanct over was amusing·to me to hear Germans try their thorized' and ready to go. Once Bonn and there about the user of ptrblic transit. best French and vice versa: ... Paris vote the funding, a government official CENTER CITY TnAFFIC America, it has beco:rne ·fashionable to told me, construction will proceed full speed In An objective of goOd urban highway plan blame the auto~obile for many of the evils ahead to meet or beat a set completion date. that beset us. In Eti.rope, they have learned He added that environment considerations ning is the separation of through traffi~ from locally destined traffic, with adequate in to blend the automobHe into its proper niche · are built-in features of their construction within the framework of all modes of trans programs. The only environmental opposi gi'e:ss and egress points ·around the perim tio,n I encountered was at Whyl on the Rhine, eter. In the early Fifties we had such a portation. In fact, in Europe, the automobile close to the famed Kaiserstuhl vineyards. dream for Newark, N.J. but its realization appears to be accomplishing a goal that still The objection was to the building of an would have necessitated knocking down eludes its politicians. It is bringing people valuable ratables, business and residential, of various nationalities together as never atomic plant to supply additional electl'icity before. needed for fw·ther economic growth. besides raising a host of other community relations problems. In Freiburg, and pre TRANSPORTATION OBSERVATIONS sumably in other German cities, they have It is apparent to a transportation observer had these problems solved for them by THE WHEAT REBELLION that the people over there "practice" balance World War II bombings. When rebuilding among modes. They choose rail for longer began, virtually from scratch, the planners trips, and rail and bus for commuting. Car concurrently provided long range traffic flow HON. MARK ANDREWS ownership continues to grow, and its increas facilities, inner loops and outer loops, in OF NORTH DAKOTA ing use, particularly for weekend recreation gress and egress properly located, and park al and vacation travel, has obviously reduced ing, under and multi-deck, etc. They had IN THE HOUSE OF REPRESENTATIVES rail use to that extent. For example, the local the opportunity to go ultra modern in re Monday, January 26, 1976 Freiburg-Breisach rail line has fairly fre building their cities through proper coordi quent service during the non-commuting nation of land use and traffic management- Mr. ANDREWS of North Dakota. Mr. hours but I counted few riders. Here, too, and in Freiburg, they did. Speaker, I know that my colleagues rep the cru·, and the bus even more, have cut Parking facilities are numerous, strategi resenting inner city and urban areas deeply into rail patronage. The fact that this cally located, adequate in location and size have their share of answering the many line used to run into Colmar, France, but of each, some underground and some above, and complex problems facing their con now terminates at the border, might also well managed, reasonably priced, designed stituents and the problems of farmers have contributed to the loss of passengers. with a view to internal safety for cars and Highways, roads and streets are generally people, meticulously clean, with multiple often seem far removed and um·elated in better shape than in New Jersey, I'm elevator banks. to their own people. But, believe me, they sorry to state. The autobahns in Germany are No vehicular traffic is allowed in the center are not. good, somewhat dated in view of constantly city except for deliveries in early morning It is farmers who produce food-and growing volumes. They are well maintained, and late evening and, of course, street cars food is the one item in everyone's lives and travelers enjoy excellent road service because they run on tracks. Pedestrians use we must have-the poor and the rich when it comes to such things as tire chang the traffic pattern to full advantage. In mid alike. ing, through constantly patrolling service July I saw the volume of shopper traffic that The production of food abundance can vehicles operated by an international auto compares favorably with ours in Illid-Decem mobile club whose labor charges are nominal ber. Hardly a week goes by that Freiburg no longer be taken for granted. Less than or free. The new autobahn now being com does not stage a crowd-attracting event. If 2 million commercial farmers are now pleted in Switzerland between Basel and it isn't music week, it's a costumes festival, being asked to continue all-out produc Zurich, is up to our standards in America. or a winefest week. Bands from the nea.rby tion to feed a Nation of 215 million peo Alsa~e ha.s fairly good secondary roads but villages are brought to town to keep the ple and to export another $22 billion from what I saw, remains behind the freeway crowds entertained all week. The inns, and more to other nations so we, in turn, can parade of France and other parts of Europe. there are many of them, put up their tables buy the crude oil to run our factories, In Germany, well paved country roads, in the streets, to the dismay of streetcar keep the electric turbines running, and though heavily travelled, still go through operators. rather than around numerous villages, with In Freiburg, one would cross a loop express heat our homes. drawbacks to both the village and the way at his own peril. To do so almost surely Farmers, today, do not accomplish this through traffic. The cities have protective would be lethal. That's why the inner loop with a mule and a plow. Today's farmers safety devices, but the villages do not. · system expressway has under- and over require massive amounts of capit~l. Railroad trains are superb passes at high volume points, and properly When farmers have been asked to plant Frequent service, clean, on time, comfor ·timed traffic lights for crossing at grade at fence to fence to meet the demands for table, the conductors are pleasant and jovial, other points. The inner loop traffic moves food here at home and abroad-they and did the fellow-passengers in my compart efficiently, smoothly and speedily. have done just that, at great expense of ment know America and make me feel wel Abutting sidewalks have sturdy iron rails labor and capital. They did not, I might come. Even locals, comparable to the Dinghy, for pedestrian protection. Underpasses and add, do like so many other industries and leave the moment the second hand strikes overpasses were built to be used, with special consideration for the aged, the infants and operate at 50 to 75 percent of capacity departure time. The train master blows his and create unemployment figures of 8 whistle exactly five seconds before. Since the the handicapped. One center city underpass end of World War II, a.ll railroads in Ger had both steps and smoothly functioning and 9 percent. many have been gradua.lly electrified, with escalators. Way over on one side are special And may I submit, Mr. Speaker, that the stanchions carrying the power lines only steps about one and one-half feet in width had we not been able to export some $2~ about half as high as those of the Pennsy, flanked by two one-foot wide concrete romps, billion in food to help pay for our massive with a minimum of disturbance of the coun with one ramp containing a U-shaped steel imports of oil, many more factories would try scenery. track with a three-inch gutter to guide the be running at much less capacity or Bus lines wheels of postmen's carts, baby carriages and wheelchairs. To help pay for these under would have been forced to shut down en I didn't notice any long distanee bus lines passes, their walls p1·ovide merchandise dis tirely. Had this happened we would not except chartered ones. Commuter lines, state play windows a la Gimbels in New York only have double-digit inflation, we and privately owned, are so scheduled as to between the Avenue of the Americas and would now have double-digit unemploy not compete with each other, or with trains Penn Station. if they parallel a rail line. These buses are ment. comfortable though not air conditioned. En EUROPE BENEl'll'S FROM AUTOMOBILE USE Mr. Speaker, my good friend, F. W. trance is at the front, exit at right center, Industrially employed Europeans go on Denison, editor of the Towner County with baby carriage space at left center and vacation in shifts. On Sunday, July 20, I Record Herald, has spelled all this out t.he driver gets out of his seat to he~p the found myself on the Gerrpan autobahn from in a most thoughtful editorial which I mQther put the carriage on and off t:l;le bus. Basel to Frankfurt, while the first shift of suggest is required reading for every Baby and carriage ride free within city ~imits. these vacationers ·was northbound, going Member of the House. Streetcars-double and triple units are home, and the seconq shift was southbound, . modern, excellent, a trifle slDw, but always starting their vacations in Switzerlalld or The article follows: filled. The conductor sells you the ticket Italy. German cars were outnumbered about THE WHEAT REBELLION but you have to cancel it by inserting it in two-to-one by those of Holland, Belgian, "Good Evening folks: There is wonderful the machine. They operate much the same French and Scandinavian registry. A week news tonight for the American Economy and as ' the bus. Tickets are transferable within before at Lake Titisee, high up in the Black the American Consumer. The Teamsters city. Bus and streetcar fares are as high or Forest, a full parking lot was about equally Union has been ordered to take a 25 percent highe:r .in Freiburg than the new subway occupied by French and German cars. And it cut in t heir incomes. They will continue to January 26, 1976 EXTENSIONS OF REMARKs 1017 load ships and drive trucks and work in the grain exports which were paying for oil ex TRANSPORTATION IS PRIME CON factories the same number of hours as before. ports and holding down infiation. CERN OF' OLDER AM:Jm,Iq'ANS They don't know how they will ·pay their Now respect for the skllls of those who bills with 25 percent less income, :.but for grow. the food is on the back burner again the good of the country and the-· American & pronouncements are pouring forth from BON. MICHAEL . BLOUIN consumer, they w111 patriotically- continue the "experts." Meany, in a foreign policy ·r. to give 100 percent efficiency as ·before. This speech, demands we "refuse to sell wheat to OF IOWA means the battle against lnfiation is being Russia to punish them." Congressman Jack IN THE HOUSE OF REPRESENTATivES won, though prices on products -infiuenced son demands we use wheat to make the Monday, January 26, 1976 by teamsters salaries w111 continue to rise. Russians change their lmmlgratlon policies However, this is a real victory for America and Candidate Reagan feels we should Mr. BLOUIN. Mr. Speaker, last Thw·s and the American consumers and your Labor "withhold our wheat" and bring the hungry da.v I had the distinct privilege to testify Department is proud and happy that this has into line.'' before the Subcommittee on Federal, been accomplished". The Russians have been listening and have Sounds Impossible. You bet your life it is State, and Community Services of the turned to Canada which has now disposed of House Select Committee on Aging. As you impossible. If the United States Labor De most of this year's crop at $5 and $6 a bushel partment handed the above rel~ to the and committed part of next years. Russians may know, the subcommittee has opened evening newscasters as a statement on the are pleased they do not have to pay the extra a series of hearings on the very critical well being of the eco~omy, every Union $16 a ton to the Teamsters Union for loading problem of transportation for older worker in the nation would walk off his job their grain. Australia 1s bringing in the Americans. 1n rightous indigation. biggest wheat crop in history and want to Because of my work on the Retirement However, that 1s exactly what the American sell lt. So is Argentina. Stlll the politicians Income Subcommittee of tbe Select farmer and the small businessman who de babble on. with so little knowledge of the Committee and the conclusions of a re pends on the rural economy hears day after stamina of the Russian people that they do cent Intergovernmental Conference on day in pronouncements from the Eastern not reaUze they are used to bardshlp and economists, the State Department, the poli their leadership will let them go without Transportation for the Elderly which I ticians and even the Department of Agricul before they get pushed around. sponsored in Iowa, I was able to share ture, about their incomes. "'There is good Farmers are beginning to gather and with the subcommittee some suggestions news tonight folks-in figures just released, shout that it is their wheat that Is being and ideas which I think deserve our clos ;farm prices have plunged again, and though discussed and if they don't eare to sell It, est attention. food costs continue to rise, this means the they won't. When nearly 10 percent of the Because I know many of my colleagues battle against lnfta.tion is being won". farmers in North Dakota turn up at a meet in the House are also very concerned We hear no concern about how payments ing 1n Camington and much larger percent about the problem of elderly transpor are to be made on skyrocketing costs in ma ages are gathering tn dozens of community chinery, fertlllzer or mortgages. We hear no tation, I would like to share those re concern from the Teamsters Union, whose sessions, they certainly mean business. For marks with them in the hope that we intervention at the docks caused the embargo the first time in our memory in Cando the may stimulate a serious and concerned and loss of substantial sales overseas, as Farmers Union, the Farm Bureau and the NFO were under one roof and managed to discussion within the Congress on this well as a sagging market. They just think issue and the legislation which we need they saved 1 cent on the cost of a loaf of keep their silence about their own particular bread. philosophy long enough to be wlll1ng to dis· to solve the problem. If Mr. Meany knew of what he spoke he cuss what Is best for the "wheat producer" Mr. Speaker, the text of my testimony would be pushing all the exports possible, regardless of his politics. This alone is a to the subcommittee follows: not only to keep the Teamsters working, but miracle. As many of you know from our work to to fight unemployment of his members. Every However, it is going to take some very gether on the Aging Committee, I am espe one billion dollars of exports means 50,000 cool heads, if farmers feeling their power, cially concerned, as I know you are, with the new jobs for industry, as well as the 19 per do not cut oft their noses to spite their faces. problems of older Americans. And It is clear cent industrial output in cars, machinery Groups such as the Wheat Commission have that older Americans have no greater prob and on consumed by American Agriculture. labored for a decade to bulld up export lem than adequate transportation. It is a If a farmer feels he is being treated like a markets and. are concerned that farmers problem which overwhelms all other prob "second class citizen" he has every right. So must be ready to fulftll these commitments lems (and that list of problems is lengthy). does every bua1ness or professional person or lose the market. Price should be no prob It ts a problem which necessarily supersedes or 'skilled worker in rural America who is part lem if they accept the $5 a bushel as parity all those other problems. of the rural economy. Mr. Meany seemed to which has tentatively been set as a reason We are particularly aware of that problem think as he made his demands, that rural able cost-plus goal, for it has been paid to in Iowa because ours is a predominantly America is made up of some sort of "peons" other exporters. Our food is a weapon for rural State and a State with an unusually tha.t each spring can be ordered to efficiently Peace but the battle for Peace must be folJibt high percentage of elderly citizens, many of keep producing food for the world, mortgage and paid for by more than one segment of whom live in rural areas and small towns. their future with soaring expenses and then the economy. No price cutting in the weapons According to the latest census statistics, liSten to the rest of the nation "rejoice" as factories is noticed. there are an estimated 372,000 Iowans over the price of wheat he raises drops 26 percent. age 65. Out of a total State population of There will be a meeting January 26-27 at about 2.9 million, the number of elderly citi If machinery manufacturers would accept Jamestown and we hope every farmer who zens over age 65 is about 12% percent which 25 a percent cut and their employees would can will be there. Nortb Dakota ts the top ranks Iowa third among all the States in per accept a 25 percent cut we might get some Durum, and hard wheat, barley and ftax capita population over age 65. · where. That would be news. However, they producer in the nation. An impressive num In Iowa, as in most predominantly rural patie~tly point out that this is impossible ber Of concerned people might make the States, we have witnessed the deterioration or because the product would cost more than Washington politicians and economists sit discontinuation of traditional modes of they would be paid. So what is new? The up ~nd take notice that the "peasants.. who transportation which elderly residents could farmers have been doing that for years. grow their food are just as intelllgent, just once depend upon. There is no question Rural America is very as informed and just as patriotic as they are. On the one hand, we face a general but angry. The only way they can show their They may also become aware that what deliberate decline in rail service. On the indigation is to gather and draw attention they are talking about is stlll the farmers other, we are left with a rural road and high to a situation they consider grossly unfair. wheat and it is still in the farmers granaries. way netwo1·k that is at best unmodern and For many years they have taken care of their They may also realize that it w1ll be the at worst outright unsafe. The discontinua soil, put in their year's labor and scraped farmers decision alone how much wheat will tion of other forms of public transportation together enough for another mortgage pay be planted next year. If they feel this price have deprived rural rowans-especially elder ment or gave up and took a job in the city ly citizens-of vible and reliable forms of when they couldn't make it. uncertainty and manipulation wm continue, there will certainly be less acreage risked. transportation above and beyond the private Suddenly the price depressing government car. surplus stock was sold and coUld no longer This nation depends on the farmers know how, their land and their equipment as does Automobiles are a form of transportation be dumped to keep the price down. Fal'Dlers which is becoming increasingly more ex found how it felt to produce a good crop at the hungry world. This time fal'Dlers are not pensive and, for that reason, increasingly parity price. The paid their mortga.,oes, or begging the government for a support floor less viable for elderly people. To give you dered new machinery and cars and mom got to squeeze through. another year, and sub some idea of the problem which elderly some · of the furniture she had waited for. sidize the consumer of food. They are de people face in a rural State ·Jike Iowa, an Even the government was elated that the manding that they be considered fu•st class analysis of the latest cellSUB figures reveals American dollar was being propped with citizens-just like anyone else. that 54 of the State's 99 cotmtles report that 1018 EXTENSIONS OF REMARKS Janua,/'Y 2B, 1976 over ten percent of households have no car monies. This is crucial, as the conference N OVERVIEW OF THE ECONOMY OF · at all. In 'effect, in these rural counties a sig points out, because almost 80 percent of total nificant portion of the population has vir expenditures for special transportation sys THE DISTRICT OF COLUMBIA tually no immediate access to transportation tems are earmarked for operating expenses. of any kind. In addition, the statistics show Let me underscore the significance of this HON. B. F. SISK that 70 percent of Iowa's households have problem with an example from my own dis access to no more than one car. In a rural trict: OF CALIFORNIA area, with no access to public transportation, Local governments in a seven-county area IN THE HOUSE OF REPRESENTATIVES the limitation of one car is often a severe around Cedar Rapids, Iowa, developed a co Monday, January 26, 1976 transportation handicap. ordinated and, it seemed to me, a highly I cite these figures because I suspect that sophisticated transportation program called Mr. SISK. Mr. Speaker, we have all Iowa is no more and certainly no less typical "S.E.A.T.S.," with funding from title 3 of struggled with the question of how to of many States where transportation services the Older Americans Act. The initial funding revitalize our cities. The Federal Gov for elderly citizens are practically nonexist was for a start-up and a 6-month pilot pro errunent has poured billions of dollars ent. gram. It proved just enough to get things n was no surprise to me that, when the going-to give elderly residents in this part into the cities to arrest decay and de Select Committee's Retirement Income Sub of the State a taste of what kind of trans terioration. committee held hearings in Iowa last Au portation services could be provided if local Too often, however, we have fallen gust, we heard from witness after witness governments worked together and had the short in our efforts, and urban areas who testified to the fact that there is no money to do the job. have developed sores for which we have problem more serious or more criti<:al than Unfortunately, this program was forced to come to believe there are no cures. The transportation for senior Americans. The shut down entirely last summer because its record of these hearings, which is now avail initial funding ran out and additional, on success Ol' failm·e of our urban efforts able in printed form, is a clear indication going support was not available. depend in large measure, of course, on of the problem and the challenge we face Local governments have been struggling the attitudes of local businessmen and in designing, developing and implementing since August to patch up the program, or officials. an effective, efficient, workable transporta substitute local efforts, but they face almost I was pleased, therefore, to have the tion network for older Americans. insurmountable problems of a logistic and opportunity a few days ago to read a re More recently, my office sponsored and financial nature. And even 1f they are able port on the economy of the District of coordinated a statewide Inter-Governmental to develop local alternatives, they will lack Conference on Transportation for the Elderly the coordination and the sophistication of Columbia and, more importantly, on in Iowa. This conference of Federal, State, the original, multi-county program. It is easy what can be done to revitalize the Na and local government officials, representa for us here to look on the situation as an un tion's Capital. tives of major social services agencies and fortunate shame, but for the 30,000-plus This was a talk by Knox Banner of senior citizens' organizations, and individual elderly residents who used this program, its the National capital Downtown Com senior citizens themselves discussed the collapse was nothing short of a very real mittee before the membe1·s of the problems of transportation for two days and tragedy. Voice of Informed Community Expres developed a series of policy recommendations This is the type of problem we face, na which they think will most effectively ad tionwide, because of inadequate funding and sion-VOICE. As a former subcommittee dress a solution to the problem. an obvious reason why the Iowa conference chairman of the Committee on the Dis I am here today not only to express my recommended that funding programs be ex trict of Columbia, I have known Knox for own deep, personal concern about the prob panded to include operating expenses. a number of years and have come to ad lems of transportation for senior citizens, but The conference makes a number of other mire his detennina tion to make the Dis also to submit for your consideration the recommendations. It includes a suggestion trict a model city. recommendations and suggestions made by that we should not overlook the potential and possibilities of including private trans What is important about the report our Iowa conference. While I personally have Knox made, I thhlk, is that he and the reservations about some aspects of the rec portation systems in any broad-range special ommendations, I think you will find· them· transportation programs; and it recommends National Capital Downtown Committee perceptive, informative and helpful in con that we not overlook the possibilities of acknowledge there are serious problems, sidering not only the problem, but even school bus systems. On this point, I think it but they have the will to overcome them more importantly, in developing solutions is important to note that we might all learn in cooperation with the Mayor and the to the problem. some very important lessons from school dis Council of the District of Columbia. tricts which have developed an expertise in I am submitting a copy of the conference special transportation. They do the job and I believe it would be useful, therefore, reconimendations for the record. Let me note, they do it quickly and efficiently twice each to have the report printed in the CoN in passing, that the recommendations speak day. GRESSIONAL RECORD SO that all my COl to some of the most obvious and most serious leagues may have the opportunity tore problems which I think we encounter in I am hopeful then, that the recommenda current and future efforts to remedy the tions from our Iowa conference will be help view it. elderly transportation problem. ful to you. For my part, I found them very AN OVERVIEW OF THE ECONOMY OF THE constructive, and I am working now on legis DISTRICT OF COLUMBIA AT VOICE, MEMBER To the best of my knowledge there are lation which will embody their suggestions some 28 different Federal programs which SlfiP ME'ETING (VOICE OF INFORMED COM and which will deal with the critical problem MUNITY EXPRESSION) provide funding for transportation systems of transportation programs for elderly Ameri for elderly and handicapped people. The pro cans. I am hopeful that at some point in the As in all other cities in the nation, the Dis grams are authorized by a variety of laws, near future I will have the opportunity to trict of Columbia and its people are ex are administered by a variety of agencies and meet with you again to discuss this legisla periencing economic difficulties which stem are designed to cope with a variety of very tion and to work with you and the full com from the problems of the national economy. specific, very specialized situations--all of mittee, as well as the other appropriate com Inflation and unemployment are major con which leads to a wide variety of individual mittees of the House. cerns across the country. Washington has felt the sting of inflation, particularly in terms of programs, all necessarily small, specialized Transportation is a critical problem for targeted for specific populations and poorly older Americans. We all know that. the greater cost of housing .. And there is in funded. As a result of legislative or regula creased unelllployment, especially among tory constraints, these programs are either It is the number one problem of elderly young blacks. But while these problems Me a una;ble or reluctant to pool resources and people. · great concern to all, it must be noted that coordinate services. Consequently, it's n,ot Without adequate transportation, older washington has not experienced the same surprising that they are unable to provide Americans cannot take advantage of the depth of difficulties as most other major cen- more efficient and more effective transporta health services or the variety of social serv . tml cities due largely to the insulated nature tion services for senior citizens. The· Iowa ices which are available to them. Without of the local economy, still dominated a.s it is conference t·ecommends, as a primary goal, adequate transportation, they are left lit by government employment. ,(Pl"ase note that we pool funding sources under one erally isolated in their homes, deprived and that this observation Is not very meaningful agency, such as the Department of Trans denied a full participation in the social, po to the individual who 1B unemployed.) Many portation. litical, and economic affairs of their commu feel that the overall economic picture is not Secondly, the conference recognized that nities. bright, despite the pronouncements by vari a major problem, in addition to the duplica It becomes imperative that we move with ous national leaders. This affects all aspects tion of funding resources, is the lack of on as much speed and dispatch as the legislative of the local economy, of course, and it fs not going operating funds. Current legislation process allows to liberate elderly citizens much comfort that the depth of our difficul almos~ exclusively underwrites initial capt from the loneliness and the isolation which ties is not so great as 1n other major cttles. tal expenditures but provides little on-going their tmmoblllty imposes. The District of Columbia continues to lose January 26, 1976 EXTENSIONS OF REMARKS 1019 population. This is consistent with natim~al 0 %-up from less than 2 %-is still favorable drive out business rather tha~ to .attract trends wherein population continues to be by comparison to otb,er major. cities. Again additional business whic,h would bring in concentrated in greater and greater numbers our insulated economy has come to our aid. creased revenues and increased emp}qyment; in metropolitan areas but at the same time Moving now to specific actions being taken For example, the lack of positive encour is decentralizing (suburbanizing) within and . to be taken to advance the local econ agement of private development which will t hose major population centers. From 1973 to omy, here is a synopsis: enhance the tax base; · · 1974, the District's population declined by METRO-while further delayed-should For example, rent control and a freeze on 9,000 persons and now totals approximately begin operating shortly. Projected to return condominium conversions which continue 723,000. But interestingly and significantly, three dollars for each dollar spent on its past an emergency period during which during the same time period, the number of construction, METRO will surely-whatever positive rather than negative solutions households in the city rose by 5,000 to a the benefit figures turn out to be-greatly should be developed; total of 277,000. It is this rise in number of enhances development potential, business For example, a criminal justice system that households and their generally upper income activity, and public tax revenues. fails to function more effectively in both nature which provides cause for judicious The Bicentennial-At the price of some preventive and rehabilitative aspects; optimism regarding the city's economic fu inconvenience, congestion, and environ For example, a public review process in t ure. Average household income in the Dis mental difficulties, the city should benefit to which a vocal few can s+..op any develop trict was $15,686 after taxes in 1974. This !s a considerable extent economically from the ment-public or private-no matter how use more than 14% above the national average. additional millions . of people coming to ful it may be to achieving community goals. Coupled with this is the beginning of a Washington in 1976. The magnitude of the We must overcome these obstacles. The trend back to the city and specifically back benefits as well as of the difficulties relates opportunities are here for accomplishment t o in and near downtown among predomi closely to the quality of the preparations now and success by the combined effort of the nantly young individuals and families plus underway, of course. public and private sectors to make a better so-called "empty nesters." The trend is aided, Pennsylvania Avenue Redevelopment city for all of us. in part, by no-growth policies in the suburbs With the plan now approved by Congress As the national economy improves, the and by the environmental and energy situa and the White House apparently looking District of Columbia-we-all of us-must t ion. The increase in the number of house favorably upon the revitalization proposals be ready t o make the most of the opportu holds and the back-to-downtown movement contained in it, the District should enjoy an nities for our cit y. create a base for the construction of new economic stimulus because of Pennsylvania housing, rehabilitation of existing housing, Avenue redevelopment. improved business opportunities, and greater Civic Center-with new awareness of the tax revenues for the city. But these good need to identify and develop additional MR. FORD, BACKSTAGE things for the local economy are related to sources of revenue for the city, fresh interest positive and prompt actions which must be is being expressed in development of a civic taken by the District Government and others center in Downtown. And the economic spin HON. TIM LEE CARTER to strengthen the trends and take full ad off will be substantiaL The city's business OF KENTUCKY vantage of them. community has staunchly supported develop For example, there is a need for an ap ment of a civic center as the single most im IN THE HOUSE OF REPRESENTATIVES proach to solving some of our financial prob portant remaining public facility needed to Monday, January· 26, 1976 lems and municipal services on a metro help spark the local economy and assist in politan ba.sis. One example could be a re Downtown revitalization. Mr. CARTER. Mr. Speaker. Our Nation gional sales tax to help finance METRO. Let me summarize and emphasize. is fortunate to have as its President a For example, long-range positive rather Over the past two decades throughout the man who, as an adopted son of middle than negative answers must be developed United States, there has been increasing co class origins, achieved the offices_ and and used intelligently and intensively to in operation between the public and the private honors he has been accorded through crease and improve the housing supply. The sectors in working to solve urban problems. city's rent control regulations, its ban on hard and diligent .work while retaining In :the older downtown of the District of his humaneness. condominium conversion, and its intentions Columbia between the White House and The to strictly control rehabilitation resale have Capitol, this has been exemplified by the I myself have known Jerry Ford for produced a virtual end to new residential work of Downtown Progress and of other many years, and I have known him to construction, and prospects for abandon business and civic organizations with all be an honest, intelligent, and good ment are increasing. The result is a growing levels and branches of government here. hearted human being. For those of us housing shortage at the very time that de Business leaders have contributed both time who have served with him here in the mand is mm.mting due to the growing num and supporting funds to these organizations ber of households and the back-to-the-city House it is little surprising, perhaps, to movement. to help improve the economic vitality and read of examples of his decency and con There may be little question that these the quality of life in this part of the District siderateness as President. However, there latter negative actions on the part of the of Columbia. are those who have not had the pleasure District Government have merit-at least on Substantial progress has been made, but of working side-by-side with him, and to a short range basis-from a non-economic much remains to be done. From the doldrums of the forties and fifties, the old downtown those I commend an article by columnist point of view, but in terms of economics, Jack Anderson which appeared in the they are largely self-defeating. The physical, since 1960 has nearly a billion dollars in pri social, and economic health and vitality of vate ·and public development completed, un January 25 edition of the Washington the city are intertwined. There should be derway, or scheduled to begin. This totals Post. much cause for concern if a balanced ap nearly 20 million gross square feet. The new · Article follows: proach considering economics is not taken opportunities afforded by Home Rule can in MR. FORD, BACKSTAGE on a long range basis in dealing with hous crease the effectiveness of this public-private (By Jack Anderson) ing and business enterprise. effort if both government and. business work even harder at it. The experience of ascending the pinnacle A positive trend for the District which of power can change a man. pertains to this overview is Washington's Business generally is re-examining its role and its responsibilities, and the District of At the President's beck, civilian and mili growing dominance as the center for as tary leaders gather to listen to his counseL sociation activities in the nation-Washing Columbia government is doing the same. To gether, we must achieve: Assistants materialize at the press of a buz ton now surpasses ,New York and Chicago. In zer; military aides attend him; servants cater 1972, approximately 40,000 persons were em A sound tax program. A balanced budget as responsive as possi- to his whims. It is enough to turn the head ployed in association work here with about of a saint. three-fourths of these being located in the ble to local needs. We consl.llted our backstairs White House District. Associations, along with profession Essential public services. sources, therefore, to find out what effect his als, account for much of the office space de Improved housing supply. heady experience has had on Gerald Ford. He mand in the city. Increased employment and business op is still the same plodding, unpretentious In turn, the creation of office space portunities. guy. produces revenues for the District and helps An improved educational system at all There is an average-American quality assure an increasing employee population levels. about him, an ea.siness of manner, an en which supports retail and service uses, thus Safety and security in the street, home, gaging sincerity. He hulks through the having a multiplier effect. Various sources and place of business. White House corridors, full of friendliness, on the subject of office space have p1:0jected While these goals may be defined some taking a personal interest in the lowliest a short term excess of office .space supply over what differently depending on who is doing secretaries and domestics. demand, resulting in a higher than normal the. defining, it seems to me that we need In the backrooms, he has an ea.sy,_lo~ker vacancy rate for office space in the District of to .be .. aware of a o n-qm~r . of potential obsta room camaraderie with men, l:lo. court~i;>l,l.s . gra Colun"lbia in the immediate future .. While cles to achieving these goals, including: ciousp.ess toward women. During th.e social this is of concern, a vacancy rate of 8 % or For example, tax programs which tend to hour, he often mixes drinks for his· guests 1020 EXTENSIONS OF REMARKS January 26, 1976 t·ather than wait for a White House steward dent visited Chicago to speak to the Veter would force a negotiated settlement among to serve them. ans of Foreign wru·s. Greek-Americans who the fighting Angolan factions. Not to do so, Ford's favorite pet is a golden retriever disagreed with his foreign policy gathered officials warned privately, would be to let · named Liberty. On Christmas Day, 1974, Lib outside his Chicago hotel to chant their C:.is the Russians win control over Angola and erty had an accident on the presidential rug. approval. Upstairs in the presidential suite, with it a potentially dominant voice in de stewards rushed to clean up her mess, but an associate remarked to Ford: "That must termining the future of Southern Africa. Ford waved them away. He got up from his really bug you." If one goes back in time, much the same Christmas dinner and cleaned the rug him "No," replied the President as he watched rationale was used in the early stages of self. "No one should have to clean up after the protesters, "they're good people. I can Vietnam. But that conftict turned out to someone else's dog," he said. understand their feelings. They are my be a quagmire that, as the U.S. pushed White House workers like to take Liberty friends." farther into it, only engulfed the nation out for walks, but the President doesn't feel There is nothing suave or subtle about more. dog-walking is part of their job. When other Gerald Ford-none of those sophisticated The Ford administration may have forgot family members don't walk Liberty, Ford mannerisms which Americans ru·e inclined ten, but the Senate had not. And its action tries to do it himself. to distrust. One of the first pictures the presented the administration with a dilemma Once, in the middle of the night, the White House released of him showed the and provoked some awkward explanations. President of the United States, with a mas new President working with one foot propped To charges that the U.S. was training for sive staff at his call, quietly slipped out of on his desk. Most of his predecessors took eign mercenaries to fight in Angola, President bed, put on a bathrobe and led Liberty out themselves much too seriously to permit a Ford said it wasn't, but he would not deny side to answer nature's call. picture of such relaxed informality. But Ford that the government is providing money for Ford's worst two days in the White House has brought a warmth to an office which in such training. He said that "We are working began on the dark, rainy Friday that his wife less than a decade had gone from the chic with other countries that feel they have an went into the hospital for a cancer opera ness of Camelot to the deviousness of interest in giving the Angolans an oppor tion. Out of a sense of duty, the President Byzantium. tunity to make the decision for them sat through an economic conference he could selves.... " have avoided. The problem for the U.S. is that, even it He also kept a commitment to speak at it could turn the tide, it would not gain the closing session the following morning UNITED STATES SHOULD STAY much. In the first place, it ended up on the while his wife underwent surgery. His only CLEAR OF THE WAR IN ANGOLA same side as South Africa in opposing the concession to his personal feelings was to cut Marxist-oriented Popular Movement. That is the speech short. Between visits to the hos anathema to most African leaders. pital, he also kept appointments with im HON. JOEL. EVINS In the second place, all three Angolan portant foreign dignitaries. OF TENNESSEE groups which had fought for independence Our sources remember it was a gloomy, de from Portugal for 14 years, recall only too pressing time, with the President scarcely IN THE HOUSE OF REPRESENTATIVES vividly that the U.S. turned a deaf ear to hiding his anxiety. At the end of his most Monday, January 26, 1976 them in the past while it actively supported arduous hours, he was escorted to the White the Salazar-Caetano regimes. House elevator by Richard Keiser, his Secret Mr. EVINS of Tennessee. Mr. Speaker, It is easy enough to see why white-ruled Service look-alike, and Major Robert Barrett, the Nashville Tennessean in a recent South Africa and Rhodesia have the jitters the military aide. Both men shared the same editorial entitled "United States Should about the Angolan war and the prospects grim mood. Stay Clear of the War in Angola" pointed that the Soviet might become the activist Still, just before the elevator door shut to out that much the same rationale is be bridgehead to all sorts of future difficulties. take the President upstairs to the living But for the U.S. to become partners in ad quarters, he interrupted his personal ing used by the administration for in venture with these nations almost surely thoughts and spoke quietly to his two es volvement in Angola as was used for would shrivel what influence this country corts. "Thank you, Bob. Thank you, Dick," involvement in Vietnam. has with the African nations. murmured Gerald Ford. Mr. Speaker, we do not need any more The proper course for this country is to At the end of a presidential :flight, he Vietnams-we should not expend price keep pressing for an end to all foreign inter makes it a point to poke his head into the less manpower and vital military supplies vention and all foreign arms aid. It should cockpit and thank his pilots. On a trip back in another fruitless foreign adventure. not get caught in a quagmire that could ulti from Detroit, it was raining too heavily at The Tennessean drew this conclusion: mately be far deeper than Vietnam, and in Andrews Air Force base for the President to volve Zaire, the Congo Republic, Zambia and take the customary helicopter hop to the "The proper course for this country is South Africa. White House. He headed for the backup lim to keep pressing for an end to al! foreign It is not in Africa's best interests to have ousine for the drive to the White House. intervention and all foreign arms aid." its political problems solved by foreigners, or Suddenly, he noticed the helicopter, which Because of the interest of my col its wars decided by foreign arms. That should had been standing by. He turned abruptly, leagues and the American people in this be Mr. Ford's message to Africa, and hiS walked through the rain to the helicopter most important matter, I place the edi message to the Soviet should be for it to lea.ye and thrust his head inside to thank the torial from the Tennessean in the RECORD Angola alone. astonished crew for waiting. He has already made the point that con Those who know Ford intimately say he is herewith. tinued Soviet intervention there would dam a most considerate and compassionate per The editorial follows: age its "broader relations" with this country. son. On a visit to Los Angeles, he stayed in (From the Nashville Tennessean, He should reiterate that. If that further an upper floor of the Century Plaza. hotel. Jan. 11, 1976] chills detente, then the object lesson mus1i During a. ride downstairs to a press confer UNITED STATES SHOULD STAY CLEAR OF THE be that the Soviet didn't place too much ence the elevator began to malfunction, WAR IN ANGOLA value on it anyway. shuttling up and down. The President's The experiment called detente, which was aides grew nervous, and the elevator opera begun with such high hopes in 1969, may be tor was terrified. Ford calmed him down, coming apart as a result of disagreements saying quietly: "Don't worry, it will work. and the war in Angola. THE PRESS: REPORTER OR You'll get us there." Moscow and Washington are given to sharp MAKER OF HISTORY? When Sen. Ted Kennedy's son went to the comments these days about each other and hospital for a bone cancer operation, the are at odds on every major issue from stra Pt·esident placed a private call to Kennedy tegic arms to Africa. HON. WILLIAM M. KETCHUM to inquire about the outcome and to express The Angolan crisis, with continued Soviet his personal good wishes. arms shipments and Cuban military inter OF CALIFORNIA When Jordan's King Hussein visited the vention, is hot and it could explode into a IN THE HOUSE OF REPRESENTATIVES White House on April 29, 1975, Ford invited major regional conflict. It is already compli Monday, January 26, 1976 sen. George McGovern, D-S.D., to the form cated and confused, with three separate al state dinner. McGovern, a pariah to pre Angolan groups fighting each other. Mr. KETCHUM. Mr. Speaker, recently vious White House occupants was deeply The United States was covertly helping a young constituent of mine delivered a n1oved by Ford's gesture. the groups fighting the Soviet-backed Popu most moving speech at the Bicentennial During the dinner, the Republican Presi lar Movement until the U.S. Senate voted to Americanism Forum in Bakersfield, Calif. dent went to McGovern and told the 1972 end such aid once the $8.2 million left in the pipeline was used up. Ramona Cappello, my constituent,_ha.S Democratic standard bearer: "No matter indeed made a good case for a free pr~s. what, this· house belongs to everyone, now The rationale for U.S. aid was that it might more than ever," . be possible to counter the Popular Movement I .am most proud of Ramona for her During the Greek-Turkish crisis, the Presi- and thus bring a military stalemate which statement, and know that my colleagues Januarry 26, 1976 EXTENSIONS OF REMARKS 1021 will enjoy being able to share her event publicized, but rather had the freedom wit hin the editorial province of the free thoughts. Perhaps before we criticize the to transmit it to the readers. Let it be im press. We must not confuse the role of the pressed upon our minds, that the liberty of reporter with that of the ~ditor or com press, we should think twice about her the press is the palladium of all the civil, mentator, nor blame a newspaper for creat statement. political and religious rights. Whether it was ing a situation when it is in reality reporting The article follows: reporting news, or creating a furor by doing it, or editorializing on it. THE PRESS: REPORTER OR MAKER OF HISTORY? this, there was always blame to expect. And We must also realize that a truly free press has no obligation to support government (By Ramona Cappello) such was the effect of the event recorded at Harper's Ferry: policy. To be fair, it has an obligation to do Extra! Extra! Read All About It! (pause) An old man named John Brown led a one the opposite: to refrain from support! Oth Read all about it. No longer is the statesman, erwise, what have we got but another Nazi the doctor, the lawyer, or even the Indian man battle against slavery ... at Harper's Ferry in 1859. It was a bloody senseless propaganda machine in our American gov chief clothed with the protection of office or ernment! Bill Moyers, who preceeded Mr. special education, for every reading man is slaughter, and John, the lone survivor, lived only long enough to attend his trial in a terHorsl;, used to say that the press's role is now his own judge. And how do we come by that of scrutinizing, debating and giving the t his powerful knowledge? What gunpowder hospital cot, followed by his public execution at the gallows. He was a renegade who cold public a chance to decide for itself whet her did for war, the printing press did for our the government made the right decision or mind! bloodedly presided over the butchering of five innocent men . . . and so history bas not . Yes, the insatiable thirst of the American In all fairness to the press, mention should people has cried out for information and reported it in spite of the fact that the Union chose to make John Brown the symbol be made here pertaining to the time limit communication. But our press has become devoted to covering a crucial, complicated mislabeled by the opinion that it makes the of their fight against human bondage. They subject. news rather than reports it. It is fact that had help too: from Ralph Waldo Emerson We are spoiled with the availabilit y of up every great writer is a writer of history; his who wrote, "That new saint will make the to-the-minut e news, and have come to ex tory has its foreground and its background, gallows glorious like the Cross". Not long pect, yes, demand it! Well, when we get it, a.nd in managing its perspective, artists will after, Northern soldiers Inarched off to war we also are endangering the reliability and differ from one another. Press writers differ to the tune of "John Brown's body lies a accurateness of it because some subjects too, but we must not confuse them with the mouldering in the grave, but his soul goes cannot be fairly reported in 30 second news historians, nor with the role of making to marching on." Glory, glory, halleluia ... flashes! This approach is fine for eruptive morrow's history happen! what greater case in the young history of news, such as a death of a leader such as News media does not make history-people the American press did there exist but the Spain's Generalissimo Franco, or the vast make history! People create a free press, a creating of a saint by famous Northern forest fires in San Bernardino County, or the free press creates the writer, the writer re artists and writers (such as Horace Greeley) results of the Rose Bowl game, but it cannot cords history-but the three (the people, the who were not even present! Yet, history books lead to an understanding of complex events! press and the historian) , are not one and the clearly report that then, as now, the truth of We Americans are up to our necks in do same! John Brown's incident at Harper's Ferry was mestic and world problems, but we are fortu Permit me please to trace our role of the an historical event truthfully reported, NOT nate in having a constant flow of a-ecurate free press so that you might hopefully agree CREATED by the press. If the criminal John information which can produce a genuine with me that the press does indeed report, Brown emerged a saint, the Northern people understanding of issues. This has been the not make history! created it because they needed a crutch to legacy of a free press in an open society . . . we are not unlike our forefathers who de further their anti-slavery cause. a benefit from the "reporters" of history. sired the written word as a part of their Next, let's look to the Watergate scandal ... (pause) daily lives. Starting with the "Bay Psalm and at last, the truth has come out. Mr. In closing permit me to reflect for a mo Book", colonial publishing flourished in 1640 terHorst was the White House press secretary ment on the words of English statesman when chronicles, histories, and travel ac for a short time under President Ford. When Benjamin Disraeli: "The press is not only counts were printed. asked why the Washington press corps drove free, it is powerful"; he added, "That power It took half a century after the first print Nixon out of office, Mr. terHorst replied that is ours. It is the proudest that man can en ing press for newspapers to appear. The public it was not the media but his own miserable joy. It was not granted by monarchs; it was was avid for news, but government officials White House tapes! The press did not invent not gained for us by aristocracies; but it were extremely touchy and reacted violently the Watergate burglary, the hush money sprang from the people, a.nd with an im to criticism. Printers who ventured, and very or the cover-up lies that former Nixon aides mortal inst inct, it has always worked for the much wanted to tell the truth, faced loss of now admit telling. people." business, revocation of their licenses and When asked why the press reports so much even jail sentences. Benjamin Harris had bad news, terHorst answered that almost by been imprisoned in Britain for criticizing definition, news concerns things that go AID TO CHILE the King. Harris' "Publick Occurrences" was wrong in our _lives. A housewife chatting suppressed four days after its initial appear with her neighbor wouldn't expound on the ance in 1690 for daring to report that the magnificent breakfast she fixed. No, it is English armed forces had allied themselves more likely to be a report on the toaster that HON. MICHAEL HARRINGTON with "miserable savages". broke, or the washer that leaked, or about OF MASSACHUSETTS But then the press rose to new heights of the school bus that came too early. IN THE HOUSE OF REPRESENTATIVES Naturally, some events do get more atten power as Congress became more complex in Monday, January 26, 1976 the early 1800s, thriving on the publtc's tion, because they warrant it. . . . I'm sure growing appetite for political news. Bob Woodward and Carl Bernstein pursued Mr. HARRINGTON. Mr. Speaker, de Something new was added at the turn of their splendid Watergate coverage with more spite repeated attempts by Congress in the 19th century ... a method of reproducing zeal than they would have unraveling the Bobby Baker affair in Lyndon Johnson's era, the post-Allende era to reduce the level pictures from stone. Political handbills began or the Ted Kennedy scandal (which didn't of U.S. assistance to the Chilean junta, to show up across the nation and by 1830, concern a change of Presidents). The media Chile continues to rank as a major Latin the cartoon became a deadly weapon of did not pick and choose "history-making American recipient of U.S. economic and political warfare. news" . . . they chose to report that which military aid. One cartoon stands out in my mind. It was larger and more important to vaster By circumventing the initial 1974 ceil was called "Joshua Commanding the Sun to numbers of people. Stand Still". Joshua was the 1828 Vice Presi It is not new to admit that the public eyes ing amendment of $25 million on eco dential candidate John C. Calhoun, and the the media with unhealthy suspicion. This is nomic aid to Chile, the administration in sun was the printing press, whom he tried to truly often based on a misconception of the 1975 managed to funnel aid through sev halt unsuccessfully. Later he had the op role of the press. eral bilateral aiq programs not spe portunity to regret the power of the press in Under the First Amendment, the press was cifically subject to congressional control. the ultimate struggles over slavery which institutionalized "as a part of the private The $91 million in total bilateral eco Calhoun favored when he fought to allow sector that has a 'governmental' role to nomic assistance dispensed to Chile in Carolina to reinain a slave state. play". It has a duty to inform the people of 1975 was over twice that furnished to the As we trace the development of the power~ governmental actions and thinking on pub ful new illustrated press, we become aware lic issues. Wouldn't it help if this idea of a next largest recipient of U.S. aid and that newspapers developed a vested interest free press were accepted, or at least under almost three times the amount allocated in catastrophe. If they could spot a fight, stood by everyone is affects! to the majority of Latin American coun they would play up that fight. If they coUld It's really beyond the reporting-function tries, including those presently desig uncover a tragedy, they would headline that of the press to consider whether the infor nated by the United States as being tragedy. Again, we are reminded that the mation is good or bad news. "most severely affected"-MSA. And press did not create the tragedy, nor the Debating of the merits or decisions is with the adoption of the Kennedy ceil- 1022 EXTENSIONS OF REMARKS JanuaTy 26, 1976 ing amendment in this year's foreign recipient country, the aid is generally will have virtually no impact whatsoever economic aid bill, the level of total eco regarded as provided for political rather on the flow of arms to Chile in the cur nomic aid to Chile for 1976 will still than humanitarian purposes. And, even rent fiscal year. exceed $90 million, leaving unaltered more to the point, the sale of the com During the markup of the 1976 inter Chile's status as the prime recipient of modities within the host country provides national security assistance oill there U.S. economic aid in the hemisphere. that government with local currency, fore, it is my intention to offer an amend Not included in these figures, more thereby allowing them to conserve scarce ment that would, to a degree, bring un oYer, is the loan support provided by foreign exchange for the purchase of del· congressional control the level of aid multilateral lending institutions totaling other priority items on the international currently contemplated for Chile. It $111 million in 1974 and $90 million in market, such as defense articles. seems to me that there exists a critical 19r/5. Nor do they indicate the massive Not surprisingly, Chile in 1974 became distinction between policies designed to indirect aid that has been provided the major customer in Latin America for provide a modicum of support to develop through the rarely used mechanism of U.S. weapons by ordering $75 million in ing countries as an expression o.f human debt rescheduling. In 1974 and 1975, the defense articles, in excess of Brazil's itarian concern, and those devised to United States signed bilateral agree orders by $6 million. In the same year, funnel virtually every available means of ments rescheduling the Chilean interna Chile's arms purchases from other coun aid to prop up a dictatorial regime, the tional debt for $136 million and $95 mil tries exceeded $105 million. Included in latter, a policy erroneously perceived as lion, respectively. One should also bear this figm·e was $40 million for T-25 enhancing our own national security. Is in mind, moreover, that these aid figures fighters from Brazil, $400,000 for anti it toward the former policy that my are exclusive of contracts signed for mil tank rockets from France, $66 million for amendment is geared. itary assistance yet to be delivered. two coastal submarines from West Ger As it now stands, my amendment re Finally, as if all of the above were in many, and $1 million in aerial bombs duces the total amount of economic as sufficient, the administration has also from Spain. Thus, in 1974 alone, Chile's sistance for fiscal year 1976 to $70.7 mil quietly offered to guarantee a $55 million international arms purchases exceeded lion and allows $25 million in total eco housing loan to Chile from the Federal $170 million and partially contributed to nomic assistance for 1977. It bans all Home Loan Bank of New York. the 300 percent increase in the junta's forms of military aid: military assistance The magnitude of our cw·rent Chilean military budget. under MAP, cash and credit sales under aid program stands in stark contrast to All of the 1974 U.S. orders, and more, FMS and commercial sales. It bans all the aid aggregate provided the Allende is scheduled to flow into Chile either in military aid, FMS sales-cash or credit regime, at which time it was the admin the current fiscal year m· beyond, for the and other economic aid in the pipeline. istration's intent to "make the economy State Department has been interpreting It prohibits contracts with Chile for title scream." In 1973, the level of total eco the ban on military aid ena<:ted Decem I Food for Peace assistance, housing loan nomic aid to Chile dwindled to a low of ber 30, 1974, to mean that orders or guarantees and requires that the amount $3.8 million while military aid was main agreements made prior to this date-or of debt rescheduled ·in the future must tained at $15 million. "already in the pipeline"-will be allowed fall within the limits of the aid ceilings Given such a massive infusion of aid to stand and deliveries of pipeline assist imposed by this amendment. The amend in clear contradiction of the intent of ance will continue on schedule. In the ment follows: congressional aid limitations and recent first half of 1975, for example, despite Amendment offered by Mr. HARRINGTON: human rights amendments, through the the ban on military aid, Chile received Add the following new section at the end of administration's almost total reliance about $14 million in defense articles un the bill: upon aid channels not subject to con der the foreign military sales program BAN ON ASSISTANCE TO CHILE gressional scrutiny, one is led to the con and $650,000 in military training under SEc. -. (a) Section 620 of the Foreign clusion that present policy toward Chile the military assistance prog1·am. In ad Assistance Act of 1961 is amended by adding is as calculated and deceptive in char dition, the Chilean Government pur at the end thereof the following new sub acter as the covert "destabilization" pol chased almost $2 million in defense ar section: icies of the past. And, I might add, these "(y) (1) Nc military assistance or security ticles from pl'ivate U.S. firms under the supporting assistance may be furnished to specific aid programs are utilized not commercial sales program, purchases not Chile under this Act; no sales of defense necessarily because of Chile's overwhelm prohibited by present legislation. Conse articles or services (whether for cash or by ing need for, say, 350 million tons of agri quently, in the absence of any legislative credit, guaranty, or any other means) may cultural commodities, but rather because action this year, all military aid already be made to Chile under the Foreign Military they provide a means for implementing a in the pipeline will be delivered in 1976 Sales Act; no agreements may be entered policy of support that has to be neither and beyond, commercial sales will con into with Chile under title I of the Agricul justified to nor debated by the Congress. tinue, and cash sales under the FMS will tural Trade Development and Assistance Act In this way the administration can pur resume. of 1954; no housing guaranty may be issued under title III of chapter 2 of part I of this sue its policy of unwavering support of According to the Department of De Act with respect to Chile; and no license for the junta as if the legislative mandates fense, the amount of military aid still in the export to Chile of any arms, ammuni on the issue were nonexistent. the pipeline as of September 30, 1975, tion, or implements of war (or technical data Of the aid mechanisms presently em totaled $102,754,000 in foreign military relating thereto) may be issued under section ployed by the administration that are sales items and $14,000 under the mili 414 of the Mutual Security Act of 1954. currently beyond congressional control, tary assistance prog1·am. More specifi "(2) All deliveries of any such assistance previously obligated, all deliveries of any Food for Peace is the most familiar. This cally, scheduled for delivery this spring such defense articles or services previously past year, in an effort analogous to last are 18 Northrop F-5E Tiger II :fighters sold, all deliveries of agricultural commod year's blatantly political use of Food for about $60 million in arms. With this on ities pursuant to any such agreement pre Peace in which 50 percent of all U.S. food schedule delivery alone, Chile will again viously entered into, all such housing guar aid was diverted to just two countries, rank, along with Brazil, as a major Latin anties previously issued, and all such licenses Cambodia and Vietnam, in a last minute American recipient of U.S. arms in 1976. previously issued, shall be suspended im subsidy of the war effort, the administra In addition, arms for cash in all prob mediately upon the enactment of this sub tion allocated to Chile-a non-MSA-83 ability will resume as soon as the me section. "(3) The provisions of this subsection may percent-$57 .8 million-of the total title chanics of signing new contracts can be not be waived under the authority contained I Food for Peace assistance for all of ironed out by the administration. The in any other provision of law.". Latin America. For 1976, Chile has been State Department's latest position .on (b) Section 320 of the International De allocated 85 percent--$55.1 million-of the issue holds that the ban on cash velopment and Food Assistance Act of 1975 the total, of which $45.7 million has al sales came to an enc:. at the close of the (Public Law 94-161) is amended to read as ready been delivered. Honduras and fiscal year-June 30, 1975-and thus the follows: Haiti, both MSA's, received 10 and 5 per sales could resume since no congt·essional "LIMITATION ON ASSIST1\NC.E TO CHILE cent, respectively. Since Food for Peace authorization would be required for the "SEc. 320. The total amount of assistance commodities are sold in the host coun transaction. Clearly, we are led to the which m.ay be made available to ChUe m.ay try-rather than donated-and thus rather obvious conclusion that, as they not exceed $70,700,000 for fiscal year 1976 and rarely reach the poorest sectors in the now stand, present legislative restrictions may not exceed $25,000,000 for fiscal year January 27, 1976 CONGRESSIONAL RECORD- HOUSE 1023 1977, including for each such year the during such fiscal year and which, after such section shall not be construed to authorize amount of any indebtedness of Chile to the date of enactment, 1s rescheduled for later the furnishing of any assistance for Chile United States which, on the date of enact payment, but excluding assistance furnished ment of the International Security Assist under title II of the Agricultural Trade De which is prohibited by section 620(y) of the ance Act of 1975, is scheduled for payment velopment and Assistance Act of 195_4. This Foreign Assistance Act of 1961.".
HOUSE OF REPRESENTATIVES-Tuesday, January 27, 1976 The House met at 12 o'clock noon. REV. A. PURNELL BAILEY floor of the House regarding the report which he now seeks permission to file. Chaplain A. Purnell Bailey, associate FISHER asked and was given general secretary, division of chaplains,
