195'0 CONGRESSIONAL RECORD-SENATE 7473 PUBLIC BILLS AND RESOLUTIONS By Mr. SCRIVNER: setts, to reject certain recommendations af­ H. Con. Res. 213. Concurrent resolution to fecting veterans contained in the report of Under clause 3 of rule XXII, public create a joint congressional committee to in­ the Hoover Commission; to the Committee on bills and resolutions were introduced and vestigate Federal grant-in-aid programs; to Veterans' Affairs. severally referred as follows: the Committee on Rules. 2159. By Mrs. ROGERS of Massachusetts: By Mr. FLOOD: By Mr. HAYS of : Memorial of the General Court of Massachu­ H. R. 8586. A bill to authorize, for a tempo­ H. Con. Res. 214. Concurrent resolution ex­ setts, to reject certain recommendations af­ rary period, the purchase by the Government pressing the sense of the Congress that the fecting veterans contained in the report of of anthracite in amounts sufficient to main­ President should rescind foreign-trade agree­ the Hoover Commission; to the Committee tain normal production and employment in ments with Communist-controlled coun­ on Veterans' Affairs. the anthracite region, to promote the gen­ tries; .to the Committee on Ways and Means. eral national welfare, and for other purposes; to the Committee on Public Lands. By Mr. FORAND: MEMORIALS SENATE H. R. 8587. A bill to amend section 2, Under clause 3 of rule XXII, memo­ Public Law 649, Seventy-ninth Congress, rials were presented and referred, as approved August 7, 1946, providing for the TuESDAY, MAY 23, 1950 disposition of vessels, trophies, relics,. and follows: material of historical interest by the Secre­ By the SPEAKER: Memorial of the Legis­

Senate Committee on Expenditures ~n the Executive Departments-Summary of action on reorganization plans of 1950, May 23, 1950

Senate vote on resolution Senate vote on resolution Senate reso- 8. Rept. of disapproval Senate reso- of disapproval Plan Title lution of Plan Title · lution of S. Rept. No. disapproval No. No. disapproval No. Yeas· Nays Date Yeas Nays Date

1 Department of Treasury_ No. 246 ..•••. 1518 65 13 May 11, 1950 15 None ______1547 None ______.., ___ Ala5ka and V~in Is- 2 Department of Justice .•. 1683 lands Public orks. ------Department of Interior ______do ______------_____ do ______3 No. 263 ______1545 ------16 Assistance to School Dis- 1548 ...... ------4 Department of Agricul- 1566 ""(i)"" ------May 18, 1950 tricts and Water Pol- ture. lution Control. 6 Department of Com- No. 259 ______1561 2 29 43 May 23, 1950 17 Advance Planning and No. 271._ ____ 1676 : 29 43 May 23, 1950 merce. None ______War Public Works. 6 Department of Labor ____ 1684 ------18 Building and Space No. 270 ______1675 27 C9 Do. 7 Interstate Commerce No. 253.. •••. 1567 66 13 May 17, 1950 Management Fune- Commission. No. 254 ______tions. 8 Federal Trade Commis- 1562 2 34 37 May 22, 1950 19 Employees' Compensa- None·----~-- 1549 ------sion. tion Functions. _____ do ______9 Federal Power Commis- No. 255.. •••. 1563 2 37 36 Do. 20 Statutes at Large and i550 ------sion. .None ______Other Matters. 10 Securities and Exchange 1685 21 Maritime Commission ___ No. 265 _____ ~ 1674 214 59 May 19, 1950 Commission. ------None ______No. 256 ______22 Federal National Mort- ·------...... ------11 Federal Communica- 1564 50 23 May 17, 1950 gage Association. _____ do ______tions Commission . . 23 Loans for Factory Buiit ------12 National Labor Rela- No. 248 .••••. 1516 53 30 May 11, 1950 Homes. _____ do ______tions Board. None ______2~ RFC to Department of ------13 Civil Aeronautics Board______do ______1686 ------Commerce. _____ do ______14 Labor Standards En- 1546 ~5 National Security Re- forcement. ------sources Board. ------

1 Resolution a!!feed to in the Senate by voice vote. 2 Resolution rejected. Requires majority of full Senate membersbip-49 votes-to disapprove plan. Of 21 plans acted on to date, plans Nos. 1, 4, 7, 11, and 12 rejected. Remainder of first group of 21 plans become effective May 24, 1950. Plans Nos. 22 to 25, inclusive, intro­ duced May 9, 1950. ACTION OF SENATE COMMITTEE ON EXPEN·DI• Senate Resolution 246: Reorganization ture. Senate adopted resolution o.f disap­ TURES IN THE EXECUTIVE DEPARTMENTS ON Plan No. 1 of 1950, Department of the Treas­ proval by voice vote on May 18, 1950. REORGANIZATION PLANS OF 1950, MAY 23, ury. Senate adopted resolution of disap­ Senate Resolution 253: Reorganization 1950 proval by vote of 65 to 13, May 11, 1950. Plan No. 7 of 1950, Interstate Commerce 1. Resolutions of disapproval reported fa­ · Senate Resolution 263: Reorganization Commission. Senate adopted resol.ution of vorably on following plans: Plan No. 4 of 1950, Department of Agricul- disapproval by vote of 66 to 13 May 17, 1950. 1950 CONGRESSIONAL RECORD-SENATE .7491 Senate Resolution 248: Reorganization TRANSACTION OF ROUTINE BUSINE'SS We will appreciate your efforts to work In Plan No. 12 of 1950, National Labor Relations favor of keeping rent control for another Board. Senate adopted resolution of disap­ By unanimous consent, the following year. proval by vote of 53 to 30, May 11, 1950. routine business was transacted: Yours truly, 2. Resolutions of disapproval reported un­ ST. LAWRENCE SEAWAY-RESOLUTION OF M. L. WOLFSKILL, favorably: NORTHEASTERN ELECTRIC COOPERA­ Secretary-Treasurer, Senate Resolution 254: Reorganization TIVE ASSOCIATION, BURLINGTON, VT. Federated Trades Council. Plan No. 8 of 1950, Federal Trade Commis­ sion. Senate rejected resolution of disap­ Mr. AIKEN. Mr. President, I present proval by vote of 34 to 37, May 22, 1950. for appropriate reference, and ask unani­ PENNSYLVANIA FEDERATION OF LABOR, Senate Resolution 255: Reorganization Harrisburg, Pa., May 22, 1950. Plan No. 9 of 1950, Federal Power Commis­ mous consent to have printed in the REC­ Hon. FRANCIS J. MYERS, sion. Senate rejected resolution of disap­ ORD, a resolution adopted by the North­ Senate Office Building, prcval by vote of 37 to 36, May 22, 1950. eastern Electric Cooperative Association, Washington, D. C. Senate Resolution 256: Reorganization at Burlington, Vt., relating to the St. DEAR SENATOR: At our recent convention Plan No. 11 of 1950, Federal Communica­ Lawrence seaway and other public power the executive council of our federation in­ tions Commission. Senate adopted resolu­ developments. troduced resolution No. 43 on the subject tion of disapproval by vote of 50 to 23, May Decontrol of Rents, copy of which is attached 17, 1950. There being no objection, the resolu­ and is self-explanatory. 3. Resolutions of disapproval reported tion was referred to the Committee on I am certain you are aware of the tremen­ without recommendation: Foreign Relations, and ordered to be dous hardship that may be brought about if Senate Resolution 259: Reorganiz\..tion printed in the RECORD, as follows: rents are decontrolled in the Commonwealth ~lan No. 5 of 1950, Department of Commerce. of Pennsylvania. From our investigation Senate rejected resolution of disapproval by Whereas the Northeastern Electric Coopera­ and survey we have found in areas where vote of 29 to 43, May 23, 1950. tive Association favors the development of decontrols have been exercised it has actual­ Senate Resolution 271: Reorganization the St. Lawrence seaway and other sources of low-cost power which would strengthen ly brought about a reduction in take-home Plan No. 17 of 1950, Advance Planning and pay from 6 to 8 percent because of the deter­ War Public Works. Senate rejected resolu­ the economy of the Northeast and, in turn, mination on the part of real-estate oper­ tion of disapproval by vote of 29 to 43, May of the entire Nation; and ators to increase the rentals which were 23, 1950. Whereas it has come to the attention of under control-in some instances to as much Senate Resolution 270: Reorganization this association that the New 'England Coun­ as from 20 to 50 percent. Plan No. 18 of 1950, Building and Space Man­ cil and other organizations interested in Knowing the housing situation in Penn­ agement Functions. Senate rejected resolu­ maintaining the status quo have opposed sylvania as you do I am certain we can count tion of disapproval by vote of 7 to 69, May such public developments at various times and places: Now, therefore, be it · on you to see that this is not done in the 23, 1950. Commonwealth of Pennsylvania-therefore Senate Resolution 265: Reorganization Resolved, That this association go on rec­ we are asking that the present controls be Plan No. 21 of 1950, Transfer of Functions of ord as deploring the attitude of the New England Council and other interests for their continued, at least until June 30, 1951. the Maritime Commission to the Department Any consideration you may extend in con­ of Commerce. Senate reje<:ted resolution of short-sighted opposition to the development of low-cost· public power; and be it further nection with this request will be greatly ap­ disapproval by vote of 14 to 59, May 19, preciated. 1950. Resolved, That this association publicly re­ new its stand in favor of the St. Lawrence Sincerely yours, 4. Reorganization plans reported favorably JAMES L. McDEVI'IT, by committee on which no resolutions of seaway and other economically feasible disapproval were filed. (No action taken in hydroelectric developments, and that this President. Senate, become effective May 24, 1950.) association urgently petition Congress to ap­ Reorganization Plan No. 2 of 1950, De­ prove the pending St. I.,awrence legislation Resolution 43 providing ·for approval of the United States­ partment of Justice. Whereas there is presently a concerted Reorganization Plan No. 3 of 1950, Depart­ Canadian agreement of 1941, and to make provision for a detailed survey of the pro­ drive being conducted -by the real-estate ment of the Interior. posed Passamaquoddy development and other lobby to bring about the decontrol of rents Reorganization Plan No. 6 of 1950, Depart­ potential rnurces of low-cost power. We fur­ thoughout the United States; and ment of Labor. ther approve the public development and Whereas there is still a very acute short­ Reorganization Plan No. 10 of 1950, Securi­ control of such power as may be generated age of homes available for sale as well as an ties and Exchange Commission. at Niagara Falls under the Canadian-United even greater shortage of rental units; and Reorganization Plan No. 13 of 1950, Civil States treaty of February 27, 1950. Whereas the decontrol of rents would work Aeronautics Board. a severe hardship on thousands of working Reorganization Plan No. 14 of 1950, Labor RENT CONTROL-LETTERS AND RESOLU­ men and their families through increases in Standards Enforcement. TION rents that will range from 20 to 50 percent, Reorganization Plan No. 15 of·1950, Alaska Mr. MYERS. Mr. President, I present . thus actually bringing about a reduction in and Virgin Islands PUblic Works. for appropriate reference letters from pay income of from 6 to 8 percent, as indi­ Reorganization Plan No. 16 of 1950, Assist­ cat~d in areas where decontrols have been ance to School Districts and Water Pollution the Federated Trades Council of Read­ exercised: Therefore be it Control. ing and Berks County, signed by M. L. Resolved, That this federation call upon Reorganization Plan No. 19 of 1950, Em­ 'Wolfskill, secretary-treasurer; the Penn­ .Congress to continue the Rent Control Act to ployees' compensP.tion Functions. sylvania Federation of Labor of Harris­ June 30, 1951; and be it further Reorganization Plan No. 20 of 1950, Stat­ burg, signed by James L. McDevitt, pres­ Resolved, That all affiliated unions write utes at Large and other matters. or wire their Congressmen and Senators ident, and a resolution adopted by the MYERS and MARTIN requesting them to vote r 5. No action has been taken by the com­ mittee on Reorganization Plans Nos. 22, 23, 24, Pennsylvania Federation of Labor, at to continue rent control to the above-stated and 25, submitted to the Congress on May 9, Harrisburg, all in the State of Pennsyl­ period. . 1950. vania, and I ask unanimous consent that Executive Council: James L. McDevitt, they be printed in the RECORD. Earl C. Bohr, James Acri, Norman MEilSAGE FROM THE HOUSE Blumberg, ·Eugene A. Burke, John M. A message from the House of Repre­ ·There being no objection, the letters Casler, Joseph L. Downes, David E. sentatives, by Mr. Swanson, one of its a.nd resolution were referred to the Com­ Glavin, Matt Gorman, Fred B. Hughes, reading clerks, announced that the House mittee on Banking and Currency, and Alfred J. Mascaro, Edward F. Netzler, ordered to be printed in the RECORD, as Samuel Otto, Benjamin Weigand, had agreed to the report of the commit­ Sidney G. Willar. tee of conference on the disagreein·g follows: votes of the two Houses on the amend­ FEDERATED TRADES COUNCIL OF CURTAILMENT OF POSTAL SERVICE­ ment of the Senate to the bill

of the third district to complete action on a. mination by the Se~etary of the irrigable shall be effe·ctive," be deleted, and that the ·new repayment contract. . The interests of· area of the project, or any division thereof, words "appropriation authorizations of said the United States would als~ be served by and for the exclusion of lands from the proj­ act shall be effective, and moneys appropri­ such action, since the provisions of the new ~ct with the consent of the holders of any ated thereunder shall be available for ex­ contracts are beneficial to the United States water rights that would be canceled by such penditure," be inserted in lieu thereof. as well as to the irrigation districts. · exclusion; and (4) make such other changes Since the time for acceptance of the provi­ Under the provisions of this bill, an addi­ in the existing repayment contracts as the sions of the act of May 25, 1948, will expire tional period of time, namely, to May 25, Secretary and the districts contracting may on May 25 of this year, the enactment of this . 1951, would be accorded the Mission irriga­ mutually agree upon for the accomplishment legislation prior to the latter date would be tion district in which to receive the benefits of the purposes of the act. most desirable. · of the act of. May 25, 1948, by executing a There are three irrigation districts embrac­ The J;3ureau of the Budget has aavised that contract conforming to the terms and condi­ ing non-Indian-owned lands on the Flathead there is no objection to the submission of tions of that measure. Indian irrigation project, namely, the Flat­ this report to yo:u_r committee. This bill, if enacted, wlll also permit a pos­ head, the Jocko Valley, and the Mission irri­ Sincerely yours, sible immediate settlement of the obligations gation districts. The largest of these ls the MASTIN G. WHITE, due the Indians of the Flathead reservation Flathead district with approximately 70 ,000 Acting Secretary of the Interi or. acres of irrigable land under assessment for provided for under the provisions of said act FOREIGN ECONOMIC ASSIS'£ANCE ACT OF of May 25, 1948. operation and maintenance of the project. S. 3524, introduced by Senator ECTON, and The Mission district has approximately 13,000 1950-CONFERENCE REPORT S. 3535, introduced by Senator MURRAY, acres of irrigable land under assessment for Mr~ CONNALLY. Mr. President, I call which bills are now pending before your com­ such charges; and the Jocko Valley district has approximately 6,000 acres of irrigable up for the consideration of the Senate mittee and which bills are identical with that the conference report on House bill 7797, of H . R. 8199. land under such assessments. The Flathead Under date of May 15, 1950, the Secretary and Jocko Valley districts, comprising ap­ known as the ECA bill. of the Interior submitted his report on said proximately 85 percent of the total irrigable . The PRESIDING OFFICER. The re­ bills S. 3524 and S. 3535. The suggested ·assessable area, have each executed a repay­ port will be read. amendments by the Secretary of the Interior ment contract on the form approved by the The legislative clerk proceeded to read are emtodied in the text of the . House bill Secretary as provided for in the act of May the report. (H. R. 8199) as herein recommended passage. 25, 1948, and the contracts so executed have been confirmed by proceedings in a court of eing the Senator froi;n · Texas, will benefit materially by having the irri­ Under the provisions of these bills an ad­ chairman, the Senator from Georgia gation districts embracing their lands ac­ ditional period of time, namely, to May 25, [Mr. GEORGE], the Senator from Utah cept the provisions of the act of May 25, 1951, would be accorded the Mission irri­ [Mr. THOMAS], the Senator from Wis­ 1948, within the tiine allowed by law for gation district in which to r~ceive the bene­ consin [Mr. WILEY], and the Senator that purpose. Section 3 of the act in ques­ fits of the act of May 25, 1948, by executing from New Jersey [Mr. SMITHJ. The con­ tion now requires such acceptance to be a contract conforming to the terms and con­ manifested, through the execution of new ditions of that measure. In the meantime, ferees on the part of the House were repayment contracts by an ·of the irrigation .the repayment obligations of that district Representatives JOHN KEE, JAMES P . districts on the project, within 2 years after under its existing contract with the Secre­ RICHARDS, THOMA~ S. GORDON, JOHN M. the approval of that act. One of the three tary of the Interior would remain in full VORYS, and FRANCES P. BOLTON. districts has not as yet ·executed the new force and effect. Mr. President, I wish to say that after contracts. The enactment of S. 3524 or S. These bills also would permit the settle­ considerable time spent in adjusting the 3535 would permit the two districts which ment of the obligations due the Indians of have accepted the act to obtain its benefits, the Flathead Reservation under subsections differences between the two Houses the and would allow the third district an addi­ 5 (a) and 5 (b) of the act of May 25, 1948. report was signed by each of the 10 con­ tional year to complete the steps incident to These subsections deal with obligations long ferees on the bill. The conference re­ such acceptance. outstanding. Further delay in their settle­ port has already been adopted today by The contracts wlth the Secretary o.f the ment would be disadvantageous to both the the House of Representatives. So there Interior required by the act of May 25, 1948, Indians and the United States. The proviso ought not be much controversy or divi­ must contain provisions whereby the irri­ to these bills is designed to make possible an sion with respect to action on this gation districts (1) obligate themselves to immediate settlement, as lands substantially measure. repay the construction costs chargeable .in excess of the 70 percent there specified are against all irrigable lands embraced within embraced within the two irrigation districts Mr. TAFT. Mr. President, will the the respective districts contracting (exclu­ which have already executed repayment con­ Senator yield to me for a moment? sive of Indian-owned lands on . which the tracts pursuant to the act. . Mr. CONNALLY. I yield. . collection of construction costs ls deferred) For purposes of clai"ification, it is recom­ . Mr. TAFT. I wish to give notice that to the extent and in the manner prescribed mended that at .page 1, lines 9 and 10, the I intend to make a major effort to have by sections 1 and 2 of the act; (2) consent words "by May 25, 1951, as provided for in the report rejected because of the sub­ to such revisions in the llmlts of cost for said act," be deleted, and that the words the project, or any division thereof, as the .. conforming to the provisions of said act on stantial change and additions to the Secretary of the Interior and the districts or before May 25, 1951," be inserted in lieu point 4 program. It seems to me that contracting may mutually agree upon in thereof. we have here an absolutely new bill, one orde_r to facilitate the making of improve­ . For like purposes, it is recommended that which should be debated at length, and ments and extensions to the irrigation and at page 2, lines 8 and 9, the words "provisions that it should not be considered that in power systems; (3) provide for·the redeter- and requirements of section 5 of said act this case we are merely asked to give 195D CONGRESSION_AL ~ECORD-. SENATE .7497

casual approval to a conference report . 00.0,GOO, e.nd protected American invest- , stri<'.tion is_mai~tained or imposed by a par­ wbich has been submitted. . ments in Europe against seizure or con- ticipating country or by any dependent area The point 4 program is similar-- : fiscation, destruction, revolution, war, of such country, the Administrator shall take such remedial action as he determines will Mr. CONNALLY. Mr. President, is the . and so on and so forth. The Senate did effectively promote the purposes of this Senator from Ohio asking me a question? . not agree to the provisions of the House . subsection. Mr. TAFT. No; I am only giving no- bill. Finally, however,.it was agreed that tice. Apparently the Senator from Texas the·amount for guaranty purposes would Progress has already been made in suggested that this conference report . be cut to $200,000,0!lO. The guaranty · eliminating those discriminations by an · should be approved as a matter of course. . purposes . include the.· .convertibility of · arrangement under which the Secretary Mr. CONNALLY. Oh, no; I did not. . . currency. In the case of funds which , of s ·tate and -the Moroccan .authorities Mr. TAFT. I wish to indicate my , may be accumulated in Europe .by way : established, as it were, a joint commis- opposition to such a course. of American investments we guarantee sion composed of the American consul Mr. CONNALLY. The .Senator from . the convertibility of their. currency into 'and appropriate Moroecan authorities. Texas did no such thing, notwithstand- United States currency. We limited the Anyone who has a complaint may file it ing the supererogation of the distin- · guaranties to convertibility. of. currency . with that Commission where it will be guished Senator from Ohio, who seems and "to expropriation or confiscation by investigated and necessary action taken to know more about less than anyone . action.of the government of a.participat­ to elfminate the cause of complaint. else I know. · ing country." The House language was . That has already worked to great advan­ Mr. TAFT. Mr. President, will the · very broad. The House wanted to guar- tage, but it has only been in operation a . Senator yield? , antee investments and business ventures : few months . . We enlarged . upon that The PRESIDING OFFICER: · Does. the abroad against many contingencies, in­ . protection by directing the-Administra­ Senator· from Texas yield to the s~nator . eluding. expropriation and confiscation. for, whenever it appears that there is dis- from,Ohio? We insisted. that it was beyond the ' crnnination aga1Ilst Amerfoan cit"izens or Mr. CONNALLY. , I yield. . , prop.er function of. this bill to offer guar- against American trade, to take such Mr. TAFT. What does the Senator · anties of such a br.oad characte1" · - actfon as may, be· appropriate. . . mean. by '·'supei:erogation"? ·I wa:p.t ::-i,n Mr. MILLIKIN• . Mr. ·President, wHl Iri the ca8e of China, the House ac;. explanation of the term. . . the Senator yield?- · . - cepte~Uhe , Senate _pr:ovision that $8,000,- Mr. CONNALLY. The Senator can . - The PRESIDING OFFICER. ·. Dces·the - 000 of the assistance provided for the · look in the dictionary, for it. . I do. not · Senator from-Texas yield to the Senator general are·a of china be made available have time to .educate the Senator from - from Golorado? . for relief on the .. continent of China. . Ohio. Mr. CONNALLY. I yield. Those funds have already been appro­ ... Mr: President1 there was no difference Mr. MILL1KIN. ·-Will the Senator dis- priated and ·made available, but are un­ , -between the total amounts carried in the - tinguish between·the·point·4 part of the - expended. In view of those · funds, the House and Senate bills, so that question bill as it left. the Senate and as it. re­ ·· House ·agreed to tha.t pro:vision. The . was ·not· in conference. One .question turns? _ or is· he in process of doing . Senate in turn-accepted the House pro- which arose. was .that of so-called politi- that now? vision that· $6,000,QOO of the ·funds be made available for the assistance of Chi­ cal federation. The House . of . Rep1~e- Mr. CONNALLY. No; I am-going to nese students in the United States. I . sentatives insisted upon inserting in the do that a little later. We finally agreed think most .Senators are familiar with bill- a provision encouraging , European ' to guarantee the convertibility of cur­ the arrangement with respect to Chinese uniftcation and political federation. · rencies-as does the existing law-and students. Mr·. DONNELL. Mr. Presid;mt, will "to extend guaranties against expro- The Senator from·Colorado wanted to the Senator yield? priation or confiscation by action of the know about point 4. Allow me to say to The PRESIDING OFFICER. Does government of a participating country." . the Senator, Mr. President, that in the the Senator from Texas yield to the Sen- The House wanted that to be by the main the Senate restricted and cut down ator from Missouri? action of any government or public au- the pow~s which the House sought to Mr. CONNALLY. I yield. thority in Europe anywhere. We, how- give under point 4. In the final analysis, Mr. DONNELL. I wanted to ask ever, took the position that if we could the action of the Senate was that point 4 whether, by the term "federation," the limit it to the confiscation or expropria­ should be restricted to technical advice Senator had reference to the world fed- tiori by a govermn,ent which was one of · and assistance, without furnishing funds eration movement? the participating countries, the United beyond those provided for technical as­ Mr. CONNALLY. No. States would probably incur no risk sistance, or guaranteeing funds, and Mr. DONNELL. . Or whether it re- whatever. If _a participating country without American investments in any ferred merely to the federation of Eu- should confiscate or expropriate . the large degree. ropean countries. property of American citizens, the United Mr. ROBERTSON. Mr. President, Mr. CONNALLY. That is all. States could take recourse by withdraw- will the Senator yield? Mr. DONNELL·. It referred merely to ing or cutting off their funds as a par- The PRESIDING OFFICER. Does the European countries. ticipating country, an.ct thereby protect the Senator from Texas yield to the Sen­ Mr. CONNALLY. · It did not refer to itself. So the House agreed to that . a tor from Virginia? a world federation. But the Senate in- change. Mr. CONNALLY. I yield. sisted upon striking the words "political As most Senators know, we have had Mr. ROBERTSON. Was the Russell federation." We thought it went be- considerable discussion about the Mo­ amendment with respect to point 4 of yond. the proper function of the Uriited roccan amendment. Certain persons · the Senate bill retained in conference? States to insist or suggest to European around the Capitol have been constantly Mr. CONNALLY. What amendment? nations that they have a political fed- advocating the view that American cit­ Mr. ROBERTSON. The Russell eration. We did approve of their eco- izens are being discriminated against in amendment, which provided that those nomic unification · in connection with respect to their trade in Morocco, and in charge of the program should frankly their recovery under this program. The they have insisted that radical action be tell everyone that they were planning Senate was successful in striking out the taken against France and against Mo­ for them, but that we made no commit­ language "political federation of Eu- rocco until such discriminations cease. ments to pay for the improvements. rope." The language which was finally While the Senate amendment relating to Mr. CONNALLY. Let me check on adopted was "to encourage the further this question was not accepted by the that. I will get that information for unification of Europe." We inserted the conferees, another amendment was the Senator in a minute. I want to get word "further" to indicate that the eco- added to the broad provisions of the the exact language. I think if the Sen­ nomic unity which had already been Senate bill designed to protect Ameri­ ator will turn to section 416 (b) of the achieved should continue. But we stop- can business interests against dis­ bill he will find that while the part of ped short of political federation. crimination. The amendment reads as the Russell amendment he refers to was Another point in issue was that the follows: not accepted by the conferees, the bill House bill increased the amount for In any case where the Department of State · does provide that there. is no commit­ guararitie.s from $150,000,POO to $300,- determines that any such discriminatory re- ment under point 4 to supply funds, 7498 CONGRESSIONAL. RECORD-SENATE MAY 23 commodities, or services to any of the Mr. CONNALLY. That is a fine prin­ mental agreements or otherwise, that participating countries. ciple to which we can all subscribe; but they will not be deprived of their prop­ There was quite an effort in the con­ if the Senator has been in a conference erty without prompt, adequate, and ef­ ference committee to encourage the in­ committee, as I am sure he has been fective compensation, it seems to me that vestment of American capital abroad many times, he knows that sometimes we this "warm in the winter and cool in the under the point 4 program. The Senate have to give and take, in order to reach summer" proposition is holding out to in­ conferees accepted the language which an agreement. But in this case, an vestors a belief that we are assuring them had been worked out on a bipartisan investor who is going abroad to invest a that they may be the .recipients of guar­ basis with the House and which meets large amount of money would be a fool­ anties by our Government. Personally, with the approval of various American ish man if he did not consult a good I do not like this kind of language. It business interests. It is merely a state­ lawyer like the Senator from Missouri, seems to me we should say whether we ment of policy. It does not carry any or the Senator from Wisconsin-- are or are not going to do any such specific provisions or commitments. Mr. DONNELL. Or the Senator from thing. I am not opposed to the confer­ Mr. MUNDT. Mr. President, will the Texas. ence report, because the Senator has Senator yield? Mr. CONNALLY. No; I am not avail­ given us an interpretation, and I have Mr. CONNALLY. I yield. able. great respect for his judgment and for Mr. MUNDT. Will the Senator tell Mr. DONNELL. There is no need on his interpretation. me whether the amendment offered by the part of our Government to guaran­ Mr. CONNALLY. I thank the Sena­ the junior Senator from South Dakota tee investors that ·they will not be de­ tor. The Senator. from Missouri, I think, and accepted by the Senate, to the ef­ prived of their property without prompt, is somewhat unduly alarmed. The lan­ fect that the personnel must be investi­ adequate, and effective compensation. guage is as fallows: gated by the FBI before being employed, Mr. CONNALLY. In the conference In the case of investment this involves has been retained? we resisted any such idea. confidence on the part of the people of the Mr. CONNALLY. I will say to the Mr. DONNELL. Any idea that we are underdeveloped arei:i.£ that investors will con­ Senator that it has been retained. either morally or legally binding our­ serve as well as develop local resources, will Mr. DONNELL. Mr. President, will selves to such a guaranty? bear a fair share of local taxes, and observe the Senator yield for a question? Mr. CONNALLY. That is correct. local- laws, and will provide adequate wages Mr. CONNALLY. I yield. Gf course, what may follow after we and woz:king conditions for local labor. Mr. DONNELL. I note in section 402, create this fine climate, I do not know. That means that it simply contem­ under title IV, appearing on page 8 of Treaties might be made, but there is no plates a favorable and friendly attitude, the printed conference report, language authority in the bill to do that. if they will obey the laws of the country, referring to technical assistance, capi­ Mr. DONNELL. Mr. President, will pay their local taxes, and will conserve tal investment, and so forth, and I the Senator yield for one or two brief and develop local resources. There is should like to a!k the Senator a ques­ observations? nothing wrong there. tion about it. In the last sentence of Mr. CONNALLY. I yield. I do not know what is the high-falutin subdivision f its provisions got into the bill. - that Food and Agriculture and World pursuant to the authorization contained in In the first place, the discussion of Health are not subordinate because they subsection (a), to the International Chil· point 4 came up because the Senate con- 1950 CONGRESSIONAL- RECORD-- SENATE 7507 f erees were opposed to fixing guaranties, :Mr.- SMITH of New Jersey. The best incentive for business to go to other coun­ under ECA or otherwise, to any business I can do is to use the language of the tries and invest funds for the develop­ enterprise which wanted to go abroad House conferees, and s&,y that it is to ment of underdeveloped areas, or areas and do business there. create a climate which will be favorable where there is need for dollars. We de­ In the Senate versfon of the bill we to American business, so as to induce sire to give assurance that the United · merely provided for technical assistance them to invest in these countries, and States is interested in its citizens who for a period limited to the life of ECA, take off us the burden of making grants. may desire to invest in other countries. which was to 1952, and 2 years beyond I can say to the Senator from Colo­ Mr. MILLIKIN. The distinguished that, making it 1954 or 1955. rado that so far as I am concerned I Senator is thoroughly aware of the fact When we met with the House con­ .felt that this whole program had to do that the Russell amendment has been ferees we found their object was to limit with the objectives of ECA. I was in eliminated, is he not? the bill to the other assistance, to which favor of not putting this new program · Mr. SMITH of New Jersey. I am not they added the provision for what they in. I was in favor of the short-term sure it has been eliminated. I do not re­ called favorable climate for business en­ technical-aid program. But we made a call what the language of the Russell terprises which might go abroad, which compromise with the House conferees, amendment was, but I read from section might relieve the United States of mak­ because they were insistent on certain . 416, subparagraph (b): ing crants for dollar aid because of the guaranties in the early p:ut of the bill, Nothing in this title is intended nor shall amount private enterprise might be in­ and we finally agreed to leave in the pro­ it be construed as an expressed or implied duced to put into business, thereby re­ visions to create this climate, if they commitment to provide any specific assist­ lieving the dollar situation. would take out the guaranties which we ance, whether of funds, commodities, or serv­ The House conferees insisted on the were opposing. ices, to any country or countries, or to any House provision, and I may say for my Mr. MILLIKIN. Coming back to the international organization. colleagues on this side that the provi­ climate, what does it consist of? Mr. MILLIKIN. That does not re­ sions for the encouragement of foreign Mr. SMITH of New Jersey. It merely quire our agents to bring to the specific investment were inserted by the House consists of a little further definition of attention of the beneficiary the infor­ in collaboration with a number of Sen­ the relations between the United States mation that there is no obligation of any ators from this side. The Senator from and Brazil, which the Senator used as kind. Massachusetts .[Mr. SALTONSTALL] and an example, for the protection of a busi­ Mr. SMITH of New Jersey. I do not Mr. HERTER, of Massachusetts, in the ness investor going into foreign countries. quite understand the statement of the House, were interested. In fact, it was Mr. MILLIKIN. Does the bill itself Senator. largely inspired by the Massachusetts give those advantages to him? Mr. MILLIKIN. The Russell amend­ representatives in the House and Sen­ Mr. SMITH of New Jersey. It merely ment was intended to make it very clear, ate, on the theory that a favorable cli­ provides that bilateral agreements may by direct representation to every bene­ mate presented for business to go be made to create such a climate as will ficiary, that giving this technical as­ abroad might relieve the burdens in the enable him to have greater protection sistance would not carry any other im­ future on ECA. However, there is not from the government than otherwise he plication, and this language does not do a word in the bill about any guaranty would have. that. of any sort or description. Mr. MILLIKIN. That is, in the future Mr. CONNALLY. Did the Senator Mr. MILLIKIN. Mr. President, will something might ha,ppen by way of a read section 416 (b)? the Senator yield? private bilateral agreement, or other­ Mr. SMITH of New Jersey. I just Mr. SMITH of New Jersey. I yield. wise, whereby something favorable might read it. Mr. MILLIKIN. What, then, is the happen. Is that what it amounts to? Mr. CONNALLY. It is not as com­ purpose of this language in the report? Mr. SMITH of New Jersey. No; I prehensive, probably, as the amendment If it does not do anything, how does do not think that is a fair statement. of the Senator from Georgia, but it cer­ it create a favorable climate? Mr. MILLIKIN. How does this lan­ tainly hits the nail on the head because Mr. SMITH of New Jersey. I think guage help the American investor? it says: that if the Senator ·will really read it Mr. SMITH of New Jerse~. If the with care, he will see what the attempt Senator from Colorado were an Ameri­ Nothing- is, namely, to create a climate, by bi­ can investor wanting to invest, we will That does not mean "something," it lateral agreements with countries to say, in the Far East, let us say in Indo­ n1eans "nothing"- which our investors want to go. nesia, I think he would feel some security Nothing in this title- Mr. MILLIKIN.. Is the Senator now if the .United States Government were saying that this bill in its present form willing to make an agreement with In­ And this is the only title it refers to, does lay a foundation for that? donesia by which the Indonesian Gov­ so that it canno_t mean any other title­ Mr. SMITH of New Jersey. I think ernment agreed that the Senator from Nothing in this title is intended nor shall this bill does lay a foundation for that, Colorado, as a businessman, might have it be construed- if during the life of ECA private citizens certain protections in going into that country and starting a business. That means it uoes not intend to do it, desire to go to a foreign country and but if it is done without the intention of invest their money. Mr. MILLIKIN. Now I am getting to what I want to find out. Does the bill having it done, it shall not be so con­ Mr. MILLIKIN. What does it do for strued- such persons? The Senator is a mem­ give me that protection? ber of the committee, and he should be Mr. SMITH of New Jersey. The bill as an ex"pressed or implied ·e:ommitment- able to tell me. I am asking the ques­ provides for protecting the Senator from If anyone makes an express commit­ tion. What does it do for such persons? Colorado in investing his funds. ment, that is one thing, and it is not Let us assume the distinguished Senator Mr. MILLIKIN. Under this authority applicable here. If one makes an .im­ from Wisconsin [Mr. WILEY], who sits there would be an effort to make agree­ plied commitment, that is another thirig, before me, desires to start· a busiriess in ments, would there? and it is not applicable. There can be Brazil. What does the bill do for him? Mr. SMITH of New Jersey. Agree­ neither an expressed nor an implied Mr. WILEY. Mr. President- ments with the countries concerned, to commitment. Mr. MILLIKIN." I am not talking give the protection provided for in the Mr. SMITH of New Jersey. The Sen­ ~bout Brazil nuts. [Laughter. J bill. ator will recall-- Mr. SMITH of New Jersey. It prevents Mr. MILLIKIN. Then this is the be­ Mr. CONNALl.Y. Just a moment. I abuse of the investor. It protects him ginning of the point 4 program, is it not? continue- against undue discrimination. Mr. SMITH of New Jersey. I think it to provide any specific assistance, whether Mr. MILLIKIN. Does it establish such is fair to say that. I would say also that of funds- an obligation on the part of the Govern­ it adds to the technical-assistance pro­ ment? gram. Th~ House has been working for They cannot get any money under it, Mr. SMITH of New Jersey. No. over a year, with the collaboration of not a cent, not a dime, not a nickel, not Mr. :MILLIKIN.· Then, what· is the some Senators, ori a program setting-up a quarter- use of it? a p!an of this kind so as to furnish an whether of funds, commodities- 7508 'CONGRESSIONAI.; RECORn-SENATE MAY 23 No food, no clothes, ·no shoes, no hats, the ECA funds would not have to be American investor. We have been fol­ no furniture, no nothing in the way of used in the form of dollars given by the lowing diplomatic processes all over the commodities- Government, but as we hoped, funds world for years and years to protect the or services- could be provided by private investment. American investor. He is not protected. Mr. MILLIKIN. Mr. President, will If anyone raises serious question about They cannot make a man work, can­ the Senator yield? that I will bring: cases to the Senate not give him ~ job-- Mr. SMITH of New Jersey. I yield. which will stack up that high [indicat­ to any country or countries, or to any inter­ Mr. MILLIKIN. This matter came ing). or even higher. national organization. to the Senate in the relatively simpli­ Mr. SMITH of New Jersey. Am I to If that does not cover the landscape, fied form which it took after 2 days gather that the Senator takes the posi­ I do not know what could. of hearings before the Senate Foreign tion that we should off er no protection, Mr. SMITH of New Jersey. Mr. Presi­ Relations Committee. We were assured no encouragement, no inducement of dent, the,Senator will recall that in our that it was a simple little thing; that any kind, nature or description, for discussion of this matter we talked it we did not need to become alarmed about Americans to invest abroad in these over quite fully, and we agreed we could it; that it contained no larger impli­ troublous times? not make the language any clearer or cations. Now, by the testimony of the Mr. MILLIKIN. I would take the po­ more distinct than it is. I am not quite Senator from New Jersey, as well as the sition that the foreign country is the ar­ clear as to the point made by the Senator Senator from Massachusetts, we are em­ biter of whether our money is safe with­ from Colorado. barked at the beginning with full point in its boundaries, and that we should not Mr. MILLIKIN. I think I explained 4. Does the Senator believe that we supply weaknesses in the programs of my point, when I spoke -of the Russell should go into a program of that kind the foreign countries. We should not amendment. The amendment of _the on the basis of a conference report? absorb their weaknesses. We should say Senator from Georgia required that Mr. SMITH of New Jersey. I do not to foreign countries that if they want every agreement would have to tell every quite agree that that is the case, because American investments, through their beneficiary in express terms that he must the House conducted long and extended own internal management, through their not figure on anything else than what debates 0:1 the subject; it was in the own internal treatments of our money, was plainly stated there. The Senator House bill, and the House conferees in­ · they must be fair to our investors; that from Georgia [Mr. RussELL] a short sisted upon it as a condition for taking our banks are bulging with money ready while ago made it very clear that he is · out the guaranties to which we would for venture capital and it will flow there · not satisfied with the elimination of his not consent. I will admit that in agree­ whenever the investors receive that sort amendment. ing to the report, in spite of the fact of of guaranty; but the burden of guar­ I bring to the Senator's attention a being opposed to the change, I could anties should fall not upon the Amer­ clause which was in the Russell amenc,i­ not find anything in it to indicate that ican taxpayer. ment, which had a strong appeal to me we are embarking upon a series of com­ Mr. SMITH of New Jersey. In these as having curative value for the defects mitments, as the Senator from Texas provisions I can find no case in which of the original bill; and that was the 5- has said. We are simply indicating that the guaranty would fall upon the year term. The Senator from Texas tells if private citizens want to invest funds American taxpayer. There is no such me that the 5-year term is out of the bill, in other countries before the end of the thing in the bill as the Senator has just 5 years, or even after, it is the policy to described. We have made no commit­ which carries implications of perman­ enter into agreements with Indonesia or ments. We are saying to the other gov­ ency which the Senator assured me were with Burma or with other countries, ernments, "You must make an agree­ not present. What has the Senator from whereby we try to protect the invest­ New Jersey to say about that? ment with us to protect our people by ments against abuses that might occur~ offering the necesary atmosphere for suc­ Mr. SMITH of New Jersey: What I We do not guarantee a thing. We sim­ cessful investment.'' have tried to explain to my colleagues ply try to create a climate between these Mr. MILLIKIN. Then I suggest that in the Senate is that the bill which went countries and the United States which the Senator has· o~ered nothing. . to the conferees in just the form in which is favorable, so that if the Senator from Mr. KEM. Mr. President, will the we passed it, contained the 5-year term. Colorado might want to build a power · Senator yield? We had discussions with the conferees plant-and I know how imaginative Mr. SMITH of New Jersey. i yield. on the part of the House. The technical Colorado people are-or invest in a Mr. KEM. I should like to receive a assistance program is still a part of the power plant in Indonesia, his invest­ little more information about the inter­ bill. ment would be protected. He would not governmental agreements referred to in Mr. MILLIKIN. But not the 5-year make such an investment unless the subparagraph (c) of section 402. Are limitation. Government of the United States said ta these agreements treaties, or are _they Mr. SMITH of New -Jersey. Not the Indonesia, "If Senator MILLIKIN goes to executive agreements, or are they 5-year limitation. But the provisions your country with )lis friends and capi­ neither? of the bill themselves obviously will come tal, we expect to have him treated as Mr. SMITH of New Jersey. If the to an end when the whole program stops, other people should be treated in deal­ Senator will look at section 405 he will except for commitments which may have ing with matters of that kind, and we see what they are. Section 402 contains been made to carry out treaties. We will expect the usual international preliminary :findings. Paragraph of have limited those commitme:sts, as the courtesy." section 402 contains · findings that we Senator knows, to a 3-year period. - Mr. MILLIKIN. If the Senator from need confidence on the part of investors, Mr. MILLIKIN. That is a progres­ Colorado went into Indonesia with his and so forth, if they are to go into other sive matter, as the life of the bill goes on. money, he would expect to take the risks countries and invest their funds. Sec­ Mr. SMITH of New Jersey. Yes. It of the venture and not ask the Ameri­ tion 405, as I recall-- 1s my own construction that it would can taxpayers to assume them. , Mr. KEM. I refer to paragraph (e) of have been wiser if we had held out Mr. SMITH of New Jersey. If the that section. against the House conferees on that Senator from Colorado went there he Mr. SMITH of New Jersey. That point. _ would take the risks, of course, and this paragraph provides: Mr. MILLIKIN. Oh, wise indeed is bill would let him take the risks, ..but To make and perform contracts or agree­ the Senator from New Jersey. under the bill he would receive the usual ments in respect of technical cooperatron .Mr. SMITH of New Jersey. That was international amenities, such as are programs- my own desire originally. But when .it given by his own Government, and have came to agreeing with the conferees on some assurance that the country in And so fo1·th. We find in section 407 the part of the House, we gat them to which he made his investment would the following: · give up all the guaranties to which we protect him in the usual way from un- In carrying out the programs authorized in objected, to which I would not consent-­ due taxes, and so forth. · section 405 of this title- I was opposed to guaranties of any Mr. MILLIKIN. I merely make the And there are certain paragraphs in­ kind-and we gave up our position as observation that the Senator has held dicating the kind of things we would to private investments, to the end that out the most barren sort of help to the expect to have incorporated in the 1950 CONGRESSIONAL RECORD-SENATE 7509 agreements in order to protect the in­ · Mr. . KEM. Does, the conference re­ a::;reement made by the executive branch vestor: .. port contemplate - any - executory com­ .of the Government· would be valid and Mr. KEM. When the agreement is mitments on the part of the United binding? made is it subject to approval by the States? Mr. SMITH of New Jersey. So far as Senate? Is the advice and consent of . Mr. SMITH of New Jersey. . With that .I am concerned, as a member of the the Senate necessary in order that it question in mind, I would have to read Foreign Relations Committee, if such an shall become effective? the conference report very ·car.efully, in agreement came before the committee, Mr. SMITH of New Jersey. I should order to see. · I .did not · have in· mind .I can. assure the Senator-although I . think if the program is app:wved, the that there are any commitments which cannot necessarily commit my col-: President, under this program, would be concerned me. Jeagues-that I would be definitely op­ authorized to make agreements which - · Mr. KEM. Assuming that the con­ posed to any agreement proposing to .met the simple conditions .provided· in ference. report . does involve executory .give. technical assistance .to any of. the the bill. In it there are no commitments commitments .on the -part of the United Communist countries or satellites. by us in any way, shape, or manner. The States, should· not such -agreements or . Mr. KEM. But the Senator from New ·bm simply indicates the kind of a set-up commitments be· made with the ·advice .Jer.sey will agree, will he, that the trouble ·we would ask of · a · foreign country, and consent· of -the· Senate, under the was that the transactions at Yalta· and ·especially an undeveloped country; the Constitution?.- , . _at Potsdam never. came before the· For­ kind· of. things we •would .expect such a · Mr. SMITH of. New. Jersey.. - If it took eign Relations Committee? country·to do. We would expect it to the form of-a -- treaty with another coun .. .. - Mr. SMITH -of New Jersey. I know ·enter into an agreement with our coun­ try, ·certainly it should; there can be no that, and-I-continue to be critical of that. ·try that· if' the distinguished, Senator douht abeut that. , . · Mr. KEM. Should not a . burnt -child ·from Missouri, to use his case as an ·illus­ . lli, KEM _ If i-t . took. the f.orm p.f .an a-void .the, :fire·? , .· · ------tra tion, as I previously did .with respect .executory .agreement,, it would - requir~ .- - Mr.· SMITH. of New .Jersey.. . 0.f..cour-se to the Senator from Colorado, wants .to action.. on the part of both , Houses of a burnLchild,should.a.veid .the fire. , · , make an investment in a country,,_and I CongFess, would it .not.?. -. _ . - -Mr.-KEM. - So should -not we do an-we ·make · mention of the new , Republic of Mr. SMITH of New Jersey, I may say can .tQ prevent .the.occurr.ence:..of; similar ·Indonesia, or, let us say: Korea, which to the distinguished Senator- f.rom , Mis­ transactions under the provisions of. this -is a sort of a protectorate of ours-if sou:r:i that I have juat.been.advised.. that measur.e? ... - . · .the Senator. should· go there to do busi­ the pending· agreement with Ur.ugu~y i_~ _- .Mr ..SMlTH of.New Jersey. But.it has ness .we w.ould expect the- Korear,is or de-finitely. a treaty. Our commjttee !).as n.ever occurred to me that . any of the .the Indonesians, .as the· case might be, reported it favorably. It will be be:fore provisions of this measure would be used to make a reasonable·contr.act involving the Senate presently for r~tification by to aid Communist countries. _.. _. these points. two-thirds of the Members.of .the Senate . Mr. SALTONSTALL. Mr. President, Mr. KEM. Would such contracts be as a treaty...... will the Sena~or yield?. . binding upon the United States· without I assume that these.agreem.ents.w.ill be . '- Mr. SMITH of New Jersey. . I yield. ·any further -intervention on the part of in the same form as that one. Mr. SALTONSTALL. I wish to call Congress?· · Mr. KEM. May.the Congress rely upon attention to section .402 (a)' of.the con­ Mr. SMITH of New Jersey. I do not that in connection with its vote on this ference report, particularly the first believe ·the Senator· wHI find· any obliga­ me~ure-namely, that under.this meas­ sentence. That seems to me to .make it tions that commit the United States in ure the executive branch of.the Gover.n­ :very difficult to ·conceive that. this meas­ any way in dollars or cents or · com­ ment will not undertake to make any ure could be used to aid countries behind modities~ ·We have distinctly said we are agreements which are not brought-to the the iron curtain. not committed in such manner. attention of the Senate in the form of a Mr. KEM. That is the sentence which Mr. KEM. What is the use of making treaty? · puts me on my guard.· It reads: ·contracts if nothing is gained thereby? Mr. SMITH of New Jersey. I would The peoples of the United States and other say tha~ if any treaties on the part of n~ions have a common interest in the free­ Mr. SMITH of New Jersey. The con­ the United· States were involved, that dO'fn and in the economic and social progress tracts are to protect the investor. would be the way to deal with them. bf all peoples. Mr. KEM. Are they unilateral con­ However, I would have to study the tracts, binding the· other party, but not In other words, that provision includes binding us to anything? conference.report further in order to be equally the peoples behind the iron cur­ able to answer in detail the Senator's· tain and the peoples in front of the iron Mr. SMITH. of New Jersey. The bill question. would create the climate under which curtain. That is what that language Mr. KEM. Under the terms of the means; it means all the peoples of the our investors 'would invest · in foreign conference report, would the executive world. · countries. I think we are doing a: ·great branch of the Government be authorized deal for those countries . . I consider that . Mr. SALTONSTALL. Mr. President, to make an agreement to extend techni­ will the Senator yield further? to be a good consideration for the agree­ cal assistance to a country behind the ment which might be made. This is the Mr. SMITH of New Jersey. I am glad kind of · thing we have just done in a iron curtain? to yield. bilateral contract with Uruguay. This Mr. SMITH of New Jersey. Possibly Mr. SALTONSTALL. I would con­ type of agreement has been· just the language of the conference report strue that language to· m~an free peoples approved. · might · be construed in that way; but and peopl_es who have a common interest I know from the conversations we had in in freedom. Mr. KEM. Do I correctly understand the conference committee that the idea I agree with the Senator from Missouri that the contract is wholly' executed on was that the entire purpose of extending· that, in a technical sense, he has read the part of the United States, and that technical assistance was to help coun­ correctly that portion of the conference thele are no executory provisions on our tries which are resisting Communist in­ report. · part at all? filtration, just as we used the ECA funds . Mr. MILLIKIN. Mr. President, will Mr. SMITH of New Jersey. I think in the case of the cooperating countries the Senator yield, to permit me to ask a the whole program involves reciprocal in Europe to prevent the furtherance question of the Senator from Massachu­ benefits to both the United States and of the Communist movement. setts? the countries on the other side, but not Mr; KEM. Having in mind that the Mr. SMITH of New Jersey. I am glad in the form of dollar-and-cents com­ executive branch of the Government has to yield to the Senator for that purpose, mitments, to judge from anything I in the -past-for instance, at Potsdam­ if I may receive consent to do so. could find by reading the conference made with countries behind the iron The VICE PRESIDENT. Without ob­ report. In reading it, I do not see that curtain certain agreements which added jection, consent is granted. •anything so terrible is proposed on the greatly to their political and economic Mr. MILLIKIN. Mr. ·President, Will part of the United States. resources, should not the elected repre­ the distinguished Senator from Mas­ · I would say that I was favorably dis­ sentatives of the people of the United sachusetts please tell us what are the posed to this proposal as, an action on States in this case safeguard the peo­ "free peoples" of the "underdeveloped our part·in the ECA era. ples' rights, to the extent that no such areas of the world"? 7510 CONGRESSIONAL RECORD-SENATE MAY 23 Mr. SALTONSTALL. In response to -Mr. SMITH of New Jersey. Mr. Pres­ Mr. SMI'l'H of New Jersey. Mr. Presi­ the question by the very distinguished ident, we should read ihe entire sentence, dent, it is always a pleasure for me to Senator from Colorado, who always as follows: yield to the Senator from Massachusetts. phrases his questiops most carefully and The peoples of the United States and other Mr. SALTONSTALL. It seemed to me· to ·his best advantage, I would say that I nations have a common interest 1n the free­ that perhaps there was one thought· the would conceive that perhaps idealis­ dom and in the economic and·social progress Senator from New Jersey, with whose tically all people want to be free. Cer­ ot all peoples. · point of view I am in accord, could have tainly there are many underdeveloped added with respect to the idea of creat­ I will stand by that, and I am sure th~ people today-- Senator from Missouri will, too. ing a favorable atmosphere so as to Mr. MILLIKIN. The conference re~ Mr. KEM. Yes; but it. seems to me that enable private investors to put their port, which is proposed to be enacted into Under that language the President would funds in other countries. While I agree law, does not refer to "people who want be fully justified in saying, "I am going to we do not off er muc)l, if anything, though to be free." try to free some of the countries behind it is a start or a preliminary suggestion My question is, Who are the "free peo­ the iron curtain, so I will extend them for working out this problem, yet there ples" of the "underdeveloped areas of some technological assistance under the is an underlying thought which certainly the world"? terms of the ECA Act of 1950." is in the back of my mind and is in my Mr. SALTONSTALL. Indonesia is an The question I have asked of the dis­ heart today. That is our own security­ example of what I mean. tinguished Senator from New Jersey is the security Qf our own people in this Mr. MILLIKIN. Would the Senator this: Is it the intention of the Congress country. We know that our own security say that the people of Indonesia are a to permit the President to do that, if he will be promoted by building up other sees fit? ' nations whose peoples are animated by free people? the desire to be free and to lead a better Mr. SALTONSTALL. They are people Mr. SMITH of New Jersey. Mr. Presi­ existence. If through bilateral agree­ who are attempting at the present time dent, the Senator from Missouri knows ments we can properly encourage our with their very lives, and in accordance that so far as the ECA Act is concerned~ citizens who have the funds to invest, with the entire background of their his­ it is limited to the ECA cooperating coun­ to go into those countries in the proper tory of the past f e')V years, to help them­ tries. atmosphere, we are then building up se­ selves. Mr. KEM. Yes. curity for our own people, our own chil­ Mr. MILLIKIN. Would the Senator Mr. SMITH of New Jersey. We have dren, and their children in this country. from Massachusetts say that the people not gone beyond that, so far as I know. That is the real motive behind it. of the countries of Africa are ''free peo­ Some implications of the sort the Sen­ Mr. SMITH of New Jersey. Of course, ples"? ator from Missouri has suggested may be I agree with the Senator about that, and Mr. SALTONSTALL. I would say that drawn from the language of the confer­ of course my own experience last year was a question which was more abstruse. ence report; but of course we had no pur­ in the Far East gave rise to that very Mr. MllµKIN. Would the Senator pose or intention of that sort. Certainly thought. What do those people want? say that the people on the southern any bilateral agreement which would be They want help so they can get on their shores of the Mediterranean Sea, going made would not be made, so far as I can own feet and rid themselves of the -old over toward Persia and Arabia, are free see, with any of the satellite countries or imperialism and the old colonialisms and peoples? any of the iron curtain countries or any be free. That, it seems to me, is the countries that deny people their freedom. Mr. SALTONSTALL. I would say that spirit of what we are trying to do here. in that area there are countries-Libya, We do not consider that the satellite As I say, I originally felt that this for instance-which, with our help, have countries are countries where people are proposal sho.uld not be tied into the been making tremendous progress. free, and we do not propose to help coun­ pending ECA bill, but should be regarded tries where people are not free. Mr. MILLIKIN. The term "free peo­ as something for the future. But I ples" is another climatic term, is it not? Mr. KEM. Mr. President, will the Sen­ found nothing in it that was in any way­ ator yield further? · detrimental or threatening, or calculated Mr. SALTONSTALL. No; the S Mr. SMITH of New Jersey. I yield. ator is wrong. It is an idealistic term. to carry it beyond anything we have done Mr. KEM. The Senator from New before. I did not write the bill. I may Mr. MILLIKIN. It is full of obscur­ Jersey does not mean to suggest, does he, say to the Senator from Colorado, per­ ing smog, is it not? that title IV is confined to the Marshall­ haps there are more words in the pro­ Mr. McMAHON. Mr. President, will plan countries? vision than are necessary, but the spirit the Senator yield to me? Mr. SMITH of New Jersey. When we back of it is that of helpfulness to those Mr. SMITH of New Jersey. Mr. Prest- discussed this, the matter, ·it was our who need help by the use of private . dent, I should like to say to the Senator thought that we would move in the di­ funds. from Colorado that I do not find in this rection, primarily, of dealing with the Mr. SALTONSTALL. And it is for title of the conference report the expres­ southeast Asia situation, for instance, the benefit of the security of the people sion "free peoples of the underdeveloped the situation in Indonesia, the situation of the United States. areas of the world." So I wonder where in Burma, and so forth, where, if the Mr. SMITH of New Jersey. Abso­ the Senator gets that term. people are helped by that means, not by lutely. That is vital in the whole pic­ Mr. MILLIKIN. The Senator from force of arms, they might be aided in ture. The whole ECA program is built Massachusetts used that phrase. resisting the tide of communism. around security; We would not have Mr. KEM. Mr. President, I should like Mr. KEM. The Senator from New been going beyond a humanitarian effort, to invite attention to the fact that the Jersey will agree, will he not, that that· had it not b~en for that. conference report, in title IV, refers to would not include the countries in Eu­ Mr. MILLIKIN and Mr. HUNT ad­ "all peoples." rope behind the iron curtain? dressed the Chair. The VICE PRESIDENT. Does the Mr. SMITH of New Jersey. Yes. We The VICE PRESIDENT. Does the Senator from New .Jersey yield; and if so, also had in mind countries in South Senator from New Jersey yield; and if to whom? America, and so forth-in other words, so, to whom? Mr. KEM. Mr. President, will the countries where there is danger of the Mr. SMITH of Ne\v Jersey. I am going Senator yield to me? infiltration of Communist ideas. to yield the floor, after I finish with the Mr. SMITH of New Jersey. I yield. Mr. SALTONSTALL. Mr. President, Senator from Colorado. will the Senator yield? · Mr. MILLI~IN. The Senator has Mr. KEM. Let me invite the attention been very generous and very helpful. of the Senator from New Jersey to the· Mr. SMITH of New Jersey. Yes, al­ fact that in the first line of section 402 though I was about to yield the floor. CONSTRUCTION OF BRIDGE OVER THE (a) of the conference report, in title IV, Mr. SALTONSTALL. I should like ANACOSTIA RIVER FROM EAST CAPITOL . we find the fallowing: to ask a question in connection with a STREET in the economic and social progress of all question which was asked a few minutes Mr. HUNT. Mr. President, I ask unan­ peoples. ago. imous consent, out of order, for the im- 1950 CONGRESSIONAL RECORD-- SENATE 7511

mediate consideration of House-bill 7341, The VICE PRESIDENT. Is there. ob­ They ar~ most appropriate for the beautl· Calendar No. 1574. jection to the present consideration of ful ceremony of massing the colors. The VICE PJ.=?,ESIPENT. The Sacre· the bill? They' form an impressive setting for the reverent tribute we pay today to the memory tary will state the bill by title. There· being no obje~i;i on, the Senate of· heroes who gave their Iives in defense The CHIEF CLERK._ A bill (H. R: 7341) proceeded to consider the b~ll (H. R. of their country and their flag. to authorize and direct the Commission­ 7341) to :mthorize and direct the Com­ We are so fortunate that the United States, ers of the District o,f Columbia to con­ missioners of the District of Columbia from earliest colonial times, h as been the struct a bridge over the Anacostia River to construct a bridge over the Anacostia home of deeply religious people. in the vicinity of Ea&t Capitol Street, arid River in the vicinity of East Capitol Men of God shared the hardships of the for other purposes. Street, and for other purposes, which pioneers. They braved the wilderness and crossed the mountains with the trappers, The VICE PRESIDENT . . Is there ob­ had been reported by the Committee on tradesmen, and settlers who pushed forward jection? the District of Columbia with amend~ the western advance of our frontiers. Mr. SALTONSTALL. Reserving the ments, on page 1, line 5, to strike out We have always recognized the importance right to object, I should like to ask the the word "line" and inse.rt "vicinity"; of religion in the armed services by having Senator from Wyoming one or two ques­ on page 2, after line 2. to insert: "The chaplains of every denomination. tions. He has called my attention to Commissioners of the District of Colum­ Woven into the strong fabric of our na­ this bill. It involves the authorization bia, for a right· of-way of ad€quate w~dth tional existence there are bright threads of thrift, sacrifice, tolerance, peace, good will, of a new bridge over the Anacostia River t J proceed to acquire sufficient land and love of God. at an ultimate expense of $12,000,000. along, or in close proximity to, Kenil­ As we give thought to the glorious pageant There are several amendments. This is worth Avenue in the District of Colum­ of our Nation's history we are impelled to a late hour in the Senate. We have not bia 9,re further authorized 9,nd directed ask: had a quorum. What assurance can the for the. construction of a controlled ac­ Why has America made greater progress, Senator give me that there is no objec­ cess road to intetconnect the Washing­ in less than 200 years, than any other nation tion on either side of the aisle to an im­ ton-Annapolis Freeway and the Balti­ since the world began? portant measure of this kind? I realize more-Washington Parkway with said What made it possible for a little group of sparsely populated colonies on the Atlantic the need for speedy action. bridge and its east approaches at or near coast to expand their territory to the slopes Mr. HUNT. I thank the Senator from the point where Kenilworth Avenue, if of the Pacific? Massachusetts for asking that question, extended, would intersect said bridg~ and Why were we able to build an industrial and I beg to advise him that first, of its east approaches"; and on page 3, empire without equal in all history? course, the bill has passed the House. It line 23, after the word "Commission" to Why does our commerce extend to every has been acted upon by the subcommittee insert "and the Commission of Fine corner of the world? of the Committee on the District of Arts". Why does our population, now multiplied Columbia, and was reported unanimous­ The amendments were agreed to. 30 times, enjoy the best living standards ly .by the full committee. It is approved end the highest cultural level of any people The amendments were ordered to be in the world? by the National Park Service, the District engrossed and the bill to be read a third Why were we able to build churches, Commissioners, the Bureau of the Budg­ time. schools, hospitals, research institutions, and et, the Bureau of :public Roads, and the The bill was read a third time and centers of art and music for the benefit National Capital Park and Planning passed. of all? Commission, and in respect to design it The answers may be found in the spiritual IDEALS FOR AMER~CAN LIBERTY AND strength and character of our people, th0ir will be passed upon by the Commission of INDEPENDENCE Fine Arts. I think I can very honestly love of freedom and their willingness to work say to the distinguished Senator from Mr. HENDRICKSON. Mr. President, and sacrifice. on last Sunday, May 21, the citizens of Patriotic Americans have always been Massachusetts that there is absolutely no proud of their allegiance to this great coun­ objection to this bill on the part of any­ this great Capital City gathered to mass try. They have always been willing to fight one, so far as I know. The urgency of it the colors at the Washington Cathedral for ·it. I am sure the Senator understands. and to honor the men and women of the They have never considered it a sign of Mr. HENDRICKSON. Mr. President, Nation who have fought and sacrificed weak'ness to acknowledge their dependence will the Senator yield? · for the ideals of American liberty and upon God. Mr. HUNT. I am glad to yield to the independence, and, in so doing, to reded. These reasons were summarized by a great icate themselves to the things of God. historian when he was asked: Senator from New Jersey. "Why has North America made so much Mr. HENDRICKSON. I should like to The principal address on that occasion greater progress than South America?" say as a member of the subcommittee was delivered by the distinguished junior He replied that the people who came to that I confirm everything the able Sen· Senator from Pennsylvania [Mr. MAR­ South America were in search of gold while ator from Wyoming has said. The hear· TIN], who is himself an outstanding de­ those who settled North America came in ings were unanimous; that is to -say, fender of his country in peace and war. search of God. everyone was in accord. The need for So inspiring is the message, Mr. Presi­ It is fitting on an occasion such as this dent, that it merits the careful study of to consider our national strength and the the construction of this bridge was well dangers that confront us. established. Even the dispute as to its all Members of the Congress whose de­ Let us, for a moment, take an _accounting location was resolved with complete ac· votion to God and country come first in of our assets and liabilities as a nation. cord on the part of all who were present. their scheme of things. Listed among our assets are 250,000 Mr. SALTONSTALL. Mr. President, Therefore, Mr. President, I ask unani­ churches of every. denomination. They are will the Senator yield further? mous consent to have incorporated in in the great cities. They are in the moun­ Mr. HUNT. I yield. the RECORD at this point in my remarks tain valleys. They are on the hill tops. Mr. SALTONSTALL. Will the Sen­ the address delivered by the Senator They are constructed of granite, of stone, ator from New Jersey state that so far of brick, and of wood. Some log churches from Pennsylvania. still serve as houses of worship. as he knows there is no objection by any There being no objection, the address We give more for humanitarian purposes, Senator on this side of the aisle. so that was ordered to be printed in the RECORD, to the Red Cross, to research foundations, to in his op~nion no one's rights are being as follows: hospitals, and for higher education than all infringed upon? We meet today in one of the world's finest other nations combined. Mr. HENDRICKSON. Mr. President. buildings, dedicated to the glory of God. We send our missionaries to preach the I gladly state that there was no objec­ We meet in the most beautiful capital city word of God to all the distant islands of the tion on the part of anyone, either on tbe of the earth, in the greatest Nation of all seas. opposite side of the aisle or on this side time. We have a diversity" of industry, agricul­ of the aisle, or on the part of anyone in We are honored by the presence of groups ture, and transportation greater than was ever dreamed of by the most optimistic a the District of Columbia, or outside th~ of men and women who have fought and sac~ rificed for the ideals of American liberty and half century ago. District. independence. We have developed the rich natural re­ Mr. SALTONSTALL. There is nQ We meet on the holy day of the Sabbath. sources of our country for the benefit of all question that there is a great need for There ls great patriotic and religious slg.,. manltind. this iJridge. · nificance in these inspiring circumstances of More homes, more life-insurance policies, Nir. HUNT. It is urgently nee<:}ed. time and place. and more savings accounts are owned by o-ur 7512 CONGRESSIONAL RECORD-SENATE MAY 23 people than those of any other nation on 7. Americans must live as Americans. Mr. MALONE. I shall be happy to yield earth. There can be no divided allegiance. Sub­ ff I do not lose my right to the floor. Our scientists, inventors, and technicians versive action must not be tolerated. Mr. SALTONSTALL. I would re­ are daily devising new methods to aid in 8. Let us continue to be a God-loving peo­ production and to make living conditions ple. Let us fill the churches of every de• ·spectfully inform the Senator froh1 more pleasant. nomination. Let us preach righteousness, Texas that I believe there will he several We are pouring out billions of dollars to truth, tolerance, hard work, thrift, and the more speeches tomorrow, and perhaps it restore stability to the free nations of the love of God. would be better if we all started off fresh. world and to help them resist the advance 9. Let us work for peace and good will but I wonder if the Senator from Texas will of godless and churchless communism. let us maintain our material, physical, and not withdraw his objection to the Sen­ That is a wonderful list of achievements. spiritual strength. ator from Nevada proceeding tomorrow. We have a right to be proud of them. No one wants war, and no one is ready for Now what is there on the liability side? war. But unfortunately, those working for I have been informed that at least two We have allowed our material progress peace do not seem to be strong enough in the other Senators on this side of the aisle to advance beyond our gains in spiritual spirit to carry us to that desired end. expect to speak on the subject tomor­ strength. What we need here at home is to keep sol­ row. So I do not think we shall save We have allowed envy, greed, selfishness, vent, work hard and have faith in ourselves. any particular amount of time if the and lust for power to blind us to the eternal Let us live in peace and righteousness with Senator from Nevada proceeds at this laws of God. each other and with prayer spread those We have been indifferent toward law eva­ ideals throughout the world. · time. sion, racketeering, chiseling, and other cor­ On this beautiful occasion, with the mass­ Mr. CONNALLY. I was not objecting rupt results of the desire for an easy way ing of our colors in commemoration of the on the ground of saving time. I was of life. honored dead of all wars, let us rededicate objecting on a question of policy, agree­ We are asking government to do many our lives to our country and our God. ing today what shall be done tomorrow~ things for us that we should do for our­ Let us resolve that this Nation, founded The rule is that the Chair shall give selves. We expect the Government to guar­ to sustain the God-giv~n liberty of the in­ recognition to whatever Senator first antee our loans, support prices for our prod­ dividual, will not perish from the earth but ucts, build our homes, and take care of our will live forever and become stronger as the addresses the Chair. I have no doubt personal needs. generations pass. that if the Senator from Nevada will Too many of us have begun to feel that In making this resolve we must remem­ keep that in mind he will get the floor government can plan better than God. ber that God remains unchanged. tomorrow. I do not intend to object. I Let us · look briefly at some actual con­ We must move ahead with faith in God think the Senator would be better off if ditions. and faith in ourselves. he addressed the Senate tomorrow, We pay too high a price for labor-manage­ FOREIGN ECONOMIC ASSISTANCE ACT OF thereby having more Senators to hear ment controversies. They could be speedily him, than to speak this evening with no settled if each party were governed by 1950 justice, fair play, and honest recognition of one to hear him. I hope he will agree The Senate resumed the consideration to that. the rights of the other. of the report of the committee of confer­ The cost of two recent strikes reached the THE INCONSISTENT ECA (MARSHALL PLAN) staggering total of $3,400,000,000. ence on the disagreeing votes of the two In addition, they inflicted severe hard­ Houses on the amendment of the Senate Mr. MALONE. Mr. President, the ships and suffering upon the families of to the bill