16110 EXTENSIONS OF REMARKS June 21, 1979 H. Res. 169. March 20, 1979. Rules. Amends gress a standby conservation plan which and continued use of the Masonic Hall build the Rules of the House of Representatives to accounts for the economic impacts of re ing in downtown Washington, D.C. eliminate duplicate cost estimates in com stricted ·energy use; and (2) provide the H. Res. 195. April 2, 1979. House Adminis mittee reports. States with resources and support for the tration. Authorizes expenditures by the H. Res. 170. March 20, 1979. Judiciary. implementation of energy conservation House Select Committee on the Outer Con Refers to the Chief Commissioner of the programs. tinental Shelf for special investigations and Court of Claims, a bill for the relief of a H. Res. 182. March 27, 1979. Interstate and studies. named individual. Directs the Commissioner Foreign Commerce. Expresses the disapproval H. Res. 196. April 2, 19-79. House Adminis to report to the House of Representatives on of the House of Rep;resentatives with respect tration. Directs the printing, as a House the nature of the claim against the United to the Secretary of Transportation's recom document, of the publication entitled "The States and the amount, if any, due such in mendations designating the basic route sys Celler-Kefauver Act: The First 27 Years." dividual from the United States. tem for the National Railroad Passenger H. Res. 197. April 2, 1979. Interior and In H. Res. 171. March 21, 1979. Sets forth the Corporation as submitted to the Congress sular Affairs. Directs the Chairman of the rule for the consideration of H.R. 2774. on January 31, 1979. Nuclear Regulatory Commission to submit H. Res. 172. March 21, 1979. Interstate and H. Res. 183. March 28, 1979. Expresses the to the House of Representatives all avatl Foreign Commerce. Expresses the sense of agreement of the House of Representatives able information on the recent incident at the House of Representatives that: (1) those to the Senate amendments to H.R. 2534. the Three Mile Island Nuclear Generating persons responsible for television program H. Res. 184. March 28, 1979. Sets forth Plant in Pennsylvania. and on the danger of ming and broadcasting should consider the the rule for the conside;ration of H.R. 3173. similar incidents occurring at other nuclear relationship between the level of · violence H.--'Res. 185. March 28, 1979. Sets forth the generating plants. depicted on television and a distorted view rule for the consideration of H.R. 595. H. Res. 198. April 3, 1979. House Adminis of social reality held by heavy viewers of H. Res. 186. March 28, 1979. Rules. Amends tration. Dismisses a specified election contest television: and ( 2) further investigation of the Rules of the House of Repesentatives to of the Seventh Cong·ressiona.l D!Btirict of the the correlation between the level of violence add a new rule to require that remarks of State of Maryland. depicted on television and aggressive, includ Members must be related to governmental H. Res. 199. Aprtl 3, 1979. Government Op ing violent, behavior in children and adults matters to be printed in the Congressional erations. Disapproves the Reorganization should be pursued. Record. Plan No. 1 transmitted to Congress by the H. Res. 173. March 21, 1979. Agriculture. H. Res. 187. March 28, 1979. Agriculture. President. Declares that it is the sense of the House of Declares that it is the sense of the House of H. Res. 200. April 3, 1979. Interstate and Representatives that the transfer of the Representatives that the transfer of the Foreign Commerce. Expresses the disapproval Forest Service and the Fa.rmers Home Ad Forest Service and the Farmers Home Admin of the House· of Representatives with respect ministration business and industry programs istration business and industry programs to the Secretary of Transportation's recom from the Department of Agriculture is from the Department of Agriculture is unac mendations designating the basic route sys unacceptable. ceptable. tem of Amtrak, the Nationa.l Railroad Pas H. Res. 174. March 21, 1979. House Admin H. Res. 188. March 28, 1979. Post omce and senger Corporation, as submitted to the Con istration. Authorizes expenditures by the Civil Service. Honors and expresses the grati gress. House Select Committee on Narcotics Abuse tude of the House of Representatives to a H. Res. 201. April 3, 1979. Interior and In and Control for investigations and studies. named individual at the time of his retire sular Atfa.i'l's. Requests tha.t the President H. Res. 175. March 21, 1979. Judiciary. Re ment from the position of Administrator of submit to the House of Representatives all fers to the Chief Commissioner of the Court the General Services Administration. available .information on the recent incident of Claims, a bill to direct the Secretary of H. Res. 189. March 29, 1979. Dismisses a at the Three Mlle Island Nuclear Generating the Treasury to pay two named individuals, specified election contest of the Sixth Con Plant, Pennsylvania, a.nd on the danger of chief of the Tribal Council of the Alabama gressional District of the State of Maryland. similar incidents occurring a.t other nuclear Coushatta Tribes of Texas and chairman H. Res. 190. March 29, 1979. Interstate and generating plants of similar design. of the Coushatta Tribe of Louisiana, respec Foreign Commerce. Expresses the disapproval H. Res. 202. April 3, 1979. Sets forth the tively, for the benefit of and distribution to of the House of Representatives with respect rule for the consideration of H.R. 3324. themselves and all other enrolled members of to the Secretary of Transportation's recom such tribes, in full settlement of specified H. Res. 203. April 3, 1979. Sets forth the mendations designating the basic route sys rule for the consideration of H.R. 1301. claims against the United Sta:tes. Directs the tem for the National Railroad Passenger Commissioner to ;report to the House of Corporation as submitted to the Congress on H. Res. 204. April 4, 1979. Rules. Amends Representatives on such claim and the January 31, 1979. the Rules of the House of Representatives amount, if any, due such claimants from H. Res. 191. March 29, 1979. Rules. Estab with regard to: (1) oversight subcommit the United States. lishes in the House of Representatives a Spe tees: (2) oversight agendas; (3) ethics in H. Res. 176. March 22, 1979. Sets forth cial Committee on Long-Term Care for the vestigations; (4) subcommittee limitaition; the rule for the consideration of H.R. 1786. Elderly. (5) public access to committee records; (6) H. Res. 192. March 29, 1979. Rules. Amends proxy voting; (7) open committee meetings; H. Res. 177. March 22, 1979. Sets forth the (8) quorum requirements; (9) committee rule for the consideration of H.R. 1787. rule XI of the Rules of the House of Repre sentatives to require a rollcall vote of the voting; and (10) conference committee tran H. Res. 178. March 22, 1979. Sets forth the scripts. rule for the consideration of H.R. 2676. House to authorize foreign travel by Mem bers. H. Res. 205. April 4, 1979. Rules. Amends H. Res. 179. March 22, 1979. Sets forth the H: Res. 193. March 29, 1979. District of the Rules of the House of Representatives rule fo;r the consideration of H.R. 2729. Columbia.. Expresses the strong interest of to prohibit the consideration of a. measure H. Res. 180. March 27, 1979. Interstate and the House of Representatives in the estab under a suspension of the rules unless cer Foreign Commerce. Expresses the disapproval lishment of a community-oriented Museum rtjl.in conditions a.re met. of the House of Representatives regarding of the District of Columbia dealing exclu H. Res. 206. April 4, 1979. Interior and In the standby emergency. restrictions of gaso sively with the history and culture of the sular Affairs; Interstate and Foreign Com line plan and the standby gasoline rationing people of the District and with the planning merce. Expresses the sense of the House of plan. and development of the seat of government Representatives that the President should H. Res. 181. March 27, 1979. Interstate and of the United States. encourage the accelerated commercialization Foreign Commerce. Expresses the sense of H. Res. 194. March 29, 1979. District of of e.Iterna.tive energy technologies and the House of Representatives that the Secre Columbia. Expresses the interest, concern, should encourage the conservation of do tary of Energy should: ( 1) submit to Con- and support of the House for the retention mestic energy in all sectors of use.
EXTENSIONS OF RE.MARKS THE REFUGEE CRISIS hundreds of thousands of Indochinese gave unanimous approval to House Reso refugees who are being condemned to lution 321 which I introduced to ask the death by the slowness of the world com President to convene an emergency ses HON. LESTER L. WOLF~ munity to act. An article in today's sion of the General Assembly as well as OF NEW YORK Baltimore Sun described in vivid detail other fora to deal with this mounting IN THE HOUSE OF REPRESENTATIVES many of the acts and scenes in this on- crisis. We applaud and support the ac . going human tragedy: tion of Prime Minister Thatcher of Wednesday, June 20, 1979 Indeed, the time for rhetoric has long Great Britain in calling for an inter e Mr. WOLFF. Mr. Speaker, today I passed and the need for world action is national conference ·to marshall the speak out once more for the lives of truly urgent. On Monday, this House forces of the world community.
•This "bullet" symbol identifies ·statements or insertions which are not spoken by the Member on the floor. June 21, 1979 EXTENSIONS OF REMARKS 16111 But ·all this takes time, too much time. a resettlement problem that will take 10 or 20 support, including commitments of aid and And unless we urge quick efforts we in years to solve, and refugee islands would offers to resettle more refugees, other diplo deed make the headline of the article probably be the only way to handle it." mats said, but whether these would prove come true: "World's Slowness- to Act The agreement for "orderly departures," sufficient was doubted. perhaps of 10,000 persons a month, that Viet "If every U.N. member took 10,000 refugees Condemns Thousands." nam ireached three weeks ago with the United apiece, then we would be certain of a solu I would like to insert this article into Nations effectively makes the West a partner tion-that's 1.5 million places,'' a Singapore the RECORD so that we all may be made in Hanoi's racist campa.ign to expel its 2 diplomat said. "But this is very unlikely. My more aware of the facts of this over million ethnic Chinese. At the same time, country is so crowded that it admits only whelming event. Vietnam cannot guaraintee that the clandes 1,000 refugees at a time, and they must have The article follows: tine escapes of ethnic Vietnamese would stop, promises of resettlement. So what can we WORLD'S SLOWNESS TO AC'r CONDEMNS nor could any Western government insist in expect?" THOUSANDS good conscience on such a condition. Other Southeast Asian officials, justifying "Some of the deals and t'l'9.Cle-offs that the harsh measures their governments are (By Micha.el Parks) will have to be made with the Vietnamese taking against the arriving refugees, argue HONG KoNG.-The number of Indochinese will be unsavory," a senior offi.cial of one that four conferences have been held in the refugees, an exOdus of tragedy and misery international relief organization said a.fter past six months to discuss the problem but unseen since World War n, is growing so preliminary negotiations in Hanoi. "There that it has only worsened. rapidly that the present crisis probably can will be cornpUcity in very reprehensible Their moves-the forcible repatriation of not be resolved before thousands more die. poUcies, such as oppression of the Chinese 43,000 Cambodian refugees from Thailand A new international conference has been minority, but it will probably be necessacy last week, a naval blockade by Thai, Malay proposed, but its outcome is far from cer if as many lives as possible a.re to be saved." sian and Indonesian gunboats and a threat tain. Western nations have pledged to ex Hanoi has not m&de the least move, how by Malaysia to start sending the refugees pand and speed their resettlement pro ever, to put either Us emigration policies, back to sea as soon as ships can be built- grams, 1but these cannot keep pace with the first announced in January, or the o.gree a.re interpreted :as efforts not just to drama current flow of refugees nor empty the ment with the United Nations into effect, tize their anger over what they see as inac crowded camps. Vietnam has promised to it has not met the first test of allowing the tion but to force the West to move quickly permit "orderly departures" direct to the emigration of 5,500 persons the United on the problem. West, but no one trusts Hanoi to honor such Staites said it would accept for resettlement Yet these moves certainly will cause more a commitment. immediate·ly as relatives of refugees already suffering, more deaths as the refugees, them Only a broad emergency program can meet .in Ame.rica. selves the real victims, are punished for their the crisis, the International Committee of But Washington believes that Vietnam governments' inhumanity and Western the Red Cross says, describing efforts so fa.r might yield under international political complacency·• as "absurdly inadequate." The nations in pressure. President Carter took up the issue, volved are only beginning to work on an both publicly and privately, with Leonid L. overall strategy to solve the problem, and Brezhnev, the Soviet leader with considerable THE GASOLINE SHORTAGE agreement may not come quickly. passion during their weekend summit meet "Time is what we need, a bre:athing space," ing in Vienna, but a Soviet spokesman said a regional representative of the United Na later that Moscow could do little. Besides, HON. NORMAN Y. MINETA tions high commissioner for refugees said the Kremlin official told newsmen, "the peo OF CALIFORNIA "but time already is out of hand, and every ple who are fleeing [Cambodia] are Chinese, day of delay condemns more people to and we do not consider them refugees." IN THE HOUSE OF REPRESENTATIVES death." The Carter administration also endorsed Wednesday, June 20, 1979 Refugee camps now hold more than a the British call for a major conference on third of a million persons, ·and at least 2,500 the refugee crisis, hoping not only to bring •Mr. MINETA. Mr. Speaker, never be more now arrive each day. Over the next more pressure to bear on Vietnam but to fore in my 4 years in the U.S. Congress six months, as many as 1 million are ex work the varying proposals for a solution has there been an issue that has hit the pected to flee Vietnam, Cambodia and Laos, into a complementary package. citizens of my congressional district and ·by past measures about half proba.bly "The American approach is quite practi harder than the gasoline shortage. Re will die in the attempt to reach safety. cal-knitting all the various ideas and pro cently, it has become clear that the "The scope of this huma.n tragedy is aip posals together so that finally there is a com palling," the U.N. high commissioner for prehensive approach," a senior official of one shortage is spreading from California refugees, Poul Hartling, a former Danish international relief organization said. "Quite and the western United States, through prime minister, said in Geneva, acknowl clearly, we cannot deal with those in the out our Nation. edging ·that international efforts have failed camps or on the high seas if even more are From the first indications of a short to aveirt it. coming out, but it is equally clear that, until age last March, it became clear to me Nor is a solution in sight. Each of the we start taking them directly from Vietnam that meeting the problem would require p·roposed approaches to the refugee crh.c;is has in sufficient numbers to encourage those a unified effort by all members of the major flaws: wanting to leave to do so in an orderly way, California delegation. I am pleased to Even if there were greater political will then we will have an ever-increasing number in the now-complacent West to double the by sea." say that we have coordinated efforts current resettlement program of 120,000 a But two major problems remain unresolved over the past several months by form year, the needed financial and sooial support with the U.S. plan, according to refugee ing an energy task force which I chair still would be missing. workers and diplomats in the region. The to deal with Department of Energy and "The United States will take 84,000 Indo first is the time, certainly two months, re administration officials and shape alter chinese refugees this year, and that strains quired to hold a conference and begin im native. courses of action for dealing with ouir a.bility to resettle them to just a.bout the plementing the new program, and the second the crisis. maxtmum," an Anlerican official said. "To is the substantial increase in the number of take more might mea.n the collapse of the resettlement places that will be required to Mr. Speaker, over the past several program unless there were a crash expansion take 100,000 people at a minimum directly months our California delegation has ... so we look to Europe, ·but the will isn't from Vietnam and an equal number from identified several issues which we feel there." the refugee camps in the next year. go to the heart of the current gasoline Even the wholesale resettlement Of ref Most officials and diplomats in the region shortage. These include: First, the allo ugees, like that undertaken by the United feel that, except for the United States, Brit cation regulations under which, the oil States after the fall of the SaigO'Il regime ain, France and three or four other coun companies supply gasoline stations from in 1975, requires meticulous planning and tries directly involved now, most Western month to month; second, the income considerable financing-neither of which ls nations do not yet understand the gravity of possible on a wholesale basis. the crisis and are not prepared to move as standard for local gasoline retailers; and The large processing centers that South quickly or boldly as the situation requires. third, the case load and exceptions cri east Asian nations see a.s relieving them of "My country provides money and takes a teria employed by the Office of Hearings a crushing burden in thek camps would few hundred refugees each year," one West and Appeals in the Department of hiave to be so large or so numerous that European diplomat here said, "but it is still Energy. the new facilities soon would constitute al considered an American problem, not a world Mr. Speaker, for the benefit of my most a new nation with a larger population problem. . . . As compelling as the expulsion colleagues I would like to present a se than a number of United Nations mem of the Chinese minority from Vietnam ls, bers. this is still too remote from us to have much ries of our delegation letters on the "If Vietnam is really going to expel a mll impact." three issues I have noted. Our first let lion more of its Chinese, if we a.re going to An international conference, held either ter dated March 28, deals with the al get a million refugees from Cambodia and a on an individual basis as proposed by Britain location formula, the May 15 corre hundred thousand more firom Laos," another or under U.N. auspices as suggested by the spondence discusses the income stand relief official remarked, "then we are facing United States, undoubtedly would elicit more ard for gasoline dealers, while the May 30 16112 EXTENSIONS OF REMARKS June 21, 1979 letter presents our position on the hear Energy Department which regulates that pendent dealers in our state, and in our supply. We in the Congress have a.n obliga nation. ings and appeals process at DOE. In tion to fa.ciUta.te the access of these dealers, No issue in recent memory ha.s claimed our addition, I would like to share with you our constituents, to the federal officials who attention with such immediacy, and, there testimony presented by our energy task implement these regulations. fore, it is incumbent upon us to work to force · at DOE hearings held in San We are convinced that more flexib111ty gether to find a. solution to this gasoline Francisco June 19. This testimony dis exists within existing regulations which if problem before California's dilemma. be cusses our ideas for a long-range gaso implemented would greatly assist dealers in comes a. more menacing national crisis. line allocation formula. The testimony servicing their customers. Beyond that, it We look forward to hearing from you. seems that the new ba.se period could more Sincerely yours, · was presented on behalf of the California accurately reflect the growth many dealers delegation by Jim Aiello, administrative have experienced in the pa.st year. assistant to Congressman BILL ROYER. we are writing to impress upon you the CONGRESS OF THE UNITED Lastly, I would like to present for the need for an equitable solution to this prob STATES, record a series of questions on gasoline lem which will permit service station deal HOUSE OF REPRESENTATIVES, our task force presented to Mr. Stuart ers to provide the services our customers Washington, D.C., May 30, 1979. Eizenstat, President Carter's Domestic have a right to expect. Mr. STUART E. EIZENSTAT, Policy Advisor at a meeting on May 10. We look forward to working with you on Office of Domestic Affairs and Policy, While dealing with the California prob this issue in the coming months. The White House, Sincerely yours, Washington, D.C. lem to an extent, the questions are on DEAR MR. EIZENSTAT: One of the major is balance sufficiently general that they sues to emerge from the current gasoline may be applied to our current national CONGRESS OF THE UNITED STATES, shortage has been the method by which problems. To date, we have not received HOUSE OF REPRESENTATIVES, additional supplies a.re granted to retailers formal answers to these fundamental Washington, D.C., May 15, 1979. by the Office of Hearings and Appeals (OHA) questions-questions which should have Mr. DAVID J. BARDIN, in the Department of Energy. We, the under been resolved long before the gasoline Administrator, signed Members of the California. Congres shortage commanded the national atten Economic Regulatory Administration, sional Delegation, a.re writing to obtain a.n Washington, D.C. explanation of the rrocedures a.nd criteria tion that it has. DEAR MR. BARDIN: We the undersigned of which a.re used in OHA's decision-ma.king Mr. Speaker, I hope that this materiai the California. Congressional Delegation a.re process. Our inquiry is prompted by several will help my colleagues deal with this writing to express our continued concern overriding concerns. First, the Office of Hear issue which will be dominating our na over the gasoline shortage now plaguing our ings a.nd Appeals appears to be understaffed, tional agenda for many months. state and to a.n increasing extent the rest of a.nd, therefore, incapable of dealing in a. What follows are three California the nation. A number of issues relate to this timely fashion with the large number of ap matter, including our refinery capacity, crude peals which have been filed in recent months. delegation letters, testimony to the De oil supplies, and distribution system, and partment of Energy, and a series of ques Receipt of applications by the Office is not these questions must be carefully scrutinized acknowledged expeditiously, a.nd the ap tion on gasoline allocations, crude oil by the Department of Energy. supply, and refinery capacity. peals themselves a.re now ta.king between However, there is a.n additional issue which two and three months to be resolved. This CONGRESS OF THE UNITED STATES, we feel bears directly on our ab111ty to deal is clearly unacceptable policy ·from our point HOUSE OF REPRESENTATIVES, effectively with the current energy dilemma.. of view. Second, there is great confusion Washington, D.a., March 28, 1979. In an era. of increasingly tight gasoline sup plies, we a.re concerned that the outdated in among our constituents regarding the ap Mr. DAVID J. BARDIN, peals process itself. What are the criteria Administrator, Economic Regulatory Admin come standard for independent retailers which ha.s been in place since 1973 wm force used in determining whether a. given gasoline istration, Washington, D.C. station will be allocated additional fuel DEAR MR. BARDIN: we the undersigned a.n increasing number of dealers out of business, and only serve to exacerbate our supplies? What constitutes a. "community Members of the California. Congressional hardship" according to the Department of delegation are writing to express our con problems. As you know, a. significant per centage of the independent retailers in Cali Energy? From the cases we have been observ cerns over the gasoline allocation regula ing, our chief concern is that the appeals tions recently issued by the Economic Regu fornia have been forced out of business in the past few years. This ha.s occurred.in large process appears to be haphazard a.nd a.d hoc latory Administration. with no firm decision-ma.king criteria. a.va.11- It is our belief that Activation Order pa.rt because the net income which may be derived from gasoline sales ha.s been frozen able upon which fair a.nd equitable resolu Number One which sets a base period of tion of cases can be based. July 1, 1977, to June 30, 1978, for gasoline since Ma.y 15, 1973. Significant adjustments to that standard have not been forthcoming, As you know, the a.ppea.Is process is in allocations severely constrains independent most cases brought on by station closings. service station dealers throughout California a.nd yet we a.11 know that the cost of doing business due to non-product cost increases Existing area stations faced with increasing by not ta.king into account the needs of re public demand for gasoline when neighbor tailers who have seen their businesses grow has risen sharply in the la.st six years. In point of fact, the income standard for in ing stations close apply to the Department of significantly since 1978. There is no allow Energy for additional allocations to meet ance for seasonal adjustments which would deuendent gasoline retailers nationwide has reflect growth in the course of the pa.st year. simoly not kept pace with inflation. The the new demand. However, we are receiving While there are provisions within the regu problem of tight gasoline supplies is further reports of great delays in the processing of lations for exceptions to these regulations, aggravated once stations a.re forced to close, appeals a.nd of subsequent denials of appli it is our understanding that historically by Deua.rtment of Energy policy which fails cations which demonstrates to us a.n extreme similar provisions in existing regulations to redistribute to local dealers the gasoline insensitivity on the part of the Energy De have been rarely implemented. ma.de available by a. station closing in their partment to the growth being experienced We are also concerned that the California immediate area. Placing such supplies in a. in our state a.nd of the additional demands dealers and the Department of Energy's Re national pool actually reduces the amount of which have been placed on the gasoline sta gional Office have been unable to maintain gasoline a.va.ilable in a given geographical tions which remain in business. We have yet productive lines of communication. In the a.re a. to receive a.n adequate explanation of what final analysis, this lack of response on the Over the pa.st few months, we have re happens to the gasoline supplies which ha.d part of the region ha.s prompted many of ceived numerous calls for assic:;tance from been allocated to a. given station once that the dealers to journey to Wihington es a gasoline retailers in our respective Congres station is forced to close. Do these supplies Ia.st resort. sional Districts. We have concluded that a.n come under the control of the refinery? Are As you ma.y know, there as been a sig updated income standard is required, which they lost to a. given geographical area-to nificant reduction in the number of Cali w111 enable gasoline retailers to stay in busi the state? Are they placed in a national fornia. service stations over the pa.st few ness. a.nd save for our states the supplies pool? It seems that the decision-making yea.rs. Yet, there seems to be no program to which have already been allocated to them. criteria.· of the Office of Hearings a.nd Ap redistribute the extra gasoline volume to Tue new income standard must more closely peals ought to take into account the adverse existing stations. Rather, this fuel is placed refiect a.n inflation rate which has con impact loss of gasoline supplies wm have on in a. pool a.nd not ma.de readily a.va.ila.ble to tributed significantly to non-product cost growing areas when ma.king their decisions local dealers. Additionally, we a.re concerned increases for dealers over the past six yea.rs. on applications for exceptions. with the discrepancies which exist between We ask your assistance in preserving the The impact of a.n inadequate appeals a.lloca.tions a.warded to independent branded free enterpri.se system for a. group of small machinery coupled with a.n income standard dealers a.nd independent non-branded deal businessmen who need our help if they are for dealers which has not kept up with in ers, a.nd we would appreciate a. clarification to continue to provide the same level of fiation in recent years threatens to force an of your policy on these issues. service our citi7ens have a. right to expect. increasing number of service stations out of Quite frankly, the independent dealers a.re With gasoline supplies becoming increas business. The currrent system of appeals caught in the middle between the oil com ingly scarce, we have an obligation to pre which fails to automatically reallocate sup panies that supply their gasoline and the serve a la.st vestige of equity for the inde- plies to area stations when station closing June 21, 1979 EXTENSIONS OF REMARKS 16113 arise, only serves to exacerbate the problems Regulatory Administration itself acknowl 4. Was the stepped-up production of heat and poison the atmosphere between gasoline edges this fact in its request for comment on ing oil premature this year, and should this retailers and the agencies of government "an appropriate growth aNew York City. This compares diction of the indecisive heavy hand of the impetus for passage through Congress with average pre-1960 R & D costs of about present FDA. As a matter of fact, some hP.r.ause of the "thalidamide tragedy". In a three million dollars. When one considers smaller companies have already abandoned sim11ar manner, the origd.nal Food and Drug that of each 5000 medications tested by the all research efforts for new drugs. They Act of 1906 was replaced by the Food, Drug pharmaceutical manufacturing industry, maintain that a small company cannot af and Cosmetic Act of 1938 by the impact of only one ever reaches the druggists' shelves, ford this type of research under the new the sulfamlamide elixer tragedy. Legislation is there no wonder that the cost of medicines impossible regulations. Is this free enter conceived and enacted in the atmosphere to the patient has skyrocketed? The patient prise? of panic is generally ill-advised and, as we must blame neither the druggist, nor the Drugs for the relief of cancer have been hav~ seen, detrimental to life itself. At pres pharmaceutical industry, but the U.S. Food made, but they cannot be used. Each time a ent,, we are re-enacting the old Roman and Drug Administration, that bureaucratic new drug ls presented with its voluminous tragedy ... that of taxpayers burning as portion of our own government paid by our portfolio of research data, the FDA delays the FDA fiddles. own taxes, that has forced the prices to rise by insisting on more unreasonable and use At tihe time of the Roman Empire, life to the present heights. less study, generally animal study. Animal expectancy at birth was approximately 25 In retrospect, if digitalis, aspirin, mor study ls recognized by everybody as neces years. Today it not only has been doubled, phine, ephedrine quinine, insulin, Salk vac sary up to a certain point. Then it becomes but has now reached the duration of 71 cine, smallpox vaccine, penic11lin or dipth senseless in its redundancy. It reminds one yea.rs ... thanks to soientific pharmaceutical theria antitoxin were discovered today, they of the automobile business. Dummies are achievement and medical application. Such would not be able to be marketed because placed in automobiles which are allowed to things as the tiremendous investment of Eli of the impractical and overbearing attitude fall from the tops of tall buildings. Each L1lly 'in 1922 1n the insulin of Banting and and regulations of the FDA. Some of these time one ls dropped, volumes of statistics Best for manufac·ture and distribution. Pati preparations are very interesting: Smallpox and data are carefully recorded and cata ents a.11 over the world profited in good vaccine was the brainchild of a man who logued. Careful scrutiny of all these data health by this drug-for there was no was not a physician. It has practically rid will lead to only one obvious fact . . . that floundering FDA to clutter up tihe phar the world of one of the most dangerous automobiles are being made safer for maceutical and medical research landscape. scourges of mankind. Penicillin was admin dummies! The very few drugs that have been istered to humans after being tested on only The drugs introduced in the first half of "released" are relatively unimportant or else 25 mice. The genius of American pharma this year (1966) fell to a new all-time low in they a.re merely a. rehashing of an already ceutical industry made Fleming's penicillin 25 years. However, a few unimportant drugs exlstant product In another form or dosage. available to the armed forces of the Allies were "freed" by this august body of the One cannot be lulled Into complacency by in World War II period. This venture, like FDA: the reports of huge numbers of new drugs the insulin venture, and others, involve gi 1. Cite.nest. A local anesthetic, developed being "released", for speed ls not one of gantic financial risks, the application of in Sweden by Astra. the attributes of the FDA of 1966. Dr. James many scientific skills and the astute busi 2. Thloguanine. An anti-leukemic, devel Z. Appell, former PreSlident of the AMA, ness sense, according to John C. Krantz, Pro oped by Burrough-Wellcome. stated, "One cannot help wondering how fessor of Pharmacology of the University of many useful therapeutic agents are caught 3. Ethnyodial Diacetate. Contained in Maryland's School of Medicine. The risks Ovulen. Oral contraceptive, developed by in this administration's log-jam tha ti should were always great, but the stakes in human have been in the hands of the profession to lives were higher! Ephedrine was borrowed Searle. help patients". He charged that the agency's from the Chinese of antiquity. Quinine was 4. Garamycin. A topical antibiotic, devel bureau was poorly organized, not very pro used successfully for fever in malarial areas oped by Schering. ductive, and was inadequate quantitively before physicians even knew what malaria On the other hand, twenty-six chemical en and qualitatdvely to administer effectdvely was. Digitalis was discovered by a non tities originating in the United States were the amendments and regulations adopted in physlcian in England who experienced bene marketed in France, Germany, Great Britain 1962. Dr. Appell declared, "the tame sub fit in dropsy. Today, among the cardiac drugs, and Italy, but not in the United States. mission of the pharmaceutical industry to Digitalis (foxglove) is one Qf the most im Among these agents were a medicine for any a.nd every regulatory suggestion or direc portant "standards". gout, a long-acting tranquilizer, a diuretic tive, regardless of the medical scientific facts Imagine the state of affairs today in this agent, a menatlnic and the very important involved is unsettling". country, or for that matter, anywhere in the Schwarz strain of live attenuated measles The 1962 law gave the Food and Drug Ad world, if these truly miracle drugs had to go virus vaccine developed by Pitman-Moore. ministration authority over the efficacy of through tpe present ridiculous obstacle This latter product was marketed in England drugs in addition to its original assignment, course of the FDA? The gross inertia of the by the Glazo Laboratories where the English the safety of drugs. This is a responsibility FDA has been so detrimental- that new and children are reaping the benefits of this that the FDA was not prepared to assume, extremely valuable American drugs are now product. but the American child is being de according to Krantz. It is very unlikely that becoming available in foreign lands, but not prived of this aid to health. it wlll ever be able to assume this respon in the United States. Dr. W. Harding LeRiche, a research phy sibility. Krantz states, "In a system of free sician and professor of epidemiology at the enterprise, this responsib111ty belongs to the If the present stagnant state of affairs continues to deter and delay new drugs. the University of Toronto, said he ls sure "even medical profession alone, and not to an aspirin could not make it today". He referred agency of the government. Under this new FDA can be thanked for the drug research grinding to a complete halt in the United to Dr. Goddard, the present FDA head, as ·assignment, the FDA has wavered, procras "completely irresponsible". Concerning in tinated and quaked with indecision on rul States in ten years, that is, in six more years. The many facets of ingenuity which have creased animal experimentation, he said, ings which often they are unqualified to "We're told to do more tests on mice, rab make, owing to the multi-faceted areas of caused important and lifesaving drugs to be used will have been lost with the present bits and pregnant cats. These tests aren't medical science and medical prac~ice In going to help the little boy with leukemia. volved. In addition, this volume of work has attitude of the FDA for it is destroying the initiative and resources important to genu More often than not, they are totally irrele become so enormous that the staff has be vant to the treatment of diseases of humans." come inundated by Its size and complexity. ine medical research for new and useful Time lags in getting information from the drugs. Walter A. Munns, President of Smith Drugs of great importance are being de FDA have Increased appallingly." In spite of Kline and French Laboratories in discussing layed by the FDA because of the dark emo all this, the FDA Administrator finds time to the pharmaceutical indust.ry stated, "What tional cloud caused by the "thalidamlde in casually visit and make speeches in the var I am talking about is the selection of a whole cident" of 1962. It is interesting that thalida ious sectors of the country~arefully and new team of men to lead the U.S. Food and mide is entirely a for'eign manufactured scientifically avoiding and ignoring the job Drug Administration". The entire staff of the drug which has never been marketed in the for which he was hired-that is, to clear the FDA must be overhauled with a sufficient United States, yet our publicity-seeking poli many drug applications which are on his number of competent. practical scientists ticians saw a chance to climb upon the band desk! who know the medical practice conditions, wagon for a free publicity ·ride at the tre On August 23, 1966 President Johnson and a director who is also practical, experi mendous expense of the drug manufacturing stated that medical costs had risen. Mr. John enced and productive. industry, .and the health and welfare of the Gardner, Secretary of Health, Education and Drug companies cannot continue the pres ent.ire United States, and all those countries Welfare, in quoting Mr. Johnson, stated that ent repetition of unnecessary and costly tests who previously depended upon the United June 21, 1979 EXTENSIONS OF REMARKS 16115 States for the most advanced medical re wage scales, yet the foreign product is re the FDA, yet the drug manufacturer incurred search. Politically, this wa..c:i a. good move for placing the American product, with aibso a tremendous expense and loss in recalling them. Many of our erstwhile poli ticta.ns could lutely no knowledge of all these items. the drug. There has never been a. case of the thereby divert attention from their own It is a. very curious happenstance that the Stevens-Johnson syndrome resulting from shortcomings and blunders ... such as the United States Government decided to a.void the use of the sulfonamides. Many pleas have Bobby B'aker case, and others too numerous these ridiculous gimmicks and claims. Yet been made to the administration to listen to to mention. It is important that one always it went after ethical researchers in the drug sensible and practical arguments concerning remember that thalida.mide is not an Amer manufacturing industry instead. The real drug research and production. Mr. Humphrey ican preparation. On the other hand, one can culprits have never been touched, and they is obviously uninformed I There ts to date not deny that this is one of the most valu continue to sell their wares without any little or no cooperation between the power able drugs ever encountered for those pa.st evident restraint. The present condition of mad FDA and the pharmaceutical re the child-bearing age, if used for the purpose unethical claims of drugs, foodstuffs, cos search and manufacturing industry. Does Mr. for which it was intended! metics and devices continues with the tang Humphrey know that our own federal gov As previously stated, many drugs have of the old time medicine-man show. The e~nmen t military agencies are purchasing been introduced in the FDA but they have modern medicine-man show is more complete illegally manufactured drugs from foreign not been freed for use, even though all the in entertainment-but the picture is the manufacturer? American companies hold data. is there and complete. They just a.re same l It makes no difference whether it is pa.tents on medicines. Formulas for these not acting on anything at all, it seems. a snake oil sold in the shade of the hula medicines have been in some mega.I way Nobody in the FDA seems to be anxious or dancer or the "tired blood" syndrome sold placed in the hands of foreign manufacturers interested in doing anything since one mem with the background of the 35-piece band. who do not respect American pa.tent ·rights, ber of the FDA was decorated for procras Since when did the composition of the lowly and our own military agencies a.re purchasing tination in the recent past. The a.gents of aspirin tablet differ from one laboratory to these drugs in preference to the American the government seem to feel that if one another? The 1966 medicine-man show con drug! We have certain standards of cleanli doesn't do anything, he cannot make a. mis tinues as the FDA sleeps l ness and economics in the United States take. Furthermore, he, too, may be given a. The September 2, 1966 issue of Medical which have to be adhered to, but the foreign Presidential citation! World News contains an article entitled: countries cannot be controlled by our FDA, The December, 1965 issue of the AMA New.3 "Doctors, Let Us Be Partners". This article yet our own tax money is destroying our own carried an item of John Gardner, Secretary was written (or at least ghost-written) by industry of drug production. One wonders if of Health, Education and Welfare, in which one Hubert H. Humphrey, formerly a phar Mr. Humphrey really knew what was going he described the new five-year plan call1ng macist with limited education and experi on in Washington when he invited the doc for greater enforcement, more research and ence in pharmacy, but presently the Vice tors to be "partners". The question is asked, public education. He states this included a President of the United States. Mr. Hum "Partners in what-one's own destruction?" review of the safety and effectiveness of the phrey stated, "American medicine already The most recent deterrent to the progress drugs introduced even since 1938. He stated, is the beacon of the world-a fact that has in the drug manufacturing industry con "The FDA serves as the public's protector personally been brought home to me in my cerns the so-called Child Safety proposal of against contamination, fraud, impurity and travels. No country can match ours in depth the FDA. The FDA would limit the a.mount hazards in the products on which our llves and breadth of our high-calibre personnel of medication per bottle-50 aspirin tablets depend". The item also carried other inter and institutions. From the ends of the earth, for one bottle. The FDA would also make it esting data, such as (1) The FDA makes foreign professionals now come to learn mandatory that the first aid treatment be 30,000 inspections of food factories and from our clinics, medical schools, research placed on the bottle. This is fine if the child warehouses; (2) The FDA analyzes 25,000 ers ·and other life scientists. All over the can read and understand how to mix the specimens of pesticides and residues, and world high rank is accorded our medical chemicals for the emergency, but why limit (3) The FDA inspects 22,000 batches of journals, textbooks, films, drugs, medical de it to the drugs purchased in a drug store? antibiotics. A careful analysis of these state vices and equipment". In another section of Why not make it mandatory for all poison the article, Mr. Humphrey states, "I invite ous materials generally a.round a household ments reveals that these activities are those g·asoline, kerosene, turpentine, paints, deter of the Department of Agriculture, not the American medicine to come forth with its constructive suggestions. Let the executive gents, and the million of other more serious FDA. Apparently there is much confusion chemica.11 tems? since the Kefauver-Harris Amendments were and legislative branches hear your expert promulgated in 1962. The FDA is the police views. Let us improve whatever needs im Unless the FDA is ma.de to be a more prac proving. Let us be genuine working partners". tical institution and the small drug com organization, but the Department of Agri panies return to research and production, culture is that all-important organization This rubbish is for public consumption of those blind to the events which surround there is little hope for the genius of pre- which can and should assist the pharma 1962 pharmaceutical industry to uncover ceutical manufacturing industry. A better them. The soundest advice that could be given to Mr. Humphrey and the administra the cures for cancer, arthritis, coronary delineation of these department functions artery disease, the common cold and many could clear up the whole mess! The FDA tion is to te1i the executive and legislative branches of our government to let the other crippling diseases. The cures for these should contain only those individuals con conditions cannot be legislated, nor they cerned with the policing activities, but the plumbers do the plumbing, the watchmaker wm fix the watches, the doctors do the doctor be found in the policing activities of the scientists and researchers should be placed FDA. They will never be found in the "nine in the Department of Agriculture where they ing, and the farmers do the farming! The government meddles in affairs of which they to five" white collar offices of the govern can be of most value. There seems to be a. ment! great waste of talent and manpower as the know nothing and makes horrible messes. situation stands today, with physicians and Medicine . should be given its freedom from A final quote on Dr. Krantz must be ma.de: scientists playing the game of "Cops and the confused present administration! "The stakes are high in human life, let there Robbers". The present administration has tied and be no impediments to this progress. The final The question is asked: "Is the FDA really strangled the pharmaceutical research and approbation or disapproval of the efficacy of protecting the health and welfare of the production of n~w drugs. Many small busi a new drug should be the responsibility of United States by keeping off the shelves nesses have discontinued production and re the medical profession, not the FDA". unwarranted drugs, cosmetics, devices and search because of the impossible conditions. JOSEPH c. ELIA, MD, FICS, FACA .• foodstuffs? Are they limiting the claims of imposed upon them. We cannot rest on our unethical manufacturers by suggestive ad laurels of the past if we are to be progres vertising without definite proof and animal sive world medical leaders. Research must be TRIBUTE TO ROBERT KLOSS studies?" The radio, television, magazines freed of its stranglehold imposed by the and newspapers are mute evidence and tes Kefauver-Harris Amendments. Mr. Hum timony that they are not! Do you have "tired phrey did not have to waste our tax money HON. CHALMERS P. WYLIE blood"? Do you have a "nagging backache"? by going abroad to tell us we used to be OF OHIO world leaders ii}. medicine. No longer are we One can tune and listen to many nostrums introducing the new drugs. The twenty-six IN THE HOUSE OP REPRESENTATIVES through a. couple hours of radio or television new preparations of American ingenuity Wednesday, June 20, 1979 monitoring on claims of blood builders, head which were introduced in foreign lands a.re ache or backache cures, ten different "best" not being used for American patients. The • Mr. WYLIE. Mr. Speaker, I would like toothpastes, sinus cures, laxatives, hair dyes, American taxpayer is being deprived of to share with my colleagues the accom salt and sugar substitutes, medicines to put many drugs because of the inactivity of the plishments of an outstanding citizen of one to sleep and medicines to awaken one. present FDA. the State of Ohio and of our Nation, How is the public being protected against Not only is the FDA delaying new drugs, the use of them? Have they ever been tested Mr. Robert A. Kloss. On September 1, but some reliable ethical drugs a.re being 1979, Mr. Kloss will retire from his posi and checked on animals? How could the FDA "recalled" for unwarranted and unfounded possibly check the packing of smoked sar reasons and excuses. The situation of the tion as executive secretary of the Ohio dines from Sweden, Japan or Spain? They preparation called Madricidin is the prime Credit Union League, a position which he are on the shelves of our stores in competi example . .Supposedly cases of the Stevens has held since 1945. tion with American products, where la.ho:: Johnson Syndrome resulted from its use. The The career of Robert Kloss stands as must be economically controlled by minimum true bare facts do not support this claim of a hallmark of what one individual, CXXV--1014-Part 13 16116 EXTENSIONS OF REMARKS June 21, 1979 through tireless efforts, can contribute less for oil than the federal energy bureauc evidence that they are a.ny more irrational to an entire industry and to the com racy costs ..." than average in their gas-buying habits. The fact is, the fingerprints that appear on munity that industry serves. When Bob Mr. Speaker, in further reference to literally every barrel of gasoline that moves Kloss assumed the leadership of Ohio's the problem, I would like to share with outward from the nation's 200 refineries, Credit Union League, its assets were less my colleagues the excellent column writ through 12,000 wholesalers and 200,000 retail than $600,000. Today, after 34 years of ten by our colleague DAVID STOCKMAN outlets, for ultimate deposit in 120 million Bob Kloss' guidance, those assets exceed which appeared in the June 20, 1979, edi thirsty vehicle tanks, are those of the De $2 billion. The effect of this accomplish partment of Energy. Like the fabled han ment has helped to shape and develop tion of the Washington Post. It seems diwork of the Lilliputians, 3,000 pages of reg Ohio's resources and its people. to me that more and more of us are ulations and interpretive opinions rigidly realizing that the Department of Energy bind the exact price and volume of each I salute Robert Kloss, and on behalf is an idea whose time has come-and transaction through the marketing chain, of the people of Ohio, thank him for his gone. For this reason, I commend again and ultimately determine the precise street unselfish work. We will surely miss him, to my colleagues H.R. 4329, my bill to corner destination of each of the 300 million but the legacy of strong, reliable credit terminate this Department by Janu gallons that move through the system daily. unions which he has left will stand for The first thing to note about this massive ary 15, 1982. In the meantime, to use pile of regulations is that it is stacked ever as a testament to a successful and the figure of speech in the Stockman productive career. against the retail market, motorist, cities column, we should use the evidence of and growth a.rea&-and towia.rd farmers, non May I use this public forum to express the "fingerprints," and take positive metropolitan areas, gasoline marketers and my best wishes to a great friend and steps to remove bureaucratic hands from hoarders. hope for him good luck in his retire the barrels of gasoline and speed their This month available supplies nationwide ment.• movement into the marketplace. It is amount to 92 percent of the June 1978 base impossible for bureaucracy to move with period. But most D.C. area retail stations are appropriate speed; only a free market getting only 75 to 85 percent of last year's SUNSET NEEDED FOR DEPARTMENT volume, at best. Why? Because 15 percent of can do that. the total supply is being skimmed off the top OF ENERGY The article follows: of the national pool for the state set-aside WHO'S TILTING THE GASOLINE MACHINE and so-called high priority users. The retail The U.S. gasoline market is beginning to network gets an allocation fraction based on HON. G,. WILLIAM WHITEHURST resemble a giant pinball machine. Some the diminished residual supply. OP VIRGINIA inept player is recklessly jiggling :the board, "THE LILLIPUTIAN REGULATORS ARE NOW APPLY IN THE HOUSE OF REPRESENTATIVES causing it to go "tilt." But in a highly ING A SPECIAL SUPPLY NOOSE TO THE CITIES" curious manner. The bells and lights of State capitol bureaucrats are supposed to Wednesday, June 20, 1979 shortage-station closings, long lines and distribute part of this-the 5 percent state e Mr. WffiTEHURST. Mr. Speaker, tank-topping-are not tripping off in a gen set-aside-to areas of greatest need. But evi many of us who vote•j to establish the De eralized, nationwide pattern, but sporad dence from the 1973-74 experience suggests partment of Energy on June 3, 1977, did ically, locally, almost randomly-one city at a good portion is going to pals, politically a time. connected marketers and squeaky wheels in so because it contained the Broyhill This hit-and-run pattern is the key to the commercial sector. amendment, which would have termi fingering the culprit. Thus, despite all its Similarly, in the last four months the nated the Department on December 31, imperfections, the "invisible" hand of the share going to the other top-of-the-pool cat 1982. On June 21, 1977, the House further marketplace automatically gets exonerated egory-high-priority users-was more than voted, 288 to 179, to instruct the conferees because it is inherently inca.pable of dis doubled. Moreover, these high-priority to insist on those "Sunset provisions." pensing injustice so capriciously. Faced with users-especially farmers-are entitled to 100 Regrettably, as it now develops, the con an estimated 9 percent gap nationally be percent of their "current needs," which is tween apparent demand and available sup defined as whatever they say it is. For all ferees did not do so, accepting instead plies, the marketplace would close this gap practical purposes, this means unlimited en "a comprehensive sunset-type review of by substituting higher prices for long lines. titlement to scarce supplies for priority every program in the Department prior That would mean a market-clearing (line claimants who are self-certified from the to January 15, 1982." eliminating) price in the range of $1.20 to bottom of the marketing chain up. The fact During the .Tune 3 debate that year $1.30 per gallon. Nor would price rationing that delivery times for 1,000 to 10,000 gallon on the Broyhill amendment, our col dump the entire shortage bUl'den on one steel tanks have ballooned dramatically in or a few localities. The price would not be recent months suggests that "current needs" league PAUL FINDLEY urged that "our $1.50 per gallon in Washington where there include the right to hoard for future use. confidence . . . be placed in the private a.re currently massive lines and only 85 Overall, a substantial share of available sector, as contrasted with the author cents per gallon in Albuquerque where there supplies is being diverted out of the retail ity of Government." Prophetically, he are no lines and half the stations are open market to va.rtous categories of legally went on to say: 24 hours a day. privileged and politically connected users ... approval of this legislation will further Instead-in response to opportunities to who face absolutely no incentive to conserve, entrench bureaucratic control over energy buy lower and sell higher-brokers, jobbers a wide-open opportunity to hoard, and an prices and the allocation of energy resources and speculators would move available sup artificially low, controlled price to boot. in this country-areas which should be gov plies around in a hurry so that the price The second major distortion stems from erned by the forces of the free market. Gov would equilibriate somewhere in between. the fact that the price-control regulations ernment control over price and allocation The burden of shortage would be shared encourage dealers to respond to the present has led in great measure to the shortages equally by all geographic areas and end-use "sellers market" in a perverse way. While the this country presently experiences. To ex sectors, as occurred when the nation's for retail price ceilings a.re leaky and ill-en tend this authority to the. new Department eign coffee supplies precipitately dropped forced, they most definitely do restrain the of Energy is to invite a continuation of the by 25 percent two years ago. rate of price increase relative to what would shortages and inefficiencies which are asso But something is at work in the internal otherwise occur in a supply-short market. ciated with sensitive market mechanisms. marketplace, transforming the present 9 This is supposed to protect the consumer, percent shortage in the national gasoline but what it actually does is encourage the He further pointed out that: pool into a far more severe problem in a dealer to take his seller's-market profits in In the June 1 (1977) edition of the Wall selective set of local retail markets. What is an a1'temative way: Instead of raising prices, Street Journal, the cost question was suc it? he reduces hours and operating costs, there cintly treated: " ... ,the $10.6 billion budget In this instance, the major oil companies by widening his actual margin. of the proposed new De~artment of Energy are not a plausible villain. While not noted Thus, facing an already artificially low al . . . is about double the value of all the for their political acumen, even they are not location fraction, retailers find it possible oil in the U.S. imported from Saudi Arabia stupid enough to pick two of the nation's to move a fixed monthly gallonage by cutting la.st year. It exceeds capital and explora major political hot buttons-Washington, out their highest cost hours--weekends and tion expenditures by the petroleum industry D.C., and Los Angeles-for a demonstration evenings. This in turn induces motorists to find oil, gas and gas liquids in the U.S. in strike. The same reasoning holds for the to line up on a Monday and Friday, which 1975. It exceeds by about $800 million the greedy, panic-stricken consumer explanation. permits a further compression of sales hours. 1974 profits of the seven largest international The aggregate 9 percent gasoline shortfall Soon there are Tuesday and Thursday lines, oil companies ... It is equivalent to about has not elicited a run on the retail gasoline fewer sales hours, still lower operating costs $3 a barrel of domestic crude oil production, bank in 90 percent of the country. While and even higher profits over a price-con which means, if our own arithmetic is cor motorists in Washington and Southern Cal trolled but constant volume of sales. Ped rect, that you could decontrol all domestic ifornia are admittedly unique in their poli by a spiral of consumer panic, the ultimate crude oil prices and still end up paying tical and cultural propensities, there is no outcome is obvious. Your friendly gas-and- June 21, 1979 EXTENSIONS OF REMARKS 16117 go operator, who normally moves 25,000 gal describe the problems facing the Asian impetus to forcing Cambodian refugees back lons to 3,000 customers over the course of a nations in absorbing additional refugees, into their country. "We do not want a Cam week stretching upwards of 90 hours, arrives bodia that has become a Lebensraum for as well as the call to action by the United Vietnam," he said, using the German geo at the crack of dawn on Wednesday to find States and Great Britain to move for so political term denoting vital national space. a week's worth of customers neatly queued in a two-mile line-whence he laughs all lutions through concentrated interna ECONOMIC BURDEN TERMED HEAVY the way to the bank or his favorite fishing tional efforts. Another element that contributes strongly hole by noon. Mr. Speaker, I applaud the efforts of to shaping that opinion is an impression fos In the absence of the DOE ceilings, of our media to increase the awareness of tered ·by daily statements from political lead course, some operators would sell higher and all the world to this ongoing disaster ers, including the Prime Minister, tha.t the stay open longer; others would sell higher and ask that we use our combined efforts presence Of 160,000 refugees in camps sup and stay open different hours; and the most to arouse the conscience of the world. ported by the United Nations High Commis enterprising dealers and jobbers would be I would like to insert these articles, sioner for Refugees is imposing a heavy eco out scrounging the regional and national nomic burden on Thailand. market for additional, higher-priced supplies entitled "Thais on Refugees: West Must western diplomats and United Nations of that will always gravitate toward the strong Take Them" and "U.S. Backs British Call ficials are uncertain and distrustful about est local seller's market. for Talks on Vietnam Refugees." They this. Thailand pays only for the time spent Yet under DOE rules, in which every gal are illustrations of responsible journal by public senna.nits concerned with the refu lon is earmarked, there are no free supplies ism at its best. gee problem and for the maintenance of and nothing for local jobbers to bid for in those refugees that, for political reasons, it The articles follow: refuses to put under United Nations care. order to shift the short-run allocation. THAIS ON REFUGEES: WEST MUST TAKE THEM Necessarily then, motorists work harder and The l·atter category includes all Cambodians longer, marketers work less and more prof (By Henry Kamm) who have fled since the Vietnamese seized itably, iand eventually the system tilts. That BANGKOK, THAILAND, June 18.-The forc Phnom Penh, the Cambodian capital, last this DOE-designed market-clogging outcome ible expulsion of more than 50,000 Cambo January. · is of any more benefit to the consumer than dian refugees from Thailand so far has The United Nations agency provides every the market-clearing outcome is by no means thing that the refugees receive-minimal provoked no public expressions of disapproval food, housing and medical care, at the cost apparent. · here. Finally, the Lilliputian regulators are now of albout 25 cents a person a day. By the end From Japan in the north to Indonesia on of this year it will have spent $43 million, applying a special supply noose to the cities. the Equator, Asian nations have a common .almost all expended for Thai goods and During the recreation season, the big cities attitude toward the outpouring of refugees are heavy exporters of weekend traffic, which services. from Indochina: that the West must absorb In the case Of the Cambodians now ex creates seasonal bulges in gasoline demand them. Exceptions have been ethnic Chine;e pelled, Thailand allowed the International along the interstates and in the beach, resort from Vietnam taken by China, 2,000 Cambo committee of the Red Cross to feed them un and vacation receiving areas. The allocation dian Moslems taken by Malaysia and lOCl til their departure. The Thai Government system is now perfectly reflecting this normal ethnic Chinese from Vietnam taken by Sing chose that organi~tion because allowing the distribution of sales by allocating to each apore in 1975. United Naitions group to feed the refugees station an equal fraction of last year's base. While diplomats and international officials might have been interpreted as at . lea.st a But worried motorists don't behave nor in constant contact with the Thai Govern moral ·commitment to abide by the interna mally-and aren't reflecting last year's pat ment, including Prime Minister Kriangsak tional principle that they should not be tern. Exhausted from hustling for gas or Chamanand, have been unable to learn how forced back. apprehensive about being stranded, a signifi the decision to eject the Cambodians at cant fraction are staying inside the beltway ANY IMPROVEMENT PREVENTED gunpoint was reached, it is known that the United Nations officials said · that they on weekends. Last Friday, for instance, traffic well-planned operation was devised by the across the Bay Bridge was down a full 20 per had often attempted to gain permission to Supreme Command of the armed forces, improve the refugees' living conditions, cent from the same week last year. Unfor whose chief, Gen. Serro Na Nakorn, reports which would increase the money expend~d tunately, when the traffic stops flowing down directly to the Prime Minister. Route 50, the gasoline delivery• trucks don't. here, but we•re told; that to raise their No domestic opposition to the decision has standard of living would heighten the jeal The allocation system thus drains the cities appeared, even in private conversation. This ousy of people near the camps. and floods the highways and countryside. does not surprise ambassadors and other Unless total supplies improve substantially In addition to stressing an alleged eco foreign officials because no important Thai nomic burden caused by the refugee inflow, in the next six weeks, the tilt lights will political figure is suspected of being friendly start popping in most major cities in the Thai leaders, particularly generals in key to the refugees. Since the flow began in 1975, posts, emphasize that the Vietnamese East and elsewhere. The administration can concerned Western officials here have found avoid this unhappy outcome instantly by refugees constitute ::i. grave security risk. that benign indifference is the best they can A frequently created impression is that the pulling the rip cord on the Lilliputian reg hope for in the Government and the military. ulators now knotting up the gasoline ·mar refugees are mainly Vietnamese, but at the ket. But ~ngress would have 15 days to veto 'FRONT LINE' AGAINST COMMUNISM end of last month 8,000 of the 160,000 ref such a decontrol plan. Undoubtedly it would Since the Communist victories in Indo ugees in United Nations-supported camps do so. Better to risk massive dislocation, push china, Thailand thinks of itself as a "front were Vietnamese. public tempers to the flash point and beat line" state threatened by Communism. That · Thai political sources and foreign dip the drums harder against scapegoats than attitude intensified when it became evident lomats believe that internal political factors to tell the public the truth: Gasoline is no that Laos, with which Thailand shares a long played an important role in the decision to longer cheap. Ironically, however, the pres border, had 'become not only Communist but expel the Cambodians. General Kriangsak ent regulatory camouflage will ultimately also dominated by Vietnam. The attitude spent about a month in April and May on prove even more costly.e became progressively what maniy here view the difficult task of forming a coolition as an obsession when Vietnamese designs on cabinet, and his hold on the various mili Cambodia evolved last year and Vietnamese tary and political elements vital for an THE NEED FOR WORLD ACTION troops reached the Thai-Cambodian border, effective government was shown to be where they remain, this year. shaky. The unpopularity Qf the Indochinese ·Explaining the decision on the Cambo refugees was used by both the most secu HON. LESTER L. WOLFF dians, one Of the military planners of the rity-minded generals and the most dema operation said that the tbasic objective of OF NEW YORK gogic politicians as a weapon against the the expulsion, which he said would continue Prime Minister's policy of general tolerance IN THE HOUSE OF REPRESENTATIVES as long as Cambodians entered Thailand, toward refugees and against the Prime Min Wednesday, June 20, 1979 was to protect the security of the 45 million ister himself. Thais. "It came from the head, not from the The Thai and foreign sources believe that • Mr. WOLFF. Mr. Speaker, for many heart," he added. the decision to expel the Cambodians, de months we have watched the dynamic He said that any "spillover" of the Viet spite frequent representations by Western explosion of human tragedy which we namese-Cambodian conflict onto Thai terri diplomats and intematioillal officials, includ call the Indochinese refugee crisis. The tory raised the danger of Vietnamese aggres ing Secretary General K;urt Waldheim of sion wgainst Thailand. In a view often ex the United Nations, was motivated at least numbers are staggering. The individual pressed by Thai officials, he accused Vietnam horror stories recall the possibilities of in part by General Kriangsak's desire to of gradually "colonizing" Cambodia wiPhilippines he re The call for another internationai con ceived the Congressional Medal of Honor. He ference was made last month by Prime Min Journal on June 9, 1979. The speech of Sen. HARRY F. BYRD JR., is the only son of a Medal of Honor winner ister Margaret 'Tihatcher of Britain, who to receive the award himself: his father re urged Secretary General Kurt Waldheim to and newspaper article follow: ceived the Medal of Honor while leading take the lead in organizing it. The Carter SPEECH OF HARRY F. BYRD, JR., BEFORE troops at Missionary Ridge in the Civil War. Administration has decided to back the THE MACARTHUR MEMORIAL BANQUET General MacArthur also was the first mili British idea and the tentative preference, I greatly appreciate the opportunity to be tary officer to become a United Nations com officials said, is for convening a Council . with you tonight in the City of Milwaukee, mander, and he was the first to become a meeting next month. so closely associated with the MacArthur Field Marshal in a foreign army-the Ph111p HOUSE BACKS U.N. SESSION family for over a half a century. pines Army before World War II. Yesterday, the House of Representatives It is indeed a privilege to take part in this And yet, landing a.t Inchon, Korea., he outflanked a.nd principle of civilian control could not safely DRAMATIC MOMENTS decimated an entire enemy army with only be abridged. In relieving General MacArthur She had shared many dramatic moments light losses on his side. of command, he did what a President with For all his lifelong association with com with him, such as the time in 1942, when he, courage was required to do. his family and key staff members fled The bat, he was anything but a bloody man. In Let me turn to the matter of General his famous address to the West Point corps Philippines in PT boats as the Japanese army MacArthur's view about wars in· distant advanced on Corregidor. in 1962, he stated succinctly his philosophy Asia. He warned that American troops never of praying for peace and preparing for war: And Friday, as she has done several times should be sent to fight an Asian land war. since his death in 1964, she took his place '"Th.e soldier, above all other people, prays It was largely because of my confidence for peace, for he must suffer and bear the while others honored the memory of his in General MacArthur's judgment that I character and accomplishments. deepest wounds and scars of war. But always opposed-from the beginning-the sending in our ears ring the words of Plato, that Mrs. MacArthur, speaking in a soft, south of American ground troops to Vietnam. ern accent, said, "This means more to me wisest of all philosophers, 'Only the dead General MacArthur himself, from his have seen the end of war.'" than I can tell you, because I just know how deathbed at Walter Reed Hospital, begged he would feel. .. . I want you to know that When once he was asked how he would President Johnson not to commit troops to this is a day that I shall long, long remember, hope to be remembered, he replied the Vietnam conflict. memorably: and God bless you all." But tragically, the Genera.l's advice was Marie Uihlein, 62, who also helped at the . "If the historian of the future should ignored. deem my services worthy of some slight ref unveiling, donated $50,000 for the statue Once the decision was ma.de and Ameri and the MacArthur Memorial Project. She erence, it would be my hope that he men can troops were sent to fight in Indochina, and Mrs. MacArthur later cut the ribbon to tion me not as a commander engaged in I gave my full support to those troops. But open an exhibit of MacArthur memorabilia at · campaigns and battles, even though vic always I recalled Gener.al MacArthur's the Milwaukee County Historical Society, 910 torious to American arms, but rather as that warning. N. 3rd St. one whose sacred duty it became, once the And of course time has vindicated totally Mrs. Uihlein told the crowd that the guns were silenced, to carry to the land of the judgment of this great military leader. statue was to honor the memories of Mac our vanquished foe the solace and hope and How different would have been our recent Arthur and her late husband, Erwin C. faith of Christian morals. Could I have but history, had MacArthur's wisdom prevailed! Uihlein, former board chairman of Jos. a line a century hence crediting a contribu To close this tribute to the memory of Schlitz Brewing Co. tion to the advance of peace, I would gladly Douglas MacArthur, I can do no better itha.n yield every honor which has been accorded to turn once ,a.gain to his own words-the SIMILAR GOALS by war.'' words of his great speech to the Cadet Corps Uihlein and MacArthur, who knew each The occupation of Japan, under his leader at West Point in 1962: other for many years, shared similar goals ship, ls widely regarded as the most en ''Duty-Honor--Country. and standards, Mrs. Uihlein said. They be lightened military occupation in history. It "These three hallowed words reverently lieved in excellence, integrity and honor, and is not too much to say that amid the ruins dictate what you ought to be, what you can both followed the credo that there is no sub of a warlike empire he laid the foundations be, what you wm be. stitute for victory. of a peaceful democracy. And, I might add, "They are your rallying point to build Uihlein and his brother, Robert, first met a nation that has become economically courage when courage seems to fail, to re MacArthur in 1905 in Manchuria when they powerful. gain faith when there seems to be little were covering the Russo-Japanese War as No one <:an be sure that Douglas Mac cause for faith, to create hope when hope correspondents for Colliers magazine and Arthur will be accorded by a future historian becomes forlorn. several newspapers. the honor of a contribution to peace. But "The code which those words perpetuate MacArthur, then a lieutenant, was serving none can deny that he earned it. embraces the highest moral law and wm as an aide to his father, General Arthur Mac During his lifetime General MacArthur stand the test of any ethics or philosophies Arthur, who had been sent to observe the was often a figure of controversy. His manner ever promulgated ior the uplift of mankind. war. was aloof, and his flair for the dramatic led Its requirements are for the things that are Among the assembled mllitary and civilian the press to portray him as a prima donna. right and its restraints are from the things dignitaries at the ceremony Friday were re As a Naval officer in the Pacific during that are wrong." tired Brig. Gen. LeGrande A. Diller, 78, Mac World War II, General MacArthur was not I salute these great words. Arthur's former aide, and Army Lt. Col. John exactly my favorite. I salute the man who uttered them. P. Otjen, 37, the great-grandson of Theobald Many GI's seemed to resent General Mac And I salute you, who have gathered to Otjen, the Wisconsin congressman who ap Arthur, and many fake rumors about the do him honor. pointed MacArthur to West Point 80 years General were spread around the Pacific. ago this week. Why was that so? [From the Milwaukee Journal, June 9, 1979] EXCELLENT POSE Perhaps it was that MacArthur's towering OLD SOLDIER RETURNS HOME "The pose and action (of the statue) intellect and remote manner bred a kind of (By Thomas Heinen) are excellent," said Diller after the ceremony. resentment on the part of those with lesser Past and present mingled Friday afternoon "I walked around the back, where the plaque gifts. ls, and I was struck by the fact that it looked In a democratic age, when most leaders at the Civic Center Plaza as General of the Army Douglas MacArthur returned to Mil just like the general. When he was con took care to spread the smile and the hand fronted with a problem, looking over a situa shake, Douglas MacArthur was something waukee beneath a hazy, blue-gray spring sky. He was present in the minds of those who tion, often times he stuck his hands in his or a throwback to the age of hero-worship. had known him. back pockets." And the troops of World War II were not . County Executive O'Donnell accepted the exactly worshipful. And his image was embodied in the 9Y:z foot tall bronze statue dedicated as the statue on behalf of the county, saying he It was said of Washington and Lee-also opening event of a special week in Milwaukee hoped it would kindle a rebirth of patriotism. aloof men-that their troops revered them. honoring him. One of the final segments of the ceremony MacArthur, surely as great a military leader MacArthur, the late five star general, once was conducted by representatives of the as either, had the bad luck to come to flower lived here. Filipino American Association of Wisconsin. in the 20th Century. As the cloth that covered the statue fell While two children carried the U.S. and But this cannot detract from his brilliance, away, there was MacArthur again, larger than Philippine flags on bamboo flagpoles, other his bravery, his dedication, or his singular life, captured for all time in a familiar pose. members of the group laid a wreath of red, achievements in war and peace. white and blue carnations at the base of the The historian John Gunther said of Mac STILL IN COMMAND statue. Arthur: His hands, palms forward, were thrust into Printed on the wreath's ribbon were the "He ls that rare thing in the modern the rear pockets of his khaki trousers. He words, "Old Soldiers Never Die."e world, a genuinely high person." gazed out from the marble pedestal on the He had absolute faith and confidence in southwest corner of the plaza as if he were himself, and of course it was that depth of stm in command. REPRESENTA'l;'IVE JACK KEMP conviction that led to the greatest contro When MacArthur visited the same site in COMMENTS ON PRESIDENT CAR versy of his life. 1951, some 50,000 persons cheered as then I remember how deeply moved I was by Milwaukee Mayor Frank P. Zeidler dedicated TER'S SALT II SPEECH General MacArthur's stirring farewell ad the area east of the Courthouse as MacArthur dress to the Congress in 1951. Square. The area now is known both as Mac I felt sure then-and I remain sure to Arthur Square and the Civic Center Plaza. HON. JACK F. KEMP day-that as to the conduct of the Korean On Friday, about 200 persons, many of OF NEW YORK War, General MacArthur was right--and them veterans, attended the statue dedica IN THE HOUSE OF REPRESENTATIVES President Truman was wrong. tion. Wednesday, June 20, 1979 At the same time, I felt then-and this Among them were several persons with too I stm believe to be correct-that Presi links to MacArthur, but the most profound • Mr. KEMP. Mr. Speaker, President dent Truman was right in insisting that the was a sprightly, silver haired lady who Constitution gave him the ultimate respon Carter's address to the Congress urging sibility as commia.nder-in-chlef, and that the helped unveil the statue--Jean MacArthur, ratification of SALT II has been the ad 80, the general's widow. ministration's moot comprehensive de- 16120 EXTENSIONS OF REMARKS June 21, 1979 f ense of the content of the agreement terference with each side's national tech During this tinie period, U.S. ballistic to date. In his defense of the terms of nical means of verification. In assessing missile warhead payloads will decline SALT II, the President chose to make a this assertion, one must bear in mind because the new Trident C-4's carries number of explicit clainis about the the complexity of this agreement com fewer warheads than its currently de treaty, particularly what it will do if it pared to it.s predecessor, SALT I. SALT I ployed predecessor, the Poseidon C-4. is ratified, and what some of the con simply forbade either side to construct One of the very serious weaknesses sequences will be-in the President's additional land or sea-based ballistic mis stemming from the substantial inequal view-if the Congress rejects the agree sile launchers capable of intercontinental ity of the terms of the agreement-is ment. It is worth examining some of the attack. that SALT II licenses a very large growth assertions made in detail to gain an un This meant that neither the United in Soviet strategic forces, particularly in derstanding, not only of the agreement States nor the Soviet Union could build the number of deployed ballistic missile itself, but of the character of the argu any new ICBM silos, nor more strategic warheads (due to the far greater throw ment other administration spokesmen submarine launchers than allowed by the weight in Soviet missiles.) . will advance in their defense of the agreement. As both of these take months Not only does this large disparity in agreement before the committees of the or years to build, the United States had favor of the Soviet Union create military Congress charged with reviewing the high confidence that its national techni problems for the survivability of our own aftermath of the negotiations. cal means of verification such as photo strategic forces, but it creates a prece It places equal cellings on the strategic reconnaissance satellites could verify So dent for SALT III that will make it very arsenals of both sides, ending a previous nu viet compliance with the terms of the difficult for us to obtain agreement from merical imbalance in favor of the Soviet agreement. Even with the relatively sini the Soviets for substantial reductions in Union. ple restrictions of SALT I, considerable strategic forces. To characterize the agreement as difficulties arose. The Soviets constructed Moreover, because SALT II prohibits being equal violates the commonsense decoy submarines, and concealed their the deployment of mobile ICBM launch notion of equality. The SALT I agree submarines under construction. The ers during the period of the protocol-the ment, an interim agreement which lim terms of SALT II are much more difficult. Soviets insist that the protocol should be ited the United States and the Soviet For example, the "second agreed renewed-ending December 31, 1981, the Union to the land-based ICBM and sub statement" of article IV which attempts United States-conceded in these nego marine launch tubes they had in place to limit the introduction of new types tiations the right, at least temporarily, to in 1972 Titan II missile or some of the B- LENGTH 'STANDARDS 52's. e Mr. ANDERSON of California. Mr. Some of the B-52's, particularly the Speaker, there is an alarming trend in "D" model were extensively modified HON. BERKLEY BEDELL this country which I feel needs to be ad during the Vietnam con:fiict for conven OF IOWA dressed. Put simply, our Nation's civil tional bombing, and thus they are not IN THE HOUSE OF REPRESENTATIVES servants are becoming scapegoats; con technically counted as part of the cur-. venient targets that too many people rent "operational" force, but this dis Wednesday, June 20, 1979 have been taking potshots at in a per tinction is a deceptive use of language. •Mr. BEDELL. Mr. Speaker, on June 18 petual open season. The United States will indeed have to Congressman GRASSLEY and I introduced The psychology behind this unfortu dismantle 34 of its SALT-accountable H.R. 4505, a bill to institute a national nate development is similar to that of strategic delivery vehicles, not none as standard f.or truck weight and length on the creation of other scapegoats in other the President's statement suggested. the interstate highway system. This is societies and other times. The American It's the SALT II agreement itself which an emergency measure designed to help public clearly feels frustrated today. The forbids concealment measures-many of truckers cope with the current shortage Nation is facing difficult problems, and them for the first time-forbids interference of diesel fuel. there is a feeling of confusion, that the with our monitoring and forbids the encryp The introductory statement appears problems we must address are beyond tion or encoding of crucial missile test in at page 15336 in the CONGRESSIONAL our control. There is a general dissatis formation. RECORD of June 18. faction among the public, but there is The terms of the agreement with re In the several days since we intro no logical place for them to turn to spect to the encryption of telemetry (that duced our bill, we have heard from many vent their frustrations. So an illogical is, radio transmitted data reporting on interested parties. Some have had very target, a convenient target, must be the performance of a test missile in helpful suggestions for perfecting found; a target that will take the abuse flight) have been subject to considerable amendments, to clarify the exact pur-· and lacks the capability of fighting back. misunderstanding in the press. First, the pose and intent of our legislation. Con Federal employees have become that United States had long taken the posi sequently, we have revised the language target. tion that no encryption of missile telem of the bill and are reintroducing it today. They are lazy, it is said. They are etry be allowed (the United States does The following is the revised text of the overpaid, and receive too many benefits. not encrypt its telemetry) under SALT legislation: And when they do work, when they do II. The motive for this longstanding H.R.- produce, they only add to the confu position is clear. A bill to establish Federal standards for the sion, increasing the country's problems. If some telemetry channels are en weights and lengths of vehicles using the Mr. Speaker, we all hear these charges crypted, how can we be certain that these National System of Initerstate and Defense Highways, and for other purposes made when we go home, and receive such channels do not contain data essential 'letters here in our Washington offices al to monitoring Soviet compliance. Regret Be it enacted by the Senate and House of Representatives of the United States of most daily. And these letters, and these tably, the United States accepted the America in Congress assembled, That, during charges, have never failed to disturb me Soviet position on telemetry encryption. the period beginning on the date of enact greatly. Second, telemetry is simply the least ment of this Act and ending on the date Mr. Speaker, I come in contact every costly means of obtaining missile :flight the Secretary of Energy transmits to each day with our civil servants, and have data. The data can also be recorded and House of the Congress a written certification generally found them to be dedicated, stored in a recoverable capsule, thereby under section 2 of this Act, it shall be un hard-working men and women who eliminating the need for radioing of tele lawful for any vehicle with an overall gross weight of more than 80,000 pounds or an really care about what they are doing, metric data at all. These terms of which overall length of more than 60 feet to use and the vast majority of them honestly President Carter boasts, do nothing more the Natiqnal System of Interstate and De earn their paychecks. And these pay than assuring the Soviets that they may fense Highways, except that the provisions checks are not so grand as some ap employ telemetry on an encrypted basis of this section shall not apply to such a ve parently believe. The civil servants I am to deny the United States data which it hicle using the National System of Interstate most familiar with are those working in otherwise had a right to expect under the and Defense Highways in a Staite or a politi the Washington, D.C., and Long Beach principle of noninterference with na cal subdivision thereof in which such use areas, and I can assure our colleagues tional technical means of verification. is lawful under the laws of such State or political subdivision. that few of them are driving around in The President's defense of SALT II SEc. 2. Within 10 days after the Secretary Cadillacs purchased with their Govern bodes ill for what the Congress may ex of Energy determines thait there are adequate ment pay. And let us not forget-they pect henceforth in its review of the amounts of middle distillate fuel both in all pay taxes, too. treaty. The President''s assertions about reserve and in commerce to meet national Mr. Speaker, the Long Beach Naval the "benefits" of the treaty do not with requirements for home heating, agricultural Shipyard, which is in the district that stand careful analysis, and yet one production, transpor;tation, and industrial I am privileged to represent, employs should assume that the points raised by . uses, the Secretary shall transmit to each House of the Congress a written certification about 7,400 people. These are hard-work the President in his address represent the. ing men and women who do their jobs best that can be said about the agree of that determination. SEC. 3. During the period referred to in well. None are getting wealthy from any ment. A reading of the text of the agree the first section of this Act, no State or one's tax dollars, and all are contribut ment reveals a host of details, large and political subdiivsion thereof shall enact or ing to the defense of our Nation. If our small, reflecting items which are unequal enforce any law, rule, regulation, standard, country is facing problems today, it is 16122 EXTENSIONS OF REMARKS June 21, 1979 not because of these workers in Long juana and cocaine that is smuggled into source for ·both cocaine and marijuana. en the United States, has been cooperating tering the United States. Beach, and I do not think they are While Turbay's efforts ·thus far have not caused by other civil servants, either. with the U.S. Government in mutual even come close to stopping the vast drug And until we start coming up with some efforts to control this immense problem. trade that has fiourlshed in Colombia since real answers, instead of turning to the Millions of dollars are at stake in this the early 1970s, "Operaclon Fulminente," as easy but false solution of blaming our battle, and it is essential that every effort the m111tary campaign in the Guajlra ls code civil servants, these same problems will possible be taken, both in Colombia and named, has achieved substantial resul:ts, ac continue to plague us. here in the United States to apprehend cording to U.S. officials. This year, for the second year in a row, the drug runners who prey on the youth Approximately 3,500 tons of marijuana, worth an estimated $70 milllon to Colombian a strong likelihood exists that Federal of America. drug runners and a.bout $280 mlllion when employees will be forced to accept a cost This morning a story in the Washing finally sold in the United States, have been of-li ving increase that is much less than ton Post by Charles A. Krause, the seized. About 1,000 Colombians and Ameri the real rise in the cost-of-living. Many award winning Post reparter at the cans have been arrested in the Gua.jira, and of our colleagues already know what I Jonestown, Guayana, massacre, outlined 65 to 70 airplanes and an equal number of think about that. It is callous and unfair, a number of steps being taken by the ships engaged in drug smuggling operations and an excellent example of how the Colombian Government to assist with have been ca.ptured. administration and the Congress have The Guajlra peninsula. is a rugged, moun this problem at their end. I want to tainous region populated largely by Indians been mistreating their Government share this article with our colleagues, Mr. cl1ng1ng to an ancient pre-Columbian cul employees. Speaker, for I think it demonstrates that ture. The valleys and vlllages are home to Even former Federal employees are we have an effective and concerned part recent migrants and peasants who left south being scapegoated. Retirees may well re ner in Colombia, something that is not ern Colombia. to escape the civU strife of ceive only one cost-of-living increase in always true when dealing with other 1949-'58. Such services as sewage, health care their hard-earned pensions during the governments on this or related problems. and running water are rare, and transporta coming year, despite our high inflatioh Before inserting the article, however, tion outside the towns ls virtually impossible. Col. Miguel Maza Marquez, commander of rate. In times of low inflation, it is not I would also like to point out that there the F-2, sa.1d la.st week that his efforts to stop altogether vital that fixed income peo are additional steps that the United cocaine traffic in Colombia have resulted in ple receive these increases twice a year. States can and should take as well. I the destruction of 119 cocaine laboratories, But it is precisely during these times of ref er to the need to close loopholes in the seizure of 2,639 kilos of cocaine and the high double-digit inflation we are living the U.S. criminal code relating to large, destruction of 19,547 kilos of coca paste m today that they need semiannual cost illegal currency transactions, and the headed for la.boratories to be turned into of-living increases. Instead, it is now fact that with minor changes in the law granules of coca.lne. our law enforcement officials would be in In an, Maza. said the F-2 has arrested that they are being taken away. 1,069 Colombians and 151 foreigners in con Mr. Speaker, many of our colleagues a much better position to apprehend and nection with the cocaine raids. express concern about Federal employee prosecute drug smugglers. I have intro Because Colombian law enforcement offi unions. I would posit that they have a duced three bills to amend the Bank cials have been so corrupted by drug money, special responsibility to treat our civil Secrecy Act in ways which close these however, there can be no guarantee that all servants equitably. Unless this adminis loopholes; I am hopeful that the House, or even most of .the marijuana and cocaine tration and this Congress wake up and and the entire Congress, will act on these seized has been destroyed. Nor can there be realize that they have been unfair to proposals soon. any guarantee that those arrested in the drug raids have been kept in ja.11 and tried-be the Federal employees, we will almost The Post article mentioned earlier fol cause it ls stm relatively easy to bribe au surely see these employees increase their lows: thorities here to secure freedom from prose organizational activities as an obvious [From the Washington Post, June 20, 1979) cution, according to diplomatic sources. means of combating efforts to make them COLOMBIA, WITH U.S. BACXING, MOUNTS Nonetheless, American officials say that scapegoats for the Nation's problems. DRIVE ON DRUG TRAFFIC Turba.y, who was stung by charges in the I can recall a time, Mr. Speaker, when (By Charles A. Krause) United States that members of his family are engaged in the drug trade, has demon our civil servants were treated with dig BOGOTA, June 18-Colombia. has begun nity and respect. It was accepted that strated since he assumed office that he ls what appears to be the first serious attempt determined to cooperaite with the United their work was imortant and deeded. To to era.ck down on criminal activity, from States in trying to stop the drug trafficking. day, their work· is still important and drug-running to counterfeiting, that has a. This ls a major change in public attitude still needed. Each Federal employee plays direct impact on the United States. from Turbay's predecessor, former president a role in behalf of the welfare of our Since his inauguration la.st August Presi Alfonso Lopez Michelson, who took the po Nation, and they should each be proud dent Julio Cesar Turba.y Ayala. has placed the sition that "we are not corrupting the Amer of that role. I know that I am proud of Gua.jira. Peninsula. which juts into the icans, the Americans a.re corrupting us." Caribbean and has long served as a. major Lopez' attitude was that the United States the work performed by those in the Na shipment point for marijuana. and cocaine, tion's civil service. should stop 11legal drugs from entering its under the jurisdiction of Colombia's armed own territory and not expect Colombia. to use Mr. Speaker, there is a certain amount forces. American ·officials say the move has, its resources to stop marijuana and cocaine of waste in the Federal Government, just for the first time, begun to disrup the fiow of from leaving. as some waste exists in any private sec narcotics to the United States. - The Carter administration has offered tor organization. But in trying to cut out The Turba.y government also has allowed Turbay $2.4 ni111lon this fiscal year to aid in that fat, we must be careful not to ex U.S. Secret Service a.gents into Colombia for the drugs battle. The money ls being used tract the muscle with it. We must not the first time as pa.rt of an effort by the F-2, to provide rations for 6,500 soldiers now in this country's version of the F.B.I., to stop volved in Operaclon Fulminente under the make Federal employment so unattrac counterfeiting rings that have operated free- tive that we can no longer recruit men command of Gen. Jose Villareal. ly here until now. · In addition, the U.S. money is used for and women of the same high caliber as A raid la.st week, the third in recent fuel for Colombian helicopters and destroy those now serving all Americans in their months, netted more than $4 million in ers that patrol the Guajlra. Peninsula and Nation's Government.• bogus dollar and peso notes as well as false radio communications equipment to coordi passports and travelers checks. nate raids. The United States ls also install The Treasury Department estimates that ing two radar units in the area. to monitor a.bout 90 percent of a.11 the counterfeit dol airplanes that regularly land at clandestine COLOMBIA'S EFFORTS TO CRACK lars manufactured a.broad that successfully airstrips, pick up their cargoes of "Santa. DOWN ON DRUG-RUNNING reached the United States come from Co Marla gold" and then return to remote land ACTIVITY lombia., which over the pa.st two yea.rs has ing strips in the United States. probably become the world's lea.ding pro The Colombian government has said it ducer of bogus currency, according to Ameri reserves the right to shoot down any plane HON. JOHN J. LaFALCE can officials here. entering its airspace illegally. The govern It ls drugs, however, that remain Colum OF NEW YORK ment here has also announced a. three bia's most important illicit export--worth an month study to determine whether it should IN THE HOUSE OF REPRESENTATIVES estimated $500 million to $1 bill1on a year. begin spraying marijuana fields with para Wednesday, June 20, 1979 It ls estimated that 85,000 acres, mostly in quat, a poisonous herbicide used successfully the Gua.jlra., produce a.bout 35,000 tons of in Mexico. e Mr. LAFALCE. Mr. Speaker, the Re marijuana. a year. Despite the m111ta.ry takeover of tl)e Gua public of Colombia, which is the source The General Accounting Office has said jira. thearea ls still known as a. no-man's of a large amount of the illegal mari- that Colomb!~ ls by fa.r the most important land where local "mafiosos," as those in- June 21, 1979 EXTENSIONS OF REMARKS 16123 volved in the drug trade are called, have a functional contraceptive; and finally line Deregulation Act of 1978 to free air great influence-either as a result of bribery that breast milk contributes to a psycho lines from economic regulation by the or the guns they wield. During the first three months of this logical bond between mother and infant CAB, we expected that the new economic year, there were 240 murders in Sanata Marta that is important for healthy develop environment that resulted would lead to alone, the capital of the province which en ment in the first year. greater competition regulated by the compasses the Guajira Peninsula. Most of the Mr. Edson also discusses some of the marketplace. We have seen, and we have murders are thought to be drug related. difficulties for mothers, particularly in all benefited from this new fare competi Despite his public statements, there are the Third World countries, in breast tion. those in the Guajira who believe Turbay's Less visible, but no less important to campaign against drug traffickers is aimed feeding an infant for a sustained period. principally at the peasants who grow mari He points out that a mother may need increased competition is the matter of juana and at minor drug dealers who buy between 400 and 800 additional calories airline mergers. and sell relatively small quantities. a day while breast-feeding. I find it rather puzzling that the de Few of the really big-time "captains" of A study of Roger G. Whitehead and bate surrounding the merger issue seems the drug-running trade have been arrested, Michael Rowland of Cambridge Univer to have more to do with the question of according to several sources here, although sity in England of 81 rural Gambian congressional intent than with the ques their identities are well known. tion of whether the mergers increase or Throughout the Guajira, the slogan "Tur mothers concludes that breasts milk lev els out after 3 months, and after that decrease competition. bay es la Mafia" is plainly visible on count It is puzzling to me because the legisla less walls. But there are other well-informed period additional nutritional substances ·Colombians-such as journalist Daniel Sam are required in order to permit the baby tive history on the matter of mergers is per Pizano, whose column in El Tiempo, Bo to grow. Mr. Edson quotes Roger White quite clear. In any discussion of legisla gota's mos influential newspaper, is usually head as saying: tive history, I believe all experts agree highly critical of Turbay-who believe the Breast milk is still the standard of good that the conference conunittee report new president is in no way connected with feeding in early months, but is by no means language is the most authoritative as an the drug trade and believe he is serious when as perfect for all occasions and for as long explanation of the action agreed upon by he says he is determined to end it. a period of time as some nutritionists like the conferees, approved by both Houses Turbay and the "traditional families" that to believe. have long dominated Colombian economic of Congress, and signed into law by the and political life seem to have reached agree The article points out further that it President. ment that the "mafiosos" and the many they has been extremely difficult to document The conference committee report on command have not only given Colombia a infant feeding patterns. In discussions the Airline Deregulation Act the New York Times, The article strongly urges cooperation governed by the same standards that are titled "Babies in Poverty: The Real between industry and the critics of in applied to mergers of other firms. Victims of the Breast/Bottle Contro fant formula in order that a joint effort The whole purpose of our efforts to de versy.'' Published in the Lactation might contribute to a solution of the Review, 1979 volume 4.1., the article regulate the airlines was based on an as social and nutritional problems of devel sumption that airlines could and should objectively presents the issues central to oping countries. the debaJte on the use of infant formula. conduct their business in an environment The remaining sections of the article Mr. Speaker, this article represents the of competition and free enterprise. free discuss critic'al issues on the subject of type of work that is necessary in resolv from economic regulation and Govern infant formula. They include the advan ing conflicting information on very com ment interference. tages of breast milk; the difficulties that plicated issues. I commend it to my col I believe the conference committee re have been encountered in conducting leagues and to any individual interested port language is quite clear; 1and I trust infant feeding research; the results of a in this most important world problem.• that the merger question will tum on 1976 study sponsored by the U.S. Agency marketplace considerations for the de for International Development and con velopment of vigorous competition from which we will all benefit.• ducted by the Human Lactation Center; AVIATION DEREGULATION AND THE and finally what the response of indus QUESTION OF AIRLINE MERGERS try has been and what it could be in the future to improve the quality of nutri- · ENERGY CONSERVATION WEEK tion in the Third World. HON. NORMAN Y. MINETA In his discussion of breast feeding Mr: OF CALIFORNIA Edson analyzes the four generally IN THE HOUSE OF REPRESENTATIVES HON. HAROLD E. FORD assumed advantages of 'breast milk over OF TENNESSEE Wednesday, June 20, 1979 substitutes. They include the argument IN THE HOUSE OF REPRESENTATIVES that breast milk is cheaper; that it • Mr. MINETA. Mr. Speaker, there has functions as an immunological compo been a great deal of talk and attention Wednesday, June 20, 1979 nent which protects the newborn infant recently surrounding the issue of airline •Mr. FORD of Tennessee. Mr. Speaker, from disease; that breast milk serves as mergers. When Congress passed the Air- tod·ay I rise to ask the support of my 16124 EXTENSIONS OF REMARKS Ju~e 21, 1979 colleagues for a resolution I introduced social communion in the kitchen during an an article in this morning's Washington today to authorize and request the hour at which they would otherwise ha.ve Post that, despite the limited recent tem been sitting incommunicado in front of porary disruption in world crude oil sup President to issue a proclamation which a television set, if there had been a television would call upon the people of America set, and thus improved human relations. plies, there could be no gasoline crisis if to voluntarily observe every type of Having no refrigerator meant that some not for the U.S. Department of Energy's energy conservation measure. This proc body had to empty the pan of melted ice rigid and arcane regulation of the entire lamation would designate the week of water from the icebox, and this gave the national gasoline distribution network. September 16 through September 22, lucky party a chance to cool off by splashing The Department of Energy, by pre 1979, as "Energy Conservation Week." the chilled water on his feet. empting what was once a rather smoothly Based on the fact that the American Yo1.i can bet nobody sat around after the functioning market, has in e:ff ect out people have historically been able to macaroni and cheese whining a.bout elec lawed gasoline dealers from matching tricity tycoons and petroleum czars. There conquer national problems to which they wasn't time. Having cut back on gasoline willing suppliers with willing purchasers directed their concern, this resolution consumption by not buying a car, some of us to their mutual satisfaction. Instead, the would ask that we eliminate unneces had to spend 45 minutes getting downtown DOE has ordered enormous shortages in sary travel, insulate homes and build to the movies by streetcar. some areas and created unused gas ings, reduce use of major home appli Women, of course, ha.d the patching to do. "puddles" in others. ances, and take other measures to re We had cut back on the clothing budget by Consider what would happen if you duce our use of energy. The ultimate not buying new jeans with terriffic Paris de were allocated gasoline today on the goal of the resolution is to increase signer labels on the back pockets, and also by basis of your driving habits 1 year ago. not throwing away the old jeans just because energy conserv.ation awareness and con they developed holes. If you happened to be driving across serve our precious fuels. While the women were busy patching, the country at the time, you are in the clover As our energy is increasingly becom men were occupied killing cockroaches, mos today. You can either take another cross ing unaccessible, I feel it is both our quitoes and files with wadded newspapers country trip, or go into the gasoline re duty and obligation to provide some or swatters. This activity was necessitated by tail business. If, on the other hand, you leadership on this crucial issue. our decision to cut back on the budget by were laid up in the hospital a year ago, I am inserting into the REcoRn an not buying bug sprays in aerosol cans. It had your car in for 2 weeks of repairs, or article written by a national syndicated gave the men healthy exercise and kept their did not own a car at the time, you will reflexes in shape. Afterwards, feeling ruddy columnist, Russell Baker, which ap and adventuresome, they would walk three have trouble getting to work. peared in yesterday's Washington Star. or four blocks to the drug store. That, in a nutshell, is what is wrong This article is a humorous reminder of Not to buy mouthwash, hair spray, after with the Department of Energy's regula how wasteful we have been and how shave cologne, deodorant sticks or a $2 tions. Instead of distributing gasoline frugal we must become. magazine featuring the portrait of some according to how much of it people need The article follows: body's daughter in the buff, mind you. We today-which is the definition of a free WHEN WE LIVED WITHOUT .APPLIANCES had decided to cut back on such dandified market-the Department of Energy has fluff, on the theory that anybody who dined first lobbied against gasoline production, (By Russell Baker) four nights a. week on macaroni and cheese After 30 years of the soft life Americans and killed the cockroaches with a newspaper skimmed some more o:ff the top and then seem to have forgotten how to moderate would be putting on airs if he gargled ordered the entire distribution system their passion for easy living. The working mouthwash and would certainly be wasting frozen according to how much and where stiff nowadays insists his car is not a luxury, his time daydreaming about undraped people drove last year. but a necessity, while ownership of a color adolescent females. We could end gasoline lines tomorrow television set is regarded even among pau That sort of thing was left for electricity morning if we deregulated the gasoline pers as one of rights of man, just as pre tycoons and oil-rich Arabs who didn't eat in distribution network this afternoon. The cious as the right to dine seven days a wee·k their undershirts and wouldn't have known incredible spot and regional disparities on hamburger. how to get to work if somebody took away of price and supply which exist today These and other sybaritic ways of looking their cars and ma.de them use the streetcar. at life have been bred into the American would disappear in the time it takes for No, the purpose of going to the drug store a tanker truck to drive from an area of marrow during a relatively short time. To was to get a nickel soft drink, which the anyone who came of age just before or just drug store provided without a snub since al s·urplus to an area of shortage. after World War II, an American whining most everybody at that time had decided to What Mr. STOCKMAN and a growing about such restrictions on instant plenitude cut back on carbonated water intake by not number of other colleagues have been as are now widely lamented by the surging buying the family-size bottle of soda pop saying rather articulately for some time masses would have seemed as fatuous as a containing enough liquid to drown a horse. is that neither Congress nor the adminis Rockefeller complaining about the prohibi tive price of ocean-going yachts. Afterwards you went home and sat on the tration should meddle in areas they have At that time Americans knew how to cut front steps and watched boys and young neither the need nor the competence to back and survive. When the price of ham men engage in fistfights under the lamppost. regulate. Telling Americans how much burger put it out of reach, they simply set This entertainment was possible because and where and under what circumstances tled for macaroni and cheese three or four boys and young men at that time had de they can buy gasoline is one of them. nights a week and thereby saved enough cided to cut back on their arms budget by not buying revolvers and automatic pistols. The article follows: money to buy a chicken for Sunday dinner. WHO'S TILTING THE GASOLINE MACHINE? I remember very well when the cost of As a result, it was possible to settle quar electricity went sky high in 1938. We didn't rels without significant damage beyond a The U.S. gasoline market is beginning to get angry at the president and throw picket. few loosened teeth and a broken nose. The resemble a giant pinball machine. Some lines around the domiciles of electricity nice things a.bout it were that it was live inept player ls recklessly jiggling the board, tycoons. Instead, we cut back. and was never interrupted for commercials, ca.using it to go "tilt." But in a highly curi so that afterwards we never went back into ous manner. The bells and lights of short On hot nights, instead of running the air age-station closings, long lines and tank conditioner we slept on porch or fire escape. the house with a nagging urge to destroy the budget by buying new tires, a. better air topping-are not tripping off in a general If guests came to dinner we urged the men ized, nationwide pattern, but sporadically, to take off their shirts and neckties and condltioner or some high-priced tin cans to open for the dog. The deprivation was doubt locally, almost randomly--0ne city a.ta. time. sit around in their undershirts, urged the This hit-and-run pattern is the key to women to take off their shoes, and drenched less intense by present standards, regret ably .e fingering the culprit. Thus, despite all its everybody in iced tea to encourage a cooling imperfections, the "invisible" hand of the flow of commodious perspiration. marketplace automatically gets exonerated So effective were these measures that we WHO IS TILTING THE GASOLINE because it is inherently incapable of dis were able to cut back on appliance spending MACHINE? THE DEPARTMENT OF pensing injustice so capriciously. Faced with by not buying an air-conditioner. The saving an estimated 9 percent gap nationally be here was so impressive that we decided to ENERGY tween apparent demand and available sup save even more by not buying a dishwashing plies, the marketplace would close this gap machine and a refrigerator. HON. J'ACK F. KEMP by substituting higher prices for long lines. The resulting cutback in our power con That would mean a market-clearing (line sumption must have infuriated the electric OF NEW YORK ellmlnating) price ls in the range of $1.20 to ity tycoons and probably encouraged several IN THE HOUSE OF REPRESENTATIVES $1.30 per gallon. Nor would price rationing of them to cut back to only one summer Wednesday, June 20, 1979 dump the entire shortage burden on one or house at the seashore. In any case, the hard a few localities. The price would not be $1.50 ship on us was not intolerable. The necessity • Mr. KEMP. Mr. Speaker, Congressman per gallon in Washington where there are to wash the dishes by hand kept couples in DAVE STOCKMAN argues compellingly in currently massive lines and only 85 cents per June 21, 1979 EXTENSIONS OF REMARKS 16125 gallon in Albuquerque where there are no market to various categories of legally privi now knotting up the gasoline market. But lines and ha.If the stations are open 24 hours leged and politically connected users who Congress would have 15 days to veto such a day. face absolutely no incentive to conserve, a a decontrol plan. Undoubtedly it would do Instead-in response to opportunities to wide-open opportunity to hoard, and an arti so. Better to risk massive dlslooa.tlon, push buy lower and sell higher-brokers, jobbers ficially low, controlled price to boot. public tempers to the flash point and beat and speculators would move available sup The second major distortion stems from the drums harder against scapegoats than plies around in a hurry so that the price the fact that the price-control regulations to tell the public the truth: Gasoline is no would equilibrate somewhere in between. encourage dealers to respond to the present longer cheap. Ironically, however, the pres The burden of shortage would be shared "sellers market" in a perverse way. While the ent regulatory camouflage wlll ultimately equally by all geographic areas and end-use retail price celUngs are leaky and 111-enfor.ced, pro •e even more costly.e sectors, as occurred when the nation's for they most definitely do restrain the rate of eign coffee supplies precipitately dropped by price increase relative to what would other 25 percent two yea.rs ago. wise occur in a supply-short market. This ls But something ls at work in the internal supposed to protect the consumer, but what marketplace, transft>rming the present 9 per it actually does is encourage the dealer to CHARACTER OF CALIFORNIA LIFE cent shortage in the national gasoline pool take his seller's market profits in an alterna NOT THE CAUSE OF GASOLINE into a far more severe problem in a selective tive way: Instead of raising prices, he reduces LINES set of local retail markets. What ls it? hours and operating costs, thereby widening In this instance, the major oil companies his actual margin. are not a plausible vlllaln. While not noted Thus, facing an already artificially low al HON. TONY COELHO for their political acumen, even they a.re not · location fraction, retallers find it possible to OF CALIFORNIA stupid enough to pick up two of the nation's move a fixed monthly gallonage by cutting major political hot buttons-Washington, out their highest cost hours-weekends and IN THE HOUSE OF REPRESENTATIVES D.C., and Los Angeles-for a demonstration evenings. This in turn induces motorists to Wednesday, June 20, 1979 strike. The same reasoning holds for the line up on Monday and Friday, which permits greedy, panic-stricken . consumer explana a. further compression of sales hours. Soon • Mr. COELHO. Mr. Speaker, recently tion. The aggregate 9 percent gasoline short there are Tuesday and Thursday lines, even the Washington Post editorialized in its fall has not elicited a run on the retail gaso fewer sales hours, stlll lower operating costs columns that long lines of cars at filling line bank in 90 percent of the country. and even higher profits over a price-control stations in my home State were related While motorists in Washington and South led but constant volume of sales. Fed by a "to the character of California life-a ern California are admittedly unique in their spiral of consumer panic, the ultimate out political and cultural propensities, there is life that requires cars and a people, who, come ls obvious. Your friendly gas-and-go even more than most of their country no evidence that they are any more irrational operator, who normally moves 25,000 gallons than average in their gas-buying habits. to 3,000 customers over the course of a week men, are unaccustomed to the idea of The fact is, the fingerprints that appear on stretching upwards of 90 hours, arrives at shortages of any commodity." literally every barrel of gasoline that moves the crack of dawn on Wednesday to find a As you know, the California congres outward from the nation's 200 refineries, week's worth of customers neatly queued in sional delegation has created a biparti through 12,000 wholesalers and 200,000 retail a two-mile line-whence he laughs all the san ene:ngy task force, of which I am priv outlets, for ultimate deposit in 120 million way to the bank or his favorite fishing hole ileged to be a member. Several of us thirsty vehicle tanks, are those of the Depart by noon. took issue with the Post's stand, particu ment of Energy. Like the fabled handiwork In the absence of the DOE celllngs, of of the Lllliputians, 3,000 pages of regulations larly since Washington, D.C., seems to course, some operators would sell higher and be suffering from the same "character" and interpretive opinions rigidly bind the stay open longer; others would sell higher exact price and volume of each transaction of life which the Post viewed with a jaun through the marketing chain, and ultimately and stay open different hours; and the most enterprising dealers and jobbers would be diced eye. determine the precise street-corner destina In behalf of my colleagues, Mr. JOHN tion of each of the 300 million gallons that out scrounging the regional and national move through the system daily. market for additional, higher-priced supplies SON, Mr. MINETA, Mr. BOB WILSON, Mr. The first thing to note about this massive that will always gravitate toward the strong BADHAM, and Mr. ROUSSELOT, I submit pile of regulations ls that it ls stacked est local seller market. for insertion into the REcORD at this point against the retail market, motorists, cities Yet under DOE rules, in which every gal a copy of our letter to the Post on this and growth areas-and toward farmers, non lon ls earmarked, there are no free supplies and nothing for local jobbers to bid for 1n subject: metropolitan areas, gasoline marketers and CONGRESS OF THE UNITED STATES, hoarders. order to shift the short-run allocation. Nec essarily then, motorists work harder and House of Representattves, This month available supplies nationwide longer, marketers work less and more profit Washington, D.C., June 20, 1979. amount to 92 percent of the June 1978 base ably, and eventually the system tilts. That EDITOR, period. But most D.C. area retail stations are this DOE-designed market-clogging outcome The Washington Post, getting only 75 to 85. percent of last year's Washington, D.C. volume, at best. Why? Because 15 percent of ls of any more benefit to the consumer than the market-clearing out.come is by no means DEAR SIR: In its editorial of May 9, the the total supply ls being skimmed off the top apparent. Post suggested that the long lines of cars at of the national pool for the state set-aside Finally, the Lilliputian regulators are now filllng ·stations in California were related and so-called high priority users. The retail applying a special supply noose to the cities. "to character of California life-a life tJhat network gets an allocation fraction based on requires ca.rs and a people who, even more the diminished residual supply. During the recreation season, the big cities are heavy exporters of weekend traffic, which than most of their countrymen, are una.c THE LILIPUTIAN REGULATORS ARE NOW APPLY creates seasonal bulges in gasoline demand customed to the idea of shortages of any ING A SPECIAL SUPPLY NOOSE TO THE CITIES along the interstates and in the beach, resort commodity." State capitol bureaucrats are supposed to and vacation receiving areas. The allocation By now, it should be clear to all, even the distribute part of this-the 5 percent state system ls now perfectly reflecting this nor editors of the Post, that the gas shortage set-aside-to areas of greatest need. But evi mal distribution of sales by allocating to was and ls not a California phenomenon, to dence from the 1973-74 experience suggests a each station an equal fraction of last year's be rationalized by a pop-shot at an alleged good portion ls going to pals, politically con base. alien culture. The shortage hit California nected marketers and squeaky wheels in the But worried motorists don't behave nor first in large mea.Sure because of an enor commercial sector. mally-and aren't reflecting last year's pat mous growth in the state's workforce--600,- Similarly, in the last four months the share tern. Exhausted from hustling for gas or ap 000 new Jobs in 1978 alone-not reflected in going to the other top-of-the-pool category prehensive about being stranded, a signifi the allocation of gasoline to the state. The hlgh-priority users-has more than doubled. cant fraction are staying inside the beltway Department of Energy formula for distribut Moreover, these high-priority users-espe on weekends. Last Friday, for instance, traffic ing gasoline, based as it ls on historic use cially farmers-are entitled to 100 percent of across the Bay Bridge was down a full 20 and not adequately reflecting either popu their "current needs," which ls defined as percent from the same week last year. Un lation or economic growth, wlll have to be whatever they say it ls. Flor all practical pur fortunately, when the traffic stops flowing altered in the months ahead, if the nation poses, this means unlimited entitlement to down Route 50, the gasoline delivery trucks ls to have an equitable and workable fuel scarce supplies for priority claimants who don't. The allocation system thus drains the allocation system. are self-certified from the bottom of the mar cities and floods the highways and country Equally as important, California. is, ac keting chain up. The fact that delivery times side. cording to the Department of Energy it for 1,000 to 10,000 gallon steel tanks have Unless total supplies improve substantially self, providing "the most drama.tic example" ballooned dramatically in recent months sug in the next six weeks, the tilt lights will of gasoline conservation. Because the state gests that "current needs" include the right start popp1ng in most major cLties in the East has long led the na;tion in driving smaller to hoard for future use. and elsewhere. The administration can avoid and more fuel-efficient cars, it ranks only Overall, a substantial share of available this unhappy outcome instantly by pulllng 37th in the United States in gasoline con supplies is being diverted out of the retail the rip cord on the Lilliputian regulators sumed per ve'hicle. With a.bout 10 perc&nt 16126 EXTENSIONS OF REMARKS June 2·1, 1979 of the nation's population, the stwte uses standing contributions to the development proach television programing with a a little less than 10 percent of the country's of Robert Anderson Graduate School of welcome freshness, inventiveness, and motor fuel, despite the fact thwt California Management of the University of New originality. has long pioneered in seeking better air Mexico.e I know that my colleagues join me in quality, for which there is a sma.11 fuel saying "Happy Birthday, Marlo," and in penalty. In recent weeks, Amtrak ridership wishing the series many more successful is "up terrifically," according to that or MARLO AND THE MAGIC MOVIE ganizB1tion's state omce. Car-pooling is boom MACHINE years.• ing, and public transit utilization is high. In short, the California life-style, so amusing to the editors of the Post, is one HON. ROBERT N. GIAIMO THE AGRICULTURAL CONSERVA in whie'h a balance is being attempted be TION PROGRAM-USDA tween economic growth and environmental OF CONNECTICUT qua.Iity, with a heavy emphasis on conserva IN THE HOUSE OF REPRESENTATIVES tion. We invite your continued attention. Thursday, June 21, 1979 HON. WILLIAM HILL BONER Sincerely yours, OF TENNESSEE TONY COELHO, e Mr. GIAIMO. Mr. Speaker, I am de IN THE HOUSE OF REPRESENTATIVES HAROLD T. JOHNSON, lighted to take this opportunity to wish NORMAN Y. MINETA, a very happy second birthday to an out Thursday, June 21, 1979 BOB WILSON, standing and innovative children's tele • Mr. BONER of Tennessee. Mr. ROBERT E. BADHAM, vision series, "Marlo and the Magic Speaker, I rise today to urge congression JOHN E . RoUSSELOT, Movie Machine," which this spring al support for the agricultural conserva Members of Congress.e enters its third year of major national tion program Australia, and New New York Times news article which re computers, foundries and industrial designs. Zealand, passes through very vulnerable ports about the CIA testimony given last UNITED STATES EXPECTED SOME MILITARY USE waters there. Commercial and other month before the Research and Devel Pentagon officials have said that, while opment Subcommittee of the House the United States recognized that the com shipping could be halted in an instant, plex could be used for mmtary purposes, either directly or by proxy, if the Soviets Armed Services Committee. the sales had been approved on tJhe assump wished. What is needed is a system to This plant was built in large part by tion that the plant would be used main1y to guarantee the international legal princi American corporations transferring produce civilian trucks. ples of free and safe passage on the open American technology. The export li But the Defense Department officials seas and establish procedures for deal censes needed to build the plant were acknowledged that the American Em ing with emergencies involving ships in approved on the assumption that the bassy in Moscow, in a. report to Secretary distress. Given the fact that the United U.S.S.R. would not violate the licensing of Defense Harold Brown in March, said that, in l:ine with Soviet practice, the plant States has been the leader in the Asian agreement and divert the technology was being used for both civil and mmtary Pacific since World War II, it is expected for its military machine. The facts are production. by our allies that we should take the now in, and it is obvious that the Unit The embassy report, which was obtained lead in advancing any proposal to assure ed States made a mistake in trusting the by The New York Times, said that a team of sea lane safety in this region of the Soviets. Ingersoll-Rand engineers had visited the world. The Kama River episode is one in a plant earlier this year and later told embassy Next month, representatives of the long series of cases which illustrate the officials: "From what we saw, it appears that need for a substantial revision of the many of the engines are going into military United States, Australia, and New Zea trucks and other mmtary vehicles, such as land will meet for the annual ANZUS 1969 Export Administration Act which armored personnel carriers and assault ve Treaty conference. I have recommended governs U.S. export control policy. Un hicles." to the President that prior to the con fortunately, the bill currently reported "In approving the sales, our basic consid ference, the United States seek agree to the full House (H.R. 4034) does not eration was that if we did not make the sales, ment to invite representatives from adequately address the problem of So other Western nations would," a Pentagon Japan, the United Kingdom, and France viet diversion of American and Western official said. to observe the proceedings. This would technology for military purposes. H.R. Nevertheless the reports of military pro 4034 should be amended along the lines duction have fostered opposition in the seem to provide an appropriate oppor House to the amendments to the Export Ad tunity to advance the proposal for a co outlined in H.R. 3216. I commend this ministration Act, which a.re being offered by operative sea lane safety system for pre article to the attention of each House Representative Jonathan B. Bingham, Demo liminary consideration 'by these six na Member: crat of New York, and others. The amend tions. SOVIET TRUCK PLANT LINKED TO MILITARY ments would speed the process of approying The purpose of expanding the ANZUS (By Richard Burt) export licenses by no longer requiring the meeting by the addition of three ob Commerce Department to approve sales on a. WASHINGTON, May 23.-United States in case-by-case basis. Similar legislation ts be servers would not be to alter or supplant telligence officials said tOday that a Soviet ing sponsored in the Senate by Adlai E. in any way either the ANZUS Treaty of truck-manufacturing plant built with Stevenson, Democrat of Illinois. the United States-Japan Mutual Secur American help was producing engines for ity Treaty. Rather, the goal would be to milLtary vehicles. WOLFF OFFERS OWN AMENDMENTS estaiblish a separate new arrangement According to the officials, a. Central Intel The legislation is criticized by some mem ligence Agency officer, testifying at a closed bers of Congress who maintain that easing the through which these nations can _pro hearing of the House Armed Services sub granting of export licenses could work to en mote free and safe sea passage through committee, confirmed a. secret Government hance Soviet mmtary potential. As a result, out the region. This basically nonmili report that said some of the 50,000 diesel Representative Lester L. Wolff, Democrat of tary responsibility as not--indeed can engines produced annually wt the truck New York, and others are supporting their not--be adequately fulfilled through the plant were being installed in military own amendments giving the Defense Depart existing uncoordinated disparate mili vehicles. ment a larger role in the licensing process tary alliances. The witness Hans Heymann, who is the and restricting basic technologies that could be exploited for mmtary ends. The time seems ripe in the Asia Pacific C.I.A.'s national intelligence officer for po litical and economic affairs, did not say how So far, the Administration's position on the for an initiative that would bring major many of the diesel engines were being di amendments is unclear. Secretary of C'om naval powers of this region together to verted for mmtary use. merce Juanita M. Kreps is known to be press discuss the problem of sea lane safety. Officials of the Defense Department and ing for fewer controls, but she is being resist- 16128 EXTENSIONS OF REMARKS June ~ ·1, 1979 ed by officials in the Defense Department and billion to the West, a major portion to government. It is the group who have in the Wlhite House who would like to use th u 't d St t d t US · t grown fat on protective-type legislation, trade a.s Union.e a. lever in relations with the soviei banks.e m The e Panamanians a es an ° cannot· · pnva even e direct subsidies, government contracts, pay the interest, let alone any principal. or any of many other deceitful practices However it would be bad, if not totally where government is used to gain special help at the expense of someone else that A THIRD PARTY'S INTEREST IN THE destructive to the West, for them 'to de- PANAMA CANAL fault openly and massively on all these I am criticizing. In a moderate form, debts. Panama is obviously part of this this is known as interventionism for the group, and with pressure they can gain a benefit of business; and in an extreme HON. RON PAUL lot of favors from the West with the form, it is fascism. In contrast, a moder threat of bringing on an international ate form of government intervention OF TEXAS banking crisis. Behind the scene, there which promotes the welfare state is IN THE HOUSE OF REPRESENTATIVES is a frantic attempt to keep the fiat dol. liberalism, and in the extreme form it Thursday, June 21, 1979 lar system together for a while longer by becomes true socialism or communism. bailing it out with more massive loans It is not too difficult then to see why a • Mr. PAUL. Mr. Speaker, since I first leftwing dictator who uses government warned about the planned Panama from the IMF and the World Bank to the Third World nations. Again, who do coercion to enhance his political power Canal treaties in 1976 as a Congressman position by promoting welfare to the and again in a newsletter in 1977, I have you think gets stuck with the bill? The American ta~payer. working class negotiates an alliance with gained further insight into just why the a group who uses government coercion to American Government would pursue an These treaties were undoubtedly writ enhance its own position of money and idiotic course with a hoodlum like Tor ten by the banking and big business in terests of Wall Street. It is no secret power in the banking and business com rijos. Insane a.sit seems to most Ameri munity. cans, I believe it is understandable just that Torrijos is in hock to the Wall On the long run for both groups, it is how this all came aJbout. International Street bankers for nearly $2 billion. Nor is all power, politics, and money. The only blackmail, Power Politics, and an insati it a secret, although totally ignored by difference is the approach in gaining able greed for the money of the world all the managed news, that Torrijos ha.s some semblance of popular support. Both played a part in the transaction. provided a banking haven for the inter sides have erroneously accepted the The biggest hoax was the excuse that national bankers. Since 1970, when the notion that the coercive power of gov the treaties were necessary because of coalition of Torrijos and the bankers be ernment is legitimate, and they use it some benevolent conviction on the part came evident, the laws were changed to protect the international bankers. Be at their discretion for their own special of the American politicians. If this benefits. If one would accept the notion were so, the continued financing and in fore this, there were a few million dol that neither an individual nor govern direct control of the canal would not lars of assets in a few banks; and yet ment should be allowed to initiate force, have been sought after.and maintained. today there are 73 international banks interventionism, fascism, socialism, and A statement by Kissinger indicates the with assets of nearly $9 billion conduct.:. communism would not be possible. In ultimate goal of running the canal has ing business throughout the world. Tor thinking about it as a coalition of differ not changed, only the tactics used and rijos was unable to continue this partner ent farms of government force, it is then the method of financing have varied. He ship without an increase in cash flow, not all that surprising to find a Hitler said: since his debt service to the New York and a Stalin drawing up treaties of It is better to stay in more subtly and banks was costing him 40 percent of his induce Pana.ma. and the rest of the world budget. The New York banks needed mutual benefit, even if these treaties are to support our dominion than to stay in Torrijos to remain "solvent" in order to shortlived. nakedly and face the hostllity of the Pa.na. protect their direct loan investments as I believe, in reality, the canal is now ma.nia.ns and most other nations. "owned" by fascist-oriented, interna well as their special banking paradise. tional banking and business interests and Just about as fallacious was the argu The connections of Carter, and essen is merely managed by the Marxist ment thaJt; America must bow to the tially all his advisors, to the Chase Man oriented Torrijos dictatorship, with the threats of violence. A nation of our size hattan Bank and David Rockefeller have bills being paid by the American tax and military strength being badgered been widely published, even in the open payers-a rather sad set of circum about by a two-bit Marxist dictator who press like U.S. News & World Report. stances. drinks Coca-Cola with Castro and rules The boldness of those who once kept Further confirmation of this unlikely over a country with a population less secret the relationship between the rul partnership of business interests and a than the size of Atlanta is unreal. ing politicians and the big banking and left-wing dictatorship is the fact that the How a nation can protect its own in big business interests demonstrates an controversial Marine-Midland Bank has terest in a vital waterway by turning it arrogant display of confidence on their become "partners" with the Hong Kong over to the enemy and arguing it will part that is rather frightening. The tri and Shanghai Banking Corp., whereby lead to a less likelihood of violence in a lateral commission is no longer known this Far Eastern bank will purchase 51 period of international strife is so ridicu only by those who are knowledgeable percent of the stock of the New York lous it is an insult to one's intelligence. about international conspiracies, but is based bank. Interesting indeed, since it is The question we must seek an answer routinely mentioned in the daily news. the Marine-Midland Bank that acts as to is this: "Why did the Politicians not ~idence of its influence on the Repub the sole agent for the Panamanian Gov act like politicians?" When a pragmatic hcan and Democratic administrations is ernment for all its banking dealings in politician recognizes that the over all about us. Jimmy Carter's member the United States. Sol Linowitz was a whelming majority of ,the people oppose ship in the Trilateral Commission is director of this same bank prior to his a certain policy or piece of legislation, hardly a coincidence. becoming the chief negotiator for the concern for their political careers moti There was a time when I was baffled United States in working out the details vates them to do that which is most ex about apparent evidence that American of the new treaties. pedient and necessary to maintain their business interests aided and abetted left In addition to the direct relationship jobs. But with the Panama Canal Treaty ist organizations or Marxist govern of the New York bankers to the Torrijos vote, things were different. I believe this ments. I believe an understanding about dictatorship, we also find that there are vote reflects just who is owned and con the Panama Canal giveaway gives a clear backdoor advantages for business inter trolled by the Establishment; that is the example of how well these two groups ests not even mentioned in the canal big money and big business interests of can marshal the forces of government treaties. The Export-Import Bank, the the world. to the benefit of both leftwing dictator Agency for International Development, I can believe that a nonconspiratorial ships and big business interests. and the Overseas Private Investment President, if we had one, could be swayed First, it must be made clear that the Corporation will subsidize the Panama br the threats of the Third World na big business interests about which I am Government to the tune of $300 million tions. Threats of bringing down the compla.ining are not the large majority over the next 5 years. These are called ban~ing system of the West are quite of busmesses run by individuals who loans, but no one really expects them to possible. The Third World nations owe truly believe in the free market and re be repaid. The expense ultimately will somewhere in the neighborhood of $227 ject any special help or assistance from be laid on the American taxpayer, either June 21, 1979 EXTENSIONS OF REMARKS 16129 through direct taxes or through the their economy. I think it important that Others to be honored at the ceremony in invisible tax of inflation. The funds are the Congress recognize this by support clude Clark R. Molenhoff, Pulitzer Prize-win given with the specific understanding ing the bill. Without the ODS and CDS ning former correspondent for the Des Moines Register and Tribune; John L. Steele, that they must be spent on American program, our maritime industry will be senior correspondent for Time Magazine; goods; again, an indirect subsidy to at the mercy of cheap foreign labor and Charles Seib, press ombudsman for the American business interests who get to heavily subsidize foreign carriers. Washington Post; Dick West, Capitol Hill sell the goods to Panama at a profit. Finally, I ask Members to look closely humor columnist for United Press Inter Even though it looks like the canal is at amendments that will be offered. We national, and the late Richard Harkness of gone, hopefully our memories will not should not allow ourselves to be influ the National Broadcasting Co. be short. The participants in the give enced by so-called cost cutting amend The group will join such joul'1Il8.listic lu ments that will cripple the industry. Nor minaries in the Washington Hall of Fame as away should be removed from office. Not James Reston of the New York Times, Eric 1 cent of appropriation should be made should we accept amendments that im Sevareid of CBS, Howard K. Smith of ABC, for the transferral of the canal to the pinge on the right of shipping companies Richard L. Strout of the Christian Science Torrijos government. All foreign aid to engage in collective bargaining or to Monitor, Roscoe Drummond of the Los An should stop to Panama immediately. No work together through industry orga geles Times Syndicate, Robert J. 'Donovan of taxpayer-backed loan should ·be per nizations. Members of the shipping in the Los Angeles Times, Martin Agronsky of mitted to Panama. All usable equipment dustry should have the same rights that Public Broadcasting Service, Grant Dillman, accrue to farmers or fishermen or any Washington Bureau Chief of UPI; Helen should be removed from the zone and Thomas, UPI White House correspondent; not be handed over to the Castro other economic group. Marquis W. Childs of the · St. Louis Post Torrij os coalition. Past loans from the Mr. Speaker, I feel that this is a good Dispatch, the late Peter Lisagor of the Chi United States to Panama should be called bill and should be supported by the cago Daily News and the late Edward T. and collected with interest. House.• Folliard of the Washington Post. The passage of the Panama Canal Mr. Emory has been Washington cor treaties represents one of the saddest respondent of the Watertown Daily Times ALAN EMORY HONORED BY SIGMA since September 1951, and a member of The events in the history of the United States. DELTA CW Times staff since June, 1947. When the treaties are taken into He is a former member of the Standing consideration with our overall foreign Committee of Correspondents of the Con policy, it gives us a right to show concern HON. ROBERT C. McEWEN gressional Press Galleries and a co-winner for the security of our Nation. With the OF NEW YORK of the Thomas L. Stokes Prize with Editor Singlaub firing, the SALT II agreement, IN THE HOUSE OF REPRESENTATIVES Publisher John B. Johnson and Frank P. and the obsession of Paul Warnke to Augustine of The Times. Thursday, June 21, 1979 He was vice chairman of the national so unilaterally disarm, we have reason for ciety's Freedom of Information Committee deep concern. A policy of rational self • Mr. McEWEN. Mr. Speaker, a dis and is currently treasurer of the Washing interest dedicated to protecting our na tinguished member of the Washington ton Sigma Delta Chi Foundation. tional security would insure peaceful co press corps known to many of us in the Members of the Hall of Fa.me a.re chosen existence even with the non-peace-loving House of Representatives, Alan S. by the Washington Professional Chapter countries of the world.• Emory, has been elected to the Washing from nominees submitted by members after ton Hall of Fame by the Washington a screening by a special panel of existing Professional Chapter of the Society of Hall of Fa.mers. The society's national president-elect, Jean Professional Journalists, Sigma Delta Otto of the Milwaukee Journal, its execu CONGRESS SHOULD SUPPORT Chi. Mr. Emory has been Washington tive officer, Russell Hurst, an.ct Times Man MARITIME AUTHORIZATIONS correspondent of the Watertown, N.Y., aging Editor and Mrs. John B. Johnson, Jr., Daily Times since September of 1951. a.re scheduled to attend the June 27 function. Mr. Emory, dean of the New York press HON. DON YOUNG corps in ·Washington, will be inducted, HONORING ALAN EMORY OF ALASKA along with five other veteran newsmen, This newspaper is delighted that one of its IN THE HOUSE OF REPRESENTATIVES one posthumously, into the hall of fame own has been chosen to the Sigma Delta Chi Washington Hall of Fame. It is an honor Thursday, June 21, 1979 on June 27. well-deserved and recognition of his talents • Mr. YOUNG of Alaska. Mr. Speaker, Mr. Emory has distinguished himself as a journalist, of his work as a distinguished very shortly, the House will be consider during his newspaper career and is well correspondeillt in our nation's capital, and of ing H.R. 2462, the Maritime Appropria known as an astute observer of the ac- · his exceptional qualities as a human being. tions Authorization Act for fiscal year tivities of the Congress and the affects A veteran of 32 years with The Times, Mr. 1980. This legislation, reported by the of its deliberations upon the State of Emory began demonstrating his immense New York. I do not know of any other ca.pa.cities as a newsman upon joining this Committee on Merchant Marine and publication directly after completing studies Fisheries, of which I am a member, pro newspaper the size of the Watertown at Columbia's School of Journalism. Within vides the necessary funds to continue Daily Times which maintains a full-time four years he had moved from correspondent the Nation's ship financing program. Washington bureau to provide its 42,000 in the Massena bureau to The Times copy I would like to join with my colleagues subscr\bers with indepth coverage of the desk as staite editor and then to Albany as from the Merchant Marine and Fisheries Washington scene. His election is a our legislative correspondent before moving Committee in supporting this bill. H.R. tribute to both Mr. Emory and the Times. on to his Washington assignment. I extend my congratulations and best Few on any newspaper can equal his grasp 2462 authorizes funds for various pro of politics as practiced in the capital. He has grams, including the operating differen wishes to Alan Emory, his charming been active in the society which will induct tial and construction differential sub wife, Nancy, and to John B. Johnson, him on June 27 and in the National Press sidies. These programs were established editor and publisher of the Watertown Club. He will join a most select group, evi by the Congress in 1936 and have been Daily Times. dence in itself of how greaitly he merits this revised and expanded as the needs of I am pleased to call to your attention honor. We congratulate him. In so doing we our maritime industry have grown. a June 13 Times story which reports on also extend those same congratulations to his his election, as well as a June 15 editorial wife, Nancy, who has been such a great and I know that there is concern among vital pa.rt of his life.e some Members of this body that we which comments upon the honor: should not spend money on the maritime REPORTER HONORED BY SoCIETY industry. Let me remind you that our WASHINGTON.-Tile only national profes PERSONAL EXPLANATION Nation was built, and continues to thrive, sional society encompassing all branches of because of the maritime industry. For journalism has elected Times Washington Correspondent Alan S. Emory to its Wash HON. ELIZABETH HOLTZMAN example, my own State receives a large ington Hall of Fame. percentage of its necessary goods via OF NEW YORK The Washington Professional Chapter of IN THE HOUSE OF REPRESENTATIVES ocean vessels. Southeast Alaska, which is the Society of Professional Journalists, Sigma an insular area, is served almost ex Delta Chi, wm induct Mr. Emory and five Thursday, June 21, 1979 clusively by the maritime industry. Other other veteran newsmen, one posthumously, States, such as California, rely on ocean into the Hall of Fame at a reception at the e Ms. HOLTZMAN. Mr. Speaker, I was industries for a significant segment of National Press Club Wednesday, June 27. unable to be present for the following 16130 EXTENSIONS OF REMARKS June f2'1, 1979- vote. If I had been present, I would have a given year had to go up to 27.5 mpg in 1985. wALTER WRISTON ON THE EURO voted as indicated: The government mandate said nothing about CURRENCY MARKET On June 15, 1979: Rollcall No. 243, how to improve the fuel efficiency of cars. It said only what the result ~ust be and "yes."• developed systems for measuring car fuel HON. JOHN J. LaFALCE efficiency. OF NEW YORK Car makers groaned that it couldn't be SYNTHETIC FUELS done especially because polluting exhaust IN THE HOUSE OF REPRESENTATIVES emissions had to be reduced too. They said Thursday, June 21, 1979 Americans wouldn't buy the cars. But the HON. SILVIO 0. CONTE government held fast. Engineers were • Mr. LA.FALCE. Mr. Speaker, perhaps OF MASSACHUSETTS brought back into the front room in Detroit the least understood, yet very important, IN THE HOUSE OF REPRESENTATIVES and a revolution in American car design international economic factor is the euro followed, which is illustrated by the GM currency or euro-dollar market. This Thursday, June 21, 1979 X series of front-wheel-drive cars. Without market encompasses $900 billion in de •Mr. CONTE. Mr. Speaker, this coun this mandate by the government, where posits of dollars, marks, and Swiss francs try can ill afford not to take positive would Detroit stand today since buyers put in various non-U.S. financial institutions. gas mileage high on their requirements in There has been growing concern among steps now to break the OPEC strangle a new car? Imports are more fuel efficient hold. The price of their oil is now over and set a record volume of sales last month United States and West German financial $17 a barrel, rising at an increasing as U.S. car production dropped 10 percent. and political leaders about the nature and rate. The OPEC nations are scheduled We can reduce oil imports in the same way extent of the euro-currency market, be to meet June 26, at which time they by creating a synthetic fuels (syn fuels) in cause it essentially lies outside the con will undoubtedly add at least another dustry based on our abundant reserves of trol of any one government or interna $2.50 per barrel to their prices. coal and oil shale. Alcohol from crops can tional agency. In order to obtain more Although the United States apparently contribute .too. information about this important mar lacks the reserves of crude oil that the The government should require oil re ket, the Banking Subcommittees on Do Middle East claims, it does have large fineries to use synfuels for a rising percent mestic Monetary Policy and Internation amounts of coal, shale, tar sands, and age of their feed into the refinery, which al Trade, Investment and Monetary Pol farlll crops available for it to develop produces gasoline, jet fuel, heating oil and icy will be holding joint hearings in the other products. It should make them pay a near future on the euro-currency market. as an energy alternative. These large penalty if they fail to meet the required syn supplies can be the source of our in fuels quota. The penalties should be high On June 11, the distinguished chair· dependence from the OPEC petroleum. enough to be a real incentive, for example, man of Citicorp, Walter B. Wriston, ad This country must commit itself now twice the price per barrel the refiner pays dressed this subject in a thought-provok to the development of synthetic fuels for conventional oil. ing speech before the International Mon from these deposits. The government must do two other things etary Conference in London. I would like to get the synfuels industry moving. First, to share this speech, which is entitled The urgency of the energy situation it must guarantee not to reduce synfuels "Information, Electronics and Gold". requires a Manhattan project type of quotas, because those who invest billions to with all of my colleagues. endeavor to create this new energy re build synfuels plants must be protected The speech follows: source. The U.S. Government must fi against loss of the synfuels market in the un nance this effort to create a synthetic likely event that another Saudi Arabia. ts INFORMATION, ELECTRONICS AND GOLD oil industry capable of producing one discovered and conventional on prices fall. (By Walter B. Wriston) half million barrels a day within 5 years The other thing the government must do is In 1943, Wendell Willkie published a book and 6 million barrels per day by 1990. to greatly expedite the procedures for acquir entitled, "One World," arguing for the con South Africa, Brazil, Canada, and other ing sites and permits to build and operate cept that the fate of each nation is inextric very large plants of a new kind. We might ably intertwined with that of every other. To countries have made substantial prog still have no oil from Alaska if the govern day that thesis, which seemed nothing more ress in this regard. Yet to date, the ment had not acted to clear .the way for con than a dream in the midst of the second United States has virtually no capacity struction of the Alaska pipeline. World War, has become a truism. The soar to produce synthetic fuels. Even a crash synfuels program could not ing vision of Monnet in designing the Com Mr. Speaker, we must show OPEC that begin to produce a flow of synfuels in less mon Market, the birth of the United Na we do not intend to sit idly by while than five years. But now we must take the tions, the World Bank and the International they price the industrialized Western steps necessary to reduce our oil import Monetary Fund all moved us toward one World into a depression. The costs of vulnera.b111ty. world. But swift ras were the politicians, The government should require 011 re technology has moved still faster and such a project will be high, but we need fineries .to use synfuels for 1 percent of their further. this commitment by government as a feed in 1985 rising to 10 percent by 1990. This Today, technology has combined with fi national economic insurance policy for would require 4 synfuels plants of 50,000 nance in a new and unique way that makes the decades to come. barrels a day costing $1.5 billion ea.ch by 1985 obsolete some of the old ideas of compart I would like to call to my colleagues' and 40 plants by 1990 producing synfuels at mentallzed national markets, in much the about $35 a barrel. This based on refinery same way that the advent of the tank in attention an article in the Washington World War I and air power in World War Post on June 18 entitled "Clearing the feed at 20 million barrels a day, half of which is imported. If growing demand increased II changed the concept of mm tary power. In Way for Synthetic Fuels." It is written by refinery feed, more plants would be needed. advancing this thesis, I am aware of the fact two eminent professors from Massachu Pa.rt of the synfuels output is synthetic na.t that General Billy Mitchell, who championed setts Institute of Technology: ural gas, which should begin to replace the theory of air power, was court-mrartialed for his trouble. It is also true that when the CLEARING THE WAY FOR SYNTHETIC FUELS natural gas. Thus 50 to 60 plants might be idea of using a tank in warfare was presented (By Hoyt C. Hottel and Carroll L. Wilson) needed to produce 2 mbd of liquids, whlcl:I now amounts to 10 percent of our oil needs to Lord Kitchener, Secretary of War, he dis We rely on imports for half our oil. We missed it as "a pretty mechanical toy;" and are dangerously vulnerable to reductions or and 20 percent of our imports. concluded, "The War will never be won by interruptions in the flow of this oil from Forty synfuels plants would cost $60 bUlion such :machines." The failure cf the estab the Middle East. We know from Iran .that in 1979 dollars. The mines and transportation lishment, any establishment, be it the m111- such reductions can come swiftly and unex system to supply the necessary 250 m1llion tary, political, financial or even scientific to pectedly. Other importers, such as Western tons of coal would cost another $10 to $15 accept an idea that disturbs the old learning Europe and Japan, are even more vulnerable billion. All of .this investment would be pri is a recurring theme in history. because they get most of their oil from the vate capital-none would be supplied by the Ortega y Gasset opened one of his books Middle East. How can the oil importers re government. with this sentence, "In June 1633, Galileo duce their vulnerability? The customers for synfuels would be the Galllei, then 70 yeairs of age, was forced to We have a good model in this country. It refiners who would buy the best synfuels at kneel before the Inquisitional Tribunal of was the way we created a market for energy the best price, which is just what the com Rome and renounce the Copernican Theory, emcient cars. The government set targets petitive private market brings a.bout. Choice a concept which was to make possible the for gasoline efll.ciency, which car makers had of process and product mix would cease to modern science of physics." So politics were to meet or pay large penalties. When the be a matter for decision by government bu out of phase with science even in the 17th program began in 1975 cars averaged 13 miles reaucrats. Instead, sophisticated buyers century. per gallon. In a series of steps over 10 years would determine products and prices that Today a new combination of science and the average fuel emciency of cars made in should ·be set by the ma.rket.e finance produces some unease, because often June 21, 1979 EXTENSIONS OF REMARKS 16131 the consequences of scientific discoveries one authoriz-ed them, and no one controlled Eurocurrency market has been free has en are not always anticipated. It is a well-es them. They were fathered. by controls, raised abled it to act as a safety valve to the fi tablished principle that a change of degree by technology and today they are refugees, nancial tensions and pressures inflicted by if carried far enough-may eventually be if you will, from national attempts to allo varying monetary and fiscal policies and come a difference in kind. In biology this is cate credit and capital 1·or reasons which have such shock events as the OPEC oil price how new species are created and old ones little or nothing to do with finance and eco increases. die out. It can be argued that the speed nomics. In his classic work on the gold exchange of electronic information flow when it The growth of these markets is a.Iso a per standard, Jacob Viner wrote that state inter reaches sufficient velocity changes the na fect example of unpredictable second:ary vention in private international markets ture of the transaction itself. Speed is what consequences flowing from primary actions. leads "with a. certain degree of inevitab111ty transforms a harmless lump of lead into The United States of America, by prohibiting to the injection of a political element into a rifie bullet, or a collection of snapshots the payment of interest on demand deposits, all international transactions." The pres into a motion picture. When speed is com forced dollars to seek returns in other areas, ence of this political element, he noted, nec bined with size in the financial markets, and they found these returns in Italy for essarily implies a "marked increase in the the numbers may rise to a. point where they the financing of international trade. From potentiality of economic disputes to generate reach a critical size and the market that's that modest beginning and without a posi international frictions." Politics and diplo created becomes totally new and an integral tive policy decision on the part of any gov macy will be substituted for more routine part of our evolving world order. When this ernmental authority, a. Eurocurrency mar methods of settling commercial and eco phenomenon is truly understood, the world ket estimated in gross terms at over $800 bil nomic disputes. can adjust, but first we must understand lion transcends national borders to finance If governments and central banks now the magnitude and nature of change. the world's work. The market's strength, intervene more actively to control interna People of all nations have long since ad resiliency, and depth has confounded its tional credit markets, it cannot be doubted justed to the grim reality that a.n inter critics and surprised even its supporters. that another fruitful source of political con continental ballistic missile can travel from At the time of the OPEC embargo that flict among governments will thereby be the Soviet Uni'on to the United States, or ·a market transferred the greatest sum of fi opened up-along with the negative effects reverse path, in about thirty minutes, carry nancial assets in the shortest timeframe in of such intervention on the economic effi ing enough explosives to render our society the history of the world with only minor ciency of these markets. unlivable. We now have a less visible but casualties. It was an absolutely stunning per Our current banking network, with its perhaps equally profound challenge to the formance. And all this activity was handled Euromarkets ·and its automated payments unlimited sovereign power of nation-states by a. market set in motion inadvertently by system, is of course not the cause of the in the technical reality of global communi a. government merely trying to intluence the world capital flows, but merely a means of cations. Satellltes have made communica movement of credit and capita.I within its transmission. It has become almost a. book tion costs almost insensitive to distance. own borders. The Eurocurrency market entry system for pa.rt of the world. In fa.ct, There has been steady elimination of eco proved conclusively that, although the world Governor Wall1ch has called it "the ultimate nomic and technical barriers to the instan may stm be divided poli.tically, it is one eco in intermediation between lenders and bor taneous exchange of information among peo nomically and financially. rowers, between savers and investors." ples. This information is not always wel Even before the advent of modern com This means of transmission of information come and the political implications are enor munications, governments usually found and money is a. primary ca.use of the fact mous, even though barely visible on the that attempts to control capital movements that international banking is a system de horizon today. The luxury that some na failed in the long run. Now it is clear they signed by fate to exist in a. certain state of tions have permitted themselves of tight also fail in the short run. economic tension, with all governments, in censorship has become increasingly diffi America's ill-fated experiments with a so cluding the most democratic. This tension is cult. Satellites can now pump information called interest equalization tax provide an an ancient phenomenon dressed in elec from the skies to millions of transistor radios other example. Designed to assist America's tronic clothing. held Ln the hands of people who live in be.lance of payments, it gave instead great Observing the achievements of the bankers places which were once thought of as remote impetus to the Eurobond market and did of Amsterdam during the 17th century, a areas. It is not only news that is affected, little or nothing for the U.S. be.lance of French philosopher, Charles de Montesquieu, because in the high-speed global transmis payments. In 1977, Eurobond issues placed congratulated them for having made it im sion of digital data, the computer switch in the public a.nd private markets totaled possible for the princes of the world secretly ing centers of the world make no distinc just under $20 billion. Once again, one na to devalue their coinage. "The standard of tion between the front page of the Wall tion's policies had unintentionally created money can no longer be a secret," he said, Street Journal and the general ledgers of a. new international institutional market of because the banker has learned "to draw a. branches of multinational banks. In fact, such usefulness that it will not go away. comparison between all the money in the it ls this technology that has made us a The extent of capital flows depends only world, a.nd to establish its just value." community in the literal sense of that word. on the number of sophisticated investors. Montesquieu did not .think this activity Whether we are ready or not, mankind now What it all adds up to is a quantum jump would increase bankers' popularity with gov has a completely integrated, international in the efficient channeling of the world's ernments. And he warned of stm another financial and informational marketplace ca ca.pita.I flows. There are those who do not d·anger. He noted that, by extending credit, pable of moving money and ideas to any find this a.n altogether desirable develop banks had created a. new species of wealth, place on this planet in minutes. ment. The argument is heard that the very and that throughout history the princes of But the technological revolution poses efficiency of the system undermines or com this world have rarely approved of wee.Ith thorny politcial problems. Since the digital plicates national monetary policy in par circulating outside their own control. There information flowing in cables or moving ticular countries. are countries, he observed, "where none but through space will include such things as Behind that argument lies a complaint the prince ever had, or can have, a. treasure; television shows, telephone conversations, and by some governments that the existence of and wherever there is one, it no sooner be the stock market averages all mixed together a free market disciplines them when they comes great than it becomes the treasure of in a single stream, it becomes increasingly engage in over-expansionary policies. The the prince." Today there are few princes left impossible to maintain any of the traditional modern stream of electrons also carries bits in the world but only the vocabulary has distinctions between transmissions carrying of digital information increasing the mobil changed. Governments now talk of "state news, entertainment, financial data, or even ity of money, making it more difficult to less money" instead of treasure, but the ignore the one-world nature of financial thought remains. There are still many coun personal phone calls. This intermixing of life. de.ta makes it even harder to pass laws re tries where private banks are not welcome. stricting the transmision of one kind of in The old discipline of the gold standard Banks are unwelcome in Communist coun formation without impinging on the others. has been replaced, in fact, by the discipline tries today for precisely the reasons Montes Streams of electrons are either free to move of the communications revolution. While quieu suggests: they furnish objective stand across national borders, or they are not. the new control is not as harsh as the old ards of measurement not ea.slly subject to What we are witnessing and participating automatic adjustment of gold shipments, political pressures, and the banking system in is a true revolution, and like all revolu it is in the end almost as certain. It is the enables wealth to circulate in response to successor to the Bretton Woods arrange the true economic needs of the world, and tions it has and: is creating political unease. ment, with its pegged rates, where the If a. nation-state cannot control what its citi not to political ukase or exped!lency. It is a zens see and hear, a little of the power of the marketplace punished overly inflationary i.ystem that no absolute monarch of Montes state has slipped away even though a govern countries through the loss of reserves. And quieu's time, or totalita.ria.n government of ment might still force a modern Gal1leo to even then, countries endeavored to main our own time, could or would live with. Be renounce scientific fact or decline a Nobel tain their freedom to infiate by imposing cause once a. government accepts that sys- Prize. exchange controls. Today's efforts by some tem, it can no longer be absolute. , Today, except in a very few instances, na governments to apply reserve requirements Today this same phenomenon can be ob tional borders are no longer defensible or other controls are only intended to mute served as the Euro-market handles billions against the invasion of knowledge ideas or the market's response to wide differences of dollars, Deutsche marks, and other cur financial data. The Eurocurrency m'arkets'are in domestic economic policies. Such moves rencies subject to the jurisdiction neither of a. perfect example. No one designed them, no carry with them grave risks for global fi the country which issues the currency, nor nancial stability. The ve.ry fa.ct that the of the country where the transaction takes CXXV--1015-Pa.rt 13 16132 EXTENSIONS OF REMARKS June 21, 1979 place. It does no good to wish that the ENERGY RESOURCES OF cial private sector program for this paper technology had never been invented, or that INDIAN TRIBES tribe by creating tax incentives for business it would go a.way. It has been invented, and and industry-letting them deduct all legal it won't go a.way. Just as the high seas a.re fees as business expenses. One group writes free to carry the world's commerce--state. HON. MORRIS K. UDALL the regulations; another group fights them; another group interprets them; another less waters if you w111-so the Euromarkets OF ARIZONA are stateless markets to clear the world's group dis;putes the•lr meaning-and they financial transactions with a. speed and effi IN THE HOUSE OF REPRESENTA'TIVES keep full employment going by creJ.ting ciency unmatched in history. Thursday, June 21, 1979 more and more regulations and more and Modern technology has welded us into an more problems of interpretation and appli integrated economic and financial market •Mr. UDALL. Mr. Speaker, on May 22, cation. place which governments-and all of us 1979, I was invited to attend a luncheon We are not accustomed to the ways of this must also learn to live with. The clock can meeting of the National Energy Re paper tribe, but we are told that, to become not be turned back. But we ln the financial sources organization. The subject of the truly aicculturated and civllized, we must community should probably be spending meeting was the development of the vast emulate their ways and try our best to pro more time ma.king the nature of this new energy resources of Indian tribes. A sig duce similar artifacts. My problem is that phenomenon clearer to the wo!ld's opinion I have never discovered how to cook a regt.. . ma.kers. nificant portion of all strippable coal in latlon, eat a regulation, wear a regulation The beneficient results of low-cost, tnsta.n the west is found on Indian reservations; or how to wrap a regulation around me to taneous Inter-national financial transactions, approximately 40 percent of all known keep warm-but I hope to learn these mys which we have almost be~un to take for uranium deposits in the United States is terious arts before I leave this pow-wow. granted, are by no means appreciated in every on Indian reservations; and some Indian I am told that learning the arts of the quarter. We see laws designed to control tribes have significant oil and gas and paper tribe i'S very important for the sur transborder data flows being passed, and geothermal resources. vival of my people, for we will be called in many more are just over the horizon. All The luncheon speaker was Peter Mac competent and corrupt if we do not master have laudable purposes-protecting privacy, this art. To demonstrate the importance of for instance-but there are some who sus Donald, chairman of the Navajo Nation this art, I am told about the st-0ry of Lock pect that, whatever ,the stated objective, and chairman of the Council of Energy heed and the aerospace industry. It seems proposed regulations of transborder electro Resource Tribes. Mr. MacDonald's, once upon a time, this thing called Lockheed nic data flows are also coming more and speech, although slightly tongue-in had something called a multi-million dollar more to look like old-f.ashioned economic cheek, is a forceful, revealing statement overrun and that it was in danger of extinc nationalism. of the position of the Indian tribes re tion by a procefs called bankruptcy, but As banks have grown into a global, inter garding the development of their energy because it understood the ways of the regu connected financial network to meet the and other resources. lation writing tribe, it wws placed on some needs of a. global marketplace, fears have thing called the endangered species list been articulated that the system may be · Mr. Speaker, this speech is instructive. along with other animals that I know, such vulnerable-that it may be only as strong not only w].th respect to the development as the whale, and the baby walrus, and it as its weakest link. This "weakest-link syn of Indian-owned resources, but also with was fed and nourished and protected with drome" proved unfounded in the Herstatt respect tJO the general development of many more papers called contracts and a crisis, but it exists-not only with regard this Nation's resources. Therefore, I am special transfusion of paper called money. to the payments systems, but it is used to inserting his speech in tJhe RECORD for the But we do not understand your ways and make whatever point is the current topic benefit of my colleagues. that has caused us many problems-and per of concern.· The speech follows: haps it would be useful to describe some of It is pointless to debate whether that per those problems in the hopes that you would ception is wholly true, partially true, or not FAIR MARKET VALUE OF THE TNDIAN RESOURCES share with us the wisdom of your ancestors at all true. Whether or not the system today IN THE NATION'S ECONOMY and the magic potions of your medicine is as fail-safe as it should be, it is not per I a.ppreciate being invited to speak at this men. ceived as such by some people. The motives gath:erlng. It is important itha.t we try to We, the Native Americans, face many prob of these groups range from a philosophical increase our understanding of each other lems as we try to survive; to shape our own distrust of what might be termed economic and that we speak with respect for ea.ch destiny, and to preserve our own culture and free speech in a truly efficient market, to other. traditions. We live upon land that contains genuine worries about the quality of credits So, instel.d of d~ribing the Cert Tribe or vast natural resources-fish, wildlife, coal, being financed. Others, watching the world the Navajo Tribe to you, I should describe uranium, oil, water, gas and other minerals. wide inflation eat up the world's substance how you appear to us-particularly how you We wish to protect the land and its natural look for something or somebody beyond their as government officials appear to the Native beauty; we wish to develop these resources own national fiscal and monetary policy to Americans. in a way that will permit present generations blame. Whatever the motive, and regardless We think the white man's culture is a to survive and future generations to live of whether the disquiet is real or imagined, strange one. You have a tribe whose ances without being dependent upon others. We until that perception is changed, our doors tral home is on the banks of the River wish to create jobs and industries on the will remain open to eager visitors who volun Potomac that lives entirely on pa.per. I call reservation, and ·therefore we are trying to teer to help protect people's assets when them the paper tribe. They eat paper, sleep use the resources and governmental author what they really have in mind is controlling paper and each day they produce more paper ity we exercise to ~ecure income, to build the flow of capital. with words, lots of words. And the only real shopping centers and economic growth cen Since this tension between those who see ity they know a.re those words written on ters, and to create sources of income for our the benefit of intermediation on an inter pa.per. They have a native craft which tliev people. We need to find ways of securing help national scale and those that don't will con are very proud of-they are called regula without surrendering our sovereignty, our tinue, it behooves us in the private sector tions-and just as our people are very proud independence and without giving away our to make the system as efficient and safe as of t.ih.e rugs and silver work we produce, so resources which is the only guarantee of a possible. We should make sure that the pay this tribe is very proud to demonstrate how secure future which our children and their ments mechanism functions through good they are producing larger and larger sets of children have. times and bad, that reciprocal currency lines regulations and other kinds of artifacts are in place and that there ls a well-ordered called guidelines, instructions to the field, For a long time, we just gave our resources cooperation with the world's central banks manuals, position papers, option papers, and away--or to be more precise, the BIA gave which are themselves a major user of the so on. I am told that each day this tribe them away by signing mineral leases. And market. produces several thousand pounds of regu that meant that companies came on our If those of us who are qualified to deal lations, and this paper tribe ls now looking land, stripped it of its wealth, paid us a pit with improving the market do not respond, to market this product just as we market tance, gave us no jobs, taught us nothing others will fill the vacuum. Much of what our own handicrafts, and they believe that about mining and then left-often leaving we must do ls make more explicit and more the Indian Reservation is a. perfect market behind huge and ugly scars upon the land, visible practices which already exist. As the for their arts and crafts. sometimes leaving pollution and worse st111, perception grows that we live in a world of We, the American Indians, are not of this vast amounts of poisonous radioactive mate limited resources and of unlimited demand, tribe of regulation makers. In our hogans we rial. We have now declared a moratorium on the world problem continues to be how to did not watch our fathers and our mothers such activities and have tried, by creating make maximum use of these resources. Help writing regulations-I don't know why, but the Council of Energy Resource Tribes to get ing to solve that problem has always been that's not what they did. They herded sheep the knowledge and expertise needed to bar a banker's basic business-and with the and carded wool; some made jewelry, some gain with the utillty companies, and to lay tools now available, we have an opportunity did other things. But not even our medicine the foundation for joint ventures that wlll for doing that job with a proficiency never men made regulations. And I am told that give us the knowhow, the management skills, seen before in history. this paper tribe has a special public works the technical skills and the access to capital. In fact, we are already doing it. What we program for the regulation-writing tribe. In this connection, we need to make clear have to defend, is our right to continue to they call it the Civil Service, or the Merit that when people talk about America's do so.e Selection System, ·but they also have a spe- scarce resources, they seem to treat Indian June 21, 1979 EXTENSIONS OF REMARKS 16133 resources as if they were pa.rt of the public ea.ch other ·names; we stalemate each other; its future-your country-but my country domain, like the offshore oil deposits. our finally, in frustration, you resort to law, your too-white man and Native American both. land, our water, our resources are at least law, taking comfort that it calls for just And we understand tha.t if we are to get on as private as that of any individual or cor compensation and due process of law because with the future, we must stop lamenting the poration. They are not up for grabs; we you have no patience or understanding for fa.ct that we had lax immigration laws a.nd happen to own those resources collectively our seeming stubbornness. And we have no shaky border patrols. We will have to find as a people-not individually, and the United trust in a process of fairness that is not other ways of getting on with the future than States happens to be the trustee of lega.l grounded in an understanding of our val accusation and recrimination. title to those resources. Somehow, that ues; · an understanding of our culture. And now, let us talk about the land-the doesn't come across to many people. But if So, let us talk a.bout the present and the Navajo perception, the Native American per· Exxon owned the reservation and chose to future propositions, since the past is irrepar ception of land. delay its development or develop it on its ably tangled up in accusations and counter You must understand that we have several own terms, you would not see the same re accusations. Let us first admit-to ea.ch other concepts of land-not one. sentment that I sense when we insist on our at least-in the spirit of honesty that we do A. The surveyor's definition-I am an engi right to develop our own resources in our not really mean fair market value for Indian neer and I am familiar with the definition of own way. This brings me to several points resources. Why? Because: land in terms of acres, meters, milestones, of critical importance regarding the ques A. Our resources will never be put up for and boundaries. Our land base-in these tion, "How much is the Indian willing to sell sale on the open market because we have a terms-has shrunk from 138 million acres in its resources for?" In other words, what is trustee who determines whether or not we 1887 to 55 million acres in 1966. As we have the market value? can put it on sale and to whom we can offer seen in Ala.ska., and in Maine, there is no Allow me to start with your definition of it for sale and what price we can accept great enthusiasm for attempts on the pa.rt of "market value" in the hope that if I adopt for it. Native Americans to expand that land base. your terms, you may come to an understand B. It will never be offered to all bidders Most of us seek simply to make sure it ing of mine. but only to some bidders. This becomes much doesn't contra.ct. I consulted an appraiser the other day who clearer if I simply say to you that the United B. The economist's concept-we depend gave me the following definition of market States Government would never permit us to upon land as a source of subsistence-of value: sell our land and our resources to the United food, shelter and income for survival. We face "Market value is the highest price ex Nations or to the World Bank or to the Or problems of overgrazing and drought, brutal pressed in terms of the money the property ganization of American States-even if, in winters and dry summers. will bring if exposed for sa.le in the open return for such sale, we could obtain an c. The economic developer's concept-land market, with a reasonable time given to find exchange of land together with the invest as the bas-is for future economic and social a purchaser, buying with a full knowledge ment capital we would need to become self self-sufficiency. I have become somewhat of all the uses and purposes to which it is sufficient economies. I am not saying that we notorious for insisting that if we a.re to sell capable of being used, by a person(s) will could or would sell our land for that price the present, if we a.re to sell our resources, ing to sell to person ( s) willing to buy in the to such a buyer; I am simply saying that we the only fair market price ls that which will absence of compulsion, and both acting are not dealing on the open market and that insure a legacy to bequeath to our children without duress." American manufacturers who sell planes and when those resources are gone. What we have There are, I am told, several basic ways to arms and grain are dealing in a more open we must use as our only leverage to secure a estimate a figure that appraisers use; they market than we a.re-and they a.re certainly future for our people. include a look at comparable sales; they not dealing in what they would call an open D. The conservationist's viewpoint-we re compute replacement value; and they look market. gard land as a resource to be protected for its at something they refer to as "best a.nd high c. It is doubtful that we can ever be willing beauty; we regard the balance of life as est use." sellers of land, acting without duress or in something to be preserved. If we are to take your definition seriously, the absence of compulsion. We have to live 5. The religious concept-land for us em then I must say that there has never been and eat and subsist during the time we wait bodies a sacred relationship between man a fair market price set upon Indian resources to sell our resources at the best price-and and his universe; land is not to be defiled, and there probably cannot ever be! The only the persons who control the terms of the sale desecrated or cheapened. thing that there can be in the eyes of the also control our supply of food, our medical Without dwelling on ea.ch of these con Indian is some form of expropriation in the care, and the education of our children. cepts, I wish to spend a few minutes on land form of something which you label a sale, D. It is doubtful that we will ever know as homeland and as holy land. and which we label a condemnation proceed what the seller as well as the buyer should The American mind ls capable of grasping ing. In other words, the sovereign declares know; Le., the uses and purposes which our the notion of a holy la.nd in Jerusalem, that the public interest in use of a piece of lMld and resources are capable of being used. Mecca, the Vatican-but not northern New land exceeds the right of the individual prop We consistently lack the technological know Mexico or Arizona.. erty owner. Then, at best we are talking how, the independent experts, a.nd the a.b111ty If I asked some of you what the fair market a.bout just compensation to be provided by to project into the future. SO when we ·sit price of Israel is-and others, what the fair due process of law. down and talk to the big mineral and oil market price of the United States is-and I personally prefer the notion of market companies, we have our one lawyer-a.Ild they some of you what the fair market price of value for it assumes: have thirty; we have an outdated study by Washington, D.C. is-you would look at me The absence of compulsion; the Bureau of Land Ma.naga.ment-and they as if I had lost my sense. "Don't you under Both parties acting without duress; have their geologists and engineers and ex stand,'' you would say, "that some things a.re Full knowledge of all the uses and pur perts by the dozens. In short, we don't know not for sale." poses for which the property is capable of what our resources might be worth because And I would reply to you in the words of being used; we don't even know what we are selllng the Indian peoples: Exposure for sale in the open market; and can't find out. "Is not the Sky a Father and the Earth a Exposure for sale for a reasonable period of That's not your fa.ult. And too much of the Mother and a.re not all Living Things, with time. bitter rhetoric of the past has been with feet and wings or roots their Children?" Using your own definition, let me submit each of us 1bla.ming ea.ch other for what we We regard our homeland as Holy Land I to you three propositions: must all recognize as facts of life: And you must understand that: The Indian has not received fair market No open market; Holy land is not subject to partition or value, past or present; No sale to all bidders; fencing; The Indian will not receive fair market No absence of compulsion or duress; Holy land is not a resource for exploitation; value in the future; and No knowledge of potential value or use. The Indian cannot receive fair market Holy land requires a special legal status- If these a.re facts of life, then we must full title held in trust to be honored above vaaue. learn how to live with each other; we must I know that most of you would rather stay learn how to respect each other and have and beyond normal forms of property owner a.way from the proposition that the Indian some appreciation of each other's needs. ship. has not received fair market value. So, I would like to take this occasion to So, where does that leave us? I was asked You know and I know that most transac talk about what we mean by fair market to speak, as a potential seller, about the tions between Indians and non-Indians have value from a Native American perspective. Council of Energy Resources Tribes. not been characterized by the absence of And then I would like to set forth some of And you did not come for a lecture on compulsion or without duress. the ways I think we c-an transact business Indian culture or religion. You ask, "What Conquest, occupation, and expropriation on more equitable terms and with less does he really mean? Is this some elaborate have entangled us all in the past and there rhetoric. sales pitch for jacking up the price?" is much resentment and confusion about First of all, you must take my word for it This is not the case-for some things are • this. The Indian claims theft; the white man that we are loyal Americans, that we ca.re not for sale. And if we are to treat each other claims that we a.re now demanding an exhor a.bout this Nation, that we understand its with re.spect, then you must understand that bitant price for our resources. Yet these so needs, that we desire to see it flourish and our way of life and our children's right to called "exorbitant prices" are based upon survive, and that I and others have in the main ta.in it is as precious to us as your the increased value that the white man's pa.st, and would gladly in the future, lay way of life and your children's right to main technology and capital have created. We call down our lives to protect this country a.nd tain it. So that when we speak to ea.ch other, 16134 EXTENSIONS OF REMARKS June 21, 1979 we must understand that we are all Ameri A few years ago, N. Scott Monaday, a Jews, who have been demanding permis cans. Kiowa, wrote: sion to go to Israel for a long time, in But 1f we are to trewt each other as fel "There was a house made of dawn. low Americans and as neighbors, then we an amoral and antisocial light." Attempts It was made of pollen and of rain, and the to discredit Ida continue with the latest have to come to some basic understandings. land was very old and everlasting. First, we appreciate the American dream. There were many colors on the hills. and threats by Soviet authorities. We are patriotic and we are loyal. We are the plain was bright with different This callous Soviet disregard for basic proud of this country-of America. And it colored clays and sands. human rights and the terms of the Hel WM your youth, the children of privileged Red and blue and spotted horses grazed in sinki agreement is intolerable. We in the non-Indian families who were far quicker to the plain, and there was a dark Congress must do all we can to exert condemn this country than our children. We wilderness on the mountains beyond. pressure on the Soviet Government so volunteered during World War II. But we The land was still and strong. It was that one day soon Ida Nudel, and the volunteered also during the Korean and beautiful all around." Vietnam conflict. I am not saying this thousands of other Soviet Jews, can be country has always been right. I a.m saying I do not know the fair market value of reunited with their families.• that the Indian has been consistent in lov that house. I do know it is the house we must ing this country-and he has been less all live in-together.e fickle in that love than others. Secondly, our culture is part of your FOOD STAMPS: PUT THE MONEY legacy. We joke about that and say, "Where WHERE IT BELONGS would John Wayne be without us?" But FIRST ANNIVERSARY OF IDA NU· we like to think that our culture is part DEL'S TRIAL ON JUNE 21 of what is perceived as distinctly and au HON. WILLIAM F. GOODLING thentically America around the world. And this Nation's treatment of our people and HON. EDWARD J. STACK OF PENNSYLVANIA our culture is in many lands the true test IN THE HOUSE OF REPRESENTATIVES OF FLORIDA by which our Nation's commitment to free Thursday, June 21, 1979 dom and democracy and equality is judged. IN THE HOUSE OF REPRESENTATIVES For better or worse, we are now bound up Thursday, June 21, 1979 e Mr. GOODLING. Mr. Speaker, in 1977 in the Sa.me future. If only out of self-inter Congress made certain reforms in the est, we must be committed to each other's e Mr. STACK. Mr. Speaker, all of the food stamp program in an attempt to aid survival-neither can flourish without the nations which signed the Helsinki Final the neediest families without expanding other; neither can win respect a.round the Act, including the Soviet Union, pledged the amount of Federal aid beyond rea globe without respect for each other at to do everything possible to reunite fami son. The food stamp program is designed home. lies sepaarted by political boundaries. Thirdly, we understand the right of to help low-income households buy more eminent domain. A grave na.tiona.l need may Because the Soviet Union is not living food for a more nutritious diet. at time warrant the use of this power. In up to that promise, I would like to bring When the reforms were adopted in the past, it has been invoked as an excuse to the attention of my colleagues the 1977, Congress estimated that an addi .1ust as national security has been invoked plight of Ida Nudel, on the first anni tional 3 to 4 million people would take as an excuse for invading other precious versary of her trial and sentencing. Ida part in the program under the new rules American traditions. Nudel was the "guardian angel" to the which eliminate the requirement that But national need, like national security, prisoners of conscience inside the Soviet families had to purchase stamps. Under can be real; we respect it. And we understand Union until she herself became a prison that our resources may be needed for na the current plan, the stamps are pro tional survival-and for the survival of our er of conscienc·e last summer. On June 21, vided at no cost thus encouraging greater way of life-your way, my way, our way. 1978, Nudel was sentenced to 4 years of participation by families at the bottom Fourthly, and finally, you have a reciprocal internal exile in Siberia for "malicious end of the poverty scale. At the same duty, to protect our future-to see to it hooliganism" after unfurling a banner t2me, 1.5 million people were expected to that the claim of national need is not with the words "KGB give me a visa." be eliminated off the top end of the pro biased-that our jvulnerabllity is not ex For Ida, the commitment to emigrate gram because it was determined these ploited, and that wherever possible, alterna to Israel has become deeper and deeper tive means are developed so that our re recipients could afford a nutritious diet and her work on behalf of other "Prison without food stamps. source.s and our hope for the future is not ers of Zion'' has made her greatly loved treated as the most expendable. As you know, it is a lot easier to in So there is no fair market value of In and respected. David Chernoglaz, who crease a program than to cut one back. dian resources. For there is no ouen mar served 5 :vears in a strict regime labor The Department of Agriculture decided ket, no knowledgeable seller, no absence of camp, said of her when she arrived in to encourage increased participation duress, and no price we can place upon our Israel: "The one person above all others among the poorest of our populatin future and our children's future. who helped to keep up morale and who without implementing the other half of All we have-all we have ever had-is constantly helped with letters and par the program-that is more stringent our sense of community-as Navajos and cels, the person rated by all to be a super as Americans. participation requirements. The number human angel, is Ida Nudel." of participants jumped from 15.5 million We have coal and uranium-but we also Such work in the face of considerable have vast stretches of land !rpm which solar in November of 1978 to over 18.6 mil energy can be drawn and the winds har KGB harassment and intimidation takes lion people in February 1979. Conse nessed. its toll. Ida's sister, Elena, recently point quently, the overall costs of the food We have water and minerals. But we ed out that when she last saw her sister stamp program has gone beyond the $6.2 also have a culture; and we value the air in 1972, she was a strong young woman. billion budget cap imposed by Congress. we breath and the sun we can still see. Now she has heart trouble. For next year, it is estimated an addi We ask tbat you seek alternatives, th9/t In October 1973 Ida discovered that tional $1.6 billion will be needed for the together we seek alternatives before we she was being "treated" for alcoholism program. I have also discovered that prey on each other. and not for her heart condition, as she USDA regulations have given each food A poet of your culture once wrote: was led to believe when she acciden stamp recipient a right to request a fair "Though you have shelters and institutions, tally saw her medical chart at the 89th hearing if he feels that his benefits are Precarious lodgings while the rent is paid, Volgord District Clinic. Ida does not being cut off because of a "misinterpre Subsiding basements where the rats breed drink at all. tation" of the Food Stamp Act of 1977. or sanitary dwellings with numbered Thirty-five Moscow Jews protested to Since we are talking about a million and doors or a house a little better than your neighbor's; When the stranger the head of the KGB, Yuri Andropov, on a half people, it is not inconceivable says: 'What is the meaning of this Ida's behalf: "* • • the officials of the that the congressional mandated reduc city? KGB are fabricating, with the assistance tion of the food stamp rolls will take Do you huddle close together because you of the physicians of polyclinic No. 89, well over 2 % years and cost millions in love each other?' a false charge against Ida Nudel, calling administrative expenses. What will you answer? 'We all dwell to her an alcoholic in order to carry out With this background in mind, I was gether to make money from each a lawless reprisal against her. Such an fascinated by a report that the Agricul other?' absurd accusation shows very clearly the ture Committee is currently consider Or, 'This ls a community?' " aspiration o{ the KGB to present the ing legislation to increase food stamp June 21, 1979 EXTENSIONS OF REMARKS 16135 benefits for specific categories of recip tion or increase federal regulation of the severe Soviet reaction is the belief on its part ients. Whatever the merits of this pro business of insurance; and, be it further that the U.S. is actively threatening Soviet Resolved, That official copies of this reso pasecl increase, it would seem logical national survival. So believing, the U.S.S.R. lution be prepared and forwarded to the might well consider SALT as both a necessary that Congress ought to insist that any President of the United States, to the Presi gesture of goodwill and a constraint on U.S. expansion of this program be linked di dent of the senate and the Speaker of the military programs. rectly to the reduction in eligibility bene House of Representatives of the United According to administration sources it is fits already mandated but as yet unim States Congress, and to all members of the not the U.S. but the U.S.S.R. that has been plemented by USDA. How can we justify Texas delegation to the Congress with the re launched for more than the la.st decade on a the continued funding of ineligible recip quest that this resolution be officially en massive military buildup. The Soviets out ien ts while simultaneously increasing tered in the Congressional Record as a. mem spend us by 45 percent annually, arid the rate this program-especially at a time when orial to the Congress of the United States of their. expenditures is growing. U.S. mili many other worthwhile programs are be of America.e tary expenditures have declined to the point where we spend less than 5 percent of our ing limited? I suggest that we carefully gross national product on defense, a smaller study the details of this legislation be THE SALT AGREEMENT proportion than at a.ny time since before the fore considering floor action.• Korean war. One further explanation intrudes itself, HON. PAUL FINDLEY · namely, that the Soviets believe SALT II to OF ILLINOIS be so favorable to them that they have in FEDERAL INSURANCE REGULATION IN THE HOUSE OF REPRESENTATIVES effect threatened the United States with dire consequences to force U.S. acceptance. HON. KENT HANCE Thursday, June 21, 1979 Totalitarian states throughout history • Mr. FINDLEY. Mr. Speaker, now that have attempted, sometimes successfully, to OF TEXAS President Carter and Chairman Brezh force democracies to accept inequitable IN THE HOUSE OF REPRESENTATIVES agreements. Hitler forced Chamberlain to do nev have met at the Vienna summit and so a.t Munich. The results then were disas Thursday, June 21, 1979 signed the SALT II treaty, congressional trous. Surely if the Senate reached the con • Mr. HANCE. Mr. Speaker, one of the consideration of the strategic arms lim clusion that the SALT II Treaty as written major problems of this country is that itation agreement will seriously begin. was inequitable and prejudicial to U.S. inter I would like to call to the attention of ests, President Carter would not wish the the Federal Government has gone too Senate to consent to the Treaty. To do so far in exercising its authority by at my colleagues the following article by Ambassador Seymour Weiss which ap under such circumstances would be, as Sen. tempting to regulate where it should not. Baker has implied, to appease the Soviets. Many of the problems we face today are peared in the May 24, 1979, edition of Surely this is not the polltical context within a direct result of overregulation in which the Wall Street Journal. which the administration wishes the value of the Federal Government tries to con It is an excellent article. It treats some SALT to be judged. But what, then, is the trol both supplies and demand. very pertinent concerns about SALT, context? e I would like to call attention to a con United States and Soviet policies. current resolution passed recently by The article fallows: the Texas Legislature. It addresses the "WARMONGER" FEAR ISN'T A REASON To BUY question of Federal Government regu SALT EARL ALTIZER RETIRES lation as it pertains to the insurance (By seymour Weiss) business and that this is an area where Whatever may be viewed as the inade HON. ROBERT C. McEWEN States should retain the majority of quacy of the Nixon-Ford-Kissinger approach regulatory authority. The. resolution as to SALT I, that approach did not lack a OF NEW YORK political context. According to Mr. Kissinger IN THE HOUSE OF REPRESENTATIVES passed by the Texas Legislature follows: SALT was the cornerstone of detente, a SENATE CONCURRENT RESOLUTION process intended to develop a web of inter Thursday, June 21, 1979 Whereas, In the McCarran-Ferguson Act locking relationships between the United • Mr. McEWEN. Mr. Speaker, it will enacted in 1945 (15 U.S.C. sections 1011- States and U.S.S.R. with the ultimate pur seem strange to hold a hearing with 1015) , Congress determined "that the con pose of constraining aggressive Soviet poli tinued regulation and taxation by the sev cies. In practice the process proved so defi Army witnesses and not see Earl Altizer eral States of the business c1f insurance is cient that President Ford abandoned de sitting in the back of the room listening in the public interest"; and tente. intently, or to debate a defense bill on Whereas, Federal government offic;iials have When Candidate Carter became President the floor of the House and not see Earl publicly, although unofficially, recommended Carter it was presumed th81t he would pro in the balcony, or to visit an Army in amending the McCarran-Ferguson Act to vide a new pol~tical framework within which stallation and not have Earl along limit state regulation of the insurance in SALT could be assessed. But the administra quietly and efficiently coordinating the dustry; and tion has never advanced what Dr. Kissinger tour. Whereas, It is becoming increasingly clear used to refer to as a "conceptual framework" that the establishment of federal regula within which to fit such specific policy ini Earl has worked diligently and faith tion is not a panacea but increases the cost tiatives as SALT. fully for the Comptroller of the Army of government, adds confusion and delay, We are told it should be "viewed on its in congressional liaison and budget ac and often increases the cost of products and own merits,'' that "it ls no favor to the tivities since 1965. Keeping abreast of services without providing any offsetting U.S.S.R.," that "it must not be linked to So the many defense issues which came benefits to the consumer; and viet behavior outside of SALT," tha.t while before the Congress, and displaying a Whereas, It is often necessary, subject to less rthan perfect from a military point of high degree of tact and competence, he state regulations, to combine the resources view, militarily it is better than no SALT, and of several insurance companies in order .to so on. But the political logic supporting gained the utmost respect and confi provide effective insurance coverage in an SALT has never been articulated. dence of the Members with whom he efficient manner at a reasonable cost and While failing to define the positive polit came in contact. He demonstrated out to promote innovation whereby new prod ical context within which the American standing loyalty to the Army, the Con ucts and services are made available; and public should consider SALT, recently Presi gress and the Nation. Whereas, There has been no evidence that dent Carter has suggested its negative con When detailed information on a con individual states cannot continue to effec sequences. He has warned that failure of the tively regulate the insurance industry or that Senate to give its consent to SALT will re troversial issue was desired, a request federal regulation of the industry and appli sult in a. virtual severance of relationships was passed to Earl knowing that an cation of federal antitrust laws will have a with the U.S.S.R. The United States, the honest and factual response would be favorable effect upon the insurance industry President asserts, will be viewed as a war forthcoming in the shortest possible or benefit the public; now, therefore, be it monger, a distressing prospect to be sure. time. When a factfinding visit to an Resolved by the senate of the State of But why? Why should a failure by the Sen Army installation seemed necessary, it Texas, the House of Representatives concur ate to accept the terms of the treaty, even if needed only to be mentioned to Earl and ring, That the 66th Legislature hereby me those terms are contrary to U.S. interests, morialize the Congress of the United States lead to such a serious political consequence? a detailed itinerary was planned and the to reject any legislation a.mending the Mc Since the President does not tell us, we are trip arranged from start to finish. Carra.n-Ferguson Act {15 U.S.C. Sections perhaps justified in speculating. Earl's name does not appear in the 1011-1015) which would limit state regula- One explanation which would justify a reams of testimony developed from the 16136 EXTENSIONS OF REMARKS June 21, 1979 countless hearings he attended, but his to be held in Washington, D.C., September placed their trust in him both as Gov contribution in promoting a smooth and next, result in effectuation of said resolution. ernor and U.S. Senator, not only re understanding relationship between the Very truly yours, spected and admired him for his service military and the Congress is well known Richard P. Lawlor, State Representative; to them but also had an overwhelming William J. Scully, Jr., Robert J. Car at!ection for Leverett Saltonstall as a by many in the Pentagon and on the ragher, John H. Murphy, John R. Hill. He will be greatly missed. Quinn, John P. McMa.nus, John J. very special human being. Best wishes for a long and happy fu Morrison, Martin M. Masters, Aloysius The people of Massachusetts and of ture, Earl.• J. Ahearn, Andrew J. Carey, III, Ken the rest of the United States will miss neth A. Leary, Thomas F. Sweeney, his wisdom and his warmth.• Philip J. Leeney, James J. Kennelly, Timothy J. Moynihan, Jr., James E. IRISH RESOLUTION GAINS SUP Dyer, Leo H. Flynn, Robert Walsh, SYNTHETIC FUELS PORT OF CONNECTICUT LEGIS John F. Mannix. Chester W. Morgan, Patrick B. O'Sulli LATURE van, Robert G. Gilligan, John F. Mc HON. RON PAUL Guirk, Sr., Marcella. Fa.hey, Timothy OF TEXAS J. Casey, William E. Curry, Jr., Ray IN THE HOUSE OF REPRESENTATIVES HON. MARIO BIAGGI mond M. H. Joyce, Thomas F. Wall, OF NEW YORK Jr., Neal B. Hanlon, Steven C. Casey, Thursday, June 21, 1979 IN THE HOUSE OP REPRESENTATIVES Abra.ham L. Giles, Vito Mazza, Pa • Mr. PAUL. Mr. Speaker, I would like Thursday, June 21, 1979 tricia. T. Hendel, Arthur Della. Vec to call the attention of my colleagues to chia., Paul A. La.Rosa., Joseph Carbone, • Mr. BIAGGI. Mr. Speaker, I was most Margaret E. Morton, Williiam J. Cibes, an editorial that appeared in the Wash pleased to have received a letter from Jr. ington Post on September 20, 1976, when the Connecticut General Assembly in Clarice A. Osiecki, Catherine M. Parker, the Congress was last considering mas support of House Concurrent Resolution Anthony R. Inna.cell, Ernest N. Abate, sive Government subsidies to large cor 122, legislation which I introduced on Joseph S. Coatsworth, Ronald L. porations to develop a synthetic fuel May 17. The resolution calls upon Great Smoko, John J. Za.ja.c, Jr., Na.ta.lie industry. Rapoport, Thirma.n L. Milner, Gerard I would especially mention the last Britain to embark upon a new initiative B. Patton, Anthony D. Truglia., Wil paragraph of the Post editorial: for Northern Ireland, one which restores liam P. Ca.ndelori, Joseph Wa.lkovich, human rights and promotes self-deter John P. Sponlheimer, A. Boyd Hinds, Energy is going to cost more in the future. Jr., Rosa.Lind Berman. The country may as well get used to that mination. unwelcome thought. It is a great deal better I am grateful for this overwhelming Philip S. Robertson, George Ritter, Law to meet that cost directly, through the indication of support and hope it will rence J. Anastasia., Teresalee Bertinu prices that the customers pays, than indi lead to d·efinitive action by the Congress. son, John W. Anderson, Thom Serrant, rectly through everybody's taxes and a. cat's My resolution already has 64 cosponsors Ferdinando A. DelPercio, Wayne A. cradle of federal loan guarantees and price Baker, Joyce A. Wojtas, Eugene A. supports. It would be nice to think that we and there are growing et!orts to have Skowronski, Dorothy S. McCluskey, could a.void the inconveniences of conserva the resolution considered before the Silvio A. Ma.stria.nm, Russell J. Rey tion merely by pouring money into new Foreign At!airs Committee. nolds, John W. Atkin, Gardner E. plants for the 1990's. But there may not be As chairman of the 131-member Ad Wright, Jr., Robert F. Frankel. enough money to do it that way. There cer Hoc Congressional Committee for Irish James J. Pa.Lmieri, Maurice B. Mosley, tainly isn't enough time. William R. Dyson, Geil Orcutt, Alfred At!airs, I am committed to seeing that J. Onorato, Dorothy C. Goodwin, Wal Wine gets better with age, but the edi peace and justice do come to Ireland. ter J. Henderson, Edward J. Petrovick, torials of the Washington Post on the I recognize a role which the United Peter A. Rosso, William Kiner, Paul subject of Government subsidized syn States has to play and it should be a Gionfriddo, Robert C. Sorenson, Chris thetic fuels simply get more foolish. peaceful one. I had made repeated ref toplher Shays, Robert Ja.ekle, James A. Why the Post has changed its collective erences to my strong opposition to the Weiss, Warren G. Sara.sin. mind in the past 3 years is a good ques actions taken by the Department of Astrid T. Ha.nza.lek, John D. Morda.sky, tion. Certainly there is less time now State in granting a license to have 3,500 John A. Giordano, Jr., Micha.el D. Ry bak, Andrew R. Grande, Muriel Ya.ca. than there was in 1976 to develop this weapons sent to the Royal Ulster Con vane, Riche.rd L. Mercier, Dorothy industry. • stabulary. This action cannot be re Fa.ulise-Boone, Vincent Roberti, Eliza. The article follows: peated. beth M. Leona.rd, Mora.g L. Vance, Ed [From the Washington Post, Sept. 20, 1976) At this point in the RECORD I wish to ward C. Kra.wiecki, Jr., Joseph J. Fa.r SYNTHETIC F'uELS AND SUBsmIEs insert the letter I received from Repre riciel11, Doin1nick Swieszkowski, Micha.el R. Colucci, Richard D. Tulis That bill to subsidize synthetic fuels has sentative Richard P. Lawlor, cosigned more lives than a. cat. The House of Rep by over 100 of his colleagues: a.no. Irving J. Stolberg, Richard c. Bozzuto, resentatives threw it out the window la.st STATE OF CONNECTICUT, Christine M. Niedermeier, Joseph H. December, but now it's back meowing at HOUSE OF REPRESENTATIVES, Hayser, Jr., Robert Diesiekowski, Paul the door. The House needs to rein1nd itself Hartford, Conn., May 29, 1979. that the animal has a. voracious appetite. Abercrombie, John G. Groppo, Dean The farther it goes in these la.st days of the Hon. MARIO BIAGGI, P. Ma.rkler, John T. Pier, Robert H. House Office Building, session, the more Congress is likely to regret Heller, Cornelius O'Leary, Frederick it in yea.rs to come. Washington, D.C. Thory.e · DEAR CONGRESSMAN BIAGGI: Please be ad This bill would provide $3.5 billion in fed vised that we, the undersigned members of eral loan guarantees, and $500 In1llion in the Connecticut General Assembly, a.re in price supports, to get new processes opera.t receipt of a. copy of the Irish Resolution LEVERETI' SALTONSTALL ing on a. commercial sea.le. Most of the money introduced by yourself, and we note, among would go into the manufacture of gas from others, the distinguished Representative coal and the extraction of oil from shale. The from Connecticut, William R. Ratchford, HON. JAMES M. SHANNON Rules Comin1ttee, reflecting the prevailing calling on Great Brita.in "to embark on a. spirit in the House, voted la.st week to send OF :MASSACHUSETTS this synthetic fuels bill to the floor for pass new initiative to bring peace to Northern IN THE lJOUSE OF REPRESENTATIVES Ireland." age-but not the bill to set standards for Monday, June 18, 1979 strip-mining. The synthetic fuels bill implies On March 15, 1979, we of this Assembly strip-mining of western coal in a. very big passed a. resolution, a. copy of which was e Mr. SHANNON. Mr. Speaker, in this way. It would be wanton to begin these forwarded to your office, commemorating century, few people have done more to stripping operations under the present inade the centenary of the birth of Pa.trick Pearse quate rules. But that is only one reason and the ca.use for which he, as have you, bring honor to public service than Leverett Saltonstall. Throughout his dis among many for putting the cat out a.gain. so diligently la.bored. This $4 billion would build plants ca Please, therefore, accept our grateful ac tinguished career he served the people pable of tmining out the equivalent of a.bout knowledgement of your efforts, our endorse of his community, his State, and his 200,000 barrels of oil a. day (present U.S. ment of the above said Irish Resolution and Nation with diligence, dignity, and great consumption is running a.bout 17 In1111on our prayers and wishes, that the U.S. Con commonsense. barrels a. day). These plants would go into gressional Peace forum on Northern Ireland, The people of Massachusetts, who production sometime in the 1980s. The oil June 21, 1979 EXTENSIONS OF REMARKS 16137 and gas would be extremely expensive by imous support of the Veteran Senior woodie, Yonkers, N.Y. The culmination present standards. The technology already Citizen Health care Act of 1979. This bill exists, and is at work in a good many places of study and holy preparation was his around the world. But the bill's authors will establish up to 20 demonstration ordination by Archbishop Farley as an say, accurately, that American companies centers of geriatric research, education, apostle of Christ and prince of the cannot get construction loans to build these and clinical operations at Veterans' Ad church on May 21, 1910. But his work was plants here. ministration hospitals throughout the only to begin. A coal gasification plant, big enough to Nation. run efficiently, would cost perhaps a billion The then Father O'Leary was to serve dollars. The bill would ensure a test of the Because of the large nwnber Of vet as a model to the flock in the important process at that gigantic scale, under the erans of World War II and the Korean work of the parish priest. For after a special conditions of American safety and en war, by 1990 more than half of the males year at St. Elizabeth's Parish in the Fort vironmental requirements. The pilot projects in this country will be veterans. By 1995 Washington section of New York, he be would provide a depth of experience for in veterans will make up over 60 percent gan 16 years at the Church of the An vestment in further plants that might then nunciation in Manhattan. ' come into production in the 1990s in numbers of the male population. While there are large enough to make a serious contribution currently about 130,000 veterans age 85 On June 2, 1927, Father O'Leary be to the country's oil and gas supply. If the and older, by the year 2010 that :figure came pastor of Lake Mohegan, a one product is expensive in comparison with will exceed 1 million. Clearly, veterans' man parish that then included Yorktown current oil and gas prices, it is not greatly needs for geriatric care will greatly in Heights. It is truly a momentous occa out of line with the other esoteric sources crease in the coming decades. sion when a leader in God's service as of oil and gas now in prospect. There you Mr. Speaker, we must never forget the sumes the awesome responsibility of di have the argument for the bill. recting part of His province and pro Perhaps you will have noticed that this commitment that these brave men and technology, even if successful, will not begin women made to their country when they viding the way to the salvation of souls. to contribute significantly to American were called to serve. In remembrance of And Father O'Leary's exceptionally long energy requirements until the 1990s. That these veterans' service, I sincerely thank tenure at Lake Mohegan was significant. amounts to fiddling while Rome freezes. my colleagues for their support.• During a time which included the worst Thinking ahead is all very well, but the truly years of the Great Depression, he none basic choices lie in the next 10 years. The theless managed to build two churches. Ollie policy that can pay off most rapidly is, St. Patrick's in Yorktown Heights and of course, conservation. But it is hard to TRIBUTE TO THE REVEREND MON find any evidence of a sustained effort at SIGNOR PATRICK A. O'LEARY, P.A., the Church of the North American Mar conservation in this country. A MAN OF GOD tyrs, Lake Peekskill, both of which have This bill threatens, in a lighthearted and been much admired for artistic excel ill-considered way, to set dangerous prece lence. dents. Until now, it has generally been the HON. MARIO BIAGGI And very happily and meaningfully rule that the government supports the de oF NEW YORK for all who knew and loved him there, velopment of new technology, but leaves IN THE HOUSE OF REPRESENTATIVES Monsignor O'Leary was assigned on Oc- commercial application to private companies. There have been exceptions, notably in Thursday, June 21, 1979 tober 1, 1938, to Our Lady of Mercy Par- nuclear energy with its special security re ish in the Bronx, N.Y. There he found quirements. But it's a pretty good rule, on • Mr. BIAGGI. Mr. Speaker, as a man ample scope of his abundant energies. the whole. The technology of coal gasification of fait~. I believe that on May 26, 1979, And it was obvious to · all that Patrick a creation of God was with his Maker O'L th hl · d · h k is well known. If companies cannot raise a child of God was wi·th h1·s Father, a' eary oroug Y enJoye parIS wor , money at this stage to build the plants, that of which he took a broad view, and for makes you think twice about the whole idea. servant of the Lord was with his Master. which he demonstrated a special apti As for oil shale, the lenders watch experi For, Msgr. Patrick A. O'Leary, a man tude. He was at ease with all people. Most enced oil companies drop the Colorado shale leases for which they have paid millions of of God, had gone home. importantly, his convictions and opinions dollars, and they have to wonder whether It was, I am sure, a joyous day for were firmly held and freely expressed it's such a grand investment after all. him. The Catholic liturgy teaches us but did not interfere with his working Consider what's happening here. Congress that the passing on of God's faithful with others. keeps voting to hold oil and gas prices down. is cause for much celebration. Rejoice. Consumers see prices level off and, among A victory has been achieved. Man has Father O'Leary's personal attributes other consequences, the swing to small cars overcome the temporal. His work is done and abilities enabled him to make Our slows sharply. The next consequence, already and his final reward is at hand. It is in Lady of Mercy the center of many ac visible, is further increase in oil imports. like manner to the resurrection of the tivities that crossed parish lines. Within Congress, understandably, gets anxious. It Lord, Jesus Christ. And how very special . the parish he concentrated his talents begins to push production methods that lie it must be when one of God's ministry on the splendor of the liturgy and the many years in the future and that are too reaches his goal of everlasting life. beauty of the church, the sacramental expensive and uncerta.tn for the banks to life of the people, the care of the poor, finance without a federal safety net. Isn't Monsignor O'Leary was born in Lisle- the visitation of the sick, and the excel there something askew here? vane, County Cork, Ireland on Novem- lence of the our Lady of Mercy Parish Energy is going to cost more in the future. ber 23, 1882, and was the 10th and last School. Spanning the local communities, The country may as well get used to that survivor of 11 children. It is interesting he also had an active interest in the unwelcome thought. It is a great deal better to meet that cost directly, through the prices to note that like many Irish families of Bronx Nocturnal Adoration society, the that the customer pays, than indirectly their time and background, the O'Leary's st. Vincent de Paul Society, the Legion through everybody's taxes and a cat's cradle scattered far and wide. Four of six of Mary, the Knights of Columbus, the of federal loan guarantees and price sup daughters entered the convent, and were Ancient Order of Hibernians, and the ports. It would be nice to think that we to die respectively in Ireland, England, Golden Age unit among other groups. could avoid the inconveniences of conserva France, and Spain. One O'Leary son died tion merely by pouring money into new in Ireland as a seminarian, and another A firm believer in helping others to plants for the 1990s. But there may not be in Egypt as a doctor in the British Army. help themselves, Monsignor O'Leary enough money to do it that way. There cer Of the two sons remaining in Ireland, founded and maintained a special inter tainly isn't enough tlme.e one farmed and the other became an offi- est in the Our Lady of Mercy Credit cial of the Ministry of Agriculture. Fur- Union, one of the most successful in ther, the remaining two daughters mar- Metropolitan New York. Yes, Patrick VETERAN SENIOR CITIZEN HEALTH ried, successively, the late Judge Daniel O'Leary knew that the church can and CARE ACT F. Cohalan of New York where they made must cater to the whole man. their lives and later died. As the years progressed full of con- HON. ROBERT T. MATSUI Young Patrick, after preliminary stud- genial and fruitful work, and sustained OF CALIFORNIA ies with the Christian Brothers in coun- by undiminished vigor .of mind and body, IN THE HOUSE OF REPRESENTATIVES ty cork and at All Hallows, the famous Monsignor O'Leary remained in the Irish Missionary Seminary in Dublin, parish he loved when longevity deter Thursday, June 21, 1979 was to come to America and continue on mined his retirement. • Mr. MATSUI. Mr. Speaker, I rise to his formal path to the calling of God's At t'he time of his death, Father commend my colleagues on their unan- vocation at St. Joseph's Seminary, Dun- O'Leary was the senior priest in terms of 16138 EXTENSIONS OF REMARKS June 21, 1979 service in the archdiocese and had served Mr. Speaker, it only took a few TAX EXEMPT REVENUE BONDS FOR under four archbishops. He was prob months for Dick Tracy to establish him HOME MORTGAGES ably the last survivor of the clergy who self as second only to J. Edgar Hoover attended the elaborate ceremonies with as America's best-known crime fighter. which the centenary of the New York Hoover himself was a fan of the cartoon HON. JOHN J. LaFALCE archdiocese and the consecration of St. and joined members of police depart OF NEW TORK Patrick's Cathedral were celebrated in ments around the Nation in praising IN THE HOUSE OF REPRESENTATIVES 1908 and 1910. Chester Gould for the positive image he Thursday, June 21, 1979 His leadership, his example, and his presented of Policemen. The public loving care will surely be missed within agreed with the police and made Dick • Mr. LAFALCE. Mr. Speaker, one issue church ranks and among all his friends Tracy then, as it has remained right with which Congress will have to deal and admirers surrounding Marion Ave up to this day, one of the most popular during this session is whether or not the nue in the Fordham community of the comic strips ever published. Today it use of tax exempt revenue bonds by lo Bronx. appears in more than 600 newspapers calities and State agencies to finance To his surviving family, Msgr. Florence around the world. home mortgages-popularly known as D. Cohalan: Mother Aileen Cahalan, Mr. Speaker, although it was the Dick the "Chicago plan"-should be permitted R.S.C.J.; Kathleen Cahalan; Daniel Ca Tracy strip which launched Chester to continue and, if so, in what form. halan, and his brother and sister, Gould to national fame, this was hardly Because of the importance of this is churchmen and women, we extend our the beginning of his work as a cartoon sue, I think it advisable that every Mem warmest wishes that they, who were part ist. As he relates in his own words, his ber of Congress be apprised of all views of his life and shared his example, will cartooning career began when he was a about it. Accordingly I would like at this be more bountifully blessed by their small boy in Oklahoma: time to submit for the RECORD the testi brother's intercession, and enjoy happi mony of the Honorable Donald C. Lubick, I remember one time when I was seven. Assistant Secretary of the Treasury for ness, prosperity, and spiritual welfare as My dad was then edlting a weekly newspaper their brother would have wanted. and there was to be a Pawnee, Oklahoma Tax Policy, presented before the Ways May he rest in peace. His work is political meeting. He said, would you like to and Means Committee last month. done.• draw some of the men at this meeting? Well, The testimony follows: you can imagine how good my efforts must STATEMENT OF DONALD C. LUBICK have been at that age. But I went over and Mr. Chairman and members of the Com CHESTER GOULD AND DICK TRACY turned out a bunch of stuff. They pasted mittee: We welcome the opportunity to pre them in the window of the Pawnee County sent the Administration's views on H.R. 3712. ARE AMERICAN HEROES Courier Dispatch which was located right The b111 would generally prohibit the use of next to the post office. Everybody walked to tax exempt bonds for single-family housing. HON. ROBERT McCLORY the post office for the mail so they had to We are pleased to give H.R. 3712 our full pass my drawings. I got considerable atten and unconditional support in all material re OF ILLINOIS tion and I think it's perhaps the thing that spects. Over the past few months, we have IN THE HOUSE OF REPRESENTATIVES definitely turned me into this business. I become increasingly concerned that mortgage Thursday, June 21, 1979 ha.ve been at it since 1907. subsidy bonds are wasteful, expensive, and inflationary. By 1984, they could. cost the tax • Mr. McCLORY. Mr. Speaker. for over Mr. Speaker, over the years D1ck Tracy payers of this country as much as $10 or $11 45 years, the residents of McHenry has achieved the legendary status of a b1llion a year. Most of this money would be County, Ill., have been proud to have as character who expresses some quality wasted; very little would go to those fam111es one of their neighbors a man who has which people think of as typically Amer who actually need public assistance. At the created one of the most popular and ican. In the case of Dick Tracy, it is the same time, these b1llions of dollars would add enduring fictional characters in Amer bold defense of law and order and jus to inflation in the price of housing and other tice, against . those who would attack goods and services. We believe that Mr. Ull ican culture. man, Mr. Conable, and the other distin Mr. Speaker, if I say the name of this those values by attacking their fellow guished sponsors of H.R. 3712 have addressed man-Chester Gould-there may be citizens. This same community spirit is these concerns in a sound and responsible some who do not know it, but if I say refiected, albeit in a less dramatic way, manner. the name of his creation-Dick Tracy in Chester Gould's own life in his home BACKGROUND there will surely be no one who does not community of Woodstock. He will be the In the past few years, there has been an instantly recognize the name of Amer guest of honor on Saturday, June 30, at explosive increase in the volume of tax ioa's most famous and PoPular detective. a dinner which will benefit the McHenry exempt revenue bonds issued by State and County Easter Seal Society, by no means local governments for the purpose of making Mr. Speaker, let me acquaint you with low interest mortgage loans for single-fa.mily some of the history of Chester Gould the only organization he has helped dur homes. The Congress, the press, and the and his famous creation. Dick Tracy ing his 45 years in Woodstock. Also, he public have become increasingly concerned came to life in 1931, just at the end of has helped the McHenry County Rescue about these bonds. Their use has been con the era of big-time gangsterism in our Squad, to which he gave of his time and demned in publica.tions of such diverse edi Nation. Chester Gould had lived in talent by designing their emblem, which torial opinion as The Washington Post, The Chicago since 1921, observing the con includes the familiar face of Dick Tracy. Wall Street Journal, and The New York tinuing battles between the police and Indeed, the McHenry County and Chi Times. gangsters. During that period, he fin cagoland areas-as well as our entire Because interest on these bonds is tax exempt, the bond proceeds can be used to ished his education, whil~ supporting Nation have benefited from 'Chester make mortgage loans at approximately 2 himself drawing cartoons and doing Gould's great talents, his generosity, percentage points below conventional mort commercial work. He also sent a variety and his humanity. gage rates. The security for the bonds is a of comic ideas to the newspapers, but Mr. Speaker, it is right and proper pool of mortgage loans made with the bond none of them worked as a continuing that we should honor a man who re proceeds, and the bonds are serviced by prin comic s·trip. However, he was observing minds us of those simple values on which cipal and interest payments collected from the gangster era at first hand and it the continued good health and welfare the individual mortgagors. The bonds are not occurred to him that the country needed backed by the credit of the issuer. of our society depend. Chester Gould, These mortgage subsidy bonds are part of a detective who would, as he put it, the creator of Dick Tracy, is such a man a growing trend of using tax exempt bonds "hunt these fellows up and shoot them for private purposes. Traditionally, tax ex down." The first name he gave to this and I rise today to honor him. His wife, Edna, and daughter, Jean, will be pres empt bonds have been used almost exclu character was "Plainclothes Tracy." sively for essential public projects such as Mr. Speaker, "Plainclothes Tracy" ent when hundreds of others will join in roads, schools and municipal buildings. They might have become the name of this paying tribute to Chester Gould on the have not been used for such private pur famous detective except that Capt. Joe 48th anniversary of the creation of Dick poses as single-family housing. Tracy. I know that Americans across our A few State housing agencies began to issue Patterson of the Chicago Tribune, who small amounts of tax exempt bonds for single liked the idea of the cartoon, suggested land also join with me in recognizing the family housing in tbe early and middle that Dick Tracy was a shorter, catchier great contribution he has made to our 1970's. Most other State agencies adopted the title. Dick Tracy it became. national culture.• practice in 1977 and 1978. However, the full June 21, 1979 EXTENSIONS OF REMARKS 16139 extent of the potential volume of these mort A study recently prepared for Congressman vestors and to obtain necessary insurance, gage subsidy ·bonds was not revealed until Reuss and the Banking Committee by the mortgage subsidy bonds can be used only for July of 1978. At that time, a major munici Congressional Budget Ofilce estimated that families who meet conventional credit stand pality sold a $100 m111ion issue for home mortgage subsidy bonds would finance about ards. In other words, if a family qualifies for buyers having annual family incomes of 8 % of all mortgages in 1984. In the ·short a mortgage loan at a local bank or savings $~0,000 or less. This was the first instance in time that has elapsed since the CBO study and loan association, then they can qualify which an issuer other than a State housing was released, it has become clear that this for assistance under a mortgage subsidy bond finance agency sold revenue bonds to make estimate was far too conservative. program. However, if the family ls not able mortgage loans for single family housing. There quite literally are no natural limits to qualify for a conventional mortgage loan, Other localities soon concluded that they on the potential growth of mortgage sub then they are almost certain to be shut out too could sponsor revenue bond programs at sidy bonds. Put simply, no one wants 10% of the subsidy program. Thus, families who little or no cost to themselves. Experienced mortgage money when 8% money is avan do not have access to conventional sources investment bankers have prepackaged plans able. Thus, it is not unreasonable to ex of credit are unlikely to benefit from these that they can modify to flt the specifications pect that close to 40% or 50% of all home bonds. of nearly any locality. Local savings and mortgages could eventually be financed with Moreover, mortgage subsidy bonds cannot loans handle the administrative chores of tax exempt bonds. possibly benefit fammes in the lowest income processing loan applications, selecting those INFLATION groups because these families simply are not able to afford their own homes. Consequently, that are credit worthy and collecting month Mortgage subsidy bonds are highly in ly mortgage payments. Private insurance mortgage subsidy bonds do nothing for those fl.atd.ona.ry for three reasons. Fir.st, their cost most in need of housing assistance. companies (or the FHA or the VA) provide adds considerably to the budget deficit. The layers of security for the bondholders. Final The second premise is also Incorrect. All American people will perceive that we do not tax exempt bonds are inemclent in the sense ly, the locality itself is not responsible in the take infiatllon seriously if we choose, in effect, that the average cost to the taxpayers exceeds event of default. The locality does not back to spend billions of dollars annually on a the savings to the issuer of the bonds. This the bonds in any way; security for bond new program of h·ousing subsidies for the lnemciency ls compounded in the case of holders ls provided solely by the mortgages middle class. mortgage subsidy bonds because a significant and mortgage insurance. Because localities Second, mortgage subsidy bonds have a di portion of the bond proceeds are not used to have no responsibi11ty and take no risk, they rect and immed.L:i.te i.Inpact on housing make mortgage loans, but instead are wasted have every incentive to issue as many mort prices. By adding demand to a housing mar on lawyer's fees, underwriter's fees, reserve gage subsidy bonds as the market will bear. ket that has been overheated, these bonds funds, and other similar items. In addition, To say mortgage subsidy bonds are spread could have a substantial impact on the price substantial administrative fees must be paid ing like wildfire is an understatement. During of a home. each year. The net result can be that of each 1978, $622 million of these mortgage subsidy Third, mortgage subsidy bonds tend to $1.00 of cost to the taxpayers, significantly bonds were sold by localities, and the poten frustrate monetary policies designed to help less than 50¢ or 60¢ is actually passed on to tial volume in 1979 is at least $3.8 billion. bring inflation under control by gradual11 homebuyers. This exploslve growth has occurred even cooling off the economy. Historically, the though only about a dozen States currently housing market has been especially sensi ADDITIONAL POLICY CONSIDERATIONS have laws permitting localities to issue reve tive to high interest rates. Consequently, Over a period of years, mortgage subsidy nue bonds for this purpose. We expect that when interest rates rose during previous bonds could result in substantial changes in the vast majority of States will enact legisla business cycles, demand for housing fell oft the basic structure of our economy and tax tion authorizing issuance of these bonds in and this helped to sta.b1lize the economy. system. We would like to address a few of the the next few years. Even now, enabling legis During the most recent business cycle, how most important of these changes. lation has been introduced in many States. ever, the housing market has been largely In First, there would be a sizable shift in the The potential growth of mortgage subsidy sulated from the effect of higher interest allocation of capital between housing and bonds is enormous. In 1978 approximately rates. At first, money market certificates Is other sectors of the economy. In particular, $176 billion of gross new mortgage loans were sued by savings and loan associations at large amounts of capital would flow Into the made for single family housing. The total of tracted a significant amount of additional housing sector at the expense of industrial all mortgage subsidy bonds in 1978 amounted capital to the housing market. More re plant and equipment. This could only serve to less than 3 percent of this volume. By way cently, we have attempted to correct the to aggravate the problems we have had over of comparison, the total volume for 1978 of situation by reduc'ng interest rat~s on these the past 5 or 10 years in promoting capital all municipal bond issues was approximately money market certificates. However, mort formation. $46 billion. gage subsidy bonds threaten to defeat our In this regard, It should be noted that ex In 1968, Congress attempted to restrict the efforts to have the housing market contribute isting Federal policies do much to attract use of tax exempt bonds to traditional public its share to cooling off the economy. They In capital into the housing market. For exam projects. These include low income rental sulate housing from high Interest rates even ple, tax expenditures for single family hous housing, but not single-family homes. Low more effectively than money market certifi ing (i.e., deductions for mortgage interest income projects afford the basic necessity of cates; not only do the bonds attract capital, and property taxes and special capital gains shelter to poor families. Single-family homes, but they do so at below market rates. rules) will alone amount to more than $16 by contrast, not only furnish shelter but per blllion in fiscal year 1980. This ls in addition WASTE to extensive programs for mortgage insur haps also represent the best investment that Mortgage subsidy bonds are both wasteful most American families can make. ance. It is doubtful that we should do very and inemcient. The case for mortgage subsidy much more to encourage capital investment It ls true that the present statute contains bonds ls based on two premises: first, that language ("residential real property for in housing at the expense of Industrial plant middle class Americans need public assist and equipment. family units") broad enough to permit tax ance to buy homes, and second, that tax ex exempt bonds for single family housing. How Mortgage subsidy bonds also have a direct empt bonds are the best way to provide that effect on the stock market. To a fair extent, ever, this was apparently an oversight. The assistance. We believe that both of these statutory language was written In 1968, at a stocks and tax exempt bonds compete with premises are incorrect. ea.ch other for the same funds. Many wealthy time when housing bonds were for multi The first premise seems to assume that the investors who can afford to take risks in the family projects; revenue bonds for single majority of Americans need public assist stock market are attracted instead to tax ex famlly housing were virtually unknown until ance. This assumption turns the world up empt bonds. Mortgage subsidy bonds could the middle 1970's. side down. It seems elementary that public easily result in a doubling of the supply of COST assistance must be limited to those who tax exempt bonds that comes to market. If There surely ls no way to get something for could not otherwise afford basic necessities. they do, this could frustrate many new and nothing. If certain homebuyers save money Public assistance fox: housing must be lim growing corporations In their attempts to because of tax exempt bonds, these savings ited to those fam1lies who need help if they raise venture capital. have to come from somewhere. And Indeed are to have a safe and decent place to live. Second, there could be a substantial effect they do-the taxpayers pick up the tab. Fortunately, middle class Americans do on the market for tax exempt bonds. In the The total cost of mortgage subsidy bonds not need public assistance to buy homes. first quarter of this year, mortgage subsidy depends directly on the volume of these Even at the lower end of the middle class, bonds accounted for nearly 30% of all new bonds that are sold. Therefore, our esti most Americans are able to afford their own issues. This additional supply had a con mates of revenue loss are based on a range homes. For example, our most recent statis siderable Impact In driving up Interest rates of reasonable assumptions about the volume tics show that nearly % of all fammes with on tax exempt bonds, but H.R. 3712 has al of bonds. If we assume that the volume of incomes of between $10,000 and $15,000 own ready brought these rates down. Compared to bonds will be sumclent to finance 10% of their own homes. interest rates generally, tax exempt rates home mortgages, the cost will be $470 mil If mortgage subsidy bonds ever make any have become very low by historic standards lion in 1981. On the other hand, if the volume sense at all-and we don't believe that they as a result of the introduction of H.R. 3712. is sumcient to finance 50% of home mort do--lt can only be when they are used for More precisely, It has been estimated that gages, we stand to lose $1.6 billion in 1981 families who have no other way to get a tax exempt rates Increase by between 4 and and $11.0 billion in 1984. In the longer run, ~ortgage. However, most of these families 7 basis points for each billion dollars of mort we stand to lose as much as $22.1 billion a are necessarily excluded from mortgage sub gage subsidy bonds sold. As tax exempt rates year (expressed In 1984 dollars). sidy bond programs. In order to attract in- increase, It becomes progressively more ex- • 16140 EXTENSIONS OF REMARKS June 21, 1979 pensive for State and local governments to various provisions of H.R. 3712. We under worst flaws in this supposed "arms con finance essential public projects such a.s stand that membem of the Committee may trol" agreement the Senate is now con schools, roads, and other public works. Some wanit to accommodate certain of these con sidering. localities, especially those with a weaker cerns. For example, ·as noted above, some credit, may be denied access to the market economically integrated rental projects may SALT II will not control the arms race altogether. It has been estimated that each inadvertently have been affected. In addition, because it controls only numbers of b1111on dollars of mortgage subsidy bonds there ls some concern regarding transitional launch vehicles, not numbers of missiles; drives perhaps $100 m1111on of conventional rules for financings that were very far a.long and the Soviets are allowed to deploy municipal bonds off the market. on April 24. We would be glad to work with over 300 heavy SS-18 missiles, that the The impact on other tax exempt housing the Committee and its staff in developing United States is not allowed to have, and bonds will be especially severe. It has been suoh changes as may be neoessa.ry.. retain their Backfire bomber which has estimated that each billion dollars of mort CONCLUSION gage subsidy bonds will result in an in an intercontinental range and which will crease of between 11 and 14 basis points In concluding, we would like to return to not be counted under the limits of the in the cost of tax exempt financing for low the three points that we made at the begin treaty. and moderate income rental projects. Thus, ning of our testimony. First, mortgage sub I think Paul Nitze's comments are par mortgage subsidy bonds will actually increase sidy bonds are enormously expensive and ticularly interesting regarding the deci the cost of shelter for those most in need. could eventually cost as much as $10 or $20 billion a year. Second, they make it harder sion of President Carter to cancel the In addition, if mortgage subsidy bonds a.re B-1 bomber prior to the negotiations in part of a trend-and they would appear to to solve this nation's number one economic be-radical changes could be ahead for the problem, which is inflation. And third, they Geneva. When Senator TOWER went to tax exempt market. This market has been waste an enormous amount of money on Geneva to participate in the U.S. SALT increasingly diverted from its historic use for public assistance for the well-to-do. For delegation, he asked the Russians what traditional public projects. For example, these reasons, we a.re opposed to mortgage concession they were going to make to revenue bonds now comprise about % of the subsidy bonds, and are in full agreement reciprocate for the U.S. B-1 cancellation. tax exempt market, while general obligation with Mr. Ullman, Mr. Conable, and the care The Russians informed the Senator that bonds were predominant as recently as two fully thought out legislation that they have introduced. they had no intention of reciprocating or three yea.rs a.go. As the tax exempt market for they were not pacifists or philanthro expands, there will be a considerable change APPENDIX A in the method of allocating capital within pists. our economy. Decisions about the allocation CALENDAR YEAR CHANGE IN TAX LIABILITY UNDER H.R. 371-2 I urge my colleagues to read this edi of capital will be made increasingly by gov torial in light of the grave importance ernment, and not by market forces. (In millions of dollars) of this issue: This Administration has consistently rec 1979 1980 1981 1982 1983 1984 SALT II AND SOVIET SUPERIORITY ognized the need for a strong and active tax One practical way to measure the implica exempt market so that State and local gov Projected market share tions of SALT II ls by assessing the damage ernments can effectively carry their share of in 1984 of single responsiblllties under our federal system. family mortgages the weapons perm! tted each side could do financed with tax to the other. When this test is applied, However, as the tax exempt market swallows exempt bonds: up an increasingly large share of the sources SALT II counts the wrong things and of capital, its purpose ls diluted and its ef 0.10 .. ------39 183 469 920 1, 549 2, 345 America is the loser. 0.20 ____ ------50 260 771 1, 643 2, 878 4, 492 The Carter administration claims the fectiveness is diminished. 0.30 ____ ------56 325 1, 057 2, 368 4, 236 6, 681 Third, mortgage subsidy bonds raise sub 0.40 __ ------63 382 1, 331 3, 082 5, 586 8, 868 agreement will lead to "equiva.lency," that stantial questions about the role of govern 0.50. ------68 434 1, 598 3, 791 6, 931 11, 049 is, equal strategic nuclear power, a delicate ment in our free enterprise system. In many balance that wm prevent nuclear war. Well, localities across the country, government has Source: Office of the Secretary of the Treasury, Office of Tax let's see. gone into business in direct competition with Analysis. The treaty allows each side an equal num local banks and savings and loan associations. APPENDIX B ber of launch vehicles-2,400, later 2,250, of which 1,200 would be permitted to carry As a major newspaper has noted, this de LONG-RUN REDUCTION IN TAX LIABILITY FROM TAX EXEMP· velopment "carried to its logical, which 1s to multiple warheads. There are other sub TION OF MORTGAGE SUBSIDY BONDS (EXCLUDING VET· limits W'hich go beyond these numbers and say political conclusion, ... would put local ERANS' PROGRAMS) 1984 LEVELS governments in full competition with private are the same for each side, such as 820 land enterprise-the banks and savings and loans. (In millions of dollars) based missiles with multiple warheads. Those institutions could not win in such But equality, when expressed in terms of a competition because· of the income-tax Revenue cost: launch vehicles, is an musion. Here's why: quirk and might well be replaced eventually Current law The agreement permits the Soviet Union by local governments as the source of almost to retain 300 heavy intercontinental balllstic all mortgage money." (The Washington Post, Market share of single-family mortgages fi· missiles. The U.S. has none. The USSR wm be April 21, 1979, page 14.) We do not believe nanced with tax-exempt bonds under current permitted to deploy four, six, and 10 war that it would be healthy to have government law: heads on each of its SSl 7's, SS19's, and free 0.10______4, 413 replace enterprise in such a large sector 0.20______8, 826 SS18's, respectively. The U.S. will have no of our economy. 0.30______13, 239 more than three per missile. It wm be im Fourth, a large increase in the volume of 0.40 __ ------17, 652 possible for the U.S. to have more than 550. tax exempt bonds would do considerable in 0.50______22, 064 perhaps fewer, weapons with multiple war jury to the talrness of our tax system. It heads by 1985 when the treaty expires. The would literally make it possible for wealthy Source: Office of the Secretary of the Treasury, Office of Tax Soviet' side will almost certainly have de investors to escape taxes completely on bil Analysis. ployed its full 820, probably by 1982. Whv? lions of dollars of income each year. We These figures reflect volumes of mortgages The Soviet Union ts producing between 150 should not be making it any easier for the and 200 intercontinental ballistic missiles rich to avoid paying taxes. outstanding financed with tax-exeinpt hous ing bonds at alternative projected long-run per year. The U.S. is producing none. OTHER PROVISIONS shares of mortgage market. The projected Ironically, the agreement allows, indeed H.R. 3712 would continue to allow tax end of 1984 stock af all outstanding mort encourages, a continuation of the nuclear exempt financing for rental housing, but gages for slngle-fainlly· housing ls $1,678.3 arms race. Under its terms, by 1985, the would limit such financing to low and mod billlon.e number of Soviet warheads wm have dou erate income projects. In some instances, tax bled. The U.S. will have increased its war exempt financing has been use::i in connec head supply by half. The area-of-destruc tion with high rent projects for the well-to tion capabtltty of Soviet weapons w111 have do. Therefore, we believe a limit of this kind SALT II: THE UNEQUAL TREATY increased by half, America's by a quarter. ls necessary and appropriate. However, we are The capabtltty of Soviet weapons to knock concerned that the b111 may go too far in out hardened misstle stlos wm have in limiting efforts to promote economically in HON. STEVEN D. SYMMS creased tenfold, Amerlca's comparable capa tegrated rental housing for low and moderate OF IDAHO btltty by only fourfold. In addition, Soviet income fammes. installations protecting land-based mis The b111 also would allow States to finance IN THE HOUSE OF REPRESENTATIVES stles, command posts, and shelters for the homes for veterans with tax exempt general Thursday, June 21, 1979 leadership, will be "harder" than America's obligation bonds. We believe that the Com hence more dlftlcult to destroy. mittee sl:lould eliminate this provision. • Mr. SYMMS. Mr. Speaker, I wish to On top of that, the USSR has increased For the next several days, the Committee submit to the RECORD an excellent edi .. its destructive firepower with a technical will be hearing testimony from a number of torial from the June 16 Detroit News. advance that is not dealt with by the treaty. witnesses who have sincere concerns about This editorial brings out some of the The Russians "cold launch" land-based mis- • June 21, 1979 EXTENSIONS OF REMARKS 16141 slles-that is, they fire the missile from to conclude that ratification of SALT n crewmen and fighting ships' companies-the the silo with compressed air and ignite its would be a disaster of the most fateful vast majority of military personnel today a.re rockets when it's airborne. American mis kind.e involved in supporting the combat mission," siles are fired in the tube--a hot launch. the study found. The Soviet silo is ready for rapid reuse. The A presidential commission ls studying the American silo first must be cooled. SEASONED MILITARY PERSONNEL military retirement system, and the Carter Also excluded from SALT II is the Soviets' NEEDED administration is expected to suggest revi intermediate SS20 missile, which is poised sions of the system based on the commlsslon's against Western Europe and China. The findings.e addition of one rocket stage converts this missile into an intercontinental strategic HON. RON PAUL weapon. The extra engines are easy to hide OF TEXAS and can be quickly attached. IN THE HOUSE OF REPRESENTATIVES DOMESTIC POLICY REVIEW OF SOLAR ENERGY Nor is the Soviet Backfire nuclear bomber Thursday, June 21, 1979 counted. It has intermediate range but cain reach American targets with in-air refueling, • Mr. PAUL. Mr. Speaker, those pro or by flying a "one-way" trip to Cuba. It also moting the draft claim that we need HON. TIMOTHY E. WIRTH could launch cruise missiles ove.r Canada, more green 18- and 19-year-olds to fill OF COLORADO to reduce the depth of penetration required our Armed Forces. IN THE HOUSE OF REPRESENTATIVES to attack American targets. But with today's weapons, and the de What are the unarguable implications of Thursday, June 21, 1979 this growing disparity in destructive power? fense needs of our own country, more By the 1980's, the USSR will have the seasoned military personnel are not only •Mr. WIRTH. Mr. Speaker, yesterday capability of destroying 90 percent of U.S. more efficient, they are also less expen President Carter outlined his program intercontinental land-based missiles with sive. for advancing solar energy. While I was one strike, using only about a fifth to a third For our Armed Forces to spend billions pleased to see the statement from the of its multiple-warhead missiles. The same training reluctant boys and girls under administration finally made public, I was asault would also destroy about half the American subma.rine missile force normally a dr~t makes neither militaryzr eco disappointed with the depth, quality and in port for refitting, as well as an estimated nomic sense. quantity of the administration's com 60 percent of America's aging bomber force, Recently the Washington st re- mitment. My own remarks on the ad the portion normally not on alert. The new ported on a Brookings Institution study ministration's program are available est of the B52's is almost 20 years old. on this subject. I would like to bring the elsewhere, today I wanted to share with Obviously, the surviving U.S. strategic Post article to my colleagues' attention: my colleagues the reaction of the solar force would be hugely outmatched. An STUDY FAVORS KEEPING OLDER SOLDIERS lobby, an umbrella organization for var American president might have only a half ious solar groups. This thoughtful an hour to decide whether to fire off a futile (By Keith Richburg) volley in revenge, or capitulate to save A Brookings Institution study says that alysis, done the evening of the Presi America's city populations. What do you the U.S. military could be made more pro dent's announcement, presents a com think he would do? ductive--at a $300 million saving-by re prehensive discussion of what should be It can ·be seen with shocking clarity that .talnlng more older military personnel and done and how that compares-to the ad SALT II is misnamed. It is not in any real enlisting fewer recruits. ministration's program. I recommend sense an arms limitation treaty at all. It is a The report released yesterday contradicts this statement to those of my colleagues framework in which the race for nuclear pre a tradition of the m111tary-the recruiting of who are interested in solar energy: dominance will continue, with critical ad young men and women while using hefty TESTIMONY OF HERBERT R. EPSTEIN vantages established for the Soviet Union. pensions and bonuses to entice older per America's budgeted direct expenditures on sonnel into early retirement. Mr. Chairman, members of the committee, strategic nuclear forces are now a·bout $10 Most military personnel now retire after ladies and gentlemen. I am Herb Epstein, billion a year, compared with $30 b11lion a 20 years of service, and most go into the pri Legislative Representative of the Solar year in today's dollars in the 1956-62 period. vate sector to collect salaries on top of their Lobby. I am pleased to have the opportunity The Soviet Union consistently increases its pensions. The retirement system was de to testify before you today. expenditures for these weapons; the U.S. signed to create high turnover. The Solar Lobby grew out of the efforts just as consistently has been reducing them But, the study says, in light of today's to organize Sun Day-the lnternational cele unilaterally. highly technical mmtary, where interconti bration of solar and renewable energy sources SALT II has yet E\ further faillng. The U.S. nental missiles have replaced trench soldiers that ~began last May 3. Our group opened for wanted a permanent limitation agreement, and where wars can be conducted by pushing business on August l, 1978. By August 1, 1979 but SALT II expires in 1985. Thus, America's buttons on consoles, there is no longer such we wm have almost 30,000 members-people position would ·be perilously weak when the a need for "youth and vigor." who believe that an expeditious transition time came to write SALT III. By then, under The study concludes that retaining older, to the use of renewable resources must be the terms of SALT II, America would have more experienced personneil is important for come a high national priority. This beUef lost the arms race. the modern mmtary. It recommends increas mirrors the attitude of the public at large. Paul H. Nitze, chairman of policy studies ing the minimum length of service of mm Up to 94% of the population favors a sub for the Committee on the Present Danger, tary personnel and eliminating the pension stantial federal program to develop solar stated recently: and fringe benefit package that has been used energy. "Sen. Tower went to Geneva to participate to make retirement after 20 years attractive. Yesterday, almost 14 months after 1nit1at- with our delegation in the negotiations for a Instead, the study recommends the mm 1ng the Domestic Polley Review (DPR) of few days. !He arrived shortly after the Presi tary use increased pay "to promote retention Solar Energy, and 2% years after taking of dent had announced his decision to cancel and enrich the experience mix of the mmtary fice, President Carter finally announced the the Bl (bomber). Sen. Tower asked acade labor force. substance of the administration's solar pol mician Shchukin, the most able and dis "Since military pay is now in line with icy. But despite the carefully crafted rheto tinguished member of the Soviet delegation, federal civilian pay, it would be reasonable ric, the apparent commitment to a 20% what the Soviet side would do to reciprocate to allow military personnel to retire in much aolar goal ln 2000, and the seemingly 1ln for our cancellation of the Bl. Mr. Shchukin the same way their c1v111an counterparts press1ve list of new initiatives, very little replied: 'You misunderstand us. We are not do . . ., " .the study says. has changed. pacifists nor are we philanthropists.' I am The study says that retaining experienced For the past year, I have worked closely sure Mr. Shchukin had in mind a third point personnel also will mean a financial savings, with DPR omclals, particularly in formulat but was too polite to make it. 'Nor are we because "a young force is an inexperienced ing Option Ill-the High Case. I have fol fools.'" force .... The appropriateness of a mmtary lowed the proposals as they progressed It is urgent that the American people make work force in which close to 40 percent of through the lnteragency panels, to the Do up their minds about SALT II, not on the the employes are apprentices, helpers or mestic Policy Staff and eventually to Presi basis of whether they would like to see an trainees ls called into question." dent Carter. Yesterday we were briefed at the equitable arms limitation treaty ratified by The study found the major burdens of White House on the details of the President's the Senate, nor on the basis of that dream maintaining a. young mmtary to be the in decisions. of world peace and safety that all sane men creased recruitment costs since the institu Since the President's announcement was share. It is urgent that they make up their tion of the volunteer Army, the costs of train made less than 24 hours ago, I have not had minds, and then advise their senators, on the ing programs and the costs of supporting new the opportunity to prepare a comprehensive basis of what this treaty provides. recruits with families and dependents. written evaluation of his program. However, And after they have contemplated the "Unlike the armed forces of earlier eras I would like to preface my prepared rema.rks enormous advantages the treaty would pro that were dominated by combat operatives by giving a brief reaction to yiesterday's vide the Soviet Union, they can hardly fail infantrymen, .tank crews, artUlerymen, air- events. 16142 EXTENSIONS OF REMARKS June 21, 1979 My analysis will cover the following ques reorganized to give higher priority to con to obtain 3Y:z milllon barrels/day by HIOO tions: servation and renewable energy. The most with gross federal outlays of about $85 bil ( 1) Is the President's program commen sensible approach is to create a second under llon. For less than 40 percent of the cost surate with the administration's goal of sup secretary with responsibility for these areas solar could produce about 70 percent of plying 20% of U.S. energy and renewable as well as environmental programs. the energy. sources by 2000? Mr. Chairman, what I have outlined is a Of course the risks assoclated wl th an ( 2) How does the program correct existing program more costly, ambitious and far aggresslve solar program are considerably less federal policies which. the DPR concluded, reaching than the President is wllllng to than those associated with an all-out effort discriminate against solar energy? adopt. However, it is the kind of federal effort to develop synthetic fuels. An ambitious solar (3) How much additional spending is the necessary to achieve the 20 percent goal. program would not increase the net at administration willing to commit to solar There is some significant evidence that the mospheric carbon dioxide balance. It would energy? Where will the money come from? American people are willing to pay for an not require diversion of the water resources (4) How has the administration's solar accelerated transition to a renewable energy from agricultural purposes to energy pro policy been affected by the events at Three society. A recent NBC-AP poll asked a ran duction. It would not require strip-mining Mlle Island, and the OPEC decision to raise dom sample of 1600 Americans what their vast amounts of range land. prices while decreasing production? preferred energy source would be for the No one disputes the fact that solar would (5) Wha.t changes a.re proposed in the .year 2000. 52 percent chose solar; 21 percent have a beneficial impact 011 environmental structure of the Department of Energy, which coal; 16 percent nuclear and 4 percent oil. quality. However, a crash program to produce has the responsib111ty for the lion's share of Respondents were then asked how much synthetic fuels from coal and oil shale could the federal solar program? more they would be willing to pay for solar have a deleterious effect upon the environ [Oral presentation follows.) energy on a monthly basis-assuming that ment. The "Special Projects" office in the What kind of federal program ls needed solar costs more. I have computed weighted Jackson bUl would apparently be exempted to attain the 20% penetration level in the averages, utilizing the findings of the poll from the National Environmental Polley Act. DPR Middle Case, of the 25%-30% level in and would like to share the results with the Similarly, the administration has been con the High Case? A set of policies designed to committee. sidering the merits of, in effect, suspending reach these goals have been specified on According to the poll, the average American the Clean Air Act to encourage burning of Option ill of the DPR. They have been fur would be willing to pay about $80 a year coal in central genera.ting stations and in ther elaborated in the "Blueprint for a Solar more for solar energy. This amounts to about dustrial boilers. America." Let me quickly highlight some of $17 billion/year for the population as a whole Mr. Chairman, an Option III Solar pro the key elements for the committee. and $8 billion/year/economic unit. This ls gram, even one that includes mandatory use First, a well endowed Solar Bank, that the arithmetic average. About one eighth of of solar energy; ls gentle compared to the finances long term-low interest loans and those polled would be willing to pay more alternatives that are currently being de operates a secondary mortgage program. than $300/year additional for solar. About 30 bated. Indeed mandating the use of solar Funding for the Bank should begin in FY- percent are "not sure" how much they would energy and energy conservation may be the 80. The administration's proposal to begin want to pay. And one-quarter of the public only saleable alternative to the mentality funding in FY-81 will retard the growth of is unwilling to incerase their monthly bllls seeking to "produce, produce, produce" our the solar industry in much the same fashion to finance solar energy. way out of the energy crunch with synthetic as the 18 month delay in the passage of the It ls instructive to evaluate the results of fuels. NEA Tax Credits. this poll in light of the conclusions of the Solar Energy of course has substantial Second, tax credits for industrial process Domestic Polley Review of SOiar Energy. Ac benefits, both to the federal government and heat must be 50% instead of the 30% pro cording to the DPR a federal program to to society as a whole. Some of these bene posed by the administration if we want to achieve a 25 percent-30 percent solar pene fits were enumerated in the Domestic Policy make this technology competitive in the early tration by 2000 would cost $85-110 bllllon in 1980's. Similarly the passive tax credit must Review. However, six months after the DPR gross outlays. If savings to the Treasury re was completed, DOE has not yet quantified be made available to homeowners as well as sulting from savings in subsidies to fuels large tract builders-consistent with the the dollar benefits of these programs. Let displaced were subtracted, the net cost would me briefly run through these benefits with proposals in DPR Options III and II. The ad be about $60-85 billion through 2000. This ministration's passive tax credit is a trun the committee. amounts to $3-4 bllllon/year--conslderably First, there are subsidies to fuels dis cated version of the Option II initiative. less than the $17 blllion in annual expendi Both tax credits are currently linked to placed. The DPR Technical Limits Case "dis ture that the American people are wllllng to places" about 19Y:z quads of conventional the Energy Security Trust Fund. This is not make in order to afford solar energy. the way to finance solar energy programs. The DPR also calculated the total cost to energy more than the so-called "Base Case" Third, the federal government needs to society of achieving the levels of solar pene by 2000. Roughly 6 quads of coal, 6 quads of take a leadership role, ut111zing its own tration in the High case. The panel utmzed nuclear power, 5Y:z quads of oil and 2 quads buildings, fac111ties, vehicles and programs extremely conservative assumptions that de of gas will not have to be used in 2000 if to promote the solar transition. This would llberately overestimated the likely cost of the levels of solar utmza.tton projected in include the following: solar technologies and understated the costs the Technical Limits· Case are realized. (a) requiring that an increasing percent of conventional sources. For example, the A recent study by the Battelle Corpora age of new generating capacity for FPGMA's computations assumed that the price of oil tion, commissioned by DOE, concludes that be supplied by renewable sources; would be $25/barrel in the year 2000. Spot the federal government has spent roughly (b) requiring that an increasing percent market prices have already exceeded $35/bar $200 blllion in the last 50 years in direct age of REA loans be given for renewable rel this year. I certainly would not be sur production subsidies to conventional sources generating capacity; prised if the oil prices were to reach $25/ of energy. The amount is growing substan ( c) supplying increasing percentages of barrel by the end of 1980. tially. Battelle's initial estimate ls that these energy for new federal buildings from pas Utlllzing conservative computations · the subsidies cost the federal government at sive and active solar, wind, photovoltaics, DPR estlmated the cost of the High Case least $10 bllllon in FY-78 and possibly as wood, low head hydro, etc. . . .; for society as a whole at about $350 billion much as $17 billion. Ma.king conservative as (d) ut111zing an increasing percentage of through 2000. That amounts to about $17 sumptions, we can guesstimate that the fed alcohol fuels in the federal gasoline mix. billion/year-just the additional amount eral government wlll pay $25-50 blllion less Fourth, 1! tax credits are not sufficient to that the public has said it is willlng to pay in subsidies to other sources by 2000-if we spur the rapid adoption of passive solar, the for solar energy-if we apply the $80/year reach the "Technical Limit" of solar pene federal government should mandate its use average to all people in the U.S. tration. This ls one quarter to one half the in 75 % of all new construction, starting in Mr. Chairman, this program may be cost cumulative cost of Option III. the mid-1980's. Passive is the most cost ly, but the American people are wllllng to This one potential saving mustra.tes why effective, least material intensive renewable pay !or it. I would submit to you that the it must be the highest priority for DOE and technology and should receive the highest rrogram would cost less than a comparable other agencies to quantify the benefits of an priority in any federal court. The Building effort to supply a substantial fraction of accelerated solar transition. Both the execu Energy Performance Standards should be the nation's energy from other sources. tive and the legislative branches of govern adapted to mandate passive solar in new In the last two weeks we have seen a ment wlll be examining only one side of the construction. well-orchestrated campaign touting an am balance scale until that information ls avail Fifth, energy and agricultural policy need bitious program to produce energy from able. to be closely coordinated to ensure an ade synthetic fuels. One version of this program DOE and its contractors are in the process quate supply of feedstocks for alcohol fuels. would "produce" a 5 million barrel/day in of identifying and quantifying some of those Once existing setaside subsidies are trans crement by 1990, at a cost to the federal benefits as part of the congressional man ferred to production of alcohol fuels, then government of about $200 bllllon. I think dated "National Plan for Accelerated Com the federal government can mandate a set this goal ls overly ambitious and the cost mercialization of Solar Energy." I would and increasing percentage of gasohol in the unrealistically low. urge the committee to consider holding total gasoline mix. A very ambitious solar program---0! the another set of hearings to explore the prog Sixth, the Department of Energy should be sort outllned .in Option III might be able ress th.at DOE has ma.de, in the near future. June 21, 1979 EXTENSIONS OF REMARKS 16143 Let me briefiy enumerate some of the THE 33D ANNIVERSARY OF ITAL in promoting the free exchange of re other benefits that must be quantified. IAN INDEPENDENCE DAY ligious ideas, both at home and abroad. Health Ca.re Costs-The DPR Impacts As an American of Italian origin I am Panel has estimated reductions for oxides also proud to note this Nation's humani of sulfur, pa.rtlcula.tes, oxides of nitrogen, HON. MARIO BIAGGI tarian commitment to Italy when it pro carbon monoxide a.nd other pollutants for OF NEW YORK solar ut111za.tion levels associated with the vided $25 million for emergency relief various cases. Not surprisingly, the reduc IN THE HOUSE OF REPRESENTATIVES assistance to aid the victims of that tions are most impressive for the "Technical Thursday, June 21, 1979 country's worst earthquake in 60 years. Limits Case." This aid was critical in helping to avert There is obviously a. relationship between • Mr. BIAGGI. Mr. Speaker, with great the Communists from exploiting this in expected reduction in various pollutants and pleasure and personal pride I wish to cident for further political gain. corresponding reductions in respiratory dis take this opportunity to note that this I also feel that it is appropriate to note ease, cardiovascular disorders and cases of past June 2 marked the 33d anniversary the many contributions which Italo cancer. The precise nature of the relation of the Republic of Italy. This most sig ship needs to be determined. However, recent Americans have made to this country. I studies by EPA a.nd the National Institutes of nificant event is hailed by freedom-lov take particular pride in the fact that we Hee.Ith clearly reaffirm that a. significant por ing people the world over, in the Repub now have 32 Members of Congress who tion of major health disorders ca.n be attri lic of Italy, in the United States, and in are of Italian origin. This figure is the buted to environmental ca.uses. the rest of the free world. highest in history and I expect it to rise Clearly, health costs a.re rising a.t lea.st a.s The Parliamentary elections earlier as well as see more Italian-Americans rapidly a.s energy prices-perhaps more this month marked an important victory making gains in both the public and pri rapidly than a.ny other major component of for the Christian Democratic Party the consumer price index. The federal gov vate sectors of our society. The inftuence ernment is currently absorbing almost 30 which has survived a series of challenges of Americans of Italian origin has percent of the nation's health bill. Even a. and tragedies of late. Having maintained touched upon almost every aspect of our five percent a.nnua.l reduction of that bur its viability despite a devastating loss society in the promotion of new political, den would pa.y the costs of Option III. with the kidnaping and subsequent economic, religious, and social issues and The DPR ha.s concluded that solar energy ruthless murder of its President, Aldo I am proud to be a part of this tradition. generates more net employment than con Moro, the party has managed to retain As a final note, I would also like to pay ventional sources. Once a.gain that increase its prominent position in Italian poli tribute to the Honorable Ambassador in employment varies directly with the pro tics. The Christian Democrats received jected level of solar penetration-a.bout 10 from the Republic of Italy, His Excel mlllion cumulative person yea.rs through 2000 38.3 percent of the vote while their clos lency Pollo Pansa Cedonio who has been in the "Technical Limits Case." In addition est challengers, the Communist Party, most responsive to the needs of Italian to receiving taxes from newly employed solar dipped 4 percentage points, receiving Americans as well as his fellow country workers, the federal government would be only 30.4 percent of the vote. These re men in his capacity as Ambassador. I absorbing smaller a.mounts of unemployment turns are most significant in the fact wish him continued success and best a.nd welfare payments. that they represent a repudiation of the wishes for the year ahead.• Other benefits a.re more difficult to esti more radical, destructive mentality that mate. For example, everyone acknowledges that solar energy would reduce dependence gained momentum in Italy in previous on imported oil. In the "Technical Limits years. It is a tribute to the citizens of BASTROP GRADUATES Case," the reduction in oil consumption is Ita.ly that they have seen fit to turn the estimated a.t 5.6 quads-roughly 2.8 million tide against this most dangerous trend HON. J. J. PICKLE barrels/day by 2000. and further solidify their commitment Such a. projected reduction has implica to the West. OF TEXAS tion for other government policies. For exam The Republic of Italy, established on IN THE HOUSE OF REPRESENTATIVES ple, the Strategic Petroleum Reserve is pre Thursday, June 21, 1979 dicated on the assumption that we need to June 2, 1946, opened a new era in the establish a. cushion against the possib111ty modern history of a country which had • Mr. PICKLE. Mr. Speaker, I recently of another oil embargo. As this committee been ruled with a Fascist government had the honor to address the 1979 gradu well knows, the SPR was the single largest during World War II. ating class of Bastrop High School in item in DOE's FY-79 budgetary request. The size of the cushion clearly should The liberation of Italy and the demise Bastrop, Tex., in the heart of central bear some relationship to the amount of oil of Mussolini by the allied forces marked Texas. we import. If we can reduce the level of a significant turning point. The people The 125 graduates are dedicated and imports by 2.8 million barrels/day by 2000, of Italy dissolved their monarchy, held ready to assume their next steps • • • we can a.so progressively reduce the pro elections for a constituent assembly in whether they be college education, voca jected size of the strategic petroleum 1946 and adopted a new constitution in tional education, business, or agriculture. reserve. 1947. The new era of democracy found Widespread utilization of solar energy can Today's graduates face critical chal also have a. major effect on ta.x revenues. Cur the Christian Democratic Party receiv lenges in the years ahead. We often won rently the electric ut111ty industry, one of ing major support and emerging as the der about the future, worry about adapt the largest industries in the country in main force in Italian politics, which re ing to new ways of thinking, adjusting to terms of invested capital, pays a. very small mains their position today. possibly disruptive change. percentage of federal income ta.x. Several Under the Christian Democrats, Italy But the Bastrop graduates received consumer groups a.re advocating that, be has emerged in the free world as an im some inspiring thoughts and good, square cause of so-called "phantom taxes", the fed eral government would receive greater rev portant member of the European Com advice from two of their classmates. I am enues if ut111ties were exempt from federal mon Market, the European Parliament, happy to present excerpts from the taxation. the United Nations, as well as an un speeches of the Bastrop class valedicto Solar businesses, even with the substantial swerving NATO ally with the West. rian, Gayle Rathman, and salutatorian, tax breaks that are proposed in "Option III", As a strong survivor of totalitarian Joan Seidel. · would stlll pay a larger percentage of taxes/ rule and a leader in the promotion of l\1s. Rathman achieved a grade aver dollars of invested ca.pita.I than uti11ties do. democracy worldwide, the Republic of age of 97.649, while Ms. Seidel amassed To the extent that an accelerated solar a 96.621 average. I am prould to recognize strategy ctiverts ca.pita.I a.way from the utility Italy has maintained its versatility and sector, revenues to the federal government vitality throughout the many challenges, these two outstanding students and wish would increase. including communism, which have faced them the best. There are uther economic benefits of solar it. The recent visit of Pope John Paul II Their remarks show that today's energy, some of which affect society as a to his native Poland, which has been youth, far from being pessimistic or whole as well as federal revenues. These in under the control of Moscow for some "down" on the future, are positive in clude lower costs for radioactive waste stor time, represents unequivocably that the their approach to life and ready to bene age; potential reduction in the reserve mar fit society. gin for ut111ties; reduced expenditures for Communist Party is on the wane in Eu pollution control eauipment, and so on. The rope. Under the republican government, We congratulate the Bastrop High "non-federal" benefits need to be quantified the entire free world has benefited from School seniors on their achievements and as weu.e the spiritual leadership of the Vatican salute their capabilities and spirit. 16144 EXTENSIONS OF REMARKS June 21, 1979 The excerpts follow: lems. If we use the knowledge that we have dating an end to the declared "fuel emer GAYLE RATHMAN, VALEDICTORIAN, BASTROP gained in the past, we can understand the gency." It is thus flexible enough to re HIGH SCHOOL, CLASS OF 1979 present and begin to build on the future. spond to changing requirements and yet We will reach our goals because • • •. AIM FOR A STAR We think we can! preserves congressional control. A:1m for a star! Never be sa;tisfied Some of my colleagues have proposed With a life that is less Mr. Speaker, we can all be inspired by similar legislation to help the truckers. Than the best. these positive thoughts. The young peo In no way do I consider this bill the only Failure lies only ple of today want to have a goal, they approach to resolving the specific prob In not having trled- are determined and they are confident. lem of uniform weights and lengths. Nor In keeping the soul suppressed. In short, they are our future-and our is it a panacea for eliminating all the Aim for a star! Look up and away, future has never been in better hands.• difficulties facing the truckers. I do, how And follow its beckoning beam. Make each tomorrow a better today ever, believe that some action in the near And don't be afraid to dream. future is essential, and thus I very much FUEL EMERGENCY TRUCKING ACT hope that hearings can promptly be held Aim for a star, OF 1979 And keep your sights high I to consider this bill and any other pro With a heartful of faith within, posed legislation relating to the truckers' Your feet on the ground, HON. JOHN J. CAVANAUGH fuel crisis. And your eyes on the sky, OF NEBRASKA A copy of H.R. 4525 follows: Some day you are bound to win I H.R. 452•5 -Helen Lowrie Marshall. IN THE HOUSE OF REPRESENTATIVES A blll to amend title 23, United States Code, I have never to this day, or at any time in Thursday, June 21, 1979 to authorize the Secretary of Transporta my life, been willing to believe that I have e Mr. CAVANAUGH. Mr. Speaker, on tion to establish uniform national stand done all I could. I know that success means June 19 I introduced H.R. 4525 to help ards for weight and length of vehicles us nothing if one has not taken great trouble; ing the National System of Interstate and and failure means nothing if one has done resolve the diesel fuel shortage which Defense Highways during a. fuel emergency, the best one can. One of the most important has played havoc with the trucking in and for other purposes lessons I have learned is that nobody wm dustry in many States, particularly in Be it enacted by the Senate and House believe in you unless you believe in yourself the Midwest. Many have recognized that of Representatives of the United States of first. If a person doubts his own ab111ty, how the absence of uniform weight and length America in Congress assembled, That this can he convince others of his worth? standards for interstate truckers has ex Act may be cited as the "Fuel Emergency We tea.ch others to believe in themselves acerbated an already critical shortage Trucking Act of 1979". through a combination of love, encourage SEc. 2. Section 127 of title 23, United States ment, and example. Love, an honest concern of diesel fuel by requiring truckers to travel thousands of extra miles per year Code, is amended by inserting "(a)" before for the other person, has always been an un "No funds authorized" and by adding at paralleled way to develop people. Encourage to avoid States with lower limits. The the end thereof the following new subsec ment is of vital importance, too. Simply be Fuel Emergency Trucking Act of 1979 tions: lieving in someone can be the best way to would authorize the Secretary of Trans "(b) (1) The Secretary is authorized to encourage him. If you believe in someone portation to require all States to comply declare the existence of a fuel emergency in else's talents strongly enough, fairly soon he with federally mandated standards dur the United States for the purpose of maxi wm begin to believe, too, and the results can mizing fuel efficiency in interstate freight often be nothing short of miraculous. Self ing the existence of a declared "fuel emergency." trucking and, to that end, to establish uni encouragement works, also. form national standards· for weight and If one ca.n take the factors of success and I am under no illusions that this action length of vehicles using the Interstate Sys put them into practice, then he or she has by itself will end the difficulties in which tem during such emergency. In establishing won the greatest success that any person truckers now find themselves. The prob such standards, the Secretary shall give pri can ever win. These factors are:_believing in lems of fuel allocation and price must be mary consideration to fuel-saving criteria, yourself, setting your dream, having the de addressed at their roots--our national although other factors, including but not termination to complete the dream, dedica energy policy, or more correctly, the lack limited to specific structural limitations, may tion to your dream, self-dlscipllne and sacri of one--in order that this segment of be taken into consideration. fice in achieving your dream, an attitude for "(2) A fuel emergency declared by the Sec reaching the dream. and above all, respect. our economy be restored, along with retary under this sootlon and any uniform Alm for a star. many other ailing industries, to full national standards established with respect health. But we must act now to help the to such fuel emergency shall take effect at JOAN SEIDEL, SALUTATORIAN, BASTROP HIGH truckers through the immediate crisis such time as the Secretary may prescribe SCHOOL, CLASS OF 1979 which threatens their investment and and shall remain in effect for a period of six WE THINK WE CAN their livelihood. months or for such shorter period as the I also recognize that setting national Congress may provide by concurrent resolu As we look back, we see 12 years of formal tion. If, before the end of the effective pe education based on accepting responslb111ty weight and length standards with which riod of a fuel emergency declared by the and making decisions. If we participated in all States must comply raises the issue Secretary which is not reduced by adoption any type of sport or club, we hoo to accept of Federal encroachment on the pre of a concurrent resolution, the Secretary some responslbll1ties. The knowledge that rogatives of the States. But we must transmits to the Congress a report of his we have attained from our education has accept the responsibility for action determination that such fuel emergency stm helped us make many decisions and wlll aid commonsense action-which the fuel exists, the Secretary may extend the effec us in solving future problems. This knowl shortage imposes on the Congress. The t! ve period of such fuel emergency and any edge wlll serve us in reaching our goals and uniform national standards established with finding our vocations. Congress must demonstrate to the Na respect to such fuel emergency for an addi When we take advantage of numerous op tion that it is capable of moving swiftly tional period of six months or for such portunities, we see a spectrum of careers and compassionately to ameliorate the shorter period as the Congress may provide and professions awaiting us. We begin to damaging effects of the oil crisis. We can by concurrent resolution. view education in a new perspective. It is the ill afford at this time to have each seg " ( 3) The provisions of section 553 of title link between us, the graduates, and society. ment of the economy fighting to carve 5 pertaining to rule making shall not apply We are grateful to our parents, teachers and out a bigger share of a shrinking pie. to any action which the Secretary may take community for this priceless gift. The Fuel Emergency Trucking Act under this subsection. The time has come for us to contribute "(c) If, during the effective period of a what we can to society. We can help this seeks to maximize fuel efficiency in the fuel emergency declared under subsection world by applying our thinking and reason transport of freight by interstate truck (b) by the Secretary, the Secretary deter ing abillty. We wlll be accountable for solv ers through a uniform national stand mines that a State is not enforcing any uni ing domestic and foreign problems. It will ard, but it is flexible enough to permit form national standard established by the take many intelligent people to find solu the Secretary of Transportation to take Secretary under such subsection with respect tions to such issues as the energy shortage, into account special local situations to such fuel emergency or is enforcing any world peace and respect for human dignity. where structural factors clearly require law, rule, regulation, standard, or other pro We must not be frightened of the future. vision contrary to any such uniform na We must attempt to face these problems with lower weight or size limits. Also, while tional standard, until such State begins en positive attitudes. Virgil, the greatest of the the act permits the Secretary to extend forcement of such uniform national stand Roman poets, said "You Cl;\ll because you the "fuel emergency" for additional 6 ard or ceases enforcement of such contrary think you can." . month periods, the Congress can at any provision or until the end of such period, We have the potential to solve these prob- time terminate his authority by man- whichever first occurs, the Secretary shall June 21, 1979 EXTENSIONS OF REMARKS 16145 not approve any project under section 106 The materials have caused a stir. They to crack down on criminal activity, from of this title in such State and no funds ap carry the slogan "Fight Cancer with drug-running to counterfeiting, that has a portioned to such State for expenditure on Your Bare Hands. Learn Breast Self Ex direct impact on the United States. the Federal-aid systems shall be available amination." Pictured with the slogan is Since his inauguration last August, Presi for expenditure in such State.".e dent Julio Cesar Turbay Ayala. has placed the a woman's hand and breast. Although Guajira Peninsula, which juts into the there has been some objection to use of a Caribbean and has long served as a. major photo demonstrating the self-examina shipment point for marijuana and oooa.tne, PREVENTING BREAST CANCER tion technique, most health professionals under the jurisdiction of Colombia's armed and community leaders have praised the forces American officials say the move has, campaign as tasteful and effective. for the first time, begun to disrupt the fl.ow HON. HENRY A. WAXMAN As chairman of the Subcommittee on of narcotics to the United States. Health and the Environment, I strongly The Tur'bay government .also has allowed OF CALIFORNIA U.S. Secret Service agents into Oolombia. for IN THE HOUSE OF REPRESENTATIVES support increasing emphasis on preven the first time as part of an effort by the F-2, tive health programs. A minute per this country's version of the F.B.I., to stop Thursday, June 21, 1979 centage-an estimated 2 to 4 percent of counterfeiting rings that have operated • Mr. WAXMAN. Mr. Speaker, survival our Federal health dollars-are pres freely here until now. rates for several forms of cancer have ently devoted to preventive health pro A raid last week, the third in recent improved dramatically in the last 30 grams rather than treatment of disease. months, netted more tba.n $4 mlllion in years, but the statistics on breast cancer Yet public health physicians frequently bogus dollar and peso notes as welil as false have been less encouraging. The mor advise our subcommittee that preventive passports and travelers checks. health programs are the most cost effec The Treasury Department estimates tha.t tality rate from breast cancer has barely a.bout 90 percent of all the counterfeit dollars changed in 50 years, according to Dr. tive we have. manufa.ctured a.broad that successfully reach Warren Cole, a former president of the I commend Community Cancer Con the United States come from Colombia, American Cancer Society, the Ameri trol/LA for its bold effort to impress the which over the pa.st tJwo ye.a.rs has probably can College of Surgeons, and professor public with the great importance of early become the world's leading producer of bogus and head of the department of surgery, diagnosis and treatment of breast can currency, according to American officials College of Medicine, at the University cer. Hopefully their fine work will in here. of Illinois in Chicago. However, there spire similar efforts all over the United It is drugs, however, that rema.in Colom bia's most important illicit export-worth an has been an important step forward: States.• estimated $500 million to $1 blllion a. year. It According to the 1979 American Cancer is estimated that 85,000 acres, mostly in the Society facts and figures, the 5-year Guajira., produce .a.bout 35,000 tons of mari survival rate for breast cancer has in COLOMBIA ATTACKS DRUG juana a yeJ"r. creased from 53 percent for cases diag TRAFFICKING The Genera.I Accounting Office has said nosed in the 1940's to 65 percent for that Colombia. is by ifa.r the most important cases diagnosed in the 1970's. Many ex source for b<>th cocaine and marijuana enter HON. LESTER. L. WOLFF ing the United States. perts attribute this change to the higher OF NEW YORK proportion of cases diagnosed at a local While Turkey's efforts thus far have not ized stage-an increase from 38 per IN THE HOUSE OF REPRESENTATIVES even come close to stopping the vast drug Thursday, June 21, 1979 trade that has flourish~ in Colombia since cent to 47 percent during the last 30 the early 1970s, the military campaign in years. • Mr. WOLFF. Mr. Speaker, a dele the Guajira. has achieved substantial results, A heightened awareness that early gation from the Select Committee on according to U.S. officials. diagnosis and treatment can not only Narcotics Abuse and Control visited Approximately 3,500 tons of marijuana., save lives, but extend life for breast Colombia last April and observed first worth an estimated $70 Inillion to Colom cancer patients has led to an important hand the efforts of the Colombian Gov bian drug runners and a.bout $280 million public information compaign now under ernment, under President Turbay, to when finally sold in the United States, have way in Los Angeles, Calif. In February been seized. About 1,000 Colombians and stop marihuana and cocaine trafficking. Americans have been arrested in the Gus. of this year, the first Monday of every With U.S. financial and technical assist Jira, and 65 to 70 airplanes and an equal month was declared officially "Breast ance, the Colombian national law en number of ships engaged in dr~g smuggling Cancer Control Day" at meetings of the forcement and military forces are en operations have been captured. Los Angeles County Board of Super gaging in a hard fought dedicated cam The Gus.Jira peninsula is a. rugged, moun visors and the Los Angeles City Council. paign to rid the country of this menace. tainous region populated largely by Indians Resolutions were sponsored by Super When we met, President Turbay con clinging to an ancient pre-Columbia culture. visor Ed Edelman and Councilman Mar firmed his commitment to take what The valley and villages a.re home to recent vin Braude on behalf of the Community ever steps are necessary. This is a mat Inigra.nts and peasants who left southern Cancer Control/Los Angeles, Inc. Colombia to escape the civil strike of 1949- ter of grave concern to him which he 58. Such services as sewage, health care and Community Cancer Control/LA Board recognizes as corrupting and destroying running waiter are rare, and transportation President Dr. John Hisserich has pointed his country. He made it clear to me that outside the towns is virtually impossible. out that breast cancer is the single most his actions serve Colombia's national Col. Miguel Maza Marquez, commander of important cause of cancer death among interests and he is not carrying on his the F-2, said la.st week that his efforts to American women. If it were contagious, campaign solely under pressure from the stop cocaine traffic in Colombia. has resulted it would be considered an epidemic. United States. The Colombian Govern in the destruction of 119 cocaine labora It is now well known that women who ment now has under study eradicating tories, the seizure of 2,639 kilos of cocaine practice breast self-examination the crops, which has been so successful and the de<;truction of 19,547 kilos of coca as a regular, monthly health habit have in Mexico, since despite the major inter paste headed for laboratories to be turned a much higher survival rate. Yet, from diction campaign much of the drugs are into granules of cocaine. a public health standpoint, a lack of In all, Maza. said the F-2 has arrested still being smuggled out of the country. 1,069 Colombians and 151 foreigners in con motivation and interest has been a real I would like to enter into the record obstacle to widespread practice of breast nection with the cocaine raids. an article by Charles A. Krause in to Because Colombian law enforcement of self-examination. day's Washington Post which relates the ficials have been so corrupted by drug To address this public health prob efforts of President Turbay and the money, however, there can be no guarantee lem, CCC-LA has launched an intensive problems he faces in carrying out his that all or even most of the marijuana and countywide awareness campaign through campaign. cocaine seized has been de<>troyed. Nor can posters, pamphlets, bus advertising, bill there be any guarantee that those arrested in boards, and public service announce The article follows: the drug raids have been kept in jail and ments on radio and TV to make women [From the Washington Post, June 20, 1979) tried-because it is still relatively easy to more aware of the importance of breast COLOMBIA, WITH U.S. BACKING, MOUNTS bribe authorities here to secure freedom self-examination. So far, more than DRIVE ON DRUG TRAFFIC from prosecution, according to diplomatic 7,000 posters and 100,000 pamphlets have (By Charles A. Krause) sources. been distributed; 400 buses carried ads BOGOTA, June 18.-Colombia has begun Nonetheless, American officials say that for 3 months. what aippears to be the first serious attempt Turba.y, who was stung by charges in the 16146 EXTENSIONS OF REMARKS June 21, 1979 United States ·that members of his family THE R. & D. BUDGET: SOME search and development efforts toward these are engaged in the drug trade, has demon THOUGHTS ON NEW DffiEC goals. Herein Iles the guts of science policy. strated since he assumed office that he ls TIONS-REMARKS OF HON. DON Herein lies the direction in which modern determined to cooperate with the United FUQUA society must move. Staites in trying to stop the drug trafficking. The Committee on Science and Technology This ls a major change in public attitude has long been involved in these issues. This from Turbay's predecessor, former president HON. GEORGE E. BROWN, JR. year, as a continuation of the committee's Al!onso Lopez Michelson, who took the po efforts, we conducted a 3-day inquiry into sltlon that "we are not corrupting the Amer OF CALIFORNIA the R&D portion of the Federal Budget, which icans, the Americans are corrupting us." IN THE HOUSE OF REPRESENTATIVES exists primarily in name rather than a.s a. Lopez' attitude was that the United States Thursday, June 21, 1979 separate entity. For the .most part, it is only should stop 1llegal drugs from entering its the compilation of numbers we see each year own territory and not expect Colombia to • Mr. BROWN of California. Mr. derived from individual budgets from the use its resources to stop marijuana and co many departments and agencies. Because of caine from leaving. Speaker, the gentleman from Florida, DoN FuQUA, chairman of the Committee the Large share of Federal R&D support and The Carter administration has offered Tur the manner in which Federal policies and bay $2.4 mllllon this fiscal year to aid in the on Science and Technology, recently ad regulations increasingly affect private invest drugs battle. The money ls being used to dressed the American Association for the ment in R&D, the dominance of the Federal provide rations for 6,500 soldiers now in Advancement of Science regarding the Government and its impact on the elements volved in the operatlo.n under the command Nation's research and development of our science and technology enterprise ts of Gen. Jose Vlllareal. budget. His remarks summarized testi probably greater than ever. In addition, the U.S. money is used for fuel for Colombian helicopters and destroy mony presented recently to the Commit The Science Committee has been charged ers that patrol the Guajira Peninsula and tee on Science and Technology by the with "special oversight" of government-wide radio communications equipment in coor President's science adviser, Dr. Frank research since 1975 a.nd is the only commit Pres-s, and Mr. Bowman Cutter, Executive tee with the full scope of Congress' responsi dinate raids. The United States is also in b111ty for oversight of R&D policy. This year stalling two radar units in the area. to mon Associate Director of OMB for Budget. marked our first attempt to review the total itor airplanes that regularly land at clandes This summary of how R. & D. budget · R&D budget. The delay between 1975 and tine airstrips, pick up their cargoes of "Santa decisions are made is vital information the present was the result of our acquiring Marta gold" and then return to remote for all Members of Congress, and I com- significant new legislative responsib111ties at landing strips in the United States. mend it to your attention. the same time, which tripled the time and The Colombian government has said it reserves the right to shoot down any plane Chairman FuQUA has also initiated leg- :~~i~;~==~ed for the additional authorization entering its airspace lllegally. The govern ~lation to mandate longer term bu~get- we began to explore the poss1b111ty of ment here has also announced a three mg for R. & D. and discusses that ISsue holding a Federal R&D Budget review last month study to determine whether it in his remarks. fall. Our principal objective was to under- should begin spraying marijuana fields with Mr. FUQUA's remarks follow: stand the R&D budget better-to learn how paraquat, a poisonous herbicide used suc THE R. & D. BUDGET: SOME THOUGHTS ON it ls fashioned, managed, monitored a.nd eval- cessfully in Mexico. NEW DmEcnoNs ua.ted, 1f indeed all of these were applicable. Despite the military takeover of the Gua We were not at this time concerned with the jira, the area is still known as a no-man's I a.m very pleased with the opportunity to activities of any particular program, depart- land where local "ma.fiosos," as those in address this AAAS colloquium. Although this ment or agency, nor did we wish to question vol vt:?d m the drug trade are called, have is only the fourth such gathering, it has the merits or demerits of any particular great influence-either as a result of brib nonetheless become an event of significance funding pattern. ery or the guns they wield. and tradition where scientists, engineers, we were fortunate in our inquiries to have During the first three months of this year, academicians and policymakers can discuss a. distinguished, knowledgeable and diverse there were 240 murders in Santa Marta and exchange information about research group of witnesses from the Office of Science alone:, the capital of the province which en and development policy and issues. and Technology Policy, the Office of Manage- compasses the Guajira Peninsula. Most of The Association has done an admirable job ment and Budget, the AAAS, the academic the murders are thought to be drug related. in arranging these conferences and providing community, the Genera.I Accounting Office Despite his public statements, there are a printed text of the conference proceedings. and from Congress itself with Representative those in the Guajira who believe Turbay's Your work has often become a springboard Pickle of Texas, a Member of the House Ways campaign against drug traffickers is aimed for both Executive and Congressional action and Means Committee. Their prepared state principally at the peasants who grow mari ln R&D policy. ments and answers to our inquiries have pro- juana and at minor drug dealers who buy I would like to devote the major part of my vided the Science committee with its first and sell relatively small quantities. remarks t.oday to a series of hearings that comprehensive look at the budget process, its Few of the really big-time "captains" Of the Science and Technology Committee held strengths and weaknesses. the drug-running trade have been arrested, this spring on the Federal R&D budget and I would like to share with you some of the according to several sources here, although to legislation which I have just introduced views expressed during those three days. On their identities are well known. as a result of these hearings. the initial day of hearings our lead-off wit- Throughout the Gua jira, the slogan "Tur The scientific progress of modern man has· ness, Dr. Frank Press, stated .that the Ad bay es la Mafia" is plainly visible on count been the most significant factor in allevia- ministration sought in this tight budgetary less walls. But there are other well-informed ting the burdens of primary existence to year to increase its support of R&D where Colombians-such as journalist Daniel Sam make life easier, healthier and happier. And the Federal role was most clear-the support per Pizano, whcse cclumn in El Tiempo, Bo yet, in some areas-especially nuclear-we are of basic research. The rationale being that gota's most infl.uential newspaper, is usu witnessing the growth of a dedicated anti- basic research ls unlikely to lead in the ally highly critical of Turbay-who believe science, anti-technology movement in to- near-term to commercial use, but rather pro the new president ls in no way connected day's society, at a time when the institutions vldes the fundamental knowledge for future with the drug trade and believe he is serious which have served us so well, our universl- technological growth. He stres'led that dem ties, our industry and the Federal Govern- onstratlon pro~ects, in particular, were rlgor when he says he ls determined to end it. ment, are finding increasing problems. ously examined for both the state of their Turbay and the "traditional fam111es" that Science and teelhnology are neither good technology and their economic potential be have long dominated Colombian economic nor bad; rather, it is the manner in which fore any were proposed. In discussing two and political life seem to have reached agree man uses science and technology that makes year or multi-year authorizations for R&D, ment that the "mafios::is" and the money them either good or bad. Thus, we must ac- Dr. Press felt that this extended process they command have not only given Colom cept the moral respons1b111ty that accom- would help provide stabllity for the pro bia a very bad international ima"'e but, more panles the use and application of scientific grams because agencies could plan their ef importantly, threaten the hold the tradi research. If we expect scle..,ce and technolo- forts and the research could be performed tional oligarchy has long enjoyed here. gical innovation to thrive. in this nation, we more efficiently. In summation he explained Stories abound of rich "mafiosos" buying must assume more responslb111ty in creating that in determining the budget requests for apartments and real estate in Bo1?ota as well an atmosphere for the continuous flowering FY 1980. the President, OMB and OSTP made as hotels, banks, and soccer teams throuspace shuttle. The areas not covered by the existing agree its future prosperity. We live in a techno Russian negotiators recently demanded that ments; and conventional arms compe logical society where investment 1n R&D i<> it be included in a proposed moratorium on tition. not a luxury, but a necessity. However care testing as well as the manned cargo space All of these bear with them the enor fully we tend to America's research and de craft. The shuttle is launched like a rocket, mous costs which have been, and will velopment will determine how well this na then files into an orbit like a spacecraft and continue to be, the crux of the paradox tion survives, competes and prospers within is brought back to earth by the glider prin of arms control and security. The Ameri the community of nations.e ciple. . . . The space shuttle is designed to take a look at American satellites in space can people must know by now that arms and to take them aboard as a kind of outer control treaties will not extinguish the space buoy tender. Theoretically it could political and military competition be KEEP THE SPACE SHUTTLE pick up Soviet satellites as well, destroy them tween our Nation and the Soivet Union. or make them malfunction, even send them Therefore, in evaluating this accord, our into a different orbit, but it is not in the expectations must be realistic and limit HON. RON PAUL category of satellite killers because it is too ed; our hopes and objectives of control slow and hence very vulnerable. It is also OF TEXAS ling at least some aspects of this competi dimcult to use for gathering a significant IN THE HOUSE OF REPRESENTATIVES tion must remain high. number of Soviet satellites, engaged in essen To Americans, arms control-rooted Thursday, June 21, 1979 tial intelligence functions, without the Rus sians beginning to figure out very soon what in the deterrence provided by the un • Mr. PAUL. Mr. Speaker, the Soviets was going on. . thinkable threat of nuclear war-has al would very much like to see an end to It is inconceivable for the United States ways been the underlying, commonsense the space shuttle program, which is a to give up a $15 billlon project such as the approach to our Nation's security. One good reason to expand it. space shuttle as the Russians have looks in vain for evidence of Soviet sen The space shuttle has tremendous de demanded... ·• sitivity that its own actions and security fense implications, which is why the programs may promote insecurity in Communists want to get rid of it. others. On the contrary, the Soviet's secu NASA's future, I believe, must lie in rity tends to be viewed by them as syn defense-related capabilities. The most PROBLEMS WITH SALT onymous with the insecurity of any po important thing we can do to achieve AGREEMENT tential adversary. this is enlarge the shuttle program. I believe the President is sincere in his And in view of what Henry Brandon HON. ROBERT DUNCAN fear that a setback to peace would be had to say in a recent article, excerpts OF OREGON the result of a failure to ratify the SALT from which I insert in the RECORD, we treaty. He also wants to make SALT II ought to consider arming the shuttle IN THE HOUSE OF REPRESENTATIVES a point of new departure in American with defensive weapons. Thursday, June 21, 1979 Soviet relations. The exercise of the Sen The space shuttle is far too valuable • Mr. DUNCAN of Oregon. Mr. Speaker, ate's constitutional obligation to advise to our Nation's security to risk its being in the 7 years since the SALT I agree and consent becomes, therefore, much destroyed by hostile enemy action in ment was pr.esented to the Congress and more than merely a rubber stamp. While space. the country we have endured a series of Presidents have spent nearly 7 years THE SPACE SHUTTLE AND THE RUSSIANS Soviet advances. The administration negotiating this new arms agreement, the (By Henry Brandon) assured us that the agreement would Senate must judge the substance of the Three years a.go the Sovie·t Union began slow down the Soviet build-up of strate provisions in light of the fact that these testing a so-called anti-satellite weapon. It gic offensive weapons; discourage the have been 7 years of Soviet gains in the detonated in space, but the reverberations Soviets from adopting counter force military balance and political advances were strongly felt on earth, particularly in strategies; and enhance peace and se throughout the world. the Pentagon. American m111tary planners curity in other unspecified ways. Yet in The President's sincere, indeed devout, were shocked because the test could be in stead of stabilizing or reducing its stra longing for peace is shared by all Ameri terpreted as an indication that the Soviet tegic offensive strength during this cans. The question is how best to achieve Union was planning for a "first strike" that goal, and-even more narrowly capab111ty. They were also embarrassed be period, the Soviet Union has moved cause the United States had no such weapon ahead rapidly. whether SALT II advances us toward it in its own arsenal or anywhere near the Monday night, the President ad or not. The President's speech is not the testing stage. dressed the Congress and the American end, but the beginning of a debate, the What was so disturbing about this de people with far more restraint--con outcome of which poses awesome re velopment was the realization that one of spicuously seeking to lower our expecta sponsibilities and the potential of great the great applications of human inventive rewards.• ness-the satelllte system-had become po tions, yet stressing the need for a second tentially vulnerable. arms limitation agreement. The Presi These satellite systems, as they cruise dent has taken what I believe to be a through space, are in many ways guardians far more responsible position with regard of peace. They report on Soviet missile de to this treaty. He asks both the Con AMENDMENTS TO H.R. 3930, THE velopments, on troop and ship movements, gress and the Nation to consider whether SYNFUELS BILL BY REPRESENT on compliance with SALT and other agree the United States will be more secure ATIVES DINGELL, BROWN OF ments; they would provide an early warn with this agreement or without it. OHIO, ECKHARDT, GRAMM, ing should the Soviet Union launch a war. MOORHEAD OF CALIFORNIA, MOF They are also vital for communication with Without it, we are told, the American FET!', OTTINGER, AND STOCK the submarine fieet ... taxpayers will have to spend additional MAN The Russians have not progressed very far. billions on new strategic arms. I believe Their anti-satellite weapons are interceptors, the questions of cost are deceptive. If the whose tests sometimes worked, sometimes treaty's intent is to limit the arms race, HON. JOHN D. DINGELL failed, but all were at low altitudes where it, by implication, would save money for OF MICHIGAN they could not interfere with more sensitive both sides. I question, however, whether IN THE HOUSE OF REPRESENTATIVES satellites.... The United States would move the burden of our security will really be ahead with its own developments and the Thursday, June 21, 1979 technicians have little doubt that they could lightened. fairly quickly overtake the Russians even The problems of trusting the Soviets to • Mr. DINGELL. Mr. Speaker, several though it will take at least a year to have as comply with the terms of the proposed of my colleagues and myself have devel primitive a capab111ty as the Russians have accord will only impose costs of their oped a number of amendments to H.R. already acquired. One reason that the United own: Restoring adequate monitoring 3930 which authorizes a loan guarantee June 21, 1979 EXTENSIONS OF REMARKS 16149 and price support synthetic fuels pro ever, the bill raises the loan guarantee limit who are undefined, but who could include gram to meet defense needs and a ration from $20 million to $38 million and elimi jobbers, refiners, pipeline companies, retail ing and fuels allocation program. In or nates the present requirement of the Act ers, etc., to provide synfuels whether the sup for Congressional approval of obligations pliers have them or not. If they lack such der that my colleagues will have an op QVer this statutory sum. It gives unlimited synfuels or cannot obtain them, then it ls portunity to study our amendments, I am authority to the President and each named possible that the President could refuse to inserting them in the RECORD today with agency to raise the limit from $38 milUon to buy other fuels from them. The power could a brief explanation for each amendment. $500. Illillion, $1 billion, or $10 billlon, or include condemnation. The only criteria. is To provide clarity, I have grouped more. "na.tiona.l defense". The power is not even amendments into subject matter. The amendments provide that if the $38 limited to 8.ppropriations being ava.ila.ble for million limit ls to be raised, in the case of this purpose. Thus, the President could Between now and next week when the DOE or TVA, notice must be transmitted to create an unlimited obligation on the Treas bill is scheduled for floor action, we will the Committees of jurisdiction, such as the ury. The a.mendment eliminates this sen probably be making technical changes House Science, Interior, and Commerce Com tence -which is not needed to carry out the in the amendments but will not be chang mittees, as well as the Armed Services Com purchase authority. ing them substantively. I hope all my col mittees. The one-House veto provision which, LOCATION OF FACILITms IN THE UNITED STATES leagues will be able to support them and under the bill, does not insure that a disap Page 5, line 12 after "stocks" insert "pro the Banking, Finance and Urban Affairs proval resolution would be considered by the duced from fa.cillties which are located will accept them. We are presently dis full House is amended to subject it to EPCA within the United States", a.nd on line 13 cussing the amendments with Chairman type procedures to insure a floor vote on the strike out all after "use" and insert ", resa.le, resolution within the 60-day period. In short, exchange, or for sale by the prOducer of such WILLHM MOORHEAD. The amendments Armed Services could not bottle up the res fuels and feed stocks, as provided in this sec and the accompanying explanation are olution. tion," and after line 16 insert: "In the case of as follows, as well as my statement before This notice and the one-House veto pro any synthetic !uel or synthetic chemical the Rules Committee today: cedure, under the amendment, would apply feedstock which is not appropriate for stor AMENDMENTS to proposals to raise the loan guarantee limit age in the Strategic Petroleum Reserve, the from $38 million to $250 million. Any pro President may provide for the exohange of (Amendments by Mr. Dingell, Mr. Brown of posal to raise the limit above $250 million Ohio, Mr. Eckhardt, Mr. Gramm, Mr. such fuel or feedstock for any petroleum would require approval by Congress in an product appropriate for storage in such Re Moorhead of California, Mr. Moffett, Mr. authorization bill. Ottinger, and Mr. Stockman, to the Provi serve and may transfer to, and store in, such The amendments also make it clear that, Reserve any petroleum product acquired in sions of H.R. 39·30, as Reported, Relating to in the case of DOE and TVA, funds otherwise Rationing, Allocation of Petroleum and such exchange." appropriated to these agencies for other pur Explanation Natural Gas, and Loan Guarantees) poses, such as solar energy, conservation, en AMENDMENTS RELATING TO THE RATIONING AND forcement, and nuclear research and devel This amendment requires that the syn ALLOCATION ISSUE opment, would not be available for such fuels plants covered by purchase contracts Page 2, beginning on line 12, strike out guarantees. By adding DOE and TV A to the be located in the United States. It also broad ",including petroleum,". Act, section 30l(d) applies which would let ens the authority for disposition of the fuels to include exchanges and sales by Page 10, line 9, strike out all after the word DOE use such appropriations for such guar antees. This clearly was not intended. The the producer should the government not "by" and insert therein "inserting after the use the fuel or want to resell it. word 'construction,' the words 'energy pro amendment merely requires a specific ap duction or construction for defense and de propriation for this purpose under the 1950 EFFECT ON ENVmONMENTAL, ANTITRUST, CIVIL fense-related purposes' ". Act. RIGHTS, AND LABOR LAWS Explanation AMENDMENTS RELATING TO LOANS Page 5, lines 18 and 19 strike "without regard to the limitations of· existing law". These amendments will eliminate any new Page 4, line 2 before the quotation marks authority for the President to ration or al insert "for national defense". Explanation locate fuels. They would not change existing Explanation This provision allows the President to enter provisions of the Defense Production Act of The bill amends the loan section of the into contracts without regard to current 1950. The term "national defense" as used Act to authorize loans for the production of statutes, including Federal, State, and local throughout the bill would include energy energy. The amendment makes it clear that laws, such as antitrust, environmental, health production or construction for defense, but such production would be for national de and safety, procurement, civil rights, pollu not civilian, needs, as is the present scope of fense purposes only which ls defined above. tion control, and labor laws. The origlnal 1950 the 1950 Act. law included such a provision for other pro AMENDMENTS RELATING TO LOAN GUARANTEES AMENDMENTS grams authorized by the Act. We also under (Amendments by Mr. Dingell, Mr. Brown of stand that the objective of the Committee Page 2, line 19, after "(a)" insert "(1)" ls to avoid some procurement laws, but we and after line 25 insert: Ohio, Mr. Eckhardt, Mr. Gramm, Mr. Moor head of California, Mr. Moffett, Mr. Ottin do not know what specific procurement laws "(2) Section 301(d) of the Defense Pro need to be waived to permit purchase agree duction Act of 1950 (50 U.S.C. App. 2091) is ger, and Mr. Stockman to the Provisions of H.R. 3930, as Reported, Relating to Pur ments. In any event, the bill does not limit amended by adding the following new sen- - this provision to procurement laws. tence: 'The Department of Energy and the chase Authority and Government Corpora Tennessee Valley Authority shall use funds tions) PAYMENTS FOR PRODUCTION ONLY appropriated or allocated to each such agen AMENDMENTS RELATING TO THE PURCHASE Page 5, line 20, strike out ", including ad cy specifically for such purposes pursuant to AUTHORITY vance payments,". this Act.'" The goal Explanation Page 3, line 15, strike the period and in Page 4, line 24, after "national" strike all This provision would enable the President sert the following: ", except that the ap through "feedstocks" on line l, page 5, and to make substantial advance payments for proval of Congress shall be required to au insert: "goal of domestic production of di synfuels that are never produced. This thorize obligations of more than $250,000,000. versified and reliable sources of synthetic amendment coupled with the one above In the case of any notice affecting the De fuels and synthetic chemical feedstocks at a are intended to insure that payments a.re partment of Energy or the Tennessee Valley daily rate equivalent to at least 500,000 bar made for production only to provide suffi Administration, such notice shall also be rels of crude oil". cient inducement to establish this industry. transmitted to the appropriate authorizing Committees of the Senate and the House of Explanation REVIEW BY APPROPRIATIONS AND Representatives with jurisdiction over such These amendments make it clear that the DETERMINATION OF PRICE agencies." production goal ls for national defense needs Page 5, line 17 after "(c)" insert "(1)" Page 3, line 20 before the quotation marks and that the goal ls to be reached through and on line 22 strike out all through line 12 insert the following new sentence: "Such domestic production of diversified and relia on page 6 and insert the following: resolution shall be subject to the procedures ble sources of synfuels and not by imports of "(A) no such contract may be entered specified in section 551 (f) of the Energy Pol synfuels. into after September 30, 1985; icy and Conservation Act, except that the PRESIDENTIAL POWER TO ORDER SUPPLIERS TO "(B) such contracts may be entered into terms 'resolution• and resolution with re PROVIDE SYNFUELS only to the extent provided, without fiscal spect to an energy action' as used in that Page 5, line 2, strike out all after the perlOd year limitation, in appropriation Acts en section shall mean a resolution with respect through line 7. acted after the date of the enactment of to this section.'' this section. Explanation "(2) (A) The price at which the President Explanation The amendment eliminates the second sen contracts to purchase or commit to pur None of these amendments would eliml tence in the new section 305 (a) as added by chase under any such contract may not ex na.te authority for either DOE or TVA to H.R. 3930. That sentence gives the President ceed 110 percent of the then current weight make loan guarantees under the Act. How- broad blank check power to order "suppliers" ed average landed cost of a comparable pe- 16150 EXTENSIONS OF REMARKS June 21, 1979 troleum-derived fuel or feedstock imported. crude oil and natural gas, and the develop "appropriated from the general funds of into the United States, a.s determined by the ment of other energy resources (including the Treasury not otherwise appropriated or Secretary of Energy. The value of any en renewable energy resources)." from any trust fund established by Act of titlement provided under the regulation un Explanation Congress enacted after the date of enactment der section 4(a) of the Emergency Petroleum This section makes it clear that the Presi of this section for the purposes similar to Allocation Act of 1973 shall be disregarded dent will exe·rcise his purchase authority the purposes of this section not to exceed for purposes of this paragraph. consistent with other law&. It also insures $2,000,000,000". "(B) For purposes of this section, the Pres that other supply policies and efforts are Page ·11, line 2, strilre all after "(5)" and ident may enter into any contract with a not to be diminished or otherwise affected insert "and section 305 ( e) .". price higher than that provided in subpara by this synthetic fuels effort. Explanation graph (A) if and to the extent the Presi LIMITATION AGAINST CONTRACTS WITH FOREIGN This provision authorizes the use of appro dent finds, after notice in the Federal Reg COUNTRIES priated funds or funds from any future trust ister and opportunity for public comment of Page 9, after line 15, insert the following: fund. It also makes these funds available not less than 60 days, that the higher pu1- to pay for transportation, storage, and re chase price under that contra.ct is necessary "(g) Notwithstanding any other provision of this Act, purchase contracts and commit finer costs if appropriate. The bill authorizes in order to attain the national goal estab the President to do so, but provides no funds lished in subsection (a) ." ments to contract under this section may only be entered into with individuals, and for this purpose. Explanation corporations, partnerships, associations, ex ANNUAL REPORT These amendments make it clear that the isting under or authorized by the laws of Page 10, after line 6, insert the following: President cannot enter into contracts after the United States or any State, the District "(j) Beginning one year after the effective September 30, 1985, bu.t they do not preclude of Columbia, or possession thereof, or of payments after that date under contracts date of this section, and annually thereafter, any foreign country.". the President shall submit a report to the executed before that date. The bill precludes Explanation contracting after Sep.tember 30, 1995 or Congress on actions taken under this section. whenever the goal is attained whichever The Defense Production Act which ·is Each such report shall identify the persons to whom contracts have been awarded under comes first. amended by this bill would enable the Pres ident to contract with foreign governments, this section, together with information in We believe that 1995 is too long a period. like OPEC Nations, for purchases of syn dicating the degree, if any, of participation We want to insure that the President wm thetic fuels. This amendment precludes such by foreign entities, including their ownership move quickly to enter into contracts. Giv contracts while permitting such contracts or control of facllities to produce synthetic ing the President more than 15 years to con with corporations formed in foreign coun fuels or synthetic chemical feeds tocks." tract in times of tight budgets will not tries, like Canada a.nd Great Brita.in. achieve this objective. Tying contracting Explanation to the goal is not workable because the goal MULTIPLE SUBSIDIES This provision requires an annual report so is not fixed. It is a minimum goal of 500,000 Page 9, after line 23, insert: Congress wm be kept informed of actions barrels or more. At no time could it be said "(i) No purchases or commitments to under this new purchase authority section. that the goal has been reached. purchase shall be made for synthetic fuels The amendment also makes it clear that and synthetic chemical feedstocks produced REPRESENTATIVE DINGELL'S STATEMENT BEFORE no contract can be executed outside the from fac111ties for which a graµt, loan, loan RULES COMMITTEE appropriations process. guarantee, or other similar financial assist I am pleased to appear before you today to The amendment authorizes the President ance has been provided that utmzes funds discuss the rule under which H.R. 3930 will to establish a contract price of 110 percent derived from the Treasury, unless the Presi be considered by the House. of the costs of comparable petroleum-derived dent determines it necessary to attain the goal established by subsection (a), to assure The Subcommittee on Energy and Power fuel or feedstocks imported into the United has taken an active interest in the develop States. In determining the imported price, a diversified source of supply of such fuels and feedstocks, and notifies the Congress in ment and commercialization of synthetic any entitlement would not be considered. fuels during the pa.st three Congresses. In The amendment allows the President to writing of such determination and tha.t such assistance was made pursuant to laws en fact, the Subcommittee w1ll 1be hearing testi raise the percentil.ge where necessary to mony tomorrow from a number of Federal achieve the goal, after notice and public acted to finance the development and dem onstration of such fac111ties by the Secretary agency officials concerning their views on comment. of Energy and 60 days of continuous session synthetic fuels. On Monday we will hear from H.R. 3930 provides that purchases higher of Congress have expired following the date representatives of the private sector. The than so-called ce111ng prices are not allowed such notice was transmitted to Congress Subcommittee has 1been very much involved unless 1t ls determined that synfuels could and neither House of Congress has adopted, in the synthetic fuels area and, in fact, the not be produced. In that case ..there is no within such 60-day period, a resolution dis purchase authority provisions of H.R. 3930 limit on the amount the President can pay, approving such obligation. Such resolution are similar to the concepts embodiied. in except the available appropriation. Our shall be subject to the procedures specified the Commerce Committee version of H.R. amendment provides a yardstick and a llm in section 551 (f) of the Energy Policy and 12112, which was a synthetic fuels bill de it which. while not fixed, will require the Conservation Act, except that the terms veloped by our Commtttee and the Science President to justify any raise in the percent 'resolution' and 'resolution with respect to Committee in 1976. age. an energy action' as used in that section I support the development of synthetic PURCHASE OF EQUIPMENT AND GOVERNMENT shall mean a resolution with respect to fuels, and I have been working wt.th the OWNED CORPORATION this section." The term "continuous ses various proponents of synthetic fuels legis Page 8, beginning line 7 strike all through sion of Congress" shall have the same mean l1a.tAon to craft legisla.tion which will truly ing as such provision in section 301 of this develop a. healthy synfuels industry. We line 15 on page 9. Act." Explanation have made some progress in ireconciling our Exp lo.nation differences in apprOa.ch, but we stlll have This provision authorizes the President to H.R. 3930 authorizes multiple subsidies for some disagreements. Of course, a total con install equipment, facilities, processes, run.d synthetic fuels plants. Such subsidies should sensus would be highly unlikely in any improvements in Government and private be avoided if we want to insure that the pur event, given the number of dnterested com plants, factories, and industrial facilities. It chaser bears some risk. The amendment seeks mittees and individuals in this sulbject. also authorizes the President to organize to avoid this problem, while permitting such I commend the Bankdng Committee for Government corporations to produce syn subsidies in certain instances. thetic fuels and feedstocks. No funds are bringing these issues to the attention of the provided for either. SYNTHETIC FUEL DEFINITION House once again. They have taken useful While these provisions afford another way Page 9, line 24 strike out all through Une steps in using the Defense Production Act to to start synthetic fuels production, we think 6 on page 10 and insert: "(1) The terms 'syn encourage synthetic ,fuels. However, such 1.t will make it more difficult for the private thetic fuels' and 'synthetic chemical feed an approach brings w.Lth 1t some unnecessary sector to develop this industry. We think stocks' mean liquid and chemical feedstocks, consequences. Because of ,the Defense Pro that the emphasis should be on the purchase respectively, derived from coal, shale, lignite, duction Act's broad powers which a.ire given authority. We want to encourage a health peat, solid waste, and other minerals or or to the President, it is important to preserv~ industry. ganic materials (other than crude oil, natural a tight deftnitlon of what constltJutes na gas, or any derivative of either), and gaseous tional defense. We are all ·too well a.ware of RELATION TO OTHER LAWS byproducts thereof." Page 9, after line 15 insert the following: what some Presidents have done under the Explanation "(f) Any exercise of authority under this catchword of "national defense". The legis section shall be consistent with applicable The purpose of the amendment ls to make lation before you broadens the definition of environmental, conservation, antitrust, and it clear that purchase agreements should be national defense to iru:lude 8111 energy pro fuel conversion policies of the United States, for liquid fuels. duction, and a.mends the scope of the Act's and shall not diminish or hamper activities AUTHORIZATION provisions to include energy production. In or policies designed to promote the explora Page 10, line 23, strike out "appropriated so doing, the Act's allocation powers, includ tion and development of domestic sources of $2,000,000,000" and insert: ing rationing, would now extend to petroleum June 21, 1979 EXTENSIONS OF REMARKS 16151 supplies for purposes other than those W'hi'Ch them sell synthetics? What would such an to the Mohawk Trail, but as he marched we would consider the "national defense". order look like? I would not want to be a through the Irish bastion of south Bos I intend to offer amendments to remedy "supplier" who got a Presidential order to ton on St. Patrick's Day year after year, this problem and ensure that the Defense "provide" synthetics (I'm not sure to whom) Production Act remains an Act to be used if I didn't have any. he was greeted with thunderous ap for national defense pur,poses. Energy legis Then there is an interesting provision plause. lation dealing with allocation authorities, which permits the President "when in his He was a man whose personal con such as the Emergency Petroleum AUocation judgment it will aid the national defense ... victions made it impossible for him to Act, has been carefully developed by our to install government-owned equipment in put personal gain before honor. He was Committee and its Senate counterpa.rit over plants, factories, and other industrial fa.cm a Governor who with diligence, integrity the years. We have built in safeguards, such ties owned by private persons". I'm not sure and thoroughness guided Massachusetts as priorities for agricultural uses of gas and what purpose this provision serves. I through times of depression and war; a prohibitions on allocation of intrastate gas. wouldn't want to be a factory owner when U.S. Senator who by his innate sense of The Defense Production Aict should not be the President decides to put some "equip broadened so as to overrule that legislation ment" in my faotory. kindness, duty, and public trust became and its safeguards. My purpose in raising these issues is not the benchmark by which his colleagues As I stated before, I endorse the purchase at all to defeat initiatives to encourage syn would be measured; a true symbol of all authority concepts in H.R. 3930. I intend to thetic fuels. To the contrary, I strongly sup that is good in the Yankee heritage support perfecting amendments to this au port increased use of synthetic fuels. But we whose passing will be mourned by those thority. For example, the new section 305(c) must put our incentives where they will of good will everywhere. would permit purchases to be made "with help the most. We must build a healthy in The Donnelly family and all the people out regard to the limitations of existing dustry, which will not depend on the con of the 11th District of Massachusetts law". In other words, the contracts would tinuing aid of the Federal government. we not be governed by any other laws, such as must not stiflle an industry by heaping too extend our deepest condolences to Mrs. civil rights laws, clean air and water laws, many subsidies on one project so others Saltonstall and the Saltonstall family on NEPA, antitrust laws, and procurement can't afford to compete. Nor should we let the passing of this great American.• laws. I fail to understand the need for sucb the government itself, in the form of a cor an exemption and I do not understand its poration, bar potential entrants from the scope. Nor, I think, does anyone else. market. The purchase authority would extend to I recommend an open rule for this bill and THE BOYS FROM PHILADELPHIA synthetic fuels plants located in foreign ait le::ist two hours of debate. I am strongly countries; I believe purchases should be opposed to any special waivers of points of permitted only from plants located in this order for amendments by any Member. I look HON. CHARLES F. DOUGHERTY country. The legislation would also permit forward to helping move the bill forward OF PENNSYLVANIA OPEC to own these plants; my amendments when it reaches the Floor.e would preclude foreign governments from IN THE HOUSE OF REPRESENTATIVES ownership. I would also limit the authority Thursday, June 21, 1979 by promoting the piggy-backing of multiple benefits, such as grants and loan guaran e Mr. DOUGHERTY. Mr. Speaker, in tees on plants which are already receiving LEVERETT SALTONSTALL recent times many Americans have won the benefits of this section. It is important dered about the future of our Nation that companies entering this field share in HON. BRIAN J. DONNELLY based upon what seems to be a popula some of the risk-if they do not, we will not tion of young people, confused and lack encourage a U.S. synthetic industry--only OF MASSACHUSETTS ing a sense of purpose. From time to time a U.S. subsidized effort which will never be IN THE HOUSE OF REPRESENTATIVES able to stand on its own. we should recall that there are some I am less enthusiastic. about the value of Monday, June 18, 1979 persons of all ages who are directionless loan guarantees for such plants. I suspect • Mr. DONNELLY. Mr. Speaker, I rise and lacking goal or commitment to any that what ls needed is a guaranteed market, today in sadness-sadness because Mas one or anything beyond themselves. We not a guaranteed loan. A guaranteed market sachusett.s and the Nation has recently should also openly recognize the many should be good as gold to a company looking lost a most distinguished son, the iem citizens of all ages, and especially the to raise capital. young, who possess a sense of purpose Certain technical changes should also be orable Leverett Saltonstall, who as we made to the legislation. For example, what are all painfully aware died on June 17, and share this with others. appears to be a one-House veto provision, at his beloved home in Dover. The All-Philadelphia Boys Choir is for loan guarantees in excess of $38 million, Significantly, "Salty," as he was so such a group o.f young men-willing to includes no provision for expedited proce affectionately called, passed away on pursue and develop not only their own dures or for privileged motions to discharge. Flag Day, a day when we in Massachu strengths and qualities but moreover The Energy Department could guarantee a setts pay a tribute to Old Glory. No one share these in a gift of song. project for $2 billion and, unless the Armed I would like to pay tribute to this group Services Committee reports a disapproval Mr. Speaker, has ever paid more tribute resolution, the House will never have an op to that flag than he. of young people with the Philadelphia portunity to vote on it. Very large guaran Leverett Saltonstall's tribute was in Inquirer of June 20, 1979, on the advent tees should be subject to separate authori the form of his code of honor and fair of the choir's trip to the People's Re zations. ness, his sense of duty to God, country, public of China, Pakistan, and Egypt. I am also not enthusiastic about the es and to his fellow man. THE BOYS FROM PHILADELPHIA tablishment of government corporations to achieve the production goals of the bill. Massachusetts as you and I know Mr. What is becoming of young people I want to encourage a healthy industry in Speaker, is home to two distinct ances these days? the private sector to produce synthetic tral lineages: Those who mark their Take that gang of 65 boys, ranging in fuels. A government corporation could be origins from the Original Bay Colony, age .from 9 to 14, who hang around La industry's greatest nemesis in achieving and those who are newer arrivals, Salle College a couple of times a week. success. The government should encourage mostly from Catholic Europe and of What are they up to? competition in this industry, but should not these, many are Irish. itself be the competition. Well, they are practicing. They are Finally, there are a number of curious Never in the history of any country practicing singing. provisions in this bill for which I can dis was there a more hotly contested (al They are the All-Philadelphia Boys cern no reason, but which could provide the beit colorful) struggle between two Choir, and a music critic of this news President with some rather unique powers. groups for political power than between paper declared recently that "there is For exam~le, the bill states that: these groups. A struggle not in today's not any better boys' choir anywhere." "The President is authorized and directed sense of bullet and bomb, but rather a Another well-known musician once de to require fuel and chemical feedstock sup struggle of wit and strategy between scribed them as "outstanding." His pliers to provide synthetic fuels and syn people possessed with a strong love of name: Eugene Ormandy. thetic chemical feedstocks in any case in which the President deems it practicable and law, liberty, and country. They are outstanding in a way other necessary to meet the national defense needs Leverett Saltonstall was able to earn than their superb musical talents and the of the United States." the respect and love of both these discipline they bring to their rehearsals. Who a.re "suppliers"? Do they include job groups. Many of them come from poor families, bers and retailers? Can the President make l!e was admired from Charles Street but every one of them is raising his own 16152 EXTENSIONS OF REMARKS June 21, 1979 $300 to help pay for the tour for the All the time limitations facing the key com enue Sharing monies in excess of 25 percent Philadephia Boys Choir is about to take mittees which exercise jurisdiction over for the construction of an Office Building with the 20-member Men's Chorale, of these regulations. I have received some relative to the mandates of the Davis-Bacon indication of their willingness to review Act as administered by the U.S. Department Pakistan, China, and Egypt. of Labor. The All-Philadelphia Boys Choir now the regulations. But, I believe we should The U. S. Department of Labor has pro in its 11th year, has sung on every con send HEW a message now. And, the best duced a Wage Determination for 1977 for tinent, on television, and several times in message is to cut off their funds for this area which appears to be far in excess the White House. On July 4, the boys implementation of the program until we of local wage rates a.t that time. All con will be singing "Medley America" in have an opportunity to provide adequate tractors employ union members, and there Peking. Envovs of Philadelphia, they input.• fore do not under pay their employees. But bring with them the pride of Philadel the U. S. Department of Labor has deter phians in their city and in them.• mined that the County must pay an addi EXAMPLES OF ADMINISTRATIVE tional $24,000 plus to the various employees PROBLEMS WITH DAVIS-BACON engaged in the construction of the Office Building. Members of the County Board are con SHUR-LET'S SEND HEW A vinced that the Davis-Ba.con Act does not MESSAGE HON. TOM HAGEDORN OF MINNESOTA serve any more justifinble reason for its ex istence but merely enhances the ca.use of HON. DOUGLAS K. BEREUTER IN THE HOUSE OF REPRESENTATIVES inflation. Thursday, June 21, 1979 May we seek your support and advice, es OF NEBRASKA pecially in reference to the fa.ct that the IN THE HOUSE OF REPRESENTATIVES •Mr. HAGEDORN. Mr. Speaker, one of County's future revenue sharing payments the principal reasons why many Mem Thursday, June 21, 1979 may or may not be withheld a.s a. penalty. bers of Congress oppose the Davis-Bacon Sincerely yours, e Mr. BEREUTER. Mr. Speaker, I wish Act and want to see it repealed is because CLARENCE E. SCHULTZ, to notify the Members of the House that of the administrative probiems faced by Auditor. I have today requested permission to those who must try to understand its re Factual Statement. Some time prior to have printed in the RECOR'O the text of quirements. October 4, 1976, McLeod County retained an amendment to H.R. 4389, the Labor Because I have been involved in the Korngiebel Architects, 102 Main Street, HEW appropriations bill to prevent any effort to do something about changing Hutchinson, Minnesota 55350 to design and supervise the construction of a new county of the funds contained in that bill from the Davis-Bacon Act, I often receive let office building. The design was prepared and being used to implement the system for ters from individuals who are frustrated on or about October 4, 1977 the bids were hospital uniform reporting ared and sent to McLeod County ing the regulations to the point of mak REPRESENTATIVE HAGEDORN: The McLeod nine summaries of unpaid wages for the ing them acceptable to the hospitals County Boa.rd of Commissioners are i::eeking following contractors: Schatz Construction which must operate by them. your opinion and help in a local matter per Co.; Krasen Plumbing & Heating Co., Inc.; I understand and am sympathetic to taining to the Counties use of Federal Rev- A & B Electric; Marty's Roofing and Sheet- June 21, 1979 EXTENSIONS OF REMARKS 16153 metal; Midwest Sound Control, Inc.; Minne Highway & Heavy effective May l, 1979: have been repeatedly harassed and per sota. Valley Landscape, Inc.; David F. Ruzicka. Rate, $9.85; fringe, $1.70, total, $11.55. secuted simply for their desire to emi Excavating; LeRoy Gehrke Plastering; Vern's Highway & Heavy effective November l , Tile & Carpet Company. The aggregate wages 1979: Rate, $10.00; fringe, $1.70; total $11.70. grate to Israel to join their families. claimed to be due pursuant to the Davis Building Trades effective May 1, 1979: Rate, Stella Goldberg is a well-known pianist Ba.con minimum rate schedule are $24,390.99. $10.51; fringe, $1.70; total $12.21. from Moscow, who has been trying to Building Trades effective November 1, 1979: leave the Soviet Union with her son and [EXAMPLE No. 2) Rate, $10.66; fringe, $1.70; total, $12.36. mother-in-law for almost 9 years. After ATLANTIC UTILITIES CONSTRUCTION, INC., Now wait a minute. Ohio Revised Code Ar first applying in 1970, Stella Goldberg Portsmouth, Va., May 18, 1979. ticle 4115.05 says that Government prevail ing wages apply, not State rates. So, let's go has been denied an exit visa repeatedly. DEAR CONGRESSMAN: I a.m writing to bring back to the May 29, 1979, rates. Which are: It is Mrs. Goldberg's belief that she and to your attention a matter that has just Rate, $9 .96; fringe, $1.50; total, $11.46. her family are being held in the U.S.S.R. come before me as I open the morning mail. Now if you happen to be a union contrac "as revenge for the action of my hus The City of Suffolk, Virginia is to receive tor, then you know the work scope is under band." Her husband, Victor Yoran, a bids to expand its water system on Tuesday, Highway and Heavy Agreement, but Highway renowned cellist, defected to Israel in May 22, 1979 at 10 A.M., for several weeks and Heavy rates are not even shown in the we have been preparing our proposal on this 1969. The Soviet officials view Yoran's Federal Register. Anyway, let's pay him from defection as a high crime of treason, project. This mornings mail consisted of an the book. addendum on this project, which among Book Highway and Heavy rates are: Rate, and have therefore, "punished" Stella other things was a wage rate determination $9.85; fringe, $1.70; total, $11.55. Goldberg, and their 8-year old son, issued by the U.S. Department of Labor, Di But, no! You don't get off that easy. The Alexander, and Victor's mother by re vision of Construction Wage Determination, book says to pay a split rate for sewage plants fusing them permission to join Victor Wage and Hour Division, copy attached. by adding the Building Trades rate: Rate, Yoran in Israel. In protest, Victor Yoran It lists pipe layers at $4.90 per hour, plus $10.51, fringe, $1.70, .total, $12.21. benefits of another 45 cents per hour, we a.t recently played a series of 1-hour solos present are performing similar work for the And then, splitting the difference : Rate, for 3 days, outside of the Finnish Em City of Suffolk which has a. wage determina- · $10.18, fringe, $1.70, total, $11.88. bassy in Tel Aviv, to bring the plight tion, (copy attached) of $3.58 per hour for Of course, after November 1, 1979, you of his family to the attention of the pipe layer with no allowance for benefits, should pay: Rate, $10.33, fringe $1.70, total, $12.03. world. The Finnish Embassy represents this project was bid less than a year ago. Russian interests in Israel since Israel We are also enclosing a oopy of a wage My guess on the correct rate to use is the determination for a similar proje::t we bid May 19, 1979, federal determination of $11.46, and the U.S.S.R. have no diplomatic less than sixty (60) days ago, which has pipe but .to be safe, we better use the November l, relations. layers listed at $3.58 per hour with no allow 1979, Building Trade rate of $12.36. This is It is my hope that this family will soon ance for benefits. only a. difference of 90 cents per hour, or be reunited along with thousands of This $4.90 plus 45 cents is well above the only 7.9 percent of the project total labor of other Soviet Jews who have been il preva111ng wage rate in this area, while the $1 ,167,000, or about $92,193 worth of total legally denied their right to emigrate, $3.58 is and was lower than the preva.111ng uncertainty. After all, who ca.res? It's only the taxpayers' money. I would be most curi and who have lost everything because of wage rate. their desire to live in peace and free This company we feel pays as high a wage ous .to know if someone in the government sea.le as any contractor in this area, for water could figure what the ---to pay. dom. It is my hope that this vigil for and sewer pipeline construction and we list Since the federal rates apply, and the freedom will strengthen our reso\ve to our rates. Register does not include Highway and Heavy assist them in rejoining their loved Backhoe operators, $6.25 per hour, pipe rates, but the work scope 1s under the High ones.• layers, 4.50 per hour; la.borers, 3.50 per hour. way and Heavy agreements, it seems conclu We have talked with five (5) other con sive that we don't have to pay any of the tractors in this area. that install sewer and rates listed. In that case, we could save the NEED FOR SYNTHETIC FUELS water ma.ins, and we became aware that we taxpayers another 20 percent, or $233,400. pay from 25 cents per hour to 50 cents per The above example is for only one trade, hour more than what they are paying. the Laborers. If you multiply this by six HON. NICK JOE RAHALL II Should the area contractor be forced to trades, then by four classifications, etc., 'you OF WEST VIRGINIA adapt to this wage determination it wm set have to hire two more people just to keep off a cost of construction increase that w111 track of the records ! Better add that to the IN THE HOUSE OF REPRESENTATIVES put new construction beyond the a.b11ity of bid also. Thursday, June 21, 1979 the municipal and state governments to pay. Very truly yours, Such unfounded wage determination are HARRY DELAPP , • Mr. RAHALL. Mr. Speaker, I am sub inflationary to say the very least. President, Cedar Bay Construction, Inc.e mitting this editorial from Financial Can you direct us or assist us on how to World for the consideration of my fellow bring this wage determination in line with colleagues. I hope they will ask them what the preva111ng pay scale are for this selves the question that came to my type construction. SHATTER THE SILENCE, VIGIL, 1979 mind, "Where is our foresight?" I hope Yours very truly, A. GORMAN PINKSTON, we have all learned our lesson and will Atlantic Utilities Construction, Inc. support all-out-efforts toward the de HON. EDWARD J. DERWINSKI velopment of a synthetic fuel industry to (EXAMPLE No. 3) OF ILLINOIS reduce the grip the OPEC nations have Harry DeLapp is the President of Cedar IN THE HOUSE OF REPRESENTATIVES on our faltering economy. Bay Construction, Inc., of Sandusky, Ohio. Thursday, June 21, 1979 CARRYING OIL To NEWCASTLE His statement follows: If you believe that just outside our great The following is a study of a federally e Mr. DERWINSKI. Mr. Speaker, for harbors are endless lines of tankers chockfull funded project we are currently working on. the past several years, I have partici of oil to heat your home and fuel your car, It is a Wastewater Treatment Plant for pated in a vigil on behalf of Soviet Jew read no further. In passing through, I might the City of Willard, Ohio, in Huron County, ish families who remain separated as a suggest that there is about as much chance which was bid in October 31 , 1978. Support result of the Soviet Government's re of that as a. solution to the energy crisis, as ing bid book data relative to wages is at pressive emigration policies. All the na there is that the budget will be balanced, in tached. In my investigation, I decided to de flation wm hit the President's targets of last termine what rate should be paid a Laborer, tions which signed the Helsinki accords and who attended the Belgrade confer January, and that the Camp David accords and the following is what I found. produced everlasting peace in the Mideast. First, it was very simple. The Federal Reg ence, which included the Soviet Union, Why is it that humans, especially Ameri ulations dated February 24, 1978 say the pledged to do everything possible to re cans, react to great and overwhelming dan rate is: unite families separated by political ger by focusing on fantasies? Is it to avoid Rate, $9.56; fringe, $1.30; Total $10.86. boundaries. However, since the Soviets recognizing the potential calamity that However, the Federal Regulations dated have refused to honor this promise, we in surely lies on the path ahead? May 29, 1978 say the rate must be: the Congress are once again conducting Think back. Was there one analyst, or Rate, $9.96; fringe, $1.50; total, $11.46. this, the "Shatter the Silence Vigil," to industry leader, or government official who This seems confusing enough, but there 1s warned us of the incredible risk that the a section stating the State of Ohio prevail bring attention to the plight of these Western World faced when OPEC was a ing wage must be paid. However, there are valiant prisoners and their families. fledgling? two different rates effective on two different The case of my "adopted prisoner," I know of only two. One was Vern Myers, dates: Stella Goldberg, is typical of those who who at the time was editing his magazine, 16154 EXTENSIONS OF REMARKS June 21, 1979 Oilweek, up in Canada. The other wa.S Jean So where does this leaves us? We are in the over Rhodesian agricultural, forest, and Paul Getty. most vulnerable position in our 200-year park land. This paper is based on an analysis And now Myers, who writes a newsletter history. We are allowing our life stream to and comparison of the Land Tenure Act, under his own name out of Spokane, Wash become dependent, literally, upon the main the 1975 and 1977 amendment.s to the Land ington, (Myers' Finance and Energy) is warn tenance of peace in the Mideast. And should Tenure Act, the Interpretation Act, the Park ing again in his May 4th issue that we are war erupt in that historically troubled area and Wildlife Act of 1975, the Land Tenure in mortal peril; yet we not only fail to recog for whatever reason, we, as well as Japan and Act (repeal), and the 1979 Rhodesian Con nize it but are obdurate in our refusal to Western Europe, would be unable to avoid stitution. take the easy way out. catastrophe in a matter of months. And yet This analysis indicates that repeal of the His answer? Coal I we sit on top of a natural resource that Land Tennure Act results in the transfer of The fundamental errors of the Adminis makes us still the most energy-rich country control over land policy from the formerly tration's energy policy have been detailed on the face of the earth. all European government to the European many times on this page. The price you are Moreover, a concentrated effort has enabled dominated judiciary and to the European now paying for gasoline, if you can get any, is us to hurl rockets into outer space so that minority in the legislature. Had the Land testimony to that. Unless and until our lead we may view in awe the planets and their Tenure Act continued in force, some of this ers in Washington understand and allow satellites. Surely then can we not develop the control would have passed to African mem the free market to work, unless and until our technology and the chemistry to mine and bers of a new government. leaders in Washington unshackle productive burn coal safely and cleanly? THE LAND TENURE OF 1969 resources in this country, we ~ill never have It's bad enough that the government has The Land Tenure Act of 1969 crystalized enough oil to run our cars, heat our homes put its unproductive, inefficient, battle historic European control of Rhodesia's and maintain our economy. To think other scarred hands on the productive resources land and resources. The Act recognized Euro wise is madness. and the free market that have provided our pean, African and National Areas within But focus, if you will, on the long term. energy until now. It is nothing short of sui Rhodesia, and required that the interests of As soon as the 1973 embargo was in effect, cide if this same government refuses to allow one race be "paramount" in its assigned even the earliest appraisals of alternatives the development of the energy source, widely Area. Only National Area lands, including conceded that our dependence on fossil fuels known and freely used, that can keep this game preserves and major national parks, would last at least until the 1990's, and that nation alive. · were defined by statute. The remainf.ng we had an almost inexhaustible· supply of It has to be said up front, and we had all acreage was to be divided equally between coal. So take a guess at what our peerless better recognize it, that if there is a severe European and African Areas, with transfers chieftains in Washington have ae<:omplished energy crisis in the next few years, it will between Areas controlled by their Boards of in the five and a half years since the first not have been created by our Sunday drivers, Trustees. Technically, the agreement of both embargo. our commuters, our workers, or investors or Boards was required for transfer, but a. ma Well, for one thing, they increased our our oil companies. It will not have been a jority vote of a joint meeting of the Boe.rd dependency on oil by nearly 40 percent. function of either greed or extravagance. It was deemed the assent of both. By defini And while allowing an increase of our will not have been caused by the lack of tion, Europeans made up a majority of the nuclear power, they demonstrated that they resources or the technology to utilize those joint Boards. don't know how to handle its safety or elimi resources. nate its waste products. In the aftermath of disaster, when blame Except for permanent transfers of land, the And they have increased our coal produc will be apportioned, it will all belong to a President and "appropriate" Minister con tion by a staggering-1 percent. parade of Presidents and Congresses that trolled allocation of land to European and The idiocy of national policy becomes have stymied exploration, production and African use. Their authority included power more evident when you realize that to keep distribution of gas, oil and above all coal to control residential, commercial, and in the economy g·oing at today's level we would with price controls, quotas, tariffs, taxes and dustrial land use; to establish racially have to find a new Alaskan North Slope every every other known mechanism to foul up eco defined townships in the Area assigned to the 16 months, and to keep the free world going other race; to allow use for occupation of nomic machinery. land by persons otherwise barred by race; a new Saudi Arabia every eight years. Only the government that instituted these And it will not do to shrug our shoulders to lease forest, park, and mining land for 99 things can remove them. And only you can years; to expropriate land for public use; to and wonder why the Creator seemed to put remove the government. all the oil in the hands of an increasingly alter municipal boundaries and powers; and ALFRED H. KINGON, to enter land to search, seize, or evict, when antagonistic Moslem world, because beneath Editor-in-Chief, Financial World.e our lands is enough coal to make the U.S.A., necessary for land programs. When these as Myers puts it, "The Saudi Arabia of powers resulted in a taking of land, compen sation was sometimes allowed or required. If coal." REPEAL OF THE RHODESIAN LAND the former owner and the Minister could not Listen to his summary of the facts: TENURE ACT OF 1969 The U.S. has 218 billion tons of coal under agree on the amount to be paid as required foot and recoverable right now. compensation, the matter went to arbitra One ton of coal creates the energy in four HON. PAUL N. McCLOSKEY, JR. tion. barrels of oil. Although the Chief Justice sat as the This amounts to approximately 900 bil OF CALIFORNIA swing vote on the joint meeting of the Trus lion barrels of oil. (Saudi Arabia's oil reserves IN THE HOUSE OF REPRESENTATIVES tees, the President and Ministers made and carried ·out land policy independent of day are about 165 billion barrels.) Thursday, June 21, 1979 ..-- The technology to remove it is ready or to-day legislative and judicial control. The nearly ready. e Mr. McCLOSKEY. Mr. Speaker, I Land Tenure Act relied on Presidential and One ton of coal sells at about $25, i.e., just would like to insert in the RECORD an Ministerial discretion to control land use. over a $6-a-barrel oil equivalent; oil now analysis of the repeal of the Rhodesian Since these officers were invariably Euro costs us $17 a barrel (Mideast crude) head pean, such discretion protected the interests Land Tenure Act of 1969. of the European minority against changes in ing towards $20. This paper, prepared by John Payton, Since 1973 our dependency on oil is up over the land-holding pattern. 35 percent and we have increased our de concludes that the repe-a.l of the act sim AMENDMENTS OF 197 5 ply transfers control over land policy pendence on OPEC by roughly that same Amendments to the Land Tenure Act in amount long term, while coal production ls from the formerly all-European govern the Parks and Wild Life Act removed leased up only 1 percent. ment to the European-dominated judi land from the park and forest system. In Don't think that we haven't done anything ciary and to the European minority in the European and African Areas, public about coal. While our coal production is up the legislature. lands leased for agricultural or other devel by a lump or two, we have produced a bumper If the act had continued in force, some opment were therefore released for sale to crop of bureaucratic red tape. Here's Myers of this control would now h-a.ve passed to private interests. Apparently, public land in summary of the recent laws coal producers the African Area could be leased to Euro must buck: African members of the new govern ment in Salisbury. This study indicates peans with special permission, and would be The Surface Mining and Control Act available for permanent disposition after (1977), The Federal Safety and Health Act that the white landowners have success these amendments. ( 1977), The Surface Mining Control and fully protected their privileged position Reclamation Act (1977), The Federal Land against practically any attempt by the AMENDMENTS OF 1977 Policy and Management Act (1976), The Na government to redistribute or develop By a series of deletions and changes, these tional Forest Management Act (1976), The Rhodeshn land. amendments strengthened the Minister's Alaska Claims Settlement Act ( 1971), The power to ope~ urban areas to non-racial de Federal Coal Leasing Amendments Act I commend the fallowing paper to the velopment. In particular, the Minister was ( 1976), The Mining in the Parks Act, The attention of my colleagues: freed from the obligation to notify and ob Clean Air Act and Clean Air Act Amendment REPEAL OF THE RHODESIAN LAND TENURE ACT tain the assent of the House of Assembly or (1977), The Federal Coal Mine Health and OF 1969 Boards of Trustees before changing the per Safety Act (1969) and the Community Health The following paper discusses the legal manent designation of urban land. These and Environment Surveillance System. methods which perpetuate the white control amendments reflected the developing tension June 21, 1979 EXTENSIONS OF REMARKS 16155 between factions of the European commu and an African President might have effec property is located or in the courts of the nity, and an assumption of greater power tuated a new land policy. By repeal of .the State in which such property is loca.ted. by the dominant group. Act, and enactment of the 1979 Constitu (b) The power of eminent doma.in shall 197~ CONSTITUrION tion, control over that policy devolved on the not be exercised to acquire (1) lands owned The 1979 Constitution effectively insulates judiciary and legislature, where Europeans by the United States or by any State, or (2) and confirms long-standing European con continue to be guaranteed an effective veto lands held in trust by the United States for trol of land policy and possession. The ex on change. e an Indian or Indian tribe. ecutive and the legislature have very lim (c) Nothing in this Act shall be construed ited powers of control over land use under to permit the United States, the Secretary, the 1979 Constitution, and, what powers they or a coal pipeline operator to a.cquire any do have are subject to European vetoes in TO AMEND THE MINERAL LEASING right to use or develop water through the the courts, the legislature, and local govern ACT OF 1920 exercise of the power of eminent domain. ments. CERTIFICATION OF PUBLIC CONVENIENCE AND Section 124 of the 1979 Constitution pro NECESSITY vides that the government may compulsorily HON. JOHN B. BREAUX SEc. 5. (a) The power of eminent domain acquire land only under a law tha.t provides OF LOUISIANA granted pursuant to this Act may be exer for court authorization based on a showing cised only by a carrier holding a certificate of clea.r public necessity, or of abandonment IN THE HOUSE OF REPRESENTATIVES of public convenience and necessity issued if the land is to be used for settlement. Such Thursday, June 21, 1979 by the Secretary of the Interior. The Secre a law also must guarantee prompt compen ta.ry is authorized _to issue such a certificate sation a.t the highest market value,in any of e Mr. BREAUX. Mr. Speaker, I am if the Secretary finds, with respect to the the proceding five years. Any person ag pleased to introduce today a bill to particular project of the carrier as to which grieved by the executive's action or unsatis amend the Mineral Leasing Act of 1920, said power is sought, that the projec.t ls in fied with compensation may appeal the otherwise referred to as the Coal Pipe the national interest and provides the ca court's order, with all costs of appeal paid line Act of 1979. In light of our current pacity necessary to fulfill the requirement by the government. Regardless of statutory energy problems, especially the need to of a common carrier of coal, a.s determined authorization, the courts may find a taking reduce our dependency upon imported by the Secretary. In addition to oth~r fac to be contrary to the principles of a "demo tors customarily considered in determining cratic society" and may order return of land oil and the heightened controversy over common carrier status in the case of pipe with payment of damages. If all courts ap the future construction and operation line common carriers, the Secretary shall prove the order and compensation, the for of nuclear powerplants, I think that it consider contracts for the carriage of coal mer owner is immediately free to remit the is important that we take strong meas which are in existence or proposed as of the compensation payment abroad. ures to make a transition to coal in order date of the application for certification and Because the judiciary will remain under to fire our electricity plants. may also consider such contracts for such European domination for the foreseeable fu This bill would help to establish a carriage as ma.y reasonably be anticipated, ture, these provisions establish an effective more efficient and reliable national sys at the time of issuance of the certificate, to and continuing European veto over any ac be entered into after such date. In deter tem for the transportation of coal to mining the size of the pipeline to be certift quisition of land for land reform or resettle different parts of the country, and rep ment of the African population. Even if the cated, the Secretary shall take into account government can take land within the terms resent in my opinion an extremely im the resultant cost to ultimate consumers of of the statute, it must allow European courts portant, initial step toward solving this servi:ces or products affected by such to set compensation, and must guarantee to country's energy problems. tra.nsportation. European owners the right to take assets (b) In making the findings required in The bill follows: (a) of this section the Secretary shall con abroad. The government must accept this H.R. - high cost of acquiring European-held land sider and make findings on the extent to to carry out any land reform. Be it enacted by the Senate and House of which the project-- Representatives of the United States oji ( 1) would help meet national needs for Furthermore, the 1979 Constitution pre America in Congress assembled, That this coal ut111zation, considering, among other vents the government from developing park Act may be cited as the "Coal Pipeline Act ma.tters, alternate routes or means of .trans and forest land (the former National Area). of 1979." portation of coal and the relative costs of Such a course would provide an alternative DEFINITIONS such alternative routes or means; to the high cost of acquiring European-held (2) may be impeded or delayed unless land, and would amount to a bargaining SEc. 2. As \lSed in this Act, the term- ( a) "carrier" means any carrier of coal by granted the power to eminent doma.ln; chip with the European minority. That route (3) involves disruption to the environ is also closed by the 1979 Constitution. Sec coal pipeline that ls subject to any of the provisions of this Act; ment, as compared wilth disruption from tion 160 provides that any law to reduce the other routes or mod.es of transportation or size of the national parks and forests by ( b) "Secretary" means the Secretary of other methods of utmzation of the coal re more than one percent requires 78 votes in the Department of the Interior; sources involved; the House of Assembly-including at least (c) "right-of-way" includes necessary land (4) considers the balance between the en six European votes. A similar vote is neces or other property for the location of plp~ ergy needs of the area to be benefiited by the sary to alter existing municipal powers, leav lines, pumping stations, pressure apparatus, project and the water requirements a.nd ing local governments free to enact what tanks or other stations, equipment, or ap other impacts on the area from which the ever land laws they desire. purtenances required for the proper oper coal ls to be transported; THE LAND TENURE ACT HAD TO BE REPEALED BE a tlon of a coal pipeline or pipelines; and ( 5) would be likely to impair the financial CAUSE IT IS INCONSISTENT WITH THE 1979 ( d) "control" means the power to exercise integri·ty of other common carrier modes of CONSTITUTION control ·by whatever means; and any person transportation or the level or type of .trans The powers conferred on the executive by who ( 1) is a director of a carrier or of any portation services any' such mode ls able to the Land Tenure Act are clearly inconsistent other person or (2) owns 1n excess of 50 offer; with the 1979 Constitution. Had the Laud per centum of the voting st.ock (or any like (6) will be likely to result in lower rates Tenure Act remained in force after the ef evidence of participation) of a carrier or of for the transportaition of coal than would be fective date of the 1979 Constitution. Had any other person shall be deemed to ha,.ve in effect if such coal were transported by a the Land Tenure Act remained in force after the power to exercise control of such carrier common carrier by railroad under part I of the effective date of the 1979 Constitution, or other persons, as the case may be. the Interstate Commerce Act; and it would have overridden the provisions of RIGHTS-OF-WAY ON FEDERAL LANDS (7) would unduly impact on the surface Section 124 because, under Section 135, no SEC. 3. Subsection 28(a) of the Mineral and ground water at the point of destina law in effect at the time of the enactment of Leasing Act of February 25, 1920, as amended tion and disposal of such water on the en the 1979 Constitution can be held to be in by the Act of November 16, 1978 (87 Stat. vironment. contravention of the Declaration of Rights 576), ls further amended by inserting the The Secretary's findings as to whether a (Section 124 is such a provision) . If the word "coal," between "natural gas," and project is in the national interest shall be Land Tenure Act were not repealed, there "synthetic". based on the record as a whole taking illlto fore, there would have been a transfer of consideration each of the criteria set forth some power over land use policy from Euro EMINENT DOMAIN in this subsection. The Secretary's findings pean control to African control.• SEC. 4. (a) Except as provided in subsec under paragraphs (1), (5), and (6) of this Had the Land Tenure Act continued in tion (b), when a.ny carrier cannot acquire sub.,ectlon must be concurred in by the force, a government with African Ministers by negotiation the right-of-way required to Secretary of Transportaition and the Inter construct, operate, and maintain any pro state Commerce Commission. •Reenactment of the Land Tenure Act posed coal pipeline or pipelines, such car (c) The Secretary shall require as a condi after the effective date of the 1979 Constitu rier may acquire the same by the exercise of tion of issuance of a certificate of conven tion would be barred by the Declaration of eminent domain in the district court of the ience and necessity under this Act tha.t any Rights. United States for the district in which such pipeline for which such certificate ls issued 16156 EXTENSIONS OF REMARKS June 21, 1979 be construoted, operated, and maintained as tional use described in subsection (e) only gation" within the meaning of the Antitrust a common carrier, in fact, fully subject to if he by rule-- Civil Process Act (15 U.S.C. 1311 et seq). rate and charge regulation by the Interstate ( 1) finds- (b) (1) Nothing in this section shall be Commerce Commission as provided in the (A) the additional use is a compatible use, construed to bar the Attorney General or the Interstate Commerce Act. Any violation of and Federal Trade Commission from challenging such condi>tion shall be enforced as provided (B) conditioning the issuance of the cer any anticompetitive situation involved in the in such Act, and nothing in this paragraph tificate upon the availability of the right operation of a coal pipeline. shall be construed to limit, impair, or other of-way for the additional use is in the public (2) Nothing contained in this section shall wise affect any provision of such Act. interest, and impair, amend, broaden, or modify any of the (d) (1) No carrier certified under this Act (2) establishes reasonable provisions for antitrust laws. shall transport any coal mined by it or un the payment of compensation for the addi (3) As used in this section, the term "anti der its authority or which it may own in tional use of the person otherwise entitled trust laws" includes, but is not limited to, whole or in part, or over which it may have to the exclusive use. the Act of July 2, 1890, as amended; the Act any control, direct or indirect, except that PROCEDURE of October 15, 1914, as amended; the Federal such a carrier may transport coal which it SEC. 6. (a) Applications for a certificate of Trade Commission Act (15 U.S.C. 41 et seq.); owns after it is mined and before it enters and sections 73 and 74 of the Act of August public convenience and necessity under this 27, 1894, as amended. the pipeline or during shipment for the sole Act shall be filed with the Secretary pur purpose of achieving transportation and stor suant to such regulations as the Secretary ENFORCEMENT AND PENALTIES AND JUDICIAL age economies through blending and com may prescribe. Each carrier applying for a REVIEW mingling of coal acquired from several coal certificate shall reimburse the Secretary for SEC. 8. (a) At the request of the Secretary, producers or for se,veral coal users, if the administrative and otlher costs incurred in the Attorney General may institute a civil Secretary determines that such ownership processing the application as the Secretary action in the district court of the United of the coal facilitates the achievement of shall prescribe. States for the district in which the affected such transportation and storage economies (b) A certificate authorized by section 5 operation is located for a restraining order or and is in the national interest. The transpor may be issued only af·ter public notice and injunction or other appropriate remedy to tation and storage charges permitted under public hearings in aiccordance with this enforce any provision of this Act or any the preceding sentence by the SeCTetary section. regulation or order issued under the author shall be included in tariffs filed with the ( c) The carrier shall publish, in accord i ty of this Act. Interstate Commerce Commission. The In ance with regulations promulgated by the (b) If any carrier shall fail to comply with terstate Commerce Commission shall have Secretary, a notice that it has filed an ap any provision of this Act, or any regulation the same authority respecting rate regulation plication for a certificate of public con or order issued under the authority of this under part I of the Interstate Commerce venience and necessity under this Act in a Act, after notice of such failure and expira Act in the case of coal which a carrier owns newspaper of general circulation in each tion of any period allowed for corrective under the preceding sentences as the Com oounty in which the project will be located. action, such person shall be liable for a civil mission has in the case of coal owned by any The notice shall, among other things specify penalty of not more than $5,000 for each person other than such a carrier. to the greatest extent praicticable ·the land and every day of the continua.nee of such (2) The prohibition contained in subsec which would be subject to the power of failure. The Secretary may assess and collect tion (d) (1) shall not apply to the construc eminent domain. any such penalty. tion, ownership, and operation of a. feeder ( d) The Secretary shall publish in the (c) Any person who knowingly and will line for the purpose of gaining access to a Federal Register a notice of the receipt of fully violates any provision of this Act, or coal pipeline by any person who would other each application under this Act. any regulation or order issued under the wise be ineligible if- ( e) Upon the receipt of an application for authority of this Act, or makes any false ( A) the carrier has declined a formal re a certificate of public convenience and neces statement, representation, or certification in quest to construct, own, and operate the sity with respect to a particular project, the any application, record, report, plan, or other feeder line; Secretary shall request the Secretary of document filed or required to be maintained (B) the owner of the feeder line will op Transportation and the Interstate Com under this Act shall, upon conviction, be erate the line as a common carrier for any rJerce Commission to make recommenda punished by a fine of not more than $10,000, excess capacity in the feeder line; and tions with respect to the impact of the pro or by imprisonment for not more than six (C) the Secretary has determined that an posed project on other modes of transporta months, or both. exemption from subsection (d) (1) is in the tion. The Secretary of Transportation and (d) Whenever a carrier violates any pro public interest. the Interstate Commerce Commission shall vision of this Act, or any regulation or order (3) (A) No certificate of public convenience submit such recommendations to the Secre issued under the authority of this Act, any and necessity may be issued to any carrier tary within six months after the date of the director, officer, or agent of such corporation which controls, is controlled by, or is under Secretary's request. or entity who authorized, ordered, or carried common control with any person which uses (f) The Secretary shall hold at least one out such violation shall be subject to the or will use coal transported by the carrier or public hearing in each State in which the same fines or imprisonment as provided for which supplies coal to the pipeline and (B) project involved will be located. Any inter under subsection (c) of this section. no carrier granted the power of eminent ested person may present relevant material (e) Petitions for judicial review shall be domain under this Act may control, be con at any hearing. After all hearings in each filed in the court of appeals of the United trolled by, or be under common control with State are concluded, the Secretary shall hold States for the circuit in which the pipeline's any such person. at least one public, formal adjudicatory hear originating point of coal transportation is (4) The penalties and enforcement provi ing in accordance with the provisions of sec located. sions of section 8 shall not apply to this tion 554 of title 5, United States Code, in the CONSTRUCTION OF LAW subsetcion, but whenever, on the basis of District of Columbia at which the Secretary SEC. 9. (a) In granting a State water per any information available to it, the Inter of Transportation, the Interstate commerce mit or authorization to a pipeline granted state Commerce Commission finds that any Commission, the Secretary of Energy, and the a certificate of public convenience and neces carrier or other person is in violation of Environmental Protection Agency shall, and sity under this Act any State may, to effec paragraph (1) or (3) (B) it shall notify such other Federal, State, and local agencies may, tuate a legitimate State public interest, carrier or other person. If such violation participate. condition pursuant to State law the water extends beyond the thirtieth day after the ANTITRUST REVIEW rights of such pipeline. The State may limit date of such notice, the Commission shall, SEC. 7. (a) REVIEW BY ATTORNEY GENERAL. or terminate the right of a pipeline to trans after notice and opportunity for hearing, Prior to the issuance of any certificate pur port water for coal pipeline use if so required issue an order requiring such carrier or other suant to section 5, the Secretary shall notify by such conditions. person to comply. Failure to obey any such the Attorney General of his consideration of (b) Nothing in this Act, including the order shall be subject to the same penalty the application for such certificate. The Sec exercise of the power of eminent domain as provided for in section 16(8) of the In retary shall provide such information as the authorized by this Act, shall be construed- terstate Commerce Act (49 U.S.C. 16(8)). Attorney General shall require to conduct an ( 1) as affecting in any way any law, regu ( e) If the Secretary determines, in the antitrust review to determine the likely lation, or rule of law governing appropriation, course of the consultation and findings re effects upon competition of such certificate. use or diversion of water, or as affecting any quired by subsection (b) or the hearings re The Attorney General shall have 120 days Federal, State, or private right to water; quired by section 6 that the project right from the date of receipt of such notification or as granting a right to the use of water of-way may be utilized for additional uses to conduct such review and to advise· ,:the to any carrier holding a certificate of con compatible with operations of the project Secretary with respect thereto, including spe venience and necessity issued pursuant to line, the Secretary may, in his discretion, re cific findings and recommendations for the this Act; or as superseding or modifying any quire as a condition to the grant of a certi inclusion in such certificate of reasonable State law, regulation, or rule of law govern ficate of public convenience and necesity terms and conditions deemed necessary to ing the acquisition and administration of that the particular project right-of-way be protect and promote competition. An anti water rights so as to excuse any person from subject to such compatible uses. trust review authorized by this subsection compliance with such law, regulation, or (f) The Secretary shall require the addi- shall be deemed to be an "antitrust invest!- rule of law in acquiring or maintaining water June 22, 1979 CONGRESSIONAL RECORD-HOUSE 16157 rights necessary in connection with the op promulgation, 'both Houses of Congress '81dopt (B) the days on which either House is not eration of a coal pipeline; a concurrent resolution, the matter after the in session because of an adjournment of more ( 2) as expanding or diminishing Federal resolving clause of which is as follows: "That than three days to a day certain are ex or State jurisdiction, responsibility, or inter Congress disapproves the rule or regulation cluded in the computation of 1thirty, sixty, est in water resources development or promulgated by the Secretairy of the Interior and ninety calendar days of continuous ses control; dealing wtth the matter of , sion of Congress. (3) as displacing, supersedirng, limiting, or which rule or regulaition was transmitted to (4) Congressional inaction on, or rejection modifying any interstate compact or the Congress on .", the !blank spaces of, a resolution of disapproval shall not be jurisdiction or responsibility of any legally therein being appropriately filled; or deemed an expression of approval of such established joint or common agency of two (B) within sixty ca.lendar days of con rule or regulation. or more States or of two or more States and tinuous session of Congress after the d,a.te o'! the Federal Government; promulgation, one House of Congress adopts UNDERGROUND CONSTRUCTION ( 4) as superseding, modifying, or repealing sucih a. concurrent resolution a.nd transmits SEC. 11. All coal pipelines subject to this existing laws applicable to the various Fed such resolution to the other House, and such Act shall, to the maximum extent practicable, eml agencies which are authorized to de resolution is not disapproved by such other consistent with environmental protection, velop or participate in the development of .House within thirty calendar days of contin- safety, and good engineering and techno waiter resources or to exercise licensing or uous session of Congress after such trans logical practices, be buried underground and regulatory functions in relation thereto; or mittal. on all rights-of-way replace on the disturbed ( 5) as diminishing in any manner the (2) If, at the end of sixty calendar days of areas sufficient topsoil, so that a vegetative authority of a State to grant or deny wate·r continuous session of Congress after the cover can be reestablished at least equal in use or establish or place terms or oondlttons daite of promulgation of a rule or regulation, extent of cover as that which sustained the regulating or limiting such use in any water no committee of either House of Congress natural vegetation in the area. peNnit or authorization, which authority has reported or been discharged from further RELATIONSHIP TO INTERSTATE COMMERCE ACT suoh State would have in the absence of this consideration of a concurrent resolution disapproving the rule or regulation and SEC. 12. Except where otherwise provided Act. by this Act, the provisions of part I of sub REGULATIONS neither House has adopted such a. resolution, title IV of Title 49, United States Code, re SEC. 10. (.a) The Secretary is authorized to the rule or regulation may go into effect immediately. If, within such sixty calendar lated to pipelines, shall be applicable to coal promulgate such rules and regulations as he pipelines subject to this Act. deems necessary to carry out the purposes days, such a committee has reported or been discharged from further consideration of SEC. 13. 'this Act shall not be applicable to of this Act. the line or route er operations of any carrier (b) (1) Notwithstanding any other provi such a resolution, or either House has adopted such a resolution, the rule or regu of coal by coal pipelines which was in bona sion of this Act, simultaneously with pro fide operation on January 1, 1978. mulgation or repromulgation of aey rule or lation may go into effect not sooner than regul1llltion under this Act, the Secretary shall ninety calendar days of continuous session SEPARABILITY OF PROVISIONS transmit a copy thereof to the Secretary of of Congress after such rule is prescribed un SEC. 14. If any provision of this Act, or the the Senate and the Cle.rk of the House of less disapproved as provided in paragraph (1) application of such provision to any person Representatives. Except as provided in para of this subsection. or circumstances, shall be held invalid, the gr·aph (2) of this subsection, the rule or reg (3) For purposes of paragraphs (1) and (2) remainder of this Act and the application of ulation shall not become effective, lif- of this subsection- such provision to persons or circulrlStances (A) within ninety calendar days of con ( A) continuity of session is broken only by other than those as to which it is held in tinuous session of Congress a.fter the date of an adjournment of Congress sine die; and valid, shall not be affected thereby.e HOUSE OF REPRESENTATIVES-Friday, June 22, 1979 The House met at 10 a.m. of 1961 and the Arms Export Control Act PROPOSED DIVERSION OF AGRI The Chaplain, Rev. James David Ford, to authorize international security assist CULTURAL DIESEL ALLOCATIONS D.D., offered the following prayer: ance programs for fiscal years 1980 and D This symbol represents the time of day during the House Proceedings, e.g., D 1407 is 2:07 p.m. •This "bullet" symbol identifies statements or insertions which are not spoken by the Member on the floor.
|