1946 CONGRESSIONAL RECORD-SENATE 2547 H. R. 5848. A bill for the relief of Mrs. truth and righteousness of God. May EXECUTIVE COMMUNICATIONS, ETC. Millicent Moore; to the Committee on they be equal to the challenge of every The ACTING PRESIDENT pro tem Claims. task as they frame the policies and ad H. R. 5849. A bill for the relief of Mrs. pore laid before the Senate the following Grace A, Phillips; to the Committee on minister the affairs of government for letters, which were referred as indicated: Claims. our beloved country. Give them clarity of mind and courage CLARIFICATION OF CERTAIN CUSTOMS LAWS By Mr. ·MATHEWS: A letter from the Acting Secretary of the H. R. 5850. A bill for the relief of Mrs. Mary of heart as they take counsel together Treasury, transmitting a draft of proposed Desmond; to t he Committee on Claims. for the building of a better world in legislation to clarify the customs laws relat H. R. 5851. A bill for the relief of Second which peace and prosperity shall be the ing to the customs supervision of lading and Lt. l<,rancis W. Anderson; to the Committee glorious possessions of all Thy children.- unlading of carriers, the furnishing of cus on Claims. In Christ's name we bring our peti toms services outside regular business hours, By Mr. RYTER: tions. Amen. and the extra compensation payable to cus H. R. 5852. A bill for the relief of Bronislaw toms employees for overtime services, and Stalicia; to the Committee on Immigration DESIGNATION OF ACTING PRESIDENT for other purposes (with an accompanying and Naturalization. PRO TEMPORE paper); to the Committee on Finance. By Mr. SIKES: H. R. 5853. A bill for the relief of Mrs. The Chief Clerk read the following EXPORTATION OF CERTAIN COMMODITIES Theresa Price; to the Committee on Claims. letter: A letter from the Sc:cretary of Commerce, H. R. 5854. A bill for the relief of Mrs. UNITEl> STATES SENATE, transmitting a draft of prop::>sed legislation Jessie Louise Raines; to the Committee on PRESIDENT PRO TEMPORE, to continue in effect section 6 of the act of Claims. Washington, D. C., March 22, 1946. July 2, 1940 (54 Stat. 714), as amended, re To the Senate: lating to the exportation of certain com PETITIONS, ETC. Being temporarily absent from the Sen modities (with an accompanying paper); to ate, I appoint Hon. BURNET . R. MAYBANK, a the Committee on Military Affairs. Under clause 1 of rule XXII, petitions Senator from the State of South Carolina, to FACILITATION OF DECENTRALIZATION OF and papers were laid on the Clerk's desk perform the. duties of the Chair during my VETERANS' ADMINISTRATION and referred as follows: absence. A letter from the Administrator of Veter 1721. By Mr. ANDREWS of New York: Res KENNETH MCKELLAR, ans' Affairs, transmitting a draft of proposed olution adopted by the Federation of Italian President pro tempore. legislation to facilitate th'e decentralization American Societies in Buffalo, N. Y., express Mr. MAYBANK thereupon took the of the Veterans' Administration (with an ac ing lts desire to the President of the United companying paper1; to the Committee on States. Harry S. Truman, to have Mr. Earl chair as Acting President pro tempore. Finance. Brennan appointed to the post of Ambas THE JOURNAL REPOR'r OF ADMINISTRATOR OF RENT CONTROL, sador to the Government of Italy; to the DISTRICT OF COLUMBIA . Committee on Foreign Affairs. On request of Mr. BARKLEY, and by 1722. By Mr. O'TOOLE: Petition signed by unanimous consent, the reading of the A letter from the President of the Board 60 residents of the Thirteenth Congressional Journal of the proceedings of the calen of Commissioners of the District of Columbia, District of New York, opposin{.'" any legisla dar day Thursday, March 21, 1946, was transmitting, pursuant to law, a report of tion or restrictions which may be proposed the Administrator of Rent Control for the dispensed with, and the Journal was District of Columbia, covering the peri9d that will bring about partial or national pro approved. hibition; to the Committee on the Judiciary. from July 1 to December 31, 1945 (with an accompanying report); to t;,e Committee on 1723. By Mr. PLOESER: Resolution of the LEAVES OF ABSENCE Central Council, American War Dads, to the District of Columbia. Mr. CARVILLE. Mr. President, I ask DISPOSITION OF EXECUTIVE PAPERS place a strict embargo on the exportation of unanimous consent to be absent from lumber and other building materials which A letter from the Archivist of the United are needed for home construction; to the the Senate during next week on official States, transmitting, pursuant to law, a list Committee on Ways and Means. business. of papers and documents on the files of sev 1724. Also, resolution of the Missouri State The ACTING PRESIDENT pro tem- eral departments and agencies of the Gov Association of Master Plumbers, opposing the pore. Without objection, leave is ernment which are not needed in the con area pricing orders G-31 and Gl-4 applicable granted. duct of business and have no permanent to Kansas City and St. Louis, as being detri value or historical interest, and requesting mental and discriminatory to the plumbing Mr. WILLIS. Mr. President, I ask action looking to their disposition (with ac industry of that area; to the Committee on unanimous consent of the Senate that I companying papers); to a Joint Select Com Banking and Currency. may be permitted to absent myself from mittee on the Disposition of Papers in the the sessions of the Senate for the next Executive Departments. 10 days, until the first week of April. The ACTING PRESIDENT pro tem The ACTING PRESIDENT pro tem pore appointed Mr. BARKLEY and Mr. SENATE pore. Without objection, leave is BREWSTER members of the committee on granted. the part of the Sentate. FRIDAY, MARCH 22, 1946 MESSAGE FROM THE HOUSE-ENROLLED ADMINISTRATION OF INDIAN LANDS- BILL SIGNED (L9gislative day of Tuesday, March RESOLUTION OF INTERSTATE ASSOCI 5, 1946) A message from the House of Repre ATION OF PUBLIC LANDS COUNTIES sentatives, by Mr. Megill, one of its clerks, The Senate met at 12 o'clock meridian, announced that the Speaker had affixed Mr. CORDON. Mr. President, there on the expiration of the recess. his signature to the enrolled bill
Whereas it is the intention of the Un_ited 1 mous consent, the second time, and States, and I also recognize the difficulty States Indian Service to use a substantial referred as follows: of applying any yardstlck with respect amount of said surplus tribal funds to buy to wages to every situation in every com deeded land and thereby further raid the By Mr. WALSH: tax base of western counties already burdened - S. 1978. A bill to authorize the restoration munity throughout the United States. with Indian reservations; and - of Philip Nielmm, Jr., to the active list of the But we embarked in 1938 on a program Whereas it is the opinion of Federal offi United States Navy . with appropriate rank calculated to attempt to hring up to a cials who are in a position to express an opin and restoration of pay and allowances; to the higher standard the wages of substand ion upon such matters that said funds can Committee on Naval A1fairs. ard employees engaged in commerce, by be used for such a purpose by the Commis By Mr. HATCH (by request) : which we mean commerce among the sioner of Indian A1fairs at his discretion S.1979. A bill to eliminate the restriction States and with foreign nations. We without consulting the Congress or the on the number of lots which may be acquired by settlers in the town site of Wadsworth, were feeling our way in 1938, and we then tribes; and took a very modest and halting step. Whereas Indian reservations exist because Nev.; to the Committee on Public Lands and the United States Senate, in recognition of Surveys. We provided for a minimum wage of 25 certain national obligations, executed certain By Mr. CAPPER: cents an hour at the beginning, there treaties which created them, yet in actual S. J. Res. 146. Joint resolution for the in after to be st3pped up to 40 cents an practice the Indian reservations constitute corporation of the Ladies of the Grand hour. It seems now almost ludicrous the peculiar obligation and burden of the Army of the Republic; to the Committee on that we felt in 1938 that a 25-cent mini counties in which they are locat~d; and the Judiciary. mum wage, even as it might be stepped Whereas the United States Department o! DISTRIBUTION AND UTILIZATION OF up later to 40 cents an hour, was any the Interior has shown no enthusiasm for HEALTH PERSONNEL, ETC.-INCREASE thing like an approach to an adequate an in-lieu-of-tax payment plan covering lands dedicated to the discharge of said na IN LIMIT OF EXPENDITURES wage for the working people of the tional obligation: Now, therefore, be it Mr. PEPPER submitted the following United States. Resolved by the Interstate Association o{ Twenty-five cents an hour is $2 a day ·resolution (S. Res. 244>, which was re for an 8-hom· day, or $52 a month for Public Lands Counties in convention assem ferred to the Committee to Audit and bled at Reno, Nev., this 27th day of Febnc 26 days' work, assuming that men and ary 1946, That steps be taken at once to place Control the Contingent Expenses of the women to whom it app~ied worked every before the Congress appropriate legislation Senate: day in the month and worked 8 hours which will forbid the use of tribal funds for , Resolved, That the limit of expenditures each day-$52 a month as a minimum such acquisition purposes except as and under Senate Resolution 74, Seventy-eighth wage for those engaged in the pro,Puc when the Congress may expressly grant such Congress (providing for study and survey of tion of goods going into commerce or in authority, with the advice and consent of the distribution and utilization of health the Indians themselves expressed through a personnel, facilities, and related services), the transportation of goods or in their secret ballot free from undue influence and agreed to June 2, 1943, is hereby increased by distribution. with the advice and consent of the executive $50,000. VIe provided that the minimum should officers of the county governments to be be increased gradually until it reached affected thereby: And provided further, That RUSSIA'S CLAIMS AND PLANS-EDITORIAL 40 cents an hour, which is $3.20 a day for in all such cases the Congress shall also pro FROM THE SHREVEPORT (LA.) TIMES an 8-hour day. Assuming that men vide for an adequate in-lieu-of-tax payment [Mr. OVERTON asked and obt.J.ined leave program covering existing Indian reservations would work 8 hours every day and as as well as the lands to be currently acquired. to have printed in the RECORD an editorial suming that everybody who would draw entitled "Russia's Claims and Plans,'' pub the minimum of 40 cents an hour would I ask unanimous consent to present the lished in the Shreveport (La.) Times of worlc 26 days each month of the year, resolution and that it be referred to the March 19, 1946, which appears in the Appendix.] they would get at 40 cents an hour about Committee on Indian Affairs. $83 a month as the minimum. Assum The ACTING PRESIDENT pro tern EDITORIAL COMMENT ON PROPOSED ing further that all the men and women pore. Without objection, the resolution REORGANIZATION OF CONGRESS who would draw 40 cents an hour would will be received and referred to the Com [Mr. PEPPER asked and obtained leave to work 8 hours all the 26 working days of mittee on Indian Affairs, as requested by have printed in the RECORD three editorials each month, 12 months in the year, we the Senator from Oregon. endorsing the proposal for reorganization of arrive at a figure that approaches $998 a Congress submitted by Senator LA FoLLETTE, REPORTS OF COMMITTEES year. which appear in the Appendix.) We may theorize all we wish, and to The following reports of committees THE ST. LAWRENCE SEAWAY PROJECT our hearts' satisfaction, that Congress were submitted: STATEMENT BY CORNELIUS H. CAL has no concern about minimum wages, By Mr. WALSH, from the Committee on LAGHAN and should not have any concern; that Naval Aftairs: [Mr. MEAD asked and obtained leave to the tratnc should bear whatever it can s. 1805. A bill to authorize the promotion have printed in the RECORD a statement made bear in· the competitive markets, and of personnel of the Navy, Marine Corps, and by Cornelius H. Callaghan, executive vice Congress should not exercise any concern Coast Guard who were prisoners of war; with president of the Maritime Association of the amendments (Rept. No. 1074); and over it, but let wages be whatever they Port of New York, in opposition to the St. may, and let the workingman draw S. 1959. A bill to authorize the payment of Lawrence seaway project, before a subcom additional uniform gratuity to Reserve offi mittee of the Senate Committee on Foreign whatever he -can get; that it is not the cers commissioned from the status of avia Relations, on February 28, 1946, which conce11n of the Nation as a whole to deal tion cadets; without amendment (Rept. No. appears in the Appendix.] with the subject at all. That was the 1075). argument made by some of those who By Mr. HATCH, from the Committee on AMENDMENT TO FAIR LABOR STANDARDS opposed the act of 1938. Public Lands and Surveys: • ACT Congress did not take that view, not S. 1857. A bill to authorize the availability The Senate resumed consideration of only so far as labor. was concerned, but fer certain necessary administrative expenses the bill M ajor provif'ion Present Fair Labor Standards Act S. 1349 as amended by committee Policy of the act.------l _ To correct and eliminate labor conditions detrimental to maintenance 1. Adds activities "affecting commerce" and inserts "and affects" after of mininimum standard of living necessary for health, efficiency and gen "burdens" in item (2) (sec. 2 (a))_ eral well-being of workers in industries engaged in commerce or in pro duction of goods for commerce (sec. 2). 2. 'I'o carry out tho purposes of (1) above through congressional power 2. Adds also congressional power to regulate commerce with foreign to regulate commerce among the se\'eral States (sef'. 2 (b)) . nations (sec. 2 (b))_ - Definitions.------1. "Wage" includes reasonable cost of board and other facilities cus- 1. Retains the same definition, but excludes wages of seamen from its tomarilY furnished by employer (sec. 3 (m)). - application (sec. 3 (m)). 2. No provision. - 2. "Activity affecting oommerce" is one in commerce, necessary to com merce or competing in commerce. or where wage payment at rates below minimum or where oppressive child-labor burdens, obstructs. or tends to burden or obstruct commerce or the free flow of commerce (sec. 3 (c)). Wage rates ______1. (a) 25 cen~ per hour in first year ol operation (beginning Oct. 24, 1938). 1. (a) 65 cents per hour first 2 years of operation. (b) 70 cents per hour (b) 30 cents per hour in next 6 years of operation. (c) 40 cents per hour third and fourth years of operation. (c) 75 cents thereafter. (d) Not less thereafter (beginning Oct. 24, 1945). (d) Not less than rates·(not over 40 than rates (not over 75 cents per hour) as prescribed by Administrator's cents an hour) as prescribed by .Administrator's order, any time after order, any time after effective date of amendments (sec. 6 (a) ). effective date of act (sec. 6 (a)). 2. Above rates do not apply to Puerto Rico or Virgin Islands, if employ 2. Substance of provisions in present act retained (Eecs. 6 (a) (5) and ees are covered by wage order issued pursuant to industry committee 6 (c)). recommendations (sees. 6 (a) (5) and 6 (c)). R ate ol overtime com 1. Overtime compensation at 172 times employee's regular rate for hours 1. 8. 1349 does not change this provision (sec. 7 (a)). pensation. in excess of 40 a week (sec. 7 (a)). _ General cover age of 1. Employees engaged in commerce or in the production of goods !or 1. Adds employees employed in or about or in connection with ruty minimum wage and commerce (sees. 6 (a) and 7 (a)). enterprise where the employer is engaged in any activity affecting com "vcrtimc prQvisions. Il!erce (sees. 6 (a) and 7 (a)). . ------1946 CON·GRESSIONAL RECOR·D-SENATE 2559 Comparison of major provisions of S. 1349 with the present Fa1r Labor Standards Act-Continued Major provision Present Fair Lator 8tandards Act S. 124.9 as emended by committee General coverage of 1. S. 1349 provision not in present act. 1. Directly J')rohibits employment of oppre~sive child labor by employer child-labor provi in or about or in connect;on with any enterprise in which he is engagPd in sions. commerce or production of goods for commerce or in any other activity affecting comnwrcc (sec. 12 (b)). Exemption from gen I. Exempts from overtime pay for not ovrr J2l::.ours a day. 5G tours any 1. Extend~ the partial exemption during 14 workweeks to any other eral overtime provi· week, for not over 14 weeks in the aggrE.>gate in any 1 r.::~lendar year, any inrlustry handling or packing cr storing, in raw or natural state, or fin:t sion. industry found by Administrator to be seasonal in nature (sec. 7 (b) (3)). processing or canning of agricultural or horticultural commodities, or fish or other aquatic form of animal or vegetable lifP, found by Adminis trHtor to ha\'C a marked annually recurring seasonal oeak (sec. 7 (h) (3) (B)). 2. Certain operations in the dairy industry arc excmnt throughout the 2. Deleted. (Scmp 0f these industrie!' will hl' eligible to receive exemp year and certain operations in the agricultural proccS~:ing industries and tion under ~cc. 7 (bl (3) {B).) meat-packing industry arc exempt for 14 workweeks a year (sec. 7 (c)). 3. Hours and overtime rates do not apP.lY to rmp!oyees of motor carriPrs 3. B ours and overtime ra!Ps do not apply to eruployces of motor carriers whose maximum hours of work and quAhfications arr suo;crt to regulations whose ma.:dmurn hours of work and qualifications during the gt·rater part by Interstate Commerce Commission (sec. 13 (b) (1)). of a workweek have been established by Interstate Commerce Commission regulations (sec. 13 (b) (1)). • 4. S. 1349 provision as recommended by committee not in present ect. 4. Cover seamen for minimnm-w!l:;re purpo~es by leaving them out of Sc&men exempt from both wage and overtime provisions (sec. 13 (a) (3)). .13 (a) exclusion, but hours and overtime rates do not. apply to seamen (sec. 13 (h) (3)). Exemption from both 1. Employees in executive, prote~sional, Rdminislr:::tivc, lora! retAiling, 1. Same as original act with "local retailing rapacity" deleted (Sec. wage and hour pro or outside salesmen capacity (se c. 13 (a) (1)). 13 (a) (1)). visions. 2. Employee in retail or service rstahli shrre nt~. the greater part of :?. Employee In retail or servire e~tablishments when employer has not whose selling or servici11g is in intrastAte comn:crcc (~ec. 13 (a) (2)). over 4 sucb establishments and where total annual sales of the establishment aro not over $500,000 (sec·. 13 (a) (2)). 3. Seamen (sec. 13 (a) (3)). 3. Elimin!ltes present exemption by deleting "seamen" from sec. 13 (a) but still exempts them from overtime provision (sees. 13 (a) and 13 (bl (3)). Exemption from both 4-. Employee catching, taking, harvcstiny, cultivating or farming, fsh 4. Deletes from exemption emp:oyces loading, unloading, packing fish or wage-and-hour pro· and other aquatic forms of animal and vegetable life, including loading, un other aquatic forms of life, or propagating, processing, marketing, freezing, visions. loadi]lg, or packin!f of such products, or propagating, y;rocessing, market· canning, storing, curing or distributing thereof, except loading and unload· ing, freezing, cannmg, storing, curing, or distributing thereof (Eec. 13 (a) ing when J:erformed by employee who also r;erforms &ctivities otherwise (5)). exempted (sec 13 (a) (4)). 5. Emp!oyee of semiweekly or weekly r:cwspa):cr with eircul!:. ticn under 5. Deletes requirements that newspapers be "semiweekly and weekly" 3,COO, with major .r::art of circulaticn in county wl:ere .r::rintcd and published with ma.ior part of circulation in county whore printed and published (sec. (sec. 13 (a) (8)). 13 (a) (7)). 6. Employee In area ofprocuctio n cngq,:ed in hm::<'linr, reckir:g, storiv!", 6. Del<.>tes entire exemption (Ecc. 13 (a)). ginning, comprcsfing, :r;rstwrizing, crying, rreparing in raw or r:&tural state1 or cannmg of agricultural or horticultural products for market, or in mskmg chee~c. butter or other dairy products (sec.13 (a) (10)). 7. Switchboard orerators at public telephone exchange with less tl::.an teo 7. Switchboard operators at r;ublic telephone exchange with less than stations (sec. 13 (a) (11)). 1,COO stations (sec. 13 (a) (!l)). Employee suits ______I. S. 1349 provision not in present act. In general, statute oflimitations I. Action to recover liability of unpaid wages and damages limited to 2 applicable is that provided by State laws. years from date of accrual ofliability (sec. 16 (b)). 2. s. 1349 provision not in present act. 2. Action to recover liability accruing prior to effective date of amend ments instituted after that date limited to 2 years from effective date of amendments (sec. 12 of S. 1349). 3. Employer is liable to employee for unpaid minimum wages and over· 3. Court may rednrP. liquidated damages in whole or part when shown time compensation and an addiLional equal amount as liquidated damages that employer's violation was not willful and that be acted in good fai th (sec. 16 (b)). (sec. 16 (b)). [FJ.·om the Tampa (Fla.) Tribune} one gets inflation "by giving a shabbily ing what the Senator from New Jersey MINIMUM WAGE BOOST dressed typist a raise of $2.50 a week.'' [Mr. SMITH] has said today regarding National self-interest and a sense of jus the minimum-wage law. There is a bitter battle going on in the tice to a small fraction of the Nation's labor Senate over its Labor Committee's proposal ing force demand that this bill be passed Yesterday the junior Senator from to raise the national minimum wage scale to promptly. Oregon [Mr. MoRSE], for whom I have 65 cents an hour and to bring some 4,000,000 great respect and deep affection, stated more workers under its protective wing. Ad vocates of the measure have hit back hard [From the Orlando (Fla.) Morning Sentinel on the floor of the Senate that there is at contentions the bill is inflationary. of March 16, 1946] nothing in our system of free economy It cannot be denied that adoption of a MAKE SURE IT FITS which gives a man the right to exploit higher minimum scale would create some up The President, Senator PEPPER, and numer the labor of his fellow men. By ex _ward pressure. However, we are in for a ous others have plugged for 65 cents an hour ploiting the earnings and the labor of his round of wage increases anyhow under the as a minimum wage set by law and Orlando fellow men, I presume he meant to deny President's new wage-price policy. The indi Sentinel has endorsed a minimum that will them a fair return on the effort through viduals this bill will benefit are among those provide working people with a living wage. which the employer profits greatly. I who will suffer most from the resulting price We have never cottoned to the idea that heartily concur in that statement, and I rise. They are some of the unfortunate mil a girl should be paid low because she can lions who have precious little resources to believe that all Members of the Senate live with her parents or that a man should will agree with it. start with and find it difficult to negotiate be hired cheap because lie can be had cheap. for increased wages which keep pace with But I offer this thought also: There is increased living costs. It has been our view that business, indus nothing in our free economy which denies Under the present law the minimum wage try, private enterprise ought to compute a square and honest wage among its costs when a man the right, when he can see an op is set at 40 cents an hour, or $16 a week. portunity to start a small business, to Certainly that scale doesn't provide an ex fixing its charges for goods and services. travagant living. The amendment now being Whether 65 cents an hour, which seems fair offer to those in his community, who discussed would raise the minimum level to now, will be fair a year from now is a ques may or may not be competent workers, a 65 cents an hour, or $26 a week. It is diffi tion, for its worth as a wage would go up _or fair return for the production they can cult to see how such workers can be paid down with prices. give in that effort; and there is nothing less,.for any job worth filling _at all is worth So to set the figure at 65 cents by law would in our free economy or philosophy which enough to keep the worker from the steady make. it impossible to rectify it quickly if should place that man under jeopardy down grade resulting from miserable housing, prices should riSe to render it an inadequate living allowance. of the law for so doing. food, and clothing. ' If It stands to reason that paying the worker Maybe there is possibly some other device there is anything which is of pe enough to maintain his health and spirit more certain to win the desired end, such as culiar genius to our American system, will cause him to produce better. What is parity minimum, one that would automa it is the protection of the rights of the more, it relieves the community from the tically rise or fall with prices. minority; and I am greatly concerned lest probability that otherwise he will become We confess we do not understand a lot those who have been advocating a 60- an expensive public charge. of these things, but no outstanding spokes to SO-percent increase in statutory mini Senator ELLENDER and other opponents to man seems to know all the answers either, so mum wages have overlooked the right of the contrar~. Congress has done far more in why not do a little, nonpolitical, scientific flationary things than this. It.has done them research on these matters? the weak, the young, and underprivi for agriculture, for real estate, and other leged to get as· full a return for their industries. And surely it is difficult to see, Mr. WILLIS. Mr. President, I wish to labor as their ability to earn will justify. as Senator THOMAS of Utah pointed out, how make a few brief remarks, supplement- Senators have often said hei:e that the ' . 2560 CONGRESSIONAL RECORD-SENATE MARCH 22 ureat majority of the people of our coun the worker. They will, of course, choose the Mr. WILLIS·. Mr. President, I wish to try require the minimum wage provided good workers and let the others go, or in say that I heartily concur in ne~rly all by the bill. I am speaking now for the stall machines to do the work for which they now can pay an ordinary rate. the points made in the able presentation minority, for those who, because of un Result of this will be to produce unem by the distinguished junior Senator from fortunate circumstances, perhaps, or be ployment. New JPrsey [~fr. SMITH], as representing cause of an improper location or because I do not know whether the law could be so my views on the pending measure. they are just beginning to learn to earn fixed that it would exempt such persons and REPORT OF THE SPECIAL COMMITTEE a return for their efforts and are not so give them a chance to get jobs and make TO INVESTIGATE THE NATIONAL DE able to earn the full amount of the mini a living. You know best about that. The minority report of Senators ELLENDER and FENSE PROGRAM-SURPLUS PROPERTY mum wage, might thereby be denied e!ll ABROAD (PT. 5 OF REPT. NO. 110) ployment. I think that is a matter Which BALL seems to us much more reasonable than tha majority report. Mr. TUNNELL. Mr. President, it is should be taken into consideration in If we can give you any further information connection with this problem. We do not on this that will help, we shall be pleased my privilege, as chairman of the Sub wish to put such men and women and to do so. . committee on Foreign Surplus Property boys and girls into the position of having Respectfully submitted. of the Special Senate Committee Investi to come to the Government for aid. Most SAMUEL E. BOYS. gating the National Defense Program the Mead committee-to present to the of all, we wish to encourage'them to rely Mr. President, I know there are many upon themselve::; and to earn as much as Senate a report of the committee on sur homes in which the standard of living plus property abroad. they can earn through their own efforts. is raised because of the additional in Then if they are unable to earn sufficient Before proceeding further, Mr. Presi come· which many of the younger mem dent, I wish to say that I, for one, am to meet their needs, we should take steps btrs of the family and many of the to aid them. very proud of the great amount of sur women and the handicapped can con plus property in the shape of war mate Tnerefore, I should like to have the tribute as a supplement to the income Senate give careful consideration to the rials which we found were not b::ing used earned by the principal wage earners of at the time of the surrender. If we had proposal to establish a minimum wage the families. of 65 cents for every employed person in found that our War Department, our I have received letters about the pro Navy Department; or any other depart the United States. I come from a small posed change in the minimum wage and community and I have been intimately ment of the Government, had failed to · about the 40-hour week from another provide the necessary materials for war, associated with men in small communi class of people, namely, those who are ties who are struggling to maintain small we should have had ground for serious supplying farmers with farm machinery criticism. I, therefore, wish to congrat businesses. Therefore, I know that such and are servicing farm machinery. As a wage would cause them to cut ofi from ulate those who procured such great a matter of necessity, they have to keep amounts of material for war. their businesses many persons who now their plants and their stores open for are happily employed, but who cannot Before asking leave to file the report, long hours, so as to be ready to serve I desire to give the Senate a brief state earn the full amount of the proposed the farmers who wish to come to their minimum wage. ment of the background of the investi pl:;~,ces of business at late hours. Those gation on which the report is based, and As evidence of that, I wish to read a people tell me they cannot supply the letter which I have received from a friend to call attention to some of the important service they are now supplying if they conclusions which are reached. of mine who is in the newspaper publish are required to operate on the basis· of ing business: Mr. President, the committee has de a 40-hour week and if they are compelled voted a great deal of its effort in the THE Pn.oT Co., to pay time and a half wages for any past year and, a half to the investigation Plymouth, Ind., March 20, 1946. overtime work done by their employees. of s·urplus property abroad. I, person Senator RAYMOND E. WILLIS, If that is required of them, they will Senator HOMER E. CAPEHART, ally, have participated extensively in this Congressman CHARLES A. HALLECK, not be able to maintain their plants and work. As some of the Senators may re Congressman RoBERT A. GRANT. their services for the long hours during call, the former Senator from Ohio, Mr. DEAR FRIENDs: You may be interested in which they are now operating and main Burton, now Associate Justice of the Su how our management locks at the proposed taining them. preme Court, and I reported to the Sen minimum wage bills (S. 1349, H. R. 3914) to · · I ask unanimous consent to have ate a little more than a year ago as a increase the minimum wage from 40 cents an printed at this point in the RECORD, as a result of our investigations in north hour to 65 cents and then to 75 ce~ts an hour. part of my remarks, a letter bearing on Africa, the Mediterranean, and the Mid These rates, of course, are not too high for the point to which I have just adverted. any experienced or capable worker. T~~~e "dle East. Subsequently there were other may be factories and stores in some c1t1es There being no objection, the letter investigations, in all of which I partici where they do not pay more than the 40 was ordered to be printed in the RECORD, pated actively. cents an hour, but I don't know of any as follows: The report which is being filed today around here. But 40 cents an hour is plenty EOLINGER BROS., is based principally, however, upon inves for an apprentice. Some 20 years ago I knew Win:lju.ll, Inc~ .• Irfarch 20, 1946. tigations conducted by the junior Sen that reporters paid to get on the Washington Hon RAYMOND E WILLIS, ·at.or from California [Mr. KNOWLAND] Post. Don't know what it 1s now. United States Senate Office Building, and myself. We left Washington 2 days The big trouble with such a Nation-wi~e Washington, D. C. law is that it must apply to apprentices and DEAR. Sm: In regard to bill S. 1349, which ·after Christmas, and for the next 37 days, to marginal workers, no matter what their ·deals with the Fair Labor Standards Act, in a trip which took us all the way around · ability or production value. Such conditions ·I do not think it should include the farm- the world, we devoted our time almost are not fair for the good worker nor for the · implement dealers for the following reasons: exclusively to the investigation of surplus employer who is compelled to pay the rate, . 1. On a 40-hour basis there would be a property abroad. no matter what the value of the worker. 1ot of farmers who would be denied service I may say, in connection with ~uch in We ·have in our employ an example, a that was necessary for carrying on their vestigation that we investigated the dec young man whom we will call Rusty. Rusty busine~s. larations of surplus. We investigated the does the mailing and works mostly on the 2 An implement dealer on a 40-hour basis mailing galleys, carries metal for the type· would have to cl1arge higher prices for his sales which had been made following the setting machines-and similar simple work. work due to tne fact that they would not declarations. . He can do that, but more expert work and have as long business hours. .as before. Our itinerary carried us to the head- sl~:ill is beyond him, and so far as we can tell 3. So many times. especially In the spring, . quarters af every major foreign theater. he will not improve much. We pay him 55 a farmer worlts early and late and on a We held 32 public hearings and 4 execu cents an hour. He lives at home and so his 40-hour basis he might have to let his bust tive hearings. · In addition to the hear income for 40 hours ($22) is a good income ness s!.and idle for days instead of hours. · ings, we accumulated a vast amount of for him in our town. It might not be in Therefore, 1 think that the 40-hour week · factual data and statistics which were Chicago or Indianapolis. policy would be a big disadvantage to the , prepared in advance of our arrival pur Our fealing is that when jobs become implement dea1er. · scarce young men like Rusty and young Hoping that this letter will be o! help to suant to the committee's request. women of similar ability will find very tough you, I remain, · Before discussing the report itself, I going. They probably cannot get jobs at all, Very truiy yours, ·. wish to express the appreciation of the for the law will compel employers to pay the BOLINGER BROS., committee 1;or the excellent cooperation highest rate, no matter what the ability of HOWARD BOLINGER. given to the coinmittee by the War D2- 1946 CONGRESSIONAL R-ECORD-SENATE 2561 partmentand the Navy Department. We and some of them very severely, appar The third conclusion of the committee were universally treated with courtesy ently, but I think they are now supposed is: and hospitality, and the information we to be in running condition. However, 3. A large number of cargo ships, many of requested in -our investigation was they probably have had a part of their which were loaded with surplus materials, ·promptly supplied. The Navy Depart original cost worn from them. There were kept idle in the far Pacific for several ment furnished our plane, and I want were also in the same depot 25,000 bi months after the cessation of hostilities be ·to pay special tribute to our plane cap ·cycles, most of which had been used. cause of tndecision on the part of the War tain, Lieutenant Nelson, and his excel · The second conclusion reads as fol !'1-nd Navy Departments. Most of these ships lows: · - have now been unloaded or returned to the lent crew, who flew· us over 30,000 miles United States, but the vacillation and lack in 37 days without the slightest sugges 2. The Army and Navy were slow in inven of decision resulted in a substantial loss in tion of any hazard. torying supplies and in declaring surpluses dollars, manpower; and delay in surplus dis I also want to state that the subcom abroad. Although recently declarations of posal while these ships were idle . mittee did not approach its task with .surpluses have been speeded up, the most a favorable period for selling surplus property Some of these ships had been sent to view to being critical or finding fault is now behind us. the European theater of war, and then -with the manner in which· the services sent to the Pacific theater at the -time ·and the disposal agencies had per-: At committee hearings ori materiel de.:. of the surrender of the Germans. When ·formed their functions. We simply mobilization; it developed that long in they reached the Pacific theater the sur sought to 'earn the facts, without any advance of VE-day and VJ-day Army render of the Japanese had either taken · preconceived notions of what we were procurement agencies had made plans place or it took place very soon there to find. In·our report we have sought to for reduced procurement, which were to after. set those facts out as impartially and as be placed in effect upon the occurrence of I know the Senate will pardon me for accurately as we know how, seeking VE-day or VJ-day, whenever that the statement that I believe the pres ·neither to criticize nor to praise, except might happen. Of course no one short ence of our committee in the Pacific, on . as the facts impressed us. of a prophet could tell _just how much the spot, and the direction of the atten Transcripts of the 32 public hearings of any particular surplus there would be, tion of the high authorities in the War which we held are now in the process of as no one knew just when VE- or VJ and Navy Departments to the neglected being printed-! believe they are ready day would occur. Promptly upon the ships and the men aboard them in these at this moment-together with portions arrival of those dates, a program was set desolate harbors in some of the Pacific -of the material presented to the com in motion for the speedy cancellation of islands, contributed in some measure to mittee in memorandum form. These contracts. the ultimate solution of this problem. hearings and the statistical material Apparently no such planning was At our hearing in Saipan, the masters which accompanies them should form a made with respect to the declarations of of four of the idle vessels appeared and record, taken at a time when .the prob surplus, although it was equally apparent testified. One of them was the master lems and the facts were fresh, which that upon the cessation of hostilities of a vessel which was loaded with bombs. should be a valuable addition to the his huge surpluses were bound to develop. He told the committee he would like to tory of World War II. It is upon this There was no plan which had been made know, as would the men aboard his ves record, as well as hearings and material in advance of the event which could be sel, whether or not a decision would be accumulated in Washington, that the placed promptly in effect upon VE-day made as to the disposal of his ship before report is based. and VJ-day, and particularly the latter the bombs deteriorate to such a point The report sets forth 11 broad conclu date. Some surpluses will not be de that they might blow up. Even after the sions on the various aspects of the prob clared until July of this year, even committee commenced· its investigation lems involved in the liquidation of "our though the rate of their declaration has of this idle shipping, it was some time surpluses abroad. I propose now to read in recent months been stepped up appre before sufficient pressure could be these conclusions, commenting briefly ciably. The significant aspect of this brought to bear to direct attention to upon each of them. The report, together planning, in my mind, is that even the and obt~in a decision on this neglected with 'its appendices, comprises a total of costly lessons of the war have not been problem. 94 pages. For a more detailed discussion fully learned. As this Committee has re The fourth conclusion reads as fol of various specific phases of foreign sur peatedly said in its earlier reports, fail lows: ure to anticipate problems and plan for plus property disposal, I refer Senators 4. The :return of civilian-type surpluses to the body of the report. If even greater them before they occurred hampered abroad which are sorely needed in our civilian detail is desired by any of the Senators, our early war production efforts. We economy for reconversion, a primary respon the committee will be glad to supply it, · still seem to be deficient in this respect. sibility of the Office of War Mobilizat ion and .either from the record of the hearings or I hope I will be pardoned if I say that Reconversion, has been given only slight the material in its files. the subcommittee's presence in the Pa attention. The first conclusion of the committee cific had some bearing upon speeding" up I do not propose to discuss this con is a general one, seeking to appraise the the rate of declarations of surpluses. By elusion in any detail, since I understand present status and _prospects of surplus the time we arrived at Manila we · were my colleague on the subcommittee will property disposal abroad. It reads as told by the Foreign Liquidation Commis make some remarks on this matter. I follows: sioner's representatives that in the past merely wish to point out, as the report week or 10 days declarations of surpluses 1. The basic problems facing us in the states, that this is another instance in disposal of our surplus war ·assets abroad had piled in on them at such a rate that which the presence of a Senate agency remain unsolved. The scarcity of dollars, the they were unable even to count them. I on the spot contributed to a correction cost and difficulty of warehousing on foreign may say further that the subcommittee of a deficiency. soil, restrictions on our sales imposed by was able to achieve specific action with The fir'th conclusion of the commit foreign governments have proved to b~ respect to the situation in the Pacific by tee is: greater obstacles to a favorable disposal than cabling to the War Department in Wash .our agents have, up to now, been able to ington concerning certain peacetime re 5. Time is of the essence in all surplus .overcome. Consequently, the ultimate re property disposal. Time, in foreign surplus turn to our Government from sales of surplus serves which had been set up by the thea disposal, however, is even more critical than ~:tbroad is likely to be a comparatively small ter itself without authority from Wash.:. in domestic disposal for the reason that our fraction of its cost to Unite.d States taxpayers. ington, and calling attention to a pro troops must guard and warehouse our sup hibition against declaring surplus any plies ~broad. Slowness in declaring and sell I might interject here that the figures serviceable motor vehicles. About a ing surpluses abroad tends to delay demobil as to the value of various surpluses are week later the Secretary of War visited ization and keep our military personnel from based in almost all instances upon the the members of the subcommittee in their families and their peacetime pursuits. original cost, the new cost. Some of Shepheard's Hotel in Cairo and an It might be stated also in this connec this equipment of course is now second nounced that the War Department had tion that particularly in the Pacific area hand. I refer particUlarly to 9,500 jeeps taken action on the matter which the or theater deterioration was a matter whfch we saw at Vincennes, just outside subcommittee had. brought to its at which entered into consideration. In of Paris. These jeeps had been used, tention. other words, in the hot, moist atmosphere XCII-'-162 2562 CONGRES$IO~AL RECORD_:SENATE MARCH 22 of the South Pacific many goods deterio The seventh conclusion of the commit foreign country, if used by that coun rated much more rapidly than they d~d tee is: try against another foreign country, both in the European theater. We heard 7. The State Department failed to create of which are supposed to be friendly to much of the possibility and probability of favorable conditions for the sale of our us, may result· in difficulties in the fu deterioration in the Pacific, but we surpluses located in foreign countries, or to ture.' That is what this conclusion re scarcely heard it mentioned by the wit resist effectively the imposition of onerous fers to. nesses in the European theater. restrictions imposed by foreign gov~rnments, The tenth conclusion reads as follows:. The dxth conclusion reads as follows: which had the inevitable effect of making favorable disposal difficult. 10. The benefits received from the United 6. Ample authority has existed in the exec Kingdom for the cancellation of the con utive departments and agencies for the dis Almost universally, countries where sumed lend-lease balance in our favor are posal of surplus property. abroad ever since our surpluses are located have prevented nebulous and require the United Kingdom the enactment of the Surplus Property Act us from making sales to local nationals. to do no more than it ought to be willing of 1944. In my opinion, our Government ought to do anyway. I might say in that connection that we not to have been so restricted. In other words, as I remember, there found in north Africa, when former Sen I am not so sure that any agency of was a balance in our favor of approxi ator Burton and I were there, that the our Government could have compelled a mately $16,000,000,000 between the lend materials were being sold or shipped to change in that situation. When the war lease which had been furnished by the the active theater of war very expedi ended we were caught with a great United States and the reverse lend-lease. tiously. amount of surplus material, as I have The total amount of money which we are. I think it is ·not generally appreciated stated, for which I am glad, and there getting is $650,000,000, which does not that many of the provisions of the Sur was then no way of preventing our dis":" pay for any part of the consumed lend- plus Property Act of 1944 which must·be posing of these goods. We must dispose lease. · observed by our domestic disposal agen of them. If we hold them, first, they de The eleventh conclusion of the com cies, particularly those relating to priori teriorate; second, the market probably mittee is: ties, do not have to be observed as to ·becomes less by reason of increased pro 11. The Senate ought to familiarize itself foreign disposals. However, until re duction; and, third, all the means of pre thoroughly with · the .problems - facing the cently, about the 1st of February, the venting our selling them to the nationals United States in its economic and com power to waive such provisions was in of the foreign country are brought for mercial relations with other nations in the the Surplus Property Administrator, and, ward. postwar period, and examine the manner in in his interpretation of the act and in The eighth conclusion reads as fol which such relations are being handled by our governmental agencies concerned there -the regulations which he issued there lows: with. under, he did not always do exactly as the 8. The bulk sale price to the United King foreign disposal agency-the' Foreign dom in December 1945 was a far poorer bar The disposal of materials which may Liquidation Commissioner-desired he gain for the United States than the bulk sale find their way into markets which would should. :aowever, since the 1st of Feb to France after the last war in July 1919; otherwise be open may affect our eco ruary that regulating authority has been However, France never paid us for our sur nomic situation generally. The failure vested in the State Department. We pluses. to place such materials where they can have been informed during the prepara '!'hat is, after World War I. be of assistance to citizens of the United tion of this report that that authority This conclusion is discussed in con States may have an important economic has been used by the State Department siderable detail commencing on page 23 effect. by a regulation issued on March 15, 1946, of the report, and the appendices con Mr. President, I feel very strongly th~t to achieve a greater latitude in the con tain still further detailed facts and dis the next decade, particularly, will be a sideration which the Foreign Liquidation cussion with regard to the bulk sale to critical one in the history of the United Commissioner may accept for the sale of the United Kingdom. States, and, indeed, in world history. Be our surpluses abroad in a way which the The reason this matter was discussed cause of the tremendous advances in committee considers to be entirely proper in such great detail is because it is the transportation and communication in re and right. However, the point I wish to first large bulk disposal which has been cent years, the world has shrunk so that make is that there is nothing more which made so far. Others are in the process isolationism is no longer an issue. We the Congress could have done to give our of negotiation. Because a discussion of know that we are a part of the world, executive departments all the authority the features of this transaction would, and, whether we like it or not, we are they needed in foreign surplus disposal alone, involve considerable .time, I refer rubbing elbows with our neighbors and and that there were no statutory restric~ the Senators to the report itself. I also'. we must assume our responsibilities. tions and that ample authority had been refer the Senators to the transcript of The · statement with respect to rubbing delegated to the executive departments the public hearings which the commit elbows with our neighbors applies no to handle this problem. tee held on this subject in Washington matter where those neighbors may be. Mr. FERGUSON. Mr. President, will on February 22 and 25, 1946. No matter in what part of the world they the Senator yield? That was the situation in which we may be, they are now only a few hours The PRESIDING OFFICER (Mr. found ourselves with reference to Great away. Notwithstanding this generally HUFFMAN in the chair) . Does the Sena Britain. vVe had a very large amount accepted· fact, ·we have a tendency to be tor from Delaware yield to the Senator of materials, some of which were war come absorbed in our own domestic prob from Michigan? materials, on our hands in Great Britain. lems and neglect our foreign problems. Mr. TUNNELL. I yield. The necessity rested upon us of guard Altogether too little do we think and act M,r. FERGUSON. To the Senator's ing the depots in which they were con as members of the international com knowledge, have the departments ever tained, and providing for their disposal. munit~r. asked Congress for any aid by way of law When we were prohibited from selling Mr. President, I am proud of the ideal in dealing with this surplus property? to Great Britain we then realized the ism that is expressed in the great-inter Mr. TUNNELL. I have no recollection condition in which we were placed. national documents which have been of their making any complaint or ex The ninth conclusion of the commit ·adopted in recent years by our Congress, pressing any desire for any further au tee is: which have sought to establish a blue thority. 9. Our failure to recapture or at least re print for an orderly and law-abiding in Mr. FERGUSON. So far as surpluses tain full control over lend-leased weapons ternational community. in foreign countries are concerned, ap and armaments may well have repercussions But, Mr. President, in my opinion, it is parently, then, they have the statutory in delicate future relations between nations. not enough simply to support· and assist authority they desired. A matter of such importance as the perm!l in formulating broad, general principles Mr. TUNNELL. My attention is called nent transfer of weapons and armaments to foreign nations should be studied and acted of right conduct between nations. In ad to the fact that there is a bill pending upon by Congress. ' dition, we must play our part in the more which would give to the Foreign Liquida . - prosaic, everyday economic and com tion Commission the same authority as I think I might say, in filling ou.t that mercia! matters, which, after _all, have a the State Department has given it under thought, that war equipment or ammu tremendous influence upon national in a ruling or order. nition sold by the United States· to one terests and national policies. The sale of 1946 CON_GRESSIONAL RECORD-SENATE 2563 our surplus war property located in for In my opinion, we can do most toward usual in the case · of legislative commit eign lands is a specific instance of such the establishment of the kind of world tees, for during the long life of the Mead commer.cial and economic interests. Al we want to live in by advancing vigor committee it has not been necessary for though it may be less spectacular than ously what we think is right. This can the members of the committee to file political international issues, in my opin not be done if we act and live in con majority and minority reports; and I can ion, it affords an opportunity to express tinual fear that someone else will not like say that during the long, 30,000-mile trip American policy and American influence what we say or will take offense at our by air around the world, and throughout in a concrete and specific way. It is one looking out for our own interests. the hearings which we held, the Senator instance where abstract principles of America, in 'commerce as in war, must be from Delaware and I worked in close right dealing between nations can be ap for America. cooperation, and were able to present a plied to a specific transaction, which, as No one rightfully should condemn us report which has the approval of the every lawyer knows, is the only way in for speaking our views, for stating our entire committee. which legal principles can be given mean position, nor for insisting upon the rec I wish to calJ particular attention to ing or life. ognition of our interests. two phases of the report which I think Mr. President, I think the disposal of As I view it, our main objective in con should be of special interest to the Sen our surplus property abroad is important · nection with surplus property disposal ate at this time. The first is the section from the point of view of the taxpayer, abroad was to do a good job of mer dealing with the return of civilian-type in order to reduce to the extent possible chandising and thereby realize as much surplus property, and the second relates the cost of the· war to our country. But as possible for the Treasury of the United to the sale of armaments otherwise re there are many other, and possibly even States. I should like to see more realized ferred to at hearings as nondemilitarized more important, aspects of the disposal for the people of the United States. combat materiel. of our surplus property abroad. There It is this lesson which I believe can Mr. President, my interest in the sub are many lessons to be learned if we have be learned from the experience of sur ject of the return of our surplus civilian the interest and the ability to study and plus sales abroad. It can teach us, if type property which is located abroad profit by the experience we are having we have the interest and the time to has been stimulated by the great need in this business deal with other nations. give it attention, to do a better job in in this country for building materials and The report which I submit and the exerting the influence of America in the building machinery, which now are in ex conclusions which I have read seek to future course of world events. tremely critical shortage because of the call attention not so much to failures in I am proud of the record of our coun great demand for housing for retu ning surplus property disposal as to the pos try. I believe we have little to be veterans and others. My State of Cali sibilities for improvement. In my opin ashamed of with respect to the fair treat fornia is particularly hard-pressed in ion, the primary lesson to be learned from ment of others. I firmlY believe that the this respect, but other areas of the coun the facts disclosed in our report is that strongest possible expression of the in try are also suffering from housing our agency for contact with the rest of terests and the ideals' of this outstanding shortages. the world must be strengthened, and land of opportunity will be a healthy in · Mr. President, it is, likewise, common strengthened speedily. In my opinion, fluence in the community of nations. I knowledge that there is an extreme there is no more important problem on want that interest to be expressed to the shortage of heavy construction machin the agenda of the United States Senate fullest possible extent. It is for that rea ery for highway-building programs and than the development of the best pos son. that I urge the Senate to play its other construction, which, of necessity, sible instrumentality for contact with part vigorously and effectively in the have been held in abeyance during war other nations and for the expression of formation and expression of our national time. During the war, we rightly denied our hopes, aspirations, ideals, and objec policy in international economic affairs our civilian economy the materials and tives as an important unit in the inter and in strengthening and perfecting our the machinery which were necessary for national community. instrumentalities for the expression and building and construction work. We To me, the evidence demonstrates be execution of that policy, to the end that produced huge amounts of such mate yond question that our present instru an era of permanent stability, peace, rials and machinery for our Army and mentalities fall short of the capacity and fair dealing may prevail among the our Navy. Much of that material and which I conceive the world situation re nations of the earth. machinery was shipped overseas, and at quires of us. I say this not cr~tically, but Mr. President, I now submit the re the war's end much of 'it has become sur sympathetically, with a desire to do what port of the Special Committee Investi plus. I can as an American in the United gating the National Defense Program on It did not seem right to the subcom States Senate to support, improve, en Surplus Property Abroad. mittee that this machinery and these courage, and perfect these instrumental The PRESIDING OFFICER. The re materials should remain unused, to lie ities. port will be received. and rust in the Pacific islands, when it I think it will be found that in the first Mr. KNOWLAND. Mr. President, as a was so sorely needed at home in the re report which was made by Senator BuR member of the Subcommittee on Foreign conversion program. I am gratified to TON and myself we stressed the possibil Surplus Property of the Special Commit be able to say that I believe that the ity of future commercial advantages in tee Investigating the National Defense wheels have now been set in motion for the sections of the world which we had Program, I desire to make some observa returriing a part of this material home, visited; and I think that argument ap tions on the report on surplus property_ where it can be used. I am also gratified plies perhaps with double force at this which has just been filed by the senior . to be able to say that I believe the ac time. The time is closer. Senator from Delaware [Mr. TUNNELL]. tivities of this subcommittee are, in large · Mr. President, there is not a man so I wish to say that, as a new member of measure, responsible for that condition. great but that he stands in awe of the the committee, taking the place of our There seems to me to be little reason or prospect which faces civilization in this former colleague, Senator Burton, of excuse for the failure of our Govern era of rapid air transportation and un Ohio, who now is an Associate Justice of ment agencies to take action on this mat dreamed-of explosive destruction. The the Supreme Court of the United States, ter until 6 precious months after the ces possibility of mankind's self-annihilation I have felt that it has been a rare privi sation of hostilities had passed, and until gives us all pause. What hope is there lege to ..serve on the committee which it had been brought forcibly to their at unless we find a way to live in harmony has had such a splendid r·ecord over so tention by a Senate committee. I think with the rest of the world and to estab long a period of 'time. The committee it only appropriate to add that I am dis lish a system which will insure that any was formerly headed by the now Presi appointed that now, ha.ving started the nation which does not desire harmony, dent of the United States. His successor machinery to return civilian-type sur but promotes conflict, can be controlled as chairman of the committee is the able pluses, it appears that no further action by the rest of the international commu junior Senator from New York· [Mr. is to be taken by the Director of War nity? This is a problem which has faced MEAD]. It has been my privilege to serve Mobilization and Reconversion until the the world from time immemorial and has as a member of the subcommittee headed Under Secretary of War and the Foreign not been solved·. Now we must solve it. by the able senior Senator from Dela Liquidation Commissioner return from a The alternative of failing to solve it we ware [Mr. TuNNELL]. I feel that we have trip abroad. A list h::t.s been prepared, dare not even contemplate. had an experience which is rather un- but no one has yet been ordered to do 2564 CONGRESSIONA.L RECORD-SENATE anything about it. The services have in this country, or need as badly, at a~d such excluded nations, which might con- indicated their willingness to ship these least, as we do building materials and · . tribute · to retaliatory action against the United States, and which might also impair · needed items back; but they feel, and construction machinery, and that as a existing and future efforts aimed at world rightly so, I think, that the decision is a result we still will not get the things cooperation through such organizations as civilian decision to be made by our civil which we sorely need fo.r our housing and the United Nations Organization and other ian Government agencies here. highway-construction programs. In my international bodies. As is pointed out in the report, the opinion, these critical items should be 9. The policy of equipping other nations time lag will be considerable even after given the green light, and, from all I have with United States type armaments, thus the issuance to the services of instruc been able to learn, the Army and the binding such nations to our type of weapons tions to return the specified items to this Navy are perfectly willing to do this if and po~sibly furnishing a market for our armament industry in replacement parts and country; and I am disturbed that action they are so requested by the appropriate new orders. cannot be commenced until the return civilian agencies. 10. The strengthening of nations now con of certain officials from a trip abroad. . The other feature of the report· on sidered to be our friends and allies against I cannot see why there should be any which I desire to comment is of an en those now considered to be our potential question that the return of extremely tirely different nature. It relates to our enemies. scarce items which would be useful to our peaceful relations with other nations. I The sale or gift of armanents by our Gov civilian economy should be delayed by refer to the ninth conclusion of the re ernment in peacetime is a matter of such 1 day more, and I think the Director of port, which is as follows: importance and delicacy in our relations with the other nations of the world that it de War Mobilization personally should give 9. Our failure to recapture or at least re seryes full consideration and study by Con this matter his attention in order that tain full control over lend-leased weapons gress itself. The committee believes that the no further delays occur after the Under and armaments may well have repercussions present programs for the transfer of arma Secretary of War and the Foreign Liqui in delicate future relations between nations. ments to other nations should be reviewed dation Commissioner have returned. A matter of such importance as the perma by Congress immediately, and that any sub I also wish to draw attention to the nent transfer of weapons and armaments to sequent program for the sale, gift, or trans general order for returning all civilian foreign nations should be studied and acted fer of armaments should be embarked upon upon by Congre~:s. type surpluses from the Pacific area, only after express and clear authorization by The reason that I am so concerned Congress. whether they are needed in this country The Government of the United Kingdom or not. I think the word of caution which about this ma;tter is that, especially in now has troops deployed in areas where there the co mittee has voiced on this matter these trying times, we ought to proceed has recently been or where there is threat should be given close heed by the serv carefully in any matter which affects ened to be open fighting-Indonesia, Greece, ices. In this connection, the letter of relative military strength, and which Palestine, Egypt, India. Whether armaments Capt. Granville Conway, Acting Admin may have repercussions in our delicate which we have transferred to the British in istrator of the War Shipping Adminis relations with friendly countries. I think the United Kingdom settlement are actually these aspects of our foreign relations are employed in such conflicts, either those tration, which is set forth as appendix which have occurred since VJ-day or those X-A to the report, should be given con well stated in the report on pages 36 and which may occur in the future, is not the siderable weight. From that letter, .37, as follows: real point. The fact that we have contrib which was addressed to the chairman of Several major questions of our national uted to the total · arms which the British the committee, and was dated March 14, policy are necessarily involved in the adop Empire has is the important fact and it im 1946, I read the following: tion of any program for the transfer of arma poses upon us a responsibility for the use ments. They are: of those arms which we cannot escape. Al Up to this time we have been able to sup though we have no voice in the foreign policy ply all the vessels that the Army has re 1. The effect upon any future world pro gram for disarmament. of the British Government nor in the forma quested to lift return. cargoes. We are in tion or execution of colonial policies of the terested, however, in the volume and types 2. The effect upon policing plans and re sponsibilities under the United Nations Or British Empire, we have aided them and of cargo that may be hereafter moved to the have made possible whatever the British United States. The number of outbound ganization. 3. The result of the existence of the means Empire may elect to do that involves a sailings of War Shipping Administration use of arms. We have a similar responsibility controlled vessels to the Pacific for the Army of waging war in the hands of foreign na tions presently on friendly terms not only for the unrecaptured, unconsumed materials and Navy is rapidly diminishing. .In March which we lend-leased to Russia. We have a and April less than 20 ships a month, ex with the United States but with themselves, which may subsequently become embroiled similar responsibility for armaments we have clusive of refrigerated vessels, are scheduled lend-leased to other countries and have per to go out. If any substantial number of in a dispute either with the United States or among each other, in which such arma mitted them to retain after the war. we vessels are requested by the Army for return will have a similar responsibility for arma cargoes, it will be necessary to dispatch ves:. ments may be used as an instrument of national policy, either potentially or by open ments which we transfer in the future. sels from the west and east coasts in ballast In recommending the removal of American to the loading areas. This· will be a very resort to arms in combat, under which cir cumstances the United States would have markings on nondemilitarized combat mate costly operation. It is of great concern, rial transferred to other governments, the therefore, that such cargoes as are returned no power to control the use of such arma ments. State Department obviously had some of the to the United States be screened carefully by above implications in our foreign policy in the military authorities to be sure that these 4. The use of such armaments for the control of backward peoples, whether now mind. The committee does not believe that cargoes are, in fact, needed in the United the removal of identifying labels on our States. I am particularly concerned in the under the domination of some other foreign power, or to be subsequently brought within equipment is a complete discharge of our amount of ammunition that the services may res~onsibilities to nation.:; and peoples, intend to return .to the United States in the such foreign control. agamst whom such equipment, possibly future. As of March 9, all available dis 5. The deprivation of our economy and that against our will, may be employed. charge installations in the United States were of foreign countries of the metals and com There may be those in Congress who have fully occupied and there ' were approximately ponents which would be generated if arma some doubt that the way to peace is to pro 13 vessels in the Pacific Northwest at anchor ments were reduced to scrap. vide armaments to other nations with which age awaiting berth. The l:ast of these vessels 6. The encouragement of a race in arma to wage war. Such opinions ought to be is not expected to go on· berth until mid ments which would result from the efforts given a full hearing before a policy is em April. Not only are these installations lim of nations excluded from our transfer of ar barked upon and commitments have been ited in the number of ammunition vessels maments to maintain their military strength made and nondemilitarized combat material that they can accept but the interior move relative to those to whom we do transfer is transferred, after which time it may be ment of ammunition to depots necessitates armaments. very difficult and embarrassing for our Go\-• the use of railroad boxcars, which are scarce 7. The retardation of industrial and eco ernment to do anything about it. and vitally needed for the movement of nomic recovery resulting from the allocation grain. I feel, therefore, that the military of higher percentages of national productive Mr. President, another phase of this should exercise care and satisfy themselves capacity to the creation of armaments and matter which disturbs me is that the of the absolute necessity of having more am the lowering of the level of the standard transfer of nondemilitarized combat ma munition in the United States before they of living resulting from mllitary expendi terial is being done under the authority order additional vessels for this purpose. tures. . of the Surplus Property Act, but actually 8 The generation of ill will toward the With respect to the order for returning United States on the part of those nations the purpose is to give financial support, all civilian-type surpluses, I am ·dis excluded from our transfer of armament, through the furnishing of armaments, to turbed because I am afraid that what possibly resulting in strained relations and certain selected countries. It is true that sl;l.ipping is available will be absorbed by the creation of an atmosphere of unfriendU the material which is being transferred is a g.;:eat many items which we do not need ness and distrust }?etween the United States surplus property. However, the objec- · 1946 CONGRESSIONAL RECORD-SENATE 2565 tive is not mainly to recover the value of· Washington and in the various areas Because of a tight schedule for the issuance the property for the United States, since under inspection by the committee. of this report, your comments should reach the committee not later than noon on it is being sold at a very low price. The Moreover, upon returning from these Thursday, March 14, 1946. To the extent committee has been told that we will arduous field investigations, additional that it is feasible to do so, your corrections transfer this military property for ap hearings have been held with the govern should be marked on the galley-proof copy, proximately its scrap value, whereas its mental agencies directly concerned and· which, in any event, should be returned to value as weapons would be many times supplementary data have been added to the committee at the time mentioned. that amount. To me, by far the greater our voluminous committee record. Very truly yours, proportion of the war material problem is From time to time various members GEORGE MEADER, the policy of giving military support, and of our committee who have addressed· Chief Counsel. only the minor proportion is the recovery their attention to surplus property mat JAS. M. MEAD, of the value as surplus property. For ters have reported informally to the Chairma.JI,. this reason, I believe such transfers of Senate. Our committee has acquired _By request of Secretary Byrnes, it was nondemilitarized combat material should extensive and specialized knowledge on arranged that. a draft of this report be be done only with the approval and upon the question of surplus property disposal discussed with the staff by representa the basis of a policy passed upon by the abroad. All phases of this important tives of the State Department, including Congress of the United States. It is for and complicated problem have been Dean Acheson, Under Secretary of State; that reason that I urge the appropriate thoroughly explored. Each factor has Benno Schmidt, General Counsel of the committees of the Senate to give this been properly weighed. Every new de- Foreign Liquidation Commission; and matter their most careful attention and velopment _has been carefully watched, Harold Stein, Chief of the Surplus Prop to develop the policy of the country on with each new fact being fitted into the erty Division of the Office of War Mobili this important and delicate subject. · broader considerations of United States zation and Reconversion. At their re It is not something that should be de foreign policy and internatienal coopera- quest, an executive session of the com cided ·in the inner sanctum of the State tion. I mention all this, Mr. President, mittee was arranged, in order to permit Department. Congress, too, has a re to demonstrate that a wealth of knowl- the furt,her expression of the State De sponsibility that cannot and should not edge, understanding, and hard work has partment's views concerning the report, be lightly cast aside. gone into the completion of this report. which was held by the Subcommittee on Mr. MEAD. Mr. President, as chair Let me also point out that every agency Foreign Surpluses, with other members man of the committee which has just of our Government affected by the con- of the committee invited to attend. submitted its report, I should like to take tents of this report has been accorded This meeting was held on Friday, March this occasion to commend the senior full opportunity to review the facts ahd 15, 1946. This meeting was held only for Senator from Delaware [Mr. TuNNELL], conclusions contained in it. All rebuttal the benefit of the State Department, all chairman of the Subcommittee on Sur information has been carefully checked other agencies having submitted their plus Property, and the junior Senator and all conclusions have been recon- corrections within the time limit men-· from California [Mr. KNOWLANDJ for sidered before final adoption of the re- tioned in the letter, according to the the important report which has just been port. However, no modifications have usual practice of the committee. presented here in the Senate regarding been made except where the facts clearly At that session of the subcommittee investigations of surplus property dis-· showed that a change was justified. • it was agreed that the State Department posal abroad. I think it is appropriate to go into just would submit specific suggestions as to The Senator from Delaware has taken a little more detail concerning the com- changes of wording in the draft of the a courageous and forthright position fol mittee's procedure in the issuance of re- report, in order to present specifically lowing his intensive work in gathering ports. There is, of course, no obligation • their views with regard to the interpre and studying e;reat quantities of facts on the committee to submit drafts of its tations of the facts and conclusions of and informa t~ on with respect to our vast reports to anyone. Many committees do opinion of the committee. I want to em surplus property holdings abroad. Ac-· not do so. However, our committee has phasize that there was no dispute as to companying him on his recent journey of consistently contacted governmental the facts themselves. I quote from the investigation whicl .. extended all the way a~;encies or outside individuals thought record of the session of the committee around the world, the able junior Sena by the ~ommittee to be interested in or referred to, on page 19 of the record: tor from California cooperated to the affected by the substance of the discus- Mr. AcHEsoN. I am not criticizing a state- fullest and gave unsparingly of his ef sion in proposed committee reports. In ment of fact anywhere in the report. forts and talents to bring to the Senate this instance, the committee submitted this complete, searching, and unpreju the draft of the report to about a dozen The State Department also in that diced report. In this connection, let me hearing unequivocally took the position Federal agencies with a letter which I that there was no policy which required emphasize that the report submitted here propose to ~ead: today by Senator TuNNELL carries with it secrecy concerning the facts presented in UNITED STATES SENATE, the report and that there was no dis the full approval of the entire Special SPECIAL COMMITTEE INVESTIGATING Committee Investigating the National THE NATIONAL DEFENSE PROGRAM, position on the part of the State Depart Defense Program, of which I have the March 12, 1946. ment to conceal these facts from the honor to be chairman. Mr. WILLIAM L. CLAYTON, American public. I believe it is of interest to the Senate Assistant Secretary of State, Mr. President, I wish to repeat the last to comment briefly on the manner in State Department, Washington, D. c. statement, because I believe it to be very which this report was prepared by the DEAR MR. CLAYTON: Attached is a galley important. The State Department also committee and finally approved. Al proof copy of the proposed report of the in that hearing unequivocally· took the Committee on the Disposal of Government position that there was no policy which though the activities of the subcommit Surplus Property Abroad. In accordance tee, comprising the Senator from Dela with the committee's practice, this document required secrecy concerning the facts ware and the Senator from California, is submitted to you on a confidential basis presented in the report and that there who recently traveled around the for your examination and suggestions. was no disposition on the part of the world, are the principal basis for the re The committee desires that your examina State Department to conceal these facts port, three other field investigations were tion cover particularly: from the American public. made since the latter part of 1944. These 1. The facts and statistics stated in the Subsequently, on Monday, March 18, investigations extended to north Africa, report. 1946, the State Department and the Office the Middle East, the Persian Gulf area, 1. The declassification . of any material of War Mobilization and Reconversion the Caribbean, and the European and previously considered by you to have been pres~nted detailed suggestions concern classified. ing the rewording of certain portions of Mediterranean theaters. , 3. Any additional facts or points, which, Prior to all these field investigations, ·in your opinion, should be included in the the report. These were carefully and extensive hearings have been held here report. meticulously gone over by the committee in Washington, by way of preparation: In addition, the committee w111 be · glad and specifically by the chairman and the Memoranda, exp.ert testimony, statistics, to consider your views concerning the inter other member of the subcommittee. military charts, and theater reports have pretation of the facts and the conclusions Some suggestions were accepted and oth ~ll been yarefully studied both here in of op1nion which the committee has reached. ers were not. The State Department was 2566 CONGRESSIONAL RECORD-SENATE MARCH 22 advised as to the decision of the com istration and the Army-NavY Liquidation should be made by it of our foreign eco mittee. Commission, that the wisdom of such nomic and commercial problems and the The issuance of the report was delayed a course was appreciated and action to manner in which they _are being handled for 3 days beyond the schedule for its that end taken. by the agencies concerned therewith. issuance, solely for the purpose of afford At this point, I wish to bring to the Mr. President, I wish to point out that ing the State Department full opportu attention of the Senate conclusion No. the report which has just been filed on nity to consider the report and present 11 of the committee, which reads as surplus property abroad advises the Sen its views to the committee. follows: ate only on one of the aspects pf surplus I mention the foregoing details con 11. The Senate ought to familiarize itself property disposal, a subject which has cerning the preparation of this report thoroughly with the problems facing the absorbed a large portion of the commit only so that the RECORD may show the United States in its economic and commer tee's interest during the past year and a care exercised by the committee and the cial relations with other nations in the post half or two years. On December 19, 1944, opportunity afforded all interested agen war period, and examine the manner in the committee filed a report on the ac which such relations are being handled by cies to present their views and to dispel our. governmental agencies concerned there cumulation of surpluses, urging at that any impression which might be gained with. time that the supply system be improved that the report was issued casually and so that the quantity of surpluses which without the full consideration of the I do not propose to go into this sub would necessarily arise at the close of the committee. We go into these matters in ject in great detail at this time since I be war would be kept to the minimum. On complete detail, Mr. President, and in lieve it merits thorough exploration in March 22, 1945, the committee issued a keeping with the practice and precedent and of itself. However, it seems to me report on the disposal of surpluses other established at the time of the formation appropriate, in connection · with the than industrial plants, commenting upon of the committee. committee's recommendation that the the organizations then charged with the For my own part, I shuuld now like to economic and commercial foreign ' inter disposal of commodities and other mov direct the attention of the Senate for a ests of the United States be studied able surpluses. moment to that section of the report thoroughly by the Senate, to suggest that I desire to quote from one of the con which deals with the question of' the co any such study ought to include the way clusions in that report, since it bears ordination of our efforts in the handling in which we relate to each other the va specifically on the report which has just not only of our surplus properties abroad rious objectives we have in foreign pol been filed and gave a ·warning and urged but in all of our economic and commer icy. For example, in the matter of repa action which, as is definitely shown by cial undertakings with foreign govern rations, we ought not to be in the posi the report which has just been filed , went ments. tion of furnishing support for the popu unheeded. The tenth conclusion of the The committee's report states: lation of Italy on the one hand, while report we filed on March 22, 1945-ex The advancement of our interests cannot reparations are exacted from her on the actly a year ago today-states: be assured through any notion that there other hand, which actually are derived 10. Surpluses abroad should be disposed of is any hocus-pocus or magic in a diplomatic from the funds which we have contrib expedit iously. To this end, policies should method of negotiating on the basis of gen uted. Such action merely results in si- · be formulated at once. Immediate action eralities, r ather than upon the facts and .phoning off the funds and the relief ex should be taken by the armed forces and fact ors which are involved in a commercial ·penditures which we make in that coun- other procurement agencies to determine transaction of like character. try and in other countries where similar procedures to be followed at the conclusion action is taken. of the war in Europe. There need not be a Our report also reminds the Senate period of confusion. Similarly, decisions that many great measures looking to Mr. President, I wish to reiterate that must be made at once as to the items which ward American participation in world ,statement. We should look carefully are to be declared surplus at this stage and affairs have been adopted by overwhelm into these matters. They should be co those which will be utilized in the Pacific ing majorities by Congress. These in ordinated so that logic and reason will war. Pending the formulation of a policy clude the historic United Nations Or- · be present at all times. As I said a mo with respect to bases and holdings abroad, ganization, the United Nations Relief ment ago, in the matter of re!.)arations individuals should not take action which and Rehabilitation Administration, and we ought not to be in a position of fur will prejudice the position of the United Bretton Woods. But let us not forget nishing support, for instance, to the States. that these great instruments, which population of Italy on the one hand, In addition to these special reports to carry with them the future hopes of all while reparations are being exacted from which I have referred, comments have mankind, will not automatically solve her by pther countries on the other hand. been made on surplus property disposal our world problems simply because they As a result such reparations are actually in both the third and fourth annual re have been accorded world approval as derived from the funds which we have ports of the committee. broad and general charters of hope for a contributed. On December 20, 1945, I addressed this better world. Our foreign surplus-property activities body on the subject of the War Depart As the committee's report states "to should be a part of all our other foreign ment's so-called strategic reserve plan ascertain basic facts and master the activities, and it was for this reason that which, in essence, proposed to store sup principles underlying such negotiations both the Foreign Economic Administra plies for from 10 to 20 peacetime years requires hard, prosaic, everyday work." tion and the Army-Navy Liquidation and even for the first year of any future To this I would add that this hard, pro Commission were placed directly under war. Fortunately, as a result of the saic, everyday work must be directed the State Department, where that coor committee's inquiry into this strategic through straight channels under an over dination could actually be fulfilled. reserve plan, the War Department policy all coordinated directiqn and not mis If we compartmentalize our negotia was reexamined and completely modified directed through a maze of bureaucratic tions with other countries and our right with the result that great stocks of ur red tape and fancy protocol. hand does not know what our left hand gently n~eded civilian supplies are now There have been instances where too is doing, we are likely to lose in our nego being released by Army authorities. little hard-headed attention was given tiations with foreign countries the ad I mention these matters by way of re to America's world problems by the vari vantage of relating what is being .done porting to this body that the examina ous officials and agencies of our Govern for other nations in one field to objectives tion of the disposal of our assets in the ment concerned with these vital re which we seek in another field. At all form of supplies, installations; and fa sponsibilities. Moreover, it is discourag times, our negotiators should not only be cilities created during the war has a very ing to note that too often tangible· results specifically and completely informed on real bearing not only upon the total cost and improvements come about only after the subject matter with which they are of the war to the American taxpayer but prodding and incessant vigil by an dealing, as is so aptly pointed out in the also upon our future dealings with other agency such as our investigating com report, but there should be the _closest nations. mittee. For example, it was not until kind of coordination between negotiators Our committee will continue to direct after our subcommittee, following its in in the several fields. I make this com a major portion of its attention to these spection of the European and Mediter ment at this time solely as an indication matters. IIi the· near future we expect ranean theaters, had vigorously urged a of one important matter which I believe to report on the subject of the disposition consolidation of the foreign disposal the Senate would do well to explore, in the of domestic surPl'!lses and also to keep agencies, the Foreign Economic Admin- event the Senate agrees that a study the Senate advised of all important.de- 1946 CONGRESSIONAL RECORD-SENATE 2567 velopments in our investigations of sur we been saddled with a huge public debt, · 1n o:ur means to achieve it speedily should be plus property ·matters. fraught with economic repercussions, but employed. A device within the authority and Finally, Mr. President, I wish to make our natural resources·have been depleted at power of the Senate is to employ the investi a rapid rate. If these resources are not re gative power of the Senate in order to fa it abundantly clear that we are not aim plenished, we will be weaker economically miliarize the Senate "fully with the outstand ing to criticize the departments of Gov than we were before the war. Other govern ing commercial and economic problems which ernment or the executive agencies of the ments were able to impose these restl'1.ctions we -face in this critical period immediately Government. We are endeavoring at all on surplus sales because our representatives following the cessation of hostilities. times to carry out the original concept were not able to overcome the strong posi In addition to informing the Senate, past under which this committee was created. tions taken by the representatives of other experience has demonstrated that the inves We seek to effect corrective measures governments. tigative activities of the Senate have a salu To ascertain basic facts and master the tary effect upon administrative agencies, es while corrective measures can be effec principles underlying such negotiations re pecially those which have a tendency toward tive. We have been commended by a quires hard, prosaic, everyday work. It re vacillation and procrastination in making great many agencies of the Government quires the assembly of the best knowledge prompt decisions based upon an intelligent for suggestions which our committee has which experts in various fields in the vari study of the facts and factors involved with made to them and for the corrections ous departments of our Government can in their responsibility. The committee be which resulted from our recommenda provide. The development of the facts is far lieves that our instrumentality for con more important than endless arguments ducting our future economic and commercial tions. about general theories. The advancement relations with other countries should be ex Let me say in conclusion that we will of our interests cannot be assured' through panded and strengthened, and that its han carry out our task until the reason for any notion that there is any hocus-pocus or dling of these problems be subjected to the the creation of this committee no l_onger magic in a diplomatic method of negotiating continuous and intensive scrutiny of the exists. In doing so we will make recom on the basis of generalities, rather than Senate. mendations and reports to the Senate, upon the facts and factors which are in Mr. President, my reason for reading which I trust will be considered by the volved in a commercial transaction of like character. The problem is in applying the that part of the report into the CoN executive agencies of the Government. general principles of our foreign national GRESSIONAL RECORD is that I ·believe it Mr. FERGUSON. Mr. President, I commercial interests to a specific situation. lays down a policy by the legislative desire to make a few comments on the Referring again to surplus-property dis branch which should be well known not report which has just been filed by the posals,. specifically, it means that our agents only by the agencies and departments of senior Senator from Delaware [Mr. must 'be fully familiar with the character, the Government but by the people of TUNNELL]. I have read the report in its quality, and volume of the goods we have the country. entirety, and as a member of the Special to sell, much the same as anyone in the mer chandising business must know his inven- Mr. President, ·can anyone doubt that Senate Committee Investigating the Na . tory. Our agents must also know the mar the Senate of the United States, particu tional Defense Program I endorse it. I ket value of what they have to sell. These larly in those future policies which in believe that this subcommittee of the are facts which should be as fully and inti volve contacts with other nations, has Mead committee, in filing this report at mately known as any private individual or a responsibility to inform itself, to de this crucial period in our relations with organization would know them in the mer termine the important facts upon which the rest of the world, has rendered a real chandising business. any reasonable and intelligent decision service to the country. The report As to financial matters, the difficulties of must be based, and to study the prob foreign exchange, the fl:mdamental economic speaks plainly and frankly, but fairly. principles of international trade and ex lems which we face in our relationships, It is just this sort of plain speaking and change of goods and the alternatives of particularly those of an economic and this forthright support of the interests medium in which payment could be made commercial nature, with other countries? of our country which is desperately to the United States should be fully known. The fighting has now ceased, and to needed in these times. If pref?ent mediums of exchange are inade day we are taking up commercial, eco One portion of the report I desire to quate and prevent the realization of a fair nomic, and trade relations with all the return· to our Government, people with ex nations of the world. Does the Senate · emphasize because it points out what I perience in the field of export and in the field conceive to be a grave responsibility of of international economics and international now have adequate means for making the Senate of the United States which is finance should display some real initiative a thorough and incisive study of those of particular significance at this mo in discovering a medium in which we -can problems? Can there be any doubt, Mr. ment. That is the section of the report accept payment and, if necessary, requesting Pre.sident, that the Senate has the means, which deals with our future foreign eco Congress to grant an expansion of authority. if it elects to use them, to make thor nomic and commercial relations. Be The committee's study of the quality of ough studies of these important prob cause I believe this section, appearing on performance of the agents who represented lems and to exert its influence in an the United States in connection with the effective manner upon our policies in pages 37, 38, and 39 of the report, bulk sale to the United Kingdom and other states briefly and clearly what the re negotiations abroad has convinced the com foreign economic and commercial rela sponsibilities of the Senate are, I propose mittee that a better job of representing the tionships and the execution of them? to read it into the RECORD at this point: United States is feasible if only the expert If we fail to use the power we have, and, OUR FUTURE FOREIGN ECONOMIC AND COMMER ability existing in various branches of our as a result, the people of this country CIAL RELATIONS executive departments is fully marshaled suffer through inept and unsound poli and organized in order to develop· the facts cies or actions, what explanation can Many measures looking toward American upon which a sound and fair position can participation in world affairs have been we then make to our citizens? be asserted for the United States and placed· The investigative authority of the Sen adopted by overwhelming majorities by re in effect. · cent Congresses. Among such measures are The committee has had occasion to ob ate has the prime object of making avail the United Nations Relief and Rehabilitation serve a disinterest in the State Department able to us the pertinent facts and the Administration, Bretton Woods, and the in the handling of such matters as foreign best available expert opinion to the end United Nations Organization. However, surpluses. The attitude apparently proceeds that our legislative decisions may be of America's influence toward stability, peace, from the traditional concentration of the the highest quality possible. However, and well-being in world affairs cannot be State Department on political problems on a that · is not all that the investigative made felt solely by supporting these broad, high level, rather than upon economic and general movements toward international co authority of th~ Senate does. By turn .. commercial problems. The committee rec ing the spotlight of publicity ·on the operation. We must likewise, make our in ognizes that there has been a movement to fluence felt in the less spectacular workaday ward strengthening the economic and com actions of our appointed administrative situations that develop. One of these is the :qlercial activities of the State Department agents, it reveals to the public many acts problem of disposal of our surplus property under Mr. William Clayton, Assistant Secre and many policies which otherwise would abroad. tary of State; however, the committee fee.Is go unknown .and unnoticed. This re The c"ommittee believes that the restric that the vital interest of the United States in sults in a better informed public opinion. tions, limitations, and conditions imposed future economic and commercial problems I think that today public opinion is a upon us by foreign governments in the dis in its relations with other countries, includ posal of our surplus property abroad have greater influence in America than in ing the problem which will affect private any other country of the world. Public thrown an additional burden of war cost capital and trade interests, as well as strictly upon the American people. The amount ~f governmental interests, require substantial opinion must represent the voice of a this additional burden can be measured by strengthening in staff and authority and well-informed public if it is to be ac the reduced return we will receive because Of substantial improvement in performance. corded its proper weight in a representa our inability to sell our war surpluses·abroad · The accomplishment of this' objective is tive government such as ours. So we in an advantageous market. Not only have 10 important that all possible devices with- must do our pa.rt to inform the public, in 2568 CONGRESSIONAL RECORD-SENATE MARCH 22 order that the opinion they form will be that those articles should be brought tive through treaties, which must be worthy of playing an important part in back in order that those who need them approved by two-thirds of the Senate. a representative government such as may use them before our factories begin But in actual experience many negotia ours. to produce similar articles. It is there tions are carried out by what is known A collateral and equally important fore timely that this matter be called as Executive agreements. Some of them effect of the exercise of the investigative to the attention of the officials of gov are approved by both Houses of Congress. authority of the Senate is that adminis ernment, as well as to the attention of But we have entered into a great number trative agents are constantly aware of the public. of agreements, such as those with refer the possibility that their decisions and The action to which I have referred ence to the sale of surplus property, and their actions may some day be subjected will alone repay many times in benefit those with reference to the transfer of to review and to public examination. If to the country the .entire cost of all the the reversionary interests in unused they were assured that they could be free investigating activities of the Senate for lend-lease property to foreign govern from exposure, our administrative agents a long period of time.. The shame of the ments, without the approval of both and employees might be inclined to have matter is that 5 months after the end of Houses of Congress. The sale of surplus less regard than they now have for the the war had to pass before this deficiency property referred to in this report is not interests of the public in the day-to-day in our surplus disposal program was in any way directly connected with the matters which are entrusted to their care. caught, and before any action was taken agreement on the British loan. That Mr. President, I have supreme confi to correct it. How much worse it would particular agreement did not have to be dence in the judgment and right thinking have been if no committee had gone approved and was never submitted to of the American people when they are abroad, and if no corrective action at all the Congress for its approval. The Brit given the facts. The one distinctive fea had been taken. ish loan would be the result of an agree ture of our Government is that the people The third instance to which I call at ment which has· been negotiated and is make the ultimate decisions, and if they tention is the adoption by the Depart now in Congress for its approval. So are to make right decisions they must ment of State of a regulation dated we have three kinds of international have the facts. When administrative March 15, 1946, which expands the au agreements, namely, first, treaties to be agents start to clothe their acts in secrecy thority of the Foreign Liquidation Com approved by the Senate alone; second, in time of peace, and resist efforts to missioner in order to permit acceptance agreements which are to be submitted to make public their decisions and actions, in exchange for our surpluses abroad a the Congress and approved by both then is the time when we must begin to consideration other than cash, foreign Houses of Congress; and third, agree'7 fear for the preservation of our demo currency or dollar credits. That regula ments such as are referred to in this cratic form of government. In peace tion is set forth as appendix 17 in the report, with reference to which no ap time our public business must be operated commiaee's report. The regulation was proval bY Congress is asked. That is on top of the table so that the public may adopted subsequent to the time that the wh_at the investigating authority of Con view what is taking place. But, in order committee submitted a draft of its report gress may go into. that the public may be fully advised, an to the agencies, and, while it cannot be The reason we went into this particular investigating committee, such as the proved, I have no doubt in my own mind deal was that it might set a pattern for Mead committee, can give them the facts that the committee's comments on this handling similar deals in the future, and after research has been conducted and deficiency in our disposal l>rogram therefore we wanted the Senate to know the facts disclosed. abroad contributed in some measure to what had taken place with reference to Merely as an illustration of the public the issuance of this regulation. one particular agreement which was .not benefit which can result from investiga While it is not attributable specifically submitted to Congress for its approval. tive action by the Senate, I -wish to call to the work of the subcommittee, I think That is the reason I felt that I should attention to three specific instances in it is only appropriate to mention at this make the remarks which I have made connection with the work of the subcom point that the investigations of the com todaY. mittee whose report has just been filed mittee in early December of the strategic Mr. BREWSTER subsequently said:· of corrective action, to which they called reserve plans of the War Department re Mr. President, I should like to make a . attention, being promptly taken. sulted in a huge, but incalculable, sav brief statement regarding the report The first is the instance already re ing to the country by ind·1cing the aban filed today on behalf of the Mead com ferred to by the Senator from Dzlaware donment of long-range storage plans for mittee. - On behalf of the other members [Mr. TUNNELL] in his remarks of a situa civilian goods on the part of the War De of the committee and the other Mem.:. tion being corrected which never should partment. It should also be noticed that bers of the Senate, I wish to express ap have existed in the Pacific, namely, one similar, but less publicized, plans which preciation for the areat amount of work in which the Army had b-een prohibited the Navy adopted in December were, like which has been done by the Senator from declaring surplus any serviceable wise, reviewed and the amounts to be from Delaware [Mr. TUNNELL] and the vehicle, and peacetime reserves, requir kept in reserve were lowered, due to Senator from California [Mr. KNow ing the storage of materials over long committee activities. LAND] on their recent trip, to the labori periods of time, had been established This is not the occasion to discuss in ous character of which I can certainly without the approval or direction of the detail how the Senate's responsibility to testify, and to commend the exhaustive War Department in Washington. inform itself on our future foreign com character of their research. Second, on page 9 of the report, the mercial and economic relationships Mr. President, I feel that the report committee notes that in its investigations should be carried out. I realize that the contains a great amount of materiel in the Pacific the subcommittee discov- specific issue must yet be presented in which has great significance. I can . ered that \Var and Navy Department such procedural form as will permit the make that statement without being im regulations prohibited the return of ci Senate to pass upon it in accordance with modest because my own connection with vilian type surpluses, no matter how its rules. For that reason, I clo not pro it was not close. pose at this time to discuss details of I wish to call particular attention to badly they were needed in America, and procedure. The filing of this report and by cable called this situation to the at the portion of the report which was re the recommendation which it made, ferred to by the Senator from California tention of the committee in Washington. which I have quoted at length, did, how [Mr. KNOWLAND] , on page 35, dealing The committee's activities in following ever, seem to me to be an appropriate with the materiel which was left over up this lead resulted in the establishment occasion to state to the Senate the views under lend-lease in the hands of foreign by the Office of War Mobilization and which I have long held that its investi countries, as this is a matter which has Reconversion of the special working gative activities should be strengthened given me, and I think others, very great committee which has now prepared lists and not weakened, as a means of guaran concern. of needed civilian items, and which has teeing to our people the democratic form The State Department apparently been discussed at some length by the of government which everyone of us .recognized this problem in requesting Senator from California. prizes so highly. that the American labels should be re Mr. President, the time to bring these Mr. President, many of our citizens moved from this materiel before it was civilian items back is now, while we are believe that all our negotiations with .used in putting down the uprisings in in the process of reconversion. It is now foreign governments must be made e:ffec- the Dutch East Indies. I have iibme 1946 ·coNGRESSIONAL RECORD--SENATE 2569 doubt as to whether those who may re- and conferences with clean hands, and acted the Lend-Lease Act. Whether ceive the benefit of these munitions in the that no people throughout the world, -within the broad scope of the Lend-Lease shape of bullets in their ribs will be par- su))ject or otherwise, will be able to con Act this may be possible perhaps may ticularly appreciative of the fact that · front us in the United Nations and say, be a matter of argument. It certainly the American labels have been removed, "Your arms and munitions are now being never was in the contemplation of the as I presume they will be just ap dead as · Used against our people in warfare." Congress, and I think the Congress . though the American label was on the I hope our State Department will give should at once, as a matter of the highest materiel. It could not seem other than serious consideration to action of this policy,· take definite, affirmative action a most cynical commentary upon the · character in accordance with the very to determine the circumstances under American viewpoint as to the intelligence · earnest stress placed upon it by the unan which this materiel either may be used or of the world, that American responsibil- imous report of the Mead committee, may be demilitarized so that it cannot be ity for these arms could be eliminated which has been giving most careful at used. I think this is one of the great by the suggestion that the labels be tention to this matter throughout the removed. past few months, for it may have a most contributions we can make to a continu an~e of a peaceful world. It does however establish the propo- ·important bearing upon the capacity of sition, it' seems to' me, that the United · the United States to assist in the main HOUSING CONSTRUCTION-cONFERENCE States has a vital interest in the use of · tenance of the peace. REPORT this materiel. The report, which is Mr. FERGUSON. Mr. President, will Mr. TAFT submitted the following re unanimous, :Is all previous reports by the the Senator yield? port: committee have been, emphasizes this Mr . .BREWSTER. I y~eld. very strongly, and it is a matter which I Mr. FERG~SON. Is 1t not true that The . committee of conference on the dis trust will receive the attention not only when we f~rmshed the lend-l~ase ~ate agreeing votes of the two Houses on the of the Congress but of those in authority rial, .to wh1ch we now haye title, I.t was amendment of the House to the bill (S. 1821) to amend section 502 of the act entitled "An in the executive department concerned furmshed to be used agams~ particular act to expedite the provision of housing in with the future disposition of this enemies? connection with national defense, and for materiel. ~r. BREWSTER. There is no doubt other purposes," approved October 14, 1940, As was established very clearly in the of It. " . . . . as amended, so as to authorize the appropria hearings by the committee, even under Mr. FERGUSON. Enemies which this tion of funds necessary to provide adc;litional · the transfer to Great Britain full rights country felt should be suppressed? temporary housing units for distressed fami lies of servicemen and for veterans and their of recapture are being retained by the Mr · BREWSTER. Yes. . . . families, having met, after full and free con United States. Whether or not this is a Mr .. FERGUSON. And. that If It IS ference, have agreed to recommend and do prudent disposition· may enter into the used m the f~ture~ certai~ly ?Congress recommend to their respective Houses as matter as we might perhaps more clearly should determme that question. follows: bd" t "bTt1 1 b t · Mr. BREWSTER. There can be no That the Senate recede from its disagree a Ica e our r~spo~si Y . ~ urnmg question that it involves a question of ment to the amendment of the House, and over th~ matenel ~1thout lu~ut. How- the highest policy when United states agree to the same with an amendment, as ever, we have retam~d the nght ?f re- arms and munitions are used against follows: In lieu of the matter inserted by the capture, the resul~ bemg that. of this va_st other people. It amounts practically to House amendment, insert the following: ·amount ?f n;ta~enel, amountmg to son:e a declaration of war. suppose today we · That 'section 502 (a) of the act entitled five or SIX billion dollars worth, now_ m should send arms and munitions and ma-· "An act to expedite the provision of housing the hands of one ~f our. fo~mer allies, teriel to be used, let us say, against the in connection with national defense, and for · and the other matenel w~Ich 1s scattered people of Palestine, in difficulties there, other purposes,'' approved October 14, 1940, a.round t~e gl_?be amm;tg the ot~;ter na- or in the Dutch East Indies, in India, or as amended, ' is amended by striking out "$160,000,000" and inserting in lieu thereof tio~s, it 1s still matene~ i~ which t~e anywhere else. If we should voluntarily "$410,000,000." Umted. sta:tes has a de:fi~Ite mtere~t •. ~nd give munitions and arms for that pur SEc. 2. That section 502 of said act be for w~ICh 1t has~ defimte re~ponsibihty. pose, we would be committing an un- amended by adding after subsection (c) .While the Umted. St~tes. 1s at peace friendly act, an act to which any people thereof the following subsections: With all the world, 1t Will, m my. jud~- or country would have a right to take· "(d) Upon approval of an application, ment, be extremely unfortunate 1f this most serious exception. Yet that is sub made by any educational institution, State materiel s~all be used agai~st nations ~r stantially what we are doing when we or political subdivision thereof, local public peoples With whom the Umted Stat~s IS do not exercise the right of recapture, agency, or nonprofit organization, for tempo-. rary housing for the purposes of this title, the now at peace. It seems to me entuely which we undoubtedly possess. By our Natim:ial Housing Administrator, if he de appropriate, following the example of the inaction we are permitting those arms' termines that such action will aid in ex State Department in requesting the re- and munitions to be used for military pediting the . provision of such temporary moval of American labels, to insist that purposes. housing., may- this materiel shall not be used. To be Mr. KNOWLAND. Mr. President, will "(1) transfer hereunder to the applicant sure, it may be said that since the total the Senator yield? structures or facilities necessary or suitable amount of arms and munitions in posses Mr. BREWSTER. I yield. to provide such temporary housing; and sion of any power represents its capacity Mr. KNOWLAND. I should like to ask "(2) contract to reimburse the applicant· to make war, whether the materiels are the distinguished Senator from Maine a (including the making of advances) for the used out of a particular bin or reservoir cost, as certified by the applicant and ap question. Does he not think that it proved by. the Administrator, in the reloca is of little importance, but I think it is would be wise for the Congress to legis tion or conversion (including the costs of of very great importance that the United late so that the disposal of armaments disassembling, transporting, and reerecting States shall at least use its authority and of the kind we are now discussing would structures and facilities, and connecting util responsibility to ask that American mu require the same type of congressional ities from dwellings to mains, but not in nitions and materiel produced by this action that is required in the disposal of cluding the costs of site acquisition and country for the purpose of waging war warships? There is now pending in the preparation, or the installation of streets and with Germany, Japan, and Italy, mate utility mains) of such temporary housing and Congress a bill to dispose of certain war facilities. riel in which the United States still pos vessels to China. That bill must go " (e) The term 'administrative expenses,' sesses a definite proprietary interest and through the normal legislative processes, as used in tnis title V, shall be · deemed to has a responsibility shall not be used by thus giving Congress a chance to pass include administrative expenses of the any power for offensive or defensive ac upon the wisdom of the move. National Housing Agency in performing any tion of any kind against other powers or Mr. BREWSTER. I welcome the sug functions with respect to priorities or allo peoples with whom the United States is gestion of the Senator from California, cations of materials or equipment for public or private nousing, and of the Housing Ex· now at peace. and I think Congress should take affirm pediter (including until June 30, 1946. those I believe that as we go into discussions ative action. Whether or not this is of any Government agencies in carrying out with the United Nations, and confe.rences within· the purview of lend-lease-and parts of the veterans' emergency housing on peace, it may be of very great impor apparently it has been assumed it is-I program of the Housing Expediter authorized tance and significance that the United think .the Congress certainly n~er con by existing law, to the extent that additional States at least can enter s~ch discussions templated such a situation when it en- administrative expenses of such agencies are 2570 CONGRESSIONAL RECORD~SENATE MARCH- 22 thereby involved) in performing any func I ask unanimous consent that the sidered, return Mr. Cogswell to tpe position tions with respect to facilitating the provi nomination be confirmed. which he has occupied with outstanding dis sion of veterans' housing authorized by exist The ACTING PRESIDENT pro tem tinction for many years. He is recognized ing law,"; and the House agree to the same. in this jurisdiction as one of the leading JAlVI;ES E. MURRAY, pore. The nomination will be stated. authorities on probate law, wills, and ad LISTER HILL, The legislative clerk read the nomina ministration: His candidacy is actively sup ALLEN J. ELLENDER, tion of Theodore Cogswell, of the District ported by ~he Chief Justice of the United ROBERT A. TAFT, of Columbia, to be register of wills for the States District Court for the District of Co ALEXANDER SMITH, District of Columbia, vice Victor S. lumbia, who has writt':!n the Attorney Gen Managers on the Part of the Senate. Mersch, resigned. eral to this effect, as well as the Associate FRITZ G. LANHAM, Mr. BILBO. Mr. President, in con Ju.stices of that court. There is uniform C. JASPER BELL, high regard for his work, both by lawyers, nection with this nomination, I ask members of the general public who have FRANK w. BOYKIN I unanimous consent to have printed in had experience with his office, and the vari J. HARRY MCGREGOR, the RECORD a letter from the cor.pora,. RoBERT L. RoDGERS, ous banks and trust companies of the Dis tion counsel, District of Columbia, con trict of Columbia. Managers or>. the Part of the House. cerning Mr. Cogswell. The letter con . I believe that the appointment of Mr. Cogs tains a splendid statement of the very well should receive the approval of your Mr. TAFT. Mr. President, the only committee. matter in controversy related to a tech wonderful record made by Mr. Cogswell. In addition to serving as register of wills Respectfully, nicality with reference to ~the additional VERNON E. WEST. provision of 100,000 units at a cost of for the District of Columbia, he served in $250,000,000, the question being over the two world wars. While he was serving Mr. WHITE. Mr. President,_!' under authority of the National Housing Ad as register of wills he resigned from that stand that the Senator from Mississippi ministrator to provide funds for the position in order to serve his country in has asked for the present consideration Civilian Production Administrator to World War II. He has now returned of the nomination? process all the priority necessities of the home after having rendered dis Mr. BILBO. Yes. building. material program. tinguished military service. I ask that Mr. WHITE. This is another one of . The House · objected to the Senate the letter be printed· in the RECORD in the cases similar to that of a few moments amendment. The House has now ac order that the public may know what a ago when there was involved the ques cepted our amendment, with a very slight wonderful record Mr. Cogswell has made. tion concerning the suspepsion of a rule - modification making it clear that the There being no objection, the letter of the Senate. I understand that in the provision does not in any way deal with was ordered to be printed in the RECORD, :Present case there are involved certain as follows: circumstances which se~m to justify the the new Wyatt housing bill which, of request. · course, will carry its own authority for Cc~PORATION CouNSEL, expenditures when and if it shall be DISTRICT OF COLUMBIA, Mr. BILBO. Yes. passed. Washtngton, March 22, 1946. Mr. WHITE. As I understand the sit Hon. THEODORE G. BILBo, uation, this nominee is an ex-soldier who Mr. MEAD. Mr. President, I wish to Chairman, Committee on the commend the able Senator from Ohio recently returned from. service, after · District of Columbia, having rendered distinguished service in and his associates on the confe~ence United States Senate, committee for the speed with which they Washington, D . C. the Army of the United States, and has handled this very important matter. • MY DEAR SENATOR BILBO: The following in been reappointed to the position which Mr. TAFT. I move that the confer fprmation is supplied at your request con he vacated when he entered the Army. ence report be agreed to. cerning Mr. Theodore L. Cogswell, whose Am I correct in that statement? The r·eport was agreed nomination for the position of Register of Mr. BILBO. The Senator is correct-; to: Wills is presently being considered by your he began service as register of wills of EXECUTIVE SESSION committee. the District of Columbia in 1927. Mr. Cogswell was born in the District of Mr. WHITE. I understand also that Mr. MORSE obtained the floor. Columbia on the 4th of August 1893. He Mr. BILBO. Mr. President, will the was educated at Georgetown University, re the nomination comes before the Senate Senator yield? ceiving his bachelor's degree in law and be-. with the unanimous report of the com Mr. MORSE. I yield. ing admitted to th~ bar of the District of mittee. · Mr. BILBO. I move that the Senate Columbia in 1916. He received his master's Mr. BILBO. · That is correct. proceed to the consideration of execu degree in 1920. Mr. WHITE. I have no objection. tive business. His experience in the Register of Wills' The ACTING _' PRESIDENT pro tem- office commenced in October 1912. He held pore. If there be no objection to its con The motion was agreed to; and the this position until he enlisted in the United Senate proceeded to the consideration of States Army in the First World War. He sideration, the question is, Will the Sen executive business. served as second lieutenant, first lieutenant, ate advise and consent to this nomina tion? EXECUTIVE REPORTS OF COMMITTEES and captain in the Three Hundred and Nine teenth Infantry of the Eightieth Division, The nomination was confirmed. The following favorable reports of He was severely wounded in action in the Mr. BILBO. Mr. President, I ask that nominations were submitted: Argonne campaign and was subsequently the President be notified at once of the By Mr. HATCH, from the Committee on decorated with the Distinguished Service confirmation of the nomination of Mr. Public Lands and Surveys: Cross, with two citations for extraordinary Cogswell. Oscar L. Chapman, of Colorado, to be Under heroism in action, the Silver Star with Oak The ACTING PRESIDENT pro tem Secret ary of the Interior; and Leaf Cluster, and the Purple Heart. He also was awarded the Croix de Guerre by the pore. Without objection, the President Ellis Purlee, of California, to be register of French Government. After his discharge the land office at Sacramento, Calif. (reap will be notified at one~ of the confirma from the Army in 1919 he returned to the pointment). tion of the nomination. Register of Wills' office in the District of By Mr. WALSH, from the Committee on The Senate is in executive session, Columbia. the Senator from Oregon [Mr. MORSE] Naval Affairs: In October 1921 Mr. Cogswell was promoted Sundry meritorious noncommissioned to Chief Deputy Register of Wills. Six years having yielded for that purpose. It has officers to be second lieutenants in the Marine later he was confirmed as Register of Wills. occurred to the Chair that the nomina Corps; and He held this position continuously until his tions on the Executive Calendar might Sundry citizens to be second lieutenants resignation to accept a commission as major - be considered at this time. If there be in the Marine Corps. in the Tra~sportation Corps, Army of the no objection, the clerk will state the REGISTER OF WILLS FOR DISTRICT OF United States~ on November 25, 1942. In the nominations on the Executive ·calendar. Second World War, as transport commander, COLUMBIA he traveled more than 300,000 miles on Army COLLECTOR OF INTERNAL REVENUE Mr. BILBO. Mr. President, from the transports, saw action in north Africa, and The legislative clerk read the nomina Committee on the District of Columbia, participated in the invasions of Sicily and tion of Sam E. Richardson to be collector I report favorably the nomination of Italy, and was in the South Pacific when the. Japanese surrende_red. He is now on of internal revenue for the district of 'Theodore Cogswell, of the District of Co termiJ,1al leave from the Army of the United Vermont. lumbia, to be register of wills for the States with the rank of colonel. The ACTING PRESIDENT pro tem District of Columbia, vice Victor s. The nomination now under consideration pore. Without· objection, the ·nomina Mersch, resigned. by your committee will, 1! favorabl:y: con.. tion is confirmed. · 1946 CONGRESSIONAL' RECORD-SENATE 2571 COLLECTOR OF CUSTOMS. Democrats and Republicans. It was and out yesterday, I think this bill is one of The legislative clerk read the nomina is gratifying to me that on each of these many pieces of legislation that has very tion of Henry V. Schwalbach to be col occasions, without regard to politicaJ dif important political connotations, and lector of customs for customs collection ferences, the committee unanimously re presents issues that I think are going to district No. 37. ported the nomination to the Senate, and determine, for example, the direction in The ACTING PRESIDENT pro tem each nomination has now been unani which my party goes in the next decade; pore. Without objection, the nomina mously approved by the Senate. whether or not my party is going to tion is confirmed; and, without objection, Mr. FERGUSON. Mr. President, I am stand and support, by votes in the leg the President will be notified forthwith personally acquainted with Mr. Chap islative halls where it has representa of the nominations confirmed today. man, who happens to be a neighbor of tives, legislation that seeks to protect mine, and I am glad to see his .nomina minimum economic and social standards NOMINATION OF OSCAR L. CHAPMAN TO tion confirmed today. I believe that he devised to advance and support the best . BE UNDERSECRETARY OF THE IN· will do a good job, as he has done in the interests of the many in this country TERIOR past. against the dangers that are constantly Mr. JOHNSON of Colorado. Mr. LEGIS,LATIVE SESSION pressing upon them of exploitation by President, today the Committee on Pub the privileged few. lic Lands and Surveys reported to the Mr. BREWSTER. I move that the I feel, Mr. President-and it is my per Senate with its unanimous approval the Senate r.esume the consideration of leg- sonal view-that this minimum-wage bill nomination of Oscar L. Chapman to be islative business. • gives to the Republican Party an <,ppor Under Secretary of the Interior. Hear The motion· was agreed to; and the tunity to make perfectly clear to the great ings were held on his nomination, and Senate resumed consideration of legis mass of the American people whether, if the nomination is now on the desk. I lative business. the facts support the bill, as I believe we am about to ask unanimous consent for ORDER FOR RECESS TO TUESDAY will be able to demonstrate in this de the present consideration of this nom bate they do, it is actually going to vote ination. Mr. BARKLEY. Mr. President, I ask for sound social legislation, or only make Mr. WHITE. Mr. President, I suppose unanimous consent that when the Sen promises at convention time of full din the unanimous-consent request involves ate concludes its deliberations today it ner pails, jobs for all, a higher standard a suspension of the rule, if granted. In stand in recess until 12 o'clock noon on of living for our people, but then not do ordinary circumstauces I would be op Tuesday next. those specific things that it ought to do posed, but I understand that this is the The ACTING PRESIDENT pro tem as a party when in the Halls of Congress nomination of Oscar L. Chapman to be pore. Without objection, it is so ordered. it has an opportunity to vote on that Under Secretary of the Interior. AMENDMENT OF FAIR LABOR STANDARDS type of legislation. Mr. JOHNSON of Colorado. That is ACT . In other words, Mr. President, I think correct. We have a new Secretary of the The Senate resumed consideration of it is legislation such as this that brings Interior-- the bill (S. 1349) to provide for the out clearly the differences in the philos Mr. WHITE. I was about to say, with amendment of the Fair Labor Standards ophy and points of view of those who call out any reflection on the Secretary, that Act of 1938, and for other purposes. themselves liberals and those whom we the fact is that we have a new man in at least are prone to criticize sometimes the office of Secretary. Mr. Chapman Mr. MORSE. Mr. President, I wish to as being too reactionary. is a man of long experience in the De make a few remarks today dealing with However, as I said yesterday, liberal partment. He has been in the Depart certain representations made by the op ism can be defined only in terms of ment for 14 or 15 years. ponents of the minimum wage bill now specific issues, and unless those issues can Mr. JOHNSON of Colorado. Thirteen pending before the Senate. be backed up by objective data that sup years. At the outset, I wish to make some gen ports their economic soundness, then one Mr. WHITE. He is intimately ac eral remarks first, then refer specifically is not a liberal if he votes for such leg quainted with all the details of the or- . to some of the arguments advanced by islation. He is a "phony." He then · gan1zation and work of the Department. my very good friend, the distinguished would be one who would stoop to po...; I think there is justification in the cir junior Senator from New Jersey [Mr. Jitical expediency in appeals to the cumstances for the suspension of the SMITH]. I know of no one for whom I prejudices of special groups in the coun rule and for immediate and favorable have greater respect and a closer friend try. And when I say that, ·according to action on the nomination. ship than the Senator: However, I find my owr. judgment as I have analyzed this Mr. JOHNSON of Colorado. I am myself, on this issue, so completely op bill, it presents to me a test of my liberal deeply grateful to the Senator from posed to the point of view he expressed ism. I say it, Mr. President, because I Maine for his cooperation in this matter. this afternoon that I feel it quite proper think the economic data which will be Mr. President, I ask unanimous con · that the RECORD of today should at least marshaled throughout this debate in sent, out of order, that the nomination be contain an opposite point of view ex support of this legislation so overwhelm considered at this time. pressed by one of those of us who signed ingly supports it that I am quite sound The PRESIDING OFFICER. The the majority report. And may I say as when I say it is one of the pieces of leg nomination will be stated for the infor a matter of procedure, Mr. President, islation by which our party is going to be mation of the Senate. that my colleagues who signed the ma judged in the years ahead as to its liper The Chief Clerk read the nomination jority report have assigned this part of alism. of Oscar L. Chapman to be Under Sec the so-called rebuttal work to me. On I now wish to make perfectly clear that retary of the Interior. other days, other members of the major I do not mean that anyone who vo The PRESIDING OFFICER. Is there ity will present our view in reply to the against this bill, as I assume the junior objection to the present consideration of points of view expressed by those who Senator from New Jersey [Mr. SMITH] the nomination? The Chair hears none. signed the minority report. ·will, unless we can convince him of the Without objection, the nomination is I think it is going to be clear before soundness of our position, is not a liberal. confirmed; and, Without objection, the we get through with this debate that That would be a most unfair and a most President will be immediately notified. there is a sincere desire on the part of unjustifiable criticism of men voting Mr. HATCH. Mr. President, the ac both groups to this report, the majority against this bill. tion just taken is gratifying to me. I and the minority, to have the final de Mr. SMITH. Mr. President, will the invite attention to the fact that in recent termination of this legislation, as far as Senator yield? days we have had before the Committee votes in the Senate are concerned, de Mr. MORSE. I yield. on Public Lands and Surveys the nomi termined upon the basis of objective Mr. SMITH. I want to make it clear nation of the Secretary of the Interior, data. We are dealing here with a sub · right now that I have expected to sup Mr. Krug, and today the nomination· of ject in regard to which much objective port this legislation, but that I hoped it the Under Secretary, Mr. Chapman. At data can be assembled, Mr. President, could be amended in a way that I could the meetings of the Committee on Public in support of the points of view of the support it wholeheartedly. I do not want Lands and Surveys in connection with conflicting sides. it to appear that I am going to vote both nominations there was a splendid I do think there are other ramifica against this legislation, because I feel we attendance by members of both· parties, tions of this issue. As I .tried to point have to increase the minimum wage at 2572 CONGRESSIONAL RECORD-SENATE MARCH _22 this time. It is a question of how far and Mr. ELLENDER. It is my information crease in.1t little at the manufa-Cturing how soon. That is the point I tried to that from 4,000,000 to 5,000,000 employees level. make in my address today. will be affected by this cover-all amend I am always very glad to have the point Mr. MORSE. Mr. President, I judge ment, which will be the sut-ject of much of -view of my good friend the Senator from the distinguished Senator's signa debate before action on the bill is had. from Louisiana. I have heard his per ture on the minority report that the pro Mr. MORSE. Does the Senator mean suasive defense of southern economic posal in the minority report is the legis chain-store clerks? About 1,300,000 em practices on. this floor many times. The lation that he will support. Of course, if ployees of large retail chain, department question is not one in which all is black· that is the legislation he will support, store, and other large sales and service or all is white. I must say that, by and then I want to make very clear to the enterprises would be brought in under large, I do not find him convincing on Senator from New Jersey that I think it the bill. the proposition that the maintenance of would be legislation not designed in the Mr. ELLENDER. Yes; I mean chain substandard wages in the South is bene· better interests of the American people. store clerks, and in fact clerks in all other ficial either to the South or to the wel Mr. President, when I make the point, stores. The Senator knows very well fare of the Nation as a whole. I believe I do not charge that any Member on that if a chain store is located in a small that one of the greatest helps to the either side of the aisle who votes agaim:t town of 10,000 people the wages paid by economy of the South, as the great presi this legislation does not believe in a it are bound to affect the wages paid to dent of the University of North Carolina, sound liberal program for either party. . every clerl{ in every store that is not Frank Graham, is reported in today's I mean, however, to make this qualifica covered by this bill. press as having stated yesterday at a tion, the one I made yesterday, that as Mr. MORSE. Perhaps the ' Senator southern conference, would be the estab we take piece after piece of social and from Louisiana will be surprised to know lishment of a minimum wage such as the economic legislation each Member on that in some sections of the country one pending before the Senate. this side of the aisle writes his record, chain-store clerks' wages are lower than Let me say also that there are a great in niy judgment, over a period of time as clerks in the independent stores. many southern industrial statesmen who to whether or not he would join forces Mr. ELLENDER. That may be true in are on record in favor of a 65-cent mini with those of us who believe that there is some cases. mum wage. It does not follow, Mr. Pres no great future for the Republican Party Mr. MORSE. I shall supply the Scma ident, in spite of the great industry of in this country unless that party pro tor with the data. the Senator from Louisiana, that he can ceeds without further delay to become Mr. ELLENDER. I do not much blame succeed in presenting economic data the advocate of sound social legislation the Senator from Oregon for taking the which will support, in my judgment or which advances the general welfare. of position he is now taking, for the reason in the judgment of any impartial tri the country. By that I mean legislation that in his own great State there are few bunal, the premises from which he which advances the economical and so: who are now receiving less than the 65 argues. cial welfare of the many providing the cents an hour wage. But I ask the Sen The Senator from Louisiana refers to greatest good for the greatest number. ator to look into the facts. I ask him to the lumber situation in the South. I am I think the preservation of the private read the hearings and try to obtain from somewhat familiar with it, and so are enterprise economy itself is dependent them-and he can if he will examine the lumber producers in my State. They upon my party's, if it is to come bacl{ them-what is going to happen to a. are very well informed in regard to the into power, adopting such a legislative number of industries in the South, and lumber policies of the South. It is true course of action. what the effect of the bill will be on farm that there are many employers in my Now with specific reference to the leg labor, which is mostly hand labor. State, including lumber producers, who islation before us. The 55-cent mini As I indicated on the floor last week, are urging the 65-cent minimum pro mum proposed by the minority will bene in the sawmills of the Senator's State vided for in the bill, because of their fit very few of the w&.ge and salary most of the work is done by machines. costly. experience in competition with the workers who urgently need relief. That Most of the logs are cut by machines. very iow wages paid in the southern lum. is a premise that I do not propose in my They are hauled to the sawmills by rna":" ·ber industry. Certainly I think we have future remark::. on this issue to let those chines. In many instances one tree will reached an era-at least I hope so-of opposed to the bill overlook, Mr. Presi produce as many as 11 carloads of lum ecbnomic unity in this country, when we dent. That is a fact. I do not think we ber, whereas in the South, as the dis all must recognize that, after all, the can dispute facts. Unless those govern tinguished Senator from Alabama [Mr. maintenance of low standards of living in mental statistics cannot be believed, Mr. BANKHEAD], whom I see present, can ver any section of the country-! care not President, I tell you that the suggested ify, between 5 and 8 acres of timber are what color the skins of the workers may wage scale proposed in the minority re required to produce that much lumber. be-affects 135,000,000 people from coast port will benefit only a very few, com The reason is that much of our timber is to coast and from North to South. I be paratively speaking, of the low-paid cut over. Some of the logs which are lieve that one of the strongest reasons workers in this country who need relief, cut in the South are between 8 and 14 for support of the 65-cent minimum wage As of the summer of 1945 only 3 per inches in diameter. They are very ex is that it would be helpful in insuring cent of the workers in manufacturing pensive to handle. I am sure that if a that a better standard of living is pro industries were getting less than 50 cents bill which would impose a minimum vided for many of the low-paid workers an hour and only 9 percent less than wage of 75 cents an hour for such labor of the South. Their purchasing power 55 cents an hour. Manufacturing and were enacted, the producers of the South has a very direct effect upon the economic nonmanufacturing establishments must in our Timber Belt would be unable to health of all the rest of the Nation. nerally compete in the same labor make both ends meet. As I pointed out Mr. ELLENDER. Mr. President, will markets for the ·unskilled labor supply. in the debate, if the price of l-abor should the Senator yield? i am informed that these proportions of increase to 75 cents an hour, it would The PRESIDING OFFICER