July 18, 1978 EXTENSIONS OF REMARKS 21517 EXTENSIONS OF REMARKS JUDGE WALTER LOGAN FRY cause of the diversity and complexity of sence of self-determination in many na this work, the administrative law judge tions. Let this week bolster our resolute should accordingly be evaluated not like ness to correct this wrong. • HON. JOHN F. SEIBERLING "all other civil servants," but rather, ac OF OHIO cording to those standards by which IN THE HOUSE OF REPRESENTATIVES U.S. district judges are evaluated. CARL SNOWDEN Tuesday, July 18, 1978 Judge Fry exemplified this sense of impartiality and independence. He e Mr. SEIBERLING. Mr. Speaker, June worked long and ably to secure for his 6, 1978 marked the death of Administra HON. PARREN J. MITCHELL fellow citizens those benefits which the OF MARYLAND tive Law Judge Judge Walter Logan Fry, country has deemed necessary for those an honored resident of my district. His who have become disabled and for whom IN THE HOUSE OF REPRESENTATIVES passing prompts me to remark briefly employment opportunities are no longer Tuesday, July 18, 1978 on Judge Fry's judicial professionalism available. Judge Fry approached this im and to his role-and that of all admin e Mr. MITCHELL of Maryland. Mr. portant responsibility with dedication Speaker, on Friday, June 9, 1978 the citi istrative law judges-in the increasingly and fairness. We will miss him.• complex and important work of the fed zens of Anne Arundel County gave a com eral system. munity salute to Carl Snowden. This Judge Fry was raised in Akron, Ohio, young man is my friend who has demon in a neighborhood rich in the diversity strated concern for the community since TWENTIETH OBSERVANCE OF he was 16 years old. of Americans of Appalachian, African, CAPTIVE NATIONS WEEK English, Italian, German, Greek, Polish, Carl Snowden is a lifelong resident of and other national and ethnic origins, Anne Arundel County. Mr. Snowden, drawn together by the phenomenal ex HON. RONALD A. SARASIN who was born on June 17, 1953, is the pansion of the rubber and rubber tire OF CONNECTICUT son of Mr. and Mrs. William Snowden of Annapolis, Md. He has eight brothers industry at the turn of the century. IN THE HOUSE OF REPRESENTATIVES and sisters. He is presently employed as A graduate of East High School and Tuesday, July 18, 1978 Ohio University Judge Fry received his the chief program officer for the Anne law degree from Akron Law School, now • Mr. SARASIN. Mr. Speaker, the week Arundel County Community Action a part of Akron University. Firestone of July 16 to 22 marks the 20th observ Agency and in addition is the host-mod Tire, during the depression, sent him to ance of Captive Nations Week. This an erator of WANN radio station's "Com its affiliated bank in Monrovia, Liberia, nual occurrence serves as a reminder to munity Viewpoint." where he managed the bank's affairs for the free world that there are less fortu Mr. Snowden is a 1971 graduate of 3 years. On his return, he traveled nate people who do not share the advan Key School, a private institution in An through Europe, only to witness Hitler tages of national independence. napolis, Md. He attended the University conduct a thunderous, frightening har The nations of Eastern Europe and of the District of Columbia as well as angue in Munich. Asia which live under the dominance of classes at Anne Arundel Community When World War II later erupted, a stronger neighbor cry out for justice College. At the age of sixteen he took Judge Fry joined newly formed Good and equal status in the world commu an active interest in human rights and year Aircraft as a member of the original nity. They yearn for the day when their civil rights and has been active ever training group, following which he en national cultures can once more flourish since. In 1970 he was arrested while pro listed in the Navy recruiting service. and their political freedoms can once testing discrimination against blacks in more be maintained. Their present ex Anne Arundel County. After the war. Judge Fry commenced In 1970 he organized a boycott for a 34-year career in the Federal civil istence is one of subservience and as such, it is a condition which we cannot classes in the area of black studies at service in OPA/OPS, the Veterans' Ad Annapolis Senior High School; which ministration, the Internal Revenue tolerate. Particularly hardpressed in this situa later became part of the curriculum at Service Statements or insertions which are not spoken by the Member on the floor will be identified by the use of a "bullet" symbol, i.e., • 21518 EXTENSIONS OF REMARKS July 18, 1978 A.M.E. Church and the Anne Arundel country. His work brought him in contact But the view from the top of the dam ls County Legal Aid Bureau; was one of with U.S. Air Force officials at all levels, magnificent. On one hand can be seen the the founders of VOTE, which sponsored other Department of Defense and Gov tiny darter monarchs holding sway in their water hideway. On the other is a panoramic the first black political convention in ernment agencies, civilian organizations, view of better living for thousands of per 1977. Mr. Snowden is the third vice presi the Congress, and representatives of sons, which didn't materialize and sub-level dent of the Anne Arundel County Branch free-world nations. existence continues. of the NAACP. Mr. Gray also served as administrative Tourists should love visiting Little T That is quite a record for a man who director of the Aerospace Education dam.e has just reached the age of 25. Foundation, an educational affiliate of I believe you will share my thought AFA. that America needs many, many more He is in the Retired Air Force Reserve SEYMOUR L. KATZ Carl Snowdens.• as a brigadier general. Among his mili tary decorations are the Legion of Merit and Bronze Star Medal. HON. BENJAMIN S. ROSENTHAL Over the years Mr. Gray has accumu OF NEW YORK TRIBUTE TO JOHN 0. GRAY lated many friends, admirers, and well IN THE HOUSE OF REPRESENTATIVES wishers, among which I count myself. Tuesday, July 18, 1978 HON_. JIM WRIGHT He has always set high standards for himself, professionally and personally, e Mr. ROSENTHAL. Mr. Speaker, it OF TEXAS gives me great pleasure to pay tribute to IN THE HOUSE OF REPRESENTATIVES and has always lived up to them. Directly and indirectly, as a civilian day to a distinguished member of the Tuesday, July 18, 1978 leader in military affairs and as an Air Queens community, Mr. Seymour L. fD Mr. WRIGHT. Mr. Speaker, on June 30, Force officer, he has served the United Katz, upon his completion of serving for John 0. Gray of Washington, D.C., re States and its interests with honor, with 3 years as president of the Queens Coun tired from his position as assistant execu dedication, and with talent. I am sure my cil for Soviet Jewry. As an active and tive director of the Air Force Association. colleagues join me in wishing him well in dedicated advocate for the liberation of Mr. Gray has been a key member of the his retirement.• Jews in the Soviet Union, Seymour national headquarters staff of that fine served as a delegate to the Brussels Con organization for more than 21 years and ference on Soviet Jewry in 1976 and has played a leading role in the associa visited the Soviet Union to meet with tion's impressive growth in size, influ MONUMENT TO DARTER IS TOUR persons wishing to emigrate to Israel. ence, stature, and prestige. Additionally, IST ATTRACTION The "refuseniks" Seymour met became over an even longer period of time, Mr. his lasting and special friends. He is in Gray compiled a distinguished record of constant phone contact with them, accomplishment as an officer in the U.S. HON. JOHN J. DUNCAN sends frequent "care packages" and Air Force Reserve. from his entry on OF TENNESSEE ceaselessly petitions Soviet and Amer active duty in June 1941, to his retire IN THE HOUSE OF REPRESENTATIVES ican officials on their behalf. It was Sey ment as a brigadier general in 1969. I Tuesday, July 18, 1978 mour who brought the plight of refuse want to call the attention of my col •Mr. DUNCAN of Tennessee. Mr. Speak niks I recently "adopted"-Carmella leagues to the career of this outstanding er, as my colleagues are aware, the pub and Vladimir Raiz-to my attention. military and civilian leader. licity and controversy surrounding the Under Seymour's leadership the Born in Boston, Mass., Mr. Gra:v lived Supreme Court's June 15 decision in the Queens council organized numerous most of his young life in t.he Northwest. Tellico Dam/snail darter case has by no rallies and vigils around New York City He is a graduate of the University of means disappeared. In no area is this and hosted the annual "Freedom Seder," Idaho and still calls Spokane, Wash., his more evident than in my own Second in which I have had the privilege to par hometown. Congressional District of Tennessee ticipate, to honor recent Soviet emi He entered active military service in wherein the Tellico project lies. For the grants and to pray for those unable to 1941 as a second lieutenant commissioned residents of this area, the people who celebrate the Passover in the Soviet from the Army Reserve Officer Training have seen many of their hopes for a bet Union. Corps. After a tour at Lubbock Army Air ter future smashed by this decision, this Seymour has been a leading figure in Base in Texas. he served for 4 years in case represents the ultimate in bureau the Jewish affairs of the borough of Europe with the 8th Air Force. cratic folly. This sentiment is evident in Queens for over 20 years, serving as a During the Korean conflict he was re the following editorial which appeared founder and vice president of the New called to duty as a lieutenant colonel and in the Athens, Tenn. Daily Post-Athen York Region of United Synagogue, served with Headquarters, U.S. Air Force, ian on June 19. I commend its reading Queens chairman of the N.E.P. program in Washington. Later he served a 4-year to my colleagues. for the Jewish Theological Seminary, tour of duty in the Air Force's Office of MONUMENT TO DARTER Is TOURIST ATTRACTION United Synagogue representative to the Information, in charge of Reserve Forces Tennessee has been forging ahead in Synagogue Council of America and one activities. tourism for the past few years. of the American representatives on the In 1957 he jolned the national staff of It now has an attraction that is un board of directors of the World Council the Air Force Association in Washington, equaled in any of the other 49 states. of Synagogues. He also served as a mem ~ . C., and was the association's project A multi-million dollar monument to a ber of the board of directors of the Solo director for the golden anniversary cele three inch fish. mon Schecter School of Queens, the bration of the Air Force in that year. To make the monument even more com Queens UJA Cabinet and synagogue manding it has a no less body than the chairman of Queens Israel Bonds. In October 1957, Mr. Gray became the Supreme Court as publicity agent. association's administrative director and The court says the three-inch snail dar In recognition of his dedication and soon became its assistant executive ter is so rare that its habitating waters service to the Queens Jewish community directo~ .. director of military relations, must not be disturbed, only viewed from and the cause of Soviet Jewry, Seymour and military affairs editor of the Air the balustrade of a huge overlook of con was recently elected honorary president Force magazine, the association's official crete and steel erected at the cost of mil of the Queens Council for Soviet Jewry journal. lions. and vice chairman of the Greater New In these capacities he supervised many However the vantage point can be reached York Conference on Soviet Jewry. of the administrative and operational nicely by a driveway which is almost inlaid With great respect and admiration for functions of the association. He worked with dollars. The monumental dam should be a double Seymour's selfless dedication to the closely with the association's executive pronged attraction. Nowhere else in the Queens community and oppressed Soviet director in the programing and supervis United States can one see the combination Jewry, I am pleased to jom in my com ing of seminars, symposia, and confer of the majesty of three-inch fish and the munity's praise and appreciation for ences conducted annually throughout the stupidity of interpretative court rulings. Seymour L. Katz.• July 18, 1978 EXTENSIONS OF REMARKS 21519 COAL SLURRY PIPELINES Further, slurry pipeline development The restructuring would be accomplished should have no significant impact on the through H.R. 11009. The bill would eliminate achievement of projected levels of coal use the current multiple statutory maximum HON. OLIN E. TEAGUE on a national scale. loan amounts for single and multi-sectional OF TEXAS Copies of the OTA report, "A Technology mobile homes, either attached or unattached Assessment of Coal Slurry Pipelines," are to the land, and substitute a maximum IN THE HOUSE OF REPRESENTATIVES a vailable from the U.S. Government Printing guaranty in the amount of $17,500. It would Tuesday, July 18, 1978 Office. The GPO stock number is 052- 003- also increase the maximum term of years for 00523- 9; the price is $3.25. Copies for con which loans are financed from 12 years, 32 e Mr. TEAGUE. Mr. Speaker, the bill gressional use are available by calling 202- days to 15 years. 32 days in the case of a H.R. 1609, better known as the coal 224- 8996.1) loan for the purchase of a single-sectional slurry pipeline bill will no doubt be one mobile home only or for the purchase o! a of the most debatable issues before the lot. U.S. Congress this session. REMARKS FOR THE RECORD In addition, it would impose the same cri Several years ago, during my tenure teria for restoration of entitlement as applies as chairman of the Office of Technology HON. DOUG BARNARD to restoration of entitlement used for site Assessment, I directed that a study be built homes-the home must be disposed of ' done on this issue for the benefit of the OF GEORGIA and the loan must be paid in full. IN THE HOUSE OF REPRESENTATIVES Finally, the bill would provide that a Members of this body. The study was veteran who obtains a mobile home loan will completed several months ago, and I Tuesday, July 18, 1978 have the opportunity to use his or her partial am sure that every Member of this body 0 Mr. BARNARD. Mr. Speaker, as a or remaining entitlement when moving. has received a copy of that study. The House Veterans Committee recently member of the Subcommittee on Hous approved the legislation and it is not ex Because the bill was scheduled for ing of the House Committee on Veterans' consideration, the Office of Technology pected to meet any major resistance in the Affairs, it is my pleasure to serve with a House. Assessment has published a one page fellow Georgian who has established How does Congressman Brinkley view the position paper on the subject as a re himself as an expert in the field of vet industry and his role as a legislator? sult of their study. A copy of this paper erans' housing. I refer to the distin MERCHANDISER talked with 'him in his of follows: guished chairman of the Subcommittee fice in Washington, D.C. recently to find COAL SLURRY PIPELINES on Housing, Representative JACK BRINK out. Comparison of the costs of unit trains LEY who has developed a level of com "Legislation is a partnership situation, I and slurry pipelines c~:mcluded that, depend think," Brinkley explained. "You represent .ing on specific conditions of a given route, petence that has drawn the admiration many interests. Besides the general public either mode can represent the least costly of veterans' organizations and industry and veterans, there is a concentration of mo means of transporting coal if one ignores spokesman as well. bile home manufacturers and suppliers in regulatory distortions and unquantifiable JACK BRINKLEY is a friend to the vet my District in Georgia. When we touch down social impacts. Which mode is cheaper in eran and the veteran's family through in their lives, all of a sudden it indirectly a given instance can be determined only by his untiring work to legislatively im impacts on lenders and many other groups. a detailed economic and engineering evalu prove and update the Veterans' Admin "So simply, my service on the Veterans ation. istration housing programs. In an ar Committee provides me with a vehicle to do Without the power of eminent domain at that which we perceive to be good and right either the Federal or State level, coal slurry ticle in the trade journal of the mobile not only for veterans, but for the other peo pipelines will have great difficulty compet home industry, he has also been ac ple we represent. Hopefully, we improve the ing with railroads. Without eminent do knowledged as a friend of the housing lot of all of them at the same time. main, the pipelines would have to redirect industry. " Now, as you know, we have a severe hous routes. thereby increasing their costs and I request permission to insert this ing shortage in this country. Even on the reducing their ability to compete success article in the CONGRESSIONAL RECORD: Veterans Committee, my thrust has been fully with established railroads. t oward better housing and better medical. I On the other hand, if t he pipelines are MERCHANDIS ER TALKS WITH JACK BRINK LEY- A FRIEND ON THE HILL think those are the two big issues which con granted the power of eminent domain, they tribute a great deal to the quality of life. could enjoy significant advantages over the In the words of one industry Washing And so, if we can spill over from the Veterans railroads because of regulatory restrictions ton, D.C. insider, "Jack Brinkley is a Con Committ ee to the Housing Committee we've on the latter's ability to enter int o long-t erm gressman who cares. His interest has gone acGomplished something. contracts with selected customers. far beyond the scope of his district." "It has to be understood that when you Water availabilit y is a central issue. Al For the mobile/ m anufactured housing in talk about housing, you're directly laced to though transportat ion of coal by slurry pipe dustry, who has felt itself an outsider on quality of life, and a lot of people can't lines will require mu ~ h less of the m ine Capitol Hill, this is good news indeed. Better affc.rd expensive site-built homes. region's water per ton of coal than onsite still, Brinkley, reprernnting t h e Third Dis ''I think this will become increasingly evi gasification or ele::tric power generat ion, t rict of Georgia (which includes that now dent in t he future, so when witnesses come pipelines do represent a substantial potential fabled community of Plains) , has taken a before our committee and testify about the demand o:i. remaining unallocated resources. p ~s ition of leadersh ip in revit alizing the excellence of mobile homes, their livability, Sufficient unused quantities of suitable water Veterans' Administration Home Loan and their life expectancy, it gives us an option exist, although they are not necessarily le Specially Adapted Housing Programs. for the future for the man and woman who As chairman of the Subcommittee on gally available, for the transportation of 0 cannot afford site-built h omes. nearly 200 million tons per year from Western Housing of the House Committee e n Vet "They can go with mobile homes, which coal-producing areas. However, diverting erans' Affairs, the industry has benefited can be attached to real estate or can be water for slurry pipelines now would limit from his activities for veterans. moved if people choose to do S-O . the options for future uses of that water. Wit h the termination of the Vietnam era, "From pictures we have been given, we see Eminent Domain legislation could inadver the questicn arose as to whether eliminat what can be done with a little imagination tently alter the balance of Federal and State ing loan (:Uaranty entitlement for post and by cho.osing the right lot for a mobile authority over water resources. Unless such Vietnam peacetime veterans would be con home. Some multi-sectional homes do not alteration is intended, care should be t aken sistent with the Administrat ion's goal of look any different from site-built homes. to avoid that consequence. eliminating duplicative Federal programs. They have eye appeal, comfort and safety One environmental area of uncertainty in Un::ler Brinkley's leadership, it was deter we in the Congress are very safety conscious volves the substances that will b ·:) present mined that the VA Home Loan Programs these days, and I think the industry is, too. in the i:lurry water after it has been sepa would continue for all veterans and for ac "During oversight hearings, Committee rated from the coal at the end of the pipeline. t ive duty members of t he m!litary who h ave Counsel Elizabeth Lunsford and other staff The Department of Energy is now sponsoring served more t han 180 days. members visited mobile home . manufac experiments to clarify this problem. In t he 94th Congress, Brinkley sponsored turers, lenders, retailers and communities. The environmental impacts of the water legislation leading to the en actment of the We have been tremendously impressed with use, its discharge, and the construction of Veterans' Housing Amendments Act of 1976. the quality of construction in these homes. the pipelines must be weighed against t he The act included a provision of an increase "Visits have been made in California, noise, land-use disruption, and rail-highway in the mobile home loan guaranty from 30 Florida, Georgia, Nevada, New Mexico and crossing accidents and inconvenience associ percent to 50 percent. Texas. I should point out that although we ated with moving the same coal by rail. Currently, the Congressman's initiatives haven't been north of the Mason-Dixon Railroad financial health probably would include House passage of a bill to eliminate Line-yet-we have had quite a bit of con be affected less by a substantial pipeline in duplicative VA inspection of mobile home versation with people in Illinois, Indiana dustry than by adverse rate regulation or manufacturing plants and restructuring the and Michigan. diminished productivity gains of railroads VA Mobile Home Loan Program to closely "We certainly have had quite a bit of co in the future. parallel the program for site-built homes. operation and support. 21520 EXTENSIONS OF REMARKS July 18, 1978 "I think the VA deserves a bouquet too, act together. I think Congress will move in to Strasbul'!g and the surrounding area at this point. It can be aggravating because fill that vacuum and provide some consis is rich in history and has contributed sometimes we don't always fully understand tency. much to the great State of Ohio. The the rules and methods they must employ. "In some cases, it's cheaper to move a But George Alexander, who is just a peach of mobile home, for example, from Tennes people of the area are very proud of the a man, Mr. Coon, and Mr. Malone have just see into Georgia, rather than ship it to development they have contributed to, been fine. We have received splendid coop northern Georgia from a southern plant in and for good reason. This city, once just eration from the VA." the state. But I have heard that there has a mere settlement, is ·now a thriving, ac Moving on the future areas of interest, been some problem between state rules. tive, and successful city. Brinkley commented on the possibility of "I believe the states have the right to limit Mr. Speaker, on behalf of the 18th placing mobile homes on private land in the where these homes will be moved, but as for Congressional District, I would like to VA real estate program. the number of personnel needed, pilot ve express my sincere congratulations to "I think there is a trend in that direction," hicles and the like, these are fairly basic he said, "and we are taking a look at the things that ought to have one standard. Strasburg, its city officials, and its people possibility of future action in that area. How Where homes are permitted to be moved by on the celebration of this great event.• ever, in discussing it with the VA, we think the states, I believe there should be one perhaps that it is an area that might better standard." be handled administratively. Asked whether he had any reservations "The way I see it today, there's not a press about the durability or life expectancy of LEAA EXTENSION BILL BEST ing need to solve this because it can evolve mobile homes, Brinkley responded, "Abso VEHICLE FOR FUTURE DEBATE and take care of itself, provided we make the lutely not." guaranty for mobile homes realistic enough. "I think that mobile homes will last in We're hopeful that the $17,500 ceiling will re definitely. HON. ROMANO L. MAZZOLI late to the mobile home purchase as well as "I'll tell you this much, there's a lot of OF KENTUCKY the lot. maintenance and replacement that goes into "If that's not realistic, it should be raised a site-built house. With the quality of ma IN THE HOUSE OF REPRESENTATIVES but there are a number of things to be terials and craftsmanship in today's mobile Tuesday, July 18, 1978 worked out in the marketplace. home, if they are given the same mainte "So, at this time the way I see it, mobile nance and if parts are replaced, they will • Mr. MAZZOLI. Mr. Speaker, on July homes serve a market of people who have less just last indefinitely. 10, I joined Chairman RODINO and several resources as a general rule, and the more "I have no reservations or concerns about other of our colleagues in sponsoring the moderate price can be handled under the the 15 year term we're extending it to. That's administration's proposal to restructure laws we are trying to adjust upwards. In the just a drop in the bucket. LEAA. future, that might change." "I consider mobile homes permanent The bill, developed with the strong On another aspect of the VA program, homes-a valuable investment that will last Brinkley had an idea of his own. Asked about a family for a lifetime. leadership of Senator EDWARD KENNEDY, paperwork, he first said, "I'm not real sure "I'm impressed with the state of the art and the cooperation of the administra there is a paperwork problem although per as it is today. The mobile home industry is tion, is the product of months of hard haps any paperwork is a problem. It's a rela the wave of the future-and perhaps the work and compromise. As a result the bill tive problem. While the paperwork involved wave of the present-in fulfilling the hous may well be as the Washington Post in the VA program is certainly more compli ing needs of the American people. tditorialized on July 17, 1978: "the best cated than with a conventional loan, I don't "We don't have the resources to continue to go the way we have in the past. The manu solution anyone has thought of to LEAA's think it's any worse than other federal pro problems." grams. facturers know the needs of tb e buying pub "You have to look at the protection being lic and they're trying to meet those needs. However. among those of us who sup afforded to the people participating in the They have made remarkable strides to this port the bill as a vehicle for hearings and program. point. But I know that when we turn the eventual markups there are concerns "But I am aware that the VA is attempting page, go to the next chapter, there will be about specific points of the bill. to cut down on the time involved. There are even greater technology employed and even greater innovative techniques used by the In general I support the five major now stations that can process out a loan ap industry. goals of the bill: plication in about two days. And as the pro gram expands, hopefully the people who man "If there were any area in which the in First. to give local governments more the stations will expand, and that will help. dustry might improve. I suggest it would be control over LEAA money; "But you know, you've struck a responsive the lots on which homes are placed. More communities are needed where the land Second, to encourage innovation in chord with me. Regardless of the way things scaping is more natural, where people could criminal justice through Federal research have always been or what the perceived needs permanently put their home, plant flowers and incentive grants to local govern are, I think this is a fertile field we can and a garden-put down roots. This would ments: consider. make mobile homes even more attractive. Third, to increase the overall budget of "If we can practice what we preach, sim "I think I'd get one myself."• plicity and the cutting of red tape, we can LEAA: look into this and see if the VA can't be the Fourth, to reduce the number of ear leader in reducing paperwork to the very marked funding categories and increase basic needs. If we can do that, we will have done our part toward improving the quality STRASBURG, OHIO, CELEBRATING the amount of money that can be spent of life which I keep referring to. I'm sure 150TH BIRTHDAY as priorities indicate; and most federal forms are too complicated. We Fifth, to streamline and reorganize the hear about it every day in this office. agency's internal workings to cut red "I will undertake this experiment. With HON. DOUGLAS APPLEGATE tape and bureaucratic delay. OF OHIO the knowledge of the VA, Ms. Lunsford will However, I am concerned that the bill pretend that she is a mobile home purchaser IN THE HOUSE OF REPRESENTATIVES and go through all the steps-fill out all of does not go far enough in fulfilling these the paper a mobile home purchaser must. Tuesday, July 18, 1978 goals. Particularly, I believe that we must Then we'll evaluate and see if there's a e Mr. APPLEGATE. Mr. Speaker, it is carefully examine the control that State redundancy, if the forms are too long, too an honor for me to bring to the atten governments will have over the money complicated, whatever. We'll know first hand spent by large local governments. that way. We will have experienced it. tion of this House and its distinguished "In addition to our own experience, we'll Members an event in my congressional The bill is an improvement over cur follow a specific case, unbeknownst to v A district. It is the celebration of the 150th rent practices, but the system of setting to see what treatment John Q. Public i~ birthday of one of the leading cities I "Statewide priorities" to which local receiving." represent; namely, Strasburg, Ohio, lo governments must conform, may give Another industry problem Brinkley has cated in Tuscarawas County. States too much authority to overrule given some thought to is home movement Needless to say, the residents of this local criminal justice decisions. "The industry has expressed cancer~ about the varying rules on movement of community are planning many activities I am inserting the Post's editorial for homes 14 feet in width, and I have some for their sesquicentennial which is my colleagues' information: concern about this too. planned for August 4, 5, and 6 of this THE FUTURE OF LEAA "My philosophy is to let each state deal year. There will be plays, dances, and The Law Enforcement Assi!'ltance Admin with its own internal affairs, but carriers parades. In addition. there will be a istration was created in 1968 in the fond of mobile homes often move interstate. In junior Miss Sesquicentennial queen cho belief that it would provide an answer to the the future, if th~ states do not get their sen to reign over the event. nation's crime problem. Ten years and $6 July 18, 1978 EXTENSIONS OF REMARKS 21521 billion later, LEAA is a case study in how a HUMAN RIGHTS IN CUBA of political prisoners at anyWhere be good idea can be strangled by red tape, bu tween 15,000 and 20,000. He is joined in reaucratic ineptitude and political in-fight this estimate by former President of ing. While its efforts have produced some im HON. ROBERT K. DORNAN Venezuela, Romulo Betancourt. Prof. Ed provement in local law-enforcement agencies OF CALIFORNIA in some parts of the country, almost no one ward Gonzalez, of the University of thinks the results have been worth the price. IN THE HOUSE OF REPRESENTATIVES California at Los Angeles, puts the num LEAA must be either drastically changed or Tuesday, July 18, 1978 ber at anywhere between 25,000 and put out of its misery. 80,000 political prisoners. Estimates vary, Despite the campaign rheto.ric that sug e Mr. DORNAN. Mr. Speaker, how fate but the numbers, all agreed, given the gested President Carter would urge the aboli plays with the lives of men and na size of the population, are horrendously tion of LEAA, the administration is now tions. The most famous dissident trials high. And, as Mr. Calzon reveals, they arguing that the agency is worth saving. The of modern history, the trials of Ginsburg come from all walks of life and hold a program it has proposed, devised largely by and Shcharansky, have become the oc Sen. Edward M. Kennedy (D-Mass.) , would variety of political opinions. casion of yet another act in Mr. Young's The Calzon study reveals the horrible streamline the agency's operations, reduce comedy of the absurd. In the gigantic and break up its bureaucracy and keep the conditions endured by the prison in dollars flowing from Washington. It is an in moral confrontation between the United mates. In dark, damp, ill-ventilated genuous solution ot LEAA's problems because States and the Soviet Union, we are dungeons, thousands of these human there is something in it to answer almost treated to comic relief. beings languish. They suffer from bru every critic of LEAA's performance. Mr. Young's remarkable mouth aside, tality, malnutrition, and a lack of medi For those who think there have been too it is heartening to see the outpouring of cal attention. Some are confined to many federal strings attached to the money moral support from this House for the local governments get, this proposal assigns solitary cells where they have lost track Soviet dissidents Anatoly Shcharansky of night or day, but rot in what must 70 percent of LEAA's funds to a block-grant and Alexander Ginsburg. But we have program. State and local governments will seem to be an endless misery. Before know in advance how much they are going no excuse to be selectively outraged. The succumbing to despair, many breathe to get and can decide themselves on how to trials and the sufferings of these two men their last in the cramped confines of spend it within certain restrictions. For those are representative of the trials and suf their cells. who think there have been too few federal ferings of many others. The Soviet to strings attached, the other 30 percent of talitarian sewer has swallowed hundreds Mr. Speaker, I ask you to imagine for a LEAA's funds would be controlled by Wash of thousands, no, millions of human moment the extent of this suffering. I ington and made available to local govern beings while the West closed its eyes and ask you to allow your mind's eye to pene ments-mostly those with major crime covered its ears. Christians and Jews, trate this oppressive, quiet blackness. problems-on a matching basis for innovative True, the silence is occasionally broken law-enforcement programs. For those who Ukrainians, Lithuanians, Latvians, Poles, Hungarians, Romanians, and Estonians, by the gruff orders of a prison guard or claim local governments have had trouble the screams of a helpless innocent being finding the matching funds, the proposal lets have long known life in the Soviet con local governments use the federal dollars centration camps. Some are learning systematically tortured or beaten into they get through block grants to match the only very recently what historians, writ submission, pleading for mercy where dollars they want under the other program. ers, and journalists have been trying to none is to be found. But otherwise, it is The same balancing act runs through the tell them for decades: We are dealing as if these unfortunates are being administrative aspects of the proposal. State with a brutal regime, whose excesses have buried alive. They are literally entombed governments would lose much of the control rarely, if ever, been surpassed by the most in the nether world of the totalitarian they now exercise over how local govern political order. And their worst fear is ments spend LEAA money. LEAA would lose vicious dictators throughout history. While we focus our attentions on the that they may fall victim to the sin of much of the control it has over the major despair. Their greatest hope is that, in portion of its grants. But LEAA would gain plight of these two brave men, we should even wider discretion than it has had over not forget that their struggle is against putting their faith in the conscience of where and how 30 percent of its funds are a type of totalitarian system that has free and civilized people, the awful spent. · been imported into our own hemisphere. silence will finally be broken. They pray Anyway you look at it, that is a nice mix We should remember that the very same that those of us who breathe the clean, ing of the approach to federal aid urged un methods, the same political and admin free air of liberty will hear their stifled successfully by former president Richard istrative structure of repression and cries. Nixon and the traditional, many-strings terror exists only 90 miles from the Will we hear them? Will pressure be attached view of congressional Democrats. bl'.ought to bear on the arrogant dictator It gets some money to help law-enforcement shores of this Republic. agencies into almost every community (the Mr. Speaker, of course, I am speaking who daily castigates us? Will the export District of Colum'l)ia would get $1.5 million of Fidel Castro's Cuba. And I think the of his vile totalitarianism in Africa and off the top and Fairfax Count.y would get time is right to press this point home: other parts of the world eventually be $643,000, for example) and yet leaves Wash Human rights violations are never more stopped? ington with enough funds to try to guide severe than they are in Communist coun Mr. Speaker, history sadly reveals that local governments into exceptionally useful tries. And in Cuba, we have a system the justice or nobility of a cause is no programs. of repression and internaJized violence assurance of its success. The eventual The proposal, in other words, is the best solution anyone has thought of to LEAA's against dissidents that most closely ap liberation of political prisoners in Cuba problems-if you believe there ought to be proximates that of Soviet Russia. And will not occur until the truth of their an LEAA. Frankly. we are not yet entirely yet, listen as I may, I hear only con condition is widely publicized. It was sure about whether the federal government spicuous silence. therefore painful for me to learn that ought to be in the business of helping and Cuba is a study in grotesque contrasts. there are those who will continue to guiding local governmimts in solving what It is like an ugly painting. Once a glit ignore the truth, even when it is brought is clearly a local problem: crime control. tering jewel in the Caribbean Sea, it is to their attention by a fellow country LEAA was created in the hope that some now an incredibly dour, regimented so man wh~ endured imprisonment in Cuba, fed~ral money and some federal guidance could produce miracles. Clearly. that hasn't ciety. The beautiful Caribbean·sun is it Mr. Frank Emmick. In the interests of happened. Is it better for Washington to try self mocked bv the cold, gray totalitarian this cause, I am inserting two related to focus its guidance more sharply and con order that smothers the very life of the stories, published in the July 1978 edi tinue to send local governments a little island's people. tion of the Conservative Digest, into the money Capital gains tax applies to a sold as 1 has substantially increased-roughly dou set regardless of how long it was held President, National Bureau of Economic bled-the overall effective tax rate on ci:>r as long as it was at least 1 year. Conse Research, and Professor of Economics, Har porate stock capital gains. Although this vard University. The viewpoints expressed estimate relates to 1973 (because that is the quently, the inflation factor is quite here are my own and not necessarily those of severe for assets whlch have been held either the NBER or Harvard. only year for which data of this type is a long time. Even though there may be "M. Felstein and J. Slemrod, "Inflation and available), the continuing hillh rate of infta the Excess Taxation of Capital Gains", Na tion means that the tax distortion for more a large nominal gain, the real capital recent years is likely to be even greater. gain can be negli15ible because of in tional Bureau of Economic Research (to be flation. The Feldstein study found that, published in the National Tax Journal, June CAPITAL GAINS TAX RATES AND THE SELLING OF 1978) and M. Feldstein and S. Yitzhaki, "The CORPORATE STOCK in 1973, individuals paid capital gains Effects of the Capital Gains Tax on the Sel Although there has long been spec.ulation tax on $4.6 billion of nominal capital lin~ and Switching of Common Stock", Jour about the extent to which high tax ratei; on gains on corporate stock. When adjusted nal of Public Economics, 1978. capital gains deter individuals from selllng CXXIV--1354-Part 16 21532 EXTENSIONS OF REMARKS July 18, 1978 stock, there has been little hard evidence on the basis of our statistical estimates of the mated tax sensitivity, we calculated that the subject. In collaboration with two col tax rate sensitivity of individual selling, we limiting the capital gains rate to 25 percent leagues, I recently completed what I believe calculated the effect of removing the 25 per would have caused an almost three-fold in a.re the first econometric estimates of the cent ce111ng that was in effect in 1963 and crease in the total value of net gains realized effect of capital gains tax rates on the selling taxing individuals at one-half of their in 1973. Because of this great increase in the of corporate stock and the realization of cap ordinary income rates. We found that this realization of gains, the reduction in tax ital gains. change would have reduced the value of cor rates would have substantially increased We actually carried out two studies using porate stock sales by 23 percent. capitals gains tax revenues. Our calculation two quite different bodies of data. Both Our second study used the same 1973 indicates that the tax revenues on corporate studies indicate that capital gains tax rates Treasury sample that I referred to a few stock capital gains would have more than have a very substantial effect on individuals' momen ts ago in discussing the the effects of doubled if the tax rat& had been limited to decisions to sell corporate stock. infiation.3 This analysis again found that in 25 percent. The first study analyzed the experience of dividuals' selling of corporate stock is very Let me emphasize that this estimate of a random sample of high income investors sensitive to their tax rates. We used this esti extra revenue does not depend on any as whose portfolio behavior was recorded in a mated behavior to calculate the effects of sumed increase in share prices, in investment special survey carried out by the Federal Re changes in the 1973 law. We found that limit or in economic activity. The extra revenue search Board in 1963. An important finding ing the rate of tax on long-term gains to 25 results directly and immediately from the in an analysis of that data was that two percent would have nearly doubled corporate "unlocking" of gains that would not other thirds of the value of the proceeds of cor stock sales, from $29.2 billion to $49.5 billion. wise be realized. A favorable impact on share porate stock sales were reinvested in corpor The Treasury data also permitted us to prices and total economic activity would, of ate stock and other financial assets within evaluate the impact of differences in tax course, increase revenue further. But even 1963. Since some of the remaining one-third rates on the amount of capital gains that in without such stimulating effects, the evi of the proceeds were held in cash and rein dividuals realize. We found that the realiza dence indicates that reducing the tax rate or vested in the following year, the data indi tion of gains is even more sensitive than the corporate stock capital gains would increase cate that less than one third of the proceeds selling of stock. Using the statistically esti- both total tax revenue an the taxes paid by of corporate stock sales were used to finance high income individuals. current consumption. 3 This study is reported in M. Feldstein, J. That concludes my summary o! the studies The evidence in that study showed that Slemrod and S. Yitzhaki, "The Effects of Tax of capital gains taxation. I hope that you find the amount that individuals sell is quite ation on the Selling of Corporation Stock and that these !acts are useful to you as you con sensitive to their tax rate. For example, on the Realization of Capital Gains," National sider proposals to reduce the taxation o! cap Bureau of Economic Research, 1978. ital gains. EXHIBIT 1 CAPITAL GAINS AND ASSOCIATED TAX LIABILITIES (In millions of dollars! Adjusted gross Income class Less Zero $10, 000 $20, 000 $50, 000 $100, 000 $200, 000 More than to to to to to to than zero $10, 000 $20, 000 $50, 000 $100, 000 $200, 000 $500, 000 $500, 000 All 1. Nominal capital gains ______86 77 21 369 719 942 1, 135 1, 280 4,629 2. Real capital gains ______-15 -726 -895 -1, 420 -255 437 839 1, 125 -910 3. Tax on nominal capital gains ______1 -5 23 80 159 215 291 374 1, 138 4. Tax on real capital gains ______0 -25 -34 -52 58 141 235 337 661 (From the Washington Post] gage-interest payments. They deducted at ductive investment, and there's no reason THE STEIGER AMENDMENT the nominal rate-which is 5 percent. The whatever to encourage it with expensive real rate is the nominal rate minus inflation. new tax benefits. The Steiger amendment evokes strong feel For most of the years since 1968 the real A final note on homeowners: Most peo ings. The amendment, you will recall, would rate on a 5-percent mortgage has actually cut capital-gains taxes, mainly for people ple buying houses on mortgages, in the cur been negative-that is the bank was paying rent inflation, are doing well out of it. The with large incomes. We observed the other our couple for having borrowed its money. day that it is an offense to public morality. victims are the thrifty souls who financed If Congress is going to let them adjust their the mortgages by putting their money into Since then we have heard from a good many capital gains for inflation won't consistency of our readers; a sample of their letters ap savings accounts. Inflation is cruelly unfair. compel it to require them also to adjust all It enriches borrowers. The people who get pears on this page today. While you would of those past mortgage payments and de not quite call it an avalanche of denuncia sheared are the savers and lenders.o tion, it is a spirited reply. Rising to the bait, ductions for the same inflation? If it did, they would need a computer to we shall now offer a few more thoughts on figure out their tax return. No sane person capital gains and taxes. would seriously support the idea. But the The hypothetical middle-income couple point is that you can't stop with just one PROPOSITION 13 AS VIEWED FROM in our example had bought their house years figure. If the tax code is to take account PENNSYLVANIA ago ifor $35,000 and recently sold it for of inflation, it leads to a brain-busting $135,000, for a capital gain of $100,000 and series of adjustments to adjustments to a tax on that gain of $17,490. A number of adjustments. HON. JOSHUA EILBERG readers observe that if the original purchase The Steiger amendment would do only one OF PENNSYLVANIA was in 1955 almost exactly half of that capi thing for the couple in our example, and tal gain is pure inflation The purchasing it has nothing to do with inflation. It would IN THE HOUSE OF REPRESENTATIVES power of $35,000 in 1955 is the same as $84,000 exempt sales of homes from a rule called Tuesday, July 18, 1978 today. Those letters bitterly ask whether it the minimum tax, saving our couple about is fair to assess taxes on appreciation and is $4,000 of their $17,490 capital-gains tax. e Mr. EILBERG. Mr. Speaker, the re merely the result of inflation rather than a That's a reasonable thing to do. Last Jan cent passage of proposition 13 in the rise in real value. uary, in fact, President Carter proposed do State of California has caused many of That's a serious and important question of ing precisely that. us here in Congress and our fellow leg equity. But wait a minute. If we want to be But the Steiger amendment goes much islators in State capitols to focus new absolutely fair-and who in this litigious further. It would abolish the minimum tax attention on the need for tax reform. country will settle for anything less?-we altogether, and lower the rates of capital have to note that our hypothetical couple gains taxes for everybody in the highest I believe that before any of us rush didn't pay cash for their house. Like most 1bra.ckets. The amendment's author, Re·p. headlong to embrace action similar to of us they bought it with a 20-year 5-percent William A. Steiger (R-Wis.), says that he that taken by California voters, the peo mortgage. The inflation adjustment has to wants to encourage productive investment in ple and legislators of every State should be made not for the date when they bought industry-a laudable purpose. It's possible assess their own needs, and should com the house but the dates when they actually to write tax legislation that woud encourage pare their own situation to that of Cal paid the money-that is the dates of the 240 that kind of investment specifically. But his monthly payments. We also have to note amendment would give the same breaks to ifornia's. that our hypothetical couple has taken tax everyone making money trading in land, A comparison between Pennsylvania deductions all those years !or their mart- paintings, antiques and gold. That's not pro- and California, for instance, shows that July 18, 1978 EXTENSIONS OF REMARKS 21533 Pennsylvania has been light years ahead should be considered accordingly in any remarks the text of an article entitled of the Golden Gate State in keeping comparison with the situation in Cali "The Mihailovich Tragedy," written by property taxes down, and in not permit fornia.•> the famed Yugoslav dissident, Mihajlo ting surpluses to develop in our budget Mihajlov, who is now in the United without returning revenue in the form States. This article appeared in the re of tax cuts. ANNIVERSARY OF THE DEATH OF spected American weekly, The New Essentially, many people in Oalifornia GENERAL MIHAILOVICH Leader, on February 3, 1975. Almost im believed that State government refused mediately thereafter Mihajlov was sen to control spending and taxation, and tenced to 7 years at hard labor. I call HON. EDWARD J. DERWINSKI attention to the fact that Mihajlov in so the people took matters into their OF ILLINOIS own hands. This simply has not been this article states that, after examining the case in Pennsylvania. IN THE HOUSE OF REPRESENTATIVES he entire record of the Mihailovich trial, Specifically, when proposition 13 was Tuesday, July 18, 1978 he concluded that "Mihailovich was passed in California, that State had ac e Mr. DERWINSKI. Mr. Speaker, yes guilty of only one crime: fighting the cumulated a surplus as large as Penn terday, July 17, marked the anniver Communists." sylvania's entire general fund budget. sary of the execution by the Yugoslav [From the New Leader, Feb. 3, 1975) On the other hand, when Pennsylvania Communists of Gen. Draza Mihailovich, DISENTANGLING HISTORY: THE MIHA.JLOVICH was faced with a $400 million surplus in leader of the nationalist resistance TRAGEDY 1974, our Government returned those forces in Yugoslavia during World (By Mihajlo Mihajlov) funds to the people in the form of re War II. NovI SAD-Last October 23, Djuro Djuro duced State income and corporate net On this occasion, I think it appropri vich, 74 years old and ailing, was sentenced income taxes. ate to remind the House: to five years in prison by a Belgrade court Property taxes are the local form of on charges of writing hostile articles for · That General Mihailovich rescued foreign publications. Djurovich had his first support for school districts and munic over 500 American airmen during the brush with Yugoslav law in 1945, while sec ipalities. They ar.e generally considered course of 1944 and arranged for their retary of the National Committee formed to be too inflexible, and therefore the safe evacuation by air to Italy; by General Draja Mihajlovich--chief rival to most burdensome of all forms of taxa That for this and other services to Marshal Josip Broz Tito during World War tion. Pennsylvania has reduced prop the Allied caunse Mihailovich was post II. Having subsequently served 17 years of erty taxes for senior citizens through a humously awarded the Legion of Merit a 20-year sentence, he recently wrote a book rebate program, and a number of leg about his incarceration and sent part of the in the Degree of Supreme Commander manuscript to friends in Paris. Although islative proposals have been considered by President Truman: none of it has been published so far, he was that would shift from a reliance on the That the National Committee of convicted under Article 109 of the Criminal property tax to a more equitable in American Airmen Rescued by General Code, covering actions that "aim at over come tax. Mihailovich 3 years ago petitioned throwing the existing order." Nevertheless, the question remains: Congress for permission to erect a me The Djurovich trial has again focused pub Are property taxes too high in Penn morial to Mihailovich as an enduring lic attE 'ltion here on one of the most painful sylvania as they obviously were in questions facing the Yugoslav Communists: expression of their gratitude to the man their attitude toward the Mihajlovich move California? who saved their lives; ment. The General was shot in 1946, yet Recent data indicate that property That this monument is to be erected articles. books and films designed to show taxes in Pennsylvania are quite low com with publicly subscribed funds, that is, that he was essentially not an adversary of pared with other States. In comparing at no expense to the Government; the Nazi conquerors have continued to ap property taxes per $1,000 of income, our That this project has been strongly pear every year. His opponents contend that citizens pay $30 compared to a national endorsed by the American Legion at its from the very begining he was a German average of $45. We are 36th in the Na last annual convention; collaborator, but this claim is substantiated mainly by the fact that he also fought tion. Californians pay $64 per $1,000 of That authorizing legislation has twice against the Communists. income. They are sixth in the Nation. been passed by the Senate, without dis Ironically, the more the official propa Looking at it another way, a com senting vote; ganda tries to villify Mihajlovich, the more parison of property taxes paid per per And that parallel legislation, spon it provokes reservations among unprejudiced son shows our rate at $176. We also rank sored by almost 50 Members of the observers. A mere comparison of the present 36th in the Nation by this measure. Cali House, has been pending in the Sub complete myth with the history of the Yugo fornians pay $415 per person. They are committee on Libraries and Monuments slav internal struggle, as described by the very same Communist press immediately fourth in the Nation. since January of last year. after the War. casts doubt upon everthing Other comparisons between our two It is my earnest hope that the sub the regime is attempting to prove. In addi States show: committee will move expeditiously to tion. many secret documents from the In 1975-76, California had the third report this legislation out so that the British, American and German government highest tax burden in the country with House will have an opportunity to vote archives now available in the West have $964 per capita in State and local taxes. on it before the close of the session. shed new light on the relations of both the Pennsylvania's burden was $684 per I would like to say a few more words Allies and the Axis to the competing Tito and Mihajlovich movements. A pattern has capita, ranking us 24th among the of tribute to Mihailovich. emerged, in fact, that explains why Tito won, States. The Communist Government of Yu though some important causes of Miha.j California spending by State and local goslavia executed General Mihailovich lovich's defeat remain hidden. governments was sixth in the Nation as a traitor. But it was Mihailovich who To comprehend the full complexity of the compared to Pennsylvania's ranking of raised the banner of continuing resist bitter contest between the two men, waged 28th. ance to the Nazis at a time when the during the Fascist occupation, one must go California has a graduated income tax Communists were still collaborating back briefly to the formation of the Kingdom with them. Mihailovich's early resist of Yugoslavia. It was created in 1918 by a. which was substantially increased and merger of the Kingdom of Serbia, the King eventually led to the $5.3 billion general ance may very well have been instru dom of Montenegro --- and Croatia. and fund surplus. Pennsylvania's flat income mental in saving Moscow by slowing Slovenia, previously parts of Austro-Hungary. tax is at a lower level now than it was down the Nazi advance-indeed, at the The new state of Southern Slavs was bur in 1971. time of his execution, the New York dened with many national, social and politp Times suggested a statue in Red ical problems from the outset. The most California's surplus will take up the Square dedicated to Mihailovich, savior serious was the antagonism between the two slack for the cutback in property taxes of Moscow. biggest nationalities, the Eastern Orthodox for probably the next year. After that, Hitler himself offered 100,000 gold Serbs and the Catholic Croats, who speak the State may experience an enormous marks for Mihailovich, dead or alive. the same language yet have a different his reduction in services. Many thousands of Mihailovich support torical pa.st and different social mores. Pennsylvania has no surplus to cover It would have been difficult to resolve ers paid with their lives for their com the existing social-political contradictions a reduction in property taxes that al mitment to freedom. even in a. state with well-established demo ready compare favorably with other I ask unanimous consent to insert cratic traditions, let a.lone under the seml large States. These are the facts and into the RECORD at the concluson of my authoritarian regime of the Kara.djordjevlch 21534 EXTENSIONS OF REMARKS July 18, 1978 Serbian royal dynasty. But the fatal mistake to interfere as little as possible, knowing Malta, and with 10,000 men decided to con of the rulers was their unwise ·attitude that the internecine struggle would totally tinue the struggle in the mountains of Yugo toward the Communists-and it must be p1~ralyze the anti-Hitler movements and slavia. In the near future, he felt, the Com admitted, regretfully, that the Russian hoping that an opportune moment they munists' forcible collectivization would emigres in the country played no small part would thus succeed in crushing both lead surely arouse sharp resistance from the in the development of that attitude. ers. Documents available now, though, prove peasantry (which did indeed occur, but three The Communist movement in Yugoslavia, thf\t Hitler regarded Mihajlovich as the more years later after Tito's 1948 clash with as well as in the rest of Europe, experienced dangerous enemy than Tito, because it was Stalin). a. great upsurge right after World Wa.r I . Had Mihajlovich whom the majority of the Ser In March 1946 the Communist secret po it been left alone to exist in a framework bian people supported. during almost all of lice succeeded in trapping Mihajlovich. of democratic laws, it would never have be the War and they made up approximately Four months later he was shot, marking the come the iron-disciplined organization it be 50 per cent of this multinational country. enc:J. of the Yugoslav civil war. came the moment the party wa.s outlawed a.nd Mihajlovich (who was promoted to the One can only guess at Churchill's motives. Communist activity was persecuted in many rank of general and named minister of war Undoubtedly, the fact that Tito was inflict ways, including long prison terms that only by the departing royal government) received ing greater damage on the Germans than encouraged Communist fanaticism a.nd un full Allied support during the first years of Mihajlovich played a significant role. In their derground activity. the War, and the British BBC was a mouth struggle for power the Partisans did not Many of the Russian emi•zres in Yugo piece of his movement. For its part, the So spare either themselves or others, and they sla. via., who were fully accepted by the gov viet Union opened Radio Free Yugoslavia never paid the least attention to the out ernment and people, repaid the kindness by in Tbilisi to serve as the mouthpiece for rages committed by the Germans in return raising the level of theater, opera and ballet Tito. At the end of 1943 the Communists the shooting of 100 hostages for each Ger in the country, a.nd by helping consider formed a new Yugoslav government, the man soldier lost, and the burning of entire ably to advance the teaching of science in Anti-Fascist Assembly, and three months villages. On the contrary, this seemed to the universities. At the same time, there later the Mihajlovi:::h movement created its gladden the Communists, for it reinforced were extreme Rightist elements among the National Committee. The Committee was the flight of the population to the ranks of emigres who had a. harmful influence on supported by leaders from almost all of pre..: the insurgents. Mihajlovich's detachments the policies of the Yugoslav Kingdom to war Yugoslavia's political parties, including acted more cautiously in this respect, refus ward the Communists. (After the Axis over the Socialist and Democratic parties. Djuro ing to purposely incite German reprisals ran Yugoslavia, those authoritarian Russian Djurovich, a long-time correspondent for the against the peaceful population. They rec emigres formed a. voluntary military move Yugoslav press from London and Paris ognized that until the Allies arrived, an open, ment of 10,000 men to fight the Bolsheviks (where he earned his PhD), a lawyer by aggressive war with the German occupying on the Eastern Front. Instead, they were training and a prominent Democratic party armies could not bring anything but enor used by the German High Command in Ger politician by profession, was elected secre mous casualties. man uniforms to fi•Jht a.s a so-called "Rus tary. Still, at the time that Churchill shifted sian Guard Corps" throughout World War In the interval between the creation of the his full support to Tito few people doubted II against Tito's Partisans, a.nd they lost Communist Assembly and the Committee, the Nazis' defeat, and Churchill had to real three-quarters of their number in battle.) ize that his policy change would do more to however, an event occurred that decided the bring about the Communists' v.ictory in In short, beca. use the King lacked wide future direction of Yugoslavia-an event popular support, the two-week-long cam Yugoslavia than to harm the Germans. In whose underlying causes still have not been all probability, the British Prime Minister paign of Hitler a.nd Mussolini against -y;ugo fully uncovered because the explanation for sla.via in April 1941 ended with the shameful decided that no matter who the Allies helped, it given by all involved could merely have Tito would win the civil war, and therefore capitulation of the Yugoslav Army, the flight been the immediate reason for what hap of the government to the West, a.nd the total it was necessary to establish the best rela pened. In any case, in December 1943 Prime tions possible beforehand. partition of the country by German, Italian, Minister Winston Churchill of Great Britain Hungarian, Bulgarian, and Albanian oc To be sure, the Mihajlovich movement suf sharply altered his policies toward the Yugo fered from the weaknesses characteristic of cupiers. Two puppet states were set up: a slav insurgents and, under the pretext that formally independent Croatia, where power all anti-Communist movements, without ex Tito's Partisans were doing more damage to ception, throughout history. To begin with, wa.s seized by the Croatian fascists, the the Germans than Mihajlovich's forces, "Usta.shis," and Serbia., which was occupied it lacked a positive philosophy for building shifted the full weight of his support to a new society and failed to understand that by the Germany Army and found itself in Tito. the same position as Petain's France. The the Communist idea cannot be fought by That step could not have been a conces force of arms a.Ione. Furthermore, the patri Communist party took a detached stand sion to Stalin, for the Teheran conference and thanks to the alliance then in force be otic notion of a "united and indivisible" was then under way and Churchill's decision Yugoslavia and the worshipping of tradi tween Hitler a.nd Sta.Un, it embraced the provoked Stalin's strongest suspicions. He slogan, "We should not participate in a.n tional national-Serbian Orthodox values imperialist war." even proposed that Churchill and President clearly provided an inadequate ideological It was in these circumstances that Dra.ja Franklin D. Roosevelt continuing helping platform for a multinational country. The both movements, evidently having little absence of a political organization and the Mihajlovich, a colonel of the Army's General impossibility of disciplining the whole move Staff and a professor a.t the Hi•Jher Military hope that Tito would ultimately prevail. Churchill not only persisted in his plan, but ment exclusively by military means under Academy, decided not to be taken as a conditions of guerrilla warfare and inade prisoner of wa.r by the Germans and with a he resolutely prevented the Americans from continuing to send aid to Mihajlovich (the quate communications was another weak group of his officers took off for the moun ness. tains to organize a resistance. Within only a Balkans comprised England's political zone of interest) , although American communi The last led some commanders in different few months the lines were drawn between parts of the country to become virtual local his forces and the Germans and Ustashis. cations officers remained in Mihajlovich's headquarters until the end of 1944. autocrats, who often compromised the whole Except for England, from April-July 1941 movement by slaughtering Communist sym Hitler was resisted only by Mihajlovich, who This basically sealed the fa.lie of the Yugo pathizers and Muslims. And General Mihaj was properly named i;he first rebel of slav civil war. Mihajlovich stopped receiving Iovich himself, despite his great personal Europe. any help from the Allies, while the aid for valor, was better suited for the role of a Then, after Hitler attacked the Soviet Tito's Partisans-arms, uniforms, strong air "patriarch" (as his entourage jokingly re Union, the Communist party of Yugoslavia support, medical supplies, transportation of ferred to him) than a stern insurgent leader. quickly changed its line and started to or the wounded by military ships to Italy, and Nevertheless, Mihajlovich was brought down ganize a resistance too. By the fall of 1941 so on-grew from day to day. BBC broad not only by his shortcomings, but to an both Mihajlovich's and Tito's detachments casts ceased mentioning Mihajlovich and equal degree by the attitude of the democ were fighting the German occupiers. The sometimes even attributed his military suc racies toward one of the two most pro-West leaders of the two move men ts met personally cess during the last battle witb. the Germans ern, anti-Hitler resistance movements (the three times from September to November to to the Partisans. In the middle of 1944, as other being the Polish national movement of negotiate a possible unification of their mili the result of strong pressure from Churchill, Generals Anders and Bor-Komarovsky). tary units, but they did not arrive at any the King's government-in-exile in London Once, after he had already left office, agreement ·and soon started an internecine signed a pact with Tito and dissociated it Churchill said his stake on Tito was his big war. • self from Mihajlovich. Nevertheless, until ges~ mistake during the War. Yet it is hard Since the Croatian national movement the arrival of the Red Army under Marshal to believe the sincerity of that statement had tied its destiny to the German Reich, it Fyodor Ivanovich Tolbukhin, Mihajlovich's because of the existing proof that he very was clear that the struggle for power in forces in eastern Yugoslavia far exceeded the well knew what a. Partisan victory would the country following the expected defeat of Communist forces. lead to. By no means did he believe Tito's Germany would be between Tito and Mihaj At the beginning of 1945, threatened by constant, solemn promises not to introduce lovich. Moreover, Ustashi atrocities served to Tito's detachments and the Red Army, part one-party dictatorship in Yugoslavia, al replenish the bloodied ranks of the two men, of Mihajlovich 's movement followed the re though he was forever convincing the Brit with most of the Serbs joining Mihajlovich treating German armies into Italy. The Gen ish Parliament of their sincerity. and the Croatian anti-Fascists joining Tito. eral h imself declined the Allies' offer to Brigadier Fitzroy McLean, who represented The German and Italian occupiers tried evacuate him and his entire general staff to the British Army at Tito's headquarters, de- July 18, 1978 EXTENSIONS OF REMARKS 21535 scribes in his memoirs an extremely inter when a lamb can sleep safely near a wolf . .. suming that this was simply an attempt to esting conversation between himself and both Stalin and Ti to are going to be against create a Serbo-Croatian "balance." But the Churchill following the Prime Minister's de you. I will no longer be able to see with my interrogator reminded me of the encounter cision to stop supporting Mihajlovich. In own eyes how right I was ... but it is your with the gray-haired old man in the house briefing Churchill, McLean expressed his destiny to comprehend how blind you have of my lawyer acquaintance (I was followed conviction that a Partisan victory would been. When you realize all this, it might be day and night), and only then did I really bring a Communist system to Yugoslavia no too late." learn who I had met. At the new trial in different from the Soviet one. Churchill The honeymoon year went quickly and gov Belgrade, where I was sentenced to three and looked at him coldly and asked: ernments in the West, albeit somewhat be one half years in prison, they did not bring "'McLean, do you intend to live in Yugo- latedly, bega.n to remember the General. In up the encounter. slavia after the War?' 1948 President Harry S Truman posthu Last year I again met Djurovich by acci "'No sir.' mously awarded Mihajlovich an honored dent in a friend's house in Belgrade, and I "'Neither do I'." American decoration for "high merit in the told him about the attempt to link me with In the summer of 1946 in Belgrade, three Allied struggle for victory over the enemy." him. It was news to him. He invited me then months after a cagey secret police maneuver General de Gaulle also spoke well of him in to stop by sometime. I went to visit him has resulted in Mihajlovich's capture, a Mos his memoirs. briefly in December 1973 and found him bed cow-style demonstration trial was hastily The young generations in Yugoslavia, nat ridden with rheumatism. A week later he was arranged. The role of the general prosecutor urally, know very little about the true history arrested and taken off to prison; last Octo was played by the present foreign minister, of the civil war. And it is possible to sustain ber, almost a year afterward, he finally re Milosh Minish. General Mihajlovich behaved the sugary myth-Partisans fought heroically ceived his day in court-and five-year prison in a way that made one wonder about what against the tremendous number of German sentence.e he had been subjected to in prison: He an divisions and numerous quislings, among swered questions irrelevantly, did not under whom the bearded followers of General Mi stand many of them, and once even fell a.sleep hajlovich figured prominently (in accord during the court examination. ance with national tradition, many of the MAINTAINING AMERICAN MILITARY The court did not want to hear out the men vowed not to shave until the country CEMETERIES IN FRANCE witnesses pre.sented by two brave defense was free) --only under a complete ban on all counsels (who later paid for their bravery), unofficial statements. A reintroduction of and the special hand-picked audience was freedom of the press would undoubtedly lead raging. Yet, even after reading the official HON. OLIN E. TEAGUE immediately to reevaluating the civil war OF TEXAS and obviously doctored stenographic record and particularly Mihajlovich's role. of the trial-in which there was no place for All doubt about this was removed three IN THE HOUSE OF REPRESENTATIVES the remarks and full speeches of the defense, years ago, during the peak of the so-called Tuesday, July 18, 1978 or the defendant's statement-it becomes ·'liberalism" here, when Yugoslavia's best perfectly clear that Mihajlovich was guilty weekly, Nin, published a strange article in • Mr. TEAGUE. Mr. Speaker, last week of only one crime: fighting the Communists. connection with the 30th anniversary of the I alerted my colleagues that the U.S. Everything else, like the charges of col armed uprising, entitled, "Forgive us, his Ambassador to France, Arthur A. Hart laboration and of intensifying the fratricidal tory!" Notwithstanding the official story that man, has proposed that seven World war, was either untenable and pure fiction, the entire anti-German revolt began after or could just as well have been brought War I American military cemeteries an appeal in July 1941, the article said, big now maintained by the American Battle against the Communists. But, of course, what and bloody battles were already being fought we have here is a double standard: When in June against the Ustashis and the Italian Monuments Commission be turned over the Partisans conducted negotiations with Army in Herzegovina, involving artillery, to the supervision of foreign nationals the Germans and Italians that was a military planes and large Army formations. But this rather than being maintained by Ameri ruse, and when Mihajlovich did the same was somehow "overlooked," the article con can personnel. thing it was collaboration; when the Parti tinued, because the leaders of this initial, I recently expressed my dissatisfaction sans attacked the General's detachments that spontaneous uprising later became outstand with this proposal to the Secretary of was war with quislings, and when the Gen ing commanders in Mihajlovich's detach er·al attacked the Partisans that was inten State and based on the reply I received ments. Alas, not overlooked was the firing of from the State Department that they sifying the fratricidal war. the editor of Nin during the subsequent The most curious charge against the Gen crushing of "liberalism." apparently plan to proceed with Am eral was that he had negotiated with the Any regime after Tito's that does not at bassador Hartman's recommendation, I Germans in the fall of 1944. As was widely least partly rehabilitate Mihajlovich and his am introducing a bill today which would known, those negotiations were carried on movement will merely be prolonging a dic require that personnel employed as cem in the presence of the United States repre tatorship that prevents the healing of the etery superintendents and assistant sentative, Colonel McDowell, and the German civil war wounds. . . . superintendents shall be citizens of the High Command in Yugoslavia offered to sur It is not only the quiet debate stimulated United States. There follows a copy of render to the Western Allies represented by by the trial of Djuro Djurovich that led me Mihajlovich. The British and Americans to set down my thoughts about the Mihajlo my letter to the Secretary of State and declined this one-sided offer, unsuccessfully vich movement. I first met Djurovich under the response received regarding this demanding a full German surrender to Tito strange circumstances. In November 1966, a matter: and the Red Army, too. Apparently the court day before I was to start a one-year prison JUNE 8, 1978. wanted to show that the Western Allies were term given to me by the court in Zadar, I Hon. CYRUS R . VANCE, making agreements with the Germans behind stopped to say goodbye to an elderly lawyer Secretary of State, Department of State, 2200 the back of the Soviet Union. who is an acquaintance of mine. He had with C Street NW., Washington, D.C. The General was shot. The same fate was him a tall, thin, gray-haired man who kept DEAR Mr. SECRETARY: This is in reference shared by thousands of active fighters in his silent all the time, and to whom I did not to the consideration being given by the De movement, and tens of thousands of others pay much attention, missing his name alto partment of State to decrease the need for were subjected to severe persecutions that gether. American Superintendents at American threaten his sympathizers to this day. It can The next day I entered the prison in the overseas military cemeteries in order to im not be said that Western public opinion was town of Pozharevac. and after 10 days I was prove our balance of payments. very indignant over these events; it was the transferred suddenly to the central prison in American memorials and overseas military first year, the "honeymoon year," after the Bel.grade for reinvestigation. I had been for cemeteries are administered by the American War. Most of the protests came from hun mally convicted not because my articles had Battle Monuments Commission. Legislation dreds of American filers who had been shot appeared in the Western press, but because relating to the American Battle Monuments down above Yugoslavia and saved by Mihaj of my attempt to establish an independent Commission comes within the jurisdiction lovich's forces. Many of them recalled the journal, which is not punishable under the of the Committee on Veterans' Affairs, o! farewell speech the General gave to a group Yugoslav laws. The arrested members of the which I am the senior Member. Conse of 250 Americans who were returning home editorial board of our journal were already quently, I have enjoyed a long and continu in the summer of 1944: awaiting me. They had previously prepared ous relationship with Members of the Com "Your leaders will soon realize what a the first issue and had been continuing pub mission and have visited a number of the grave mistake they have made. The Germans lication work, refusing to be intimidated by overseas memorials and cemeteries. are already on their deathbed, and after they the fact that I had actually been convicted. All of these cemeteries administered by are defeated, Stalin and his servants won't During the new investigation the interro the Commission are a credit to the United need you any longer. You have armed them gator insisted throughout that I confess States. These cemeteries represent a per and strengthened them for your own mis about the person I had contracted from the petual memorial to those citizens who made fortune, because they will turn all their high leadership of Mihajlovich's movement. the supreme sacrifice in the national in strength against you. One cannot be under Since up to that time they had been trying to terest. It is fitting and proper, therefore, any delusion: Communism and democracy accuse me of nonexistent connections with that such memorials be administered by cannot coexist. The day has not yet arrived the Croatian nationalists, I just chuckled, as- Americans, especi·ally when we realize that 21536 EXTENSIONS OF REMARKS July 18, 1978 these overseas cemeteries are visited by large Mission on the other, the President at a days, compared with 11.5 days for nonmem numbers of Americans each year. By having March 1978 Cabinet meeting approved action ber airlines. "MAP ls just a sham," says the memorials operated by American Super to follow through on recommendations sub Northwest pilot and union official Gene intendents, we are demonstrating to the mitted by various American ambassadors. Kragness. "On the one hand, the CAB ls relatives and friends of those interred there The inter-agency mechanism for taking advocating laissez-faire capitalism, and on in, that by their presence, our country really such action, Monitoring Overseas Direct Em the other hand, it is supporting this blatant cares. ployment (MODE), was instituted by a di restriction of free trade." I want you to know that I am personally rective of the National Security Council. Its An Industry Joke: Northwest, the seventh opposed to any plans to replace the Super procedures required that reduction recom largest U.S. carrier, ls the main beneficiary intendents and Assistant Superintendents at mendations undergo very careful scrutiny of MAP, but that's hardly surprising, given our American memorials and overseas mm before final decisions are reached. Any agency its labor record: the industry joke is that tary cemeteries with foreign nationals. In affected, including the ABMC, has full op the company should change its name to keeping with my views on this issue, I am en portunity to comment and participate. In "Cobra Airlines-we strike at anything." closing copies of correspondence by the Dis addition, we have provided copies of your Over the past two decades, Northwest has abled American Veterans to the respective letter to those who are addressing the issues. taken strikes with astonishing regularity Chairmen of the Subcommittees on Ap So far, no decision has been made affecting four in the last eight years alone-and col propriations which approve funds for the ABMC personnel levels. However, an initial lected an estimated $180 million from the American Battle Monuments Commission. staff review has been prepared, outlining the MAP pool, nearly $80 million during the There is no justification for replacing facts and arguments for and against. It con current walkout. Americans in the positions of Superintend cludes that more data are needed before the Some member carriers are growing critical ents and Assistant Superintendents at these issue should go forward for final decision. of Notrhwest's dips into the MAP pool; they overseas shrines. I want you to know, there The concerned parties will be contacting worry that the attenion paid to its regular fore, that I will support legislation that ABMC headquarters for this purpose. "welfare checks" could result either ill a CAB Those charged with decisions in this lnter ruling or new legislation to scrap the ar would prohibit such a transfer, should legis agency process are fully sensitive to the lation be necessary. rangement. Eastern Airlines, for one, with depth of feelings represented in your letter drew from MAP last week, saying it had Sincerely, ' and others received on this subject. OLIN E. TEAGUE, paid out $74 million and received only $26 Sincerely, million over the years. Direct competitors Member of Congress. DOUGLAS J. BENNET, Jr., Enclosures. also complain that Northwest is playing both Assistant Secretary for sides of the street. Even as it accepts MAP DEPARTMENT OF STATE, Congressional Relations.e payments, the carrier has continued to fiy on Washington, D.C., July 12, 1978. a limited basis with cockpit crews recruited Hon. OLIN M. TEAGUE, from management and a handful of non House of Representatives. striking pilots-and, says the competition, DEAR MR. TEAGUE: On behalf of Secretary THE COBRA'S NEW STRIKE only on the most lucrative runs. Vance, I am replying to the letter which you Pinchpenny: In the best of times, North addressed to him on June 8, regarding pro west chairman Donald Nyrop runs a pinch posals which could alter staffing arrange HON. BRUCE F. VENTO penny operation-the line is headquartered ments in France for the American Battle OF MINNESOTA in a windowless, hangarlike building at the Monuments Commission (ABMC). I would Twin-Cities airport. Now it's tighter still, like to summarize the facts 'concerning these IN THE HOUSE OF REPRESENTATIVES with an but 2,000 of his 10,000 employees proposals and assure you that neither the Tuesday, July 18, 1978 furloughed. The result: give the MAP pay Department of State nor Ambassador Hart ments, the sale of several planes, and reduced man desires to curtail a program which • Mr. VENTO. Mr. Speaker, I would like wage and fuel costs, Northwest will show a maintains American cemeteries abroad ac to call the attention of my colleagues to second-quarter profit of at least $10 million, cording to highest standards of excellence. the article in Newsweek for July 24, 1978, analysts predict, compared with $16.6 million The President's general concern ab9ut which sums up extremely well the facts in the first quarter before the walkout. overseas staffing does not relate primarily to and the issues in the current Northwest Most Northwest employees also take the balance of payments or to immediate budget Airlines strike. strike in stride. "We really look !award to a ary savings but rather to a desire to limit and strike," says stewardess Barbara Vignere, who reduce the number of U.S. officials who are I want to commend the writers of this ls married to a Northwest co-pilot. "They're resident in foreign countries. In order to succinct article. usually in the summer, so we plan on taking identify any excessive employment of Ameri THE COBRA'S NEW STRIKE vacations then." The Vlgneres can enjoy can citizens overseas, the President directed A Minneapolis executive files home from themselves; on layoff because of the strike, last year that staffing for all programs oper Boston-via Dallas. Montana ranchers who she is receiving $488 unemployment compen ating abroad be carefully scrutinized, using want to fly between Billings and Helena, only sation a month. Meanwhile, her husband gets a Zero Base budgeting approach. Agency 225 miles a.part, find themselves passing $700 a month from the union's strike fund. headquarters as well as our ambassadors through Denver, a detour of nearly 1,000 Still, the strike is no picnic. The pilots who were asked to complete separate reviews of miles. And in North Dakota, east-west air are still flying say they have been harassed crossing picket lines, received death threats staffing. traffic slowed to a virtual standstill So it Each American ambassador is responsible and voodoo dolls and have even found pipe goes these days, all across the northe.rn tier bombs in their cars. by statute (22 U.S.C. 2680a) for directing, of states from Illinois to Washington, as the coordinating and supervising all U.S. Govern strike by 1,500 pilots of Northwest Airlines The public, meanwhile, ls caught in the ment employees within his jurisdiction. moves well into its third month. There is no middle. Northwest ls the only major carrier Moreover, President Carter has personally apparent settlement in sight, and for one serving much of Montana, North Dakota, charged each ambassador to keep the num curious reason: with both sl SENATE-Wednesday, July 19, 1978 Statements or insertions which are not spoken by the Member on the floor will be identified by the use of a "bullet" symbol, i.e., •
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