May 7, 1973 EXTENSIONS OF REMARKS 14529 EXTENSIONS OF REMARKS
SENATOR RANDOLPH STRESSES IM transportation and expense money for U.S. Department of Health, Education, PORTANCE OF RECENT MEETING the winners' trips to the Capital. and Welfare. OF PRESIDENT'S COMMITTEE ON Both of these contests are designed to Mr. President, I ask unanimous con EMPLOYMENT OF THE HANDI increase awareness of the problems and sent to print in the Extensions of Re CAPPED potential of handicapped workers among marks the following items: young Americans. First, the opening welcome of Chair Presiding over a simulated congres man Harold Russell; HON. JENNINGS RANDOLPH sional hearing on the rights of the Second, the tribute to the courage of OF WEST VIRGINIA handicapped were several Members of the handicapped American; IN THE SENATE OF THE UNITED STATES the Congress: Senator HARRISON WIL Third, a brief survey of the past year's Monday, May 7, 1973 LIAMS, Senator BoB DoLE, Representative accomplishments for the handicapped, JoHN BRADEMAS, and Representative reprinted from the meeting program; Mr. RANDOLPH. Mr. President, last ORVAL HANSEN. These gentlemen have and week the President's Committee on Em vigorously supported legislation benefit Fourth, an article, "PCEH's Bill Mc ployment of the Handicapped held its ing the handicapped. Cahill Retires After 26 Years," which 26th annual meeting at the Washington Witnesses at this session included out appeared in the spring, 1973 issue of Hilton Hotel for some 4,000 invited standing handicapped persons who have Handy-Cap Horizons. guests and almost 100 program partici been spokesmen for the needs of the There being no objection, the mate pants and speakers during 3 action handicapped, or who have been active rial was ordered to be printed in the oriented days. The focus of this year's in solving problems faced by disabled RECORD, as follows: meeting centered on employment of the Americans in housing, transportation, handicapped, attitudes toward the THE PRESIDENT'S COMMITTEE ON employment, recreation, rehabilitation, EMPLOYMENT OF THE HANDI• handicapped, and civil rights for the education, and civil rights. CAPPED, handicapped. Music was provided by the St. Coletta Washington, D.O., May 3, 1973. Professionals and volunteers from Chorus, a group of 40 mentally retarded A TRmUTE TO COURAGE every State and several foreign countries young singers from Jefferson, Wis. (Delivered by Pearl Bailey before presenta responded to the White House invitation President's Committee Chairman tion of the President's Trophy to Handi to attend this event. Prior to the formal Harold Russell presided over the meet capped American of the Year, Farris c. Lind, opening of the meeting, a symposium on ing, with the help of dedicated volun at the Annual Meeting of the President's "The Handicapped in Latin America," Committee on Employment of the Handi teers such as Pearl Bailey and Bob Con capped, Washington Hilton Hotel, Washing arranged by the Partners of the Amer sidine. It was my privilege to attend the ton, D.C., May 3, 1973.) icas was held at the Pan American Thursday evening banquet and to meet Nothing could make me happier than to Heaith Building on May 2. That evening, and speak with many of these volunteers honor the very special person who's been at the opening banquet, Aida Gindy, and professionals who are devoting their named Handicapped American of the Year. chief, social integration and welfare sec energies to the betterment of life for the He's Mr. Farris Lind, of Boise, Idaho, on tion of the U.N. Center for Social De handicapped. That particular banquet stage with us this morning. -velopment and Humanitarian Affairs, honored a close and dear friend of mine, Farris Lind was born in 1916, to parents was the featured speaker. who operated a small row crop farm. He grad a ¥aluable civil servant, William P. Mc uated from high school at the height of the Miss Pearl Bailey emceed the Thurs Cahill, retiring soon as Executive Secre great depression, and worked at thinning day morning opening ceremonies whe~e tary of the President's Committee after sugar beets and doing other contract farm tribute was given to the courage of this giving 26 years of his life to directing its work. By the time he was 19, he had a license year's Handicapped American of the activities from its very inception. I think to fly a plane and during World War II, be Year Farris C. Lind, of Boise, Idaho. Mr. the American people, and particularly came a Navy pilot. Lind' despite complete paralysis due to our Nation's handicapped, owe a very At the end of the war, Farris Lind settled poli~ operates from his bedside the larg deep debt of gratitude to Bill McCahill down to civilian life as operator of a service est chain of independent gasoline sta station in Boise. He was hardworking and ag for the accomplishments won for the dis gressive and making a successful living for tions in the State of Idaho. The Pres abled over the past quarter century. his growing family. ident's Trophy, which is the Nation's Other highlights of the meeting in Then, in 1963, along with others in his highest honor to its handicapped citzens, cluded workshop discussions addressed to community, he took a vaccine prescribed to was presented to Mr. Lind by Mrs. Julia such problems as the self image of dis stamp out polio. Instead it had the reverse Nixon Eisenhower, who also addressed abled individuals, the Nation's view of effect. Within two weeks, he was paralyzed the assembly. the handicapped, and the crisis brought from the neck down. Prizes totaling $2,500 were awarded about by the changing nature of and For the past ten years, there's been llttle to the national winner of the "Ability improvement in Farris Lind's physical con regard for work. Another panel dealt with dition. He lives either in an iron lung or Counts" survey contest, cosponsored by recent legislation and court actions on with an electrically operated breathing the Disabled American Veterans and the behalf of the handicapped, and another mechanism. However, he directs a chain of 81 President's Committee. The prize money, with practical approaches to getting jobs. gasoline stations over a four-state area and intended for educational purposes, was A film festival brought the very latest employs 112 people. distributed by Mrs. Eisenhower to five medium for communicating, from a The years since 1963 must have been in high school students from across the handicapped person's viewPoint, what credible ones. We can only guess at the initial shock, pain and despair. But we know they United States. I am happy to state that it is like to be "different" or treated the fourth place winner was Miss Vickie were years full of a family's love and devo differently. tion, of unceasing medical efforts to restore L. Rothausen, of Bluefield, W.Va. Many of ·the topics approached during a helpless body. And most of all, they were The AFL-CIO provided transportation these panels were set into perspective by years in which Farris Lind's faith and cour funds and expense money to the first a group of articulate handicapped per age were equal to every test. place winner from every State so that sons in the final day's general session. He threw himself into the struggle to these students could attend the Wash maintain and build the business and found ington meeting. They discussed the immediate realities this helped him overcome pain and frustra A college and high school student each of "How Life Goes On," focusing on the tion. He harnessed every available medical received a cash scholarship of $1,000 life style of the average disabled person. and technological aid to re.build his life as from the American Veterans of World The 3-day meeting closed with an in family man, business leader and active mem ternational luncheon sponsored by the ber of his community. War II, Korea and Vietnam-AM But never, in all this time, was Farris Lind VETS-for their winning entries in the President's Committee, the Partners of too involved with his own struggle to forget N;:ttional Poster Contest cosponsored by the Alliance, the People-to-People Com that others need help along the way. the AMVETS and the President's Com- mittee for the Handicapped, and the He visits by phone and by letter with ~ mittee. The AMVETS also provided Social and Rehabilitation Service of the handicapped people throughout the nation. 14530 EXTENSIONS OF REMARKS May 7, 1973 His employees include many who are physi The best of times and the worst of times. Children, drew a record 200 entries this year, cally disabled or socially disadvantaged. And Which brings us to why we are gathered here indicating that growing numbers of employ all whose lives he touches are enriched by this morning. ers are willing to stand up and be counted knowing him. We are here to exainine what is going on among the ranks of those who hire the re Farris Lind, your home Stat(\ of Idaho is in employment, in acceptance, in civil rights. tarded. proud of you as a very special son. We here We are here to do more than talk about the Two new publications were distributed today salute you as a valiant brother. And problems. We are here, most importantly, to during the year: "Jobs and Mentally Re your Country is honored to call you Handi listen. We are here to make our own decisions tarded People," a guide on how to prepare capped American of the Year. as to what we, singly or collectively, can do for work and how to seek work, and "Pre together wtih our handicapped brothers and paring for Work" a series of check lists for THE PRESIDENT' S COMMITTEE ON sisters, to make this the best of times. The special educators, counselors and work EMPLOYMENT OF THE HANDI- disabled among minority Vietnam veterans study coordinators. Both have been written CAPPED and among the poor have a particular mes so simply that most mildly retarded persons Washington, D .O. sage that requires our listening, with both can comprehend them. GREETINGS BY HAROLD RUSSELL, CHAmMAN heads and hearts. THE MENTALLY RESTORED Charles Dickens said it over a hundred Each of us can do something. Large or The President's Committee and the · Na years ago, and it is just as true today: This small, we can do something, talk, listen, act. tional Association for Mental Health are co is the best of times and this is the worst of All our "somethings" can add up to a revo lution of acceptance of the handicapped, a sponsors of another awards program honor times. ing employers who have done the m{)st t c h !r ~ This is the best of times for growing num revolution in public attitudes. the mentally restored. More than 60 ent ries bers of handicapped people who are finding Individual "somethings" added up to an were received, despite predictions that few jobs in business and industry, in government American revolution in 1776. And they can add up to another for the handicapped in employers would be willing to admit that and private enterprises . . . The best of times they hire former mental patients. Attitudes as more and more public and private sector 1973. But we can't just sit here. We have to seem to be changing .... employers are establishing hiring policies do something. Now. Just like the people we wlll honor today. We have to persevere, to During the year, attention has been focused favoring the handicapped. The best of times on the problem of mental patients in institu as more and more government and private excell as volunteers and full-time profession tions given duties to perform for either no places of employment are being made ac als, listen, talk and act. May God give us the strength and courage. wages or exceptionally low wages. Are these cessible to the handicapped. The best of duties work or rehab111tation? Should full times as those b::ling rehabilitated reach new wages be paid? These questions have entered records. AcTIVITY the courts in a number of States. But, this is the worst of times for handi The past year has been marked by an up capped people who are not at work because DISABLED VETERANS surge of activity on many fronts involving The jobless rate of disabled Vietnam veter society still has not completely accepted those who are handicapped. Highlights: them, has not even listened . . . some With ans is two to three times higher than the disab111ties wrapped in age-old stigma such THE NUMBERS rate for other veterans. Hence, the promo as epilepsy, facial disfigurement and mental As part of the 1970 Census, the U.S. Census tion of jobs for these young men continues illness; some with disabilities affecting com Bureau conducted a national survey of the as a top President's Committee priority. munication such as blindn~ss and deafness; handicapped. Findings are just beginning to Several Federal agencies are cooperating some with disabilities impeding movement, be published. Among them: some 10 percent with the President's Committee in promoting such as cerebral palsy and paraplegia. And of the adults of this country are handi employment. Among them: the Department some young Vietnam disabled veterans with capped ... about one-fifth are living on in of Health, Education, and Welfare; Veterans an unemployme:::1t rate three times highe·r comes below the poverty level ... their un Employment Service of the Department of than others. employmenlt rate is twice as high as the na Labor; Veterans Administration; Jobs For This is the oost of times for growing num tional average. Veterans Committee; others. ber of handicapped people who have found Other statistics of the past year: The Veterans Employment Service has en acceptance in their daily lives, on the job Nearly one-third of a million handicapped gaged in a $2,000,000 program to employ dis and off the job. It is heartening to see so people were rehabilitated under State-Fed abled Vietnam veterans to engage in dis many handicapped people taking an active eral vocational rehabilitation programs, an abled veteran outreach work on State Em part in social action, church work, recrea all-time record and 12 percent above last ployment Service staffs. tion, shopping, travel, work, and play. Our year's total ... another 64,000 trained under Articles, speeches and radio and TV appear American society, women's and youth groups Department of Labor manpower programs ... ances by President's Committee officials have in particular, is daily rubbing shoulders with one-third of a million placements were made stressed problems and opportunities of veter handicapped persons. by the Nation's public employment offices ... ans as their dominant theme. But this is the worst of times for those nearly half-a-mlllion disabled veterans reg THE DISADVANTAGED HANDICA•PPED handicapped people still frozen out of society istered with public employment offices dur- Handicapped persons in disadvantaged by outmoded attitudes. For some who may ing the year ... half received services of some neighborhoods do not avail themselves of look "different" or act "different" and are kind or other ... but only 14 percent found rehabilitation services to the same degree as looked at with sidelong glances of alarm. jobs through these offices (many, of course, handicapped persons in more affiuent neigh For some who don't look or act "different," found employment on their own) ... more borhoods. One reason: the disadvantaged are but who wear the tags "retarded", "mentally than 40,000 disabled Vietnam veterans so not aware of the existences of programs to ill", "muscular dystrophied" .or some other far have taken training under the veterans help them. Another reason: they have a hard hidden disab111ty, and are also looked at with Administration vocational rehabllitation time coping with public transportation tore alarm. We need a radical improvement in program ... the Federal Government added habilltation offices. attitudes. 17,000 qualified handicapped men and women To help' meet the first problem, the Presi This is the best of times for growing num workers to its payrolls this past year. dent's Committee developed an experimen bers of handicapped people who are gaining THE PHYSICALLY HANDICAPPED tal flyer for the handicapped in the inner city their full civil rights in America by personal The President's Committee is engaged in of Washington, D.C., giving all the facts involvement, by activism, by vocal confron joint promotional campaigns with the Na about rehabilitation as well as the steps tation. So far, half a dozen States have passed tional Multiple Sclerosis Society, Muscular needed to receive services. The flyer seems laws including the handicapped in civil rights Dystrophy Associations, American Founda to be making an impact. Later, similar flyers legislation and 48 have architectural barriers tion for the Blind and Epilepsy Foundation, will be prepared for other cities and towns laws. The courts have handed down decisions to accomplish three objectives: (a) en for similar distribution among the disadvan bestowing upon the severely handicapped courage more employers to hire persons with taged. and retarded the rights to a decent educa these disablllties; (b) better inform rehab111- tion, to decent care in institutions, to a BARRIER-FREE DESIGN tation counselors, placement specialists and There has been much activity across the decent chance to make good lives for them other professionals of the work potentials selves. Governors' Committees and local vol country in eliminating architectural and of these persons; (c) encourage the disabled transportation barriers against the handi unteer citizens groups are dally opening up persons themselves to prepare for work and new opportunities, changing attitudes and to look for work. capped. A mere sampling: emphasizing ab111ty over disab111ty. Forty-eight States now have legislation re An example: the Multiple Sclerosis So quiring that all buildings built with State But, this is the worst of times for so many city has disclosed nearly 50 case histories of handicapped people stm deprived of their funds be accessible to the handicapped ... persons with MS at work at every kind of oc A young lawyer in a wheelchair won a suit civil rights. For those who cannot get into cupation from coal miner to company presi voting booths or schools because of archi against CUyhoga County, Ohio, on the dent, belying the fact that MS victims usu grounds that he was deprived of his civil tectural barriers. For those stlll getting sec ally are "unemployables." ond-class treatment in our special education rights because the counrty's public build · schools and in our institutions, who end up THE ME NT ALLY RETARDED ings were not accessible to him . .. In a grow as America's forgotten people. For those An Employer of the Year awards program, ing number of cities, yellow page telephone whose full rights are not protected by law or co-sponsored by the President's Committee directories are carrying the wheelchair sym by custom or by anything. and the National Association for Retarded bol alongside advertisers whose businesses are May 7, 1973 EXTENSIONS OF REMARKS ~4531 accessible ... Several States are promoting of Outdoor Recreation to develop a national The Committee which B111, Jr.-as most legislation making voting sites accessible ... outdoor recreation plan for America which of us call him-has headed in a full-time Wra.shington's Metro system, now under would provide full opportunities for the position is made up of voluntary citizens' cpnstruotion, has adopted a policy requiring handicapped ... Promoting careers in rec groups working in informational and pro elevators at its stations so that the system reation for handicapped college students ... motional fields to increase the job oppor will be fully accessible . . . The President's Encouraging employment of mentally re tunities for qualified mentally and physically Committee is going to receive a directory of tarded persons in lesser-skllled occupations handicapped workers. (And in helping to more than 3,000 buildings funded by various in the field of recreation and public parks. increase the numbers of working handi Government agencies, so that volunrteers can OTHER ACTIVITIES capped, other benefits have resulted from conduct onsite inspections to make sure they The Sheltered Workshop Committee has the work of the Committee.) Handicapped comply with the law requiring that they be been distributing ideas on workshop opera groups, themselves, have always felt free to accessible . . . ·. let BUl know how they felt on many matters The third edition of the President's Com tions to all the Nation's workshops . . . the of interest and beneficial to handicapped. mittee's Guidebooks for Handicapped Travel Medical Committee is completing plans to Born at Marshalltown, Iowa, June 29, 1916, ers has been published ... The International promote employment of cardiac victiins . . . Bill has lived in Mason City, Minneapolis, Conference of Building Officials changed its the Physically Handicapped Committee has Fort Wayne, Dayton, Milwaukee, and Pitts uniform building code (used as a model been advising the President's Committee burgh. Presently, he and his wife, Louise, throughout the U.S.A.) to include require about the dominant concerns of those who and their three children reside in Arlington, ments for accessibility ... the huge Dallas/ are physically handicapped . . . the Library Virginia. Bill is the son of William McCahlll, Ft. Worth Regional Airport is the first in Committee has been encouraging libraries to Sr., well known to so many of our mem the country to be remodeled making it fully develop displays of books for and about the bers-who after his own retirement seeks accessible to the handicapped ... And much handicapped ... the International Commit continuously to help others. For several years, much more. tee has been spreading information about he has served as volunteer consultant with employment of the handicapped to nations BUSINESS AND LABOR People-to-People. around the world . . . a busy year, indeed. His civic and religious activities read like Representatives of the Employer Commit AROUND THE COUNTRY Who's Who (and we're sure he must be in tee and Labor Committee have been working cluded in many such volumes). Try to name with the Occupational Safety and Health There has been growing activity among Administration of the Department of Labor Governors' and local Committees on Em some worthwhile activity of which he's not and the National Institute of Occupational ployment of the Handicapped. So far, 18 a member ... we'll bet you can't! There's States have full-time Executive Secretaries. DAV, VFW, AM-VETS, American Legion, Mar Safety and Health of the Department of Corps League, Catholic War Veterans, all Health, Education, and Welfare to advise in Of these 6 are funded by the employment new safety regulations which in the name of service; 7 by vocational rehabilitation; 5 by types of Rehabilitation agencies, USA and "safety" would not discriminate against the State legislation. Another 33 States have International, personnel organizations, Boy handicapped nor put unnecessary barriers in part-time Executive Secretaries. Of these, 25 Scouts, Advisor to Blinded Veterans Associa are funded by the employment service; 5 by tion, American Cancer Society, National Eas their search for jobs. ter Seal Society, and a great many others. Members of both Committees also have vocational rehab111tation; 2 by State legisla been active in encouraging improvements tn tion; 1 by a junior college. Two States at He's also chairman of the executive commit State Workmen's Compensation programs present have no Executive Secretaries. tee of the People-to-People Committee for which would benefit the handicapped. In a landmark move, the Manpower Ad the Handicapped (of which our highly-es ministration has informed all the States that teemed H-CH director, David Brigham, is WOMEN funds now are available for full time Execu executive director). "Project Volunteer Power," a demonstra tive Secretaries, "to assist Governors' Com Bill, Jr. took his B.S. and M.A. degrees tion project funded by the Manpower Ad mittees to increase their effectiveness in at Marquette University, majoring in jour ministration of the Department of Labor, promoting and complementing State employ nalism. He also received the MU College of now is in operation tn three cities: Birming ment service efforts to place the handi Journalism By-Line Award. ham, Ala., Minneapolis, Minn., and Malden, capped." Following graduation he served as Asso Mass. This project of mob111zing civic groups The States Executive Committee, estab ciated Press night editor, then joined the in the service of the handicapped already has lished by Governors' Committees themselves, U.S. Marine Corps, of which he was a mem made notable contributions--surveys of the has been actively engaged during the year in ber from 1941 to 1946, now, Colonel of USMC handicapped population, elimination of planning and conducting training confer Reserve. From service, he went to the Presi architectural barriers, improvement of job ences and other activities which strengthen dent's Committee in 1947, working there un opportunities. State and local activities. til the present. Dr. Donna May Barras, pediatrician from Blll is author of numerous articles and Downey, Cal., has been named "Handicapped A NEW ACTIVISM was general editor of The U.S. Matine Corps Professional Woman of the Year" by Pilot There is a new feeling across the land--of Reserve--A History, 1916-1966. Some of his International. handicapped persons themselves seeking out articles include "Hit the Beach" (1943) and YOUTH their rightful place in the sun. Minnesota, "First to Fight" (1947). He was executive Several service, fraternal and voluntary for example, held a Statewide meeting at director of the Marine Corps Reserve Officers organizations have taken on projects in which more than 50 organizations represent Association from 1946 to 1953. volving the handicapped during the past ing the handicapped described the needs of A Catholic, Bill is active in a great many year. A few of them: the handicapped to the Governor and the Catholic organizations; he belongs to the Circle K, the collegiate arm of Kiwanis, State legislature. Several States have passed Army-Navy Country Clulb, International laws including the handicapped in State civil Club, National Press Club, and has received has developed prograins serving the handi rights legislation. · capped ... Civitan has announced a project dozens of honors and citations (several of involving young people in the service of the In short, the handicapped no longer want which we've reported in previous issues) . mentally retarded ... Boys Clubs have to be on the fringes of society, grateful for We conclude by paying the sincerest trib adopted a project of improving atttiudes of whatever society tosses their way. The handi ute, by all Handy-Cap Horizons members, to young people toward the handicapped . . . capped want to be in the thick of things, this man of many accomplishments who has Boy Scouts and Girl Scouts have been devot full-fledged citizens, with the same rights as done so much to better the life of his fel ing much more effort to extending their ac all citizens. low man! And, whether he remains "retired" tivities to handicapped boys and girls. The handicapped are on the move. . . . or goes on to other endeavors, we wish for him and his family the greatest things in PUBLIC SERVICE [From Handy-Cap Horizons, Winter and life-Good Luck, Bill! "American Profile," a summary of what Spring, 1973] each State merit system is doing (or not do PCEH'S BILL MCCAHILL RETmES AFTER 26 ing) to hire the handicapped as State em YEARS ployees, has been distributed. There has been FINANCING THE BOMBING OF a great demand for extra copies from person It was with dismay when we opened a nel departments of State and local govern note from William P. McCahill, and among CAMBODIA ments. other things read the statement, "I plan to Another publication is being planned, retire as of June 30. . . ." After his serving HON. LES ASPIN summarizing the hiring prograins of some 26 years in this wonderful work as executive secretary of the President's Committee on 2,000 cities of various sizes across the United OF WISCONSIN Employment of the Handicapped in helping IN THE HOUSE OF REPRESENTATIVES States. to bring a much better life to our disabled RECREATION AND LEISURE citizens, it was hard to visualize anyone else Monday, May 7, 1973 The new Recreation and Leisure Commit filling his "shoes". However, we do know tee has adopted these projects as among its that a lot of thought will go into naming Mr. ASPIN. Mr. Speaker, I urge all major activities: his successor, and we feel the most qualified Members to support Representative Encouraging Governor's Committees to person obtainable will be secured to follow JOSEPH ADDABBO'S amendment to delete form their own Committees on Recreation through the work Bill has been so success the provision of the supplemental ap and Leisure ... Working with the Bureau fully doing. propriations bill that would allow the 14532 EXTENSIONS OF REMARKS May 7, 1973 administration $430 millon in new trans The testimony of Department of De Whereas, Marvin Johnson, also in 1971, won fense officials, cited in the recent report the light heavyweight championship in the fer authority to finance the bombing of national Golden Golves boxing competition; Cambodia. of the House Appropriations Committee Whereas, In 1971, Marvin Johnson won the There are several excellent reasons for on the second supplemental appropria championship in the AAU light heavyweight turning down this request for more tions bill for fiscal year 1973, shows that boxing competition; and bombing money. Most of them deal with $149 million has already been spent on Whereas, In 1971 in New York, Marvin the manner in which the administra Southeast Asia operations without con Johnson won the championship in the North tion has been conducting the war. First gressional authority. The report says: American boxing competition; and Data submitted to the committee subse Whereas, In 1971, Marvin Johnson toured of all, the bombing of Cambodia is ab Poland and England, where he won numer- solutely unconstitutional. Second, it is quent to the hearings indicate that in the third quarter of this :fiscal year, January, ous boxing matches; and · a clear violation of the Cooper-Church February and March of 1973, $149 million Whereas, Marvin Johnson, in 1972, toured amendment, which Congress passed in above budgeted amounts has been obligated the Soviet Union and again won several box 1971. Others have already discussed in support of military activities in South ing matches; and these questions at length. I can only add east Asia. Whereas, In 1972, Marvin Johnson won that I agree that either argument is the championship in the heavy middle ample reason for denying the adminis Testimony taken by the Defense Ap weight National Golden Gloves competition propriations Subcommittee makes it clear in Minnesota; and tration's latest request. Whereas, In 1972, Marvin Johnson won There is, however, another serious as that this money is part of the $430 mil three fights in the Olympic trials in Fort pect of this question that we may have lion in transfer authority now being re Worth, Texas in the heavy middle weight been overlooking. That is the manner in quested from Congress. class; and which the administration has been fi I call upon the Secretary of Defense Whereas, In 1972, Marvin Johnson won a nancing the bombing of Cambodia. It has to explain these apparent violations of boxing match in New York City to qualify law. In fact, under a provision of the for the United States boxing team; and come to my attention that the adminis Whereas, Between August 26 and Septem tration has been paying for the bombing Deficiency Act the responsible official must report on violations of the Defi ber 10, 1972, Marvin Johnson won two fights of Cambodia with money not authorized in the Twentieth Olympiad in Munich, Ger by Congress, in an apparent violation of ciency Act directly to Congress. I have, many; and law. Not only is it a slap in the face of therefore, asked William P. Clements, Whereas, Because of the two victories in the democratic process, but it is fiat out who is currently the ranking official of Munich, Marvin Johnson was awarded a illegal. It is my opinion that there has the Department of Defense, to make bronze medal: Therefore, been a serious violation of title 31, United such a report as soon as possible. I have Be it resolved by the House of Representa also requested the Justice Department tives of the General Assembly of the State States Code, section 665 (a) , commonly of Indiana, the Senate concurring: known as the Deficiency Act. Someone, and the General Accounting Office to undertake investigations of their own, SECTION 1. That the General Assembly on or several someones, could go to jail over with particular attention to possible behalf of the people of Indiana extends its this. congratulations to Marvin Johnson for his Very simply, the Deficiency Act makes criminal violations of law. extremely successful participation in the illegal for officers or employees of the If indeed officials of the Department of Indiana and National Golden Gloves boxing Defense have violated the Deficiency competitions, his successful European tours, Government to spend money that Con Act, they are guilty of serious crimes and especially for his outstanding perform gress has not appropriated. It is one of and must be punished. The laws that ap ance on behalf of the United States Boxing the most basic laws on th~ books govern pear to have been violated here are basic Team in the Twentieth Olympiad. ing the management of public moneys. It SECTION 2. That the Clerk of the House ot is based on the constitutional guarantee laws, essential to our whole governmen Representatives be directed to transmit that "no money shall be drawn from the tal process. If the Pentagon is allowed copies of this resolution to the President of Treasury, but in consequence of appro to get away with this, we are all in the United States, Richard M. Nixon; to each trouble. If this goes, anything goes. Now of the members of Indiana's delegation to priations made by law." Willful viola is the time for Congress to take a stand the Congress of the United States; to the tions of the Deficiency Act are punish against this illegal war and the illegal Governor of the state of Indiana, Dr. Otis able by a fine of $5,000 or 2 years in jail. money that is going to finance it. R. Bowen; to Marvin Johnson; and to Colen In light of the seriousness of the mat Chaney, Marvin Johnson's boxing coach. ter, therefore, I feel it is my duty to re port an apparent violation of that law HOUSE CONCURRENT RESOLUTION No. 35 connected with the administration's RESOLUTIONS OF THE INDIANA A concurrent resolution memorializing the present request for additional transfer GENERAL ASSEMBLY Federal government to take actions to pre serve and continue federal highway pro authority. According to the recent report grams. of the Defense Appropriations Subcom HON. VANCE HARTKE Whereas, The Congress failed to enact an mittee, the Department of Defense has OF INDIANA appropriation act in 1972 which would have already spent $149 million of the $430 IN THE SENATE OF THE UNITED STATES permitted the states to contract for projects million transfer authority money it is to maintain a continuing highway program now seeking congressional approval of. Monday, May 7, 1973 through the 1973 construction season; and What this means is that the administra Whereas, The Federal government, through Mr. HARTKE. Mr. President, I have the Office of Management and Budget, has tion has already trans.ferred the funds to received the following resolutions from withheld federal highways funds from the pay for the bombing, and now it wants the Indiana General Assembly memorial states which have been appropriated by Con Congress to give it the transfer author izing Congress on subjects of interest to gress; and ity. It wants Congress to ratify its illegal my colleagues. I ask unanimous consent Whereas, Indiana's highway users pay $1.60 spending. This is an outrage-and it is that they be printed in the RECORD. in federal highway taxes for every $1.00 re illegal under the Deficiency Act. There being no objection, the resolu turned to the state under the present dis Transfer authority is authority grant tions were ordered to be printed in the tribution formula; and Whereas, Proposals have been made to use ed by Congress for an agency to transfer RECORD, as follows: highway user tax monies to subsidize un a specific amount of money from one of HOUSE CONCURRENT RESOLUTION No. 14 economical mass transportation systems; and its accounts to another. Traditionally, A concurrent resolution congratulating· Whereas, Additional proposals have been this transfer authority has been granted Marvin Johnson for winning a bronze medal made to dilute the apportionment of high to allow the Executive flexibility to han for boxing in the Twentieth Olympiad. way trust funds by providing for direct allo dle fiscal emergencies. In fact, it is Whereas, The citizens of the state of In cations to sub-divisions of state government sometimes called emergency authority. diana take great pride in the many accom which would have the effect of undermining plishments of Marvin Johnson; and the concept of long-range, comprehensive. Transfer authority requires no new ap Whereas, Marvin Johnson, at the age of and cooperative transportation planning be propriation of funds, but Congress must fifteen, in 1970, won the middleweight di tween affected units of government; and approve each new authority and must set vision of the Indiana Golden Gloves boxing Whereas, Indiana's highway users pay both a dollar amount for it. Exceeding or an competition; and state and Federal user taxes to fund con ticipating an authorization for transfer Whereas, Marvin Johnson, also in 1'971, won tinuing and comprehensive road, street and authority is the same as exceeding a con light heavyweight division of the Indiana highway programs; and gressional appropriation. It is illegal. Golden Gloves boxing competition; and Whereas, Many citizens are maimed or lose May 7, 1973 EXTENSIONS OF REMARKS 14533 their lives each year because the highway Whereas, the Community Action Against protecting our people, and especially program continues to fall short of what it Poverty programs in Indiana have striven Young America, from those who by should be because of continued withholding toward the involvement of poor communities and/ or division of the dedicated Federal in our social processes and the increase of design or through some stupid idea of highway user funds; Therefore, citizen decision-making and responsibility permissiveness would rip out the moral Be it resolved by the House of Representa for community affairs; and· undergirding of the Nation. I intend to tives of the General Assembly of the State Whereas, the Community Action Against do what I can and am forwarding the of Indiana, the Senate concurring: Poverty prograinS in Indiana have worked Ingenue article to the postal authorities. SECTION 1. The Congress of the United hard for constructive, democratic and peace I know the courts have fumbled on States, and in particular the Subcommittees ful solutions to the problems of the day. their duty and that the foes of decency on Roads of both the Senate and the House Therefore, be it resolved by the • House of of Representatives and the Indiana congres Representatives of the General Assembly of have succeeded in filling many minds sional delegation are hereby urged to take the State of Indiana: with confusion about what is morally early.action to appropriate monies, which are SECTION 1. That the Indiana Legislature right and what is morally wrong. Mean~ allocated by law to the states, from the hereby memorializes the President and the while the tide of filth keeps rising. Now Federal highway trust so that orderly state Congress of the United States to make avail that it has gotten to the place where, in highway programs can be continued. Con able sufficient funds for the continuation of a widely circulated youth magazine, it gress is also urged to enact a new highway those Community Action Against Poverty seeks to reach youngsters with claims blll which will better reflect Indiana's leader programs, which have shown their capacity that it is commonplace practice, action ship in completing its interstate mileage, its for fruitful and positive work in ending importance to interstate commerce as a re poverty. is demanded. sult of its location at the crossroads of Adopted by the Indiana General Assembly, I quote from the letter sent me by an America, and the contribut-ion by the tax 1973 Regular Session. alarmed parent: payers of the State to the highway trust fund. I want to strike out Sit someone-it's hard SECTION 2. The President of the United to decide how to fight this kind of thing. But States and his subordinate agencies of the I will do several positive things, first, cancel Office of Management and Budget and the CORRUPTING OUR YOUTH the magazine subscription just as other par United States Department of Transportation ents I have talked with have indicated they are hereby memorialized to take all steps will do, and, second, join an active anti-por necessary to apportion and make available for HON. JOSEPH M. GAYDOS nographic group such as "Morality on Media." obligation, those highway trust funds which OF PENNSYLVANIA are due to the state of Indiana, legally appor I hope all parents will so react. But the tioned and appropriated to the state of IN THE HOUSE OF REPRESENTATIVES fight on filth is not for them to wage Indiana. Monday, May 7, 1973 alone. The problem has become too big and too widespread. It needs to be HOUSE RESOLUTION No. 25 Mr. GAYDOS. Mr. Speaker, the smashed. by government wielding what Whereas, the continuing flooding condi shocked parents of three teenage daugh ever new laws are required to get the tions along the Indiana shores bordering on ters have brought to my attention a piece job done. I cannot state my feeling on Lake Michigan are further aggravating an of pornographic filth whose effect, if in this too strongly. Let us not let this already critical erosion problem, and deed not its purpose, only can be the Nation collapse as have others in the past Whereas, particularly in and arou~d the furtherance of the efforts underway towns of Long Beach, Michiana Shores anti nowadays tq corrupt the morals and thus from an inner moral decay. There is an Dunesland Beach, the situation has reached ruin the lives of the rising generation. historic pattern about this which must near catastrophic proportions and not be disregarded. Whereas, the town of Long Beach has ex The article, entitled "After the First hausted all of its resources and has gone into Kiss," appeared in what these parents debt attempting to protect its water supply and, unfortunately, thousands of others from flooding contamination and trying to throughout the country had believed to THE 25TH ANNIVERSARY OF ISRAEL keep access roads open so that the residents be a decent and acceptable magazine de do not become isolated, and voted to the interest of young people. Whereas, the general destruction of prop The magazine is Ingenue which bills erty and disruption of services is endangering itself as "The Magazine of Today's Teen HON. EDWARD J. PATTEN the health anq safety of all of the residents OF NEW JERSEY of the area, and agers" and I understand it is readily Whereas, the conditions are such that it available by subscription and on the IN THE HOUSE OF REPRESENTATIVES is imperative that the State of Indiana take newsstands where its covers and head Monday, May 7, 1973 official action. Therefore, be it resolved by ings are devised to attract the attention the House of Representatives of the General particularly of young girls. In its April, Mr. PA'ITEN. Mr. Speaker, the foun Assembly of the State of Indiana: 1973, issue it seeks to counsel them on dation of the State of Israel 25 years ago SECTION 1. That we respectfully request how they should conduct themselves in today, was a reaffirmation of man's faith Governor Bowen, that because of the flooding intimate relations with their boy in freedom, justice, and dignity. conditions he officially declare and designate All Jews have made the journey to the Indiana lake shore area bordering on friends-in "petting." Lake Michigan as a disaster area. But the piece, appearing under the by Israel: For some, it has been a spiritual SECTION 2. That he communicate that fact line of Wardell Pomeroy, in truth is a journey to the land of their fathers. And to the responsible federal officials and urge parading of the worst rot that has been for others, it has been a physicial jour~ them to take appropriate action, forthwith, published anywhere outside the pages of ney to escape the cruelty and injustice in accordance with federal disaster relief laws those hard-core "porn" magazines of discrimination practiced in many na- which, among other things, would make it bought and read by deviates. It goes far . tions. possible for the residents of the stricken Statehood did not end the challenges area together with the towns, to obtain low beyond advice on "petting" to instruct its interest loans to repair the damages to the teenage readers on acts of sexual per faced by the hardy and determined pio residents' property, in particular, and the version which it describes in detail with neers in Israel. The State of Israel, at entire area in general. no words barred. Writer Pomeroy's lan tacked by its neighbors, confronted with SECTION 3. Be it further resolved that the guage is not fit to be repeated here. a barren land, burdened with economic Clerk of the House forward copies of this Not only this, but the writer has the and political problems, and faced with resolution to the Indiana Senators and Rep gall to tell his readers that the acts which the Herculean task of forging a refugee resentatives in the Congress of the United populace into a unified and dynamic States. he depicts are the "things most people Adopted by the Indiana General Assembly, do before marriage," a bold lie and an citizenry, has not only survived, but has 1973 Regular Session. ugly libel on the vast majority of Ameri thrived as no nation has done in the his cans who are clean and normal. If the tory of the world. HOUSE RESOLUTION No. 31 writer does not know this, then he needs Mr. Speaker, throughout the brief his Whereas, the President through his "New to get out of the world in which he lives tory of the State of Israel it has been a Federalism" program has sought to restore and associate with the decent elements proud distinction for the United States the meaning of pluralism and true commu of our society. to be called Israel's friend. That we have nity; and What are we going to do about matters made that friendship a pillar of our for Whereas, the President has vowed his con eign policy is a credit to our Nation. tinued concern for ameliorating poverty; such as this? Surely, as members of Con and gress, we bear a heavy responsibility of Should the United States live for thou- CXIX--917-Part 11 14534 EXTENSIONS OF REMARKS May 7, 1973 sands of years, we could have no prouder 9. Will advocacy planning have a signif 25. Should governmental planning be moment than when President Harry S. icant effect on institutional racism? (Stat limited to protection of the public's safety, ford 1969) health, and welfare? (Heikoff 1960) Truman made the commitment to sup Yes __ (1) Yes __ (1) port the recognition of Israel-a small, No__ (2) . No__ (2) but great nation. 10. Are the majority of today's planners 26. A planner's proper purpose is to serve In the House of Representatives, I adequately trained & educated to deal with the public and success of planning depends have helped sponsor legislation to the problems of the ghetto? (Brooks 1968) on meeting one•,, professional obligations? strengthen Israel's defense capabilities, Yes __ (1) (Lee 1960) to denounce the discriminatory treat No__ (2). Yes--(1) ment of Jews in the Soviet Union, and 11. Today's planners are more politically No__ (2) involved and authorize social planning more 27. Key to social planning jor economic to deny Rusia the most-favored nation often than planners 10 years ago? (Hansen development is seen as education and jobs? trade status if it continues its unfair 1968) (Cohen 1963) emigration policy. Mr. Speaker, on Yes __ (1) Yes __ (1) Israel's 25th anniversay, I pledge my No __ (2) No__ (2) continued friendship and support. 12. Mode!"n problems require more com 28. The history of urban planning has been prehensive plans and more diverse skills in more inspirational than accurate? (Piven planners tha.n problems of the 1960's? (Loeks 1964) QUESTIONNAIRE FOR URBAN 1967) Yes •• (1) PLANNING SPECIALISTS Yes __ (1) No.-(2) No__ (2) 29. The knowledge and techniques of plan 13. Contemporary metropolitan issues re ners has jailed to keep pace with the in HON. JAMES W. SYMINGTON quire a redefinition of planning and more creasing complexity of cities? (Piven 1964) OF KISSOURI involvement with other disciplines? (Ferin Yes--(1) 1967) No__ (2) IN THE HOUSE OP REPRESENTATIVES Yes __ (1) 30. Planners must broaden and deepen the Monday, May 7, 1973 NO-- (2) comprehensiveness of their plans fj desired. 14. The American city was designed as a social goals are to be achieved? (Webber Mr. SYMINGTON. Mr. Speaker, Amer place for making money, not as a place for 1963) ica's urban problems continue barely living-only the Federal government can Yes--(1) abated as taxes increase and some cities reverse these priorities? (Blumenfeld 1967) No__ (2) near bankruptcy. In an effort to chart a Yes--(1) 31. Please mark the type planning you do new course for urban America, we 1n No__ (2) most of the time (Dyckman 1961) : Congress need expert advice. Recently, a 15. Mark in terms of overall effectlve:1ess ( 1) __ functional, associated With work of one of following citizen participation strat operating departments Ph. D. candidate at American University egies: (Burke 1968) (2) __ Land and facll1ty use planning developed a questionnaire designed to (1) __ education therapy (3) __ Management planning, integrating elicit such advice from urban planning ( 2) __ behavioral change functions, setting priorities, sharing specialists. At this point, I insert the (3) __ staff supplement deolslon making questionnaire in the RECORD. I ask that (4) __ cooptaltlon 32. Are most planners dependent on ac all planners carefully read this ques (5) __ community power ceptable audience such that most plans re tionnaire and return their responses to 16. The planner should be placed in the fiect a conservative bias (Dyckman 1961). center of all non-routine affairs of the given Yes __ (1) me: Representative JIM SYMINGTON, 307 city or department? (Friedmann 1965) No __ (2) Cannon Building, Washington, D.C. Yes--(1) 33. Emotional opposition from citizens is 20515. N0--(2) very likely if communities are caught un The questionnaire follows: 17. Planners• special competence rests with aware of major decisions which have already 1. Are you (mark all that apply) : his or her comprehensive outlook? (Altshuler been made (Levine 1960)? __ White/Caucasian (1) 1965) Yes--(1) __ Black/Negro/Afro-American (2) Yes--(1) NO-- (2) --American Indian (3) No--(2) 34. The prime function of planning 1s to __ oriental ( 4) 18. Specialization i8 a denial of a planner's guide action, hence planning must be asso __ Mexican American/Chicano (5) comprehensive outlook and negative hts or ciated with the omce of chief executive if --Puerto Rican-American (6) her generalized "public interest" concern? effective action ls to ensue (Fagin 1959)? __ Other (7) Yes--(1) Yes--(1) 2. What 1s your age group: No __ (2) No __ (2) ••50 years or older (1) 19. The more specialized the planner, the 35. Most planning falls to see communities __ over 35, but under 50 years (2) less relevant and effective fs the planning as comprehensive totalities (Haworth 1957)? __ Under 35 years of age (3) produced? (Altshuler 1965) Yes--(1) 3. What type of city do you work in: Yes--(1) No __ (2) __ central City (1) No--(2) 36. The best planning is the least planntng __ suburban (2) 20. The market place and tree enterprise, and planners should advise majorities not __ Independent/Rural Town (3) not governmental planning are the most ef decide goals? (Howard 1955) 4. What Form of Government does the city ficient distributors of commodities to achieve Yes--(1) have: maximum overall utility? (Petersen 1966) N0--(2) __ Mayor-Council (1) Yes--(1) 37. Planners are largely technicians and __ council-Mayor (2) N0--(2) should simply do their job for their client or __ other (3) 21. New planning and modern planners are employer? (Bauer 1950) 5. What size city do you work in: more concerned with process than end prod Yes __ (1) __ over 500,000 (1) uct, more concerned with social-economic • N0--(2) --250,000 to 500,000 (2) than physical planning? (Mocine 1966) 38. Is there a shortage of qualified plan- __ 100,000 to 250,000 (3) Yes--(1) ners? --50,000 to 100,000 ( 4) No __ (2) Yes--(1) __ 25,000 to 50,000 (5) 22. Redistribution of resources to disad No•• (2) __ 5,000 to 25,000 (6) vantaged groups should be among the very 39. Should planning graduate schools ad- 6. Does the long-range solution to ghetto top priorities of planners? (Frieden 1967) mit minority students on a quota basis? problems and the metropolis require the de Yes __ (1) Yes--(1) struction of the ghetto? (Ratn 1969) No __ (2) No.-(2) Yes __ (1) 40. Should planners simply prepare plans No __ (2) 23. Planners should become intimately in feasible of accomplishment and sell their volved in public mana-gement and the deci plans to the powers that be? (Bennet 1949) 7. Is desegregation desirable? (Langendorf slonmaklng process? (He1:kou 1960) 1969) Yes __ (1) Yes--(1) Yes __ (1) No--(2) No__ (2) No __ (2) 41. A planner's major responslbllity is to 8. Is scatter-site, low denstty public hous 24. Should a goal of governmental planning offer to the general public guidance for ing the quickest method to desegregate sub be control of private development? (Heikoff achieving social desires and needs? (Mocine urbia? (Langendorf 1965') 1960) 1948) Yes __ (1) Yes--(1) Yes __ (t) No __ (2) No--(2) No __ (2) May 7, 1973 EXTENSIONS ·oF REMARKS 14535 42. Most planners usually act in ways and 57. The u.s: greatest need is economic Yes--(1) areas which do not threaten vested interests democracy-redistribution oj wealth? No __ (2) and status quo? (Mumford 1948) Yes __ (1) 74. Planning must be a regular part of Yes __ (1) No __ (2) municipal operations; planners in govern No __ (2) 58. The concerns of most planners in the ment service are generally more effective 43. Most older planners are afraid to upset 1960's were poverty and racism? than those working for citizen groups. vested interests and clients while younger Yes--(1) Yes __ (1) planners are usually not allowed to partici No __ (2) No __ (2) pate in decisions? 59. Environmental legislation is now a 75. Private enterprise, i.e. businessmen us Yes __ (1) more important/critical national problem ing tax credits, can best solve the problems No__ (2) than racism? of pollution, substandard housing, and traf 43. Planning still lacks adequate defini- Yes __ (1) fic congestion. tion? (Black 1944) No __ (2) Yes--(1) Yes __ (1) 60. More planners have become less ad N0--(2) No __ (2) venturous in thought, more complacent 76. The larger percentage of blacks in a 44. When planners become involved in about slums and social injustice, and more city, the less likely private enterprise and controversial issues, they are more likely to engrossed in details of traffic analyses and state governments are to invest necessary bring disrepute to planning than solve the zoning questions. (Scott, 1969) capital jor redevelopment. issues? (Read 1943) Yes--(1) Yes __ (t) Yes __ (1) No __ (2) No __ (2) No __ (2) 61. Most city and regional planning is l>elng 77. Generally speaking, unless a master 45. In terms of linking Federal programs done mainly as short-range problem-solving. plan for an entire area is adopted irreparable to people, regional planning bodies are gen Yes __ (1) harm will be done. (Reed, 1937) erally more useful than State planning agen No __ (2) Yes __ (t) cies? (Odum 1943) 62. Genuine and committed planners are No __ (2) Yes __ (1) not content to accept any factors in city life 78. To prevent further heterogeneous No __ (2) as outside human foresight and control. sprawl, a metropolitan authority must be es 46. Planning should be independent from (Mumford, 1932) tablished with control over transportation, politics and short-term pressures? Yes __ (1) sewers, water supply, air and water pollu Yes __ (1) No __ (2) tion. (Bartholomew, 1948) No __ (2) 63. Too many planners work for the wrong Yes __ (1) 47. Planners should be where the action sponsors- big business and CALIFORNIA No __ (2) . sional planners are usually reflected in their 102. Planners usually leave the implemen work, in what they produce. IN THE HOUSE OF REPRESENTATIVES . tation details to specialized city depart Yes __ (!) Monday, May 7, 1973 ments, utility companies, and privat.e devel No __ (2) opers. (Olmstead, 1919) 120. The professional and political beliefs · Mr. HOSMER. Mr. Speaker, enrtched Yes __ (1) of planners often have a major impact on uranium~ is a necessary fuel for nuclear No __ (2) urban governmental programs. power stations. Our capacity for enrich 103. The best solution for our 10 largest Yes __ (!) ment is running out. Additional facili cities is statehood; turn these cities into No __ (2) ties will be needed beyond those pres separate states and many urban problems ently operated by the AEC, and will be would disappear. (Batten, 1913) augmented by its diffusion plant cascade Yes __ (1) POST CARD REGISTRATION AGAIN No __ (2) improvement and uprating program 104. Central cities are the most forceful, CIP/CUP. There follows views I recently liberal and democratic units of government; HON. JAMES G. MARTIN communicated in a letter to the Ameri most progressive governmental programs can Public Power Association regarding have come about because of pressure from OF NORTH CAROL~A the problem of providing the additional central cities. (Howe, 1914) IN THE HOUSE OF REPRESENTATIVES capacity in America: Yes __ (!) Monday, May 7, 1973 MAY3, 1973. No __ (2) Mr. LARRY HOBART, 105. No large town or city has taken city Mr. MARTIN of North Carolina. Mr. American Public Power Association, planning very seriously. (Nolen, 1919) Speaker, I believe that many Members Washington, D.C. Yes __ (1) would be interested in reading an edi DEAR LARRY: This is a follow up to my tele No __ (2) torial on "Post Card Registration" which phone call to you commenting on your April 106. Only an intellectual elite like plan I received from the Jefferson Pilot 19th letter to me in which you contended ners can perceive indications of future emer that restoration of the ceiling on separative gencies and urban crises; the average person Broadcasting-WET/WBT-TV-of my district. I would like to insert in the work unit sales from the government's gase thinks of pollution and traffic jams as mere ous diffusion plants to the plant's aggregate growing pains. (Scott, 1969) RECORD the text of that editorial. capacities as enhanced by CIP / CUP "effec Yes __ (1) POSTCARD REGISTRATION AGAIN tively eliminates any justification of other No __ (2) In this station's view, anybody who's not criteria changes which are based on 'com 107. The Planning process should insure interested enough to register just isn't in mercial' consideration related to possible pri special interests impose checks on adminis terested in voting. For that and other rea vate enrichment or new AEC facilities which trators and politicians. sons, we consider the Postcard Registration may come into being in the future." Yes __ (1) Act proposed in Congress to be an expensive I believe that restoration of the ceiling No__ (2) ly wasteful, absurd and potentially danger does not have that consequence. 108. Usually only the governmental side of ous scheme. My reason is that possibilities still very a controversy is aided by the expertise and This same idea was mercifully shot down much exist for uranium enrichment in the techniques of planners. by Congress last year, but has popped up United States to go under some other man- May 7, 1973 EXTENSIONS OF REMARKS 14537 agement structure than the AEC's womb In many ways, opening up these alterna needed th81t they had not been forsaken where it now is. Moreover, the existence of tives fOT evaluation wm be facilitated by the either by God or by men. On April 15, '1.889, sensible, businesslike criteria such as pro existence of the businesslike criteria proposed Damien died among his people, of leprosy." posed by AEC are an essential prerequisite for by AEC. They wm establish a pattern of cus The sculptress Marisol Escobar, working movement in that direction. tomer relationships essential for comparing from photographs of the dying priest saw in This is despite the recent AEC move tore the alternatives and assessing their relative Damien "the mystery of physical transforma lax to a small extent its provision for in merit. For this reason, it is hoped that you tions-as if he had become what he wanted dustrial access to enrichment technology. and APPA will not persist in your opposition to become." From the comments which were made after to the criteria. Their existence during the AEC proposed this move last January, I forthcoming "202" hearings on the future of g81ther that no one seems to feel that the uranium enrichment will enhance the excel THIRTIETH ANNIVERSARY OF screws have been loosened sufficiently to give lence of this forum for intelligent discussion WARSAW GHETTO UPRISING private industry the full data needed to sup of the problem. It will move forward the date port a timely decision to get into the busi when. a rational decision can be made con ness; i.e., a decision early enough to enable cerning that future. HON. THADDEUS J. DULSKI Cordially, a fac111ty to be started and constructed in OF NEW YORK time to avoid a nuclear fuel gap sometime in CRAIG HOSMER, the early 1980's. Member of Congress. IN THE HOUSE OF REPRESENTATIVES This is also despite the fact that anony Monday, May 7, 1973 mous reports from unidentified sources from time to time ambiguously indicate that un Mr. DULSKI. Mr. Speaker, 30 years named persons in the Nixon Administration FATHER DAMIEN: A MODERN afterward there is very little outward already have determined that the next in MARTYR sign of the Warsaw Ghetto to remind in crement of enriching capacity shall be in habitants and visitors of that tragedy. stalled by private industry. The events of But there are many invisible scars on the past few days leave it uncertain whether HON. SPARK M. MATSUNAGA these unidentified parties are even around the minds and bodies of the survivors any more. But more importantly, the de OF HAWAII and free people everywhere, and it be cision as to the sponsorship of new capacity IN THE HOUSE OF REPRESENTATIVES hooves us to reflect on the events that is not one for the White House to make all Monday, May 7, 1973 caused them. by itself. Even a superficial understanding Under Nazi occupation Poljsh Jews of the real world circumstances involved Mr. MATSUNAGA. Mr. Speaker, since suffered from a systematic policy of deg should lead one to believe that the Joint its dedication several years ago, Hawaii's radation and extermination. By the end Committee on Atomic Energy would share statue of Father Damien in the Capitol's of 1940, nearly one third of Warsaw's in it substantially. As a matter of fact, the Hall of Columns, sculptured by the re population was crowded into less than Committee has already announced that it nowned artist, Marisol Escobar, has in one-twentieth of the city's area. The wlll schedule Section 202 hearings on the spired thousands of Capitol visitors. future of uranium enrichment in July. daily caloric ration was 184 per indivi I agree with you that presenting the need Regrettably, only a few of those visi dual; sanitation was almost nonexistent; for the criteria exclusively in terms of it be tors know the story of Father Damien's and starvation and disease were ramp ing a prelude to private enrichment was a exemplary Christian life and about his ant. mistake on the AEC's part. Apparently, AEC work in the leper settlement on the is The extermination was not swift was conned by people at OMB into asserting, land of Molokai. enough for the Nazis, though, and depor or at least intimating, that somehow long Almost 2 years ago, patients in the tations to death camps began in July term purchase commitments are needed now Carville, La., leprosy hospital visited the to soften up the utilities for private owner 1942. Sealed off as they were, Jews in the ship by eliminating their addiction to re Capitol and suggested through their hos Ghetto found arming for resistance al quirement type contracts, or to justify the pital newspaper that a suitably inscribed most impossible, and in 2 months over government going ahead with· new capacity plaque outlining the main events in 300,000 of them were killed there or de if private industry turns it down, or some Father Damien's life be attached to the ported. thing. statue. Their suggestion was brought to When the deportation "action" start The fact is that the private entrepreneurs the attention of Honolulu Star-Bulletin ed up again in January 1943, the Jewish are not being held back by worry over mar Editor A. A. "Bud" Smyser, who wrote to Fighter Organization-ZOB-though un keting and financing arrangements. As every me. I am pleased to report that a beauti one knows, they are deterred because the dermanned and underarmed, resisted AEC still refuses to give them the sufficient ful bronze plaque, designed by Alfred with the meager means at their com technical data to make intelligent judgments Preis, executive director of the Hawaii mand. Their surprise tactics won them on, among other things, the question of going Foundation on Culture and the Arts, has a victory as well as more time to orga the diffusion route or the centrifuge route. now been attached to the statue. The nize, secure arms, and prepare their Nor are the long term commitments essential, cost of designing, casting, and installing defenses. as OMB seems to intimate, if the enrichment the plaque was borne by the State of April 19, 1943, marked ·the beginning business is to remain an AEC monopoly. The Hawaii. President needs no such contracts to recom of the Warsaw Ghetto uprising. On May mend authorization and appropriation of I strongly urge my colleagues to re 16, 1943, SS Gen. Juergen Stroop an money for expanding the enrichment com visit the Father Damien statue and read nounced: plex and certainly Congress doesn't need any the plaque's moving inscription, for I am The former Jewish quarter of Warsaw is no contracts to vote the money for it. In fact, sure that it will enhance their apprecia longer in existence. considering the lead times involved ft>r con tion of the statue-a work of art and a struction and power supplies, if no alterna monument to a modern martyr, Father The fighting had been ferocious and tive is developed very soon, the Congress it Damien. the death toll terrible. self is going to have to take the bull by the The text of the plaque's inscription, Certainly the bravery in fighting horns just to a void the nuclear fuel gap written by Gavan Daws, author of a bi against overwhelming odds was admi threatened a decade from now by lack of ography of Father Damien, reads as fol rable. But an even more remarkable re foresighted action soon to start building sistance to tyranny sprang from the additional enrichment capacity. lows: There are, of course, other alternatives Greater love has no man than this, that spirit of people in incredibly crowded for the provision of that capacity than just a man lay down his life for his friends. and deprived conditions, walled off from going private or merely staying AEC public. John 15:13. the rest of the city by their oppressors. These are shifting to: "Born a farmer's son at Tremeloo, Bel Social, educational, medical, and cul A government corporation with its own in gium, January 3, 1840, Damien joined the tural activities were formed. There were dependent borrowing power; or, Missionary Congregation of the Sacred courses in music, literature, religion, To a Comsat type semi-public corporation; Hearts and was ordained a Roman Catholic science, and medicine; lectures, theaters, or, priest at the Cathedral of Our Lady of Peace libraries, and clubs. To a co-op type arrangement as envisaged in Honolulu in 1864. In 1873 he volunteered by the Sporn plan. to serve alone at the leprosy settlement on In the Washington Post, Apri115, 1973, There are infinite variations to any of the island of Molokai. For sixteen years he Genia Silkes, who was in Warsaw dur these alternative management structures. lived and worked among leprosy victims of ing the uprising, was quoted as saying~ The choices will be many and difficult, par all faiths and races. He ministered to their The resistance was not only the uprising, ticularly that between profit and nonprofit doomed bodies and, ·by his presence, gave but the illegal schools, the theaters, the lec approaches to enrichment. them the reassurance they so desperately tures, the tremendous· life, a spiritual Jew- 14538 EXTENSIONS OF REMARKS May 7, 1973 ish life in the ghetto. That really was the larly business areas) delaying the mail to you ing by augmenting their social security resistance in the ghetto. since many dispatches reach the post office incomes, hesitate to do so, because of the after the carrier has left the office for his Mrs. Vladka Meed, who was also route. This mail wm not reach you until penalty of reduced benefits. there said, according to the Post: the next day. Other proposals I have introduced to There were really very high moments in 3. Cut back in business deliveries from alleviate the problems of the elderly in life. We had starvation, it's true. But at the three to two and now to one a day, causing clude a bill to permit the airlines to re same time we had a net of 1llegal schools. . . . hardships in many cases. institute reduced fares on a standby basis In the beginning our philosophy was to sur 4. Not meeting the time dates on some for senior citizens and one which would vive as human beings. We didn't know when publications. allow a Federal tax credit to those 65 the ghetto was created that this was really 5. Having ALL mall. from most cities sent destruction, absolute annlhll1tation. We to one sectional center for distribution and and older for expenses incurred, because didn't believe it. So the way was to survive then returning it to the city for delivery of property taxes. The latter has been as human beings. This was the ghetto philos thus causing a day or more delay in most included in the President's suggested ophy and this was resistance, for living. instances right within a city. proposals for tax change. Later on, the resistance was for a dignified 6. Undue delay of third class mail (Special death. But resistance was true all the time. sales brochures). 7. Faulty postmarks which are unreadable Surely these are the important points to the public. GETTING THE BENEFITS to remember in commemorating this 8. Elimination of all city and time identi 30th anniversary of the Warsaw Ghetto fication on postmarks. uprising. Faced with the horrors of E. Exploitation of employees by: everyday life and the fears of imminent 1. Eliminating replacement of carriers re HON. JOSEPH M. GAYDOS death, those in the Ghetto used their tiring or leaving the service, causing reduc OF PENNSYLVANIA courage and inner resources to sustain tions in work force. IN THE HOUSE OF REPRESENTATIVES 2. Carriers absorbing work loads of ab them. They have provided a great herit sentee carriers forcing late delivery of man. Monday, May 7, 1973 age for their children and all freedom 3. Excessive pressures on carriers, injurious loving people. to health. Mr. GAYDOS. Mr. Speaker, this upset The National Association of Letter Car economic era is proving conclusively that riers, and other postal unions have done all the collectivism of the Soviet farm sys they can by law to prevent further deterio tem has failed miserably on the job of DETERIORATION OF SERVICE IN ration of the postal service. Now we feel we keeping the Russian people fed. THE POST OFFICE must turn to you, and ask your help. I'm Despite the vastness of Russia's till asking that you take a few minutes of your able soil, unequalled in extent in any time to write to one or an of the following other major country, and more farm people, tell1ng them how you feel about the HON. JEROME R. WALDIE deterioration of the postal service and how hands than can be counted, Soviet agri OF CALIFORNIA it has affected you. cultural production has fallen sharply IN THE HOUSE OF REPRESENTATIVES Postmaster General E. T. Klassen, U.S. over recent years. Postal Service, Washington, D.C. 20260 Bad weather has been blamed official- · Monday, May 7, 1973 Senator Alan Cranston, Senate Office Build ly, but this is not the complete answer Mr. WALDIE. Mr. Speaker, the Ala ing, Washington, D.C. 20510. by any means and Moscow, on occasion, meda-Contra Costa Postal Central Senator John Tunney, Senate Office Build is honest enough to admit it. Bureau ing, Washington, D.C. 20510. Council, representing postal letter car Congressman Robert Leggett, Fourth Con cratic foulups have been disclosed and riers in these two counties of Cali gressional District, House Office Building, castigated in the controlled Russian fornia, have expressed to me their great Washigton, D.C. 20515. press since the days of Nikita Khru- concern for the deterioration of service Congressman Ron Del1ums, Seventh Con shchev. . in the post office. Additionally, they have gressional District, House Office Bullding, Purchase of American wheat and other drawn up a brochure, which they are Washington, D.C. 20515. grains is serving currently to keep the sending to 24,000 homes, explaining in Congressman Pete Stark, Eighth Congres Soviet larder from going dangerously sional District, House Office Bullding, Wash bare. I:ussia also is buying heavily from full the changes in administrative prac ington, D.C. 20515. tices that have resulted in this decline Congressman Don Edwards, Ninth Congres the farms of Western Europe. Indeed, the of service. sional District, House Office BuUding, Wash so-called West has become the bread Mr. Speaker, I have been greatly dis Washington, D.C. 20525. basket not only for Russia, but for turbed by the problems the Postal Service Congressman Jerome Waldie, 14th Congres China, too-the food source which these · is facing, and I greatly commend this as sional District, House Office Bullding, Wash Communist nations need so badly. sociation of letter carriers for taking it ington, D.C. 20515. And, at this point, enters into the pic upon themselves to bring the causes of Thank you for aiding us in helping to give ture the most amazing paradox imagin these problems to the attention of the you the kind of service you deserve--and pay able-an irony which demands far more for. Please write! Now! attention from us than it is getting. The public. I am including in the RECORD a YoUR CONCERNED POSTAL EMPLOYEE. sample of this brochure for the informa Western nations-the "Free World" tion of other Members of Congress: not only are feeding the Communists, but DEAR PATRoN: Are you getting what you are they are doing so at far less cost to the paying for today in the postal service? As CONCERN FOR THE PROBLEMS OF Communists than is being charged our your letter carrier, I wonder I For years our THE ELDERLY people for our own food. dependable postal service has been a "way We know how the Soviet negotiators of life" for everyone. The downward trend took the Nixon administration in the in the postal service is affecting everyone in HON. PAUL FINDLEY deal for 400 million bushels of U.S. wheat their business as well as private life. Below OF ILLINOIS are some of the reasons behind the deteriora at a fixed price below that paid by Amer tion of the service. IN THE HOUSE OF REPRESENTATIVES icans at the time, considering the sub A. Elimination of collection boxes in the Monday, May 7, 1973 sidies and other Government tax sup residential areas and cutbacks in collection ports involved. Now the Russian bargain services to existing boxes. Mr. FINDLEY. Mr. Speaker, I am to is even greater in the light of present B. Elimination of Saturday window service day introducing a proposal which would wheat quotations. Indeed, Representa in some cities, while other areas are sutferlng permit social security recipients to earn tive HAYS said recently that his research cutbacks. up to $3,300 annually without suffering showed the deal with Russia "just cost C. Cutting back on the number of times a the penalty of reductions in their regular $2 day special deliveries are made. On some the American consumers about a days, particularly Sundays and Holidays, cash benefits. I am concerned, not only bushel more than they would have had many areas have no special delivery service by the need for action to help our older to pay for grain if the deal had not been whatsoever! citizens to meet the burden of rising made." D. Managing or controlling the mall flow living costs, but by the fact that the pres Now we learn in United Press Inter by: ent limitation serves to rob these citi national dispatches from Brussels that 1. Starting carriers later in some cities zens of the incentive to better their own the Russian buyers are doing equally as forcing later dellvery. circumstances. Many citizens, who could well for their food-short country in deal 2. Starting earlier in some cities (particu- otherwise attain a higher standard of liv- ing with the European Common Market. May 7, 1973 EXTENSIONS OF REMARKS 14539 A deal has been completed there whereby igate the Arab assaults, Israel neverthe The newsletter follows: the Soviet Union will get 200,000 tons of less has bravely resisted them time and CAPITOL COMMENTS Western European butter at a money time again. (By JOEL. EviNS, Fourth District, loss to Western Europeans of more than The first 25 years has been a chapter of Tennessee) $300 million. this resistance, not only of the inherent TVA'S SERIES OF ESCALATING RATE INCREASES The butter had been declared surplus hardships and hazards but also the vic HITS CONSUMER POCKETBOOKS, ADVERSELY and taken off the market at minimum tories. AFFECTS INDUSTRY IN AREA price of $2,300 a ton and is being sold In every field of endeavor, the U~"aelis The Subcommittee on Public Works Ap to the Russians for $420 a ton. The rea have shown intellectual capabilities to propriations--of which your Representative son is the same as the one given here for provide new insights, approaches, and is honored to serve as Chairman-this week , the wheat deal. Stockpiling is too ex methods to meet the many challenges of conducted three days of hearings and review pensive over the long haul. Nevertheless, everyday living. of the pattern of escalating power rate in the deal figures out, according to UPI, creases by Tennessee Va.lley Authority. Perhaps the need to make the most of The hearings developed testimony and evi that the Russians are getting Western scarce resources inspired the new state dence that include the following: European butter at about one-sixth the to rely on science and technology. Now Despite repeated assertions by TVA officials price Western European housewives are Israel's research workers, engineers, and that the power rates of the agency are gen being charged for it. technologists have been placed high in erally lower than in other sections of the We might let the Russian bonanzas the international scientific community. Nation, spokesmen for industry in the Ten pass as quirks in the world's jumbled Despite all the initiative and inven nessee Valley testifled that plants at other economic situation and we are sure our tion, the people of Israel have been un locations pay less for electric power than negotiators and those in Brussels will able to attain the formula which would plants in the Tennessee Valley are required. attempt to rationalize them as such. But bring peace to their soil. It is the hope to pay. Testimony indicated that residential there can be no circumventing the truth rates remain lower than rates by private and dream of all free men that wars be utllities-but the gap between the TVA and that an arrangement which allows a tween the Arab nations and Israel will private power rates is narrowing. flunking communistic agricultural sys be ended. On the event of the 25th an Since 1967 TVA has implemented six whole tem to reap the benefits of the Free niversay, I cannot think of a more ap sale power rate increases totaling about 70 World's production successes proves the propriate time for the nations to unite percent when compounded, which compares absurdity of governmental farm policies in peace. with rate increases averaging about 12 per here and in Western Europe and the need Let this year be the year when the cent for investor-owned private utllities. of drastic changes. TVA officials insisted that these statistics are Israeli diplQmats and statesmen will be misleading, although the facts were not successful in convincing the Arab nations disproven. to accept Israel's sincere offer of peace. TVA's financial condition improved meas TWENTY-FIFTH ANNIVERSARY OF On this occasion, the 25th anniversary urably between the time when TVA first ISRAEL of Israel's independence, I join my alerted distributOrs of the last rate increase friends of Israel around the world in of and when the rate increase was implemented fering my most sincere congratulations and--according to an investigation by the HON. GLENN M.ANDERSON and expressing my hope that the next staff of the Committee on Appropriations TVA did not disclose its changed and 1m OF CALIFORNIA year's celebration will be a celebration of proved financial condition at the time the in IN THE HOUSE OF REPRESENTATIVES peace. crease was put into effect. TVA officials in Monday, May 7, 1973 sisted that the increase was necessary to avoid a future deficit situation and that they Mr. ANDERSON of California. Mr. TVA'S ESCALATING RATE IN were required by law to make the increases Speaker, the establishment of independ CREASES HIT CONSUMERS, AD to cover increasing costs. ent statehood has always been an im VERSELY AFFECT INDUSTRY TVA's profit margin was 7 percent last year, pressive achievement. It was a heroic feat which is almost twice that of investor-owned in the 19th century when, to gain inde private utllities averaging about 4.5 percent pendence, Greeks, Serbs, Italians, Hun annually. HON. JOE L. EVINS TVA's retained earnings--profit retained garians, and others were compelled to OF TENNESSEE for investment in physical plant, expansion wage long and bitter battles against their IN THE HOUSE OF REPRESENTATIVES and improvements-constitute 20.4 percent overloads. It was no less heroic in the of the agency's total capital account. whlle mid-20th century in the era of the United Monday, May 7, 1973 investor-owned utllities have only 11.8 per Nations and "peaceful change," when the Mr. EVINS of Tennessee. Mr. Speaker, cent of retained earnings in their capital people of Indonesia and Ghana demon our Subcommittee on Public Works Ap structure. TVA officials took the position strated their ability to translate a sense that rates would have risen even higher had propriations recently completed hear this money not been retained to effect needed of national destiny .into sovereignty and ings on the cause and impact of a series plant and equipment expansions. viability. of escalating rate increases by Tennessee TVA's steam generating plants cost more In the case of the Jews, however, who Valley Authority. to build and require about twice as many had not lived for generations on the soil As indicated in my recent newsletter personnel to operate than similar plants of they venerated, who had but recently lost Capitol Comments, these rate increases like size of investor-owned utllities. TVA two-fifths of their people in the greatest are of great concern because the pros officials did not adequately explain such dif genocide in history, the task of building perity and economy of the Tennessee ferences to the Appropriations Committee. a nation was even more formidable. Valley are, to a measurable degree, con TVA does not hold public hearings to pro They had no powerful allies, as did ditioned by the actions and decisions of vide any adversary proceedings for the peo most nations of the world in their early ple of Tennessee and the Valley to have an TVA. opportunity to be heard when rate increases struggles for independence. They were TV A has done so many good things are proposed, although virtually all other faced with the hostility of a mighty em and rendered so many splendid serv public and private utllities are required to pire and thousands of armed Arab neigh ices-flood control, power generation, justify rate increases at some type of hear bors. navigation, attraction of. industry, and ing. For a quarter of a century, Israelis recreation, among others-that one is TVA's rate increases since July of 1967 have struggled through bloodshed and reluctant to criticize this great agency. are as follows: hardship to develop the progressive State However, with respect to the steadily of Israel that was brought into existence escalating power rates, I feel constrained Additional annual on May 14, 1948. The reality that today because of the numerous complaints re Month rate Percentage revenues Israelis, and Jews around the world, are ceived from people in the Tennessee Val increase effective of increase (millions) celebrating the 25th anniversary of na ley, to take action in fully developing the tionhood gives evidence to their success. facts concerning the magnitude, impact, {1!~c19f~s9~::::::::::::::::: ~: ~ $~~: ~ For the first 25 years Israel has pro and causes of these rate increases. August 1969______6. 0 24.8 gressed in spurts of energy between wars Because of the interest of my col ~~~~s~/[~~6~~::::::::::::::: 2~: 1 ~~: ~ with their Arab neighbors. Her existence leagues and the American people in this January 1973 ______8._9 ____6_4._6 has been one plagued by an implacable subject, I place the newsletter in the TotaL------57. Z 259.8 hostility of her neighbors. Unable to mit- RECORD herewith. 14540 EXTENSIONS OF REMARKS May 7, 1973 Although the total rate increases would tiny, politically insecure facUlty we are now facUlties in the Indian Ocean itself, on the appear to aggregate 57.2 percent, when com allowed to use on the Island of Bahrain, in island of Mauritius. pounded by consecutive rate increases, the the Gulf itself. But this could never sustain In contrast, the United States has nothing total is almost 70 percent. a. U.S. force compara.b~e to the much larger at all in the Indian Ocean beyond a com In an opening statement laying the foun naval power their new bases will allow the munications set-up on the little island of dation for the hearings, your Representative Soviets to deploy in the area if they see a Diego Garcia. After Diego Garcia, we have emphasized that as a longtime supporter and need for it. nothing else in range except another com- champion of TVA, he shares the pride of munications facUlty on the northern shore of other residents of the Tennessee Valley in M:q. Speaker, I have been to the island Australia. This year, for the first time, the the agency's outstanding record of accom of Bahrain, and I have studied the situa- soviets have also passed the u.s. in ship plishments in flood control, electric power tion over there very carefully. I can con- days of their navy at sea. all over the world. generation, navigation, re!forestation, and firm that Mr. Alsop has provided valid If there is ever a crunch in the Persian industrial development. However, as information about the potential for se- Gulf and the Indian Ocean, in sum, the Chairman, I deplored the circumstances re rious difficulty in the future. _ present outlook is that American naval power portedly necessitating these huge rate in on the scene will necessarily be inferior to creases on the people of the area served. So that the attention of my colleagues soviet naval power. In such a crunch, our The fear was expressed that with rates may be alerted to these possibilities, as only base in the whole area would be the escalating, TV A may lose its image as a low well as their import for the future se- tiny, politically insecure fac111ty we are now cost power yardstick and further that these curity of this country, I include the ar- allowed to use on the island of Bahrain, in continuing rate increases pose a potential ticle appearing in the April 25 issue of the Gulf itself. But this could never sustain a danger to the economy of the entire TV A the Washington Post entitled "The So- U.S. force comparable to the much larger area. · t p · th · naval power their new bases wm allow the It was emphasized that the purpose of the Vle resence m e Persian Gulf" by J o- Soviets to deploy in the area if they see a hearings was to be helpful and constructive seph Alsop in the RECORD at this point: need for it. and to assist TVA in avoiding power rate THE SOVIET PRESENCE IN THE PERSIAN GULF It is easy to understand, then, why Presi- increases in the future. (By Joseph Alsop) dent Nixon chose the very able former CIA Many protests against these rate increases Because of the energy crisis-which is· Director, Richard Helms, as his new Am have been received from residents, small really a strategic crisis-the jugulars of the bassador to Iran. In Iran, Helms has two businessmen and industries in the Tennessee United States, Western Europe and Japan jobs. The first job is to assure the U.S. of Valley. now run through the Persirul Gulf. So, it is an adequate supply of Iranian oil-and It is my view that these hearings were de8ithly important news that the Soviet therefore non-Arab oil-in case of political helpful and productive, and it is my hope Union is now thoughtfully buUding its own difficulties with the Arab oil-producers. The that they will assist TVA in averting and naval base at the head of the Persian Gulf, second job is to give added toughness, di- avoiding further excessive power rate in rection and support to the Shah of Iran's creases. The TVA low-cost power yardstick. where all these aU-jugulars can be cut. effort to safeguard freedom of navigation in must be maintained and preserved or major The new Soviet naval base wlll be at Um the Persian Gulf. industries w111 not continue to locate plants Qasr, on the Iraqi shore of the Gulf. The But this amounts to renting out to the in the Tennessee Valley area. story for publication is that the Soviets are Iranians the life-and-death job of protecting The prosper!ty and economy of our area, generously helping Iraq to buUd an addi- the American, Western European and to a measurable degree, is conditioned by the tiona! port. The actual fact is that the So- Japanese oil-jugulars. It seems a dubious actions and decisions of the Tennessee Val viets will have a fully operational naval base expedient, at best, as compared to the u.s. ley Authority. at Um Qasr in about one year. taking the needed but expensive precau- Signifl.cantly, the construction at Um Qasr tionary measures. has already caused trouble at the head of But CYf course all' this must seem dull stuff. the Persian Gulf, plus an obvious Soviet Nowadays washington is a bit like a house exercise in the old art of gunboat diplo- with a roof on fire and a cellar rapidly flood. THE SOVIET PRESENCE IN THE macy. The trouble arose from an attempt ing, whose inhabitants can talk only of the PERSIAN GULF by Iraq to infringe on the established bor- wicked sins of the cleaning woman. der of the small but immensely rich neigh- boring oil-sheikdom of Kuwait. HON. FLOYD SPENCE WhUe the row between Iraq and Kuwait was at its worst, between April 3 and 11 of OF SOUTH CAR OLIN A this year, the Soviets sent the cruiser Sinya EDWARD H. DICKSON IN THE HOUSE OF REPRESENTATIVES vin and lesser fighting ships to the head of Monday, May 7, .1973 the Persian Gulf, to give "moral" support to Inaq. The trouble has now simmered down HON. JOHN E. MOSS Mr. SPENCE. Mr. Speaker, it has long into negotiations. But Iraq continues to lay OF CALIFORNIA been my contention that the most dan claim to two islands belonging to Kuwait. IN THE HOUSE OF REPRESENTATIVES These little islands simultaneously mask the gerous aspect of the current energy Monday, May 7, 1973 shortage is our growing dependence on approaches to Um Qasr, and would also put Kuwait in pawn, if controlled by a hostile Mr. MOSS. Mr. Speaker, funeral serv foreign oil reserves. It is particularly power. unfortunate that those countries on ices were held in Sacramento, Calif., to Behind all this, there has been a long, ex day for Edward H. Dickson, a truly fine whom we place our greatest reliance for pensive and successful Soviet effort to buy future oil requirements are generally lo up all the more important vipers in the newspaperman and a long-time personal cated in a highly unstable area politi viper-pit of Iraqi politics. The Soviet effort in friend who passed away on May 3. cally-an area which is especially vul Iraq has attracted far less attention than Ed, who began his newspaper career nerable to Communist aggression. the much less adroit Soviet effort in Egypt. in 1925, was Washington correspondent I have warned time and again against But the effort in Iraq is vastly more impor for the McClatchy newspapers for some tant, at leas·t from the standpoin·t of West 23 years, returning to Sacramento in depending too heavily on those minor ern interests an{! Soviet gains. potentates in the Mideast for our sup 1968. Nor is this the end of the story, by any When Ed was assigned to Washington plies. At any time, they could decide to means. Simply for want of feasible competi up the ante for our oil, or even cut us tion, the Soviets now enjoy effective naval in 1945 he was, among other things, given off entirely. In addition, the possibilities predominance in the Indian Ocean, at the the difficult task of covering congres available to Communist opportunism in Persian Gulf's other end. As yet, they have sional activities not only of national scope that part of the world should be obvious. not begun to keep a large force in the crucial but of particular significance and inter Recently, columnist Joseph Alsop western basin of the Indian Ocean-"through est to the Sacramento, Fresno, and Mo whioh all oil tankers from the Persian Gulf desto Bees, whose · combined readership wrote a very thoughtful article on the must pass. It is a costly thing to do, since fragile nature of our strategic posture encompasses the major portions of cen the nearest naval base on Soviet territory 1s tral and northern California. in the Persian Gulf and the Indian Ocean Vladivostok, halfway around the world. and what might happen should the Yet what our navy calls ship-days (mean Ed more than lived up to his responsi "crunch" come. To quote from his col ing number of days combat ships are at sea) bilities, quickly winning the respect and umn: were increased by the Soviets by a factor of admiration of all who came in contact If there is ever a crunch in the Persian eight in the Indian Ocean's western basin with him. In writing about Members of Gulf and the Indian Ocean, in sum, the between 1968 and 1972. The Soviets have the House and Senate and their activi present outlook is that American naval power further built another important naval base ties, whether favorable or unfavorable, on the scene will necessarily be inferior to at ,Berbera in Somaliland, on the Red Sea; Ed earned the well-deserved reputation Soviet naval power. In such a crunch, our and they effectively control the Somali snake of being scrupulously fair and always of only base in the whole area would be the pit, too. They also have fuel and water unimpeachable integrity. May 7, 1973 EXTENSIONS OF REMARKS 14541 As a writer and observer of the Wash administrations of Hiram J. Johnson and the price of beef in relation to consumer ington scene, Ed made his mark in many c. c. Young and had been chairman of the demand. old State Board of Control, predecessor to I hasten to add, given a reasonable re ways. Perhaps one of his most consist the State Department of Finance. The un ently informative and entertairiing con cle, who served as chairman of the Board of turn on his investment, the American tributions was his column, Echoes from Regents of the University of California, was cattleman will increase these numbers, Capitol Hill. This was often· made up of kinown as the "fart;her of UCLA" because of and given a reasonable amount of time, offbeat items, many gleaned from careful his activity in establishing the campus. the market will stabilize so he will con reading of the C£>NGRESSIONAL RECORD. SPORTS INTEREST tinue to provide the American consumer Ed's great sense of humor found an out Edward H. Dickson always had a big in the best quality beef at the lowest rela let in the column that was keenly appre terest in sports and once was a catcher and tive price in the world. ciated by his many readers over the manager of his baseball team at Sacramento I call to the attention of my colleagues years. High School. Friends recall a promising ath the following article regarding the busi Ed was also known as one of the Capi letic career was cut short as a result of a knee ness boom experienced by a rendering tal's best informed writers on matters injury. ' plant owner in Ellis, Kans. within my Fired with enthusiasm in a football game, relating to reclamation and power. he picked a formidable adversary. He tackled congressional district: Mr. Speaker, following my remarks, I playfully on the Sacramento County Court RENDERING PLANT OWNER WANTS LETUP IN am including a story, in part, on Ed's house lawn one of the greatest football BusiNEss passing, appearing in the Sacramento players of the day, George Theodoratos, who ELLIS.-"Usually you want more business Bee on May 3, 1973. In closing, I join Ed's went on to become an outstanding college and more business," Don Kippes said de many friends in offering my heartfelt player. scribing almost any businessman. condolences to his gracious wife, Ruth, In his first assignment as a sports writer Kippes, however, says he has lost his lust for The Sacramento Bee, Dickson not only for greater business this winter. and their fine son, Sam: wrote a colorful story but he brought home Kippes is owner of the Ellis Rendering BEE WRITER ED DICKSON DIES AT 65 a winner-the Sacramento City College foot Plant. The rendering business, all over the Edward H. Dickson, 65, writer for the Mc ball team. midwest, has been booming this winter. Clatchy newspapers and former Washington MEMBER OF CLUBS "I'm just hoping it slacks up," he said. correspondent for the papers, died today in Dickson was a member of the McClatchy "It'll just drive you nuts." a Sacramento hospital. He collapsed Sunday 26 Year Club and Provident Lodge, Free and Kippes pointed at the phone. "That phone in his home at 1130 Robertson Way and never Accepted Masons, in Sacramento. While in just never quits ringing," he said. recovered consciousness. Washington he was a member of the National Kippes, who calls his operation "the used Dickson retired Jan. 31 from active news Press Club and the Harpoon Club. cow business," said ihe long, harsh winter paper work but continued to write his col His father, the late Samuel J. Dickson, has taken its toll among cattle. lumn, Echoes From Capitol Hill, for the was a Sacramento real estate man and who Those who suffered heavy losses, he ex Sunday editions of The Sacramento, Fresno served in World War I as an Army officer. plained, aren't interested in publlcity. and Modesto Bees. His mother, the late Gerna Dickson, was head "Farmers are kind of funny. They want A native of Vacavllle, Dickson attended of the Sacramento County Library for many everybody to think they're good farmers and grade and high schools there before his fam years. never have any bad luck!' ily moved to Sacramento. After graduating The Dicksons have a son, Samuel E. Dick The cruel winter, he says is to blame for from Sacramento High School and Sacra son, a civil engineer working in Pakistan. He the heavy livestock losses. Cattle wear them mento City College he attended the Univer had just returned to his job a few days ago selves out fighting the mud, water and cold. sity of Califo:rnia in Berkeley. after visiting his parents in Sacramento. The Kippes told of one farmer who said he Dickson started working part time for son formerly was an engineer in the State watched as one of his critters sank down The Sacramento Bee in 1925 and joined the Department of Water Resources in Sacra in the mud and "Just died. He was just staff full time in 1929. mento. In addition to his wife and son, Dick exhausted.'' son is survived by three grandchildren, Ed Also, he said, "they claim cattle get vita STATE DUTY min D from sunshine and they have had a In 1940 when Paul Peek, now a retired ward A., Scott E. and Kimberly Lee Dickson, and a stepson, Robert Elion Lawrence. deficiency in this vitamin because they associate justice of the State Supreme Court, haven't had sunshine." was appointed secretary of state, Dickson The livestock death rate has put the Ellis joined his staff as chief deputy. Rendering Company behind one week. He returned to newspaper work in 1943, "In 36 years we've always managed to keep becoming a correspondent on the Associated RENDERING PLANT OWNER WANTS this country clean (of dead animals) and Press news staff in the Capitol. He became LETUP IN BUSINESS there have been very few days when we had the McClatchy newspapers staff writer in to run over 10 hours per day." Washington in 1945, returning to Sacra But, he added, 24-hour days have been mento in 1968. From that time until his HON. KEITH G. SEBELIUS common this winter. retirement he wrote editorials, columns and Kippes has his 22-man crew working two feature stories. OF KANSAS 12-hour shifts and "it just wears you out." One of Dickson's most significant con IN THE HOUSE OF REPRESENTATIVES The work load, he added, has left no time tributions in his long career in journallsm Monday, May 7, 1973 for preventive maintenance on the equip was his series in the McClatchy newspapers ment all this winter. "It's just been p81tch exposing the dangers in the Electoral College Mr. SEBELIDS. Mr. Speaker, I would and go," he said. system of electing United States presidents. like to take this opportunity to call to Kippes explained that his crews are run He gave the McOlatchy newspapers on the attention of my colleagues a news ning behind schedule despite the fact that the-spot coverage of many major stories af item similar many other stories that they've been grinding whole animals-hide, fecting California's Central Valleys and the to bones, flesh and all. West. He was regarded as one of the most have appeared in the Great Plains this Usually, he said, the animal is skinned knowledgeable writers in Washington on winter and spring. and the hides are sold for about $10. reclamation and other water matters. This particular story is noteworthy, be And, he added, animals that have been SENSE OF HUMOR cause it explains in graphic detail why dead only a short while are boned and sold Dickson covered the nation's capital, too, we are experiencing increased meat for dog food. with great humor and it was reflected in his prices and most important, it deals with a "We don't even have time to skin them," column, Echoes From Capitol Hill. factual cause and effect factor as opposed he said. "I'm still putting $10 hides into the cookers." He was married March 30, 1935, to Ruth to misinformation. After grinding, the animal is cooked to Stannert Lawrence. Mrs. Dickson, too, shared One of the basic reasons consumers eliminate moisture and the final product is a love for the newspaper business and had in our urban areas are experiencing high a high protein meat and bone meal which is been of outstanding help to her husband in meat prices is the fact cattlemen have mixed into p,repared feeds. his work. Her mother, Esther Stannert, had just gone through a most severe winter Besides the eight trucks that pick up dead been a writer for the old Sacramento. Star. animals in 19 counties, Kippes said, some In choosing newspaper work as a career, and experienced record losses. If we pay attention to the basic laws of supply and farmers have even brought their own critters Dickson followed in the footsteps of his late in and left them at the plant. uncle, Edward A. Dickson, who started as a demand in determining why beef prices He estimates about 300 animals are piled reporter in San Francisco and then went to have gone up as opposed to meat boy the Los Angeles Express as political and edi outside and, in warm weather, they have to cotts, price controls, and meat ceilings, I be buried. torial writer. In the 1920s he acquired the think it can be readily seen that we Express and operated it until its later merger "I've got them piled here and piled over with the Los Angeles Herald. The uncle was simply do not have the number of cattle there and trucks are due back in," he prominent politically in the gubernatorial ready for market necessary to stabilize moaned. 14542 EXTENSIONS OF REMARKS May 7, 1973 A SALUTE TO THE TULSA REHABIL taining maximum self-sufficiency. Dis places him fifth among the nation's active ITATION CENTER DURING NA charge planning involves members of the coaches. This summer, he wm have the priv ilege of coaching the United States Jewish TIONAL HOSPITAL WEEK patient's families, who are taught how to basketball team at the Maccabiah Games in follow up on therapy, advised on changes Israel. in the home necessary to accommodate In recognition of his professional ab111tles HON. JAMES R. JONES a disabled person, and referred to ap and his love of basketball, Temple University OF OKLAHOMA propriate community agencies when spe tonight honors this great alumnus and IN THE HOUSE OF REPRESENTATIVES cial assistance is needed. I believe that a friend. Monday, May 7, 1973 special word of congratulations to the Harry Litwack, a great coach and a great Hillcrest Medical Center and its reha human being, is truly a giant. Mr. JONES of Oklahoma. Mr. Speaker, bilitation center is in order for adding this week, May 6 through 12, is National this new and vitally needed dimension Hospital Week, an event sponsored an to health care in Tulsa and in the State CONGRESSIONAL VERSUS EXECU nually by the American Hospital Asso of Oklahoma. ciation and its member institutions to TIVE PRIORITIES-NOT SPEND focus attention on the contributions of ING-IS THE ISSUE the Nation's 7,000 hospitals to the health care of the people of this country. In HARRY LITWACK OF TEMPLE UNI HON. JOE L. EVINS these days of extensive debate and well VERSITY RETIRES AFTER 21 OF TENNESSEE founded concern about the high costs YEARS AS HEAD COACH OF OWLS IN THE HOUSE OF REPRESENTATIVES and unmet needs for health services in the United States, it is easy to lose sight Monday, May 7, 1973 of many of the accomplishments of hos HON·. JOSHUA EILBERG Mr. EVINS of Tennessee. Mr. Speaker, pitals, as well as other health service OF PENNSYLVANIA as you know there have been a number providers, in such areas as improved IN THE HOUSE OF REPRESENTATIVES of statements made critical of the Con quality of care, cost containment, and Monday, May 7, 1973 gress by bureaucrats representing the increased operating efficiency. I feel sure position that unless the President's that most of my colleagues can point, as Mr. EILBERG. Mr. Speaker, Harry budget is approved without change, this I can, to hospitals in their States and Litwack is an institution in college bas will constitute excess spending. districts, which have utilized new staffing ketball. In this connection, as we all know, the patterns and technological advances to For 21 years he has been head coach issue is not . spending, but where the develop innovative service programs. of the Temple University Owls, leading spending will occur-whether we will Many have participated in activities his team to 13 post-season tournaments spend funds for substantial foreign aid such as group purchasing and shared in the past 18 years and to 14 consecu increases and for heavy increases in mil services, community health planning tive winning seasons. itary appropriations, rather than on do and education, and outreach projects. A Temple alumnus and former basket mestic programs needed at home. The This week I would like to pay a well ball star, he has been associated with issue is not whether the Congress will deserved tribute to the hospitals in the every tournament team the university cut the President's recommended ap First District of Oklahoma for their has ever had. propriations bills which Congress has demonstration of community responsi He has helped to mold great athletes consistently cut, but where the cuts bility. Today I should like to cite as a who became professional stars, but he is should be made. specific example, the recent establish equally proud of the dentists, teachers, Because of the interest of my col ment of the Tulsa Rehabilitation Center physicians, attorneys and other Temple leagues and the American people in by the Hillcrest Medical Center in that graduates in all walks of life today who this most important subject, I place in city. had the privilege over the years to share the RECORD herewith an article from the The need for a hospital-based ex his wisdom and humanity while mem Cookeville Herald-Citizen entitled "Dif tended care facility for patients no long bers of his teams. ferent Priorities for EXecutive, Congress" er needing acute care while recovering Harry Litwack retired this season. concerning one of my recent newsletters from illness, injury, or surgery was dem During his extraordinary career, he has on this subject. onstrated by a pilot program con received many awards and presenta The article follows: ducted by Hillcrest in 1967. One of the tions, including induction into the Tem JOE L. EviNS: DIFFERENT PRIORITIES FOR statistics surfacing early in the pilot pro ple University Hall of Fame. But, on EXECUTIVE, CoNGRESS gram was that approximately half of May 15, a grateful Temple University Bills recently passed by Congress provid the patients in extended care received will present its thanks to Harry Litwack ing assistance to depressed areas, to the rehabilitation services. Thus a facility for his contribution to athletics in the elderly and to farmers shows the difference was planned to offer both types of med following citation from University Presi between the executive and legislative dent Paul R. Anderson: branches of the federal government, accord ical care in a single structure. The con ing to 4th Dist. Rep. Joe L. Evi·ns. struction was financed by a combination CrrATION BY UNIVERSrrY PRESIDENT The House has passed both the Public of public and private funds, including a In height, Harry Litwack stands only 5'7", Works and Economic Development Act and loan insured by the Federal Housing Ad but in stature he is a giant. the Comprehensive Older Americans Service ministration and a Hill-Burton grant. For 21 rema.rkable years he has guided the Act. Both the House and the Senate have The Hill-Burton participation illustrates Temple University Owls' basketball team as passed the Rural Environmental Assistance that program's support for continuing head coooh, with a rare genius for identifying Program to assist farmers in carrying out care facilities which complement the hidden talent in young players and develop conservation projects. All three bills will soon ing that talent to the fullest. be in conference before being referred to services of the acute care hospital. An outstanding basketball player in his the president. The Tulsa Rehabilitation Center, lo own right at Temple in the 1920s, Harry I.At "Bills similar to each of the three were cated on the hospital grounds with easy wa.ck thrust Temple into nrational promi previously passed by the Congress last year access to all Hillcrest services, opened its nence after becoming coach in 1952, provid and were vetoed by the president," said Rep. doors in February 1972. Under the direc ing sports fans throughout the United States Evins. tion of James D. Harvey, Hillcrest's ad with exciting, first-rate basketball. "Their passage underlines the d11ference ministrator, and Margaret Hinds, ad Many students coached by Harry Litwack in priorities set by the administration and have gone on to play professionally, and four by Congress," the congressman said. ministrative coordinator of the center, all-Americans have been forged by hlm in the "The administration has either cut back, the facility offers a wide range of in gyms of Temple University. reduced, restructured or eliminated more patient and outpatient services designed In 1969 his team captured the National than 100 domestic programs while pro to restore convalescing and disabled pa Invitational Tournament championship, 31 posing reparation payments for Hanoi tients to independent and productive years after Temple won the first NIT with North Vietnam, increased foreign aid and Ha.rry serving as an assistant coach in 1938. a. $4 billion increase in defense spending at living. Active treatment by a multidis This season he concluded a brilliant career a time when the Vietnam war is being ciplinary team of health service person with his 14th consecutive winning season. terminated," Rep. Evins said. nel is combined with intensive effort to Harry's 21-year record is an incredible "Many members (of Congress) favor assist patients in achieving and main- 3~;3-193, with a .659 winning percentage that cutting and reducing foreign aid and mak- 'May 7, 1973 EXTENSIONS OF REMARKS 14543 ing cuts in unnecessary and wasteful de [From the Washington Post, Apr. 16, 1973] of payments outflow of about $6 billion. By 1980, without North Slope oil, it most prob fense spending while retaining and con INTERIOR SECRETARY MORTON ON THE tinuing vital and important domestic pro-. ably will be 4 blllion barrels and $16 billion, TRANS-ALASKAN PIPELINE every year, and headed further upward. The grams," he said. In his April 5 column ("Political Route of "As both the president and members of North Slope discovery was announced more Alaska Pipeline") Joseph Kraft makes some than five years ago, and has proved far and Congress advocate economy, the point at appalling misstatements of fact about the issue is not spending, but whether the away the biggest in the history of North possibility of a trans-Canada alternative to America, yet the on remains in the ground priorities set by each will be shifted within the proposed trans-Alaska pipeline. the budget," Rep. Evins said. for lack of a. system to bring it" to market, A trans-Canada route would not "avoid while economists predict 50-cent and dollar Of the three bills providing assistance to the ecological problem of oil spill;" at best depressed areas, to the elderly and to a.-gallon gasoline. it would merely move the problem of con Mr. Kraft sees the issue in terms of U.S. farmers, Rep. Evins said, "All three of trolling such avoidable damage from coastal these recently passed bills represent vital regional political pressures. But the prob waters to Canada's river systems. In addi lem 1s national, not regional, All our country and important programs that should be tion, because of its greater length, the retained and continued in the public in needs on. All our lives are affected by poten Canadian line would cause more unavoidable tial shortages, by the threat of excessive de terest." ecological damage by affecting four times as "The Public Works and Economic Devel pendence on Middle East sources, by inexor much land-and thus damage more wilder able worldwide economic pressures. opment Act Amendments would extend for ness, permafrost, and fish and wildlife hab one year the life and programs of the Eco Few things could be more tragic than sec itat than the Alaskan route. tional infighting over how to bring Alaskan nomic Development Administration which The U.S. West Coast is not "practically self has been of great benefit to many depressed oil into the U.S. market. Maximum possible sufficient" for oil. In 1972 its demand was delivery of this oil to the Midwest-after long counties in Tennessee and throughout the 2.3 million barrels per day, of which 800,000 nation by assisting in attracting industry, and costly delays involved in a. trans-Canada barrels per day (more than one-third) was route-stm would not reduce the price, or creating jobs and financing needed public imported; best available projections show works," the congressman said. substantially alleviate the need of the Mid that by' 1980 it will need more on than is west and the East for imported oil. Our na He said that the administration proposes available from Alaska to meet the gap be to end the economic program on June 30, but tional economy, our trading position in world tween its dema:"ld and the combined amount markets, the options open to our policy the House-passed bill proposes $1.22 bil of U.S. and Canadian oil deliverable there. lion for public works and business develop makers as they seek to meet American com A trans-canada route would not "provide a mitments at home and abroad-these are the ment loans, public works grants and re richer source of supply since it will tap vast search and technical assistance. key issues, and they are national issues in "The Older Americans Service Act would new Canadian fields as well as North Slope every sense of the word. provide a. wide range of programs and serv_ {Alaska) deposits." There are, unfortunately, ROGERS C. B. MORTON, ices for the nation's 30 million senior citi no vast new Canadian fields, and Canada Secretary of the Interior. zens,'' Rep. Evins said. recently imposed control on its on exports Washington. This bill provides for the establishment because of its own tightening supply-demand by either lease or construction of centers squeeze. for senior citizens through grants, con Canada has not as Mr. Kraft implies of tracts or mortgage insurance. fered to cooperate on oil matters on terms OPPOSITION TO TRANS-ALASKA It also proVides for the establishment of acceptable to the U.S. Canada's stated na PIPELINE a. federal. council on aging and this, in turn, tional interests hardly coincide with our own. is expected to strengthen similar state Canadian officials have insisted on Canadian agencies. majority equity ownership of a pipeline HON. LES ASPIN Also included are provisions for a nutri crossing Canada (and the definition clearly or WISCONSIN does not include Canadian subsidiaries of tion program for the elderly, education IN THE HOUSE OF REPRESENTATIVES programs and special programs for the el U.S. companies); Canadian management of derly under the Library Services and Con such a line; reservation of at least 50 ,per Monday, May 7, 1973 cent of pipeline capacity to move Canadian struction Act. Mr. ASPIN. Mr. Speaker, it is often "The Rural Environmental Assistance owned oil which may go to Canadian rather Program has provided a. strong foundation than U.s. markets; and preference to ca ·assumed that all of the residents of the for farm soil and water conservation for a. nadian-owned and controlled groups in con State of Alaska favor the building of the numbers of years,'' Rep. Evins said. struction and purchase of materials for the trans-Alaska pipeline. "This bill extending the program pro line. All this deserves serious thought at a I am constantly amazed by the num vides for assistance to farmers carrying out time when our balance of payments is caus ber of letters that I receive from ordinary specified conservation practices. This pro ing grave concern in the U.S., and when we citizens in Alaska who express opposition gram continues to be needed as it is esti need the jobs that would be created by the Alaska route. to the pipeline. In addition, the environ mated that of more than 7 m1llion acres of mental movement in Alaska is opposed to cropland in Tennessee, 65 percent needs It is true that the Alaskan pipeline pro conservation measures to protect the soil posal faces legal delays. But it is also true the bulding of this pipeline. and maintain its productivity for present that these same problems wm confront any Most of the environmental opposition and future generations,'' said Rep. Evins. pipeline carrying North Slope oil to the U.S. in Alaska seems to be based on the need since even a Canadian route would have to for a marine tanker shuttle from the cross hundreds of miles of U.S. public lands Port of Valdez to the U.S. west coast if an in Alaska. Alaska pipeline is built. A Canadian pipeline would face many more SECRETARY MORTON ON ALASKAN practical delays. No one has even offered to The dangers of an Alaska pipeline are PIPELINE build an oil pipeline across Canada. Canadian overwhelming. A Canadian pipeline will officials do not have an application before not involve most of the unacceptably them, and even the precise routing is stlll high environmental costs that an Alaska HON. JOHN E. HUNT conjectural. There are no engineering plans. pipeline entails. OF NEW JERSEY No one knows where the capital will come For my colleagues' information I in IN THE HOUSE OF REPRESENTATIVES from to build a. pipeline estimated conserva clude in the RECORD, a letter I have re tively to cost $5 billion. Environmental and Monday, May 7, 1973 engineering studies, including the drUling of ceived from the Fairbanks Environment thousands of core holes, are not yet complete. al Center expressing the opposition of Mr. HUNT. Mr. Speaker, just 3 weeks Compensation for the aboriginal land claims Alaskan environmentalists to the trans ago today, Rogers C. B. Morton, Secre of native peoples along the route remains Alaska pipeline. The letter follows: tary of the Interior, sent a most inter an unresolved Canadian issue, which the FAmBANKS ENvmoNMENTAL CENTER, esting letter to the Washington Post, in U.S. settled in Alaska. by legislation in 1971 Fairbanks, Alaska, April 27, 1973. rebuttal to a column written by Joseph and u.s.-canadian negotiations on building Hon. LES ASPIN, Kraft about a week before. and operating a pipeline certainly would be House of Representatives, The topic was the proposed trans complex and time-consuming. Furthermore, Washington, D.C. we would receive no practical advantage from DEAR CONGRESSMAN ASPIN: The trans Alaska pipeline. Secretary Morton's let a trans-Canada line because the existing Alaska pipeline may be a well designed proj ter deals with the ecological, political, pipeline system linking our two countries ect. But the marine tanker shuttle (not the and economic demands that must be wm carry all the oil that Canada is able and pipeline) 1s the major component of the cur considered in meeting our ever-increas willing to export to us. rent plan. It presents the greatest risk of the ing oil requirements. And in the meantime the U.S. faces an operation of the pipeline project, and it is I submit the Secretary's well-reasoned ever-increasing need to import on. Last year unquestionably the weakest, most objection letter to the attention of my colleagues: we imported 1.7 b11lion barrels at a balance able pa.rt of the trans Alaska pipeline plan. 14544 EXTENSIONS OF REMARKS May 7, 1973 The marine tanker shuttle, through our Mr. Speaker, the article also points out prices in more schools by far, far, far than Prince William Sound and down over 1,000 that the gentleman from Kentucky, the would have been the case without the in miles of Alaska, British Columbia., Washing volvement of the national government? ton, Oregon and California. coastline, through distinguished chairman of the Commit It is the purpose of this article to sug international waters, is the least talked about tee on Education and Labor
MEDICAL SOCIETY GREETINGS proportion as wages and other every day information and the planning of future The Western New York Medical Historical items. efforts. This state of affairs must not be Society wishes to convey its good wishes and Twenty years ago most of us were making allowed to continue. In 1971, the Federal congratulations to the Roswell Park Memo about one third or one quarter what we are today-food prices weren't that much lower. workforce suffered 37,000 disabling in rial Institute on the anniversary of its 75th juries which cost $118 million for com year. In checking back in the 1953 file copies of This is an event which is significant both the Messenger the grocery ads in Isle at that pensation and medical expenses alone. from medical and historical aspects and, time showed the following comparison with Following the release of these figures, since these are the concerns of this Society, today's average prices. Remember, the items President Nixon stated in regard to we wish you to know that we are aware of listed in the ads 20 years ago were the spe OSHA: the importance of the occasion. cials-the sale items. As the nation's largest employer, the Fed The contribution of the Roswell Park Me eral Government has a special obligation to morial Institute to medical research has 1953 Today set an example for safe and healthful em brought international recognition to Buf ployment. falo and this renown is reflected upon the Bacon, lib ______69¢ 79¢ Then, in an attempt to remedy the entire medical9ommunity. Beef roast, pound ______39¢ 79¢ We foresee many more years of excellence. Ground beef, pound ______49¢ 99¢ situation he issued,Executive Order 11612 LOUIS BAKAY, Picnic hams ______43 ¢ 69¢ authorizing the Secretary of Labor to Tube of 4 tomatoes __------37¢ (1) President, Western New York Frozen strawberries ______evaluate the safety and health programs Medical Historical Society. 4/$1 3/$1 Can baked beans, 28 oz ______29¢ 35 ¢ of Federal Agencies and, with the con ANNIVERS.~RY INVOCATION Hills coffee, pound ______85¢ $1.05 Heinz ketchup, 14 oz______25¢ (2) sent of the agency head, conduct work Following is the text of the invocation Star Kist tuna ______33¢ 39¢ place inspections. by the Reverend Lewis R. Bigler, Roswell At this same time, OSHA developed a Park chaplain: 1 About the same. four-step safety plan for Federal agen Oh Lord, Our God, Thou art full of love, 2 Same. cies, devising new systems for recording and we are fortunate to know Thee as Our Grocers in 1953 seemed to be reluctant and reporting accidents, establishing Father. Help us to reach with the hands of about advertising meat prices-probably be methods for evaluating programs, devel our spirits to enfold Thee in our hearts cause they were too high! oping promotional campaigns creating where we can cherish Thee very close to our I get a kick out of reading where the big the incentive for improved programs and spirits. So that through this intermingling city housewives are boycotting the meat designing model programs for use by we may find the wisdom and the strength to counters because beef is high when their hus search and find the solutions we seek. To agencies . . bands, plumbers, carpenters, electricians, etc., Forty-five of the 49 agencies surveyed wipe away the gloom of fret, brighten our are now earning from $5 to $10 per hour. eyes with hope, lift the heart that it may Small town folks are, of course, hurt worse by the GAO had some form of safety sing in faith; and in Thy time, 0 Lord, di when prices rise, because prices are the same program. Forty of the 45 agencies hav rect us out of our blindness. Until then, in the cities as in the small towns while in ing inspection programs documented keep us in Your presence, continually guid comes are always higher in the cities than violations of safety and health standards ing our work in Thy love. Amen. in the small towns. and 34 of those 40 maintained some rec What would really hurt would be having ord of inspection. These existing pro the farmer boycott the market and not mar grams, however, lack consistency and ket his beef! If meat counters were empty overall direction with wide variations in LET US TRY EMPTY MEAT for a few weeks the consumer would get COUNTERS plenty tired of eating spaghetti (without the level of attention to which safety meat), fish and vegetables. violations are brought. The time allowed for corrective action in the instance of HON. JOHN M. ZWACH safety violations varies greatly as well as OF 11/[INNESOTA THE FEDERAL GOVERNMENT AS the time between initial and followup IN THE HOUSE OF REPRESENTATIVES MODEL EMPLOYER? inspections. The survey also uncovered the fact that Federal agency inspections Monday, May 7, 1973 tended to concentrate on safety hazards Mr. ZWACH. Mr. Speaker, when I read HON. DOMINICK V. DANIELS rather than on health hazards. our metropolitan daily newspapers, here OF NEW JERSEY In all four of the Washington area in · Washington and from Minneapolis IN THE HOUSE OF REPRESENTATIVES agencies inspected by . the GAO, me and St. Paul, Minn., and the rural press, Monday, May 7, 1973 chanical hazards existed which could both daily and weekly, I am struck by cause employees to be seriously injured. the difference in outlook of the writers Mr. DOMINICK V. DANIELS. Mr. At three of the four agencies, noise levels in regard to food prices. Speaker, at the request of the Senate were above those specified in OSHA While the metropolitan dailies, in gen Labor and Public w ·elfare Commit standards. Ventilation problems existed eral, complain about high food prices and tee, the General Accounting Office has in all four agencies as well. Of the 49 mention little about high prices of ev just recently presented a study on the agencies surveyed, 33 said either their erything else, the rural press, more often, effectiveness of the Occupational Safe employees were exposed to toxic sub tells it like it is, pointing out that while ty and Health Act of 1971 in relation to stances or harmful physical agents above food prices are high, wages are higher the Federal Government. standard tolerances or they did not know and so are the costs of other things such Through the GAO, questionnaires were whether the employees were so exposed. as medical care, automobiles, etc. sent to 49 Federal departments and agen As a result of the investigation, the Fred DeCoursey, editor of the Mille cies requesting information on their GAO came to the conclusion that OSHA's Lacs Messenger at Isle, in our Minne progress in developing safety and health leadership role in improving Federal sota Sixth Congressional District, re programs. In an attempt to gather first agency safety and health programs has cently wrote an excellent editorial on hand information regarding Federal job been limited and needs to be strength food prices in which he pointed out that safety, the GAO inspected the workplaces ened. It was, therefore, recommended of four Federal Agencies in the Wash that OSHA should bear a responsibility those prices, over the past 20 years, have ington, D.C., area. As a result of these not increased as sharply as did wages in the Federal sector similar to that inspections Federal agencies were found which it bears in the private sector. and other every day items. to have over 200 instances of noncom Mr. Speaker, to give Editor DeCour It is my considered opinion that the pliance with OSHA safety and health Federal Government has the responsi sey's editorial the widespread readership standards. Areas of noncompliance in it deserves, with your permission, I would bility now more than ever of becoming cluded mechanical, electrical, fire, and the leader in job safety. I would like to like to insert it in the CONGRESSIONAL housekeeping hazards which could seri RECORD and cbmmend its reading to ev ously injure employees. put the OSHA administration on notice ery member of Congress: Up to the present time, however, of my subcommittee's plans to hold over LET Us TRY E.MPTY MEAT COUNTERS OSHA's enforcement and inspection sight hearings on the act sometime this We're still eating just as much meat at our practices have differed significantly be year, during which, I plan to delve into house as we have been in the past. Meat tween private business and Federal Gov the area of Federal Government occupa prices have gone up, but so has everything ernment enterp1ises ~ Most of OSHA's ac tional safety. It is my intention to guar else-and in the past 20 years, meat and tivities in relation to Federal Agencies antee every Federal employee a safe and food prices have not increased in the same have involved only ~he dissemination of healthful place to work. May 7, 1973 EXTENSIONS OF REMARKS 14549 PUBLIC ATTENTION DIVERTED ment freed 30 prisoners and flew them safely of La Paz for more than six weeks. From Dec. FROM RECENT COMMUNIST AD to Cuba. 5 until Jan. 13, no formal charges were filed Reports said shots were fired during the against her, but she was extensively ques VANCES kidnaping, but there was no indication tioned about the guerrllla group with which whether the 58-year-old consul general, who she worked. is married and has two children, was injured. She was released after intensive lobbying HON. JOHN R. RARICK Leonhardy was abducted between 6 p.m. by her friemls in Bolivia and in Washington, OF LOUISIANA and 8 p.m. as he drove home alone from the inquiries from several U.S. senators and IN THE HOUSE OF REPRESENTATIVES consulate after attending the inauguration efforts by U.S. diplomats in La Paz. She was of an antinarcotic campaign exhibition. deported from Bolivia to the United States Monday, May 7, 1973 A boy who said he saw the kidnapit\g told on Jan. 14. Mr. RARICK. Mr. Speaker, recent police the men blocked the path of Leon Juan Jose Loria, minister-counselor of the events leave little wonder why Americans hardy's car with two other cars, put him in Bolivian embassy, said that U.S. diplomats are concerned over the direction their one of them and then transferred him to an visited Miss Harding severai times dur other vehicle. ing her imprisonment and reported that she country is taking. The armed Revolutionary Forces of the was in good condition. State Department Dr. Henry Kissinger is in Moscow, sip People claimed responsibility for the kid sources said that the men who visited the ping champagne and planning "most naping and said the prisoners, to be named former nun reported that she did not appear favored nation" status for Russia so that later, should be gathered in Mexico City to to have been mistreated. they can obtain easy U.S. credit. He is morrow. Loria said that Miss Harding had violated also arranging for Comrade Brezhnev's The group said Cuban Ambassador Fernan Bolivian laws by participating in the illegal June trip to WaShington, D.C.-our Na do · Lopez Muino s~ould be interviewed on· Army for National Liberation, and that the television at 4 p.m. that day; and if he con Bolivian government had been "magnani tion's capital. At this· same time Reds in firmed the prisoners were in Havana; then mous" in allowing her to leave the country. Mexico have'kidnapped the U.S. consul. Leonhardy would be freed. "Now she is taking advantage of this to And while all this is going on, the It warned there should be "no vigilance contribute to extremist propaganda against Washington Post carries a human-inter or police-military mobilization in the State the present government of Bolivia," he said. est story of a nun turned guerrilla who of Jalisco during the negotiations and until A small woman with an air of quiet complains of torture in Bolivia when cap we return the bourgeois we have arrested." strength, ~ss Harding was in Washington tured while serving in the Moscow Publication of the guerrillas' communique recently on a lecture tour sponsored by the by leading Mexico City and Guadalajara U.S. Committee for Justice to Latin Ameri oriented Army for National Liberation. newspapers, which it named, "will indicate. can Political Prisoners and the Unitarian This is the same type Moscow-oriented the acceptance of the 'government' of our de Universalist Service Committee. "civil rights" group which kidnapped the mands," the terrorists said. In an interview, she tried to explain how U.S. Consul General Leonhardy, in Mex "If newspapers published May 5 do not in 1970 she gradually reached the decision ico. The communique from the kidnap print (the guerrillas' communique,) as an to leave the Maryknoll community and work pers ended, "We shall overcome." answer to our demands, we will proceed to with a small Marxist guerrilla group com This is what has been happening while execute the arrested." mitted to "creating the conditions for revo The terrorists said another "political com lution." the attention of the American people has munique directed by us to the workers and Miss Harding was sent to Bolivia. by the been focused on Watergate. Certainly the, students of the country" should be trans Maryknoll order in 1959. Her first assignment Watergate has served the opinion-mak mitted by television and radio at 8 p.m. today was as a grammar school teacher in the hot, ers well by diverting the attention of the and published on the front page of tomor isolated town of Cobija in the jungle area American people, casting a shadow over row's newspapers. of northwestern Bolivia.. their confidence in their Government "We will admit no negotiations outside the It was there, she said, that her "gradua.I and thereby shielding numerous Com sUj.ted demands. awakening" began. "Any delay in completion of these demands The poverty of the people she lived with, munist advances from the general public. wlll bring as its consequences the judgment their exploitatio:p. by middlemen and specu I include rel~ted newsclippings to fol of the bourgeois who is in our power, and this lators who bought their rice cheap at har low: can be in any moment from the date of this vest time and sold it later at inflated prices, [From the Washington Star, . May 5, 1973] document." and the rigidity of traditionalist priests who BREZHNEV, KISSINGER CONFER The communique ended with the phrases: , opposed the kind of teaching she wanted to "For the Proletarian Revolution We shall do all contributed to her rising political Moscow.-Foregoing the Kremlin for a overcome." ' wooded country estate overlooking the Volga awareness. River, presidential adviser Henry A. Kissinger Leonhardy was deputy chief of mission in Miss Harding was later sent to the capital, began talks today with Communist party San Salvador before coming to Mexico. A La Paz, a cold, harsh city high in the Andes, career diplomat, he entered the foreign serv where she came in contact with a different chief Leonid I. Brezhnev on a planned ice in 1942 as co:qsul in Barranquilla, Colom-. Brezhnev trip to Washington. type of poverty and suffering. The experience bia. He later served in Copenhagen, Madrid, increased her doubts about the effectiveness Brezhnev's chief reason for seeing Kis Mexico City and the State Department in singer wa.s to confer with him on talks with of a religious approach to social problems. Washington, D.C. In 1968, Miss Harding wa,s sent back to President Nixon expected next month. Leonhardy's wife, Lee, was to fly to Guada "We hope to review bilateral relations and the United States for a. rest peri<;>d. Here, she dajoara from San Antonio, Tex. She had left was "exposed to a lot of thinking" that was the possible summit agenda," said Kissinger Thursday on a 10-day visit to Montana. as he arrived yesterday from Washington. new to her-the student uprising at Colum bia Un1versity, the burgeoning peace move After sipping champagne for half an hour (From the Washington Post, May 6, 1973] at the airport with the men who met him, ment, a new sympathy for revolutionaries in First Deputy Premier Vasily Kuznetsov and NUN TuRNED GUERRILLA TELLS OF TORTURE AS underdeveloped countries. Anatoly F. Dobrynin, the Soviet Ambassador BOLIVIAN PRISONER "When I returned to La Paz, I got per in Washington, Kissinger and Dobrynin left (By Terri Shaw) mission to work in a. factory," she said. "I became involved in union work, and, al for Brezhnev's hunting villa at Zavidovo, 75 An American woman who made the long miles northwest of the capital. U.S. Embassy though I never took the responsibility of political journey from Maryknoll nun to leadership, I was not liked by management. officials said Kissinger was expected to stay guerrma preaching armed violence in the They described me as an 'agitator.' untll Monday at the hunting lodge. barrios of La Paz sat in a Washington living "I didn't have to agitate though," she Besides the Brezhnev trip to Washington, room last week and calmly described what it's added. "I felt the agitation was right there. now tentatively planned for June 25, diplo like to be a political prisoner in Bolivia. When one of the girls' baby died because matic sources said Kissinger also was ex "I was kept in a little closet about two by she didn't have enough· to eat and had to pected to discuss reductions of military three yards with nothing in it," said Mary work while she was pregnant, the situation forces-Europe, further limitations in nu Harding, 41, in a soft, New England-accented clear weapons and increased East-West trade. Just lent itself to analysis." voice. "They gave me nothing to eat. After She left the Maryknoll community, she The officials said they expected Kissinger midnight each night, two men came in. They to leave Monday for Leningrad. On his three said, because she was looking for an effective stripped me and beat me with a piece of way to change the conditions she saw in previous trips to the Soviet Union, Kissinger wood. said he would like to visit the former Czarist Bolivia. "I suffered a broken coccyx-that's the "The union could do a. few things," she capital, but he has yet to get there. tailbone-and it was very hard to sit down. said, "but it couldn't make the factory oper They handcuffed my right arm to my left ate for the benefit of the people who do the [From the Washington Evening Star, May 5, leg so I had to sit down all the time. 1973] work. 1 knew I wanted to work for the lib "I was arrested on Tuesday, and I signed eration of the people of Bolivia., and I was MEXICAN LEFTISTS HOLD U.S. CONSUL a. confession on Friday," she said. "On Satur looking for the most clear-cut answer.'' GUADALAJARA, MEXICO.-Three leftist terror day and Sunday they didn't touch me and on Her first step was to organize evening meet ists kidnapped U.S. Consul General Terrence Sunday they gave me food." ings and Sunday afternoon teas for women G. Leonhardy yesterday evening and said they Miss Harding was held at the Bolivian Min to discuss the conditions they were living would klll him unless the Mexican govern- istry of the Interior anci later in the city jaU under and how they could be changed. CXIX--918-Part 11 14550 EXTENSIONS OF REMARKS May 7, 1973 "Later, I began to see that I had a re market system to which all investors would large and small, at home and abroad, that sponsib111ty to talk to these women about have access, in which all qualified broker- · our markets are fair and honest. This confi other noncapita11st options," Miss Harding dealers and existing market institutions dence must be maintained. said. "You can: talk about social justice for would participate in accordance with their Nevertheless, the evolutionary process by just so long without putting it in concrete respective capab111ties, and which would be which our markets change may fall to re terms." governed not only by appropriate regulation spond with sufficient alacrity to the needs of Eventually, she said, "I came to the con but also by the forces of competition. Since our dynamically changing economy. As the clusion that the answer was an Armed that time, much has been said and written agency responsible for the fair and efficient group," the Army for National· Liberation. about the way in which such a system should functioning of the securities markets and the At first she provided "humanitarian assist be structured, how it should operate and who administration of the securities 18/Ws, the ance," collecting food and medical supplies should· be a part of it. Subcommittees of Commission has had extensive experience and for the guerrillas, mostly university students, both Houses ot Congress have held extensive a day-to-day familiarity with the workings who were attempting to gain a foothold in hearings on this subject, have compiled of the securities markets of the United the countryside. numerous pages of testimony and have issued States. Therefore, we believe it is our re Their attempt failed when the group's reports setting forth their conclusions and sponsibility, notwithstanding the caveats ex leader, Nestor Paz, was killed in October recommendations.1 The cellftral market sys pressed in the foregoing paragraphs, to pro 1970. tem was also a frequently discussed topic at vide a reasonably detailed expression of our Later Miss Harding and other members the Commission's market structure hearings views concerning the ultimate form a central of the group continued their political work held during the Fall of 1971 and was a focal market system might take, particularly in among workers in La Paz. point of the Statement on the Future Struc light of the Congressionally expressed desire She was asked if the decision to support ture of the Securities Markets ("Market that the Commission assume a leadership role violent revolution was a hard one. Structure Statement") • which the Commis in the development of such a system.10 She nodded, then said: "Violence becomes sion issued on February 2, 1972 following In our view, progress toward development so relative when you live as a working class those hearings.a of a central market system must be expedited, Bolivian. You live in one room with no During the past year the Commission, with and to that end we intend to provide affirma plumbing or sewage system. You walk long the assistance of · its staff and the recom tive direction. To the extent the Commission distances uphill to carry water home. Your mendations of three industry advisory com can provide the securities industry and its children play on those h11ls that are used as mittees,' has been devoting extensive study self-regulators with a broad overview of the an outdoor bathroom at night. You're in to the development of a central market sys principles which we believe a central market sulted and mistreated when you go to the tem for listed securities and believes it is now syst~m should encompass, they w111 be better government clinic. appropriate to set forth in greater detail for equipped to exercise their initiative toward "I saw too many cases of girls I worked public comment the fundamental principles, the attainment of those goals. They also will with who lost their babies. I saw too many including the regulatory standards and com be able to plan their investments in plant babies buried in those . tiny white coffins. petitive qualities, which shoud characterize and equipment so as to maximize the use of such a system. existing hardware and avoid investments "I thought I could help other people, which might prove incompatible with future mostly women to see ot;te way of bringing In undertaking this task, the Commission has been cognizant of and wm continue to needs.U about change-through armed resistance." In the following sections of this paper, we U.S. sources insisted that Miss Harding told study with care the effect of fundamental changes already in progress. For example, it set forth our preliminary conclusions and, the diplomats who visited her that she had where appropriate, the steps we plan to take, not been mistreated, although one diplomat is almost universally recognized that many of the structural problems which have or to request the self-regulatory bodies to did report "some discoloration around her take, for their reali2lation. It must be empha eye." plagued our markets stem from the existence of fixed commission rates on stock transac sized that the complexity of these issues, and The sources said she was encouraged to the unique efficiency which our capital mar cooperate with her captors "to get her out tions of institutional size. In addition to kets have already attained, dictate that any of there." requiring the incorporation of volume dis major structural changes be analyzed in counts into the fixed rate system late in depth before, and monitored closely after, 1968, in April of 1971 the Commission re their implementation. The Commission is NATIONAL STOCK MARKET quired the introduction of competitively desirous of receiving comments, therefore, determined rates on the portion of orders in from all interested persons on the views ex excess of $500,000, and a year later lowered pressed herein. that figure to $300,000. Since that time the HON. JOHN E. MOSS Commission has indicated that competitive n. GOALS OF A CENTRAL MARKET SYSTEM OF CALIFORNIA rates should continue to be phased in so Our capital markets are the foundation of IN THE HOUSE OF REPRESENTATIVES that by the Spring of 1974, barring a showing our national economy because they perform of substantial damage to the industry, rates the vital function of allocating one of our Monday, May 7, 1973 on the portion of orders in excess of $100,000 most precious resources--investment capi will be determined by competition.5 The tal. To perform this function effectively, and Mr. MOSS. Mr. Speaker, many of us in impact of these changes in rate structure, to ensure the continuing availability of in the Government are very concerned with both past and prospective, on the structure creasing quantities of investment capital, it the decline in the stock market. Much of our markets has yet to be fully experi is important that the markets value each of this decline is attributable to a loss of enced. security in a manner which reflects an ac confidence by individual investors, who Similarly, the Commission recently adopted curate appraisal of overall supply and de are leaving the marketplace. Both the a rule,e and bills have been introduced in mand, affected as little as possible by tem Congress and the Securities and Ex both Houses of Congress,7 to regulate the porary fluctuations therein. In other words, change Commission are taking steps to proper utllization of exchange membership the price of a security should not vary sub on a uniform basis. Further, the Commission stantially when there is little change in over restore that confidence. Recently the SEC has adopted a rule mandating the creation of all investor appraisal. The abi11ty of our issued a position paper on the creation a composite last sale reporting system for markets to work in this manner depends on of a national securities market system. listed securities 8 and has proposed another their efficiency and their ability to provide Under the Commission's plan all of the rule which would require the formation of a liquidity. In the words of the Market Struc existing stock markets around the coun composite quotation system for such securi ture Statement: try, as well as the so-called third mar ties.o One can only sp~culate at this time as "A central market system, primarily ket, would be linked together via a com to the nature and magnitude of the changes through its communications network, can munications network and stock brokers which wlll be wrought by resolution of the maximize the opportunity for public orders issues relating to exchange membership and to match each other and be executed in would be required to execute their cus by the introduction of these communications classic auction market fashion. In addition, tomers' orders in that market that systems, all of which should be accomplished such a system can greatly increase the depth offered the best price, no matter where in the near future. and liquidity of the marketplace by maxi that market was located. I believe that The Commission is fully aware that much mizing market making capacity; that is, the the SEC's plan has considerable merit of what our markets have achieved must be ability and willingness of dealers, including and include that the Commission's policy preserved and strengthened, not dismantled specialists, market-makers and block posi paper in full immediately following my and cast away. The United States trading tioning firms, to buy and sell securities for markets have consistently provided a degree their own accounts on occasions when the statement: of liquidity unsurpassed by any other capital other side of a public order is not readily POLICY STATEMENT OF THE SECURITIES AND Ex markets in the world. To a significant extent available. This can be done by encouraging CHANGE COMMISSION OF THE STRUCTURE OF A their performance may be attributed to the all such dealers to compete actively within CENTRAL MARKET SYSTEM, MARCH, 29, 1973 . principles of full and fair disclosure of the system, without any artificial restraints I. INTRODUCTION corporate and market information, coupled between component markets, to provide the In the letter of transmittal accompanying with vigorous enforcement programs, which necessary buying or selling power on such the Institutional Investor Study, submitted have inspired the confidence of investors, occasions" .12 to Congress· on March 10, 1971, the Commis The Commission remains convinced that sion first endorsed the concept of a central Footnotes at end of article. efficiency and liquidity can be maximized in May 7, 1973 EXTENSIONS OF REMARKS 14551 these ways. All indications of investor buying tain the confidence of every investor, large be administered by a consortium of the stock and selling interest must be exposed to each or small, that his order will receive prompt exchanges and the NASD, which could act other to the greatest extent practicable so as and efticient handling and will have the to ensure proper coordination among the to increase the opportunity for them to offset fullest possible opportunity to meet the best various components of the system. This or one another. In addition, when the supply available offsetting order, wherever in the ganization could be responsible for promul of or demand for a particular security are system it may exist; that he can obtain gating system housekeeping rules, establish temporarily out of balance, it is crucial that prompt and complete disclosure of material ing technical specifications, contracting with there be mar:Ket makers to help offset the facts pertaining to the trading in a given suppliers and operators of equipment needed imbalance. security, as well as its investment merits; for the system's mechanics, coordinating sur Centralizing buying and selling interest and that his securities and funds will be ve1llance efforts and performing other appro within the central market system wlll en safely and responsibly cared for. priate tasks. The activities of this organiza sure that a seller of a particular security The Commission wm take all reasonable tion would be under the aegis of the Commis can have his trading interest communicated steps to ensure that the developing central sion. In the event a member of the con to the greatest possible number of poten market system will provide a welcome en sortium found itself unable to concur in a tial buyers (including dealers) so that he vironment for the small investor.u For ex decision reached by the group, or in case can trade with whoever is w1lling to pay him ample, the Commission has initiated and of the consortium's inab111ty to take action the highest price, maximizing the proceeds vigorously will pursue regulatory action to at all, the Commission would have authority of his sale. The converse is true for buyers. ward implementation of a composite quota to determine the appropriate course. The system should thereby fac111tate a brok tion system. In the past, numerous brokers In order to p.rovide itself access to addi er's ab111ty to discharge the primary duty he have been willing to expend the time and tional technical and market expertise to has to his customer-to use reasonable d111- effort necessary to search out the best bid or oversee these activities, the Commission gence to obtain best execution of each order best offer for those sizeable investors whose could establish and draw upon the advice entrusted to him. volume justified such expenditures. With the of a central market system steering com Specifically, the broker must have access composite quotation system, however, brokers mittee, composed of representatives of the to a communications system capable of would be able to perform the same function self-regulatory organizations, broker-dealers bringing together and displaying in one loca economically for smaller investors. The early and the public. The Committee's public rep tion, such as a desk-top cathode ray tube implementation of the quotation system, resentatives, which would be selected by or (CRT) screen, the bids and offers currently with appropriate regulatory safeguards, will with the consent of the Commission, might available in each component market center be concrete evidence that broker-dealers and include members from government and the of the system. He must also be able to exe the self-regulatory organizations to which academic community, technical experts, in cute the transaction for his customer with they belong remain committed to maximiz vestors and issuers of securities traded in the out any artificial impediment, such as spe ing execution service for all investors. system. The steering committee would be cific restrictions against dealing in particu III. THE ELEMENTS OF THE CENTRAL MARKET constituted to refiect the needs and perspec lar markets within the system. In addition, SYSTEM tives of all who would use the central mar there must be negotiable economic access be In the Market Structure Statement the ket system and would advise the Commis tween market centers, so that a broker can sion in resolving fundamental policy issues Commission defined the central market sys relating to the system's operations. have the opportunity to be fairly compen tem in the following manner: sated for his services even though not a The term "central market system" refers The system initially . would contemplate member of the particular market center in trading only in securities listed on at least to a system of communications by which 19 which an order is ultimately executed. the various elements of the marketplace, be one registered national securities exchange Perhaps the most important objective of although many of its features may subse they exchanges or over-the-counter markets, quently be found appropriate to a system the system is to foster the development of are tied together. "It also includes a set of strong competition among its participants. rules governing the relationships which will for trading unlisted securities. Furthermore, In discussing why and how competition we agree with the recommendation contained prevail among market participation.15 among market makers should be enhanced, Following this general definition, the in Approach II of the Central Market Sys we said in our Market Structure Statement: Commission listed certain important steps to tem Report that not all presently Usted secu "The Commission believes that the liquid be taken: rities are necessarily quaUfied for inclusion in the system. As that Report suggested, ity needs of individual and institutional in 1. Implementation of a nationwide dis vestors can best be provided by policies fos closure or market information system to eligible system securities must have sufti tering the development of competition make universally available price and volume cient investor interest to satisfy specific cri among dealers who are specialists, market in all markets and quotations from all mar teria based on the number and breadth makers and block positioners. Such competi ket makers. of distribution of shares available for trad tion will mitigate the very difficult problem 2. Elimination of artificial impediments, ing. In addition, the issuer should be able to which now exists of developing and enforcing meet minimum standards of financial sub created by exchange rules or otherwise, to stantiality, based, for example, on assets and rules designed not only to prevent specialists dealing in the best available market. from abusing their privileged position, but earnings. As a practical matter, the actual 3. Establishment of terms and conditions criteria for system securities wlll probably also to motivate them to perform satis upon which any qualified broker-dealer can factorily under widely differing circum be established initially, subject to Commis attain access to all exchanges. . . . sion oversight, in the plans filed under Rule stances and in the light of varying risks and 4. Integration of third market firms into pressures. Nevertheless, the Commission adopted, pursuant to which the last sale the central market system by including them and quotation systems are to be implemented. recognizes that certain rules must be appli in the disclosure system . . . and making cable to the competing specialists, third mar them subject to appropriate market respon All members of the system would be free ket maker and block positioning firms that sibilities and other regulatory requirements to trade in any eligible system securities. will be the heart of the central market sys commensurate with the benefits they may All transactions in system securities in which tem.ls 16 a registered broker-dealer (including an realize. electronic conununications system registered Normally, in order to earn a profit, com More specifically, the central market sys as a broker-dealer) or exchange member is p~ting market makers must be exposed to tem wm encompass a network of brokers volume. The desire to attract business pro involved, either as principal or agent, would and dealers, operating both from oftices and have to be reported through the system vides incentive to a market maker to bid on exchange fioors, linked together by an higher or offer lower than his competitors, and executed subject to its rules. Initially, electronic communications network and sub so-called "fourth" market transactions narrowing the spread between available bids ject to a common regulatory framework. and offers and enabling investors to buy for would not be subject to these requirements, As pointed out in Approach II of the two in large part because of the practical prob less and sell for more. Thus, the ultimate approaches set forth in the final report of beneficiary of aggressive competition in mar lems of imposing the obligations of the sys the Advisory Committee on a Central Market tem on investors who deal with each other ket making is the investing public, particu System, issued March 6, 1973 (referred to larly when that competition is reinforced ~Y without the participation of a broker or a herein as the "Central Market System Re dealer. Should the fourth market develop market responsib111ties on the part of market port"), participants in the system would con makers. as a means to avoid the reporting and other sist of various kinds of securities profession obligations of trading within the system, the Our securities markets have attracted the als, such as fioor brokers, non-fioor (or "up direct investment of savings by more indi Commission will give prompt consideration stairs") brokers, specialists, odd lot dealers, to corrective measures, including recom vidual investors than any other securities third market firms, block positioners and, markets in the world. The fact that indirect mending legislation if necessary, to bring under certain circumstances, market makers such transactions within the scope of the investment through institutions has grown who are exchange members but are not spe rapidly in recent years makes it more im cialists in the traditional sense.l7 Members system. portant than ever that the liquidity pro of the system would be free to engage in ac Trading rules vided by the trading decisions of m1111ons of tivities other than these 18 and would re One of the principal criticisms concerning individual investors be maintained. ceive compensation for the services they per present operation of the securities markets If the participation of such investors is to form in a variety of ways, including spreads, is that they are "fragmented", i.e., they do continue, it is critically important to main- mark-ups, commissions, fiat fees and other not centralize buying and selUng interest. kinds of charges. The consequences of this fragmentation a,re Footnotes a.t end of article. Certain joint functions of the system could easily unders~; for example, a sell order 14552 EXTENSIONS OF REMARKS May 7, 1973 represented only by a broker on the floor of else in the system at an inferior price (a Preservation of auction-agency principles Market A may never have an opportunity lower price, in the case of a bid, or a higher The adoption of these trading rules would to be offset against a bid, public or profes price, in the case of an offer) without prior represent the Commission's commitment to sional, represented only on the floor of Mar satisfaction of that order. the preservation of an auction agency market ket B. A more complex hypothetical situation The auction trading rule would operate rather than a purely "dealer market" for is illustrated by the case of an investor who similarly in the case of a "cross," a nego listed securities. Presumably, the classic ex tells his broker to purchase for him 100 shares tiated transaction arranged by the broker for ample of a dealer market is the over-the of ABC if the price, now 41, drops to 40. The the buyer or buyers and the broker for the counter market, in which it is virtually im broker places this "limit" order, a bid for seller or sellers (often the same broker) , possible for an investor's order to be exe 100 shares of ABC at 40 with the specialist usually at a price away from the current cuted without the participation of a dealer in Market A, where the broker is a member. market price. Unless the agreed price is in the transaction. There is no facility During the course of the following day, ABC equal to the best bid or offer in the system, whereby public orders can offset each other, trades between 41 and 40¥2 in Market A but or is between them, the proposed cross except under the auspices of a market maker, never trades below 40¥2; however, at noon would be taken to a specialist who would and this rarely occurs. Since the interven 1 ,000 shares of ABC are crossed in Market B have access to the electronic repository and tion of a dealer involves an additional spread at a price of 39¥2. Although the book of the would key in the transaction to determine between the prices at which investors can specialist in Market B was cleared of all how much of it would be "lost" to other buy and sell, it is likely that in many in limit orders down to the cross price, limit limit orders recorded throughout the system. stances investors obtain less favorable prices orders represented only in Market A were It also may well be desirable to experiment on their trades than if they could trade with deprived of an opportunity to participate with permitting such orders to participate in other investors. Further, if a customer trades even though the hypothetical investor was a negotiated transaction away from the mar directly with an integrated broker-dealer prepa-red to pay more than some of the buyers ket at the cross price, where that trans (one who acts as broker and market maker who did purchase stock. action involves a substantial "block" of se simultaneously) it is more difficult for him An important goal of the central maTket curities.u Suppose a broker had found a to determine whether he is really getting the sy·stem is to reduce or eliminate market frag buyer for a customer's order of 30,000 shares most favorable price available than if the mentaltion. Certainly implementation of a of ABC at a price of 39%. Under this ver firm acted merely as a broker. composite quotation system will do much to sion of the rule, the 200 shares on Specialist The Commission said in its Market Struc achieve this end, since a broker with instan A's book and the 100 shares on Specialist ture Statement, "to mandate the formation taneous market information indicating the B's book at 39%, and the 100 shares on Spe of a central market system is not to choose best bids and offers for each system security cialist A's book at 39%, would participa.te at between an auction market and a dealer will be able to execute his customer's order 39%. Although this would provide something market. Both.have an essential function and in the best market available. It is when trades of a "windfall" to customers whose limit both must be put to work together and not are completed at prices somewhat above or orders are executed in this manner, it might separately in the new system." 20 Perhaps it below the prevailing market price (usually well serve as an incentive to the insertion is worthwhile to state again, unequivocally, because of their size) that the order execu of limit orders, lending stability to the that the Commission does not wish to en tion process becomes more complicated be markets. The investor on the other side typi courage the creation of a purely "dealer cause bids and offers "away" from the cur cally would not object to the added cost of market" for listed securities.so It seems clear rent price are not likely to be displayed satisfying intervening orders at the cross that adoption of the above two trading rules, through the quotation system, nor would any price since he has already indicated his will ~mong other things, would preclude this re existing rules require that all markets be ingness to complete the entire transaction sult. No broker-dealer would be permitted to checked for such limit orders.2o Indeed, un at that price. trade with a customer except at a price more der present rules disclosure of such orders Under the auction trading rule brokerage favorable to the customer than any public would not even be permitted. Accordingly, would have to be allocated on a basis prop order available anywhere in the system; thus, if fragmentation is to be eliminated certain erly retlecting the various services per the customer could stand only to gain from rules tying the individual mar~et centers formed. The brokerage commission custom a transaction with a dealer. Furthermore, by together must be adopted. arily paid in respect of a limit order could providing additional benefits for public Auction Trading Rule. All securities in be equitably allocated among those firms orders, such as system-wide "protection", cluded in the central market system would which participate in its execution.z preference over dealers and possible partici be subject to two basic trading rules, both Consideration also should be given to pation in discounts and premiums, the entry of which were recommended in Approach II whether limit orders entered in the system of such orders would be encouraged, result of the Central Market System Report. The by specialists and other market makers ing in more offsetting, non-dealer tra.nsa.c first, which shall be referred to as an "auc should be accorded protection (subject to tions. In short, adoption of these rules would tion trading" rule, would provide price pri the public preference rule described below). take the best features of the auction-agency ority protection for all public orders through If so, market makers would be better able market that exchanges now provide and ex out the system.21 All such orders-which to protect their positions, particularly in pand them into principles to govern the would be entered into and stored in a cen fast-moving markets, and would thus be en functioning of the entire central market tral electronic repository by a specialist and couraged to risk substantial positions, en system.st would not be publicly available 22 would have hancing Uquidity,l!G IV. COMPETING MARKET MAKERS to be satisfied, or "cleared," probably through Public Preference Rule. A second trading Composite quotation system rule, also designed to strengthen the auctiOIIl exchange facilities, before a proposed trans For competition among market makers to action could take place. and agency characteristics of the central market system, would accord preferential be meaningful, potential competitors must For example, suppose the best bid in the have the means to display their trading in system for ABC is 40 and the best offer is treatment to public orders by preventing any member of the system from participating as terest to the world at large so that they can 40¥2. A broker representing a seller of 1,000 compete actively rather than passively. By shares contacts Specialist A whose bid is 40 principal in any system transaction unless his purchase price is higher, or his sale price the same token, brokers representing in and learns that it is the specialist's own vestors must be able to determine at any bid, that he will take 500 shares at 40, 200 price lower, than any public· bid or offer re corded in the system.27 Thus, if a market given time the lowest price at which a par shares at 39% (for a bid on his book), and ticular security can be bought and the high the remaining 300 shares at 39% (100 for a maker were bidding 40 for 100 shares of ABC est price at which it can be sold. It is bid on his book and 200 for his own account). and a broker had entered into the system therefore essential that a composite quota Under the proposed rule, before executing a bid representing a public order to buy 100 tion system be put in operation as soon as the trade the specialist would key into his shares at 40, the market maker would not possible. desk terminal a planned sale of 300 shares be permitted to buy until the public order Toward this end the Commission proposed at 39%, the price furthest from the present was either filled or cancelled. In other words, Rule 17a-14. Specific advice was requested market.23 Instantaneously, his CRT screen a broker-dealer would be prohibited from from the Commission's Advisory Committee would indicate, perhaps, that 100 shares were participSJting in a transaction unless he were on Market Disclosure as to how such a sys bid for on the book of Specialist B at 39%. offering the investor on the other side a bet tem should operate. That Committee's re Specialist A would know that to complete ter price than could otherwise be obtained. port, issued November 21, 1972, set forth a the trade, the order on the book of Specialist number of characteristics its members felt B would have to be satisfied before any trans Although this "public preference" rule would place some limitations on the flexibility, and a composite quotation system should have. action could be effected at 39%. After sup They said the system should be open to all plying 100 shares to the customer of Special in many cases the profitability, of market makers, its object would be to provide the listed securities, or at least should be co ist B and filling the 200 shares on his own extensive with the central market system's book at 39%, Specialist A could then pur maximum opportunity for public orders to securities. The information to be displayed chase the remaining 200 at 39%, 100 for the meet. Assuming the practical problems can in the quotation system would include a bid on his book and the finalr100 for his own be resolved, we believe the rule wm have this designation of each market maker who has account. Thus, any public order entered in result. In effect, members of the sysrtem would entered quotations, or of the appropriate ex the system would be "protected" against surrender the rights to priority (based on change in the case of a specialist, and their the execution of any transaction anywhere times) and precedence (based on size) they respective bids and otrers. would otherwise have, so that public orders Provision would be made to allow market Footnotes a.t end of artiGle. could meet more-often.28 makers to indicate the ·number of shMes for May 7, 1973 EXTENSIONS OF REMARKS 14553 which their quotations are good, if greater quotation system but all market makers ters will doubtless have a better notion of tha.n a single unit of trading, but to ente~r would be required to assume obligations to their regulatory needs, as will the Commis quotations "in size" would not be manda the market. In addition, they felt that such sion, after having had an opportunity to ob tory. The last sale, cumulative vol·ume and obligations should be akin to those currently serve actual trading practices.a9 The plans range for the day could also be made avail applicable to specialists. submitted would not have to be identical to able, if desired. There would be no limitation Approach I of the Central Market System those now in effect on the New York and on reaJ. time access to any information in Report took yet another position on this American Stock Exchanges (NYSE and Amex) the system by any user prepared to pay the question-that a.ny major changes in the but could be tailored to suit the individual applicable charges, subject to the need to way the securities markets are now regulated requirements of the respective market cen regulate a.ccess to prohibit misuse of quota should come about slowly and only in re ters adopting them. In preparing such plans tions a.nd to permit pricing based on a sponse to demonstrated regulatory need. Its the prevailing principle should be to impose charge per display terminal. proponents felt that the best course would responsibilities commensurate with the bene The Comm.ilttee, with one dissent, also felt be to introduce the composite last sale re fits which are realized by the members of that in order to provide a central source porting system and the composite quotation the respective market centers. of quotations there should be only one per system and then to observe the impact on With respect to the quotation system itself, missible quotation system for listed secu trading which results therefrom. If after a the Commission agrees that only those will rities,82 By this, they meant a single system reasonable period of time it appeared that ing to accept market obligations should be in the sense of one set of rules prescribing corrective regulation were desirable the Com entitled to use the system for two-sided quo minimum qualifica.tions and one comprehen mission would be in a position to respond tations. We also agree that there should be sive data base; they did not intend to ad appropriately.34 Approach II of that Report, only one quotation system for listed securi vocate any particular kind of equipment or while not in disagreement, emphasized the ties, a system within which competition in proprietary device. Approach II of the Cen importance of assuring that a.ny responsibil terminal equipment, software and other fea tral Market System Report concurred in ities imposed upon market makers were com tures can flourish. The Commission's detailed this view. mensurate with benefits derived by them views will be reflected in the republication At the heart of the Report was the Market from the system. of Rule 17a-14, as revised, for public Disclosure Committee's view that, to main After careful consideration of many alter comment. tain the public's expectation that reason natives on this issue of "unequal regulation" Upstairs market makers ably continuous and orderly markets would among markets, the Commission has reached It is common for some exchange member be made in all securities quoted in the sys a tentative conclusion which appears respon firms to assume substantial security positions tem, only market makers capable of meeting sive to all relevant objectives. Prior to com from time to time to facilitate block trades. specified capital requirements and willing mencement of the kind of active competi A number of exchange members also act to assume certain obligations in respect of tion the quotation system is expected to en as quasi-market makers by standing ready the market in the securities they quoted courage certain basic rules affecting mem to buy or sell medium or smaller size blocks should be permitted to insert their quota bers of the various component market cen of a limited list of securities from or to their tions in the system. Thus, the Committee ters which will comprise the central market institutional customers, usually at prices attempted to establish a nexus between the system must be made uniform. Specifically, reasonably related to the current market. This privilege of access to the quotation system there must be a uniform rule, applicable to phenomenon has been referred to as "up and the duty to undertake market respon all exchanges, regulating the proper use of stairs" market making. As the Commission's sibilities. A variety of views as to the ap exchange membership.86 In addition, there Advisory Committee on Block Trading propriate nature and scope of that duty should be a rule requiring the disclosure of pointed out in its Report to the Commission is discussed below. completed transactions in all markets, which issued August 7, 1972, such firms represent Regulation of market makers Rule 17a-15 would do; a revised rule to im a source of additional market making capac In describing the kinds of obliga-tions it pose uniform regulation on short sales in ity for the central market system. As long all markets; and a uniform rule governing as such firms make markets in size, they felt users of the quotation system should as sume, the Committee sugges·ted that they manipulative practices generally, such as have acted to complement the specialist sys should be prepared to: make a bona fide, the one proposed by the Central Market Sys tem and are not generally considered to be in continuous two-sided round lot (or other tem Advisory Committee in its Interim Re direct competition with specialists. minimum unit of trading) market in a par port to the Commission of October 11, 1972.88 Once a composite quotation system is in ticular security in the quotation system Although the two basic trading rules dis operation, however, there is a possibility that for a specified minimum period of time, say, cussed above under "Trading Rules" should these upstairs exchange members, as well as one year, and to deal in the system in such eventually be applied uniformly throughout non-exchange market makers, may wish to security in a stabilizing manner.... Fur the entire system, they raise a number of compete more actively with specialists in thermore, . . . a market maker should not technical problems, which relate principally transactions of all sizes, since they could be free, except for good cause shown, to to the need to adapt existing trading prac disseminate their quotations broadly, by use drop out of the s.ys.tem in a given stock and tices to new rules and new configurations of of the system, without having a physical then return at Will; it should have to re hardware and software. It is hoped they can presence on the exchange floor. Further, a main out of the system as to that stock for be satisfactorily resolved prior to the imple number of commentators have expressed the some suitable period, say, six months, before mentation of the composite quotation sys fear that if completely competitive rates be resuming its quotations. Any broker-dealer tem or as soon thereafter as possible. come a reality many firms-particularly na not prepared to make such a continuous On the question of market responsib1lities tional wirehouses with a large retail clien market in a stock would be permitted to con for market makers in listed securities, the tele-will become dealers in many of the tinue to act as a dealer therein, and to pro Commission is of the view that the privilege more active securities in which they now exe vide quotations upon request, but would of making such markets should carry with it cute orders as agent and would choose to only be able to enter bids and offers into the an obligation to contribute to the orderliness deal directly with their customers on a prin system through a market maker eligible to and depth of those markets, unless and until cipal basis, relinquishing their exchange enter quotations in the particular security it can be demonstrated that the forces of memberships if necessary. They conclude or through exchange facUlties. Bids and competition can provide a sufficient incen that the ultimate result of this activity would offers representing customers' orders would tive to the maintenance of orderly, liquid be the destruction of the auction market sys be entered in the system in a similar manner. markets under most conditions. Accordingly, tem. Accordingly, many of these commen The Report also recommended that, ex before the composite quotation system com tators have called for the prohibition of trad cept under certain limited circumstances, mences operation the Commission proposes ing in listed securities off the exchanges and any quote in the system would have to be to take two steps: it will rescind the exemp of upstairs market making generally. "firm" for at least a unit of trading or any tion from Securities Exchange Act Rule llb-1 As previously indicated, however, the trad greater quanttty bid for or offered. now enjoyed by the regional exchanges,37 and ing rules discussed above should effectively The House Study took a somewhat differ it will propose adoption of a rule which inhibit a firm from dealing with its custo ent view. The Subcommittee felt that "An would require the National Association of Se mers as principal unless it were offering a indispensable precondition (to creating a curities Dealers, Inc. (NASD) to file a plan price at least as good as any other in the central market system) is that market mak providing for the regulation of its third mar system and better than any public order in ers be subject to rules akin to those cur ket maker members in a manner as nearly the system. To take a further example, sup rently imposed upon specialists which would comparable to the regulation of specialists as pose an investor asked his broker to purchase require them to make continuous and or circumstances permit.38 200 shares of ABC at the market. derly markets in those particular secur.ities Plans in respect of regional specialists and The broker would promptly determine in which they have assumed responsibilities third market makers would not have to be through his quotation system CRT screen as market makers, as well as to rules against filed prior to the system's introduction, how that the best existing offer was 40 and that a market maker in Market A and a public cus short selling and other manipulatory prac ever, since as the Central Market System tices." 83 In effect, the Subcommittee took tomer in Market B were. each offering 100 Report has recommended, it would be unwise shares at that price. Under the proposed a stronger position than the Advisory Com to attempt to design a regulatory framework mittee in that not only users of a composite rules, the broker could sell his customer the for market makers prior to observing the full 200 shares as principal only at 39% (one pattern of trading which emerges after the eighth better than the public order) or, al Footnotes at end of article. system's implementation. These market cen- ternatively, he could sell 100 sh8ires at 40 14554 EXTENSIONS OF REMARKS May 7, 1973 after filling the public order. Under these including insiders, institutions and other cialists on every occasion63 to avoid being circumstances, the customer would never public customers (who often were friends charged with "interpositioning". They would stand to lose and often might stand to gain or relatives). It concluded that the special thus forego the use of brokerage services ex from dealing directly with· his brokerage ist's discretion in matching orders presented cept where virtually unavoidable.&4 firm.40 him with an opportunity to favor his own We believe such a result would be highly Critics further contend that these and customers over those whose orders were for undesirable and is not supported by policy other well-capitallzed firms would concen warded by another firm and recommended or law. Many institutional investors may not trate their trading in the most active se that specialists be prohibited entirely from possess sufficient trading expertise to deal on curities, generally the most profitable, but carrying accounts for direct customers.45 A their own in the marketplace. Even those would decline to deal in the less active ones. compromise was reached, allowing the spe who have sophisticated traders frequently re Specialists, on the other hand, are required cialist to carry public customers' accounts quire the services of a broker, particularly by stock allocation practices on most ex but prohibiting him from carrying the ac one with numerous institutional contacts, in chanf2'es to make market s in both active and counts of corporations in whose stock he order to acquire or liquidate a position effi inactive securities and would be placed at a specializes and their insiders, as well as ac ciently. The desire for anonymity in many competitive disadvantage. As a consequence, counts of institutions generally, because of transactions also provides a legitimate and exchanges might seek to improve the com the former's access to non-public information import.ant reason for employing a broker. It petitive position of their specialists, it is and the latter's market power.'0 would be unfortunate if the decision whether argued, by permitting them to select the se These rules have been said to place the to use a broker had to be made under the curities in which they wish to make markets; primary market spec~alists at a competitive threat of legal liability based on 20-20 hind alternatively, specialists might leave the :floor disadvantage as compared with third market sight. All investors should have discretion to to make upstairs markets. If there were se makers and block positioners in respect of determine whether and when in their judg curities to which no specialist was assigned, institutional-sized orders. The Institutional ment it is appropriate to utilize the services the resul,t might be a loss of continuity and Investor Study concluded that a market of a broker.oo orderliness in those securities at times when maker's performance is a function of the This potential problem should not be par their interest to investors may be relatively total trading volume in any security to which ticularly acute under the proposed modifica slight. he is exposed; 47 the specialist's insulation tion, however, since the size of order as to The Commission is unable to predict from indications of institutional buying and which direct dealing would be permissible whether in fact certain securities would faiJ. selling interest may render him underst.and almost invariably requires the use of broker to attract any prospective specialists or ably reluctant to commit his own capital, age services. Nevertheless, if it appeared that whether specialists, if required to compete particularly to offset large orders. He lacks institutional fiduciaries were under undue with upstairs member firms engaged in mar the "feel" of the institutional market in a pressure to deal directly with market makers ket making without an allocation process, . stock that is available to block positioners, the Commission would take prompt action to would decline to make markets on exchange third market makers and, in some cases, re investigate the circumstances to ensure that floors. It is well to bear in mind, however, gional exchange specialists, notwithstanding insitutional managers were not inhibited in that despite its well-publicized shortcomings his possesion of the book, which seldom con exercising their judgment. If necessary, the the specialist system has provided a reliable tains orders of substantial size. He may also Commission could adopt rules or recommend source of liquidity in listed securities and be reluctant to assume the risk of a large legislation to correct any such situation should not be put at :risk without a proven position because of his inab111ty to work which might arise. However, the possiblllty replacement. Thus, before requiring thalt ex actively to liquidate such a position.411 In ad that the duties of institutional managers changes permit their members to engage in dition, the limitations placed upon his ability may require clarification in the manner set upstairs market making Without an alloca to carry the specified customers' accounts forth above in no event should be permitted tion system, the Commission intends to re deprives him of a substantial portion of tlie to deter a rational resolution of the issues quest its staff, with the cooperation of the commission revenue he might otherwise be raised by Rules 113 and 190. exchanges, to study and report to it, perhaps 49 able to generate. These factors may well V. MEMBERSHIP IN THE CENTRAL MARKET on the basis of a pilot program, the likelihood serve as an impediment to the development of either of the consequences referred to of a fully competitive central market system. The principle of best execution above and their potential impact. This study The need for Rules 113 and 190 is unques The relationship between a customer and would also ad vise the Commission on the tionably more pronounced in the context of his stockbroker is that of principal-agent; as diswbllity of simply permitting listed securi a single or dominant specialist, as distin a.n agent the broker has a fiduciary duty to ties unable to attract a specialist, absent an guished from a system of competing market act in good faith with resp-ect to his customer. allocation procedure, to be placed in "cab makers of relatively comparable stature.50 A Perhaps the most significant taslt a broker inet" status or perhaps even delisted on the specialist would be deprived of virtually all performs for most of its customers is ob theory that their lack of activity (assuming opportunity to affect the market for the taining the best available price in the execu this to be the reason for the dearth of in benefit of his own customers under circum tion of their orders. terest in specializing) renders them unsuit stances where any price unjustified by mar Under the existing structure of the secu able for trading on the particular exchange ket conditions could lead to a prompt re rities markets, several factors may either pre where they are listed. sponse by his competitors; i.e., an out-of-line vent a broker from obtalnlng the best ex Whether or not 1t is ultimately determined quote would be subject to being "picked off" ecution of an order or explain his failure to that upstairs market making must be ac by other market makers. . do so. For example, it is now difficult in most companied by a securities allocation process, When a system of competing market mak cases for a broker to determine whether or it should be noted that, as stated above, the ers becomes a reality, it may be possible to not he has in fact obtained the best execu privilege of engaging in market making on eliminate some of the problems created by tion that was available at a particular time. a regular basis must carry with it respon these rules without danger of permitting tne Thus a broker may now feel, particularly if sibllities to contribute to the fairness and potential for abuse which prompted their he holds a market order, that he is not only orderliness of the market. Accordingly, if up adoption. At such time consideration should authorized but obliged to execute the order stairs firms were to begin to make two be given to modifying the rules, as an experi as soon as possible, which requires that he sided markets on a regular basis, as distin do so in the "usual market" for the secu guished from taking positions to facllitate ment, to permit specialists to accept directly from institutional cus~omers orders having a rity. Communications facllitles presently at a block trades in a variety of securities, they value in excess of $200,000. This would place broker's disposal make it virtually impos should be required to assume additional ob the specialists in a more comparable posi sible for him to check all markets for a bet ligations to the markets in which they deal.u tion vis-a-vis other market makers not sub ter price Without the risk of "missing the Direct dealing between specialists and ject to restrictions on direct dealing and market" in the usual marketplace. institutions could be expected to provide needed addi In addition the rules of the particular The Marked; Structure statement ques tional market making capacity on institu marketplace of which a broker is a member tioned whether any restrictions were "neces tional orders.S~. may restrict his ability to take an order to sary or desirable on dealings between special The effects of modifying the rules could be another marketplace. These rules have been ists or other market-makers and institu carefully monitored by the exchanges and justified by the argument that a customer who engages a broker to execute an order on tions."~ An investigation of the Amex con the Commission. Assuming no significant ducted during the early 1960's discovered problems were observed, the stage would be an exchange impliedly confers authority to that the specialists on that exchange fre set for a more substantial ·revision of the conduct the transactions according to the quently held discretionary orders from their rules, perhaps leaving the prohibition in established rules and customs of the ex own customers which they were using to existence only as to corporations and their change of which the broker is a member. manipulate the market."3 Following this scan insiders.62 Thus a restriction such as the NYSE's Rule dal, and pri,or to the Special Study of Secu One word of caution is necessary in dis 394, which inhibits a member's ability to ex rities Markets ("Special Study") "the Amex cussing possible modification of Rules 113 ecute an order away from the NYSE, may ef adopted Rule 190 ·prohibiting dealings be and 190. It has been pointed out that if di fectively reduce the broker's ab111ty to dis tween specialists and corporate insiders. The rect dealing between institutions and spe charge his fundamental duty of best execu Special Study reviewed the relationships be cialists is permitted many institutional man tion. tween specialists and their direct customers, agers, pa-rticularly "external" managers such The progress we anticipate towards imple as advisers to investment companies, would mentation of composite last sale reporting Footnotes at end of article. feel obliged to deal directly with the spe- and quotation systems should serve not only May 7, 1973 EXTENSIONS OF REMARKS 14555 to facllitate but in most cases to require that cations system there will be a need for trad stress on the value of permitting markets to a broker execute an order wherever the best ing floors. As long as this continues, it will evolve, provided they do so in the general p~ice is obtainwble. For one thing, a broker be physically impossible to accommodate on direction intended, and without market d.is Wlll be alble to check all the quotations of one single trading floor all members of a tortions detrimental to the public interest." t1a all market l:llakers and specialists in a par central market system who might wish to It is clear that the problem of professional ticular security promptly and simultane trade thereon. Accordingly, some members of B~Ccess to individual market centers also could ously. Furthermore, for reasons discussed in the system must be given priority in the use be effectively resolved by the advent of fully the nex·t succeeding section, restrictions such of an exchange's physical facilities. Such per cDmpetitive commission rates. In the absence as Rule 394, regardless of their past appro sons must be willing and able to perform of a fixed rate structure, each broker could primeness, are incompatible with a central transactions for others and should be entitled negotiate his own access to any market cen m arket system and will have to be rescinded to reasonable compensation for doing so (i.e., t er of which he was not a member. As has by the time t h e quotation system is in opera what has been generally referred to as "floor been indicated in previous expressions of the tion. Thus it appears that within the near brokerage"). In this sense, but only in this Commission's policy in this area, however, future brokers will be able, in many cases sense, should the concept of "seats" on a it is likely to be April of 1974 before the for the first time, to look beyond their own particular exchange have continuing validity. Commission requires that comm.ission r81tes market centers to satisfy their basic agency To put the matter differently, a seat on an ·be competitively determined on the portdon duty to their customers.G6 exchange should not represent a monopoly of all orders which exceeds $100,000, since Access between market centers on its use or economic advantages to ex movement toward that goal must be accom change members which are disproportionate panied by thorough analysis of the impact of Under existing exchange rules, a broker to the value of the functions they perform for past changes in rates and other factors af wishing to execute a transaction through the others." oo fecting the viability and health of the mar facilit ies of an exchange of Which he is not kets. Moreover, the question of whether fixed a member must pay to a member of that Under the Subcommittee's proposal, mem bership in the system itself presumably would rates are appropria.te on smaller orders has exchange a nonmember commission, less a yet to be resolved. professional discount generally amounting to entitle a firm to deal at intramember rates in any component market of the system. The possib111ty remains, nevertheless, that 40 percent. The fact th!lit many exchange the exchanges themselves may seize the ini members (principally on regional exchanges) Either such rates would be set by each ex change, or each professional member of the tiative and determine to move toward ln still use the technique known as "regular creased rate competition on their own, prior way reciprocity" to secure for themselves, in system would be entitled to negotiate his own rates with the members who provide ex to the commencement of the quotation sys directly, a return of a portion of the com tem's operations. Another possibility is that missions they pay in executing transactions ecution and clearance services for him. In the latter case, members of the system would the exchanges may determine to initiate a through exchanges of which they are not proposal for negotiated professional access m embers, provides evidence that the 40 per be free to negotiate their own financial ar rangements with seatholders or other mem before the quotation system is introduced. cent discount or "nonmember access" pres Should either of these events occur,o' it ently available may not reflect fully the exist bers for execution, clearance and any other desired services, much as is presently done by would probably become less important to ing economic real'ities of executing orders pursue further the concept of central mar for correspondents. The necessity for a non non-clearing or non-floor member firms and by nonmembers, In less direct fashion. Rates ket system membership as a means to eco member broker to enter into complex recip nomic access to all coiXl'ponent market cen r ocal arrangements or to sacrifice a substan for such services would tend to reflect the true cost and value attributable to the serv ters. tial portion of the commission he has earned Assuming that neither event occurs, it will t e nds to obscure the factors on which com ices provided. Operational and administra tive expenses could be shared by all mem nevertheless become essential, by the time pet ition for listed commission business the composite quotation system is imple should be based-obtaining the best security bers of the system on an equitable basis.6t As an illustration, suppose Broker X, a mented, for brokers to have the ab111ty to ne price and providing t he best service to the gotiate substantial economic access in order customer.u7 member of Exchange A, received an order from a custDmer to purchase 100 shares of to compete effectively for listed business and In the Market Structure Statement, the to fulfill their duty of best execution with following were listed as t wo of the essential ABC. Suppose further that Broker X then det ermined that the most favorable execu out suffering fl.nancial_llardship. Nonmember elements in the development of the central access appears to offer a suitable vehicle for market system: " (e)Jimination of artifl.aal tion for the customer was available with the specialist on the floor of Exchange B, of moving toward this goal, but the fact that impediments, created by exchange rules or regional exchange members are still able to otherwise, to dealing in the best available which he is not a member. Broker X could obtain an execution by employing the serv utilize reciprocal arrangements to achieve market," and " (e) stablishment of terms and returns of 50 percent or more of the mini conditions upon Which any qualified broker ices of any floor bt:oker on Exchange B for a mutualy agreeable charge, negotiated in mum commission indicates that at least some d ealer can attain access to all exchanges." 58 advance. If necessary, he could also have the members are prepared to give away more than The House Study took a further step and the 40 percent of a full commission per a t temp.ted to define the terms and condi transaction cleared for him through the faciUties of any clearing member of Exchange mitted under the present nonmember ac tions of such access: cess provisions. Thus, from an economic "One must start with the assumption that B at whatever rate the two firms had previ ously agreed upon. Thus, Broker X would point of view, the present access level would all broker-dealers unless for some reason dis seem too low in many cases. qualified by lack of experience or inadequate receive a nonmember commission from his customer and would have to pay charges for Accordingly, it will apparently be neces financial resources should have equal access sary for each exchange to modify its rules to a central market system. In this sense floor brokerage and clearance., resulting in net revenue to him roughly equivalent to substantially to increase the maximum per e ven a nonmember discount charged by missible level up to which nonmember ac members of one exchange to nonme·mber what he would earn had he executed the transaction on his own exchange, assuming cess can be negotiated. Although the exact broker-dealers is difficult to justify. Mem amount of the appropriate increase has not bership in the central market system should he did not have his own floor representative or clear his own transaction. yet been determined, it is clear that a sub imply equality of access, in economic terrns, stantially higher level of access is desirable, t o all parts of the system. This is especially A system of negotiable access by all broker dealers, as described above, appears not only perhaps 60 percent. The maximum d.iscount t rue if members of the system have a fiduci might well be set as high as the highest level ary d'l'!tY to seek best execution of trades to be logical and efficient but to provide the 8 of access currently being negotiated at arm's wherever within the syst em such trades are self-regulatory system. 2 Because of this the investing public can be properly served; how length by means of regular way reciprocity effected. Th.is in turn requires that the con between regional exchange members and pri cept of membership in individual exchanges ever, its development presents a number of practical problems. Perhaps the most signif mary exchange members, since such rate can be reex·amined and, if necessary, replaced by be expected to cover costs and provide a rea a larger concept; namely membership in a icant of these is the impact such a system would have on the existing structure of our sonable profit for both parties, at least for central market system." 5o self-regulatory system.o2 Because of the the most profitable kinds of business. Need This view would result in the replacement less to say, smaller discounts could be agreed of the ex.isting system of membership in need to proceed with caution when such a complex and delicate mechanism is at stake upon. The Commission's staff is presently at individual exchanges with the concept of tempting to gather data which would reveal membership in a cDmprehensive market sys the best course to establishment of the sys~ tern described would necessarily be an evolu the range of prevailing access levels. tem comprised of all markets in which listed Implementation of an increased access rate securities are traded. tionary one. The House Study expresses simi lar sentiments: would serve several purposes. It would en The House Study goes on to describe the courage competition, and hence efficiency, by consequences of its access proposal in the fol "Although the Subcommittee believes that permitting members of the primary ex lowing manner: the foregoing describes the objectives to be changes to compete directly for the non "This is not to say that exchanges them sought from the standpoint of market plan member business they now compete for in selves should be declared obsolete. Until the ning, i.t would be unrealistic to assume that directly through reciprocal arrangements. In day when trading may be done exclusively these objectives might be achieved in a single addition, by making access more readily through a nationwide electronics communi- step, through legislative fiat or administra available to nonmembers it would facilitate tive directive. In this sense, the Subcom the satisfaction, on an economically viable Footnotes a.t end of article. mittee concurs with the Commission in its basis, of their duty to obtain best execution 14556 EXTENSIONS OF REMARKS May 7, 1973 and would enable them to shop for the best cept of associate membership now in use on should immediately rescind the rule. If this combination of price and service in execu the Amex. Basically, a broker-dealer who is not done the Subcommittee will introduce tion and clearance. At the same time, it becomes an associate member of that ex legislation which will have the effect of ab would be possible to observe the impact on change pays a relatively small initial fee rogating the rule." 68 stock exchange membership of this limited (plus a periodic assessment based on com Subsequently, the House Subcommittee in version of the broader proposal for system missions earned) and is granted economic troduced legislation to abrogate Rule 394.eo membership for all broker-dealers. This kind access at a rate not substantially higher than The Commission's 1965 staff study of Rule of an experiment should provide much valu that available to members. He is not per 394, however, recognized certain beneficial able information, on a controlled basis, and mitted to be present on the floor but is results flowing from a policy of centralizing would be of great assistance in determining subject to the whole range of normal regu execution on an exchange floor. As was point whether an appropriate course is being latory responsibilities of a full member. ed out in the report: pursued.65 Thus, associate membership appears to af "Regulatory supervision is present on Ex It has been argued, as noted above, that ford economic exchange access to all quali change transactions. The highest bids and to the extent a non-exchange member broker fied broker-dealers without jeopardizing the lowest offers are accorded priority. Public dealer can execute transactions through ex structure of self-regulation. orders can often cross without the interven change facilities at a cost comparable to that Another approach would be simply to tion of a professional dealing for his own a member must pay (for execution and adopt the recommendation of Approach II account. Publicity is accorded to individual clearance) he will be less inclined to incur of the Central Market System Report that transactions by tape prints and to the col the regulatory obligations and ex:P'enses of each broker-dealer transacting listed busi lection of transa.ctions by the stock tables." "0 exchange membership, unless he plans to ness would have to join at least one self Nevertheless, the report concluded: conduct a floor-oriented business on the ex regulatory organization. The consortium of "Whatever are the advantages which these change. Under present circumstances, the self-regulators referred to in Section III aspects offer the public, they must be bal principal benefit of joining an exchange, herein could ensure that the rules of the var anced against the disadvantages as well as other than economic access and the right to ious bodies were enforced with equal vigor considered from the point of view of whether presence on the floor, is the good will and and that rules of a particular self-regulator the same advantages could be preserved with Ptestige traditionally associated with mem relating to trading and similar matters could certain adjustments in the Rule. On bal bership. It is further argued that to dis be enforced with respect to transactions by ance, the disadvantages seem to outweigh courage exchange membership might ad nonmembers utilizing the facilities of that the advantages, and neither the Rule nor versely affect the viab111ty of exchanges as self-regulator. the current interpretations seem to be trading mechanisms by reducing the flow of These and other alternatives should be sine qua non for a healthy market operat orders to exchanges and would permit the studied carefully by all exchanges as prompt ing in the public interest. It simply goes too proliferation of broker-dealers not subject to ly as possible so that a program of associate far and encompasses too much." 11 the pervasive regulation and standards which membership, or whatever approach is deemed One of the basic reasons for creating a the exchanges historically have imposed on appropriate, can be implemented by the time central market system is to enable the in their members. The Commission is convinced access is increased. vesting public to have the benefits of rules that exchanges play a central role in the na Foreign access designed to centralize trading without im tion's capital markets and would be very pairing a broker's abi11ty to obtain best ex concerned if either an increased access pro The interest of foreign investors in pur ecution. In order to achieve this centraliza vision, or competitive rates, served to prompt chasing and selling U.S. securities has in tion, all transactions in listed securities, or an exodus of members from the national ex creased considerably within the last few at least those in which a broker-dealer is changes. While the following discussion in years. Commensurate with this increased involved, will have to be subject to the sys dicates why the Commission believes that trading interest, foreign brokers and foreign tem's trading rules and reporting require such an event will not occur, we intend to banks performing the brokerage function ments. In other words, under a central mar have increasingly sought wider access to our monitor closely the impact of any such ket system Rule 394 would be replaced by a change to determine whether the results are securities markets to perform brokerage broader rule confining virtually all trading consistent with the public interest. services for their customers. Subsidiaries of a number of such foreign banks and broke,rs in listed securities to the system. The im As to the question of orders flowing to the currently are members of those national portant distinction, however, is that the cur exchanges, any firm dealing with the public securities exchanges which permit such mem rWlt disadvantages of; Rule 394 would not has a duty to obtain the best possible execu bership. In addition, several exchanges have be present. tion of each customer's order. This means submitted to the Gommission proposals to The principal objection to Rule 394 is that that whenever the quote in a given security permit extension of the present 40 percent it can have the effect of restricting the is more favorable on a particular exchange, nonmember discount to qualifying foreign abi11ty of a member firm to obtain the best or unavailable elsewhere, a broker will be ob brokers and, in one case, to foreign banks. execution of an order for its customer by liged to execute the order there, whether or At least until competitive rates are in limiting its ability to execute the order in a not he is a member. So long as any exchange troduced domestically, it may be expected market away from the exchange. Since all continues to provide an efficient, liquid mar that the interest of foreign broker-dealers market centers would be part of the central ket, it will continue to attract a high level and institutions in membership on and ac market system, a rule which required all of orders. Even those firms which might wish cess to U.S. exchanges will continue to be transactions to be executed within that sys to execute most of their listed business di strong. This interest, however, raises anum tem, could never work to prohibit a broker rectly with their own customers would find it ber of problems, including difficulties of from obtaining best execution. The broker difficult to do so under the trading rules out adequate exchange survemance and in would simply execute an order wherever in lined above. More favorable bids or offers spection programs, particularly in view of the system the best price was obtainable, would be highly visible by means of the quo secrecy laws in some countries, and foreign subject to the system's trading rules, and tation system, and any trade consummated enforcement of exchange rules. These ques report his completed transactions through would have to appear on the composite tape. tions also exist with respect to foreign non the composite reporting system. Trades between a firm and its customers member access, since the nonmember dis By the same token, once a composite quo would be subjected to the auction trading courut is intended to be limited to agency tation system is in effect retention of Rule rule and the rule according preference to orders for unaffiliated customers. 394 would create serious problems for brokers public orders, so the broker would be re seeking expeditiously to discharge their duty quired on each occasion to bid higher or In view of these potential regulatory prob lems, and the general paucity of data and to obtain best execution. Accordingly, it offer lower than any public order represented seems likely that the NYSE will find it in its in the system. In short, it would be most expertise in this area, the Commission feels member's best interest to rescind the Rule difficult for a responsible broker to avoid do that it is necessary and appropriate to study not later than the time when the composite and analyze the terms and conditions, if any, ing much of its business on exchanges, even quotation system is implemented. If this upon which foreign participation in our se as a nonmember, so Ion~; as the market mak does not occur, the Commission will request ers on those exchanges remain competitive. curities markets should be permitted. To assist the Commission in studying the sub its rescission. Thus, the trading mechanism provided by ject of foreign access, we contemplate issu VI. CONCLUSION the exchanges should be unimpaired. ing a release in the near future requesting At the heart of the central market system As to the effects of the self-regulatory public comments on a vadety of issues. we have described herein will be an efficient structure, it may be that as nonmember ac Rule 394 and comprehensive communications link cess 1s increased some sort of basic redefini age between market centers consisting of a. tion of the membership status of a recipient Much has been said and written about real-time composite transaction reporting of such access may be needed.88 The principal Rule 394 of the New York Stock Exchange.67 system and a composite quotation system issue is the extent to which the traditional The House Subcommittee concluded: displaying the bids and offers of all quali economic benefits of exchange membership "In a central market system whose ob fied market makers in !isted securities. The should be conferred free of the regulatory jectives are that customers should receive necessary steps which have to be taken to responsibilities shared by all members. the best possible execution of their orders achieve the composite reporting system al For example, it may be appropriate for the in any market wherever situated and that ready are well under way. The next step will exchanges to explore and develop the con- such orders be transacted at the lowest pos be to demonstrate a similar commitment to sible cost, Rule 394 has no justification. Ac making the much-discussed composite quo Footnotes at end of article. cordingly, the New York Stock Exchange tation system a reality. To this end, the May 7, 1973 EXTENSIONS OF REMARKS 14557 Commission intends to republish proposed of the securities market. The Commission u The Commission's concern with creating Securities Exchange Act Rule 17a-14 in the recognizes that the present performance of this environment has been expressed in near future. these markets is far superior to that of detail in Securities Exchange Act Release It is clear to the Commission that the capital markets anywhere else in the world No. 9950 (January 16, 1973) at pp. 109-134, implementation of an operational communi and that care must be taken not to impair adopting Securities Exchange Act Rule 19b- cations system, without more, would neces their functioning. Nevertheless, the markets 2, 17 C.F.R. 240.19b-2. sarily precipitate some restructuring of the are constantly evolving, and to the extent 1s Market Structure Statement, n. · 2 above, way securities are traded today. Rather than that a rational course can be charted for this at p. 8. let such restructuring occur without rational evolution to follow it would appear desirable 16 Id., at pp. 8-9. direction, the Commission, in this policy to do so. 17 It should be noted that Approach I of statement, has attempted to anticipate some This statement of the Commission's views the Central Market System Report did. not of the problem areas and to sketch out a should not be regarded as inflexible. The see a role in the system for the third mar broad regulatory framework within which complexity and interrelationship of the ket. Rather, proponents of that Approach this communications system could efficiently many issues discussed herein make it im felt that "trading in listed securities should operate. For example, a broker will have the perative that they receive careful scrutiny be confined to the exchanges at the earliest opportunity, for the first time, to see bids from as many diverse sources as possible, in possible date." While several other prominent and offers in many different markets at once. cluding the self-regulatory bodies, which industry spokesmen have expressed a similar To the extent the broker must execute his should be playing a leadership role in seeking view, the Commission firmly believes that customer's order in a market to which he to develop a central market system. Accord third market firms have made and will con does not have the ab111ty to negotiate eco ingly, the Commission welcomes comments tinue to make important contributions to nomic access, he would be unfairly penalized ·on any of the views expressed herein from market liquidity. Assuming these firms are in discharging his duty of best execution. all interested persons. Such comments should subject to the rules of the system, as dis This state of affairs would not be tolerable be addressed to John M. Liftin, Associate cussed below, the Commission sees no rea for long to a well-managed brokerage firm. Director, Division of Market Regulation, Se son to require them to join an exchange in In addition, with transactions from all mar curities and Exchange Commission, 500 North order to conduct business. kets appearing on the composite transaction Capitol Street, Washington, D.C. 20549. 18 Members' activities might be subject to reporting system, brokers must have some FOOTNOTES exchange or system rules requiring that the way of protecting their customers against major portion of their revenues be derived 1 Subcommittee on Commerce and Finance transactions away from the current price of the House Committee on Interstate and from the securities business generally. Mem which are executed in other markets. Ac Foreign Commerce, 92d Cong., 2d Sess., Se bers also would have to be engaged in con cordingly, the Commission has suggested curities Industry Study, at pp. 117-130 ducting a public securities business. some approaches in this policy statement (Comm. Print, 1972) ("House Study"). Sub 19 This paper does not address the question which would permit brokerage firms to ac committee on Securities, Senate Committee of whether unlisted securities which satisfy commodate their business to the realities of on Banking, Housing and Urban Affairs, 93d system eligibility criteria should be traded the new communications fac111ties. Cong., 1st Sess., Securities Industry Study, in the system without initiative on the is The other major steps we propose may be at pp. 89-135 (Comm. Print, 1973) ("Senate suer's part, as suggested in principle by the grouped into three broad categories: first, Study"). Senate Study, n. 1 above, at pp. 133-135. regulation to maintain the integrity of the Prior to 1964, Section 12 (f) of the Securities 2 Securities and Exchange Commission communications system, such as eligib111ty Statement on the Future Structure of the Exchange Act permitted an exchange to ap criteria for securities included, short sale reg Securities Markets, (G.P.O. ed., 1972). ply for "unlisted trading privileges" in se ulation and anti-manipulative rules; second, sIn the Market Structure Statement we curities not listed on any exchange which regulation of competing market makers offered disclosure substantially equivalent within the system, particularly with regard said that: to that required in typical listing agreements. to their responsib1Uties to the market; and "In order to maximize the depth .and liquid Since the 1964 amendments to Section 12 third, regulation to ensure that the system ity of our markets, so that securities can required such disclosure for many over-the will maintain the best auction features of be bought and sold at reasonably continuous counter companies, Congress deleted this pro and stable prices, and to ensure that each the exchange markets and thereby provide vision from Section 12 (f). See, id., at pp. 131- investor will receive the best possible execu a welcome environment for individual public 132. These issues should be dealt with at a investors, such as the auction trading rule tion of his order, regardless of where it origi later stage in the system's development. nates, it is generally agreed that action must and the public preference rule. 20 If a limit order were left with a specialist, A list of the steps to be taken includes: be taken to create a single central market and if that order were equal to or better 1. Republication of Securities Exchange system for listed securities. . . . This cen than the specialist's own bid or offer, it would Act Rule 17a.-14, as revised, for comment. tral market system must be one which will be displayed through the quotation system 2. Adoption by the exchanges of a uniform attract and refiect all bids, offers and as one side of the specialist's quotation. market-making activity in order to main rule regulating exchange membership. 21 After some experience with the proposed 3. Revision of the Commission's short sale tain maximum liquidity and depth." auction trading rule, it may prove desirable rule to impose uniform regulation of short Id., at pp. 7-8. to extend time priority protection to orders sales in all markets. 'The Commission has drawn heavily on entered in the system at the same price. If, 4. Adoption by all exchanges of a uniform the recommendations of all three commit for example, 5 bids are entered in the system . rule regulating manipulative practices. tees in formulating many of the views ex at 49, the first bid in time would be executed 5. Revocation by the Commission of the pressed herein. first, and so on. 5 See exemption from Securities Exchange Act Rule Hearings on s. 3169 before the Sub 22 It may be determined that the same llb-1 for regional exchanges. committee on Securities of the Senate Com result could be achieved more efficiently, al 6. Adoption by the Commission of a rule mittee on Banking, Housing and Urban Af though at the sacrifice of confidentiality, requiring the NASD to file with it a plan fairs, 92d Cong., 2d Sess., Part 1 at pp. 9, 19, simply by making all limit orders available imposing market responsib111ties on third 24 (1972) (Statement of William J. Casey) to all specialists. market makers. and the discussion of competitive rates at 23 It would be prohibited to key in trans 7. Establishment of eligibility criteria for pp. 53-54 below. actions merely to see the orders on the book. listed securities to be included in the trade 617 C.F.R. 240.19b-2, Securities Exchange 2' If limit orders are to participate in "pre reporting and quotation systems. Act Release No. 9950 (January 16, 1973). miums" and "discounts", they should prob 8. Adoption by all exchanges of a non 1 S. 470, 93d Cong., 1st Sess., Sec. 2 (1973); ably be limited to those less than, say, $100,- member access rule which permits access to S. 488, 93d Cong., 1st Sess., Sec. 2 (1973); 000 in value; otherwise, professional inves be negotiated up to a substantially higher H.R. 5050, 93d Cong., 1st Sess., Sec. 205 tors who learned of a potential block through level (to be determined by the Commission (1973). the "shopping" efforts of a bloclt broker (but at a later date) than the 40 percent now In s 17 C.F.R. 240.17a.-15, Securities Exchange were unwilling to commit themselves until effect. Act Release No. 9850 (November 8, 1972). the entire transaction had been arranged) 9. Rescission by the NYSE of Rule 394 and 9 Proposed Rule 17a-14, Securities Exchange could, perhaps unfairly, inject themselves or rescission of all comparable rules of other Act Release No. 9529 (March 8, 1972). their brokers into the transaction and ob exchanges. 10 See, e.g., H.R. 5050, n. 7 above, Section tain a bargain by entering a bid Ya higher (or 10. Adoption by the Commission of the 208. an offer Ya lower) than the proposed "cross" trading rules described in Section III of this u Although it is not possible to estimate price. statement. the actual expenditures the central market · 25 A broker who satisfies a limit order in a Furthermore, the Commission intends to system will entail, in part because of our market center of which he is not a. member have its staff commence a study of the po reluctance to present too definitive a design should not have to incur any additional tential implications of permitting widespread at this stage, we have been advised that commission expense in so doing. upstairs market making by exchange mem those elements discussed herein can be im 26 If market maker orders are to be pro bers and plans to solicit comments on the plemented with existing technology and tected, it would be important to consider problems associated with access by foreign equipment. whether or not a broker should have discre entities. 12 Market Structure Statement, n. 2 above, tion to fill all, or as much as possible, of a This statement is intended to serve as a at PP. 10-11. customer's order without the need to satisfy guide for the future structural development 13Jd., at p. 11. smaller but more favorable bids or offers by OXIX--919-Part 11 14558 EXTENSIONS OF REMARKS May 7, 1973 market makers, if he has reason to believe consistent with the greatest amount of in such security at successively lower prices, that in satisfying such orders he might lose vestor protection. As previously indicated, for the purpose of creating or inducing a his opportunity to execute the entire trade. complete uniformity is not desirable if such false, misleading or artificial appearance of It would be mandatory, however, that more uniformity is used as a contrivance to ·force activity in such security or for the purpose favorable bids or offers representing public, upon some exchanges regulation which would of unduly or improperly influencing the mar i.e., non-dealer, orders to be satisfied, even if have the effect of perpetuating the existing ket price for such security or for the pur smaller, so that complete public protection competitive advantages of various exchanges pose of establishing a price which does not could be afforded. to the detriment of other exchanges and in reflect the true state of the market in such 27 A bill pending in the U.S. Senate would hibiting the growth of regional exchanges. security.'' achieve a similar result by requiring that Determining the precise balance between uni The Committee's Report also outlined the any bid or offer by an exchange member formity and diversity in rules is a task which provisions of a uniform short sale rule. would have ,to yield "priority, parity and prec is best left to the expertise of the Securities 37 Rule llb-1 provides for the regulation of edence to public orders." S. 470, 93d Cong., and Exchange Commission, under appropri specialists. Securities Exchanges Act Release 1st Sess., Sec. 1 (1973). However, the bill ate guidelines established by the Congress. No. 7465 (November 23, 1964) announced the contemplates an exception for market mak At a very minimum, there should be com Commission's determination to exempt the ers, whereas under the proposed rule even plete uniformity in standards for reporting regional stock exchanges from the Rule. they would be required to yield to pubUc of transactions and in prohibitions against 38 After all market makers are subject to orders. Several exchanges presently have manipulation, "painting the tape" and other comparable regulation, it may be appropriate rules intended to accord certain preferences undesirable trading activities. The rules re to experiment with the gradual removal of to public orders. See, e.g., NYSE Rules 92, quiring that public orders receive priority in certain market responsib111ties on an equi 108, 112(c); Amex Rules 111 (d), 111.07, 150, trades should also be uniform. Similarly, table basis so that it can be determined 155. rules governing membership on exchanges whether competition alone, or perhaps with 28 It has been suggested that market mak . . . should be uniform. On the other hand, the addition of certain other incentives, ers, in view of their responsibllities to the there seems to be no reason why specialists is capable of providing fair and orderly market, also should be accorded a trading on various regional exchanges which today markets. preference over broker-dealers in the system have a comparatively low level of trading in 39 We believe this point of view is con not having such obligations, although they New York Stock Exchange listed securities sistent with the sentiments expressed by both might still be required to yield to public should be required to maintain the same Congressional Subcommittees on the subject orders. The advisability of this proposal minimum capital as specialists on the New of regulation for competing market makers. would be better evaluated after nature of York Stock Exchange." See House Study, n. ' 0 Should the possib111ty of large retail ware the respective obligations or different types 1 above, at p. 129. houses leaving the exchanges to become in of dealers has been definitively resolved and See also the areas of unequal regulation tegr·ated over-the-counter firms in Listed their performance observed for a period of referred to by William McChesney Martin in securities become real, the Commission would time. his Report to the New York Stock Exchange give consideration to the desirability and 211 See Market Structure Statement, n. 2 at 11-12 (August 5, 1971). feasibility of preventing an upstairs market above, at p. 8. u The Senate Securities Industry Study In maker in listed securities from dealing as 30 See the discussion at pp. 36-37, below. terim Report endorsed a similar position: principal in these securities with its retail 31 It might be noted that the House Study "Equal regulation of dealers is clearly ap customers. The Senate Study has also sug and the Senate Study recommended adoption propriate, provided that the phrase is under gested that it would consider the desirab111ty of rules very similar to those proposed in the stood to mean that dealers enjoying similar of legislation either to assure that any such text. See House Study, n. 1 above, at pp. 128- privileges, performing similar functions and trading is surrounded by appropriate safe 129 and Senate Study, n. 1 above at pp. 111- having the potential for similar market im guards to prevent overreaching or to prohibit 112. pact are treated equally. Regulation is to be such activity. See Senate Study, n. 1 above, 32 The 'Committee's reasons for this rec imposed only when the public interest and at p. 122. ommendation are set forth in the following the protection of investors requires it-never ' 1 Those firms which take positions to fa passage from the Report: We have consid for its own sake. The call for 'equal regula cilitate block transactions may be an im ered whether the quotation system we have tion' is no guide for regulatory action, portant market force in a particular security outlined should be the preferred, required unless it is first determined who is equally for a short period of time. We intend to con or exclusive quotation system for listed se situated in terms of the purposes of the sider whether different kinds of responsibil curities. We believe the success of the cen regulation. The first order of business should ities, for example to maintain the orderliness tral market system is dependent upon quo be the achievement of a system of competi of the market following a block trade, should tations from all sources appearing in one tive market makers. The time to determine attach to such activities. central looation. Further, we believe that to how the participants in a truly competitive ~ See Market Structure Statement, n. 2 permit the existence of other quotation sys system should be regulated is after this has above, at p. 12. tems, which may impose less rigorous condi been done and the configurations of a func ~See In the Matter of Re, Re & Sagarese, tions upon the entry of quotations than those tioning competitive system are clear. Com 41 SEC 230 (1962), 336 F. 2d 306 (2d Cir., we have recommended, could deprive the petition, in this case, must come before the 1964). public of a central source of reliable, con regulatory questions can be answered, for " Securities and Exchange Commission, tinuous quotations. Thus, even if qualifica until there is actually experience with a com Report of the Special Study of the Securities tion for and entry of quotations in the rec petitive system the regulatory needs cannot Markets, H.R. Doc. No. 95, 88th Cong., 1st ommended system were to become a prerequi be known." Sess., (1963). site to participation in any other system, we Subcommittee on Securities, Senate Com IF> I d., Part 2 Sit 154-160, 167-171. fall to understand what purpose would be mittee on Banking, Housing and Urban Af ' 6 Rule 113 of the NYSE and Rule 190 of served by permitting the existence of sys fairs, 92d Cong., 2d Sess., Securities Industry the Amex prevent a specialist from accept tems which at best would be duplicative and Study Interim Report, at 43 (1972). ing orders for the purchase or sale of any at worst incomplete and thereby misleading. See also Senate Report, n. 1 above, at 116- securities in which they are registered as Furthermore, the composite quotation system 119. specialists directly from the issuer or any we propose would be compatible with most 8~ We believe the implementation by all ex officer, director or 10% stockholder of the communications hardware and software now changes of a uniform rule regulating the issuer; any pension or profit-sharing fund; in use and would encourage, not restrict, the proper use of exchange membership, such as or any institution, such as a bank, trust com development of improved equipment and Securities Exchange Act Rule 19b-2, to be pany, insurance company or investment methodology. Moreover, by imposing no re an essential first step in the structuring of company. strictions other than the bare minimum any central market system. Without such ' 7 Securities and Exchange Commission, deemed necessary for public protection it uniformity, securities transactions may con Institutional Investor Study Report, H.R. seems reasonable to expect that the system tinue to be directed to particular market Doc. No. 92-64, 92d Cong., 1st Sess., Part 1 would greatly enhance competition among centers on the basis of the extraneous factors at XXII (1971) ("Institutional Investor market makers with the investing public that have contributed to the fragmentation Study"). the beneficiary. Accordingly, we have con of the securities markets over the last few 48 The Market Structure Statement noted cluded that no broker-dealer should be per years. A uniform membership rule will in that, "•the ab111ty to deal directly with insti mitted to quote a two-sided market through sure that competition in the central market tutions contributes substantially to a market a.ny other quotation system. Other communi system we envision will be predicated on maker's ability to find demand and supply cation systems, however, which might pro such meaningful factors as best price, execu (increasing his willingness to take positions vide, among other things, various kinds of tion and service. and thus improving liquidity) ..." Market indications of buying or selling interest in 86 The rule recommended by the Committee Structure Statement, n. 2 above, at p. 12. particular securities, should be permitted. would provide : 49 The limit orders he handles do provide 83 In addressing the broader question of "No broker-dealer shall execute or cause a flow of floor brokerage income, however. uniform regulation of markets, the House to be executed, or participate in an account 50 The Market Structure Statement ex Study reached the following conclusions: for which there is executed, a purchase of pressed the view that "the presence of com "The keynote in the development of a any listed security which is reportable in peting market-makers would reduce the like central market system should be to achieve the composite transaction reporting system lihood of the abuses which gave rise to the the highest measure of uniformity in rules at successively higher prices, or a sale of any existing restrictions on such dealings.'' May 7, 1973 EXTENSIONS OF REMARKS 14559
Market Structure Statement, n. 2 above, at 63 House Study, n. 1 above, at 123. TRffiUTE TO HON. JOHN V. p. 12. 64 Such action would have to be accom CORRIGAN 01 The Commission's Advisory Committee panied by a Commission determination that on Block Traddng recommended that the lim no adverse effects on the viability and health itations on dealing between a specialist and of the markets would be likely to result an institution be modified at least to permit therefrom and sustained by a finding that, HON. LOUIS STOKES disclosure of the identity of the institutional after analysis of the impact thereof, no such OF OHIO customer to the specialist. As to transactions effects in f81Ct occur. IN THE HOUSE OF REPRESENTATIVES between specialists and institutional custom 65 Several exchanges presently have in effect ers, the Committee recommended an ap rules which permit discounts through pre Monday, May 7, 1973 proach similar to that suggested in the text, ferred rate memberships for certain classes t.e., the specialiSt should be permitted to ef of investors. Such rules generally relate to Mr. STOKES. Mr. Speaker, the Cleve fect tra.nsactions in blocks in the specialty principal, rather than agency access and are land Bar Association recently honored a stock with an institutional customer. The not relevant here. The Commission has under distinguished jurist, the Honorable John Committee also recommended that specialists review the question of whether such pre v. Corrigan, for his outstanding contri be permitted to register as "upstairs market ferred rates ~re consistent with its position butions to the administration of justice. makers" for securities in whdch they do not on the proper use of exchange membership, I have known Judge Corrigan for many specialize. which is discussed at length in the Com years. I knew him as a fellow practitioner &2 As discussed above, in note 40, the Senate mission's release adopting Rule 19b-2, n. Report suggests that consideration be given 6 above, a 182-183. and an excellent trial laWYer. He came to to prohibiting all direct dealing between 60 The House bill recognizes this problem the common pleas court bench with fine market makocs of any kind and individual and proposes a revised definition of mem qualifications and became an exceptional investors. bership based not on the commission rate trial judge. 158 This argument assumes specialists would one pays but on .the existence of a consent For the past several years, Judge Cor be permitted to deal with these customers ual regulatory relationship between an ex rigan served as chief justice of the Cuya without charging a commission. The 8ibove change and a. broker-dealer. See H.R. 5050, hoga County Common Pleas Court. In proposal would not necessarily require that Sec. 201, n. 7, above. this occur. m Generally, the Rule prohibits the execu that position, he made a remarkable con "For example, it has been stated that: tion of transactions in listed securities other tribution to the administration of justice "(I) nstitutions such as pension funds and than on an exchange floor unless a complex in the county and in Ohio. There is no foundations which trade for their own ac procedure, sufficiently onerous to discourage single individual who has been so deeply count more often availed themselves of the its use in most cases, is followed. involved in all aspects of court reform in services of an agent when executing orders es House study, n. 1 above, at 127. The Cleveland and, indeed, in the State of in OTC stocks than did those institutions Senate Study recommended amending Rule Ohio. He was a leader in getting voter acting in a fiduciary capacity. These self 394 "to permit exchange members to deal approval for a new justice center which managed accounts with their unencumbered not with third market makers, without prior best business judgment decided that the permission of the Exchange, subject to a will provide badly needed court and jail payment of an agency commission resulted requirement that public orders be given facilities for both the city of Cleveland in an advantage to them over dealing direct priority in the actual consummation of the and Cuyahoga County. He was a key ly at net prices with the market-maker. The transaction." See Senate Study, n. 1 above, figure in the changeover from Ohio's use of such agents, they believed, supplied at p.105. archaic procedural ru1es to new ru1es them not only with better executions but 69 H.R. 5050, n. 7 above, Sec. 209. based upon the Federal Ru1es of Civil also with valuable services such as research. 10 SEC, Report: Rule 394, at 206-207 (Sep Procedure. He also spurred reforms in Fiduciaries, on the other hand, fearing ac tember 14, 1965). court management, particularly in the cusation of illegal interpositioning have n Id., at 207. The procedure which permits tended to avoid the use of such agents ex transactions to be executed "off-board" (Sec management of the court's docket. cept under unusual circumstances." tion 394(b)) was 8idded to the Rule following Not content with all of these ·major See, Hearings on S. 1164 and S. 3347 be the staff report. As noted in footnote 67, how accomplishments, Judge Corrigan ran fore the Subcommittee on Securities of the ever, this procedure has been less than a total for a seat on the Cuyahoga County Court Senate Committee on Banking, Housing and success in achieving its intended purpose of of Appeals. He received virtually all pos Urban Affairs, Institutional Membership on facilitating best execution. sible endorsements and was unopposed National Securities Exchanges, 92d Cong., 2d Sess., Part 2, at 633 (1972). for the seat. In his new role as an ap 55 The kind of judgment involved in such a pellate judge, Judge Corrigan has con determination is similar to that discussed in tinued to press for reform. In his re Securities Exchange Act Release No. 9598 POLICEMAN'S HEROISM COM marks at a testimonial luncheon, he (May 9, 1972), which concerns itself with the MENDED praised others who had been instrumen selection of brokers and the negotiation of tal in the reforms for which he worked. commissions in respect of institutional trans He also urged the members of the bar to actions. HON. PETER A. PEYSER continue to work with him for construc 66 The legislation introduced in the House of Representatives would eliminate any rule OF NEW YORK tive change. I want to insert here the such as Rule 394 and would specify the duty IN THE HOUSE OF REPRESENTATIVES text of Judge Corrigan's remarks on that occasion, from the Apri11973 issue of the of brokers to obtain best execution of orders Monday, May 7, 1973 they hold for customers. See H.R. 5050, n. 7 Cleveland Bar Journal: above, Sec. 209. Mr. PEYSER. Mr. Speaker, I would REMARKS OF JUDGE JOHN V. CORRIGAN G7 The House Study Report puts it another like to bring to the attention of the Con All this praise heaped upon me is really way: gress a very heroic action which was re misdirected because in speaking of: "Aside from floor brokerage, the economic cently performed by one of my constit JUSTICE CENTER consequences of dealing in one market rather than another should be the same. Indeed, if uents. Patrolman Theodore Miller, of Thanks belong to many fine people, in a broker has a duty to seek best execution 16 Regina Place, New York, saved the life cluding H. Chapman Rose, Dave Leahy, Estal and the means of doing so (through a con of a 5-year-old boy who was drowning. Sparlin, Commissioners Pokorny, Taft and solidated tape and composite quotation sys Patrolman Miller was on routine duty corrigan, George Crawford, Jack Oherleln, tem, discussed hereafter), the cost of satis on March 31, 1972, when he was called to the League of Women Voters, Alan Wright, fying that obligation should be the same the scene of a backyard pool accident. the media, and all who helped to sell the wherever the trade is accomplished." Upon arrival, he found a 5-year-old boy public on the great need. House Study, n. 1 above, at 123. face down in the pool. Patrolman Miller INDIVIDUAL DOCKET 66 Market Structure Statement, n. 2 above, immediately pulled the child from the Honors should go to Chief Justice O'Neill, at 8. pool and began mouth-to-mouth arti to the Supreme Court who ordered it, and to 69 House Study, n. 1 above, at 122. ficial respiration which he continued un Chief Justice Tom Parrino and our local 60 Id., at 122-123. judges who have made it work and the law 01 Approach II of the Central Market Sys til breathing was restored. Three days yers who have cooperated. tem Report recommends a concept of system later the boy was released from the hos membershio similar to that outlined by the pital fully recovered. The knowledge and CIVIL RULES Subcommtttee. skill of Patrolman Miller undoubtedly Deserving of the praise are the Chief Jus· tice and the members of the Supreme 02 Under the concept of system membership saved the life of the child. recommended by Approach II of the Central Court-great lawyers like Tom Koykka, Craig Market System Report each member would I think the outstanding action of Pa Spangenberg, Harley McNeal, Chuck Crow have to be a member of at least one self trolman Miller deserves the commenda ley, and several judges-Manos, Fuerst, Mer regulatory organization. tion of the Members of this Congress. rick, Whitlatch, Gagliardo, McMonagle, Me- 14560 EXTENSIONS OF REMARKS May 7, 1973 Bride, Leach, Hoddinott, Schneider and for centuries have been proud of our tradi needed is an exhaustive overhaul of the others. tion of free, open courts but we shouldn't entire system. There is validity to the COMPULSORY ARBITRATION confuse externals with essentials. We argumrnts of these critics. The railroad Moving forces were Lou Paisley, AI Mar shouldn't treat as fundamental any proce dural or substantive rule which has been retirement system has functioned hard, George McMonagle, Bob Williams and awkwardly since its inception in 1935. others bold enqugh to suggest change. Don't around for a long time, even 1f its origins are overlook the 1100 lawyers who volunteered · dubious or accidental or related to situa Included in H.R. 7200 though, is an im as panelists. tions which long ago disappeared. portant provision to establish a Joint As lawyers we cannot live in our own little Standing Committee to make further re COURT MANAGEMENT worlds or as judges wrap ourselves in our visions and recommendations to Con Chapple Rose again and John Ladd Dean, robes and shrink from contact with what gress. I sincerely hope, and would strong John Lavelle, Chief Justice Brennan, Pete informed laymen consider to be the real Roper, Einar Bohlin, Alan Wright, Steve problems facing today's court's-trial delays, ly urge, that this committee will make Madsen, Jack Sweeney, Emil Masgay, Dave especially in tort and criminal cases, grow these forthcoming recommendations Smead, Howard Reid, Jim Kilroy, and many ing delays in the disposition of appeals, substantive ones, ones that will provide others. judges' concern over their re-election, failure for a sound and permanent system. Bold I could go on into all the activities, but I of bar associations to deal realistically with and structural recommendations for think you see my point. I just grabbed the basic social problems, and preoccupation of change, if deemed necessary, would be banner, ran out front and became the cheer bar associations with their own internal leader and now I am receiving all this unde welcomed. functioning and minor local problems. 7200 served praise. Nevertheless, it all sounds To the credit of this bar association, all In the meantime, however, H.R. great and I'm deeply grateful to all of you the lawyers of this community, and the will create the necessary provisions to for your attendance. Indebted to Charlie judges who are trying harder, we have done maintain the financial solvency of the Clark, Aaron Jacobsen, Alan Wright, Pete a lot to upgrade the operation of the system, railroad retirement fund. and sustain Roper, and the committee and to the speak but we have a long way to go--it's only the the present level benefits for railroad re ers for all their flattering remarks--much of beginning! We've only just begun! tirees. This has been guaranteed by man this blarney is attributed to the fact that Each lawyer in this room left law school agement's concession to increase their St. Patrick's Day is a few days away. and was admitted to the Bar with a pocket share of contributions to the fund. This Instead of quitting while I'm ahead may ful of dreams. Each of us hoped that we I trespass a little further on your time and would leave the profession and the court's agreement helps ease the strain on the repeat my old refrain about the need for · a little better and a little more efficient be fund caused by the ever increasing ratio further improvement in the administration cause of our contribution. I suggest as a of retirees to employees. In sum, we of justice. We are stlll in th& developmental continuing reminder of both our present op should applaud the efforts of both parties stage despite the great strides the lawyers portunity and our imminent danger the fa and adopt this legislation. To do other and judges of our community have made. mlliar lines of poet Robert Frost: wise would be to jeopardize the pensions A line from an old variety show in the heyday of radio says it all. The master of "For I have promises to keep, of some of this country's most deserving ceremonies was a lovable old character And miles to go before I sleep!" retired workers; approval of H.R. 7200 is named Captain Henry who interrupted the Ladies and Gentlemen, whatever miles-to the least we owe them. applause after each number with the words: go are stlll allotted to me by the Lord, I as "It's only the beginning, only the begin sure you they will be · much more pleasant ning." To be just a bit more modern, we because of the high honor you have given might take the title from a song popular me this day. CALIFORNIA BLACK TELEVISION ized by the Carpenters: "We've Only Just Thank you one and all I COMMISSION Begun." Indeed, as far as the whole field of court administration and the implementation of Hon. Yvonne Brathwaite Burke new procedural rules are concerned, "It's only the beginning!" "We've only just RAILROAD RETIRED WORKERS OF CALIFORNIA begun!" NEED SUPPORT IN THE HOUSE OF REPRESENTATIVES As we face the future we need to be aware Monday, May 7, 1973 of some hard facts. To b~in with, we need to recognize always that a court system, HON. ROBERT P. HANRAHAN Mrs. BURKE of California. Mr. from an administrative standpoint, 1s an ex OF U..LINOIS Speaker, I would like at this time to rec tremely complex organization that 1s more IN THE HOUSE OF REPRESENTATIVES ognize the California Black Television dUflcult to manage than the typical business Commission named by State Assembly operation or governmental agency. Monday, May 7, 1973 The key people in the courts are high level man Leon Ralph. Members of the Com professionals-judges and lawyers--who are Mr. HANRAHAN. Mr. Speaker, the mission are: accustomed to working as individuals, and health and well-being of the railroad re Sonny Buxton, KGO-TV-San Fran they do not take kindly to change or to regi tirement fund is of the utmost concern cisco. mentation of any nature. to me as it is to the many retired railroad Belva Davis, KIPX-TV--San Fran- We have placed a very high value, and workers in the Third Congressional cisco. rightfully so, on judicial independence, but District who depend on the fund for their Joe Dyer, KNXT-TV-Hollywood. in the process we have surrounded judges livelihood. The proposals to amend the Jake Jacobs-KNXT-TV-Hollywood. with a variety of protections against outside influences, even the more needed adminis Railroad Retirement Act and keep the Gerri Lange, KGO-TV--San Francis- trative ones. fund alive will soon be before us for ap co. Too, you must always recognize that all the proval as l~.R. 7200. It is imperative that Sandy McFolling, KLTA-TV-Los An various participants in the litigation proc we adopt this legislation to maintain geles. ess do not all have the same goal in mind, equitable benefits for our retired railroad Joe Phillips, KHJ-TV-Hollywood. but actually are pursuing conflicting objec workers. Marilyn Seiffert, KCOP-TV-Holly tives. The encouraging aspect about this leg wood. But we all know the problems and com islation that we will hopefully approve is Andrew Thornhill, Zachary Produc plexities, so it behooves all the lawyers in this community to find and to formulate more the fact that it is the embodiment of tions-Los Angeles. solutions and play more significant roles in agreements reached together by workers Ben Williams, KPIX-TV-San Fran stimulating more publlc commitment to our and representatives of the railroad com cisco. legal system. panies. Their joint commission has sub The statewide commission was or Today the courts, like every other tradi mitted to us their final agreements well ganized to promote the TV industry. tional institution of the establlshed order, in advance of the July 1 expiration date They are responsible for research, de are constantly being examined and criticized. of the old act, thereby averting the threat velopment of liaison with other blacks in Delays, over-emphasis on technicalities and of a strike. Their cooperation and agree formalisms, over-complicated procedures, TV nationwide, promoting the hiring of endless appeals and retrials--all these fa ment is testimony to the desirability of blacks locally, and developing and moni m111ar and formerly accepted incidents of this bill. toring training programs. This is the first court procedures had better be overhauled There are critics of H.R. 7200. It nas commission of its kind in the country and by us before they become the targets chosen been said that the bill serves only as a it represents a major step forward in pro for some rather rude and unsympathetic stop-gap measure to keep the railroad viding more opportunities for blacks in bulldozing by others. The Bench and the Bar retirement fund alive; what is really this critical communications media. May 7, 1973 EXTENSIONS OF REMARKS 14561 SHIPPING ACTIVITY of Commerce, was established in 1965 to 6,095,843 tons of General Cargo compared to increase commerce and upgrade water 5,608,820 tons in 1971. The increase amounted front facilities so as to attract new busi to 487,023 tons or 8.7%. (See attached fig HON. JOSHUA EILBERG ness, issued the accompanying report. ures.) OF PENNSYLVANIA Frederick A. Potts, President and Chair In addition, the Philadelphia Port IN THE HOUSE OF REPRESENTATIVES man of the Philadelphia Port Corporation, Corp. also issued statistics prepared by explained that general cargo, economic im Monday, May 7, 1973 the Census Bureau of the Department of pact in the Greater Philadelphia area is at Commerce, showing that Philadelphia least $25 per ton in direct benefits and that Mr. EILBERG. Mr. Speaker, I am increased tonnage aided in keeping a healthy pleased to report that the Port of Phila continues to be the second busiest port on the Atlantic Seaboard. I am pleased financial climate in port related business delphia is continuing to establish new in Philadelphia. records in the increased handling of gen to present both the report and the sta The general cargo category-excluding eral cargo and international waterborne tistical table for inclusion in the RECORD: bulk and ore movement--includes a wide tonnage. SHIPPING ACTIVITY variety of imports and exports. Among these With the recent construction of our The Port of Philadelphia registered rec are iron and steel, paper and transportation two modern terminals-Packer Avenue ord-breaking general cargo shipping activity equipment, meats, fruit, vegetables, tobacco, during 1972 by handling 8.7% more tonnage chemicals, plywood, newsprint and machin Marine Terminal and Tioga Marine and increasing its competitive East Coast ery. Terminal-the Port of Philadelphia is position while the Ports of Baltimore and Mr. Potts noted that during 1972 that making great progress in securing new New York showed declines in their shares Port of Philadelphia became a port of call containership lines bringing additional of the market. on every major container route in the world business through our port. This increase, Philadelphia continued to be the second and that Philadelphia is now served on a in turn, stimulates the economic growth busiest port in general cargo tonnage on regular basis by twelve leading container of the entire southeastern Pennsylvania the Eastern Seaboard. ship lines. At the same time total international water Harry R. Belinger, City Representative and and southern New Jersey region. borne commerce reached an all time high of Director of Commerce, said the City was also This month, the Philadelphia Port 63,970,228 tons in 1972. gratified with the port's increasing trade Corp., which is an instrumentality of the Statistics released by the Bureau of Cen since each additional ton of general cargo city, the Commonwealth of Pennsylvania sus of the United States Department of means more employment and more business and the Greater Philadelphia Chamber Commerce showed that Philadelphia handled income to the area.
CbMPARISON OF GENERAL CARGO BUSINESS, PHILADELPHIA-BALTIMORE- NEW YORK
Difference Difference 12 months, 12 months, 1972 versus 12 months, 12 months, 1972 versus 1972 1971 1971 Percent 1972 1971 1971 Percent
Tonnage of general cargo: Share of market (percent): Philadelphia_------______6, 095, 843 5, 608,820 +487, 023 +B. 7 Philadelphia ______22. 1 21.3 ------+O. 8 Baltimore______5,672,192 5, 449, 298 +222, 894 +4.1 Baltimore ______------20.6 20.8 ------. 2 New York______15,789,114 15, 205, 950 New York ______57.3 ------+583,164 +3.8 57.9 ------. 6 TotaL __ ------2.7, 557,149 26,264,068 +1. 293,081 ------TotaL ______. . ------100.0 100.0 ------
Source: U.S. Department of Commerce, Bureau of Census.
CLOSING OF GASOLINE STATIONS and I am sure the situation is worse enclosed resolution of the Missouri House today. of Representatives is respectfully di In addition, I am releasing today a list rected to the attention of Congress, exec HON. LES ASPIN of 24 Government agencies-local, State, utive, and administrative officials for OF WISCONSIN and Federal-who are experiencing dif consideration in the administratior. of IN THE HOUSE OF REPRESENTATIVES ficulties in renewing fuel contracts with rail service in Missouri. major oil companies to buy gasoline and MISSOURI HOUSE OF REPRESENTATIVES Monday, May 7, 1973 other petroleum products. RESOLUTION Mr. ASPIN. Mr. Speaker, more than Gulf, Mobil, Arco, Texaco, Exxon, Whereas, the Missouri House of Represent 300 gasoline stations across the country Amoco, Shell, and others are all balking atives has learned that the National •Rail have already been forced to close and and are very reluctant to renew their road Passenger Corporation has announced nearly 1,000 are threatened with closing contracts with Government agencies. that a proposal to discontinue the National Limited which operates from New York to • according to statistics that I am pub Ways must be found to make sure that Kansas City; and licly releasing today. all refiners, particularly independents, Whereas, this train represents the last The statistics, prepared by the Office can operate at full capacity and more mode of rail travel through Missouri's heart of Emergency Preparedness, indicated gasoline must be imported for this sum land in the revered tradition of such fine that on April 23, 1973, 342 gasoline sta mer. varnish trains as the Kay-See Flyer and tions had already been forced to close As many of my colleagues know, many Whereas, if the National Limited is al and 930 were "threatened" with closures. independent refineries have been run lowed to be discontinued, Missouri will h::we Mr. Speaker, these statistics are just ning below capacity as a result of their only one passanger train left; and Whereas, thousands of Missouri's residents the tip of the iceberg in what is develop inability to obtain crude oil from the rely heavily on the National Limited to trav ing into a major gasoline shortage this majors and until recently, gasoline im el from the State Capital to St. Louis or summer. ports were severely limited by the oil im Kansas City and between ·those strategic cit By the middle of August, thousands of port quota system. ies; and gas stations, mostly independent stations Whereas, th~; residents of Missouri are that sell cut-rate gas will probably be strongly opposed to any further loss of rail closed and thousands more will be very passenger service in our state, and parti:: short on supplies. MISSOURI HOUSE OF REPRESENTA ularly a loss of service between the two TIVES RESOLUTION largest cities in the state; and At present, the largest number of clo Whereas, over the years, and particularly, sures p,nd threatened closures is in the with the emergence of Amtrak, Missouri has Southeast, where 117 stations have al HON. WILLIAM L. HUNGATE lost such fine trains as the Southern Belle, ready been closed and 437 face closures. OF MISSOURI the Rock Island Rocket, the Eagles, the Similarly, in the Midwest, 136 stations IN THE HOUSE OF REPRESENTATIVES Sunnyland and the Bluebonnet; now, there have been forced to close down, and an fore additional 200 face closure. Monday, May 7, 1973 Be it resolved that for both economic and logistic reasons the Missouri House of Repre The situation is changing and worsen Mr. HUNGATE. Mr. Speaker, we hear sentatives strongly urges ·Amtrak to con ing every day. These statistics are based much about Amtrak and the benefit it tinue the National Limited's service between on information obtained before April 23 can bring to supply transportation. The St. Louis and Kansas City; and 14562 EXTENSIONS OF REMARKS May 7, 1973 Be it further resolved that the Chief informed citizens who have completed State has been truly remarkable. From Clerk of the House of Representatives be in this training, this school is training men small villages, large cities have been structed to send a suitably inscribed copy of and women in the Armed Forces, who will this resolution to Senators Stuart Syming built. From deserts, farms, and gardens ton and Thomas Eagleton and to each mem be ready to fill meaningful positions have borne fruit. From a displaced and ber Jf Missouri's Congressional Delegation, when they have completed their service tormented people, the Israelis have and to Mr. Roger Lewis, President of the to their country. achieved unity and identity in the prom National Railroad Passenger Corporation. A recent survey, reported by the school, ised land. indicated that in a 2-year period, 60 per The Jews have always sought to help cent of the students receiving veteran fellow Jews in need wherever they may benefits had completed all of their les live. The State of Israel provides that PRESIDENT NIXON COMMENDS sons, and 25 percent were still enrolled opportunity for displaced Jews through HOME STUDY SCHOOLS and studying. These figures present a out the world. So rich is their common completely different picture of the serv heritage and their desire to be free that. HON. JOEL T. BROYHILL ice provided to the public, than we nor Jews have emigrated to Israel in large mally read. numbers over the years. They have found OF VIRGINIA One step that would help the veteran peace of mind and a chance to build a IN THE HOUSE OF REPRESENTATIVES receiving this training, and all other stu new life of hope. Monday, May 7, 1973 dents using this convenient, effective Mr. Speaker, the very existence of Mr. BROYHILL of Virginia. Mr. way of learning a new occupation, is for Israel strengthens Jewish identity and Speaker, in this day when the public and Federal, State, local and private agencies helps maintain the wealth of cultural government agencies are requiring all of to recognize the value of the training, heritage which distinguishes the Jewish education to be "accountable," it would and accept it as proper job preparation. people. The 25th anniversary of Israel's be good for us to recognize those in After all, a student who has paid his independence is indeed a special mile stitutions providing a real service to own way, continued to hold a full-time stone. It is my profound hope that the job, or studied while in the service, should future will at long last usher in an era thousands of students-correspondence receive at least the same recognition, if schools. of peace in the Middle East so that the President Nixon, in a personal mes the training is sound, as a college trained people of Israel will more fully enjoy the sage to the National Home Study Coun man does. fruits of their achievements. cil, recognized the valuable contribu This country was built by men and tion these schools are making. women with self-initiative and self-re liance. These schools and their students Commending the participants of the HOW THE PEOPLE FEEL ABOUT IT annual conference of those schools, should be congratulated for their positive President Nixon stated: contribution. Over the years the schools that are repre HON. JOSEPH M. GAYDOS sented at this Forty-Seventh Annual Con IN HONOR OF ISRAEL'S INDEPEND OF PENNSYLVANIA ference of the National Home Study Council have motivated millions of America:-1.s to set ENCE DAY IN THE HOUSE OF REPRESENTATIVES new goals of personal achievement through Monday, May 7, 1973 home study. People of all ages, handicapped by inadequate education, have derived from HON. ELLA T. GRASSO Mr. GAYDOS. Mr. Speaker, CBS has this p:rogram new hope for a productive and OF CONNECTICUT informed TV Critic Win Fanning of the rewarding future. They have broadened their IN THE HOUSE OF REPRESENTATIVES Pittsburgh Post-Gazette that it received knowledge, advanced their careers, enriched Monday, May 7, 1973 more than 250,000 protest letters as a ability to contribute to the life of our result of false reports that it planned to society. Mrs. GRASSO. Mr. Speaker, much of show X-rated movies on its late show. I warmly congratulate those who are asso Jewish history reveals the torment, per The rumors, according to Mr. Fanning, ciated with the council on its continuing secution, and ordeals endured by a peo were entirely in error for neither CBS expansion, and I wish you sustained success ple seeking to return to the Land that in your important work. itself nor its affiliated stations, includ God promised them. For thousands of ing Pittsburgh's KDKA-TV, had any We are proud to have several of these years, Jews have longed to be at home such notion. And yet, for some unknown contributing schools in the Washington in their homeland-the land into which reason, the idea got about in various area. One such school, the National the patriarch Abraham led the ancient parts of the country and the public re School of Conservation has recently been Hebrews in the 18th century B.C. sponded quickly. accepted by the U.S. Civil Service Com Homelessness is a recurring theme in It is gratifying to me that CBS and mission as college level training. Jewish history. After World War II, Pal its stations had no intention of befouling The Civil Service Commission is to be estine was a haven for hundreds of thou their programing and now have made commended for recognizing the value of sands of displaced European Jews. In that certain. They can be held above this vocational training for Federal positions 1948, after centuries of unfriendly exile sort of thing and accredited deservingly and the importance of what a man in foreign countries, the Jews were finally with being mindful of their moral re knows, rather than where he learned it. rewarded for their hardships and per sponsibility to the Nation whose air The National School of Conservation severance when David Ben-Gurion pro waves have been placed at their disposal. was started in Washington, D.C., in 1958 claimed the establishment of the State of But equally gratifying, in my judg as a response to the growing need for Israel. On May 15, 1948, which was the ment, was the enormity of the protest good, sound correspondence training in fifth day of the month of Eyar, 5708, even on the most flimsy of hearsay. The the various fields of conservation. according to the Jewish calender, a jubi 250,000 letters, some carrying multiple During the years following, while many lant Israel celebrated her independence. signatures, served as additional evidence people and companies have been talking With joy and thanksgiving, we celebrate of the great concern of millions of Amer about conservation and ecology, this the 25th anniversary of this miraculous icans over the spread of obscenity and school has been training people to do historical event on May 7. the official inability so far to stop it. something constructive. National stu With the withdrawal of the British, The blame for this failure rests mostly dents are trained in basic conservation who previously held administrative con with the courts which insist on confus principles, including environmental pol trol over Palestine, the Israelis were im ing the matter by quibbles over what is lution and control. They receive techni mediately forced to defend their new and what is not obscene. However, our cal training in fish and wildlife manage nation against an attack by the Arab decent people share no such bewilder ment, forestry practice--which empha states. The Israelis successfully defended ment. They know filth when they see or sizes multiple uses of the forests-soil themselves, and have repeatedly over hear it and they want it eradicated and, and water conservation and practical come challenges to the freedom and sov lacking proper representation on this training in the growing field of parks ereignty of their nation. point by their governmental agencies, and outdoor recreation. The progress that has been made in they are increasingly taking the matter In addition to the thousands of better Israel since the founding of the Jewish into their own hands. May 7, 1973 EXT:ENSIONS OF REMARKS 14563 The writers of the quarter-million let find out what their home constituencies are GRADUATE SCHOOL OF. BIOMEDICAL ters to CBS served a warning to any venal thinking before the vote on final passage. It SCIENCES AT HOUSTON, is believed that if a new veto comes, there The University of Texas. airwaves manipulator who might have may be enough guts in the two Houses to I am most grateful for the opportunity to had a thought of sneaking filth into TV. override. The rollcalls on passage, and on respond to H.R. 5163: The Educationally He has notice now that the people will overriding a veto if it comes, will be watched Disadvantaged Children's Act of 1973. It is not stand for it and that public opinion closely by every elder citizen group in the good to know you are in support of a bill would compel an official crackdown. nation. designed for the education of children who But what can be done to arrest the dis Meanwhile, the National Cpuncil of Senior are in need of supplementary educational semination of the character-destroying Citizens is rallying the elderly to protest the services. Also, I would like to commend you proposed Nixon cutbacks at meetings from for your reflected intention of not separating rot that has taken over a part of the the 'handicapped' from the 'normal' popula privately conducted movies and publish coast to coast. This will culminate on June 6, 7 and 8 in Washington, where clubs are tion; this point of view is endorsed by cur ing industries? This question continues being urged to send representatives to par rently accepted attitudes concerning the un as a growing challenge to Congress whose ticipate in a mass legislative conference and desirable and destructive effects of separat power it is to enact laws to get around direct appeals to their Congressmen. ing children into diagnostic categories. I also the judicial failures to act. The 250,000 would like to support the inclusion of a de letters to CBS-unwarranted as were the sign to involve parents and children in the establishment of meaningful goals. This we fears that prompted them in this par have found to be an extremely important ticular case-cannot be dismissed as a component to insure the potential success big mistake. They showed the feelings CONTINUED SUPPORT FOR AMEND of educational programs. of millions. ING TITLE I OF THE ELEMEN VILMA T. FALCK, PH. D., TARY AND SECONDARY EDUCA Associate Professor. TION ACT MIAMI AREA SCHOOLS, BROKEN PROMISES TO THE Miami, Ariz. ELDERLY How excited I am to hear of your interest HON. ALBERT H. QUIE in individualized instruction and parental OF MINNESOTA involvement in educational programs, be IN THE HOUSE OF REPRESENTATIVES cause I am sold on both! Our summer program was an individual HON. MICHAEL HARRINGTON Monday, May 7, 1973 OF MASSACHUSETl'S ized, success-oriented program that provid ed many opportunities for individual, small IN THE HOUSE OF REPRESENTATIVES Mr. QUIE. Mr. Speaker, over the past several weeks, I have entered into the group, and large group participation. We de Monday, May 7, 1973 vised ways for parents to take an active part RECORD several summaries of letters in the child's progress at home and at school Mr. HARRINGTON. Mr. Speaker, with which I have received in support of through various projects. ·We have found the high cost of living and rising prices H.R. 5163, my bill to amend title I of that parents are happy to be included and today, the elderly need adequate incomes the Elementary and Secondary Educa that progress was much greater when home and health care coverage. Mr. Nixon has tion Act of 1965. My bill would substitute and school worked together. Many parents cut various benefits such as, medicare, a measurement of educational need for were on hand at 8:30a.m. for fiag ceremonies, pet shows, fie!d trips, programs, etc. We rec social security, and housing and has the dated economic data based on census ognized parents as well as children for the abolished the Federal Administration on information which may be far less than progress made and both parent and child Aging. I would like to insert an article perfect to begin with. As I pointed out responded proudly to the role each had by Joseph Levin from the Boston Globe last week, the 1970 census missed 2% per played... · of April 11, 1973, which outlines the cent of the total population. The tragedy The most important factor is that home broken promises made to the elderly: of that is evidenced by the fact that the and school must actively work together to NIXON ADMINISTRATION WIDENS ITS BREACH rate of error was very unevenly spread provide better learning opportunities for children regardless of what type of program WITH THE ELDERLY throughout the population. For exam the child is in. (By Joseph Levin) ple, the rate among black children un Mrs. MILDRED MAINE, By every bureaucratic trick in the book, der age 5 was in excess of 10 percent. IGE League Facilitator. the Nixon Administration day by day widens The excerpts from recent correspond the breach between itself and the American ence included today is further evidence DEPARTMENT OF PUBLIC INSTRUCTION, people. It seeks to cut Medicare benefits and of the support which is rapidly build State of Wisconsin. raise their cost, it has the gall to make a We have reviewed with interest H.R. 5163 sweeping assertion that because of the 20 ing for the movement away from eco which you introduced in the House of Rep percent Social Security increase (which it nomic data to actual measures of need. resentatives on March 5, 1973. Speaking in opposed) the elderly no longer need food I believe these comments will be of in reference to handicapped children, I can stamps, it freezes construction of new hous terest to all Members. indicate that we believe that this legislation, ing, cuts social services to the elderly, moves EDUCATIONAL DEVELOPMENTAL if passed, would have significant impact on to wipe out the Federal Administration on LABORATORIES, the education of handicapped children Aging. The list is endless. McGRAW-HILL BOOK Co., throughout the nation. ; .. These actions belie even the few limited New York, N.Y. We believe that H.R. 5163 which includes commitments President Nixon gave the [We] wholeheartedly support this bill and eligible children who l'l.ave deficiencies "re elderly at the 1971 White House Conference are encouraging other educators to do the sulting from a physical or mental handicap" on Aging. Before me is the official two-vol same. The use of criterion-referenced tests is is a decided step in improving the operation ume Government report on the conference. certainly a more accurate and realistic means of Title I programs. In addition, rather than Of course, he was all smiles and turned on of identifying educationally deprived chil a formula based on the use of census and the charm becau~e he was then running for dren than the incomplete and outdated AFDC data in computing Title I payments, a second term and needed their votes. census information. In addition, after in but based on actual and demonstrated edu Stating that White House Conferences dividual educational need has been deter cational needs as determined through cri usually produce volumes that simply gather mined, it is critical that individualized pro terion referenced tests, is a move in the di dust in the Library of Congress, he promised grams of instruction be provided for remedi rection of the learning needs of disadvan it would not be so this time. "I will go over ation. taged and handicapped pupils. This should and shake off the dust myself to find out We are encouraged by your concern over hopefully get us out of the bind alluded to what was said here." He added: "I am going the improvement of Title I funding proce above when operating under the current to give my close personal attention to the dures and urge your persistence in helping guidelines. recomxnendations of this conference." the passage of H.R. 5163 in the House of May we extend our personal appreciation He promised to provide $100 million for an Representatives. for the assistance you are providing in Con upgraded Administration on Aging (AOA) DONALD R. SENTER, gress in the area of special education for the and instead vetoed the bill just before the handicapped. 1972 election. That bill has been re-enacted Ed. D., Research Director. JOHN W. MELCHER, by the US House and Senate this year and a LEONA M. KOSMAC, Assistant State Superintendent. House-Senate conference committee is recon Associate Research Coordinator. ciling the somewhat different provisions of ELAINE SCHEIER, STATE OF OREGON. the two b1lls. Their final report is expected to Research Coordinator. Thank you for sending me information on go to the two bodies just before the Easter KAREN WEGNER, H.R. 5163 to arn~nd Title I of the Elementary recess. The strategy is to let the Congress Research Asiistant. and Secondar:i Education Act. 14564 EXTENSIONS OF REMARKS May 7, 1973 Dr. Dale Parnell, 'Oregon Superintendent Indeed, we believe that our own work on BIOGRAPHY OF JOSEPH GERMANO of Public Instruction, testified in favor of developing a system for objectives-based Joseph Germano was born on February 12, this legislation in Washington, D.C. on April evaluation in reading at the center for the 1904 of humble Italian parents on Chicago's 9. I certainly support his position on this Study of Evaluation, UCLA, constitutes a South Side. His formal education in Chicago bill. Your proposal to eliminate use of eco well-developed prototype that could easily be public schools ended abruptly in the sixth nomic levels as determinants of funding adopted to meet the needs of this program grade when necessity forced him to help seems realisti0. However, it is too early to with a one-year period of time. The develop support the family. estimate what this will mean to the State of ment of the system in mathematics would Oddly enough, Joe's first job was a far Oregon allocation. also not be difficult. . . . cry from the role destiny had fixed for him My office, through Dr. Parnell, will be fol 5. Would it be wise to conduct such re in later life. He was hired as a floor messen lowing the progress of this legislation with search or experiments before making a com ger for a brokerage firm at the Chicago Board great interest and with the hope that the mitment to the specific provisions of this of Trade Building. amendments will make Title I a more effec legislation? If so, what would they be? When World War I broke out, Joe decided tive instrument in remedying the problem The possibility of implementing the plan to enlist. Although only 14, he boldly of educationally disadvantaged children in and the availability, given current technol stretched his age and was accepted by a this and the other states. Please be assured ogy, of the instruments and procedures for recruiting officer. It was on the day he was of my cooperation in development of any such implementation do not require the con to leave, and after his buddies at the broker information you may find useful. duct of research or experiments before mak age firm had tendered him a rousing fare ToM MCCALL, ing a commitment to the specific provisions well, that a red-faced Navy discovered Joe's Governor. of this legislation. However, there are anum right age. His enlistment was promptly can ber of fea~ibility and practicality questions celled. SPECIAL EDUCATIONAL SERVICES, that would need to be addressed during the Too embarrassed to go back to his job as San Francisco Unified School District. course of the development of the testing pro messenger, he then hired in as a rivet-heater It is with considerable interest I reviewed gram (for example, the political impact of at the Morava Construction Company, now this important legislation as it has direct such a system at a local level). These are all operated by Bethlehem Steel Corporation. It bearing on the education of handicapped relatively minor issues and we see no reason was here he first felt the great' need for in children. why the legislation could not be enacted at dustrial democracy. The long hours, low There indeed does exist a great deal of in this time with the provisions already in the wages and extremely poor working condi equity in the disbursement of Title I ESEA bill enabling the Commission to contract for tions left a lasting impression on the kid funds which results in either feast or fam outside services including research studies. of 14 who certainly did not belong in a ine, depending upon circumstances. Your MARVIN C. ALKIN, factory. emphasis on individualized instruction and Director. It was natural for Joe's ears to perk up parent involvement are also integral keys in when he heard tell of an organizing drive in raising the achievement level of handicapped the Steel Industry. The drive was the ill and disadvantaged children. We in special fated Steel organizational campaign of 1919. education have stressed this phUosuphy for A TRIBUTE TO JOSEPH GERMANO Joe decided he wanted more than anything many years as necessary ingredients for else to be in a Union. · program development and student suc Although the initiation fee was only three cess ... HON. FRANK ANNUNZIO dollars and his first month's dues one dollar, I do believe this legislation wm be of con OF ILLINOIS he was unable immediately to get that much siderable assistance to the handicapped and IN THE HOUSE OF REPRESENTATIVES cash together. He approached the Plant merits the support of educators, especially Superintendent for an advance on his pay. those in the areas of special education. Monday, May 7, 1973 Please be assured that I will highlight this When the company official asked how he bill to my colleagues and to parents in or Mr. ANNUNZIO. Mr. Speaker, on Sat planned to spend the money, the youngster, der to obtain additional support for this urday, April 28, a testimonial dinner innocently enough, explained he was join measure. was held in Chicago honoring Joseph ing the Union. He got the loan, but two My best wishes for your success in this en weeks later he also got a discharge notice. Germano, director, District 31, United The incident taught Joe that joining a Union deavor. Steelworkers of America, upon his re- MARTIN J. DEAN, in those days was risky business. Assistant Superintendent. . tirement after 40 years of dedicated serv In succeeding years, Joe worked as a mill ice to the American labor movement. wright's helper a.t the Iroquois Steel Plant STANFORD UNIVERS:r:Y, As a former legislative and educational in South Chicago (now Youngstown Sheet Stanford, Calif. director for the steelworkers, and as a and Tube), went to Southern Indiana where Please accept my support for your pro former director of labor for the State of he became a. drill operator in a stone quarry posals to base distribution of Federal funds and shoveled coal on a steam locomotive as Illinois, I have personally witnessed Joe a road fireman for the Illinois Central Rail for education on educational need rather Germano's dedication and sincere devo than poverty as such. Several aspects of your road. proposal seem qutte meritorious and reflect tion to the working people of our city, In 1928, after acquiring a family, Joe re great sensitivity to the educational process. our State, and our Nation. He is one of turned to the steel industry and worked as ROBERT C. CALFEE, the architects of our industrial C.emoc a m1llwright at the Youngstown Sheet and Professor of Education. racy which has uplifted the standard of Tube Company in South Chicago. living of every man, woman, and child Lt was here, in 1933, that he led a spirited CENTER FOR THE STUDY OF EVALUATION, in America. His contribution to the na drive to organize the plant under the Amal University of California at Los Angeles. tional scene and the Supreme Court de gamated Association of Iron, Steel & Tin There are a numlfer of methodological and cision under the one-man, one-vote rule Workers of North America. He became the pragmatic issues that might be raised rela first president of Lodge 56 at the plant and shall not be forgotten for it reshaped was re-elected to that post repeatedly. tive to proposed bill H.R. 5163. the democracy of America in all of its 1. Are the theory and methodology of cri When the Committee for Industrial Or terion-referenced testing sufficiently well de legislative processes. ganization was formed within the A. F. of L. veloped that valid and reliable tests could be The contribution of Joseph Germano in 1936, its leaders proposed a great steel developed in the time period permitted by to the building of America will long be industry organizing campaign. Members of the legislation? remembered by the labor movement and the Amalgamated Association, the only sem There are always methodological ques the people of illinois, and in fact, the blance of a Union in Steel at the time, were tions that remain to be solved related to any undecided about the CIO proposal. One Nation. We are all better off because of group, content With a small membership, problem area. Generally, however, the last his leadership, dedication, and devotion five-year period has evidenced a considerable resisted the CIO organizing offer. Another amount of effort in the development of ob to his fellow man. group, realizing the potentialities, argued jectives-related instructional systems and Although Joe is retiring from active that CIO help should be welcomed. At a con objectives-based evaluation systems. Much of service with the steelwo:::-kers, I cannot vention in Cannonsburg, Pennsylvania, this work, with attendant theoretical and conceive of him resting on his laurels. where the issue came to a head, Joseph Ger mano introduced the resolution accepting methodological research, has taken place at My entire family wishes for him and his the Federally funded research and develop CIO help. The resolution was adopted and family long life and good health, and the campaign was on. ment centers and laboratories. We are con we hope he may continue for many more vinced that the state of the art is ready and Early in this great drive to organize Steel, able to undertake and complete the con years in the service of the little people Joe was picked to serve as an organizer for struction of a valid and reliable testing pro of America. the Steel Workers Organizing Committee. gram consistent with the proposal set forth Mr. Speaker, at this point I wish to Two years later he became Sub-District Di• earlier, and within the time period permitted insert into the RECORD a biography of rector at Indiana Harbor, Indiana.. by the legislation. Joseph Germano. His biography follows: In 1940, Ph111p Murray, Chairman of the- May 7, 1973 EXTENSIONS OF REMARKS 14565 SWOC, was looking for a good man to fill the MAIL ROUTE LOSES FRIEND It had stopped raining and some kids were job as Director of the Union in the Chicago playing spring hockey on the damp surface of Calumet area. He chose Joe on the basis of Walter St. his record of accomplishment. Joe was offi HON. THADDEUS J. DULSKI "When I moved, he helped me move," said cially elected to the Director's post two years Christina Smith, upstairs at 133 Walter St. later at the first constitutional convention OF NEW YORK She formerly lived a block away on Peab.ody. of the new Union, and has been re-elected IN THE HOUSE OF REPRESENTATIVES "He let me use his car and he got a trailer for me and helped me move. He used to sell by overwhelming votes of rank and file mem Monday, May 7, 1973 bers in all succeeding elections. carpets to Lorretta Parker"-Mrs. Parker's Mr. DULSKI. Mr. Speaker, the mail daughter. Under Director Germano's administration, Every day, after finishing the rest of his membership of District No. 31 has risen man was the neighborhood's personal route on Fulton and Perry and Elk Sts., Huck from 18,000 in 1940 to some 128,000 today. friend when I was a boy, and he occupied drives to Station D, which is where he will This is the largest membership of all the vari a very special place in the daily lives of work from when he gets his new route. ous Districts in the International Union. his patrons. Huck, 43, a 9-year postal veteran who lives Joe is happily married, has two daughters Many things have changed since those in Eggertsville with his wife and 3 children, and seven grandchildren. His wife, Mary, is a days, and we are now deluged with re says the route he has walked for 6 years is to gracous helpmate who enthusiastically en be split among other mailmen on adjacent dorses her husband's dedication to Labor's ports of deteriorating postal service. But there are still examples of old-fashioned routes as an economy move. cause. Postmaster Harold G. Tucker thanked Ro Others have come to regard highly Joe's personal care and genuine friendliness berta for the petition and said the gesture admirable qualities. He served on the War offered by the letter carriers and re "will be entered in his service record." Production Board and on the Regional Man turned by the people on their routes. But, he went on, mail routes are reviewed power Commission. He was honored by the I am including such a heartwarming each year and sometimes adjusted for better United States Treasury Department. He was story, about Mr. Haskell "Huck" Singer, efficiency. Assigning carriers to routes must elected President of the Illinois State Indus which recently appeared in the Buffalo be done by bids according to a union con trial Union Council in 1947 and was re Evening News. tract, he said. elected continuously until that organization It is a pity for a great many people Roberta McLean still has the petition with merged with the Illinois Federation of La 95 names, signed in pencil on lined school bor in 1958. He is a Vioe-President of the that the U.S. Postal Service once again paper that has been folded and refolded on Illinois State Federaton of Labor and Con is substituting some more of its so-called the same creases. gress of Industrial Organizations. He was efficiency for the concerned service honored by the Chicago Regional Red Cross. Mr. Singer has been delivering with the He served since its founding on the Civil mail. Rights Committee of the United Steelwork The story follows: ers of America. The University" of Illinois POLISH CONSTITUTION DAY honored him by naming him an advisor to HUCK'S POSTAL PATRONS SING HIS PRAISES, the Institute of Labor and Industrial Re BUT FAIL To KEEP HIM ON HIS ROUNDS lations. Chicago's Mayor Daley appointed (By Tony Cardinale) HON. JOHN J. ROONEY him to the Chicago Library's Board of Di It's not a very prosperous neighborhood, OF NEW YORK so the man who delivers the mail-and some rectors. He was cited by the Chicago Council IN THE HOUSE OF REPRESENTATIVES against Racial and Religous Discrimination times a check-has a very special place there. for vigorously supporting the non-discrim Cooling in the shadow of the Niagara Thru Monday, May 7, 1973 ination policy in schools; Bishop Bernard F. way, the scents from a chemical plant linger Mr. ROONEY of New York. Mr. Speak Sheil presented the award. He sparked a drive ing in the air, Haskell Singer's adopted neigh against traffic in dope to high school children borhood in South Buffalo is a place where er, in the epic struggle of man for hu in Chif'ago. He traveled to Italy on an ex people still know each other. man dignity and his personal freedom change visit and consulted with and advised In fact, when Roberta McLean, almost 17, there are, I am sorry to say, precious few Italian Steelworkers. While there, he met circulated her petition throughout Peabody, documents created over the years by his with members and officials of the Interna Walter and Maurice Sts., she found only two hand that can be pointed to with any tional Confederation of Free Trade Unions. residents who didn't know "Huck," as Mr. pride or self-respect. Among those docu He was received in private audience by Pope Singer is called. ments that can be so pointed to are the Pius XII at the Vatican. Mr. Germano also Ninety-five signed the petition in pencil traveled to Japan as a consultant to the on lined school paper asking the U.S. Postal Magna Charta, the American Declara Japanese Steelworkers Union. Service not to abolish Huck's route. tion of Independence and our Constitu Two of his outstanding achievements had The Postmaster recently returned the peti tion and, I am proud to say, the Polish state and national significance. In 1958, he tion, with his appreciation and regrets but Constitution of May 3, 1791. gave leadership to the Committee for Modern the whole venture wasn't in vain. You would While the Polish document is probably Courts in Illinois to secure adoption of the not believe some of the things the people ·the least known of these it might just be Judicial Amendment to the Illinois State on Huck's old mail route said about him. You can depend on him," said Roberta. the most remarkable, for Europe in 1791 Constitution. The effort, eventually success was awash with monarchies, plutocracies ful, resulted in a· modernized Illinois Court "He's like a big brother to me. And in the system, one of the best in the nation. Then summertime I had a peeping tom and lie and aristocracies. And yet out of this sea in 1962 Mr. Germano filed a suit to reappor helped me to try to catch him. I haven't been of blue blood came the document, peace tion the Illinois State Senate on the basis bothered since." ably written and promulgated, that of one-man one vote principle. The case was Down the street from Roberta, at Peabody stated simply that- finally won in the U.S. Supreme Court and & Scatcherd, Mrs. Shirley Parker was watch All power in civil society should be derived as a result the Illinois State Senate was ing daytime TV in her upstairs fiat. from the will of the people, its end and ob reapportioned for the firs·t time according "He used to be my insurance man," slie ject being the preservation and integrity of to population. This case contributed to the began. "But now he's just my mail man. the state, the civil liberty and good order of move for reapportionment procedures. When my older daughter moved away, he society on equal scale and on a lasting found nationally. gave me her mail till I got her change of ation. In 1963, Mr. Germano's International address. Union assigned him as a delegate to the "I keep a lock on my mail box, but if the Such a thought as all power being de kids break the box and Huck knows I got a International Metalworkers Federation, rived from the will of the people was then check in the mail, he won't leave it. He'll save considered heretical and dangerous in Foundry Workers Conference, which was it for me." held in Stockholm, Sweden. Mrs. Parker looked out her window on this the eyes of most of the governments of Mr. Germano has served on Mayor Daley's rainy spring day and said she could tell Huck Europe. Then, in less than 4 years Poland Committee for Economic and Cultural De had been by because "I can see his foot prints ceased to exist. While Poland was strong velopment for many years. In the past two on the next-door stairs." of spirit she was weak in arms and was years he has testified before air pollution Around the corner at Hank & Stell's Grill, no match for czarist Russia, militaristic control committees, both in Indiana and corner of Seneca & Walter, bartender Stan Prussia and autocratic Austria. She was Illinois as well as on the Federal level, urging Kaczmarczyk poured a foamy collar on a partitioned, her constitution voided and the adoption of tight standards governing draft beer. the amount of pollutants that can be placed her people scattered. "Huck?" he said. "You just missed him. Almost 200 years have passed since in the air. He parks his car out front every day while Mr. Germano is a resident of Chicago and he's on the route. He comes in here and drops then but Poland today is no better off has offices for District 31 at 333 N. Michigan off our mail and is on his way. He's a. happy than she was after that partition. The Avenue, Chicago, Illinois 60601. go-lucky guy ..." oppressive rule of foreign nobility and 14566 EXTENSIONS OF REMARKS May 7, 1973 despots has been replaced by the strangle ing at a rate of 8 to 14 percent annually A QUESTION OF PRIORITIES hold of a Moscow-controlled puppet Red in recent years and private consumption Communist government. The liberties in real terms, which has been increasing practiced by the Poles under her con by 4.4 percent in 1971 and 3.4 percent HON. PAUL G. ROGERS stitution 200 years ago are nonexistent last year, is expected to reach 8 percent today. by the end of 1973. Israel's exports ex OF FLORIDA And yet for all the brutalities commit ceed $2 billion annually and her foreign IN TilE HOUSE OF REPRESENTATIVES ted against the Polish people even in the currency reserves have been at a high of Monday, May 7, 1973 last 30 years, the Nazi invasion coupled $1.2 billion. Where there once existed Mr. ROGERS. Mr. Speaker, I believe a with an equally brutal Russian one and barren and unpopulated desert, scores of clear need has been established for this the murder by the Russians of thousands new towns with populations in the thou Congress to set a limit on expenditures, of her future leaders in the Katyn For sands and tens of thousands have mush and to live within that limit by better est-the spark of liberalism and freedom roomed and are actively contributing to balancing Federal receipts and expendi has not been extinguished in the Polish Israel's economic development. This tures. But in the name of such fiscal re soul. Witness the workers' rebellion in amazing economic condition is par sponsibility, President Nixon has under Poznan in 1956 and the recent unrest ticularly impressive when one considers taken budget cuts in programs that are that brought about the ouster of that the fact that Israel is forced to spend vital to the health and well being of Red Communist puppet, Waldyslaw Gu some 25 per cent of its GNP on defense. Americans, while leaving untouched mulka. Poland today, as she has so many Unfortunately, the Jews have not been literally billions of dollars in pet pro times in her tragic past, knows the permitted to live in peace in their home grams of less social value. cruelty and weight of the despot. But we land and, commencing less than 24 hours In a recent broadcast, the distin 'also know that Poland will again be free. after independence was proclaimed 25 guished commentator Mr. Joseph Mc A millennium of history has already years ago, Israel has been ceaselessly at Caffrey addressed this question. I insert shown the world that to be alive in tacked by her Arab neighbors. As Mrs. his remarks in the RECORD at this point: Poland is to be fighting for civil and reli Meir so aptly noted in a recent state Unfortunately the Watergate scandal gious freedom. ment: has taken our eye off some of the things Ml\ Speaker, I salute the Polish people Israel has known only armistice lines that have to be done by this Govern everywhere and particularly those Pol until 1967-and since then only cease-fire lines. We have never known frontiers of ment, and especially it has taken our eye ish-American organizations in this coun peace, and even between wars the Arab Gov off some of the revolting things this try that do so much to keep alive the in ernments have intermittently directed terror Government is doing in the interests of domitable spirit that is Poland and who and violence against our people. "saving the taxpayers money." remind us that we must never cease our If these things are allowed to stand efforts to bring freedom to those who so It is clear that Israel does not want to the taxpayer will never be able to pay earnestly yearn for it. maintain hostile relations with her Arab for the losses he will suffer. There is no neighbors but is anxious to live in peace economy in false economy, yet we are and harmony in order that all peoples of asked to underwrite false economy. the Middle East may grow and prosper Let us, for horrible example take a MAZEL TOV, ISRAEL and find economic, political, and social thorough look at what is happening to security. In those areas which she has one of our great universities, Johns administered since 1967, for example, HON. HERMAN BADILLO 0 Hopkins in Baltimore. Israel has taken steps 0 to open frontiers OF NEW YORK The budget sent to Congress by the between her population and the Arab Nixon administration means disaster for IN THE HOUSE OF REPRESENTATIVES population of these areas and she has Hopkins. The budget means the loss of Monday, May 7, 1973 initiated the open bridges policy en abling a significant number of Arabs nearly $10 million a year in Federal sup- • Mr. BADILLO. Mr. Speaker, I am from neighboring states to visit Israel. port, and ·President Steven Muller says proud to join with our colleagues and it also means frightening uncertainty However, as long as the Arab States about Federal aid to students. other men of good will throughout the continue to perpetuate acts of armed world in observing the 25th anniversary hostility, sabotage, and terrorism against This $10 million is about 10 percent of of the State of Israel. Israel she fully intends to maintain her the total annual university budget, and In a sense it is rather ironic to be defenses. In this regard it is incumbent more than 20 percent of Federal funds celebrating only 25 years of existence upon the United States to insure that the annually received. when Israel is a nation with more than territorial integrity of Israel is main Nearly $8 million will be lost over the 35 centuries of history. However, tained and that she has the ability to next 3 years as a result of the termina throughout this entire period the Jew1sh protect herself against unwarranted tion of only one Federal program, the people have had to suffer all forms of Arab intrusions by affording her what training grants of the National Insti persecution and have struggled over ever aid is necessary to continue the tutes of Health. This will cut the medi these many centuries to establish and delicate balance in the Middle East. cal school over $4 million, the School of build their own homeland. For some 19 Mr. Speaker, Prime Minister Meir has Hygiene and Public Health nearly $2¥2 centuries, as Prime Minister Golda Meir proclaimed that the basic aspiration of million and arts and sciences nearly $1.25 recently observed, the Jews lived as a Israel is "peace within secure bound million. In addition, the medical school dispersed and persecuted minority aries." This is not only a noble goal but will lose roughly another $250,0.00 in throughout the world. Three years after one which is essential if the Middle East general research support grants, the the holocaust, during which more than ever hopes to make meaningful economic School of Hygiene and Public Health will 6 million Jews were ruthlessly murdered, and social progress. Through word and lose $167,000 plus $462,000 a year which a homeland for these valiant and en deed Israel has given every indication represents its share of a Federal pro ergetic people was finally established. In that she is prepared to work with her gram to support the Nation's 18 schools 1948, for the first time since the first of public health, this program has been Arab neighbors toward this necessary eliminated from the budget. century of the Common Era, Jews be objective. It is now up to the leaders of came independent in their own land and Almost all the money being lost to the State of Israel was established as the various Arab States to put aside Hopkins School of Medicine and the a full member of the family of nations. bigotry, hatred, and suspicion and to School of Hygiene has been spent, in the Faced with what to many seemed to take the hand of friendship which has past, on research and training programs. be insurmountable political, economic been extended by Israel with a view to A number of faculty members working and geographic problems when in ward undertaking programs of mutual on research will now be asked to leave, dependence was declared in May 1948. interest and benefit. Shalom-peace-is and fewer students and researchers will Israel has grown and prospered. It has both the greeting and wish of Israel. be trained. a viable and healthy economy and a I am hopeful that Israel's next 25 years The administration is limiting re rapidly growing industry. The nation's will not only be more productive but that search grants to specific areas, but there gross national product has been increas- she will finally know a lasting peace. are many, many scientists, from time May 7, 1973 EXTENSIONS OF REMARKS 14567 immemorial who say the best results Further, the publication is guilty of ·a transmitted to me by Mr. John E. Bex, Re scurrilous attack on the late Lyndon gional Director, Region Two of the Defense come from general research, leaving the Civil Preparedness Agency. This publication individual investigator free to design Johnson-and in my view, Mr. Speaker, was produced and distributed by the Defense and follow his own inquiry and to leap no "official business" is served by such Civil Preparedness Agency and, as you can from one problem to others if the results an action. It is unthinkable that the see, was mailed to an undetermined num show useful application in a new con American people should be asked to pay ber of people under the guise of being "otn text. for the writing, printing, and mailing of cial business." What Congress has to decide is wheth literature which refers to a former Presi I call your attention to the editorial on er it is more interested in the ledger dent of the Unted States as a man "un page 2 entitled "A New Kind of President," responsive and frozen into rigid posi which, far from being official business, is sheet, than in general research. Whether blatantly partisan and designed for the per it is willing to cut off medical schools tions, to the right of most Americans on sonal aggrandizement of President Nixon. which are already hard pressed. the Vietnam war and to the left of them Further, the alleged "editorial" indulges in Congress must decide in a day when on domestic issues." some highly improper character assassination we really need more medical schools Finally, the publication proceeds to dis of a former ~resident of the United States, whether it will lend itself in a movement cuss the way President Nixon is handling Lyndon B. Johnson. Finally, the so-called which could do much to scuttle the medi such "tough problems" as the race issue, "editorial" deals with matters such as race welfare, reform, and the environment. relations, public welfare and the environ cal schools we now have. ment-matters totally unrelated to the De We can keep our billions and billions This commentary is, at best, gratuitous. fense Civil Preparedness Agency's mission to for bombs over Cambodia in the budget, In any event, these subjects are totally deal with disasters. but the health of America takes second unrelated to the Defense Civil Prepared I would appreciate it if the General Ac place. In fact, based on what happens to ness Agency's mission and, therefore, im counting Office would instigat~ a thorough Johns Hopkins, the health of the Na proper ones to be discussed by this investigation of the facts surrounding the tion can not even say it is in second Agency at the taxpayers' expense. publication of this material at taxpayers' place. But it sure will have to try hard Mr. Speaker, I am dismayed at the expense and the mailing of it at taxpayers• gross manner in which this Agency ap expense, with a view toward recommending er-much harder, because it is getting appropriate action to punish those involved little help. pears .to be flouting the law with respect in any violations of law and to prevent the to the dissemination of propaganda recurrence of such illegal activities. under the guise of "official business," and I look forward to hearing from you in this REPRESENTATIVE O'HARA ASSAILS I have asked the Comptroller General of matter. CIVIL DEFENSE UNIT FOR LAW the United States to investigate this mat Very truly yours, VIOLATIONS IN MAILING PARTI ter with a view toward recommending JAMES G. O'HARA, SAN POLITICAL PUBLICATION appropriate criminal action against any Member of Congress. one who has violated the law. Mr. Speaker, I include the full texts HON. JAMES G. O'HARA of the editorial and my letter to the OF MICHIGAN Comptroller General in the RECORD: JOHNNY HORIZON '76 CLEAN IN THE HOUSE OF REPRESENTATIVES A NEW KIND OF PRESIDENT UP WEEK Monday, May 7, 1973 It is a fact that while both liberals on the left and ultra conservatives on the right may Mr. O'HARA. Mr. Speaker, the other HON. LOUIS FREY, JR. be d~scontented with President Nixon it is OF FLORIDA day I received a letter from Mr. John E. rather hard-you have to be quite an ex Bex, Regional Director of Region Two tremist of some stamp-to wax wholly in IN THE HOUSE OF REPRESENTATIVES of the Defense Civil Preparedness Agen dignant either. What we have in Richard Monday, May 7, 1973 cy, enclosing a copy of his agency's pub Nixon is something very signiflcant---Q real lication, "Survival.'' consensus president moderate and close Mr. FREY. Mr. Speaker, a county in The publication in question was pro to the vital center on most issues. He is my congressional district has just com wllling to listen to and respond to diverse pleted a very successful Clean Up Ameri duced with taxpayers' money by this factions and to learn from experience. Lyn ca Month. agency of the Department of Defense, don Johnson was sometimes spoken of in and was mailed at public expense to an this consensus vein, and he may indeed have · Orange County, Fla., through· the -ef undisclosed number of individuals under had some such i!Iltellltions at the start but he forts of the Orange County School Board, the guise of being "official business" of ended up unresponsive and frozen into rigid distributed thousands of Johnny Hori the U.S. Government. The penalty for posttions, to the right of most Americans on zon litter bags to schoolchildren and misuse of this mailing privilege is $300 the Vietnam War and to the left of them on encouraged them to keep their neighbor domestic issues. hoods clean of unsightly litter. for each offense-and each individual Nixon has, moreover, returned to what piece mailed constitutes a separate of The program, sponsored by the Interior might be called the great pragmatic in fense. tradition of American politics, being neither Department, culminated an outdoor I thought I had become accustomed, doctrinate nor ideologically committed, in rally at the Tangerine Bowl in Orlando, Mr. Speaker, to the ways in which this strong contrast to the strong ideological fixa a rally attended by more than 10,000 administration has cynically sought to tions of both the right and the left. Untied school children. circumvent the intent of the law with re to any particular group, big business, big These young men and women rep gard to the use of this "official business" labor, the military, or even a single political resented more than 90 elementary, junior party in a sense, he is his own man. and senior high schools and about 40,000 mailing privilege over the years, in order His moderate, "moving forward slowly" to display the virtues of elected and ap approach is most likely to result in real solid students who participated in many dif pointed public officials. Through subtle progress on tough problems such as the race ferent activities during the first "Johnny public relations techniques, bureaucrats issue, welfare reform, the environmental Horizon '76 Clean Up Week'' held in have, in the past, sought ways to endow problem-and yes, on the Vietnam War, too. Orange County. high-ranking partisan leaders with spe The historic facts of life seems to be that it Prior to, but especially during the cial attributes, casting them in the most requires a sort of conservative like DeGaulle "Johnny Horizon '76 Clean Up Week," or Eisenhower or Nixon to detac>h a nation students from the various schools par favorable of all possible lights. from such an entanglement. Pragmatic, mod But the issue of "Survival" which Mr. erate, noncommitted, complex, adaptive, mov ticipated in environmental education Bex sent to me-in the spirit of what he ing forward slowly-these qualities are not projects in the classroom; conducted as called "cooperation through communica the sort of thing to stimulate wild enthu signed schoolground, park and recrea tions"-has reached a new low in terms siasm among modern youth or among older tion area cleanup projects; organized and of the blatant partisan propaganda people either for that matter. But they add conducted beautification projects which which it contains. Without any subtlety up to a lot. They are what the country needs. extended from the school grounds to their own backyards in the form of tree, shrub whatsoever, this publication editorially MAY 3, 1973. extols President Nixon for being a "con Hon. ELMER B. STAATS, and flower plantings; held recycling census" President, and indicates that Comptroller General of the United States, drives to reclaim discarded aluminum anyone who disagrees with the President Washington, D.C. beverage cans, paper, steel and glass has to be "quite an extremist of some DEAR SIR: Enclosed is a copy of a publica products; and created, through poster stamp." tion entitled "Survival," which has been contests, school plays and community 14568 EXTENSIONS OF REMARKS May 7, 1973 parades, a general awareness of the need yond mere sloganeering, into an era in which Mr. Robert W. Williams, Principal of to "Clean Up America For Our 200th every p~oject, every business, indeed every Ocoee High School, where the idea of con Birthday,"-then keep it clean. product, not only is measured by its mere ducting a community-wide Johnny Horizon I have been advised by Andrew Wahl ut111ty but by its environmental impact. '76 Clean Up Week originated. quist, national coordinator of the Johnny These concerns, this citizen conscience In recognition of this firm's support of the have focused on a symbolic representative of Johnny ~orizon '76 Clean Up Week, a special Horizon '76 Program, which is adminis the nation's environmental ethic-the Sponsors Certificate to Mr. Hal Street of tered by the U.S. Department of the Johnny Horizon '76 Program with its ring National Beverage, Inc. Interior and supported by a growing ing slogan "Let's Clean Up America For Our As I indicated earlier, a major effort like number of other Federal departments 200th Birthday." the one conducted here in Orange County and agencies, that this countywide In your classrooms Johnny Horizon at requires thousands of helping hands. It is "Clean Up" was one of the most exten tempts to introduce the ever interesting impossible to recognize everyone, but I'm sive environmental improvement projects fabric of environmental education to you advised the following individuals certainly r,oung people with the stirring message. deserve a Johnny Horizon '76 Certificate of ever conducted on a countywide basis. When man adds pollution, the earth sub Appreciation for helping clean up America I am proud of the example set by the stracts beauty; when man adds more pollu for our 200th Birthday. schoolchildren of Orange County, and tion, the earth subtracts safety; and if the These certificates are presented with our hope it will serve as an example of what present pollution rate continues, our earth sincere thanks to: young people can do when they decide to will, in the end, quietly subtract man." CERTIFICATES OF APPRECIATION I am proud to be here today where it is involve themselves in the environmental Mr. Fred A. Bishop, Information Special challenge. so apparent that Johnny Horizon has stimu lated thousands of helping hands among you ist, Orange County School District; caro1 Recognized as an official national bi to clean up this corner of America. Williams, Ocoee Girl Scouts of America; centennial activity and authorized to use You young people of Orange County have, Melvin Grace-"Opportunity Line", WESH the symbol of the American Revolution during this past week of environmental im TV Channel 2; Bill Nugent, WDBO-TV Chan Bicentennial Commission, Johnny Hori provement activity, I'm confident, sharpened nel 6; Harry Horn, WFVZ-TV Channel 9; zon '76 "Let's Clean Up America For Our your own personal relationship with the en Beverly Jefferson, Mark Hammond Charles 200th Birthday" is a nationwide, action vironmerut and gotten closer to the impor Mears, Denise Lanko, Cathy Hazei Jackie tance of what must be done throughout Jernigan, Julie Jackson, Terri Creech, Kevin oriented, environmental program that Haynes, Debbie Browden, and Pam Tuscanny, has two major action phases. America. Another urgent need today is to make all members of the Johnny Horizon '76 The first is educational, to make maximum use of our natural resources and Committee. all Americans-from schoolchildren utilize resource recovery wherever possible so Winter Park Junior High SchooJ., Grant through senior citizens-Aware that en that tomorl'OV('s generations will not be short Avenue Elementary School, Carver Junior vironmental improvement is everyone's changed. High School, Randy Freeman, Karen Wil responsibility and each and every indi With less than six percent of the world's liams of Colonial High School, Richard Chap vidual can make a difference. population, America accounts for half of the of Winter Park Senior High School, Steve world's consup1ption of raw materials. Last Miller of Evans High School, Keith Strangen The second phase is on-the-ground berg of Evans High School, Apopka High action, designed to inspire people to work year alone, the 62 b1llion cans, 30 mililon tons of paper, 28 billion bottles and 7 million School, Mr. Lester Dabbs, Principal, Howard together to prevent litter, minimize pol junked cars should give us cause to consider Junior High School, Mr. Bill Spoone, Prin lution and use our resources wisely. that our resources are not finite. cipal. Johnny Horizon '76 simply asks all While the technology is at hand, munici Glenn Hubbard, The Delta Alpha Kappa Americans to accept an "I'll help, too," palwide solid waste mb.nagement and re Math Club, Randall Brunson, Melinda attitude and to do their part tq source recovery still is not economically Holmes, Theresa Schmeil, Bruce Getz, Al make this country a cleaner place to live. possible. phonso Barnes, and Lila Griffin. Therefore, the establishment and support And finally, Mr. Ben Gr11fin, coordinator of In recognition of the major accom the Johnny Horizon '76 Clean Up Week, plishments of the thousands of students of local community recycling centers is a positive step to begin reclaiming even a small would you again come forward? in Orange County, who participated in part of that four billion tons of solid waste This is an outstanding person who has this project, I include the remarks of we generate each year in this country. personally dedicated considerable time and Assistant Secretary of the Department of The Johnny Horizon '76 Program can't be talent to promote this week as a viable pro the Interior, Nathaniel P. Reed, made defined by statistics alone-the tons of Utter gram, with a major impact, in Orange before the awards rally in Orlando at collected, greenery planted, endorsements by County, Florida. civic and business institutions, or even in the I personally want to add my thanks and this point in the RECORD: present you with this Environmental Awa1·d. REMARKS OF NATHANIEL P. REED millions of volunteer man-hours spent in Johnny's behalf. For the goal is a new insight, Also, here are Certificates of Appreciation I am delighted to be here this morning a new determination among our people to for the more than 90 schools that participated representing the U.S. Department of the "turn around the environment," to reshape in this project. I feel you are just the "coor Interior. I'm particularly delighted to be attJ..tudes for a vigorous and free social order dinator" who can see that they are properly in Orlando, in Florida, even though this presented. weekend is "Cherry Blossom Time" in Wash that values its quality of life as much as its freedom. Thanks to all of you, Orlando, Ocoee, Win ington, because there is no place Uke home The charge to the American people is a ter Park and all Orange County, Florida. and Florida is my home. It's also appropriate, in my opinion, that clear one: Let's clean up America and keep it clean! the Johnny Horizon '76 Cleanup Week be You young people here today have accept IRISH-AMERICAN CULTURAL supported by such a representative cross INSTITUTE section of the Orange County community, ed that challege. I know that what you have which is probably the most extensive effort started this past week will not stop at the of its kind conducted today anywhere in exits of the Tangerine Bowl. HON. SILVIO 0. CONTE the United States. Now it is time for Johnny Horizon to say You are to be commended for the results "Thank you" with certificates and awards OF MASSACHUSETTS to those individuals selected to represent all IN THE HOUSE OF REPRESENTATIVES of your fine effort and the results in terms of you here and to the thousands not here of an even cleaner Orange County. but who participated in the Johnny Hori Monday, May 7, 1973 Nationally the scene is less pleasant. zon '76 Clean Up Week. Mr. CONTE. Mr. Speaker I would When we look closely at the environment, The first series of awards to be presented too often we see the high cost we have paid is the Johnny Horizon '76 Environmental like to bring to the attenti~n of the for success and progress at the expense of Award for outstanding service in the interest House of Representatives the fine work environment. of cleaning up America for our 200th Birth being carried out by the Irish-American The trash in the streets, the debris in the day. While we are presenting these awards Cultural Institute, the only international water, the smog in the skyline, too inuch of to individuals, I'm sure they are accepted on Irish cultural organization of its kind, the face of our nation today is not a pretty behalf of the thousands of people involved whose headquarters are located in St. sight. this past week. Thankfully, the environmental crisis has Paul, Minn. For a most outstanding effort we recognize In recognition of the vision and work begun to capture the spirit, the vision and Mr. Raymond Bassettt, Chairman of the the concern of our people. Orange County School Board, of the IACI, His Excellency, Eamon People are increasingly aware of environ Chairman Paul Pickett, Orange County de Valera, President of the Republic of mental wrong-doings, ready to stop further Commission, Ireland, has extended to it his official degradation of our environment and to go Mayor Carl T. Langford, City of Orlando, patronage. This is a deserved tribute to one step further-to clean up the mess. Mayor James Driver, City of Winter Park, the international cochairmen of the We Americans, I believe, have passed be- Mayor Hubert Fox of Ocoee, Fla., IACI, HSH Princess Grace of Monaco; May 7, 1973 EXTENSIONS OF REMARKS 14569 Mr. I. A. O'Shaughnessey of St. Paul; Irish song and poetry, arranged in both route probably should be built after adequate and to Dr. Eoin McKiernan, the insti traditional and art style, wm be sung and environmental safeguards have been taken. tute's founder-president. dramatized; the ancient Irish airs, the popu lar art songs of Irish composers-Thomas I have been told by Canadian Wildlife The intent of the institute is to pro Moore, Charles Vllliers Stanford and Herbert Federation Director, Richard Passmore: mote an understanding and interpreta Hughes-and the poetry and prose of J. M. While we cannot presume to speak for tion of Irish culture. And its national Synge. other conservation groups in Canada, the council includes scholars, writers, and Geraldine O'Grady's name is a household canadian Wildlife Federation would endorse artists such as Pat O'Brien, Mike Doug:. word in Ireland. Formerly leader of the Radio your statement. las, and Bob Considine. Telefis Symphony Orchestra, she has won In short, we agreed that the environmental IACI, the premiere international Irish major musical prizes in France and most costs of moving oil from Prudhoe Bay across organization and publishers of the dis recently toured Brazil. Accompanying Miss Alaska and hence by tanker down the west tinguished quarterly, Eire-Ireland, now O'Grady on the harp wlll be her sister, Eily, coast are so unacceptably high that every who has toured the U.S. four times as Di effort must be made to seek alternate routes runs an Irish Fortnight each year in rector of the Clann Gael and also is the pi which would permit transport of oil at lower five U.S. cities, including Washington, a anist on the record Melodies of Ireland. levels of environmental cost. unique concentration on Irish culture Geraldine O'Grady is not only Ireland's and civilization. best known professional violinist in the clas Mr. Speaker, Mr. Passmore's letter is The institute has also developed sical field but she also performs arranged ver a stTong hint that environmental oppo 100 documentary films on Irish cul sions of Irish airs, ancient and traditional, sition in Canada to a pipeline route would ture which have been shown on tele attracting a wide audience both within and be minimal to possibly nonexistent. vision in New York and Boston and has outside the traditional field. On May 20, she While it is not a flat-out endorsement will perform traditional airs. of the Canadian route, clearly the alter recently provided $100,000 in prizes for Des Keogh formed his own theatrical com the best writing in Ireland in Irish and in pany. Productions include "On Approval," native Alaska route is totally unaccept English and for the best art and plastic "Chase Me Comrade" and "Blythe Spirit." His able to Canadian environmentalists. art in Ireland-the Butler Literary first wide screen film was "IDysses" and in Canadian environmentalists recognize Awards, and the Ganey Art Awards. 1969 he spent five months on location in Co. the overwhelming environmental danger Formed in 1972, the IACI's Washing Kerry playing in David Lean's "Ryan's of the trans-Alaska route and will prob ton council has already sponsored the Daughter." ably prefer the Canadian alternative. fall 1972 Irish imagination art exhibit Other films have included "The Flight of For my colleagues' information I would the Doves" and "Philadelphis Here I Come." like to include my original letter of April at the Corcoran Gallery; worked with On cross channel television he has appeared performers from the Irish Traditional in the Granada series "The Sinners" and for 18 and his response of April 24. Musicians Society; served as cosponsor of BBC in "The Assassins," His love of music is The letters follow: the 1973 Constitution Hall Irish concert evidenced every Tuesday evening on RTE APRIL 18, 1973. of the U.S. Air Force Band, with the radiQ when he presents the program "Music Mr. RICHARD C. PASSMORE, for Middlebrows." He is married to violinist Executive Director, Catholic University student players, Ses Canadian Wildlife Federation, ame Street's Bob McGrath and Mer Geraldine O'Grady. Mr. Keogh wlll dramatize the poetry and prose of Irish writer J. M. Ottawa, Canada. cedes McCambridge; and presented the Synge at the IACI benefit. DEAR MR. PASSMORE: AS you know, the con first performance of O'Riada's Irish Raymond McGuire, Tenor, is an Associate troversy over the transportation of North Gaelic-mass in the United States, sung Professor of Music at Catholic University and Slope oil in the United States is reaching by the Congregational Choir of Fairfax. has performed more than one hundred solo a crucial stage. The IACI Washington council operates recitations in high schools and colleges. He I believe that the environmental costs of on a volunteer basis and maintains no was on tour with the National Opera Com a trans-Alaskan pipeline are so overwhelming office or staff; with administrative and pany for three years as lead tenor, perform that a Canadian route should probably be financial activities carried on · through ing one hundred productions a year. He has built after adequate environmental safe had several solo appearances with the New guards have been taken. the national headquarters at St. Paul, York City Symphony, as well as the lead in As the debate continues and reaches a Minn. Other than the late John F. Ken an original opera for NBC television. Mr. climax, the views of Canada's environmental nedy and Poet Robert Frost, the insti McGuire wlll sing airs by Irish composer ists become increasingly important. There tute's president, Dr. Eoin McKiernan, is Herbert Hughes at the May 20 event. fore, I am writing to you today to pose one one of the few Americans ever to receive While serving as musical director and con question: assuming that a pipeline is built an honorary degree from University Col ductor of the Washington Civic Symphony to transport North Slope oil, would you and lege Dublin for contributions to Irish Orchestra in 1966, Martin Piecuch organized your organization prefer a trans-Alaskan culture. Dr. Francis X. Gannon, Wash the P Q Singers. This group, with a diStinc route (including the transportation of oil ington area resident, who was elected· tive style, has performed with the National by tanker to the West Coast) or a trans Symphony at Constitution Hall; New York Canadian route through the MacKenzie last year as member of the International Philharmonic under the direction of Arthur Valley? Board of Directors of the institute, coor Fiedler; New Jersey Symphony at the Gar I hope that I may receive an answer from dinates area activities. den State Arts Center, the United Nations you shortly since the issue may be resolved Mr. Speaker, I congratulate the Irish 25th Anniversary Concert in Newark, State within the United States rather quickly. American Cultural Institute for once Department testimonial for Howard Mitchell, Sincerely, more uplifting our minds and spirits conductor emeritus of the National Sym LES ASPIN, through its cultural leadership. I insert phony Orchestra. The group has appeared in Member of Congress. in the RECORD the text of their upcom the White House with Gregory Peck for the Washington Performing Arts Society, at the APRIL 24, 1973. ing concert program and reception: Filene Center of Wolf Trap Farm Park and in WASHINGTON CONCERT PROGRAM AND RECEP Congressman LES ASPIN, the Concert Hall of the Kennedy Center. Cannon House Office Building, TION-AN EVENING OF TRADITIONAL IRISH During the past year the P Q Singers have MUSIC AND POETRY Washington, D.O. been developing a repetoire of Irish airs and DEAR MR. AsPIN: Your letter of April 18 Hartke Theatre, Catholic Univesity, May on May 20. wm perform Irish music with has taken a rather long time to reach us 20, 1973, 8:00 pm. texts by Thomas Moore and arrangements a condition which may be symptomatic of the For tickets contact: Hartke Theatre Box by Irish composer Charles Vllliers Stanford. current and recent failure to maintain ap Office, 529-3333. propriate communications between our two Under the patronage of H. E. Eamon de national capitals. On the one hand, your Ad Valera, President of Ireland. ALASKA PIPELINE ministration is so determined to proceed with Performers wUl include Ireland's most dis the trans-Alaska pipellne system that it tinguished and best known violinist, Geral avoids mutually beneficial exchange of in dine O'Grady, accompanied on the harp by HON. LES ASPIN formation with Canada regarding possible Eily O'Grady; the premier Irish actor, Des OF WISCONSIN alternative routes. On the other hand, the Keogh, whose recent performances have been Government of Canada takes an ostrich-like with Dublin's Gemini Players and screen IN THE HOUSE OF REPRESENTATIVES stance and refuses to take further initiative roles in "Ryan's Daughter and "IDysses"; Monday, May 7, 1973 to establish communications, using the Irish American tenor, Raymond McGuire, excuse that it would be interfering in an formerly the lead tenor with the National Mr. ASPIN. Mr. Speaker, the Cana internal issue which is the sole responsi Opera Company; and, the much-acclaimed dian Wildlife Federation has endorsed a bility of your Government. We sometimes feel P Q Singers conducted by Martin Piecuch, ~tatement which I have made that- that the environmental groups in the United whose appearances include the Lincoln The environmental costs of a trans-Alaska States and Canada are the only partici Center. pipeline are so overwhelming that a Canadian pants taking responsible positions in at- 14570 EXTENSIONS OF REMARKS May 7, 197.3 tempting to find the best solution to the I talk about the political and moral respon der kibbutz, the Russian immigrant problem of transporting crude oil from Prud sib111ty, because I don't personally believe speaking excitedly in his broken Hebrew, hoe Bay to southern markets. Under these that the legal question is the end of the circumstances, you wm appreciate that we question. It is not really what was done a Moshav family in for a brief visit to are indeed pleased to receive your comments is technically right or justifiable according the city, a Sabra returning home for his and your enquiry. to law. After all, according to law, a govern afternoon break from his job at the While we cannot presume to speak for all ment can come in and expropriate without nearby bank, an oriental Jew beladen conservation groups in Canada, the Canadian compensation and our constitution has never with fruits purchased at the Arab mar Wildlife Federation would endorse the sen tried to protect against that kind of wrong. ket and an American student trying to tence which constitutes the second para We have always taken the position that it speak Hebrew while everyone else insists graph of your letter. In short, we agree that is up to politics, not the courts, to stop on practicing their English-all these the environmental costs of moving oil from wrong-doing and stealing and all sorts of Prudhoe Bay across Alaska, and hence by other things. · people trying to get on bus No. 15 whose tanker down the west coast, are so unac "We obviously, therefore, have to deal driver is usually filled with laughter and ceptably high that every effort must be made with the problem and we are dealing with jokes, knows many of them by name, ad to seek alternate routes which would permit it. The Yukon Indians for instance, now have dresses each young girl as Motek transport of the oil at lower levels of en a very extensive brief and a negotiating sys sweet-and whose radio rings with music vironmental cost. tem going on with us and the Indian Claims from Italy to Turkey to England to the Fortunately, studies which were initiated Commissioner, and that includes the desire United States. After a little squeezing in Canada some two to four years ago make to allocate certain lands to them and to it possible to assess alternate routes and allow certain rights of selection. But they and perhaps a little pushing and a few modes of transport by the end of 1973 or very are fully conscious of the fact that, within rather sharp corner turns, bus No. 15 is early in 1974, if a decision on this matter can that right of selection, there has to be a on its way. be delayed for just these few extra months. right for a government to move to expro For Israel is her people, a people who Even though we would fully expect that a priation in the ordinary way. Indeed, the possess an amazing directness and a route through Canada would be less damag Yukon Indians specifically said that, 1f the firm, clear-eyed approach to the over ing to the environment, we will not be in a land they selected is needed for something whelming need for them to stand on their position to give you a definitive answer to else, then they would ask, rather than sim your quite straight forward question until ply for compensation, for the right to select own two feet and who are keenly aware completion of current studies permits the some alternate lands. And that is really what that only their strength, their courage above-noted assessment to be made. is involved here. The lands that may be and the ;>reciseness of their decisions If some press reports we have seen coiiilng needed here for a pipeline or railroad or a will determine the future of this land. out of Washington are at all accurate, it ap highway, obviously, the state has to be able Israel is a people who despite their 16 pears to us that a number of inaccuracies to take. It will take your farm, 1f neces political parties and their conflicting and misconceptions are helping to prevent sary, to run a highway across it, so it wUl ideas and solutions for handling the oc proper consideration of alternate routes and take the Indian lands. The only thing is cupied territories or for building develop modes of transport through Canada. A few of whether they are entitled to something the major inaccuracies relate to time re they are entitled to that land or the equiva ments in the Golan Heights, want only an quired for construction through Canada, lent. We have to give them the full equiva end to their continually rising inflation costs of transport through oanada, and the lent and understand their claims in that and a final and lasting peace. Israel is a need to settle ;native land claims prior to regard." people who deeply cherish the value of initiating construction. With regard to time Mr. Aspin, we do appreciate the efforts friendship and who, once their friendship of construction, the report "Arctic Oil Pipe which you and several of your colleagues in is established, expect the highest of re line Feasibility Study, 1972", issued by the Congress of the United States are making spect, honest, generosity, and trust. Mackenzie Valley Pipe Line Research Limited, to have alternate routes and modes of trans estimates that an oil pipeline through Can port of Prudhoe Bay oil given proper con The radio on bus No. 15 is suddenly ada would be in operation (at a throughput sideration. Even though this would involve interrupted by five all too familiar beeps, level of 1.8 million barrels per day) just four a brief delay, we believe that the delay is as Kol Yesroel begins its broadcast. The years after a decision to initiate construction. reasonable and responsible in view of the country; for these 5 minutes each hour, Addi tiona! pumping fac111ties, to be added certain environmental costs of proceeding practically stands still, awaiting the later, would raise the throughput level to 2.5 with the trans-Alaska route. Naturally, we latest terrorist reports, listening for the m111ion barrels per day. wish you every success in your efforts and names of any soldier wounded, and Similarly, a twin-track railway, capable of we offer any assistance we can provide. breathing a sigh of relief when the news carrying up to 6 million barrels per day, could Yours very truly, is only routine. And then, just as quickly, br in operation just four and one half years R. C. PASSMORE, following the decision to begin construction Executive Director. the music resumes and the passengers (see the report "Railway to the Arctic" issued on the Egged think again of their daily by the Canadian Institute of Guided Ground activities as their bus heads homeward. Transport). Projected tariffs, to transport oil ISRAEL AT 25 A very happy 25th birthday to you, from Prudhoe Bay to Edmonton, Alberta, are Israel and may the next 25 be years of $1.15 per barrel (30 year average) for the HON. PETER W. RODINO, JR. continued prosperity, and bring with pipeline and 77c per barrel for the railway. them peace, once and for all, to your In either case, an additional tariff of 30 to 40 OF NEW JERSEY beautiful and complex land. cents per barrel would have to be added to IN THE HOUSE OF REPRESENTATIVES move the oil from Edmonton to Chicago. It is true that native groups along part of Monday, May 7, 1973 the Mackenzie Valley route have not yet Mr. RODINO. Mr. Speaker, perhaps chosen specific lands to which they are en THE SPffiiT OF HITLER LIVES titled under the terms of an old treaty. In the most striking picture which for me addition, the Government of Canada appears best captures Israel at 25 is the view of to recognize an obligation to deal with the a group of individuals patiently await more general question of aboriginal rights. ing the arrival of the Egged bus, No. 15, HON. GEORGE E. BROWN, JR. In this connection, the position of the Gov to carry them home from their activities OF CALIFORNIA ernment was stated recently by a member of in downtown Jerusalem. Stalfding at the IN THE HOUSE OF REPRESENTATIVES the Federal Cabinet. The Honorable otto crowded terminal, amidst the heavy Monday, May 7, 1973 Lang, Minister of Justice, speaking in Saska packages of groceries just purchased toon on April 14, 1973 said, in response to a Mr. BROWN of California. Mr. Speak request to state the position of the Govern from the nearby shuk and the young ment of Canada on aboriginal rights: mothers with children in strollers, all of er, I recently came across an excerpt from "Well, I don't want to comment too much which will also share space on this bus, "The Life and Death of Adolf Hitler," on this because, to the extent it is before one notices a tremendous cross-section a book by Robert Payne, in a newspaper the courts, I (would) normally avoid talk of people-the Arab laborer who has tied published in my district. The San Ber ing about it at all. But, without any doubt, back his headpiece during the hot noon nardino Sun-Telegram published this we have to face up to the political and hour, the 5-year-old Israeli child whose excerpt as an article on April 15, and I moral claims of the native peoples in both school uniform remains bright and crisp, believe many of our colleagues would the Yukon and the Northwest Territories find it of interest: where, as the Federal Government, we are the Hasidic boy, in dark dress, hat and completely involved. In some of the provinces payechs speaking yiddish to his nearby BOOK EXCERPT: HITLER Is STILL ALIVE there are problems as well, but very often schoolmate, the healthy, tanned Israeli (By Robert Payne) it is the province which has the greater woman soldier home for a day's leave, The fiames in the Chancellery garden are responsib111ty in regards to land settlement. the Nahal member returning to his bor.:. At111 burning, and Hitler is still alive. The May 7, 1973 EXTENSIONS OF REMARKS 14571 Third Reich ended in utter horror and des lack of humanity. They must have power or Even in our own time we see soldiers and pair but neither the Germans nor their perish, and it is all one to them if they mis politicians conspiring together to kill millions enemies learned the lessons that should have use their power or crush others in their ef of people simply because it is the simplest been learned. The war against Hitler is stlll forts to seize power. way to solve the problems they are in being fought, and there is as yet no sign Olf It is a law of nature that a man in power capable of solving in any other way. victory. will use it to his own advantage. To ask of For all the foreseeable future he will re For what Hitler represented to a quite him that he should rule for the benefit of main to haunt us, more alive than ever al e~traordinary degree was something that the people is to ask more than he is prepared though he is dead. He hides in shadowy had long been in existence and stlll con to grant. places and at the pinnacle of power, al tinues to haunt the people Olf the world. Compared with Hi.tler, the small Hitlers of ways urging men to commit the ultimate Modern machinery and technology have the modern age have a tawdry look. Hitler crime, the perfect atrocity, the most fero made it possible for every chief of state to at least asserted himself against the most cious massacres. Into the ears of generals and hold his people in subjection. Once elected, formidable powers of his time, and was not politicians he whispers: "Be merciless. It is or once he has seized power, he is in a posi entirely wanting. There was a certain gran very easy to kill people, and it simplifies tion to pervert the wealth of the state to deur in his daring and therein lies the problems. his own uses and to employ the weapons of tragedy. Until we have learned thSit dictators "You will find it much easier now because I propaganda to serve his own interests. are no more than thieves and murder·ers, and have lived. I have reduced the value of man His power is nearly absolute, for without should be treated like carrion, the tragedy to a fraction of what it was before. You will too much difficulty he can always convince will remain with us. find, if you continue along the path I have the people that he is essential to their well Many Germans voted against Hitler but opened for you, that the value of man will being and that without him the state will few fought actively against him, and of those decline still further. Remember, mankind is dissolve into anarchy. even fewer fought with clean we81pons and almost valueless and its only use is to serve Hitler's rise to power coincided with the clear consciences. our interests. We alone are the transmitters invention of the cheap mass-produced radio The colonels and generals who so ineffec of civilization, and the people are nothing which enabled him, though unseen, to be tively attempted to assassinate him on July but cattle." come a living presence in everyo~e·s living 20, 1944, were already corrupted because they So he whispers, and there are far too many room. He might have succeeded in domi had fought in his wars and were accessories ready listeners. The voice is seductive, and nating Germany without the advantages of to his crimes. They worked to save their his logic, if his premises are accepted, is un absolute control over the German radio own skins and their traditional way of life, impeachable. The totalitarian way, with all stations, but without these advantages he and when they spoke of "saving Germany's that it means in terms of extermination would never have been so successful in honor" they were speaking about something camps and the suppression of liberties, of establishing his totalitarian regime. that was beyond saving. bombing defenseless villages or pouring flam So pervasive and all-encompassing was his The Germans who fought clearly against ing napalm on them, is always tempting to power th&t the German people lost their Hitler were so few that they can be counted the politicians who find the complexities of identity; they became little Hitlers mas on t.he fingers of two hands, and most of democracy painfully inefficient. querading in his shadow. He was their daily them were to be found among the young The face of Hitler will be remembered, but bread, their wine, and their dreams. students of Munich University who formed he had many faces. He especially liked one Not even in Russia had there been such a a conspiratorial society called "The White portrait of himself with his eyes raised to total surrender to one man's wlll to power. Rose." heaven in angelic innocence. He also ad Even when he lied outrageously, and they Hitler was the arch-destroyer, determined mired a portrait of himself in shining armor. knew he was lying, the Germans preferred to stamp out and destroy everything in the But the true face of Hitler was written across to believe his lies rather than face the con world that did not serve his pw-pose. He was ravaged landscapes, on burning cities, on sequences of truth. not content with half-measures; he must the electrified barbed wire of the concentra One does not expect truth from politicians destroy utterly, Moscow must be reduced to tion camps, on the wounds of dying men, and or from soldiers. By the very nature of their rubble and then drowned at the bottom of a in the ditches of Poland and Russia where professions they must lie to the hilt. Hitler, lake, so th81t no one would ever know where the dead huddled together. both politician and soldier, lied more than it had been. Leningrad and London must be That, too, was the face of Hitler. most, and more successfully. leveled and rendered uninhabitable because The time came when Hitler believed his their existence displeased him. Whole pop Mr. Speaker, accompanying the article own lies. Caught up in his own lies and fan ulations must be uprooted or exterminated in the Sun-Telegram was a brief bio tasies of power, he saw himself as the des graphical note about the author. I would tined ruler of a Germanic empire embracing because he took a dislike to them. most of the world. No one ever more studiously examined the like to insert that in the RECORD at this Armed with the machinery of destruction, theoretical possibilities of destruction or time as well: Hitler embarked on conquests so daring that more successfully put his theories into prac ABOUT THE AUTHOR even his own general staff took fright and tice. His militarism followed to its logical conclusion would lead only to transforming Robert Payne is the author of distin warned him against overextending his limit guished biographies of Lenin, Stalin, Mao ed resources. Since he despised his own gen the whole earth into a graveyard. In the short time given to him he did the Tse-tung, and Andre Malraux. erals, he had no difficulty in rejecting their The Life and Death of Adolf Hitler re advice. best he could: some 25 m1llion Russians quired three years of research and writing. He very nearly succeeded in accomplishing died, but that was only the worst of his As a student in Munich in 1933, Payne was nearly all his objectives, and but for a few crimes; 12 million Germans and 6 million introduced briefly to Hitler by Rudolph Hess, elementary mistakes he might have succeeded Jews were killed by fire or poison or guns. to whom he had a letter of introduction. in conquering the world. Before the war W8IS over nearly everyone in Repelled by the tenets of Nazism, Payne The moral to be learned from the life and the world had felt the weight of his destruc could not help being impressed by Hitler, death of Hitler is a very simple one: no man tive presence. He had only to nod his head who, far from being the Charlie Chaplin can be trusted with power. and the blood flowed in rivers. caricature, radiated confidence and personal To be endurable, power must be shared Yet the man who spilled so much blood, charm. A year later in Vienna, Payne was to the widest possible extent; the single ruler and was so bloodless, never dared t.> look at involved in an abortive plot to assassinate defeats the purposes of our common hu the dead or the dying, never visited a military Hitler at the time of the Anschluss. manity. When the executive is powerful hospital, and never showed any sympathy · enough to overwhelm parliament, when he for the maimed, the 'Vounded, the blind. rules by edict and executive order, when he He drove millions of people insane, and attempts to exercise the rights that properly m1llions died in his concentration camps. He belong to the community, then he places never visited a concentration camp and never KENT STATE REMEMBERED himself in the position of Hitler. knew what happened there and had he No man, once he has come to power, re known, it would have made no difference. mains completely sane. Inevitably he sur When he traveled through bombed towns, he HON. CHARLES B. RANGEL senders to self-indulgent fantasies, rejoices drew the window shades for fear that the OF NEW YORK in his own majestic utterances, and loses the sight of the destruction he had caused would IN THE HOUSE OF REPRESENTATIVES most precious of h.is possessions, his hu weaken his resolution. Monday, May 7, 1973 manity. In darkness, behind shuttered windows, It is strange that we do not speak about remote from the world as in a grave, he ter Mr. RANGEL. Mr. Speaker, 3 years Hitlers in the plural, as we speak about Quis rorized the world he never understood and ago, on May 4, 13 students were shot by lings. The small Hitlers are around us every never wanted to understand. Ohio National Guardsmen on the campus day, tormenting us with their promises, re There remains the legend of the lean, of Kent State University. Four of those joicing in our weaknesses, demanding our hard apostle of destruction with the burning trust, our votes, and our lives, while remain eyes or the seductive voice, who crowded students died. On May 14, two students ing totally inditferent to everything except into his life more victor!es than Alexander, were shot dead by Mississippi highway their thirst for power. Napoleon amd Tamerlane combined. PoUti patrolmen at Jackson State College. Power to order the lives of other men con cians wlll study him to learn from his mis In a perverse way, we as a nation, have soles them for their own insufficiencies, their takes, and generals will envy him. come to accept and ignore official acts 14572 EXTENSIONS OF REMARKS May 7, 1973 of killing in such far-off places as Hanoi, It was Copernicus who refused to accept CITY OF HAWTHORNE, CALIF., Haiphong and Mylai. the preva111ng view that the earth was the ADOPTS RESOLUTION IN SUP center of the universe. It was Copernicus who PORT OF H.R. 261-THE ASIAN Do we still remain complacent and at discovered and proved that earth revolved peace with ourselves when our sons and around the sun. Although this theory AMERICAN AFFAffiS ACT daughters are riddled with bullets on the might seem self-evident today this was not campuses of American universities? the case during the time of Copernicus. His Let "Kent" and "Jackson" and was a bold, sweeping, revolutionary teaching HON. GLENN M.ANDERSON "Southern" be rallying cries for the days that shook the world. OF CALIFORNIA One of the debts the world owes to the ahead. Let us commit ourselves to mak IN THE HOUSE OF REPRESENTATIVES ing our Government and, more impor man whose birth we are celebrating is his spirit of humanism, with its faith in man's Monday, May 7, 1973. tantly, our society, one that pursues de abUity to reason and in the dignity of the cency and cares about justice. If the individual. Mr. ANDERSON of California. Mr. deaths of these kids move us in that di For out of the fiame of knowledge ignited Speaker, this Nation has been blind to rection, then maybe it was not all in by men like Copernicus, sprang the desire of the needs of a subculture in American vain. men to be free. This desire fueled the revolu society. The United States has been liv tions that shook the world in America, France ing with a myth that problems are non and Poland. existent for Americans of Asian descent. NICOLAUS COPERNICUS It was out of this desire to be free men that the people of Poland rose up against While it may be true that some Asian their oppressors and produced in 1971 the Americans have broken through eco HON. MATTHEW J. RINALDO Polish Constitution. A document based on nomic, political and social barriers; prej OF NEW JERSEY the spirit of the constitution in America, udice and discrimination continue to the Polish constitution was as revolutionary plague the great majority of these IN THE HOUSE OF REPRESENTATIVES in its own way as its American counterpart. people. Monday, May 7, 1973 It was illuminated by principles that had It is only too apparent that the prob their roots in the great cultural heritage Mr. RINALDO. Mr. Speaker, yester of the Polish people ... in the contributions lems which face most Asian Americans day, Sunday, May 6, 1973, I was privi of humanists and scientists like Copernicus, are beginning to reach crisis proportions. leged to speak before the Elizabeth, N.J., and in a profound dedication to individual Many progressive communities are Federation of Polish Organizations as liberty, dignity and equality. realizing the need for Federal action they observed the 500th anniversary of And today, we mark these two important which would relieve these ever-growing the birth of Copernicus and the 181st milestones in the history of knowledge and problems. One such community is Haw freedom. I have come from Washington to thorne, Calif., which on April 23, 1973 anniversary of the Polish Constitution. tell you that America has not forgotten I would like to share with my col Poland's glorious heritage of dedication to adopted a resolution in support of leagues the remarks I made on this im individual Uberty and intellectual freedom. H.R. 261, the Asian American Affairs portant dual milestone: Nor have we forgotten the contributions of Act, which I authored with our col NICOLAUS COPERNICUS the Polish people to the wlnning of our own league, SPARK MATSUNAGA. Today is a day that marks two important independence and to the enrichment of our I commend the city council of Haw anniversaries for Polish people throughout culture and our society. thorne for their action; and for the the world. I am proud to join in paying a well-de benefit of my colleagues, I am inserting I would like to confine my remarks to two served tribute to that great heritage, and the resolution as passed by the Haw dates-1472 and 1791. Although these dates to join all Americans of Polish descent in celebrating the anniversaries of the birth thorne City Council regarding H.R. 261: are three hundred and nineteen years apart, RESOLUTION No. 4449 they stand out like beacons in the long his of Copernicus and the Polish Constitution. tory of the Polish people, and indeed of man Whereas, while it is true that Asian Ameri kind itself. cans over the years have surmounted legal, For in 1472, a man was bbrn in Torum who economic, political, educational, and social has taken his place in the world's hall of INGLEWOOD ROTARY CLUB barriers, the true facts indicate that in all fame. A man who stands beside Galileo, New GOLDEN ANNIVERSARY too many instances, the remnants of preju ton, Einstein and Linnaeus as one of the dice and bigotry still pervade our society and truly great thinkers in the history of the continue to confront the Asian American world, one of the discoverers of basic scien citizens in this country; and tific facts that have truly changed the life Hon. Yvonne Brathwaite Burke Whereas, the problem of the Asian Ameri of man upon this planet. OF CALIFORNIA cans include both the youth and the elderly of the country, partly because of the language Today, we celebrate the 500th anniversary IN THE HOUSE OF REPRESENTATIVES of the birth of Nicolaus Copernicus, the great barrier and partly because of social and cul Polish humanist, scientist and father of Monday, May 7, 1973 tural differences; and modern astronomy. This observance should Whereas, while the City of Hawthorne and remind Americans and the world of the Mrs. BURKE of California. Mr. many of its neighboring cities have taken great debt we owe to the heritage of indi Speaker, I would like to make note in constructive steps to help solve the many vidual liberty and intellectual freedom that the CONGRESSIONAL RECORD Of the golden and complex problems confronting the Asian was nourished on Polish soil. anniversary of the Inglewood, Calif., American citizens of the community, this The 500th anniversary of Copernicus' Rotary Club. City Council is of the opinion that only fed birth reminds us anew of the vital contri The Rotary Club of Inglewood has ex eral action can begin to investigate, isolate butions made by Polish people to mankind's and rectify the many inequities; and prob posed 2,500 men to leadership training of lems relating to the Asian American popula store of knowledge. For in an age when a type that is not available elsewhere. knowledge was bound by rigid dogmas and tion; and unchallenged theories, it was Copernicus who Its members and alumni have taken Whereas, on February 22, 1973, the Honor pointed the way toward discovering the leadership roles in civic, social, school, able GLENN M. ANDERSON, Member of Con secrets of the Universe. and government affairs. The club has gress, introduced H.R. 261, which he co-au During the age of Columbus, Erasmus, Da stated as its prime purpose the develop thored together with the Honorable SPARK M. Vinci and Michaelangelo, this true Ren ment of the individual and their various MATSUNAGA, which would create a mean!Jngful naisance man from Torum spent 13 years and effective Cabinet Committee for Asian services to the community have involved American Affairs with the specific task of travelling and studying in Italy, where he such fine projects as Youth Counseling sat at the elbows of bishops, professors and identifying the problems of Asian Americans, astronomers. Copernicus was a practicing Service, Hire-a-Veteran, and sponsoring developing solutions to those problems and physician, a doctor of canon law, a brilliant two major scholarships at Inglewood correcting the injustices that presently con financial expert, a famous mathematician, and Morningside High Schools. front Americans of Asian ancestry; and an accomplished linguist who knew They have done an outstanding job in Now, therefore, the city council of the city La.t1n, Greek, Italian and German, as well as the community with the Inglewood of Hawthorne, California, does resolve, declare his native Polish language. But all of his ac and find and determine and order as Health Department, the Y.M.C.A., the follows: complishments pale into insignificance when Department of Parks and Recreation, one considers his work as an astronomer. He Section 1. That this City Council does was the father of one of the few true scientif veterans affairs, and various other hereby support H.R. 261 in its entirety and ic revolutions in the history of the world-a worthwhile service projects. does hereby urge its favorable passage. revolution which completely overturned It is organizations such as this that Section 2. That the City Clerk is hereby man's vision of the universe and his own make this country a better place in instructed to forward a copy of this reso place in it. which to live. lution to Congressman GLENN M. ANDERSON May 7, 1973 EXTENSIONS OF REMARKS 14573 and SPARK M. MATSUNAGA, Senators JOHN V. of the Washington Bar Association. Like than 50,000 of them, never famllies intent on TUNNEY and ALAN CRANSTON, the Board of wise she has served as a consultant to dropping new roots. The ties, the loyalties of Supervisors of Los Angeles County, and each the Crusaders remained in feudal Europe. city in Los Angeles County. several professional groups including The 2.5 million Jews of Israel, by contrast, Section 3. That this resolution shall take Sachem Fund and the National Task have left the life of the Diaspora behind effect immediately. Force on Legal Paraprofessionals. Her them. For them there is no other home base, Section 4. That the City Clerk shall certify lectures and published articles cover such no place to return. to the passage and adoption of this resol u subjects as women as agents of commu Entering its second quarter century, Israel tion, shall cause the same to be entered nity change and developments in para has yet to find its chosen place in the world among the original resolutions of said City; legal training. She received the Harriet polity. From its immediate neighbors Israel and shall make a minute of the passage and Tubman Award for Community Service longs for acceptance as just one more nation adoption thereof in the records of the pro state among all the others of the Fertile ceedings of the City Council of said City in 1972, and was selected a community Crescent. Yet in the world at large, to be in the minutes of the meeting at which the leader of America in 1971. just one more nation-state like the others same is passed and adopted. Mr. Speaker, we are pleased to have would seem to fall short of the Zionist ideal. Passed, approved and adopted this 23rd Ms. Robinson with the House Committee The early visionaries of Zionism-and some day o:t April, 1973. on the Judiciary and feel certain that she of their present-day descendants retain that ROBERT P. REEVES, will continue her efforts to insure that vision-perceived the land of Israel as a Mayor of the City of Hawthorne, Calif. all of our citizens enjoy equal access to beacon for an the world, a society in which Attest: the intellectual vigor of the Jewish people KENNETH L. KEEL, the resources of this Nation. could fiourish for the benefit of all humanity, City Clerk. including those on the land before the Zion Approved as to form: ist settlers arrived. This has not come about; KENNETH L. NELSON, for its first 25 years physical survivor more City Attorney. ISRAEL: AT 25 than enrichment of the human experience, STATE OF CALIFORNIA, County of Los Angeles, was the challenge thrust upon modern City oj Hawthorne, ss: Israel. I, Kenneth L. Keel, City Clerk of the City HON. CHARLES B. RANGEL So far Israel has not been allowed the of Hawthorne, California, do hereby certify OF NEW YORK luxury of meeting the challenges of peaceful that the foregoing Resolution, being Reso IN THE HOUSE OF REPRESENTATIVES construction, of integrating its unique con lution No. 4449 was duly adopted by the City tributions with the restive humanity around. Council of the City of Hawthorne, California, Monday, May 7, 1973 Having come this far, the people of Israel at a regular meeting of the City Council held have no further need of self-justification; April 23, 1973, and that it was adopted by Mr. RANGEL. Mr. Speaker, today, I their only need is peace and grace to face the following vote, to wit: join with men of good will everywhere in the tasks remaining. For its 25th anniversary, Ayes: Councilmen Moore, Miller, Clark, celebrating the 25th anniversary of the peace is both the greeting and the wish of Mayor Reeves. State of Israel. • Israel: Shalom. Noes: None. The true meaning and significance of Absent: Councilman Page. this anniversary should best be under KENNETH L. KEEL, stood by the downtrodden and suffering City Clerk, City of Hawthorne, Calif. among us. For they should find hope and SILVER ANNIVERSARY renewed spirit in the saga of the Jewish people and the birth of Israel. That the HON. WILLIAM R. COTTER RUTH 0. ROBINSON HONORED AS Jews, nearly exterminated 30 years ago OF CONNECTICUT DISTINGUISHED ALUMNI and now surrounded by nations dedicated IN THE HOUSE OF REPRESENTATIVES to their destruction, have settled in and transformed a barren desert into a thriv Monday, May 7, 1973 , HON. DON EDWARDS ing and free nation is truly a cause for Mr. CO'ITER. Mr. Speaker, from the OF CALIFORNIA faith in a better tomorrow. last valiant stand of the Jewish defend The Jewish people, with everything go IN THE HOUSE OF REPRESENTATIVES ers the Roman conquerors at Massada ing against them, made it. Let this 25th in 73 A.D. until May 15, 1948, there was Monday, May 7, 1973 anniversary serve as a symbol for what no Jewish nation in Palestine. During Mr. EDWARDS of California. Mr. can be. No anniversary could be cele those 18 centuries most of the Jewish Speaker, I wish to call to the attention brated in a more meaningful way. people were in the "Diaspora"-dis of my colleagues the presentation of the The New York Times on its editorial persed throughout the world. It is from Distinguished Alumni Award of Albright page today wished the State of Israel the the Diaspora-and from the horrendous College to Ms. Ruth 0. Robinson, assist birthday gift of peace. I share that wish. and diabolical "final solution"-that the ant counsel to the Civil Rights Oversight The editorial follows: Jews returned to Palestine to reestablish Subcommittee of the House Committee SHALOM an independent Jewish State. And, on on the Judiciary. The award, which was In just one generation the Jewish peopie May 15, Israel will celebrate the 25th first given in 1968, has only been be have experienced the deepest despair of holo anniversary of that rebirth of nation stowed three times since its establish caust and the most profound exhllaration of hood. ment. Ms. Robinson, a 1965 graduate in nationhood. These are epic events of our time I wish to join with countless others to be measured against the chronology of political science, is the youngest receipi millenia. Today the state of Israel marks its who have been privileged to witness the ent of the award and was honored at a 25th year of existence in the modern world. rebirth and maturation of this state in luncheon reception on May 5, 1973, in This may be but a small milestone in 4,000 extending sincere best wishes to Israel Reading, Pa., site of the college. years of a people's recorded history, but it is and her gallant people. I call them gal This honor is recognition of Ms. Rob an awesome human achievement of a living lant, because of the almost insurmount inson's efforts to improve human rela generation ln the face of the forces arrayed able odds they have had to overcome just tions throughout the country and to in against it. to survive as a nation. Three times in sure equal justice. Recently selected as A nation of despairing refugees has become this past quarter century the young a society of proud citizens of their ancient one of the ten outstanding young land. The problems that pressed upon earlier State of Israel has met the challenge to women of America, she is a graduate of generations have be.en soived by nationhood; its existence posed by its neighbors. Vanderbilt Law School in Nashville, this solution of nationhood is what poses the As a Member of Congress, I am also Tenn. She has served as the executive problems for the generations to come. privileged by the opportunity to join director of a federally funded Legal Serv Unreconciled still to the presence of the with the overwhelming majority of my ices program in New Haven, Conn., and Jewish state, the neighboring peoples of colleagues who have pledged support for as an attorney/professor of law at the Palestine and the Arab Middle East take the survival of Israel. This pledge is all Antioch School of Law in Washington, solace in what they see as a historical anal the more easy to fulfill, because Israel D.C. ogy: the medieval Crusaders' states, imposed asks little of us. She asks only the op upon the Levant by aliens from Europe, only An active participant in several na to shrivel up and disappear. Israelis know portunity to be treated fairly in world tional organizations, she is on the execu this analogy is false. The crusading armies councils and, when necessary, the oppor tive committee of the National Legal Aid never saw themselves as settlers, only mm tunity to purchase the wherewithal of and Defenders Association and a member tary conquerors. Only men came, never more her defense. 14574 EXTENSIONS OF REMARKS May 7, 1973 I fervently hope on the eve of this sil At the Protestant Home for Children at On April 20, James Reston's column, ver anniversary that by the time of her 605 Niagara St., where Director Richard A. "After the Watergate,'' and on April 23, golden anniversary Israel's right to exist Bonnevme praised the contribut:~ns of the men, the reservists work with '?OOrly coordi a New York Times editorial raised these will no longer be a disputed issue, that nated youngsters who can benefit from train basic questions which deeply disturb me. after millenia of war, dispersion and un ing in basic athletic skills. I hope that the issues in those articles speakable atrocities the return to the At that same institution they also work will not be forgotten by the public or by promised land will be a fact acknowl with groups in more advanced athletic skills, any Member of this body. I insert them edged by all men and nations. arts and crafts programs and motivational in the RECORD at this time. therapy. Typica.l of some of the men who [From the New York Times, Apr. 23, 1973] devote time at the home are Sgt. Raymond W. Pofi, Pfc. William A. Prescott and Pfc. BEYOND WATERGATE Daniel A. DeAngelo. The questions of who did what and with U.S. ARMY RESERVISTS IN whose approval in the Watergate affair must COMMUNITY SERVICE AID "SLOW" READERS of course be asked in the effort to punish past Other men, at the Urban League, provide wrongdoings and prevent future scandals of remediaJ. assistance to youths with specific this nature. Inevitably too, any proceedings HON. JACK F. KEMP reading deficiencies. There, they work on a involving those close to the summit of power "one-to-one" basis, similar to that involved OF NEW YORK exercise a lurid hold on the public's fascina in the Army's newest training procedures, tion. But to pay attention merely to the spe IN THE HOUSE OF REPRESENTATIVES with one reservist for every individual boy cific criminal details or to the Who's Who Monday, May 7, 1973 needing assistance. of the cast is to miss the real significance of League director Donald Pace also makes this sordid chapter of American govern Mr. KEMP. Mr. Speaker, too often, in use of the University of Buffalo Reading mental history. recent times, the Department of Army Clinic as a first step, for pinpointing each What has happened is that a web of decep has been portrayed as a demoniacal ma boy's specific problem, for which he wm then tion has been interposed between the Ameri chine which devotes itself to dehuman seek help, through the reservist volunteer can people and their Government. High-rank ization and warfare. The outstanding workers or others. ing officla.ls act in secrecy, without holding contributions made to our society by our C.O. PRAISES MEN themselves accountable to anyone. Their sole Col. Norbert J. Rappl, commanding officer justification for such usurpation of power is U.S. Army service members are com that they are the President's surrogates. pletely ignored or disregarded. I, there of the 4th Brigade, cited Lt. Col. Robert S. Hager, commanding officer of the 1st Batta When the legality of their actions is chal fore, wanted to call to the attention of lion, 39th Regiment of that Brigade, for lenged, they first deny knowledge of any my colleagues the outstanding job which spearheading this community action pro wrongdoing, then hide behind the privilege the members of the U.S. Army Reserve gram. He also commended Maj. August H. of being accountable only to their master, 4th Brigade are doing at the Protestant Hein and Lt. Col. Richard D. O'Connor, com and finally, under pressure of accumulated Home for Children in Buffalo, N.Y. The manding officers of the 98th Regiment of the evidence admit that they knew that others following article which recently ap 1st and 3d Battalions respectively, for their were involved, while maintaining their own efforts. innocence. All the while, every effort is peared in the Buffalo Courier Express made-and President Nixon himself has until aptly describes the great contribution Col. Rappl said he believes the project is "the start of one of the most unique and recently personally presided over that effort- which members of the U.S. Army Reserve continuing programs of community service in to keep the investigation in tb e hands of 4th Brigade are making to our com which members of the U.S. Army Reserve can those who are being investigated, or at best munity: participate. their close associates. ARMY RESERVISTS IN COMMUNITY SERVICE "It is structured so that it does not inter The scenario is not confined to Watt'rgate. (By Jean D. Hartnett) fere with the individual reservist's normal The abuse of power and the evasion of ac military duties, helps him complete his mil countability is by now an establlshed pattern. A group in the U.S. Army Reserve of this tary obligation and gives him a real feeling Only after intensive questioning by the area is involved in transferring the military of doing something for members of his com Senate concerning the relatioru:hip between "buddy system" to civilian life in applying munity." the high commands of the Justice Depart it to young boys in need of help. ment and of the International Telephone and The 35 reservists are members of the 4th Telegraph Corporation, while antitrust suits Brigade, 98th Division; the 3d Battalion, 98th WATERGATE were pending against I.T.T. and after the Regiment; and the 1st Battalion, 98th Regi company's secret offers of political contribu ment. tions had come to light, did former Attorney SOME HAVE SCHOOL WOES General John N. Mitchell admit that he had With approval of the Army Dept., the men HON. MICHAEL HARRINGTON discussed the Government's antitrust pollcies have volunteered to spend 90 of their re OF MASSACHUSETTS privately with I.T.T.'s president. quired 196 hours of training a year working Once again in the Watergate affair, Mr. with youths who are under the care of the IN THE HOUSE OF REPRESENTATIVES Mitchell has admitted at this late date that Children's Aid Society, the Protestant Home Monday, May 7, 1973 he had known'of proposals of political espion for Children's Aid Society, the Protestant age against the opposition party. It may be Home for Children and the Urban League of Mr. HARRINGTON. Mr. Speaker, the perfectly true that Mr. Mitchell opposed Buffalo. break-in, bugging, and burglary of such action; but this does not answer the These are youngsters who have varying Democratic national headquarters last question why he-until recently the nation's special problems. At Children's Aid the re June was an unpardonable act of polit highest legal officer-remained silent until servists are working with boys who have diffi ical espionage. The questions of who did now. The inference to be drawn from such culties in their school work-or, who have so silence can only be that high officials of this many difficulties in that area that it is a what to whom, and why, must be an Administration consider themselves a class problem for them to stay in school at all. swered and they must be answered apart, not responsible to the people nor sub Sometimes it is a matter of remedial read promptly. Such behavior has no place in ject to those who try to uphold the laws that ing assistance. In other cases, it might be one our political system. govern ordinary Americans. of the school curriculum. The agency, avail At the same time, there . are larger • Similarly, Richard Kleindienst, the current ing itself of the services of the military men, questions about the integrity of our gov Attorney General, confronts the Senate with makes contacts with the boys' families' ernment and our political parties that the astonishing doctrine that neither he nor (natural or foster) and with the pertinent will linger long after the Watergate case any other member of the executive branch school officials for the necessary work mate need respond to questions by Congress if the rials. itself is laid to rest. The questions in President commands silence. Less than one It then sets up study-aid sessions for the volve the basic honesty of officials, week later, Mr. Kleindienst voluntarily dis men and boys-sometimes at its own head elected and appointed to high office, and qualifies himself from the Watergate investi quarters, or at a branch library or in some their ability to govern with the suspicion gation but only after it has become appar other public building. The men engaged in and distrust that has been created by ent that some of his close associates are un such work through their reserve units are this case. In the long run, these are more der a cloud. qualified for it on the basis of their being The combination of secrecy and arrogance college graduates, some of whom are teach important questions, for no government can survive without the trust of its on the part of a coterie of appointed officials ers. in the inner sanctum of President power has TRAINED TO TEACH people. Unfortunately, these issues which created a serious threat to constitutional gov Most have been trained by the Army to be should be central to the whole debate ernment. Such rule by an unresponsive instructors and spend two summer weeks at are too easily forgotten in the onslaught oligarchy would be unacceptable even if the Army ca.mp in that capacity-lecturing am~ of headlines and disclosures regarding President's surrogates acted on the highest training in a variety of fields. the Watergate break in. level of ethics and morality. It becomes an May 7, 1973 EXTENSIONS OF REMARKS 14575 affront to lawful government when briefcases partment, the grand jury and the Senate in ADMINISTRATION RECOMMENDS and safes are stuffed with hot cash to finance vestigating committee what happened. Aside SOME TAX REFORM illegal activities. from trying to save their own skins, they When the ways of the mob become the ways want it known that they were not acting on of the President's surrogates, the people's their own, but operating under instructions faith in government is the victim. This is why for reasons they thought were not only offi HON. JOE L. EVINS the issue is no longer merely one of specific cial but honorable. OF TENNESSEE offenses or offenders. It is not just a matter It is the old problem of ends and means. IN THE HOUSE OF REPRESENTATIVES as some of Mr. Nixon's latest remarks sug If the President thinks his Vietnam policy gest--of dropping the delinquent member is right, and the Democrats are opposing Monday, May 7, 1973 him, with the aid of a lot of radicals who of the crew and riding out the storm. What Mr. EVINS of Tennessee. Mr. Speaker, has been created is an essentially undemo might disrupt the Presidential election cam cratic apparatus of men, money and arrogant paign, why not bug Democratic headquarters, it is heartening to note that the admin power. Until that apparatus is dismantled and even sabotage the Democratic Presiden istration has decided to support some and its oligarchy stripped of its extralegal tial candidates? All this must have seemed type of limited tax reform. perogatives, the American people's trust in reasonable under the atmosphere of con Although major reform is necessary to their Government wlll not be restored. spiracy which has dominated the Nixon Ad eliminate large loopholes, tax shelters ministration. and windfalls that permit many wealthy (From the New York Times, Apr. 20, 1973] Accordingly, even if John Mitchell, John W. Dean 3d and Jeb Stuart Magruder are in families and corporations to escape sub AFTER THE WATERGATE dicted, and the President's chief of staff, Bob stantial taxation, the administration's (By James Reston) Haldeman, resigns-not because he knew recommendations mark a beginning. WASHINGTON, April 19.-Even after the what was going on but because he didn't It is certainly my hope-and this hope courts and the Senate have passed judgment protect the President--the problem will still is shared by millions of Americans-that in the Watergate case, we will stlll not know exist. the Congress this year will enact some what happened here unless we understand For the root of the problem here is not type of basic tax reform, plugging loop the mood and assumptions of the Adminis criminal or even political but philosophical. holes thereby providing for a more equi tration in which these bizarre events oc President Nixon can easily dump John Mit table tax structure. curred. chell, John Dean, Jeb Magruder and all the The mood was conspiratorial. Mr. Nixon rest, but unless he explains that they were In this connection and because of the has come to the pinnacle of American politi not faithful to the ideals and atmosphere interest of my colleagues and the Ameri cal life, but always against great odds. From his Administra.tion created, they will insist can people in this most important mat the first, . he has been a "loner," fighting that they were doing what they thought he ter, I place in the RECORD herewith an against the established institutions of the wanted them to do, and he will still be in article from the Sunday New York Times Congress, the press, the civil service and trouble. concerning the President's proposals. the universities-all of which he felt were President Nixon is already in difilculty on The article follows: hostile to him. other fronts. He is in trouble with the econ His assumptions, when he finally prevailed omy, trade, labor, the price of food, and even TAX SHELTERS: WIND SHIFT-PRESIDENT PRO over all of them in one of the greatest per with his own conservative colleagues like POSES NARROWING LoOPHOLES sonal triumphs in American history, were Barry Goldwater on handling Watergate. (By Edwin L. Dale Jr.) that they were still against him. So he iso After the Watergate case is settled, after WASHINGTON .-Attention, 130,000 doctors, lated himself and concentrated power in his the White House staff is cleaned out and lawyers, highly paid business executives, big White House staff, now under attack. reorganized, President Nixon wm still need investors using borrowed money and the tax He reduced the power of the Cabinet. He much more support from the public, the shelter departments of investment advisory talked publicly about the "bureaucracy" in Congress and the press than he now has. firms: Life is likely to become more difilcult. Washington as if it were a foreign enemy This will require a much different atmos The Nixon Administration's tax-reform rather than his servant and ally. Even after phere than we have had during the last proposals last week would significantly re his spectacular victory in the Presidential four years in Washington, and the President duce (though not eliminate) the usefulness election last November, he defied the Con is in a much better position than anybOdy of tax-shelter types of investment for the gress to question his aides or appropriate else to change it. Finding the culprits in the well off: oil, real estate, agriculture and oth funds he didn't want to spend, and assumed Watergate case won't do it. The problem is ers. And they would limit the use of big de that the inquiries by the press into the the atmosphere of fear and suspicion· which ductions, chiefiy for interest and charity, as Watergate case were not only frivolous but made the Watergate tragedy possible, and a nieans of offsetting most or all taxable vicious, and maybe unpatriotic. this cannot be removed by removing Mr. income. In short, fear and suspicion have been his Nixon's aides. The atmosphere of distrust, These proposals may not pass Congress companions. He had the example of Presi almost of war between the President on the exactly as suggested, of course, and no tax dent Johnson before him. Mr. Johnson had one hand and the Congress, the press and reform proposal is likely to become law this been drummed out of the White House by the civil servants on the other, has been year. But the next tax b111 very probably will militant opponents of the Vietnam war. the main problem in the last few years, and tackle in a serious way the still-nagging These same militants were still around and this wlll not be changed, even with a new problem of the man or woman who has a might try to defeat Mr. Nixon as they had White House staff, unless the President him large cash income in a given year and pays defeated Mr. Johnson, and President Nixon self changes it. little tax. was surrounded mainly by his friends on the The relatively conservative Nixon Admin White House staff, who shared his suspicions istration and Congress's liberal Democrats are of the Congress, the bureaucracy and the in accord that the first "minimum tax" re press, and were loyal primarily to him. PERSONAL ANNOUNCEMENT form in 1969 dd.d not solve the problem. The This does not mean that the President surprise proposals made last week by Sec knew about the Watergate conspiracy. He is retary of the Treasury, George P. Shultz, too intelligent to approve such risks in an backed by the President, would go much election against George McGovern which was HON. FORTNEY H. (PETE) STARK further in limiting the use of a combination never in doubt. Also, in fairness to him, he OF CALIFORNIA of "preferences" and deductions by wealthy is too smart to get involved in raising funds IN THE HOUSE OF REPRESENTATIVES taxpayers to reduce their tax drastically. laundered through Mexico, or recruiting But these proposals may also create some C.I.A. characters to bug Larry O'Brien's tele Monday, May 7, 1973 problems even on the assumption that the phones. Mr. STARK. Mr. Speaker, I regret that general objective is good-an assumption But the main thing seems to have been that will hardly be accepted by the om I was unable to be in attendance for the clally estimated 130,000 taxpayers who would missed here. It is that President Nixon did session of the House on Monday, May 7. create the atmosphere of fear and suspicion be affected by the reforms. in which others working !or him apparently Instead I was in Oakland, Calif., on of The general principles involved are not felt that they could use any means to assure ficial business, for the opening and dedi obscure. There are three ways by which the his re-election. It is not good enough to con cation of the George Miller memorial tax of a person with a big income can be vict the burglars at the Watergate, or even to hangar at Oakland International Air reduced: identify the officials who approved it or port. Exclusions. This is income that does not knew about it, or paid for it. They obviously I did, however, request a general pair count as income for tax purposes: the un have to pay the price for breaking the law, taxed half of capital gains, the "bargain" so that I might be able to voice my sup of executive stock options, part of the in but most of them were the victims rather port for the five bills considered by the than the originators of the crime that came come from oil and other minerals under the out of the atmosphere of conspiracy in which House today. These five bills seem partic depletion provision a.nd some income from they lived. ularly important to many groups of foreign sources. This is why McCord, Magruder and the people and I believe it essential that the Deductions. Everyone is familiar with others are beginning to tell the Justice De- funds in question be appropriated. these. The only important ones at issue in 14576 EXTENSIONS OF REMARKS May 7, 1973 this connection are the huge charitable con tion even if he has no "sheltered" income I am sure that this article would be of tribution deductions and particularly the at all. interest to many Members. The article huge interest deductions for the use of bor Much more likely is that this man has a · follows: rowed money to buy more investments of few exclusions, such as capital gains, and one kind or another. Sometimes these deduc the combination of them with his contribu DoES WASHINGTON NEED RENEWAL? tions can be so large as to eliminate or tion trips him into the M.T.I. (as it has been (By Russell Kirk) nearly eliminate tax. dubbed). The city which is the capital of these "Artificial accounting losses," as the Ad Some people will argue that "minimum United States has been growing ugly for the ministration proposal calls them. These are taxable income" will further exacerbate the last three decades. Now, Washington has the items that appear inside brackets in the supposed "locking-in" problem in the case the prospect of becoming another Manhattan tax return and reduce taxable income. There of capital gains. A person taking a large gain in appearance-all in the name of "urban might be an accounting "loss" to an oil in could not be sure that only half the gain renewal" and face lifting for the Bicenten vestor for the first year's drilling expense, a would be taxed. If there are enough other tenary. "loss" to an investor in a new apartment exclusions plus deductions in that year, the Washington's Board of Trade, the orgamza building because of accelerated depreciation taxpayer, again, may be tripped into the tion called Downtown Progress, and the Re or a "loss" to a tax-minded farm investor M.T.I. situation. development Land Agency are working hard from buying feed in that year for his young To cite an example, it could be silly in a to demolish more of the old commercial dis steers. tax sense for a wealthy taxpayer both to tricts of Washington, particularly along the The Administration reforms, essentially, realize a large capital gain and to make a line of the subway system now being con would tackle the first two of these by one large contribution in the same year. structed. change called "minimum taxable income" The elimination of "artificial" tax losses Many of these commercial boosters desire and the third by another change called "lim could reduce investment by individuals in oil to build high-rise towers of 20 to 25 stories, itation on artificial accounting losses." and gas (which the nation needs) and in although at present no building in Washing In the first case, no matter how many residential construction (which it also to~ is supposed to be more than 130 feet exclusions and deductions a taxpayer could needs). The subsidized variety of construc high. find in a given year, he would have to pay tion for lower-income renters called Section "Renewal" in Washington has been con a sizable tax-a good deal more than now, 236, for example, has been a particular fav fused and wasteful. Some $200 million in even with the 1969 "minimum tax" in effect. orite of tax-shelter investors. federal funds has been poured into such proj The general principle, as enunciated by There are counter-arguments, but the pos ects. The chief result, so far, is that the capi Secretary Shultz last week, is that the change sibility of reduced investment has already tal looks as if it had suffered heavy bombing "would prevent the combination of exclu been raised by at least one member of the raids. On the vacant sites or in derelict build sions and itemized deductions from offset House Ways and Means Committee. ings scheduled for demolition, human preda ting more than one half of a taxpayer's in On the other side of the coin, the proposals tors ·lurk-as if Washington had . not had come and every individual will be required (though far tougher than the present mini sufficient crime already. to pay tax on at least the balance." And this mum tax) do little about the agonizing fair For the benefit of big commercial firms, tax would be at the regular progressive rates, ness problem of tax-exempt interest from the properties of small local businessmen in not the fiat 10 per cent rate of the present municipal bonds. Mr. Shultz proposed a new Washington are virtually confiscated-and "minimum tax." alternative taxable bond, with an interest then sold at a discount to the new "devel- subsidy ft:om the United States Treasury, . opers," public funds making up the difference The Treasury gave two examples. In one, that might gradually dry up the supply of the "true" income of a couple is $350,000 in in price. The little businesses cannot afford tax-free bonds. the high rents of the new business com a year; the tax is $11,000 now and would be This, together with the lesser attractive $88,340 under the change. In the other ex plexes; many of them vanish altogether, or ness of other tax shelters and a resulting are exiled to the fringes of the city. ample, the "true" income is $275,000; the tax rise in the demand for municipals, might is $45,358 now and would be $64,620 under The small business organization called well drive down their interest yield some BASYAP, Inc. (Businessmen Affected Sev the change. It all depends, of course, on the what. Essentially, however, tax-free interest sources of income and the deductions and erely by the Yearly Action Plans) does what would remain an un tackled loophole and it can to resist this effacing of the humane exclusions that are used, but a significant therefore a problem. increase in tax would occur almost every scale of business in the District of Columbia. The first three problems illustrate the The agency has turned to the Supreme Court time. clash of good motives involved in the tax The "artificial loss" provision, which for redress-unsuccessfully, so far, despite system: the desire to stimulate or favor some the court's solicitude for other forms of tackles the third area of tax escape, is sup kinds of investment (or donations) versus posed to keep alive tax incentives for invest civil rights. There writes to me a gentleman the need for a system that seems to the active in the group: ments in minerals, housing and farms. But great majority to be fair. it is also designed to force wealthy investors "It may be doubted that the Congress, and It seems more and more likely that the President Nixon, ultimately would be very to take their tax-allowable losses only against latter motive will prevail, at least .in the in actual income from the related investment proud of an administration effort to use the dividual income tax. And tax-exempt inter powers of big government to destroy small which means mainly future income. est may creep into reform, too. The best The losses denied this year would be avail business and to make the nation's capital evidence of the general sentiment is that safe for big business," he remarks. "Do you able for use later. But the investor in a suc this Administration has decided that the cessful oil-drilling venture could not take as think it would be possible to appeal to Presi aura of fairness in the system should have dent Nixon-since he comes from a small a loss the drilling expense in the year the well priority over the other considerations, though was drilled, before any income was produced. business background, and knew adversity?" it has not proposed ·elimination of any im- Perhaps a public appeal could have some The investor in an apartment house would •portant specific tax "preference." have limits on how much "loss" he could take success in saving the capital from the in a year solely because of accelerated de That puts President Nixon in the same shame of a total takeover by big business preciation, though eventually he would be camp as George Wallace and George McGov and high-rise Manhattanization. entitled to all of that depreciation. ern on a basic principle, though by no means President Nixon is earnestly interested in on all details. The aim of all this, frankly stated by Mr. the improvement of Washington's appear Shultz, is to improve the image of fairness ance, particularly along Pennsylvania ave in the tax system by reducing to zero if pos nue, in connection with the bicentennial sible "horror stories" about the wealthy celebrations. Whether he can find time to whose tax returns show little or no tax. DOES WASHINGTON NEED give some personal' direction to that effort At stake, Mr. Shultz said, is the nation's RENEWAL? is another matter. The big commercial inter "spectacularly successful" revenue-raising ests and civic boosters in Washington tend system that depends on individual com to think of the city not as a splendid national pliance. HON. LES ASPIN capital, but rather as just another conurba "We must deal effectively with aspects of OF WISCONSIN tion for development. George White, the architect of the Capitol the system that may undermine confidence IN THE HOUSE OF REPRESENTATIVES in it and, therefore, cooperation with it," he (a post controlled ·by Congress, not by the said. Monday, May 7, 1973 executive branch) takes a dim view of many What, then, are the problems? Some schemes for the ·"development" of Wash Mr. ASPIN. Mr. Speaker, a column en ington. emerge like this: titled "Does Washington Need Renewal," Universities and other recipients of large "Some people would like to increase build tax-deductible contributions are going to recently appeared in the Baltimore Sun. ing heights in certain locations, particularly have to prick up their ears. It is possible, The author Mr. Russell Kirk, points out around the Metro stations as they are built, though not likely, under the new system that that some of Washington's urban re supposedly to attract new development and a man making a big contribution in a year newal schemes had adversely affected income for the District," he remarks. "But could be tripped into the new "minimum small businessmen and, in the long run, if you allow tall buildings around Metro sta taxable income" situation and, in effe<:tt, lose will do little to relieve existing urban tions, they'll soon spread and the first thing part of the tax deduction for his contribu- blight. you know you'll have New York. • May 7, 1973 EXTENSIONS OF REMARKS 14577
"I really believe that if tall buildings were The increased buying is a. reflection, ana Ushiba, Japanese ambassador to the U.S., as the answer to urban woes, New York lysts believe, of a. slippage in China's own he toured the Cargill Inc. grain elevators in wouldn't be in the economic difficulty it is." production caused by bad weather and, per Port Allen Sunday. Amen to that, The highrise pattern of haps more signiflca.ntly, a decision to elevate Ambassador Ushiba arrived Saturday on a. existence is inhumane: it increases rather cotton and cotton cloth to the level of grain Cargill-sponsored trip down the Mississippi than diminishes, street crime, and basically at the top of the country's economic priori to inspect the company's facilities for ship it is unsound on business principles. Doubt ties. ping soybeans and grains. less with the best of intentions, the big No less a figure than Party Chairman Mao The ambassador and his party started from commercial boosters are p111ng Manhattan's Tse-tung put new emphasis on cotton in a Memphis by towboat, but took an airplane to woes upon Washington's present tribula directive read to a National Conference on Baton Rouge from Greenv1lle, Miss., after tions. Cotton held in Peking in the latter part of having boat trouble there. He planned to January. Mao was quoted as instructing the return to Washington from New Orleans conference, "We must pay close attention to Sunday night. HIGHER FOOD PRICES, A BYPROD grain, cotton and cotton cloth." Japan buys 80 per cent of its soybean UCT OF INTERNATIONAL GENER Since then, the communications media. in supply from the U.S., with much of it the cotton-growing areas have been filled shipped from the Mississippi River ports at OSITY with stories on rallies and study groups Baton Rouge and New Orleans. dealing with questions on how to obtain a "Last year we purchased about three mil HON. JOHN R. RARICK "bountiful" harvest of cotton. lion tons of soybeans from this country, and Although China's outlay for raw cotton this number is increasing," Ushiba said. OF LOUISIANA in recent years has been considerable, it is He pointed out that the Japanese have IN THE HOUSE OF REPRESENTATIVES able to recapture some of this through its made much greater use of the soybean as a. human food product than have Americans, Monday, May 7, 1973 exports of cotton fabrics. The emphasis on increased domestic pro who stm regard the bean primarily as a. Mr. RARICK. Mr. Speaker, this past duction is undoubtedly designed to reduce source of cattle feed and oil. weekend the city of Washington saw a China's dependence on foreign sources. "While the Japanese use soybean meal for protest against inflation and higher China's forward purchases of raw cotton cattle feed and make use of the oil in many for the period 1973-74 are estimated to be ways, we have long used soybeans as a major prices. Tragically, the protestors, when source of protein, in bean curd, paste and given the podium of local television, were slightly more than 1.6 million bales, exactly the amount estimated for 1972-73. (For ac sauces," he said. most vocal in blaming what they called counting purposes, the Department of Agri Citing current American problems with "those rich farmers" for price increases. culture regards the cotton year a.s running high beef prices, he said they are much Either the masterminds of the anti-in from August, when harvesting begins in the higher in Jap·an, which has difficulty raising flation protest were misguided, or they United States, through the following July.) and importing enough beef for the millions were intentionally misleading the Amer The figure of 1.6 million bales represents a of people of the island nation. ican people. With the national av.erage sharp increase over the years immediately HARD TO GET income of American farmers being less preceding. From the period 1968-69 to 1971- "Beef is very hard to get, so we import than $7,000 a year, any protests against 72, imports of cotton rose gradually from mutton from New Zealand, some pork from an estimated 300,000 bales to 670,000. the U.S., and our people eat chicken and high prices should not be directed at the A large share of the increase is being especially fish a great deal," Ushiba said. minority who produce our food. provided by U.S. growers. Last year, China He said that in Japan, as in this country, Unfortunately, the protestors in Wash bought an estimated 500,000 bales in this the soybean is being used as a meat ington did not criticize the Federal Re country but it is understood to have com substitute. serve System, the International Mone mitted itself to buy 700,000 to 800,000 bales "We've even had experiments on obtain tary Func~. the U.N. office, the Soviet of the 1973-74 crop. ing a protein-rich food from petroleum, but Embassy, or the new Red Chinese diplo Several analysts think it possible China this wasn't very popular with our people," he matic mission. These are the true cul may boost its purchases even higher in com observed. ing months. They caution, however, that Ushiba said Japan is seeking to increase prits, along with continued foreign aid Peking may have decided to makes its com its imports from the U.S., especially in agri and continued U.S. contributions to the mitments early because of the trend to cultural goods. Japan now buys about $1% United Nations. The farmers are not to higher cotton prices throughout the world. b1llion annually in agricultural products blame for financial blunders. In that case, they said, Chinese imports from this country. Thinking Americans realize this; they might remain at the 72-73level. He said that in addition to soybeans, Japan know that the clanking noise that haunts Analysts acknowledge that they are com was interested in purchasing wheat and other modern society is not from the chains of pletely in the dark about the ultimate pur grains from the U.S. slavery, rather, it is the rattle of print pose of China's increased emphasis on cot James Hessberg, Cargill's new southern re ton. Accounts carried in the Chinese press gional manager in Baton Rouge, said that ing presses at the Treasury Department about the Peking conference and subsequent Japan was the firm's biggest grain customer rushing off another truckload of nearly regional meeting offer no clue other than a before the U.S.-Russian grain agreement, worthless paper money. frequent assertion that the crop is important which has resulted in vast amounts of Thinking Americans are concerned to the national economy. American grain being shipped to Russia. over the continuation of foreign aid There are, however, two possibilittes sug LARGEST MOVEMENT gested. One is that more fabric may be made giveaways to subsidize foreigners and en "The United States is currently involved able them to buy American goods at available for domestic consumption. Depart ment of Agriculture estimates of domestic in the largest movement of grain in history," discount prices, thus cutting the supply consumption in China show a total increase Hessberg said, pointing out that U.S. agri and raising the price of these same goods of only 1.25 per cent over the last five years, culture was being called upon to supply to our domestic consumers. this at a time when China's estimated pop much of the world with grain, both for cattle Mr. Speaker, so long as "Alice in ulation of 700 to 800 million was growing feed and for human consumption. Wonderland" theories of financial prog at 2 per cent each of those five years. For Also in Ushiba's party was Keniohi Muri ress though spending ourselves poor and years, cotton has been rationed in China; cami, first secretary of the ambassador, and sharing our wealth with the world con the amount an individual can buy is be Yoshiro Arino, Japanese consul-general in tinue to dominate American fiscal policy, lieved to be about three yards per year. New Orleans. A second possibility is that China, the A delegation of Baton Rougeans met the domestic prices will continue to rise and world's largest exporter of cotton textiles, higher taxes will be inevitable. ambassador Sunday morning at the Gargill may be planning to boost its exports even facilities in Port Allen. At the tour of the If political controls over our finances higher as a way to pay for its recently elevator were Charles Smith, executive di and economics are go·od, why aren't they stepped-up buying of 'a variety of goods in rector of the state Department of Commerce working? the world markets. A combination of both and Industry; Agriculture Commissioner Related newsclippings follow: goals may explain China's new priority on the Dave Pearce; William Thibodaux, president [From· the Washington Post, May 6, 1973] production of cotton. of the Greater Baton Rouge Port Commis MAO EMPHASIZES CLOTH PRODUCTION--cHINA sion; port executive director C. W. Herbert; BUYING MORE COTTON [From the Baton Rouge (La.) Morning Ad mayor-president's representative Mike Walk vocate, Apr. 13, 1973] (By John Sharkey) er; Baton Rouge Convention and Visitors DIPLOMAT SAYS JAPAN WANTS ALL THE BEANS Commission director Norman Bermes and China is buying cotton on world markets at a rate at least as high as last year's record AMERICA CAN FuRNISH Chamber of Commerce representatives Char purchases and may buy even more, according (By Smlley Anders) les Stoma and Mike Kabel. to sources in the U.S. government and the "Japan wants to buy all the soybeans the Other Carglll officials greeting the ambas cotton industry. United States can furnish," said Nobohiko sador included assistant vice president Ad- • 14578 EXTENSIONS OF REMARKS May 7, 1973 dison Douglass, a former Baton Rougean now Orient, which included visits to Japan, Viet being loaded during his tour of the elevator. residing in Minneapolis, and Lloyd Graving, nam, Formosa and Korea. The trip, he said, At a luncheon at the Baton Rouge Country administrative manager of the southern re was primarlly to encourage the Asian nations Club which followed the port tour, Ushiba gion, from Baton Rouge. to purchase Louisiana rice. remarked about the excellence of Louisiana RICE PROMOTION Ushiba said he found the grain loading crawfish, leading one observer to express the Smith told the Japanese ambassador that facllities at the Carglll elevator "very impres hope that this dish didn't catoh on in Japan. Gov. Edwards was returning to Baton Rouge sive," although it was a Greek ship, the "Shipping them all our soybeans is one ::;unday night from a trade mission to the Pandora, and not a Japanese vessel that was thing," he moaned, "but our crawfish . . .''