May 12, 1977 CONGRESSIONAL RECORD-SENATE 14521 interest of the United States, and At the end of b111, add a new section: "(2) For the purposes of this subsection, (2) neither House of the Congress, within SEC. 8. The Public Works Employment Act the applicable territorial percentage is equal sixty days after the date on which the Pres­ of 1976 (42 U.S.C. 6735) is amended by adding to the quotient resulting from the division ident submits such determination to the at the end thereof the following new section: of the territorial population by the sum of Congress in accordance with subsection (b) , "AUTHORIZATION OF APPROPRIATIONS FOR PUERTO the territorial population for all territories. passes a resolution disapproving of such de­ " ( 3) For purposes of this section- termination. RICO, GUAM AND THE VIRGIN ISLANDS "SEC. 216. (a) IN GENERAL.-There is here­ " ( A) the term "territory" means Puerto (b) Upon making a determination under Rico, Guam, American Samoa and the Virgin subsection (a) , the President shall- by authorized to be appropriated for each of the five succeeding calendar quarters (be­ Islands. ( 1) inform the Congress of such determina­ "(B) the term "territorial population" tion, and ginning with the calendar quarter which be­ gins on July 1, 1977) for the purpose of mak­ means the most recent population for each (2) recommend to the Congress any ing payments under this title to Puerto Rico, territory as determined by the Bureau of amendments to this Act which he determines Census. are necessary during such period of national Guam, American Samoa, and the Virgin Is­ lands, an amount equal to 1 percent of the "(b) the provisions of sections 203(c) (4), emergency. 204, 205, 206, 207, 208, 209, 210, 211, 212 and H.R. 6810 amount authorized for each such quarter under section 202(b). 213 shall apply to the funds authorized under By Mr. CORRADA: this section. Page 26, line l, strike out "'(a)". "(b) ALLOCATIONS.- " ( 1) The Secretary shall allocate from the "(c) PAYMENTS TO LOCAL GOVERNMENTS.­ Page 26, line 12, strike the comma and in­ amount authorized under subsection (a.) an The governments of the territories a.re au­ sert in lieu thereof a period and a close amount for the purpose of making payments thorized to make payments to local govern­ quotation mark. to such governments equal to the total au­ ments within their jurisdiction from sums Page 26, strike line 13 and everything that thorized for the calendar quarter multiplied received under this section a.s they deem follows through page 27, line 18. by the applicable terrUorial percentage. appropria.te."

SENATE-Thursday., May 12, 1977 California, Ha.wan, Illinois, Massachusetts, Missouri, men have lifted up their hearts in Mr. ROBERT C. BYRD. Mr. President, Montana, Nevada, New Jersey, New York, prayer, deliver us now from the tumult there are two measures on the General South Carolina, Utah, and Washington. A of the world without, from the drive of Orders Calendar which, according to my large portion of the population of the United daily duties, from slavery to desk pads marked calendar, are ready for passage States lives in areas vulnerable to earthquake and appointment calendars, and from by unanimous consent. They are Calen­ hazards. the confusion of many voices that we dar Order No. 99 and Calendar Order No. (2) Earthquakes have caused, and can may hear again Thy still small voice, 110. If the distinguished minority lead­ cause in the future, enormous loss of life, clear and reassuring. Keep us from cold­ er's calendar shows the same, I would injury, destruction of property, and eco­ ness of heart and indolence of spirit that ask the clerk to transfer those measures nomic and social disruption. With respect to future earthquakes, such loss, destruction, we may worship while we work and ever to the Unanimous Consent Calendar. and disruption can be substantially reduced seek beauty, goodness, and truth. Brace Mr. BAKER. Mr. President, if the Sen­ through the development and implementa­ us for new tasks, equip us for new duties, ator will yield, they are clear on our side, tion of earthquake hazards reduction meas­ strengthen us for every fresh adventure and are approved for that purpose. ures, including (A) improved design and and sustain us by Thy grace until eve­ The ACTING PRESIDENT pro tem­ construction methods and practices, (B) ning comes and our work is done. Then pore. They will be so transferred. land-use controls and redevelopment, (C) in Thy mercy give us a peaceful rest in Mr. ROBERT C. BYRD. Mr. President, prediction techniques and early-warning sys­ the knowledge of work well done. there is one measure on the Unanimous tems, (D) coordinated emergency prepared­ in Consent Calendar that was placed there ness plans, and (E) public education and in­ We pray the Redeemer's name, volvement programs. Amen. yesterday, and was therefore eligible for (3) An expertly staffed and adequately fi­ passage yesterday. It now being 4 o'clock nanced earthquake hazards reduction pro­ in the afternoon, I should think that suf­ gram, based on Federal, State, local, and pri­ APPOINTMENT OF ACTING PRESI­ ficient time would have transpired for vate research, planning, decisionmaking, and DENT PRO TEMPORE any Senator to have noted that measure contributions would reduce the risk of such The PRESIDING OFFICER. The clerk on the Unanimous Consent Calendar, loss, destruction, and disruntlon in seismic will please read a communication to the and so notified the leadership if he areas by an amount far greater than the cost wished to have the matter held. There­ of such program. Senate from the President pro tempore (4) A well-funded seismological research (Mr. EASTLAND). fore, I ask unanimous consent that the Senate proceed to the consideration of program ln earthquake prediction could pro­ The legislative clerk read the following vide data adeouate for the design, of an letter: Calendar Order No. 109 on the Unani­ operational system that could predict ac­ U.S. SENATE, mous Consent Calendar. curatelv the time, place, magnitude, and PRESIDENT PRO TEMPORE, The ACTING PRESIDENT pro tem­ phvsical effects of earthauakes in selected Washington, D.C., May 12, 1977. pore. Without objection, it is so ordered. areas of the United States. To the Senate: (5) An operational earthauake prediction Being temporarily absent from the Senate system can produce significant social, eco­ on official duties, I appoint Hon. EDWARD EARTHQUAKE HAZARDS REDUC­ nomic, legal, and political consequences. ZoRINSKY, a Senator from the State of Ne­ TION ACT (6) There is a scientific basis for hvpothe­ braska, to perform the duties of the Chair sizing that major earthquakes may be mod­ The Senate proceeded to consider the erated, in at least some seismic areas, by during my absence. bill Russia, In­ enable the Foundation to carry out respon­ of 74 million people have died in earth­ donesia, China, the Philippines, and sibillties that may be assigned to it under quakes. Just last year-a year of extraor­ this Act, there are authorized to be appro­ more recently, in Romania. The Chinese priated to the Foundation not to exceed $27,- dinary earthquake destruction world­ earthquake on July 28, 1976, in Tang­ 500,000 for the fiscal year ending September wide-more than 700,000 people lost shan, was estimated to have caused the 30, 1978; not to exceed $35,000,000 for the their lives, mostly in the July 1976 earth­ loss of approximately 650.000 lives. fiscal year ending September 30, 1979; and quake which struck a heavily industrial­ The United States has been fortunate not to exceed $40,000,000 for the fiscal year ized area of mainland China. compared to these countries, but it is ending September so. 1980. Indeed, the United States today faces almost a certainty that in the future we Mr. CRANSTON. Mr. President, I urge the greatest Potential danger from earth­ will experience a damaging earthquake. immediate and favorable consideration quakes that we have ever faced before. At least 39 States are subject to a major of S. 126, the Earthquake Hazards Re­ It is only in the last decade or so that our or moderate seismic risk. The result of a duction Act. population has become concentrated in large earthquake, for example in Cali­ This bill is similar to S. 1174 which major cities and along our coastal re­ fornia, could result in thousands of lives passed the Senate unanimously last year. gions, and major construction has oc­ lost, billions of dollars in damage, job It differs in two respects. First, the au­ curred on landfill and other unstable losses and destruction of cities. thorization levels are slightly higher than soils. Thus, it is only very recently that In hearings on S. 126 this year, both those passed last year reflecting infor­ the Potential for great earthquake de­ administration and public witnesses ma tion developed in the meantime by the struction in this country has exist.eel. In­ testi:fled strongly in favor of this legisla­ former Presidential Science Advisor. Dr. deed, if the San Andreas Fault were to tion. The President's science adviser, Dr. H. Guyford Stever. This report, issued give us an encore of the 1906 San Fran­ Frank Press, a world leader in this area, in September 1976, recommended sub­ cisco earthquake, the deaths could num­ supported the bill with mod1:flcatlon stantial increases in funding for the Fed­ ber m the tens of thousands and the made in committee. The committee re­ eral earthquake effort. S. 126 represents property damage could exceed $20 blllion. ceived a report from the General Ac­ the intermediate level recommended in On top of this, we must consider the in­ counting Office that was particularly the Stever report: $55 million in fiscal calculable losses resulting from the loss helpful in highlighting the need :for a 1978, $70 million in fiscal 1979, and $80 of economic and social functioning. Such national earthquake program which million in fiscal 1980. These funds would an earthquake would have enormow re­ would identify agency responsibilities, be evenly divided between the two prin­ percussions on our national economy and goals, priorities, and target dates :for cipal agencies, the National Science our national psyche. both a reseal'ch and implementation Foundation and the U.S. Geological Sur­ Recently, many of us have grown con­ program. vey. The bill also authorizes "such sums cerned about the existence of the so­ The bill reported by the committee as may be necessary," for the other Fed­ called "Palmdale bulge"-a substantial has three changes from S. 1174, passed eral agencies involved in earthquake-re­ land uplift straddllng some 100 miles by the Senate last year. No national ad­ lated activities. along the southern section of the San visory committee is established under Second. the bill as report.ed by the Andreas Fault just north of Los Angeles. the act. Administration witnesses lndi­ Committee on Commerce, Science, and If this uplift is a signal that a major cated that until they develop an imple­ Transportation includes a provision re­ earthquake will occur in the near fu­ mentation plan and decide how best to quested by the ad.ministration for the ture-as some experts believe--then the organize the various agencies involved timely development of an "implementa­ legislation before the Senate becomes all with the earthquake issue, the estab­ tion plan." This implementation plan the more urgent. Estimates of the poten­ lishment of an advisory committee would would address the need to apply existing tial damage in the Los Angeles area go as be premature. CXXllI-914-Part 12 14524 CONGRESSIONAL RECORD- SENATE May 12, 1977 The second change involves the estab- quakes in the United States through the public, by the business community, by the lishment of an implementation plan. establishment of a. National ·Earthquake Haz- design professions, and the research com­ . d ards Reduction Program. $65 million are au­ munity. Under this bill the President is require thorlzed for FY 78, $70 mlllion for FY 79, Section 6 requires the President to sub­ within 6 months to develop an imple- and $80 million for FY 80 for specific activi­ mit an annual report to the authorizing mentation plan. The implementation ties, and such sums as may be necessary for committees of the Congress on progress plan would rec.ommend ways to: improve certain general activities. achieved in reducing the risk of earthquake community preparedness for earth- s. PROVISIONS hazards. quakes, develop better means to use s. 12a is divided. into six sections as fol- Section 7 authorizes appropriations of $65 existing and developing knowledge on lows: mill1on, $70 milllon, and $80 mllllon, for seismic risks at the State, county, local, section 2 finds that 39 states are wholly FY 1978, FY 1979, and FY 1980 for specific and regional government level, utilize or partly areas of high or moderate seismic activities conducted. by the U.S. Geological more effectively building standards, de- risks; loss of life or property due to earth­ Survey .and the National Science Founda­ sign criteria and construction practices, quake can be substantially reduced through tion. Such sums as may be necessary, are examine various provisions such as <;On- various measures: an earthquake hazards re- also authorized. for genera.I activities under d.uction program that includes certain meas- the Act. struction loans, loan guarantees and l 1- ures would reduce losses of life and property censes to reduce earthquake hazards, by f'n amount far greater than the cost; a Mr. MAGNUSON. Mr. President, the determine the role of earthquake insur- research program in earthquake prediction Committee on Commerce, Science and ance and private relief efforts, and dis- would provide the capab111ty to predict ac­ Transportation has reported out earth­ seminate information to the public, re- curately the time, place, magnitude, and quake legislation again this year. S. 126, searchers and professionals. This plan physical effects of earthquakes; an earth­ the Earthquake Hazards Reduction Act, als·o would be the basis of reorganization quake prediction caoabll1ty can produce un­ is very similar to S. 1174, which was in the executive branch to better deal anticipated. consequences; earthquake risks passed unanimously by the Senate last possibly can be moderated by earthquake with earthquake hazards. control measures; and severe earthquakes year. S. 126 represents yet further im­ The final difference in the bill per- a.re a world-wide problem. provements made to the legislation. tains to the authorization levels pro- Sections states the puroose of the Act. I am in strong support of this legis­ vided. As a result of an effort conducted section 4 sets forth definitions of terms. lation and urge my colleagues to vote for the President's science adviser, a section 5 establishes a National Earth- in favor of S. 126. It goes without saying panel on earthquake prediction and auake Hazards Reduction Program. Subsec­ that earthquakes are an international hazard mitigation, chaired by Prof. tion (a) provides for the establishment and and U.S. problem. The damage from a.dm1n1.i:1tnitt.on of the ~ram. Nathan M. Newmark of the University Subsection (b) sets forth certain duties earthquakes world-wide last year wan of Illinois, submitted a report suggesting for the President In lmolementing the pol­ major, particularly in China. In thu funding levels for an expanded earth- icy and oroeram under the Act. United States last year we were fortu­ quake hazard reduction program. The Subsection (c) sets forth the objectives nate, yet one cannot expect that the fu­ recommendations included options for of the Program. These Include: ture will be as benign. low, intermediate, and high funding. 1. Devetoo technoloelcally feasible design In my own State of Washington we S 126 ·11 I th t• inte di t and construction methods to make new a.nd have experienced a number of earth­ funding· para level e proposal.s e reoor s rme a e existine: structures earthquake resistant; quakes. The 1949 and 1965 earthquakes The goals of s. 126 reflect a balanced 2. Implement a svstem to predict damag- were particularly damaging. The State's strategy in dealing with earthquake-re- erateing earthquakes risk; in the areas of high or mod­ entire population resides in areas con­ lated hazards. For example, the prospect s. Develop model codes to coordinate in­ sidered by scientists to be areas of ma­ of an earthquake prediction capability in formation about seismic risks with land use jor and moderate seismic risk. The U.S. the future, perhaps within a decade, is decisions: Geological Survey has estimated the po­ promising. Yet, we should not depend 4. Develop a better understanding of tential damage resulting from an earth­ entirelv on that possibility. It has been earthquake related issues; quake in the Puget Sound region. Their pointed out that we can predict accu- 5. Educate the public concerning earth- estimates suggest that an earthquake te quake hazard reduction measures; of 7.5 magnitude on the Richter Scale ra ly where floods occur, but PeoPle 6. Undertake rei::earch that wm lead to still live in :flood Plains and human and a better understanding of ways to use exist­ is a reasonable maximum value for Puget economic losses occur yearly. The capa- ing k·nowledge to mitigate earthquake haz­ Sound. Should such an earthquake occur. bility of humans and their institutions a.rds, the social, economic, legal, and politi­ and be centered either where the 1949 to deal with knowledge is imperfect. It cal consequences of earthquake prediction, or 1965 earthquakes occurred, hundred~ is quite likely that an earthquake predic- and ways to assure the avallab111ty of earth­ of deaths and thousands of injuries could tion capability will produce economic, quake insurance; and occur. Economic losses in the millions of social, legal, and political consequences. 7. Imnrove the understanding of earth- dollars might result. w d ., h . h th quake control; I am hopeful that as a result of thrJ e nee 110 emp asize researc on ose Subsection ur general 1811-12; and the 1756 earthquake which It is high time to move forward with elements: a research element, an implemen­ struck Cape Ann, Mass Less destructive a U.S. program. S. 126 is the culmination tation plan, provision of State assistance, earthquakes dating back to the 16th and and an opportunity for participation. The 17th centuries have struck these and .other of e:fforts starting in the 92d Congress research part of the program deals with areas of the United States with greater fre­ The bill would provide for research ~ funda.mental earthquake studies, earthquake quency. Compared to other seismically vul­ develop an earthquake prediction capa­ prediction, induced seismicity, earthquake nerable regions such as Japan, China, the bility and to learn how to deal socially control, seismic risk analysis for land-use Middle East, and hlclla.. the history -Of de­ a!ld politically with earthquake predic­ consideration, hazards assessment, earth­ structive earthquakes in the United States t10n. S. 126 would provide information quake engineering, and research to explore 1s quite brief. t'? he~p b_~d buildi!1gs better, would pro­ possible .soclal and economic adjustmente to The United States has been extraordinar­ vide mdividuals with information as to reduce earthquake vulnera.btltty. ily lucky to date. The growth of popuiation The implementation plan addresses the and the development or large cities in the where active faults are--for example, need. to apply exist1ng information and new United States are such recent phenomena. this information could help us in the research findings to decisionmaking at the that only within the last 100 years has the siting of nuclear powerplants, and would Federal, State, and local level. An implemen­ potential for great e.arthqua.ke destruction in provide a Public .information and educa­ tation plan will be prepared Within 6 months the country existed. The United States has tion activity to increase community pre­ which shall set year-by-year targets through experienced several "great" -earthquakes paredness. The President is held account­ at least 1985, specity roles for Federal agen­ which resulted in l_.600 deaths and associated able for the entire program since it cies and recommend appropriate roles for property damage estimat ed at more than State and local unite of government, indi­ $1.8 bllllon (see tables 1 and 2). will involve numerous agencies. . viduals, and private organizations. The plan I would like to note and commend the wlll address what measures can be taken to T.utLE 1.-Lives in Major U.S. Earthquakes, leadership exerted by Senator CRANSTON prepare better for earthquakes, now exlsting 1811-1975• over the years in behalf of this legisla­ and developing knowledg~ -of -seismic risk Year and locality; Lives lost tion. His .efforts have helped in a criti­ can be taken into account, how building and 1811-New Madrid, Mo ______Several cal way to produce this imp0rtant leg­ construction practices for new and e-xlsting 1812-New Madrid, Mo______Several islation. The admlnistration is support- structures ca.n take lnto account seismic 1812-San Juan Capistrano. Ca.llf___ 40 risks, how earthqualte hazards can be re­ 1868-Ha.yward, Calif______SO ing this legislation this year, and I look duced through loo.ns, loan guarantees and 1872-0wens Valley, Calif______27 forward to working with them. licenses, how tns,urance can be used, and 1886-Charleston, s.c______60 14526 CONGRESSIONAL RECORD-SENATE May 12, 1977

TABLE 1.-Lives in Mafor U.S. Earthquakes, 1961-Termina.l Island, Calif. ( oil TABLE 4.-u.s. POPULATION RESIDENT IN VARIOUS EARTH­ 1811-1975 •-Continued wells only)------$4,5 QUAKE RISK ZONES Year and locality: Lives lost 1964-Alaska and U.S. West Coast (includes tsunami dam­ 1899-San Jacinto, Calif______6 Estimated Percent of Number of 1906-San Francisco, CaliL______700 age from earthquake near population total U.S. affected 1915-Imperial Valley, Calif______6 Anchorage) ------500.0 at risk population States 1918-Puerto Rico (tsunami from 1965-Puget Sound, Wash ______12.5 earthquake in Mona Pas- 1966-Dulce, N. Mex ______.2 1969-Santa Rosa, Calif______Seismic risk zone: sage) ------116 6.3 Zone O(low).-·---- 16, 717, 000 8 5 1925·-santa Barbara, Calif______13 1971-San Fernando, Calif ______553. 0 Zone L ... ____ .. .. 115, 091, 000 57 42 1926-Santa Barbara, Calif______1 1973-Hawau ------5.6 Zone 2•••• __ •• __ __ 40, 472, 000 20 39 1932-Humboldt County, CaUL____ 1 1975-Aleutlan Islands ______3.5 Zone 3 (high) •••• __ 30, 943, 000 15 21 1933-Long Beach, Calif______115 1975-Idaho/Utah (Pocatello Val- Total...... 203, 223, 000 ------151 1934-Kosmo, Utah______2 ley)------1. 0 1935-Helena, Mont______4 1975-Hawali ------3.0 1946-Hawali (tsunami from earth- 1975-Humbolt, Callf ______.3 t Including the District of Columbia. 1975--0roville, CaliL ______q,uake in Aleutians)--~~-- 173 2.5 While it ls almost certain that future 1940-Imperial Valley, Calif______9 damaging earthquakes will occur, an earth­ 1949-Puget Sound, Wash______8 Total ------1,878.0 quake of damaging intensity is a relatively 1952-Kern County, Calif______14 *These damage ei;tlmates are at the time rare event at any given site. Thus, assess­ 1954-Eureka-Arcata, Calif______1 of the earthquake. They do not include the ing the future risk of the potential event 1955-0akland, Calif______1 effects of inflation. They are not ec;timates for a specific community ls difficult. There 1958-Khantaak Island and Lituya of the likely damage if a similar earthquake is a relatively low property loss average per Bay, Alaska______5 occurred today. year for the Nation as a whole; indeed, the 1959-Hebgen Lake, Mont______28 loss per year from earthquakes since 1900 1960-Hilo, Hawaii (tsunami from Damage can also occur indirectly from has averaged more than $26 million per year. earthquake off Chile earthquakes through seismic waves or tsu­ However, damage estimates for a single re­ namis. Tsunamis are waves which move at coast) ------61 occurrence of the 1906 San Francisco or the 1964-Prince William Sound, Alaska velocities of 300 to 400 mph, and may be 1811-12 New Madrid earthquakes measure many miles long in deep ocean water. Ap­ in the tens of billions of dollars. (tsunami) ------131 proaching the water at a low soeed, the wave 1965-Puget Sound, Wash______7 A study of the earthquake problem per­ 1971-San Fernando, Calif______65 mav reach a hei2:ht of 50 feet. The casualties and damage in the United States resulting formed under contract with the National 1975-Ha.waii ------2 from tsunamis is provided in table 3. Science Foundation, developed two alterna­ *These figures a.re the lives lost at the The United States was fortunate because tive methods of estimating future risk: an time of the _earthquake and do not reflect the biggest earthquakes known to have annualized loss estimate, and a sudden loss the likely loss of life if a similar earth­ struck the United States occurred in the estimate. The annualized loss estimates are quake were to occur today. last century when our population was rela­ based on the expected probab111ty of a seis­ tively small and widely dispersed. Those mic event of a specific intensity per year. TABLE 2.-Property Damage in Major U.S. Tables 5 and 6 present the annualized loss Earthquakes in Millions of Dollars (Ac­ major earthquakes that have occurred since, tual), 1865-1,9-.75• have, for the most oart struck the less popu­ estimates for the United States as a whole and for four regions of the United States. Damage lated areas of the Nation. Year and locality: (millions) An analysis of the seismic risk map of the 1865--San Francisco, Calif______$0. 5 United States shows a wide distribution of TABLE 5.-ANNUALIZED LOSSES TO STRUCTURES, U.S. 1868-Ban Francisco, Calif______. 4 moderate and ma1or seismic risk areas. Such TOTALS t 1872--0wens Valley, Calif______. 3 mans are based on the known dlstrihution of 1886-Cha.rleston, s.c______23. o past damaging earthouakes, evidence of Millions of 1970 dollars At risk 1892-Va.cavme, Calif______. 2 strain release, and consideration of ma.1or lost National year 1898-Mare Island, Ca.llf______1. 4 geo1ogic structures and provinces believed to At risk loss (percent) 1906-San Francisco, Calif______524. O be associated with earthouake activitv. Thev 1915-Imperial Valley, Calif______. 9 are not based. however, on the frequency of 1970 •• ••••••••••••••·• 1, 616, 114. 80 631. 22 o. 03905 ea.rthouake activltv. 1980 •••••••••••••••••• 2, 322, 156. 60 832. 07 • 03583 1918-Puerto Rico (tsunami dam- 1990 •••••••••••••••••• 3, 149, 514. 00 1, 044. 41 .03316 age from earthquake in Table 4 nrovides a tR.bulation of the ap­ 2000 •••••••••••••••••• 4, 098, 186. 90 1, 318. 50 • 03217 Mona Passage) ______4.0 pro'!Cimate U.S. oonuiatlon in each zone of 1918-San Jacinto and Hemet, P.R.rt.hn11ake rislc. It should be noted that some Calif ------.2 70 mlUio11 oeoole live in the 39 Atates whic'h 1 "Budgeting Justification for Earthquake Research", technical 1925-Santa Barbara, Calif______report No. 74- 1201-1, by John Wiggins, Joseph Hirschberg, and 8.0 are whollv or oartlv in zone 2 (risk of mod­ Allen Bronowicki, J. H. Wiggins Co., May 1974. 1933-Long Beach, Calif______40.0 erate damage) or zone 3 (risk of major dam­ 1935-Helena, Mont ______age) or both. TABLE 6.-ANALYZEO LOSSES TO STRUCTURES BY 4.0 NATIONAL ORIGIN 1940-Imperial Valley, Calif______6.0 1941-Santa. Barbara, Calif______.1 TABLE 3.-CASUALTIES ANO DAMAGE IN THE UNITED (Dollar amounts in millions of 1970 dollars) 1941-Torrance-Garden, Calif_ __ _ 1. 0 STATES FROM TSUNAMIS t 1944--0ornwall, Canada-Massena, Value of Loss N.Y ------2.0 Estimated Region structures (percent) Loss 1946-Hawali (tsunami damage damage from earthquake in Aleu­ (thou­ Year Dead Injured tians) ------25.0 sands) Area Northeast: 1949-Puget Sound, wash ______25.0 1970. ··-············ 475, 785 o. 02306 109. 7 1949-Terminal Island, Calif. ( oil 1980 ..•••••••••••..•• 680, 559 • 02059 140. 1 1906 •••••••••••••••••••• $5 Hawaii. 1990 ..•••••.••.•••••• 919, 823 • 01828 168. 1 wells only)------9.0 1917 •••••••••••••••••••• (2) American Samoa. 2000 ..••••••••••.•••• 1, 993, 577 • 01765 210. 7 1951-Terminal Island, Calif. (oil 1918 •••••••••••••••••••• 100 Hawaii. North Central: wells only)------3.0 1918 •••• 40 ·····-·· 250 Puerto Rico. 1970 ••• •.• •• .•.•..••• 430, 924 • 00668 28. 8 1952-Kern County, Calif______60.0 1922 •••••••••••••••••••• 50 Hawaii, California, 1980 ••••••..••••••.•• 612, 682 • 00563 34. 5 American Samoa. 1990 •.••••••••.•••••• 824, 243 • 00479 39. 5 1954-Eureka-Arcata, Calif______2.1 1923 .••• 1 4,000 Hawaii. 1933 •••••••••••.•••••••• 2000 •••••.••••••...•• 1, 065, 556 • 00441 47. 0 1954-Wilkes-Barre, Pa ______1. 0 200 Do. South: 1955-Terminal Island, Calif. ( on 1946 •••• 173 163 25, 000 Hawaii, Alaska, west 1970 .••.•.•••••.•.•.• 370, 623 • 00827 30. 1 coast. 1980 .•••••••••••••••• 531, 462 • 00772 41. 0 wells only)------3.0 1952 •• ------· ··-· ·-·---. l, 200 Midway Island, 1990 ••.•...••••..•••• 719, 793 • 00724 52. l 1955--0akland-Walnut Creek, Hawaii. 2000 ..••.•••••••••••• 935, 317 • 00709 66. 3 Calif ------1.0 1958 •••• 2 •••••••• 50 Alaska. West (including Califor· 1957-Hawa.ii (tsunami damage 1957 •••••••••••••••••••• 4, 000 Hawaii, west coast. nia): 1960 •••• 61 282 25, 500 Hawaii, west coast, from earthquake in Aleu­ 1970 ••••••••••••••••• 338, 782 • 13639 462.1 American Samoa. 1980 •••••••••••••••.• 497, 437 .12390 616. 3 tians)------3.0 1964 •••• 122 200 104, 000 Alaska, west coast, 1990 ••••••••••••••••• 85, 755 • 11441 784. 6 1957-Sa.n Francisco, Calif______1. 0 Hawaii. 2000 ••••.•••••••••••• 903, 736 .11004 994. 5 1959-Hebgen Lake, Mont. ( dam­ 1965 ••• ··--·-···--·--••• 10 Alaska. 1975 ••• --·-·--· •••••• ·-- 2,000 Hawaii. age to timber and roads)_ 11. 0 1960-Hawaii and U.S. West Coast It is interesting to note that while the ex­ (tsumani damage from I These figures are the lives lost at the time of the tsunami pected value of annual loss increases from earthquake off Chile and do not reflect the likely loss of life if a similar earthquake $631 million in 1970 to $1.3 billion in the and tsunami were to occur today. year 2000, the annual percent risk loss de- coast) ------25.5 2 Damage reported, but no estimates available. lJt!ay 12, 1977 CONGRESSIONAL RECORD- SENATE 14527 creases slightly over the same period. This pect $22.5 billlon of this total damage, or United States and for which thEre is ade­ reduction in ri5k loss results from the as­ about 15 percent of the cumulative estimated quate intensity data. Table 7 presents the sumption that new and improved construc­ annualized loss. damage that can be expected to occur if the tion will gradually replace the older, more hazardous structures. The total annualized The sudden loss estimates are based upon 1:YPOthetical events were to occur in J 970, loss estimates of table 5 amount to an esti­ two specific events: the 1906 San Francisco 1980, 1990, and the year 2000. mated total loss of $30 billion for the entire earthquake· and the 1811-12 New Madrid Although these figures are estimates, it is United States as a result of earthquakes oc­ earthquakes. These two events are generally nevertheless clear that future earthquakes curring between 1970 and the year 2000. The characterized as the representative major pose a serious hazard-in economic and hu­ western region of the United States can ex- destructive events which may reoccur in the man terms.

TABLE 7.-LOSSES DUE TO THE REOCCURRENCE OF THE NEW MADRID AND SAN FRANCISCO EARTHQUAKES [Amounts in millions of 1970 dollars)

Value at risk Population Total value Value at risk Population Total value in area at risk in area loss in at risk lost in area at risk in area Loss in at risk lost National year MMl;?:6 MMl;?:6 value (percent) National year MMl;?:6 MMl~6 value (percent)

San Francisco scenario: New Madrid scenario: 1970 __ ------76,488.44 7, 795, 137 10, 242.63 13.39108 1970 ____ ------ll8, 131. 08 3,063.47 2. 59328 1980 ____. __ ------ll3, 348. 00 9, 252 ,058 13, 720. 72 12.10495 1980 ____ ------165, 543. 01 U·~~·m 3,876.41 2.35163 1990 __ ------157, 317.87 10, 708, 978 17, 553.36 11.15789 1990 __ ------220, 154. 61\ 23:842:116 4,683.37 2.12731 2000 ___ _------208, 398.04 12, 165, 899 20,839.80 10.69175 2000 __ ------281, 965. 99 26, 001, 515 5, 760.40 2. 04294

Within the last 15 years, scientists have dramatic instances where scientists in the ducing the losses from earthquakes if appro­ made great advances in understanding the United States and China predicted earth­ priate social, economic, engineering, and geologic processes responsible for earth­ quakes. On August 2, 1973, seismologists from legal actions are taken prior to the quake." quakes. Scientists have formulated a theory Lamont Doherty Geological Observatory pre­ Beyond earthquake prediction, scientists that describes the earth as comprised of three dicted that an earthquake would occur in the see some potential in the area of earthquake layers: the lithosphere, which includes the Blue Mountain Lakes region in New York. modification and control. By accidents, sci­ crust and the upper mantle; the astheno­ The next day an earthquake occurred. On entists discovered that earthquakes could be sphere, which extends from the base of the November 27, 1974, geologists from the U.S. deliberately initiated or mitigated. In 1966, lithosphere to a depth of several hundred Geological Survey's National Center for small earthquakes occurred when lethal miles; and the mesosphere, which makes up Earthquake Research in California predicted wastes produced from the Rocky Mountain the lower remaining portion of the mantle. that an earthquake would take place near Arsenal near Grand Junction, Colo., were According to this theory, the Earth's crust Hollister, Calif., within days. The next day an pumped into the ground. In 1972, the Chev­ is actually composed of huge, shifting plates, earthquake occurred. ron Co., with U.S. Geological Survey scien­ each 30 to 90 miles thick. These vast plates At 7:36 p.m. on February 4, 1975, an earth­ tists, set off some small quakes when they of the outer crust move against one an­ quake of 7.3 magnitude occurred in the injected water under pressure into oil wells other as a result of thermal convection in Haicheng-Yingkou region of China. several (a technique used to recover more oil). When the earth's hot interior. As a result of fric­ hundred thousand people live in that area. the water was pumped out, the earthquake tion between plate movements, stress builds About 6 hours before the destructive earth­ activity ceased. Nevertheless, a technical ca­ up in the earth and rocks. An earthquake oc­ quake began, officials warned the people and pabllity 1n earthquake modification ls stW curs when the stress reaches sufficient mag­ evacuated most of the towns and cities. The years into the future. nitude that fraicturing occurs and energy ls Chinese earthquake prediction and subse­ During the past year a step has been taken released. quent warning saved approximately 10,000 to further the U.S. capabllity in earthquake Geophysically, there are several widely lives. hazards reduction. In a study requested by used measurements to describe an earth­ the President's Science Adviser, a panel on quake. One is the Richter magnitude. Using The earthquake prediction program of the earthquake prediction and hazard miti~ation techniques developed by Dr. Charles Richter People's Republic of China is extensive and developed a national research plan. The re­ of the California Institute of Technology, includes more than 10,000 professionals and search plan contained proposals in six areas: seismologists can assign an earthquake a thousands of amateur workers. Extensive fundamental earthquake studies, prediction, magnitude-a numerical value that identi­ earthquake prediction programs also exist induced seismicity, hazards assessment, fies the energy released by a. particular earth­ in the Soviet Union and Japan. engineering, and research utilization. Fund­ quake. The Richter magnitude can be mis­ Earthquake prediction-the prediction of ing options were proposed at three levels­ interpreted, however. nough the numbers the time, place, and location of future earth­ low, intermediate, and high. All of these are arranged arithmetically, every step up quakes-ls today as much art form as sci­ levelS were higher than funding levels in pa.st the scale represents a logarithmic increase ence. Nevertheless, there are some who be­ years. The administration has submitted a in energy. For example, an eathquake of lieve that developing theories and observa­ budget request for fiscal year 1978 consistent magnitude 5 releases 30 times as much en­ tions of precursory events suggest that an with the panels intermediate level proposal. accurate prediction capability in certain ergy as an earthquake of magnitude 4, and LEGISLATIVE HISTORY an earthquake of magnitude 6 1s 30 times geographic areas of the United States is pos­ greater than one of magnitude 5. A simple sible within the next decade. S. 126 was introduced on January 10, way to distinguish among earthquakes ls The recent interest in an earthquake pre­ 1977, by Senator Cranston and cosponsored to define a great earthquake as a Richter diction capabllity for the United States has by senators Hayakawa, Holllngs, Magnuson, magnitude of 7.7 or above; a major earth­ emerged in a cautious manner. The recent DeConcini, Gravel, Hansen, Hatfield, Hud­ quake as magnitude 7.0 to 7.7; and a moder­ study by the Panel on the Public Policy Im­ dleston, Humphrey, Stevens, Thurmond, ate earthquake as magnitude 6.0 to 6.9. plications of Earthquake Prediction of the and Young. It was referred to the Com­ Another measure of earthquakes-the in­ National Academy of Sciences 1 represents mittee on Commerce, Science and Trans­ tensity scale-was developed as a qualitative the attitude that a. prediction capabllity has portation. measure. of earthquake effects. The measure disadvantages as well as advantages. Scien­ The Committee on Commerce was con­ of intensity relates to ground vibration and tifically founded predictions leading to pub­ cerned with means to reduce the risk of structural damage. The intensity scale in lic warnings, would have definite economic, earthquake hazards since the 92d Congress. common usage is the Modified Mercalli In­ legal, and political consequences. The re­ On May 16, 1972, hearings were conducted tensity Scale. These qualitative assessments port notes, "Earthquake prediction ls a new by the committee to consider s. 3178, s. are assigned roman numerals from·I to XII and unstudied experience, and analogies to 3392, and S. 3584, bills dealing with earth- v-ith XII being the highest damage. Unlike better under.stood disaster warning situa­ quake hazard mitigation, and to investigate the magnitude of an earthquake, the in­ tions are often imperfect • • *. Under the the adequacy of the Federal response to the tensity varies generally with distance and worst combination of an inaccurate pre­ February 9, 1971 earthquake which struck depends upon the nature of the local ground diction and an ill-conceived public response, San Fernando, Calif. Two bills were subse­ condition and the types of structures located the prediction and quake together might quently introduced in 1973 by Senator there. In general, alluvial valleys, soft sedi­ even be more costly than an unpredicted Cranston (S. 1473 and S. 1474), and one by ments, and areas of uncompacted fill will quake would have been. But it ls our con­ Senator Hollings (S. 1444). Two days of magnify ground shaking and will register sidered Judgment that earthquake predic­ hearings were held on April 26 and 27, 1978, higher intensities than adjacent areas of tion can be a means for substantially re- on these bills. solid rock. s. 1174 was introduced on March 18, 1975, Within the past 3 years, a series of devel­ 1 "Earthquake Prediction and Public Pol­ by Senator Cranston and cosponsored by opments in the United States and elsewhere icy," report of the Panel on the Public Polley Senators Hollings, Eagleton, Gravel, Hartke, suggests that recent theories about earth­ Implications of Earthquake Prediction, Na­ Hatfield, Humphrey, Javits, Kennedy, Mc­ quakes are helping to produce a capability tional Research Council (National Academy Gee, Moss, Stevens, and Tunney. On Feb­ to predict earthquakes. There have been of Sciences, Washington, D.C.), 1975. ruary 19, 1976, hearings were held on S. 1174. 14528 CONGRESSIONAL RECORD-SENATE May 12, 1977

Based on the hearings and comments re­ forth certain findings and policy objectives. (3) PUBLIC EDUCATION INVOLVEMENT, AND ceived, improvements were made to the bill. The blll recognizes that in order to reduce STATE ASSISTANCE S. 1174 was reported by the Committee on future human losses, injury, economic dam­ S. 126 provides for an informa tlon dis­ May 4, 1976. A report was filed May 13, 1976 age, and social and economic disruption, a far semination and education program. Such a (Senate Report No. 94-862), by the Com­ ranging, balanced, and comprehensive na­ program is intended to provide other Fed­ mittee. The Committee on Labor and Public tional program is necessary. eral agencies, State and local government Welfare to whom the bill was also referred The Committee believes that many agen­ officials, and other interested persons with was discharged from further consideration cies should be involved in this program, information developed and gathered under of this bill on May 17, 1976. On May 24, 1976, including: the U.S. Geological Survey, the the various Federal research activities. The the Senate passed S. 1174 unanimously. National Science Foundation, the Depart­ transfer of information and implementation On April 19, 1977, hearings were held on ment of Defense, the Department of Hous­ of research fundings will be a necessary S. 126. Based on the hearings and com­ ing and Urban Development, the National component of the national earthquake re­ ments received, improvements were made to Aeronautics and Space Administration, the duction program. the bill. The version of S. 126 as reported National Oceanic and Atmospheric Admin­ S. 126 provides that the President shall al­ by the Committee on May 5, 1977 is an istration, the National Bureau of Standards, low for participation in the national research amended version of the bill. the Energy Research and Development Ad­ and implementation program by State and NEEDS ministration, the Nuclear Regulatory Com­ local government officials, the public, busi­ mission, and the National Fire Prevention Earthquakes occur with frequent regular­ ness and industry, the design professions and and Control Administration. the research community. ity in the United States. More than 70 mil­ The Committee believes that the Presi­ S. 126 also provides for an assistance pro­ lion peonle live in areas of high and mOder­ dent is the individual most capable of coor­ ate seismic risk. Earthquakes have caused gram to the States in carrying out their re­ dinating these agencies' eiforts and requires sponsibilities under the Disaster Relief Act and will continue to cause loss of human that he determine appropriate lead and in­ life, injury, property damage, and social and of 1974. teragency mechanisms to meet the objec­ ESTIMATED COSTS economic disruption. The risks from future tives of the bill. The Committee further earthquakes will be higher than in the past believes that the various agencies should In accordance with section 252(a) of the when the U.S. population was much smaller actively seek the cooperation of States -and Legislative Reorganization Act of 1970 (2 and more dispersed. Yet no comprehensive their political subdivisions, private organiza­ U .S.C. 190 (J) ) , the Cammi ttee estimates the national policy and coordinated program ex­ tions, and interested individuals, in the de­ cost of the proposed legislation for which ap­ ists to reduce the hazards and risks from velopment and implementation of the na­ propriations are authorized will be as fol­ future damaging earthquakes. tional program. lows: ( 1) A NATIONAL EARTHQUAKE HAZARD REDUC­ The blll provides that Congress shall be lln millions of dollars) TION POLICY AND COORDINATED PROGRAM made aware of progress achieved in reducing Federal efforts to deal With earthquake the hazards from earthquakes. An annual Fiscal year- hazards can be found in a number of agen­ report shall be prepared and submitted. to the cies. Each agency seeks to develop a capa­ Congress by the President. 1978 1979 1980 bility corresponding to its particular institu­ For general imolementatlon of duties un­ tional mission. A comprehensive policy and der s. 126, the President is authorized to ex­ GeneraL______(t) (1) (1) community of purpose among individual To the Setretary of Interior______27. 5 35 40 pend such sums as may be necessary for each To the National Science Foundation____ 27. 5 35 40 programs and efforts, does not exist. of the fiscal years 1978, 1979, and 1980. This No agency or unit has been delegated re­ general authorization is to enable agencies sponsibility for implementing a unified na­ other than the U.S. Geological Survey and t Such sums as may be necessary. tional policy. National Science Foundation and States to REGULATORY IMPACT STATEMENT (2) RESEARCH AND IMPLEMENTATION SUPPORT­ participate in the national program as the The bill S. 126 provides for the establish­ ING A NATIONAL EARTHQUAKE HAZARD RE­ President recommends. menii of a national earthquake hazards DUCTION PROGRAM (2) S. 126 SPECIFIES CERTAIN RESEARCH AND Illl[­ reduction program to ensure the coordinated. A prerequisite to any effective decisions PLEMENTATION ACTIVITIES THAT SHALL BE UN­ development and utilization of scientific and and efforts to reduce risks from future dam­ , DERTAKEN technological knowledge to reduce the aging earthquakes is development of our re­ Recent developments in earthquake pre­ hazards resulting from earthquakes. The bill search and knowledge base. Federal, State, diction suggest that this capability may be states several objectives of the program. di­ and local officials, as well as private organiza­ used as an additional means for reducing rect.a the President to involve several Federal tions and interested individuals, need the losses ifrom future earthquakes. The science agencies in the program, lists various aspects best possible information on the most effec­ of earthquake prediction could be developed of research that shall be included in the pro­ tive means to mitigate the hazards of future over the next 10 years into an operational gram. direct.a the President to involve the earthquakes. Earthquakes-related research capability. s. 126 directs the President to States in the development of an implementa­ activities in various Federal agencies have undertake research to develop such a pre­ tion plan, and provides that, in making not been supported at levels commensurate diction capability in certain areas of the grants to States under the Disaster Relief with the problems posed by earthquakes and United States. Recognizing that an earth­ Act of 1974, the President may make grants the scientific opportunities that are avail­ quake prediction technology wlll produce for the purposes of S. 126. able. A balanced research program in the economic, legal, and social consequences, re­ Because this bill does not regulate private physical and social sciences, and engineering search to provide information on the non­ is necessary. Furthermore, it is vital that ex­ business activity, or any other private ac­ technical aspects and implications of earth­ tivity, the Committee concludes that the isting and future research findings be uti­ quake prediction are also specified. lized. Research findings must be me.de avail­ implementation of this blll will have no able to interested and affected user groups s. 126 provides for other research activities, impact on the personal privacy of any in­ so that they may make appropriate decisions. such as development of further understand­ dividual or business. No records will be re­ ing~ of earthquake modification and control quired to be kept by any individual or busi­ (3) PUBLIC EDUCATION AND INVOLVEMENT measures, earthquake engineering research, ness, nor will there be any reports that need The use of information and development the development of improved design and con­ to be filed as a result of S. 126 becoming law. of an effective program to reduce earthquake struction standards, and development of hazards must be accomplished at the State, model building codes. s. 126 also directs that The ACTING PRESIDENT pro tem­ local, and individual level. Yet, the great ways to increase community preparedness pore. The question is on agreeing to the majority of individuals in this country do . with respect to earthquakes be developed. committee amendment. not know a great deal about earthquakes To provide for effective implementation The amendment was agreed to. and what can be done to minimize risks. and delivery of the research conducted under The bill was ordered to be engrossed Should an earthquake prediction capability the program, S. 126 provides tha.t the Presi­ become available, for example, its effective­ dent shall prepare an implementation plan for a third reading, read the third time, ness. and wise utilization would depend with year-by-year targets. The plan would and passed. greatly on public knowledge and sensitiv­ provide for measures to increase community Mr. ROBERT C. BYRD. Mr. President, ity to the issues. Moreover, various means preparedness, enable State, county, local. already exist to minimize future losses and I move to reconsider the vote by which and regional government units to use earth­ the bill was passed. disruption from earthquakes, but are not quake-related information in their land use used. decisions, promote improved building stand­ Mr. BAKER. I move to lay that motion MEETING THE NEEDS ards and construction practices. examina­ on the table. (1) S. 126 ESTABLISHES A NATIONAL EARTH­ tion of the role of loan programs, licenses, The motion to lay on the table was QUAKE HAZARDS REDUCTION PROGRAM wrrH insurance and relief programs, and dissemi­ agreed to. SPECIFIC OBJECTIVES TO BE ACHIEVED U~DER nation of information. Six months is allowed THE RESPONSmILITY OF THE PRESIDENT for preparation of the plan. Mr. ROBERT C. BYRD. -Mr. President, I reserve the remainder of my time. In view of the need for policy direction For the research elements under S. 126, and the development and implementation of there are authorized to be appropriated $55, The ACTING PRESIDENT pro tem­ a. comprehensive program to reduce the $70, and $80 million for each of the fiscal pore. The Senator from Tennessee. hazards from earthquakes, this bill sets years 1978, 1979, and 1980. Mr. BAKER. Mr. President, I have no Pt! ay 12, 1977 CONGRESSIONAL RECORD-SENATE 14529 requests for my time or requirement for osition that possibly could contribute to Motton to proceed to the consideration of it. I yield it back. an improvement in political relations be­ the resolution (S. Res. 6) to amend the Mr. ROBERT C. BYRD. I yield back tween the two countries. I agree with standing rules of the Senate. the remainder of my time. Senator STONE, who fought any conces­ Mr. ROBERT c. BYRD. Mr. President, The ACTING PRESIDENT pro tem­ sion, arguing that unilateral concessions I suggest the absence of a quorum. pore. Under the previous order, the Sen­ to CUba would be regarded as a sign of The ACTING PRESIDENT pro tem­ ator from Delaware is recognized for not weakness and would throw away valu­ pore. The clerk will call the roll. to exceed 15 minutes. able bargaining leverage. I will work for The second assistant legislative clerk reversal of the Foreign Relations Com­ proceeded to call the roll. mittee concession on the floor. Mr. ROBERT c. BYRD. Mr. President, U.S. POLICY TOWARD CUBA The Department of State completely I ask unanimous consent that the order Mr. ROTH. Mr. President, I am deeply copped out, saying that it neither sup­ for the quorum call be rescinded. concerned about recent developments in Ported nor oppcsed the proposed partial The ACTING PRESIDENT pro tem­ our policies toward Cuba. The adminis­ lifting of the economic boycott. pore. Without objection, it is so ordered. tration and the Senate Foreign Relations It is high time for the administration RECESS StJBJECT TO THE CALL OF THE CHAIR Committee are making unilateral con­ to put an end to this confusion and make Mr. ROBERT C. BYRD. Mr. President, cessions to CUba at the same time CUba a tough, clear statement of U.S. policy I ask unanimous consent that the Senate has become a greater threat to Ameri­ toward Cuba. In my judgment, that stand in recess awaiting the call of the can interests than ever before. It is time statement should make it very clear that Chair. for the President to talk tough with Cuba. the United States opposes CUba's activ­ In the early 1960's, the United States ities in Africa, that it abhores Cuba's in­ There being no objection, at 4:14 p.m., broke off diplomatic relations with the ternal regime and supports human rights the Senate took a recess, subject to the Castro regime and applied a trade em­ in CUba, and that it stands firmly behind call of the Chair. bargo on that country, in conjunction those American citizens whose assets The Senate reassembled at 5: 50 p.m. with our Latin American allies. This were nationalized without compensation when called to order by the Presiding policy expressed our disapproval of a by the Castro regime. Officer (Mr. ALLEN). regime that was not only brutal and in­ It should also be made clear that the Mr. ROBERT C. BYRD. Mr. President, humane at home, but was also a major United States has no great benefits to on behalf of myself, Mr. CRANSTON, Mr. threat to world peace and its Latin Amer­ gain from economic or diplomatic ties ALLEN, and Mr. HELMS, I am authorized ican neighbors. Cuba's willingness to with CUba, and that we do not intend to by the distinguished chairman of the serve as a Soviet missile base in 1962 re­ make any concessions to Cuba except in Committee on Rules and Administration, sulted in the only face-to-face nuclear exchange for some very concrete and Mr. CANNON, to modify Senate Resolution confrontation between the United States substantial Cuban concessions on mat­ 5 as follows, and I send the modification and the Soviet Union. ters of importance to us. This is what I to the desk and I ask unanimous consent Cuba's regime has not changed. The would call a hard-headed approach. that Senate Resolution 5, as modified, be same man who summarily executed Cu­ At the present time, the lack of U.S. printed in the RECORD. bans and Americans upon taking control international leadership has cast doubts The PRESIDING OFFICER. Without is still the head of that government. about this country's commitment to free­ objection, it is so ordered. Cuba still has thousands of political pris­ dom. As King Hassan of Morcocco said The resolution will be modified as re­ oners. Hundreds of individuals with of U.S. African policy in a recent inter­ quested by. the distinguished majority claims to American citizenship have not view with Newsweek magazine: leader. been allowed to leave. And while CUban ... There ts no policy, but a series of dis­ Mr. ROBERT C. BYRD. I thank the efforts to export revolution have been cordant voices from high officials. You Chair. • largely frustrated in Latin America, their Americans conquered space but you are mercenaries and advisers have become abandoning your place on earth...• You no The modification is as follows: longer seem able to distinguish between In lieu of the language proposed to be in· the cutting edge of Soviet imperialism friend and foe .... We are not telling America serted by the committee amendment, insert throughout Africa. The Cubans have not to intervene, but to back your friends work­ the following: only established one Marxist govern­ ing in the interests of the Western world with "That (a) line 6 of the :first paragraph of ment in Angola, but they are found di­ assistance, economic and milltary, and paragraph 2 of rule XXII of the Standing rectly or indirectly assisting Marxist gov­ diplomatic clout. Rules of the Senat.e ls amended by striking ernments and rebels throughout the con­ out "or the unfinished business." and in the tinent. On his recent trip through Our present policies toward a country line above inserting "or" before the words Africa, Premier Castro said nothing to that has been most active in exporting "other matter pending before the Senate.'' suggest Cuba would reverse its African Communist revolution appear to border and lines 6 and 7 of the second paragraph of policies. on appeasement. No wonder the world paragraph 2 ls amended by striklng out ", or In contrast to the policies pursued by doubts us. the unfinished business,". President Kennedy and his successors Mr. President, I yield back the re­ "(b) After the second paragra.ph of para­ mainder of my time. graph 2 of rule XXII of the Standing Rules through President Ford, the new admin­ of the Senate add a new paragraph as fol· istration has been openly encouraging lows: "After fifty hours (or period reduced discussion of economic and diplomatic on motion) of consideration of such meas­ ties with Cuba. Discussions recently took ORDER OF BUSINESS ure, motion, or other matter, subsequent to place on fishing zones and "a wide range" invoking cloture, the Presiding Officer shall Mr. ROBERT C. BYRD. Mr. President, direct the clerk to call the roll to ascertain of other issues. There have reportedly are there any further orders for the the presence of a. quorum. Thereafter, a Sen­ been discussions within the administra­ recognition of Senators? ator who has not used or yielded 80 mtnu~s tion on the establishment of "interests The ACTING PRESIDENT pro tem­ is entitled to use only such additional tlIJ?.e sections" in Washington and Havana to pore. There are none. as will bring his aggregate time on the proP,­ handle direct transactions. Similar in­ ositton. up to 30 minutes. Any amendmel).t terests sections were used by the United qua.lifted under this rule may be called ~ States and Egypt when the two coun­ before final action is taken on the measure, tries did not have formal diplomatic rela­ AMENDMENT OF THE STANDING motion, or matter. After the elapse of 24 RULES OF THE SENATE hours of consideration, the rematntng tin1e tions and for all intents and purposes may be reduced to a minimum of te-n hours constituted embassies by another name. Mr. ROBERT C. BYRD. Mr. President, by a nondeba.table motion agreed to by a Yesterday, the Senate Foreign Rela­ I ask that the Senate resume consider­ two-thirds vote of the Members duly chosen tions Committee approved a proposal to ation of the motion to proceed to the and sworn; however, only one motion to re­ partially restore trade relations. Accord­ consideration of the resolution the New York Times story, Sena­ Res. period) of consideration, Senators may yield tor McGOVERN argued that allowing The ACTING PRESIDENT pro tem­ all or part of their thirty minutes to an­ Cuba to export food to the United pore. The clerk will state the pending other Senator, provided, however, that in no States-which was not adopted-would question. event may a Sena.tor be yielded more than have been a hardheaded business prop- The legislative clerk read as follows: an aggregate of thirty minutes. 14530 CONGRESSIONAL RECORD-SENATE May 12, 1977 (c) The last paragraph of paragraph 2 of EXECUTIVE SESSION dent be notified of the confirmation of rule XXII of the Standing Rules of the the nominations. Senate ls amended by striking out the first Mr. ROBERT C. BYRD. Mr. President, The PRESIDING OFFICER. Without sentence and inserting 1n lieu thereof the there is one nomination on the Executive following: "After cloture has been Invoked Calendar that has been cleared for ac­ objection, it is so ordered. each Senator shall be entitled to speak for tion on both sides of the aisle. one-half hour on the measure, motion, or other matter pending before the Senate, the I ask unanimous consent that the Sen­ LEGISLATIVE SESSION amendments thereto, and motions affecting ate go into executive session to consider the nomination of Manuel D. Plotkin, Mr. ROBERT C. BYRD. Mr. President, the same, and it shall be the duty of the I ask unanimous consent that the Senate Presiding Officer to keep the time of each of Illinois, to be Director of the Census. Senator who speaks.". There being no objection, the Senate return to the consideration of legislative ( d) After the last paragraph of paragraph proceeded to the consideration of execu­ business. 2 of rule XXII of the Standing Rules of the tive business. The PRESIDING OFFICER. Without Senate, insert the following new paragraph: The PRESIDING OFFICER. The nom­ objection, it is so ordered. "No such cloture motion may be presented ination will be stated. with ·respect to any measure, motion (except a motion to proceed to the consideration of ROUTINE MORNING BUSINESS any measure or other matter), or other mat­ DEPARTMENT OF COMMERCE Mr. ROBERT C. BYRD. Mr. President, ter pending before the Senate unless 24 hours I ask unanimous consent that there now have elapsed since the Senate began con­ The legislative clerk read the nom­ be a period for the transaction of routine sideration of such measure, motion, or other ination of Manuel D. Plotkin, of Dlinois, matter. morning business with statements there­ to be Director of the Census. in limited to 5 minutes each. SEc. 2. Paragraph 1 of rule m of the Stand­ The PRF.SIDING OFFICER. Without ing Rules of the Senate is amended by strik­ The PRESIDING OFFICER. Without objection, the nomination is considered objection, it is so ordered. ing out all after the words "unless by unani­ and confirmed. mous consent" and inserting in lleu thereof There wm be a period for the transac­ the following: "or on-motion decided without Mr. ROBERT C. BYRD. Mr. President, tion of routine morning business with debate. Motions to correct the Journal shall I hold in my hand two rePorts of nom­ statements by Senators limited to 5 min­ be privileged, sh.all be confined to an accu­ inations that have been reported today, utes each. rate description of the proceedings of the one being the nomination of David V. Is there morning business? preceding day, and debate thereon shall be Vrooman, of South Dakota, to be U.S. Mr. THURMOND addressed the Chair. limited to twenty minutes to be equally di• attomev for the District of South Da­ The PRESIDING OFFICER. The Sen- vided and controlled between the mover kota. This nomination has been rePorted thereof and the Majority Leader or his ator from South carolina is recognized. designee.". by the Committee on the Judiciary. Mr. ABotTREZK has asked that the nomination SEc. 8. Rule XV of the Standing Rules of be taken up t.oday. It is cleared on both S. 1503-REIMBURSEMENT FOR the Senate 1s amended by adding at the end thereof the following new paragraph: sides of the aisle. BUSINESSES AFFECTED BY BAN I "3. The demand for the reading of an ask unanimous consent that the Sen­ ON TRIS amendment when presented to the Senate ate proceed to the consideration of the Mr. THURMOND. Mr. President, I rise for consideration, including House amend­ nomination. today to introduce legislation which ments, may be waived on motion decided The PRESIDING OFFICER. The nom­ would provide direct financial reimburse­ without debate when the proposed amend­ ination will be stated. ment for those businesses adversely af­ ment has been identffi.ed by the clerk and is available to all Members at their desks in fected by the Consumer Product Safety Commission's recent ban on the fire-re­ printed form.". DEPARTMENT OP JUSTICE SEC. 4. Paragraph 1 of rule XXVII of the tardant chemical known as TRIS. Standing Rules of the Senate is amended by The assistant legislative clerk read the Mr. President, by way of back.ground, adding at the end thereof the following: nomination of David V. Vrooman, of under the authority of the Flammable "The demand for the reading of a conference South Dakota, to be US. Attorney for the Fabrics Act, the Department of Com­ report when presented may be waived on District of South Dakota. merce issued regulations in 1971 and motion decided without debate when the re­ The PRESIDING OFFICER. Without again in 1974 imposing stringent stand­ port is available to all Members at their desks objection, the nomination is considered ards for flammability of children's sleep­ in printed form.". and confirmed. wear. Notwithstanding the expressed Mr. STEVENS. Mr. President, the Mr. ROBERT c. BYRD. Mr. President, reservations of industry representatives modified version of Senate Resolution 5 the second nomination which has been regarding potential health hazards, the will be submitted to the Republican con­ rePorted t.oday is that of Leslie Jay Gold­ sudden imposition of those standards ference tomorrow. It is our hope that we man, of Illinois, to be an Assistant Ad- necessitated the rapid development and will be authorized to add our namesas 1nistrator of the Federal Energy Ad­ use of flame-retardant chemicals. TRIS cosponsors, and i am "sure at the appro­ ministration. became the most widely used such flame­ priate time, if that" is possible, the major­ The chairman of the committee retardant. However, a new test for muta­ ity leader will consent. Georgia the Hill Building, Anchor­ ness Act to authorize the making of eco­ age, Alaska (with an .accompanying report): nomic injury disaster loans in certain ex­ At 4:05 p.m., a message from the House to the Committee on Environment and traordinary circumstances without a disaster of Representatives delivered by . Mr. Public Works. declaration, and for other purposes (Rept. Berry, one of its clerks, announced that EC-1324. A letter from the Acting Nation­ No.95-138). . the House agrees to the amend.'tlent of al Director of the Federal Mediation and By Mr. ROBERT c. BYRD, from the Com­ the Senate to the bill setting S. 469. A bill to establish a commission to of proposed legislation to amend section 6015 forth the congressional budget for the study proposals for establishing the National of title 10, United States Code, to permit the U.S. Government for the fiscal year 1978 Academy of Peace and Conflict Resolution Secretary of the Navy to prescribe the kind Governmental Affairs: on Energy and Natural Resources. POLITICAL CoNTRmUTIONS STATEMENT EC-1321. A letter from the Assistant With amendments: 8. 904. A bill to provide for the efficient Contributions are to be reported for th& Secretary of the Interior transmitting, pur­ period beginning on the first day of the suant to law, a proposed contract with and regular distribution of current informa­ Longyear Company, Minneapolis, Minne­ tion on Federal domestic assistance pro­ fourth calendar year preceding the calendar sota, for a research project entitled "Re­ grams (Rept. No. 95-135). year of the nomination and ending on the tractable Bit System" (with accompanying By Mr. EASTLAND, from the Committee date of the nomination. · papers) ; to the Committee on Energy and on the Judiciary: Nominee: Lester Elliot Edmond. Natural Resources. Without amendment: Post: Executive Director to Asian Develop .. EC-1322. A letter from the Assistant S. 837. A bill granting the consent of Con­ ment Bank. Secretary of the Interior transmitting, pur­ gress to the Mississippi-Louisiana Bridge Nominated: May S, 1977. , suant to law, a proposed contract with Construction Compact (Rept. No. 95-136). Contributions, amount, date and done~: Fluor Utah, Incorporated, San Mateo, Cali­ S.J. Res. 24. A joint resolution to author­ 1. Self: Lester E. Edmond, none. fornia, for a research project entitled "Op­ ize and request the President to issue an­ 2. Spouse: Shom A. Edmond, _none. timal Dragline Operating Techniques" (with nually a proclamation designating the first 3. Children and Spouses: accompanying papers); to the Committee Sunday of September after Labor Day of Lester E. Jr. (Edmond), none, on Energy and Natural Resources. each year as "National Grandpa.rents Day" Ellen Randi Edmond, none. (Rept. No. 95-137). John Andrew Edmond, none. EC-1323. A letter from the Deputy Ad­ 4. Parents: David Edmond, none; Ella ministrator of the General Services Admin­ By Mr. NELSON, from the Select Commit­ istration transmitting, pursuant to law, a tee on Small Business: Edmond, none. prospectus proposing extension of General With an amendment: · 6. Grandparents: Deceased. Services Administration's lease agreement s. 1305. A bill to amend the Small Busl- 6. Brothers and Spouses: No brothers. May 12, 1977 CONGRESSIONAL RECORD- SENATE 14533

7. Sisters and Spouses: No sisters. newable resources like solar and maintaining SCHEDULE FOR LIABU.ITIES I have listed above the names of ea.ch mem­ adequate and efficient electrical capacity are Real estate mortgages payable: ber of my immediate family including their all ma.Jor priorities of the National Energy Mortgage on home-Dominion National spouses. I have asked e~ch of these persons Plan. Bank, Falls Church, Virginia, $26,000. to inform me of the pertinent contribu­ They are also major responsibilities of the Mortgage on Rental Property-Metropolis tions made by them. To the best of my Assistant Administrator for Energy Resource Federal Savings, Washington, D.C., $27,000. knowledge, the information contained in Development. . Total, $53,000. this report is complete and accurate. I believe the coal conversion program can 1. List sources, a.mounts and dates of all By Mr. EASTLAND, from the Committee be made to work; that solar energy can soon anticipated receipts from deferred income ar­ on the .Judiciary: find its way into the "Yellow Pages" and the rangements, stock options, uncompleted con­ Anthony 0. Dirienzo, .Jr., of Connecticut, "Sears•• catalogue; that oil and gas produc­ tracts and other future benefits which you to be U.S. marshal for the district of Con­ tion incentives can be increased Without expect to derive from previous business re­ necticut. hurting the economy; and that the reliabil­ lationships, professional services and fl.rm (The above nomination was reported ity and safety of electrical power generation memberships or from former employers, can be improved. clients, and customers- with the recommendation that it be con­ In short, I think the President's goals are The Kite Site, 1075 Wisconsin Ave., Wa-Sh· firmed, subject to the nominees' com­ attainable, and am hopeful that the Ad· ington, D.C. mitment to respond to requests to appear ministration and the Congress can work to­ Partner, one-half owner (Retail sales of and testify before any duly constituted gether to finally implement a comprehensive kites from around the world). committee of the Senate.> program that wlll get the Job done. Initial investment: $6,000. Opened in June, If the Committee and Senate should so By Mr. JACKSON, from the Committee on 1976. First 6 months share of profits: $600. choose, I would be honored to have the op­ Energy and Natura.I Resources: Goldman-Humphries, 718 Fourth Street, portunity to play a role in that historic S.E., Washington, D.C. 20003. Leslie Jay Goldman, or Illinois, to be an process. Asistant Administrator of the Federal En­ Partnership (own ·one-half interest in ren­ ergy Administration. tal house at 720 Fourth Street, S.E.) . [U.S. Senate, Committee on Interior a.nd Initial investment: $37,500. Purchased, (The above nomination was reported Insular Affairs, Washington, D.C.] August, 1976. with the recommendation that it be con­ INFORMATION REQUESTED OF PRESIDENTIAL 2. Are any assets pledged? None. firmed, subject to the nominee's com­ NOMINEES 3. Are you currently a party to any legal mitment to respond to requests to appear action? None. Rule 9 of the Rwes of the U.S. Senate 4. Have you ever declared be,nk:ruptcy? and testify before any duly constituted Committee on Interior and Insular A1falrs None. committee of the Senate.> requires that each Presidential nominee con­ Mr. JACKSON. Mr. President, the sidered by the Committee shall submit a fi­ STATEMENT FOR COMPLETION BY PRESIDENTIAL Committee on Energy and Natural Re­ nancial statement sworn to by the nominee NOM7NEES sources has reported favorably the nomi­ as to its completeness and accuracy. Under Name: Leslie J. Goldman. the rule a.11 such statements must be made Position to wh.lch nominated: Assistant nation of Leslie J. Goldman to be As­ public by the Committee unless the Commit­ Administrator, FEA. sistant Administrator of the Federal En­ tee in executive session determines that spe­ Date of nomination: April 7, 1977. ergy Administration. cial circumstances necessitate a full or par­ Date of birth: April 22, 1945. Mr. Goldman appeared before the tial exception to this requirement. Rule 9 Place of birth: Chicago, Illlnols. committee at a hearing last Wednesday. also provides that at a.ny hearing to confirm Marital status: Married. I ask unanimous consent that his state­ a Presidential nomination, the testimony of Full name of spouse: Sue Ann. ment to the committee be printed in the the nominee and, at the request of any mem­ Name and ages of children: None. ber, any other witness shall be under oath. Education; RECORD at this point. Institution-University of Michigan, Ann In accordance wjth the committee's In order to assist the Committee in its consideration of nominations, each nominee Arbor, Michigan. rules, Mr. Goldman submitted a sworn is requested to complete the attached Finan­ Dates attended-1963-1970. financial statement to the committee. I cial Statement and Statement For Comple­ Degrees received and dates of degrees­ ask unanimous consent that this state­ tion By Presidential Nominees. Honors, B/A English, 1967; Juris Doctor, ment also be printed in the RECORD. The orlglna.l and twenty (20) copies of the 1970. There being no objection, the mate­ requested information should be made avail­ Honors and awards: List below all scholar­ rial was ordered to be printed in the able to Honorable Henry M. Jackson, Chair­ ships, fellowships, honorary degrees, military medals, honorary society, memberships, and RECORD, as fallows: man, Committee on Interior and Insular A1fairs, U.S. Senate, Washington, D.C. 20510 any other special recognition for outstand­ STATEMENT BY LESLIE J. GOLDMAN, NOMINEE (Attn: Staff Director) as soon as possible. ing service or achievement-- TO BE AssISTANT ADMINISTRATOR FOR ENERGY Graduated from University of Michigan RESOURCE DEvELOPMENT, FEDERAL ENERGY FmANCL\L STATEMENT OF LESLIE J. GOLDMAN with B.A. in Honors English (l of 17 in An.MINISTRATION Provide a complete. current financial net school); Angell Scholarship Recipient, Uni­ Mr. Chairman and Members of the Com­ worth statement which itemizes in detail all versity of Michigan, 1965, 66, 67, 68. Fisher mittee, I am deeply honored to return to assets (including bank accounts, real estate, Body Craftsmen Guild, National Styling this Scholarship Award, Summer 1964, $1,000. the Senate morning and appear before securities, trusts, investments, and other fi­ this Committee as the nominee for Assistant nancial holdings) and all li'ab111ties (includ­ Memberships: List below all memberships Administrator for Energy Resource Develop- , ing debts, mortgages, loans, and other finan­ and offices held in professional, fraternal, ment of the Federal Energy Admln1stration. cial obll~ations) of yourself, your spouse, and business, scholarly, civic, charitable and other After working here for seven years, and other immediate members of your household. organizations- being away for only a few months, it feels Orga.nlzation: Illinois Bar. good to be back. ASSETS Office held (if any): Member. This is a particularly exciting homecoming Cash on hand and in banks, $9,300. Dates: 1970 to present. for me, because it ls a particularly exciting Accounts and notes receivable: due from Employment record: List below all posi­ time in the evolution of the nation's na­ relatives and friends, $2,000. tions held since college, including the title tional energy policy. We face a serious and Rea.I estate interests, including mortga.ges- and description of job, name of employer, lo­ worsening energy problem, with the time add uchedule, $130,000. cation, and dates-- for decisive action already overdue. If work­ Personal property, $14,500. February 16, 1977 to present, Dr. James ing in the legislative branch on energy prob­ Life insurance-cash value, $500. Schlesinger, OEOB, Energy Advisor. lems over the last several years has taught Other assets-it-emize: one-half interest in April 28, 1970 to February 16, 1977, Sen. me anything, it is the importance of coop­ store (KiteSite), $20,000. Adlai E. Stevenson, U.S. Senate, Specla.l eration between the Executive and the Con­ Total assets, $176,300. Counsel. gress in the process that leads to enactment LIABU.ITIES May 25, 1970 to November 7, 1970, Ross, of meaningful energy legislation. Rea.I estate mortgages payable-add sched· Hardies, O'Keefe, Lawyer, Babcock & Par­ I look forward to the challenge of con­ ule, $53,000. sons, 121 Michigan Avenue, Chicago, Dlinois. tributing to that process in an area that, to Total llabllitles, $53,000. November 1969 to May 1970, The Research date, has not received the attention lt de­ Net worth. $123,300. Group, Lawyer, Ann Arbor, Michigan. serves-the area of energy resource develop­ ment. SCHEDULE FOR ASSETS May 1968 to September 1968, Arnstein, If conservation ls the cornerstone of the Real estate: Gluck, Summer Intern, Weisenfeld and Min· President's National Energy Plan, I believe Home, 718 Fourth Street, SE., D.C., $85,000. ow, 120 South LaSalle, Chicago, Illinois. resource development is its foundation. One-half interest rental property, 720 Summers, 1964 to 1968, Avis -Rent-A-Car, Maintaining oll and gas production, substan­ Fourth Street, SE., D.C., $45,000. O'Hare International Airport, Chicago, Illi­ tially increasing use of coal, d.eveloping re- Total, fl30,000. nois, Assistant to Airport Manager. 14534 CONGRESSIONAL RECORD-SENATE May 12, 1977 Government experl.ence: List any experi­ Gas Production and Distribution of the Sen­ fa.bric, yarn or fiber and for other purposes; ence in or direct association with Federal, ate Commerce Committee, from its inception to the Committee on the Judiciary. State, or local government.s, including any in 1973 until earlier this year, I participated advisory, consultative, honorary or other in developing, drafting, and staffing mem­ part-time service or positions- bers of the Subcommittee during Senate floor STATEMENTS ON INTRODUCED Special Counsel to U.S. Senator Adlai E. action associated with major legislation in­ BILLS AND JOINT RESOLUTIONS Stevenson, 1970 to 1977. volving oil, natural gas, nuclear power and Duties: I. Director of State Projects. De­ conservation programs. In addition, I have By Mr. METCALF: veloped the grant serving and state in.for­ also followed and participated in the devel­ S. 1500. A bill to designate certain mation systems that helped the State of opment of energy legislation involving coal lands in the State of Alaska as units of IDinois improve it.s per capita rank for all as well as research and development of new, the National Park, National Wildlife federal expenditures from 48 in 1970 when alternative energy technologies. Most re­ Refuge, National Wild and Scenic Riv­ Senator Stevenson was elected to 39 in 1976- cently, I helped draft the Emergency Natu­ the fastest rate of increase of any state in ral Gas Act passed and successfully imple­ ers, and National Wilderness Preserva­ the Union. mented earlier this year. tion Systems, and for other purposes; II. Counsel to the 011 & Natural Gas Pro­ In the course of my activities on the 011 to the Committee on Energy and Natu­ duction & Distribution Subcommittee of the and Natural Gas Subcommittee, I worked ral Resources. Senate Commerce Committee, Sen. Adlai E. closely with the staff, and often Members, Mr. METCALF. Mr. President, it is Stevenson, Subcommittee Chairman. of the Senate Interior Committee, now the with particular pleasure that I send to Qualifications: State fully your quallfica­ Committee on Energy and Natural Resources, the desk for introduction the Alaska tions to serve in the position to which you and the House Committee on Interstate and National Interest Lands Conservation have been named-(attach sheet). Foreign Commerce, Subcommittee on Energy Future employment relationships: and Power. Act. I am especially pleased because this 1. Indicate whether you wm sever all con­ Based on my substantive experience and proposal to more than double our Na­ nections with your present employer, busi­ the working relationships developed over tional Park and Wildlife Refuge Systems ness firm, association or organization if you the years with many of the Members and is one of our Nation's most challenging are confirmed by the Senate-No. Hopefully staff who will be playing a major role in the opportunities. When completed, it will wm continue to work with Dr. Schlesinger. development and review of future energy leg­ go down in history as one of our Na­ 2. As far as can be foreseen, state whether islation, I believe I am uniquely qua.lifted tion's greatest conservation achieve­ you have any plans after completing govern­ to execute the resoonsibl11ties of Assistant ment. Moreover, this is a one-time op­ ment service to resume employment, affilia­ Administrator for Energy Resource Develop­ tion or practice with your current or any ment. portunity. It will not wait for us while previous employer, business firm, association I believe the invisible yet worsening energy we dally. It is our Nation's last chance or organization-No. crisis is one of the most serious threats fac­ to take bold and imaginative action to 3. Has anybody made you a commitment ing the Nation today. The time is growing protect our most spectacular scenic to a job after you leave government?-No. late for comprehensive action-action which wildlife and wilderness resources. I dare­ 4. Do you expect to serve the full term for Includes positive programs for developing the say that the Members of this body will which you have been appointed?-Yes. Nation's conventional and unconventional not cast a more important conservation Potential conflict.s of interest: energy resources. I think I can make a con­ vote than the one on this bill. 1. Describe any financial arrangements or tribution toward getting that Job done as deferred compensation agreements or other Assistant Administrator for Energy Resource COMPANION TO H.B. 39 continuing dealings with business associates, Develooment at the Federal Energy Admin­ This bill is the Senate companion to clients or customers who wlll be affected by istration. H.R. 39, introduced in the other body policies which you w111 infiuence in the posi­ By Mr. ABOUREZK, from the Committee tion to which you have been nomlnated­ by my good friend and colleague, MORRIS None. on the Judiciary: UDALL, the chairman of the House In­ David V. Vroom, of South Dakota, to be 2. List any investments, obligations, liabil­ U.S. attorney for the district of South Da­ terior and Insular Affairs Committee. I ities, or other relationships which might in­ kota. commend Congressman UDALL and his volve potential conflicts of interest with the coleader JOHN SEIBERLING, the chair­ position to which you have been nomi­ (The above nomination was reported man of the Subcommittee on General nated-None. with the recommendation that it be con­ Oversight and Alaska Lands, for their 3. Describe any business relationship, dealing or financial transaction ( other than firmed, subject to the nominee's commit­ inspired leadership. H.R. 39 now has taxpaying) which you have had during the ment to resoond to requests to appear more than 80 House sponsors and is last 10 years with the Federal Government, and testify before any duly constituted presently the subject of continuing whether for yourself or relatives, on behalf of committee of the Senate.> hearings. Their leadership is most en­ a client, or acting as an agent, that might couraging, for to capture the potential in any way constitute or result in a possible of this opportunity will require a mon­ conflict of interest with the position to which you have been nominated-None. INTR0DTTCTION OF BILLS AND umental effort. 4. List and describe any lobbying activity JOINTRESO~UTIONS It is essential, however, to have an during the past 10 years in which you have early start in both Houses of Congress. engaged for the purpose of directly or lndl­ The following bills and joint resolu­ as well as strong leadership from the rectlv influencing the passage, defeat or mod­ tions were introduced, read the first time administration. I have talked to the ification of any legislation at the national and, by unanimous consent, the second chairman of the Energy and Natural Re­ level of government or for the purpose of time, and referred as indicated: sources Committee, and he has pledged affecting the administration and execution By Mr. METCALF: that our committee will move ahead of national law or publlc policy-As Senator s. 1500. A bill to designate certain lands in Adlai Stevenson's Soeclal Counsel, I have the State of Alaska as unit.s of the National quickly with hearings this year, and a participated and worked oli both the passage Park, National Wildlife Refuge, National Wild field trip this summer to Alaska. and administration of every major piece of and Scenic Rivers, and National Wilderness NATIONAL PARK AND WILDLIFE REFUGE SYSTEMS energy legislation, from the persoectlve of Preservation Systems, and for other purposes; It was our Nation in 1872 that pio­ a legislative staffer, over the last five years. to the Committee on Energy and Natural 6. Explain how you will resolve any poten­ Resources. neered the national park concept with tial conflict of interest that mav be disclosed By Mr.GARN: the establishment of Yellowstone Na­ by your responses to the above items-Not S. 1601. A bill to amend the Truth in tional Park. This idea of national parks, Applicable. Lending Act; to the Committee on Banking, conceived around a campfire by a group LESLIE J. GOLDMAN'S QUALIFICATIONS TO SERVE Housing and Urban Affairs. of distinguished citizens who were awed AS ASSISTANT ADMINISTRATOR FOR ENERGY RE­ By Mr. STEVENS: by what they had seen in the Yellow­ SOURCE DEVELOPMENT S. 1502. A bill to amend title 18, United stone area, has developed into a National I believe I am qualified to serve as Assist­ States Code, to make a crime the willful Park System of over 300 units, and spread ant Administrator of the Federal Energy Ad­ destruction of any interstate pipeline system; to many foreign nations. . ministration for Resource Development by to the Committee on the Judiciary. virtue of my intimate involvement in the By Mr. THURMOND (for himself, Mr. It was also our Nation in 1903 which development and oversight of resource-re­ HOLLINGS, Mr. EASTLAND, Mr. HELMS, initiated the National Wildlife Refuge lated legislation and programs in the United and Mr. TALMADGE) : System, when President Theodore Roose­ States Congress over the last four years. .s. 1503. A bill to provide for the payment velt established by Executive order the As counsel to Senator Adlai E. Stevenson's o'f losses incurred as a result of the ban on first Federal wildlife. sanctuary, Pelican Special Subcommittee on Oil and Natural the use of the chemical Tris in apparel, Island. From such a modest beginning, May 12, 1977 CONGRESSIONAL RECORD- SENATE 14535 the National Wildlife Refuge System has at tremendous cost, nor with the neces­ reformed generally outside parks and developed into mankind's most signifi­ sity of establishing the Big Cypress refuges and rivers on the public domain cant wildlife habitat management pro­ Swamp National Preserve to safeguard forests. gram. It is only appropriate that our Na­ Everglades National Park's water supply. WILDERNESS tion once again should take the initiative Furthermore, this bill is consistent with The land reserves which we are pro­ to achieve the imaginative potential that the decision of Congress in the last ses­ posing in this measure are intended to lies before us in Alaska. sion to stop dual administration of a sin­ be wilderness parks, wilderness refuges, WHOLE ECOSYSTEM-NATIONAL PARKS AND gle area by more than one Federal and wilderness rivers. These areas are WILDLIFE REFUGES agency. We seek to have cooperation, not far too sensitive ecologically to withstand Alaska presents us with the opportu­ competition, between agencies. much development. We can be assured nity to more than do again what it has THE DIVISION OF ALASKA that the values we know in these fragile taken us over 100 years to do in other Once all of Alaska was federally areas today will be protected for future States: Triple the size of the National owned, but we are presently divesting generations by designating· them as Park System and more than double much of this land. When Congress cre­ wilderness. Yes. we do want to have visi­ the area of the National Wildlife Refuge ated the State of Alaska in 1958, the act tor facilities, and yes, the management System. Increasingly, the National Parks provided the State with the right to carve agencies wm need administrative sit.es. and Wildlife Refuge issues coming before out 104 million acres to establish a land I hereby request that the Administration, us possess severe management problems. base. But then Alaska Natives said that with all the expertise of the National I recall the effective leadership of our they owned Alaska by aboriginal right, Park Service, and Fish and Wildlife late distinguished colleague, the honor­ and that when the United States pur­ Service, and the Bureau of Outdoor Rec­ able Paul Douglas, who fought so coura­ chased Alaska from Russia, our country reation come forward and tell us at geously for the establishment of the In­ acquired sovereignty, but not land own­ hearings what areas ought to be left out diana Dunes National Lakeshore. After ership. of the wilderness designation for visitor years of diligent labor, a park was es­ Later, oil was discovered on State­ facilities and administrative sites. tablished, which, due to its small size, selected lands on the North Slope, and There can be no question as to whether proved to be unmanageable. So again the conflict over Alaska lands became these lands in Alaska are suitable for after several years of labor, and endless intense. A freeze was put on all land wilderness. They are as unaltered and hearings and markups, Congress added disposal by the Secretary of the Interior, wild as any you will find in our Nation. land to this park last year. And now I pending resolution of Native claims. What we must avoid is the kind of over­ understand that even this may be inade­ Then another voice began to be heard development exemplified by Yosemite quate. clearly: that of the national interest to Valley. The saddest thing is that back in the protect the nationally signiftcant, scenic, SOUTHEAST ALASKA 1920's, Congress had the opportunity to wildlife, and wilderness values of Alas­ America's largest National Forest is create an unequaled national park in this ka's Federal land for all the sharehold­ the Tongass of Southeast Alaska. Its area, as proposed and championed by the ers-the American people. wilderness resources command our rec­ first director of the National Park Serv­ Thus, when Congress settled the ognition as superlatives lost loJII ago in ice, Stephen Mather. Native claims with the passage of the other national forests. The 800-,ear-old There is a unique opportunity, avail­ Alaska Native Claims Settlement Act, virgin forest ecosystem, undisturbed able only in Alaska, to protect coherent provision was made for the Congress to coastal beaches and cliffs, ri:h estuaries, ecological units. Ecosystems are open­ set aside lands in the national interest millions of waterfowl, and abundant bald ended units, seldom amenable to total as national parks, wildlife refuges, for­ eagle, pine marten, timber wolf, brown protection. But to a remarkable degree, ests, and wild and scenic rivers by De­ bear, trumpeter swan, and humpback it is possible to encompass entire water­ cember of 1978. We directed the Secre­ whale are attributes of the Tongass not sheds of large rivers, entire home ranges tary of Interior to make recommenda­ found in lower 48 national forests. If the of many animal species, and entire phys­ tions to the Congress for additions to Congress does not act soon to review the iographic units such as the foothill zones these four systems. The Secretary sub­ wilderness potential of this unique forest, of the Lake Clark and Gates of the Arctic mitted his recommendations by the it wm be too late. The Forest Service proposals. deadline of December 1973, providing us has already committed most of the com­ The object is to enclose tracts inter­ a basic, yet minimum, plan. mercial timber to clearcut logging in 50- nally related in character-such as PROHmIT NEW llrlINING CLAIMS year timber sales contracts. The Forest watersheds-and extensive enough to Last Congress, we were distressed to Service's recent Tongass land use plan provide sufficient area and sufficient learn that in several units of the National appears to have as its primary goal the habitat diversity to assure the long-term Park System strip mining was occurring. commitment of millions of acres of de survival of all its components. The pri­ We further learned after investigation facto wilderness to development without mary goal is to establish such units so that even more units were open to loca­ a wilderness review. that most of the organisms within it, as tion under the mining laws. To stop the The plight of the Tongass can be de­ well as their interrelationships, can live unfortunate destruction and devastation pbted by simply remarking that while its on indefinitely, with minimal direct or of such famous areas as Death Valley wilderness resources are in many ways indirect disturbance from the develop­ National Monument and Mt. McKinley the finest in the National Forest System, mental activities of man. wm we use this National Park, we passed the National the Government's record of wilderness opportunity, or fail in our leadership re­ Park Mining Act, which closed all units preservation there has been one of the sponsibility-in which case the next gen­ of the National Park System to location sorriest in the Nation. Unlike other West­ eration may say of us. "If only and significantly restricted mining op­ ern forests, no primitive areas were des­ they would have acted on their vision?" erations on existing claims. ignated within the Tongass. Not 1 acre This is what was more nearly done in We should not allow any mining to has received Wilderness Act protection. · Yellowstone, which most closely ap­ be pursued in the national park, national In order to reverse the indiscriminate proaches the ecosystem ideal. When it preserves, wildlife refuges, or wild and destruction of the Tongass, I am propos­ was established, it was inaccessible and scenic river proposals of this bill. We ing today that the best wilderness poten­ very distant from where most Americans must learn from our mistake of once tial areas of the Tongrass be considered lived. Now, today, this park supports haVing allowed units of the National by the Congress for wilderness and wild­ more than 2 million visitors annually. Park System t,o be open and then having erness study designation. These areas In contrast to the Indiana Dunes Na­ to flght to save the vital natural heritage have been carefully selected for their tional Lakeshore situation, the proposals that most Americans assumed was safe. prime wildllfe, fisheries, and scenic in my bill contain whole watersheds and As chairman of· the Public Lands and values. · ecosystems which wm not possess the Resources subcommittee, which has re­ Citizens of southeast Alaska came b~­ management problems which we have sponsibility for the mining law, I intend fore the Senate last year to apprise us of experienced with the Indiana Dunes. Nor ·to be particularly diligent in prohibiting the desperate need for congressional re­ will these areas have the problems ex­ mining in these areas. Further, I intend view of the situation in the Tongass. They perienced with the Redwood National to suggest to this Congress that we ad­ told the Senate committees of the many Park which we are now having to expand dress the mining laws and that they be proposals for protection of Tongass For- 14536 12, 1977 \.•. •·-·;-;••o• CONGRESSIONAL RECORD- SENATE May est wilderness values that have been con­ By Mr.GARN: closure should be made. Compliance is sistently ignored by the Forest Service for S. 1501. A bill to amend the Truth in subject to the vicissitudes of numerous the past 15 years. Lending Act; to the Committee on Bank­ courts and regulatory agencies interpret­ At that time, wilderness proposals were ing, Housing, and Urban Affairs. ing the law and regulations. not appropriate in the context of the Mr. GARN. Mr. President, today I A contributing factor to this predica­ forestry management practices we had am introducing an expanded and re­ ment is the attempt through the Truth under study. But I pledged then that I fined version of the Truth in Lending in Lending Act to regulate business prac­ would see the wilderness of the Tongass Simplification Act, which Senator tices in a very complex industry. Al­ and the Chugach National Forests be TowER and I introduced in the last ses­ though considerable benefit has been de­ considered subsequently. Today, I am ful­ sion of Congress, to bring the consumer rived from standardization of credit cost filling that pledge; this bill will get the more meaningful credit cost disclosures terms such as the annual percentage wilderness review process underway. and to relieve business of an unreason­ rate, practices from industry to industry Fll'TH SYSTEM able compliance and paperwork burden and State to State differ largely due to Mr. President, there have been sug­ placed upon it by the complexities of different State laws. This makes it next gestions that a "new" system of coopera­ the Truth in Lending Act and Regula­ to impossible to standardize disclosure tive land management is needed for tion Z. forms to make them uniform and mean­ Alaska's national interest lands. This idea The Truth in Lending Act, although ingful to the consumer. is sometimes called "the fifth system." eminently well-intentioned, has spawned Let us tum for a moment to some of In essence, it says that most of the na­ a regulatory nightmare. the specific problem areas. tional int.erest lands should not go into The consumer is not receiving in a THE CLUTl'ERED DISCLOSURE STATEMENT the four national conservation systems, clear and timely fashion disclosures The typical installment sales contract but instead be placed under an appainted which will enable him to intelligently is almost 2 feet in length and contains Federal-State commission empowered to shop for credit. more than 30 different disclosure items. classify the lands for a variety of uses, Small business is stifled with burden­ It includes not only such shopping items several of which are incompatible with some regulations, nuisance lawsuits and as cash price, downpayment, finance the standards we have set for national wasteful paperwork. charge and annual percentage rate but parks, wildlife refuges, and wild and The Federal court system is swamped also a long list of terms which are agreed scenic rivers. with nonproductive small claims litiga­ to and disclosed in the written contract. Opponents contend that a new system tion. These include default charges, a descrip­ is unnecessary because the existing Fed­ The American taxpayer is forced to tion of security interest, a description of eral land management systems are suffi­ shoulder the burden of a vast and costly insurance, notice that the holder takes ciently flexible to accommodate various bureaucracy established to write, inter­ the contract subject to all claims which uses and the National Park Wildlife pret and reinterpret truth in lending may be asserted against the seller, and Refuge, and Wild and Scenic Rivers Sys­ regulations. numerous disclosures required under tems can best protect the fragile fish, THE SOURCE OF THE PROBLEM IS NOT DIFJ'tCULT ·· State laws. Although it can be argued wildlife, ecological, geological, archaeo­ TO FJND that most of these items are important logical, and scenic resources of the na­ Some find the source of the problem to the consumer in one way or another, tional interest lands. The existing sys­ in Congress' initial failure to·· have a they are all disclosed in the contract it­ tems, they maintain, have evolved to a clearly defined purpose in mind when it self and they have little value in credit point where they can deal with different drafted the original act. As one com­ shopping, circumstances requiring innovative ap­ mentator has pointed out, the congres­ What scant evidence there is available proaches. sional emphasis was shifted from dis­ tends to show that the Truth in Lending Hearings on the national interest closure of cost of credit to emphasis on Act is not highly successful in increasing lands will help to sharpen this debate. selectively disclosing some of the under­ the consumer's awareness of credit costs. I personally have long been wary of lying terms of the credit transactions. The National Commission on Consumer schemes which would place effective con­ The original legislative philosophy was Finance reported in December of 1972, trol over Federal lands in the hands of a functional one-that the consumer that although the awareness of the an­ States or special interest groups. The would get disclosures and use them to nual pe;rcentage rate increased signifi­ burden of proof in this regard will be decide on credit -transactions. The re­ cantly in the 15 months following the on proponents of a "fifth system" to vised philosophy calls for a disclosure effective date of the Truth in Lending show that the current systems are in­ of all relative .information. This led to Act, a substantial portion of consumers, adequate to the task. I do not think the the assertion that such items as default particularly consumers in the low­ case can be made. and acceleration charges must be dis­ income high-risk area remain unaware An example of the flexibility of the closed generating much of the confusion of the annual percentage rate they have National Park System, is the creation and litigation. been charged. of the national preserve category. con­ In addition, as the various bllls pro­ Undoubt.edly a contributing factor to gress has established two preserves to gressed along the legislative labyrinth, the lack of awareness of credit costs has date. This bill envisions three more in additional consumer protective devices been that the stringent requirements of Alaska, in those cases where we have such as the right to rescission, were at­ the Truth in Lencling Act have dried up lands of unquestioned national park cal­ tached to the disclosure provisions. This credit advertising. Under our mar}tet sys­ iber, but in which there appears to be shift from credit cost disclosure to credit tem, truthful advertising provides the no need to discontinue spart hunting­ term disclosure made compliance many best shopping aid for consumers. This as would be the case if we made the same times more difficult since disclosure was suggests that a modification of the ad­ lands national parks. Under no circum­ not limited to the basic numbers which vertising provisions of the Truth in Lend­ stances are the preserves to be opened to are the essence of all consumer credit ing Act should be undertaken. In doing new mining or mineral leasing or any transactions, but extended to many of this, the gains made under the Truth in other noncompatible use. the operative contractual terms of the Lending Act's requirements for a stand­ Future disposition and management of transactions. The disclosure of contract ardization of the advertising of the an­ the national int.erest lands in Alaska pro­ terms is difficult because term disclosure nual percentage rate should not be lost. vide an excellent opportunity to adapt lacks the precision of meaning that char­ This is one of the areas that is addressed to that great land the institutions which acterizes numerical categories. This is in our Truth in Lending Simplification we have so painstakingly developed over compounded by the interplay of State Act. the decades to preserve America's wild law which has forced creditors into using The clutter on the disclosure statement heritage. I urge my colleagues to read rather lengthy and complex contracts. In may be another reason why consumers this bill carefully and off er their sug­ this situation, creditors have never been have little awareness of credit costs. One gestions for improvements-and ulti­ able to determine with certainty what study conducted in connection with con­ mately their support. needs to be disclosed and how the dis- sumer behavior in grocery shopping in- May 12, 1977 CONGRESSIONAL RECORD-SENATE 14537 dicates that there are finite limits to the ments. McDonald. v. Savoy, 501 S.W. 2d dredged up from the periphery of a com­ ability of human beings to assimilate and 400 (Tex. Civ. App. 1973>. On the other plex regulatory scheme but typical trans­ process information during any given hand, some courts have attempted to actions engaged in regularly by hundreds of thousands ( or m1Uions) of consumers. It unit of time and that once these limits circumscribe the lengths to which cred­ is unfair to the consumers who may be en­ are surpassed, behavior tends to become itors must. go to adequately describe titled to disclosure and to the creditors who confused and dysfunctional. The re­ security interests by the vague guideline must either incur the additional expense searchers concluded that in consumer that "the lender need not give the con­ of unnecessary disclosure or risk the conse­ product labeling, there are limits to the sumer a short course in commercial quences of an erroneous decision on cover­ consumer's ability to accommodate sub­ transaction." Bu"ell v. City, Inc., CCH age that the board has not attempted to do stantial amounts of the package informa­ Consumer Credit Guide section 98, 764 better. (Landers, The Scope of Coverage of tion within a limited time span. terest will pass muster. the definition of open-end credit is clari­ Applying this behavioral reaction to Courts have differed on the issue of fied to permit the verification of credit credit cost disclosures, it follows that the whether the disclosure of the creditors information. Section 4 makes clear that proliferation of informational disclosure standard acceleration clause is a default notary fees and fees paid by the creditor statements confuses rather than informs charge which should appear on the front which are absorbed as overhead need not the consumer. The obvious solution, or the back of the contract. Since all that be Included in the finance charge. Sec­ which is the approach taken in our bill, is at stake here is whether certain words tion 10 consolidates and simplifies the is to drastically cut this information to must appear on the front or the back of disclosure of the amount financed in highlight essential credit shopping data. the contract form, creditors have little closed-end credit. Some will argue that by deleting cred­ incentive to violate the law. Generally THE PAPERWORK BURDEN it term information, the consumer will Federal Reserve Board staff opinions and The disclosure and notification re­ be denied vital information. However most Judicial decisions have held that quirements of the Truth in Lending Act sincere these arguments are, they are the the acceleration clause is not a "delin­ have put an intolerable paperwork bur­ same ones which brought on the present quency charge." However, a few Judges den upon creditors, particularly small problem. If any progress is to be made have taken a dtfferent view of the com­ retailers. Frequent changes in the law toward simplification, most of the credit plex issue and have imposed penalties and regulations and differing interpreta­ term items will have to be eliminated on creditors for interpreting the law in tions by the courts or the Federal Re­ from the disclosure statement. The con­ the same manner as the Federal Reserve serve Board staff have forced creditors to sumer will still have them disclosed In Board. frequently throw away forms and print the credit contract itself. The confusion that surrounds the new ones at a great cost. Our bill at­ The Truth in Lending Simpllflcation Truth in Lending Act can also be seen In tacks this problem in a number of ways. Act we are introducing today attacks this an attempt to define the scope of its First and most important, it would sim­ problem in section 9 by deleting from coverage. Prof. Jonathan M. Landers, plify the act's disclosure requirements, the disclosure in open-end credit plans visiting scholar of the American Bar thus eliminating the confusion which has charges not related to the finance charge Foundation, described the intricacies of generated the different court and staff and credit costs. Section 10 would ellml­ the coverage provisions as follows: interpretations. Second, it would di­ nate disclosure, default and late pay­ It is dtfflcult to study the tntricate cover­ minish the frequency of notice require­ ments on the disclosure statement. The age provisions of the Truth 1D Lending Act ments. For example, section 9 would 1·e­ requirement that the details of the secu­ without thinking that there must be a better way to dectde questions of coverage. And, quire notice of billing error rights be rity interest be disclosed is modifled by given once rather than twice a year. section 11. Most of these items are dis­ in fact, the act has left so many uncertain­ ties that this alone may have worked a ffSt Finally, section 6 would restrict form closed in the contract signed by the con­ expansion of coverage in the form of com­ changes to once a year and provide a sumer and none are generally used In pliance by persons who are unsure and are shopping for credit. 9-month leadtime. unw111ing to assume the risks of noncom­ THB LAWYERS PARADISE AND JUDGES INFERNO LACK OF CLABITY IN THE I.AW pliance. While one can criticize the fore­ going analysis as overtechnical and nit-pick­ One of the most shocking aspects of The Truth in Lending Act is so per­ ing, criticism should be directed malnly the Truth in Lending Act is the ever­ plexing that the courts and Federal Re­ against the Congress that has made it neces­ growing burden being placed upon the serve disagree on its inte?Pretation. For sary rather than the attomey attempting Federal court system by the multiplicity example, the district court for the north­ to decipher the statute to make it under­ of suits based on nonwillful technical ern district of Georgia held that a "loan standable. violations of the act. We received shock­ fee,, charge by a lender which was spread It might be expected, 1D the light of this ing evidence in March of 1976 before the over the life of the loan should be dis­ uncertainty, that the Federal Reserve Board Senate Consumer Affairs Subcommittee closed as "prepaid finance charge" while would move aggressively to provide clear establishing that litigation based on the ruling guidelines as to coverage. In fact, the board the Federal Reserve Board was has not generally done so but instead has punitive damage provision of the Truth that such a charge should be stated as left the task largely to the stair, which has in Lending Act is seriously encumbering a "finance charge." Grubb v. Oliver En­ responded 1D the form of opinion letters di­ the work of the Federal courts in certain terprises, Inc., 358 F. Supp. 970 (N.D. rected to tndividual fact situations. It is sections of the country. Former Federal Ga 1972) not clear why the board has not acted. Per­ bankruptcy judge, W. Homer Drake, Jr., The courts have split on the issue of haps it reflects a reluctance to add another filed a statement with the subcommittee whether a finance charge which consists level of technicality. A less complimentary warning that the huge volume of truth­ solely of one element-interest or time explanation is to recall the board's often­ in-lending cases in north Georgia is put­ price differential-must be identified In expressed disinclination to administer TIL and its view that TIL administration ts less ting a "tremendous new burden on dis­ terms of that element. important than the other tasks it has been trict judges and bankruptcy judges." In There has been general confusion re­ assigned. Perhaps the reluctance is simply the same theme, former District Judge flected in the conflicting opinions of the an unwillingness to identify a set of good Sidney O. Smith, Jr., gave the subcom­ courts and the staff of the Federal Re­ guys who would be exempt and bad guys mittee the following penetrating analy­ serve Board and the dtfferences in the act who wouid not. sis of the problem: and the regulations as to the sufficiency But after all that Is said and done, it is My experience with the present enforce­ of security interests disclosures. Deci­ hard to find any justification for a pollcy in which still leaves unsettled such major areas ment procedures the truth in lending area sions on this question reflect a wide spec­ of coverage as assignment transactions, dis­ raises two basic concerns: (1) that the fl.ood trum of opinion. At the very least, a mere count for prepayment transactions, magazine of private cases in the United States District recital in a retail installment contract subscriptions, sales of homes with broker Courts ls substantially overburdening the that a security· interest is retained falls assistance in financing, and the others dis­ federal judiciary system which ls already be- short of satisfying the disclosure require- cussed here. These are not arcane examples ing taxed beyond its capacities; and (2) tllat 14538 CONGRESSIONAL RECORD-SENATE May 12, 1977 the present means of enforcement of the ob­ tural credit; would also repeal the current their disclosure ts required under the Real jectives of the Act-to provide meaningful provision which exempts only those agricul­ Estate Settlement Procedures Act. disclosure of credit terms--are not neces­ tural credit transactions in excess of $25,000. Section 106(d) (1) has been further sarily being accomplished by the present The Federal Reserve Boa.rd has recommended amended to eliminate the requirement that mode of enforcement. consideration of excluding coverage of agri­ "official fees" be prescribed by law in order cultural credit because the coverage of such to be excluded from the finance charge. The This litigation serves no useful purpose credit has numerous complexities ln Regula­ phrase "be prescribed by law" has generated unless one considers the extraction of at­ tion Z. In some instances it has delayed loan confusion as to when notary fees may be torney fees from the public a beneficial transactions for farmers who do not feel excluded from the finance charge. The re­ endeavor. they need the disclosures. There ts a question moval of this phrase should make clear that The litigation has not clarified the law. whether an Act designed to protect consum­ when "official fees,'' such as notary fees, a.re Nor has it brought consumers more ers should include a type of credit that ts re­ actually paid to public officials in connection lated primarily to business or commercial With a security interest and there are no meaningful disclosures. activity. A number of farm O!_ganizations kick backs of such fees, the item need not Testimony before the subcommittee support this exemption. be included in the computation of finance last year tended to establish that plain­ A new section 103(u) defining "agricul­ charges. This follows the pattern set in sec­ tiffs in truth in lending litigation have tural purpose" ts added to precisely delimit tion 106(e) (4) which specifically excludes not shopped for credit nor compared the coverage of the Act. The problem ts that notary fees from computation of finance credit terms available to them. The typi­ many credit transactions by persons who are charges where a security interest ts taken cal plaintiff read the disclosure only after engaged. in the occupation of farming are in real property. consulting a lawYer on other matters and neither clearly agricultural nor clearly per­ An additional subsection has been added was motivated to file suit by considera­ sonal in nature. Because of this lack of clear to section 106 to the effect that fees or distinction. the Act has provided that agri­ charges (such as finder's fees, credit report tion other than to obtain meaningful in­ cultural credit transactions involving $25,000 fees, etc.), which are actually paid by the formation on credit costs. · shall not be covered by the Act. creditor and absorbed as a part of the credi­ For example, in Dorothy Baker et al., A more pr1gmatic approach 1s taken in sec­ tor's overhead, need not be considered as v. Pattison Pontiac Company, Inc. et az .• tion 2 by clearly excluding from coverage components of the finance charges, and need C.A. No. 71-2019 (E.D. La.) the plaintiff, credit extended prtmarlly for agricultural not be disclosed to the consumer. This Mr. Orth, testified that he was not aware purposes. Thus, credit extended to a family amendment confirms various opinions is­ farm for vehicles or other articles which wlll sued by the Federal Reserve Boa.rd Staff to that he was bringing a class action suit incidentally be used for famlly purposes, but for violations of the Truth in Lending the effect that fees or charges, which would primar1ly used for agricultural purposes otherwise be included in the finance charge Act. He stated in depositions that his wife would be excluded from coverage. This puts under section 106(a), need not be included was merely complaining about a car they the farmer in the same status as the individ­ and disclosed as ftna.nce charge components had bought which did not work and they ual owning and operating a family business. where such charges or fees are paid by the went to the attorney to get their money In close cases the creditor could obtain from creditor and absorbed as a part of the credi­ back. The interview with the attorney the borrower a statement that the purpose of the loan fell Within one of the exempt tor's overhead and are not passed on directly resulted in a class action suit against the categories. or indirectly to the consumer through an finance company for alleged Violations of The section alsO amends section 104 of the increase in the rate of interest. This has the Truth in Lending Act. This case was Act to exempt Farm Credit System loans. The been a great source of confusion and waste­ dismissed aft.er the defendant had ex­ Farm Credit institutions are farmer-owned ful litigation. pended large sums for defense of the entities which operate under the supervtsion­ Sec. 5. Tlming of annual report.-Would claim. of the Fa.rm Credit Administration for the amend section 114 of the Truth in Lending In depositions in the case of Morris J. benefit of their owner-borrowers to whom Act, section 707 of the Equal Credit Oppor­ they extend credit generally at below the tunity Act.-nd section 18(f) (~) of the Fed­ Moody, et al., v. Leson Chevrolet, Inc., et market rate. For the most part, the credit eral Trade Commission Act to permit the al.• C.A. No. 71-2736 (E.D. La.) the plain­ transactions of the System involve exten­ Board to submit the Annual Reoort required tiff stated that he had not shopped for sions of credit for business purposes in fi­ by those acts at the same time as com­ credit nor compared credit terms. After nancing a.n ongoing farming operation and ponents of the Board's Annual Report. The purchasing a car, he was talking with a not consumer loans intended to be covered Federal Reserve Board, which bas recom­ friend who told him about a lawYer who by the Act. There is no evidence that the law mended this amendment, feels that there are could get some money for him if he would has caused the level of charges to be reduced no benefits produced by these fragmented consult him concerning his finance con­ to Farm Credit borrowers or has caused them reports and duplication of effort would be tract. His motivation in filing the suit was to seek other financing as a result of the dis­ avoided. closures. The paper requirements resulting Sec. 6. Annual forms revtsion.-Would pecuniarv. This case was settled for $600 from the Truth in Lemllng Act are burden­ amend section 122 of the Act to restrict the after substantial expenditures by the some and create delays in loan closings. Com­ effective date of any statutory amendment creditor in legal fees. pliance is particularly difflcult for the Sys­ to the Act or implementing amendment or The Moody case apparently inspired tem members because most loans are made interpretation requ1ring a change in a dis­ other litigation in the New Orleans area. with a frequently fluctuating variable rate closure form to October 1 o! the following which cannot be accurately reflected in the year. The purpose of this amendment ls to For example, in Curtis Benn et al. v. disclosure statement. Leson Chevrolet Company, Inc., C.A. No. limit form changes to once a year and to Sec. S. Open end credit definition.-Would give lead-time for necessary printing and 72-271 plaintiff Benn had amend the definition of "open end credit programing. Safeguards are incorporated into talked to plaintiff Moody about the possi­ plan" in section 103(1) spectftcally to permit the provision to permit the Board to shorten bility of financial gain in truth in lend­ creditors to reverify credit information from the length of time for creditors to make such ing litigation. Ironically, it was not until time t.o time. In many cases, creditors need adjustments when such is necessary to pre­ 5 months after the suit was filed that the to update credit information in connection vent unfair or deceptive ctlsclosure practices. with existing accounts, as. for example, in plaintiff was aware that he was involved connection with additional purchases or During the past few years, creditors have in litigation. Again the Curtis Benn suit other extensons of credit which would exceed been required to destroy large volumes of was settled for $650 after large defense a previously esta.bltshed credit limit. This unused credit application and disclosure fees were incurred. amendment ls necessary to resolve a con­ forms due to changes mandated by court Our bill attacks this problem by simpli­ flict in the interpretation given this sub­ decisions and federal -and state laws and section by two of the Federal enforcement regulations. The expense incurred In con­ fying the act to make compliance less stantly revising forms ts wasteful and ul­ difficult and in section 12 by relieving lia­ authorities. The Federal Reserve Board, in a staff opinion letter, has held that reverifica­ timately must be borne by consumers. This bility where the failure to disclosure is tion ls permissible; the Federal Trade Com­ amendment ls designed to eliminate much of not material to the consumer's awareness mission has held that it is not. this waste. of the cost of credit. Sec. 4. Elimination of itemized charges.­ Sec. 7. Right of rescission.-Would amend Mr. President, the following section­ Would amend section 106(d) to delete the section 125(e) so that the right of rescission by-section analysis gives in greater detail requirement for the itemization of certain granted by the Truth in Lending Act would the provisions and purposes of the bill: charges if they a.re to be excluded from the not apply to credit contracts involving a finance charge. Such itemization is not nec­ security interest in a. vacant lot. The sub­ SECTION-BY-SECTION ANALYSIS essary for the protection of the consumer stance of this amendment is based on a SEc. 1. The Act is cited as the Truth in because these costs are not directly related Federal Reserve Board recommends. tion in Lending Simplification Act of 1976. to the lender's charge for credit and in most which the Board said it felt .that the right SEC. 2. Exempt agricultural credit.-Would instances are not subc;ta.ntial in relationship of rescission should not continue to be ap­ amend sections 103 (h) and 104 (1) of the to the overall transaction. In home mortgage plicable to vacant lot purchase transactions Truth in Lending Act to exempt all a.gricul- loans where the charges may be substantial, other than those covered under the Inter- 111ay 12, 1977 CONGRESSIONAL RECORD-SENATE 14539 state Land Sales Full Disclosure Act. The to the borrower incident to improvements nually thereafter. An additional point that basic objective of section 125 of the Truth on the borrower's residence. The section was might be made is that consumers commonly in Lending Act is to give a consumer suffi­ intended to cure consumer abuses in the bold a number of different credit cards. For cient time in which to consider the impor­ aluminum siding industry and there is no example, a study of consumers having de­ tant act of pledging his or her residence as evidence that it was ever intended to apply partment store credit accounts showed that security for a loan. The mere purchase of to direct consumer loans between banks or about 30 percent had less than five credit a vacant lot or the pledging of the lot as other financial institutions and borrowing cards; 45 percent 6-9 cards; 20 percent, 10-14 security for a loan should not need the consumers for home improvement or sec­ cards; and over 5 percent, 15 or more cards. extraordinary privllege of the right of rescis­ ond mortgage purposes. (Robert P. Shay and William C. Dundelberg, sion. The difficulty under the current pro­ The amendment attempts to avoid the Retail Credit Card Use in New York. New visions of section 125 is that the general inequities which have resulted under the York: Graduate School of Business, Colum­ rule creating the right of rescission in sub­ Gerasta and related decsions by requir1ng the bia University, 1975, p. 22) Thus, under the section (a) refers to "residence," and the obligor, seeking t.o rescind a consumer real present system about 20 percent of this sam­ exception to the general rule for first pur­ estate transaction after the three day ple group received 20 to 28 notices per an­ chase money security interests in subsection statutory right of rescif:sion. to tender the num (which they probably throw away). (e) refers to "dwelllng.''.The Boa.rd recom­ unpaid principal balance under such an Subsection 9(d) permits creditors who can­ mendation would change subsection (a) to indebtedness to the credit.or as a condition not identify each transaction on the periodic refer to "dwelling," whereas this amendment of rescission. This follows the remedy forged billing statement to disclose the other re­ changes subsection (e) to refer t.o ''resi­ by the United States 9th Circuit court of quired information and treat any inquiry dence." Thus the objective of the Boa.rd ts Appeals in Palmer v. Wilson, et. al., 502 F. for clarification as a "bllling error" under accomplished. while at the same time not 2d 860 (9th Cir. 1974). the Fair Credit Billing Act. Literally thou­ effectively voiding the provisions in millions Sec. 8. Voluntary perioclic statement.­ sands of creditors, either because of size or of existing open end credit contracts which Would delete the requirement Of section 126 diversity of goods and services handled, are renounce any security interest in the cus­ that credit.ors who chose t.o send perioclic unable to identify each transaction. This tomer's "residence." Were th06e renunciation bllllng statements in connection with credit amendment permits them to supply all of the provisions effectively voided. by ch,a,nging the other than open end include notices of cer­ other required information and protects con­ Act to refer to "dwelling," the consumer­ tain charges. Th Board recommends this de­ sumers by requiring those creditors to han­ obligors on those miillons of open end credit letion since such periodic statements are not dle any inquiry as a billing error. accounts might find future transactions sub­ uniformly required for all extensions of credit Sec. 10. Closed end credit disclosures.­ ject to a three-day delay in performance other than open end and the rule would im­ Would amend sections 106, 107, 128 and 129 pending expiration of the right of rescission. pose an unfair burden on those creditors to permit in long-term installment and mort­ To correct inequities flowing from the who do send such payment reminders. Pe­ gage loan contract disclosures, reasonable holding in Gerasta v. Hibernia. National riodic credit cost disclosure 18 of no bene­ tolerances in the computation and report­ Bank, 411 F. Supp. 176 (ED. La. 1975), this fit t.o the consumer in closed-end credit con­ ing of the number of payments, the finance provision also amends section 125 (f) of the tracts because there is no new credit con­ charge and the annual percentage rate. Act t.o require as a condition of exercising tracts to be made as in open-end credit In many long-term credit contracts and the right t.o rescind after the initial three arrangements. in tho£e where there are variables that are day waiting period, the obligor must tender Sec. 9. Open end credit.-Subsection 9(a.) not predictable, it ts not possible to calcu­ the property, principal amount o! the loan would delete section 127(a) (5) permitting late and disclose with absolute mathemati­ or other consideration received from the disclosure of the "average effective rate of re­ cal accuracy items such as the number of creditor. The provision further amends the turn." This provision contains a. complicated payments and the amount of the periodic Act to add a new definition of ''material dis­ formula taking up an entire section of Reg­ payment. For example, t.o accurately disclose closure" t.o make clear tha.t the right to ulation Z ·which sets out the requirements these items on a $30,000, 9 APR loan pay­ rescind does not continue beyond the initial with respect to such optional disclosures. It able in 360 months the monthly payments three day period simply because the credit.or is not being used and the Board has recom­ would have to be •241.386785. Sin~ pay­ made a technical violation of the Truth in mended.its deletion. ments of less than a penny cannot be made Lending Act that does not atiect the obllgor's The subsection also deletes section 127 under our payments system. this figure is awareness of the cost of credit. In addition, (a.) (6) requir1ng the disclosure of the con­ rounded. off resulting in a technical error. the creditor would be given 20 days within ditions under Which any other charges may This amendment together with the addition which to respond to the obllgor's notice of be imposed. These disclosures are not ma­ to section 103 of the definltion of the term rescission. terial for th~ purpose of comparing credit "material disclosure" should make clear that In Gerasta v. Hibernia National Bank, 411 costs and the provision is a source of con­ Congress does not intend t.o require credi­ F. Supp. 176.. (ED. La. 1975), the court held fusion. tors to slavishly adhere to technical re­ that where a creditor falls t.o respond to a Subsection 9(b) revises section 127(7) of quirements which are not meaningful to the subsequent notice of rescission by a borrow­ the Act to provide that the credit.or need consumer. ing consumer and falls to return all previ­ merely give the consumer notice that a secu­ The section also eliminates the require­ ously paid finance charges and closing costs, rity interest ls or may be taken in connec­ ments both under open and closed end credit and fails to cancel its security interest on tbe tion with an open end c:redit plan. Notice plans that default, late or delinquency borrower's residence, within ten days fol­ that the conditions and description of a charges be disclosed. Although the Board had lowing the receipt of such a subsequent security interest does nothing to enhance the recommended. merely the deletion of dis­ notice o! rescission, the creditor forfeits any consumer's ability to shop for credit and closure of default charges, the amendment right to collect the proceeds of such a loan. adds to the clutter of the disclosure state­ deletes the entire provision. There has been The problem ls simply that a creditor has ment. a large volume of litigation as to what con­ no way of knowing, upon receipt of a subse­ other consumer protection interests are stitutes a default, delinquency, or a late quent notice of rescission after the three-day served by the notice that a security interest payment. Given the vagaries of the English right to resctssion period has expired, ts or may be retained because under state language, it ls doubtful that the deletion whether or not the borrower bas the right law the consumer Is given a complete de­ of the requirement of the disclosure of de­ to rescind such a credit transaction. The scription of the security int.erest when he fault charges would cure the problem. Cer­ creditor ls faced wit.b the alternative of signs the credit contract. tainly, a "default" could be considered a refunding previously paid finance charges Subsection 9 ( c) would change the re­ "delinquency" thus leaving it to creditors to and other charges and cancelling its security quirement under section 12'7(a) (8) (redesig­ litigate the same kinds of issues as under the interest, or of contesting the borrower's nat.ed as paragraph (6) regarding the fur­ present provisions. right to rescind, in which case the creditor nishing of the statement of bllllng error Moreover, it ts doubtful that such late pay­ faces the additional penalty of forfeiting the rights. As currently written, the law requires ment and delinquency charges should be dis­ entire proceeds of such a loan. the st&tement to be mailed. at semiannual closed at all, especially when they are regu­ In addition, it ts questionable whether the intervals, and this amendment reduces the lated. by state statute. Consumers do not "effects of rescission" provisions of section frequency t.o annual intervals. Based. on a expect to become delinquent when they en­ 125(b) of the Act were ever intended to apply study prepared for the Federal Reserve Bank ter credit contracts, and default and late to a situation in which a borrower seeks t.o of Atlanta by Georgia Tech Research In­ payment information ls thus of marginal rescind a consumer credit transaction after stitute in 1971 there were outstanding ap­ use in the credit decision. Moreover, these the three-day right of rescission period has proximately 330 million credit card accounts. matters tend to be regulated by statutes expired due t.o a technical truth-in-lending Add to this number the number of other with all creditors imposing the same charges. disclosure violation at the time the loan types of open end credit accounts (e.g., bank There ls no indication of bargaining on late was consummated. The legislative hist.ory overdraft plan), and the aggregate ls in the payment or delinquency charges. The fact of section 125(b) of the Act indicates that range of 360 miillon accounts. The savings that consumers do not consider this informa­ this section was intended to apply to con­ involved. in ellmlnating one semiannual mail­ tion as pertinent to the credit decision is sumer credit sales situations in which the ing run into many millions of dollars with especially important since a full and accu­ borrower seeks to rescind within the three­ no substantial detriment to consumers be­ rate statement of such charges introduces day right of rescl..c:sion period, where the cause consumers would still receive the state­ additional complexity and length to the creditor actually provides goods or services ment when opening new accounts and an- truth 1n lending statement and detracts CXXIII--915-Part 12 14540 CONGRESSIONAL RECORD-SENATE May 12, 1977 from the value of the other disclosures. Fi· the amount of the loan and the downpay­ dispute resolution procedure, a creditor ma.y nally, such charges are generally included in ment. continue to send periodic b11ling statements the credit contract, and thus, the issue is The amendment also has the effect of de­ which show the amount in dispute together not really disclosure as such but whether leting specific authority for the Boa.rd to re­ with all finance charges there·on, provided the disclosures should be on the truth in quire other or additional information in ad­ that the creditor complies with the dispute lending statement. vertisements for open end credit plans. This resolution procedure and credits the cus­ For purposes of simplification and clarity, is not intended to prohibit the Board front tomer with all a.mounts found to have been the section consolidates paragraphs (1), (2) using its general authority to interpret what in error, together with all finance charges and ( 3) of section 129 (a) requiring disclos­ ls included in the requirements that remain, thereon. ure of the amount of credit actually paid out but simply to prohibit the Board from exer­ Sec. 16. Relation to state law.-Would including other charges which are not part cising a legislative function of adding addi­ amend section 111 of the Truth ln Lending of the finance charge but are part of the tional requirements. Act to establish a general principle of al­ credit extended. The consolidated language This simplification approach to credit ad­ lowing only state laws that are identical to ls taken from section 226.8 (d) (1) for Reg­ vertising generally follows the recommenda­ the federal law. An exception is created for ulation Z implementing these paragraphs. tions of the National Commission on Con­ more protective state laws, similar to the This consolidation is intended to remove the sumer Finance. The Commission observed "greater protection" standards of sections ambiguities in section 129(a) (1), (2) and that' although an important benefit of dis­ 171 and 186 which are being superseded. This (3) and reconcile conflicting interpretations closure legislation has been the elimination exception applies only where an application made by the courts and the Board. of misleading rate advertising-discount, made by the state or local subdivision is Sec. 11. Disclosure of type of security in­ add-on, percent per month, and so on-the approved by the Board under the following terest.-Would delete the requirements in complexities of the Act seem to have dis­ condi tlons: sections 128 and 129 for a disclosure in closed couraged advertising. Some feel that the (1) compliance would not violate the Act; end credit of a detailed description of a se­ truth in lending disclosure at the time of (ii) state law provides significantly higher curity interest and permit either an iden­ the transactions ca.me too late to permit degree of protection, practices are not ade­ tlflcatlon of the property in which a security comparative shopping. The purpose of these quately regulated by the Act and it does interest ls taken or a. reference to such an amendments 1s to encourage informative ad­ not unduly burden interstate commerce. In identification on an accompanying state­ granting an exemption the Boa.rd shall con­ ment delivered to the obllgor. vertising to provide a better mechanism for comparison shopping and a competitive mar­ sider feasibility and cost of compliance, This amendment should go a long way in ket to bring rates down. probabillty that other States will apply for removing the clutter on the disclosure state­ Sec. 14. Correction of billing errors.­ an exemption, and the need for national ment without diminishing consumer protec­ Would delete paragraph (3) of·section 161 uniformity. tion. In the consumer credit contract and This amendment ls modeled after the Con­ accompanying papers signed by the consum­ (b) (3) of the Act, treating the non-accept- . ance or non-delivery of goods or services as sumer Product Safety Act and ls offered for ~r. full details of the security interest a.re the purpose of comment to focus Congress' given the consumer. The details of the se­ a bllling error. The non-delivery or non­ curity interest are of no benefit to the con­ acceptance of goods or services ls more in attention on one of the most complex issues sumer for credit shopping purposes and the the nature of a dispute as to the value, 1n truth 1n lending simplification. My per­ cumbersone disclosure requirements merely quantity or qualitv of goods or services ob­ sonal preference would be to leave consumer ·add to the burden of complla.nce. tained than a matter of bllllng error. Con­ credit protection to the states and have no Sec. 12. No liabmty for substantial com­ gress has determined that such disputes, federal preemption. However, the federal gov­ pliance.-Would amend section 130 to pro­ which involve only the customer and the ernment has moved into this area creating vide that a creditor may not be held liable merchant and as to which only they have a multitude of contradictions. One commen­ under the civil penalty section for truth in information, should be handled under section tator sized up the problem in this manner: lending disclosure violations where the fail­ 170 of the Act rather than under section 161. "At present, the Act contains three sepa­ ure to disclose was not material to the con­ Section 161 simply 1s not desl~ed to deal rate provisions dealing with preemption. Sec­ sumerls awareness of the cost of credit. It with disputes concerning non-delivery and tion 11 establishes a general principle appli­ is presumed that necessary disclosure ls non-acceptance, and the inclusion of sub­ cable to the Act as a whole, which preempts made when, where required by the Act, there section (b) (3) within the det'lnltion had state credit disclosure laws to the extent that has been disclosed the annual percentage led to considerable confusion as to whether they are •tnconslstent• with the Act. section rate, the finance charge or method of deter­ a particular dlsoute regardln~ non-delivery 171 sets forth a similar principle applicable mining the balance upon which a finance or non-acceptance can p;ive rise to a billing only to Chapter 4. 'Credit Billing,' but addi· charge will be imposed a.nd the amount of error claim under section 161, a customer tlonally directs that no state law shall be the finance charge, the amount to l)e fi· dispute under section 170, or both. The Board deemed inconsistent 1f it provides greater nanced, the total payments, the number and has been fQrced to attempt to draw a dis­ protection to consumers. section 186, which amount of payments, and the due dates. tinction between the two provisions (see ts applicable only to Chapter 6, •consumer Citing the present volume of litigation due footnote 1 to section 226.2(J) (3) of Regula­ Leasing,' 1s identical substantively to Sec­ to the complexity of the Truth in Lending tion Z), and this matter has also been dis· tion 171. Act and regulations, the Board recommended cussed in a subseauent Staff letter (Staff "We believe that the existing standard of that Congress study the possib111ty of llmit­ Letter No. 965, dated December 8, 1975, 6 'inconsistency• to determine preemption is an lng civil penalties to violations involving the CCH Consumer Credit Guide, Para. 31304). unworkable one and that a different standard misstatement of credit terms which would The amendment ellminates this overlap, is needed urgently. Creditors and consumers interfere with the consumer's ab111ty to make with its resultant confusion and potential alike are confused 1n attempting to determine meaningful comparisons of credit costs. The double 11ab111ty, by llmlting the billing error whether state law, federal law, or both a.re items included in this amendment are the provision to those situations that truly are applicable to a parttc~lar consumer credit ones which are basic to the consumer's bllling errors, such as accounting and com­ problem. The 'inconsistent law• test invites understanding of credit costs. The disclosure putational errors and other questions as to constant disputes as to whether a state law of other items, such as late payments, the the accuracy of the statement prepared by ls in fact Inconsistent With federal law. The identity of the security interest and the right the creditor. Dls1>ntes between the merchant greater protection standard of Sections 181 to rescission, are not included because they and the cardholder with respect to the de­ and 186 is difficult to apply, as was pointed are not pertinent to the credit shopping func­ livery and quality of goods or services should out by Governor Jackson of the Board in his tion. This is the catei:i:orv which has cluttered be left to section 170. testimony before the House Consumer Affairs the disclosure statement and ls the primary The section would also amend section 161 Subcommittee on February 9, 1977. Often source of confusion and litigation. (b) of the Act to limit the Board's dis· there ls no way to determine whether a par­ cretion to define a "blllin~ error." The ticular provision of standard law offers Sec. 13. Advertising of credit terms:-would amendment incorporates into the Act the 'greater protection! The state provision may rewrite section 143 of the Act to permit credl· current nrovision in Re211lation Z deflnln~ be more advantageous to consumers than the tors offering ooen end credit to advertise as a bllllng error the failure to send the federal provision 1n one respect but di~­ only the periodic rate and the annual per­ periodic statement to the latest address of advantageous ln others. This problem ls com­ centage rate. This would be consistent with a customer. However, in view of the clvll pounded when an attempt is made to Judge the requirement now aoplicable to advertis­ and criminal sanctions Con~ess, not the whether lt ls the aggregate of the detailed ing of closed end credit. Where terms other Board, should prescribe which acts or prac­ provisions of any particular statute that is than rates are advertised, then there must tices constitute a violation. If the Board in to be compared, or whether each specific pro­ be stated only the periodic payment, the the future should find other acts or prac­ vision ls to be comoared separately and a method of comouting the finance charges, the tices which should be prohibited, lt ls al­ hybrid set of rules, consisting of some details periodic rate and the annual oercentage rate. v,avs able to recommend to Congress appro­ from state law and some from Federal law, This would be consistent with the require­ priate changes in the statute. Hera again, lt ls to be fashioned. ment now applicable to advertising of closed ls not the intention to restrict the Board's end credit. "The legislative process has as a goal the general interpretative authority to clarify productioJ:>. of well tnt3grated, coherent and Section 144 ls amended by deleting the re­ the nrovlstons of the Act or Reeulatlon Z. internally consistent principles. The latter Quirement that in closed end credit adver­ This amendment would also make exollcit technioue described above, which would pull tising there be disclosed the cash price or what ls now impllclt ln the Act: during the details from disparate statutes and attempt May 12, 1977 CONGRESSIONAL RECORD- SENATE 14541

to force them to function as a single set of EXEMPT AGRICULTURAL CREDIT overhead are not part of the finance charge integrated principles, ls destructive of that SEC. 2. (a) Section 103(h) of the Truth and need not be disclosed." goal. Such a technique further renders nega­ in Lending Act (16 U.S.C. 1602(h)) is TIMING OF ANNUAL REPORT tive the negotiation and the trade-off that amended to read a.s follows: SEC. 5. (a) Section 114 of the Truth in are accomplished in the legislative process as "(h) The adjective 'consumer•, used with Lending Act ( 15 U .S.C. 1613) ls amended by workable legislation based on compromise ls reference to a credit transaction, charac­ striking out "Not later than January 3 of" produced. Consumer rights and creditor re­ terizes the transaction as one ln which the and "after 1969," and by capitalizing "each" sponsibllities are interrelated and wise policy party to whom credit ls offered or extended the first time it 'appears in such section. making requires a careful balancing between ls a natural person, and the money, prop­ (b) Section 18(f) (5) of the Federal Trade the two. A carefully balanced federal blll can erty, or services which are the subject of Commission Act (15 U.S.C. 58a(f) (5)) ls become lopsided immediately if additional the transaction a.re primarily for personal, amended by striking out "not later than state obligations are superimposed on the family, or household purposes.". March 15 of each year". federal provisions. The effects of imbalance (b) Section 103 of such Act (15 U.S.C. (c) Section 707 of the Equal Credit Op­ are great indeed, when one appreciates that 1602) ls amended by adding at the end portunity Act (15 U.S.C. 1691!) ls amended the credit-granting industry ls price regu­ thereof a new subsection as follows: by striking out "Not later than February 1 lated and statutes not carefully integrated .. ·(u) The term 'a.gricultura~ purposes' in­ of" and "after 1976," and by capitalizing will have economic effects in some respects cludes loans and leases related to the pro­ "each" the first time lt appears in such aggravated in comparison to other industries. duction, harvest, exhibition, marketing, section. The effect of the present principles govern­ transportation, processing, or manufacture ANNUAL FORMS REVISION ing the relationship of federal to state law ls for agricultural products by a natural per­ even more serious under the Equal Credit son who cultivates, plants, propagates or SEC. 6. Section 122 of the Truth in Lend­ Opport unity Act, which adopted the scheme nurtures those agricultural products, in­ ing Act (15 U.S.C. 132) ls amended by adding of the Truth in Lending Act, in pa.rt because cluding but not limited to the a.cqulsitlon at the end thereof a new subsection as fol­ of a misconception by Congress regarding the of farm land, real property with a farm lows: viabiUty of the scheme. See S. Rept. No. 94-- residence and personal property and serv­ "(c) Any statutory amendment to the 589, 94th Cong., 2nd Sess. 12 (1976). ices used primarily in farming, and the term Truth in Lending Act, any regulation of the "In addition to those problems, the present 'agricultural products' includes agricul­ Board, or any amendment or interpretation law creates confusion, uncertainty, and bur­ tural, horticultural, viticulture, and dairy thereof, requiring any disclosure different dens for the increasing number of multi-state products, livestock, wildlife, poultry, bees, from that previously required by this chap­ creditors who must contend with a variety of forest products, fish and shellfish, and any ter, chapter 4, or chapter 5, shall have an differing state and local laws. The solution products thereof, including processed and effective date of October 1 of the calendar should be federal preemption in those a.reas manufactured products, and any and all year following the year of enactment or where the federal government has already products raised or produced on farms and promulgation, except that the Board may legislated in a comprehensive and highly de­ any processed or manufactured products take interim action by regulation, amend­ tailed way and occupies the field. Such is the thereof.". ment, or interpretation to lengthen the pe­ general rule of law in the United States, as (c) Section 104 of such Act (16 U.S.C. riod of time permitted for creditors to adjust articulated just this week again by the United 1603) ls amended by adding at the end their forms to accommodate new require­ States Supreme Court in the case of Jones v. thereof the following: ments at its discretion or shorten the length Ratn Packing Company, in which certain " ( 6) Credit transactions of borrower­ of time for creditors to make such adjust­ la.belling laws of the State of California were owned Federal instrumentalities which ex­ men ts when lt makes a specific finding that held to have been preempted by the Federal tend credit under the supervision of an such is necessary to prevent unfair or de­ Fair Packaging a.nd La.belling Act. Unfortu­ agency of the United States.". ceptive disclosure practices. Notwithstanding nately, the concept of preemption of state law (d) Section 104(1) of such Act (15 the foregoing, any creditor may comply with typically raises the spectre of the removal U.S.C. 1603(1)) ls a.mended to read as any such new disclosure requirements prior from the states of the power to insure a free follows: to the effective date of the requirements.". market economy and a consequent increase "(l) Credit transactions involving ex­ RIGHT OF RESCISSION in regulation of business. With regard to the tensions of credit for business, commercial, SEC. 7. (a) Section 125(b) of the Truth Consumer Credit Protection Act, it ls tlie or agricultural purposes, or to government ln Lending Act (15 U.S.C. 1635(?))) is absence of preemption that increases the or governmental agencies or instrumental­ amended by striking out "ten" in the second regulation of business. Once the federal gov­ ities, or to organizations.". ernment has thoroughly occupied a field, and final sentences and inserting in lieu as (e) Section 104(5) of such Act (15 U.S.C. thereof "twenty". it has in the Fair Credit Billing Act, Truth 1603 ( 5) ) ls repealed. in Lending Act a.nd the Equal Credit Oppor­ (b) Section 125(e) of such Act (15 U.S.C. tunity Act, the only remaining question ls OPEN END CREDIT DEFINITION 1635 ( e) ) ls amended to read as follows: whether state authorities wm be able to im­ SEC. 3. Section 103 (1) of the Truth in " ( e) This section does not apply to the pose additional and more restrictive rules, Lending Act (15 U.S.C. 1602(1)) ls amended creation or retention of a first lien against which are added to the federal rule. States by a.dding at the end thereof the following: any real property which ls used or expected have no ability to reduce the amount of regu­ "A credit plan which otherwise meets this to be used as the residence of the person to lation, only to increase lt." definition ls an open-end credit plan if· whom credit ls extended to finance the ac­ Federal intrusion into this area tradi­ credit information ls verified from time to quisition of that property or to a consumer tionally reserved to the states ls one of the time.". credit transaction in which an agency of primary causes of the complexities in con­ ELIMINATION OF ITEMIZED CHARGES a State ls the obllgor.". (c) Section 125(f) of such Act (15 U.S.C. sumer credit protection law. Until Congress SEC. 4. (a) Section 106 ( d) of the· Truth faces its responsibility of addressing this mat­ 1635(f)) is amended by a.ddlng at the end in Lending Act (15 U.S.C. 1605(d)) ls thereof the following: "Notwithstanding any ter in a rational manner, little can be amended to read as follows: achieved in forms simplification. Section 16 other provision of this section, when an ob­ " ( d) The following items shall not be llgor exercises a right to rescind after mid­ ls offered as one suggested approach to the included ln the computation of the finance problem. night of the third business day following charge with respect to any transaction: the consummation of the transaction, as a Mr. President, I am pleased that the " ( 1) Fees and charges which actually are condition of the exercise of that right, the or wlll be paid to public officials for deter­ chairman of the Senate Consumer Affairs obligor shall, at the time the creditor ls no­ mining the existence of or for perfecting or tl:fied of the exercise of the right to rescind, Subcommittee is contemplating hearings releasing or satisfying any security related on truth in lending simplification. This tender the property, principal amount of to the credit transaction. loan, or other consideration received from matter deserves the highest priority. Both "(2) The premium payable for any insur­ the creditor. If return of the property in the consumer and the small businessman ance in lieu of perfecting any security in­ kind would be impracticable or inequitable, deserve better than Congress gave them terest otherwise required by the creditor in the obligor shall tender its reasonable value. in the Truth in Lending Act. connection with the transaction, if the pre­ Tender shall be made at the location of the Mr. President, I ask unanimous con­ mium does not exceed the fees and charges property or at the residence of the obligor, sent that the text of the bill be printed in described in para.graph (1) which would at the option of the obllgor. If the creditor otherwise be payable. does not take possession of the property the RECORD. "(3) Taxes. There being no objection, the bill was Within twenty days after tender by the obl~­ " ( 4) Any other type of charge which is gor, ownership of the property vests 1n the ordered to be printed in the RECORD, not for credit a.nd the exclusion of which obligor without obligation on his part to as follows: from the finance charge ls approved by the pay for lt.". s. 1501 Board by regulation.". (d) Section 103 of such Act (15 U.S.C. Be it enacted by tne Senate and House (b} Section 106 of such Act (15 U.S.C. 1602), as amended by section 2(b), ls of Representatives of tlie United States of 1605) is amended by adding at the end amended by adding at the end thereof the America in Congress assembled., That this thereof a new subsection as follows: following: Act may be cited as the "Truth in Lending "(f) Fees or charges paid by the creditor "(v) The term 'material disclosures' means Simplification Act of 1977". and absorbed as a part o! the creditor's the creditor has disclosed, as required by 14542 CONGRESSIONAL RECORD-SENATE May 12, 1977 this chapter, the annual percentage rate, the all charges, individually itemized, which are of payments scheduled to repay the indebt­ finance charge or method of determining the included in the a.mount of credit extended edness. Any mathematical computation be.la.nee upon which a. finance charge wm be but which are not pa.rt of the finance charge, which is made with reasonable accuracy, as imposed and the a.mount of the finance using the term •a.mount financed'.". determined by the Boa.rd, is in compliance charge, whichever is applicable, the amount (d) Redeslgna.ted paragraph (4) of section with this title.". to be financed, the total of payments, the 129(a) of such Act (15 U.S.C. 1639(a.) (4)) ADVERTISING OF CREDIT TERMS number and a.mount of payments, and the is amended by inserting before the period at due dates or periods of payments scheduled the end thereof a comma and adding the SEC. 13. (a) Section 143 of the Truth in to repay the indebtedness. Any mathematical following: "except that for transactions pay­ Lending Act (15 U.S.C. 1663) is a.mended to computation which is made with reasonable able in more than 120 installments, all of read as follows: accuracy, as defined by the Board, is in com­ which are substantially equal and in con­ "§ 143. Advertising of open end credit plans pliance with this title.". nection with which a creditor determines the "(a) No advertisement to a.id, promote, or assist directly or indirectly the extension of VOLUNTARY PERIODIC STATEMENTS finance charge by the application of a pe­ riodic rate to the unpaid balances of the consumer credit under an open end credit SEC. 8. Chapter 2 of the Truth in Lending amount financed, the number of payments plan may set forth any of the specific terms Act (15 u.s.c. 1631-1645) is amended by shall be disclosed with an accuracy which of that plan unless the periodic and annual striking out section 126 (15 U.S.C. 1636). ts within a tolerance of 1 per centum more percentage rates are clearly and conspicu­ OPEN END CREDIT DISCLOSURES or less than the actual number of install­ ously set forth. SEC. 9. (a) Section 127(a) of the Truth ments necessary to pay in full.the extension " ( b) Where terms other than rates are in Lending Act (15 u.s.c. 1637(a)) is of credit in accordance with its terms". advertised, only the following terms must be amended by striking out paragraphs (5) and (e) Section 106 of such Act (15 u.s.c. stated: (6) and by redesignating paragraphs (7) and 1606) ts amended by adding at the end "(1) The minimum periodic payment re­ (8) as paragraphs (5) and (6), respectively. thereof a new subsection as follows: quired and the method of determining any (b) Redesignated paragraph (5) of section "(g) For transactions payable in more than larger required periodic payment. 127(a) of such Act (16 U.S.C. 1637(a)) is 120 installments, all of which are substan­ "(2) The method of determining the bal­ amended to read as follows: tla.1ly equal and in connection with which ance upon which a .finance change may be " ( 5) Where a security interest may be re­ a creditor determines the finance charge imposed. tained or acquired in any property to secure by the application of a periodic 1·ate to the "(3) The periodic rate. the payment of any credit extended under unpaid balances of the amount financed, the "(4) The annual percentage rate.". the plan, a statement that a security interest amount of the finance charge shall be dis­ (b) Section 144(d) of such Act (15 U.S c. is or may be taken under the open end cred­ closed With an accuracy which ls within a 1664(d)) is amended by striking out para­ it plan." tolerance of 1 per centum more or less than graphs (1) and (2) and redesigns.ting pa.ra­ (c) Redesignated paragraph (6) of section the amount financed.". gra.phs (3) and (4) as para.graphs (1) and 127(a) of such Act (15 u.s.c. 1637(a)) ts (f) Section 107(c) of such Act (15 U.S.O. (2), respectively. amended by striking out "each of two billing 1607(c)) is amended to read of follows: CORRECTION OF BILLING ERRORS cycles per year, at semi-annual intervals" and "(c) The annual percentage rate may be SEc. 14. (a) Section 161(b) of the Truth in inserting in lieu thereof "one b11ling cycle rounded to the nearest quarter of 1 per Lending Act (15 U.S.C. 1666(b)) is a.mended per calendar year, at intervals of not less centum or, if not rounded, shall be disclosed by striking out paragraph (3) and redesig­ than six months or more than 18 months". with an accuracy which 1s within a tolerance nattng paragraphs (4), (5), and (6) as para­ (d) Section 127(b) (2) of such Act (15 of one eighth of one per centum more or less graphs (3), (4), and (5) respectively. u.s.c. 1637(b) (2)) is amended to read as than the rate determined in accordance with (b) Redesigna.ted para.graph (5) of section follows: subsection (a) (1) (A), except that the Board 161(b) of such Act (15 u.s.c. 1666(b) (5)) is "(2) The a.mount and date of each ex­ may allow a ~eater tolerance to simplify amended to read as follows: tension of credit during the period and a compltance where irregular payments are "(5) Failure to transmit the statement re­ brief identification, on or accompanying the involved.". quired under section 127(b) of this Act to statement, of each extension of credit suf­ DISCLOSURE OF TYPE OF SECURITY INTEREST the last address of the obliger which has been ficient to enable the obligor either to iden­ SEC. 11. (a) Redeslgna.ted para.graph (9) disclosed to the creditor, unless that address tify the transaction or to relate it to copies was furnished less tha.n twenty days before of sales vouchers or similar instruments pre­ of section 128(a) of the Truth in Lending Act (15 u.s.c. 1638(a) (9)) is a.mended to the end of the billing cycle for which the viously furnished, except that a creditor's statement is required.". !allure to disclose such identification 1n ac­ read as follows: "(9) A clear identification of any prop­ (c) Section 16l(c) of such Act (15 U.S.C. cordance with this paragraph shall not be 1666(c)) is a.mended by inserting after "ac­ deemed a failure to comply With this chap­ erty in which a security interest may or is ter or this title if (A) the creditor main­ intended to be retained or acquired by the count" the first time it is used a comma and tains procedures reasonably adapted to pro­ creditor in connection With the extension the following: "which may include finance cure and provide such identification; and of credit or reference to such an identifica­ charges on amounts in dispute,". (B) the creditor responds to and treats any tion on an accompanying statement dellv­ RELATION TO STATE LAWS inquiry for clarification in accordance with ered to the obllgor.". SEC. 15. (a) section 111 (a) through (c) section 161 of this title.". (b) Bedeslgnated paragraph (5) of section of the Truth in Lending Act (15 U s.c. 1610) 129(a) of such Act (15 u.s.c. 1936(8) (5)) CLOSED END CREDIT DISCLOSURES ts amended to read as follows: is amended to read as follows: "(a) Except as provided in subsection SEc. 10. (a) Section 128(a) (8) of the Truth "(7) A clear identification of any prop­ in Lending Act (15 1638(a) (8)) is (b)- u.s.c. erty tn which a security interest may or is .. ( 1) if an act or practice 1s prohibited by amended by inserting before the period at intended to be retained or acquired by the this title or any action ta.ken pursuant to au­ the end thereof a comma and the following: creditor in connectt,n with the extension of thority thereunder, no State or political sub­ "except that for transactions payable 1n credit or reference to such an tdentlfica.tlon division of a State may establish or continue more than 120 installments, all of which on an accompanying statement dellvered to in effect any law, regulation, or rule per­ are substantially equal and in connection the obllgor,". with which a creditor determines the fi­ mitting such act 011 practice; nance charge by the application of a pe­ NO LIABILITY FOB SUBSTANTIAL COMPLIANCE "(2) if an act or practice ts regulated, re­ riodic rate to the unpaid balances of the SEc. 12. Section 180 of the Truth tn Lend­ strained, or otherwise limited by this title amount financed, the number of payments ing Act (15 u.s.c. 1640) is amended by add­ or any action taken pursuant to authority shall be disclosed with an accuracy which ing at the end thereof a new subsection as thereunder, no State or polttical subdivision is within a tolerance of 1 per centum more follows: of a State may establish or continue in or less than the actual number of install­ "(1) A creditor may not be held liable in effect any law, regulation, or rule which regu­ ments necessary to pay in full the extension any action brought under this section for a lates, restrains. or otherwise limits such act of credit in accordance with its terms". violation of the disclosure requirements of or practice unless such State law, regula­ (b) Section 128(a) of the Truth in Lend­ sections 127, 128, or 129 where the failure to tion, or rule imposes requirements identical ing Act (15 U.S.C. 1638(a)) is amended by disclose was not ma.terial to the obllgor's to the requirements of this title; . striking out paragraph (9) and by redesig­ awareness of the cost of credit. There shall be "(3) if an act or practice ts unregulated, nating para.graph (10) a.s paragraph (9). a presumption that material disclosures nec­ unrestrained or otherwise permitted by this (c) Section 129(a.) of such Act (15 U.S.C. essary for the obliger's awareness of the cost title or any action ta.ken pursuant to au­ 1639(a)) ts amended by striking para.graphs of credit have been made when the creditor thority thereunder, no State or political sub­ (1). (2), and (7) and redesigna.ttng para.­ discloses, as required by this chapter, the division of a State may establish or continue graphs (8), (4), (5), (6), and (8) as para­ annual percentage rate, the finance charge in effect any law, regulation, or rule which graphs (1), (2), (3), (4), and (5), respec­ or method of determining the balance upon prohibits, regulates, restatns, or otherwise . tively. Redeslgnated paragraph (1) is which a finance charge will be imposed and limits such act or practice; and amended to read as follows: the amount of the finance charge, whichever "(4) if forms, notices, disclosures, record­ " ( 1) The amount of credit which wm be ls applicable, the a.mount to be financed, the keeptng, or reporting requirements a.re re­ paid to the customer or for his account or total of payments, the number and a.mount quired by this title or any action ta.ken pur­ to another person on his behalf, including of payments, and the due dates or periods suant to authority thereunder, no State or May 12, 1977 CONGRESSIONAL RECORD- SENATE 14543 political subdivision of a State may establish the recommendation of the President ADDITIONAL COSPONSORS or continue in effect any law, regulation, or concerning the route chosen to transport s. 77 rule with respect to forms, notices, disclo­ natural gas from the North Slope of sures, recordkeeping or reportLng require­ Alaska to the south 48. My bill would At the request of Mr. MATHIAS, the ments within the scope of this title unless Senator from Vermont (Mr. LEAHY), the such State law, regulation, or rule imposes cover that pipeline for the distance which requirements identical to the requirements it is located within the United States, Senator from Florida Ohio (Mr. METZENBAUM) prescribed in such regulation, a law, regu­ pipelines can be avoided. was added as a cosponsor of S. 143, relat­ lation, or rule of a State or political sub­ While I remain a cosponsor of Senator ing to fraudulent activities under the division if- EASTLAND'S legislation, I am concerned medicare and medicaid programs. " ( 1) compliance with the requirement that the bill could be construed to single s. 527 would not cause the act, practice, form, no­ out the citizens of my State as those tice, disclosure or other action to be in vio­ At the request of Mr. NELSON, the Sen­ most likely to interfere with the Trans­ ator from Michigan sponsors of Senate Resolution 5, to from July 1, 1977, through February 28. 1978, Mr. HASKELL, from the Select Com­ amend the Standing Rules of the Senate. to expend not to exceed $3,229,693 to examine, mittee on Small Business, reported the investigate. and make a complete study of SENATE RESOL'UTION 153 any and all matters pertaining to each of the following orig1nal resolution: At the request of Mr. METCALF, the subjects set forth below In succeeding sec­ S. RES. 171 Senator fr.om Maine consultants or organizations thereof. Mr. RANDOLPH submitted the follow­ Senator from Hawaii (Mr. MATSUNAGA), SEc. 4. Not to exceed $540,000 shall be ing resolution: the Senator from Arizona (Mr. DECON· available for a study or investigation of anti­ CINI) • the Senator from Pennsylvania trust and monopoly, of which amount not to Whereas, tt ts recognized that Value En­ available for a study or investigation of sep­ aration of powers between the executive, ju­ sense of the Senate on the imoorta.nce of Mr. EASTLAND, from the Committee value P.nglneerlng as a cost-reduction on the Judiciary, reported the following dicial, and legislative branches of Govern­ resolution: ment. tool. Billions of dollars are expended by SEc. 13. The committee shall report its the Federal Government each year for S. '.RES. 170 findings, together with such recommenda· construction of worthwhile projects for Resolved; That, ~ holding hearings, report­ tions for legi"llation as tt deems advi,::;able all Americans. Institution of value en­ ing such hearings, and making investigations with respect to each study or investigation gineering practices will result 1n substan- May 12, 1977 CONGRESSIONAL RECORD-SENATE 14545 tial cost reductions in those agencies em­ unnecessary costs. I strongly urge that ADDITIONAL STATEMENTS ploying this engineering cost-control my colleagues give careful consideration procedure. to this important tool which works effec­ JUPITER ORBITER PROBE One of the strongest links of our past tively for our valuable construction with our present is the American com­ program. Mr. STEVENSON. Mr. President, there mitment to building. We have led the way is much interest in a Jupiter Orbiter not only in the amounts of our construc­ Probe mission proposed by NASA in its tion, but also in developing new tech­ NOTICES OF HEARINGS fiscal year 1978 budget request. Recently niques. In many respects, Americans had SUBCOMMITTEE ON TAXATION AND DEBT NASA issued a brief description of that to be builders to survive. MANAGEMENT mission. I ask unanimous consent that Engineers contribute a necessary and Mr. HARRY F. BYRD, JR. Mr. Presi­ it be printed in the RECORD. important role in developing the projects dent, the Subcommittee on Taxation and There being no objection, the descrip­ which provide ultimate benefit to all Debt Management will hold hearings on tion was ordered to be printed in the Americans. Without this vital function, May 19, 1977, on S. 1471, a bill to pro­ RECORD, as follows: we could have no construction program vide a tax credit for contributions to can­ JUPITER ORBITER PROBE which is so important for future growth. didates for the U.S. Senate. WHAT IS JOP? With inflation forcing construction The hearings will begin rut 9 :30 a.m. in Jupiter Orbiter Probe (JOP) is a sophis­ costs up at a rapid rate, we must under­ room 2221, Dirksen Senate Office Build­ ticated space mission being proposed by take every opportunity to reduce the cost ing. NASA to explore Jupiter and its system of of each project. Value engineering is one S. 1471. introduced by Senator BoB moons. Jupiter, the largest planet, contains technique which can have significant PACKWOOD of Oregon, provides for a tax more matter than au the other planets com­ bined, and it holds many clues to the origin impact. credit for contributions to candidates and evolution of the solar system. To under­ Like most other activities in our coun­ for the U.S. Senate to 75 percent of the stand the solar system, we need to under­ try, construction is a pluralistic endeavor contribution made with a maximum of stand Jupiter: to probe its atmos9here, to with involvement by both the private and $100 in the case of individual taxpayers map its magnetic field and radiation belts, public sectors. The nature of our political and $200 in the case of married couples and to examine the huge satellltes that or­ system gives to the Federal Government filing joint returns. This bill contrasts bit it. a substantial involvement in construc­ with other legislation designed to provide The JOP spacecraft incorporates three public financing for political campaigns concepts into a single mission. First, there tion, one which greatly influences ac­ is an entry probe that will plunge deep into tivities throughout the economy. and a prohibition on private contribu­ the planet's atmosphere, measuring the With our construction dollars buying tions. chemistry and structure as it descends. less, alternative engineering methods Witnesses desiring to testify during Second, there is an orbiting spacecraft that which reduce project costs must be en­ this hearing must submit their requests will explore near-Jupiter space for 20 months couraged. Congress should take every to Michael Stem. Staff Director, Com­ after the probe is released. This orbiter opportunity to reduce costs on Federal mittee on Finance, 2227 Dirksen Senate combines unique aspects of the Pioneer~ and federally assisted construction proj­ Office Building, Washington, D.C. 20510, Mariner, Voyager, and Comsat spacecraft, with a spinning section optimized for study ects. This technique has proven its effec­ not later than 12 noon, Friday. May 13, of Jupiter's magnetosphere and racliation tiveness and should be implemented on 1977. Witnesses will be notified as soon belts and a stabilized section from which all Federal construction projects. as possible after this cutoff date as to high-resolution photography and remote The facts prove that value engineering whether they are scheduled to appear. If sensing observations can be made of Jupiter can successfully reduce costs when em­ for some reason the witness is unable to and its satellites. ployed. One large Federal-aid highway appear as scheduled, he may file a writ­ JOP is to be launched 1n December 1981/ contract reduced cost $500,000 on the ten statement for the record of the hear­ January 1982, and it is the first planetary fencing through value engineering. This ing in lieu of a personal appearance. mission to take advantage of the ·Space Transportation System. The Shuttle oapa­ technique is currently being used by the All witnesses who have a common posi­ billty, combined With an unusually favor­ Federal Highway Administration and the tion or with the same general interest are able launch opportunity, allows this com­ Army Corps of Engineers whose pro­ urged to consolidate their testimony and prehensive combined probe-and-orbiter mis­ grams are under the Public Works Com­ designate a single spokesman to present sion to be carried out with a single launch. mittee's jurisdiction. The interest of the their common viewpoint orallv to the The probe w1ll enter Jupiter's dense atmos­ Environmental Protection Agency in this committee. This procedure will enable phere 1n November 1984, and the orbiter tool is growing as evidenced by its co­ the committee to receive a wider expres­ will remain active around the planet unt,11 sion of views than it might otherwise ob­ mid-1986. JOP w1ll be the first entry probe sponsorship of a conference on value of an outer planet and the first outer planet engineering in St. Louis last November. tain. All witnesses should exert a maxi­ orbiter. So long as we are a changing and mum effort, taking into account the lim­ WHY JUPITER? developing Nation committed to im­ ited advance notice. to consolidate and The giant planet Jupiter, like tts namesake proved standards of living, I do not see coordinate their statements. the King of the Roman gods, dominates the how we can reduce our commitment to The Joint Committee on Taxation has planetary system. Its diameter is ten times essential construction programs. There estimated the revenue cost of S. 1471 to that of Earth, and it contains more matter are many who say that the emphasis on be $16.5 million for each calendar year. than all of the other planets put together. growth during our two centuries as an On a 2-year basis, the cost is estimated With its retinue of 13 moons, four of which ·independent Nation has been harmful. to be $33 million. The Joint Committee are as large as planets, Jupiter is actually on Taxation will submit to the subcom­ the center of a miniature solar system like I do not agree. I fully recognize that there the Sun and planets. In any program of have been undesirable side effects of our mittee an analvsis of the prooosal. De­ planetary exploration, study of the Jovian determination to build. Without that de­ partment of Treasury comments are en­ system is of paramount interest for under­ termination, however, our country and couraged. standing the origin and evolution of the its benefits would not exist today. FEDERAL NATIONAL MORTGAGE ASSOCIATION solar system. , I also believe that Federal involvement CHARTER ACT In spite of its great size, Jupiter is a mys­ is so well established that it must be a terious world. Like Saturn, it is a giant Mr. PROXMIRE. Mr. President, I an­ globe of gas With no apparent solid surface. permanent feature of construction in our nounce that the Committee on Banking, Jupiter, composed largely of hydrogen and country. Federal programs will not be Housing, and Urban Aifairs will hold a helium, is the planet that best represents static in the years ahead. We must exam­ 1-day hearing, on 7uesday, June 7, 1977, the original star-stuff from which Sun and ine the needs of our country and respond on S. 1397, a bill to amend the Federal all planets were formed; a probe of the at­ to them. We must have reasoned involve­ National Mortgage Association Charter mosphere of Jupiter will tell us much about ment in the segments of our society. Act to increase the size of the board of the Sun as well as the planetary system. directors, and for other purposes. Jupiter provides a miniature-but unique­ Value engineering will not solve all the ly accessible-laboratory for study of phe­ problems with construction costs; how­ The hearing will begin at 10 a.m. and nomena of wide-ranging astrophysical inter­ ever, it is the most effective technique will be held in room 5302, Dirksen Sen­ est. Like a star, it has its own internal energy available for identifying and eliminating ate Office Building. source, radiating twice as much energy as it 14546 CONGRESSIONAL RECORD-SENATE May 12, 1977

receives from the Sun. Like the mysterloua its outer edge on the dawn side. Also, the planned for th1s mission. The next feasible pulsars, it is surrounded by a vast, rapidly orbiter cameras will record changes 1n the launch would be 1n 1987, but even this ls spinning magnetosphere and by belts of atmospheric storm patterns a.nd the Great signiflcantly inferior to the 1981/82 oppor­ high-energy particles, making it a major Red Spot. tunity. source of several types of radio radiation. Using relatively Uttle rocket fuel, space 3. The spacecraft technology ls available Jupiter's atmosphere is driven by the same navigators wm employ the free gravitational now. The JOP mission can be meaningfully forces that act on the atmosphere of Earth, pull of Jupiter's large moon to steer the planned based on results of Pioneers 10 and but on a much larger scale-major cyclones orbiter to regions around the planet that 11, and it can take maximum advantage of like the Great Red Spot are thousands of would otherwise be lnaccesslble. By repeated the probe technology being developed for the miles across and persist for centuries, and close encounters with Ganymede and Callisto, Pioneer Venus mission to be launched in Jupiter's ktmosphere contains multiple the orbiter wtll move its apoJove, or farthest 1978 and of the stablllzed outer-planet Voy­ cloud layers, each with lts own temperature point 1n the orbit, around into the tall area ager spacecraft to be launched this year. In and chemical composition. of the magnetosphere. Here, magnetic tleld The four large Galilean satellites of Jupi­ turn, the development of both probe and ter-Io, Europe, Ganymede, and Callisto-­ lines stretch Into space and charged particles orbiter for JOP wlll provide the required also provide a varied and fascinating micro­ move into and out of the trapped radiation basts for additional missions to Saturn, cosm of unique worlds. Some are composed belts. The cumulative effect of many meas­ Titan, Uranus, and Neptune during the rest largely of rock, some of ice, some of liquid urements made during close encounters of of the century. water. Their surfaces probably run the gamut Ganymede and Callisto will be to assemble 4. The required cadre of strong technical from lunar-like cratered plains to salt-cov­ a knowledge of these two satellites as com­ competence is .now available within NASA ered beds of extinct seas to exotic landforms prehensive as that obtained for Mars by the and its contractor establishment. Deferring created out of ice and mud. In an ice-and­ Mariner 9 Orbiter in 1971/72. Finally, after the outer planets program to the next favor­ water dominated regime, famlllar geologic all the major mission objectives have been able launch opportunity would result in loss processes wll1 take place thousands of ttmee accomplished, the option wlll exist to lower of expertise gained from the Pioneer and faster than on a rocky planet, and totally the orbiter into the Intense radlatton near Voyager missions and would probably force unfamlllar geologic forms are expected as the pie.net to study closely the other two the disbanding of the NASA/Industry Team well. The satellltes also react In unique ways major moons, Io and Europa. that has developed the unique technology With the Jovian energetic particles; 1n the The JOP spacecraft will be a cooperative requlred. case of Io, }?ombardment of the surface by a effort of a well-proven NASA/Industry Team. lethal hail of radiation releases sodium and In addition, a slgniflcant international con­ creates a tenuous metallic atmosphere. tribution ls expected Involving the Federal ORGANIZED LABOR FINANCIAL Untll recently our knowledge of Jupiter Republic of Germany. Within NASA, the Jet CONTRIBUTIONS TO CONGRES­ was in only a rudimentary stage. Ground· Propulsion Laboratory wlll have overall mis­ SIONAL CANDIDATES IN THE 1976 based studies by optical, infrared, and radio sion responsibility, whtle Ames Research CAMPAIGNS astronomy defined the most baste properties Center Will be responsible for the entry probe. of the planet and its satellltes and hinted at McDonnell-Douglas and Hughes Aircraft are Mr. GOLDWATER. Mr. President, on the unique scientiflc potential of the Jovian conducting design studies of the probe, and several occasions prior to the 197-6 elec­ system. Our tlrst close-up look, provided by one of these companies will be selected for tion I placed in the RECORD items that the two appropriately-named Pioneer space­ development and fabrication of the fflght clearly revealed the tremendous effort craft in 1973 and 1974, began to reveal the hardware. There ls a reasonable likelthood being exerted by labor unions to influ­ complexity of the atmosphere and the ex­ that the Federal Republic of Germany will ence the U.S. Congress. While sancti­ tent and strength of the magnetosphere. provide the orbit capture propulsion system, monious critics of the political process Without the detatled knowledge of the ln· as well as participate ln the scientiflc investi­ find much wrong with contributions tensity of the radiation environment pro­ gations, thus advancing the International which come from people in business, it is vided by Pioneers 10 and 11, we would be aspects of our planetary exploration program. unable to effectively engineer spacecraft for curious to me that very seldom do they subsequent fflghts to Jupiter. Following the WHY NOW? point their finger at big labor and ques­ Pioneer :flybys, we will launch this year two There are a number of compelling reasons tion what the unions expect to get from sophisticated Voyager spacecraft to the outer why JOP should be a new start 1n FY 1978. all this expenditure of money. In fact, planets. These spacecraft w11l :fly past Jupiter 1. In a balanced plan of exploration of the information about labor donations rare­ and provide a more comprehensive reconnais­ solar system, the time ls ripe for detailed sance of the planet, its satellites, and its en­ studies of Jupiter and Its satellites. To un­ ly shows up in the national media. vironment, before continuing on to Saturn derstand the origin and evolution of the solar To help correct this distorted picture, and beyond. system, we need to understand the Jovian I beUeve it is appropriate to call atten­ Unquestionably the next step 1n the ex­ system. Exploration of Jupiter and the other tion to a just released compilation of fi­ ploration of the Jovian system is to probe outer planets ls a necessary complement to nancial contributions given by labor or­ the atmosphere, making direct measure­ the more detailed and extensive studies being ganizations to candidates for the U.S. ments for the tlrst time beneath the clouds carried out of Mars, Venus, and the Moon. Senate and House of Representatives in of a giant planet, and to make extensive ob­ The JOP mission has received the full en­ servation$ of the planet, its satellttes, and its dorsement of the National Academy of Sci­ the 1976 campaigns. The total of these magnetosphere from a long-lived orbiting ences and of the science community. The political donations is a minimum of $10,- spacecraft. These are the goals of the JOP Space Science Board has stated that explora­ 588,555.74. These amounts include direct, mission. tion of Jupiter and reconnaissance of Uranus "in kind," and independent contribu­ THE JOP KISSION should be the major objectives in exploring tions as reported to the Federal Elec­ By the mid-summer of 1984, while stlll the outer solar system during the next tion Commission. They are minimum ex­ mlllions of mlles from Jupiter, the JOP decade. penditures, since it appears all reporting cameras will already be ma.king extensive 2. Any delay In implementing the JOP mis­ requirements are not being fulfilled by observations, studying features too small to sion will result In deteriorating launch op­ many labor committees. see from Earth. The spacecraft will release portunities. The Intricate economics and the its atmospheric entry probe toward Jupiter scientiflc constraints controlling spacecraft Some of the wide public that reads approximately 66 days prior to entry, after launches tell us that it ls not practical to fly the RECORD will find it interesting that which it wm change its own direction, en­ planetary missions any time we wish. To do the following figures show that Demo­ abling it to miss the planet safely. The probe so would require launch vehicles that would crats received more than 30 times more will continue on course and enter the Jovian dwarf even the giant Apollo Saturn V rocket financial support from organized labor atmosphere just south of the equator. As the system. We are compelled, therefore, to seek than Republicans did. Democrats re­ probe descends through the atmosphere, it opportunities when launch energy require­ ceived $10,208,015 and Republicans wm relay back to the orbiter a continuous ments are at a minimum-a condition dic­ $380,540. In other words, Democrats got flow of data on temperature, pressure, visible tated by the geometry of the solar system and infrared radiation. Specialized instru­ and the highly involved Inter-relationships 96.5 percent of labor contributions in ments on board the probe will measure the of the planets. Although opportunities for 1976. chemical composition of the atmosphere Jupiter launch occur every 13 months, the Mr. President, the detailed list of con­ with an accuracy never before possible. The nature of the elllptical orbits of Earth and tributions was compiled by the Ameri­ probe wlll operate to the bottom of the water Jupiter cause launch energy requirements to cans for Constitutional Action from of­ clouds, where the pressure 1s more than 10 vary significantly from one opportunity to ficial public files of the Federal Election times the pressure on Earth. Rocket engines another. The proposed December 1981/Janu­ Commission. Because of its important will then slow the orbiter, placing it in a ary 1982 launch date for JOP takes full ad­ bearing on the public's right to know, I long orbit around Jupiter. The dangerous vantage of the best Jupiter opportunity that radiation areas close to the planet will be will exist during the remainder of this cen­ ask unanimous consent that the com­ avoided by performing a second rocket burn. tury. A delay of even 13 months would make plete breakdown of organized labor's po­ A five-month first orbit wm gather data it impossible to carry out the full range of litical expenditures in the 1976 elections through Jupiter's magnetosphere and beyond orbiter and probe investigations being be printed in the RECORD. "Pr! ay 12, 1977 CONGRESSIONAL RECORD-SENATE 14547 There being no objection, the break­ John Danforth (R-Mo.) •----- $200. 00 Chris Dodd (Conn. 2nd) • ----­ $31,236.74 down was ordered to be printed in the Harrison Schmitt (R-N.M.) •--- 200. 00 Richard Tonry (La. 1st)•-----• 30,650.00 REcoRD, as follows: Hess Dyas (D-Neb.) lost pri- Marilyn Clancy {Ill. -6th)-----­ 29,794.64 lllary ------100.00 Doug Walgren (Pa. 18th)•----• 29, 724.95 LABoR'S POLITICAL ExPENDD'URES TO CONGRES­ Paul Goulding (D-R.L) lost Jerome Ambro (N. Y. 3rd)•---- 29,447. 75 SIONAL CANDIDATES p r imary ------100. 00 Edward Beard (R.I. 2nd) • ___ _ 28, 946.43 SENATE Charles Ross (R-Vt.) lost prt- .John Cavanaugh (Neb. .2ind) • __ 28,-758.33 organized labor•s financial support to 1n­ niary ------50. 00 Frank Thompson, Jr. (N.J. d1Vidual Senatorial candidat es 1n the 1976 Anyone not listed did not report receiving 4th)•------28,739. 58 elections: any Labor support. Joseph Vigorito (Pa. 24th) __ _ 27. '711.26 Stephen Rapp (Iowa .3rd) _____ Wlllla.m Green (D-Pa.}------$245, 480. 40 HOUSE OF REPRESENTATIVES 27, 686.61 John Tunney (D-caI1!.)------230, 488. 46 Organized labor's financial support to Don Pease (Ohio 13th)•-----• 27,490.50 Daniel Moynihan (D-N.Y.) • ---- 222, 046. 89 1nd1Vidual Congressional candidates in the .Toseph Ammerman (Pa. 23rd)"•_ Z'l, 409. 06 Va.nee Hartke (D-Ind.) ------210. 754. 09 1976 elections: Barbara Mikulski (Md. 3rd) • _ 27.168.77 Harrison Wil1iams (D-N.J.) •--- 205, 008.10 Democrat:, Mike McCormack (Wash. 4th)•• 'n,081. "38 Howard Metzenbaum (D-Ohio) • 197, 669. 05 John Murphy (N.Y. 17th) •---- 26, 983. 75 Stan Lundine (N.Y. 39th) • ---- $106, 535. 93 James O'Hara (D-Mlch.) lost Phillip Sharp (Ind. loth) • ___ _ 26,807.02 lloyd Meeds (Wash. 2nd) • ___ 67, 723. 97 Stephen Neal (N.C. 5th)*--­ 26.481.00 prlniary ------1-96,883.95 Jim Mattox (Texas 5th)•----- 66, 250.47 Paul Sarbanes (D-Md.) • ------169. 500. 22 Morris Udall (Artz. 2nd)•--• 26,188. 31 Thomas O'Neill, Jr. (Mass. John J. Moakley (Mass. 9th)•_ 26.107.38 Frank Moss (D-Utah)------­ 145, 546.35 65,527.75 James Sasser (D-Tenn.)------­ 138,839.29 8th)*------Helen Meyner (N.J. 13th)•---• 26,029.93 l3ob Gammage (Texas 22nd)•-- 64,225.50 Brock Adams (Wash. 7th)•---• 25,997.94 Donald Riegle (D-Mich.) • ----­ 138. 046. 61 58, 337. 95 Hubert Humphrey (D-Mlnn.) • _ Martin Russo (ID. 3rd)•------• Robert Giaimo (COnn.. 3rd)•• 25, 919.12 125,82L13 56,396.79 Tom Ashley (Ohio 9th)•------• Pat Fullinwider (Ariz. lst)-­ 25,393.22 Elmo Zumwalt (D-Va.)-----­ 121. 255. 61 Robert Young (Mo. 2nd)•------56,071.55 Bass (Ten.n. 6th)----­ 25, 309.80 Joseph Montoya (D-N.M.)------101,426.32 Michael Blouin (Iowa 2nd) • __ _ 54, 480. 22 Ross Dennis DeConcinl (D-Arlz.) • __ _ Andrew Young (Ga. 5tb}•---• 24, 997.00 92, 717.25 Pat Schroeder (Colo. 1st)•---• 53, 288. 90 John Melcher (D-Mont.) • ----­ 83,236. 57 Kenneth Holland (S.C. 5th)• __ 24,913.179 John Dent (Pa. 21st) • ------­ 52,885.50 Edmund Muskie (D-Me.)•- --- 77, 321.24 Romano Mazzoll (Ky. 3rd)•--• 24, 569.32 Edward. Kennedy (D-Mass.) • __ _ Floyd Fithian (Ind. 2nd) • ----­ 51. 789.65 "16, 901. 24 51,417.65 Paul Simon (ID. 24th)•---- 24,294.27 Spark Matsunaga (D-Hawail) • _ Jim Lloyd (Calif. 35th) •-----• John McFall (Callt. 14th)•__ _ 23,925.00 75,300.00 Richard Vander Veen (Mich. Lloyd Bentsen (D-Tex.) •----• 64, 160.00 De.an Close ( Calif. 18th) ----­ 2S,717.00 5th} ------50,464.86 Gale McGee (D-Wyo.)------­ 63.672.74 Mark Hannaford (Call!. Fred Barton (Me. lst)----­ 23,649.85 Howard Cannon (D-Nev.) •--• 61,197.52 Norman D'Amours (N.H. tst)•• 23,158.87 34th)• ------50. 063.88 Tom Maloney (D-Del.)------­ 58,519.14 49, 504.30 Henry Helstoskl (N.J. 11th)---­ 22,617.91 James Symington (D-Mo.) lost Tlm Wirth (Colo. 2nd)*------Edward Mezvinsky (Iowa lst)-­ 49, 458.97 Robert Leggett (C&llf. 4th)•-• 22,400.00 primary ------58, 314. 00 Bob (Mich. 6th)•------• 48.204.56 Marto Blagg! (N.Y. 10th)·--­ 22,348.08 Robert Byrd (D-W. Va.) • ------49, 866. 57 ca.rr J. F.dward Roush (Ind. 4th) __ Alvin Baldus (Wis. 3rd) • ------47. 789. 12 22,165.00 Eella Abzug (D-N.Y.) lost pri­ Francine Ryan (Ohlo 12th) ___ _ 47,529.21 Fred Richmond (N.Y. 14th)•-­ 22,073.20 mary------46, 257. 07 Leon Panetta (Callf. 16th)•---• 45,451.46 Wi111am Clay (Mo. 1st)•---• 22.010.17 Ed Zorinsky (D-Neb.) • ------45, 970. oo 44,510.90 Lester Wolff (N.Y. 6th)•------22,000.21 James Stanton (D-Obio) lost Leo Zeferetti (N.Y. 15th)•----• Dan Ogden (Colo. 4th) ______Gladys Spellman (Md. 5th)• __ 43,229.51 21, 934.69 primary------42,487.05 43,049.44 Allan Howe (Utah 2nd)------­ 21,885.00 Peter Peyser (R-N.Y.) lost prt- Richard Nolan (Minn. 6th)•• Martha Keys (Kan. 2nd)•---• il, 484.41 Robert Washington (Va. 2nd)­ 21,748.84 41,868.28 Pred 11.ooney (P&. 15th)•-----• 21,722.20 QuentinInal'Y ------Burdick (D-N.D.) • __ _ Jerry Patterson (C&Uf. 38th) •-• 42.463.89 41,009.31 Prank Evall$ (Oolo. 3rd)•----• 21, 511.83 Warren Hearnes (D-Mo.)-----­ Robert Cornell {Wis. 8th)•----• 42. 389.87 87, 486. 34 Norman Mineta (Callf. 13th)•-• 42,149.86 J. J'os.eph Grandmaison (N.H. Robert Stafford (R-Vt.) • ------35 976.48 21,503.87 Lowell Weicker (R-Conn.) • __ _ Robert Edgal' (Pa. 7th) • -----­ 41. 816.23 2nd) ------27,478.33 Marilyn Lloyd (Tenn. 3rd) • __ _ 21,395.91 J. Glenn Beall (R-Md.)----­ Tom Downey (N.Y. 2nd)•-----• 41, '126. 70 26,450. 00 Bob Traxier (Mich. 8th)•-----• 41,4317.85 Robert Nix (Pa. 2nd)• ______.: 20. 956.20 Richard Lorber (D-R.Y.) ----­ 22,061. 12 Thomas Towe (Mont. 2nd) ___ _ 20, 108. 45 Gloria Schaffer (D-Conn.)--­ Charlie Fried.man (Pla. 12th)--­ 41. 384. 61 19,503.25 James Florio (N.J. lst)•-----• 41.341.41 Norma Bartle (N.Y. 30th) ____ _ 19,939.57 Robert Taft (R-Ohio)------­ 18,972.40 Teno Roncalio (Wyo. at lge) • __ 19,776.99 Paul O'Dwyer (D-N.Y.) lost prl- Lanny Davis (Md. 8th)------40,970.24 Bruce Vento (Minn. 4th)• __ _ 40,919.10 Mike Rowland (Tenn. 2d)----­ 19, '114. 61 inary ------18,000.00 Abner Mikva (ID. 1oth) • ------­ 40, 867.29 Dale Klldee (Mich. 'lth) • -----­ 19, 414. 00 John Heinz (B-Pa.) • ------14, 898. 81 Bob Eckhardt (Texas 8th) • __ 40,640.00 John Burgess (Vt. at lge.) -----­ 19,300.00 Thomas Salmon (D-Vt.} ------12, 300. oo Jeanett Reibman (D-Pa..) lost Toby Moffett (Conn. 6th)•---• 40, 623. 47 Joseph Smith (Wis. 6th}------­ 19,245.00 Les AuCoin (Ore. 1st)•------• 40,550.00 Charles Wilson (C&llf. 81st) • __ 19,218.00 primary ------10, 465. 00 Austin Murphy (Pa. 22nd)•__ Patsy Mink (D-HawaU) lost prl- Ralph Metcalfe (ID. 1st)•-----• 39. 987.43 18,'120.94 Charles Carney (Oh1o 19th)•--• 39.649.70 Joseph Fisher (Va. 10th)•--• 18,527.40 .,, 700. 00 DJary ------Jobn McDonald (Ohio l'Tth)--- 39,616.58 Michael Adantl (COnn. 5th) --­ 18,211.74 Henry Jackson (D-Wasb..) •---- 4,099.21 Howal'd Wolpe (Mich. Srd) __ _ 89,422.41 James Hanley (N.Y. 32nd) • __ 18, 1'75.00 Sohn Chafee (R-R.L) • ------­ 3,300.00 Bl&ncbard (M1ch. Herman BadU1o (N.Y. 21st)•__ Phlllp Hayes (D-Ind.) lost prt- James 18,000.83 18th)• ------39,326.42 Don Bonker (Wash. 3rd)•--- 17,998.97 niary ----~------~-- S.050.00 J. W. O'Brien (Va. 4th) ______17, 981.29 Orrin Hatch (R-Utah)------3, 000.00 Andrew Maguire (N..J. 7th)•---- 88, -373. 61 Jaek Carlson (R-Utab.) lost Tom Luken ( Ohio 2nd)•-----• 88.140. 00 Charles Rangel (N.Y. 19th) ·­ 17, '750. 83 Jim 01:U' Tucker (.Ark. 2nd)•_ 17, 681.13 primary------2,500.00 Phll Burton (caltt. 6th)*--­ 38~ 050.00 Phlllp Noel (D-R.L) lost prt- StanXress (Idaho 2nd)----­ 37. '1'18.fll Gerald .Biessey (Mlsa. 5tb)--­ 17, 561.38 James Weaver (Ore. .fth)•---• 3'1.680.00 Gillls Long (La. 8th)•-----• 17, 100.00 Je~t~~-(D:Mo~)-dl~= :: :Jg: gg Max Baucus (Mont. 1st)•----• 36, 996 . .25 James Scheuer (N.Y. 11th)•• 16. 958. 08 Harold Ford (Tenn. 8th}•--• 36,523.16 Cli.tiord Allen {Tenn. 5th)• __ 16,935. 08 William Proxmire (D.-Wis.) ·-- 1. SH.86 Glenn Anderson (Calif. 32nd) • _ John Hawkins (D-B..I.) lost Wllllam Ford (Mich. 16th)•---• 36,267.50 16.868. 01 Tom Harkin (Iowa 5th)•---• -36. 0'14. 44 RobeJ't Qu1nn (Va. lst}-----­ 16.831.01 primary ------t, 165. '72 Richard Gephardt (Mo. 3rd) • -­ 16, 830. 52 Wllllam Roth (R-Del) • -----­ 1. 050.00 Tim Hall (Ill. 15th)------­ 36,003.68 Ramsey Clark (D-N.Y.) lost David Evans (Ind. 6th)•----- 35,686.83 Edward Wtnt.erberg (Ky. 4th)_ 16,7'78.38 Sam Shipley (Del. at lge.) ____ 84. 790.00 DaVid Cornwell (Ind. 8th)• __ _ 16,646. 35 primary ------1.000.00 Edward Pattison, N.Y. 29th)•• 16, 547.i5 S. L Hayakawa (R-Callt.) • ----­ 1,000.00 W1l1lam Brodhead (Mlch. Tom Hayden (D-Calif.) lost 17th). --- • ------34. 668.00 James Howard (N.1. 3rd)•---• 16, 220. 00 Robert Drinan (Mass. 4th)• __ _ Joshua Ellberg (Pa. •th)•--• 16,098.19 primary ------1,000.00 84.665.92 Wllllam Lehman (Pia. 13th}• __ Peter Kostmayer (Pa. 8th) • __ 16, 956.20 Alan Steelman (R-Tex.) ______1, 000.00 34.460.92 Frederick Lagone (D-Mass.) Io.st Gary Pamlllan (C&llf. 27th) ___ _ "34,M&.89 Da.nlel Akaka (Hawaii 2nd)-_ 15# 818. 09 Ted Risenhoover (Okla. 2nd) • _ 33,G78.40 Dona.Id Fraser {Minn. 5th)•-• 15,675.00 primary ------'150.00 JoAnne Saunders (Fla. l5th) ---- 15, 64'7.00 Blll Brock (R-Tenn.) ______500. 00 Herb Harris (Va. 8th)•------• 33. 520. 93 Manin Esch (R-Mlch.) ______Barbara Jordan (Tex. 18th}• __ _ 15.520. o'o "500. 00 John Burton (caut. 5th)•----- 83.100. 00 C&rolyn Warner (D-At1z.) lo.st Eugene Atkinso~ (Pa. 25th) ___ _ 33, 062..10 Joseph Minish (N.J. lUh) • ---­ 15.520.00 Francis Brouillette (:Mlch. Henry Reuss (Wls. 5th) •---- 15,450.00 pr1.Inary ------500.00 George Miller (Calif. 7th)• __ _ 15, 4:20.00 .Tohn. McColllster (R-Neb.)=== 400.00 11tb) ------32,850. 00 Robert Abra.UlS {D-N.Y.) David Bonior (Mich. 12th) • __ _ 32.833. 58 Dorothy Hores (Colo. 5th) --­ 1~363.41 dropped out ______Matthew McHugh (N.Y. 27th)•_ 14,891.30 300.00 32, 770. 60 Gloria Ori.ffln (Minn. 2nd)---­ John Jenrette (S.C. 6th)•------32, 073. 54 Harold Volkmer (Mo. 9th)•-­ 14, 868. 62 •Indicates winner. Norman Dicks (Wash. 6th) • ___ _ 31,348.60 Werner Fornos (Md. 4th)------14,814.~8 14548 CONGRESSIONAL RECORD-SENATE May 12, 1977 LABOR'S POLITICAL EXPENDITURES TO CoNGRES­ Corinne Boggs (La.. 2nd)•------$7,800. 00 Anthony Bellenson (Callf. SIONAL CANDIDATES-Continued Ben Rosenthal (N.Y. 8th) • ___ _ 7,700.58 23rd) • ------$2, 1.68. 00 HOUSE OF REPRESENTATIVES King Golden (Calif. 41st) -----­ 7,593.89 Robert Sally (Calif. 22nd)-----­ 2, 146.28 Gus Yatron (Pa. 6th)•------$14, 747. 20 Leo Ryan (Calif. 11th)•------7,450.00 Jack Hightower (Texas 13th) •N 2, 125.00 Willla.m Bowen (Ohio 1st) ____ _ 7,370.00 Minna Peyser (N.Y. 25th)----­ 2,000.00 ii!r;~y~~.John Dingell (Mich. 16th)•---- 14, 350. oo Shirley Chisholm (N.Y. 12th) __ 7,250.83 Dawson Mathis (Ga. 2nd)•---• 1,950.00 Ken Pursley (Idaho 1st)______14, 333. 93 John Seiberling (Ohio 14th)•_ 7,222.98 Richard White (Texas 16th)• __ 1,950. 00 George Shipley (DI. 22nd)•---- 14, 287. 42 John B. Breaux (La. 7th)•---• 7,200. 00 Robert Krueger (Texas 21st)•-• 1,830.00 Paul Tsongas (Mass. 5th)•----- 14, 251.-. oo AuguLouis Stokes (Ohio 21st)•----- 14, 122. 67 29th\*------7,168.01 Gabriel Cazares (Fla. 6th)----­ 1, 797. 00 Peter Rodino (N.J. 10th)•----- 13, 999. 31 Otis Pike (N.Y. 1st)•------• 7,050. 83 Lloyd Qmdahl (N.D. at lge.) ---­ 1, 717. 71 Claude Pepper (Fla. 14th)•---- 13, 958. 58 Bob Bergland (Minn. 7th)•--• 7. 050.00 Edw.ard Mccolgan (Mass. lst)-­ 1,710. 00 Edward Pierce (Mich. 2nd)----- 13, 944. 50 Al Ullman (Ore. 2nd) •------• 6,860.00 Tom West, Jr. (Ohio llth}---­ 1,700.00 Dan Gllckman (Kan. 4th)•---- 13, 936. 34 Cardiss Collins (Ill. 7th) • ---­ 6,675.00 Sam Gibbons (Fla. 7th) • -----­ 1,689.33 Mary Rose Oakar (Ohio 20th)•- 18, 761. oo Peter Mack (TU. 20th)------­ 6,660.00 Peter Geraci (N.Y. 38th) ------­ 1, 681. 74 Joseph Gaydos (Pa. 20th)•----- 13, 731. 20 Richard Daugherty (Mich. 4th) 6,500.00 Patti Lear Corman (Calif. 20t h) 1,618.00 James Guffey (S.D. 1st)------­ 6,400. 00 Sidney Yates (Ill. 9th)•------1, 550. 00 Ronald Mottl (Ohio 23rd)•---- 13, 647. 07 Glenn English (Okla. 6th) • ___ _ Ronnie Flippo (Ala. 5th)•----- 13, 597. oo Marie Fese (Ill. 14th)------­ 6,372. 96 1,505.00 Robert Roe (N.J. 8th) • ------13, 372. 70 John Conyers, Jr. (Mich. 1st) • _ 6,350.00 Walter Fauntroy (District of Ted Snyder (Calif. 33rd) ______13, 317. 98 Ed Koch (N.Y. 18th)•------• 6,325.83 Columbia) • ------­ 1,450. 00 Dan Rostenkowski (DI. 8th) • __ 13, 300. Ken Hechler (W. Va. 4th)----­ 6,204.83 Jack Brinkley (Ga. 3rd) • ------1, 447.00 oo Lloyd Blevins (Tenn. 1st) ____ _ John Moss (Calif. Srd) • ------13, 255. oo Tonv Mason (Ariz. 4th)------­ 6,184.03 1, 419. 20 Henry Nowak (N.Y. 37th) • ----- 13, 250. 83 Edwin Frank (Ill. 12th)------­ 6, 125.00 Jonathan Bingham (N.Y. Charles Horne (Va. 9th)------13, 202. 67 Michael Minney (Pa. 16th)---­ 6,055.59 22nd)* 1,300. 83 James Oberstar (Minn. 8th) • __ 13, 150. oo · Melvin Price (Til. 23rd)•-----­ 6,015.42 Paullne Anderson (Neb. lst)-­ 1,300. 00 Gunn McKay (Utah 1st)• __ ___ ;. 13, 126. 71 W. G. Hefner (N.C. 8th)•-----• 6,000.00 Olin Teague (Texas 6th)•--- -­ 1,300.00 Butler Derrick (S.C. 3rd) • ----- 1, 100.00 Richard Bolllng (Mo. 5th)•____ 13, 112. 52 Ronald Rodger (Ill. 4th)------­ 5,900.00 Ted Strickland (Ohio 6t h) ____ _ Jim Wright (Texas 12th)•----- 12, 983. 81 Bllly Lee Evans (Ga. 8th)•--- ­ . 6, 897. 00 1,100.00 James A. Burke (Mass. 11th)•- ­ 5,753. 60 John Tipton (Ind. 7th) ------­ 1,097. 92 Allen Ertel (Pa. 17th)•------12, 909. 23 Charles Diggs, Jr. (Mich. Gerry Studds (Mass. 12th)•---- 12, 809. 60 B. F . Sisk (Call!. 15th)•-- --- ­ 5,505. 00 1, 095.00 Ed Jones (Tenn. 7th)•------12, 758. 60 Lionel Van Deerlin (Calif. 13th)•------Ronald Ginn (Ga. 1st)•------• 1, 047.00 Adam Benjamin (Ind. 1st)•---- 12, 750. oo 42nd) • ------­ 5, 493.89 Fernand St Germain (R.I. Tom Dunlap (Okla. 5th)-----­ 5,465.00 w. C. Daniel (Va. 5th)•------• 1,000. 00 Albert Gore, Jr. (Tenn. 4th)• __ 5,177.60 Andy Jacobs (Ind. 11th)•-----­ 1,000.00 1st)• ------12,711.12 Henry Gonzalez (Texas 20th) • __ 913. 48 . Edward Patten (N.J. 15th)•---- 12, 545.17 Charles Rose (N.C. 7th)•------5.097.00 Bruce Edwards (Ohio 5th) ____ _ Ron Dellums (Callf. 8th)• __ _ _ 5,050.00 900.00 Tom Foley (Wash. 5th)•------12, 523. 97 Merlin Karlock (Ill. 17th) ____ _ 800.00 Joseph Addabbo (N.Y. 7th) • __ 12, 433. oa David Harris (Call!. 12th)---- ­ 5,050.00 William Stout (Ind. 5th) ______Michael Harrington (Mass. Daryl McCarthy (Utah 2nd)---­ 5,000.00 800.00 Anita Maxwell (N:Y. 31st)-- ---­ 800. 00 12,274.05 Blll Alexander (Ark. 1st)•----- 4, 806.14 Grace6th)* Mickelson ------(S.D. 2nd) • __ Mel Bailey (Ala. 6th) ______4,700.00 Bruce Latta (Calif. 26th)-----­ 768.00 12,200.00 Bill Davenport (Ala. 1st)-----­ 750. 00 Elllott Levitas (Ga. 4th)•-----• 12,197.00 Doug Barnard (Ga. 10th)•---• 4,675.00 William Hughes (N.J. 2nd( • __ Carroll Hubbard, Jr. (Ky. 1st)• 4,624.64 Sam Hall (Texas 1st)•------­ 600. 00 12,026.71 Clinton Dorsey (Ohio 4th)----­ 500.00 Yvonne Burke (Qallf. 28th)•-- 12,018.00 J~k Brooks (Texas 9th) • ---­ 4,600. 00 Lynn McDonald (Wis. 9th) ___ _ Robert Duncan (Ore. 3rd) • ---­ 4,570.00 John Flynt (Ga. 6th) • ------­ 500.00 12,000.00 Eben Hopson (Alaska. at lge.)-­ 500.00 Donald Albost.a (Mich. loth) __ 11,988.90 James Jones (Okla. 1st)•-----• 4,500.00 Edward Markey (Mass. 7th) •-• Mike McGee (Ohio 15th)-----­ 4,332.98 Walter Jones (N.C. 1st)•------• 500. 00 11,875.00 Carl Perkins (Ky. 7th)•------• 500.00 David Obey· (Wis. 7th)·-----­ 11,659.63 Joe Waggonner, Jr. (La. 4th) • __ 4,260.00 Fortney Stark (Calif. 9th)•---• David Bowen (Miss. 2nd) • ---­ 4, 201. 62 .Robert Sikes (Fla. lst)•------600.00 11,405.00 Blll Sikes (Fla. 10th) ______500.00 Stephen Solarz (N.Y. 13th)•--• 11,825.83 Jerry Huckaby (La. 5th)•----• 4,150.00 Ike Skelton (Mo. 4th)•------• Goodloe Byron (Md. 6th) • ----­ 4, 100.00 Dave Wood (Wash. 1st)------­ 500.00 11,262.52 Charles Vanik (Ohio 22nd)•---• 500.00 Raymond Lederer (Pa. 3rd) •-• 11, 198.10 Harley staggers (W. Va. 2nd) • _ 4,016.79 John Murtha (Pa. ·12th)•------Morgan Maxfield (Mo. 6th) ____ _ 3,952.52 William Natcher (Ky. 2nd)•---• 488.74 11, 081. 20 Charles Whitley (N.C. 3rd) • ---­ 400.00 Allard Lowenstein (N.Y. 5th) __ _ 11,007.99 Stephen Fawley (Mich. 9th) __ _ 3, 904.00 Douglas Applegate (Ohio John Fary (Ill. 5th)•------• 3,900.00 James Mann (S.C. 4th)•------• 397. 00 Michael Myers (Pa. 1st) • ------3,617.60 Pat Kelly (Callf. 43rd) -----~-- 393. 89 18th)• _ ------10,960.41 Don Edwards (Callf. 10th)• ___ _ Anthony Campolo (Pa. 5th) ___ _ 317.60 James Delaney (N.Y. 9th)• ___ _ 10,835.83 8,600.00 John Young (Texas 14th)•---• 3,600.00 John Breckinridge (Ky. 6th) • __ 300.00 Nick Rahall (W. Va. 4th)•---• 10,825. 00 John Grlffln (Ohio 8th)------­ 300.00 William Cotter (Conn. lst)•-• 10,611. 74 Lee Hamilton (Ind. 9th)•----• 3,550.00 Don Sisson (Call!. 19th)-----­ 8,348.89 Paul Rogers (Fla. llth)*------­ 300. 00 John Slack (W. Va. 3rd)•----• 10,566.79 Wes Watkins (Okla. 3rd) • ----­ 300. 00 Joseph A. Le Fante (N.J. Cecil Heftel (Ha.wall 1st) • ----­ 3,250.00 14th)• Richard !chord (Mo. 8th)•---- 3,205.00 Dolan Hawkins (Mo. 7th)----­ 260.00 10,945.17 John Maloney (N.Y. 26th)-----­ 260. 00 George n;iite1son Lamar Gudger (N.C. 11:th) • __ _ 8.200.00 (0811f.• O. V. Montgomery (Miss. 3rd)• 250. 00 30th) _ Vivian Hall (Calif. 40th) ------3,193.89 10,468.00 John Freedom (Ohio 16th) ___ _ Larry McDonald (Ga.. 7th)•---- 250. 00 Richard Ottinger (N.Y. 24th)•: 3,166.08 Virgil Olson (Kan. 5th) ______10,450.83 Richardson Preyer (N.C. 6th)•-• 3,100.00 250. 00 Charles Wilson (Texas 2nd) •-• 10,050.00 Ray Roberts (Texas 4th)•----• 250.00 Robert Mollohan (W. Va. 1st)•• William E. Farris (Callf. 39th)-- 3,093.89 9,894.77 Berkley Bedell (Iowa 6th)• ___ _ 3,050.00 Tom Steed (Okla. 4th)•------• 250.00 Les Aspin (Wis. 1st) • ------­ 9,850.00 Lucien Nedzl (Mich. 14th)•---• S,050.00 Don Fuqua (Fla. 2nd)•------• 200.00 Gerald Halpern (N.Y. 4th)---­ 9,732.24 Elizabeth Holtzman (N.Y. Joseph Rosier (Fla. 9th)------200.00 Tom Bev111 (Ala. 4th)•------9,680.38 Richard Noll (Pa. 19th) ______167.60 Catherine Cost (N.J. 6th) ___ _ 16th)*------2,950.00 9,670.00 J. Carole Keahey (Ala. 2nd) __ _ 2,900.00 Douglas Nilson, Jr. (Calif. 37th) 150.00 Henry Waxman (Calif. 24th)•-• 9,668.00 Raymond Garcia (N.M. 1st)---­ 76.71 George Brown, Jr. (Calif. Ike Andrews (N.C. 4th)•-----• 2,800.00 Leighton Cooney (Me. 2nd)---- 2,800.00 Edward Mitchell (Pa. 10th)---- 67.f:'IO 36th) • ------9,643.89 Theodore Weiss (N.Y. 20th) __ _ 2,750.83 Gertrude Strick (Pa. 13th) ____ _ 67.60 Parren Mitchell (Md. 7th) • __ _ 9.482.07 Clement Zablocki (Wis. 4th)•,• 2,750.00 James Plummer (Ohio 10th)---- 64.98 Joseph Early (Mass. 3rd)•-----• 9,350.00 Bill Burlison (Mo. 10th)•-----• 2,670,00 Robert Olson, Jr. (Minn. 1st) __ _ 50.00 John Krebs (Oalif. 17th)•----• 9,300.00 Dante Fascell (Fla. 15th)•----- 2,647.00 Republicans Neal Smith (Iowa 4th)•-----• Matthew Ryan (DI. 18th) ______9,250.00 2,617.42 Matthew Rinaldo (N.J. 12th)•-• 17,907.48 J. D. DeBileux (La. 6th)------­ 9,000.00 Dale Milford (Texas 24th)•---• 2,608.81 Donald Young (Alaska at lge.) • _ 12,650.00 Frank Annunzio (DI. 11th)•-• 8,847.20 Robert Kastenmeier (Wis. Edward Roybal (Callf. 25th) • __ Silvio Conte (Mass. 1st)•-----• 10,059.38 8,820.50 2nd)• 2,600.00 Ronald Sa.rastn (Conn. 5t'h) •-• 8,462.20 Dan Flood (Pa. 11th) •------• 8,781.20 Geoffrey Peterson (Conn. 4th)_ Andrew Ireland (Fla. 8th)•---• 2,511.10 Ben1a.mln Gllma.n IN.Y. 26th)•• 8,091.40 8,756.74 Arthur Goodman, Jr. (N.C. 9"th) 2,500.00 Arthur Mason (Mass. 4th)----­ 8,000.00 Mendel Davis (S.C. 1st)•------8,610.11 Frank Nero (N.J. 5th) ______Blll Chappell, Jr. (Fla. 4th)•-• 2,450.00 Frank Horton (N.Y. 34th) • ---­ 7, 650. 00 8,070.00 Harold Johnson (Call!. 1st)• __ J. Edward Meyer (N.Y. 23rd) __ 2,450.00 Wllllam Walsh (N.Y. 33rd) •---• 6.400.00 7,950.83 Dorothea Becker (Mich. 19th)-­ 2,414.00 Fred Rohlfing (Ha.wall 1st) ---- 5,550.00 Ed Jenkins (Ga. 9th)•------• 2,400.00 Joseph McDade (Pa. 10th) • ___ _ 5, 263. 6.0 •Indicates w.inner. Sam Stratton (N.Y. 28th)•---- 2,400.00 Wllliam Cohen (Me. 2nd)•---- 3,700.00 May 12, 1977 CONGRESSIONAL RECORD-SENATE 14549 Charles Whalen, Jr. (Ohio FINANCIAL STATEMENT OP the European communit~s visitors' pro­ Srd) • ------$8, 458. 00 SENATOR GARN gram to study coordination of national Elford Cederberg (Mich. 10th)•_ 3, 100. 00 energy policies of member states, is in the Edward Madigan (ID. 21st}•___ 3, 000. 00 Mr. GARN. Mr. President, I have long .Margaret Heckler (Mass. believed that persons elected to public interest of the Senate and the United 10th)*------~---- 2,900.00 States. The proposed itinerary includes: office have an obligation to disclose to departure from Washington, D.c·.• May 14 0. W11llam. Whitehurst (Va. their constituen~ information describ­ 2,850.00 Brussels; in Belgium, 2nd) • ------ing their personal .financial position. I for travel West Albert Quie (Minn. 1st) • -----­ 2,500.00 Germany, Denmark, the Netherlands, Philip Ruppe (Mich. 11th)•---• 2,500.00 believe that the voters of Utah have a right t.o know where any Potential con­ Belgium, France, and Great Britain, Ma.rk Andrews (N.D. at lge.) •-• 2,400.00 May 15-June 16; and Washington, D.c .• Newt Gingrich (Ga. 6th)-----­ 2,400.00 flict of interest may exist as a result of June 17. Bicha.rd King (Mo. 4th)------2,400.00 the sources of income of their Senator, J'ohn Renninger (Pa. 8th) ______2,400.00 and so I am pleased to submit this state­ Robert Daniel, Jr. (Va. 4th) • __ _ 2, 250.00 ment and ask unarumous consent that it THE NEED FOR MORE DEBATE ON Donald Mitchell (N.Y. 31st) • __ 2,200.00 be printed in the RECORD. OUR POLICY TOWARD ZAIRE John Buchanan (Ala. 6th)•---• 2,000.00 Dan Marriott (Utah 2nd)•----- 2,000.00 There being no objection. the financial Mr. HASKELL. Mr. President, recent Newton St.eers (Md. 8th) • ____ 2,000.00 statement was ordered to be printed in even~ in Zaire have been the subject of Joe Skubitz (Kan. 5th) • ------­ 1,800.00 the RECORD, as follows: a good deal of very healthy public discus­ Don Clausen (Calif. 2nd)•----• 1,750.00 1976 PERsONAL FINANCIAL STATEMENT: sion. In my opinion we need a good deal Gene Taylor (Mo. 7th)•------• 1,650.00 SENATOR JAKE GARN Paul McCioskey, Jr. {Calif. 1976 gross income______$71,934 more such debate before Congress 12th)•------1,550.00 authorizes any sizeable amount of assist­ Barry Goldwater, Jr. (caiif. U.S. Senate Sal.a.ry ______44, 600 ance-.either military or economic-to 20th)•------1, 500.00 Utah Air National Guard______2, 790 Zaire. That debate should focus not only H. Joseph Hepford (Pa. 17th)-- 1,500.00 on the nature and ramifications of the Larry Pressler (S.D. 1st)•------1, 280. 00 llonorar1a ------23,650 Interest------894 present conflict in Shaba Province, but J.ohn Anderson (Ill. 16th)•___ _ 1,250.00 also on the basic principles and assump­ J'ames Quillen (Tenn. 1st)•---• 1,200.00 Taxes paid______22,018 Wllllam Harsh.a (Ohio 6th) • __ 1,150.00 tions which underlie U.S. policy toward this central African nation. There are a Carl Pursell (Mich. 2nd).----­ 1,125.00 Federal Income truces______12, 552 Norman Lent (N.Y. 4th)•---• 1, 100.00 number of fa~tors which make continued Social security tax (Self-employ- support for the regime of General Trent Lott (.Miss. 5th) • ------­ l, 100. 00 ment honoraria) ------1, 209 Gene Snyder (Ky. 4th)•-----• l, 100.00 Utah State income taxes______2,331 Mobutu a highly dubious prol)OSition. .John Wydler {N.Y. 5th)·-----­ 1, 100. 00 Beal estate, personal property and Gerald Bender, of the University of William Broomfield (Mich. other tu:es______S. 926 California at San Diego, wrote in the Los 19th)*------1,000.00 Angeles Times of late March that on Cla1r Burgener (Calif. 43rd)•-- Total assets______232, 500 1,000.00 grounds of respect for human rights, J-aek Edwards (Ala. 1st)•-----• 1,000.00 Estimated market value, aequired Henry Hyde (Ill. 6th)•------• l, 000. 00 political reliability, competence as a mili­ and mortgage: tary or economic leader, respect for Richard Schulze (Pa. 5th) • ---­ 1,000.00 Home in McLean Va~ $125,000. John Ashbrook (Ohio 17th)•--- 800.00 private property, or the development of James Jeffords (Vt. at lge.} • ___ 1975 ------79, 500 800.00 Home ln Salt Lake City, Utah. the urban and urban areas of his country, Garner Shriver (Kan. 4th) ____ _ 800.00 $41,000. 1976______13, 500 it is difficult t.o justify continued milit.ary Moyd Spence {S.C. 2nd)•----• 800.00 Land. 40 acres, cache County, to John J. Rhodes (Artz. 1st) • __..:._ aid Mobutu. 700.00 Utah. $16,000, 1966------Prof. Stephen R. Weissman. of the Thad Cochran (Miss. 4th)•---• 650.00 Land. s acres, Wasatch County, Bfil Frenzel (Minn. 3rd)•-----• 600.00 Utah, $25,500. 1975______University of Texas at Dallas, a ~aire expert, testified on Apr..il 28, before the Guy Van.der Jagt (Mich.. 9th) •• 600.00 Cabin, Wasatch County, Utah, Henry Andreas (cant. 17th)---­ 500.00 $25.000.]968______4.600 Subcommittee on Africa of the ~ouse In­ Tlm Lee carter (Ky. 5th)•---- 500.00 Total ll&blllttes..______97, 600 ternational Relations Committee. "that Quincy Oolllns (Ga. 7th) ______500.00 F.stlmated net worth ______134,900 American policy in Zaire is in danger of R. Lawrence Coughlln (Pa. reenacting the Ethiopian syndrome" that 500. 00 I own no stock or bonds or any interest 1n 13)• ------any business or partnership. is. continuing American identification Edwin Forsythe (N.J. 6th)•___ _ 500.00 with a government inc~ingly perceiver Albert Johnson (Pa. 23rd}----­ 500.00 by be dic­ Tom Railsback {Ill. 19th)•---• 600.00 im own people to repressive, J'ohn Rousselot (Calif. 26th)• __ 600. 00 NOTICE OF. A DETERMINATION BY tatorial and corrupt. followed by th,· E. G. Shuster (Pa. 9th}•------• 500.00 THE SELECT COMMITTEE ON overthrow of that government and the Stewart McKinney (Conn. ETHICS UNDER RULE 43. PARA­ emergence of a successor regime deeply 4th)• ------300.00 GRAPH 4, PERMI'ITING ACCEPT­ suspicious of or hostile to the United George O'Brien (lli. 17th)•---- 300.00 ANCE OF A GIFT OF EDUCATIONAL St.ates. Joel Pritchard (Wash. 1st)• __ _ 273.97 TRAVEL FROM A FOREIGN NA­ "The like]y result," Professor Weiss­ Bill Archer (Texas 7th)•------• 250. 00 TIONAL John Duncan (Tenn. 2nd)•---• 250. 00 man asserts. of continued American and John Hammerschmidt (Ark. Mr. STEVENSON. Mr. President, it is Western limited military, political. and 3rd)• ------250.00 required by paragraph 4 of rule XLIII economic SUPport to the Mobutu regime Bob Jones (call!. 11th) ______250.00 that I place in the CONGRESSIONAL "will be a near-term political collapse" James Abdnor (S.D. 2nd) • ----- 200. 00 RECORD this notice of a Senate emplayee of Mobutu ''followed by the emergence Arthur Bond (Md. 6th) _____.:. _ 200.00 of a turbulent, leftist, anti-American William Bronson (Mass. 6th) ___ who proposes to participate in a pro­ 200.00 gram, the principal objective of which is government, and increased l)f'larization James Broyhill (N.C. 10th) • __ _ 200. 00 and danger of proxy war in Central and Roger Fischer (Pa. 22nd)•----• 200.00 educational, sponsored by a foreign Louis Frey, Jr. (Fla. 9th)•----• 200.00 government or a foreign educational or Southern Africa." Tennyson Guyer (Ohio 4th)• __ 200.00 charitable organiY.ation involving travel A far preferable course. he argues, is Elwood Hlllis (Ind. 5th) • -----­ 200.00 to a foreign country paid for by that for the United St.ates "to scale down as­ J. Wllllam Stanton ( Ohio foreign government or organization. sistance and to minimize our association 11th)•------200.00 The Select Committee received a re­ with one of Africa's weakest and most James R. Tate (Va. 8th)______200. 00 oppressive regimes,» while commencing Jack Hunter (Ohio 19th)______150. 00 quest for a determination under rule 43 negotiations with the Soviet Union ~ Bruce Briggs (N.C. 11th)______100. 00 on behalf of staff economist Ms. Sarah Clarenc.e Brown (Ohio 7th)•__ 100. 00 Jackson from Representative RICHARD arms limitation in central Africa, and E. S. Goodman (W. Va. 4th} ---- 100. 00 BOLLING, chairman of the Joint Economic formulating an African policy that em­ Bill Grad.ison (Ohio 1st)•----- 100. 00 Committee. on the basis of the facts phasizes a multilateral approach to David Stockman (Mich.. 4th)•- 100. 00 stated in his letter of May 4, the select Third World problems. Cll.11' Young (Calif. 32nd)------100. 00 committee, polled on May 11, 197'1. de­ If Professor Weissman is correct in bis Barber Conable (N.Y. S5th) • ___ ,50. 00 termined that the participaion of Ms. analysis of the prospects for the contin­ Lee Terry (Nebr. 2nd}------25. 00 Jackson in educational and fact-finding ued viability of the Mobutu regime, fur­ Anyone not listed did not report receiving travel in seven European countries ther financial and political support for any labor support. May 14-June 17, 1977, at the expense of that regime is indeed of questionable wis- 14550 CONGRESSIONAL RECORD-SENATE May 12, 1977 dom. Certainly Weissman is supported in army-the same army against which it had his military equipment and soldiers away that analysis by other commentators of fought earlier. Following Tshombe's ouster from the FNLA and FLEC and into the battle and Mobutu's assumption of power in 1965,. against the Katanga.ns. note. Those views deserve our very care­ however, the Katangan units in the Congo It is highly unlikely that the Katanga.ns or ful consideration. I ask unanimous con­ army rebelled and made their way back to anybody who may have advised them believed sent that "Zaire: Is there Any Rationale Angola. The Portuguese agreed to give them that the former gendarmes could march over for U.S. Intervention," by Gerald J. sanctuary on the condition that they assist 1,500 miles to the capital, Kinshasa., and de­ Bender, and "Our Man Mobutu," by in the fight against Angolan nationalists in­ pose Mobutu. But they could deliver a severe, Roger Morris from the New Republic of side the colony. According to some Portu­ if not fatal, blow to the Mobutu regime by May 7, be printed in the RECORD. guese officers, the Katangans were the most simply holding key areas in Shaba. Shaba effective of the African soldiers in their army is indispensable to Zaire because its copper There being no objection, the material during the decade of :fighting preceding the mines provide 65% to 75% of the nation's was ordered to be printed in the RECORD, Portuguese coup in April, 1974. Ironically, foreign exchange earnings. Zaire provides as follows : the nationalist group most subject to attacks 67% of the world's cobalt, 7% of its copper ZAIRE: Is THERE ANY RATIONALE FOR U.S. by the former gendarmes was the MPLA-the and a third of the world's industrial dia­ INTERVENTION? group now ruling Angola and whom the U.S. monds, and most of ·this mineral wealth is (By Gerald J. Bender) government ts accusing of providing logisti­ located in Shaba, now under attack. cal support for the Katangans. One reason why the Ka.tangans may have The recent attack on Zaire by Katangan During the Angolan civil war the Katan­ been encouraged to attack at this time is soldiers from their exile bases in Angola gans were once again called upon to offer that, according to informed sources, there forces President Carter to make some hasty, their fighting skills as the price of protec­ were almost no government forces in Shaba., but vital, decisions on Africa before his Ad­ tion: The question was which of the three and those who were there were viewed by the ministration has even finished formulating nationalist movements to Join. The FNLA, local people more as thieves than as protec­ its new African policy. with its umb111cal attachment to Mobutu, tors of the public order. Irregular govern­ For more than a decade, the United States was automa.tically viewed as an enemy; and ment payments to its soldiers help explain has considered President Mobutu Sese Seko when UNITA began to cozy up to Mobutu the years of unimpeded bullying and robbing to be its strongest ally in Africa, and to as­ and the FNLA in mid-1975, the MPLA became of Zaireans by the army and police. The re­ sure his continued rule, has sent Zaire con­ the natural ally of the Katangans. They sult is that today the Zaire national army siderable mmtary and financial assistance­ eventually made an important contribution is d1Stinguished far more for its harassment $500 millio of it between 1960 and 1973. to the MPLA's forces in eastern Angola and rather than protection of Zaire citizens. The The $80 million in military aid to Zaire in were especially critical in taking and holding hum111ating defeats which Mobutu's troops 1976 was half of all such assistance in sub­ the important city of Luso along the Ben­ suffered in Angola during the civil war there Saharan Africa. American investment in guela Railway. not only further demoralized the Zairea.n Zaire of just under $1 billion is exceeded in In the closing months of the war, the Ni­ army but confirmed what Washington offi­ Africa only by investments in South Africa gerian monthly, Afriscope, asked Neto about cials had been whispering for years-that the and Nigeria. The CIA maintains its largest Zairean interference in Angolan affairs Zairean armed forces are still poorly orga­ African station in Zaire. (which included sending over 5,000 Zairean nized, badly equipped, undisciplined, and If the Carter Administration uncritically troops into the Angolan battle as part of the ineffective in battle. Even the large injection follows past policy toward Zaire, therefore, FNLA). Neto responded: "Mobutu seems to of Chinese arms and training since 1973 ap­ we can expect further U.S. assistance for the forget tha,t we have in Angola a large number parently has not improved the performance beleaguered country beyond tl;le $2 million of Zairean (Katangan) refugees hostile to his of the Zairean army. worth of supplies flown in during the first regime and open to suggestions of unfriendly There are other reasons for the Katangans week of the conflict. And if the United States action against his regime. But we have never to have believed that they would receive sup­ continues to blame Angola for the invasion, thought of manipulating such groups be­ port In Shaba. Most of the Ka.tangan soldiers we can expect a further deterioration in An­ cause we consider such an action an inter­ belong to the Lunda-Chokwe ethnic group, golan-American relations-which had been ference in Zaire's internal affairs." the predominant group in Shaba Province. warming since Carter's inauguration to the After the fighting ended in February 1976, Mobutu, hoping to neutralize this ethnic point that U.S. recognition of the regime of Neto and Mobutu signed an accord normaliz­ factor, flew to Shaba for a day where he met President Agostinho Neto appeared almost ing relations between their countries. Zaire with the Lunda mwata yamvo (Lunda para­ certain by mid-1977. The immediate ques­ promised to cease all support of the FNLA mount chief), David Tshombe-a brother of tion, then, is how critically wm President and FLEC (Front for the Liberation of the the late Moise Tshombe. Nevertheless, early Carter study the situation in Zaire, and Enclave of Cabinda) and to expel the leaders reports on the fighting indicate that the question past assumptions and policies be­ and troops of these movements from the Katangans have been greeted as "liberators" fore further committing the United States country; Angola proinised not to intervene in some of the areas they have occupied. in Zaire's internal war. in Zalrean affairs. Moreover, President Neto Deterioration of living and economic con­ An assessment of the situation in Zaire was reported also to have a.greed to the return ditions in Shaba in recent years probably en­ must start by answering some basic ques­ . of the exiled Katanga.ns to whom Mobutu gendered considerable resentment against tions: Who are the Katangan soldiers who promised amnesty (but who, according to the Mobutu regime among the local inhabit ­ invaded the country? Should they be defined most observers, almost certainly faced im­ ants. The people of the province used to buy by their source of arms, ethnic organs, ideol­ prisonment or death). most of their essential products from An­ ogy of the country (Angola) which pro­ Since the 1976 accord, Mobutu's continued gola-for instance, salt, sugar, cooking oil, vided sanctuary, their goals, or by their po­ support for the FNLA and Cabindan separa­ kerosene, vegetables, tea, cloth and soap. tential threat to Mobutu? What 1s the inter­ tists in their infiltration into Angola has Since the Angolan civil war, however, these nal situation in Shaba Province where the caused considerable problems for Angola. In products are no longer available across the former Katangan gendarmes originated. and addition, Mobutu has allowed some of his border. where they now confront the Zaire army? own soldiers to accompany FNLA guerrillas In 1974 the Zaire government took over Finally, how useful are ideological labels in into Angola a.s late as the end of 1976. most small businesses and plantations with­ helping Americans to understand whether Given Zaire's open violation of the accord, out compensating the previous owners. The the United States should become further em­ the Neto regime undoubtedly felt justified in spoils were generally divided among party broiled in another internal African conflict? giving the green light to the Katangans, who leaders loyal to Mobutu, many of whom sim­ The present attack by the Katangans certainly preferred returning home on the ply sold the merchandise and pocketed the marks the fifth remarkable chapter in the offensive against Mobutu's fraglle army to money without reordering or paying out­ saga of these wen-trained soldiers who have continued exile in a remote part of Angola standing b1lls. The result was a severe short­ now fought for no less than five ca.uses in the or even the possib111ty of being delivered into age of goods. The situation became so des­ last decade and a half. They were organized their enemy's grasp as part of some future perate that this past October Mobutu in­ in 1960 as the military arm of their leader accord between Angola and Zaire. vited the businessmen whose property and and fellow Lunda, Moise Tshombe. Trained On the other h~nd, there is no question business had been expropriated to return to by white mercenaries, financed by Belgian that the Angolan government would not them to run their former enterprises. mining interests, and armed by a via.riety of have had an easy time "delivering" the Publlc services in Sha.ba have deteriorated Western sources, they proved to be a formi­ Katangans to Mobutu or even restraining drastically; spiraling inflation has placed dable fighting force for Tshombe in his at­ them from attacking, once they decided they nearly all available products out of reach for tempt to have copper-rich Kata.nga (now had a cha.nee for victory. In addition, they most people in Shaba; corruption has reached called Shaba) secede from the rest of the represented a potential threat to the MPLA such proportions that few residents respect country. ' if they decided to turn their mmtary prowess or are loyal to the regime in Kinshasa. After Tshombe's defeat in 1963, most of against the Neto regime. In short, the Mobutu has managed to keep the lid on the Katangan gendarmes filed. into Angola, Katangan soldiers' action not only rids the this smoldering pot through repression. His but many returned the following year when Angolan government of a sticky internal regime has frequently been cited by Amnesty the mercurial Tshombe became prime minis­ problem, but more important, momentarily International for gross violations of human ter. Tshombe immediately integrated his for­ solves the infiltration problem it faced from rights. More recently, a report on human mer m111tia into the• country's national Zaire. Above an, it forces Mobutu to channel rights released by the State Department lists May 12, 1977 CONGRESSIONAL RECORD-SENATE 14551 allegations of brutal treatment of political and President Julius Nyerere's regime criti­ American policy toward Zaire, and of the prisoners, extended incarceration without cized for offering the Ugandans logistical hypocrisy of the new administration in rest­ trial, "and even death of prisoners under support for the attack-as Tanzania has done ing Its ostensibly new African diplomacy on interrogation." Mobutu thus epitomizes the in the pa.st?' Is the United States prepared to our old friend Mobutu. Since 1962 Washing­ very type of leader whom Carter has criticized establish a principle which would force us ton has poured $350 million in publlc eco­ before the United Nations and elsewhere for publlcly to attack Zambia's respected Presi­ nomic and military aid into the large central violations of human rights-at a time when dent Kenneth Kaunda-considered to be one African state, whll • the CIA has paid more the President himself has called commit­ of the best u .s. allies in Africa-for the than $150 million in covert money directly ments to such dictators into question. logistical support and sanctuary he provides to General Mobutu. It will be extremely difficult for the Carter to Zimbabwean refugees and troops who are What ls the monument to our patronage? Administration to rationalize further aid to launching raids into Rhodesia? The Carter Potentially one of the richest countries in Mobutu on any grounds which reflect on his Administration will have trouble justifying Africa, with vast natural resources, for a leadership of Zaire. His record after a dozen further mllltary aid to Zaire based on any decade one of the chief aid recipients 1n years in office is replete with failure and in­ principle which establishes a precedent for Africa, Zaire remains an unrelieved calamity competence. In addition to violations of hu­ providing military assistance to regimes in of poverty and exploitation. Between 1960 man rights, Mobutu has been unable to forge Africa attacked by their own citizens from and 1970 it recorded almost no tangible eco­ a responsible and effective mllitary. Eco­ neighboring countries. nomic growth. In 1973 the UN chose Zaire, nomic and living conditions in both the rural Nor will it be easy to rationalize further for an its mineral wealth, as one of the truly and urban areas have steadily declined; his U.S. aid based on U.S. opposition to the ideol­ destitute nations of the third world. general mismanagement of the economy has ogy or political orientations of the invading The plight of the average Zairean, of left the country almost $2 billion in debt. Katangans. They have embraced such a wid·e course, is not ree.dlly visible in the person of And it will be difficult to argue that Mobutu variety of polltlcal causes during the past General Mobutu, who person.ally pockets at least shares American values for the re­ decade and a half in order to survive that Western corporate kickbacks as well as the spect of private property, after his wholesale nobody can confidently predict what ideol­ CIA money, whose family controls a private expropriation of farms and small businesses ogy, if any, they may hold today or will hold monopoly over the nation's huge and stlll without compensation, which ironically goes tomorrow. If the superpowers have learned untapped diamond deposits, and whose eth­ well beyond anything in Marxist Angola. anything during the past two decades about Africa, it should be the hazard of deducing nic-tribal dictatorship simply murders or im­ Finally, it will not be easy for the Carter the political ideology of any country or exile prisons internal critics. Now in consplcU'ous Administration to Justify further aid to movement from the national origin of the disarray fighting in Shaba, Mobutu's army, Mobutu on the grounds of his political re11- arms they may employ at a given time. The trained and armed by the USA, is a vivid ab111ty. The substantial past U.S. military emblem of the regime's squalor. Diplomatic and financial assistance, heavy American in­ Katangans epitomize this lesson. If President Carter truly seeks to establish folklore brims with stories of this force vestments, or even the well-established CIA a new American approach to foreign policy, manque, as when a mult1-mill1on-dollar U.S. links to Mobutu should not obscure the fact he wtll have to demonstrate in Zaire that he paratroop training program in the 1960s cll­ that Mobutu is highly unreliable politically. is prepared to question past policies and ma.xed with a demonstration for VIPs in In early 1975, Mobutu surprised many by assumptions. which the elite brigade took off to stage their leading the attack in the Organization of It should be clear that the present conflict drop, only to discover over the site that they Afritan Unity against Henry Kissinger and has a variety of causes, most of them deeply had. forgotten their chutes. But the latest his newly appointed assistant secretary of rooted in local, and not international, affairs. "COngo follies," as they are known in the state, Nathaniel Davis. In June 1975, he ex­ The United States must eschew the orooen­ State Department's more cynical precincts, pelled the U.S. ambassador, accusing him of slty to apply inappropriate labels such as are not so comic-opera amusing. While Mo­ intervening in Zaire's internal affairs. Some "pro-Communist" or "pro-West" in this butu's corruption and Zaire's poverty deep­ Zaire officers were even arrested as part of struggle if we hope to avoid another unneces­ ened, the army was purged of all but the gen­ the alleged American plot. In addition, since sarv setback of the kind suffered In Angola. eral's regional and tribal serfs, whose con­ 1973 Mobutu has developed close relations We should have learn<>d from the Angolan tinuing loyalty in an officially bankrupt gov­ wUh China, which predictably has supported debacle how auickly a local African co..,flict ernment was purchased by periodic author­ him verbally (and perhaps materially during ca.n eE:Ca.late into an international crii::iq when '2.ed episodes of plunder and looting, mainly the present crisis). the SovlP.t Union and the United States the Washington Post, May 9, 19771 much deeper into the Zaire swamp. But the better social and economic relations with the NEWLY ·Mn.rrANT DISABLED WAGING WAR ON more important point ls that the U.S. has no Republic of China. good reason to go on supporting the Mobutu 2. That the President and Congress of the DISClUMINATION regime a.t a.11. Whoever the Shaba invaders United States do not in any way detract (By Myra MacPherson) may be (the evidence ls that they a.re mostly from our diplomatic relations with the Re­ Frank Bowe ls talking on the telephone embittered. Zalreans Mobutu and the CIA public of China and not concentrate any about his concern for the disabled. After sent into Angola in 1975), however they are major efforts on development of any tem­ 20 minutes, the person on the other end halt­ backed (probably by the Soviets and Cubans porary and precarious relations with the ingly asks Bowe if he has a disability. as well M Mobutu opponents in Zaire) , what- People's Republic of China. "Yes,.. he replies, "I am deaf." ever their goals (probably the overthrow of 3. That the Secretary of State of the State Stumbling with surprise, the other per­ Mobutu), they are exploiting an authentic of Arizona, transmit copies of this Memorial son says, "Oh, you must mean partially deaf." popular agony in Zaire that will explode to the President of the United States, the "No,'' answers Bowe, "totally deaf." later if not now. Once again, by sheer inertia, President of the United States Senate, the Bowe explalns that an aide is listening on we are on a losing side with neither prin- Speaker of the House of Representatives of an extension, translating the conversation in ciple nor national Interest to justify the sac- the United States and to each Member of the sign language so rapidly there is barely a rlflce. Jimmy carter should stop a good deal Arizona Congressional Delegation. pause between a question and Bowe's re· more than a few symbollc tanks. sponse. Bowe, a psychologist, Is asked if he has ex­ perienced job discrimination. HANDICAPPED PEOPLE STRUGGLE "Yes,.. he says with a laugh. "I was told ARIZONA LEGISLATURE URGES FOR THEm RIGHTS I couldn't hold a job because I wouldn't be MAINTAINtNG CLOSE TIES WITH Mr. HASKELL. Mr. President, the May able to use the phone... THE REPUBLIC OF CHINA 9 Washington Post contains an article by Hale Zukas has eerebl'al palsy so severe that he is Immobile 1n a wheelchair, his use­ Mr. GOLDWATER. Mr. President, last Myra MacPherson which deserves the less hands tied 1n a brace. He can only make week a new national public opinion sur­ widest PoSSible readership. Ms. MacPher­ guttural sounds. Someone mentions cerebral vey found that Americans are stronger son discusses the growing political con­ palsy 1n Zukas' presence and there is an· ur­ than ever in their support of preserving sciousness of this Nation's some 36 mil­ gency to the sounds he makes to attract at­ official diplomatic relations between the lion handicapped people. tention. With a pointer attached to the spe­ United States and the Republic of China For years handicapped people have cial helmet he wears, Zukas points to a board been barred from buildings by physical cllpped to his wheelchair. on the board are on Taiwan. Today I have received fresh the key words and the alphabet. confirmation of this fact from Arizona. It barriers. and barred from education and Zukas rapidly taps out his message-peo­ is in the form of a House concurrent me­ employment by the barriers of prejudice ple wrongly believe that "all c.p.'s ( cerebral morial approved bv both Houses of the and pity. They are now demanding the palsied) are mentally retarded ... Zukas has a Arizona State Legislature. same rights and opPortunities which the bachelor's degree in ma-th and a master's in The memorial is an eloquent testimony nondisabled have always taken for Russl,an. to the deep-rooted friendship of the granted. Putting self-pity and reticence Sigi Shapiro was a normal baby. She was American peonle with the free Chinese behind them, people with various kinds almost 3 when she got pneumonia and was of disabilities are proving that they can placed 1n isolation in a hospital. A doctor of the Republic of China. It expresses went on vacatton and forgot to lessen her the clear will of the American people to participate in society as productive in­ medication. Shapiro literally was overdosed maintain and develop closer ties between dividuals in many aspects of life. But re­ on antibiotics, shot into her right hip. When ourselves and the government and peo­ gardless of the degree to which any her father came to visit, she could no longer ple of the Chinese on Taiwan. handicapped person may be able to be­ stand. The hospital's verdict: she had some­ Mr. President, I ask uns:•nimous con­ come self-supporting, all must be given how contracted pollo while in isolation with sent that the memorial of the 33d Legis­ the opportunity to develop their capaci­ pneumonia. The father did not sue. Neither ties to the maximum extent. did Shapiro years later when the Philadel­ lature of the State of Arizona be printed phia school board refused to certify her to in the RECORD. A major problem remains the attitude teach In public schools because she was in a There being no objection. the memorial of the majority of citizens who are not wheelchair. was ordered to be printed in the RECORD, disabled, and whose unease with handi­ "I let them discriminate against me," says as follows: capped people is readily apparent when­ Sha-plro. "I wasn't aware then." HOUSE. CONCURRENT MEMORIAL 2005 ever a handicapped person is in their These three people are amon~ America's new mllltants-the blind, crippled, deaf, A concurrent memorial ursrtng the Presi­ midst. Those attitudes will have to As mentally retarded; victims of war, of auto­ dent and Con~ess of the United States to change. Frank Bowe, director of the mobile wrecks and disease, and accidents of maintain close diplomatic relations with American Coalition of Citizens With Dis­ births. the Republic of China abilities, has said: Last month, after years of being care­ Whereas, the United Shtes of America Is We are always defined in terms of what fully hidden in homes and Institutions, on the threshold of a new administration we cannot do. I want to help others to see us hundreds of disabled militants like Bowe with fresh objectives and new people in the as people-not as crutches and wheelchairs and Zukas and Shapiro suddenly marched positions being vacated by the former ad· and canes. into peoples' consciousness-picketing in ministration: and In signing regulations recently imple­ wheel chairs and on crutches, singing the Whereas, the State of Arizona has in the song of the 1960s civil rights marches, "We past, on more than one occasion projected menting section 504 of the Rehabilitation Shall Overcome.'' They fought for and got to the former administration, tts'position on Act of 1973, Secretary califano signaled a tough regulation from the Department of what it feels the relationship should be be­ the commitment of the present adminis­ Health, Education and Welfare enforcing a tween these two great countries; and tration to making it possible for handi­ four-year-old law forbidding discrimination Whereas, the Thirty-third Legislature of capped people to take their rightful place against the handicapped. the State of Arizona would like to make in our society. '11tose regulations will re· "Hopefully the era of 'Tiny Tim' is gone known to our leaders its sentiments on for­ quire many changes. forever," says Denning Gearhart, who moves eign policy that it believes are just and de.: I am hopeful these regulations will be a in a motorized wheelcha.lr. "We've been too served with the Republic of China; and used to sitting on Bob Cratchit's shoulders, Whereas, the Republic of China has been catalyst toward equally significant saying, 'God Bless Us Every One,' instead of a continuous and faithful ally of the United changes in attitudes toward the handi­ Raying, 'Dammit, I am as qualified as the States, supplying both moral and economic capped, so that no disabled person is next person • .. support to the benefit of both nations, has automatically cast into a specific cate­ Gearhart's speech ls slurred by the dam· made every effort to develop a free enter­ gory, his or her whole life to be dictated age done to his nervous system by cerebral prise-based democratic form of government by that categorization. palsy. "When I was 30 days old, they no- May 12, 1977 CONGRESSIONAL RECORD-SENATE 14553 tlced I was acting weird. The doctor said I "There's an awful lot of typecasting in hir­ The school refused to pay for his transporta­ was spastic and retarded and my parents ing the handicapped," said one HEW official. tion. His older brother now drives him. The should take out a. long-term life insurance "Deaf people 'belong' in the linotype printing mother has no idea what will happen when policy and forget about me. One night re­ field, the blind 'belong' in photo darkrooms, the older boy goes off to college next year. cently I saw a man on TV who had been in an the severely handicapped or retarded in shel­ Once out of school, many disabled find institution for the retarded for 25 years. He tered workshops, for example." themselves locked in a vicious circle. Avail­ wasn't retarded. His speech patterns and Not all handicapped can become produc­ able jobs pay little. Since a paraplegic esti­ expressions were mlne--I could have been tive, but disabled militants say society would mates he would need $12,000 a year just to be looking at myself." Gearhart, 25, wm grad­ save billions in welfare and institutional able to afford the medical benefits he now uate in June from the University of Penn­ costs if the handicapped were better edu­ gets through Medicare, many feel they can't sylvania law school. cated, given better Jobs, taught how to live afford to work. The number of handicapped Americans-­ alone. For example, Hale Zukas, so severely Another major problem ls that many can­ an estimated 36 million or nearly one out of palsied, now lives alone in Berkeley, Calif., not ride on buses. "What's the good of a Job six--shocks many, a testimonial to just how and can afford to hire someone to attend to if you can't get to it?" they ask. hidden they have been. This does not in­ his needs throug!h a California independent­ There are sometimes surprises when the clude an a.c'.ditional 10 m1111on alcoholics and living fund. This ls far less costly than the handicapped do get hired. The Civil Service 1 Vii mlllion drug addicts. estimated $15,000 per year for care in a Commission surveyed 397 handicapped who The phrase "handicapped" takes in a vast California institution. constitute the traditionally hardest to place variety of disabilltles. The most obvious are Last year, $8 billion was paid out in Social in Jobs-more than a third were deaf or had the blind, deaf, crippled. New HEW regula.­ Security to 2,670,000 disabled. Nearly $3% bil­ severe hearing losses and most of the deaf t lons could include someone with a. limp or lion more was paid to 2,115,000 blind and dis­ were also mute. Many were blind or amputees. severe facial scar, 1f the person was dis­ abled in supplemental security income. Four out of five required no job restructur­ criminated a.gainst because either condi­ The new HEW regulation provides that ing at all, and work site modifications, such tion was an obsta.cle to being hired. It in­ handicapped children can no longer be seg­ as installing ramps, were minimal. In an­ cludes such diseases and conditions as regated in public schools but must be in­ other study, the handicapped were absent less speech impairments, cerebral palsy, epilepsy, tegrated into regular classrooms to the than the able-bodied. muscular dystrophy, multiple sclerosis, al­ "maximum extent possible," and that every Changing attitudes, in fa.ct, may be far coholics, drug addicts, heart disease, dia­ handicapped child-no matter the nature or more difficult than changing architecture. betes, mental retardation, emotional illness, severity of the handicap-wlll be entitled to Fear and revulsion toward the handicapped, learning disabllities such as dyslexia. More­ free public education. as Max Cleland says, ls "primeval." over, people who have been misclassified as There are 8 million handicapped children, Frank Bowe became deaf after a bout with mentally retarded or discriminated against aged 1 to 21; 5¥z m1llion are school age. One measles when he was 3. He remembers losing because of histories of mental illness, heart million are receiving no education and only a balloon in a park and not being able to hear disease or cancer are classified as handi­ 3 million of them are receiving appropriate himself cry. "I was crying out my frustra­ capped. educational services, says Bob Herman of the tions in a world gone silent.'' The disabled leaders borrowed from the Bureau of the Education of the Handicapped. Today, he says, "the problem ls not so 1960s civil rights marches and began fight­ He elaborates: much with us--but with the people who are ing for their rights. A collection of 45 or­ "Only a fra.ction of the kids who graduate not disabled. We are always defined in terms ganizations representing 6 million individ­ who could work are finding work. The prob­ of what we cannot do. We are determined to uals, the American Coalition of Citizens lem ls they're not getting decent vocational change those attitudes. I want to help others with Disabillties (ACCO), was formed three training. You go into a vocational education to see us as people-not as crutches and years ago. Frank Bowe is the director. workshop and ask why they don't take the wheelchairs and canes.'' One grim reason for their strength today educable retarded or someone with a physi­ is that more and more Americans are be­ cal handicap and they say, 'it's too danger­ coming eligible to join this minority. ous. He could get his tie caught in a lathe.' SENATOR CHURCH DELIVERS IM­ Modern medicine ls saving those who used So you ask, 'Why don't you take the tie off?' PORTANT ADDRESS ON NUCLEAR to die-from strokes, automobile a.ccidents, They don't have any good answers because NONPROLIFERATION cancer, war wounds--and they a.re often they don't want to change. With the new being saved only to be shunned by society. regulation, the burden has shifted to those Mr. STONE. Mr. President, I have had Used to being treated like first class citi­ schools. All too many of these kids have been the opportunity to read a speech re­ zens in their "former life" they are now left to make bird houses in sheltered work­ cently given by our distinguished col­ shops." "fighting for their rights," says Max Cleland, league, Senator FRANK CHURCH, of Idaho, the Veterans Administration director. Cle­ Some universities were adapting to the land lost both legs and an arm in Vietnam. handicapped before the HEW regulation concerning this country's policy on non­ "In World War II, guys injured as badly as I ma.de it mandatory. At Michigan State Uni­ proliferation of nuclear weapons. It is was, died. Vietnam sent some 400,000 disabled versity, for example, volunteer readers work one of the best discussions of the oppor­ veterans back to this country, and they're no with the blind on campus, elevators have the tunities and perils associated with the shrinking violets. They're going to fight for floor numbers marked in bra.me, ramps are international development of nuclear en­ jobs. Around 30 to 50 per cent of all disabled numerous, some telephones and drinking ergy technology which I have read. The vets are unemployed." fountains are at wheelchair height. speech to which I refer was delivered One protest group included a. young woman As disabled students become more a part who injured her spine in a diving accident of campus life, their humor often inspires on May 2, 1977, in Cambridge, Mass., as and a 29-year-old man, Ralf Hotchkiss, who able-bodied friends. MSU tells a story about part of the World Change and World Se­ broke his neck in a motorcycle accident 10 a blind former graduate student, Win Smith, curity Lecture Series. years ago. "I was pretty dense about the han­ who was so adept he could walk across Senator CHURcH's speech, already in.. dicapped until this happened to me," he said. campus without a cane or guide dog. When serted in the CONGRESSIONAL RECORD for An engineer, Hotchkiss has testified on the an awed Jesus Freak asked him how he May 10, 1977, calls for an understanding H111 for the need to revamp buses to make could step over curbs without tripping, them accessible to the handicapped, and now Smith solemnly replied, "The Lord took away of the realities of world energy resources he designs motorized "hot rod wheelchairs." my sight-and replaced it with radar in as the United States develops its policies Statistics on the handicapped are proffered, my toes." "Praise the Lord," said the Jesus on nuclear energy and nonproliferation by militants and bureaucrats alike, with the Freak. of nuclear weapons. In this connection caveat that they are vague and that much is For millions of other students the stories he emphasizes that many countries are unknown. are different. Daniel Yohalem, a lawyer for not as fortunate as the United States in They show, however, that millions are un­ the Children's Defense Fund ticks off some having abundant fossil energy resources dereducated, underemployed and overlooked. cases: and are compelled to turn to nuclear In one 1972 survey, 15¥2 million people of A Georgia high school football hero, working age listed themselves as disabled. paralyzed in a game, ls in an institution be­ energy as an alternative to increasing The actual number is considered much cause his school refuses to widen doors, pro­ dependence on imported oil and gas. He higher because many, such as those with a vide ramps and special transportation for correctly states: history of mental problems or epilepsy, were him to attend classes. The breeder program is the only technol­ reluctant to list themselves as disabled. An 11th grade girl in Mississippi made it ogy now on the horizon which holds out the Of that 15 ¥z million, only 43 per cent through the 10th grade until her multiple promise of relieving Europe and Japan of were working-compared to 74 per cent of sclerosis became so severe that she required an unremitting dependence upon foreign­ the nondisabled. Only 14 per cent of some a wheelchair. Now she is at home receiving held fuel supplies. 7.7 million severely disabled were employed. no education. The school refuses to rearrange One quarter of the disabled had family in­ classes so that she could attend school. Senator CHURCH also wisely suggests comes below the poverty level, compared A 6-year-old boy in rural Louisiana attend­ that, in developing our policy to curb pro­ to 10 per cent of the non-disabled surveyed. ed kindergarten last year but the school pro­ liferation of nuclear weapons, we should According to one 1970 census study, 52 per vided no remedial help, bra.me or special concentrate not on "the futile attempt cent of the disabled who worked made $2,000 services. His parents were forced to send him to contain the flow of nuclear technology a year or less. to an institution for the blind 35 miles away. and try instead to channel it in direc- 14554 CONGRESSIONAL RECORD-SENATE May 12, 1977 donations from corporations, founda­ how well lts success reflects on the State of tions that will provide adequate supplies North Carolina. of energy while minimizing the poten­ tions, and other public and private Sincerely, tial for making nuclear weapons." sources for clients such as the Winston­ NANCY HANKS, Mr. President, inasmuch as the Con­ Salem Arts Council, Historic Old Salem, Chairman. gress will have to address the very com­ the Moravian Music Foundation, the plex and important issues associated with North Carolina Dance Theatre, and the nuclear policy over the years to come, I North Carolina School of the Arts. The SPECIAL SHOWING OF "HARLAN want to urge my colleagues in the Senate result is a freed om for the leaders of COUNTY, U.S.A." FOR MEMBERS and in the House of Representatives to creative and cultural organizations such AND STAFF take the time to read Senator CHURCH'S as these to do their jobs without the Mr. HASKELL. Mr. President, on thoughtful speech. It is based upon care- . demanding burden of forever having to Monday Representative PAUL SIMON of ful analysis and reflects a thorough un­ raise money. Illinois, Representative CARL D. PERKINS derstanding of this very important area Ampersand also has raised funds for of Kentucky, chairman of the Committee of public policy. the Southeastern Center for Contempo­ on Education and Labor, and I circulated rary Art. a letter inviting our colleagues and their One result of this unique partnership staff members to a special showing of NORTH CAROLINA SYMPHONY AT for business and culture is shown in a KENNEDY CENTER, APRIL 28 the Academy Award-winning documen­ letter from Nancy Hanks, chairman of tary, "Harlan County, U.S.A." Mr. HELMS. Mr. President, I take the National Endowment. I ask unani­ I want simply to underscore that in­ pleasure to advise my colleagues that the mous consent that her letter be printed vitation with these brief remarks. The North Carolina Symphony will perform in the RECORD. film will be shown Monday, May 16, at in Kennedy Center on April 28, 1978. There being no objection, the letter 5 p.m. in room 21 '15 of the Rayburn Presently designed a "major sym­ was ordered to be printed in the RECORD, House Office Building, the Education and phony orchestra.'' this orchestra was, I as follows: · Labor Committee hearing room. believe. the first State-supported sym­ NATIONAL ENDOWMENT FOR THE. ARTS, I hope that a number of Sentaors and phony orchestra in the United States. Washington, D.C., April 7, 1977. staffers will be able to join us to view More important, it was the first of a Hon. JESSE A. HELMS~ this significant film. Produced and di­ number of initiatives our people have United, States Senate, Washington, D.C. rected by Barbara Kopple, "Harlan taken in their determination to bring DEAR SE.NATOR HELMS: This past weekend County, U.S.A." is a powerful and mov­ the enriching and ennobling gift of the I had the pleasure of attending the opening ing. depiction of events in Harlan County, arts to every Tar Heel. Some of these are: in Winston-Salem of the "Southeast 7" Ex­ Ky. It provides a. tremendous insight in­ the first State-supported Museum of Art; hibition of the first artists awarded Regional to what the lives of coal miners can be the first State-supported School for the Fellowships. like. As the Congress moves to consider Performing Arts; a State opera; and a The occasion was memorable for a number important legislation regarding black State library system, which, through a of reasons. It is the first time that the Arts Endowment has joined with a regional arts lung disease and mine safety, I think it sophisticated electronic interchange, pro­ organization to co-sponsor fellowships for is important that as many people as vides the smallest rural public library area. artists. The event was held in the beau­ possible have a chance to gain that in­ access to the millions of volumes in the tiful new home of the Southeastern Center sight. State system. for Contemporary Art (SECCA)-a center Now the chairman for the National that has an excellent reputation and is mak­ Endowment for the Arts has written ing Winston-Salem known as a home for PROPOSED ARMS SALES that the Southeastern Center for Con­ the arts. Mr. SPARKMAN. Mr. President, sec­ temporary Art has recently opened in Nearly 200 prominent artists, museum offi­ tion 36(b) of the Arms Export Control cials, patrons a.nd collectors, and news media Winston-Salem. fiew in from all across the country for the Act requires that Congress receive ad­ SECCA, as it is commonly called, is occasion. Phil and Joan Hanes were respon­ vance notification of proposed arms sales symbolic of a remarkable partnership sible for organizing and planning this won­ under that act in excess of $25 million between business and the arts in our derful opening. or, in the case of major defense equiP­ state: It is located in the former home Indeed the exhibition was a great day for ment as defined in the act, those in ex­ of the late textile manufacturer and art Winston-Salem and for the State. Governor cess of $7 million. Upon such notification, collector, James G. Hanes, who left his and Mrs. James B. Hunt joined the out-of­ Congress has 30 calendar days during home together with a substantial en­ state guests and SECCA officials in honoring which the sale may be prohibited by dowment to provide a permanent show­ the award-winning artists: Clifford Earl, means of a concurrent resolution. The Virginia. (sculptor); Frank Faulkner, North case for the finest in southeastern visual Carolina (painter); Marcia. Isaacson, Florida provision stipulates that, in the Senate, arts. (printmaker); Richard Kevorkian, Virginia the .notification of proposed sale shall be An even more remarkable indication (painter); Geoffrey Naylor, Florida (sculp­ sent to the chairman of the Foreign Re­ of the commitment of North Carolina's tor); Jerry Noe, North Carolina (sculptor); lations Committee. leadership to the development of the and Wayen Timm, Florida (pa.inter) . In keeping with my intention to see arts is the creation of "Ampersand, Inc." The competition attracted more than 1,000 that such information is immediately Mr. President, unfortunately, the arts applications from artists in 11 states and was available to the full Senate, I ask unani­ are rarely self-supporting. Equally un­ co-sponsored by the Endowment as a pilot mous consent to have printed in the fortunately, the best artists are rarely project. RECORD the notification I have just re­ the best fund raisers. So this unique cor­ The enthusiasm of artists, visitors, re­ porters, state and local officials a.nd members ceived. poration was organized. of SECCA was overwhelming. Everyone a.greed There being no objection, the notifica­ It is, I suspect, the brainchild of a that the artists are excellent and their work tion was ordered to be printed in the dynamic young Tar Heel named Philip most worthy of national recognition. Al­ RECORD, as follows: Hanes, who, in addition to being the though our visit was very brief, there wa.s DEFENSE SECURITY ASSISTANCE chief executive officers of Hanes Dye and a univers3.l consensus that the exhibition a.t AGENCY AND DEPUTY AssISTANT Finishing Co., is a member of the boards SECCA ts due to have a long-range beneficial SECRETARY (SECURITY AsSIST­ of Kennedy Center, the National Coun­ etrect-one that will likely be emulated by ANC'E) , OASD/SA, cil for Arts and Education, and the Na­ regional a.rts groups in other parts of the Washington, n.a., May 11, 1977. country. In reply refer to: I-11205/76ct tional Collection of Fine Arts. Hon. JOHN J. SPARKMAN, Ampersand is a subsidiary of Hanes It is a showcase for the best of southeastern a.rt, a center for promotion of artistic works Chairman, Committee on FOTeign Relations, Dye and Finishing Co., but is not from the region, and a focal point for cul­ U.S. Senate, Washington, D.C. designed to make a profit. R~ther, work­ tural interest both for new business pros­ DEAR MR. CHAIRMAN: Pursuant to the re­ ing through a board composed ·or leaders pects and visitors to the state. porting requirements of Section 36(b) of the of our business community, it is dedicated We at the Endo~ent are highly gratified Arms Export Control Act, we a.re forwarding to fundraising for a number of cultural by the marvelous success of SECCA and its herewith, Tra.nsmitta.l No. 77-38, concerning entities. It locates and pursues grants and fellowship program, and want you to know the Department of the Na.vy.'s proposed Letter May 12, 1977 CONGRESSIONAL RECORD-SENATE 14555 of Offer to Spain for major defense equip­ That would appear to end the American The implications of all this are not entirely ment, as defined in the International Traffic assistance program in both South American lost on Congress, some of whose members in Arms Regulations (ITAR), estimated to countries. But appearances are often decep­ have taken steps to n.take human-rights is­ cost $23.6 milllon and support costs of $3.8 tive. sues a consideration in international loans. million for a. total estimated cost of $27.4 The United States actually dispenses aid to Last spring, Rep. Thom Harkin (D-Iowa) million. Shortly after this letter ls delivered the Third World through 15 separate chan­ pushed through such an amendment to the to your office, we plan to notify the news nels. Only four of these-the Military Assist­ Inter-American Bank's replenishment bill. It media. ance Program, the Agency for International requires the American director on the bank's Sincerely, Development, the Food. for Peace Program board to oppose any loan to countries that H. M. FisH, and the Peace Corps-a.re subject to direct "engage in a consistent pattern of gross vio­ Lieutenant General, USAF. congressional scrutiny and approval. The U.S. lation of internationally recognized human State Department lumps these programs rights," unless such a loan "directly benefits TRANSMITl'AL No. 77-38-NOTICE OF PROPOSED together under the heading of "foreign as­ the needy." ISSUANCE OF LETTER OF OFFER P'uRSUANT TO sistance," and it is only money from that As a. result, last June the U.S. director SECTION 36(b) OF THE ARMS ExPORT CON­ category that Argentina and Uruguay have voted against a $21 million industrial credit TROL ACT spurned. for Chile, but in December assented to a (i) Pl'ospectlve Purchaser: Spa.in. Meanwhile, cash contlr.ues to flow to both potable water project loan designed to help the poor. However, during the past six (li) Total Estimated Value: countries through the 11 government cor­ Million pora.tlons and international financial in­ months the same director has voted for two industrial loans for Argentina tots.ling $138 Major defense equipment • ------$23. 6 stitutions that make up the rest of America's foreign-aid program. Each of these agencies million, although no evidence was offered. Other------3.8 constitutes a separate revolving fund that that they directly benefit the masses. Despite congressional misgivings about in­ Total------~------$27.4 Congress, from time to time, replenishes. With minor exceptions, however, the agen­ ternational lending to repressive regimes, and •As included in the U.S. Munitions List, a cies are not required to tell Congress where despite its own reluctance to give military aid part of the International Traffic in Arms Reg­ they intend to distribute the money. More­ to such governments, the Carter Administra­ ulations (ITAR). over, the only formal restrictions on their tion is seeking a whopping $3.2 billion in new appropriations for the various interna­ (iii) Description of Articles or Services allocations are rather general guidelines con­ tained in the legislation that created them. tional banks. up from $745 million for the Offered: Five (5) AV-8A Harrier aircraft and current fl.seal year. support. Thus, while President Carter was busily slashing military aid to Argentina and Uru­ Rep. Harkin plans to offer human-rights (iv) Military Department: Navy. amendments to the replenishment bills for (v) Sales Co~ion, Fee, etc. Paid, Of­ guay, three of these international :fl.na.ncial institutions were actually increasing the flow the World Bank, the Asian Development Bank fered or Agreed to be Paid: and the International Monetary Fund. and a. Hawker Siddeley Ltd, Dunsfold, England. of cash to the two dicta.torships: The International Bank for Reconstruc­ many observers believe that they wlll pass. b. Componla Aeronauticos Espanola SA, The Adminlstra.tion, however, has yet to take Antonio Maura 8, Madrid 8, Spain. tion and Development (the so-called World Bank) had not lent money to Argentina. for a. position on the amendments. c. Two and one-half percent of the Hawker Certainly the unpleasant prospect of a No Siddeley involvement at the time of delivery 5% yea.rs. Last fall, however, it sent $115 mil­ lion, and now $390 million more is on the vote by the U.S. director to the Inter-Ameri­ of the aircraft. can Bank, and the embarrassment it would d . Five (5) AV-8A Harrier aircraft. way. Question: Who contributes one out of every four dollars the bank dispenses? bring to Argentina's mllitary rulers, should. e. The information contained in paragraph Answer: We do. have some impact on that country's human­ (v) consists of proprietary data. within the The Inter-American Development Bank rlghts infringement. Moreover, the possiblllty meaning of 18 U.S.C. 1905, and, accordingly that Canad.a and a few of the ban.k's new may not be disclosed except pursuant to the lent $198 million to Argentina during the last half of 1976, and plans to send $253 mil­ European members might join the U.S. di­ provisions of the code. lion more in the near future. Question: Who rector in opposing loans to Argentina. and (vi) Date Report Delivered to Congress: contributes the lion's share of the bank's Uruguay must frighten their rulers, given May 11, 1977. capit3.l? Answer: We do-speciflcally, 52%. their dependence on multilateral loans. The Int.e-rna.tional Monetary Fund provided Whether or not Carter will use the leverage Argentina with $316 million in fl.seal 1976, provided by the Harkin amendment remains FOREIGN AID: ONE HAND SLAPS, more than it allocated to any other country to be seen. But it may well be the best meas­ ONE PATS in the Third World. Question: Who is the ure yet of the importance that this Adminis­ fund's largest contributor? Answer: You trat ion really places on human rights. Mr. ABOUREZK. Mr. President, we in guessed it-the United States. the Senate are soon going to have the op­ In fact, during fiscal 1976, Argentina. re­ portunity to consider several foreign aid ceived $518.5 mlllion in aid, only 7% of which SMALL BUSINESS bills, including one to increase U.S. par­ was U .s. "foreign assistance." Meanwhile, ticipation in multilateral lending institu­ Uruguay was the recipient of $4.2 mllllon Mr. HASKELL. Mr. President, the dis­ under the same heading and, even though tinguished Senator from Wisconsin (Mr. tions. Along with establishing levels of that aid has now been terminated, lt will still participation, there are going to be some NELSON) has long been a forceful spokes­ receive $74 mllllon in loans from the Inter­ man for the needs of the Nation's inde­ very important human rights considera­ American Bank and $30 million from the tions in this bill. An article recently ap­ World Bank. pendent businesses. Under his chairman­ peared in the Los Angeles Times regard­ While such loans obviously lmdermine the ship, the Senate Small Business Com­ ing loans from these international fi­ Carter Ad.ministration's budding campaign mittee has highlighted the needs for leg­ nancial institutions to countries having for human rights abroad, their most serious islative action to correct the pattern of consequences are far more subtle. Indeed, it official neglect affecting small busine.58. gross violations of human rights. The may be that the lending policies of the vari­ article is relevant to what we are going Recently, Senator NELSON has been dis­ ous international financial institutions ac­ cussing American small business in the to have to consider in the bill and what tually encourage the spread of authoritarian our commitment to human rights is going government. broad context of our social goals. He has to be. Therefore, I ask unanimous con­ Officials of these agencies claim that loans stressed the need for a governmentwide sent that this article be printed in the are made on the basis of a nation's objective approach to small business problems if RECORD. "creditworthiness." In practice, this means our goals of free entry into the market­ There being no objection, the article that the banks have a marked preference for place and a competitive economy are to governments willing to implement tough aus­ be maintained. was ordered to be printed in the RECORD, terity programs, to hold down labor unrest as follows: and to throw their countries wide open to Mr. President, in view of the Senate's [From the Los Angeles Times, March 17, 1977] foreign investments. recent passage of Senate Resolution 105, FOREIGN . Am: ONE HAND SLAPS, ONE PATS-- This is why both the World Bank and the with its broad mandate for Federal ac­ A U.S. PROGRAM ENDS IN ARGENTINA AND Inter-American Bank, which refused to lend tion to insure the survival of small busi­ to Salvador Allende's Chile, more recently ness, I think it would be appropriate to URUGUAY, BUT OTHER CASH CONTINUES have found the country's new military rulers consider some of Senator NELSON'S sea­ (By William Goodfellow and James Morrell) altogether creditworthy. By the same token, soned insights on small business. In a re­ As part of its controversial human-rights the Philippines has become four times more campaign, the Carter Administration recently creditworthy since President Ferdinand Mar­ cent speech to a small business associa­ reduced military assistance to Argentina. and cos imposed martial law. And there is Indo­ tion in Wisconsin, he set forth those views Uruguay. Not surprlslngly, the military rulers nesia., which, though increasingly authori­ quite persuasively. I ask unanimous con­ of both nations were so affronted that they tarian, 1s seven tlmes more creditworthy than sent that the speech be printed in the told the United States not to bother sending it was five years ago, despite the near bank- RECORD. any more a.id at all. ruptcy of its state oil company. There being no objection, the speech OXXl.ll--916-Part 12 14556 CONGRESSIONAL RECORD-SENATE May 12, 1977 was ordered to be printed in the RECORD, percentage of the important inventions and Milwaukee compared to a group of 30 locally­ as follows: innovations of this century. owned independent corporations. About SPJ:ECH BY SENATOR GAYLORD NELSON The mercury dry cells in our electronic three-quarters of the merged companies watches, the air conditioners in our homes, stopped using local banks, accountants, 1976 was a. big year f<>r this country. We the power steering in our automobiles, our had. the satisfying experience of celebrating lawyers and local sources of supplies. modern Jet engines and rockets, the FM Thus, when we examine the evidence of our 200th birthday. However, this nation circuits and vacuum tubes in our stereos wasn't born in a day or a year or a decade. these carefully controlled studies, we find and television sets, the photocopying ma­ again that conglomerate, absentee-owned Next winter, for example, we'll observe the chines in our offices, and the list goes on­ businesses systematically undermine local 200th anniversary of the Continental Army's all were the work of individual entrepreneurs encampment at Valley Forge. self-sufficiency and vitality. The very qual­ and small business. ity of life changes when ownership leaves the Three years from now, we'll celebrate the The point ts that independent inventors 200th anniversary of John Paul Jones' vic­ community. and small firms are responsible for an im­ In an area of giant cities, giant impersonal tory that helped establish the U. s. Navy. portant part of our inventive progress, a In ftve years, we'll mark the 200th anni­ bureaucracies and giant corporations, the far larger percentage than their relatively opportunities to enter and build one's own versary of Washington's victory over Corn­ small investment in research and develop­ wallis at Yorktown. business and to pass it along to one's heirs ment would suggest. becomes increasingly more precious. It di­ Seven years from now, we'll observe the It goes without saying, of course, that 200th anniversary of Washington's farewell rectly affects the viability of sma.Iler cities the United States could not depend solely and towns across the country, to hls officers at Fraunces Tavern. on tlie innovative contributions of small And in eleven years, we'll begin the most A structure of laws and taxes which pre­ ftrms. The large firms are indispensable to serves a climate for the dynamism and com­ important bicentennial of all. We'll honor technological and economic progress. From the patriots who came together in Phila­ munity orientation of independent business a number of different points of view, how­ ls vital to the American way of life. delphia and drafted our Constitution, which, ever, lt ls clear that a unique cost-benefit with its B111 of Rights, was ratffled two years The ultimate contribution of small busi­ opportunity develops when we encourage ness, however, may well be personal-as a later. independent investors, inventors, manufac­ America had giant-sized heroes in that turers, retailers, distributors, and small tech­ channel for satisfying deeply-felt human era. Washington, Franklin, Jefferson, Madi­ nologically-based industries. The long and needs like job satisfaction, motivation, pride son. What advice would men like that give short of it ls this: the cost of such special in craftsmanship, individual freedom, and us now? incentives to them ts likely to be low. The the discipline of competition. Do we need adjustments in the way our benefits are llkely to be high. There's a We have only to note a press report last government operates? Should we strike out common-sense reason for this. Small busi­ year stating that Harvard Business School on new paths? nesses are more flexible, more responsive to graduates increasingly looked to association Recently John D. Rockefeller, m, elo­ ideas put forward by individuals, more with medium-sized and smaller companies, quently stated what I believe to be a simple oriented toward face-to-face contacts with despite the acknowledged blandishments of truth: He said-"We are 1n the early stages customers, and more capable of reacting the established national and international of a revolution of fulftllment, not of over­ swiftly to changing market demands. giants. throw, a revolution designed to bring to Admiral Rickover, the father of the nu­ But to sta'l't a small business and to stay fruition the great ideals and values upon clear submarine, said in a speech in 1975 in business in America's third century may which this nation was founded." that he prefers to deal with small ftrms, be more difficult than in its ftrst two. To achieve that "revolution of fulftllment," finding that And these are some of the problems we're our ftrst Job ts to restore confidence. Today, ". . . small and medium-sized companies trying to deal with in the Congress. The too many people believe that business ls take a more responsible view toward their Senate Small Business Committee held 107 inherently bad, that government cares for contractual obligations than the large ones. days of hearings during the last two sessions little but its own preservation, that educa­ ". . • they are also better able to ;>er!orm of Congress. Through your efforts, and the tion has failed, and that religion ls irrele­ a back-up role of providing new and alter­ efforts of hundreds of other business groups vant. native products when larger ones fall to throughout the count'l'y, we were granted Publlc skepticism about these institutions do so." authority in 1975 to initiate legislation. Now, ts closely tied to public awareness of the Mr. Kenneth Gay, a vice president of 1n 1977, we have been made an independent dlftlcult problems we face. Monumental Rockwell International, praised small busi­ committee. We expect to hold at least 140 problems of unemployment, inflation, tax ness as Rockwell's most w1lling partners. days of hearings during the current 95th inequities, dlscrlmlnatlon and crime are so It 1s the owner-:ou,naged enterprises which Congress. Our public hearings have brought much a part of our lives that some of us are the most responsive to Rockwell's needs. home to us dramatic changes which have doubt our capacity to resolve them. It is they who innovate. They deliver on taken place during our own life.times-how As we reflect on our problems, though, time, and they take total responsibllity for increasingly difficult it has become to found surely we must realize that what we face their product. a business, much less to make it profitable today ts no more difficult than the prospect Small business indeed represents the cut­ and to sustain it for any length of time. of creating a whole new nation from a loose ting edge of a free and competitive system. There are, of course, many definitions of federa tlon of orphan colonies in a wilderness. But the role of small business does not end what a small business ls. But statistics like It's no more dlftlcult today than it was in the marketplace. Just as leaders like Jef­ "numbers of employees" and "dollar reve­ then-if we can summon the courage and ferson predicted, the American social struc­ nues" do not go to the heart of the matter. Imagination of that era. ture has been profoundly affected by sma.Il When we talk about independent enterprise, We've got to encourage the people in this business. small business, we are really concerned about society who seek the opportunity to set The opportunity to engage in a small busi­ qualities like Independence, local ownership forth on their own, the people who want to ness permitted waves of immigrants to win and control and community orientation. build their own independent careers, the security, self-respect, self-sustenance, and When we look at the American business people whose llves show the kind of courage often wealth. This spirit of private enterprise scene, we see that there are only 3,000 U .s. and imagination our nation needs to main­ infused and strengthened our nation's demo­ corporations listed on the stock exchanges tain its vieour and diversity and ever broaden cratic processes. and about 3,000 more which are big enough the opportunity for fresh initiatives and new Such eminent scholars as C. Wright M111s, to have their stock traded nationally over ideas. Walter Goldschmidt, Kurt Mayer, and Jon the counter. A large oortion of the remainder Thomas Jeffel'$10n sln~led out the self-re­ Udell have documented that in communities of the 13.3 mill1on U.S. businesses which file liant farmer-businessman, whom he saw as where small businesses are the major em­ tax returns would probably be considered staking his future on the community while ployers, the quality of life is measurably small or independent ftrms by most thought­ also expressing wllllngness to act independ­ higher than in similar cities where large ful people. ently. corporations are the predominant employers. Yet, we have found that America's small A generation later, that famous French These researchers found that Infant mortal­ business community 1s in much more dlftl­ observer of American life, Alexis de Tocque­ ity was lower; the percentage of home owner­ cult circumstances than our larger corpora­ vme, praised America's ima~inatlveness. Not ship and church membership was higher, tions. The independent owner-managed en­ its major canals and trunpikes, mind you, and there were better community fac111ties, terprises are so sorely beset with serious but "the multitude of small undertakings." such as streets, sewers, and trash disposal. trouble that the health and vigor of our Those "small undertakings," and those For example, one study disclosed that a entire American economic system ts threat­ lndeuendent entreoreneurs behind them, community situated near small family farms ened. have been the heart and soul of this coun­ in California had twice as many newspapers, Consider the family farm. A century ago, a try's economy, society, and democratic po­ more independent enterprises, higher in­ family could own a prime fe.rm lberely by liv­ litical system from the begt.nnlng and we comes and better schools than a city of ing on it and working it. During the last must make sure they retain that vital role. similar size surrounded by large agri-busi­ so years, the number of fa.rm famllies has Indeed, many studies have shown that 1n­ ness, industrial-style farming. been cut in half from 5.9 million 1n 1945 deoendent inventors (including inventor­ Professor Udell's research showed that cor­ to 2.8 m1llion in 1975. entrepreneurs) and small technologlca.Uy­ porate gifts to charities slowed down 50 % In 1960, an average farm could.. be bought based companies are responsible for a major among 30 merger-acquired corporations in for $51,000; today, it takes $1 '11,000. May 12, 1977 CONGRESSIONAL RECORD-SENATE ·14557 The money market, too, is becoming in­ stack of papers over two miles high and will down in history as the "Small Business Con- creasingly elusive. save million of dollars for businessmen. gress." We hope that the depth and range In 1969, there were (198 public stock Issues Another problem ls verbose regulations. of actions which it takes to stimulate the by companies with a net worth of less than The Small Business Committee found, for compensatory expansion of the independent $5 million; in 1975, there were only three. examp:e, that one 16-page report on pensions sector of the economy will ee.m that title Witnesses before our Committee in 1975 could be reduced easily to 5¥.z pages. And · for it. stated that usually 10 to 15 promising high· after hearings, it was. "President Carter has made it a goal of technology companies had been launched To attack the paperwork problem on a his Administration that Pmall business every year by venture capital organizations. government-wide basis, the Committee spear- would expand more than either big business They feared that conditions will now make headed the creation of the Federal Com.mis- or government. it impossible to raise the necessary new eq­ sion on Paperwork. Some citizens may be "For that reason, we look forward to four uity money to do the same in the future. amused by the need for such a group, but of the most constructive and cooperative The statistics bear them out. not small business people. They grasp at any yea.rs of Executive-Congressional small busi­ Not all the hurdles that new businesses hint o! aid to halt the blizzard of paper- ness legislation." face result from problems of management. work now burying them. To cut down on pa- We hope that this is the "ca.tch-up con­ I'm sure I don't have to remind anyone in perwork before it's even dreamed up, our gress" a.nd the "catch-up Presidency" for this room that some of the biggest road­ Committee urged, and the Administration small business. blocks of all are created by the Federal Gov­ approved, the creation of Small Business Ad- The White House Conference on Small ernment, State government and local govern­ visory Committees to ms and the Treasury, Business which I have recommended could ment. Let's look briefly at three of those and a small business task group on the new be a point of departure for the needed roadblocks-taxes, paperwork, and govern­ Pension Reform Act. These bodies now give changes. I think we can all agree that we ment regulations. smaller firms a stronger and continuing voice have an important new matter of concern Taxes. Independent business has tradi­ in the decisions on policy. forms, and tech- to America. This new issue--the health of tionally contended With a tax system that nical matters. independent small business-involves vital gives the best breaks to big corporations. This matter of getting a voice in decision- economic, social, sociological and philosophic We're grappling With a situation in which making leads to the problem of government questions. medium-sized companies often pay the 48% over-regulation. It involves questions of economy of scale. maximum while the 100 or so largest cor­ The Internal Revenue Service regulations It involves the basic issue of preserving op- porations pay about half that. So here's alone take up two feet of shelf space. portunities for free choice and individual what we're trying to do to help. The initial Occupational Safety and Health self-expression. Recent legislation has been successful in Act manual which was distributed to small And as .far as our family farmer-business· substantially reducing corporate tax rates firms contained 330 pages of detailed regu- man is concerned, there ls involved the great and in doubling the amount of used machin· lations. In dealing with these regulations, question of stewardship of our land. Should ery eligible for the investment credit to administrators have made no distinction be- the man who tills the soil and produces the $100,000. This can produce maximum tax tween the legal and technical resources of food and fiber own the land? Or should ab­ savings of $12,000 a year for 1975, 1976, and General Motors and those of the average sentee corporate giants own the land and 1977 for a company earning $50,000. small business. hired hands till the soil, and manage that A study done by our Committee indicates In order to evaluate these questions to vital resource? that as many as one mlllion jobs may have national prominence the Senate has re- The whole matter gets down to this ques­ been retained in the small business sector quested that President carter call a White tion: What is our view of ourselves and our as a direct result of this modest tax rate House Conference on Small Business early future as a people? reduction. in this new Presidential term. We have not addressed ourselves to these The interactions of taxes and employment It has been 21 years since such a con- issues in any thoughtful, persistent, creative go beyond direct employment taxes. For ex­ ference was last held. A new conference fashion. We have assumed that because the ample, a 1967 study published by the U.S. world encourage the best minds in many country is big and the economy is big that Department of Commerce indicated that disciplines to focus upon identifying and bigness per se ls a virtue in and of itself. rapidly growing businesses produce jobs at a analyzing the difficulties of independent bus· We're learning the hard way that too much far higher rate than the general economy. 1nesses-the problems of competition, regu- bigness is bad for the economy and bad for This is backed by a recent Sloan Institute lation, taxation and the like. The mission the free enterprise system. The larg6 con­ study which shows that dynamic young busi­ of the conference would include making glomerates that absorb independent busi­ ne~s may be among the most promising speciftc and comprehensive recommend&- nesses and engage in predatory competitive sources for increased employment in the economy. tions. If you agree, you ought to tell Prest- practices simply do not serve our best in· Such studies reemphasize the necessity for dent Carter. If he reads his mall the way terests. a rational overall tax structure which en­ the senate read its mail on the need to re- we should not let these unchecked forces courage the birth and growth of new, dy­ tain an independent Small Business Com- guide our destiny. namic businesses. One form of encourage­ mittee, he Will respond. we should depend instead on our Con- ment we're considering now is depreciation We're at pretty much of a turning point stltution and our proven economic, legal, and speedups for smaller firms. now. political systems. We should be watchful and Last year we got several reforms including Kurt Mayer wrote of the small entrepre- critical of our leaders, because men and reform of the estate and gift taxes for the nuer that: His elbowroom is being narrowed women are fallible. we should place our nll­ first time since 1942. Largely because of our down; his chance to exercise initiative, cour- ance on the processes of democracy, the com­ Committee's work in this area, it will be age, and energy which are the character- mon law, a.nd free private enterprise which possible by 1981 for a business person to !sties of true "enterprise" are diminishing. have nurtured and sustained a society which transfer $425,000 to a spouse, or $175,000 to The small man's enterprise is being increas- is admired throughout the world. These ln­ buy other heirs free of federal estate taxes. ingly frustrated. stitutions represent the best distillation of This Will allow many farms and small busi­ The Washington Post concurred, sa.y- many generations of human experience, and nesses to remain in the family rather than Ing that ..... perhaps (these) are not the as such, they transcend individual imperfec­ having to be sold to pay death taxes. burning issues of the day. But to ignore tions. They will grow as we grow because PAP:'!:RWORK them is to risk losing not only an increas- they contain mechanisms by which we can Ing number of small businesses but also the modify them to meet changing conditions Independent business must struggle With human value that prompt men and women while retaining what we truly value. a government-spawned paper-burden that ls to enter the marketplace as inde.?:>endents." There is a chance of dramatically changing out of controL It imposes a $40 billion yearly In my view, it is urgent that we address cost on the economy, more than half of which ourselves in a systematic manner to these national policy and the economic and pollti- is borne by small business. Unnecessary forms questlons of survival of the private enter- cal climate in favor of smaller and independ­ must be fl.led With information that no one prtse system and the continued viability of ent enterprise. If we demonstrate sufficient can possibly utlli?,e. small business. Otherwise, everything in this commitment to accomplish this, independent Redundant forms, with different agencies country will end up being run by a few giant enterprises can once aagin offer the dyna- asking the same questions over and over conglomerates in a huge megalopolis. mtsm most needed now-the courage and ti th t u imagination to build the society Americans again, are wasting your time and wasting There s h o uld b e no ques on a sma of the future Will trust, respect and defend everyone's tax dollars. So we've begun en­ business issues are fundamental to tradl- couraging agencies to exchange information, tlonal American values and to how we view because it is their society and they are a part a'lld we're telllng the administrators of these ourselves as a nation. of it. agencies to cut down on the forms--or to In the words of Milton Stewart, President eliminate them completely-from the very of the National Small Business Association, beginning. and a.long with your own association, the THE GENOCIDE CONVENTION Let me give you an example. The ms 941 Independent Business Association of Wis­ NEEDS U.S. RATIFICATION employment form now has to be filed every consin. the backbone of COSIBA (Council three months. Congress has finally gotten of Small and Independent Business Associ­ Mr. PROXMIRE. Mr. President. I urge the IRS to reduce the filings to one a year, ations); ratification of the Genocide Treaty. I do starting in 1978. This wlll do away With a "We hope that the 95th Congress Will go so because ratification of the treaty is 14558 CONGRESSIONAL RECORD-SENATE May 12, 1977 in the best interests of the United States $55 milllon in the Selma area, according to Hank Alau, a navigator in SAC's 6th Stra­ and the entire world body of nations. Air Force estimates; and tegic Wing at Eielson, is a native Hawaiian, The Qenocide Convention outlaws the Whereas, the loss of Craig will cost approx­ from Maui. He prefers Alaska because, he mass destruction of any group of people imately 2,000 jobs, raising unemployment in says, there's room to stretch and breathe. the Selma area by 10 to 20 percent; and How right he is. The state averages one in­ based on ethnic, racial, or religious Whereas, by closing Craig Air Force Base, habitant per eight square miles. He also grounds. It would make the commission President Carter will apparently cause an likes to hunt and fish-but that's true of of such an atrocious act an international economic disaster in Dallas County, Ala­ ninety-five percent of Alaskans, whether crime. bama; now therefore, they oome from Hawaii or Hoboken. That, We in the Senate must ratify this Be it resolved by the Legislature of Ala­ incidentally, is another characteristic of treaty because it represents our most bama, both Houses thereof concurring, That Alaskans. Just about all of them come from fundamental freedoms-the right to we deplore the closing of Craig Air Force somewhere else. Base by President Carter, and urge him to Here, then, are some sketches of Air Force one's own life. Yet the Genocide Treaty use the full power of the federal government operations in Alaska, and how Air Force peo­ also represents an attempt by the world's to prevent or alleviate economic disaster in ple help preserve the peace and security of nations to protect the rights of all peo­ Dallas County, Alabama. the nation and the free world. ple, no matter where those people are. Be it further resolved, That a copy of this THE UNITS AND THEIR JOBS Without our support as the world's fore­ resolution be sent to President Carter and most Nation and symbol of human lib­ each member of the Alabama Congressional Air defense is the primary mission of the Delegation, Alaskan Air Command (AAC), providing, as erties, the Genocide Treaty cannot exert the command boasts, "Top Cover for Amer• its full impact on the international scene. lea." There are those critics of the Genocide Lt. Gen. Marion L. Boswell is the AAO Convention who will contend that our USAF IN ALASKA Commander, with headquarters at Elmen· ratification of the treaty will do no good Mr. STEVENS. Mr. President, I would dorf AFB, just outside Anchorage. He is con• whatsoever. According to those critics, like to share with my colleagues an ar­ currently Commander of NORADs Alaskan the treaty will always be ignored when­ Region. And he is the coordinating author­ ticle which appeared in the April issue ity for all joint m1Uta.ry administrative and ever it is beneficial for an individual na­ of Air Force magazine entitled "USAF logistical matters in Alaska, giving him tion to do so. Why should we ratify a in Alaska.,, supervision over the Army's 172d Infantry treaty that will do no good, they ask? This article emphasizes the strategic Brigade and the Navy's sea patrol base at The fallacy of this argument is obvious importance of mv State. Fifty-six miles Adak in the Aleutians. to everyone, for if we followed its logical from the Soviet Union, Alaska is closer The AAC operates three air bases-Elmen­ conclusion we would have no laws on the to the Soviet Union and to Chinese ter­ dorf, Eielson. and Shemya-and shares facil­ books at all. ritory than any other part of the United ities on two FAA-operated airports at Galena Mr. President, we must ratify the Gen­ and King Salmon. It has thirteen aircraft States. Because of its strategic location, control and warning squadrons, including ocide Treaty. As former U.N. Ambassador an adequate Alaskan defense is basic six survemance stations, five surveillance Arthur Goldberg told the Conference of and essential to our whole system of and ground-controlled intercept (GCI) sta­ United Nations Representatives in 1967: defense. tions, and two intermediate regional control If the conventions fail to gain the adher­ I welcome this opportunity to com­ centers. · ence of the nation that was born proclaim­ mend the men and women of the U.S. AAC's 21st Composite Wing at Elmendorf ing "certain unalienable rights•• as the birth­ Air Force in Alaska for the excellent is the command's principal flying unit. It Is right of "all men," then why should other made up of the air base group at Elmendorf, nations take these instruments seriously? job they have done carrying out their the 43d Tactical Fighter Squadron, and the milifar, otJerations in search and rescue 6041st Tactical Operations soua.dron. Let us ratify the Genocide Convention coordination. The twenty-six F-4E Phantoms of the 43d immediately. Mr. President, I a..c;k unanimous con­ TFS are AAC's interceotor force. From head­ sent that this article be printed in the quarters at Elemendorf, flights of F-48 regu­ RECORD. larly rotate to forward air bases at Elelson, CRAIG Am FORCE BASE, ALA. There being no objection, the article King Salmon, Galena, and Shemya. From Mr. ALLEN. Mr. President, the De­ ws:as ordered to be printed in the RECORD. these bases they can be scrambled to inter­ cept bogies under direction of one of the partment of the Air Force, after more as follows: five GCI sites. The Phantoms also perform than a year of study and restudy, last USAF IN ALASKA the corollary mission of close support for the month made firm its decision to close (By Allan R. Scholin) 172d Infantry Brigade, whose elements are Craig Air Force Base at Selma, Ala. This There are about 12,000 Air Force people stationed at Fort Richardson near Anchorage base, which is a primary training base stationed in Alaska on tours of from one to and Fort Wainwrie:ht, Fairbanks. for Air Force pilots, has a proud history three years, depending on whether they're at The Wing's 5041st Tactical Operations stretching through the past 37 years, a remote site or on a major base. Because Squadron at Eielson operates T-33s that are during which it has provided training for that is a comparatively small percentage of used primarlly to $imulate enemv aircraft, Air Force people, many officers and airmen checking the alertness of detection and in­ tens of thousands of American and Allied may never have a chance to serve in our tercept systems of the air defense net. pilots during World War II, during the forty-ninth state. AAC's other flying unit is the 5010th Com­ Korean War, and during the Vietnam To those who haven't been there, Alaska bat Support Grouo at Eielson. Under it is war. Now, after all of those years of close con f ures up images of silent glaciers, vast the 25th Tactical Supoort Squadron, and friendly relationship between the snowfields, Eskimos in igloos chewing whale equipped with ~2 Skymasters to perform military and civilian communities sur­ blubber, and, more recently, shadowy figures forward air control missions for the Army. rounding the base, Craig is to be closed stringing a pipeline a<:ross a dark and frigid Whlle the AAC is the principal Air Force wasteland. command operating in the state, it is not later this year, threatening economic dis­ If you scrub the igloos, which we're told the only one. The Strategic Air Command's aster to Dallas County, Selma, and other even Eskimos don't build anymore, Alaska 6th Strategic Wing flies KC-135 tankers and communities. is like that, in pa.rt. But Alaska is far too RC-135 reconnaissance planes from Eielson On April 21, 1977, the senate of the vast to be categorized in a ff!!W phrases, and AFB, near Fairbanks in central Alaska, and State of Alabama considered and ap­ those who have been there find it contagious. ofrom Shemya AFB, almo~t at the tip of the proved passage of Senate Resolution 309 The magnificent view of Mt. McKinley and Aleutian chain, 1,500 miles from Anchorage. deploring the closing of Craig Air Force its neighboring peaks bathed in the after­ The Mil1tary Airlift Command provides the Base and urging the President to use the noon sun, the lights of Anchorage twinkling 17th Tactical Airlift Squadron and 71st Aero­ full power of the Federal Government to bright in a field of snow at the end of a space Rescue and Recovery Squadron, both lonely night flight, a row of parked aircraft headquartered at Elmendorf and under Gen­ prevent or alleviate economic disaster in shrouded in ice fog, the squeak of boots on eral Boswell's operational control. C-130 Her­ Dallas County. hard--packed snow, the cheery warmth of the cules transports of the 17th TAS fly resupply Mr. President, I ask unanimous con­ dining hall at Eielson AFB-these are among missions to remote stations, each of which sent that Resolution 309 of the senate hundreds of images that remain sharply has an airstrip, usually gravel-topoed, at least of Alabama be printed in the RECORD. etched in memory long after a visitor has 3,500 feet long. Bulk supplies, including fuel, There being no objection, the resolu­ departed. And they are all a part of Alaska's are shipped to most stations under Navy tion was ordered to be printed in the REC­ haunting appeal. auspices in Operation Cool Barge during the ORD, as follows: You'll find homesteaders on Alaskan air summer when for a few weeks the shorelines bases as elsewhere in the U.S. and abroad are free of ice. RESOLUTION 309 SSgt. 011 Brisson has spent six years at Eiel­ The 71st Aerospace Rescue and Recovery Whereas, the closing of Craig Air Force son-long enough to become a walking en­ Squadron is equipped with Sikorsky HH-3s Base will mean an economic depression of cyclopedia on the base and the region. Capt. and HC-130 search and tanker escorts. May 12, 1977 CONGRESSIONAL RECORD- SENATE 14559 They're based at Elmendorf, but range Five other NORAD surveillance stations in Maj. Fred Dorr, operations chief, pointed out throughout the state and surrounding waters western Alaska, each close to the shore of the blips of Soviet planes flying within their own on rescue missions under direction of AAC's Arctic Ocean or the Bering Strait, provide borders to and from such forward bases on Rescue Coordination Center (RCC). overlapping cones of coverage to produce a the Chukotskly peninsula as Lavrentiya, The Air Guard's 176th Tactical Airlift composite picture of air activity to the north, Provideniya, and Mys Shmidta. Group, with MAC as its gaining command, west, and south of Alaska. But almost daily, one or more Soviet air­ operates eight C-130s. They support the Army Even more lonely than Tin City's contin­ craft move out over the Bering Sea, traveling National Guard, fly emergency civil relief gent, perhaps, are the 103 members of the southeast below St. Lawrence Island, down missions, and back up MAC'S C-130s in re­ 7llth AC&W Squadron who operate a sur­ toward the Aleutian chain. Numerous Soviet supply runs. veillance station at Cape Lisburne, the north­ fishing trawlers work those waters and pre­ Among other agencies and commands that westernmost point on the North American sumably the planes warn them of ice forma­ operate in the Alaska Air Command area are mainland. It is 170 miles north of the Arctic tions. the Air Force Communications Service and Circle, and from December 4 to January 8 Back at Elmendorf, Col. A. D. Thomas, Defense Communications Agency. In addi­ each winter the sun doesn't rise tllere at all. AAC Director of Intelligence, described how tion, the USAF Security Service has people Paradoxically, military personnel at these the command's F-4s regularly check on So­ a.round, domg what Security Service people remote sites are encouraged to wea1· summer viet patrol planes flying in international wa­ do, and the Air Training Command runs the uniforms the year around. Facilities are ters. Arctic Survival School at Eielson. available to launder wash-and-wear cloth­ "We have two intercept lines," he said. Search and rescue is an unending task in ing, but clothes to be dry-cleaned must be . "One is the DEWIZ-Distant Early Warning a state with few roads and 400 times as many flown to Elmendorf, and it can take weeks to Identification Zone-and when Soviet air­ private planes per capita as the national get them back. craft penetrate that line, which they're free average. Women airmen are currently stationed at to do since they're over international waters, No one knows how many airplanes and six remote sites. By September, however, we scramble our Phantoms to look them pilots there really are in Alaska. In the more they will be gone from all but Galena, King over, which we're free to do as well. remote areas-of which there are plenty­ Salmon, and Shemya. The restriction doesn't "The second intercept line is our ADIZ­ people learn to fly without bothering to ap­ apply to women officers who at present a.re Air Defense Identification Zone. When a ply for licenses, and a substantial number of stationed at Shemya, Murphy Dome, Fort bogey penetrates that line, he'd better be airplanes may also be unlicensed. Yukon, and Campion. friendly, for otherwise we would force him Private pilots often don't bother to file Like other remote stations, Cape Lisburne to land or, if necessary, we'd shoot him flight plans, even when the weather is mar­ has a base exchange, a theater showing down." ginal. This creates an air safety problem that free-if old-movies, a gym With basketball Each time AAC F-4s meet Soviet patrol would be far more serious if there weren't court, a two-lane bowling alley, hobby shops, craft, the crew takes a picture of the Soviet so much wide open airspace. recreation hall, off-duty education program, plane. Even so, accidents a.re frequent. And when and officers' and NCO clubs. During the crashes occur the aircraft, if not their vic­ winter months,. weekly telephone bowling 'We find the same types of planes each tims, often remain where they fall. The matches between remote stations are a favor­ time," said Colonel Thomas, pointing to en­ country is too rugged and roadless to make ite diversion, and competition is fierce to larged photos on his office wall. "They even retrieval practical. qualify for, and remain, a member of ea.ch carry the same tail numbers." In the RCC at Elmendorf, a large state map station's five-man "intercollegiate" team. Contrary to reports by columnist Jack on one wall bristles with more than a thou­ The forward surveillance stations are tied Anderson. Colonel Thomas said AAC's sur­ sand pins locating sites of crashed airplanes in to one of two regional control centers­ veillance radars and interceptors have turned that have not been recovered. Maj. RUfus in the north at Murphy Dome, near Fair­ up no evidence of MiG-25 Foxbats operating Clark, one of six USAF officers who share the banks, and in the south at King Salmon, on over or near Alaskan skies. Nor have they tasic of operating the RCC twenty-four hours the ma.inland end of the Aleutians. seen any supersonic Backfire bombers. a day, explained that the map helps avoid a Under the Murphy Dome Center are the "The most modern aircraft operating in lot of wasted effort. · stations at Tin City, Cape Lisburne, and our area is the Tu-16 Badger," he said. (The "These crashed aircraft are reported again midway between them at Kotzebue, plus Badger is a twin-jet roughly comparable in and again by pilots, especially if they're not three GCI sites, providing intercept control performance to USAF's long-retired Boeing familiar with the locale," he said. "Because as well as surveillance, at Campion, Indian B-47.) "We also see the turboprop-powered of the normally cold weather and low humid­ Mountain, and Fort Yukon. Tu-95 Bear with its counterrotating props, ity, many planes that crashed years ago still Klng Salmon's control center handles five and occasionally the An-24 Coke medium look shiny and new. Without this map and sltes-three surveillance stations at Cape transport." our file of carefully plotted coordinates, we'd Newenha.m, Cold Bay, and Cape Roma.nzof, A Coke was responsible for the most ex­ be calling out rescue people needlessly time and two GCI sites at Sparrevohn and Tata.­ citement AAC's radar scanners have experi­ after time." Una. enced In recent years when one landed on As it is, the RCC relies on a wide network Two other NORAD sites in Ala.ska are less U.S.-owned St. Lawrence Island with engine to help in search and rescue operations, using concerned with tracking aircraft than with trouble. Its passengers were scientists and facilities of the AAC, FAA, Army, Navy, Coast intercontinental ballistic missiles. The older meteorologists studying ice-clogged water­ Guard, Army and Air National Guard, and of the two is at Clear, eighty miles southwest ways. AAC technicians helped the Russians Civil Air Patrol (CAP). of Fairbanks. It 1s the western anchor of repair their engine, and the Coke returned Alaska's CAP has units throughout the the Ballistic Missile Early Warning System to its Siberian base. state with 1,300 members. They include 662 (BMEWS) that also includes stations in Colonel Thomas denied that AAC aircraft pilots, of whom 263 own their own planes. Greenland and at Fylingdales Moor, England. seek to test Soviet air defenses by flying a The CAP flies two-thirds of all rescue mis­ Three antennas at Clear are each 400 feet course that would carry them toward Si­ sions and leads CAP units of all other states wide and 165 feet high, designed to detect beria, then turning back at the last possible in people found, assisted, and saved. the launch of a Soviet ballistic missile and moment. Not all rescue operations are related to predict Its trajectory In time to provide downed aircraft. The RCC and its partici­ about twenty-five minutes• warning to its "We don't test the Soviet interception pating elements are active in the MAST­ intended target. There's also a tracking ra­ capability," he declared. "There are those who Military Assistance to Safety and Traffic­ dar to determine the trajectory of satellites do, but not us. We're concerned only with the program, and are often called on to fly sick and other objec1B In earth orbit. defense of Alaska." and injured patients to hospitals. They have A new long-range radar at Shemya 1s a He acknowledged, however. that the So­ also helped to pluck stranded climbers off phased-array system. Called Cobra Dane. it viets occasionally make such feints, and as the slopes of Mt. McKinley-all compliments is housed In a building 100 feet high with a soon as F-4s scramble to intercept them, re­ of Uncle Sam. slanted wall In W'hich are 1mbedded 15,000 vers~ course to avoid contact. THE AIR DEFENSE NET transmitting and receiving elements. Instead SAC m ALASKA Tin City Air Force Station ts the U.S. mm­ of rotating. the signals are steered elec­ SAC is the only other Air Force command tary installation closest to the Soviet Union. tronically. covering a 120-degree sweep in flying aircraft beyond state lines in Alaska. Located on Seward Peninsula near the tip milliseconds and enabling the system to Its 6th Strategic Wing operates KC-135 tank­ of Cape Prince of Wales that juts into the track 200 space objects simultaneously. ers that rotate to Eielson on sixty-day tours, Bering Strait, Tin City AFS is barely fifty Cobra Dane ls a second-generation version and RC-135 reconnaissance craft whose miles from the northeastern tip of Siberia at of the phased-array radar that has been crews perform three-year tours at Eielson, Mys Dezhneva. operating at Eglin AFB, Fla., since 1968. but spend about two weeks in every five on Tin City is a NORAD surveillance station, The information produced by all these temporary duty flying from Shemya. home of the 710th Aircraft Control and Warn­ systems is displayed at the Alaskan NORAD The tankers refuel the 43d Fighter Squad­ ing Squadron, with a radar site perched Region Control Center at Elmendorf, and is ron's F-4s and SAC's RC-185s, and deploy to atop a 2,275-foot mountain connected to a simultaneously relayed to the NORAD head­ Shemya on occasion to refuel R0-185s, F-4s. base camp below by a 7,200-foot-long tram­ quarters control center in Cheyenne Moun­ and other military aircraft flying to and from way, reputedly the longest in North America. tain at Colorado Springs, Colo. the Far East. The RC-135s' operations are A total of 105 people is assigned to Tin City, Soviet military aircraft show up often on kept under wraps, beyond the acknowledged which derives its name from tin mines radar screens at Murphy Dome and Ki~ fact that they perform a variety of intelli­ nearby. Salmon. Durin,z our visit to Murphy Dome, gence-gathering tasks. .14560 CONGRESSIONAL RECORD-SENATE May 12, 1977 SAC's RC-135s also draw interceptor es­ 1f the Soviets were to launch an attack on the Leonard Woodcock be printed in the corts now and then, usually M10-19s or -21s US by missiles and long-range aircraft, many RECORD. that come up from Petropavlovsk, on the of them would pass over of near Alaska. Kamchatka peninsula, about 650 miles due Thus, radar stations for air defense and bal­ There being no objection, the story was west of Shemya. The photos they take of listic missile early warning are vital military ordered to be printed in the RECORD, as the RC-1356 probably decorate the walls of installations. They could be important enemy follows: Soviet intelligence offices at their air force targets. If they should suddenly be silenced, WoODCOCK-"A TOUGH ACT To FOLLOW" regional headquarters in Magadan or Ok­ defenses would be seriously crippled. hotsk. Also vulnerable is the Alaskan pipeline, (By Ralph Orr) SOVIET PILOTS KNOW THE TERRITORY--OR USED stretching 800 miles from Prudhoe Bay ou When Leonard Woodcock took over the TO the North Slope to Valdez on Prince William United Auto Workers seven years ago, the A lot of Soviet aviators have flown over Sound, south of Anchorage. Since the North shoes he was fllllng belonged to a near-leg­ Alaska. They've landed and taken oft from Slope in full production ls expected to pro­ end, his unton was in debt. and his member­ Eielson, Cold Bay, Galena, and other air­ vide ten percent or more of the nation's oil ship wasn't at all sure how it would do with­ strips in the state. Most of them are prob­ supply, pipeline sabotage is no small threat. out the guiding hand of Walter P. Reuther. ably retired by now. Those bases during The Joint Chiefs of Staff have plans, which Next month, Leonard Woodcock will retire, World War II were vital way stations in ferry­ are exercised regularly, for the rapid 1·ein­ at 66, too old to run again for the presi­ ing U.S.-built fighter planes to the U.S.S.R. forcement of Alaskan defenses. Any incur­ dency of the UAW. The doubts and the debts Eielson, in fact, was built originally to sion would trigger an immediate response, are history. For Woodcock and 1.4 million UAW members, the years of his presidency handle the backlog of Soviet-destined air­ inltially by forces Within the state, but 1 craft held up in Alaska awaiting favorable swiftly augmented by ground, air, and naval have been vintage. flying weather. At that time Eielson was forces earmarked and trained for speedy re­ That certainly will be the appraisal of his­ known as Mile 26, its distance from Fair­ sponse. torians. It already is the verdict of his peers banks, and was a satellite of Ladd Field at CROSSROADS OF THE WORLD in labor. Fairbanks. In 1960, Ladd, its runways too Many Americans think of Alaska as a re­ Auto company negotiators won't miss short for the big jets, was turned over to the mote, vast, cold region having little tn com­ him, but he has their respect, and even Army and renamed Fort Wainwright. mon with the rest of the continental US. Woodcock's detractors, who see him as aloof and abstracted, have trouble faulting his ARCTIC SURVIVAL SCHOOL Alaskans, on the other hand, consider them­ selves pretty much in the center of the stewardship. Also at Eielson is the Air Training Com­ The bargaining table successes he engi­ mand's Arctic Survival School. The "cool northern hemisphere. Anchorage ts. closer to the major cities of Europe and Asia than ye neered were in some cases remarkable. And school," oldest continuous survival school under h1s presidency, the UAW maintained operated by USAF, ls one of three detach­ San Francisco, Chicago, Atlanta, or New Or· leans. Passenger and cargo aircraft of many an unswerving commitment to social change. ments of ATC's 3636th Combat Crew Train­ He capped h1s 40-year career by leading ing Wing at Fairchild AFB, Wash., others nations fly to and from Anchorage Interna­ tional Airport, bound for destinations across President Carter's mission to Vietnam to seek being the Water Survival School at Home­ out missing Americans and clear the way for stead AFB, Fla., and the Desert Survival the top of the world. "He who holds Alaska Will hold the world," normalizing U.S. relations With Hanoi. Carter School at Nellis AFB, Nev. has called the mission an unqualifled success. One of the cool school's instructors, round­ predicted. Brig. Gen. Bllly Mitchell to the House M111tary Affairs Committee half a cen­ And now it seems certain that Carter next ing out his third year at Eielson, is SSgt. Bill month will name Woodcock as the American Joiner, ATC's outstanding Airman of the tury ago. Year for 1974. In the age of missiles and spacefl.ight, envoy to Peking. Each year, some 700 students complete the Alaska may no longer be the keystone of ''IT IS NEVER EASY TO FOLLOW A LEGEND" ftve-ctay course, which includes forty-eight global strategy as Mitchell envisioned it for They have not been seven easy years for hours in the field where they must build the air age. But, in addition to its valuable Leonard Woodcock. It is never easy to fdllow their own shelter, forage for food, and learn natural resources, its location, nose to nose a legend. how to signal their position to search air­ With the USSR, ts reason enough for main­ That was his role when Reuther, the UA W's craft. Students include aircrew members, taining alert forces there to guarantee its flamboyant, assertive unquestioned leader security police, and others whose duties 1nviolab111ty. for 24 years, plunged to his death in a plane might subject them to extended exposure. crash in May 1970. The school laboratory exhibit and museum, Reuther was more than an agile negotiator. assembled over the seventeen years it has UAW'S WOODCOCK CALLED ''A He was a phasemaking national figure wtth a been at Eielson, is one of the base's more remedy for every national malignancy. He popular attractions. TOUGH ACT TO FOLLOW" walked with Martin Luther King and talked Instructors from the school have assisted Mr. RIEGLE. Mr. President, next week With Lyndon Johnson. Alyeska, the Alaska pipeline company, 1n in Los Angeles, one of America's great He was the architect of the unique philos­ setting up survival ·programs for its people, labor leaders steps down from the presi­ ophy that responsible unionism also de­ and they are called on frequently to address dency of the United Auto Workers. He mands a commitment to the fight for social civic and social groups 1n the Fairbanks and economic reform. area. is expected to be offered a high position His own members lined up for his auto­ GUARDING THE PRONTIEB in the Carter administration, so in no graph. And when he died, some said the UAW Anthropologists are generally agreed that sense will the end of his office with the never would be the !'&llle. Alaska's original settlers came from Asia, UAW mark the retirement of Leonard "His passing inevitably wm make a differ­ crossing the Bering Strait into Alaska. Some Woodcock. ent kind of union out of the UAW," said one Temained, others continued south. There is The Detroit Free Press labor writer, of Detroit's foremost labor experts, "less sin­ evidence that the Athabaskan Indians in Ralpr Orr, has comPosed a moving pro­ gle-minded, less disciplined." Alaska's interior are closely related to the Seven years have proven the expert wrong. Apaches of Arizona. file of Mr. Woodcock, which reaches be­ Those seven years have been unkind, too, to In the years before World War II and the yond the usual summary of accomplish­ those who said that a Woodcock UAW would ensuing cold war, inhabitants of Alaska and ments and talks about the man behind turn right, to bread-and-butter unionism. neighboring Siberia moved freely back and the job. Many readers of the CONGRES­ It was a strange prediction about a one­ forth across the Strait. Ben Eielson, the pio­ s10NAL RECORD will want to know what time socialist, a hawk-turned-dove on Viet­ neer Alaskan pilot for whom Eielson AFB is makes this man tick, and I believe that nam, a man who only two months before named, crashed into a Siberian hlllside in Ralph Orr's article about Woodcock pro­ Reuther died had raged at UAW conference November 1929 while attempting to bring vides a personal side to this man whose delegates for foot-dragging on a civll-rights food to the crew of an ice-locked ship off work has been so imPortant to the people resolution call1ng for equal promotional op­ the Siberian coast. It took three months for of Michigan and, indeed, of the Nation portunities. a Joint US-Russian search team to find the Seven years may not be long enough to wreckage of his plane. and the world. give the luster of legend to one's achieve­ If such traffic is still going on, it is on a The UAW is a very special kind of ments. far smaller scale. The Eskimo vlllages that labor organization and it has produced This may be especially true of one as re­ dot the coastine are close-knit communities very special leaders. None of them more served and enigmatic and sometimes peevish where visitors are readily spotted. The Eskimo so than Leonard Woodcock, who served as Woodcock. Scouts, that unique organization of the Alaska National Guard, are the "Royal Moun­ in the shadows of the late Walter Reu­ There is much that is not generally known ties" of the region, and, unless the strangers ther, but who when he came to l)()wer about Woodcock, for he flaunts little. can prove they're on legitimate business, himself put his own unique stamp on "HE WORE A PATH IN THE SltIES • • •" they're hustled back across the Strait or the union and the industry which the His own members have no idea how many turned over to higher authority. UAW represents in collective bargaining. times he has gone before Congress and other It isn't likely that Soviet forces would try I ask unanimous consent that the De­ groups backing causes and legislation that to invade Alaska Via the Bering Strait. But troit Free Press story on UAW President would benefit them-subjects that ranged May 12, 1977 CONGRESSIONAL RECORD-SENATE 14561

from national health insurance to power rounds. There were innovative breakthroughs. WOODCOCK: SOMETIMES, ICY SILENCE press hazards, from nuclear testing to noise It is a tough act to follow," said Wood.cock's "HE NEVER PULLED RANK ON us" in the work place. heir-apparent, vice-president Douglas Fraser. "He wore a path in the skies between here Auto workers also paid a price each round. The WoOdcock yea.rs have not been a one­ and Washington," said his long-time secre­ There was a week-long strike at Chrysler man show. Decisions were board decisions, tary, Mrs. Mary Wensel. "He belongs to more Corp. in 1973 and the month-long walkout the risks were shared risks. "He never pulled than one mllUon-mlle club." at Ford Motor Co. last year. rank on us,'' Fraser said. WoOdcock had labored in Reuther's shad­ Industry negotiators concede that the GM A staff assistant once called Woodcock "our ow as an assistant, as a regional director and strike of 1970, when the hang-up was the cerebral man." for 15 years as vice-president. He scored some ceiling on COLA, probably was inevitable. Although in a head-to-head interview notable gains in thoEe years, but seldom made But privately they question the necessity Woodcock is direct, candid and capable of the headlines. for the '73 and '76 stoppages and complain droll humor, some newsmen have ca.st him Yet it was alien to him to preface a re­ that sometimes Woodcock was not "read­ as moody, brooding, even reclusive and a. mark with, "As I told the House Labor Com­ able." loner. That image isn't totally accurate. mittee la.st week ••. ," as Reuther might "Walter (Reuther) would tell ycu why he There are his plant tours and local union have done. couldn't buy your offer. Then he would toss functions he makes. Similarly, few people know how many times off hints about compromise," said one com­ He is sometimes seen dining alone down­ Woodcock, unlike Reuther, toured the plants pany bargainer. town or poking the produce at the A & P where his constit,.1ents worked, shaking "But Leonard would say 'no.' then just sit store in Lafayette Park, near his 22d-ftoor hands, asking how things were going, ob­ there." apartment, where he cooks his own breakfast serving line speeds and work standards. Woodcock's aides agree that this sometimes and does his own dishes. He could talk their language because he was his style. "Sometimes he wasn't ready to Woodcock is a tough administrator who was no stranger to the shops; i;here were react or didn't know how to react and was works steadily in his office for long hours those years in the 1930s when he tolled as a thinking it over," one associate said. and doesn't want to be bothered with trivia.. machine assembler and punch press operator. On the other hand, the associate went on, "In some ways, he's hard to work for,'' said Yet WoOdcock never talked about the the icy silence may have been a bargaining one staffer. "But if you do· your job, you've tours. There was no hype, there were no en­ strata.gem-as his temper outbursts some­ got no problems." tourages, no unseemly photos showing him times were. But his associates say that away from in goggles and holding a welder's gun. When Woodcock blew a gasket, company Solidarity House, he bends and is one of the But there are Woodcock anecdot-es, cher­ men never were sure if the eruption was tac­ gang. ished by the tellers. There was the time in tical or visceral. One staff member recalled a day during the 1971, for example, when he had a date to "But what the hell's the difference if he 1967 long-hours bargaining when Woodcock, tour the Long Manufacturing Co. plant in flipped his lid or sat like Buddha?" the asso­ his staff and the UAW bargaining committee Birmingham, and a rickety bridge over a ciate asked. "You can't knock the results." took: a break at Tiger Stadium. culvert gave way under his car. Yet there are none among his peers ready "We sat out in the right field bleachers "I went out and hailed this beat-up old to call Woodcock strike-happy or insensitive drinking beer and eating hot dogs and had pickup truck to take him to the plant," re­ to the tra.um.a which a strike generates. a helluva. time," he said. called Joe Loesche, UAW security chief, who Woodcock agonized over the 1970 strike During two of the biggest crises of his life was accompanying Woodcock. ("He was a lonely man then," said one staff­ however, Woodcock did go it alone. The most "The last I saw of Leonard he was bounc­ er) and lashed out angrily at critics who said recent was in Hanoi,-when he feared the mis­ ing up and down on this washboard road the strike was unnecessary or pa.rt of some sion was faltering. that was under construction." ingenious charade. He chose to ignore the trappings and the A banner over the plant gate read, "Wel­ "If the bastards only knew how many diplomatic posturing to go one-on-one with come Leonard Woodcock." A plant official nights I couldn't sleep with 400,000 people Phan Hien, Vietnam deputy foreign minister who was there with his own welcome saw the on the sidewalk and the holidays coming," he and, like Woodcock, a skilled negotiator. truck and said to WoOdcock, sitting inside once told a Free Press reporter. If they closed the door on the Woodcock with typical straight-backed reserve, "We AN ALBATROSS OR TWO ON HIS SHOULDERS mission, the UAW president told Phan -Hien, know the UAW is in an austerity program, it might be 10 or 12 years before Ameri~an Leonard, but after all . . . ." The COLA limitation that triggered the GM strike was a part of the Reuther "legacy," negotiators came back. Some months earlier, Woodcock and Woodcock said Phen Hien heard him out Loesche were in Atlanta, where they walked Reuther having gambled and bargained away unlimited COLA in the 1967 Ford talks to win and replied: "You will not be disappointed with the Rev. Ralph Abernathy, the civil with us." rights leader, in the "march against oppres­ important gains. Rampant inflation turned it into a bad Seven years earlier, during the bleakest sion." hour of the GM strike, Woodcock had gone "It was a five-mile march. We were tired gamble that cost auto workers millions in COLA payments until Woodcock removed the to the 14th-floor suite of James Roche, then and we were thirsty when it was over," board chairman. Loesche recalled. ce111ng. "All we thought about all the way to the Another Reuther albatross hung on Wood­ Woodcock ticked off the minimum ingre­ airport was the cold beer we were going to cock's shoulders was the state of UAW dients needed for agreement and spoke of get before we got on the plane. When we got finances. · the obvious bitter consequences of a pro­ there, the restaurant people were on strike. Reuther's obsession with the UAW educa­ longed strike with Christmas approaching. You know Leonard. No way was he going to tion center at Black Lake, which eventually Roche listened politely. It was the turning cross a picket llne." cost $23 million, and his penchant for pay­ point, Woodcock said later. In six days there So Loesche and the newly-installed presi­ ing cash, had left the UAW general fund was a settlement. dent of the UAW who prefers Scotch to beer indebted to the strike fund for $13 million. "THE PRESSURE WAS ON AND I DIDN'T EXPECT and can put tt away when he wants to un­ The GM strike cost the UAW more than HIM" $160 million and left the auto workers with wind-slaked their thirst at a water fountain. His tough bargaining stands, his some­ The trip to Atlanta was intended as a. sig­ their property mortgaged and more than $81 million in debts. times stoic ways have led some to label nal that the UAW was not about to revert to Woodcock oold and calculating. nuts-and-bolts unionism. Woodcock, who attended the Walsh In­ stitute of Accountancy in Detroit until the UAW people reject the notion. One of his Earlier that day, WoOdcock had attended assistants, Don Ephlin, erupts at the sug­ General Motors' annual stockholders meet­ Depression forced him to drop out, began tightening the belt--starttng with 125 staff gestion. ing, wearing a "Tame GM" button and talk· "My son died during the 1970 strike. He ing about corporate responsiblllty. layoffs. The UAW newspaper wa.s bobbed to eight was 16,'' Ephlin said. "Leonard called while Four mont~ later, 40,000 GM employes I was at the funeral home, but I knew that were on the picket lines and GM was shut pages. It was decreed that all plane trips would be taken tourist class. In one sym­ they were into the all-nighters, that the down from coast to coast. The 67-day strike pressure was on, and I didn't expect him. in 1970 was the costliest in history. bolic move, he ordered the telephone re­ moved from the UAW Buick that had been "All of a sudden he walked in and gave THE MOST PRODUCTIVE IN UAW HISTORY Reuther's. saving $50 a month. me a. big bear hug. My God, there he was, It was the first of three rounds of auto bar­ Today there is $32 million in the genera.I with the whole staff." gaining under Woodcock, rounds that were fund, $162.5 million ln the strike fund and Those who call him calculating also fault to prove the most productive in the UA W's a net UAW worth of $246 mllllon. Woodcock for bending UAW principles in the 41-year history. Woodcock credits UAW Secretary-Treasurer interest of expediency. The gains ranged from an unlimited cost­ Emil Mazey for his role In the union's fiscal They talk about UAW lobbying for the B-1 of-Uving allowance (COLA) to dental care, comeback. bomber, a.bout touting temporary import from a sound early-retirement plan to a In fact, he has been Jrenerous with his quotas during the auto industry slump in qualified right to refuse overtime work. praise for others in the UAW hierarchy and contravention of UAW free-trade policies, "We did exceptionally well in au three skilled. staff technicians. about abandoning the Sierra Club a.nd 14562 CONGRESSIONAL RECORD-SENATE May 12, 1977

Ralph Nader, about "shilling" for the auto THE MOTIVATIONS OF THE WOODCOCK YEARS Other assets--itemize: industry for a pause on emission standards. Two motivations dominated the Woodcock Civil service Retirement Account: That was not compromise, but pragma­ years, practicality and the never forgotten $15,056.95. tism, the UAW claims. obligation to the men and women the UAW Remainder Interest in Trust: 8 $48,662.27. Impossible emission standards, when the served-and the two are related. Limited Partnership Interests: 1 $13,200.00. nation should be concentrating on fuel 8 It was practical, the leadership felt, to sup­ Miscellaneous: $1,000.00. economy, Woodcock said, translated into the Total assets: $485,796.19. endangering of his members' jobs-and his port temporary import quotas during the CONTINGENT LIABILITIES first duty is to them. recession, ideological contradiction or not, to "It's just crap, this talk that the industry give the industry time to gear up for small­ As endorser, comaker or guarantor: None. has me in its pocket," he said when the car production. On leases or con tracts: None. liberals took after him. Jobs were at stake. UAW jobs. Legal Claims: None. Still, there are those who sneer and write Shortly after Woodcock was sworn in, job Provision for Federal Income Tax: None. off the UAW as buttondown unionism with alienation and the ''blue collar blues" sur­ Other special debt: None. faced as the "in" socio-industrial maladies. overtones of phony intellectualism. · LIABILITIES Woodcock resented that, considering it the "They think they're hot . . . because they Notes payable to banks...:...secured: None. can pronounce all those big words," a lesser fantasy of "elitists," not just because it re­ flected on the union, but because it cast his Notes payable to banks-unsecured. None. Teamster once said. Notes payable to relatives: None. The critics talk about much clubbi­ members as mindless robots. . too And, being practical and having talked to Notes payable to others: None. ness, about the dinners the UAW brass at­ Accounts and bills due: None. tends in company with industry moguls, and workers, he knew that some of the remedies being proposed by the academicians never Unpaid income tax: None. they find that sinister. Other unpaid tax and interest: None. It is no different, the sharpshooters say, would work. There were other ways to go at it-like Real estate mortgages payable-add sched­ than Teamster Frank Fit~immons playing Ule: None. golf With trucking executives or Steelworker early retirement, voluntary overtime, a Christmas sabbatical, more paid days off' and Chattel mortgages and other liens payable: I. w. Abel sipping cocktails in Pltt.sburgh's None. Duquesne Club with steel executives. tighter health-and-safety standards. Yet in serving, the leaders seldom forgot Loan on VA Insurance: $5,000.00. There is a corollary thesis of the critics Total liabilities: $5,000.00. a.bout the high-sounding UAW principles that they were elected to lead. In 1972 Wood- and the union's paranoia about corruption. cock endorsed cross-district busing-when GENERAL INFORMATION It is all part of an elaborate sham, they 74 percent of his members opposed it. Are any assets pledged? (Add schedule.): go on, a drawing of the drapes to hide the The UAW has won a new standing in Con- No. fact that the UAW has been cuckolded by gress. There ls Federal legislation on mat- Are you defendant in any suits or legal big interests that call the shots. ters like pension reform, that bears the clear actions? : No. The thesis infuriates the UAW leadership. UAW imprint. Have you ever taken bankruptcy?: No. "Maybe another union. but by God, not For all of Woodcock's low-register manner, 1. 10 U.S. Treasury Notes due 5/ 15/ 77; 15 this one," · one high-ranking officer coun­ the UAW remains a union apart, and it will U.S. Bonds due 3/31/77; 15 U.S. Bonds due tered. not change with the elevation of Douglas • 8/ 15/84; 25 Treasury Notes due 11/15/ 81; all "Look at the record. The only paid holiday Fraser to the presidency. at market value. our people don't have is Groundhog Day. The ultimate accolade came from a clutch 2. 1,000 shares Continental Materials and We serve them, we work at it and we do it of Cadillac workers pulling on their Stroh's 1,750 shares Terra Chemicals at market well." in Bab's Bar in southwest Detroit, leathery value. guys often unimpressed by officialdom. 3. 56 shares Sheridan Savings and Loan DESPITE STATUS, HE REMAINS UNASSUMING The others nodded when one of them said, at book value; 3,558 shares Hazen Research, Once offered ambassadorships by Presi­ "Woodcock, he done a damned good jo~ for Inc., at appraised value. dent Kennedy, considered by George Mc­ us." 4. 31988 Acres unimproved real estate in Govern as a running mate, offered a cabinet Boulder County, Colorado, at appraised value post by Carter, Woodstock ls stlll ~um.­ FINANCIAL STATEMENT OF December 31, 1973. Ing. 6. Secured by First Deed of Trust; appraised He stands in the cafeteria line at Black SENATOR HASKEI,I, value November 1975; face value $24,066.00. Lake and union affairs, rejects suggestions Mr. HASKELL. Mr. President, in ac­ 6. Remainder interest in trust established that he sit down and be served. cordance with my usual practice, I ask for mother: He spurns the VIP blandishments of unanimous consent that a copy of my TRUST ASSETS stewardesses who recognize him and offer 200 shs. Bank of New York at him a freebie first-class seat, remaining 1n 1977 Federal income tax return and a personal financial statement as of April 36.876 ------$7,375.00 th1' tourist section with the peasants. 100 shs. Cyprus Mines at 25.25____ 2, 525. 00 "I'm not looking for any enduring monu­ 21, 1977, be printed in the RECORD. 150 shs. Amer. Electric Power at mcn ts," he once told the Free Press. There being no objection, the material 24.875 ------3,731.25 A voracious reader, he switches from Eng­ was ordered to be printed in the RECORD, 400 shs. Hercules, Inc. at 24.125-- 9, 650. 00 lish history and The Economist to the comics as follows: 200 shs. Shell 011 at 71.875 ______14, 375. oo and the baseball standings. 250 shs. Ut&h Power at 44.00 ---- 11, 000. 00 Twice hospitalized by tuberculosis, he NET WORTH AS OF APBn. 21, 1977 Provide a complete, current financial net drives himself at a punishing pace, at a time 48,656.25 when, as a lame duclt, he could be a rocking­ worth statement which itemizes in detail all chair president. assets (including bank accounts, real estate, 10,000 Philadelphia Electric Bond A few days after tlie 26,000-mlle round­ securities, trusts, investments, and other fi­ at 101.75 ------10,175.00 trip flight to Hanoi, he jetted 9,000 miles nancial holdings) all lla.blllties (including debts, mortgages, loans, and other financial Value of Trust at .82715 ------58, 831. 25 to Barcelona to advise Spanish unionists Value of remainder interest_____ 48, 662. 27 emerging from 40 years of fascist oppression, obligations) of yourself, your spouse, and pushing his dream of world labor solidarity. other immediate members of your household. 7. At investment cost. Partnerships own Woodcock is amicably separated from his Where values are other than current market miscellaneous non-productive mining inter­ wife, Loula, and his three children are grown. value state the basis. In the case of real ests ln Arizona and Montana. One property "He has time that some of us don't. Maybe estate, mineral leases and similar interests may be of value. The General Partl).er has he's a workaholic because he gets lonely," specify nature and location. informed the Limited Partners that a discov­ a fellow officer said. "But he drives himself. ASSETS ery has been made and sufficient minerali­ My God, be never misses a local-union mort­ Cash on hand and in banks: $175.03. zation exists to pay the retained royalty. The gage burning." U.S. Government securities-add sched­ corporations owning the operating interests "I didn't run for re-election in 1974 be­ ule: 1 $65, 796.00. in the property apparently disagree, since no announcement to shareholders of any cause I wanted to coast," Woodcock once Listed securities-add schedule: 2 $20,- said in an interview. 937 .50. discovery, as required by SEC rules, has been Fraser summed up the Woodcock era: made. Unlisted securities-add schedule: a $24,- 8. Valuation arbitrary. Undivided interest "People visualized a turn to the right when 694.44. Walter died. It never happened. It was a in federal on and gas leases-income 1973 change in style, not philosophy. The seven Real estate owned-add schedule: ' $255,- ($423.00), 1974 ( -0-), 1975 ($438.00) and years were damned good years." 900.00. 1976 ($438.67). In fact, the measure of history probably Real estate mortgages receivable: 11 $16,- U.S. INDIVIDUAL INCOME TAX RETURN, 1976 Will be that they were spectacular years, a 374.00. 9'.' Wages, salaries, tips, and other employee judgment that already would have been Autos and other personal property: $10,- compensation (see statement 1): $44,600. made if WOOdcock had Reuther's flair and 000.00. lOa.. Dividends: $2,125; lOb. less exclusion: public-relations consciousness. Cash value-life insurance: $14,000.00. $100; balance; lOc: $2,025. May 12, 1977 CONGRESSIONAL RECORD-SENATE 14563 11. Interest income: $5,901. 9. Subtract line 8 from line 7 (if less than (b) Subtract line 15a from line 14. Enter 12. Income other than wages, dividends, zero, enter zero) : O. here and on Form 1040, line 30A: 1,511. and interest (from Jine 87) : $2,071. 10. Total (add lines 1 and 9). Enter here Computation of alternative ta:e 13. Total (add llnes 9, lOC, 11 and 12) : and on line 34: 150. $M,597. Taxes (See page 13 of Instructions.) 17. Enter amount from Form 1040, line 47: 14. Adjustments to income (such as mov­ 11. State and local income: 1,482. 43,093. ing expenses etc. from line 42): $3,952. 12. Real estate: 124. 18. Enter amount from line 15a (or Form 15a. Subtract line 14 from line 13: $50,645. 13. State and local gasoline (see gas tax 4798, Part IV, line 8(a)): 1,512. c. Adjusted gross Income. Subtract line 15b tables) : 31. 19. Subtract line 18 from line 17 (if line from llne 15a, then complete Part m: $50,645. 14. General sales (see sales tax tables): 18 exceeds line 17, do not complete the rest 16. Tax, check if from Schedule D: $16,016. 410. of this pa.rt. The Alternative Tax WW not l 7a. Multiply $35.00 by the number of ex­ 17. Total (add llnes 11 through 16). Enter benefit you) : 41,581. emptions on line 6d: $35. here and on line 35: 2,047. 24. Subtract line 23 from line 22: O. b. Enter 2 percent of llne 47 but not more Contributions (See page 15 of Instructions 25. Tax on amounts on line 19 •; 15,260. than $180 ($90 if box 3 is checked): $180. for examples.) 26. Enter 50% of line 18 but not more than 17c. $180. 21 (a). Cash contributions for which you •12,500 ($6,250 if married filing separately) : 18. Ba.lance. Subtract line 17c from line 16 have recetpt.s, cancelled checks or other writ­ 756. and enter difference (but not less than zero): ten evidence: 658. - 27. Alternative Tax-add lines 24, 25, and $15,836. 24. Total contributions (add lines 21a 26. I! smaller than the tax figured on the 20. Balance. Subtract line 19 from line 18 through 23). Enter here and on llne 37: 558. amount on Form 1040, line 47, enter this and enter difference (but not less than zero): Miscellaneous Deductions (See page 15 of alternative tax on Form 1040, line 16. Also .15,836. Instructions.) check the Schedule D box on Form 1040, line 21. Other taxes (from llne 62) : $122. 32. Other (itemize) tax preparation fees: 16: 16,016. 22. Total (add lines 20 and 21): $15,958. 400. • If the amount on which the tax is to be 23a. Total Federal income tax withheld: Political contributions: 100. computed 1s $20,000 or less use the Tax Table; $14,036. Porm 2106 attached: 8,547. if more than $20,000 use Tax Rate Schedule b. 1976 estimated tax payments: $2,000. 83. Total (add lines 30 through 32). Enter X,Y,orz. 24. Total (add lines 23a through e) : $16,036. here and on line 39: 4,047. SUPPLEMENTAL INCOME SCHEDULE 26. If llne 24 1s larger than line 22, enter Summary of itemized deduction, Bent and royalty amount overpaid: $78. income 84. Total medical and dental-line 10: 150. See statement 4. INCOME OTHER THAN WAGES, DIVIDENDS AND 85. Total taxes-line 17: 2,047. (c) Total amount of royalties: 449. INTEREST 37. Total contributions-line 24: 568. (d) Depreciation (explain below) or de­ 30a.. Net gain or (loss) from sale or ex­ 39. Total miscellaneous-line 33: 4,047. pletion (attach computation): 99. change of capital assets (attach Schedule D): 40. Total deductions ( add lines 34 through (e) Other expenses (Repairs, etc.-explain $1,511. 39). Enter here and on Form 1040, line 44: below) : 350. 32a. Pensions, annuities, rents royalties. 6,802. 10. Total rent and royalty Income (add partnerships, estates or trusts, etc. (attach Dividend Income lines 7, 8, and 9) : 350. • Schedule E) : -$1,490. 1. Gross dividends (including capital gain Income or losses from partnerships, estates 86. Other (state nature and source-see distrlbutlons) and other distributions on or trusts, small business corporations page 11 of instructions) (see statement 2): stock. (List payers and amounts-write (H), $2,050. (W). (J), for stock held by husband, wife, or See statement 3. 37. Tota.I (add lines 29 through 36). Enter Jointly) (d) Income or (loss): -1,840. here and on line 12: $2,071. Sheridan Savings & Loan Association: 34. 12. Income or (loss). Total of column (d) less total of column (e): -1,840. ADJUSTMENTS TO INCOME Hazen Research,·Inc.: 778. 2. Total of line 1: 2,125. 13. Total (add lines 5, 10, and 12). Enter 39. Employee business expense (attach here and on Form 1040, line 32A: -1,490. Form 2106) : $3,952. Terra Chemicals: 1,313. 6. Dividends before exclusion (subtract line COMPUTATION OF SOCIA!. SECURrrY 42. Total (add lines 38 through 41). Enter SELF-EMPLOYMENT TAX here and on line 14: $3,952. 5 from line 2.) • Enter here and on Form 1040. line 1oa.: 2,125. Computation of net earnings from non/arm TAX COMPUTATION Part II Interest Income self-employment 43. Adjusted gross income (from llne 15c). 7. Interest includes earnings from savings 5 (b) Partnerships, joint ventures, etc. If you have unearned income and can be and loan associations, mutual savings banks, (other than farming) : -511. claimed as a dependent on your parent's re­ cooperative banks, and credit unions as well (e) Other: See statement 2: 2,050. turn. check here and see page 9 of Instruc­ 6. Total (add lines 5a through e): 1,539. tions: $50,645. as interest on bank deposits. bond.J,, tax re­ funds, etc. Interest also includes original is­ 8. Adjusted net earnings or (loss) from 44a.. If you itemize deductions, check here, sue discount on bonds and other evidences nonfarm self-employment (line 6, as ad­ and enter total from Schedule A, line 40, and of indebtedness (see pa1?e 16 of Instructions). Justed by line 7) : 1,539. attach Schedule A: $6,802. (List payers and amounts) 45. Subtract line 44 from line 43 and enter Nonfarm Optional Method Interest on U.S. obligations: 4493. 9(a) Maximum amount reportable, under di1ference (but not less than zero) : $43 843. Mountain Valley Associates note: 1,408. 46. Multiply total number of exemptions both optional methods combined (farm and 8. Total interest income. Enter here and nonfarm) : $1,600. claimed on line 6f by $750: $760. on Form 1040, line 11:5,901. 47. Taxable income. Subtract line 46 from Computation of Social Security line 45 and enter d111'erence (but not less CAPITAL GAINS AND LOSSES Self-Employment Tax than zero): $43,093. Long-term capital gatm and losse8-48sets 12(b) From nonfarm (from line 8, or OTHEa TAXES held more than 6 months line 11 if you elect to use the Nonfarm Op­ sa Self-employment tax (attach Schedule 6. 595.69 Sh. Mlle High stock: 73-32376; tional Method) : 1,539. SE): $122. 408; 959: -551. 13. Total net earnings or (loss) from self­ 62. Total (add lines 56 through 61). Enter 442 Sh. Hazen· Research stock: 73-92876; employment reported on line 12. (If line 13 here and on llne 21: •122. 3,271; 855: 2,416. is less than $400, you are not subject to self­ SCHEDULES A AND B-ITEMlZED J)EDUCTXONS AND Mountain Valley Assoc. note--lnstallment employment tax. Do not fill in rest of sched· DIVIDEND AND INTEREST INCOKE sale: 71-92876; 2,458; 764: 1,694. ule.): 1,539. . 9. Enter your share of net long-term gain 14. The largest amount of combined wages Schedule A-Itemized deductiems or (loss) from partnerships and fiduciaries: and self-employment earnings subject to Medical and Dental Expenses (not com­ -536. social security or railroad. retirement taxes pensated by insurance or otherwise) (Bee 11. Net gain or (loss), combine lines 6 for 1976 is $15,300. page 13 of Instructions.) through 10: 3,023. 16. Balance (subtract line 15c from line 1. One half (but not more than $150) of 18. Net long-term gain or (loss). combine 14) : 15,300. insurance premiums for medical care. (Be lines 11 and 12: 3,023. 17. Self-employment income--llne 13 or 16, sure to include in line 10 below) : 150. Summary of Parts I and II whichever 1s smaller: 1,539. 4. Subtract line 3 from line 2. Enter d111'er­ 18. Self-employment tax. (If line 17 is ence (i! less than zero, enter zero): O. 14. Combine lines 5 and 13, and enter the net gain or (loss) here: S,023. $15,300.00, enter $1,208.70; if less. multiply 6. Enter balance of insurance premiums for the am.ount on llne 17 by .079.) Enter here medical care not entered on line 1: 370. 15. If line 14 shows a gain-(a) Enter 50% and on Form 1040, line 58: 122. 6. Enter other medical and dental ex­ of line 13 or 50% :>f line 14, whichever is penses: a. Doctors, dentists, nurses, etc.: 355. smaller (see Part IV for computation of EMPLOYEE BUSINESS EXPENSES 7. Total (add lines 4 through 6c): 725. alternative tax). Enter zero if there 1s a loss 1. (d). Other (specify) see statement 5: 8. Enter 8% of line 15c, Form 1040: 1,519. or no entry on Une 13: 1,512. 11,605. 14564 CONGRESSIONAL RECORD- SENATE · May 12, 1977 4. Employee expenses other than traveling, ability in these areas which we are trying As I travel throughout the State of transportation, and outside salesperson's ex­ so desperately to revitalize. North Carolina, I am confr<>n~ed over penses to the extent of reimbursement: 11,- First I feel that the bill is unnecessary. and over again with the comment that 133. The Federal supervisory agencies are we are paperworking the business of this 5. Total of lines l, 2, 3, and 4: 22,738. presently considering the "convenience country to death. I am sure that my col­ 6. Less: Employer's payments for above ex­ and needs" test when granting new char­ leagues here in the Senate are receiving penses (other than amounts included on ters, mergers, et cetera. The Acting this same reaction throughout the coun­ Form W-2) : 18,786. Chairman of the Home Loan Bank try. Although the intent of our legisla­ 7. Excess expenses (line 5 less line 6). Enter Board, Mr. Garth Marston, testified be­ tion is a worthy one, I once again state here and include on Form 1040, line 39: 3,- that we must look to see what the ulti­ 952. fore the Senate Banking Committee on 24, 1977 mate effect of this legislation will be. Employee Business Expenses Which Are De­ March that pursuant to the statutory requirements in section. (5) And I contend, Mr. President, that the ductible If You Itemize Deductions on ultimate effect might well be a reduction Schedule A (Form 1040) of the Homeowners Loan Act, the BoCincinnati averaged 20° had retreated a half mile from their 1865 limits. The globe was warm, its people fairly The ramifications of such a change would below normal; Indianapolis shivered for weeks and recorded an all-time low of 18° well fed. be many, affecting the foreign pollcy and Experts disagree as to when this period your fuel bill, what food 1s grown and what below zero. Abnormal weather, people said. began to end. Some say it was as early as the you eat. Taken at its bleakest, the coming 1940's, others say as late as the mid-60's. But weather may signify massive migration and Pardee Reservoir near Jackson, Cal., was down more than 100 feet below normal water they are in general agreement that our equally massive starvation. Taken at lts most weather ls now changing-and for the worse. optimistic, lt will cause all of us to change level as parts of the state sweltered under a parts of our life-styles. severe drought. The ice cover in the Northern Hemisphere "The problem ls worse than anyone real­ increased by 12 percent in 1971-an increase One need not be an alarmist to find this izes," said Daryl Arnold of the Western Grow­ equal to the combined area. of England, Italy, information of serious concern and ers Association as reports came in that many and France. This added ice has remained. worthy or considerable thought. square miles of California farmland were al­ The great ice mass of Antarctica grew by Today, our farmers are beset by record ready too dry to grow anything. 10 percent in one year, 1966-67. And the aver­ At the same time, the Midwest, America's age ice and snow cover 1s high-and expand­ wheat and grain surpluses which have ing. forced farm prices down and caused a breadbasket, has too little moisture, which could turn it into a totally unproductive dust WINTERS LENGTHENING serious rec~ion in many parts of the bowl. Thirteen Western states, with only one­ Sate111te photography has captured an­ Nation's Grain Belt. Viewed Jn the con­ fifth their normal mountain snow cover, can other, equally disturbing picture: In just six text of this weather picture, however, we look forward to a bleak period of water ra­ years winters in the Northern Hemisphere should be counting our blessings. We may tioning and power blackouts if summer, their grew longer by almost three weeks, averaging never again have this golden opportunity dry season, follows its usual course. 84: days in 1967 and 104 days in 1973. to accumulate adequate food reserves Thirteen other states, from Washington And as the evidence accumulated, the against the probable years of scarcity. and Oregon across to Kansas and Nebraska, world's climatologists turned their thoughts Many forward-looking Members of this were also hit. Wheat and oe.t stocks were de­ to the unthinkable: the real possibility that body have Pointed this out for some time, pleted. In parts of Minnesota, the Dakotas, the world ls about to face a new Ice Age. I Wisconsin and Kansas the earth froze to a Professor Bryson feels that the evidence and know that the Secretary of Agricul­ depth of four feet, becaUEe not enough snow suggests the change will be a return to the ture has a deep appreciation of these fell to give the usual Insulation to the climate that was dominant from the 17th facts. Let us hope that we all have the ground. century to about 1850. During most of that wisdom and the resp0nsibility as public Old Man Winter was perplexing other time northern Europe lived in the twilight officials to take the necessary measures, countries as well. In the USSR, snow fell of permanent winter. Malnutrition caused however costly they may seem at the farther south than tn any winter on record. great plagues in Europe, Russia, India, and time, to arm ourselves against likely Neighboring Hungary and Czechoslovakia Africa, while the Iberian Peninsula, Italy, future scarcities. were flooded out with a freak warm spell. and Greece thrived. Britain had severe blizzards in random parts Mr. President, as the Senate prepares In northern Europe, even the summers of the country. Several parts of southern were cool and dry, and harvests were poor. to consider major legislation establish­ Australia were declared dls38ter areas as the The winters were snowy and bitter cold. ing the Nation's agricultural and nutri­ worst brush fl.res ever torched timber and Climatologists agree that the entire globe tion policies for the next 5 years, I com­ crops. In Brazil, the Sao Francisco River, an ls In for unstable weather over the next sev­ mend this sobering article to my col­ important commercial artery, became too eral decades. Droughts and floods, hurricanes leagues and to interested readers. I ask shallow along most of its 1800 m.Ues for and tornados, killing frosts and throttling unanimous consent that the article "Our cargo boats to pass through. snows will occur far more often and ran­ Changing Weather is Worse Than We And in the not-so-distant past, there have domly than ever before. been other startling weather-related events. Realize," be printed in the REcoRD. The CIA believes that perhaps our gravest There being no objection, the article In 1972 Russia's total wheat crop failed. Since short-term concern should be, as it has been 1970, 3 million have died .as a result of recently, marked variations in prevailing was RECORD, ordered to be printed in the drought ln the six countries of the African weather patterns--0ne of the side effects of as follows: Sahel. The once-teeming schools of anchovy a cooling trend. They conclude: Oua CHANGING WEATHER Is WORSE THAN WE off the coast of Peru have mysteriously dis­ "The U.S. Middle West has had moderate REALIZE appeared. In India 150 mlllion people would to severe droughts every 20-25 years-e.g_., For the past 50 years we have enjoyed some have starved had help not come tn time when 1930's, mid-1950's--as far back as the weath~r 1974's monsoon failed to show. records go. If this pattern holds, the main of the best weather mankind has ever known. What's going on? But this exceptionally clement period has U.S. granary (now also the mainstay of the lulled us into a false sense of security. Now, RETURN TO NORMAL world grain trade) could expect drought an~ accordlng to many climatologists. and some The answer is simple. America and the consequent crop shortfalls within the next recently declassified Central Intelligence rest of the Northern Henusphere are return­ several yea.rs." Agency report.s, our climate and the con­ ing to normal weather. After 50 years of un­ In America's Midwest there could be a re· sistency of our seasons can no longer be precedentedly temperate cllmate, the world turn to the disastrous dust bowl of the 1930's. taken .for granted. is returning to the more radical shifts and Professor Bryson bas pubUcly described the In the early 1970's top CIA thinkers con­ the cooler climate that characterized the possibility o.f "an era of drought, fa.mine and cluded that changing weather was "perhaps previous 800 yea.rs. political unrest in tbe W'~stem world." tl).e greatest single challenge that America As intelligence analyses. the CIA studies The CIA believes that \! the cooling t.rend 14566 CONGRESSIONAL RECORD- SENATE May 12, 1977 ls great enough to reduce food production 1n Hynes, the Assistant Secretary of the "Dad called us all to the table and asked areas such as Canada., the USSR, and north Majority. Pat started as a Senate page our opinions. Only Patrick didn't want to go. China. and to increa.se the frequency of The rest of us were all for it.'' and through the years has become as Patrick was to become a Senate page and drought 1n countries that depend on regular helpful as any staff member in the 20 monsoons, U.S. surpluses will still cover the spend more time on the Hill than anyone needs of most of the world, except in par­ years I have been in this body. else. He is now assistant Secretary for the ticularly bad years. In the complicated and confusing flow Majority in the Senate. But clearly the few rich countries of the of legislation through the Senate, amid "Actually," Arlene said, "moving here was world will have to make do with less food. the myriad of parliamentary maneuvers, the low point for me. We'd been in a. safe With the exception of the U.S., they will run starts, stops, interruptions, and reverses, community where we could let the children a good balance-of-payments deficit that will Pat has always been available to explain go. Children need to be free. We came to put a. big dent in their economies and cause patiently, expertly, and with remarkable Arlington and they couldn't climb trees or some degree of social disruption. precision just what is going on. roam around. We didn't know our neighbors. MANY WILL STARVE I didn't bake a cake for the new people when On Wednesday, the Washington Post they moved in-I didn't even know who For the poor countries of the world, the carried an unusual story by Michael they were. It was all so impersonal.'' implications are more ominous. Many will Kernan about Pat, his marvelous mother, The move proved a watershed for the starve. This future will place an almost un­ and his remarkable father, Emerson bearable moral and political burden on the Hynes children. The older ones compared U.S. and its people. We must face up to the Hynes. who had been Senator Gene everything to the farm in Minnesota; the following "unthinkable" questions: McCarthy's administrative assistant un­ younger ones saw those days as a kind of 1. How much food will we keep for our­ til Emerson Hynes died in 1971, and Pat's Eden, remote and mythic. selves? seven sisters and brothers. One Sunday in 1968 Emerson Hynes woke 2. How much are we willing to reduce our This is a story of tragedy and hap­ up to find he couldn't speak very well. He standard of living to feed others? piness, of unusual achievement and dis­ slurred the reading from the Breviary. The 3. Are we going to give away our food or children giggled. The doctor told him he'd appointment. The last two paragraphs had a stroke. He retired after McCarthy lost sell it? tell it: 4. Who gets how much, and why? the presidential nomination. Then he had Climate does not respect national bound­ The Hynes family tends to swallow people another stroke. And his seventh child, aries; production of food does. America is up like a friendly firestorm. The in-laws­ Michael, drowned at 18 in the Pacific. a.ccurately termed the Breadbasket of the all of them achievers, film maker, physicist, "It broke his heart," said Hilary. "He aged World. In mankind's coming quest for food, sociologist, teacher, architect-seem to en­ 20 yea.rs." we hold all the cards. The CIA report states joy this. One husband said that if he weren't A month after Michael died, his mother tha.t the "U.S.'s near-monopoly position as already an honorary Hynes complete with went to work in the library at St. Elizabeth's food exporter would have an enormous, hyphenated name, he'd marry Arlene (Pat's Hospital, making use of her old degree in though not easily definable, impact on inter­ mother) in a minute. library science. Emerson urged her on, "as na.tiona.l relations. It could give the U.S. a. Every time the Hyneses meet, it's a party. though he knew something." A few months measure of power it ha.s never had before­ They aren't a family, they're a gestalt. later, 1n July 1971, he died at 56. possibly an economic a.nd political domi­ Mr. President, I ask unanimous con­ Changes: nance greater than that of the immediate sent to have the article printed in the "My father always handled the discipline post-World War n yea.rs problems," T. More said, "and when Arlene "In bad years, when the U.S. could not RECORD. had to do it she was lousy. We all agreed on meet the demand for food of most would-be There being no objection, the article that. My father would hold you by the fore­ importers, Washington would acquire virtual was ordered to be printed in the RECORD. lock and say, 'What did you do wrong?' It life a.nd death power over the fate of multi­ as follows: was hard. Because you knew it. You knew tudes of the needy. Without indulging in [From the Washington Post, May 11, 1977] you were wrong, but sometimes it would take blackmail in a.ny sense, the U.S. would gain GROWING UP IN A LARGE FAMILY: THAT you 15, 20 minutes to admit it. You couldn't extra.ordinary political and economic influ­ get out of it. But it was better than being ence. For not only the poor [countries] but SPECIAL CLOSENESS (By Michael Kernan) shut in your room where you could sulk and also the major powers would be least par­ blame everything on somebody else." tially dependent on food imports from the Their people came from Kilfenora, County The daily work charts got sloppy. The U.S." Clare, in Ireland. Their farm in Minnesota Christmas rituals, the one-at-a-time gift PHYSICAL THREATS TO U.S. had the same name. Emerson Hynes and his opening ("the kids we knew couldn't believe And, the report a.dds, where climate wife, Arlene, considered themselves aca­ it was after noon and we hadn't opened our changes caused grave shortages of food in demics, but there was more to it than that: presents yet") grew less formal. Emerson had spite of U.S. exports, the potential r~sks to Hours before he went off to teach sociology been the family's great orga.nizer. the U.S. would rise. The militarily powerful and ethics at St. John's University in Col­ Arlene discovered bibliotherapy. but hungry nations would make increasingly legeville, he was up to milk the cows, and long after he got back he was puttering "It began with some drug therapy I was desperate attempts to get more grain in any asked to do at the hospital, and I got inter­ ways they could. This is no laughing matter. around the house he had built himself. He was one of 10 children; so was she. ested in therapy through reading, something China. currently has an estimated 3,250,000 like poetry therapy. There wa.s no place to men under arms; Russia has 3,800,000 in its And they had . . . 10 children. "Every night, we all got 30 seconds of lov­ train for it, so I taught myself. I started run­ armed forces. ning classes in the evenings with maybe Invasion is not the only physical threat we ing each," said their daughter Mary Hynes­ Berry. "They used to joke that if it was any seven people, training librarians in the tech­ face. Massive migration, backed by force, niques." could become a reality. There have been su~h longer, they'd be at it all night. But any migrations before; America. welcomed a. mil­ time any one of us was depressed or needed This year she has four trainees who come lion Irishmen when climate caused the some special time, she would take us on to her after a day's work. About 100 patients potato famine. Would we welcome a. million her lap. There were six of us under 6 at the a week do the therapy, reading stories or now? Experts estimate that the failure of time." poems, discussing their feelin!l's, perhaps one Indian monsoon would cause 100 million If Arlene got off her da.y's schedule by as writing responses of their own. Robert Frost, to go hungry. Who would take them in? much as 20 minutes, it could blow the whole Denise Levertov. Langston Hughes. The CIA believes we must assume that the day. She learned not to try to make it up "It has to be stuff they can relate to. stuff worsensing of our weather will reach the but to flow with it. that appeals to their own basic human ex­ point where even the best efforts of the U.S. Progressive Catholics, the Hyneses were periences. What happens is that the patients would not be enough to met the minimum active in the Catholic Worker movement learn to open un to each other, and also they needs of starving countries. But we haven't and the Agrarian Society. Arlene became get self-affirmation from the material, they yet acted on such an assumption. chairwoman of the National Council of respond to it in their own ways." As we enter the final quarter of the 20th Catholic Women, wrote magazine articles, She hopes to get an MA in bibllotherapy. century, the United States has less than 6 papers. Something wa.s always going on at When she started work in 1971, the room she percent of the world's population. With the farm: They tried solar energy, tried to worked in consisted mainly of books piled on common sense, we will recognize that the build with rammed earth. But no bank the floor. It was the former morgue. It had a shoi·t-term power our food weapon can bring loans. skylight, like most morgues and artists' can also lead to a long-term disaster. "It's a cliche, but they were hippies be­ studios. fore their time," said their son Thomas More "I've just turned 60," said Arlene Hynes. Hynes. "I'm delighted.'' Her identical twin in PA'I'RICK HYNES AND HIS FAMILY 1959. Eugene McCarthy was elected Sena­ Houston has six children. Children, you tor, called on his old college friend (and might say, run in the family. Mr. PROXMIRE. Mr. President, the best man at his wedding) to come to Wash­ The first six Hynes kids came in six years. Senate is .a better, more efficient and ington as his legislative a.ssistant, to turn Denis was born in 1942. He is a lawyer for more pleasant place because of Pat his back on a 20-year academic career. the Federal Trade Commission. Put himself May 12, 1977 CONGRESSIONAL RECORD- SENATE 14567 through law school. Two children, Patrick, sociologist, teacher, architect--seem to enjoy Mr. RANDOLPH. Mr. President, I ask also in Washington, also has two. Mary, mar­ this. One husband said that if he weren't unanimous consent that the order for ried to a British nuclear physicist, lives in already an honorary Hynes complete with the quorum call be rescinded. Chicago, has a. Ph.D. in English. Chaucer. She hyphenated names, he'd marry Arlene in a has four boys. Hilary went through four years minute. The PRESIDING OFFICER. Without of art school on a full scholarship, tried to Every time the Hyneses -meet, it's a party. objection, it is so ordered. live on his art, wound up (very skinny) as a They aren't a family, they're a gestalt. painting conservationist and restorer. Brigid (This concludes additional statements Hynes-Cherin, a lawyer for the Department of ORDER FOR RE-REFERRA.L-S. 469 Transportation, put herself through law submitted today.) school at night. Peter is a carpenter building Mr. RANDOLPH. Mr. President, I ask houses in Austin, Tex. One son. unanimous consent that, upon being re­ Then a 3-yea.r gap to T. More, who has a ported from the Committee on Human picture framing business; Timothy, a. writer­ CONCLUSION OF MORNING BUSINESS Resources, S. 469, the National Academy artist in a California. commune; Cl1.ristopher, of Peace and Conflict Resolution Com­ age 20, at home, studying music t h eory and Mr. ROBERT C. BYRD. Mr. President, mission Act of 1977, be re-referred to art a.t Northern Virginia Communit y College. is there further morning business? The youngest, including Michael, are referred the Committee on Foreign Relations for to the The Four Little Boys. The PRESIDING OFFICER. Is there a period of not to exceed 30 calendar "I could live to be 94," said T. More, "but further morning business? If not, morn­ days; and furth er, that, if, at the end I'll still be one of The Four Little Boys." ing business is closed. of the period of 30 calendar days for He and Tim used to fight a lot (the family which S. 469 is so referred, the Commit­ called them TNT), and generally the younger tee on Foreign Relations has not re­ ones were rowdy at school. "I had a terrible attitude to education," AMENO:M:ENT OF THE STANDING ported s. 469, the committee be con­ said Hilary. "I got nothing from school. Tried RULES OF THE SENATE sidered ·as having been discharged and the bill pla-eed on the Senate Calendar. to work as an apprentice. Finally landed at Mr. ROBERT C. BYRD. Mr. President, the Corcoran. I think the big contribution This, of course, is unanimous consent of my generation was restoring crafts as a what is the business before the Senate on referral of the bill S. 469, the National valued alternative way of life." now? Academy of Peace and Conflict Resolu­ Arlene herself noted the division among her The PRESIDING OFFICER. The clerk tion Commission Act of 1977, to the Com­ .;hildren, the older ones "more old-fash­ will state the pending business . mittee on Foreign Relations. ioned," reflecting the values of t heir parents, The legislative clerk read as follows: Mr. STEVENS. Mr. President, may I achieving academically, and the younger ones Motion to proceed to consideration of Sen­ i1'quire, has that matter been cleared breaking away though not by any means ate Resolution 5 to amend the Standing Rules dropping out. of the Senate. with the respective chairmen and rank­ "I don't see them so much as achievers," ing minority members of the committees she said, "but as good people living the kind Mr. ROBERT C. BYRD. Is that a mo­ involved? I assume it would be. of life I'm happy to see them live. Nobody's tion to proceed to the consideration of Mr. RANDOLPH. I say to the Senator rich, nobody's written a famous book. But Senate Resolution 5, as modified? from Alaska that has been done. It has that's not what matters. The PRESIDING OFFICER. The Sen­ been done with Senator JAVITS, the rank­ Few of the children have remained as strictly Catholic as their parents ("I don't ator is correct. ing member of the Committee on Human go to mass regularly, but I never considered Mr. ROBERT c. BYRD. I thank the Resources, from which the bill comes: myself anything but Catholic"). They were Chair. and also, I understand from him, he raised on family ritual. Each child had a Mr. President, I suggest the absence of has handled that in the Committee on special individual prayer. The parents even a quorum. Foreign Relations. wrote a booklet on Lent in the home. The PRESIDING OFFICER. The Clerk Mr. STEVENS. I do not object. "We all have a profound sense of trans­ will call the roll. Mr. ROBERT C. BYRD. Mr. President, cendence," said Mary. "The rituals are sup­ porting and meaningful to us. I think our The assistant legislative clerk pro­ reserving the right to object, I suggest closeness was a healing, rich experience. I ceeded to call the roll. the absence of a quorum. couldn't be at my father's funeral because Mr. ROBERT c. BYRD. Mr. President, The PRESIDING OFFICER. The clerk I'd just had a baby, and that made his death I ask unanimous consent that the order will call the roll. much harder to cope With than my brother's. for the quorum call be rescinded. The assistant legislative clerk pro­ The older kids got this strong sense of the The PRESIDING OFFICER. Without ceeded to call the roll. importance of faith and a sense of Catholi­ objection, it is so ordered. Mr. ROBERT C. BYRD. Mr. President, cism based on love and mutual respect and I ask unanimous consent that the order the absolutely priority of human dignity." They used to line up in two groups and for the quorum call be rescinded. read. the Psalms responsively. They had can­ COMMITTEE MEETINGS The PRESIDENT OFFICER. Without dles in Advent, lived in the liturgical year objection, it is so ordered. · from week to week. Church rituals became Mr. ROBERT C. BYRD. Mr. President, Mr. ROBERT C. BYRD. Mr. President, their own family ceremonies. I ask unanimous consent that all com­ I have no reservation to the req~est of my "All that became more difficult when we mittees may be authorized to meet dur­ distinguished senior colleague. It is my went to the suburbs," said Hilary. "The glue ing the session of the Senate tomorrow. understanding his request has been wasn't there. Still, when my father died it The PRESIDING OFFICER. Without didn't just stop, the values were passed on. objection, it is so ordered. cleared with the chairman of the Foreign That was the thing, our parents gave us ea.ch Relations Committee

EXTENSIONS OF REMARKS PRICE CONTROLS ON HOSPITAL And not until the 1970s did highly so­ OUR NATION SALUTES THE CLERGY SERVICES phisticated computer-driven brain and bOdy AND PARISHIONERS OF OUR LADY "scanners" evolve and their installation at OF THE ASSUMPTION, ST. MARY'S Community Memorial permits medical st.a.ff CHURCH, POMPTON LAKES, N.J., members to take photographs of tissue and HON. ROBERT J. LAGOMARSINO organs for more precise dia.gnosis of health DURING ITS 70TH ANNIVERSARY OF CALIFORNIA problems. CELEBRATION IN THE HOUSE OF REPRESENTATIVES As a trustee of our community-owned, non­ profit hospital, I have been on the periphery Thursday, May 12, 1977 of the planning and financing necessary to HON. ROBERT A. ROE Mr. LAGOMARSINO. Mr. Speaker, acquire and install some of the. delicate OF NEW JERSEY President Carter's recent proPQsal to im­ equipment to upgrade Ventura's medical IN THE HOUSE OF REPRESENTATIVF.S capa.b111ties. And my reward has been hear­ pose price controls on certain hospital ing from physicians of lives saved or pro­ Thursday, May 12, 1977 services has caused some concern in my longed because the hospital provided the Mr. ROE. Mr. Speaker, this year the district and I suspect throughout the Na­ tools to give full play to their skllls. people of my congressional district, State tion among hospital administrators. My Just the other day, for example, Dr. Wil· of New Jersey are celebrating the 70th constituent, Mr. Julius Gius, in an ex­ lia.m Ja.mes told a.bout the boy who had anniversary of the founding of Our Lady cellent ec:itorial, points out problems fallen backwards of!' his skateboard and of the Assumption, St. Mary's Church, Nith such a policy. I would like to share thudded his skull against concrete. He was Pompton Lakes, N .J. I am honored and Mr. Gius' comments with my colleagues: unconscious, bleeding from the ears when hiS alarmed pa.rents brought him to the hospital. privileged to call this historic event to [From the Ventura County (Cali!.) Star-Free your attention and request that you join Press, May 2, 1977) A prompt brain "scan" told the physicians what they needed to know to save his life. with me in extending our heartiest con­ EDITOR'S NOTEBOOK The Carter-Califano proposal would fix a gratulations and best wishes t.o the pas­ (By Julius Gius) $100,000-a-yea.r limit on hospitals' outlay for tor and team ministry, Rev. John Carne­ For about a dozen years I have been a new equipment. That's unrealistic. At Com­ vale, OFM, Rev. Robert Hudak, OFM, trustee of Community Memorial Hospital of munity Memorial, for example, the trustees Rev. Theodore Staniewicz, OFM, and to Buenaventura, and it has been a civic service in their March-April meeting approved these the members of the congregation on this that has brought satisfaction to me and to appropriations simply to maintain medical others who give hours and talent to this efficiency: most important jubilee anniversary cele­ ca.use. $57,395 for a mobile image intensifier for bration. So I have been dismayed in recent weeks the radiology department; $3,540 for one in­ The faith and devotion of our people in to observe that President Carter and his ad­ tensive care basmnette for the maternity de­ a full communion of understanding, ever visers have singled out the nation's hospitals partment; $27,275 for a telemetry monitoring caring and respecting the individual re­ as the No. 1 villain in the fight against in­ system; $2,609 for an additional surgical light ligious beliefs of his fellowman, has been flation. The President, through his secretary and track in an operating room. Without a the lifeline of our democracy. Spiritual of Health, Education and Welfare, Joseph continuing program of equipment acquisi­ refreshment has inspired our people with Callfano, has proposed that legal ceilings be tion (and the prices cited here are not ex­ hope and urged the individual on to great imposed on increases in hospital revenues; ceptions), a hospital can swiftly suffer de­ achievements and purpose in pursuing in -other words, price controls on hospitals. terioration in the quality of its health care. the fulfillment of his dreams and ambi­ Mr. Califano argues his case in a HEW It should be noted, too, that while daily position paper that came to my desk, saying hospital care costs have been going up, medi­ tions. in part: cal efficiencies have reduced the length of Mr. Speaker, the quality of the leader­ "For the past 40 years, hospital costs have patient stays. In Community Memorial the ship of members of the most reverend spiraled upward far fa.ster than the overall average patient 1s there 5.24 days at average clergy and the congregation of St. Mary's cost of living. Since 1950, the cost of a day's cost of $937-and these figures, pleased to Church is most eloquently intertwined in stay in a hospital has increased more than . note, are lower than the statewide average the history of the church. His Excellency 1,000 per cent-compared with a 136 per reported by the California Health Facilities Lawrence B. Casey, the bishop of the cent increase in the Consumer Price Index. Commission of 7 days average patient stay diocese of Paterson, referred t.o the his­ Today, it costs an average of about $160 to at $1,316 cost. tory of St. Mary's Church which ap­ spend a day in a hospital, compared with There's no denying that it's costly to get 0 just $44 in 1965 ..." hospital ca.re these days, very costly in many peared in their parish journal as a trib­ What he says is correct, as . far as it goes. cases. But far more ingredients go into these ute t.o the deep faith of the priests, sis­ Wliat he fails to say ls that there ls no real costs than are recognized so far by the Carter ters and faithful through 70 years when comparison between 1950 and today--or even administration, and I wW cite only two of Father Francis Koch was the first pas­ 1965 and today-so far as medical capa.b111ties many: skyrocketing malpractice insurance tor.... " I would like to insert at this and hospital facllitles a.re concerned. rates and the vast volume of paperwork re­ point in our historical journal of Con­ A quarter-century ago open heart surgery quired by state, federal and professional gress some excerpts from this chronology and total hip replacements were unknown­ agencies to process Medicare, Medi-Cal and of events which I will preface with a list insurance claims. If the Carter people were yet these procedures are now done at Com­ to get out of Washington and take a look at of the pastorate over these past 70 years, munity Memorial and St. John's Hospitals, the real world of hospitals and their a.dmin­ as follows: and the investment and continuing costs a.re lstration, they would surely develop a differ­ PASTORS high. Kidney dialysis had not been perfected ent prespective. Hospitals, as I know them, do Reverend Francis Koch, O.F.M., 1906-1920. in 1950, nor the laser method for cataract not deserve the villainous image that the Reverend Marcellus Kolmer, O.F.M., 1920:_ removal, nor card1.ac artery catheterlzation. President's team has cast upon them. 1925.