1954 CONGRESSIONAL RECORD - .HOUSE 3285 By Mr. JOHNSON of Wisconsin: By Mr. MOSS: By Mr. JENKINS: H. R. 8388. A bill to continue temporarily H. R. 84CO. A bill -to provide for the reim­ H. R. 8407. A bill for the relief of the existing 90 percent o:r- parity price supports bursement of postmasters for fixt-:.1res and Portsmouth Sand & Gravel Co.; to the Com• for milk and butterfat; to the· Committee on equipment in use at the time of discontinu­ mittee on the Judiciary. Agriculture. ance of such post offices; to the Committee By Mrs. KELLY of New York: By Mr. MACK of Washington: on Post Office and Civil Service. H. R. 8408. A b111 for the relief of Ragland H. R. 8389. A bill to provide that service By Mr. SMITH of Kansas: Joseph Biggs (also known as Vincent Doig); of cadets and midshipmen at the service H. J. Res, 467. Joint resolution providing to the Committee on the Judiciary. Academies during specified periods shall be for the proper protection of the Congress, By Mr. KING of California: considered active military or naval wartime and for other purposes; to the Committee service for the purposes of !aws administered on House Administration. H. R. 8409. A bill for the relief of Fran­ by the Veterans' Administration; to the By Mr. GUBSER (by request) : cisco Velasco-Armas; to the Committee on Committee on Veterans' Affairs. H. J. Res. 468. Joint resolution providing the Judiciary. H. R. 8390. A bill authorizing the appro­ that the Bureau of the Census shall an­ By Mr. O'NEILL: priation of funds to provide for the prosecu­ nually conduct a nationwide a~visory H. R. 841C. A bill for the relief of Manuel tion of projects in the Columbia River Basin opinion poll; to the Committee on Post Garcia Marcos; to the Committee on the Ju­ for fiood control and other purposes; to the Office and Civil Service. .diciary. Committee on Public Works. By Mr. KEARNS: By Mr. POLK: By Mr. O'HARA of Minnesota: H. J. Res. 469. Joint resolution establish­ H. R. 8411. A bill for the relief of the Ports­ H. R. 8391. A bill to provide supplementary ing a Joint Planning Committee for the mouth Sand & Gravel Co.; to the Commit­ benefits for recipients of public assistance District of Columbia and for other pur­ tee on the Judiciary. under Social Security Act programs. through poses; to the Committee on Rules. By Mr. ROONEY (by request): the issuance to such recipients of certificates By Mr. WOLVERTON: H. R. 8412. A bill for the relief of Giovanni to be used in the acquisition of surplus agri­ H. Con. Res. 213. Concurrent resolution Del Gatto; to the Committee on the Judi­ cultural food products; to the Committee on authorizing the printing of additional copies ciary. Agriculture. of the hearings held by the Committee on By Mr. SIMPSON of Dlinois: By Mr. ROGERS of Florida: Interstate and Foreign Commerce relative H. R. 8413. A bill for the relief of Sigrid H. R. 8392. A bill to provide for the exten­ to health problems; to the Committee on Brinkhoff; to the Committee on the Judi­ sion of social security coverage to the em­ House Administration. ciary. ployees of the city of Lake Worth, Fla., effec­ By Mr. WILLIAMS of New Jersey: tive as of January 1, 1951; to the Committee H. R. 8414. A bill for the relief of Mrs. Jack on Ways and Means. MEMORIALS E. Hunt; to the Committee on the Judi­ By Mrs. ROGERS of Massachusetts: ciary. H. R. 8393. A bill to provide for the issu­ Under clause 4 of rule XXII, memo­ ance of a special postage stamp in commemo­ rials were presented and referred as ration of the 300th anniversary of the found­ follows: PETITIONS, ETC. ing of Groton, 'Mass.; to the Committee on By the SPEAKER: Memorial of the Legis­ Under clause 1 of rule XXII, petitions Post Office and Civil Service. lature of the State of Pennsylvania, mem­ H. R. 8394. A bill to authorize th~ coinage and papers were laid on the Clerk's desk of special 50-cent pieces in commemoration orializing the President and the Congress of the United States relative to urging congres­ and referred as follows: of the 300th anniversary of the founding of sional action against injurious foreign im­ 557. By Mr. GRAHAM: Petition of Rev. Groton, Mass.; to the Committee on Bank­ ports; to the Committee on Ways and Means. Harry Thomas, Jr., pastor, and 26 members ing and Currency. of t.he Church of Christ of New Brighton, By Mr. SELDEN: Pa., calling attention to the treatment ac­ H. R. 8395. A bill to extend the time for corded the missionaries of that church in initiating a course of education or training PRIVATE BILLS AND RESOLUTIONS Rome, Italy; to the Committee on Foreign under Public Law 550, 82d Congress; to the Under clause 1 of rule XXII, private Affairs. Committee on Veterans' Affairs. bills and resolutions were . introduced 558. By Mr. SMITH of Wisconsin: Resolu­ By Mr. SPRINGER: and severally referred as follows: tion of the Racine chapter of the WCTU H. R. 8396. A bill to increase the consump­ urging that the Bryson bill to have the a4- tion of United States agricultural commodi­ By Mr. BARRETT: vertising of liquor stopped on radio, tele­ ties in foreign countries, and for other pur­ H. R. 8401. A bill for the relief of Mrs. vision, interstate commerce, and also that poses; to the Committee on Agriculture. Charlotte Meschke Rossiter; to the Commit­ liquor be taken out of the Armed Forces, be H. R. 8397. A bill to extend the time for tee on the Judiciary. given hearing by the committee just as soon initiating a co.urse of education or training By Mr. BENDER: as possible; to the Committee on Interstate under Public Law 550, 82d Congress; to the H. R. 8402. A bill for the relief of the and Foreign Commerce. Committee on Veterans' Affairs. Highway Construction Co. of Ohio, Inc.; to 559. By the SPEAKER: Petition of Park­ Mr. ABERNETHY: the Committee on the Judiciary. way Council No. 1433, Knights of Columbus, H. R. 8398. A bill to make the provisions H. R. 8403. A bill for the relief of Mrs. Brooklyn, N. Y., requesting enactment of of the act of August 28, 1937, relating to the Margaret Summers (nee Gebauer); to the conservation of water resources in the arid Committee on the Judiciary. House Joint Resolution 243 and Senate Joint and semiarid areas of the United States, By Mr. COLE of Missouri: Resolution 126 with regard to amending applicable to the entire United States, and H. R. 8404. A bill for the relief of the pledge of allegiance to the fiag of the to increase and revise the limitation on aid B Amusement Co. (Robert H., J. C., Kenneth, United States; to the Committee on the Ju­ available under the provisions of said act, and Mrs. J. R. Bowers) and others; to the diciary. and for other purposes; to the Committee on Committee to the Judiciary. 560. Also, petition of the secretary, Florida Agriculture. By Mr. FARRINGTON: State Townsend Club Council, West Palm Mr. HELLER: H. R. 8405. A bill for the relief of Fusa Beach, Fla., petitioning consideration of their H. R. 8399. A bill to amend the Service­ Kimura; to the Committee on the Judiciary. resolution with reference to immediate. ac­ men's Readjustment Act of :944 so as to By Mr. FERNOs-ISERN: tion in the consideration and enactment of reduce from 4V2 percent to 4 percent the the pay..:as-you-go Federal social security maximum interest rate on home loans made, H. R. 8406. A bill for the relief of Juan guaranteed, or insured under that act; to the Jose Aranda Martinez; to the Committee on for all, H. R. 2446 and H. R. 2447; to the Committee on Veterans' Affairs. the Judiciary. Committee on Ways and Means.

EXTENSIONS OF REMARKS

marks in the RECORD, I include the fol­ members of the Armed Forces of the United H. R. 6923 States captured or held as prisoners in the lowing statement which I made before course of the Korean campaign benefits the House Committee on Interstate and equivalent to those provided prisoners of EXTENSION OF REMARKS Foreign Commerce today: OF war and certain civilian internees of World STATEMENT OF HoN. EDITH NOURSE ROGERS OJ' War ll. HON. EDITH NOURSE ROGERS MASSACHUSETTS BEFORE HOUSE INTERSTATE Last fall, at a hearing conducted before on~ OF MASSACHUSETTS AND FoREIGN CoMMERCE COMMITTEE, MARcH of the Senate committees, I sat next to one 15, 1954 of the boys who bad been a prisoner ot war IN THE HOUSE OF REPRESENTATIVES Mr. Chairman, I appreciate the opportunity and who came from my home .collliD.uni.ty of Monday, March 15, 1954 of appearing before your committee to speak Lowell, Mass. I was shocked that up to that Mrs. ROGERS of Massachusetts. Mr. in behalf of my b111, H. R. 6923. The pur­ time no provision had been made for the pay­ Speaker, under leave to extend my re- pose of this proposal is to extend to the ment of comparable benefits for the prisoners 3286 CONGRESSIONAL RECORD- HOUSE March 15 of war of the Korean con1Uct. In order to cember 31, 1950, and the time you are Benefits for Prisoners of War correct that situation, I introduced H. R. 65. You would only have to work 2 6923, which is very similar to other bills years if you will be 65 by the end of EXTENSION OF REMARKS pending before this committee, as well as 1954. legislation pending in the other body. OF The World Warn act provided compensa­ But to get the larger benefits under tion at the rate of $1 a day for each day the the new plan, you will have to work at -HOM-. EDITH NOURSE ROGERS prisoner did not receive the quality of food least 2 ·years after Deceffiber 31, 1954. OF MASSACHUSETl'S required to be furnished him under the This assumes that the bill is passed and IN THE HOUSE OF REPRESENTATIVES Geneva Convention. In addition, $1.50 a day goes into effect on that date. was provided where inhuman treatment was Monday, March 15, 1954 meted out by the enemy government or its Say you are now 35. You would need agents. When the legislative counsel looked to ha-ve at least 17 years-half the time Mrs. ROGERS of Massachusetts. Mr. into this matter, at my reqeust, it seemed ap­ from December 31, 1950, and the time Speaker, under leave to extend my re­ propriate that the two sums should be you will be 65-before you could be eligi­ ·marks in the RECORD, I include the por­ ·lumped together and make the fiat figure of ble for a benefit at 65. tion of a statement I made this morning $2.50 since it has been pretty well estab­ If you are now 65 and continue to before the Committee on Interstat-e and lished that there was inhuman treatment farm, you would be eligible for a social Foreign Commerce in behalf of my bill meted out to · nearly all if not all of our prisoners, and certainly the quality of food security benefit after 6 calendar quar­ H. R. 6923, a bill to extend to our vet­ did not reach the required standard for ters under the new social security pro .. erans of Korea the same benefits granted any day. Therefore, my bill provides for the gram. prisoners of war in World War II. I fiat sum of $2.50 for each day. Surely this · How much will the proposed social-se­ am happy to know that the member-s of is a small amount and one which the Gov­ curity program cost? this committee, and I believe the entire ernment can well afford to pay to these You will pay 3 percent of your net Congress, are most sympathetic toward men who have suffered so much for Amer­ proposals of this type. ica. income into 'the social security fund. As in the case of the World War n act, The payment will be made at the time The excerpts follows: in the event of the death of an eligible you submit your Federal income tax re­ EFFECT OF ENACTMENT OF H. R. 6923 claimant claims under the bill would be pay­ turn. Every person who benefits from The purpose of this proposed legislation able first to his widow, if tl.lere is no child the program helps pay the costs. is to extend to members of the Armed Forces or children surviving, then_ to his widow Is . any Government tax money used of the United States captured and interned and child or children, one-half to tlie widow, to pay part of the cost of the social se­ or held as prisoners of war in the course of one-half ·to the child or children. In the curity program? the Korean campaign, benefits equivalent to absence of a surviving widow, payme~ts those provided to prisoners of war and cer­ would be made to the child or children of · No. The social security administra­ tain civilian internees of World War II, under the deceased in equal shares, and if no widow tion has a reserve fund of $18.7 billion. the provisions of sectiens 5_ and 6 of the or children survive then to the deceased's This is being increased by about $1.3 bil- War Claims Act of 1948, as amended. In parents in equal shares. lion annually. · this respect the bill, H. R. 6923, is identical Of course, I realize that under th£) World with H. R. 80'76 .except for the per diem pay­ War II acf payments were made out of the How will the social security benefit ments provided for, and is similar to S. 2605, 'proceeds of any enemy property which bad my family in case something happens and to portions of S. 2224, all in the 83d been seized. The money f.or the Korean to me? Congress. Compensation is authorized to act would have to be appropriated from the ·Your wife will get a lump-sum death any prisoner of war as defined in the bill, Treasury. In any event, the sum wou14 pe payment of three time~ what your . at the rate of $2.50 per day for ea~h day small in comparison with the suffering he was held as a prisoner of war on which· which these men have sustained. monthly benefit would be. She would' he alleges and proves, in a manner acceptable I hope, Mr. Ch~irma:r:t and members of the also get a monthly check amounting to to the War Claims Commission, that he· suf­ committee, that the committee will speed­ three-fourths of what your benefit fered any inhumane treatment, as defined in ily act favorably upon this measure and the bill, or was not·furnished with the qual­ that we may see it enacted into law before would be. Plus another three-fourths for the first child. ity or quantity of food to which he -was , much more time has elapsed. · entitled as a war-prisoner under the terms Again I wish to express my ·appreciation If your widow had two or more chil­ of the Geneva Convention of July 27; 1929. for your courtesy in hearing me. dren she could get up to $190 per month. In the event of the death of an eligible Your widow and children .would start claimant, clailll'S under the proposed legisla­ getting the checks soon after your death tion would be payable first to his widow, if if you had been under the program long there is no child or children surviving, then to his widow and child or children, one-half O'Kon~ki Urges Plan To· Bring Farmers enough to qualify. to the widow and one-half to the child or Under Social · Security The widow's benefits would continue children.· In the absence of a surviving until the youngest child is 18, then start widow, payments would be made to the child again after she is 65. or children of the deceased in equal shares, EXTENSION OF REMARKS How much will my monthly benefit and if no widow or children survive, then OF to the deceased's parents in equal shares. be if farmers are brought under the so­ Persons thus eligible for survivors' benefits HON. ALVIN E-. O'KONSKI cial security program? who may be under any legal disability, would Your monthly benefit would be based receive such benefits through their legal rep­ OF WISCONSIN on your average net income. The table resentatives as provided for in section 5 (e) IN THE HOUSE OF REPRESENTATIVES of the War Claims Act of 1948, as amended. below shows the proposed schedule of In addition, benefits at the rate of $2.50 Monday, March 15, 1954 benefits: would also be paid for inhumane treatment Mr. O'KONSKI. Mr. Speaker, I urge Proposed new retirement benefits (for per­ in the form of compulsory, forced labor dur­ sons retiring in future years) ing captivity. that this Congress act soon on the pend­ It is provided in the bill that the term ing social security bills before this body. "inhumane treatment" as used in the bill, In this respect, I strongly urge that Monthly benefits of- shall be any act, by the de facto government farmers be included in this program. I of the hostile force or foreign country by also urge that we provide increased Average pay per month which the claimant was held as a prisoner benefits for all those under the present of war, or its agents, of such government of the hostile force or foreign country by law and that these increased benefits which the claimant was held as a prisoner­ be also extended to farmers. of war, or its agents, of such government's Here are answers to questions which Under $35------­ $30.00 ~5.00 obligations under title III, section III, of the $70_------­ 43.50 61.00 farmers have asked about the benefits $100_------­ 60.00 85.00 Geneva Convention, relating to labor, or in they will get if Congress passes the bill. $140_------­ 66.50 99.80 violation of the provisions of articles 2, 3, 7, How long must I work after the bill $180_ ------­ 74.50 111.80 10, 12, 13, 21, 22, 54, 56, or 57 of that con­ $260$22()______------_,: __ ------_ 82.50 123.80 vention. is passed before I can get a benefit? 90.50 135.80 $3()()_------98. 50 · 147.80 Finally, the bill authorizes appropriations Under this plan, you would have to $350 or more------108.50 162.80 to· the War Claims Fund established by sec­ work at least half the time between De- tion 13 of the War Claims Act of 1948, as 1954 CONGRESSIO~AL RECORD- HOUSE 3287 amended, such sums as ·may be necessary to The War Claims Act of 1948 (Public Law sidered equivalent to an estate left by the carry out its provisions. · 896, 80th Cong. approved July 3, 1948; 62 deceased prisoner of war, it also mentioned Under the War Claims Act of 1948, as Stat. 1240; 50 U. S. C. 2001-2013) , as amended the Commission's contention that the sav­ amended, by Public Law 303, 82d Congress, by Public Law 75, 81st Congress, approved ing in administrative costs would offset the the same types of benefits have been pay­ May 25, 1949, consists of 14 sections. Sec­ additional expense in paid claims. The bill able to all prisoners of war in World War II. tions 4, 5, 6, and 7 provide for the receipt, passed the House September 18, 1950, and The daily rate- of be~efit payments, how­ adjudication, and payment of various types became Public Law 866, 81st Congress, on ever, were lower. Claims filed with the War of claims. Of these benefit sections, how­ September 30, 1950. Claims Commission for so-called food bene­ ever, only section 5 (a) to (e) , section 6 and PUBLIC LAW 303, 82D CONGRESS fits were paid at the rate of $1. Claims based section 7 are administered by the War Claims upon other types of inhumane treatment Commission. The only amendment yet made to the War were paid at the rate of $1.50 per diem for The benefit sections of the act adminis­ Claims Act of 1948 which is directly con­ each day the claimant alleged and proved tered by the War Claims Commission pro­ cerned with recognition of various types of such treatment. Similar benefits at these vide for the payment of claims submitted by war claims -is Public Law 303 of the 82d Con­ rates were paid under cl~ims filed by civilian ( 1) prisoners of war, or specified survivors of gress, approved April 9, 1952. This provided internees in the Philippines, Guam, Midway, deceased prisoners of war, for allowances for the recognition of new categories of and Wake Island. based on violations of the Geneva Conven­ claims under paragraphs 6 a~d 7, dealing with claims of former prisoners . of war and THE WAR CLAIMS ACT OF 1948 tion of July 27, 1929, relating to the obliga­ tion of the detaining enemy power to fur­ certain religious organizations operating in Legislative history nish certain rations .to prisoners of war; (2) the Philippines. During the 82d Congress During the 80th Congress various measures certain civilian American citizens, or speci­ there were introduced a considerable num:. pertaining to the recognition and settlement fied survivors of such deceased civilian Amer­ ber of bills to amend the War Claims Act of 'claims arising out of World War II were ican citizens, who were captured and in­ which received sufficient attention to warrant introduced. Four of these bills (H. R. 873, terned by the Imperial Japanese Govern­ hearings before the committees concerned. H. R . 1000, H. R . 1823, and H. R. 2823) which ment in certain designated places in the There were included 5 bills (1 in the Senate) were introduced in the House of Representa­ Pacific, or while in transit to or from such which would have amended section 6 to tives and referred to the House Committee places, or who went into hiding to avoid cap­ provide for compensation for unpaid, com­ on Interstate and Foreign Commerce formed ture and internment, for detention benefits; pulsory labor of prisoners of war and for vio­ the basis for the bill which was finally en­ and (3) religious organizations functioning lations of the Geneva Convention, other than acted into law as Public Law 896, 80th Con­ in the Philippine Islands and affiliated with a section 11, of which they had been the vic­ gress. religious organization in the United States, tims. These were S. 1416, introduced by Mr. The bills referred to provided for the recog­ or the personnel of such Philippine organi­ ANDERSON, and referred to the Senate Com­ nition and satisfaction of numerous types of zation, for reimbursement for expenditures mittee on the Judiciary, April 30, 1951 (ac­ war claims and proposed a variety of admin­ incurred or for payment of the fair value of tion was postponed indefinitely June 9, 1952, istrative methods for processing them. After certain supplies and services provided for in view of action on S. 1416, which will be extensive hearings on such bills, a new bill, members of the Armed Forces of the United discussed later), H. R. 3719, introduced by H. R. 4044, was reported to the Whole House States or civilian American citizens (as de­ Mr. DEMPSEY and referred to the House Com­ on July 17, 1947, by the Interstate and For­ fined in sec. 5 of the act) in the Phiiippine mittee on Interstate and Foreign Commerce, eign Commerce Committee (H. Rept. No. 976, Islands during the dates specified. April 13, 1951, H. R. 4345, introduced by Mr. CROSSER and referred to the House Interstate 80th Cong.) .. This bill emqodtes certain of AMENDMENTS TO THE WAR CLAIMS ACT the basic principles expressed in the earlier and Foreign Comnierce, June 6,. 1951, H. ·R. · With the appoi;;tment of the 4522, j~troduced by~- HELLER and referred bills but was mor~ detailed and sp~cific as to, C~mmis­ to House Interstate and Foreign Commerce types of recognized claims. It was drafted sioners, ·approved September 13, 1949, Con­ gress completed _its responsibilities with the June 20, 1951, and H. R . 6556,' introduced in the form of an ~ a_!llend~ent to the Trading original act. There have, however, been by Mr. ELLIOTT and referred to House Inter­ With the Enemy Act of October 6, 1~17 (40 Stat. 411) , and provided that seized property am~9Jnents to the act. Those affecting state and Foreign Commerce _February 16, of Germany, Japan, and their ' nationals . benefit payments al'e discussed below. 1952. · Hearings were·held on October-18, 19, PUBLIC LAW 359, 81ST CONGRESS . and 20, 1951 ~ and March 19, May 1, 2, and . should be retained by the United States. In June 16, 1952, on H. R. 3719, H. R. 4345, and its original form title II of H. R. 4044 pro­ The next amendment was Public Law 359 H. ,R. ·4522 and other bills including S. 1415 vided for the ·establishment of a three­ of the 81st Congress which did not affect the and H. R. 5385 which would. have provided member Commission appointed by the Presi­ functioning of the War Claims Commission. for amendment of section 7 to provide for dent to inquire into the report to the Presi­ This was an act to increase rates ,of compen­ compensation at the postwar cost of replace­ dent, for submission of such report to the sation of the heads and assistant heads of ment for damage to or loss of certain build­ Congress, with respect to war claims arising executive departments and modified thereby ings and installations belonging to those out of World War I and World War II. Only the provisions in section 2 (a) which set the religious organizations already described in the claims of a small group of American citi­ compensation of the members of the Com­ the provisions of section 7. S. 1415, which zens interned by the Japanese during World mission. had been introduced by Mr. O'Conor andre­ War II would have been adjudicated and ferred to the Senate Committee on the Ju­ paid under the bill. The bill passed the PUBLIC LAW 696, 81ST CONGRESS Public Law 696, of the 81st Congress, ap­ diciary, April 30, 1951, was reported out Sep­ House of Representatives on January 26,1948. tember 6, 1951, and passed the Senate on A special subcommittee of the Senate Judi­ proved August 16, 1950, was the first amend­ ment to the War Claims Act after the organi­ October 1, 1951, as amended. It was referred ciary Committee held extensive hearings on to the Committee on Interstate and Foreign H. R. 4044 both in Washington, D. C., and in zation of the Commission and was at there­ quest of the Commission. ·It provided the Commerce of the House October 3, 1951, in New Mexico. As a result of these hearings, time to join H. R. · 5385, with which it was the Judiciary Committee of the Senate offered Commission authority to subpena witnesses and otherwise to conduct the investigations, identical, at· the 'above-m-entioned hearings. an entirely new bill, in the nature of a ·sub.:. H. R. 5385 had been introduced by Mr. Mc­ stitute. The .bill was passed by. the Senate etc., necessary to the conduct of the business CoRMACK -and referred to the House Inter­ and referred to the Committee on Conference, entrusted to it. state and Foreign Commerce September 18, which reported the bill out on June 19, 1948 PUBLIC LAW 866, 81ST CONGRESS 1951. {House conference Rept. No. 2439, 80th One further amendment to the War Claims Many of the arguments presented at these Cong.) . The bill was approved by both the Act was made by the 81st Congress. This hearings had of course been discussed be­ Senate and the House of Representatives on was an amendment affecting payments to fore, especially at the hearings preceeding the day it was reported out by the Committee the final class of survivors under section ·6. enactment of the War Claims Act of 1948. of Conference, and on July 3, 19.48, with Mr. Anderson who introduced the bill, S. The committee reported H. R. 3719 approval by the President, became Public 3000, to strike the word "dependent" from (Rept. No. 1632), and H. R. 4345 (Rept. No, Law 896, 80th Congress.· the last category of supervisors listed, 1633), on March 24, 1952, and also reported FUnds were not appropriated for the activ­ stated before the House Committee that he H. R. 5385, the section 7 bill (Rept. ·. No. ities of the War Claims Commission dliring was in receipt of communications from sur­ 1631). The provisions of these two kinds either the second session or the specfal ses­ viving parents who had not been dependent of bills were combined and passed as S. 1415, sion of the 80th Congress. The amount of at the time the deceased prisoner of war had amended, on March 31, 1952. Discussion in $75,000 was appropriated for the administra­ entered the Armed Forces or had gone over­ the House was very brief and confined to an tive expenses of the Commission for the bal­ seas, but would now be grateful for his assist­ explanation of the effect of that part of the ance of the fiscal year 1949 by Public Law 71, combination that would provide for further 81st Congress, approved May 24, 1949. This ance if he had lived to return to them, or appropriation lapsed, however, because of the from those who were too proud to claim de­ benefits to former military prisoners of war. delay in appointing the War Claims Com­ pendency, or unable to do so. A special S. 1415, as amended by substitution of provi­ missioners. Although tb.e War Claims Act of subcommittee to the Committee on Inter­ sions of H. R. 3719 and H. R. 5385, passed the 1948 became law on July 3, 1948, the War state and Foreign Commerce in its report Senate April 1, 1952, and was signed by the Claims Commission was not activated until (No. 3093) accepted the argument of Mr. President on April 9, 1952, to become Public September 14, 1949. Anderson that the payments should be con~ Law 303, 82d Congress. 3288 CONGRESSIONAL RECORD- HOUSE March 15 PUBLIC LAW 304, 82D CONGRESS invaders out of their native land. In CARTHY, apparently in the hope of a personal Two bills were introduced in the 82d Con­ paying tribute to the heroes of 1848, we attack, but each time the President has re­ gress which developed into a publi~ _law pledge our support in the present battle plied with mild and reasoned criticism. providing for modifications of the provlSlOns ior Hungary's freedom. For this, the President too has experienced for making payments to persons under legal the bitter rebukes of those who have magni­ disability in bo~h sections 5 and 6. These fied the McCarthy issue into a cause that were H. R. 4477, introduced by Mr. CRossER has overwhelmed -an other factors of Ameri­ and referred to the House Comxnittee on can political, military, and economic life. Interstate and Foreign Commerce, on June The McCarthy Issue What has Senator McCARTHY done? He 15, 1951, and S. 1669, introduced by Mr. _Mc­ has exposed Communists and their fellow CARRAN and referred to the Senate Committee EXTENSION OF REMARKS travelers. on the Judiciary June 13, 1951. S. 1669 was What has Dean Acheson, Democratic form­ reported out on July 30 (Rept. No. 1630) 011' er Secretary of State, suffered for his loyal and passed with committee amendment Au­ support of Alger Hiss? What has Harry gust 9, 1951. It was referred to the House HON. JAMES B. UTT Truman suffered for his administration's Committee on Interstate and Foreign Com­ OF CALIFORNIA promotions of Hany Dexter White? merce August 10, and hearings were held IN Th"E HOUSE OF REPRESENTATIVES Where are the stinging . criticisms? The March 19, 1952. It was reported o?t Ma:rch bitter denunciations? 24 and passed March 31 without discussiOn. Monday, March 15, 1954 The President and other Republican lead­ This was signed by the President on April 9, Mr. U'IT. Mr. Speaker, it is easy to ers realize that the magnification of the 1952, also, and became Public Law 30~, 82d criticize when all about you are engaged McCarthy issue is enabling political oppo­ Congress. The changes made by this ~aw in this national pastime, especially nents to divide the party, and to divide means were such as would enable the CommissiOn to conquer. The breach must be repaired. to make certain payments that had been when Senator McCARTHY is the target. Senator McCARTHY now is fighting for his held in abeyance for lack of authority to pay In all this clamor, let us not be deceived political life, and, fighting alone; he is show­ money to guardians, curators, etc., or to com­ -by those who wish to destroy, not only ing a sense of desperation. The more desper­ petent minors, and little discussion was nec­ the men, but also any further attempt to ate he becomes, the more sweeping his essary in the course of its passage through stop the Communist thrust. The hard charges and the more intemperate his an­ the Congress. Public Law 303 added the core of Communist leaders, left wing swers. second subsection (d) to section 6 of the commentators and fellow travelers, have That is where his enemies wanted him: War Claims Act (the first had been added cornered and angry. That is how a man the same day by the enactment of Public gathered into their ranks, thousands of 1s led into destroying himself. Law 303). This situation has not as yet been vocal sympathizers who have now joined A less-dedicated .man would have avoided corrected. the wrecking brigade to make the inves­ some of his excesses and chosen a more dip­ tigation of any un-American activities lomatic path. The good he has done is being so unpopular that men will refuse to take obscured. And it may be a long time be­ the public abuse that will surely be fore anyone again tries to pick a hard­ The Anniversary of Hungarian Freedom . fisted political battle against communism heaped upon the head of anyone so at home. audacious as to tread upon the sacred EXTENSION OF REMARKS precihcts of Communists. OF surely in this crusade to defend the liberties of Americans, there will be Hungarian Freedom Day HON. CHARLES R. HOWELL some casualties inflicted upon innocent OF NEW JERSEY people. But tell me, Mr. Speaker, has IN THE HOUSE OF REPRESENTATIVES it ever been argued that because an in­ EXTENSION OF REMARKS Monday, March 15, 1954 nocent bystander was shot by the FBI OF in capturing the most wanted criminal, HON.F.D.ROOSEVELT,JR. Mr. HOWELL. Mr. Speaker, as _we we should disband the FBI or the police celebrate the anniversary of Hunganan force of every large metropolitan area OF NEW YORK freedom, brave men and women in where similar injuries to innocents have IN. THE HOUSE OF REPRESENT~ TIVE~ Hungary are again being made to suffer occurred? Monday, March15, 1954 for their devotion to the cause of inde­ I do not· say that Senator McCARTHY pendence and liberty for which their has never made a mistake. The only Mr. ROOSEVELT. Mr. Speaker, under forefathers fought in 1848. Communist one who never made a mistake was cru­ leave to extend my remarks in the REC· tyrants are imposing their rule by ORD, I include the following statement methods which violate every precept of cified 2,000 years ago, but I do say, "Let on the occasion of Hungarian Freedom him who is without sin, cast the first Day: . morality. Such acts as the trial and im­ stone." prisonment of Cardinal Joseph Mind­ I know not how the rest of this body STATEMENT OF HoN. FRANKLIN D. ROOSEVELT, szenty clearly show that the Soviets will feels, but I shall and now do speak in JR., OF NEW YORK, TO THE HOUSE OF REPRE::­ not stop at anything in order to secure SENTATIVES ON THE OccASION OF HUNGARIAN defense of the junior Senator from Wis­ FREEDoM DAY, MARCH 15, 1954 their hold on Hungary. consin, in his fight against communism, our solemn task is to do everything in We celebrate today the an:D.iversary of our power to protect Hungarians from who is being .challenged, mocked, taunted, Hungarian independence and of a great the terror that is being used against and misquoted by those who should be democratic victory over the forces of despot­ them. We may best do this by giving his friends, as well as by the enemy with­ ism. When Louis Kossuth persuaded the our full support to the Genocide Con­ in our gates. National Assembly in 1849 to declare Hun­ vention, a law which states that the Mr. Speaker, under unanimous con­ gary independent of Hapsburg rule, a new Soviet policy of murder, deportation, sent to extend my remarks, I include an democratic state came into being. The free editorial from the San Diego Union, of HungaJ:y led by Louis Kossuth dedicated it­ and persecution of religious and intel­ self to the establishment of the rights of lecualleaders is an international crime. March 11, 1954, upon the same subject: the individual by enforcement of such points With the aid of this law, we must work THE McCARTHY ISSUE: A FIGHT FOR POLITICAL as equality before the law, freedom of wor­ toward organizing world public opinion LIFE ship, and freedom of assembly. These prin­ to such a degree that its pressure will Like witnesses to a modern drama of the ciples had long been cherished by the Hun­ force the Communists to modify their breakup of a man's character or personality, garian people. It was this abuse that Col'. methods. the American people are seeing before their Michael De Kovats left Hungary to fight In eyes the effort to destroy a man who has the American Revolutionary War. But It The independence won by Hungarians enjoyed high public office. was not until 1848 that Hungarians were under the leadership of Louis Kossuth The campaign against Senator McCARTHY able to shake off the'"' rule of foreign op­ 106 years ago was short lived. But has reached staggering proportions. pressors and put democracy into effect in while the Hapsburgs returned to rule, Misquoted, misinterpreted, hit at every their native land. the Hungarian people remained true to turn, challenged on every statement, taunt­ The ·despotic rulers ·o.t the countries sur­ the heritage of freedom. Louis Kossuth ed and mocked by left-wingers, Senator Mc­ rounding Hungary, however, could not per­ went into exile and from there con­ CARTHY, in his dedication to his cause, has mit a democracy to flourish in their midst. tinued fighting for total independence. been driven into excesses that only intensify In the very same year in which Hungary Today, Hungarian exiles are once again the attack on his motives and. character. achieved -full independence Russian troops At every press conference, President Eisen­ invaded the country. The new democracy marshaling world ·support to throw the hower has been bad{;ered about Senator Me- was crushed almost the moment it had 1954 CONGRESSIONAL RECORD- HOUSE 3289 bloomed. Kossuth was forced to flee from growing, with ever expanding influence It is my hope that the measure which Hungary. But he did not abandon the upon the life of the younger generation I am introducing today will make pos­ fight for 'Hungarian freedom. Wherever he of Italy. ,. sible health insurance protection which went, to England, the United States, Italy, A stream, Mr. Speaker, cannot rise is more adequate than the very limited· he organized support for his cause. higher than its source; if the source be and sometimes illusory protection now Today, Hungarians are once again fighting given under many insurance policies. to be free. Hungary's Soviet rulers are far polluted, the entire river is noxious. If more ruthless than their 19th century pred­ we in secure, properous America have This bill is in addition to two other ecessors. And yet the spirit of Hungary juvenile delinquency problems, think administration bills which I have pre­ remains unbroken in the ·face of physical what the situation must be in poverty­ viously introduced for amending the terror. The arrest of Cardinal Mindszenty stricken Italy. And by so much, think Public Health Service Act with respect did not diminish the Hungarian people's of the importance of rearing the rising to grants for public health services and determination to maintain their heritage nor Italian generation in wholesome, moral to amend the Hospital Survey and Con­ their adherence to the principles of liberty surroundings. The aid we give to the struction Act provisions of the Public and justice. In marking this anniversary, we in the American Relief of Italy becomes a Health Service Act. The latter bill al­ United States of America must pledge to the sound investment indeed. Assistance of ready was passed by the House on people of Hungary that we shall not aban­ this kind constitutes the most deadly March 9, 1954. don them. We must encourage them to foe communism has-and well do the The major proposal in the bill which carry on the struggle of Louis Kossuth until Communists know it. I am introducing today is to establish a­ independence and democracy are perma­ Some time ago I was happy to receive limited Federal reinsurance service with nently restored to Hungary. a letter from my friend, Monsignor John_ a self-sustaining fund derived from rein­ Patrick Carrol-Abbing, who from the surance premiums paid by the sponsors first has been a leading ·light ·in this of health service prepayment plans par­ movement to rescue the helpless child­ ticipating in the program. Tenth Anniversary Celebration of Boys' dren of Italy from poverty, and worse To provide working capital for the re­ Towns of Italy than poverty. Monsignor Carroll­ insurance fund, an appropriation of $25 Abbing described in mo~ing terlll:S the million. would be authorized from which EXTENSION OF REMARKS work the ARI, originally set up by advances, repayable with interest, could President Roosevelt, is trying to do: to OF be made to the fund, when and as needed. give these boys, as he expressed it, "the_ Another feature of the program would be HON. PETER W. RODINO, JR. home and affection for which they have to make studies and collect information OF NEW JERSEY always longed.'' needed as a basis for providing better IN THE HOUSE OF REPRESENTATIVES The rising generation in Italy may health service prepayment plans, to pub­ prove a deciding factor in the affairs_of lish. results of such studies, and on re­ Monday, March 15, 1954 a troubled world. America cannot afford quest to give technical advice and infor­ Mr. RODINO. Mr. Speaker, I crave to forget the land of Christopher Colum­ mation to sponsors of. such plans. the indulgence of the House to extend bus, and it is with this thought and this This bill will, I believe, be of vital in.: som'e remarks in the CoNGRESSIONAL hope for continued kindly aid that I terest to every American. It provides RECORD upon a subject which is very venture once most respectfully to re­ a sensible governmental approach based near my heart. It must necessarily ap­ mind my colleagues-of the Boys' Towns pn private initiative to a serious na­ p'eal to any American of Ita~an de­ of Italy. tional-health problem. Heretofore, all scent--:-which I am proud to claim-and attempts by the Federal Government in · I flatter myself. as a patriot that it will this field have been predicated on the appeal to every American, whatever his A Limited Federal Reinsurance Bill, H. R. idea of Federal control and operation. racial origin. I refer to the project This bill rejects the concept of socialized known as Boys• Towns of Italy, Inc. 8356 medicine and permits help within the Five years ago I had occasion to make framework of private enterprises. some observations on this very noble EXTENSION OF REMARKS The bill was developed by the Secre­ project; this year, 1954, marks t~e lOth OF tary of Health, Education, and Welfare. anniversary of a movement which can It carries out an important part of Presi­ surely claim to be one of the most en­ HON. CHARLES A. WOLVERTON dent Eisenhower's health program. I lightened of this generation. OF NEW JERSEY am very glad, indeed, that President Conceived by Father Don Rivolta, a IN THE HOUSE OF REPRESENTATIVES Eisenhower has charted a clear course of Milanese priest, the first of these com­ action by which we can begin to cope munities was founded in 1944 at Santa Monday, March 15, 1954 with the problems of high-medical costs Marinella, north of Rome. Within Mr. WOLVERTON. Mr. Speaker, I through private operation and Federal 5 years it had expanded into 5 towns, have introduced today H. R. 8356, a bill leadership. combined into a "republic... This ex­ which carries out President Eisenhower's In the near future, hearings will be periment has been the model for others, limited Federal reinsurance program re­ scheduled on this bill. the ultimate goal being, under the ferred to by the President in his health patronage of American Relief for Italy, message presentE:d to the Congress on similar communities in each of the 96 January 18. provinces of Italy. The ARI not only The purpose of this bill is to improve sets up the communities but supplies the public health by encouraging the Where Can We Get the Money? them with food, clothing, medicine, and more extensive use of the voluntary pre­ maintenance funds. These Boys' payment method· in the provision of EXTENSION OF REMARKS Towns Americans will be interested to health services. OF know, ~re modeled very largely after the The Committee on Interstate and For­ famous Nebraska community founded eign Commerce in the course of its hear­ HON. CLARE E. HOFFMAN by the late Monsignor Edward Flana­ ings on health problems has received OF MICHIGAN gan. The aim of the movement can be extensive testimony on the great need IN THE HOUSE OF REPRESENTATIVES stated very simply: to take the boys off which exists for more adequate health the streets, to teach them to r'l:ln their insurance protection. According to this Monday, March 15, 1954 communities in democratic fashiOn, and testimony, when illness strikes, many Mr. HOFFMAN of Michigan. Mr. to provide trade training which will en­ present health insurance policies may Speaker, where can we get the money able these boys to make an honest way be canceled by insurance companies, to meet the requests-yes, the demands­ in life and help in the reconstruction of leaving the policyholder without any pro­ which come almost every day, at least tection for the future. Other testimony. their country. once a week, from the individuals upon It is gratifying indeed to learn that shows that many classes of persons, as for example the aged, will not be ac­ whom we are dependent for reelection? the movement has been a success from some, without any hesitancy, tell us that the beginning and that it is co~tantly cepted by ~nsurance comJ>anies. 3290 CONGRESSIONAL RECORD- HOUSE March 15 if we do not comply with their re: 1954 get along on $35.50 for food, clothing and $4no, with a further increase to $500 in incidentals; shelter, $4.26; electricity, $5.36;· 1949. 1\!r. PILLION. Mr ..Speaker, today be.: heating fuel, $8.63; total, $53.75. In 1952 the dollars spent by American ing_ Hungarian Independence Day, it is . That is the sum the much badgered travelers abroad contributed over $1 fittmg to remember a people whose ideals and distressed county supervisor tells her billion to the purchasing power of for­ are so akin to our own American con­ that, according to Bureau standards, she eign countries. This amount represents ceptions and whose great patriot, Louis is entitled to receive. more dollar earnings than foreign coun­ Kossuth made such a lasting impression The postal employees' representatives tries received from the sale to the United while touring the United States a little acknowledged that others were in need, States of any commodity except coffee. over a hundred years ago. that they had job security, were not as As another point of comparison, the President Eisenhower in his message desperately situated as some others. sale of all dutiable finished manufac­ to Americans of Hungarian origin on They suggested that, if we would cut out tured goods earned for foreign coun­ March 10, 1954, expressed an opinion the billions which we have been sending tries in 1952 about the same amount of which I think we all share-that there abroad, the waste in defense production, dollars as American travelers contrib­ is today an even greater interest and and perhaps practice a little economy in uted. It is apparent, therefore, that compassion in the United States toward our own legislative establishments and American travel today contributes. sub­ oppressed peoples than was at the time procedures, it might be possible to give stantially to the economy of foreign of Louis Kossuth's visit. Hungary's dy­ everybody here at home a little better countries, without affecting adversely namic orator of 1852 apparently has not break. our own economy. · warned us in vain that Russian imperial­ I will go a little bit further than their Not only are these dollar earnings of ism cons~itutes one of the gravest suggestions and use my.best efforts to get great importance now, but they can be dangers threatening Western civilization a little economy, not only in executive increased considerably. If the same and the American way of li!e. departments but in congressional activ­ proportion of our national income had President Eisenhower's message was ities, in our own housekeeping. For one been spent on travel in 1952 as was read yesterday in Hungarian churches thing is certain, until we do practice rigid spent in 1929, the dollar earnings from and patriotic exercises throughout this economy and prices go down, with many travel would have amounted to almost land. It was broadcast to the enslaved out of employment, with the necessity $2,500,000,000. It seems obvious, there­ people of Hungary, rekindling·the hopes of trying to provide jobs for the unem­ fore, that reasonable encouragement of millions in a better day to come. ployed, apparently we will all have to do should be given to Americans who would This reminds us that it was an officer like to travel abroad. Unquestionably of the Hungarian hussars who volun­ a little economizing ourselves. such encouragement would be effective. So, while you are feeling sorry for teered to our brilliant envoy in Paris The money American tourists spend Benjamin Franklin, 177 years ago, t~ yourself and I am feeling sorry for my­ abroad gives them pleasure and instruc­ train General Washington's cavalry. self, it might be well that we should give tion. It helps our friends abroad and 'Ple Hungarian offering his services to thanks for the blessings we enjoy and wins us many new friends for America. us in the darkest hours of this Repub­ remember there are others who are in It brings substantial help to our friends­ lic, was one Col. Michael Kovats de greater need than are you or L abroad with a minimum of hardship Fabricy. He was appointed second in 1954 CONGRESSIONAL RECORD- HOUSE 3291 command of the Pulaski Legion and took because the only way you can relieve an is treated like all other taxpayers who part in many a battle between New Eng­ injustice is to relieve it. support children. land and the Carolinas. Sent to bolster Much has been said about the ·work In past years the mad scramble for the defense of Charleston, he fell mor­ that has gone into this huge bill of al­ revenue has been so great that there tally wounded leading his men against most a thousand pages. The committee seemed to be a policy in both the Con­ the attacking enemy. heard 600 witnesses in public session. gress and the Treasury Department to Americans from Hungary recalled-the The Treasury staffs and the congression­ get all the taxes you could regardless of patriotic deeds of both Kossuth and al staffs have put in a total of 200,000 the consequences. If a clergyman is fur­ Colonel Commander Kovats during their man-hours of work. More than 200 or­ nished a parsonage he does not have to numerous events yesterday, their Inde~ ganizations have been heard in confer­ pay additional taxes by reason of being pendence Day, in many cities all over ence and the answers to 17,000 question­ allowed the use of that parsonage. But the United States. Right here in Wash­ naires have been gone into. This bill if the church had no parsonage and made ington, an eminent scholar, Rev. Ed­ without a doubt represents the greatest an allowance to him so that he could mund Vasvary, is putting the finishing legislative task ever undertaken in the rent or provide a place for himself, that touches to a volume which deals with history of the Congress of the United allowance was considered income and the life story of this brave Hungarian States. thus increased his taxes. That, too, has hussar whose motto, "Faithful unto The real credit for this outstanding been taken care of. death" became the slogan cf the Ameri­ service to our Republic belongs to 1 man One of the fine things that was done can Hungarian Federation. and 1 man only. I refer to the Honor­ by the 80th Congress was the provision Colonel Kovats thus offered not only able DANIEL A. REED, our beloved and dis­ for income splitting between husbands his talents as a professional soldier, but tinguished chairman. His keen insight, and wives. This equalized the burden he came here to make the supreme sacri­ his determination, his sense of judgment, between States. Soon after that law was fice to his new homeland. No immigrant his vast knowledge and his tireless efforts in effect we found that something ·more to these shores has given more, not many are unmatched in all the annals of the needed to be done. If a man lost his wife have manifested such a self-denying Government. Without him this bill by death, he often found that not only purpose. Our independence must there­ would have never reached the floor of his expenses for carrying on a household fore be like a dream to the people who the House of Representatives. DANIEL were increased but also his taxes were gave us a Colonel Kovats, a Louis Kos­ REED is _more than the man of the year. increased because he no longer had suth, yet who today are under worse He stands as one of the pillars of our Re­ someone with whom he could split his oppression than ever during their thou­ public of all time. income. A few years later that was par­ sand-year-old history. It is not my purpose at this time to tially corrected by giving such a tax­ discuss some of the more complicated payer one-half the benefit of income and technical provisions of this bill, and splitting. This complicated the tables they are many. I will mention some of and the computation of the tax. In this the provisions that mean so much to the bill we have gone all the way. We have H. R. 8300 rank and file of the people of America. given the head of the family the full There is much talk about the cost of benefits of i-ncome-tax splitting. We EXTENSION OF REMARKS medical expenses. Prolonged illness, have also liberalized the definition of OF .hospital bills, surgery, and drugs like head of ·a family. This is one of the everything else in this modern day are many provisions in this measure along HON. CARL T. CURTIS expensive. Too often we are inclined with the others that I have just men;;. OF NEBRASKA just to blame some other group for it. tioned and many that I will not mention IN THE HOUSE OF REPRESENTATIVES This bill does something about it. It that bring a real benefit to the American liberalizes the medical deduction. At Monday, March 15, 1954 home. the present time if a man's salary is Retired people are the beneficiaries of Mr. CURTIS of Nebraska. Mr. $3,000 a year and his family has medical tax relief py reason of the revisions we Speaker I wish to take this opportunity expenses say of $500, he can only deduct have made in this bill. At the present to make a few observations about the bill that portion of the $500 which exceeds time retirement benefits froJll the rail­ for the revision of the internal revenue 5 percent of his income. That 5 percent road retirement program-are by an act code, H. R. 8300. has been changed to 3 percent with a of Congress tax exempt. The benefits This bill is a tax revision bill and not minor limitation on the cost of drugs. paid under our social-security law are a tax reduction bill. It is true that there The maximum amount of medical de­ by Treasury ruling also tax exempt. Yet are many provisions that will bring tax duction allowed at this time is $1,250 and the retired individual who lived off of relief to the American taxpayers. · But that has been doubled. his own savings, rentals, or an annuity this is an incident to the revision of the At the present time if a widowed purchased from the fruits of his own toil Internal Revenue Code which this bill mother must hire someone to care for received no tax benefits. This has been represents. her young children while she goes out corrected. This provision is based upon The necessity for a revision of the tax and earns a living for her household, the the Mason bill. It gives an income tax laws of our country is self-evident. It amount she pays out for child care is not free status of all retirement income up to has been many decades since there was considered a business expense in connec­ $1,200 a year on the basis of the rate of a complete revision both as to substance tion with her earnings and, therefore, tax for the first bracket. By that I mean and as to some of the revenue provisions is not deductible from her income for that the retired individual who is in the of our code. Fifteen years ago there were _tax purposes. That has been changed. 20 percent bracket will get just as much only about 4 million individual income A deduction up to $600 is available for benefit from this provision as the retired taxpayers in the United States. Today expenses for the care of 1 or more chil­ individual in the 50-percent bracket or there are 54 million. Tax collectionS dren under age 10. If the child is be­ in the 90-percent bracket. have increased 12 or 13 times during that tween the ages of 10 and 16 this deduc­ At the present time anyone having a same period. Taxes were added on to tion is to be available if the child is gross income of over $600 is required to taxes and then more taxes have been physically handicapped to such an ex­ file an income-tax return. Yet a person added again. This mushrooming proc­ tent that he is unable to attend school. who is over 65 does not have to pay any ess in the imposition of taxes upon our · The definition of dependents has been taxes on his first $1,200 of income people in time of war and other emer­ liberalized. Millions of people over the whether it is from earnings or from gencies resulted in a tax code that was country are interested in this. A foster whatever source. This means that a lot illogical, unsound, inaccurate from an child can be taken as a dependent. At of fine old people who owe no tax have accounting and bookkeeping standpoint, the present time a child taken for adop­ to file a return and the Government and in many instances harsh and unfair. tion is not considered a dependent dur­ must go to the expense of processing To rewrite this entire law is the task ing the period they are waiting on adop­ these returns. This has been changed that the Committee on Ways and Means tion in the home. That has been so that an individual over 65 with less undertook. A good job could not be changed. The individual who stands in than $1,200 taxable income will not have done without the loss of some revenue the place of parents and acts as parents to file a return. c-207 3292 CONGRESSIONAL RECORD- HOUSE March 15 · At the present time if a salesman is an enacted prior to this bill, is somewhat thus placing more of these tax refunds employee but incurs certain business akin to the soil-conservation expense under the scrutiny of the Joint Com­ expenses incidental to his selling, he can­ provision and for that reason I mention mittee on Internal Revenue Taxation not deduct these from his income unless it here. It has been my constant en­ and their staff. he is considered self -employed or unless deavor to obtain for the farm families After much work on the part of the he is away from home over night. This of America that same tax treatment that staff, a system has been devised for rule is not just and so in this bill that is accorded our industrial economy. combining the· normal and surtax tables. has been changed so that these expenses This 83d Congress in approving these This has been done in a way that does can be deducted. In other words this is measures is making those efforts a not prejudice those taxpayers who hap­ another situation where tax relief has reality. pen to have certain tax-free bonds. come about by reason of revising the law Existing law permits an individual who One of the very important features of so that it accurately measures an indi­ must sell his house and buy another to this tax revision bill is the new treat­ vidual's taxable income. · This is not a do so without a present liability for a ment of depreciation. At the present windfall for salesmen. This revision is capital-gains tax. This bill improves time if a farmer, a company operating made to· the end that he will pay on his that provision in one particular that I a factory or any other taxpayer buys a actual net income. Other benefits ob­ will mention. Suppose you have to sell machine which for instance has a nor­ tained by reason of this legislation are your house under such circumstances mal period of usefulness of 10 years they in the same category. but in order to sell you have to clean can just charge off one-tenth of that One very important change brought the place up by painting or papering it. cost for each of the 10 years involved. about by this measure has to do with This bill provides that those expenses in T-hat procedure is not sound. It is not the earnings of a dependent child. connection with getting it ready for sale in conformity with busin.ess practices or Under existing law, if a child earns more shall be considered in determining the with the facts in most situations. For than ·$600 in vacation pay or has a .gross basis of the value of the property and instance, anyone knows that the actual income of more than $600 in 4-H Club will mean a tax benefit to individuals depreciation between a new car and one work, he not only becomes a taxpayer in those situations. that is a year old amounts to a great but his parents lose him as a personal With our very high tax rates many deal while the depreciation actually exemption. This was most unfair. One Americans say: "What is the uce? Why that takes place between a car that is case was called to my attention where should I think and plan and dream and 9 years old and 10 years old is very little. a boy's earnings were actually $600.89, invent something over a period of many In other words, in reality most property yet this extra 89 cents cost his parents years only to have the sale of that in­ actually depreciates most in the early about $135 in added taxes. But I know vention devoured in taxes in the year life of that property. We are going to of one case where the injustice was even that I realize on it?" This bill permits so treat it for the purpose of taxation. greater. This was the case of a 4-H an inventor to split his income which This new rule on depreciation is some­ Club boy whose livestock and products is actually earned over a long period of times referred to as the declining bal­ brought him a gross of $800, but his ex­ time over a period of 5 years. ance system. It will permit the charging penses in producing them were $400. In spite of the many perplexing prob­ off as depreciation two-thirds the value He only had a net income of $400, yet his lems that face our Republic, I am con­ of a property in the first half of its life. parents had to pay $133 additional tax vinced that there are great days ahead. In the long run the same amount is because of his activity in 4-H Club work. I am convinced that the possibilities for -charged off in depreciation for a property This bill provides that if a dependent better living and the possibilities for so­ as is under present law. So in the long child makes more than $600, he shall pay lution of many of our problems lie in run there is no loss of revenue although taxes on the excess over $600 but that the research laboratory. This bill spells there appears to be a loss i:a revenue in his parents will not lose him as an out and liberalizes the tax treatment for the first years that the taxpayer owns exemption. research expenditures and permits the property. This bill carries an item in it in which taxpayer to either expense those items It seema clear that in reality this new I have been interested for many, ma1;1y or capitalize them. This is not only right rule on depreciation will mean much years. A long time ago I introduced a and just, it is an investment in the fu­ more revenue for the Treasury. This bill on it and I have reintroduced that ture of our American way of life. new rule will add great impetus to the bill in all the succeeding Congresses. So many Americans hope that the day American enterprise system. The fact This provision makes expenses paid by will soon be at hand when our tax dol­ that taxpayers can fairly and accurately a farmer for soil and water conservation lars will not have to be spent all over the charge to depreciation the cost of new a business deduction for the amounts world to prime other nations' economies. machines, new buildings, and the like paid but not exceeding 25 percent of his This bill extends the Western Hemi­ will greatly stimulate the American econ­ income from farming. This, I believe, sphere treatment for corporations doing omy. It will mean more payroll taxes, will be a great boon to conservation prac­ business abroad to other parts of the more income taxes, and more excise tices. We owe it to oncoming gener­ world. In other words we are attempt­ taxes from the producers of this prop­ ations to leave this good earth just a ing to induce private American capital erty that will be brought by reason of little more productive than it was when to create jobs and industries in foreign this new rule. This will be one of the we found it. The farmer who takes his countries and thus make their economy most important steps in sound taxation own money to preserve, and improve, self-sustaining. To whatever degree this that has been made ir.. a long time. and enrich his soil is serving the general is successful it will relieve the tax bur­ Another important provision in this public and he is building a great national den of the farmers and workers and bill is the step provided for partially re­ asset. These expenses are proper ex­ other producers in America who pay the moving the double taxation of corporate penses in the business of farming and taxes in the long run. This provision dividends. If the earnings of a company this bill makes them so. has a safeguard written in it that pro­ are taxed at the very high rates which Earlier in this Congress we extended vides that the corporations benefiting run to 52 percent and then the profits the principle of accelerated amortization by this section in going abroad cannot when distributed to the owners are again to farmers along the lines that have been benefit under it if their products are taxed at very high rates to the indi­ enjoyed by industry. I refer to a bill sent back into America in competition viduals, why should people go into busi­ passed earlier that permitted the charg­ with ours. ness? What is there to encourage a ing off as expense the cost of grain stor­ Many loopholes are closed in this bill. growing, expanding economy to provide age over a period of 5 years. The need Another item that I might mention is more jobs for the young men and women for privately owned, adequate and mod­ that under existing law a refund for coming out of our schools? ern grain storage facilities is a national taxes amounting to $200,000 or more has Is it a good thing for the ownership problem. Government-owned storage is to be referred to the Joint Committee of America's great industries to be spread not the right answer. This 83d Con­ on Internal Revenue Taxation. This among as many individuals as possible? gress gave the same inducements for means that the department can make a If so, we should take cognizance of it. a taxpayer to build needed grain stor­ sizable tax return without having the This bill does that. age facilities as has in the past been matter referred to the Joint Committee This bill provides that for the first year given to industrialists to build needed on Internal Revenue Taxation. This a taxpayer may have $50 -in dividend in­ war factories. This item, while it was $200,000 feature is reduced to $100,000, come tax free because the taxes on that 1954 CONGRESSIONAL RECORD- HOUSE 3293 earning have already been paid once. Congress. The proposed motion to re­ if these two laws are enacted, the dairy The second year he can have $100 divi­ commit, to make this a personal income farm surplus problem will be solved once dend income tax free for the same rea­ tax .reduction bill at this time, would and for all so that the dairy farmers can son. This means that the employee in mean a loss in revenue of an additional have security in planning. We believe one of our great companies who is buy­ amount of more than $2 billion. I hope that in cutting red tape and storage costs, ing stock by having a small amount taken that it can be done soon, but to attach the cost of these two programs will be out of his wages each payday will not it to this bill means that there will be less than the money now being spent for have to pay taxes on the interest on that no bill at all. In other words, a vote for support prices. These two plans place stock up to these limits because the the motion to recommit is a vote against emphasis on consumption, rather than company has already paid the tax on this bill and all the fine provisions that red tape and storage. those same earnings. it carries. It will mean there will be no Let us pass this bill now and restore 90- This will be a great incentive for em­ tax bill at all this year. A vote to re­ percent parity. If we do not, the 1954 ployees and other citizens in all income comm!t this bill is in reality a move to depression is on the way. Benson should brackets to invest their money in produc- destroy and prevent the enactment of all resign . . tive private enterprises. In addition to the benefits contained in this legislation the $50 and $100 dividend income pro­ which will mean so much to our econ­ vision taxpayers are permitted the first omy. It will help no one. Slovak Independence Day year to take a credit against their tax of 5 percent of their dividend income. EXTENSION OF REMARKS After the first year it goes to 10 percent. OF There are propagandists and leftists Move Surplus Dairy Products and Restore who bitterly assail this sound tax reform. 90 Percent Parity HON. THADDEUS M. MACHROWICZ They are wrong. We must face up to OF MICHIGAN the real issue here. Do we want the EXTENSION OF REMARKS IN THE HOUSE OF REPRESENTATIVES private enterprise system? It cannot OF Monday, March 15, 1954 be maintained if we go on forever penal­ izing the person who saves and invests HON. ALVIN E. O'KONSKI Mr. MACHROWICZ. Mr. Speaker, his"money. If we are going to create a OF WISCONSIN the 14th day of March is annually cele­ situation where the only source of capi­ IN THE HOUSE OF REPRESENTATIVES brated by the Slovak people everywhere . in the world as Slovak Independence tal for new ventures is the Government Monday, March 15, 1954 of the United States then there is noes­ Day. cape from nationalization of our indus­ Mr. O'KONSKI. Mr. Speaker, I be­ This year, as for a number of years tries and from complete socialism. We lieve that the Secretary of Agriculture past, the residents of Slovakia are un­ in this country turn to the Federal Gov­ order reducing parity on dairy products able to participate in this celebration as ernment to finance things when private to 75 percent of parity is the most dis­ they are still suffering under the yoke capital is not available. The way to astrous order issued in our generation. of Communist tyranny. make private capital available is to have If we go into a depression, this order The strongest characteristic of the a tax climate that provides an encour­ will be responsible. peace-loving Slovak people has ·always agement for all citizens regardless of There has been too little effort by the been and still is their ardent devotion from what income bracket they come, to Department of Agriculture in moving to the cause of liberty and freedom, and save and to invest their money in pro­ dairy surplus products into consumption their strong adherence to the same truly ductive private enterprises. This pro­ channels. With many of our own peo­ democratic principles for which our vision is a great step in that direction. ple forced to exist on near starvation country stands. Their sons and daugh­ It will benefit countless millions of peo­ levels-this is a pitiful sight. ters have given their lives for these prin­ ple who now are, and millions more who Mr. Speaker, Congress must act or ciples and many still linger in prisons will hereafter become, owners of Amer­ there will be no action in this respect. I and concentration camps because .of ica's productive industries, but more urge the passage of H. R. 8329 introduced their refusal to subirJt to Communist than tliat it will mean new ventures, new by myself and similar bills introduced domination. programs, new factories, new products by 30 other Senators and Congressmen. On this, their independence day, I and more jobs for men and women seek­ The bill provides as follows: join with millions of Americans in ex­ ing jobs. It will mean more income and First. Every recipient of old-age as­ pressing my hopes that the day may in the long run more revenue to the sistance, social security, widows' and or­ soon come when they will again be free Treasury of the United States. phans' benefits, crippled and handi­ and have the God-given right of self­ This bill also cancels out the April 1 capped aid, or any recipient of public determination of their own national scheduled reduction in corporate tax welfare aid shall be given besides the future. rates in accordance with the request of monthly check, a ration card worth $10 President Eisenhower. The added reve­ each month for butter, milk, or cheese. The Seafood Industry in Louisiana nue to be received by continuing the 52- Second. The recipients of this $10 ra­ percent rate on corporate earnings more tion card each month buy these dairy products from their regular store and EXTENSION OF REMARKS than offsets the loss of revenue by reason OF of these revisions. It is my belief that merely give a coupon from the ration the good things accomplished by these card in payment. HON. T.A. THOMPSON revisions will, however, give us a grow­ Third. The regular store each month OF LOUISIANA will mail these coupons in to a bank ing and expanding economy and more IN THE HOUSE OF REPRESENTATIVES revenue for the Treasury of the United designated for the purpose in each State States. To go on without these revi­ and will receive payment at the regular Monday, March 15, 1954 sions means to invite great unemploy­ prevailing market price. Mr. THOMPSON of Louisiana. Mr. ment. We cannot forget that during Fourth. The designated bank will, in Cpeaker, the commercial fisheries indus­ the Democrat years beginning in 1933 turn, send the coupons to the Federal try in Louisiana does an annual business and running until World War II, unem­ agency and get payment from the money in excess of $33 million and employs in ployment is excess of 10 million existed appropriated for support prices. excess of 31,000 persons. This industry in this country each and every year. If this bill is enacted into law, we will is being developed at a very rapid pace Let us enact this bill and not permit that no longer be bothered with surpluses of and no one knows what its value to us to happen again. dairy products-that prove ruinous to in the future will be. The Louisiana Let me again repeat that this is a the farm prices. Wildlife and Fisheries Commission, com­ revision bill. When the subject of a I and 30 other Federal legislators are mercial industrial services section, com­ further reduction of personal taxes now working on a bill to provide a quart mercial seafoods division, has recently comes up, I am sure that it will be the of milk a day for every student, from published a directory of commercial fish Republicans who will raise the personal kindergarten through the high-school dealers in Louisiana. This pamphlet was exemption just as they did in the 80th level. These 31 legislators believe that published because of the interest of Mr. 3294' CONGRESSIONAL -RECORD--HOUSE' Marc~ 15 L. D. Young, Jr., director of the com-· program in operation for a long time, the President's Council of Economic Advisers mission; Mr. Robert L. Eddy, chief of the and various information bulletins have ~o make sure the program lielps to carry been issued to explain the law. The fact out the objectives of the Full Employnient commercial seafoods division; and Mr. Act of 1946. - Charles A. l\4urphy, of the industrial remains, however, that millions still Thus it should, as that act provides, "rna-· services section, in the development of think of it as an inviolate "insurance terially assist in carrying out the continuing the commercial seafood industry in Lou­ contract," do not understand that there policy and responsibility of the Federal Gov­ isiana. It is my understanding that this are conditions of eligibility even though ernment" under the Employment Act of is the first such undertaking by any payments have been made for long 1946 "including the promotion of useful em­ State and indicates another step for­ periods, and few comprehend the ployment opportunities for those able, will­ ward in proper development of an in­ method of computing benefits. - ing, and seeking to work, and in promoting maximum employment, production, and pur­ dustry of boundless potential. To tailor the participation certificate chasing power." A communication I have received from to the present or potential benefits of My bill is intended to supplement rather the United States Department of the each individual wage earner, while per­ than incorporate any present programs of Interior, Fish and Wildlife Service, in­ haps desirable, would be a stupendous Federal assistance to States or localities for dicates that this agency has had consid­ task. I am, therefore, suggesting only construction. In other words we now have erable demands for references of this that the name, address, and social­ a variety of Federal aid programs not in ex­ type and indicated to me that a standard security account number appear on the istence at the-time of PWA-the Federal aid directory for each State would be de­ face of the certificate, followed by a highway program has been vastly expanded. since then, and also the fiood-control pro­ sirable and that such publications would simple explanation of eligibility require­ gram, ·and we now have Federal aid to air­ be of value to the staff of the Fish and ments and benefits computations. A ports, hospitals, housing projects, and so on. Wildlife Service. pocket supplement should be provided If those programs are to be expanded, and I am authorized by the above-named so that applicable changes in the law I think they should be, it can be done under officials of the Louisiana Wildlife and could be inserted annually. present authorizations merely by increasing Fisheries Commission to offer their as­ A transmittal letter should accom­ appropriations for these purposes. My pur­ sistance to other States who care to pany the document encouraging tlie re­ pose is to open the way for States and lo­ develop such publications in their own calities to improve facilities not presently tention of the participation certificate eligible for Federal assistance, particularly behalf. with other valuable papers of the re­ schools, but also including such things as cipient. sewage systems, filtration plants, city halls, Social-Security Benefits courthouses, recreation centers, firehouses, police stations, local fiood-control projects The Kelley PW A Bill · not eligible for Federal fiood-control funds, EXTENSION OF REMARKS and similar construction activities. OF · It is silly to have construction workers EXTENSION OF REMARKS walking the streets looking for jobs while HON. JACKSON E. BETTS OF our schools burst at the seams and the physi­ OF OHIO HON. ROY W. WIER cal plants of our municipalities rapidly de­ IN THE HOUSE OF REPRESENTATIVES teriorate into firetraps or junk or public OF MINNESOTA slums. The work is needed and the jobs are Monday, March 15, 1954 IN THE HOUSE OF REPRESENTATIVES needed, and I hope the Congress will get behind this effort and thus force the admin­ Mr. BETTS. Mr. Speaker, I have to­ Monday, March 15, 1954 istration not only to recognize but to do day introduced a bill which would re­ something about the current depressed state quire the Secretary of Health, Education, Mr. WIER. Mr. Speaker, under leave of our economy. · and Welfare to -issue participation cer­ to extend my remarks in the REcORD, I With unemployment over the 3-million tificates to certain designated classes of wish to insert the newsletter released a m ark, the time to argue over whether it's persons. In correspondence and by per­ few days ago by my good friend and col­ a recession or adjustment is past. There's no sonal contact with my constituents, I league, the Honorable AUGUSTINE B. sense in waiting until the April reports on find a widespread lack of understand­ KELLEY, of Westmoreland County, Pa., February unemployment. The time to act ing about the rights of present and fu­ with reference to the aims and purpose is now. ture beneficiaries. The purpose of this of his bill, H. R. 8250: measure is to put into their hands a Since introducing my bill last week to formal document setting forth clearly, create a new Public Works Administration to Fifteenth A~niversary of the Independence and by example where possible, the per­ launch a $6 Y2 billion Federal-local works pro­ gram, of v.jhich $3 billion would come from of Slovakia tinent provisions of the Social Security Washington, I have had many interesting Act. and enthusiastic comments on the proposal, Because the Congress has power to along with one very vigorous dissent. EXTENSION OF REMARKS alter such provisions, this document That came from a newspaper editor in the OF should not be called an insurance policy District who insisted this whole idea was and the term "contract" or similar mis­ nothing more than boondoggling, wild-eyed HON. B. W. (PAT) KEARNEY leading language should not be used. spending and so on. It was his position that OF NEW YORK Instead, the certificate should clearly the PWA program of the la te 1930's, as admin­ IN THE HOUSE OF REPRESENTATIVES state in what respects it differs from the istered by former Secretary of the Interior H arold L. Ickes, didn't cure the last de­ Monday, March 15, 1954 usual life insurance contract. pression. The present Social Security Act uses This is a rather typical shoot-first-and­ Mr. KEARNEY. Mr. Speaker, March such terms as "primary insurance bene­ look-afterward reaction. Whether or not 14 was the 15th anniversary of the inde­ fit," "full insured," "currently in PW A by itself cured the last depression­ pendence of Slovakia, which occasion sured," etc. While perhaps technically and, of course, it didn't and wasn't intended found the people of Slovakia engaged in correct, such use of the word "insur­ to-the fact remains that PWA was one of a continuing battle of resistance against ance" is misleading to many laymen who the most successful combinations of useful work opportunities and useful construction Communist tyranny to retrieve their mistakenly consider it as synonymous in ever undertaken in this country in a period freedom and national independence. all respects with commercial insurance. of economic dislocation. I know I speak for the American peo­ I am informed that the courts have yet Many school buildings stand today as a ple in proclaiming our belief · that the to say whether social-security payments monument to PWA , along with a lot of other principles set forth in our Declaration of are or are not "insurance," but they necessary and useful facilities erected under Independence of the rights of all peoples have held that such payments may be­ the Federal-local cooperative program, under to self-determination and the oppor­ come due as a matter of right and as which the Federal Government contributed tunity to pursue their own national des­ such are not gratuities. The fact re­ 45 percent of the cost and the States and tiny under the government of their mains, though, that there are basic dif­ local governments the other 55 percent. While my bill is modeled along the lines choice are the rights of all civilized peo­ ferences in the two concepts of insur­ of PWA, particularly insofar as this ratio of ples everywhere. By its brutal aggres­ ance. cost allocation is concerned, it has the added sion against the Slovak nation, the Soviet I realize that-the Social Security Ad­ feature of calling for close cooperation be­ Union placed itself squarely in opposi­ ministration has had an educational tween the proposed PWA Administrator and tion to the ideals held by the whole of 1954 CONGRESSIONAL .RECORD- HOUSE 3295 the free world. In their resistance tO the esses. For example, in my own .State supported by Government subsidies, direct bolshevization of their country and in· of North Carolina cash farm income, or indirect. Then, why, when the basic industry, farm­ their suffering under a foreign tyranny according to Dean Colvard, has increased ing is, so to speak, weak in the knees, which has attempted to undermine the by $740 million, since 1940 and through should the supports be removed or drastic­ most enduring basis of human society, 1952, while total appropriations from all ally reduced? Is it to hasten the collapse the dignity and rights of the individual sources for research and extension have of the small farm, and the small-business together with these national rights, the increased by a little more than $6 mil­ man-the very backbones of the Nation? people of Slovakia have the moral back­ lion. When you translate these in­ Perhaps that is not the intention. But that ing and the sincere sympathy of the free creases into purchasing power of the will be the result. world. farmer, which is the primary factor that The statement concludes with an ex­ sparks the rise in level of national in­ pression of strong opposition to the new come, Dean Colvard estimates that the farm program of flexible supports. Increased Appropriation for Agriculture purchasing power of Federal appropria­ Research and Education tions for agricultural extension is ac­ tually less than in 1940 whereas the pur­ chasing power of cash receipts from sale Surplus Foods Should Be Immediately EXTENSION OF REMARKS of farm products is approximately 250 Distributed to Deserving Families OF percent greater than that of 1940. From the painstaking and revealing HON. HAROLD D. COOLEY studies supplied me by Dean Colvard I EXTENSION OF REMARKS OF NORTH CAROLINA am convinced that the increased Fed­ OF IN THE HOUSE OF REPRESENTATIVES eral appropriation for agricultural re­ HON. THOMAS A. JENKINS Monday, March 15, 1954 search and education will have far­ reaching effects not only on our farm OF OHIO Mr. COOLEY. Mr. Speaker, in view IN THE HOUSE OF REPRESENTATIVES of the fact that the President's budget economy but on the whole general eco­ proposal for the Department of Agricul­ nomic structure of our country, and I, Monday, March 15, 1954 ture for fiscal 1955 contains an in­ therefore, wish to express the earnest Mr. JENKINS. Mr. Speaker, the dis­ creased appropriation for agricultural hope that when the appropriation bill trict which I have the honor to repre­ research and education-namely, the for the Department of Agriculture is sent extends about 150 miles along the brought to the House this proposed in­ Ohio River and northward about an total proposed sum of $112,376,000 as crease by the President will have the full against the amount of $94,194,000 ap­ ·endorsement of my colleagues on both equal distance. It comprises the coun­ propriated for fiscal 1953-54-I should ties of Athens, Fairfield, Gallia, Hocking, like to extend my remarks in the RECORD sides of this Chamber. Jackson, Lawrence, Meigs, and Vinton. to emphasize as strongly as possible the In certain sections of each of these coun­ desirability of making this increased ap­ ties there are located some very needy propriation. The sum of $112,376,000 is More Businessmen Support Fair Program families. We have reports constantly to presented in two parts in the budget, of the effect that the Government has a which $68,776,000 is for research and for Farmers large surplus of food. I have looked into $43,600,000 is for agricultural extension this matter rather closely and find that work. EXTENSION OF REMARKS the Government, through the Agricul­ I am sure that all the Members of this OF tural Marketing Service, is undertaking House are aware of the splendid work to distribute this surplus food in such a which is going on in our agricultural ex­ HON. HAROLD C. HAGEN way as to bring a substantial relief to tension services and our agricultural ex­ OF MINNESOTA these needy families. periment stations in land-grant colleges IN THE HOUSE OF REPRESENTATIVES The Agricultural Marketing Service throughout the Nation. I have recently operates through the State authorities. received detailed information from Dr. Monday, March 15, 1954 In Ohio this distribution is made through D. W. Colvard, dean of the School of Ag­ Mr. HAGEN of Minnesota. Mr. the State supervisor of community dis­ riculture of the North Carolina State Speaker, it is with great pleasure that I tribution. College in Raleigh, N. C., which shows note an increasing number of ninth dis­ I have investigated this situation conclusively the inestimable benefits trict businessmen's groups are writing rather thoroughly with the people and which accrue from Federal appropria­ me, urging 90 percent of parity price sup­ officials in our district and I am glad to tions for agricultural research and edu­ ports, and supporting me in my long know that the city of Jackson has been cation. fight for a minimum of 90 percent of designated to be the distributive center Dean Colvard points out that each parity for farm produce. They know for these surplus commodities. Jackson million-dollar increase in Federal funds that their prosperity and the prosperity is very advantageously located from the for extension will provide approximately of everyone in America depends upon the standpoint of being accessible to all parts $50,000 for use in the great State of North solvency of the farmer. If the farmer is of our district. Carolina and that each million-dollar forced into a depression, we will all suf­ I am sure that the county commis­ increase in Federal funds for research fer a depression. sioners in each of these counties will re­ to be allocated to the States will provide I am glad to know that the business­ spond enthusiastically to the perform­ an increase of approximately $38,000 for men of many communities in my State of ance of this task and I am also sure that North Carolina. The fact that the Sta~ Minnesota are working together on this the various relief organizations in the of North Carolina has increased its sup­ important issue, as exemplified in a counties will respond enthusiastically to port for these programs in higher ratio statement I received from the business­ carry out this very important and worthy than has the Federal Government in­ men of Waubun, Minn. program. It shall be my purpose to co­ dicates that our people greatly appreci­ This statement contains the follow­ operate fully with these various organ­ ate and value the work being done in ing pertinent points: izations so that we can do successfully agricultural research and education. Since no man can live without the prod­ what the Government wants done and Our North Carolina local county govern­ ucts of the soil, the tillers of that soil, our also we can bring relief to many worthy ments have actually increased their ap­ farmers, must be treated fairly in order that people who are anxious to have it and propriations for extension purposes more our Nation may grow stronger and by its are entitled to it under the circum­ than three times as fast as has the Fed­ strength, ultimately bring peace to the stances. eral Government since 1940. world. Several bills have been introduced in It is Dean Colvard's opinion, in which We feel that the farmers are not asking the Senate and also in the House. The too much when they ask for fair treatment. I concur, that the underlying purpose Everyone knows that there are many, many purpose of these bills is to provide full and result of the additional appropria­ ~inor industries that are absolutely unable and complete authority for the Govern­ tion would be to strengthen the eco­ to stand on their own feet, but, because of ment agencies to distribute the great nomic programs in the various States the extremely valuable nature of their serv­ quantities of surplus food that are piling through research and educational proc- ices, cannot be allowed to fold, and so are up in the various sections of the country. 3296 CQNGRESSIONAL RECORD _- UOlJSE March 15 The figures now show that the Govern­ cial security has increased greatly. Title small businesses. professional people. ment has in stock and available for dis­ n of the social security law, known as and farmers. The amount deductible in tribution, more ·than 300 million pounds old-age and survivors insurance law, was any 1 year cannot exceed 10 percent of of butter and likewise more than 300 enacted in the original legislation pro­ earned income or $7,500, whichever is million pounds of cheese and milk. Also viding for a contributory system of tax less, and there is a lifetime limitation the Government has great quantities of payments with the employee and the em.: of $150,000. I stress the fact that my bill other food that could be prepared for ployer both paying a certain small per­ would merely give to millions of our tax­ distribution and should be distributed centage of the wages earned. These pay­ payers benefits that are comparable to where needed. ments are paid into the OASI trust fund those_already received by oth_er q1illions. It shall be my purpose to support and to be used exclusively for the purpose of of American taxpayers. aid in the passage of any legislation that paying benefits to retired workers under I shall not go into a further discus­ may be needed to bring about early dis­ the provisions of the social security law. sion of the bill. Much has been written tribution of these great quantities of The coverage and benefits provisions of about it. One of the most lucid and con­ foods that are available. There is no the OASI program have been made more vincing articles that I have seen is an doubt that the local agencies, if given adequate by subsequent amendments. editorial that appeared in the current proper encouragement, can provide for The OASI program as originally en­ issue of the Saturday Evening Post the fair and adequate distribution of acted did not include the self-employed. published under date of April 24. This these surplus foods. Even under our present Social Security is not simply a news article but is instead Act, as amended, there are many cate­ a considered opinion based on careful gories of employed and self -employed analyses of the issues and equity in­ persons who are denied OASI coverage. volved. It is an editorial that has been The Jenkins Bill Encourages the Self­ Many of the large corporations and written by a man who recognizes that employers of labor provided their own there is one more important step that Employed To Build Their Own Retire· retirement programs whereby many em­ must be taken before the security of a ment Protection ployees were given security coverage. great and responsible group of our peo­ In spite of this very general trend to­ ple has been provided. This editor puts ward security coverage there remain himself and his very popular and widely EXTENSION OF REMARKS many thousands of our people who are circulated magazine on record as sup­ OF not included under our social-security porting the lawyers, doctors, dentists, protection and who are not given the op­ farmers, and many thousands of our HON. THOMAS A. JENKINS portunity of providing for their own re­ best citizens in their desire to establish OF OHIO tirement through plans approved under security for themselves and their fami­ IN THE HOUSE OF REPRESENTATIVES the Internal Revenue Code. These per­ lies. sons have come to the conclusion that This editorial is as follows: Monday, March 15, 1954 their bel:!t relief will come if they entered into a plan of self-insurance. Already WHY NOT ENcoURAGE THE SELF-EMPLOYED To Mr. JENKINS. Mr. Speaker, under many persons WhO dO not qualify Under BUILD THEIR OWN RETIREMENT FUNDS? leave to extend my remarks in the any plan, presently in force, have come Employed persons in the United States RECORD, I wish to say that the American to the conclusion that they owe it to are at least partially protected for their old people in the past few years have become age by social security. In addition, many of security conscious. I was a member themselves and to their families to guard them are the beneficiaries of company pen­ of the House Committee on Ways and against the vicissitudes and uncertainty sion funds. Payments into such funds by Means when that great committee wrote of life. It is to meet this demand that employers, as well as the employers' share of the first social-security law. the Jenkins bill, known as H. R. 10, was the social security tax, are deductible from introduced in the present congress. taxable income. Up to now, however, there The first law provided protection for The Jenkins bill, H. R. 10, will give to is no similar provision for a large group of the needy aged. That was about the ex­ self-employed persons and others not self-employed people, such as physicians, tent of the first bill as reported to the lawyers or farmers. Their efforts to provide House for its consideration. While we eligible under existing law to be covered for retirement are hampered by exorbitant were considering this bill in committee, I by an approved retirement program, the taxation. offered an amendment to include pro­ opportunity to establish their own in- In the Philadelphia area recently, a phy­ visions for the needy blind. My amend­ dividual retirement plans. H. R. 10 sician enjoying a large and presumably prof­ ment was rejected by the Democratic would give to these taxpayers benefits itable private practice retired and took a controlled Ways and Means Committee. comparable to those available to corpo- job in a Government hospital. He gave as Mr. Roosevelt was then President. He rations and their employees under sec- his reason for doing so the fact that he had tion 165 0~ the Internal Revenue Code. been unable to educate his children and at expressed opposition to the inclusion of This section of our tax laws provides that the same time save enough to provide for the blind and offered as his reason the eventual retirement. He felt himself com- fact that most of the States had insti­ employees participating in plans ap- pelled to become an employed person in tutions which took care of the blind. proved under the statute do not have to order to receive the benefits of a pension This was not quite true generally speak­ include the employer's contribution to a fund. A young doctor or lawyer, after a long ing. These State schools, where they retirement program in their gross in~ and expensive education and apprenticeship, existed, took .care of some of the blind come for tax purpos.es until pensions are is likely to find adequate saving almost 1m­ children. To be eligible for existing actually received. Company contribu- possible under present conditions. tions are deductible by the company in Congress is now considering a measure State help it was frequently necessary the year in which made. which is designed to fill some of these gaps. for the children to leave their homes The Jenkins-Keogh bill, which was intra- and families to be institutionalized. It H. R. 10 would allow eligible persons to duced last year, is an outgrowth of several was at best an inadequate and unsatis­ exclude from their gross income limited efforts to solve the problem. In general, it factory arrangement. amounts paid into a restricted retire- _ provides that any individual who is not eli­ I offered an amendment on the floor of ment plan or toward the purchase of a gible to participate in a :pension or profit:. the House which would include the restricted retirement annuity contract sharing plan may set aside each year an needy blind of our country. This amend­ Annuity payments received under thi~ ::~~~\n~~~:C a~~ceie;; nl~ c~:~c:~reoft!~ ment was included in the first social prog!an:t ~ould be fully taxable. A quali- $7,500, to be paid into a restricted retire­ security law. I have always felt proud tied mdlVldual under my bill is defined as ment trust or insurance annuity. The of my efforts in having the blind included one "not eligible to participate in a pen- amount thus set aside could be deducted under the protection of the social se­ sion or profit-sharing plan qualified un- from his taxable income. The proposed law curity law. der section 165 or established by a gov- places certain restrictions on the means by After the passing of the first law in ernmental or charitable employer,. It which these savings can be accumulated and thus cov mpl f ti · provides that the taxpayer· may not tap the 1935 which only included the needy aged, er.s e ~yees o corpora o~ or fund until he is 65 years old, "except in needy dependent children, and the needy partnerships Which have no qualified the case of total disab111ty." This would blind, the sentiment for expanding so- plan. It would also cover owners of place him roughly on the same tooting with 1954 CONGRESSIONAL RECORD- HOUSE . 3297 employed Individuals who are the bene- . scientiously shaped by Americans so as Table 2, based upon the data 1n table 1, ficia.ries of private pension fund12 . . to assume the responsibilities of Ameri­ shows tl)~ percentage incre.ase or decrease Undoubtedly the proposed measure does can citizenship.· And this very American in voting participation in the congressional give the self-employed certain other advan­ elections and the presidential elections. As tages over their opposite numbers in the citizenship assumes the obligation to reg.,. a general conclusion, it can be readily seen ranks of the employed. For example, the ister for voting and then to actually vote that voting participation in congressional beneficiary of some company pension funds in local, State, and National elections. elections falls considerably below that of the may not accept a job in another company We Americans must stop being careless presidential elections not only for the United without forfeiting his equity in a pension in this regard. We must stop being States but also in every State. from his first employer. The self-employed slothful about this voting business. We The 1952 voting percentage, although the doctor who . builds up his own retirement must systematically work to destroy the highest of those for the years shown, only fund may leave his community and set up exceeds the 1944 average by 2.8 percent. shop somewhere else and still hang on to citizen apathy toward our election proc­ However, the improvement from 1948 low of his retirement allowance. There are un­ esses which apathy, if extended very 52.1 percent was more than 10 percent. doubtedly other discrepancies, but if an in­ much more, will permanently weaken That the increase-decrease span in voting dividual can do better on his own account the very foundations of our American participation shows little relationship to than through a company pension fund, this constitutional way of life. Truly a mi­ regions is apparent from the data presented might be an important step away from the nority of the American people must in table 2. Changes in voting percentages welfare state. Private saving should be made never be charged with the responsibility for the years 1940-1944 ranged from a + 15.2 at least as attractive as reliance on contri­ of determining the destiny of America. percent increase in Maine to a decrease of butions by employers or the Government. -5.7 in Oregon. While the overall decrease Few reliable estimates have been made of So, I vigorously urge that you and I in voting from 1944 to 1.948 presidential elec­ the possible loss of revenue to the Govern­ as United States Congressmen, do our tion was a -7.6 percent, the .State of Ne­ ment if such a law were passed. However, dead-level best to systematically and braska showed a decrease of -17 percent. as a writer in the Harvard Law Review has very determinedly urge every possible North Carolina, one of 8 States to show observed, "even the possibility that the rev­ qualified person to register to vote-and increased voting for 1948, had a + 4.9 percent enue loss would be so considerable as to then to vote at primary elections in their average. In 1952 every State showed an in­ necessitate higher tax rates is not a valid respective States and then later at the creased vote over that of 1948. Oregon, which objection; it seems more equitable to dis­ November general election. had the greatest decrease in 1944, also had tribute the tax burden among all taxpayers the greatest increase ( +20.2 percent) in than to continue discrimination againSt one Looking back at the 1952 elections the 1952. Colorado with +0.2 percent had the group." record indicates that only 1 out of 2 per­ smallest increase in 1952 over 1948. Of the sons of voting ·age took time to cast a many important reasons for the 1952 upsurge ballot for P:resident of the United States, in voting are the population increases and Congressman Doyle Urges Colleagues To while in 1940 nearly 2 voters out of every the concerted drives by numerous organiza­ a'. voted in said election. tions to "get out the yote," Encourage Citizens To Exercise Voting I · do not now have the time to give Congressional election voting changes show that Kentucky had the highest increase Privilege and Responsibility in Coming statistics. In fact, that is not the pur­ from 1942 to 1946, or + 15.2 percent, and fell Elections · pose of these informal comments. If to the bottom with a -9.2 percent in the there is a higher privilege in our Amer­ period 1946 to 1950. North Dakota was low­ ican citizenship than the right ·to vote est in the period 1942-46 with -7.9 percent EXTENSION OF R~~RKS in a free election, what is it? And, and Oregon was highest in the period 1946-50 OP where is there a higher obligation of with + 16.5 percent. American citizenship than to vote in our In all the elections, it is interesting to note HON. CLYDE DOYLE . free elections? Is it not a fact that upon that the States of the South-Arkansas, Flor­ OF CALIFORNIA our American right to vote at free elec­ ida, Georgia, Louisiana, Mississippi, and South Carolin. a-~ave .shown _steady increases IN THE HOUSE OF REPRESENTA~ tions the very foundation of our system of self-government exists? · in voter participation despite the fact that Monday, March 15, 1954 none of these States· have had more than Mr. Speaker, in these few words I 50 percent voter participation ·since 1940. Mr. DOYLE. Mr. Speaker, by reason again urge every Member of this great Table 3 shows the extent of participation of unanimous consent heretofore granted legislative body to be more diligent than in the 1950 to 1954 national elections in 25 me so to do, I make these few extempo­ ever, in encouraging and informing our foreign countries. It is significant that in raneous remarks about the privilege and electorate, regardless of political party, comparison with these countries, the· United of the privilege and duty of the Amer­ States ranks 21st in percent of the electorate duty. of participation in American vot­ that voted. One observation should be made ing processes, and the danger to our ican free vote. that the election laws in all these countries beloved Nation if the majority of Ameri- . In closing, I incorporate a letter, dated are not uniform. As a consequence the com­ can citizens do not perform that duty. March 26: 1954, from the Library of Con­ parability of voting averages in some coun­ We as Congressmen can render a fine gress on this subect. Some day later I tries with the United States might be opem service in this regard. hope to make further comment, includ­ to question. Furthermore, it would not be Just so long as the majority of the ing the matter of making sure that valid to compare the voting percentage of American adulthood become informed Americans abroad in the military or ci­ any country with that of a single State of vilian service also vote. All States should the United States. and stay well informed about the affairs The publication we have attached entitled, of our Nation and in their respective lo­ make it so they can do so. There is need "You Can Vote," summarizes the election cal communities "from the grassroots of fundamental correction of some of our laws in the States. The table taken from up," just that long will our great Nation State election laws in this connection. the NEA Journal presents this same informa­ be strengthening its sinews from day to The letter follows: tion in a more concise form. Insofar as day. Mr. Speaker, only so long as an THE LmRARY OF CONGRESS, we know, there are now no Federal laws re­ increasing majority of the American Washi ngton, D. C., March 26, 1954. lating to special privileges for voting by people participate in shaping their own To Hon. CLYDE DoYLE. members of the Armed Forces at home or destiny and the destiny of this Nation · From James A. Mitcham, .Government Divi­ abroad. Such legislation was passed in 1944, sion. as an emergency measure during World War by exercising their choice of men and Subject: Selected data relating to voting par­ II. measures at the ballot box, ·only that ticipation. Population figures for the age group 18 to long .will our constitutional form of gov­ The basic data on voting participation in 20 years are not available for any years ex.._ ernment endure. For, it appears as clear the presidential and congressional elections cept the decennial census. Therefore, we as crystal to me that the secret of are contained in ta.ble 1. Herein is shown have not included this very limited data in strength to our American way of life and by State the percentage Of the potential our analysis. living is that the clear thinking, patriotic, voters that participated in the elections of For general information on the subject of humble folks of our beloved Nation shall 1940 through 1952. We were unable to in­ the importance of voting we have attached clude the data for the 1938 congressional a selection of articles. Your attention is participate individually in making our elections, since there has been no reliable called to a survey made by Representative democracy work at the grassroots of estimate published of the voting potential in JACOB K. JAVITS which shows the analysis of American citizenship. 1938. The Bureau of the Census voting pop­ response to the question, "Why don't you It is self-evident, therefore, that the ulation estimates for the intercensal years always vote?" put to a selected group of voting habits of Americans must be con- are not available prior to 1940. persons in 1950.