September 27, 1978 EXTENSIONS OF REMARKS 32089 EXTENSIONS OF REMARKS "CAMP DAVID-WILL THE AFTER­ duced this "Framework for Peace" will Our Lord, One Thousand Nine Hundred and GLOW LAST?" continue to obtain in the delicate and Seventy-Eight. widespread discussions, meetings and ne­ JAMES A. RHODES, Governor. gotiations that will be necessary to im­ RESOLUTION 295 (VIRGINIA) HON. NORMAN F. LENT plement it. The "framework" has set up "CAPrIVE NA'I'.IONS" OF NEW YORK a process through which the interested Whereas, the Captive Nations now repre­ IN THE HOUSE OF REPRESENTATIVES parties can work out their new relation­ sent the enslavement of more than one bil­ ship. It will take all of the skill President lion people, more than 30 percent of the Tuesday, September 26, 1978 Carter displayed at Camp David to keep world's inhabitants, and all are oppressed • Mr. LENT. Mr. Speaker, Can the the peacemaking process moving for­ by communist-led dictatorships; and spirit of cooperation and good will which Whereas, people living in the captive na­ ward. • tions are denied such basic human rights as achieved the breakthrough at Camp free speech, free press, freedom to vote for a David be sustained through the difficult choice, freedom of assembly and freedom weeks and months of negotiations that ADDITIONAL SUPPORT FOR to criticize those in authority; and lie ahead? To me, that is the major un­ CAPTIVE NATIONS WEEK Whereas, the captive nations now include resolved question from the summit at Armenia, Azerbaijan, Byelorussia, Cossakia, Camp David. It is already clear that the Georgia, Idel-Ural, North Caucasia, Ukraine, "Framework for Peace in the Middle HON. EDWARD J. DERWINSKI Far Eastern Republic, Turkestan, Mongolia, East" has resolved a number of problems. OF ILLINOIS and the Soviet Union, known as the Union of IN THE HOUSE OF REPRESENTATIVES Soviet Socialist Republics; plus the fiercely But it is also clear that some very serious independent Baltic Republics of Latvia, differences still exist. And settling these Tuesday, September 26, 1978 Lithuania, and Estonia; plus the Eastern issues will be far more difficult and cer­ 0 European Nat ions of Albania, Bulgaria, Yugo­ tainly more time consuming than were Mr. DERWINSKI. Mr. Speaker, slavia, Poland, Romania, Czechoslovakia, the lengthy meetings at Camp David additional material is driving on the Hungary, East Germany; plus the Asian na­ which produced the blueprint for peace recent 20th observance of the Captive tions of Mainland China, Tibet, North Korea, in the Middle East. Nations Week. By all evidence, this week North Vietnam, South Vienam, Cambodia was a highly successful one, both here and Laos; plus the Western Hemisphere's ' This is not to deride the very real ac­ and abroad. Much to the chagrin of Cuba; and complishment of President Carter at the Moscow, Peking and other red capitals, Whereas, other nations including Panama, summit. As one who in the past has it is a constant reminder of the Nation­ Angola, Mozambique, Somalia, and Ethiopia lamented Jimmy Carter's ineptness in are seriously threatened with communist en­ alism in over 27 nations held in Commu­ slavement; and handling foreign policy matters, I was nist bondage. encouraged by the way the President Whereas, such anti-communist govern­ plunged into the dangerous field of per­ As part of the record under Public Law ments as Taiwan, South Korea, Rhodesia, sonal diplomacy with determination and 86-90, I wish to submit the following ex­ Republic of South Africa, Republic of Trans­ emplifying items. (1) a proclamation by kei, the Kingdoms of Lesotho and Swaziland skill. He saw possibilities that escaped are under heavy pressure to surrender to most everyone else; took risks that were Gov. James A. Rhodes of Ohio (2) An be American Legion resolution, Resolution communist pressures; now, therefore, it not necessary, and came out with a major Resolved, by The American Legion in Na­ achievement. 295, Virginia (3) an €ditorial, "Incon­ tional Convention assembled in New Orleans, I was particularly heartened by the sistent Concern" which appeared in the , August 2Z, 23, 24, 1978, That we President's decision to try the step-by­ Phoenix Gazette (4) an article in the De­ urge the leaders of the United States Gov­ troit Free Press "Ivan Brucky-Activist ernment as the world symbol of life, liberty step process of working toward peace in Son of Now-Captive Byelorussia (5) an and the pursuit of happiness to speak out the Middle East. He had previously dis­ article by Dr. Lev E. Dobriansky on forthrighty in support of human rights for dained such procedures, seeming to '"Captive Nations Week and Mock Trials" those enslaved inside the captive nations prefer instead "comprehensive settle­ whose communist leaders d.eny the existence in the Taylorville, Ill., Breeze-Courier of God and the spiritual dimension of life, ment" at Geneva with all the warring (6) a report on a captive nations rally factions present. But the "Framework and whose avowed purpose is to destabilize for Peace" adopted at Camp David is in the San Diego Union and (7) a letter non-communist governments by destroying in the New Haven Register "Captive Na­ their purpose, values, traditions, and social structured for the step-by-step process, systems; and, be it further with each step becoming a foundation for tions Week Time to Speak Out:" Resolved, That we call upon the President further progress. It provides the basis PROCLAMATION IN RECOGNITION OF CAPTIVE NATIONS DAY and the Congress of the United States to for the agreements that must be made exert the same political and economic pres­ to achieve a complete, just and perma­ Whereas, the United States, as a great sures against communist governments on nent settlement between Egypt and democracy, founded upon the principles of behalf of human rights as has been done freedom, equality and justice for all, is against non-communist governments. Israel and eventually throughout the looked upon by the captive nations of the troubled Middle East. world as a symbol of hope and peace; and We all know the achievement of peace Whereas, Ohio, shares with the rest of the INCONSISTENT CONCERN is not going to be an easy, automatic nation, the concern for human rights and President Carter's rhetoric on human rights process. The President himself, in his self-determination for all the people of the has been inconsistent. remarks at the conclusion of the summit, nations of Eastern Europe; and Speaking out on the trial of two Soviet warned all of us of the "great difficulties Whereas, we, as a concerned people possess dissidents, Carter told French and German that remain and the hard issues still to a warm and understanding sympathy for television correspondents that the trials con­ the determination of these people to achieve stituted an "attack on every human being be settled." And certainly there are many, who lives in the world who believes in basic as indicated by the PLO complaints, the a just and lasting peace; and Whereas, we must strive to keep the aspi­ human free:iom and is willing to speak for objections from Syria and other Arab rations of the people of these captive nations these freedoms or fight for them." states and by the fact that even Prime steadfastly alive : Well and forthrightly put. Unfortunately. Minister Begin and President Sadat did Now, therefore, I , James A. Rhodes, Gov­ this statement came on the heels of another not reach accord on all issues between ernor of the State of Ohio, do hereby desig­ Carter statement on human rights that was their countries while at Camp David. But nate Monday, July 17, 1978, as Captive Na­ anything but well and forthrightly put. a fine start has been made. And the im­ tions Day in the State of Ohio and command Required by law to issue a proclamation on portant thing is to keep the momentum this observance to our citizens. Captive Nations Week, observed this past In witnes3 whereof, I have hereunto sub­ week, Carter put out a perfunctory state­ toward peace. s::ribed my name and caused the Great Seal ment. Let us hope and pray that the spirit of the State of Ohio to be affixed at Colum­ Lee Edwards, executive director of the Na­ of cooperation and good will which pro- bus, this 10th Day of July, in The Year of tional Captive Nations Committee, said that

Statements or insertions which are not spoken by the Member on the floor will be identified by the use of a "bullet" symbol, i.e., • 32090 EXTENSIONS OF REMARKS September 27, 1978 "the occasion called for eloquence and com­ His relentless Byelorussian activism left no against Moscow's repression of dissidents and mitment. What Mr. Carter gave us was bu­ alternative. intensified process of Russification. reacuratese and vapidness." "My outspokenness against the system Yet, the most i:ignificant protest came Edwards pointed out that the Carter proc­ makes me a man who w-0uld not be in good from usually hardline Communist Bulgaria. lamation contained "no mention of dissi­ standing with the present government," says In Sofia, a flag reading "Down With Com­ dents, the Soviet Union, Helsinki, commu­ Brucky (after three decades here, his syntax munism" was flown from a roof in the heavi­ nism or even totalitarianism of the right as remains stiff). "I'm trying to preserve our ly-guarded city center and leaflets carrying well as the left." It "screamed indifference," culture in this country, so I'm not in good the same slogan were scattered on the crowd. he said. standing. If I went there, I'm afraid I might YOU ARE NOT ALONE As Human Events notes, last year Carter not be allowed to return." This past January, Sen. Henry M. Jack­ almost became the first President since Con­ Superficially mild, Ivan Brucky projects an son (D. Wash.) told the relatives of Andrei gress initiated the observance in 1959 not to inner fire as he talks. Two years ago he was Sakharov, Anatoly Shcharansky and Vladi­ issue a proclamation. Only after an uproar the chairman of the Captive Nations Ethnic mir Slepack at a Washington, D.C., human of public protest did he relent and put one Festival, he reports, and he delivered a speech rights meeting, "You are not alone." out three days into last year's Captive Na­ against Communism. In October 1976, Democratic Presidential tions Week. Ask him to define his activities with the candidate Jimmy Carter sent Slepack a tele­ Carter's concern for the human rights of festival now--or indeed, with the Byelorus­ gram, "I want you to know of my deep per­ individuals in the clutches of an oppressive ian community yearlong-and he answers rnnal interest in the treatment that you and regime would carry more weight if he showed inscrutably: "Organizing, I organize." He has your colleagues receive." As a President, at least equal concern for whole nations of no wife or children; his country of birth is his Carter personally defended physicist Shcha­ individuals being denied basic human cause. ransky against Soviet charges. Carter also freedoms. All of which adds up to predictable zeal for wrote in a personal letter to Nobel laureate the Captive Nations Ethnic Festival-but not Sakharov, "We shall use our good offices to IVAN BRUCKY-ACTIVIST SON OF Now-CAPTIVE for predictable reasons. Not for Byelorussian seek the release of prisoners of conscience." BYELORUSSIA pride here does Brucky labor every summer; Now Orlov is alone in a Soviet cell. So is he labors for the encouragement that De­ Slepack. So is Gam<>akhurdia. The untrials (This is one in a continuing series about troit's celebration will lend to Byelorussians Detroiters involved in the city's ethnic fes­ of Shcharansky and Ginsburg held on the abroad. eve of Captive Nations Week have triggered a tivals. The Arab Festival continues from "Whatever we do here is felt over there," he noon until 11 p.m. Saturday and Sunday at new wave of awareness and indignation. This explains. "Radio Free Europe, the Voice of kind of timing is by no means new for the the corner of Michigan and Third. The Cap­ America. One way or another, the people take tive Nations Festival was held last weekend.) annual observance of the Week. note. And so does the government. Sakharov has predicted that Moscow's (By Polk Laffoon) "And because they are trying to perpetuate travesty of justice was a "test of the resolve Byelorussia. What roman tic images the the false idea that Byelorussia is a 'republic,' of the West to inRist on the fulfillment of the name connotes. Cossack riders and onion­ they match what we do here. If we name a principles proclaimed at Helsinki." domed spires. Flower-flecked villages and the new head of our Byelorussian Autocephalic The other day, Radio Moscow trumpeted vast Russian plain. Orthodox Church here, they name one there. that "a suitable riposte was given to the But how many Americans could pinpoint Even though he's a figurehead only. actions of the U.S. which speculates on the it on a map? Or say for sure that it was "But the result is, the more Byelorussian human rights issue," and tha.t "other future once an independent nation? activity we have here, the more our people actions wm be met with a similar fate." Ivan Brucky (pronounced Brooski) could. there may be allowed to do, Always we receive The die has been cast. Caotive Nations Brucky was born in Byelorussia, he has a word: 'More, more!" Week is a redeeming opportunity for the family that still lives there, he works-when Big brother is watching, and Brucky is glad. Carter adminLstra tion to redefine and reas­ he is not on the job as a civil engineer for sert its human rights policy. Swindell Dressler in Detroit-for the preser­ CAPTIVE NATIONS WEEK AND MOCK TRIALS vation of its cultural integrity through the (By Lev E. Dobriansky) 200 AT RALLY FAVOR Am To CAPTIVE NATIONS Byelorussian-American -Association. The mock trials of leading human rights And there is nothing romantic about A rally showing support for citizens of Brucky. activists in the Soviet Union have drawn countries under Communist domination was vehement protests from all over the world. attended by more than 200 people yeste:day "We have our own language, our own In May 1976, Dr. Yuri Orlov formed in customs," he says, stressing the "we." at the Community Concourse, concluding the "Byelorussia lies between Poland and Mos­ Moscow a group to monitor Soviet compli­ 20th annual Captive Nations Week. cow with a capital at Minsk. It was once a ance with the Helsinski accords. The Hel­ The rally, sponsored by the California Cap­ grand duchy of Lithuania; in 1795 it was sinki Watch group was quickly joined by tive Nations Committee, included speakers, overtaken by the Russians and they have similar citizens' groups in Ukraine, Lithuania, music and dance groups representing some of had it most of the time since." Georgia and Armenia. Founders of the groups the 31 nations of the world that are under He pauses. "They want to destroy our have even since undergone savage repression. Communist rule. culture." The Kremlin's suppression drive climaxed in Countries represented at the rally were Byelorussia is not alone, of course. Along recent weeks with the use of phony charges China, Cambodia, Vietnam, Cuba, Romania with Lithuania, Latvia, Estonia, the Ukraine, to convict Arlov, Vladimir Slepack. Zviad and Russia. Georgia and Armenia, it is one of many Gamaskhurdia and others, and the harass­ In 1959, Congress adopted a resolution "captive nations" that are satellites of the ment of American newspapermen who have authorizing the President to issue a Captive Soviet Union and "republics" in name only. refused to disseminate Soviet slanders. Nations Week proclamation each year until Brucky describes life there in these words; DOWN bWITH COMMUNISM "freedom and independence have been "If you don't join the Communist youth, Members of the U.S. Congress have urged achieved for all the captive nations of the you won't be allowed to go to school. I had a the Carter administration to express "in the world." friend, an older mab, who was asked by the strongest terms the opposition of the Hel­ City Councilman Blll Mitchell attended the authorities to be an informer--one who re­ sinki Watch group." Prominent U.S. scien­ rally, and read a proclamation from tihe coun­ ported on others when they spoke against tists, including three Nobel laureates, boy­ cil supporting Captive Nations Week. the state. He told them he wouldn't do their cotted a scientific meeting in the Soviet Un­ Capt. Henry E. Phelps, USN, ret., commit­ dirty work. He was put in jail for 10 months ion while the largest U.S. organization of tee chairman, said the purpose of the ob­ without a trial. He went to Siberia." computer sciences discontinued its coopera­ servance is to alert the American people to When Brucky was born, in 1926, Byelorus­ tion with Moscow. the threat of the "doplino theory" of com­ sia was a part of Poland. Jn 1939 the Rus­ British Prime Minister Callaghan voiced munism. Many countries have fallen in the sians reassumed power and he tasted for the his government's "abhorrence at the show wake of Russian rule, 'he said, and the United first time the grim reality of a totalitarian trials." Norway stated that the sentences States must come to their aid as well as regime. When the Nazis took over in 1943 "contradicted Soviet promises and decliara­ protect itself. and deported him to Germany for manual tions." "There are no other dominoes after us," labor, Brucky had time to reflect: Even Communist parties in Europe were he said. "We're the last one. We must put "I decided not to go back. I saw the con­ unable to conceal their disgust. The Spanish our efforts into supporting the captives ditions from '39 to '41. I didn't think it was Communist party expressed "our conidemna­ rather than the captors. If we support these a good place to be." tion," while its British counterpart called people, there will be no war:· . Displaced persons• school in Germany. on Moscow "to rescind the sentences." He said that support for the captive na­ Emigration to Canada. Graduation from the L'Humanite, the French Communist party's tions would lead to disintegration of the University of Manitoba with an engineering organ, termed the crackdown "unacceptable." Soviet Union's drive for world dominance. degree. Jobs in Ontario, Detroit, Los Ange­ An official newspaper in Tirana, Albania, dis­ Phelps said that peace is the answer, not les, Cleveland, Detroit. He was to see his closed that-hundreds of thousands in Georgia war, but that milltary superiority is essential mother once again only, on a visit to Poland. and Lithuania have staged demonstrations for aiding captive countries. September 27, 1978 EXTENSIONS OF REMARKS 32091 Other speakers rrom the California com­ "THE ROAD TO PROSPERITY-PART "Certainly, we cannot equate these people mittee, comprised of the San Diego Friends XX-GEORGE MEANY SHOULD with the 3,000 millionaires' who would benefit of Free China; Alpha 66, a Cuban freedom most from tax revision, according to the LISTEN TO HIS BROTHERS IN THE statements made by President Carter. group, and various Eastern Europe organiza­ LABOR UNION MOVEMENT'' tions, asked Americans to band together to RELUCTANCE TO INVEST fight communism. "It is no ~ecret that our nation has lost Said one, "You must teach that there is HON. WILLIAM A. STEIGER ground economically in recent years, and this nothing more precious than freedom." OF is due in part to the reluctance of investors to risk necessary capital to underwrite indus­ CAPTIVE NATIONS WEEK TIME TO SPEAK OUT IN THE HOUSE OF REPRESENTATIVES trial expansion. This reluctance is due in no In the United States, July is the month Tuesday, September 26, 1978 small part to the restrictions on incentives when "Captive Nations Week," is observed. that have been written into our tax laws over The resolution which established Captive e Mr. STEIGER. Mr. Speaker, the AFL­ the past several years. Nations Week was passed by Congress in 1959 CIO has been one of the few organiza­ "If, as advocated by the AFL-CIO, Congress and signed by the late President Eisenhower. tions to oppose the stimulation of capital should be foolish enough to close out capital It requests that future presidents issue an formation by reducing the tax on capi­ gains provisions over a three-year period, appropriate proclamation "until such time tal gains. It is a strange posture because this would not only hurt hundred of thou­ as freedom and independence shall have been capital is necessary for new job creation, sands of ordinary hard-working citizens but achieved for all the captive nations in the productivity improvement and greater it could have the effect of further pushing world." the country along the road of econoinic stag­ Last year, the proclamation of Captive Na­ economic benefits for everyone. Presi­ nation, with detrimental results to all of us. dent Kennedy, who was strongly sup­ tions Week was almost forgotten by the new "INCREASINGLY SOPHISTICATED" administration. However, this year, the pres­ ported by labor, recognized the role of ident did issue an appropriate proclamation capital when he originally proposed the "It is my observation that the typical American unionized worker, particularly in in observance of Captive Nations Week. cut in capital gains taxes which has now the railroad industry, is becoming increasing­ Coincidentally, Captive Nations Week was been incorporated in the Revenue Act ly sophisticated in economic matters and will observed only two weeks after our joyous of 1978 by the Long-Hansen amendment. and glorious 4th of July. Perhaps this is an not buy the simplistic 'soak the rich' dema­ excellent time for all Americans, after cele­ Many union members understand the goguery espoused by some politicians. This brating our independence, to examine the role of capital in bettering their lives. kind of propaganda is a direct affront to the plight of the captive nations and to reflect I have talked with union members who intelligence of the people we represent, and on how much we, in the U.S.A., should ap­ have never supported me, but agree with they certainly should not be subjected to it preciate the freedom that our forefathers my position on lowering the capital gains in our railroad labor publication. gave us. (Note: LABOR does not necessarily agree tax. with all of President Sytsma's views, but re­ In the last 20 years, we note an increased Today, I would like to insert in the roster of captive nations throughout the spects his right to express them in LABOR). world, a record of which the Soviet Union RECORD two letters. One is from a union leaders must be very proud. president, the other from a union mem­ To THE EDITOR: May we strongly suggest that our leaders ber. Both support a reform of the capital I just finished reading your comments not only issue proclamations as a routine gains tax as embodied in the Investment about the "rich bitches" and the "stockhold­ gesture, but start acting according to the Incentive Act. I would urge George ers." You made them sound like good sub­ principles and beliefs on which our Constitu­ Meany to read their letters. jects for the gas chamber. tion is based? Better you should tell your workers that BLE LEADER OBJECTS TO TAX EDITORIAL IN when he pushes the button that starts his In the past few weeks, our president spoke "LABOR" As "SIMPLISTIC POPULISM" out more often on the human rights issue $250,000 drill press, hone, or what have you even though the issue may be touchy to the President John F. Sytsma of the Locomo­ with which he makes his living that that Kremlin rulers. The basic human rights is­ tive Engineers has sent a letter to the editor piece of machinery was bought for him by a sue is also very dear to us. If we do not speak of LABOR, objecting to an editorial on tax "stockholder•· out in support of basic freedom for people reform carried in the July 26 issue. Yes, there are fewer and fewer small stock­ within the Soviet Union, then who will? (Editor's note: The editorial hit congres­ holders as the big blocks of stock are held by Those who speak up for human dignity and sional dawdling on tax reform, condemned institutions. Who are these institutions? self-determination in the Soviet Union are congressional proposals to reduce capital Namely big labor unions, pension funds usually sentenced to insane asylums and gains taxes and widen certain "loopholes." which pay our pensions when we retire, col­ concentration camps. Also, it approvingly quoted criticism of those lege endowment funds, and mutual funds. SALT II agreement is very important to proposals, made by President Carter and the A mutual fund, in case you don't know, humanity, but on what basis can we have a A.FL-CIO). is owned by sm::i.11 people who do not have guarantee since any agreements between Sytsma, whose Brotherhood is one of thP, enough money to buy 100 shares of stock. the Soviet Union and the U.S.A. have been owners of LABOR, said the editorial "trum­ They pool their money in one fund (some repeatedly violated by the Soviet Union. One pets the somewhat simplistic populism that have assets over a billion dollars) and the should only refer to the Helsinki Agreement has been the hallmark of LABOR for all these funds buy and sell stocks with the hopes of which is by now probably in the cartoon sec­ many years." making a profit for their many small in­ tion of the Pravda newspaper. "In view of the econoinic gains made by vestors. Since 1970, mutual funds have per­ Let's not wait another 20 years to see the organized labor-particularly railroad la­ formed rather badly except in isolated cases list of captive nations grow to the point bor-in recent years, don't you think that but they do control huge amounts of stock. where free civilization will be threatened by our railroad employes' newspaper should by Also, your life insurance companies prob· an unsatiable Soviet Communist appetite. now be playing a more sophisticated tune?" ably hold large amounts of stock in leading Let's counteract and speak out! the BLE leader asked. industries. . . . As an example, Ukraine was probably the CITES EFFECT OF TAX LAWS I grew up with some of your "rich bitches" first victim of Soviet Communist Imperial­ and the truly big shots that I knew all had Sytsma cited estimates that railroad work­ one thing in common: a belly full of pov­ ism. We call on our government to take a ers now average almost $20,000 a year. He erty when they were young. A couple of ten­ strong stand and start to support the added that "some crafts, including locomo­ ant farmers' sons for example now own Ukrainian people in their desire for inde­ tive engineers, earn between $25,000 and thousands of acres in Ohio. Another small pendence from Soviet domination. By such $50,000 annually." He continued: farmer's son I knew now has in addition to action, Ukraine could be the first captive "These are workers who own homes, have thousands of acres, three banks, is chairman nation to be free again and others would savings accounts and invest in the stock of a large insurance company, along with follow. We know it's a tremendous undertak­ market. When they sell their homes at a. other real estate and manufacturing com­ ing but one has to start somewhere. price that has been greatly inflated due to panies. We hope that someday each nation of this the economic spiral, they find that they are Others that I have read about who became exclusive club of captive nations, will be free being forced to pay a large capital gains tax disgusted with poverty are Kemmon Wilson, again and able to take their rightful place on the so-called profit that has resulted head of the Holiday Inns. At age 12, he lived in the family of free nations. because of inflation. in a room over a restaurant where his mother Therefore, we call on all freedom loving "These who are fortunate enough to have waited tables and helped support her by people of the United States to support the a profit in stock investments are also forced selling popcorn in theatres. Ray Kroc who bl.Sic human rights of those people who have to pay a large tax on their gains due to the established the successful McDonald ham­ lost their freedom and are without hope of restrictive tax laws that Rep. William Steiger burger empire was a peddler of malted milk regaining their own dignity unless we help wishes to modify. Many railroad employees machines at age 58 before he took over and them. saved all their lives to buy homes and other started the McDonald operation. The guy Connecticut Branch, Ukrainian Congress investments and will benefit immeasurably who invented and promoted the fabulous Committee of America, New Ha.ven.e if the Steiger legislation is passed. Xerox copying ma.chine was a. blue collar 32092 EXTENSIONS OF REMARKS September 27, 1978 machinist who only lived a few years after using the unwanted barbless smooth fence ming pools and gym baskets for high school he hit it big and thus only had a small estate wire and a pair of pliers. The first basket was and college gymnasiums. Both sold nation­ of $29,000,000 when he passed on.... made for his own use, but was later sold wide. There wm, like I say, always be a few to a neighbor for one dollar. He sold several Sho-;>ping baskets with rubber covered "rich bitches." I don't dislike them. I would more baskets to other neighbors, then began handles were started in the thirties, but the like to join them (I think) but I don't want selling his handmade product from the bed shopper was required to carry the basket to pay the price. Let them pile up big success of a rented wagon and mule team. around the store. This led to the world's and I will continue to buy a few shares of Kasper's skillful hands then went to work fir.st shopping cart on wheels, made by KWW their stock when I have an extra buck or two. on the first wire horse muzzles, which sold for Weingarten's in . Handy-Andy I sort of look on them in a way as my em­ faster than he could make them. As the of San Antonio also thought it was a good ployes. demand increased, Shiner's leading stores idea to become the second user of these new HERMAN TODHUNTER, began stocking his products. carts, starting a new industry which spread AIW Local 879.e By 1905, the wire basket and horse muzzle across the entire nation. was a full time business, so Kaspar sold his During World War II all production farm and bought a house and a two-acre stopped except for a few military contracts KASPAR WIRE WORKS MARKS tract in the new town of Shiner. Kaspar for frying baskets and handles for ammuni­ BOTH ANNIVERSARY continued the business in a small shed in tion boxes. Only two employees were re­ the backyard, shipping baskets and muzzles tained and it was necessary to completely all over South , via the newly formed start over when the war ended. HON. J. J. PICKLE S.A. and A.P. Railway. Arthur and his wife, Josephine', reside at The business flourished for about a quarter 320 E. 10th St. in Shiner. OF TEXAS of a century, but the demand for the farm­ On November 24, 1970 Kaspar Wire Works IN THE HOUSE OF REPRESENTATIVES ers' feed baskets and horse muzzles gradu­ received a HISTORICAL MARKER which was Tuesday, September 26, 1978 ally declined as farming became more and sponsored by The Lavaca County Historical more mechanized. With tractors replacing Committee. The growth and success of the • Mr. PICKLE. Mr. Speaker, I would like horses and mules, the demand for the muz­ firm was officially recognized in 1967 by the to share with my colleagues an article zles decreased, and ground mixed feed plus bestowal of the first annual expansion award that appeared in the Shiner Gazetter baled hay ended the need for the baskets. under tihe auspices of the Texas Industrial last week. The article provides a history Thus, the first phase of the business came Commission, the same award KWW will re­ of the Kaspar Wire Works which was to an end. ceive later this year in Austin. SECOND GENERATION-ARTHUR KASPAR Don and his wife, the former Jean Wel­ founded in Shiner, Tex., in 1898. ha.usen of Yoakum, reside at 1020 N. Ave. C Arthur H. Kaspar joined his father after in Shiner. Through four generations, the Kaspar he finished high school in 1918. Florist easels family has built this business into one and wire wreath frames were the first of the Don and Jean have always been active and of the leading industries in central Texas. new products engineered by the youthful interested in all community affairs. They vol­ It all began with August Kaspar who Kaspar and his helpers. Thestl early products unteered the use of the new Kaspar Wire handwove wire feed baskets in his back­ where laboriously made with crude hand Works factory building for the Benefit Dance, yard. Today, Don Kaspar and his two tools; however, it marked the beginning of the initial kickoff event for the fund-raising diversification at the Wire Works. campaign for the Shiner Hospital Foundation sons, David and Dan, manage the large, Building Fund. diversified company that employs more THmD GENERATION-DON KASPAR As chairman of the Bicentennial Commit­ than 400 people. They have become the After graduation from Texas A&M Univer­ tee Jean worked untiringly with her com­ dominent supplier of coin-operated sity in 1949, Don G. Kaspar became asso­ mittee members to make the Bicentennial newspaper racks in the United States ciated in the business and to a large extent Year one long to be remembered by the and their products r:.re sold worldwide. was responsible for the steady growth and Shiner community. expansion which has resulted in the em­ FOURTH GENERATION-DAVID AND DAN For eight decades, Kaspar Wire Works ployment of over 400 people 1.n 1978. has made a tremendous contribution to Around 1958, newspapers began asking for David and Dan, sons of Don Kaspar, joined the economy of central Texas and under coin-operated racks to replace the so-called the management team at KWW in 1976 and its present outstanding leadership, I am 'honor' racks then in use. KWW pioneered 1977, respectively. The pair mark the fourth this field and developed a wire cage con­ generation to head Shiner's largest industry. ·sure that the company will continue to After graduating from Shiner High School grow. trolled by a simple coin mechanism which solved the problem. The coin-operated in 1971, David went on to receive a Bachelor's KASPAR WmE WORKS NOTES 80 YEARS OF models collected more than 90 % as compared Degree in Business Management from Texas PROGRESS to less than 50 % for the honor racks and fre­ A&M University. David and his wife, Josh, re­ (By Bobby Strauss) quently paid for themselves in a week or two side at 220 Montana Drive in Terrace West. It started out with one man, a pair of on the busy street corner. Dan is also a graduate of Shiner High and pliers and some discarded wire, but eight dec­ Continuous research and development with Texas A&M. He earned Ms high school di­ ades and three generations later Kaspar Wire constant improvement in manufacturing fa­ ploma. in 1973, then received a Bachelor's Works stands proudly on the outskirts of cilities established Kasper as the dominant Degree in Agricultural Economics in 1977. Shiner shipping their products around the supplier of coin-controlled newspaper racks Dan's new home built in the same spot his world. in the United States. About a dozen different grandfather's backyard shop stood in the In the mid 1890's, ordinary wire was some­ models are now being offered by KWW to early 190-0's, is nearing completion. thing nobody wanted in South Texa~. except meet every newspapers need. ( MORE HELP ON THE WAY a man named August Kaspar who saw a fu­ Starting in 1977, KWW newspaper racks Besides David and Dan, Don and his wife ture in the product. The wire was available are regularly being exported to Germany, Jean, have two more sons, Douglas and Den­ almost for the asking as farmers and ranch­ Austria, Switzerland and Holland. Sales in­ nis. Doug is a junior at Aggieland where he ers were discarding it in favor of the newly crease of the racks jumped over 23 % in 1977 is majoring in Industrial Engineering. Den­ introduced barbed wire. over 1976. nis, one of the Shiner Comanche's promising Kaspar studied the situation, began pick­ The wire products division also expanded young athletes, is a freshman at t he local ing up the discarded wire, and started hand­ as hundre::!s of new items are being produced. school. weaving it into shuck baskets and horse This includes display racks for every con­ Kaspar Wire Works h&s grown with Shiner muzzles. ceivable purpose, motor mounts and grills for throughout the years. The expansion of this A backyard shop and kitchen were his the air-conditioning industry, special wire local industry into one of the leading wire components for other manufacturers, paper "plant," a pair of pliers his tool and the bed works manufacturers in t he United St ates of a rented wagon was his salesroom with guides for the computer industry and many has proven itself an incalculable asset to our friends and neighbors becoming the first cus­ more. community.e tomers of what would later be known as Kas­ The next new product was wire coat par Wire Works, Inc. hangers, also made with primitive equip­ ment. It was at this time that some of the CLINICAL LABORATORY IMPROVE- ' HOW IT ALL STARTED operations were powered by a gasoline engine, MENT ACT August Kaspar was a native of Texas born which was hooked up to the family washing on October 10, 1871 at High Hill in Fayette macbine, certainly marking a first for home County. He came to the Shiner area around laundry. HON. PAUL G. ROGERS 1890 when he first worked as an employee of During the early twenties, welded wire OF FLORIDA the Fred Kokernot Ranch. A few years later, products began to appear on the American Kaspar bought some land outside of Shiner market about the same time electricity came IN THE HOUSE OF REPRESENTATIVES and began farming on his own. He was mar­ to Shiner. The gasoline engine was replaced Tuesday, September 26, 1978 ried to Miss Emma Stindt on December 29, with an electric motor and the first electric 1897. S".)ot welder was purchased by KWW in 1928. • Mr. ROGERS. Mr. Speaker, on Sep­ It was around the turn of the century The first weld·ed products shipped from the tember 19, 1978, I notified colleagues of when Kaspar first made a wire feed basket, Wire Works were checking baskets for swim- my intention to offer an amendment to September 27, 1978 EXTENSIONS OF REMARKS 32093 the Clinical Laboratory Improvement attention on and ease the plight of Cam­ there is absolutely no reason why a special bodian refugees, who, despite incredible odds, parole for several thousand Cambodian refu­ Act saw fit to honor one of fore, visualizes three principal aspects of Benefactor of the Dayton Art Institute. such work, namely: Dayton's leading citizens, David L. Rike, Chairman of the Air Force Museum fund 1. Planning-to determine what objectives by naming the new school of business drive in greater Dayton. should be established to utilize the human administration building after him. President of the Miami Valley council of and material resources of the curriculum to Dave Rike has truly been one of the the Eoy Scouts of America. achieve a measure of integration within a Dayton area's great citizens in the full­ Head of a campaign to renovate the down­ pluralistic society. est sense of the word. His life has re­ town YWCA; the family contributed $70,000 2. Organizing-to determine how the to that effort. ftected a deP,p love and genuine concern President of the Miami Valley Hospital human and material resources of the school for community which has been trans­ are to be utilized in a clear, well classified board of trustees, and instrumental in a organization structure for integration pur­ lated not merely into words on his part fund drive to raise $2.5 million tor the poses. but substantive actions. I have been institution. 3. Measuring-to evolve standards, to privileged to know him for many, many Rike also has headed a family foundation devise measuring mechanisms to analyze years and have had a deep affection and which has given to a. variety of causes. Re­ progress and performance. respect for him and his good works. cipients of large gifts have included Otter­ "I conclude that American society has no bein College ( $300,000 for a physical educa­ A member oi one of Dayton's leading tion building), and Miami Valley Hospital other choice but to utmze the curriculum as families, Dave Rike easily could have the basis for a new cultural mentality if inte­ ($400,000 to purchase a betatron machine, gration is our goal. This choice can produce fallen into the pattern of "going through for x-ray and radiation treatment of cancer an integrated society and allow an integrated the motions." Instead, he chose to make patients). form of public education without busing. In a sincere commitment while attempting Rike money has gone as well to the "little setting our sights on a. new cultural mental­ to avoid a high profile in the process. He people." It has financed a redwood cabin at ity with integration as its core, we are has done far more than has been expect­ Camp Kern, a fashion scholarship to New declaring an idealistic position. That is, we ed of him and thus has earned the praise York for Dayton area girls, equipment to will be trying to bring about conditions send local Boy Scout troops to national jam­ of his fellow citizens. In the words of borees and swimming instructions. that call for changes in schooling. the 16th century writer Edmund Spen­ "Our history provides us with too many David Rike's influence has extended well examples of success in producing change in ser: "All for love and nothing for re­ beyond the department store whi-ch his our social system to surrender to the doc­ ward." grandfather founded and which he headed trine that we should abandon our ideals and I am happy to commend Dave Rike for for many years before retiring from active accept our imperfections because the task his many good works and to insert at management in 1970. Someone joked, though, of change is too great."e this point in the RECORD an appropriate that he was the community's most powerful leader when he ran Rike's, because women column written by Dennis Shere, theed­ "owed more to Dave Rike than any other itor of the Journal Herald, one of the INTERNATIONAL POLICE OLYMPIC man in Dayton." daily newspapers in my district. Rike will turn 74 in October. He suffered a The column follows: stroke in May which has forced him to nego­ HON. DOUGLAS APPLEGATE [From the Journal Hera.Id, Sept. 13, 1978] tiate with a cane. But he is still actively running the family foundation, out of a.n DAVID L. RIKE: MORE THAN AN "INSTITUTION" OF OHIO omce in the Winters bank tower, and con­ IN THE HOUSE OF REPRESENTATIVES (By Dennis Shere} tinuing to support his hometown in many Wed·nesday, September 27, 1978 They broke ground at Wright State Uni­ ways. versity last Friday for the School of Business And while age may have ta.ken its toll, it e Mr. APPLEGATE. Mr. Speaker, it is and Admi?listration's new building. As hasn't dulled the gleam in David Rike's eyes. a privilege for me to address this House ground breakings go, this one was probably Or hardened his friendly smile. 32096 EXTENSIONS OF REMARKS September 27, 1978 A NAVY SIDPBUILDING SETI'LE­ and waste by both parties routinely double acceptance at face value of General Dynam­ MENT THAT MAKES THE LOCK­ costs of weapon systems, aggravating infla­ ics' demand for the additional $300 million HEED DEAL LOOK GOOD tion and eroding U.S. defense capabilities. A was an unprecedented move. A Navy analysis president's threats in strategic arms talks of the original $544-million claim had found with the Soviet Union may have a hollow only $120 million to be legitimate, that is, HON. THOMAS J. DOWNEY ring if the Kremlin estimates Washington extra, costs created by Navy officials. On a OF NEW YORK cannot afford costly weapons programs. portion of the claims, the Navy found evi­ Those were the pressures on Nixon and Car­ dence of fraud by General Dynamics. Those IN THE HOUSE OF REPRESENTATIVES ter: criminal charges are now the subject of in­ Wednesday, September 27, 1978 In Nixon's . case, Lockheed said it was vestigations by both the Justice Department threatened with bankruptcy, possibly dis­ and the Securities and Exchange Commis­ • Mr. DOWNEY. Mr. Speaker, I would rupting production of the front-line nuclear sion. "I know nothing of the validity of like to submit for the RECORD a recent deterrent, the MIRV missile that armed the the claims," Claytor told newsmen. "We tried article written by Mr. Patrick Sloyan of Poseidon submarine fleet. From a single to avoirl evalua+ion of the claims." the Washington Bureau. rocket, the Lockheed warhead could guide 14 According to Claytor, it was a case of "rough nuclear bombs at targets hundr~ds of miles justice" to both the firm and taxpayers that This article strongly supports some apart. Lockheed wanted Nixon to pay for of the arguments I have raised concern­ would end the rift between the Navy and the cost overruns in an array of Army, Navy and contractors. He argued that it was a settle­ ing the Navy's proposed settlement of Air Force hardware programs, including a ment that actually would impose a loss of shipbuilding disputes with General Dy­ doubling of costs (from $1 billion to $2 bil­ more than $350 million on General Dyna.m­ namics' Electric Boat Division and Lit­ lion) for the C-5 military cargo jet. ies. ton Industries' Ingalls Ship Yard. Al­ With Carter, General Dynamics threatened But that loss, after taxes, was reduced to though Mr. Sloyan's article concentrates to halt operations at its Electric Boat Divi­ $187 mmion for this year, with the balance sion in Groton, Conn., where work is under carried back to offset past years' profits. Tha.t on the General Dynamics' settlement, way on seven Trident submarines, the mam­ he raises issues which are central to both "carryback" feature enabled General Dynam­ moth successors to the Polaris-Poseidon sub­ ics to get a $68.4-million income-tax refund disputes. That is, are the proposed marine fleet. General Dynamics wanted Car­ for 1976, for example, even though it had net extra-contractual settlements granting ter to pay cost overruns of $544 million on earnings of $99.5 million that year. relief in excess of the responsibility of $1.4 billion worth of new nuclear-powered David Lewis, president of General Dynam­ the Government and will the settlements attack submarines, the Los Angeles 688 class. ics, followed Claytor's cue, termed it a "pain­ A major reason the two disputes were set­ ful settlement" for the firm. set a bad precedent for the future? tled differently can be traced to the men I wish to share this article with my picked by the two Presidents to negotiate But Wall Street took a different view. The colleagues as it conveys some interest­ with the hard-nosed conglomerates. firm's stock, closing at 63 before the settle­ ing and, in my opinion, disturbing in­ Nixon selected Deputy Defense Secretary ment was anno_µnced last month, rocketed sights. David Packard, a shrewd, successful veteran to 77 on the New York Exchange a. week later-its highest level in almost a decade. NAVY SETrLES SHIPBUILDING DISPUTES of the California aerospace community. He devoured details of all programs in dispute Market analysts read the $484-million Navy (By Patrick J . Sloyan) between the military and Lockheed, laying payment as a windfall for General Dynamics, WASHINGTON.-With little fanfare, Presi­ the groundwork for an omnibus settlement. a remarkably generous action in light of dent Carter has approved a windfall payment In the end, Lockheed was awarded $781 past Navy shipbuilding claims settlements, to General Dynamics Corp. that is far more million in additional funds by the Pentagon. which traditionally ended with the contrac­ generous in important respects than Rich­ Although the firm said the settlement would tor getting only a quarter or a third of the ard Nixon's controversial bailout of Lockheed mean a $480-million loss, Packard didn't formal claim. Left unaltered was the Na.vy Corp. agree. He knew such losses disappear when contract with General Dyn..1.mics on the Tri­ One reason there has been little contro­ they are offset by high profits from other cor­ dent submarine program, with $2.8 billion in versy over Carter's action is that administra­ porate divisions doing business with the Pen­ cost overruns to be covered by taxpayer tion officials had proclaimed that General tagon, such as Lockheed's space and missiles money. Dynamics would suffer a "substantial loss" division. Claytor said the Navy would make payment as a result of the recent settlement of a To add sting to the settlement, Packard to General Dynamics despite the continuing 3-year-old dispute over $1.4 billion worth of insisted on-and Lockheed was forced to ac­ criminal fraud investigation by the Justice nuclear-powered submarines of the 688 class. cept-a $200-milllon fixed loss. No matter Department. But Wall Street isn't buying the adminis­ what happened, Lockheed had to pay that The General Dynamics settlement was ex­ tration line. General Dynamics stock soared sum out of profits as a penalty, and it served actly what Carter's old mentor, Adm. Hyman 14 points after it was announced June 9 as a warning to large defense contractor:s Rickover, had warned the President against that the Navy would pay $484 million on to improve performance and control costs. making. Carter told newsmen in January $544 million in disputed cost overruns in Half of it came immediately, reducing the that he had discussed the dispute with the submarine program. In return, General government payment to Lockheed to $681 Rickover, whose demands on General Dy­ Dynamics agreed not to seek settlement of million. The rest was in $10-millon pay­ namics played a role in the cost overruns. $300 million in additional claims for which ments over a 10-year period. Althougl' Rickover has refused to comment it had not yet formally applied. The Navy The Packard settlement sent Lockheed on the settlement, he had warned earlier that had acknowledged responsibility for less stock to record lows as Wall Street inter­ an overly generous bailout would only en­ than one-fifth of the formal claims. preted the $200-million fixed loss. Despite courage other contractors with bilUons in It was the largest payment in Navy history, $2 billion a year in operations by big de­ shipbuilding claims. "It is just like when both in amount and percentage, on a ship­ fense contractors, few have profits as high somebody tastes blood and he knows he can builder's fo.rmal claim. as $50 million a year. get more," Rickover said.e The settlement is subject to a veto in Con­ To handle General Dynamics, Carter picked gress. Sen. (D-Wis.) said Navy Secretary w. Graham Claytor. His ex­ he is waiting for formal submission of de­ pertise was in railroading, with little knowl­ tails of the settlement before deciding edge of the Navy, defense contracts and ship­ SAMUEL DESIMONE, SR. whether to c_hallenge it, but a fight is likely. building. Carter's sele<:tion of such a rela­ In 1971, Nixon approved a $681-million pay­ tively low-level Pentagon official tencled to ment to Lockheed, despite bitter Democratic give General Dynamics the upper hand in HON ..JAMES J. FLORIO protests. But the Lockheed settlement was so the negotiations. Had Deputy Defense Secre­ OF NEW JERSEY stringently drawn that it is hobbling the tary Charles W. Duncan, Packard's counter­ firm's recovery seven years later The settle­ part, been designated, the firm's tough talk IN THE HOUSE OF REPRESENTATIVES ment with General Dynamics that was ap­ might have evaporated: Duncan has a major Wednesday, September 27, 1978 proved by Carter-who has sometimes been say on about $1.~ billion a year of other a populist critic of the "unholy alliance" General Dynamics contracts. Moreover, • Mr. FLORIO. Mr. Speaker, I would between Washington politicians and corpora­ Claytor negotiated in what the Navy viewed like to pay tribute to an outstanding tions-will turn a short-term "loss" into a as a crisis situation for its shipbuilding pro­ gentleman who lives in the Southern long-term gain. gram, with delays in submarine production New Jersey community of Gibbstown. The settlement of such disputes between threatening national security. the Pentagon and its contractors is vital to To settle General Dynamics' claim of $544 Mr. Samuel Desimone, Sr., a native any President's domestic and foreign policies. million, the Navy agreed to pay the $484 of Penne, Italy, immigrated to this coun­ Legal contracts are the Defense Department's million. try in 1919 at the age of 18. He found only tool in controlling skyrocketing costs for Claytor said the settlement included the work as a coal miner in the mines of m111tary hardware, which devours more than $300 million the firm had planned to add Pennsylvania before settling in South $50 bilUon a year of the federal budget. Un­ to the formal, $544-mlllon claim on the Jersey. less contracts are enforced, mismanagement attack submarines. But Claytor's last-minute In 1924, he established his own busi- September 27, 1978 EXTENSIONS OF REMARKS 32097 ness, the Royal Meat Market, in Gibbs­ China., Uncle Sam should be reminded of the foreign policy move I think has turned out town and has been able not only to story of "the travelers and the bear" of to be a blunder of monumental proportions. Aesop's fables. Two men traveling together I'm sure that most America.ns support maintain a fine reputation as a small through a. forest promised to help ea.ch other human rights but when you try to tell the businessman but became an active and whenever danger threatened them. (They be­ Soviet Union that Soviet-American relations contributing member of his community. came allies.) They had not traveled far when hinge on their internal policies being con­ Sam Desimone is a fine example of a bear rushed a.t them, and one man climbed ducted according to our demands, you're the "pioneering" spirit that built our up a. tree, but the other, seeing that he had looking for trouble. Communism ls not based country. I certainly commend him for no cha.nee a.lone against the bear, fell flat on equal rights. In fact, they really don't his achievements and wish him the best on the ground and pretended to be dead. The know what equal rights or human rights a.re. bear ca.me up, sniffed a.t him, and thinking The Russians have never known anything during his retirement.• · him dead, went off without hurting him. The a.bout human rights. They've been oppressed tree climber ca.me down the tree and asked and imprisoned without trial ever since time his companion what the bear had said to him. immortal. "He told me to tell you," replied the other, Certainly, if it was possible to push a. but­ UNITED STATES ON CHINA: UP "that you were a. great coward . . . and that in ton or turn a tap and guarantee human A TREE? the future I should not trust those who make rights for everyone in the world, just a.s we fine promises but will not stand by their have them under the Constitution of the friends in danger." United States, we would a.11 do it eagerly. HON. GENE SNYDER What would the world become if its citi­ But when the Administration, President OF KENTUCKY zens regarded the U.S. a.s a. great coward, who Carter, gathers headlines with a. barrage of ma.de fine promises but would not keep them? human rights statements, he also sank IN THE HOUSE OF REPRESENTATIVES detente. He further damaged the cha.nee for Wednesday, September 27, 1978 • more Jewish immigration from Russia.. Jew­ ish immigration ls now down from 35,000 im­ • Mr. SNYDER. Mr. Speaker, every time migrants in the last year of the Ford Admin­ I hear the whispers which periodically NATIONAL SOCIETY OF PROFES­ istration to fewer than 10,000 a year now. make the rounds about the Possibility of SIONAL ENGINEERS The Soviet response to Mr. carter's jibes normalizing relations with Communist has been to step up repression against dis­ China at the expense of our longtime sidents. The gains of detente now are just HON. ROBERT H. MICHEL a. memory of the Ford Administration's en­ friend and ally, the Republic of China, OF ILLINOIS I am reminded of the old Benjamin deavors to find common ground for com­ IN THE HOUSE OF REPRESENTATIVES promise between two strong na. tions whose Franklin saying: ideals and principles move in divergent di­ Any nation that gives up a. friend and a.Uy Wed·nesday, September 27, 1978 rections. The goal of our foreign policy to obtain a. measure of temporary safety, • Mr. MICHEL. Mr. Speaker, the Na­ should be to create an international climate deserves neither friends nor safety. in which our American system can survive tional Society of Professional Engineers, and prosper in peace. And the key words It is unfortunate that the administra­ a nonprofit organization headquartered a.re "in peace." Under this Administration, tion is apparently unable to see the truth in Washington and representing 80,000 we have not seen the ca.use of peace ad­ in those words-or the wisdom. individuals engaged in virtually all dis­ vanced. Talking certain rights and then cav­ Of course, Mr. Franklin was not the ciplines of engineering practice, recently ing in by unlla.terally disarming, makes no first man in history to recognize the held the society's 44th annual meeting of sense whatsoever. The Carter foreign policy value of friendship, nor was he the first its board of directors. This year's meet­ borders on being an unmitigated disaster which will have serious economic and mili­ to note that anyone who treats allies ing was held in St. Louis, Mo. tary repercussions over the yea.rs a.head. cavalierly deserves neither friendship At the St. Louis meeting, House Minor­ Domestically, there is a fever in the land nor trust. I recently ran across a letter ity Leader JOHN J. RHODES appeared as which reportedly started with the success in the Christian Science Monitor in the featured speaker. His remarks were of Proposition 13 in California. However, I which the writer, a Mr. S. T. Tung, cited warmly received by the professional engi­ don't think it started with Proposition 13. I one of Aesop's Fables which carries the neers, but more to the point, what the think Proposition 13 ls just a manifestation of a. feeling that existed before and went same moral. gentleman from had to say is of largely undetected until Proposition 13 was I would like to share this letter with great importance to all Americans in voted. People suddenly are beginning to my colleagues. Aesop's Fables like Ben­ general and to those of us here in Wash­ realize that "bigger" government ls not bet­ jamin Franklin's sayings have been ington, in particular. ter; nor ls it inevitable. They are beginning around for a long time. But some things In order that all my colleagues in the to see the power of the vote. They a.re waking never_go out of date--among them honor, House might benefit from Minority up to the fa.ct that through complacency friendship, and wisdom. Leader RHODES' remarks, I insert the text they have become servants to a government of his address to the professional engi­ that has grown greedy, demanding and re­ Possibly by reviewing the wisdom of pressive. People now recognize that an army the past we can find the wisdom to face neers, plus his answers to questions from of non-elected, unresponsive bureaucrats the future. the fioor, into the RECORD: really run the country. What few realize ls · The article follows: SPEECH OF THE HONORABLE JOHN J. RHODES that Congress largely ls to blame. Thank you very much for your gracious That ls the job a.head of us. We must point U.S. ON CHINA: UP A TREE? out that 24 years of one party rule of Con­ (By S. T. Tung) welcome. I have to tell you though that it bothers me when people stand like that be­ gress has produced a government that ls the The Carter administration should be cause the first thing that goes through my private domain of the big spenders and the warned to think twice before plunging into mind ls that everyone ls leaving before I say power grabbers who view themselves as mod­ the normalization of U.S. relations with what I came to say. But I do thank you and ern Robin Hoods, taking from those who Communist China. on the latter's terms: it certainly is a pleasure for me to appear work and earn and giving to those who can't namely that of breaking relations with Tai­ before this Board to talk about the condition or too often won't. Nearly $250 b1llion was wan. The U.S. has recognized the Republic of of our government and the upcoming elec­ "redistributed" by the United States last China. (now on Taiwan) ever since it ca.me to tion. year and only one of four recipients had to existence in 1912. During World War II, the Government today ls the nation's biggest show any need for the largesse that he got two countries were allies against Japan. They business and it has become a. pervasive force from the Federal government. became allies a.gain in 1954-this time the that employs one of every six workers and Congress created our massive federal estab­ enemy was no other than Communist China.. takes 40 percent of our gross national prod­ lishment. Congress overfunded and under­ Presidents Eisenhower. Kennedy, and John­ uct. Even government ls worried about itself. controlled the agencies that have become son have declared that the U.S. would never How would you like to be the head of the bloated and arrogant. Congress failed to use abandon a.n ally although it desired to nor­ Internal Revenue Service and know that a.11 its oversight function and allowed federal malize the relations with Peking. Nixon said of the $300 million coming in has to come a.buses to multiply. Bureaucracy has become that the normalization cannot be ma.de a.t through the U.S. mail? a whipmaster because Congress has given the expense of old friends, when he went to Foreign policy, or what passes for it under federal agencies nearly blanket authority. China. in February, 1972, and issued the this Administration, has been in the head­ I think the American people a.re ready for Shanghai communiaue. What would the lines. The SALT talks have been peppered what I call Proposition 96. They are ready pledge of the Presidents of the U.S. be worth, with criticism. Cuban conquistadores roam to elect a prudent, hardworking 96th Con­ if it could be so easily ignored and Africa. The communists are mopping up in gress. The country needs it worse than it repudiated? Asia. And the United States has steadily lost needs anything else. It's a challenge for all As to the cancellation of the mutual de­ influence a.round the globe for the past 18 of us who want to save our nation from fense treaty of the U.S. with the Republic of months. This Administration's first major sliding into socialism, to save the dollar from CXXIV--2018-Pa.rt 24 32098. EXTENSIONS OF REMARKS September 27, 1978 becoming a shin plaster and regain the free­ lation which is anti-free enterprise. It's anybody gets a job and the question is doms and opportunities our forefathers en­ about that simple. Let's do positive things, where do you get the $75,000. I saw a statis­ visioned for America. One of my jobs is to instead of just being negative all the time. tic the other day which literally bowled me make sure that people know that the only This country wasn't built on negativism and over. It was on the front page of the Wash­ way to change the course of government is negativism, although it's important to have ington Post and it said that 94 percent of to change the makeup of Congress. it when we need it, cannot last for a long the dollar that goes to the Internal Revenue Today, I'd like to talk with you about the period and it cannot be beneficial for a long system comes from people who make over three big issues in this fall's campaign: in­ period of time either. $20,000 a year. Now let me repeat that, 94 flation, taxation, and regulation. The polls It's interesting that in travell1ng around percent of every dollar, of all the dollars, show that inflation is the most worrisome the country, I find that people refuse or are that go into the Internal Revenue system issue to the general public. The policies of unable to think of Congress as an "institu­ from personal income tax payments comes the Carter Administration and Congress have tion." Frequently, they think of Congress as from people who make over $20,000 a year. produced promises but yet we have double being an individual congressman, either So where are we goir.g to get the savings to digit inflation. Would you believe, and I theirs or somebody else's. If they like their provide the $75,000 capital. Well, obviously imagine some of you remember, that back congressman, and they quite often do, if you are going to get the $75,000 from that in 1939 some people worried over the fact he answered his mail and telephone calls, bracket of individuals who make over $20,000 that no one seemed to think or care about comes home and talks to people, and makes a year. There's only 6 percent of the dollar balanced budgets. They predicted that the fine speeches, they quite often will vote for that comes from people that make under dollar, if inflation wasn't halted, wouldn't him even though they often don't have the $20,000. So the tax cut must help the higher even buy a postage stamp. Of course, back vaguest idea what his voting record is. Well, brackets because that's where the savings in those days the postage stamp sold for 3 I think it's necessary for people to look at a will be. And that's where you get the tools cents. Would you believe that the 1939 dollar congressman as one who wears two hats. The to make this economy start ma.king sense is now worth only 17 cents. Literally, the hat they are looking at, the one I just de­ once again. So this is the Republican idea dollar is down to the point where it will just scribed, is the hat that he wears as the of what is to be done. only buy a postage stamp and have 2 pennies "ambassador" of his people to the nation's Now, I would like to contrast it very left. capital, and that's an important hat and briefly with what I understand to be the That's what's happened and it happened don't ever doubt it. Nevertheless, it's not the Administration's program. The Administra­ because Congress has not seen fit to do any­ only hat, and probably not the most im­ tion wants a $15 billion tax cut and, of thing about the deficits which have been portant hat that a congressman wears. The course, it ls somewhat selective. There would running this government for all these years. other hat, the one he wears as a Federal be some cut in corporate rates but it ls just Inflation is the product of the action of the official, the one he wears when he goes to a one shot affair and people who invest funds Federal government and I say that booause the House of Representatives or to his com­ in corporations can't depend upon it being during these years we have seen deficits mittees and votes on legislation is the im­ repeated in the next year as they can under mount up to where we have an $800 bllllon portant hat because that is the type of activ­ the Kemp-Roth formula. Also, the cut ls not federal debt. The deficit for the next year ity which sets the course of government for adequate. The reason it isn't adequate ls ls some $50 blllion, but the accumulation years to come. Therefore, I think it is very because it wm leave us in a situation where of deficits add up to $800 b1llion in debt. important that people look at Congress as the American people will be paying more And you will remember, I think, that back an "institution" and vote for or against the dollars in taxes next year than they paid this in 1964, Lyndon Johnson was doing his very challenger or incumbent on the basis of year. Now that has to be deflationary ln best to hold the budget of the Federal gov­ what he or she will do, or what he or she some ways but it's deflationary in a destruc­ ernment under $100 billion. He did it with has done, when becoming a part of Con­ tive sort of way that can't be tolerated by something like $99.8 billion, but it was under gress-the institution. the economy. $100 billion. Well, that was back in 1964, Now I guess I wandered a little bit but Let me tell you why the Carter proposal is fourteen years ago. Well, that $100 billion let me talk to you now about taxation be­ actually an increase as far as taxes are con­ budget is now $500 billion. And if this type cause we are, I think, going to have a tax cerned. The reason ls taxfiation. Taxfiation, of thing continues, you can see what the bill this year. I hope it is going to be a good the shorthand term for describing a phe­ result will be. It will ·not only be more in­ one. I think that the Steige.r amendment nomenon of which you are all aware, ls the flation, it will be increased inflation by will be part of that tax bill. And it isn't situation where more inflation provides more geometric progression. And we're going to because the Administration wants it to be dollars to go to the Federal government. find that the dollar that is now worth 17 a part, trs because the people of the United Consequently, f.he only entity in the country cents is going to be worth less and less and States want it to be a part of the tax bill. that profits from inflation ls the Federal gov­ less. If we are going to do all the things that are ernment. The reason ls that as your income So what can we do about it? Well, our so important for this country in the years goes up ln inflationary dollars and you are group, the Republicans in the House of Rep­ to come, lf we are going to put ourselves in put into a progressively higher tax bracket. resentatives, have just put together, we just the position where we are at least somewhat you pay more tax dollars and the government finished yesterday, the final work on what self-sufficient ln energy, if we are going to consequently collects more money. The esti­ we call our legislative agenda. Now this update the industrial plants of our nation so mate ls that this phenomenon will take $13 agenda is not what we are going to do this we can once again be competitive in the billion more from the American people in the year, but rather it's what we would do if we world markets, then it ls necessary for us to next fiscal year than it has in this one. Now, were a majority. And bear in mind that form capital at a rate higher than we are add onto that the $8 bllllon which has al­ every legislative body takes on the tinge now doing. One of the problems with inter­ ready been voted in social security tax in­ the hue of the majority. ' national trade, and I think the main prob­ creases and you're already up to $21 bllllon. It's true that the minority, in Congress, lem, is that the other nations of the world And lf the Carter energy program goes every now and then, can get together with are trading partners and are doing a better through with its various tax proposals, then some members of the majority and stop some job of capital formation than we are. There­ you're up to somewhere between $25 and $30 bad things. We were able to stop the common fore, they have more up-to-date industrial b1111on which the Federal government is go­ situs picketing bill. We were able to stop plants than we do and, consequently, they ing to take next year which 1.t didn't take the consumer protection agency, that great a.re more efficient than we are and their pr·od­ this year. Well, the talked about $15 bllllon big bloated bureau that was not needed by ucts, in many instances, are better than ours tax cut looks a little blt picayune when you anybody but was a part of the program in and in almost every instance, cheaper than compare it to those numbers. These are some this Administration and the majority of ours. The only way to stop that trend is to of the things that I think Americans have Congress. We've been able to stop some pretty increase capital formation. The Steiger to be looking at. bad things. I think the labor law reform amendment would cut the capital gains tax I'm not going to mention energy too much bill really is dead even though people keep back to where it was before it was raised a except to say that I don't think we are going trying to bring it back. And yet you know few Oongresses ago; back to 25 percent. to have an energy b1ll that will do the job. that for every vote that we win, we prob­ The Republican idea of an actual tax cut I'm afraid that what we're going to get ls ably lose 10 because the majority will have is, I think, important to all of us. It isn't something that's cosmetic, that looks like its say and be able to get its program just a hit or miss cut. We believe in the an energy program but really isn't. The only through when given enough time. So the Kemp-Roth formula which says that you real energy program that will make any sense really important thing for you to understand cut taxes 10 percent a year for the next 3 ls deregulation of natural gas. You know ls it's been too long since we've been able years. That's a total of 30 percent. Also the the majority in this Congress stlll has not yet to adopt a positive program to help the free cut would be across the board and that is been able to repeal the laws of supply and enterprise system prosper rather than simply important. The last tax cuts were concen­ demand. They are stlll here. hang on by its fingernails. trated on the lower income brackets. You Every economy can pretty well be measured What we really have to do, I believe, is know it has been sort of a popular idea to by the .amount of energy it consumes. Sure change the majority of Congress so the new help the poor. Well, I want to help the poor we waste a lot and we shouldn't. But to de­ majority can go to work with a legislative too, but what I mainly want to do is to help liberately attempt to cut down on the supply program that is pro-free enterprise. This them by raising the capital necessary to of energy ls going to cut down on the velocity would be a welcome change from just con­ provide more and better jobs for them. It and size of the economy and you are going to centrating our efforts on trying to stop legis- takes . spending of at lea.st $75,000 before be losln~ jobs instead of making them. So September 27, 1978 EXTENSIONS OF REMARKS 32099 what we need to do is to look at our domestic about it and give only to those situations penditure curve, instead of pointing up, is supply. We can·t keep relying on the .OPEC in which you have some fam111arity. leveled off, income and expenditures will meet nations. It's not because they don't have it, Now as far as equity capital versus bor­ out there somewhere in fiscal year 1983. Now, it's because of two things. One, they don't rowing capital, of course, that is what I had the important part of this is that we are really want any more dollars; they have all in mind when I was talking about capital going to do that with revenues that will equal the dollars they need in view of the dollar's formation. We've been in a situation in this 18.6 percent of the gross national product. devaluation. And two, we can't afford to buy country where we have not formed equity We're spending right now 19.8 percent, so it. capital at the rate that we should have. we are going to cut initially 1.2 percent. We have a $30 blllion deficit largely caused Therefore, to expand we haYe been depend­ The Democrats also seem to be thinking in by the fact that we have had to purch&se so ent on borrowed capital. I think that we terms of a balanced budget, and I say seem to much oil abroad. So we need to increase ini­ need to form equity capital at a greater rate because they really aren't very clear about it. tially the supply of domestic oil and natural so we can get a better ratio of equity to bor­ They propose balanced budget in fiscal 1985, gas. We need also to do a better job of using rowing capital. That's what I had in mind which is two years after we propose. Also, coal. I have to admit that I have some qualms when I talked about the Kemp-Roth bill and another difference is that they would bal­ about the coal conversion feature of the so­ the Steiger amendment. I think that those ance their budget at 25 percent of the gross called energy package. I felt better about it two items will have more effect on the in­ national product, instead of 18.6 percent. So before the coal strike but now when the gov­ crease of equity capital than anything else. your point is very well taken. ernment says you have to convert to coal, the In other words, if you can invest realizing Q. Congressman, in your concern, which answer is "what coal are you talking about?" that if your investment prospers you can we share, for productivity and efficiency many And sometimes the answer is not really ap­ sell it and make a profit without paying all of us find ourselves tied up in knots by the parent. Nevertheless, we can and should do a the money to Uncle Sam, you're quite likely flood of federal regulations. Could you ad­ better job using coal. Then, of course, there to invest. This will provide more risk capi­ dress the prospects for regulatory reform giv­ is oil shale. But the big demand, the big tal, which I think is what you're talking ing Congress more control over the imple­ thing, has to be fusion of the atom followed about. mentation of laws? by solar energy. Solar energy that would Foreign money-I think all of us are some­ A. Yes, I just mentioned legislative over­ come from satellites, earth satellites which what worried about how we are going to re­ sight. What we have in mind is the cutting we will someday build far, far out in space. cycle dollars which we have scattered around down on the number of agencies involved in If the space shuttle works, it is within the the world by our various deficits in the bal­ regulatory measures. I am also in favor, if it's technology ab111ty of this country to actually ance of payments. Of course, every time you constitutional and I hope we can make it so, build satellites which contain photovoltaic have a deficit in a balance of payments, it of having every regulation that any govern­ cells capable of transforming sunlight di­ means that there are that many more dol­ mental agency l?romulgates submitted to rectly into electric energy that can be sent to lars in the world than there were the year Congress on the basis that that if Congress earth by microwaves and then be distributed before. Somehow those dollars have to be doesn't do something about it in the nega­ over the existing power grids. I get excited repatriated and we'd like to repatriate them tive sort of way within 60 days, it will become about space and things like that. I used to be by having the people buy our goods. effective. But if Congress decides it doesn't on the Independent Offices Subcommittee of Q. Congressman, I have one question. I like the regulation, it can veto it and send the Appropriations Committee. In fact, I was have followed your comments about tax re­ it back to the regulatory body. I think it is on that subcommittee when we decided to duction and the investments of capital. necessary for Congress to do this. fund man's space flight. You know I'm Everybody is on the band wagon on tax re­ Q. Congressman Rhodes, my question re­ thought of as a conservative and I think of duction but nobody out campaigning is lates to the one just asked on regulations myself as a fiscal conservative, but I hope I talking about cutting the deficit in the but more specifically what effect does envi­ know a bargain when I see one and I saw one budget. What are we going to do in terms of ronmental regulation, and I think many of in man's space flight and I see a real bargain limiting the amount of money that we ap­ us agree over-regulations, have on our abil­ in this idea of solar satellites. This is some­ propriate? Inflation is bad, yet nobody is ity to compete in the international market? thing that we've got to be looking at in the coming up with any kind of a plan to reduce A. It h3.s a devastating effect. There is no almost immediate future, if we're going to be deficit budget so we don't have the doubt about it. We in this country have of­ able to provide the energy that we need on inflations. fered to clean up our air and water, and earth to take care of the expanding economy A. Good question and I apologize because that's fine. I think the determination to do and needs of our people. I stopped talking too soon. That would have this is laudatory and I suppor.t it. But the been the next topic. I know that you're abso­ timing is important because we have to un­ Well as usual, the lawyer in me wouldn't lutely right. It isn't enough to cut taxes. you derstand that we didn't get dirty overnight, let me stop as soon as I wanted, so now I'm have to balance the budget. If we don't we're and we're not going to get clean overnight. going to stop and if you have questions, I going to keep fueling inflation. I think the We need to work it gradually. We need to will certainly be glad to do my best to answer earlier statement that I made was that the work at it in a framework that can be sup­ them. main reason for inflation is governmental portive so that we don't end up with a pris­ Q. Thank you, Mr. Congressman. I have deficit. Okay, what do we do. The thing that tine atmosphere of unemployed people. I several questions and maybe that's more the Republicans want to do, and the Demo­ don't think . we deserve to end up in cold than my share but the first one I would like crats too, and I'll contrast the plans in a dark caves. That's not the American way of to mention is the problem of equity capital moment, is provide for cost containment and doing things. The point you make about versus borrowed capital and its effect on our review of the governmental agencies, doing competition is something that not enough industry. The second one deals with political our best to cut them down. people understand. The nations with whom fund raising activities; there isn't a day in In the legislative agenda I mentioned. we we trade are not as zealous about cleaning which I don't get letters from congressmen promise that the first session of the first up the atmosphere as we are. Therefore, we inviting me to make contributions. Isn't Republican Congress will be largely given to spend our capital on this and they spend there a way of getting this more efficiently legislative oversight. You know for years, the their capital on more production. Most of the done. Finally, how bad an effect does the in­ government has cre::l.ted agency after agency. capital we expend on cleaning up is a human flux of foreign money to banks and to indus­ Traditionally, if you have a new problem investment, which is important. We have try have on our national economy? come up, you just establish a new agency, to be very careful as to. the pace we follow. A. I hope you have lots of time. Let me you don't wa.lt to see if some other agency Q. Congressman, one more question with talk to you first about this political fund can handle it. So we've got them stacked up respect to regulatory reform. I think that raising. I know what you're talking about, like cord wood and what the Republicans most everybody here is in favor of a certain I sympathize with you and I agree with you want to do is look at each one of them, amount of regulation that reasonably inter­ 100 percent. I wish there was some way that decide if it's relevant, decide if it's necessary, prets the law and provides a guide. But the we could stop people from mailing this stuff decide if it's co.st effective and if it isn't, do process of public hearing is a one-way street. out in such great volumes but unfortunate­ away with it. If we create any more, and I I wonder if any serious consideration has ly, if they can afford the postage there is hope we don't, we're going to have a sunset been given to the requirement for a least just no way to do it. If I were you, I would feature so it self destructs in five or six years a represent::ltive of the industry being regu­ be very selective in my giving. My advice to if it isn't renewed in that period of time. Now lated to be a part of a team to write the people is first, you ought to give to the this will not save money, it will save harass­ regulations. candidates you know and approve, that's ment. We recognize the fact that business, A. Of course every regulation is supposed the first priority. Also, I think, the political professions, just ordinary people, have been to be published in the Federal Register. The party of your state. Next, I would suggest harassed by the Federal government to the reason we require that 1s so the people regu­ the National Committee. Naturally, I've got extent that it is almost unbearable. I believe lated can have something to say or some op­ my own favorite party but if its not yours, that it is caused by this plethora of agencies. portunity to be heard on the regulation. But give to your party. Then after that I would We can, and we must, balance the budget. quite often that's about all it ls, just an op­ be very, very choosey about the rest because We think the Laffer curve will work. We portunity to be heard, then the agency goes you do get a lot of requests and some of think, in other words, that by cutting taxes ahead and does what it wanted to do any­ them come from people with huge computers at the proper time, and we think this is the way. And that's the reason that I think it an:l mailing lists who profit from their efforts proper time, the dollar revenue will go up in ls important that Congress has some ability much more than the person whose na.Ille is a healthy way and cause an increase in the to veto the regulation when convinced that being used. So I would just be very careful velocity of the economy. In 1983, if the ex- that regulation is not benign but is destruc- 32100 EXTENSIONS OF REMARKS September 27, 1978 tive. This I think is the part that will be trates the taxpayers of Maine, is that other amenities; that the return to the in­ handled by the plan which I just outlined. HUD, at the Cotton Mill complex alone, vestors is no more than 6 percent. Thank you very much for allowing m-e to could be spending up to $375 per month Then what, we might ask in frustration, be here today.e has so shattered the rightness of things that on the subsidy for each apartment. On the workingman must labor for the $200 an annual basis, this could mean almost monthly rent he pays, all in addition to th& $190,000 in subsidies for Cotton Mill. To tax he is assessed, in order that less af­ the hard-working citizen of Maine, this fluent neighbors may live at a $528 a month HUD RIPOFF? is an unexcusable expenditure of their level? It is the contradictions, anomalies tax money. and abuses such as these in government that led to Proposition 13's success. If rents are HON. DAVID F. EMERY Mr. Speaker, the people of Maine are to be subsidized must they be subsidized so OF MAINE a friendly, down-to-earth people. They grandly? New construction, which is essen­ IN THE HOUSE OF REPRESENTATIVES do not begrudge the elderly for their tially what Cotton Mlll will be, is not neces­ housing needs. Nor do they object to the sary fer clean and comfortable housing. In Wednesday, September 27, 1978 Federal Government's attempt to assist California the sullen taxpayer found he could • Mr. EMERY. Mr. Speaker, the work those who need help. But the people of not decide how his money was to be spent of the Department of Housing and Urban Maine are a practical people and when and decided to cast a vote for not spending they see the Federal Government sub­ it at all. Development is quite often commend­ Government has changed from a deliverer able. Housing shortages, especially for sidizing apartments for the low-income of services to an instrument for reordering low-income elderly and the handicapped, at $500 per month with impunity, when society. Helping a neighbor is part of the are being alleviated by HUD's approach the average, hard-working man in Maine dues we gladly pay for our humanity, but to housing construction, rehabilitation, must scrape to pay $200 per month in when such a human impulse makes Cotton and housing assistance. Many of their rents or $350 per month in mortgage Mill apartments possible then something was programs deserve our continued sup­ payments, they become very frustrated clearly lost in the translation. and very bitter. I believe, in the case of port. Giroux & Perry Agency, In the State of Maine, there are com­ cotton Mill, their frustrations are Augusta, Maine, September 20, 1978. munities where the shortage of hous­ justified. To the Editor: ing is as critical as anywhere in the In conclusion, I would like to share I have just finished reading "The Cotton country. To date, HUD has been a great two articles with my colleagues. One is Mill" editorial. I don't know who the honors help in providing needed assistance. an editorial which appeared in the Ken­ go to, but he or she did a super job of ex­ However, I believe HUD is about to go nebec Journal and the other is a letter pressing what the general public feels . . . I received from one of my constituents. frustration ... overboard with one particular housing The reaction and comments of everyone project in Maine. I am referring to the [From the Kennebec Journal, Sept. 20, 1978) I've talked to think, it is absurd that low Cotton Mill apartment project in Hallo­ THE COTTON MILL income apartments should be renting for well, Maine. Perhaps Sen. Proxmire will consider the $528/ mo. I wish I could sell investment real Hallowell "Cotton Mill" apartments a can­ estate, with projected income of that ca.U­ The Cotton Mill apartments will even­ didate for his monthly Golden Fleece award. ber-I'd be able to buy my own politicians. tually evolve from the now abandoned He bestows these in shining instances of We see the poor middle income class dally, shoe factory on Hallowell's Water Street. taxpayer ripoff, always---vernment HON. MARIO BIAGGI the federal budget this aid has more than and the general management procedure. We OF NEW YORK doubled in the last two decades, so it is not should standardize application forms, pro­ vide clearer regulations, use uniform re­ IN THE HOUSE OF REPRESENTATIVES surprising that state and local governments have come to be highly dependent on it. quirements and rely more on state and local Wednesday, September 27, 1978 Federal aid is now a more important source auditors. Finally, Congress needs to increase its • Mr. BIAGGI. Mr. Speaker, as chair­ of revenue to them than are their long-stand­ ing taxes on sales and property. The number own involvement in federal aid programs. man and founder of the Ad Hoc Con­ of governmental units receiving federal aid The programs must be better designed in gressional Committee for Irish Affairs has also risen significantly. Where once only the initial legislation. In addition, the enact­ I wish to take note of our first anniver­ the states and a few urban areas were bene­ ment of "sunset" provisions would insure sary. I am especially pleased to note that ficiaries, today an local governments, almost that the programs were monitored more ef­ the committee has acquired 3 more all school districts, some 2,000 sub-regional fectively. bodies and many special authorities get fed­ Much more thought must be given to the members bringing our 1 year total to 114. issue of the appropriate role for each level During our first year, we have encoun­ eral money. The reach of federal aid is sweep­ ing, extending into virtually every activity of government in the federal aid system. tered our share of controversy-but we of state and local governments and many pri­ This is really the basic issue. What we ulti­ have not yielded in our objectives to vate groups as well. Some of these activities, mately decide will determine how the fed­ advance a more constructive U.S. role traditionally considered to be wholly the re­ eral aid progra>n.s are t::> bP, handled. in bringing peace and justice to Ireland. sponsibility of state and local officials, are (The material for this newsletter was drawn from an assessment of federal aid of We begin our second year with a sense now run hand-in-hand with the federal government. the Advisory Commission on Intergovern­ of optimism about the ad hoc committee mental Relations.) A 1976 count of federal aid initiatives in­ e making a significant contribution to the cluded one major revenue sharing program, cause of peace in Ireland. We base this five block grant programs and 442 categorical on the increasing support we are receiv­ grant programs. Revenue sharing is a pro­ ing from Ireland and the Irish American gram in which funds are channeled to gen­ PERSONAL EXPLANATION community for a proposed peace forum eral purpose governments with few or no re­ which we have been asked to sponsor. I strictions on how the money will be spent. hope to provide my colleagues with some Block grants are distributed to state and local HON. LARRY MrDONALD more specific information on this pro­ governments by formula with the recipient OF GEORGIA posal in the near future. free to use the funds in a broad area accord­ IN THE HOUSE OF REPRESENTATIVES ing to its own priorities. Categorical grants, It is somewhat inappropriate to call the oldest and most prevalent form of fed­ Wednesday, September 27, 1978 today a celebration. We the members eral aid, account for about three-quarters of of the ad hoc committee cannot and all federal assistance and can be used only in •Mr. McDONALD. Mr. Speaker, on will not be satisfied until peace and re­ narrow areas. These grants are distributed Tuesday, September 26, 1978, I was un­ spect for human rights comes to North­ by formula, are used for special projects or avoidably absent and missed certain ern Ireland. We remain profoundly con­ are offered on an open-ended basis. votes. I requested to be paired on each cerned about the appealing violations of Although the trend is not apparent in a vote missed, but did not receive a live human rights occurring especially in simple breakdown of programs by number pair on each vote. Therefore, I would like and kind, the federal aid system is changing. to explain how I would have voted if I prisons under British control. We remain The newer revenue sharing and block grant totally astonished at the absolute silence programs are intended to give more dis­ had been present. of the administration about the human cretion to state and local officials and return "Yes" on rollcall No. 832. Passage of rights situation in Ireland which has power to state and local levels. The dollar S. 274, prohibition of union organization already been the subject of reports by figures show that these aims are being met in the Armed Forces. the European Commission and Court of and that local duties in particular have been * "No" on rollcall No. 833. Passage of widened. In 1976 30 percent of all federal aid H.R. 9333, hydroelectric powerplants Human Rights, Amnesty International, went directly to localities. The remaining 70 authorizations. and the Association for Legal Justice. percent flowed to states, but 30 percent of We hope the administration will change • "No" on rollcall No. 834. Passage of this sum was passed through to local govern­ H.R. 12728, Susan B. Anthony Dollar its policies in this area as soon as ments. 1978. possible. Increased local control is a welcome Coin Act of • "No" on rollcall No. 835. Passage of The situation in Ireland demands con­ change, but much more will have to be done to make the federal aid system work better. S. 2727, Amateur Sports Act of 1978. tinued attention in the pursuit of To begin, the system is too fragmented. Many • "Yes" on rollcall No. 837. An amend­ resolution. We renew our complete con­ of the categorical grant pro ~rams meet simi­ ment to H.R. 12005 prohibiting the use demnation of violence no matter if lar needs-23 are for pollution control, 36 of funds to bring action to require di- pe~p.etrated by the IRA, the UDA, the for social services and 78 for education. It is Br1t1sh Army, or the Royal Ulster Con- also too restrictive. A community that wants • Live pair received. September 27, 1978 EXTENSIONS OF REMARKS 32103 rectly or indirectly the busing of students in 1950-70 and much faster than potential rise. Then, as a result, production of that to a school other than the school near­ output of goods and services. product will be increased to eliminate the Lagging productivity.-Private output rose shortage and thus reduce inflationary pres­ est the student's home. only 1.7 percent a year for every man-hour sure. In a controlled economy, there are no • "No" on rollcall No. 838. Passage of worked during 1970-77, compared with 2.8 such price signals, so that shortages which H.J. Res. 1139, continuing appropria­ percent in 1950-70. hamper production become more frequent. tions, fiscal 1979. Bigger raises.-Workers' hourly pay jumped The shortages often lead to the devel­ "No" on rollcall No. 839. Passage of more than 8 percent a year on average in opment of black markets where people pay conference report to H.R. 13125, agri­ 1970-77, faster than the 5.5 percent annually exorbitant prices for things they want or culture appropriations.• in 1950-70. need. Higher costs.-Sluggish productivity and Controls only affect domestic prices. If more pay sent labor cost of goods up 6.2 these prices are held below the prices avail­ ·percent a year in 1970-77, from 2.6 percent able in world markets, U.S. producers will be in 1950-70 years. encouraged to export more, and this can lead INFLATION Expensive oil.-U.S.-produced crude oil to inflationary shortages here at home. A now costs more than twice what it did in government economist recalls that, when HON. CHARLES E. GRASSLEY 1973; price of Saudi Arabian oil is nearly prices were controlled in 1971-73, fertilizer five times what it was. prices abroad climbed to about three or four OF IOWA times their domestic levels. The result was a IN THE HOUSE OF REPRESENTATIVES As we all know the value of the dollar sharp increase in fertilizer exports and de­ has been eaten up by inflation. For ex­ mands for export quotas. Wednesday, September 27, 1978 ample, today's dollar is worth little more Controls are inherently unfair. They tend e Mr. GRASSLEY. Mr. Speaker, I would than half the value of the dollar an in­ to freeze price and wage relationships as they like to call to the attention of my col­ dividual earned just 10 years ago and exist, at one moment in time, preventing ad­ justments that are necessary as circum­ leagues a special section on inflation in only one-fifth of that of 1939. stances change. In a free economy, someone the October 2, 1978, edition of U.S. News WHAT INFLATION HAS DONE TO THE DOLLAR is always ahead and someone else is always & World Report. This article provides a Dollar's value in terms of what it will buy: trying to catch up. The only way to deal with concise and quite revealing look at in­ these inequities is to create a large bureauc­ Cents flation-what it has done to the pur­ 1939 ______100.0 racy to rule on applications from businesses chasing power of the dollar and what 1946______71. 1 and workers for exceptions from the controls. we can expect in the years to come. 1947 ______62.2 Controls only delay inflation. Some econo­ For example, it shows that for the av­ 1948 ______57.7 mists argue that controls helped hold prices 1949 ______58. 3 down in late 1971 and in 1972. But as con­ erage married worker with two children 1950 ______57. 7 trols were lifted, prices shot up 8.8 percent his real take-home pay in 1967 dollars 1951 ______53. 5 in 1973 and 12.2 percent in 1974. Some ex­ has increased from $4, 725 in 1967 to 1952 ______52.3 perts even say the inflation in those years $4,871 in 1978. At the same time the an­ 1953 ______51.9 was worse than it would have been, because nual pay for this same worker was in­ 1954 ______51.7 the controls led to shortages. creasing from $5,296 in 1967 to $10,838 1955 ______51 . 9 Controls deal only with symptoms, not the causes of inflation. Inflation, basically, re­ in 1978. Quite a difference I would say. 1956------51. 1 Following are three cases where indi­ 1957 ______49.4 quires an increase in the supply of money 1958 ______48.0 that exceeds the supply of goods and serv­ viduals have actually lost buying power 1959 ______47.6 ices. So long as this condition persists, in­ in the last 5 years. 1960 ______46.9 flationary pressures will increase and even­ A Retired Person: Per Month 1961 ______46.4 tually explode in higher prices and wages. January, 1973-$300 private pension, 1962 ______45.9 plus Social Security benefits ______$470. 00 1963 ______45.4 Mr. Speaker, this article provides some September, 1978-Pension, plus Ln- 1964 ______44.8 valuable insight into what inflation is creased Social Security benefits___ 545. 30 1965 ______44.0 doing to our country and provides some Buying power of today's income in 1966 ______42.8 possible ways we as Americans can at­ January, 1973, dollars, after ad- justing for infiation______354. 09 1967 ______41.6 tack this problem. I urge my colleagues to look at this article carefully.• Loss in buying power (25 percent)__ 115. 91 1968------1969 ______39.937.9 Buyer of U.S. Savings Bond: Paid for bond in January, 1973______75. 00 1970------35.8 Interest to date______25. 20 1971 ______34.3 Cash value now______100. 20 1972 ______33.2 CONGRESS AND GOVERNMENT 1973 ______31.3 Buying power in January, 1973, dol- 1974 ______28.2 lars, after adjusting for inflation_ 65. 06 Loss in buying power (3 percent)___ 9. 94 1975 ______25.8 HON. NEWTON I. STEERS, JR. 1976 ______24.4 OF MARYLAND Average Private Worker: 1977 ______22.9 (nonfarm, head of family of four) Per Week IN THE HOUSE OF REPRESENTATIVES After-tax pay in 1973 ______$127.41 1978 (July)------21.2 After-tax pay in July, 1978______184. 25 Wednesday, September 27, 1978 Buying power in 1973 dollars, after It is my understanding that there has • Mr. STEERS. Mr. Speaker, the Mem­ adjusting for inflation______124. 66 been some discussion of the possibility of bers of this body must face many na­ Loss in buying power (2 percent)___ 2. 75 imposing wage and price controls. Fol­ tional problems each day; including in­ lowing is an excerpt from the article out­ flation, unemployment, saving our en­ In 1970 the Federal spending was lining why the experts oppose controls $196.6 billion with a deficit of $2.8 bil­ and I agree with their reasons whole vironment, and a wide spectrum of very lion. In 1978 the official estimates for serious national concerns. One of the the spending is $452.3 billion with a heartedly. greatest problems I have found is a great deficit of $51.1 billion. Just during this WHY EXPERTS OPPOSE CONTROLS skepticism of the Congress and Govern­ time period we have added over $289 Almost all economists say that compulsory ment in general. wage and price controls are not the answer billion to the Federal debt. Astounding to inflation, even though public-opinion Last year's pay raise, and the lack of to say the least. polls show that a majority of people think a vote on the specific question of the Following are six economic indicators they will do the trick. Members' raise reinforced the belief of which indicate the forces behind the The opposition to controls is shared by many Americans that the Congress is inflation in the United States. conservative economists, who generally op­ unwilling to debate and vote on matters FEEDING THE PRICE RISE pose any government meddling in the econ­ that will directly benefit Congressmen. omy, and liberals, who usually prefer a gov­ The passaige last week of H.R. 14125 is Six economic indicators that show major ernment that takes an active role in manag­ forces behind U.S. inflation: an example of such an act. Without ing it. hearings in committee or even a word Red ink.-The federal budget has piled Why a.re these authorities so opposed to up 289 billion in deficits so far in the 1970s, controls? Here a.re the reasons most often of debate, this measure providing certain with more to come. cited: insurance benefits to Members was Lots of money.-Checking accounts and Controls distort the normal allocation of passed. currency expanded 6.1 percent per year in resources. Whenever goods are in short sup­ In light of the fact that no notice was 1970-77, up from an average of 3.2 percent ply in a free-market economy, prices should given to Members prior to the "consider- 32104 EXTENSIONS OF REMARKS September 27, 1978 ation" (or nonconsideration) of this bill, "We were looking for a guy here in the north­ in the other cities do the work and forward I would like to, at this point, express my ern Virginia area," one veteran agent says. copies of their reports to the office of origin. disagreement with the manner in which "You say, well, look for old what's-his-name Under the new rules, the , auxiliary offices who was running with him. But nobody re­ don't even keep an index card referring to it was passed. I would suggest to my col­ members old what's-his-name's name, and the work they have done. (In the case of leagues that actions such as the passage the file's gone." the Detroit extortionist, an agent happened of H.R. 14125 will only serve to strength­ Destruction of records is only one of sev­ to remember which office of origin had the en the cynical attitude that Americans eral blows that law-enforcement officials file, and eventually retrieved it; in two more have toward their Congress.• complain of in connection with FOIPA. What years, however, even this file would have distinguishes records destruction is that it been destroyed.) has been hushed up. On other fronts, the The file-destruction policy exempts files FBI has openly complained that scores of of particular historical interest, flies in­ LAW ENFORCEMENT IMPEDED BY agents (mostly law-school graduates) and volved in litigation where there is particular FEDERAL FREEDOM OF INFOR­ hundreds of support employees are being tied reason to believe the case will become ac­ up dealing with requests for information tive again. For example, the bureau says, MATION AND PRIVACY ACTS when they are badly needed in the field to nobody is burning any files in the Jimmy fight crime. The FBI says the cost is $9.2 Hoffa case. HON. ELDON RUDD million a year-money that also is badly Agents concede that the bureau has files needed elsewhere. it doesn't need, such as cases started on tips OF ARIZONA Moreover, the FBI says, confidential in­ that turned out to be baseless. But they con­ IN THE HOUSE OF REPRESENTATIVES formants have been clamming up because of tend that hundreds of thousands of files with solid information are being destroyed Wednesday, September 27, 1978 fear that their identities will be revealed by the disclosures. Since wiretapping and bug­ under the new policy. • Mr. RUDD. Mr. Speaker, an excellent ging were greatly restricted by a 1968 law, One agent, a specialist in Mafia prose­ news article concerning the adverse ef­ such informants have become the FBI's sole cutions, notes that Anthony Provenzano, the effective weapon in many organized-crimp Mafioso Teamster official, only this summer fect of the Federal Freedom of Informa­ was convicted of a committed 17 tion and Privacy Acts on law enforce­ cases. CONGRESS IN THE ACT years ago. The conviction came about when ment efforts was published today by the new evidence surfaced during the FBI's in­ Wall Street Journal. Congress may have to deal with these vestigation of the Hoffa case and was pieced The Journal article by reporter Jona­ issues this fall because of growing pressure together with other crucial items from the from various law-enforcement agencies for moldering file on the unsolved murder. "The than Kwitny correctly analyzes the seri­ some sort of revision of the two acts. Both ous problems created by these statutes­ Provenzano case absolutely couldn't have acts were passed over President Ford's veto been prosecuted if the files had been de­ particularly in farcing the destruction of in the post-Watergate concern about the stroyed, because of the value of the evidence vital files containing raw data collected secret political misuse of law enforcement. developed in the 1960s," the agent says. during investigations of the Federal Bu­ Many FBI agents and other critics of the "Often you find the information you need reau of Investigation and other law en­ two laws say they agree with the general in­ where it's least suspected and where it's forcement agencies. tent of Congress, but they also say that the been for quite a. time." It is important for Congress to remedy sweeping language of the laws has invited Mr. Awe, the bureau's official spokesman, these problems by passage of legislation widespread abuse. says that summaries of all significant in­ to exempt certain classes of law enforce­ The Freedom of Information Act-origi­ formation in FBI files are preserved in a cen­ nally passed in 1966 but drastically changed tral file at bureau headquarters in Washing­ ment investigative files from public dis­ in 1975-was designed to open all govern­ tcn. Agents, however, say that only a small closure. To this end, the Wall Street ment documents for public inspection unless part of the information in a field-office file Journal has performed a valuable public there was a good reason to keep them secret. winds up in the central file. Moreover, the service by reporting the nature and ex­ The Privacy Act was designed to allow indi­ FBI has asked the archivist of the U.S., tent of the problems created by these viduals to see any files the government kept James B. Rhoades, for permission to destroy Federal laws. on them, supposedly so they could challenge even the central files in criminal cases after I would like to include the Journal ar­ inaccuracies and eliminate material of a they are 10 years old. Mr. Rhoades approved ticle at this point in the RECORD: purely personal nature. the destruction of the field-office files be­ Officially, the FBI hasn't taken a stand on cause, he says, agencies usually know best [From the \Va.11 Street Journal, Sept. 27, what it wants Congress to do about the two about their own files; but now he is with­ 1978) acts. But the bureau has been cooperating holding approval of the request to destroy FBI AGENTS RAP POLICY OF BURNING FILES, with the General Accounting Office on a central-office files and is seeking advice from LINK IT TO PUBLIC ACCESS ACTS study clearly designed to show that the acts Con~ress. (By Jonaithan Kwitny) interfere with law enforcement. "My per­ AVOIDING EMBARRASSMENT? The extortion letter looked familiar to De­ sonal feeling is that there has been (such Mr. Awe says the destruction of aging troit FBI agents when it was brought to their interference)," says John Ols, assistant di­ records was experimented with in some office earlier this year by a frightened citizen. rector of the GAO, "but our finding is that it offices late in 1974 and so couldn't have been As an agent relates the incident, the style of has been very difficult to document. And linked to FOIPA. But many agents disagree. the letter was that of a man who had been that is what we set out to do." The GAO is "I don't give a damn what the bureau says," investigated because of a similar threat three to report its findings to the Senate Judiciary asserts one agent who reluctantly helped years ago. Committee early next month. in the destruction. "Those files were des­ Until recently, agents could have pulled the GOOD BUSINESS MANAGEMENT troyed for one specific reason: They had to suspect's file, done a quick check and perhaps The report won't cover problems created cough them up. It had been thoroughly protected the frightened citizen. This year, by records destruction, however, because the embarrassing to that point and promised to however, they couldn't. The file, like hun­ FBl's official position is that the destruction get even more embarrassing." As an example, dreds of thousands of other FBI files, had has nothing to do with FOIPA. "It's just he cites a disclosure under FOIPA of mate­ been destroyed under a policy that is re­ good business management principles," says rial about an alleged and previously unpub­ ducing more than half the bureau's files to James Awe, section chief of the bureau's licized romance between Eleanor Roosevelt ashes. records management division in Washing­ and a mm tary officer. The bureau says it has to destroy the files ton. "The really hypocritical thing about the because it is running out of room to store whole situation is that although we had them. But many veteran agents say that the The destruction policy started in April 1976, when the bureau told its field offices this stuff in our files, we weren't releasing records are being destroyed becam:e of the it to anybody-and I have seen some really federal Freedom of Jnformation and Privacy to eliminate records of cases that had been closed more than 10 years. In October 1977, scurrilous stuff come out of these investi­ acts, generally referred to together as gations," the agent says. FOIPA. The acts have produced a deluge of the period was reduced to five years. And that represented just a small part of the de­ A colleague of his adds, "On balance, I requests from the public to see the files. would rather see a little bit of embarrass­ "I think we've all assumed a cause-and­ struction; it applied only to files in the so· called office of origin, the main FBI field ment for the administrators than handicap effect relationship" between the acts and the the whole investigative effort. This destroy­ destruction of the files, one agent says. "I office involved in each case. Files in so-called auxiliary offices often ing of records after six months is a terrible don't think they (FBI officials) ever said mistake." He says that the records of a crim­ that, but anybody who knows anything about contain as much information as the files in the office of origin, and these auxiliary files inal whose name has frequently been in the act (FOIPA) has got to come to that are being burned after only six months. The the news are being destroyed under the new conclusion." auxiliary files exist because, as a rule, agents policy befo:·e the criminal has finished serv­ JOGGING MEMORIES don't travel on their cases; if questioning ing his current jail term. Whatever the motives, many agents say the or other work needs to be done in other Beyond the controversy over whether files file burning could impede law enforcement. cities, as frequently happens, the field offices are being destroyed to avoid embarrassment, September 27, 1978 EXTENSIONS OF REMARKS 32105 everyone involved agrees that the burden "Often the people doing the processing severely strained labor-management re­ of looking through files whenever someone aren't even aware that it's informant infor­ lations during the past 10 years. These sends a request is enormous. Mr. Awe and mation," says another agent. One field offi­ improvements in the legislation will help other FBI spokesmen note that prior to re­ cial confides that he disobeys instructions make airline employees more secure as lease, every file has to be 1;;xamined page by from headquarters in some instances to deregulation proceeds. page by senior clerical employes under the keep information from being destroyed or The goal of H.R. 12611 is to provide supervision of FBI agents with law degrees. disclosed. Agents in another office say they Many kinds of information are supposed to keep what they call "hip-pocket sources," lower fares and better service to consum­ be deleted from the documents before dis­ whose identities are never recorded, against ers without sacrificing the high degree closure, including material that might iden­ bureau regulations. of safety we have come to expect in air tify confidential informants, violate the The FBI has compiled a list of examples travel. This bill takes ·a necessarily cau­ privacy of third parties or disclose law­ of past informants who won't talk now be­ tious approach which will give the indus­ enforcement techniques. cause of the danger of disclosure under try time to adjust to changes and allow FOIPA. A spokesman says that more than DEADLINE FOR REPLIES 20 local or state police agencies have written us to deal more effectively with any nega­ The law says that information requests "indicating that their intelligence units are tive results which may arise. must be answered within 10 days. But about fearful that furnishing information to us I endorse this approach, and I am 19,000 requests a year have been pouring in. may jeopardize their own sources." He cites hopeful that the next few years will fully The FBI's original FOIPA stat: of 140 per­ Los Angeles, Milwaukee and Phoenix police. demonstrate the benefits of deregulation sons fell 12 or 13 months behind in its Earlier this year, the bureau says, a federal to all Americans.• processing by 1976, and Congress demanded judge declined to provide information about faster action. a candidate for another federal judgeship That demand resulted in the FBI's "Proj­ because he said he feared his derogatory re­ CONGRESSMAN JOHN W. WYDLER ect Onslaught," in which 300 field agents marks would come back to him through from around the country were brought to INAUGURATES LOCAL GOVERN­ FOIPA. MENT Washington for several months to attack Even civil-liberties lawyers who support AWARD the backlog. With some 650 persons work­ FOIPA tend to oppose the file destruction, ing full time, the bureau whittled down the arguing that citizens whose rights have been HON. JOHN W. WYDLER backlog ot 30 days by the end of last year. violated may need the files to pre:;s suit Then a judge ordered the release of the against the government. Lawyers for the OF NEW YORK Julius and Ethel Rosenberg file-400,000 American Civil Liberties Union say they fa­ IN THE HOUSE OF REPRESENTATIVES pages. A special team has been assigned to vor sealing old records so that only a judge Wednesday, September 27, 1978 clear 40,000 of these pages .a month. Mean­ can unseal them after a court hearing. while, the FBI says, the rest of the backlog Whatever the solution, confusion and con­ • Mr. WYDLER. Mr. Speaker, few in­ has lengthened to between 90 and 120 days. troversy have surrounded the bureau's de­ stitutions of America have played as The FBI says that no more than 1 % or struction policy. An agent in the Northeast great a role in the shaping of our nation­ 2 % of the requests for information are from notes recent bure::i.u instructions to make journalists or historians, who were expected more use of the Racketeering in Interstate al character and in the protection of our to be the chief beneficiaries of the Freedom Commerce, or RICO law. RICO, designed constitutional rights as the many and of Information Act. About 40% of the re­ to combat Mafia-type crime, provides heav­ varied organizations of local government. quests come from citizens who want to know ier penalties for violators who have estab­ For our Pilgrim Fathers, it was the New if the FBI has a file on them but on whom lished a pattern of racketeering activity. To England town meeting. In Virginia, it no FBI file exists. Many thousands of other invoke the law, the FBI must offer proof of was before the local House of Burgesses requests come from prison inmates pur­ prior acts consistent with the specific crimi­ that Patrick Henry rose to utter his chal­ portedly looking for grounds for appeal. nal act being charged. "The RICO statute lenge, "Give me liberty, or give me Skeptical a.gents, however, suspect the pris­ says go back 10 years, and the files are de­ oners often are trying either to find out who stroyed after five years," the agent com­ death." informed on them or to kill time by har­ plains. "You figure it out.''e Today, more than ever in our history, assing the FBI. as we realize that big government is not REQUESTS FROM MAFIA? always good government, it is important The bureau also says it has reliable evi­ AIR SERVICE IMPROVEMENT ACT that we pause and pay homage to those dence that the Mafia in at least one major who serve in our home communities. city has instructed all its members to write Back in New York, in Nassau County, requesting their files. "The sole purpose of HON. WILLIAM LEHMAN we have a multitude of active and con­ this process is to attempt to identify inform­ OF FLORIDA cerned local public officials. In county ants," an FBI spokesman says. He adds IN THE HOUSE OF REPRESENTATIVES government, in the towns and villages, that if a crook can glean even a hint that he Wednesday, September 27, 1978 and in special districts, we can speak is under investigation at a particular time, with some pride of the achievements at­ he can become much more circumspect un­ • Mr. LEHMAN. Mr. Speaker, after some til the heat's off. tained over the years which have im­ Another problem is that plaintiff lawyers initial misgivings about airline deregu­ proved the quality of life in our part of often want to use the FBI as a cheap investi­ lation, I decided to vote in favor of H.R. Long Island. gative service. Agents tell of a recent homi­ 12611, the Air Service Improvement Act That is why I am establishing an an­ cide case on the high seas. Shipping execu­ of 1978. nual local government award for our tives told the FBI that they had previously I was concerned that our air transport fabulous Fifth Congressional District. In been aware that the suspect was mentally system would be destabilized and that unstable. Learning this under FOIPA, a law­ some small way, it will allow a certain yer for the victim's heirs has greatly en­ jobs would be threatened in the ensuing strong recognition at the Federal level hanced his damage suit against the shipping upheaval. Our experience, however, with of what is being done in the units of company. Agents fear such episodes will im­ the recently relaxed regulation of the government closest to the individual cit­ peril future investigations. One agent says CAB has demonstrated that competition izen. witnesses now "are thinking not in terms of can increase rather than decrease profits With no small pride, I will be present­ telling simply what happened, they are and expand rather than limit job oppor­ ing the first annual Fifth Congressional thinking of, God, if I say the wrong thing. tunities. I am encouraged by the current District Local Government Award to the company's negligent." well-being of the industry and of its Mayor Nicholas Farina of Cedarhurst, Many agents say that because of FOIPA, workers. I believe that the gradual de­ N.Y., who will be honored on October 17, they can't any longer in good faith guaran­ regulation bill which overwhelmingly" tee anonymity to a source. "I can say that 1978, as outgoing president of the Nassau we'll do whatever we can. and that's usually passed the House last week will allow County Village Officials Association. pretty substantial, but I can't guarantee it," for a stable transition into the world "Nick" Farina has distinguished him­ says an agent who has handled some of the of free competition. self, not only as head of a group repre­ bureau's most publicized cases. He adds, I took special note of the fact that the senting 500,000 residents in 64 different "You're assuming a !ack of intelligence on bill contained a provision to insure that villages but also on a more local, more the part of the applicant who gets the rec­ airline employees will be protected by intimate level. As mayor of the Village of ords that he won't be able to piece together who the source is. You're relying on the peo­ fair and equitable arrangements if they Cedarhurst, as an educator for some four ple who review the records (in Washington) . should suffer under this legislation. I also decades, and as an individual who has and you just don't know how careful that voted in favor of the amendment termi­ participated in almost every civic, char­ guy is going to be." nating the mutual aid pact which has itable, sports, and service group in the 32~06 EXTENSIONS OF REMARKS September 27, 1978 .five towns area in his time here, it is it can "compliment anct advance" the work Argentina, Brazil, El Salvador and Guate­ more than fitting that Mayor Farina of Nicaraguan "solidarity committees" in mala because "human rights" were violated Panama, Mexico, Honduras, Costa Rica, "etc." during anti-terrorist camp~igns. should receive this award. The "etc." doubtless also includes Cuba, He is a good man and, I am proud to which since the early 1960s has openly pro­ THE REDS ATTACK STRATEGIC NICARAGUA SEEK­ saY,, a good friend. He and his wife, Kitty, claimed its support for a revolutionary ter­ ING TO DESTROY PRESIDENT SOMOZA anct their family are most representa­ rorist movement, the Frente Sandinista de (By John Rees) tive of what we here in Washington work Liberacion Nacional (FSLN), the Sandinist Since February 1976, Congress has been the hard to preserve in the best sense of National Liberation Front named for a Nica­ focus of a massive and concentrated lobby­ the American dream.• raguan general, Augusto Sandino, whose ing and 'media campaign designed to de­ guerrilla campaign (1927-33) against the U.S. stroy the Government of Nicaraguan Presi­ military. presence in Nicaragua made him a dent Anastasio Somoza. This campaign, hero to the Comintern as well as present day directed against a longstanding ally and NICARAGUA Castroites proven friend of the United States in the A Nicaraguan Marxist trained at Moscow's strategically vital area of Central America, Friendship University named Carlos Fonseca shows every sign of being coordinated with HON. LARRY McDONALD Amador, with assistance from the Soviet am­ terrorist and slander operations run from bassador in Nicaragua, recruited the found­ OF GEORGIA Moscow and Havana. ing members of the FSLN in the late 1950s The attack on our Nicaraguan ally was IN THE HOUSE OF REPRESENTATIVES and early 1960s. The initial FSLN recruits. launched in this country by the North Amer­ Monday, September 25, 1978 as well as many of those since, received ex­ ican Congress on Latin America (N.A.C.L.A.), tensive training in terrorism in Cuba. an organization of Castroite activists and • Mr. McDONALD. Mr. Speaker, under Fonseca and his FSLN comrades waged a academics with undeniable ties to Cuba's provisions of the special order obtained desultory rural and urban terrorist cam­ secret police, the K.G.B.-dominated D.G.I., by the gentleman from New York (Mr. paign during the 1960s and 1970s. The FSLN which has performed extensive research and MURPHY) on September 21, 1978, I wish sharply increased its activities following analysis of Nicaragua's economic, political, a highly publicized December 1974 raid on and social systems with a view to finding the to revise and extend my remarks on a holiday party attended by leading Nicara­ Nicaragua by including in the RECORD as most vulnerable pressure points in each. The guans and foreign dignitaries. The FSLN attack by the NACLA was followed shortly appendices to my statement, the follow­ terrorists, a number of their jailed comrades by shots from assorted "Liberal" human­ ing three items: and a million dollar cash ransom were flown rights activists whose concerns in this case "Non-Intervention in Nicaragua," a to Havana. lie with protecting the "right" of Marxist report from the Information Digest of As the FSLN heightened its activities, the terrorists systematically to impose a Mos­ June 17, 1977 (appendix D. North American Congress on Latin America cow-oriented dictatorship on this friendly early in 1976 devoted considerable space to Free World country. "The Reds Attack Strategic Nicaragua attacks on Nicaragua and its President whose Seeking To Destroy President Somoza," Leading the attack on Nicaragua in Wash­ family has controlled the country since the ington has been Congressman Edward Koch, an article by John Rees appearing in the 1930s. The terrorist campaign received ioeri­ the professional bleeding heart who serves as Review of the News on September 14, ous setbacks in the fall of 1976 when Fon­ the Democratic Representative from New 1977 (appendix II). seca and other FSLN leaders were killed in York's "silk stocking district" and who is so "The Plot To Destabilize Nicaragua," confrontations with the Nicaraguan national far to the Left that two years ago he was an article by John Rees appearing in the guard. persuaded by the (Communist) Socialist The NIN organization, whose activists in­ Workers Party to seek a visa for Fourth In­ Review of the News on February 22, 1978 clude Daniel Berrigan; Martha Cline; Robert (appendix Ill) . ternational terrorist leader Hugo Blanco of Colen; Roberto Vargas; Gregorio Gomez, Peru. Koch has been combining his aspira­ NONINTERVENTION IN NICARAGUA coordinating secretary of the Los Angeles tions to be elected. Mayor of Despite the loss of its most subtle and chapter; Timothy Harding, a sponsor from with his headline-gaining campaign against articulate spokesman and organizer, the late California State University in Los Angeles; Nicaragua. Soviet "agent of influence" Orlando Leteller, former priest Blase A. Bonpane, now a Cal. Joining with Mr. Koch in a campaign of the human rights campaign trageted against State professor of political science; and personal v111fication, half-truths, distortion, Latin American countries facing serious Norma Chinchilla, a "professor of compara­ and wild allegations have been nationally threats from Cuban-backed terrorist move­ tive cultures" at the Univers.tty of California syndicated columnist Jack Anderson; the ments continues to gain momentum. Irvine campus. Washington Office on Latin America Among the "human rights" groups on The FSLN's "social justice" goals have the (W.O.L.A.), a church-related group whose Latin America is Non-Intervention in Nica­ support of the left wing of the Roman concern for "human rights" appears limited ragua (NIN), operating from P.O. Box 21124, Catholic heirarchy in Nicaragua. The arch­ to countries fighting Castro-backed terrorism Los Angeles, CA 90021 [213/487-0286), from bishop has expressed sympathy for the FSLN, and subversion; , whose P.O. Box 1959, San Francisco, CA 94101; and and the U.S. support groups are capitalizing editor's recent long junket in Cuba brought P.O. Box 28568, Washington, DC 20005. on a letter signed by a number of Nicara­ Castro continuing favorable publicity; and, guan bishops charging that the Nicaraguan Associated with Cuban-oriented groups as Senator Edward Kennedy, who delivered an national guard is waging a campaign of tor­ emotional and irrational attack on Nicaragua the North American Congress on Latin Amer­ ture and "genocide" against Nicaraguan ica (NACLA), Non-Intervention in Chile on the day the Senate adjourned for the peasants and religious figures. In 1976, Fr. August recess. (NICH), and the Washington Office on Latin Ernesto Cardenal, described by his friends America (WOLA), NIN states: Earlier this year, Representative Lawrence in Panama as a "revolutionary," testified on Patton McDonald, the Georgia Democrat who "Nicaragua was the scene of the U.S.'s first "human rights abuses" before the House is the foremost congressional authority on Vietnam in the 1930's. Today, as it did in International Relations Committee. terrorism, visited Nicaragua. Representative Vietnam, the U.S. Government is supporting On April 21, 1977, Fr. Miguel d'Escoto, Di­ McDonald produced several detailed reports an imposed dictatorship against the will ot rector of Communications of the Maryknoll on the growth of the Moscow and Havana.­ the Nicaraguan People. We, as Americans, can missionary order in New York, testified be­ backed terrorist movement in that country. no longer support this policy. • • • fore the House Appropriations Committee The Georgia Congressman reported that the · "Strategically located in the heart of Cen­ against m1litary or economic aid to. Nicara­ terrorist Sandinista National Liberation tral America, Nicaragua is important to the gua on grounds of human rights violations. Front (F.S.L.N.) was recruited in Nicaragua Pentao:on and the U.S. Government for As documentary exhibits a lengthy "and as during the late 1950s and early 1960s by several reasons: as the main 'domino' from yet unpublished article by Penny Lernoux Carlos Fonseca Amador, a Nicaraguan edu­ which to control and repress the peoples of who visited Nicaragua within the last month cated in Moscow at Friendship University other Central American countries • • •, as • • •. Penny Lernoux is La tin American cor­ (now called Patrice Lumumba University), an alternate site for an interoceanic canal respondent for The Nation, Colombia cor­ which is the Soviet Union's principal indoc­ and a key to controlling the Caribbean (in­ respondent for Newsweek, frequent contribu­ trination center for "Third World" revolu­ cluding Panama and Cuba), as a staunch de­ tor to McGraw-Hill Publications, Newsday tionaries. Fonseca has had the backing of the fender of U.S. policies internationally, and and the Washington Post." Cuban Communists and of the Soviet Am­ as a guaranteed investment for U.S. com­ The Lernoux article repeating the charges bassador to Nicaragua. McDonald provided panies and banks which held interests worth of "repression" against the Nicaraguan na­ considerable details, noting: $308 million there by 1974." tional guard, was eventually published by "The FSLN is named after Agusto Cesar NIN states it is a "national support orga­ the Washington Post some two months later, Sandino, a Nicaraguan general who fought a nization" of people who "recognize our on June 13, 1977, the day before the House 6-year guerrilla campaign (1927-33) against responsibility to oppose U.S. imperialism Appropriations Committee voted to cut off the U.S. military presence. Sandino was everywhere, and in particular, Nicaragua." all military assistance to Nt.caragua and widely supported by the Communists. The NIN notes that "through organized support" Uruguay, and to refuse m1litary credits to 1928 Sixth Congress of the Co~munist In- September 27, 1978 EXTENSIONS OF REMARKS 32107 ternational in Moscow adopted a resolution vided by Senator Kennedy were the usual 1970, Cardenal was a "literary judge" at the proposed by the Communist Parties of the fake claims of "arbitrary arrest, political Cuban Casa de los Americas in Havana, a United States and Mexico which sent "fra­ suppression, murder, and atrocity," com­ huge complex of buildings which provides a ternal greetings to the • • • heroic army pounded by "systematic torture" by the "cultural cover" for operations of the D.G.I. of national emancipation of General San­ Nicaraguan Government. It was the same spies and agents. This Red priest actually dino, which is carrying on a brave, deter­ bunkum previously peddled by the U.S. appeared t ·efore the House Forei(~n Relations mined struggle with the imperls.lism of the Castroites, the W.O.L.A., the N.A.C.L.A., Jack Committee in 1976 to provide one of the United States." Sandino's private secretary AnC.erson, and Representative Koch. This opening salvos in the phony "human rights was the Salvadorean Communist leader t!.!!le, however, the Senator attributed all of campaign" aimed at depriving our allies of Augustin Marti. Although the Communists this to an Amnesty International report. the means to defend themselves against Com­ later denounced Sandino, the Communists V.'hile Senator Kennedy wa.s quoting from munist terrorists murdering and maiming use his name as an anti-U.S. symbol of "cunent Amnesty International evidence their people. armed insurrection." baG0ti on its latest mission to Nicaragua," no Cardenal claims to be a "poet" using his Congressman McDonald proceeded with other Senator was able to challenge him­ art as a "means of pro 1hetic denunciation." his briefing: bocause, as his office later admitted to this He appeared at a W.O.L.A. press conference "The FSLN terrorists • • • were defeated report~r. no such Amn~sty International in Washington, D.C. in February of this year. by the Nicaraguan National Guard in 1963, report had been released, and all of the At the press conference, Cardenal was asked 1965, 1967, 1969, and in succe .sive outbreaks. alleged "information" ha~ been provided in if he would take up arms himself like the After each defeat, Fonseca and the surviving telephone calls between his staff and Amnesty Castroite terrorist priest Camilo Torres in terrorists returned to Cuba for additional International. Colombia. His reply: "No, my battle is with training and set about developing additional A London-based pseudo-research operation other arms. • • • I can do more by writin(~." recruits. Following the serious earthquakes founded by a Fabian Socialist, Amnesty In­ Comrade Cardenal concluded his press con­ in December 1972 and 1973, the FSLN again ternational has an undistinguished record of ference with the assertion, There must be moved into action to take advantage of the supporting terrorists and Marxist subver­ an integration of the Church and Marxism." disruption. sives under the guise of protecting human Yet Senator Kennedy quotes this Com­ "In December 1974, an FSLN band invaded rights. Americans can best judge this group's munist again and again to attack America's a pre-New Year's party attended by promi­ accuracy and slant by considering who it friend President Somoza. The Massachusetts nent businessmen and diplomats, killing says are U.S. "political prisoners." They are, Seantor went so far as to assert that the three people and taking hostages. Three days claims Amnesty International, Martin emergency measures decreed early in 1975 later the terrorists, along with 14 comrades Sostre-a now-paroled militant whose long following the F.S.L.N.'s hostage-taking raid released from jail and one million dollars prison term came after his third felony con­ and subsequent flight to Havana "have gone in ransom, were flown to Cuba." viction, which was for selling heroin; the far beyond those needed to deal with what Representative McDonald reported that Wilmington Ten, convicted of arson and close observers now re13ard as a minimal secu­ when the F.S.L.N. terrorists arrived in Ha­ conspiracy in North Carolina, whose appeals rity threat." Amnesty International, which vana they were given a heroic welcome; and have been repeatedly denied in our "Liberal" has liberally salted its report with such em­ the Cuban Communists introduced the lead­ courts; and, Gary Tyler, a lifer convicted in barassing modifiers as: "It may be pre­ er of that F.S.L.N. operation, Eduardo Con­ Louisiana of having murdered a 13-year-old sumed," "if true," "allegedly," and so forth, treras, in a Havana radio interview as the boy during a school bussing protest when noted without any qualification however that man who "one day would impose a Commu­ Tyler was 16 years old. "only recently had one of the alleged per­ nist regime in Nicaragua." Not so. Fonseca Now that the Amnesty International re­ petrators of that assault returned from Cuba and Contreras were killed in shootouts with port cited by Kennedy has been released and and been captured.'' the Nicaraguan National .Guard in the fall Senator Kennedy may see the F .S.L.N. as of 1976. Their deaths were a blow to the examined, it is obvious that its claimed "documentation" of abuses by the Nicara­ "a minimal security threat" since he is not F.S.L.N., but the organization is large and likely to be kidnapped, tortured, and mur­ highly organized. As Congressman McDonald guan Government and National Guard is based upon third- and fourth-party hearsay dered by them. Their supporters and mem­ has observed: "Considerable numbers of bers in the United States don't see it that FSLN supporters and members are reported from persons long personally opposed to the Government headed by President Somoza. way, as was shown by a March article in the to be living in Honduras, El Salvador and Castroite Communist newspaper, Guardian, Costa Rica. Costa Rican authorities report Senator Kennedy and Amnesty International approximately 500 FSLN sympathizers in both made use of complaints from Left­ which reported : leaning sectors of the Roman Catholic "Students, workers and peasants are unit­ their country. Some 35 FSLN members are ing behind the FSLN, which has waged said to be attending the Honduran Univer­ Church in Nicaragua, and by a group of American Capuchin monks who published armed struggle against Somoza and U.S. im­ sity." perialism for 15 years. Notwithstanding the McDonald also summarized the findings of reports they claim were "by, or about, in­ dividuals they have known personally." Ah, rece'.:l.t deaths of two FSLN leaders during the lengthy public trial of 35 captured combat • • • the revolutionary campaign F.S.L.N. terrorists which concluded in Feb­ religious persecution! This nonsense ignored an opposing statement signed by 29 Catholic continues to escalate. ruary. He noted that the F.S.L.N. trial record "A FSLN communique points out that the "produced evidence of some 2 dozen bank priests denying there is any interference with religious freedom in Nicaragua, or abuse of number of armed cadres has more than robberies and the kidnappings and doubled since December 1974. Over 75 en­ of over 110 people, mostly unarmed villagers, the Church, or harassment of priests per­ forming their religious functions. counters have taken place over the last year women and children, and village leaders serv­ along four separate fronts established ing as 'justices of the peace'." A medical doc­ One of the 29 signers of the ignored state­ and held in the mount. :i.ins of northern tor and surgeon whose life has been devoted ment, Fr. Carlos Caballero, a Jesuit who has Nicaragua. to healing and saving lives, Congressman lived in Nicaragua for 27 years, delivered a "In the cities, students and workers have McDonald denounced the terrorists, con­ detailed attack on "certain Nicaraguan and taken the struggle onto the streets in a cluding: "The public record of the F.S.L.N. foreign priests who have let themselves be series of protests ... .'' shows the only 'liberation' it holds is a libera­ carried away by the politics of parties or tion from life into dealth by the most brutal groups." He continued by saying that "it is The Communists' own account of the rise and degrading methods its torturers could clear these have not always adhered to of FSLN terrorism concluded significantly: devise." honesty and truth but have deviated into the "The overthrow of Somoza by a popular But the facts of the F .S.L.N.'s long terror fields of exaggeration, lies, rumors and false anti-imperialist movement may well prove campaign against the people of Nicaragua interpretation." e. critical turning point in the regional have little or no meaning to the Jack Ander­ struggle for national liberation. U.S. im­ Fr. Caballero, a voice of reason, also criti-· perialism and its allies are all too aware of sons, Edward Kochs, and Ted Kennedys who cized those who demand absolutely impec­ continue to press to cut off necessary mm­ their fra,gile grip on this strategically vital cable behavior from societies under terrorist area--of the explosive situation in Panama, tary assistance to the Nicaraguan National attack while calling for the "maximum con­ Guard in its continuing battle to protect the the strength of the progressive forces in sideration" for "political liars" and negotiat­ Costa Rica, the deep unrest in El Salva­ people of their country against Castro's ing for the release of hostages "in their F.S.L.N. dor, * • • the organized revolutionary move­ manipulation of the law in a game in which ment in Honduras and Guatemala, the na­ The most recent, and perhaps the least corpses are used as bargaining chips." informed, attack on Nicaragua was the one tionalist surge in the Caribbean and, of launched on the Senate floor by Edward Clearly the eloquent Fr. Caballero was out­ course, the towering influence of socialist Kennedy on August 5th. At that time Sen­ raged, and he also delivered a not very veiled Cuba." ator Kennedy attempted to change the For­ condemnation of fellow priest Fr. Ernesto Clearly the Communists know why Nic­ eign Aid Appropriations for 1978 by a parlia­ Cardenal, an admitted Marxist revolutionary aragua is a priority target in Central mentary move he described as "a very simple and Havana visitor who has admitted his America. And so do many Senators. While .amendment. It basically strikes out the miU­ admiration for the F.S.L.N. gangsters. Edward Kennedy's anti-Nicaraguan amend­ tary aid and assistance for next year for Cardenal is a favorite source of "atrocity" ment failed this time, Americans as well as Nicaragua.'' charges for both Senator Kennedy and hypo­ the people of Nicaragua must recognize that As "reasons" for the cut-off that were pro- critical frauds at Amnesty International. In the Communist enemy has opened a pro- 32108 EXTENSIONS OF REMARKS September 27, 1978 tracted struggle for the subversion of this in which the guerrillas have the potential attack, and that there is as yet no sign of American ally which can only be defeated by for greater recruitment and impact." popular masses ready to arise to follow the determined military resistance. The Political Officer of the U.S. Embassy lead of the FSLN. It will apparently require in Nicaragua continued: "The recent emer­ a much greater expenditure of lives on the THE Pl.OT TO DESTABLILIZ'E NICARAGUA gence of a new line Administration and on part of the FSLN before the GN is signifi­ Capitol Hill. cantly weakened or there is popular willing­ (by John Rees) The tactic of the anti-Nicaragua clique in ness to get involved." NICARAGUA has become the main Commu­ the State Department is to establish what is The State Department's political evalua­ nist target in Latin America. The Commu­ being called a policy of "non-intervention." tion notes the "salami effect" in raising de­ nist strategists recognize that Nicaragua is That may appear balanced and fair on the mands that President Somoza step down. It the point "domino" in their Central Ameri­ surface but in fact it is designed to hurt the suggests that the. guerrilla attacks will either can campaign. This attack on Nicaragua is Government of Nicaragua because it has force the President to yield to some of the three-pronged. Two of these are clearly con­ been used to block the vital military, eco­ opposition poll ti cal pressure so as to be bet­ trolled by the Communists and operate nomic, and political support needed to re­ ter able to cope with the insurgency, or it inside Nicaragua to exert the maximum pres­ sist Communist military and political as­ will cause him to refuse to make accommoda­ sure on lawful authority. The first is a Marx­ sault. tions so as not to appear weak. If the anti­ ist terrorist organization, the Sandinist Na­ This Carter Administration betrayal of communist President does not yield to his tional Liberation Front (F.S.L.N.). The Nicaragua, a country with which we have enemies, "It is likely that political-revolu­ second component of the attack is a coali­ enjoyed a friendly, stable relationship for tionary pressures on the regime will increase. decades, is being achieved without protest tion of middle-class Leftists whose leader­ ... [This] likely would result in a deterio­ ship is larded with Communists and Cas­ from the American people because of a media smear campaign against the Government of rating economic climate which would lead troite supporters of the F.S.L.N. But the to further private sector aggressiveness." Any third prong of the attacking forces is a President Anastasio Somoza consisting of lies, half-truths, distortions, and evasions. accommodation by President ·Somoza with his Leftist clique in Washington with members enemies, although "as minimal as he judges inside the Carter groups with orientations THE CLASSIFIE'O DOCUMENTS necessary" and "accomplished as much as ranging from conservative to Christian The Review Of The News has obtained of­ possible on his terms," will cause the Nicara­ Democrat to Communist. The Nicaraguan ficial U.S. Government documents, some of guan Government to be "slightly weakened" Socialist (Communist) Party, at its secret them classified "Secret," which establish and may provide "an opportunity for further party congress held in Managua in October that the truth about conditions in Nicaragua changes." 1973, had called for formation of a is being kept from the American people by "united front incorporating all labor Even so, the State Department's Political the "new foreign policy" clique. Officer in Managua admitted twice in his con­ unions, students, peasant organizations, For example, the draft of a "Secret" tele­ committees for defense and improvement of clusions that "there is no indication of the gram of nine pages sent to the State Depart­ imminent collapse of the regime" and that people's conditions, democratic political ment by the Political Officer at our Embassy parties, elements of the middle class, pro­ "it seems unlikely that Somoza could be in Managua, Jack Martin, has been obtained forced to step down from his control of the gressive Christians, democratically-minded by this reporter. Mr. Martin's report takes military," and all other opponents of the regime before the end of his term [as Presi­ note of the well-organized political and eco­ dent, he may not succeed himself] in 1981." Nicaraguan Government. This is it. nomic campaign against the Nicaraguan The U.D.E.L. was formed in 1974, several Government, supported as it is by "pressure HARRINGTON KILLS TESTIMONY months after the abatvc-cited Communist from the U.S." But he says President Somoza As part of the continuing campaign against meetings; its head was Pedro Chamorro, a "despite his recent heart attack still appears President Somoza, plans had been carefully "Liberal" opposition leader and newspaper to be in firm control and able to resist the made for the House Subcommittee on Inter­ publisher whose family has been an op­ pressure for change." This is in direct con­ national Development, chaired by Repre­ ponent of the Somoza family for over two tradition of the mass-media reports pre­ sentative Michael Harrington (D.-Massachu­ generations. Chamorro's murder early this senting President Somoza as being in precari­ setts), to hold a Hearing about the situation year-likely an agent provocateur opera­ ous health. Also it is particularly interesting in Nicaragua on Wednesday, February 9th. tion-was used as the excuse for U.D.E.L. that this major State Department political The principal witness was to have been groups to organize a massive economic strike report avoids mentioning that the "pressure Terence A. Todman, Assistant Affairs, and and rioting which lasted almost twenty days, for change" results from a guerrilla terror­ many observers expected that Mr. Todman . but which has failed to bring down the ist campaign and an economic strike directed would join the claque attacking Nicaragua Government. by the Communists. ior oppressing the "human rights" of the Political Officer Martin's report noted that It is particularly significant that these F.S.L.N. terrorists and rioters. To the despite the serious upsurge in F.S.L.N. at­ on-the-scene political reports from Nicara­ contrary! tacks the National Guard, which "has suc­ gua by State Department political officers In accordance with standard procedure, cessfully put down numerous insurrec­ have not been made available to the U.S. copies of Mr. Todmans' testimony were de­ tionary challenges" and has been able to Congress which must vote on all allocations livered to Chairman Harrington and the thwart F.S.L.N. attempts "to foment a popu­ for military and economic aid to foreign other Subcommittee members on February lar revolution," has "stood their ground, and c~:mntries . Political Officer Martin's lengthy 7th in advance of the Hearing. Later that there are no signs of fissures within" the report is entitled "Pressure For Change: day, and without warning, the Hearing was military. The political report goes on to note Regime Instability." The use of the word cancelled. After a time it was "rescheduled" that in spite of customary dissatisfaction "regime" as if to denote illegitimacy hardly for the middle of March. among ambitious members of a younger gen­ indicates neutrality toward the Government In these unusual circumstances, The Re­ eration, the business community and ruling of Nicaragua on the part of Jack Martin. The view Of The News began to ask questions Liberal Party "can be counted on to support report states : and was soon able to obtain a copy of the the regime" unless some new and more at­ "The coalition of anti-Somoza regime testimony that Assistant Secretary Todman tractive "alternative" can be created "which forces includes the FSLN guerrillas, all sectors had intended to present. It was a strong and would not be prejudicial to their interests." of opposition political sentiment, the Nicara­ balanced statement that exposed as lies Areas of opposition, as the report noted, guan Catholic Church, and significant seg­ many of the allegations current in the press include businesses owned by anti-Somoza ments of the private business community.'' about the Nicaraguan Government and forces, and the Nicaraguan Church which The opposition coalition is called U.D.E.L., President Somoza. When we raised the mat­ "has been adooting the new role of social the Democratic Union of Liberation, char­ ter, a spokesman for the notoriously radical activism signalled by the Vatican II and acterized in January and July 1977 in the Congressman Harrington, Gary Jefferson, Medellin conferences." The U.D.E.L.'s at­ C.I.A.'s "National Basic Intelligence Fact­ claimed that the Hearing had been can­ tempts to build a grassroots movement are book" as a united front "composed of anti­ celled at the request of the State Depart­ dismissed as having '"had little impact." The Somoza political movements and labor in ment so as not to add to the problems of report expresses the view that U.D.E.L. may the FSLN which is open to accepting col­ Nicaragua in the midst of riots and a gen­ develop more of a threat after the lifting of laboration with non-Marxist-Leninist oppo­ eral strike. He explained that the decision martial law (which took place on Septem­ nents of the regime is causing the demo­ to cancel was a bi-partisan move arranged ber 19, 1977), but that "the alliance of differ­ cratic opposition to reevaluate forming a between Representative Harriaigton and ent political philosophies it represents makes common front with the guerrillas." Congressman Larry Winn (R.-Kansas), the it inherently unstable." The Nicaraguan National Guard has re­ ranking minority membe~, Jefferson ad­ As for the terrorist F.S.L.N., which origi­ ceived counter-insurgency training from the mitted that Harrington had studied the Tod­ nated with a Moscow-trained revolutionary, United States and its ability to withstand the man testimony. one would do well to notice that its leaders F .S.L.N.'s attacks is such that it was given a have received trainln«?: in terrorism and 'in­ backhanded compliment even by Political Of­ When Representative Winn was inter­ surgency in Cuba. The Political Officer's re­ ficer Martin. He writes: "The recent attacks viewed he said that he had not seen the port comments that, "recently increased dis­ on the GN [Guardia Nacional) were an im­ Todman statement prior to the cancella­ satisfaction with· the regin;ie, and new pres­ portant test of regime stability. They demon­ tion, and that he had not discussed it with sures on it from the U.S., the Church, and the strated that the GN is prepared to defend it­ Representative Harrington. If Mr. Winn ha.d private sector, have created an environment self rather than surrender or fall apart under learned of its content he would not have September 27, 1978 EXTENSIONS OF REMARKS 32109 agreed to cancelling the Hearing and Nica­ past weeks of crisis." His lone concession to FEDERAL WORKER PAY A POLITI­ ragua's position would be the stronger. the press smear of Nicaragua was merely to CAL FOOTBALL Assistant Secretary Todman's prepared note that "some here questioned the degree statement sought to focus "primarily on the of non-deadly force used against protestors." purpose and effectiveness of our economy Municipal elections were held on February and security assistance to Nicaragua, and 5th, he noted, "with some opposition candi­ HON. HERBERT E. HARRIS II the linkage that the current human rights dates running, even though the opposition OF vmGINIA I situation has to this assistance." Mr. Tod­ Conservative Party had called for postpone­ IN THE HOUSE OF REPRESENTATIVES I man noted that the purpose of providing ment of the elections." It ~ s significant that : funds through the U.S. Agency for Interna­ although t.he opposition party generally re­ Wednesday, September 27, 1978 tional Development was to help the very ceives in open voting only 5 to 8 percent of 8 Mr. HARRIS. Mr. Speaker, on Sep­ poor, and thus "our efforts in Nicaragua the vote, it is guaranteed a minimum of 40 tember 6, I introduced a resolution in the focus primarily on small farmer develop­ percent of the seats in the Nicaraguan legis­ House

MY DACHSHUND THE OCEAN BLUE Also helps the flowers in need. My dachshund is so very cute, As I sat dreaming on the beach That fragrance once oame right to me, But I wish that her name was "Boot"; The pretty waves seemed as to reach And opened up my eyes to see; Her name is really "Sugar S.", Stretching way up onto the sand The lovely sight that nature is, And of all dogs she is the best. Reaching-reaching to touch my hand. Created by those hands of His. The ocean is a shocking blue Antonio Galan, age 11. She is so short, so very small, Sometimes it's green and aqua too; RED AS She is our little baby doll; Its foam is like a bubbling light Red as a rose on a green vine, She barks so loud night after night, Lighting the beach through the dark night. Red as my toes in a straight line; She scares robbers, gives them a fright. Joanne Field, age 11. Red as my nose, oh, when -it glows, Larry Spiegelman, age 11. YOUR MAILMAN Red as a lady in a pose . . . MY FRIEND Your mailman comes through sun or snows, Red as my math teacher's kind face, I have a. .,friend whose name is "Stool", He keeps your mail in nice neat rows; Red as the mud on one shoe lace; And she is very very cool; He brings your letters straight to you, Red as lobster on sandy beach, On sunny days we laugh and play, Some make you happy, others blue. . My face when I must make a speech. On rainy days we hide away. Amy Hobbs, age 11. On your mailman, you can depend My friend is short, but she thinks tall, He's almost like your closest friend; MY PET We're closest friends, we have a ball; You wait for him to pass your way, I have a pet so neat and clean, O! those I love in our great land, His friendly smile helps make your day. Prettiest eyes I've ever seen; My friend is "Tops", she's really gra.nd. Sharon Brown, age 12. It doesn't crawl, it doesn't walk, Nicole Gabai, age 11. I've never ever heard it talk. YOUR SHADOW It does not rock and roll or sing, LET THERE BE LIGHT Your shadow follows you around, Long ago before there were trees, birds, and In fact, not much of anything; You only see it on the ground; If the answer you did not get, bees, there wasn't a. thing anywhere, but Sometimes it's big and sometimes small, soon there would be. God was there! A tropical fish is my pet! There's time you don't see it at all. Karen Clar, age 12. He said the words, "Let there be light!" Your shadow moves both up and down, I WONDER Then all the world was bright. Trees, birds, It's like a clown without a frown; bees, and trees grew from the sand. It I wonder why I love him so, Your shadow is a part of you, I wonder why I really care; was nice: "God Gave a Hand." Whose favorite game is peekaboo. Jacqui Morgan, age 11. I wonder what would happen if Tracey Bratz, age 11. By chance that I should not be there? THE SEA MY NEW PET I wonder if he loves me too, Once on a warm hot sunny day, I love to see the sea so blue, I wonder wonder night and day? I had an urge to go and play; It's there for me, it's there for you; Except the times when I'm with him, It was so nice and beautiful, In its warm waves we jump and swim, Then all my wonders wash away. I jogged along then felt a pull. Its soft sounds like a lovely hymn. Lysette A1'0cha, age 12. To my surprise it was a dog The sea is blue, sometimes it's green, MY BEST FRIEND I saw he also liked to jog And in a storm it acts real mean; I love my horse, that is my bag, It continued to follow me I love the waves rolling so high, About his gait I always brag; I took it home and paid no fee. They're like my mother's lullaby. He is a pacer, yes indeed, Karen Span, age 11. Peggy Woodward, age 11. I braid his mane and give him feed. MY MOTHER The following prize winning poems were I 'barrel race him m.ost every day, When I strike out or lay a bomb, composed by the fifth and sixth grade stu­ He's my best friend and loves to play; I can always count on my Mom; dents at Everglades Elementary. Principal: I clean his hooves when we are through, She perks me up when I am low, Dr. Frazier Cheyney; SVP Contact: Nancy His nose thanks me-our love is true. And makes me feel like I'm aglow. Dahlin; Media Specialist: Ellie Angel; PTA Stefanie Betts, age 11. Contact: Mrs. Doris Folliard; Teachers: Ger­ She is, in all, my true best friend, trude Park, Anne Sparks, Eleanor Sager, Jim The following prize winning poems were And I can trust her t.o the end; McCloskey, Ann Cohen, Harriet Brookman, composed by the fourth, fifth and sixth grade For me there will be no other Berrie Shaw, and Norman Houlberg. students at Pine Lake Elementary. Principal: To replace, my dear sweet Mother. Mrs. Charlene Houghton; Assst. Principal: A SEAHORSE Mrs. Marta Kloverkorn; Teachers, Mrs. Grace Keith Robinson, age,12. A seahorse in the ocean blue, Samoriski, Dr. Nancy B. Maiztal, Ana R. MY FAMILY But this horse doesn't have a shoe; Driggs. NATURE Five people in my family, A creature filled with poise and grace, The sea must be it's rightful place. Nature is such a lovely thing, And each one is "Special" to me; My father goes to work each day, I've never heard it make a sound, With all the birds in time to sing. My mother helps in her own way. At least not while I've been around; Earth is filled with the touch of trees, It wouldn't surprise me at all, The air is a soft rushing breeze. My family is important too, If it could make a horse like call. Deer in the forests are awake, To all my friends there's no taboo; Lila Quintiliani, age 10. That hunters might give them a scare. For in their love they fill my need, GALAXY Silence is brewing near and far, My family knows-I will succeed. Hoping to see a falling star. Durshan Daswani, age 10. The galaxy isn't any empty place Angelina M. Colmenar, age 12. It's filled with stars and within that space BLACK HISTORY There are also planets and meteorites, CAMELBACK I love to read "Black History", Interspersed with rockets and satellites. The first time I saw her was from the air, She was down on the desert inhaling the It reveals my ancestry; Is this a place where life abounds? sand; It's like something special I pursue, Can there be laughter and. eerie sounds? thought the plane's engines would divert In search of roots to hold on to. The galaxy is filled with mysterious things, her stare, From Jupiter's moons to Saturn's rings But she kept her head down on that Yes, I can be proud of my past, Chris Proietti, age 10. For what was.built was built to last; parched land. Wonderful thought I think each day, BLUE Phoenix's camel had long been carved For pa.st and future-I now pray. Blue is the color of the sky so high, By time, sand, and the windy weather; Alison Bothel, age l 2. Blue is the color of a T shirt dye; In spite of stone mouth she's never been Blue is the color of our private plane, starved, WHAT YOU ARE Blue is the color of the rain. For the earth and she are always together. It does not matter what you are Denise Conlin, age 11. Blue is the color of sadness and sorrow, If your goal is a distant star; Blue is the color of tomorrow; SEASONS It matters not color of skin Blue is the color of ink in my pen, When Spring is here we laugh and play, If you can find quiet peace within. Blue is the color of my father's den. We're filled with joy throughout the day. It matters not if rich or poor Kimberlee Hutchins, age 11. When Summer comes we almost die, If what you have you feel secure; THE FRAGRANCE AFTER THE RAIN Because it's hot, and that's no lie. What matters most, and this is true, There is a fragrance after the rain, When Winter's here I'm cold as ice, To be thankful that you are you. Brought by the wind right past the lane; To write this poem was really nice. Valerie Price, age 12. Good memories it brings indeed, Jim Lewis, age 11. CXXIV--2019-Part 24 32114 EXTENSIONS-OF REMARKS September 27, 1978

TRUE GRACE involvement in civic affairs. He recog­ CONGRESSIONAL STEEL CAUCUS MEMBERS WHO A good ballet dancer she is, nized that he could not divorce himself HAVE PAID DUES AS OF JUNE 30, 1978 She moves with grace across the floor; from the daily life of the community, Gaydos, Joseph; Seiberling, John; Bevlll, Tust like a swan on clear water, and he has spent countless hours in try­ Tom; Walgren, D9Uglas; Daniel, w. C.; There's nothing else you could ask for. Young, Bill; ~ Kindness, Thomas; Walker, ing to keep New York City a desirable Robert; Yatron, Gus; Pattis::.:n, Edward; Her costume ls so beautiful, place in which to live. His perception of Duncan, Robert; Metcalfe, Ralph; Mikulski, It's pink and black but nothing more; problems and his ability to develop solu­ Barbara; Carney, Charles; Ertel, Allen; Evans, It sways so nicely in the breeze, tions has made him one of the persons Frank; Gilman, Benjamin; Mitchell, Donald; It's like nothing you've seen before. Mollohan, Robert; Pease, Donald; Railsback, Kelly Fryda, age 12. to whom the community turns during times of crisis. He can truly be described Thomas; Roe, Robert; Long, Clarence; Walsh, JUST YOU WAIT as one of the most outstanding leaders William. The nervous, perspiring batter nears the Weaver, Jim; Evans, David; Dent, John; in the Catholic community, not only of Myers, Michael; Cavanaugh, John; Coleman, plate, our city, but of the country. The winning of the game 1s in his fate. E. Thomas; Ruppe, Philip; Shuster, E. G.; Watching the approaching hard pitched ball, Bishop Mugavero, like his predecessors Murphy, Morgan; Oberstar, James; Nowak, Hearing the anxious cheering crowd call: for the last century and a half, has al­ Henry; Patten, Edward; Annunzio, Frank; ways been available to help anyone who Udall, Morris; Murphy, Austin; Murtha., "Swing your bat and make that hit!" John; Jenrette, John; Myers, Gary; Hanley, Three times the ball flew into the catcher's might need assistance and his kindness James; Regula, Ralph; Lundlne, Stanley; mitt. and understanding has set an example Russo, Martin; Michel, Robert; Addabbo, With head held low he leaves the plate, few can equal. Joseph. Next year will come-just you wait. I know that my colleagues join me in Stratton, Samuel; Brown, George; Bu­ Michale Halberg, age 8. saluting this outstanding religious and chanan, John; Zefferetti, Leo; Mann, James; McClory, Robert; McEwen, Robert; McKay, U.S.S. GAMBIER BAY civic leader on his personal anniversary Gunn; Marks, Marc; Murphy, John; Luken, Yes it was sunk, the Gambler Bay, and for the diocese itself. I am enor­ Thomas; Applegate, Douglas; Pursell, Carl; Broke Grandpa's heart that fatal day; mously proud ·and deeply privileged to Oakar, Mary Rose; Moorhead, William; But our Navy was stlll so great be able to serve within the diocese of O'Brien, George; Rooney, Fred; Miller, Clar­ That it could stand this blow from fate. Brooklyn and to be able to call Bishop ence; Hillis, Elwood; Le Fante, Joseph; Mottl, There ls one thing that all should know, Mugavero a friend.• Ronald; Harsha, William; Benjamin, Adam; Navy's courage will grow and grow, Risenhoover, Ted. I hope some day I'll go to sea, Pettis, Shirley; Cornwell, David; Holland, And make my grandpa proud of me. Kenneth; Ammerman, Joseph; Dingell, John; Mike Robertson, age 11. FINANCIAL REPORT OF THE CON­ Corcoran, Tom; Lloyd, Jim; !chord, Richard; MY DIESEL TRUCK GRESSIONAL STEEL CAUCUS: Fithian, Floyd; Gammage, Bob; Ford, Wil­ liam; Flood Daniel; Kostmayer, Peter; Led­ When I grow up I want to truck, QUARTERLY STATEMENT OF EX­ Drive open road have lots of luck; PENSES AND FUND BALANCE erer, Raymond; Flowers, Wa.lter.e And when I drive my truck at night, I will not speed, ca.use others fright. On Nation's highways I shall roam, HON. ADAM BENJAMIN, JR. PLANS FOR CURBING INFLATION My truck my home a.way from home; OF INDIANA I'll truck produce S'Ummer and Spring, My cab will be-throne for a. king. IN THE HOUSE OF REPRESENTATIVES HON. MARGARET M. HECKLER Shawn Warley, age 13. Wednesday, September 27, 1978 OF MASSACHUSETTS THE SEA SHELL • Mr. BENJAMIN. Mr. Speaker, in ac­ IN THE HOUSE OF REPRESENTATIVES Sea Shell, sea shell, cordance with Executive Committee Or­ Wednesday, September 27, 1978 Sing me a song. O' please! der No. 1, I am respectfully submitting A song of ships and sailor men. herewith the quarterly financial report •Mrs. HECKLER. Mr. Speaker, I would Of parrots, tropical trees, like to bring to the attention of my col­ Of islands lost in the Spanish Ma.in of the Congressional Steel Caucus for Which no man ever may see a.gain; insertion into the RECORD: leagues an article that appeared in the Of fl.shes and coral under the waves QUARTERLY REPORT, FUND BALANCE STATE­ Christian Science Monitor on June 5, And sea horses stabled in great green caves. MENT, HOUSE OF REPRESENTATIVES, CON­ 1978. The article sets forth the essence of Midge Martelly, age 9.e GRESSIONAL STEEL CAUCUS three proposals for curbing inflation, as Fund balance statement offered by Frank C. Genovese, a Babson College economist. The article outlines a BISHOP MUGAVERO CELEBRATES Total revenues (Clerk Hire and Membership Dues)------$22, 677. 50 unique plan to trim inflation: People re­ lOTH ANNIVERSARY ALONG WITH ceiving wages and salaries should be THE 150TH ANNIVERSARY OF THE Less expenses: encouraged to take a larger portion of FOUNDING OF THE DIOCESE OF January ------0 them, particularly increases, in the form BROOKLYN February ------2,000.00 of future pension benefits rather than as March ------­ 3,574.20 additions to current income. In effect this April ------­ 3,287.25 HON. STEPHEN J. SOLARZ 3,312.75 proposal would reduce the constant pres­ May ------­ sure on prices and would increase the OF NEW YORK June ------3,057. 15 IN THE HOUSE OF REPRESENTATIVES flow of funds to financial intermediaries Total caucus expenses ____ _ 15, 231. 35 who manage pension funds. This in tum Wednesday, September 27, 1978 would spur investment. The lack of such Unexpended revenues (as capital formation has been a recurring • Mr. SOLARZ. Mr. Speaker, September 7,446. 15 marks two very special anniversaries for of June 31, 1978) ------symptom of our inflationary ills. the Catholic community of Brooklyn, QUARTERLY REPORT, ~TATEMENT OF EXPENSES, In addition Mr. Genovese proposes and indeed for New Yorkers of all faiths. HOUSE OF REPRESENTATIVES, CONGRESSIONAL other plans to check inflation. One would This month is the 150th anniversary STEEL CAUCUS allow parents to prepay college tuition by depositing tax-free payments on a of the founding of the diocese of Brook­ Salaries ------$13,827.50 lyn and also the 10th anniversary of the Travel ------0 regular basis with a college or univer­ Most Reverend Francis Mugavero's Stationery------329.95 sity of their choice. Those funds could tenure as bishop of the diocese. Postage------26.00 then be invested by the school and in­ A truly good and gentle man, Bishop Publications ------88. 53 come from them credited toward future Mugavero shepherds the church with a Telephone ------246. 36 tuition obligations. Besides encouraging special dedication to the temporal and Equipment ------581.01 savings, und.er this plan parents could spiritual lives of the faithful. Miscellaneous ------132. 00 beat the inflationary impact of future tu­ In addition to his role as a religious Total expenses (as of June ition rate hikes by implementing pre­ leader, he has placed great emphasis on 31, 1978)------15,231.35 payment plans. September 27, 1978 EXTENSIONS OF REMARKS 32115 The article follows: would be jawboning with a purpose and a by Lou Cannon. Geothermal energy de­ rationale." [From the Christian Science Monitor, velopment activity in California appears If necessary, he adds, tax incentives could to be moving ahead. Hopefully, develop­ Monday, June 5, 1978) be devised to encourage its adoption. Em­ PENSION PLAN PROPOSED FOR CURBING ployees might, for instance, have to pay extra ment will increase in the near future INFLATION taxes on any increase in income from the since the Bureau of Land Management (By David R. Francis) previous year, unless that increase was is beginning to recognize the need and Many econolnists look on inflation much as matched by extra contributions to a pension value of developing such resources on its the fundamentalist preacher views sin. Those plan. lands. who sin must suffer, sa.y the preachers. Those Mr. Genovese notes that the system would The article follows: who sin economically by creating inflation have to be scaled so as not to dampen pur­ HAWAil TAPS A VOLCANO FOR POWER must suffer a. recession, says the economic chasing power too much. The Babson College professor has two other (By Lou Cannon) funds.men ta.list. · KILAUEA, HAWAII.-The volcanoes that cre­ Other economists try to devise techniques ideas .for trimming inflation. First, he would encourage parents to sa•e for their children's ated this largest and lushest of the Hawaiian to cure inflation without a. recession a.nd ris­ university costs by allowing them to de­ islands and occasionally endanger it now ing unemployment. None ha.s so fa.r proved posit tax-free with a university a certain hold the promise of making this tourist­ very successful. amount of savings. The university would add laden state energy self-sufficient and indus­ Former President Nixon imposed wage a.nd the money to its endowment funds for in­ trialized. price controls. They did work for a while. vestment. When the child reached college Design work has begun on a $6 million But once they were removed prices soared age, the money would be withdrawn to pay generating plant financed by federal, state upward once a.gain. Indeed, some calcula­ his tuition and other expenses. and local governments with the assistance of tions indicate that nothing was gained by Mr. Genovese thinks this plan would be the Hawaiian Electric Co. The pilot plant the exercise. better than the tuition tax credit plan now will be powered by steam from the world's President Carter is attempting to restrain moving through Congress, in that it would hottest geothermal well. wages a.nd prices by "ja.wboning"-tha.t is, by encourage savings and thus investment. At the same time, Hawaii is encouraging talking labor a.nd business executives into various consortiums pioneering in the un­ voluntarily holding down wage a.nd price MORE PRICE INFORMATION His third idea is to have Congress pass dersea industry of manganese nodule Inin­ increases. It has had some limited success ing to build a refining plant here that wm so fa.r in that a. few corporations have prom­ legislation forcing businessmen always to list ised to limit executive pa.y increases or prices. prices or price ranges when advertising spe­ make it economically worthwhlle to develop But the tra.'de unions have shown little indi­ cific products or services. This, he reckons, the vast geothermal resources underlying the Kilauea volcano. cation of going a.long. would encourage price competition and dis­ courage price hikes. Buyers could choose "We have a new ball game here," says OTHER PROPOSALS products more intelligently by having more Hideto Kono, state director of planning and Moreover, it could be that restraint in one price information available for comparisons. eccnomic development. "Petroleum is no longer a dependable source. Activities will seotor of the eoonomy will be offset by larger Dr. Genovese is curious what other econ­ increases elsewhere. grow in places where t.h_~ ... ., :-.re dependable omists think of his proposals. "Maybe they alternative sources of energy." There a.re other offbeat ideas for dampen­ have ideas of their own," he says. ing inflation. Dr. Henry C. Wa.llich, a. gov­ The potential "dependable sources" of en­ ernor of the Federal Reserve Boa.rd, a.nd Fundamentalist economists, however, will ergy in Hawaii are not limited to geothermal Dr. Arthur Okun, a. Brookings Institution probably be skeptical. The only hope they ones alone. economist, have proposed a carrot-and-stick usually offer is termed "gradua.lism"-bring­ The island of Hawaii already obtains more tax technique to reduce increases in wages ing down the size of federal deficits and the than a third of its electrical energy from and fringe benefits. The government would growth of the money supply slowly enough burning of bagasse, a sugar cane residue that reward companies (and workers) that held over several years that the nation goes resembles crumpled straw. On the crowded the line on wages by reducing their income through a period of slow growth but not a island of Oahu, where most of the state's taxes, or it would penalize companies that serious recession.e 800,000 residents live, contracts will be did not do so with stiff tax increases. That awarded within the next few weeks for the rdea. has won considerable publicity and collection of solid waste that will be com­ attention in Washington. SEARCH AND DEVELOP ENERGY pacted and used as fuel. Now, a Babson College economist, Frank SOURCES More exotic forms of energy development c. Genovese, has come up with another plan lie ahead, ranging from eucalyptus tree farms to trim inflation. He suggests the govern­ for firewood to the researching of ocean ment use its jawboning to encourage em­ HON. LEO J. RYAN thermal energy to an experimental 16-story ployees to take a substantial portion of their OF CALIFORNIA energy-generating windmill. a.nnua.l increase in benefits in the form of IN THE HOUSE OF REPRESENTATIVES But it is geothermal energy, where the higher pension contributions rather than expected resource is large and the technology immediate wage gains. This would restrain Wednesday, September 27, 1978 well developed, that Hawaii's future seems consumption and prices, he predicts. • Mr. RYAN. Mr. Speaker, the need to brightest. Moreover, it would have these other bene­ search for and to develop alternative The island of Ha.wail, most southern a.nd fits, Professor Genovese says: easterly of the chain that comprises the na­ 1. It would boost future pension levels. energy sources is important if the United tion's 50th state, is twice the size of Dela­ As it is, many workers have seen inflation States is to achieve its goal of energy ware, rich in volcanoes and sparse in popula­ sadly reduce the real value of their pensions. independence. We cannot afford to rely tion. 2. It would provide the capital markets on any one form of energy whether it is Six years a.go the University of Ha.wa.U with new money. The pension funds would petroleum, coal, nuclear, or solar. organized the Hawaii Geothermal Project be invested in stocks or bonds, lowering in­ One important alternative for the and after long study drilling commenced on terest rates and possibly raising stock prices. a four-acre sit·e near the to,,n of Pahoa in This would help firms either to borrow United States and the rest of the world the eastern rift zone of the Kilauea volcano. money at lower interest rates or sell shares is the commercial energy development of Two years ago the drillers were rewarded on the stock market. Thus industry might geothermal resources. It is an especially with the discovery of an unusually hot be better able to finance capital investments attractive energy source, because it does well---676 degrees Fahrenheit-at the rela­ that increase the capacity and productivity not contribute to the amounts of carbon tively shallow level of 6,450 feet. The well of industry. dioxide in the atmosphere, an increas­ has been tested periodically since, most re­ 3. With lower interest rates, the Federal ingly significant problem. As with solar, cently with 42 days of continuous operation, Reserve System would be under less pres­ and has continued to produce high-quality sure to tighten credit drastically. the United States may want to help de­ steam. Now, with federal and county assist­ 4. With industry seeing a slowing down of velop, market, and encourage the use of ance, the state has decided to build a. three­ the increase in consumer power, it probably geothermal energy abroad. since both megawatt pilot generating plant on this site. would be less inclined to boost prices and these energy sources are reiatively inex­ Bill H. Chen, the University of Hawe.ii en­ more inclined to bargain hard with trade pensive and help lessen the dependency gineering professor who directs the geother­ unions. of lesser development countries on wood mal project, believes that the intensely hot TAX INCENTIVES, TOO? and. f ossiJ. fuels. waters tapped by the well may be part of a Mr. Genovese figures that with labor wor­ vast underground, lake tha. t runs from the ried about its pensions and business con­ I was impressed by the initiative taken crater of the volcano to the ocean nearly 40 cerned about adequate supplies of capital, by people in Hawaii to tap their geo­ miles away. The reserves are presently incal­ the climate of public opinion is favorable thermal resources as is brought out in culable, but could produce thousands of meg­ for presidential adoption of his plan. "This the following Washington Post article awa.tts of electrical energy. 32116 EXTENSIONS OF REMARKS September 27, 1978 Development of the geothermal steam is been Oahu and Maui. The story of the next their circumstances in old age, are burdened planned in stages. After the pilot plant has 20 years ls going to be development and en­ with a degree of fear-of being alone, sick, been completed and tested in 1980, plans call ergy on the big island of Hawaii."• helpless, abused, disdained, or ignored. Some for construction of a 23 megawatt plant. Af­ also are afraid of dying; others, in their ter that, Kono envisions a 110 megawatit despair, long for it. plant that will serve a manganese nodule "GROWING OLD IN AMERICA"­ The Tribune Task Force has spent six refinery a decade from now. Ultimately, says CHICAGO TRIBUNE BEGINS SE­ months assembling a portrait of the elderly Kono, the geothermal well could produce 500 RIES ON ELDERLY AMERICA in America today. Reporters worked under­ megawatts of electrical energy annually, en­ cover in nursing homes, boarding homes, ergy enough to provide power for a city of home health agencies, insurance companies a half-million for a year. HON. MARIO BIAGGI specializing in health insurance for the In terms of energy availability alone this OF NEW YORK elderly, and firms that sell retirement proper­ may be severely understating the resource ties. because other volcanoes in Hawaii are IN THE HOUSE OF REPRESENTATIVES They interviewed scores of experts on prob­ thought to possess similar underground res­ Wednesday, September 27, 1978 lems of the aged throughout the country ervoirs. But the economics of development and examined the operation of public and are more difficult. • Mr. BIAGGI. Mr. Speaker, as a rank­ private programs designed to benefit the While most regions in the United States ing member Qf the House Select Com­ elderly. are hard-pressed to meet the energy needs mittee on Aging I wish to advise my col­ The picture that emerged is no more uni­ of their populations, the big island of Ha­ leagues of a most important series which form than the voices of the old. waii must find a use for the excess energy began this past Sunday in the Chicago America has made big strides 1n the last it is capable of generating. Tribune. It is the culmination of a 6- two decades in enabling its growing popula­ Potential uses include development of an tion of elderly to live out their lives in sec­ energy intensive alumina bauxite refining month nationwide investigation which urity and dignity. But the elderly remain industry or piping the energy to the Puna was conducted by a special Tribune task particularly vulnerable to the ~reedy and Sugar Mill 15 miles away where another fed­ force examining aging in Amerca. rapacious, to confidence men and to common erally funded study is trying to determine The first article provides the demo­ criminals. And some government programs the feasibility of using geothermal steam in graphic background on the extent to for the elderly fall far short of their goals. sugar processing. which the American society is aging. A national survey found that the major But the best long-term prospect appears Their data parallels findings which my concerns of the old are crlme, poor health, to be the manganese nodule industry, which, declining income, and loneliness. . because of the huge capital investment Subcommittee on Human Services has uncovered during five hearings which Although few old people will experience needed for deepsea mining, is expected to the personal disasters that they dread, the locate in countries with stable governments we conducted on the "Future of Aging.'' catalog of troubles they can encounter 1s and in states that desire industrial develop­ The elderly population of this Nation substantial, the Task Force learnea. ment. Hawaii is strategically located near could almost double in the next 50 years Medicare, the government health insur­ the richest field of manganese nodules in with the largest increase among those ance program for the aged that was begun tn the Pacific, a band stretching from about aged 75 or older. It has great implica­ 1966, often covers only a fraction of medical 1,000 miles south of the island toward the tions on all facets of our society from expenses, forcing many of the elderly to make coast of Baja, Calif. huge out-of-pocket payments. Sometimes But in the economic calculus for the proj­ social, to economic to political. This demographic phenomenon presents, as it takes months for Medicare to come through ect there are many variables, ranging from with reimbursements. the world price of petroleum to the now­ the Tribune article states, a rising chal­ Salesmen exploit the fears of elderly per­ depressed world price of nickel, one of four lenge to a nation. sons about poor health and high medical minerals extracted from the manganese nod­ I am pleased to insert into the RECORD costs to sell expensive health insurance, some ules. the first of the Tribune series. The series of it worthless or nearly so. But the biggest variable is the volano. Be­ promises to be one of the most impor­ Sizable numbers of the elderly, financially cause of the same intense volcanic activity tant statements on aging in America in unable to move out of decaying neighbor­ that produces the steam, Kilauea holds peril hoods, are easy victims of muggers, purse­ as well as promise for potential developers. recent memory. I urge my colleagues to read this article closely and I especially snatchers, and home invaders. Thetr recourse Within sight of the well are two irregu­ is to imprison themselves in their homes. larly shaped mounds that were the vents­ commend its comprehensive nature: Many nursing and boarding homes are the places where lava escaped-in a 1955 THE AGED: RISING CHALLENGE TO A NATION eruption. From these vents a lifeless river of filthy and short-staffed, provide inadequate (My money runs out at the last of the services, and keep elderly patients drugged gray rock now extends to the sea. month. I never go out. I read my prayers at The volcano erupted again last year at a to make them easier to handle. At one home, night. I listen to the radio. It's not much.­ a reporter working undercover was left alone site 20 miles away from the well. Because of Mrs. Isabel Hansen, 71, widow.) the volcanic hazards, the Hawaiian Electric on the night shift with seriously ill residents, Co. is unwilling to participate in extensive (I am old. As soon as you can say that, though she had said her only previous work commercial development until a costly back­ you're over the hump. It's not a dirty word. experience was as ,a waitress. up system-which could be activated if the I've earned every one of these gray hairs, Control over the homes is divided among a geothermal plant were threatened-is built. and I'm not ashamed of them.-Stella bewildering array of federal, state, and city This .has led the state and county to think Francis, 74, president, Chicago Gray Pan­ bureaucracies-with the result that there is in terms of a government-developed system thers.) little control at all. that would be devoted to industry rather (I buy secondhand clothes; I don't mind. Home health care, touted by many gov­ than residential use. They say these are the Golden Years, but ernment officials as a means of serving the "It's an unacceptable proposition to have you can't prove it by me. Caroline Arange­ elderly outside nursing homes, is being fi­ your electricity interrupted for a few days lovich, 7;,, retired waitress.) nancially exploited by some private, not-for­ at home because of a volcanic eruption," says (There are many persons who are retired profit companies that charge three to five Chen. "But a large industry could live with from a job but who do not wish to retire times as much as profit-making ones. this risk if its potential profit is great from lif·e. I'm not satisfied with sitting Retired persons who buy property in the enough." around looking out the window; that's a Sun Belt, hoping to live out their years in a Chen believes that a power plant can be great way to deteriol"ate.-Henry Grant, 70, comfortable climate, sometimes find they located in a relatively safe place and the , retired teacher.) have bought uninhabitable patches of bar­ wells dispersed so that a volcanic eruption They are a mixed chorus, the voices of the ren land, without water or electricity and would leave most of the system intact. elderly in America. Some, bowed by age, miles from the nearest town and shopping There appears to be substantial public sup­ declining health, and loss of income, would facilities. port for the geothermal plant and accom­ agree with Ptali-hotep, an Egyptian phil­ Such problems, if not corrected now, are panying industrialization. Government and osopher, who wrote in 2500 B.C.: "Old age likely to multiply in the decades ahead, when private employers here are deluged with job is the worst of misfortunes that can affiict old people are expected to be the fastest­ applications, many of them from island resi­ a.man." growing segment of the American pooulation. dents who have left and want to return. Others cling fiercely to their pride and self­ In 1900, American 65 and older-the usual "People think of Hawaii as grass shacks esteem and see old age as a period not to be definition of "elderly"-numbered 3 million, and hula skirts, and we're responsible for it endured but savored. or just 4 per cent of the population. Today, because we promoted it," says John P. Kep­ For all, it is a time of sudden and some­ numbering 23 million, thev constitute nearly peler, managing director for the county of times painful adjustments. They must con­ 11 per cent of the population, and the per­ Hawaii. tend with loss of spouses and friends, loss centage is rapidly ri

TABLE 1. -COMPARISON OF HEALTH EFFECTS OF ALTERNATIVE FUEL CYCLES FOR ELECTRIC POWER PRODUCTION 1 Effect Coal Oil Nuclear Natural gas

0. 54- 8 0. 14- 1. 3 0. 03~- 0. 945 0. 06- 0. 28 1. 62-306 1 -100.0 .01 - .16 ------~~~~~~~~:i~~=r~:atiis::: ======~------~~~~~~~~~~~~~~~~~~ Total deaths. ______2. 1€-314 1.1 -101.0 . 04~- 1. 1 .06- . 28 Occupational impairments ______26 -156 12 - 94.0 4 -13 4 -24

1 Per 1,000-MWe per year. The data in Table 1 reflect deaths and these tabulations, a coal-fired power plant cause the health impact is so low as to be injuries in coal mining, including coal work­ each year results in from 48 to 285 times negligible unless a dam breaks.) Table 2 ers' pneumoconiosis (black lung disease), more deaths than does an equivalent analyzes the data from Table 1 in terms of accidents involving trains transporting coal, nuclear-powered generating station, 2 to 3 relative contribution of each fuel cycle of and the difficult-to-estimate mortality and times more than an oil-fired plant, and 36- the 1975 electric power production in the morbidity of air pollution from coal-fired 1120 times more than one fueled by natural generating plants. Similarly, it includes esti­ gas. United States. Again, the large number of mates of deaths and injuries in uranium These four modes of electricity generation non-occupational deaths from coal are esti­ mining as well as fractional death and mor­ contribute unequally to the total electric mates that include the effects of air pollu­ bidity estimates for the other components power production in the United States. (Hy­ tion that contribute to premature or excess of the nuclear fuel cycle. On the basis of droelectric power is not considered here be- deaths.

TABLE 2.-COMPARISON OF HEALTH EFFECTS FOR ALTERNATIVE FUEL CYCLES FOR ELECTRIC POWER PRODUCTION IN UNITED STATES IN 1975

Estimated dec1ths Estimated 1975, Equivalent number occupational Fuel KWhe X 10 D of 1000-MWe plants Occupational Nonoccupational impairments

Coal._------______• ______Oil ______844 128 69. C-1, 024 207. C-39, 168 3, 33C-20, 000 292 44 6. C- 57 44. C- 4, 400 53C- 4, 100 Gas------Nuclear ______------______------______297 45 3.C- 13 ------18C- 1, 080 168 26 . ~- 25 • 2- 4 lOC- 340 Total. ______-- _- _------1, 601 243 9. 0-1, 119 251. C-B, 572 4, 140-25, 000

It should not be overlooked that com­ TABLE 3.-ENHANCED RISK OF DEATH PER YEAR FROM WILLIAM J. DWYER bustion of coal leads to a release of radon- ELECTRICITY PRODUCTION 1 222 from the radium-226 that it contains. Normal The radon continues to be released from risk of Enhanced risk of death per year 2 HON. GOODLOE E. BYRON the fly ash long after combustion, and pro­ death/ OF MARYLAND duces a chain of radioactive daughter nu­ year Coal and oil Nuclear IN THE HOUSE OF REPRESENTATIVES clides. The long-term effects of carbon di­ Age: oxide production from combustion of fos­ 10 ______lin3,800 __ l.38in3,800 ____ l.0008in3,800. Wednesday, September 27, 1978 sil fuel have not been considered here. Each 25 ______1in700 ____ 1.07 in 700 ___ __ 1.0001in700. 45 ______1 in 200. ___ 1.02 in 200. ____ 1.00004 in 200. • Mr. BYRON. Mr. Speaker, I would like 100-MWe coal plant discharges 7.5 to 10.5 65 ______1in40 __ ___ 1.004 in 40 _____ 1.000008 in 40. to take this opportunity to honor the million tons of co2 per year to the a tmos­ All ages. ____ 1in100 ____ 1.01in100 _____ 1.0000?. in 100. memory of a Washington County resi­ phere and the l.oad from hundreds of fossil dent and highly respected citizen of fuel plants may be greater than the atmos­ 1 Adapted from Comar and Sagan. ' Risk of death per year from natural gas as fuel for electric Hagerstown, Md. phere and the oceans can absorb. Predic­ power production 1s equivalent to the normal risk (col. 2). tions have been made of increased global Bill Dwyer, an attorney of Hagers­ atmospheric temperatures that might even­ In summary, this brief report provides a town, was deeply admired by all who tually .result in drastic changes in climate range of estimates of the occupational and knew and loved him. He fought a kidney with unanticipated health effects. nonoccupational health effects of several ailment which led to a successful kidney Comar and Sagan have summarized the predominant modes of electric power pro­ transplant, followed by cancer. During quantitative assessments of health effects duction. It appeared that coal and nuclear those years he was devoted to his· family, in the general population from electric power will be the principal fuels for electric church, and community. He kept his power production in the United States in power production in the next 25 years. At sense of humor and was a true inspira­ terms of enhanced risk of death per year. the present time, coal has a much greater Table 3 provides an abbreviation of their adverse impact on health than does nuclear tion to everyone. Mr. Dwyer found time analysis and demonstrates again a greater power production, and efforts need to be to run fo'r public office and had just suc­ adverse effect on health by fossil fuel when directed toward reducing both the health cessfully won the primary for reelection compared to nuclear fuel for electric power and adverse environmental impacts of all as county commissioner. production. forms of energy production.e William Dwyer will be greatly missed September 27, 1978 EXTENSIONS OF REMARKS 32119 by his wife, Sarah, his five children and The family will receive friends at the Bast You pay for this through a lower standard all who knew him. I know my colleagues Funeral Home in Boonsboro Thursday eve­ of living. If the American economy had grown will join me in extending the official ning from 7 to 9. Prayers will be said at as fast as the German and Japanese econ­ sympathies of the House to the family 7p.m. omies over the past twenty-five years, _the The family requests that flowers be omit­ av·erage American would be 50 percent richer of this unselfish and civic-minded ted. Memorials may be made to the Western today. American. Maryland Dialysis Center, 1500 Pennsylvania. The average American family ls actually I include the following article from Ave., Hagerstown.e poorer today than ten years ago. After taxes the Morning Herald, September 27, 1978, and inflation, the average family has about in the RECORD at this point: $250 less real spending power than a decade a.go. WILLIAM J. DWYER "More than anything else," County Com­ WHAT THE ADMINISTRATION AND WHO IS TO BLAME FOR AMERICA'S DECLINING missioner Keller Nigh said Tuesday, "Bill CONGRESS CAN LEARN ABOUT GROWTH? wanted to serve another term." TAXES AND ECONOMIC GROWTH There is a reason that America is falling Nigh, who talked to Bill Dwyer privately behlna. But we don't think it is because FROM WEST GERMANY AND Americans have lost the spirit of initiative last week, said Dwyer was "really glad he JAPAN made it as a county commissioner." and enterprise. Far from it. We are just as William James Dwyer, 59, who died Tues­ capable, imaginative and willing to work as day morning at the Washington County Hos­ Americans always have been, pital, was born in Chicago. He was a son of HON. JACK F. KEMP There's just one problem. You have a the late Michael A. and Florence W. Walker OF NEW YORK burden which people in fast-growth econ­ omies do not have to bear. Dwyer. IN THE HOUSE OF REPRESENTATIVES He completed his pre-law study at DePaul Americans pay staggeringly high capital University in Chicago and was a graduate Wednesday, September 27, 1978 gains taxes. Even such notoriously over-taxed of Eastern College of Law in Baltimore. He peoples as Englishmen and Swedes have capi­ opened a law omce at 10 Jonathan St. • Mr. KEMP. Mr. Speaker, the National tal gains burdens 40-50 percent lower than A World War II veteran, he was a member . Taxpayers Union is running a public plea you. The Germans, Japanese, French, Ital­ of the Morris Frock Post of the American for reduced capital gains tax rates in ians, Swiss and most other Western people Legion. He was also a Grand Knight of the the Nation's newspapers, and l applaud pay virtually no capital gains taxes what­ Pangborn Council of the Knights of Colum­ them for it. soever. bus, a presiding justice of Elks Lodge, and a This ad has been designed to show CAPITAL GAINS TAXES ARE UNFAIR member of the local chapters o! the Moose The combination of inflation and high and Eagles. that the administration's thinking about capital gains taxes is inconsistent with capital gains taxes almost guarante-es that He served as Lector at St. Ann's Church, you can never increases your wealth. Under regional vice-president o! the Archdiocesan historical examples, including our own, current conditions, your assets would have Catholic Men and was active in the Con­ and damaging to the economy. It does to double in 6 years, triple in 10 years and fraternity of Christian Doctrine at St. Mary's an effective job of it. quintuple in 16 years for you just to stay and St. Ann's parishes. The ad shows the correlation between even. Dwyer served as a local trial magistrate The impact falls most severely upon the from 1959 to 1962. high capital gains tax rates and declin­ ing growth, the grossly unfair way in middle class investor. Harvard economist In 1974, the Democrat entered the race for Martin Feldstein has shown that if you -earn Oounty Commissioner. Though not well­ which the tax works to destroy the sav­ less than $100,000, you probably pay an ef­ known except as an attorney, Dwyer won ings and investment we must have to fective capital gains rate of over 100 percent. the fifth highest num'!:>er of votes in the create jobs for the presently unemployed No wonder 6,000,000 small investors have general election and a seat on the county and for a growing labor force, what the dropped out of the capital markets since board. administration and Congress ought to be capital gains taxes were doubled in 1969. He favored the development of parks and When confiscatory capital gains deprive wanted to provide public housing for the doing to reduce the burden of capital gains tax rates, and how the individual small business of equity capital, the effect elderly. He pushed a plan for a bike path is to stifle innovation and smother the spirit along abandoned railroad tracks until the can help shape the administration's and of enterprise. Even Treasury Secretary Mi­ idea proved too costly. Congress response to the problem. chael Blumenthal, who opposes reduced The only issue which constantly drew his Reducing capital gains tax rates would capital gains taxes, has admitted that "the ire was the tax-cutting promises made by help restore our economy by restoring problem is greatest for new companies. and political opponents. He often wondered aloud for small and medium sized ones trying to how taxes could be reduced without cutting the confidence which would arise from its sending of a clear signal to the mar­ market new ideas and new technologies." services. No wonder America is declining economi­ Dwye;r's health problems had begun a few ket that people are going to keep more cally. While the German, Japanese and other yea.rs before he became a commissioner. His of the reward for their work, saving, in­ governments reward risk ta.king and eco­ kidneys had failed, he had been placed on vesting. That is not speculation. Look at nomic innovation by imposing no capital dialysis unit and in 1972 he received a the reaction of the stock market indica­ gains taxes, our politicians have imposed the kidney transplant. tors to news on what the administration steepest. most punishing capital gains rates Commissioner Burt Hoffman said Dyer had anywhere. to be given medicine to narrow the chances and Congress are doing on the capital that the kidney would be rejected. "The doc­ gains issue. When eitqer sends a signal WHAT CAN BE DONE tors told him that five percent of those who that the rates are going to be kept at an President John F. Kennedy understood the take the medicine develop stomach cancer unnecessarily and counterproductively harmful effects of high capital gains taxes. ... and wouldn't you know it, Blll was in high rate, the market reacts by drop­ In his tax message of 1963 he proposed to the five percent," Hoffman said. ping or at best remaining unchanged. drastically reduce capital gains tax rates. Dwyer entered Johns Hopkins last Novem­ But Congress did not a.ct on President But when it looks credibly like there will Kennedy's recommendations. Instead, In ber. He was in and out of the hospital for be a reduction in the rate; for example, months before he returned home and to the 1969, Congress increased capital gains taxes. commissioner's weekly meetings regularly when the House Committee on Ways and Economically, America has been going down­ about a month ago. Means or the Senate Committee on Fi­ hill ever since. Undaunted by his illness, Dwyer filed for nance look as if they are going to reduce It's not too late to correct the situation. re-election and won in the Democratic the rate. the market indicators turn up­ The House of Representatives recently passed primary. ward. a tax blll which included a modest cut in capital gains taxes. The Senate is now con­ Dwyer is survived by his wife, Sarah B. I commend the National Taxpayers Grove Dwyer, of 1132 Beechwood Drive; one sidering more substantial cuts. daughter, Mrs. Lois M. Blumenthal of Miami, Union. Their plea on behalf of our tax· Unfortunately, one of the main obstacle:; Fla.; four sons, William J. Dwyer Jr. and payers follows: to this necessary and overdue legislation is Daniel P. Dwyer, both of Glenville, W. Va., WHAT PRESIDENT CARTER CAN LEARN FROM President Carter. He is using the full power Michael P. Dwyer, at home, and Timothy WEST GERMANY AND JAPAN; ELIMINATING of his omce to block reduction of capital J. Dwyer, of Clear Spring; two sisters, Mrs. CAPITAL GAINS TAXES BRINGS RAPID Eco­ gains taxes. It is up to you to help counter­ Mary Jane Coleman of Chicago and Mrs. NOMIC GROWTH act the President's bad judgment on this Joan Glll, of Evergreen Park, Ill.; and one It is no secret that America ls not the eco­ issue. brother, Robert E. Dwyer, of Chica.go. nomic leader it should be. WHAT YOU CAN DO A mass of Christian burial will be cele­ Every year, the situation gets worse. Our It will only cost you 15 cents-the price brated at St. Ann's Catholic Church on Fri­ balance of payments deficit grows larger. The of a stamp-to he'p put some life back in day at 10 a.m. by the Rev. Father James R. dollar declines. We have less investment. the economy. That's a good investment, just Schaefer. Burial will be in the Boonsboro Slower growth. Smaller increases in produc­ in terms of the money you might save 11 Cemetery. tivity. capital gains taxes were reduced. But it's 32120 EXTENSIONS OF REMARKS September 27, 1978 more than that. By filling out the coupon materials. Then, the Supreme Court truck, there was a "dead calm," an unusual at the bottom of this ad, or sending a letter made its historic ruling regarding the situation in the southern areas of Louisiana. of your own directly to your Representative shipment of solid wastes. The air and gases from the lagoon were · in Washington, you w111 be helping to put simply sitting there. America back on its feet. That wm mean a Both the legislative and judicial But the waste from the truck turned on better standard of living for you, and a branches of this country have recognized the youth. The reaction of the alkaline waste better future for your children. that solid waste disposal is a national from the truck and the acidic lagoon gen­ Once you've voiced your support for lower problem and a solution to the problem erated massive amounts of deadly hydrogen capital gains taxes, get your friends to do must be resolved on the national level. sulfide gas. the same. The politicians in Washington are It is now incumbent upon the U.S. En­ Apparently, Jackson went to the cab of the slow to learn. With them, it's volume that vironmental Protection Agency, as the truck and tried to drive away. counts. Each name is a possible vote. The "By the time anyone got to him, he was more names, the more votes. Make yours Federal executive branch agency charged. dead," Dr. Blunck said. "He had absorbed count.e with implementation of RCRA, to pro­ about six times the lethal dose." mulgate regulations and enforce existing It took more than six weeks of investiga­ laws on a national level. tion to precisely determine the cause of SOLID WASTE: A NATIONAL PROB­ Secure solid waste landfills must exist death. The coroner said the body of the LEM WHICH MUST HAVE A NA­ in order for this Nation to continue to youth was checked for all forms of drugs TIONAL SOLUTION be a world leader in the industrial world. and alcohol to see if his reactions might If we are going to prevent future Love have been slowed by them. Nothing was Canals, we must enforce RCRA to pro­ found. HON. JOHN J. LaFALCE Tangling the investigation, the coroner tect our citizens from irresponsible saJd, was his inability to get the "true se­ OF NEW YORK handling of toxic substances. We cannot quence of what was disposed of into that pit IN THE HOUSE OF REPRESENTATIVES leave the enforcement of solid waste laws in the preceding 48 hours." Wed·nesday, September 27, 1978 to the States alone. We must shoulder the HIGHLY INDUSTRIALIZED responsibility of being an industrialized In a state with limited environmental in­ • Mr. LAFALCE. Mr. Speaker, solid waste nation equally across the country and terest, the case caused an uproar. disposal is a national problem. Every have uniformity of law and enforce­ Louisiana may have the image of a sleElJ>Y industrialized area has solid waste dis­ ment on a national level. southern state. In some ways, it is. But, it posal problems. The question the owners The EPA must recognize that these is also highly industrialized, With an indus­ of most firms must ask themselves is: problems will only increase with time and try built on oil and gas and the salt from "How am I going to dispose of the solid any delay in implementation of RCRA far under the ground. toxic wastes produced as by products of A visitor to the state capital in Baton regulations may make it more difficult Rouge travels to a towering Capitol built the manufacturing process in which my for the public to accept the secure land­ by , once the state's governor and company is engaged?" fill concept due to tragedies that have U.S. Senator. From the airport, the visitor The Supreme Court of the United occurred in the interim. I demand that passes what may be the largest single chem­ States in a decision, city of Philadelphia the EPA fulfill its responsibilities and re­ icJ l and industrial complex in the world. On against State of New Jersey et al., handed direct all of its available resources within a cloudy day, it requires no vision to detect down on June 23, 1978, ruled that it is the Agency to address this situation as it, only a nose. a violation of the interstate commerce expeditiously as possible and to promul­ Visible from the Capitol, between the complex and the river, ts a chemical waste clause of the U.S. Constitution for one gate RCRA regulations without delay. dump. State to ban the shipment of solid wastes The articles follow: It's the sort of state where Attorney Gen­ from one State to another State .iust CHEMICAL WASTE HAUNTS LOUISIANA SWAMP eral William J. Guste has one assistant because the wastes originated in another (By Michael Desmond) working on environmental matters. Before State. Early one morning in late July, Kirtley a budget cut, he had two. At the same time, Citizens who live near landfill sites feel Maurice Jackson, 19, of Plaquemine, La., he does have the former executive director that their life and property are being un­ drove out to a chemical waste lagoon in a of the Louishna Wildlife Federation Inc. fairly jeopardized, because wastes are swamp area of that state, perhaps enjoying stashed away on his payroll as a research being dumped in their backyards not only the hot windless day. assistant. by local manufacturers but by ones from Jackson was driving a tank truck which MORATORIUM DECLARED other regions of the country. The Su­ belonged to a company owned by his father, About one month after Jackson's death, Stanley H. "Jackie" Jackson, the chief deputy the waste disposal problem heated up to the preme Court,· when it handed down its sheriff in charge of investigation for Iber­ point that Gov. took action. June 23 decision, reasoned that the ville Parish, a parish that is essentially a He declared a moratorium on new hazardous wastes from another State could not be swamp between Baton Rouge and New waste permits. banned solely on the basis of origin, Orleans. "I am taking this action to insure the unless there is a compelling reason to Iberv1lle is a throwback parish in what is a health and safety of our citizens. Proper treat the wastes differently. heavily industrialized state. For many years, regulation of the transportation, storage and it was run by Sheriff Jessel Ourso. When disposal of hazardous wastes ts essential The citizens have legitimate concerns. the sheriff died two weeks ago, after a pro­ if we are to protect the public and the prop­ I am inserting in the RECORD today two longed illness, there was even a black stallion erty of our state," he noted in a statement. more articles from the Buffalo Courier­ with reversed boots to help carry him to his This action of Gov. Edwards seems to Express which gives specific examples of grave, in an old military tradition. have given him some political courage to environmental and health consequences Out in the swamp, Clean Land, Air and do a little more. Last Thursday, he said, of the handling, hauling, and dumping Water Corp. (CLAW) operated a deep well "When opting for industry or the risk, I of solid wastes in an unregulated manner. where various chemical wastes were pumped wm take a position against industry." two miles into the ground. A report prepared "There is no need for a multiplicity of If the U.S. Environmental Protection by the state Office of Conservation indicates industry if it destroys the very reason for Agency drags its feet any longer and fails 3.9 different companies used the well to bury our being," he told the Louisiana Environ­ to implement regulations for the Re­ everything from toluene waste water to re­ mental Protection Association. source Conservation and Recovery Act cycled styrene. Five years ago, he told environmentalists of 1976, it is going to flnd that the public Kirtley Jackson was driving the SHJ Inc. he didn't want to hear their concerns or opinion in this country will not permit truck to the hgoon which also was operated listen to their advice. Now, he plans to go to any dumping in this country, even if the by his father's company. What was in the the State Legislature in April for stronger regulations are promulgated, because the lagoon isn't quite clear, because the records centrals on waste. showing what wa.S dumped in it are missing. This may also partly have been caused by public will have experienced too many the State Health Department banning fish­ environmental and health disasters from ACIDIC SAMPLES ing in Lake Providence, a prominent fishing the shipment and dumping of wastes in Parish Coroner Dr. C. E. Blunck Jr. said spot, on Sept. 12 because of contamination the past. samples taken later indicated there was sul­ of a deadly pesticide. furic acid, alcohol and sludge from an oil At the ea.me time, this concern has not The U.S. Environmental Protection refinery catalytic cracker. All were acidic. been extended to the State Office of Science Agency must imnlement RCRA now. What was in Jackson's truck? "It was a Technology and the Environment. The office Congress passed th's law in 1976, because combination of corrosive materials, many of is preparing the state rules under the federal it foresaw the problems being created by which should have gone into a deep well," Resource Conservation and Recovery Act our derp.ands for more and more products the coroner told The Courier-Express. (RCRA) of 1976. The rules go out to the manufactured by nonbiodegradable When Jackson began to empty his tank public for 15 days for comment, officially September 27, 1978 EXTENSIONS OF REMARKS 32121 starting Thursday. No copies a.re available out once or twice a year, putting the wastes $80,000 study of underground water. There yet. into the local water. are a number of drinking water wells nearby The office has two people working on the The state produces vast amounts of wastes and William Hegner, a principal engineer federal law. a year. Much of it is dumped down deep with the 011 and Chemical Section of the RCRA is the congressional answer to the wells. Much of it probably just disappears. Water Compliance Bureau, agrees the chem­ whole problem of generation, shipment and Givens commented: icals could turn up in the water. processing of hazardous waste. But the fed­ "I would safely say there is no report, or "There is a potential for that," he admit­ eral Environmental Protection Agency has one point, where you could go to find out ted. never issued the rules to put it into effect. about waste." BRIDGEPORT PROBLEM DELAY UNTIL 1980 The state also had a cleanup problem in BURY Now, PAY LATER-Toxics RATI'LE NEW Bridgeport, where chemicals were dumped The EPA rules were due in April. But EPA, ENGLAND, Too into a gravel area. The contaminated gravel headed by administrator Douglas M. Costle, (By Michael Desmond) had to be dug up and hauled away. Much of now says it won't issue the rules until 1980. it went to the SCA Chemical Waste Services Louisiana has a new law to regulate haz­ The New England states solve the hazard­ ous waste problem by shipping their dan­ Inc., formerly ChemTroi, in Niagara, N.Y. ardous was.tes. But, in a replay of the prob­ But, the biggest chemical waste problem lems of the EPA, regulations to implement gerous materials to other parts of the country. in New England is Silresim. The State Legis­ the law haven't been written. lature has been asked to put up $1.5-mUlion Louisiana is one of the many states that The Northeast corner of the nation bas no good waste disposal site. But, as would be for a cleanup based on a report from Fred C. have serious chemical waste problems. Hart Associates, in an environmental re­ One test of this is the widespread contam­ expected in a heavily industrialized area, there are industrial and hazardous wastes." search firm in New York City. The Hart re­ inating chemical family of PCBs. A 1977 port said: study of water and sediment samples by the BAY STATE MESS EPA in Louisiana waters found widespread "Results of studies conducted for this con­ Massachusetts is the possessor of one of tract indicated significant on-site contam­ PCBs, but admitted testing methods were the great chemical messes of our time: The not adequate. ination of surface water bodies after the Silresim Chemical Corp. in Lowell firm went spring thaw. High concentrations of toluene In releasing the figures, EPA noted the broke, leaving behind 15,000 drums-55 gal­ method used to look for PCBs isn't very and trichloroethylene were detected in soil lons each--of various chemicals and hun­ and ground water sampled at the facmty. good. As a result there could be PCBs present, dreds of thousands of gallons of all kinds of just not measured. High concentrations of total organic carbon liquids in tanks. were also detected in on-site wells and local water pollution in Louisiana is under the The citizens of Methuen and Lawrence, jurisdiction of the Stream Control Commis­ sewers.· ~ Mass. get their drinking water from an in­ CA USES DEPRESSION sion. But, the commission is something of take downstream from where chemicals from a bureaucratic fiction. It is made up of the Silresim are leaching into the Merrimack Toluene causes depression of the central nervous system, addiction, muscular fatigue heads of a number of state agencies and River. has no staff of its own. Under the new law, In Rhode Island, the residents are starting and can kill in high concentrations. juri&liction will pass to the Department of to worry about chemicals leaching into the There are two forms of trichloroethylene. Natural Resources. High exposure to either can kill. Either may Pawtuxet River from a land fill. also cause kidney or liver damage. "NO APPROPRIATION" ln Connecticut, John Housman, principal The commission has "no appropriation Environmental Protection, admits there are AIR TANKS and no budget," according to Dale -Givens, problems. Asked if the state's wastes are be­ The situation is so bad that the federal its assistant director. Givens suggested the ing properly disposed of, he could only say, Environmental Protection Agency (EPA) PCBs are coming down from the air in rain. "Right now, I have no way of knowing." has ordered any of its employees visiting the He doesn't think there is any particular VILE ODOR scene to wear air tanks, rather than filtering problem with the state's vast water sup­ In Maine, the little town of Gray found masks. plies, but admits no one is really looking. out one day that the vile odor and strange The site has been a problem almost since The standard state tests of water are for color which turned up in their drinking it opened in 1973. It began as more of a stor­ biological oxygen, suspended solids and the water in 1975 came from chemicals dumped age site than anything else. But, gradually its "PH" of the water. The current expanded at a site outside of town. Eventually, the site owner, Dr. John Miserlis, began to try to turn program is more for heavy metals· and some was closed down. it into a chemical waste re-processing plant. pesticides. Gray Town Council Chairman Michael In July 1975, the state Division of Water "Which really don't tell you a hill of Gibbs put his finger on the issue. Pollution Control (DWPC) threatened to re­ beans about whether there is a low level of "We discovered our problem pretty much voke its license unless changes were made. something, that might cause cancer," he by accident. I shudder to think what some When the 1976 license limited what could noted. other towns might be drinking in their be handled on site, the corporation took the In a few areas, PCBs are so high in water water." state to court and the judge removed the re­ that they can be measured. This indicates It's serious point. strictions. Some new ones were set in the they are hundreds of times above the safe DATA LISTED court order but were apparently never ad­ level set by the Federal Food and Drug Ad­ hered to. minis·tration. The New England Regional Council re­ cently attempted just to get a handle on BY BANK Government action on the state level is In October 1976, the site was taken over by slow, but the citizens of New Orleans seem how much waste there was in the six states. It came up with figures of 18.4 million gal­ the bank which held the mortgage. The bank tO have an unconscious reaction. The old studied the situation and reopened the site. city is a heavy user of bottled drinking lons of reclaimable wastes, that is waste oil and solvents; 5.6 million gallons of treat­ Last year, the firm went into bankruptcy, water. even though the site itself was still in opera­ REGULATIONS URGED able wastes; 5.9 million eallons of waste that has to be incinerated; and 17.9 million gal­ tion. Dr. Robert H. Harris of the Environmental lons of waste which has to be landfilled. A year ago, Lowell city workers were over­ Defense Fund in Washington, D.C., recently How accurate the figures are is anybody's come by toluene fumes in the sewer. Appar­ attacked proposals to delay EPA drinking­ guess. Housman would only term them ently at that point the city and citizens be­ water regulations. He told an EPA hearing "rough estimates." came aware of how bad the situation bad in New Orleans: There are unusual industries in the area. become. "Furthermore, EPA should be reminded Providences has a large jewelry industry with The court order had required the removal that a large segment of the public in New highly acidic waste. Much of that goes into of 500 barrels a month to cut down the ac­ Orleans, as well as elsewhere, has lost con­ city sewers, according to Frank Stevenson, a cumulation. The Hart report indicates the fidence in the safety of local water supplies. senior sanitary engineer with the Division of materials in the deteriorating drums were By seeking expensive alternatives, such as Land Resources of the Department of Envi­ simply dumped into some of the large tanks bottled water and home water treatment de­ ronment Management. on the site. vices, they are paying many times the rate LOSING TRACK Now the state and the federal government increase the EPA regulations will require." are asking companies to come in and make A 1974 EPA study found 20 chemicals in "We are also losing track of the sewage bids on the cleanup. The Hart report indi­ the New Orleans drinking water which have discharge," he noted. The city is getting a cates part of the cleanup will include sealing the capacity to cause cancer. Some are pesti­ system to pretreat jewelry waste before it the underground water and putting some sort cides. But others are industrial wastes, such goes into the regular system. of cap on the surface to control runoff and as benzene and hexachlorobenzene. Vermont and New Hampshire are believed air pollution. Harris estimated there would be 250 extra to produce minimal amounts of hazardous "We generally know what's there," com­ cancer deaths a year in New Orleans caused wastes. mented Hans Bonne of the state DWPC. by the local drinking water. Connecticut has a similar water case in the At one point, Dr. Miserlis used an aerial Citizens are suspicious because they know Town of Plainfield where chemicals were photo of the site to take a variety of govern­ the Bayou Sorrel lagoon where Jackson died dumped into a regular landfill. The state has ment agencies on a tour of chemistry. For is an area where hi~h water would fiush it already spent $600,000 there, including an example, he could tell them area 27 contained 32122 EXTENSIONS OF REMARKS September 27, 1978 chlorinated benzene from Solvent Chemical panies should be made available to Amer­ capital as a government agency," has offered Co. Inc. of Niagara Falls, N.Y. Or, he could ican companies which employ American credits "at far more favorable terms than ten them he had no idea what was in area workers. are available to most private borrowers." 23. Area 14 had six storage tanks with a com­ Who wrote the article? None other than a bined capacity of 80,000 gallons containing Congressman LoNG's leadership in former vice president of the Export-Import hexane, toluene, methylene chloride, water making America's foreign economic pol­ Bank. acetone and what was described by him as icies more responsive to the needs of Even at present levels, steel imports are "miscellaneous hydrocarbons." American workers and businesses is de­ large enough to cut deeply into the profita­ STORAGE TANK serving of the highest praise. As chair­ bility and growth of U.S. producers. The There is even one 100,000 gallon storage man of the Congressional Steel Caucus, whole profit situation in steel is touch and tank filled to the top. In warm weather, the which was created to restore and main­ go. Basically the difference bet.ween success Hart report said, "Due to a decrease in den­ tain a healthy domestic steel industry and failure is this extra business--lost to sity upon warming, the materials stored in and to protect the jobs of its workers, I foreign competition-which could keep the the 100,000-gallon storage tank will likely furnaces burning as they must, 24 hours a urge the gentleman from Maryland

September 27, 1978 EXTENSIONS OF REMARKS 32127 Silresim Chemical Corp., a Lowell firm went tract indicated significant on-site contami­ Dr. Charles A. Johnson is technical di­ broke, leaving behind 15,000 drums-55 gal­ nation of soils and ground water and the rector of the National Solid Waste Manage­ lons each--of various chemicals and hun­ potential for contamination of surface water ment Association, a trade group in Wash­ dreds of thousands of gallons of all kinds bodle<: after the spring thaw. High concen­ ington, D.C. He called Silresin a "classic ex­ of liquids in tanks. trations of toluene and trlchloroethylene ample" of commercial plans to recycle The citizens of Methuen and Lawrence, were detected in son and ground water chemical and hazardous wastes. Mass. get their drinking water from an in· sampled at the facility. High concentrations "He couldn't make it pay," was the ver­ take downstream from where chemicals ot total organic carbon were also detected in dict. from Silresim are leaching into the Mer­ on-site wells and local sewers." 21 MONTHS LATE rimack River. CAUSES DEPRESSION Despite problems encountered at Silresin In Rhode Island, the residents are start­ Toluene causes depression of the central and elsewhere, the EPA has Just announced ing to worry about chemicals leaching into nervous system, addiction, muscular fatigue it would be at least 21 months late issuing the Pawtuxet River from a land fill. and can kill in. high concentrations. regulations that could control improper In Connecticut, John Housman, princi­ There are two forms of trlchloroethylene. waste disposal. EPA ls headed by Douglas M. pal Environmental Protection, admits there High exposure to either can k111. Either may Costle, an appointee of President Jimmy are problems. Asked if the state's wastes are also cause kidney or liver damage. Carter. being properly disposed of, he could only AIR TANKS The regulations were required to be issued say, "Right now, I have no way of know­ Tho situation ls so bad that the federal last April, 18 months after the 1976 Re­ ing." Environmental Protection Agency (EPA) sources Conservation and Recovery Act VILE ODOR has ordered any of its employees visiting the (RCRA) became law. But those 18 months In Maine, the little town of Gray found scene to wear air tanks, rather than filter­ proved not to be sufficient for EPA to come out one day that the vile odor and strange ing masks. up with the regulations necessary to insti­ color which turned up in their drinking The site has been a problem almost since tute the RCRA. Last Friday, EPA said it water in 1975 came from chemicals dumped it opened in 1973. It began as more of a stor­ would be unable to come up with the rules at a site outside of town. Eventually, the age site than anything else. But, gradually until January 1980. site was closed down. its owner, Dr. John Mlserlis, began to try That means the agency will have taken 39 Gray Town Council Chairman Miohael to turn it into a chemical waste re-processing months to complete work on the regulations. Gibbs put his finger on the issue: plant. Despite the delay, EPA has only 161 o! its "We discovered our problem pretty tnuch In July 1975, the state Division of Water nearly 11,000 employees nationwide working by accident. I shudder to think what some Pollution Control (DWPC) threatened to re­ in the area of hazardous wastes. other towns might be drinking in their voke its license unless changes were made. water." When the 1976 license limited what could WEST Is LAUNCHING SITES FOR MISSILES It's serious point: be handled on site, the corporation took the Now USED FOR HAZARDOUS WASTES state to court and the Judge removed the re­ DATA LISTED strictions. Some new ones were set in the (By Micha.el Desmond) The New England Regional Council recent­ court order but were apparently never Two $55 mllllon relics of the mi~lle age ly attempted Just to get a handle on how adhered to. have become one of the more ingenious much waste there was in the six stateS'. It BY BANK methods of disposing of the hazardous wastes came up with figures of 18.4 mlllion gallons In October 1976, the site was taken over of the industrial age. of reclaimable wastes, that ls waste oil and by the bank which held the mortgage. The Wes-Con Inc. of Twin Falls, Idaho, owns solvents; 5.6 million gallons of treatable bank studied the situation and reopened the two complexes each built to launch three wastes; 5.9 milllon gallons of waste that site. Last year, the firm went into bank­ Titan missiles. The slloes a.re 160 feet deep has to be incinerated; and 17.9 mllllon gal­ ruptcy, even though the site itself was still and 50 feet across. The concrete is 16 feet lons of waste which has to be landfilled. in operation. thick at the bottom and 11 feet thick on the How accurate the figures are ls anybody's A year ago, Lowell city workers were over­ sides. The sites were built about 20 years ago guess. Housman would only term them come by toluene fumes in the sewer. Ap­ and were closed in 1964. "rough estimates." parently at that point the city and citizens The firm has already filled two of the three There are unusual industries in the area. became aware of how bad the situation had silos at a near-desert site near Grand View, Providence has a large- Jewelry industry become. Idaho, and is well on the way to filllng the with highly acidic waste. Much of that goes The court order had required the removal third. A second site a.bout 40 miles away in into city sewers, according to Frank Steven­ of 500 barrels a month to cut down the Bruneau, is being prepared to take waste in son, a senior sanitary engineer with the accumulation. The Hart report indicates the its three siloes. Division of Land Resources of the Depart­ materials in the deteriorating drums were Perhaps 300 miles away, in an equally dry ment of Environmental Management. simply dumped into some of the large tanks area of eastern Oregon, Chem-Nuclear Sys­ LOSING TRACK on the site. tems Inc. of Bellevue, Wash., operates a dis­ "We are also losing track of the sewage Now the state and the federal government posal site based on the a.bllity of dry desert discharge," he noted. The city ls getting a are asking companies to come in and make air to dry out wet waste. Chemical wastes are system to pre-treat Jewelry waste before i·t bids on the cleanup. The Hart report indi­ simply put out in 400,000 gallon ponds and goes into the regular system. cates part of the cleanup wlll include sealing left to dry in the sun. Vermont and New Hampshire are believed the underground water and putting some CALIFORNIA A LEADER to produce minimal amounts of hazardous sort of cap on the surface to control runoff California has some hazardous waste treat­ wastes. and. air pollution. ment sites which use the same approach. Connecticut has a similar water case 1n "We generally know what's there,'' com­ That shte may also have the nation's best the Town of Plainfield where chemicals mented Hans Bonne of the state DWPC. system of rules and regulations governing were dumped into a regular landfill. The At one point, Dr. Miserlis used an aerial disposal of hazardous chemicals. California state has 'already spent $600,000 there, in­ photo of the site to take a variety of govern­ also has more good disposal sites than any cluding an $80,000 study of underground­ ment agencies on a tour of chemistry. For other ste.te, according to James Stahler, en­ water. There are a number of drinking water example, he could tell them area 27 con­ vironmentJ.l engineer in the San Francisco wells nearby and William Hegner, a prin­ tained chlorinated benzene from Solvent regional office of the Federal Environmental cipal engineer with the Oil and Chemical Chemical Co. Inc. of Niagara Falls, N.Y. Or, Protection Agency covering California, Ari­ Section of the Water Compliance Bureau. he could tell them he had no idea what zona, Hawaii and Nevada. agrees the chemicals could turn up in the was in area 23. Area 14 had six storage tanks "It's one of the most aggressive, progressive water. with a combined capacity of 60.000 gallons states in the union,'' Stahler said of the "There is a potential for that," he containing hexane, toulene, methylene chlo­ state's hazardous waste program. admitted. ride, water acetone and what was described He should know. Stahler was loaned by BRIDGEPORT PROBLEM by him as "miscellaneous hydrocarbons." EPA to Callfornla in 1973 to write the state The state also had a cleanup problem STORAGE TANK regulations governing solid and hazardous in Bridgeport, where chemicals were There is even one 100,000 gallon storage wastes. That was three years before Congress dumped into a gravel area. The contami­ tank filled to the top. In warm weather, the passed the Resource Conservation and Recov­ nated gravel had to be dug up and hauled Hart report said, "Due to a decrease in den­ ery Act of 1976 (RCRA) which is supposed to away. Much of it went to the SCA Chemi­ sity upon warming, the materials stored in handle the problem on a national basis. cal Waste ' Services Inc., formerly Chem­ the 100.000-gallon storage tank wm likely Trol, in Niagara County, N.Y. "Before RCRA was a dream," he com­ overflow as soon as warm weather arrives mented, California was working on its law. But, the biggest chemical waste problem since the tank is full to the top." But, EPA is years away from putting the in New England is Silre::im. The State Legis­ The material inside is in three parts. There regulations to implement RCRA into effect. lature has been asked to put up $1.5-million is a one-foot residue layer on the bottom. for a cleanup based on a report from Fred Above that ls 50,000 gallons of water with a MUCH WASTE IN STATE C. Hart Associates, in an environmental re­ variety of dissolved hydrocarbons. On top is California has to watch the chemical dis­ search firm in New York City. The Hart re­ 50,000 gallons of such things as toulene, posal problem: The state has an estimated port said: cancer causing benzene and mineral spirits. 10 percent of the national total of 92 billlon "Results of studies conducted for this con- Right now, it's all still there. pounds of hazardous waste. 32128 EXTENSIONS OF REMARKS September 27, 1978 The Golden State now has nine hazardous tion, the son on the site will not carry waste "We're now trying to get an engineer to waste sites licensed to handle hazardous materials far away. Ground water is so far get the copper out," he said. "There's a wastes. When the law took effect on July 1, below the site, it is not likely to flush waste million dollars worth of copper out there." 1973, there were 18. The steady expansion of away to threaten neighbors. The Wes-Con site in Bruneau is now differ­ the state-"urban encroachment"-has cut For example, at the Chem-Nuclear Oregon ent. In about six months, Reinbold said, into the total. site, if a pond were filled with 53 inches of dumping will start in the three slloes there. Recently a site near San Diego was closed water on Jan. 1 of an average year, it would Now, in a site tour conducted for The Cou­ because the operator decided residenthl be dry on DJc. 31 of the same year because rier-Express, it can be seen where the $55 areas were closing in on the location. A closed of evaporation. There is negative precipita­ million went, when the Air Force built this site like this in a residential area opens up tion there. missile site. the possibility of a situation similar to that TIGHT STATE RULES Both the Grand View and Bruneau sites of the Love Canal in Niagara Falls. There, a The site operates under rigid controls by are located not far from Mountain Home hazardous waste dump went bad forcing the the State of Oregon. The state must approve (Idaho) Air Force Base, which is still op­ evacuation of the neighborhood. e-;ery waste material which goes into the site. erating. There is plenty of need for more sites in "Our policy is that if a chemical can be One· vast, vaulted underground room held California. recycled, we require it," Eduardo G. Chiong, a complete power plant to operate the entire "I cannot think of anything that this state an engineer in the Hazardous Waste Section complex without outside power. Another doesn't produce or use or throw away," he of the Oregon Department of Environmental three story area held the living quarters and commented on the state's industries. Quality, told the Courier-Express. the control center. Seemingly endless tunnels Until recently, Stahler noted, "perhaps 50 Ironically, the man who set up the Oregon link the sections. percent" of hazardous waste disposal or system as a state chemical engineer is now DEEP WATER TABLE treatment "left something to be desired." on the other side of the fence. Patrick H. In both Grand View and Bruneau, the QUARRY SITE DANGEROUS Wicks is now manager of chemical disposal water table is 2,000 feet down below the There are bad past sites. Perhaps the worst and treatment for Chem-Nuclear. site. (At Chem-Nuclear in Oregon, the water is in Riverside, Calif., just outside Los An­ Oregon agents make frequent visits to the is only 800 feet down, but there are two geles. A quarry company operated a dump site site. The company relies on the producer of layers of hard rock in between.) there for several years, mostly taking heavy the waste for analysis of the contents. Wes-Con is licensed to take solid materials metal sludge and acids. The wastes were "We don't do any testing. That's done be­ contaminated with PCB, but it can't take dumped in a series of pits running down a fore it's shipped. It would be orohibitive. It's liquid PCB. hillside on the edge of residential Pyrite up to the integrity of the manufacturer," Reinbold said he plans to use underground Canyon. said Frank Dement, site manager. areas in addition areas beside the six silos "BATHTUB RINGS" for special storage. "When the st:uff was dried up, they would "We haven't decided yet. It depends on dig out the middle of the pit and dump it on Chem-Nuclear has five work areas. Two what we get. We want to use it for long th·e side," explained Stephen Herrera, staff are essentially waste lakes. These are 400,000 term heated storage of some materials which engineer with the Santa Ana Regional Water gallon areas. One contains acids and the can be recycled four or five years down the Quality Board. other contains basic wastes. The basic waste line," Reinbold said. The site has been closed for five years and lake has rings of color around it from the Materials for the site come from all over, the previous owners "just walked away," he different wastes, like rings on a bathtub. he said. Some come from as far east as New said. Another pit started out as 500 feet Jong Jersey, he told The Courier-Express. But, last year. heavy rains washed into the and 30 feet deep. It is gradually being filled Various wastes, also especially PCB, come pits, threatening to wash the entire complex from one end with a variety of solid wastes. in from Canada. and everything it contained down the hill In its bottom is a vast, sealed concrete box. Roger Fuentes, a chemical engineer with and into a residential area. So, perhaps a It contains road and roadside materials the EPA regional office in Seattle, was unable million gallons of water and waste were which were contaminated when a tank truck to say how much chemical waste comes from pumped out into a nearby stream. The stream load of pure cyanide was wrecked and spilled Canada, however, he said: then overflowed onto adjacent land. onto the highway. "We don't have the information as far as A wrecked truck is also buried at Chem­ movement of hazardous waste. We don't have SCHOOL AFFECTED Nuclear. It was contaminated in a highway the facilities to keep track of that without The pollutants also somehow seeped into wreck and simply buried because it wasn't RCRA." the well of an elementary school 7,000 feet worth cleaning and fixing. LAW NOT IMPLEMENTED away, according to Mrs. Ruth Kirkby, secre­ The Oregon area has two large pits for RCRA is a federal law which provides for tary of a citizens group agitating for a liquid waste, other than the acid and basic "cradle to grave" handling of hazardous cleanup of the entire site. tanks. Here also, the dry air is used to simply waste. But, EPA has not yet been able to It isn't completely clear what went into dry out the waste. As with much chemical provide the regulations to implement the law the site. But, it is known to have received a waste, there is a lot of water in it. in the almost two years since it became law. variety of acids and a lot of metal sludges, DmT CAP APPLIED As a result, the law is essentially a dead especially from metal plating operations. The firm has piled up to 11 feet of sludge letter. Mrs. Kirkby has been so involved in trying in the bottom of two other pits used for There doesn't seem to be much urgency to get the site cleaned up she has even talked other liquids in 30 months of operation. about the hazardous chemical waste situa­ to Dr. Roger Herdman, New York State direc­ When 27 feet thiclt, the dumping will be tion in some western states. tor of public health. She said she talked to stopped and the material allowed to dry. Washington, for example, has no hazardous Dr. Herdman because of the Love Canal situ­ Then, a three foot thick dirt cap will be put waste disposal site yet. But, it does have an ation in Niagara Falls. on it. elaborate set of rules which took effect She explained that she was worried that At the Grand View Idaho site, Wes-Con Aug. 1 to define what ls an "extremely the air and water pollution in the area of has a little different approach. The site in hazardous" waste. The state estimates there the Pyrite Canyon might create the same use now is located in the middle of a vast are somewhere between 20,000 and 60,000 sort of environmental disaster that occurred natural deposit of the special "bentonite" tons generated each year of extremely haz­ in Niagara Falls, where dangerous chemicals clay used to seal hazardous wastes. So, a ardous waste. seeping from a closed dump have forced evac­ machine just digs the clay out and piles it "They are currently very soft numbers," uation of a whole neighborhood. up to be used as back fill. according to Tom Cook, head of the haz­ $375,000 FOR CLEANUP The drums of waste are put into the hole ardous waste section of the Department of California has appropriated $375,000 to with a. special bucket and covered over with Ecology in Olympia, Wash., meaning the esti­ clean up the Pyrite Canyon scene. Stahler clay. Originally, drums of chemical wastes mates are very rough. has some doubts that the money is anywhere were just dropped into the hole. But, there Cook said firms in his state can treat near enough. were fires and explosions and government the waste, store it on site or send it out of "Like Love Canal, they were first talking objections. So, the procedure was changed. state. That sent out of state usually goes to $4 million, then $8 million," he said. "Now Most of the material going into the silos Wes-Con in Idaho or Chem-Nuclear in they're talking $10 million." comes from agriculture, according to Gene Oregon. · Said Mrs. Kirkby: Reinbold, the. company president. This covers SMALL CHEMICAL INDUSTRY "We just wish we knew what to do about pesticides, wastes from making pesticides The State of Idaho keeps an eye on Wes­ this. It's a terrible thing." and related materials and pesticide con­ Con. The firm takes care of one of the state's Both the Chem-Nuclear Oregon site and tainers. A small underground room is used problems, the disposal of empty pesticide the two Wes-Con Idaho sites are attempts for disposal of aerosol containers, many of drums. to get around the location problem. That is them full of varying types of chemicals. Jerome Jankowski, senior environmental also true of a site in Beatty, Nev. All four VALUABLE COPPER STORED quality specialist in the Solid Waste Section sites are located in extremely isolated, nearly There are about 3,000 cardboard drums of in the Idaho Department of Health and Wel­ desert areas. copper sludge stored around the Idaho site. fare, noted, "We don't have much in the way The sites are located in far, out of the way Reinbold said the material is about 30 per­ of a chemical industry." places, with essentially no neighbors. In addi- cent copper. Perhaps the longest shipments are from September 27, 1978 EXTENSIONS OF REMARKS 32129 Hawaii. EPA's Stahler said there are no examiner stated that Seaburn died of cardiac committees, joint committees, and com­ chemical waste regulations in Ha.wail. All arrest brought on by "an allergic reaction" mittees of conference. This title requires Hawaiian waste ostensibly is shipped to the to the venom of the ant. all such committees to notify the Office U.S. mainland. However, there is some evi­ The medical reports stated that Sea.burn dence of improper dumping of chemical had a history of a.cute sensitivity to insect of the Senate Daily Digest-designated wastes in the Aloha state. bites. by the Rules Committee-of the time, Arizona is now completing its hazardous Rasmussen submitted a written statement place, and purpose of all meetings when waste regulations, with a target date of in which he said Sea.burn was observed scheduled, and any cancellations or Nov. 1 for effectiveness. Stahler said they spraying the ants with some type of insect changes in meetings as they occur. are based on the California rules. The state spray. He said Seaburn called to him a. few As an interim procedure until the com­ will lease a treatment and dump site to a minutes later, saying ne had been stung and private operator for hazardous waste after directing Rasmussen to "get me to the hos­ puterization of this information becomes the regulations are completed. pital right a.way." operational the Office of the Senate Daily An isolated site is being considered. Digest will prepare this information for Stahler put his finger on one of the key U.S. DEPARTMENT OF AGRICULTURE, printing in the Extensions of Remarks issues when he told The Courier-Express: ANIMAL AND PLANT HEALTH IN­ section of the CONGRESSIONAL RECORD on "Nobody wants a garbage dump in their SPECTION SERVICE, Monday and Wednesday of each week. backyard. But, God knows the stu1f has to September 19, 1978. go somewhere."e To: Mr. R. H. Prestage, District Director. Any changes in committee scheduling From: T. H. Murphy, PPQ Officer. will be indicated by placement of an Subject: Report of Death by Fire Ant Sting. asterisk to the left of the name of the FIRE ~A DANGER TO THE On September 13, 1978, this writer was unit conducting such meetings. PUBLIC called by Georgia Health Official, Mr. Don Meetings scheduled for Thursday, Sep­ Curry, and the Vidalia, Georgia. Police Chief, Mr. Joel Joyner, concerning the sudden death tember 28, 1978, may be found in the HON. BO GINN of Mr. Ron Seaburn. Daily Digest of today's RECORD. OF GEORGIA Mr. Seaburn resided at 621 E. 7th St., Vi­ dalia., Georgia. MEETINGS SCHEDULED IN THE HOUSE OF REPRESENTATIVES Mr. Seaburn, White, Male, 25 years of age, SEPTEMBER 29 Wednesday, September 27, 1978 was reportedly bitten on the foot by an ant 9:00 a .m. while he was getting dressed in the bedroom Human Resources • Mr. GINN. Mr. Speaker, the fight of his house. Labor Subcommittee against the imported fire ant is slowly The Investigating Officer, Policeman Wil­ To mark up proposed National Labor being lost due to Government inaction, liam Varnadoe, collected several ants from Relations Procedures and Remedies indecision, and indifference. I have ap­ the bedroom. The ants were tentatively iden­ Act. pealed many times to the Department of tified as the Imported Fire Ant. Specimens 4232 Dirksen Building have been sent to the Gulfport Laboratory for 9:30 a.m. Agri:ulture, the Environmental Protec­ determination. Entomologist Homer Collins Conferees tion Agency, and others to clear the way of the Gulfport laboratory has identified the On H.R. 10173, to improve pension pro­ for an effe:tive treatment program to ants as: Solenopsis saevissima. invicta. (Im­ grams for veterans and their survivors. eradicate these ants. Unfortunately, the ported Fire Ant) . S-146, Capitol response to date has been totally inade­ TURNER H. MURPHY, PPQ Officer. 10:00 a.m. quate. Banking, Housing, and Urban Affairs Many individuals in sections of our FmE ANT BITES BLAMED IN DEATH To hold oversight hearings on problems country which have yet to be infested by HOLDEN BEACH.-The death Of an elderly of small business defense contractors. fire ants do not understand the danger Holden Beach man whose body was found in 5302 Dirksen Building they present to public health. This threat a woods on Dec. 1 with a lit flashlight in his Energy and Natural Resources to the public was tragically illustrated hand has been attributed to cardiac failure To resume consideration of proposed leg­ a.nd an acute asthma attack brought on by islation designating certain Alaska recently when a young man in Vidalia, fire ant bites. lands as national parkland. Ga., was killed by the bite of a fire ant. Tommy Gilbert, Brunswick County medi­ 3110 Dirksen Building Late last year, an elderly man in Holden cal examiner, said this week that an autopsy Joint Economic Beach, Fla., was also killed by the venom had determined that 20 to 40 fire ant bites To hold hearings on the inadequacies of of the fire ant. Without objection, I ask contributed to the cardiac arrythmia and U.S. export policy. that press accounts of these deaths be asthma that killed O'Neil Steele, 67, of Route S-207, Capitol reprinted in the RECORD at this point, 1, Holden Beach. 1:30 p .m. "He probably would not have gone into Conferees along with a report by the Department of cardiac arrythmia and the asthmatic .attack Agriculture on the death of the Vidalia On H.R. 12467, to extend programs estab­ if he had not been bitten by the ants," Gil­ lished under the Rehabilitation Act, man. bert said. and to establish a comprehensive serv­ (From the Atlanta Constitution, Sept. 26, Steele, who had a history of asthma, was ices program for the severely handi­ 1978) walking though a lightly wooded area from capped. GEORGIAN'S DEATH BLAMED ON FmE ANT a neighbor's house to his own home on the S-146, Capitol night of Dec. 1 when he died, Gilbert said. (By Jim Lee) The medical examiner said Steel's flashlight SEPTEMBER 30 MACON.-A U.S. Department of Agriculture was still lit when the body was found. 9:00 a.m. official confirmed Monday that Georgia ap­ Gilbert said Steele's was the first recorded Human Resources parently has recorded 1-ts first death directly death from fire ant bites in Brunswick To mark up proposed National Labor Re­ attributed to the sting of a fire ant. County. lations Procedures and Remedies Act. R. H. Prestage, director of the Plant Pro­ Fire ants get their name from their pain­ 4232 Dirksen Building tection and Quarantine Division of USDA in ful bite, which merely stings most people but OCTOBER 2 Georgia., said the death occurred Sept. 13 in can be danl!erous to those allergic to bee 10:00 a.m. Vidalia after several of the large ants invRded stings or other insect bites. Fire ants build Finance the bedroom of Ron Sea.burn, 21, and one large mounds that can hamper harvesting, International Trade Subcommittee stung him on the foot. ant:l the ants attack ferociously when dis­ Prestage said no formal announcement of turbed. To hold hearings on H.R. 11711, to im­ the death had been made by his office be­ Efforts to control fire ants have been con­ prove the operation of the adjustment cause final reports from a. USDA representa­ troversial because the most popular chemical assistance programs for workers and tive, medical authorities and the local police used to combat them. Mirex, breaks down firms under the Trade Act. were needed. He said his office received the into Kepone. a poison t.hat att.acks the nerves 2221 Dirksen Building reports last week. and can cause cancer, when it enters the OCTOBER 3 Prestage said several an ts ta.ken from the environment.e 8:00 a.m. bedroom were subsequently sent to a. USDA Governmental Affairs laboratory in Gulfport, Miss., where they were Permanent Subcommittee on Investiga­ identified as the imported variety. SENATE COMMITTEE MEETINGS . tions Prestage said the presence of the ants in Title IV of Senate Resolution 4. agreed To hold hearings on the Government's Seaburn 's bedroom was verified by Vidalia handling of certain export licenses police officer William Varnadoe and Antone to by the Senate on February 4, 1977, transferring U.S. oil and gas well Rasmussen, a. friend of the victim who had calls for establishment of a system for a drilling technology to the Soviet arrived from Illinois the previous night. comouterized schedule of all meetings Union. Reports by a. local physician and a. medical and hearings of Senate committees. sub- 3302 Dirksen Butlding CXXIV--2020-Pa.rt 24 32130 CONGRESSIONAL RECORD-SENATE September 28, 1978 9:00 a.m. administration of the Occupational To hold hearings on national health Energy and Natural Resources Safety and Health Administration Act insurance programs. Parks and Recreation Subcommittee (P.L. 91-596) . 4232 Dirksen Bulldtng To hold hearings on S. 2866, to provide 4232 Dirksen Building OCTOBER 10 for the establishment of the New 10:00 a.m. 9:00 a.m. River Gorge National River, West Banking, Housing, and Urban Affairs Armed Services Virginia. To continue oversight hearings on the Manpower and Personnel Suooommittee 3110 Dirksen Building Council on Wage and Price Stability. To hold hearings on alleged abuses in Human Resources 5302 Dirksen Building U.S. Marine Corps recruiting practices. To hold hearings on the nominations of OCTOBER 5 1114 Dirksen Building Armando M. Rodriquez, of California, 9:00 a.m. 9:30 a.m. and J. Clay Smith, Jr., of the District Energy and Natural Resources Human Resources of Columbia, to be members of the Parks and Recreation Subcommittee Equal Employment Opportunity Health and Scientific Research Subcom­ To hold hearings on S. 3429, to designate mittee Commission. the Great Bear Wilderness, Flathead 4232 Dirksen Building National Forest, and enlarge the Bob To continue hearings on national health 9:30 a.m. Marshall Wilderness, Flathead and insurance programs. Human Resources Lewis and Clark National Forests, 4232 Dirksen Building Labor Sub~ommittee Montana. OCTOBER 11 To hold oversight hearings on the ad­ 3110 Dirksen Building 9:00 a.m. ministration of the Occupational 9:30 a.m. Armed Services Safety and Health Administration Act Human Resources Manpower and Personnel Subcommittee (P.L. 91-596). Labor Subcommittee 4232 Dirksen Building To continue hearings on alleged abuses To continue oversight hearings on the in U.S. Marine Corps recruiting 10:00 a.m. administration of the Occupational Banking, Housing, and Urban Affairs practices. Safety and Health Administration Act 1114 Dirksen Building To hold oversight hearings on the Coun­ (P.L. 91-596). cil on Wage and Price Stability. 4232 Dirksen Building OCTOBER 13 5302 Dirksen Building 10:00 a.m. 9:30 a.m. OCTOBER 4 Banking, Housing, and Urban Affairs Human Resources 9:00 a.m. Housing and Urban Affairs Subcommittee Health and Scientific Research S~bcom­ Government Affairs To hold oversight hearings on interna­ mittee Civil Service and General Service Sub­ tional housing programs. To resume hearings on national health committee 5302 Dirksen Building insurance programs. To hold hearings on S. 1390, to authorize OCTOBER 6 4232 Dirksen Building certain National Guard employment to 10:00 a.m. CANCELLATIONS be credited for civil service retirement, Banking, Housing, and Urban Affairs and S. 1821, to provide paid leave for Housing and Urban Affairs Subcommittee OCTOBER 2 Federal employees participating in To continue oversight hearings on inter­ 10:00 a.m. athletic activities as an official repre­ national housing programs. Energy and Natural Resources sentative of the U.S. 5302 Dirksen Building Public Lands and Resources Subcommittee 3302 Dirksen Building OCTOBER 9 To resume hearings on proposed Interior 9:30 a.m. 9:30 a.m. Department regulations to implement Human Resources Human Resources the Surface Mining and Reclamation Labor Subcommittee Health and Scientific Research Subcom­ Act (P.L. 95343). To continue oversight hearings on the mittee 3110 Dirksen Building

SENATE-Thursday, September 28, 1978

Statements or insertions which are not spoken by the Member on the floo~ will be identified by the use of a "bullet" symbol, i.e., •