September 21, 1971 EXTENSIONS OF REMARKS 32669 The PRESIDING OFFICER. Without hours, to be equally divided and controlled ADJOURNMENT UNTIL 11 A.M. objection, it is so ordered. by the Senator from Wisconsin and the S~n­ ator from Mississippi (Mr. STENNis). . Provid­ Mr. BYRD of West Virginia. Mr. Presi­ ed that on any amendment to amendment dent, if there be no further business to ORDER THAT SENATE PROCEED TO No. 426, debate be limited to one-half hour come before the Senate, I move, in ac­ CONSIDERATION OF AMENDMENT thereon, to be equally divided between the cordance with the previous order, that mover and the Senator from Mississippi (Mr. the Senate stand in adjournment until NO. 426 UPON COMPLETION OF STENNIS). ACTION ON AMENDMENT NO. 423 11 o'clock a.m. tomorrow. ON TOMORROW The motion was agreed to; and New Jersey, to be a reads as follows: Upon disposition of that amendment, U.S. circuit judge, third circuit. Ordered, That effective at the close of the the Senate will proceed to the considera­ James Rosen, of New Jersey, to be a U.S. morning business on Wednesday, Septem­ circuit judge, third circuit. tion of the Nelson amendment, on which John A. Field, Jr., of West Virginia, to be a ber 22, 1971, the unfinished business, H.R. there is a 2-hour limitation. 8687, the so-called military procurement au­ U.S. circuit judge, fourth circuit. thorization bill, be laid before the Senate There will undoubtedly be a rollcall U.S. DISTRICT COURTS and that there be a limit of 2 hours of de­ vote on amendment No. 423 by Mr. Mc­ William Brevard Hand, of Alabama, to be a bate on the pending amendment No. 423, to GEE. So the Senate is on notice that a U.S. district judge for the southern district of be equally divided and controlled by the rollcall vote could occur at about 1 p.m. Alabama. Senators from Wyoming (Mr. McGEE) and tomorrow, if all time on the amendment Sherman G. Finesllver, of Colorado, to be Virignia (Mr. BYRD). Provided further, that is used and not yielded back. a. U.S. district judge for the district of Col­ on any amendment to amendment No. 423 orado. there be 1 hour of debate, to be equally di­ Upon the disposition of that vote, it is DEPARTMENT OF JUSTICE vided and controlled by the mover thereof then assumed that there will be a roll­ Robert A. Morse, of New York, to be U.S. and the Senator from Virginia (Mr. BYRD). call vote following the expiration of the Ordered further, That following the dispo­ attorney for the eastern district of New York sition of amendment No. 423, amendment No. time on the Nelson amendment. So the for the term of 4 years. 426, to be offered by the Senator from Wis­ Senate will further be on notice that u.s. PATENT OFFICE consin (Mr. NELSON), become the pending there could be a number of rollcall votes Rodney Doane Bennett, Jr., of Maryland, to business and debate thereon be limited to 2 on tomorrow. be an examiner in chief, U.S. Pa,tent Office.

EXTEN.SIO'N,S OF REMARKS

FRESH FISH FOR ALASKA to include into the RECORD the article Several reasons were always offered for Mr. Wiese wrote. this practice. HON. NICK BEGICH The article follows: Processing plants in Alaska. were not ade­ FRESH FISH FOR ALASKA quately equipped to make the relatively OF ALASKA small sales represented in local consumption. (By John Wiese) IN THE HOUSE OF REPRESENTATIVES requirements. A gripe that has persisted for fully hal! a Products are required to go through qual­ Tuesday, September 21, 1971 century has been the unavailability of fish ity-control inspection procedures and these: Mr. BEGICH. Mr. Speaker, while the products for local retail distribution unless are arranged only in Seattle or Astoria or San fishing industry is one of the most im­ they had been first shipped to the lower Francisco or Bellingham. Changing this; 48 after being processed from stocks caught would cause undue costs. portant segments of the Alaskan econ­ in Alaska. waters. omy, many Alaskans find fresh fish Labeling or repackaging or otherwise final­ A program instituted in Anchorage by izing the fish products was almost never done· products unavailable in their local mar­ the Whitney-Fidalgo people promises to sub­ at the Alaskan plants so the trip Outside is kets. Most fish caught in Alaska and stantially reduce some of the adverse effects mandatory before they can be available for.­ available for distribution in the State of this situation. retail sales. are first shipped to the "lower 48" for In the past, with rare exception, items Whitney-Fidalgo has started an Alaska dis .... processing. Needless to say, this is an like canned salmon or crab meat or clams tribution facility in Anchorage that changeS.; unnecessary expense to the Alaskan that grocers have stocked for urban Alaskan things. They are even warehousing a total: consumer and an unfair practice to customers could not be obtained by the store of 3,000 cases of various types of canned! those Alaskans who enjoy fresh fish. keepers directly from plants where the prod­ salmon in Anchorage to be distributed to. Recently, John Wiese, writer for one ucts had been packed. This has been espe­ retailers and institutions in -the state ac-. cially true with "name brands." cording to Tom Doyle, superintendent of the. of Alaska's most distinguished news­ These items had to be ordered by the re­ firm's freezer and cold storage plant here. papers, the Anchorage Daily-News, wrote tailers through their established wholesale The plan calls for a year-'round operation. an interesting article regarding the suppliers who shipped them north through from this pla.nt which is located near An~ problem of making fresh fish available Seattle. Obviously, convenience and cost suf­ chorage International Airport. to Alaskans. At this time, I would like fered adversely. In addition to the canned products, fresh. 32670 EXTENSIONS OF REMARKS September 21, 1971 and frozen fish products are also to be NEW IDAHO HIGHWAY ENFORCE­ The program began with two main as­ stocked. Some items are to be especially proc­ :MENTPROGRAM sumptions that seemed reasonable and valid. essed here for int rastate trade. First, the bulk of serious accidents and fa­ An instance of this is king alld Dungeness talities are caused by speed, which almost crab. The firm has been bringing crab in HON. FRANK CHURCH always ranks first on "accident causes" lists. from receiving points (chiefly Homer at pres­ Second, data collected on fatalities over a ent) and processing it here to accommodate OF IDAHO specific collected on fatalities over a specific a fresh-never-frozen requirement on a sus­ IN THE SENATE OF THE UNITED STATES stretch of road can be misleading because taining basis and, at the same time, preparing Tuesday, September 21, 1971 one accident can produce several fatalities some of it for later sales by freezing it in and render the info:.mation practically use­ both household and institutional packaging. Mr. CHURCH. Mr. President, the cur­ less or, at least, difficult to understand as Stocks have also been arranged so that rent issue of the FBI Law Enforcement far as control of fatal accidents over the fresh halibut, sablefish and salmon is on Bulletin contains an article by Capt. given distance is concerned. hand locally with frozen products available Ervin T. Dunn, of the Idaho State Po­ Further, we also knew that any data col­ when the fresh items are out of season. lice, in Boise, describing a new system lected on accidents or accident rate for the A unique feature of this venture is an offer­ test span of roadway could be adversely af­ ing of filets and other prepared forms of developed by his agency to help enforce fected because this was the time of year ground fishes such as red snapper, ocean highway speeding laws by use of when slick roads and sudden storms could perch, sea bass, etc. that are being purchased aircraft. bring a rash Of accidents that would not be from fishermen augmenting their otherwise­ Captain Dunn writes: indicative of normal accident rates. normal salmon fishing operations in places In our program, we attempted to reduce PRESSING NEED like Homer, Seward and Kodiak. violations where they were known to be When these items have been offered in Our need to have the information by a cer­ excessive and, at the same time, to make it tain date was the reason the program was retail outlets heretofore they have been prod­ possible to measure the reduction for eval­ ucts brought here from Seattle, usually fresh­ put into effect in the late fall and winter, uation purposes. We developed some new but we were reasonably certain there would frozen. And some of them are actually stocks methods that could make the use of air­ tha.t were originally taken from coastal wa­ be enough clear days and clear highways to craft in speed control programs much more finish the survey. The program was designed ters of the state. practical and effective. This local fileting operation is on a pioneer­ to cover 60 days with approximately 44 days ing basis and is contingent on the dual con­ I am highly pleased that my own of fiight time. However, because of incle­ ditions of fishermen's persistence and suc­ State has taken the lead in finding new ment weather, the 44 days were re­ cesses as well as developing acceptable skills ways to reduce measurably the incidence duced to 27 days in the air. On several of in the plant's crew of fish butchers and of excessive speed on our highways, these days fiight time was reduced by more fileters. But if it succeeds technologically it than half, and it was impossible to cover all which is a prime cause of traffic of the 150 miles of selected highway on those should be a real boon for the local market­ fatalities. place and consumers. days. We checked all 150 miles only 14 times A major prospective user of this source of I ask unanimous consent that Cap­ during the program. fish stocks is the military complex in Alaska. tain Dunn's article be printed in the Ex­ Since the fatality rate and the accident Included in the promotion is an effort to tensions of Remarks. rate would require such a long period be­ furnish the fish needs for both the military There being no objection, the article fore either would or could show a reasonable messhalls and the retail counters (PX) that was ordered to be printed in the RECORD, response to the aircraft enforcement pro­ provide foodstuffs for military families. Most as follows: gram, a plan was adopted to control the of the fish products are now supplied from speed violation rate which included meas­ out of state. AN AIRCRAFT ENFORCEMENT TEST PROGRAM uring this rate from time to time to make Doyle reports that the Whitney-Fidalgo (By Capt. Ervin T. Dunn) certain of the desired resUlts. We felt the volume of business being handled at the Aircraft enforcement of speed regulations control of the violation rate would eventu­ present time is near the 6,000-pound-a-week is not a new technique; it has been used and ally control the accident and fatality rates level. And it has been in operation for less is still being used by many States. Even because both seemed to be directly related than two months. though the procedures from State to State to the violation rate. The motivation for this innovation was vary to some degree, in a broad general sense Vital parts of the survey, we feel, were admittedly no exclusively an altruistic desire they are quite similar. the system used to measure the size of the to correct a chronic inequity by providing These programs use various types of air­ problem before the aircraft was employed Alaska's non-fishing community with fresher craft, different lengths of measured distances and the system used to measure the effect of and (hopefully) less costly products from for determining speeds, and many methods the aircraft on that problem, from time to their neighboring seas. of planning when and where the planes are time, to determine if the program was doing The major reason for the operation is to be used. There are numerous and varied the job of reducing the violation rate, and to strictly econ omic. markings on the highways for pilots to use what degree. This was done with a speed Whitney-Fidalgo operates two plants in in making their calculations and for the computer system the author designed and Anchorage which is in a district that is not motoring public to see. Most of them have a copyrighted. This computer system makes much of a fish source for industrial pur­ decided psychological effect on the motorist. it possible to place the survey car from three­ poses. One of these plants is the cold storage In our program we attempted to reduce eighths to one-half mile away from any high­ plant and the other is the salmon cannery violations where they were known to be ex­ way and instantly and accura~ly compute on Ship Creek fiats that is usually termed the cessive and, at the same time, make it pos­ the speeds of vehicles seen traveling on that "Emard cannery" by old-timers. sible to measure the reduction for evaluation highway from that vantage point. These operations work with raw material purposes. We developed some new methods The advantages to this system are that that is hauled great distances, compared to that could make the use of aircraft in speed speed surveys can be taken without the the otherwise-normal processing stocks of control programs much more practical and motorist's being aware that his speed is fish factories. Some of their salmon was effective. being computed, and his speed is not in­ hauled all the way from Kotzebue in the Our project was conceived on November 2, fluenced by cars or equipment on the right­ Arctic (by air yet!) and some of their raw 1970, but, because of pilot difficulties and of-way, which does have a deterrent effect stocks come from as far east as Yakutat and pilot training, it was December 8 before speed on getting accurate figures for speeds. as far west as Kodiak and Naknek. enforcement on the selected area began. Two One feature of the program was the meth­ Whitney-Fidalgo executives have said that months was the period of time allocated to od of selecting cars to be checked. The speed they are convinced that the future is certain the program, a short time as test..s go, but we of the driver was not necessarily considered to witness the development of airlifted fish hoped this period would give the same pic­ for putting him in the survey or leaving him products-especially the more valuable va­ ture as if it had been set up several months, out. The chief requisite had to be that he rieties like some of the salmon species and or even a year. The program was to test was free to travel at any speed he might shellfishes--and they are determined to be a. whether aircraft patrol would reduce the choose. In other words, it would not be part of such developments. number of accidents and fatalltles on a beyond belief to visualize 100 cars strung This means that they must operate, as eco­ given stretch of road; in this particular case, out behind a truck they could not pass, and nomically a.s possible, on a year-'round basis 150 miles made up of 82 mUes of 70 m.p.h. the result would be a 100-car survey with and must put together a. technically efll.cient divided interstate, 20 miles of 2-lane 70 no violators of the posted speed. Large trucks staff and labor force that can handle the stuff m.p.h. road, and 48 mlles of 2-lane 60 m.p.h. were also eliminated from the survey because they hope to trade in. road. One hundred fifty miles is a long dis­ we felt aircraft would have little cr no These requirements obviously should also tance, of course, to patrol with one piece of effect upon their speeds, and most of them be able to provide the necessary skills to equipment 1n hopes of infiuencing the be­ were not free to travel at any speed they produce and handle the fish needs of Alaska havior 0! drivers and, Sit the same time, chose, being restricted by company policies, without exposing the products to a needless measuring the effect within a 2-month pe­ tachometers, and revolutions-per-minute round trip to Seattle. riod. recommendations for equipment. Loads, September 21, 1971 EXTENSIONS OF REMARKS 32671 themselves, would be restrictive to some de­ The three big advantages are: The system well for special occasions and problem gree. If a motorist was free to travel at any does not require measured distances painted assignments. speed he might choose, he was entered in on the surface of the highway and does the survey. If not, he was left out. not confine the plane to those places where MILEPOST 90 100-CAR SEGMENTS measured distances appear. Because the speed of an approaching car can be checked [In percent] Almost all of the tests were based on 100- in 4 to 5 seconds, it is possible to check car segments because it was learned that 100 the speeds of traffic coming toward the cars passing a given point on the highway plane, and turnarounds are unnecessary ex­ Survey S~r~e~ would be indicative of how all tra1Hc by that No.1 s~~.e~ cept in those cases where an already checked (928 cars) (100 cars) (100 cars) point for the balance of the day would pro­ violator is wanted. The third factor is that ceed. Two studies were run for a 24-hour one patrol car can follow the plane at ap­ period to give a clearer picture of driving be­ proximately 55 m.p.h. over long distances. 71 to 79 m.p.h .•.•• __ _ 20.6 20 34 havior at different hours of a day, but they 80 to 89 m.p.h ______10.5 9 6 The patrolman's getting 4 or 5 miles be­ 90 to 99 m.p.h ______1.6 1 0 merely bore out that a 100-car test would hind creates no problem because the pilot 100 and above ______0 {) 0 give a good cross section of what could be is checking the speeds of the heavy traffic Nonviolation .• -- ____ _ 67.3 70 60 expected of the traffic. going in the opposite direction from the The No. 1 survey, prior to puttJ.ng the air­ plane. When the pilot finds a violator, he MILEPOST 109.9 craft in the air on speed enforcement, was turns around and follows the speeder back actually five separate surveys of the !50- to the trailing car, describing him to the (In percent] mile selected stretch and was done to give a patrolman by radio. It is possible to check picture of the violation rate on the stretch the violator's speed several times while Survey Survey under normal conditions. Most of the figures going back to the trailing patrol car. s~~.er No.2 No.3 shown as violations in the surveys (see cha.rt) (100 cars) (100 cars) (100 cars) represent speeds of 1, 2, 3, and up to 10 The computer system makes use of the m.p.h. above the posted speeds. Speeds of 80 fact that every speed is directly related to every other speed through time and does 61 to 69 m.p.h . ______34 45 55 to 90 m.p.h. represented approximately 10 70 to 79 m.p.h ______24 30 21 percent of the violations, and there were not need measured distances to make the 80 to 89 m.p.h ______4 3 6 speeds of well above 100 m.p.h. (a little over computations. The system has been in use 90 to 99 m.p.h ______1 0 0 in Idaho as an enforcement tool on the 100 and above ______0 0 0 one-half of 1 percent) on the freeway sec­ Nonviolation. ______37 22 18 tions of the test area. Excessive rain at one ground since 1956 and has been used from position prevented the collection of any con­ aircraft several times in selected cases. clusive data. EFFECTIVENESS MILEPOST 147 SECOND SURVEY The aircraft enforcement program has (In percent] The No. 2 survey was also five separate proven a very effective instrument for bring­ ing enforcement pressure on exceedingly surveys and was taken after the program Survey had been put into effect. One plane had flown high-speed drivers. One plane and a trailing No.1 s~~.e~ Su~~§ the area for a total of about 60 hours and patrol car using the system can cover from (100 cars) (100 cars) (100 cars) had assisted ground crews in making 87 ar­ 50 to 75 mlles of assigned highway with rests for speeding and in issuing 30 warning plenty of work to keep both pilot and patrol­ 71 to 79 m.p.h ______38 40 27 cards. The violation rates during this survey man busy. Highways with 300 to 400-cars­ 80 to 89 m.p.h ______22 3 5 are shown in the chart. Milepost 162 on this per-hour volume are ideal for this situation. 90 to 99 m.p.h ______3 0 0 100 and above ______1 0 0 survey represents the one that had previous­ From his 1,000 to 1,500-foot up-in-the-air Nonviolation . ______ly been rained out. There are a noticeable seat, the pilot can observe 5 to 6 mlles of 36 57 , 68 reduction in the violation rates at three sites highway most of the time, check the entire and an increase at Milepost 109.9 which was 50 or 75-mlle length in a very few minutes shocking to the survey crew. We later dis­ and pick out almost every violator of the MILEPOST 162 covered that this was a patrol area posted 60 posted speeds. m.p.h. and bound on each end by a 70 m.p.h. In addition to speed enforcement, the Survey posting. Drivers were coming oft' a 70 m.p.h. plane can also be used for other functions, No.2 freeway. going through a small town, then Survey (100 cars) Survey such as, search for lost hunters, surveillance No. 1 (percent) No.3 right out into the 60 m.p.h. zone. In all prob­ of slow-moving traffic problems, survemance ab111ty, a reevaluation of the 60 m.p.h. post­ of school bus routes and problems, check of ing will be seriously considered. little-used highways occasionally, observa­ 71 to 79 m.p.h ______(1) 28 (2) 80 to 89 m.p.h______(1) 8 (2) An aircraft enforcement program could tion of double-line areas, and location of 90 to 99 m.p.h ______(1) 0 (2) well be a means of pointing out needs for stolen, abandoned, and stripped cars in out­ 100 and above ______(1) 0 (2) speed posting reevaluations from time to of-the-way places. These additional uses Nonviolation ______(1) 64 (2) time. make the plane a valuable piece of standard EVALUATION equipment even if it were only assigned to 1 Rained out. A second evaluation of the aircraft pro­ speed enforcement on selected occasions. 2 Road broken up, survey impossible. gram was made at the close of the flight Generally, the program was too short in program (completed after 141 hours flight length and covered too many miles. It is a MILEPOST 195 time). At that time, the violation rates good program where enforcement results are were taken again at four of the five se­ needed in connection with high speeds over [In percent] lected locations, and most showed the move­ open highways. There were problems with ment of the extremely high speeder down­ weather and a definite problem in connec­ Survey Survey ward into speeds within our tolerance areas. tion with assignment of personnel to work No.1 No.2 sw~.e~ We were again unable to make a survey at the program. The program would work much (1 ,297 cars) (100 cars) (100 cars) Milepost 162 because the road was broken better where plane and personnel needed are up and repair crews were in the area. Mile­ assigned to the project for the duration. 71 to 79 m.p.h ______40.7 25 39 post 109.9 continued to show increases in Then one car could follow the plane over 80 to 89 m.p.h ______12.7 9 8 90 to 99 m.p.h ______1.3 1 2 some of the high speeds. There were, how­ long distances and return the same day 100 and above ______• 003 0 0 ever, excellent enforcement results on each without assignment from separate districts. Nonviolation __ •• --_-- 45.3 65 51 flight, with many arrests made in the 90 to COMPARISON OF COSTS 100 m.p.h. range. There were approximately After making a comparison of costs for Note: The groups of numbers under surveys 1, 2, and 3 show 140 arrests made altogether during the pro­ lease and purchase of a tandem 2-place plane the percent of violations at five separate_locations taken under gram with almost all violations for 85 m.p.h. and a 4-place plane, we decided to lease a similar circumstances and weather cond1t10ns. or more. In addition, there were 40 warning 2-place aircraft. The cost of the program cards issued for speeds above 75 m.p.h. will run slightly over $2,300 over and above DOUBLE USE regular budget items. There will be around Another interesting part of the Idaho Air­ $2,000 collected in fines and costs. MINNEAPOLIS HEALTH HEARINGS craft Enforcement Test System 1s that the OBSERVATIONS same computer system ~sed to make the ini­ Final reports on arrests and fines are not HON. DONALD M. FRASER tial survey was used in the aircraft to de­ complete at this time. The program can termine speeds of the motorists. The sys­ bring a tremendous amount of enforcement OF MINNESOTA tem does not require special measured dis­ pressure on speeders in well-selected areas. IN THE HOUSE OF REPRESENTATIVES tances or marks on the highways other than Results can be tabulated and evaluations Tuesday, September 21, 1971 the white centerlines that are already there. made, but a continuing program of this The white centerlines are placed with me­ nature needs much more planning and Mr. FRASER. Mr. Speaker, the health chanical accuracy that can be predeter­ preparation than was possible for this proj­ needs of our youth were aptly demon­ mined. ect. The project would work exceptionally strated by two witnesses who testi:fled 32672 EXTENSIONS OF REMARKS September 21, 1971 during the recently held Minneapolis not based on financial incentives. We health agencies; and to gather data on the should look at the motivation of the lay­ kinds of problems they see and treat. The health hearings. Pointing out that the information will be made available to other health needs of our youth are vastly men and professionals who donate their community resources and to colleges and uni­ different from those of other age groups, time and expertise. Ignoring these versities for use in training social workers, Mr. Jim Brink discussed the operation motivations may cause us to develop a police officers, health professionals, etc. which he heads, the Southeast Drop-In system concerned only with financial The Teen-Age Medical Service and Walk-In Center. rewards. Oounsellng Center operate out of two older This organization, comprising inter­ The statement follows: houses located side by side at 2425 and 2421 ested laymen, attempts to deal with Chioa.go Avenue, Minneapolis. Opened in 1969, CHILDREN'S HEALTH CENTER. INC. the Teen-Age Clinic has treated over 8,500 problems facing juveniles on a preven­ TEENAGE MEDICAL SERVICE youths between the ages of 10 and 20 free tive basis. Recognizing that most young Annual report for 1970 of charge. Together, both clinics have seen people with drug problems will come to The following is a summary of the work over 11,000 patients. the center needing treatment, members done at the Teen-Age Medical Service, 2425 The site of the new Children's Health Cen­ of the center attempt to move from Chicago Avenue, during the year of 1970. ter building, now under construction, is a strictly treating bad trips to discovering This is a cllnic staffed with voluntary nurses half block south of the free cllnics at 25th the underlying reasons for drug use. and physicians. The ages of patients treated and Chicago Avenue. These dedicated laymen have discovered range from 10 to 20 years old. There is a that some of the young find it extremely social worker available every evening as well difficult to deal with the larger, public as psychological counsellng services available institutions in the twin cities. The drop every evening. U.S. CHROME ORE SUPPLY in center, therefore, provides a middle Area of residence ground between the public institutions Model neighborhood______705 Other neighborhood______862 HON. HARRY F. BYRD, JR. and the concern which leads to involve­ OF VmGINIA ment of those people who wish to help. Suburbs of Minneapolis______546 Out of city and/or State______247 IN THE SENATE OF THE UNITED STATES When the problem becomes extremely Total patients seen in 1970 _____ 3, 762 serious, referrals to professionals are Tuesday, September 21, 1971 made. Patients seen in January 1970______80 Patients seen in December 1970______423 Mr. BYRD of Virginia. Mr. President, Mr. Brink argued persuasively for an excellent editorial on the subject of everyone to consider youth drug prob­ Patients referred by the U.S. position with respect to its lems as essentially mental health prob­ Friends ------968 chrome ore supply was published in the lems. It is his belief that only by starting ~es ------549 Schools, organizations and agencies ____ 504 Hopkinsville, Ky., New Era of August 28, from this premise and involving the lay 1971. members of the community can the seri­ Reasons why seen I ask unanimous consent that the ous drug problem of youth oe prevented. Physical exams with forms to fill out ____ 306 editorial, entitled "Wrong Direction," Another center attempting to solve Medical patients ______725 G~N patients ______473 be printed in the Extensions of R-emarks· some of the problems facing youth in the Suspected venereal disease ______631 There being no objection, the editorial twin cities is the Children's Health Cen­ Confirmed venereal disease ______124 was ordered to be printed in the RECORD, ter and Hospital. This organization es­ Rechecked venereal disease (Past 5 mos. as follows: tablished a teen-age medical service and only) ------58 WRONG DIRECTION a walk in counseling center. Birth control interviews (Past 7 mos. Does it make sense that a nation should At the hearings, Dr. Elizabeth Jerome only) ------385 be dependent upon a potential enemy to detailed some of the activities of the Birth control exams (Past 7 mos. only) __ 238 supply a material which would be needed Possible pregnancy______582 ?enter. The medical center, for example, Confirmed pregnancy______382 in case of armed conflict? 1s staffed by 15 volunteer physicians, 35 Sen. Harry F. Byrd Jr., the Virginia In­ nurses, and five volunteer lab tech­ MAJOR GRANTS TO CHILDREN'S HEALTH CENTER dependent doesn't think so, but he seems nicians. These professionals see approx­ BROADEN AID TO TEENAGERS to be having a hard time convincing enough people around official Washington that the imately 500 youths per month. Open 3 Two grants totaling $132,930 have been awarded to Children's Health Center, Inc. of old cavalry would never have pushed the nights a week and 3 mornings during the Indians out of the West if the Army had had week, the medical center draws from all Minneapolis (CHC) for its satellite cllnics, the Teen-Age Medical Service and affiliated to wait for the Redmen to sell the soldiers areas of the twin cities. Walk-In Counseling Center. enought arrows to wage war. The walk in counseling center is A grant of $72,460 was awarded from the But the Virginia senator refuses to be opened every evening and is staf!ed by Department of Health, Education and Wel­ discouraged and has introduced a piece of 30 volunteer professional psychologists. fare to develop demonstration projects in the legislation which is vital to the future of the two clinics for the health care of teenagers. United States as a free nation. Presumably These psychologists supervise approxi­ the Congress will get around to taking up mately 50 students in training who serve "The money is to be used to develop a more personalized style of health services for that the Byrd bill when the recess is over next approximately 6 months at the center. month. A further ·breakdown of the services pro­ group of teenagers who are currently not accepting health services through our estab­ Byrd's bill provides simply that importa­ vided is enclosed at the end of the report. lished institutions," according to Dr. Arnold tion of strategic materials from a Free World One of the startling discoveries related S. Anderson, Principal Executive Officer of country cannot be prohibited so long as im­ by Dr. Jerome was the degree of aliena­ Children's Health Center, Inc. ports of the same commodities are permitted tion of these youth. Many were medically from a Communist country. The two clinics function as a bridge across The purpose of this provision is to correct alienated from their family physician or the "generation gap" and the developmental an almost insane situation which has been from their own parents. These youth monies from this grant will be used to permitted to develop and which now endan­ sought service at the clinic. Also many strengthen that bridge. gers America's capacity to defend herself in "Initially, development funds will be used parents bring their own children' to the case of Soviet aggression. This is the refusal to explore means of re-establishing family in­ of the United States to buy chrome ore, vital center. That is a significant tribute to volvement in health problems of "alienated" the need that the center fills. to defense production, from Rhodesia, a.nd teenagers, and to explore the use of consumer its increasing relianei'l upon none other than Since the hearings, the Children's inputs from the teenagers themselves 1n the Russia for this strategic material. management of the operations," said Dr. Health Center has received financial The United refuses to trade with Anderson. States assistance to continue these two pro­ Rhodesia because it is ruled by a minority grams. A statement explaining that fi­ Fifth District Representative Donald Fraser government and allegedly is a threat to in­ nancial award in more detail appears was helpful in making known to the Ofllce ternational peace. As a consequence, the U.S. below. of Child Development in Washington, D.C. now buys a major portion of its chrome ore These centers, the teenage medical the unique value of the functions of the two from the Soviet Union, a country which is clinics. ruled by a brutal one-party dictatorship and service and the walk in counseling center The second grant, totaling $60,470, comes are major innovative steps attempting to constantly instigates threats to world peace. from the Governor's Commission on Crime The result is that the United States has deal with the specific problems facing Prevention and Control through the City of made its defense production dependent upon youth. They deserve encouragement from Minneapolis. It will enable the clinics to es­ the very nation we are supposed to be de­ elected officials and require broad sup­ tablish a project to evaluate their programs fending ourselves against. Dependence now is port from the community. They are ex­ and centers; to coordinate their activities; to estimated at more than 50 percent. It will amples of a response to a need that is establish liaison with criminal justice and go higher to the point of paralyzing American September 21, 1971 EXTENSIONS OF REMARKS 32673

defenses unless our elected representatives doubt if such a plan succeeds unless there paign Committee. They have lobbied both in stir themselves. is greater incentive to workers and man­ Washington and in home congressional dis­ Byrd's legislation would have the effect of agement alike for increased productivity. tricts for signatures on the discharge peti­ reopening trade with Rhodesia and easing tion. the Soviet grip on America's defenses. The Wylie says public petitions bearing more issue is nothing less than our survival as a than 100,000 names stimulated him to take free and independent nation, but official up the school prayer fight, which previously Washington today is so caught up in false AMERICANS WANT TO PRAY; had been led by the late Sen. Everett M. hopes of peace that neither the administra­ CHURCHES DO NOT WANT THEM Dirksen, R-TIL tion nor Congress will act unless they hear TO Wylie is critical of the Judiciary Commit­ from the people. tee, which decided against any action after We may be foolish enough to arm the extensive hearings on the prayer issue in Soviets in case a shooting war gets near, but HON. JOHN R. RARICK 1964, for refusing to bring the issue to the you can bet the Russians wouldn't do the OF LOUISIANA House for a vote. same for us. Wylie says, "Every public opinion indicator IN THE HOUSE OF REPRESENTATIVES shows that (a school prayer amendment) has Tuesday, September 21, 1971 been continuously supported by an over­ PROSPERITY AND PRODUCTIVITY whelming percentage of the American peo­ Mr. RARICK. Mr. Speaker, while the ple." people of America want their children to The Rev. Robert G. Howes, an associate HON. THOMAS M. PELLY be able to pray in school, the churches professor at Catholic University and national OF WASHINGTON Object, Claiming this WOuld "take away coordinator of Citizens for Public Prayer, IN THE HOUSE OF REPRESENTATIVES religious freedom." says a poll earlier this year by Opinion Re­ We now learn that 208 of the 218 re- search of Princeton, N.J., indicated 80 per­ Tuesday, September 21, 1971 quired Members of the House have re- cent of the nation favors the return of school prayer. Mr. PELLY. Mr. Speaker, the nation- sponded to public opinion and the out­ The Judiciary Committee chairman, Rep. wide response to President Nixon's wage- pouring of faith from the people and Emanuel Celler, D-N.Y., says it carefully con­ price freeze has surprised some of the signed the discharge petition to force sidered in 1964 all of the proposals for prayer previous critics of his economic policies. a House vote on the prayer amendment amendments, including Wylie's language, In the first month following the Presi- that would restore the right of American and came to the conclusion that it would be dent's historic speech on the economy, schoolchildren to engage in nondenomi­ highly dangerous to tamper with religious freedom under the Constitution. Americans in ali walks of life have indi- national prayer, a right that all Ameri­ Wylie's proposed amendment says: "Noth­ cated newly restored confidence in the cans had enjoyed until abrogated by judi­ ing contained in this Constitution shall measures proposed by Mr. Nixon to end cial fiat in the Supreme Court decisions abridge the right of persons lawfully assem­ inflation and bring prosperity to the Na- of 1962 and 1963. bled, in any public building which is sup­ tion. Meanwhile, there seems to be a will- We are also told that the principal op­ ported in whole or in part through the ex­ ingness to sacrifice, and, while the pro- position to such a prayer petition comes penditure of public funds, to participate in gram, and especially the wage-price from religious groups including the nondenominational prayer." Celler and others have attacked the spe­ freeze, creates some inequities, and, in American Baptist Convention, Baptist cific language, particularly the term "non­ s·ome instances, hardships, the reaction of that would restore the right of American denonminational prayer." One opponent Americans in general is one of patriotic Baptist Conference, the executive conn­ contends such a prayer could only begin determination to do their part toward cil of the Episcopal Church, United Meth­ with the words, "To whom it may concern." making the freeze work voluntarily. odist Church, Church of the Brethern, The petition opposing the amendment was So, Mr. Speaker, we can look back at Lutheran Church in America, United sent to Congress last week by religious groups the last 30 days with satisfaction and Presbyterian Church, Unitarian-Univer­ including the American Baptist Convention, now turn our attention to a phase 2 plan salist Association, Churches of Christ, Baptist General Conference, North Ameri­ can Baptist Conference, the executive coun­ to follow the 90-day freeze. This issue Mennonites, and 12 different Jewish cil of the Episcopal Church, United Method­ is not to play politics with the presiden- groups. ist Church, Church of the Brethren, Luth­ tial election next year. The plan to pro- I include a related news article detail- eran Church in America, United Presbyterian teet our economy involves the living ing this paradox in the RECORD: Church, Unitarian-Universalist Association, standard and livelihood of the Ameri- [From the Washington Star, Sept. 20, 1971] Churches of Christ, Church of the Brethren, 12 Can WOrker WhO has a vital Stake in the SCHOOL PRAYER FIGHT REKINDLED IN HOUSE Mennonites, and different Jewish groups. "We express the long-standing official po­ stability of the American dollar and the (By Ronald Sarro) sition of the nation's religious faiths which ability of our Nation to maintain its in- The long-smoldering school prayer contro- affirm the adequacy of the First Amendment dustrial leadership in the face of ever- versy has been rekindled in the House and to protect religious interest and to insure re­ growing foreign competition. may come to a vote soon. ligious rights," the petition said. Economists do not all agree as to the Few members anticipated that Rep. Chal- The proposed amendment would wrong­ proper and fairest solution. However, I mers P. Wylie, R-Ohio, would have much fully allow government to determine both venture to say America will not halt its success when he filed a petition April 1 to the place and content of prayer, they added. inflation and restore prosperity until in force a House vote on the issue. They added that ·~we affirm the right of this country production per man-hour is But at the close of House business last school children or any other segment of the week, 208 of the 218 members required had population to engage voluntarily in their in balance with the cost per man-hour. signed the petition, and it appeared Wylie own prayers without government authoriza­ Rising costs have priced U.S. goods out might obtain the remaining 10 signatures. tion or supervision. This right is adequately of the marketplace both abroad and at Opposing religious groups have just protected by tthe First Amendment as it now home and U.S. capital has fted to foreign launched a counter campaign to get Con­ stands." countries to meet this situation. gressmen not to sign, or to remove their I do not blame labor for seeking more names if they have signed. for its services. I do blame management At issue is a proposed constitutio~I TRffiUTE TO A POLICEMAN amendment, locked in the Judiciary Com­ for yielding on wages without gaining as- mittee for years. Wylie's petition would force surances of increased production. Col- the committee to release the amendment for HON. JAMES H. (JIMMY) QUILLEN lective bargaining seems to be failing a House vote. OF TENNESSEE and the strike weapon seems neither to Supporters say the amendment would put benefit the worker nor management but prayer back in the classrooxns and overcome IN THE HOUSE OF REPRESENTATIVES instead penalizes the consumer and the 1962 and 1963 Supreme Court decisions ban- Tuesday, September 21, 1971 public. • ning organized prayer in public schools. Opponents say the amendment actually Mr. QUILLEN. Mr. Speaker, recently So, Mr. Speak er, as I see it today this would take away individual religious free- the members of the Johnson City, Tenn., country must seek alternatives in labor- dom. A committee of 38 national religious police department were presented with management relations and greater pro- leaders and organizations urged congress the First Union of Policemen Charter in duction should be the basis of increased Friday to reject the amendment. the State of Tennessee. In honor of these wages if we are going to curb inflation support f9r a vote in the House has been fine members and the law enforcement and reduce unemployment. building steadily, mainly because of the profession, Mr. U.S. "Steve" Nelson au­ Congress will try to meet the economic lobbying efforts of Mrs. Ben Ruhlin of Cuya­ thored a special poem entitled "Tribute crisis with a new tax program, but I hoga, Ohio, and her 30-member Prayer cam- to a Policeman." 32674 EXTENSIONS OF REMARKS September 21, 1971 Mr. Nelson is a young man who is ac­ U.N. AMBASSADOR GEORGE BUSH "In this job I am not a political person. tive in civic affairs related to young I can't be. You can't indulge in political par­ people and public education. A native of tisanship in this job. If you asked me could Erwin, Tenn., he serves as a staff writer HON. WILLIAM L. SPRINGER I conjure up a set of facts involved in the for the Johnson City Press-Chronicle, in OF ILLINOIS elective political process, I would have to ad­ IN THE HOUSE OF REPRESENTATIVES mit that, yes, I am still a political animal addition to being director of public in­ and keep my interest in elective politics. But formation for the Sullivan Central High Tuesday, September 21, 1971 there's no time here to think of such things. School, Blountville, Tenn. Mr. SPRINGER. Mr. Speaker, our for­ "As a cabinet member, of course I keep He attended Steed College and East up with domestic affairs and would be pre­ Tennessee State University, Johnson mer colleague from Texas, the Honorable pared to discuss domestic and international City, Tenn., and often assists in projects George Bush, has made an excellent im­ issues. But I am a strong believer in the poli­ at local high schools, civic, and religious pression on the international community cies President Nixon is embarked on now in organizations. in New York City in his new role as U.S. the United Nations, and he is entitled to total Ambassador to the United Nations. This advocacy here." He was awarded the 1969 George is no surprise to those of us in the Con­ The President gets it; Bush does not spare Washington Honor Medal by the Free­ gress who became familiar with his en­ himself. dom's Foundation, Valley Forge, Pa., gaging personality and the energetic way The ambassador rises at about 7 and and he has received numerous other in which he went about discharging the switches to a news program which takes ex­ awards. responsibilities of his office. As the U.N. actly 12 minutes. That's how long Bush stays The members of the law enforcement General Assembly opens another session on his exercycle. profession are certainly to be commended "The exercycle session is boring. Nobody I believe we can all be satisfied that the wins, nobody loses, no competition, and I for their dedication and devotion to the interests of the United States will be well well-being of all Americans. Mr. Nelson's hate every minute of it, but I feel I ought represented by George Bush. to do it. I don't ever eat much breakfast and tribute is excellent, and I feel it is a very The following profile of George Bush I leave my apartment at the Waldorf about fitting tribute to this profession. It is my by Associated Press U.N. Correspondent 8, to be driven to the mission. I get here pleasure to make it available to readers of William L. Ryan appeared in the Wash­ every morning about 8:10." the RECORD: ington Sunday Star of September 19: The ambassador's 11th :fioor ofilce com­ TRIBUTE TO A POLICEMAN mands a View of the U.N. complex. The walls U.S. ENVOY (By u. S. "Steve" Nelson) have photographs of the President, vice pres­ (By William L. Ryan) ident and secretary of sta.te, the U.S. astro­ His is a noble profession, an honorable pro­ UNITED NATIONS, N.Y.-The way he tackles nauts on the moon and various Bush family fession. diplomacy, Ambassador George Bush doesn't scenes. On a table near a window is a bust of The dignity of his profession is surpassed really have to be an athlete in top condition. Abraham Lincoln, and near the desk is an old only by a sincere dedication to duty. But it helps. globe on a stand, which Bush calls "the Caution is his unwritten, unbreakable law The former Navy filer who will pilot U.S. antique." of survival, and justice is the only policy through the U.N. session starting this For an informal conversation, Rush aban­ yardstick with which he can measure week finds that a 16-hour working day has dons his desk and seats himself in an easy his actions. become more rule than exception. chair. Recently back from a stay at a vacation Evidently he thrives on it. His enthusiasm retreat in Maine, he looks tanned and re­ His is an awesome position of power. for the job seems to have infected his entire laxed. But as he talks, the relaxed manner A decision, made in a split-second of justice staff at the 12-story U.S. mission building fails to hide the fact that he is a bundle of and judgement can open the door of across the street from the U.N. complex. energy. Glasses pushed back on his head, he opportunity for a productive llfe, or, The session opening Tuesday will, among pops out of his chair, reaches the desk in a it can slowly and surely close that other things, consider the complex question couple of long strides and fishes out his ap­ door, ending that life itself. of China's representation. In his first Gen­ pointment calendar. His is a continual effort of understanding, eral Assembly appearance as ambassador, "First thing in the morning, my secretary, but compromise is the cardinal viola­ Bush has a tough assignment: to champion President Nixon's "two-Chinas" policy, which Mrs. Aleene Smith, brings me the morning's tion of his oath. telegrams to read and I have a session with both Red China and the Nationalists on Tai­ my executive assistant, Tom Lias." His first rule is to respect, but his due is to wan reject. be respected by those whom he may How will it work out? Bush says that if He thumbs the desk calendar and chooses serve. the two-Chinas policy does not succeed, it a typical day. It includes the morning staff will not be for lack of trying on his part. meeting, appointment after appointment His service knows all hours of the clock, "Some people are saying the United States with ambassadors and U.N. officials, luncheon And his vigilence finds its conclusion only in isn't really trying very hard to keep Taiwan engagement, receptions in the evening, and a the exhaustion of a total effort. in, but if that's so, nobody's told me about formal dinner. Invariably at least one dinner His effort is limited only by the demands it," he says. and one reception must be attended. Some­ placed upon him by those who request Bush's remarks to an interviewer suggested times two or three diplomatic receptions oc­ his services. two outstanding traits: loyalty and irrepres­ cur on the same day and he must make all of sible optimism. He is loyal-some say to a them. He regards that as devotion "above His mission is destruction-Destruction of fault-to President Nixon and frequently and beyond the call of duty." those forces which would undo our quotes him in conversation. And his person­ "I try to get to bed by 11:30 if possible, but civil way. At the same time, however, ality is such that pessimism for Bush would often my calendar is so filled that I fall his is a mission which demands the seem next to impossible. behind in my work and have to take it building of a stronger force, free from George Herbert Walker Bush, 47 years old, home with me." any and all political manipulation. is a self-made Texas oil Inillionaire. He had He travels frequently to Washington for The tool of his mission are ideals of con­ been transplanted to Texas, however, from Cabinet meetings and other chores, to say structive purpose, and nothing less New England, and he combines shrewd Yan­ nothing of speaking engagements around the than total commitment to his purpose kee humor with Texas affab11ity. country. So it helps to be physically fit. will suffice if his mission is to be suc­ As a Republican congressman from Texas, Bush was born June 12, 1924 at Milton, cessful. Bush once was considered a strong possibil1ty Mass. His father is Prescott S. Bush, an in­ for the 1972 Senate race. He stlll looks to vestment banker who served as U.S. senator He is a servant of destiny. some Republicans like a prospective answer from Connecticut in 1952-62. His maternal His presence insures the continuation of to the Democrats' acquisition of New York's grandfather was George Herbert Walker, justice and protection. Mayor John Lindsay. donor of the international golf trophy, the His absence is the guarantee of chaos, con­ VOTE GETTER Walker CUp. fusion and less than desirable condi­ Bush's family moved to Greenwich, Conn., tions for the society in which we live. He has the engaging manner of a natural­ born vote-getter. the year he was born. The ambassador re­ He is not the toy of selected officials. "I sure wish he was a Democrat," a Demo­ members with a trace of awe t.he imposing Nor is he to be abused, misunderstood, dis­ cratic leader was once heard to murmur wist­ figure of his tall and handsome father pre­ respected, nor taken for granted. fully. siding as moderator over Greenwich's town President Nixon noted the potential in a meeting. His appointment to his office demands grati­ Bush still was in prep school at the time tude and respect as our citadel of se­ bantering way last February when Bush was sworn as ambassador. Nixon recalled how of Pearl Harber. curity and our first line of civil de­ On the day he turned 18 he enlisted in the fense. President William McKinley had lost an Ohio race and gone on to become president, "but Navy, and before he was 19 had his com­ His satisfaction in his service and knowledge I'm not suggesting what office you should mission and wings as a Navy pilot. He fiew of a job well done, places him far above seek and at what time." torpedo bombers from a carrier in the Pacific the judgment by any of us whom he so What about political aspirations as of now? and was shot down off the Bonin Islands. faithfully serves. Bush grinned. Luckily, he spotted a U.S. submarine and

= - September 21, 1971 EXTENSIONS OF REMARKS 32675 swam for it; "I set a new record for free a U.N. session is held in a Communist bloc creasing demand for skin care salons style." country. Why not let others see what the across the country. Bush left the Navy as a junior grade lieu­ problems are, what it means? It could re­ Her success in this venture has at­ tenant in 1945, with a Distinguished Flying vitalize the whole organization. The costs Cross and three air medals. He completed his would be high, but if the Olympic games, for tracted the attention of her colleagues education, emerging from Yale in 1948 as a instance, can be taken to Tokyo, why not around the world and has attracted other Phi Beta Kappa with an economics degree. the United Nations to another country?" aestheticians and cosmetologists to With his bride of 1944, the former Barbara America. She has organized this group Pierce of Rye, N.Y., he headed for Texas, into the American Association of Aesthe­ made Houston his home and entered the oil­ ticians, which she serves as president, and field supply business. Eventually he founded CHRISTINE VALMY-AESTHE­ represents them as president of the Zapata Petroleum Corp., an international TOLOGY PIONEER Friends of the International Committee drilling contract firm and Zap81ta Offshore Co. of Aesthetics and Cosmetology, Zurich, HOUSE RACES Switzerland. In holding these offices, she The "political animal" in him would not HON. LAWRENCE J. HOGAN has heightened our Nation's image be denied. He ran unsuccessfully in 1966 and OF MARYLAND throughout the world and provided a 1968 for Congress from Texas, 7th District. IN THE HOUSE OF REPRESENTATIVES He was critical of rockbound Republican con­ shining example of the opportunities servatives, feeling that the party should be Tuesday, September 21, 1971 available here through the free enterprise system. dynamic and not frightened of change. Mr. HOGAN. Mr. Speaker, we are all "Would you consider yourself a sort of She brought further honor on herself liberal conservative?" he was asked. aware that the very foundation of our and America in 1968 by receiving the "People in Texas used to ask me that in Nation's history is anchored to the prom­ highest honorary award ever presented the campaigns," he replied. "Some even called ise of new beginnings and unlimited op­ to an American citizen in her profession. me a right-wing reactionary. I like to think portunities for people from other lands. This award was presented by the Eighth of myself as a pragmatist, but I have learned The pages of our history books are rich French National Congress of Aesthetics to defy being labeled. I don't object, particu­ in reminders of the contributions made larly, but I feel labels mean difierent things and Cosmetology in Paris for special to the strength and character of Amer­ merit in promoting esthetics in the to different people, and it's impossible to ica by immigrants in the pursuit of hap­ make them objective. What I can say is that United States. I am a strong supporter of the President. If piness, but it becomes too easy amid to­ Mrs. Valmy has also served America as you tell me what he is, I can tell you what day's whirl of national and international a member of the Advisory Committee of lam. controversy to overlook more recent in­ the Jersey City Job Corps Center for "I exercise some discretion, of course, but spiring examples of this basic human Women in New Jersey, the largest of its I would not exercise any that would conflict right. with the President's policies. If I did find kind in the Nation. By working person­ I would like, therefore, to bring to the ally with many of the girls at the center, myself 1n conflict with them, my conscience attention of this Congress, the achieve­ would dictate that I get out. If I couldn't and advising on the center's curriculum support the President's policies with en­ ments and contributions to our Nation of beauty and fashion training, she has thusiasm, vigor and energy, then the United that have been made by a most remark­ helped a vert many dead end careers, and States and its President would be under­ able woman, Mrs. Christine Valmy. Born turned many potential social misfits into represented here." and educated in Rumania, Mrs. Valmy concerned and productive citizens of As ambassador, Bush must entertain ex­ came to the United States in 1961, as a their community. tensively at his Waldorf Hotel suite, but the pioneer in her chosen field of aesthetol­ Bushes always have been enthusiastic hosts. ogy--skin care--and cosmetology, and All of Mrs. Valmy's achievements will "Barbara. likes it," he says. "We like peo­ during the past 10 years, has succeeded be culminated in August 1972 when the ple. We have a feeling of friendship and mu­ American Association of Aestheticians tual respect when we deal with the various in establishing her field as an honored plays host to the 26th International Con­ ambassadors." profession in this country. gress of the International Committee of In those encounters he likes to keep the In doing so, she has gained the highest Aesthetics and Cosmetology in New York atmosphere informal and avoid an atmos­ respect and admiration of her worldwide City. It is through her efforts alone that phere of "diplomatic stuffiness . •There's a colleagues, as well as that of the Ameri­ the American Association of Aestheti­ place for protocol," he said, ·'but it can be can public, and has made numerous con­ overdone." cians was able to attract the over 2,500 tributions to this country's structure and members of the committee, representing As ambassador, Bush cheerfully admits his image, both here and abroad. lack of a diplomatic background, but feels all Europe, South America, Africa, and any critics on that score should withhold Her contributions to education in the Orient to America, arrange their itin­ judgment until his first U.N. assembly ses­ America have been realized through the erary, and act as good will ambassador sion ends in December. He admits he has creation of the first school for skin care for this country in welcoming these vis­ changed his mind on some things, including specialists in the United States, the itors. I have no doubts that every one of the China question. Seven years ago he was Christine Valmy School for Aestheticians quoted as saying that if Peking ever should them will leave with the highest regard in New York City. Licensed by the Uni­ and respect for American society and our be voted into the United Nations the United versity of the State of New York-Educa­ States should get out. democratic way of life, and will carry "That was 1964, a long time ago," he ob­ tion Department--the school offers in­ this image back to their countries of serves. "There's been an awful lot changed depth training in the latest techniques, origin. since ... A person who is unwilling to ad­ theories, and methods of scientific skin Mr. Speaker, I think Mrs. Christine mit that changes have taken place is out of care, and the entire curriculum was de­ Valmy deserves special recognition for things these days. President Nixon is not vised by Mrs. Valmy. She has, in effect, being naive in his China. policy. He is recog­ created a new, exciting avenue of careers her service to America, and for exem­ nizing the realities of today, not the real­ for the young people of America, and al­ plifying our basic tenets of free enter­ ities of seven years ago." ready hundreds of her graduates are prise, unlimited opportunity, and democ­ Bush approaches his job from the stand­ racy to the entire world. point that his first duty is to his own coun­ building enterprising careers at their own try. skin care salons throughout the country. "If I became an international civil servant, In the same way, Mrs. Valmy has cre­ that would be wrong. What is going to make ated a much needed new outlet for many MAN'S INHUMANITY TO MAN­ the United Nations stronger is its function of the Nation's unemployed, who have HOW LONG? as a melting pot for different viewpoints. retrained and attained new skills at her The United States should be strongly repre­ sented and we should try to bring out what's school, and then gone out to take their place among the productive work force HON. WILLIAM J. SCHERLE good about our country, be prepared to OF IOWA stand up in behalf of our country when­ in America. She has further assured these ever necessary." people of continued employment, and in IN THE HOUSE OF REPRESENTATIVES At the same time he is an eager salesman fact heightened the dimensions of this Tuesday, September 21, 1971 for the U.N. ideal. He wants to stimulate in­ terest in it around the world, possibly by new job market, by striving to educate Mr. SCHERLE. Mr. Speaker, a child means of a U.N. session once 1n a while in the American public to the importance asks: "Where is daddy?" A mother asks: another country. of personal hygiene through proper skin "How is my son?" A wife asks: "Is my "For example, let's see what happens if care, to the point where there is an in- husband alive or dead?" CXVII--2056--Part 25 32676 EXTENSIONS OF REMARKS September 21, 1971 Communist North Vietnam· is sadis­ Nations. And, it has also speeded the oago and Philadelphia. Even though 12 ppm tically practicing spiritual and mental process of decolonization and eased the is not enough carbon monoxide to cause transition to independence for over a death, many scientists believe that the steady genocide on over 1,600 American prison­ exposure to the above levels do cause many ers of war and their families. billion people. physical and mental illnesses. The danger How long? We should not only allow ourselves to level is exceeded from 30 to 50% of the time celebrate the achievements of the past in those two cities and 40% in Los Angeles. but we should strive for renewal and According to Dr. Steward, former U.S. Sur­ reform so that we can continue to meet geon General "there is little doubt that air THE UNITED NATIONS: the future problems of mankind. pollution is a contributing factor to the ris­ A NEW CHALLENGE The task of building peace and a bet­ ing incidence of chronic respiratory disease, lung cancer, emphysema, chronic :.>ronchitis, ter world for all lies with every nation's and asthma." SPEECH OF leaders and none can remain uncom­ Union Carbide has a plant in Alloy, W.Va., HON. PETER W. RODINO, JR. mitted. that disperses 28,000 tons of black smoke and dust particles each year. Mr. Nader accuses OF NEW JERSEY the company of spreading poisons and bring­ IN THE HOUSE OF REPRESENTATIVES MINNEAPOLIS HEALTH HEARINGS ing threat of early death and diseases to the Monday, September 20, 1971 228,000 people of this industrial and coal mining valley. The smoke is so thick that lt Mr. RODINO. Mr. Speaker, the U.N. HON. DONALD M. FRASER blacks out the sun. I think there is a suit General Assembly convenes today and OF MINNESOTA brought against Union Carbide by the local I would like very much to salute U.N. IN THE HOUSE OF REPRESENTATIVES residents. Each year 700 million lbs. of lead is used officials and offer my continued support Tuesday, September 21, 1971 in high octane motor fuel, and the lead 1m­ in their daily deliberations in the quest Mr. FRASER. Mr. Speaker, Mrs. Mary pairs the function of the blood, kidneys, and for peace throughout the world. Mantis testified before the recently con­ the central nervous system, and leads to We have in the past experienced many cluded Minneapolis health hearings on heart disease. Asbestos dust is known as a. anxious days for mankind and the United cause of cancer, espe<:ially among people who the cost to the United States for our mis­ work with the material. Autopsies of 1100 Nations has, by accepting its responsi­ use of our environment. As Mrs. Mantis bility, helped reduce the tensions, and people in three cities showed that 25% had so aptly demonstrates in her prepared asbestos dust lodged in their lungs. Dust ease the frustration. Today we are still comments which follow, the cost to the burnt off auto brake linings by friction may somewhat shadowed by past crises, but United States is staggering, about $35 be a health ha3ard to a fourth of all Ameri­ we are surrounded with rising hop~. billion a year. She also points out in her cans. Never before has man had such ca­ remarks that even though the fertility Dr. Kotin said that a health policy based on pacity to control his environment, to rate is declining, demands for power, preventive measures including the achieve­ overcome his hunger and · ~hirst, to con­ fuel, consumer goods, and services are ment of a more healthful environment was quer poverty and disease and put an rising. In 1950 the fertility rate for all the only adequate solution to the problem. end to human misery. Health costs oould be reduced substantially women of child-bearing age in the United if future legislation includes enforcement It is with these goals in mind that I States was 3.35 per thousand; in 1960 it provisions for oontrolling pollutants. see an overriding need for world or­ was 2.78 per thousand, and in 1970 it was ganization. To accomplish this necessi­ 2.45 per thousand. I commend the very tates the long overdue restructuring and important remarks of Mrs. Mantis to all strengthening of the U.N. Charter. my colleagues: ROSWELL PARK INSTITUTE HEAD The V.N. Charter was formulated at HIGH MEDICAL COSTS' DUE TO THE SUPPORTS CANCER BTIL the end of World War II and no longer ENVmONMENT meets the needs of our changing world. First I would like to commend Congress­ If the United Nations is to be effective, man Fraser for introducing a Health Package HON. THADDEUS J. DULSKI certain reforms must be made. Bill that is designed to serve all the people. OF NEW YORK The gap between rich and poor na­ However, my statement does not intend to IN THE .HOUSE OF REPRESENTATIVES tions is expanding. Elements of mis­ support or oppose the cost of medical bills Tuesday, September 21, 1971 trust and fear accompany this situation but simply to bring to your attention that and it is becoming more difficult for na­ we, the people, are partly responsible for this Mr. DULSKI. Mr. Speaker, the House tions to work together. Each nation is outcome. Subcommittee on Public Health and En­ Even though the birth rate is decreasing vironment of the Interstate and Foreign becoming increasingly protective so that in this country, the per capita demands for she may ward off any encroachments on power, fuel, consumer goods, and services Commerce Committee is holding hear­ her sovereignty. continue to rise dramatically. As a result ings on the Conquest of Cancer Act and The United Nations has during the we have many and varied ills. related legislation. past decade made a number of solid Dr. Paul Kotin, Dire<:tor of the National At today's hearing, chaired by our col­ achievements. The decade of the 1970's Institute of Environmental Health Science, league from Florida

able JAMES F. HAsTINGS, my neighbor NEED FOR CENTRAL PROGRAM this constant competition for funds and from western New York, on plans for Previous proposals for a new governmental other resources. Also, it would make the han­ a hearing by the subcommittee at Ros­ agency responsible for carrying out the cur­ dling of problems and programs of a specific well Park Institute next month. rent activities of the National Cancer In­ medical subjeot, cancer research, more ef­ Roswell Park is an outstanding ex­ stitute (NCI) plus additional activities re­ ficient since the Director of the Cancer quired for such expanded research programs Agency would report directly to the Presi­ ample of a cancer research facility and on cancer have been distributed. dent. I am certain that the subcommittee can It has been recognized that a National Needless to say, more often than not, the benefit greatly from a visit as well as the Cancer Agency should be responsible for the reality of this administrative arrangement opportunity to hear testimony from ex­ fundamental and clinical training programs, would allow personnel in t.he Agency to speed perts in the field. development and demonstration of methods up the approval of worthy grants and con­ There is no question about the need for of treatment, and the establishment of in­ tracts, to pinpoint areas 1n need of admln1s­ improving the budgetary control and the ternational cancer research data banks. trative support and to respond to changing access to funds for cancer research. Construction of cancer research facilities priorities. with federal support should also be expanded It would in no way obliterate the NCI There also is need for speeding-up and and new ones established. nor even alter drastically its internal proc­ improving the system for handling As Institute Director of the oldest and one esses, as some people have feared, since the grants. of the largest cancer institutes in the world present NCI would become a part of the As part of my remarks I include Dr. -supported by New York State as well as Cancer Agency. With this arrangement, NCI Murphy's statement before the subcom­ federai and private funds-! feel as my col­ could launch and fulfill the objectives of mittee today: leagues do that there is much to commend coordinated cancer research program as out­ lined in S. 1828. STATEMENT OF DR. GERALD P. MURPHY, DmEC­ this national effort to conquer cancer as pro­ posed in S. 1828. REMAIN ON N J.H. CAMPUS TOR, ROSWELL PARK MEMORIAL INSTITUTE, This proposal keeps the Dancer Agency BUFFALO, N.Y., BEFORE THE HOUSE SUBCOM­ By the Nqi being part of the Cancer within the National Institutes of Health MITTEE ON PUBLIC HEALTH AND ENVIRON­ Agency and with the National Cancer Ad­ MENT (Nlli) where it still can derive all the close­ visory Board with its wide proposed repre­ ness of cooperation of all the biomedical sentation evaluating annually cancer pro­ The proposal of a greatly expanded cancer sciences whenever necessary. research program based upon the expert ad­ grams and budgets, the location of the Can­ Moreover, peer review in grant and con­ cer Agency on the Bethesda campus of NIH '- vice of large numbers of scientific and medi­ tract mechanisms I believe are enhanced and cal leaders throughout the United States would maintain all the cooperative benefits strengthened by such an Agency approach, the NCI and Nm have previously enjoyed. has presented convincing evidence to many and thus may eliminate possible existing or that recent scientific advances and research Moreover, with this new administrative ar­ proposed layers of bureaucratic delay. Cross­ rangement for NCI, it could achieve more ef­ developments are sufficiently promising to fertilization and intellectual interactions are merit a national major commitment to a fective inter-relationships with other Insti­ strengthened rather than hampered by such tutes on the Bethesda campus of NIH. Conquest of Cancer program. a Cancer Agency. While cancer may be the second leading The great interest in cancer research to­ killer in the United States today, it is the MUST HAVE AUTONOMY day and the establishment of a Conquest of number one health concern of the American The Agency, however, must have the kind Cancer Agency will generate increasing con­ people, as confirmed by recent national polls. of autonomous organizational framework ad­ cern with all health problems a nd will en­ Launching a major cancer research effort ministratively and fiscally so that funds and courage developments of other biomedical is felt to be justified by recent advances in other resources may not be diverted from programs. work in cancer research and by the scientific it. Only in this way, then, can cancer related It must be remembered that cancer is a opportunities that now exist for making programs not be changed by the individuals multifaceted problem involving all disciplines significant strides toward more effective who do not have a close commitment and of science and these disciplines have to be treatment and prevention of a number of who are not familiar with or involved in brought together on a coordinated level to cancer research. meet the objectives that we want to fulfill. cancers. We do feel by a creation of a Cancer Agency, A realistic plan of a cancer research pro­ The maintenance of the grant mechanism a closer association with all aspects of bio­ gram should include three essential ingredi­ and the systems underlying it, such as peer "Inedical research and the scientific com­ ents: first, effective administration with review and study sections, obviously can and munity within NIH and throughout the clearly defined authority and responsibility; should be maintained. Grants and contracts country can be achieved. secondly, the development of a comprehen­ for funds for research to individuals and in­ The scientific community should not fear sive national program for a combined and stitutes should be increased on a long-term that funds will be expended on contracts systematic attack on the complex problems of basis whenever necessary. seeking specific objectives to the detriment cancer; third, sufficient long-term fiscal sup­ Since the objective of the Cancer Agency of less goal-oriented structured grant mech­ port. is the conquest of cancer at the earliest pos­ anism. These plans must essentially include not sible date, immediate support for clinical only individual research but also, where ap­ and research training programs must be ex­ NO FEAR RE NATIONAL APPROACH propriate, additional increases of more co­ panded. As directors of existing cancer institutes, ordinated researches between individuals and Cancer research programs not only require we do not fear a national coordinated attack institutes throughout the country and per­ integrations of various disciplines in a cli­ on a disease that causes such disability and haps, if justified, with certain cancer insti­ mate of free exchange of ideas with individ­ death. Many cancer institutes have had to tutes abroad. uals with personal commitments to cancer mobilize their funds and resources toward a ORGANIZATION AND GOALS research but, too, the mob1lization of re­ coordinated attack on cancer and in doing sources must be integrated. so have not deprived the rights of clinicians Previous national consultants for the most and scientists to the high degree of in­ part have set forth a scientific and manage­ In my opinion and as well as those of my colleagues at Roswell Park Memorial Insti­ dependence needed for creativity in cancer rial program for the fulfillment of these ob­ research. jectives of a cancer research program. tute, this can best be achieved by the estab­ lishment of a Conquest of Cancer Agency The American public expects this type of They have proposed a large-scale coordi­ being an independent agency within the Na­ coordinated effort on cancer and is antici­ nated multidisciplinary research and devel­ tional Institutes of Health. pating its implementation that might lead to opment effort aimed at producing the means scientific breakthroughs in controlling and by which significant reductions in mortal­ PROBLEMS OF BUDGETING curing cancer. ity in human cancers may be achieved over It is well recognized that at the present A new Cancer Agency with streamlined ad­ the next five to twenty years. time the budget administration policy of the ministrative support, as outlined in S. 1828, The program and its attendant problems various Institutes within the Nm must be could produce the means to achieve the have been identified by national consultants reviewed and approved by six higher levels greatest benefits leading to a solution of the and other people working in the field of can­ of bureaucracy before there is a final fund­ cancer problem. cer. At present, it would seem that in deline­ ing of research and contract grants. Therefore, Mr. Chairman and members of ating these program approaches, great con­ At every level there is administrative the Subcommittee, I as well as my colleagues cern has been manifested for further detail­ scrutiny of all budget activities with com­ at Roswell Park Memorial Institute strongly ing the plans and requirements necessary for peting priorities. With the continuance of support the enactment of S. 1828. implementation. this type of organizational framework un­ Mr. Chairman, I a::n pleased, as Institute To effect proper implementation, all con­ doubtedly funds and resources necessary to Director of Roswell Park Memorial Institute, cerned with the cancer problem must join in accelerate objectives of a Cancer Agency to b3 able to present some of our views on S. a single national cancer program. Commit­ would be hampered. 1828 and I thank y-: u for the opportunity to ments to the program objectives, accom­ By giving the Director of a new Cancer present this testimon y. Whatever opinions we panied by high-quality performance, must Agency the prerogative of formulating his share on implementation of the federal effort be achieved in a timely manner. Some of our own budget and submitting it directly to for the Conquest of Cancer, it is not the in~ current efforts are able only in part to handle the Office of Management and Budget for tentions of any of us to impede the fulfill ­ this expanded requirement. Presidential approval, we feel will by-pass ment of the program. 32678 EXTENSIONS OF REMARKS September 21, 1971 AMERICAN MERCHANT MARINE The Mar-itime Administration, in setting tors. This again is untrue. American tlag MUST BE ACTIVE up its Market Development program, has service ln principal trade reutes is more than decentralized and established areas of re­ adequate. The liner services of American sponsi,billty on the East Coast, Gulf, and carriers feature all varieties of technological HON. GEORGE P. MILLER Bacific Coast, as well as Ohicago for the Mid­ advances. Container ships are in plentiful OF CALIFORNIA West Area. The initial step, in the program, supply, the finest break bulk services and for the Western Region (San Francisco, Pa­ unitized cargo facilities are available, and IN THE HOUSE OF REPRESENTATIVES cific Northwest and Southern Os.lifornla) was the LASH and Seabee vessels with the best Tuesday, September 21, 1971 to find a. staff of experienced professionals. features of breakbulk, unitization and con­ This we h~ve accomplished. These people tainerization are now sailing under our en­ Mr. MilLER of califomi'a. Mr. Speak­ h:ave cumUilative experience of nearly three sign. er, during a recent visit to California, I quarters of ~ century with U.S. flag steam­ It may be a fear of disruption of service had the privilege of attending a banquet ship companies. This experience encompasses because of seagoing labor problems. We try sponsored by the National Defense container development, freight forwarillng, to get the user of ocean transportation to Transportation Association in San Fran­ intermodal. operations, statistics and varied share our conviction that labor and manage­ cisco. Mr. Harold J. Romain, Chief, Office marketing and management responsibilities. ment now are aware of the need for coopera­ The first problem that we addressed our­ tion in order to survive. This is substan­ of Market Development for the Western selves to was to insure that government im­ tiated by recent statements in the press by Region of the Maritime Administration, pelled cargo destined by law for American many labor leaders. Sometime ago Paul Hall, was the principal speaker on this oc­ tlag carriers, did move in U.S. tlag ships. This speaking in New Orleans said, and I quote, casion. Mr. Romain made reference to has been accomplished by publishing in the "We've got to stop the work stoppages that the Merchant Marine Act of 1970 which Federal Register, new standards to be ob­ exist now, from the beginning of a con­ he said: served by all government agencies handling tract to the end ... it doesn't make sense to cargo subject to U.S. tlag preference laws. die together, when together we can live a Has opened the door for a modern and The responsibility to set up these procedures realistic Merchtant Marine, but ·only if Ama-i­ wonderful way of life." Unquote. When Mr. was enacted in the Merchant Marine Act of Hall says "All of us", he means labor and can capital is willing to invest in the po­ 1970 and delegated to the Maritime Adminis­ tential future of our industry. management--the industry as a whole. tration. Even though we meet with these objec­ He stressed the necessity of an active For example, in the recent past a National tions at traffic management levels, the en­ and aggressive merchant marine to carry Aeronautics and Space Administration Track­ couraging aspect is that in most cases top the products of this country across the ing Station was booked by their contractor executives are cognizant of the need for from Seattle to Australia on a Chinese tlag American ships and are determined not to oceans which surround us. I was very vessel, until Bob Ma.n.ahan, our representa­ his be dependent on other nations to carry their much struck by pertinent and timely tive in the Pacific Northwest, alerted us. products to and from the United States. comments and I am happy to insert his Through quick action by the Seaittle, San We have been successful in alerting these speech as a part of these remarks. Francisco, and Washington offices of Market executives to the need that their corporate REMARKS BY HAROLD J. ROMAIN Development, an official ruling that this was policy to ship American tlag is carried out I must preface my remarks by acknowledg­ government-impelled cargo was ob'tlained. at all levels in their organizations. Top level ing the current situation that exists in our The shipper was required to use an American contact by the Office of Market Development industry. The devastating strike is indeed flag vessel. In this instance, some $350,000 has made it possible to arrange productive critical to all involved in or about the marl­ in freight revenue was put back into our executive meetings between carriers and time industry. However, we in the Office of economy. Another example--the 1970/71 shippers. This door opening technique has Market Development must look forward to movement of Export/Import Bank financed already benefited American tlag steamship the time when the Pacific Coast ports are cotton totaled 800,000 bales. Under the cargo companies. again working. The references I will make to preference law, at least 50 percent of this The demands of the marketing process labor are about the partisan labor organiza­ must move on American tlag vessels. In this will of necessity bring carriers and shippers tions that man our ships. case, 500,000 bales were to move from the into close working relationships that should The Office of Market Development has been Gulf with 300,000 bales for Pacific Coast load­ revive the ancient concept of trade as a joint established to assist the American Merchant ing. As the one American line in the Gulf venture. This partnership of interest also Marine in their endeavor to survive. The use was able to accommodate only 100,000 bales, requires the shipper to articulate his needs. of the word survive is not a trite statement. a deterininatlon was made in Washington The oceSn. transportation r.ervlces ultimately If the American Merchant Marine continued that to make an even fifty-fifty split, all available to shippers will be in proportion on the path it was going, there would have 300,000 bales on the Pacific Coast must move to the rapport they establish now with the been a rate of attrition which could have on Amerloan tlag vessels, and it has now carriers. conceivably phased out this segment of our moved on American ships. The Pacific Ooast The Maritime Adininistration, knowing full American economy. This obviously cannot U.S. tlag operators are very pleased to have well the need for positive action, has come come about. Our market development pro­ this additional cargo available to them. up with some ideas that had not been tried gram will stress the positive aspects of our The preference cargo problem is better and before. One such idea is a new way of en­ present fleet, but most important, the mod­ will continue to improve as it is our inten­ couraging industry to cooperate and work ern fleet that we anticipate in the short tion that American tlag carriers are not to together for the general cause. That is why years ahead. The United States has pio­ just receive 50 percent, but are to receive the United States Maritime Industry Foun­ neered the Merchant Marine from the sailing at least 50 percent--this rule is a floor, not dation has been conceived. Through coopera­ class to steamship to container vessels, and a ceiling. But we stlll have a forinidable tion of labor, management, shipbuilders and now the lash and seabee concepts. The Mer­ situation with commerical cargo. Obtaining allied industries, a concerted effort will be chant Marine must utilize the great assets commercial cargo for U.S. tlag ships is our made to impress upon all segments of our possessed by American ingenuity for effi­ primary objective. We conduct a planned citizenry the vital need for a well staffed, ciency and must continue to use this capac­ efficient and modern merchant marine. The ity for innovation. The Clipper ships were program of interviews with Exporters and Foundation has been set up as a nonprofit unsurpassed in their day, the U.S. tlag con­ importers which is designed to influence organization and is sponsored and supported tainer ship led the way in the container them to use American flag vessels. In the by leaders at the highest level in the indus­ revolution, and now the LASH and Seabee is main, the response to these interviews has try. further evidence of our efforts to keep ahead. been favorable. However, there are shippers Tom Patterson, Blll Galstan, other mem­ The Merchant Marine Act of 1970 has who are not easily persuaded to use Amer­ bers of the Western Region MARAD staff, and opened the door for a modern and realistic ican tlag ships. We try to determine the rea­ I have made joint visits to leaders of labor Merchant Marine, but only if American capi­ sons for their reluctance. and management. The results of these meet­ tal is willing to invest in the potential future It may be that the shipper feels it costs ings have proven one thing-a genuine desire of our industry. These ships will only be more to ship on American flag vessels. This of all segments of the maritime industry to built if there 1s a demonstrated profit poten­ is completely untrue when using conference promote their mutual interests in this posi­ tial from adequate cargoes at compensatory vessels. It is frightening to :find that knowl­ tive manner. We have laid to rest the wide­ rates and equally important, a labor manage­ edgeable people in our industry are still spread opinion that labor and management ment relationship which will insure the con­ fidence o! American and Foreign shippers under the impression that it costs more to cannot get along together. In fact, the Uni­ on these vessels. No longer can the labor s:fifp on an American conference vessel. We fication Dinner held on June 2nd which sat management gap exist as it did a few years must dispel this misinformation. All con­ together the leaders of all these segments, ago as both these groups have mutual in­ ference members charge the same ocean showed the shippers in attendance the soli­ terests--one is to operate ships profitably freight rates. darity o! the maritime group. and the other is for job opportunities on It may be that the shipper thinks he can This dinner was so conceived that the them. get better service from foreign tlag opera- shippers sat with the labor and Industry

- September ~1, 1971 EXTENSIONS OF REMARKS 32679 leaders and had an opportUfiity to engage teams from our Western, Eastern, Central stood. Fortunately, the Senate Finance Com­ in conversation with these executives. There and Midwest Regions. mittee then viewed the proposal with sus­ was no head table and speech making was These programs I have discussed tonight picion and it died at the end of the session. held to a minimum. It was the intent of all converge on the same goal-a healthy There is good reason to keep the DISC the dinner for the attendees to get Merchant Fleet which will not only have the proposal out of the spotlight. The proposal acquainted or reacquainted with each other. capacity to carry our exports and imports opens up a billion-dollar loophole in the in­ As one leading member of the steamship during times of peace, but will have sea lift come tax, through permitting U. S. export­ fraternity said, "This was not a dinner, it capabillties to move vital supplies and equip­ ers--especially our largest corporations-to was a miracle." ment should an emergency arise. No one escape that tax. The Foundation is nonprofit and open to questions the role our fleets have played It would be a cruel irony to have the first anyone who is a friend of the maritime in­ in past crises, and this fourth arm of de­ significant technical income tax legislation dustry. A donation is not required to become fense ability is a critical part of our National to pass the Congress after the 1969 Tax Re­ involved in this Foundation. However, should security. form Act--the kind of legislation that only an individual as well as a company wish to Our dedication is to foster the American technicians and experts can follow-open up donate to this project, it will be most wel­ Merchant Marine and all of you have a sin­ one of the largest tax escapes ever legislated come. The main point is not the amount of cere interest in the continuing prosperity by the Congress. Yet we find the Treasury money, but to get people interested and in­ of our Merchant fleet. Your help is solicited Department being the moving force behind volved. Of course, the Foundation' does need and your ideas are encouraged to help us this attempt. funding to conduct its activities. achieve the goals of the Office of Market De­ A DISC-Domestic International Sales The first concrete project was a painted velopment and those set forth in the United COrporation-would be a new type of corpo­ billboard depicting our past heritage as a States Maritime Industry Foundation. ration conjured forth by this change in the leader on the high seas and our present tax law designed to "defer" the income tax superior technology. This billboard carries on the "export profits" received by a domestic the theme "IT COSTS NO MORE." The bill­ corporation engaged solely in the expOl"t board is presently located on the Bayshore A SLIPPED DISK IN THE NEW trade. The quotation marks are used be­ Freeway, South of Grand Street in South ECONOMIC POLICY cause the words they enclose turn out, as San Francisco. is so often the case in tax legislation, to have We are following up this initial billbOard a significance far beyond their normal usage. with some 100 free public service billboards HON. JONATHAN B. BINGHAM American businesses manufacturing goods that are sold abroad would be expected to which will be erected up and down the Coast OF NEW YORK and as far inland as Chicago. These are on a organize DISCs-which need be only paper space available basis. Those of you who will IN THE HOUSE OF REPRESENTATIVES subsidiaries--through which their present be attending the luncheon at the Oakland Tuesday, September 21, 1971 exports would be channeled. The profits of a Hilton Inn during the International Con­ DISC from its export sales would not be tainerization Exposition and COngress wlll Mr. BINGHAM. Mr. Speaker, it has subjected to income tax if the profits are probably pass by the first billboard which is been widely heralded that President used in export activities of the DISC or erected on Doolittle Drive near the entrance Nixon's new economic policy contains loaned to the parent-manufacturer corpora­ to the Airport. many inequitable elements which pro­ tion for "export-related activities"-again Future plans will be continued use of pub­ vide greater relief for corporate America the significant quotation marks. This is the lic service TV and Radio spots and soon mes­ way the Treasury describes the proposal. sages will appear in printed media and direct than working America. One proposal But under the terms of the actual legis­ mail. which has not received much attention lMion, it turns out that "deferral" would in On the broader National scene, Andrew to date is the President's plan to provide practice become exemption; that "export Gibson, Assistant Secretary of Commerce for a tax deferral for a new kind of subsidi­ profits" would very often include manufac­ Maritime Affairs, has convened and is spon­ ary corporation known as DISC-do­ turing profits; that "export-related activities" soring the new National Maritime Council. mestic international sales corporations. of the parent-manufacturer become activ­ This joint council is also a nonprofit corpora­ This proposal would provide a billion ities having nothing to do with exports, ex­ tion and has a membership drnwn from car­ tending even to investment for manufacture riers, shipyards, shoreside and seagoing labor dollar tax loophole for existing large cor­ abroad; and that the references in title and and the Maritime Administration. It is porations with little, if any, additional description to "domestic" export subsidiaries planned that the United States Maritime In­ benefit for the American economy, says cloak in practice an inducement to form for­ dustry Foundation will carry on the Western Harvard law professor Stanley Surrey in eign subsidiaries and, moreover, to form Region activities of the National Council. the Washington Post, September 19, them in tax-haven countries, thus bringing To augment the program I have men­ 1971. By enabling companies with for­ back a pattern of abuse against which Con­ tioned we are planning an SOS (Ship our eign sales to establish a paper subsidiary gress legislated in 1962. Ships) Task Force Program. This concept These are aspoom that the Treasury does embodies an American Merchant Marine through which exports could be chan­ not talk about when it urges the proposal. marketing team composed of MARAD OMD neled, corporations could escape paying For example: and top level representatives from Unions, income taxes on profits earned. Cloak­ 1-The Treasury stresses in urging DISC Operators, and in some areas will include ing the relief in terms of a deferral, the that only a deferral of tax is involved, in banks, insurance companies, shipyards, or administration seeks to encourage ex­ terms that imply deferral is really not other elements of the industry. ports. But, the deferral is in truth a tax much-the tax is not paid now but must be This team will approach participants in exemption according to Mr. Surrey. Fur­ paid a bit later on. Indeed "deferral" for most American International trade throughout the thermore, he notes: Congressmen is a word that lulls them into Western Region to convince them that they believing very little is being given away. But should be substantial supporters of U.S. flag No one--not even the Treasury-has of­ the Treasury and corporate controllers know ships. The contacts will be through spon­ fered any public documentation and serious better. Thus, a high Treasury official, in talk­ soring groups such as transportation clubs, economic study of just how and to what ing recently to a professional group on as­ foreign trade associations, Chamber of Com­ extent and for what gocxls this windfall to pects of accounting, said: merce, etc., who will provide the forum for exporters will increase our exports. On the "I need not tell this group that tax deferral the presentation. This team will provide the contrary, most economists believe just the is the name of the game. A tax deferred one .. sponsoring group a packaged program in opposite, that the change will have only a two, or several years is simply a lower amount: which MARAD would present the OMD pro­ slight effect on our exports out of all pro­ of tax on those who achieve such deferral­ gram and introduce the carrier and labor portion to the revenue loss involved. a burden that must be assumed by all other:­ representatives, who in turn would talk in Mr. Surrey's article follows: taxpayers." a positive manner about the harmony with­ For a profitaple company, the present value-­ in the Industry. DISC: A BILLION-DOLLAR TAX LooPHOLE Hm­ DEN IN NEW ECONOMIC POLICY of 15 years deferral-at the least the period Time will be allowed for a question and the Treasury and business have in mind. answer period. This meeting will be supple­ (By Stanley S. Surrey) under DISC; indeed the deferral for many; mented by press conferences including TV The President's speeches on the New Eco­ will be indefinite--is just about worth the· and radio. To capitalize on the good will nomic Policy do not mention the "DISC" pro­ amount of the tax itself, which makes defer­ created in the general meeting. The team posal, and so it receives almost no notice in ral the equivalent of exemption. The reason: would make personal calls on executives of the daily press discussions. is that the deferred tax-money that a com-. the major exporters and importers in the This silence cloaks the efforts of the Treas­ pany keeps over such a period (in effect an. area. ury Department once again to slide the interest-free loan for that period) can be put Denver has been chosen for their initial DISC proposal into the tax law. Last year the to work earning additional money. In a typi­ effort and wlll be followed by visits to other attempt was made as part of the Trade Bill, cal case, the real cost to a profitable com­ major cities within the 15 state Western when the fierce legislative battle waged over pany for each $100 in deferred taxes would Region. The Director of the Office of Market import restrictions permitted the DISC pro­ only be $18 to $20. · Development, Washington, D.C., will coor­ posal to pass through the House, almost un­ 2-The Treasury stresses that domestic· dinate a National Task Force unit involving noticed and unseen and certainly not under- subsidiaries will be used and that this 1s 32680 EXTENSIONS OF REMARKS September 21, 1971 helpful to unsophisticated businesses. But resulted from the relationship of our dollar a busy center of cultural activity. Subse­ the tax experts who st udy the technical de­ to foreign currencies-and is now seeking a quently, as the facility's book collection con­ tails know that the arrangement which gives realignment of those currencies. It is also tinued to expand in size, the Library Com­ the greatest tax windfall under the proposal using a temporary device-the 10% sur­ mittee was forced to seek more spacious quar­ is to combine DISC with a foreign tax haven charge on imports-to emphasize the need ters in the First Taxing District area, and subsidiary-a Swiss or Panamanian company. for currency Sldjustments and other tr81de when the library was moved to temporary In 1962 the Congress rightly legislated against related changes such as removal of unfair quarters in the old Norwalk Club building at tax haven abuses. Now in 1971 under the restrictive practices in other countries. 67 Wall street, its shelves, thanks to the gen­ cloak of a few technical words in the DISC But the DISC proposal, which will not erosity of an enthusiastic group of local citi­ proposal, the Treasury is sweeping away that really help our exports and inst ead will create zens, contained an impressive collection of legislation and directly legaUzing and en­ a large tax escape, was left around from the volumes for use by its members. Thus, be­ couraging the widespread use of these tax earlier blueprints. It is now being quietly fore the turn of the century, the Norwalk havens. carried along as a windfall to business, even Public Library was fulfilling its purpose and 3-The Treasury stresses that the profits though we have a new set of blueprints really being brought to a reality. Its earliest years of a DISC, freed from taxes, will be used to designed to do the job that must be done saw the modest institution render an in­ promote export activities. But the tax ex­ to improve our tr81de position. valuable service to the residents of the perts who study the technical details know The DISC proposal should simply be area-years during which thooe with an ap­ that these tax-free funds can be used for ac­ dropped as a bad id~a major loophole if petite for 'varied readlng material (long be­ tivities t hat have nothing to do with exports. viewed as a tax provision; utterly in conflict fore the Sldvent of radlo, talking pictures or Thus, the funds can be used by large manu­ with our national priorities if viewed as an television) -could enjoy the leisure company facturing companies, who are presently ex­ expenditure device; ineffective and now sup­ of good books. porters, for purely domestic activities where pLanted by meaningful, direct steps if viewed The original charter of the old City of the favored companies are able to compete as a tr81de measure. Norwalk did not make any reference to the with tax-free DISC money against companies Norwalk Public Library. But, research into not so favored. They can be used even to the historical background of the library prior build manufacturing plants abroad-and to the year 1903, however, while being greatly thus reduce the export trade of the United NORWALK LIBRARY OBSERVING limited due to lack of available material, has States. The DISC money is simply made not been entirely fruitless especially in the I ITS 75TH BIRTHDAY available to the companies and the Treasury examination of city news items that have will ask no questions on how it is so used. appeared in old issues of The Hour, which The purpose claimed for this proposed tax­ HON. STEWART B. McKINNEY has produced a considerable amount of perti­ nent information in regards to the early favored treatment of our exporters-exempt­ OF CONNECTICUT ing an entire activity from the income tax­ years of the library. IN THE HOUSE OF REPRESENTATIVE:) is that it will stimulate our export trade and THE BEGINNING thereby help our balance of payments. But Tuesday, September 21, 1971 Prior to 1893 there was a private voluntary the revenue loss in the billions occurs even Mr. McKINNEY. Mr. Speaker, an in­ organization known as "The Norwalk Library if not a single dollar of new exports occurs. Association," which maintained a "circulat­ Moreover, no one-not even the Treasury­ scription on the State library at Berlin ing" reSiding room at various locations in the has offered any public documenta,.tion and rOOids "food for the soul." What better area that now comprises the First Taxing serious economic study of just how and to way is there to describe a library-a vast District. Ancient records of the minutes of what extent and for what goods this windfall wealth of knowledge which never a meeting of the Common Council of the old to exporters will increase our exports. On the falters-but can continually enrich and City of Norwalk, held at the Town Fiouse on contrary, most economists believe just the Mill Hill on Sept. 2, 1895, reveals what is opposite, that the change will have only a fulfill the individual. The library is one of the moot useful undoubtedly the first official mention of the slight effect on our exports out of all propor­ library. At the historic meeting "A com­ tion to the revenue loss involved. No other public services a vailable today and in munication was read by the mayor from the country, even among those most incentive­ that light, Mr. Speaker, I would like to Norwalk Library Association tendering the minded, has adopted such a sweeping tax offer by congratulations today to the books and fixtures of the library to the city escape from its income tax. Norwalk Library, which is celebrating its for a public library. After debating the mat­ When the questions are asked why is our 75th aniversary this year. Its dedicated ter it was voted that the mayor appoint a tax system so unfair, why are there such committee to look into the matter and to gross escapes for some from the tax burdens staff, not only of today but of yesterday, deserves the heartfelt gratitude of all for report at the next meeting. borne by others, why do we have so much Minutes of the next meeting of the Com­ .difficulty in focusing our scarce funds on its superb contributions to the people of mon Council on Nov. 4, 1895, two months pressing needs, the DISC proposal is a sharp Norwalk, Conn. over the years. later, reveal"that the committee appointed by and bitter answer. I know that the Members of. this House the Mayor to look into the matter of a public Some corporations are of course pushing will join with me in saluting this fine library (composed of Messrs. Wheeler, Smith, for the legislation, as are some law firms institution on its birthday year. Chinery and Boyer, members of the Common which see profits for them in reorganizing Recently, Mr. Speaker, the Hour, Nor­ Council of the City of Norwalk at the time). the business structures of their clients to fit rendered a unanimous report in favor of DISC into the corporate organization charts. walk's newspaper, presented an indepth accepting the offer of the Norwalk Library But to their credit, many a business concern look at the history of the Norwalk library. Association and recommended that the mat­ and its executives, as well as their tax ad­ I would like to share that fine article, ter be brought before a special city meeting. visers, know the proposal is wrong-wrong written by James T. White, with my Said meeting, attended by more than sixty for them because it means a windfall re­ colleagues today: interested voters, was held in the Old Town ceived which wm not materially affect their House on Nov. 21, 1895. level of exports and wrong for the country ANNivERSARY YEAR: NORWALK LmRARY OB­ SERVING IT'S 75TH BmTHDAY Eugene Olmstead, a prominent resident of ln terms of our national priorities. But it the city, presented a resolution at the his­ comes hard not to offer support when the (By James T. White) toric meeting whereas the offer of the Nor­ Treasury pushes for their backing of the The history of the Norwalk Public Library walk Library Association to give the city its proposal. is an interestingly unique one. The library, books, shelves, furniture and fixtures upon In fact, I suspect almost everyone con­ which observes its 75th anniversary this year, the conditions outlined in said offer be ac­ cerned knows DISC to be a b81d tax provision. and which has been in its present location at cepted. Other resolutions voted upon and Surely the House Ways and Means Com­ the corner o! Belden and Mott avenues for 68 declared that same evening were that "The mittee which initiated the tax reform legis­ years, was incorporated in May, 1879, as a Council of the City of Norwalk be hereby lation in 1969 should know better. One can small circulating library with a membership instructed to establish and maintain a public believe that it does know better-after all, fee of $2, and became the old city of Norwalk library, and that the thanks of the city be a dissenting report filed last year by some Library in 1896. extended to the Library Association for its committee members explained in detail how At a meeting of the Common Council, held generous offer." the proposal was seriously wrong and had no on Feb. 3, 1896, at the Town House on Mill Commencing in 1897. In accordance with place in our tax system. One suspects also Hill, Councilman Smith, chairm.an of the Li­ the by-laws adopted the previous year (by -that the Treasury tax experts know better. brary Committee, reported that the commit­ the nine directors of the Norwalk Library Nevertheless the proposal has found a place tee had leased a small store at 20 Wall street and Reading Room, who had been appointed in the New Economic Policy of the President. for the library room-the yearly rent to be by the mayor at a meeting held on July 6, One suspects a cultural lag. Last year, $400. Situated next to the Boston Store, a 1896), governing the operation of the in­ pushed by Commerce, the Treasury came up familiar landmark for many years on the stitution, the board of directors began sub­ with the DISC proposal to show it was trying northwest corner of Wall and Main streets, in mitting an annual report to the City as well to "do something" about expo

levied against the properties of the district. In 1913, the year Norwalk and South of ministering to the cultural needs of the In February of 1898 the mayor was advised Norwalk were consolidated into one city, community, with the total circulation of by the at torney for the city that the library several paragraphs in the new charter as books reaching a high 87,786 in 1946, an in­ was defin itely a city-operated institution and specifically related to the First Taxing Dis­ crease of almost 9,000 over the preceding year. that all bills for the library should be pre­ trict stated that "It (the First Taxing CHANGES OCCUR sented, and paid, in the same manners as District) should succeed to and possess all for other city departments. Also, as adopted the rights and privileges heretofore possessed Departing from the standardized procedure in October of 1896 by the Common Council by said City of Norwalk in respect to the of appointing head-librarians from among in its ordinances relative to the rules gov­ Public Library of said City and shall con­ the members of the staff, the trustees selected ernin g the operation of the library facility, tinue to support and maintain the same." an experienced person from an out-of-town the Chief of Police was responsible for col­ Another paragraph of the 1913 charter library, with Mrs. Jane Mitchell being chosen lecting fin es for late returns of volumes. Also duly authorizes the Commissioners "to to succeed Miss Currie who resigned in 1951. in regards to the city's participation in the appoint directors of the Public Library of Mrs. Mitchell had a BA and a BS in Library operation of the library, the ordinance also said district as vacancies shall occur." The Science and had been librarian at the Sev­ stipulated that the Chief of Police of the old charter further states, in defining the re­ enth Day Adventist Theological Seminary be­ city officially assist the library in the return sponsibility of funds for support and main­ fore she came to Norwalk. By 1953, when and recovery of lost or stolen books. tenance, of "making the annual appropria­ Mrs. Mitchell was required to leave Norwalk due to her husband's illness, the library had ANDREW CARNEGIE GIFT tion for the maintenance of the Public Library" at the yearly meeting of the a total of 38,500 volumes and an annual cir­ In 1902, a few years after the library had District. culation of close to 95,000. After Mrs. Mitchell been taken over by the old city of Norwalk By 1912 the institution could boast of left Mrs. Risi served as acting librarian until and opened as the city of Norwalk Public some 12,000 volumes and over 6,500 card her death in 1954. Alfred E. Poneleit served as Library, a concerted drive was launched to librarian to September of 1955 when he left establish larger and more modern quarters holders and the staff of two was increased to three when Miss Pinneo and Miss Margaret to accept a position at another library. to house the rapidly-growing library facility. Since 1955, when John J. Hallahan was ap­ Again, prominent local citizens who had cre­ Wilson (the assistant librarian) were joined pointed to direct the library, up to the pres­ ated and sustained the Norwalk Public Li­ by Mrs. Anna Risi. The library prospered and ent year, the library's growth has been truly brary, eager to aid in accommodating the continued to grow in popularity. phenomenal, particularly in the increase in reading public of Norwalk, came forth to as­ Library records of 1930 show that the local circulation. Norwalk residents do read books! sist in outlining a plan. And their efforts facility was constantly maintaining its popu­ Vividly evident, statistically, is the steadily­ again proved fruitful. The drive skillfully larity and useful service to its ever-widening circle of readers under the capable direction increasing card memberships--men, women carried out under the direction of Dr. James and children, of all ages. In 1962 the total cir­ G. Gregory, the first president of the li­ of Miss Wilson, successor to Miss Pinneo. culation was over 192,000 with more than brary's board of directors; Congressman E. J. Offering residents of the community a well­ 50,000 volumes in the library's collection. And Hill; Miss Dotha Stone Pinneo, head li­ organized library service, under the guidance last year, in accord with the yearly trend of brarian, who had been appointed by the of a staff thoroughly trained and experienced steadily-increasing growth, the total circula­ board in July of 1896; members of the li­ in library science, the Belden avenue institu­ tion was close to 200,000 with some 57,000 brary's board of directors as well as other tion had a collection of well over 30,000 vol­ books available for circulation. prominent citizens who were dominant fig­ umes on its shelves. Miss Wilson, who made During the past fiscal year (which runs ures in the effort to gain for the library a the Children's Book Week, an annual pro­ from July 1 to June 30), there were close to new and permanent home of its own, a gram initiated by Miss Pinneo in 1918, one 4,500 families holding cards at the library. tremendous success. Andrew Carnegie, the of the most successful of the library's nu­ Donald Yazgoor, who came to the Norwalk industrialist and philanthropist gave $20,000 merous undertakings, also found time out­ Library in 1960, and who succeeded Mr. Halla­ for the construction of the building and side of her regular work-schedule to give han as head librarian in 1966, pointed out Hubert Bishop, a prominent resident of the explanatory talks before schools, civic groups that with the steadily-growing increase in city, donated the grounds on which it stands. and clubs as well as to groups of boys and the number of members who borrow books In 1903, the main floor of the present struc­ girls at the library. The records of 1930 also throughout the year from the local library, ture was erected on the corner of Belden and show that working with Miss Wilson were the number of volumes presently on hand Matt avenues. The lower floor facility was nine directors, each appointed for a term of should be greatly increased in quantity-at a completed in 1912 through the efforts of Miss three years. Dr. James G. Gregory was presi­ minimum of 150,000 to 200,000 volumes. Mr. Pinneo, the Civic League and Mrs. Marie P. dent of the board and Thomas C. Balcom Yazgoor also explained that the library is James, who bequested the library the sum of was secretary and treasurer. The First Taxing presently having a statement of building $1,000. Again a number of interested citizens District supported the institution with an program undertaken by a consulting firm joined in the movement to see the Norwalk appropriation of $9,000, and the circulation from Chicago to determine precisely what Public Library prosper, and through their of books in a yearly total was said to be nine type and degree of refurbishing and expan­ efforts and generosity more than $5,000 was to every man, woman and child patronizing sion the local institution should undergo to raised in contributions to be used for furni­ the facilities. improve its efficiency and services to its ever­ ture and fixtures. Library records state that HEADS STATE ASSOCIATION increasing numbers of members. under Miss Pinneo's direction, the library, Miss Wilson was also recognized in library In April of 1970, the Common Council ap­ regarded as a highly essential institution for circles outside of Norwalk by being elected proved in principle the city take-over of the residents of the area, steadily prospered. vice-president of the Connecticut Library First District Library (effective July 1 of that The terms of the Car~gie Grant had been Association for 1929-30 and in 1931 she be­ year) for use as a central library to serve the that the foundation would give $20,000 to came president. Miss Marion L'Hommedieu entire city, something the city has wished to construct a suitable building for Norwalk if succeeded Miss Wilson as head librarian and establish for several years. the community would (besides providing a on her retirement in 1946, Miss Ruth Currie, Under the terms of the agreement worked suitable site) agree to contribute the sum of who had joined the staff in 1925, succeeded out between the city and the district commis­ $2,000 a year for the maintenance of the her. sioners, as stated in a news item in The Nor­ library. A stipulation to which officials of the With many more people using the facll1ties walk Hour of April 15, 1970, "the city will Norwalk City Council readily agreed. Under offered in the building for study, reference take over the facility to use as a library with the direction of John A. Osborn, head of the and research, there was a substantial in­ the stipulation that the property shall re­ building-committee appointed by the City crease in book withdrawals shown for each vert to the district 1f the city should fail to Council (also consisting of Mayor Charles L. successive year; particularly the years 1933- maintain a library at the location." Glover, John P. Treadwell, Mr. Bishop and 1935, at the peak of the depression, the two The city news item further went on tore­ Dr. Gregory), the committee accepted plans years marking the highest annual increase late that "The city will also take over there­ drawn-up by the architectural firm of on record for the institution up to that sponsibility for the salaries of the library W. & G. Audsley of New York city and adver­ time. staff, who will henceforth be considered and tised for bids from local contractors. Scaling There was a significant drop in book­ treated as city employes except in regard to the exterior and interior in size to fit within circulation and library activities during the already established pension equities." The the range of the $20,000 Carnegie appropria­ years of World War II, but the building was only other restriction listed was that at least tion, Norwalk contractor Albert R. Malkin doing its bit for the war effort, with the six of the nine members of the library board had the building finished in April of 1903. lower level being used first by the Red Cross shall be First District residents. Thus the Generous donations from some 15 local citi­ Volunteers and then by the Civilian Defense Norwalk Public Library became a central zens was sufficient to adequately furnish and Agency. But beginning in late 1945 there was unit for the entire city. decorate the upstairs rooms. a tremendous increase in circulation. Many Members of the library's board of directors Conceding to Mr. Bishop's wish not to use of the returning servicemen were attending are Louis Padula, chairman; Louis E. Bredice. school on the GI Bill, and this created a vice chairman; Howard F. Hall, Richard E. his name on any plaque or memorial as significant demand for all types of literary Hallooran, Charles S. Marshal, Mrs. Frank E. donor of the land, the plaque beside the en­ and technical volumes and material. Raymond, Mrs. Bettye Nash, and Mrs. Mar­ trance mentions only "a citizen of Norwalk" In the library's 50th annual report, released tin E. Karp, secretary. Mrs. Aase van Dyke is as the one who gave the land. The name in March of 1947 by Miss Currie, it indicated children's librarian and Mrs. Barbara Hud­ engraved in the stone above the door is "City that the landmark on Belden avenue had gens is in charge of the cataloguing and ref­ of Norwalk Library." one of its most active years in the long period erence departments of the library. 32682 EXTENSIONS OF REMARKS September 21, 1971 THE "JOB DEVELOPMENT CREDIT" This reduces the short-term impact of a tax A generally cautious attitude was found in MEANS HIGHER PROFITS, NOT credit. the chemical industry. A spokesman for E. I. MORE JOBS, TIMES REPORTS Economists generally agreed that the im­ duPont de Nemours & Co., Inc., said it would mediate impact would be slight. Albert H. be difficult to pinpoint any short-term ef­ Cox Jr., chief economist of Lionel D. Edie fect of the tax credit on du Pont's capital HON. HENRYS. REUSS & Co., the economic forecasting arm of Mer­ investment program. rill Lynch, Pierce, Fenner & Smith Inc., said OF WISCONSIN capital spending will probably rise by about NEEDS ARE CONSIDERED IN THE HOUSE OF REPRESENTATIVES 8 per cent next year if the credit is allowed. The company makes decisions based on the needs of the business, he said, rather than Tuesday, September 21, 1971 He explained, however, that the increase would probably be 6 per cent even if the on tax advantages. He noted, however, that Mr. REUSS. Mr. Speaker, an excellent tax credit were not passed by Congress and over the long term, the credit will provide article in the September 20 New York if new, liberalized depreciation guidelines more funds for i11vestment and could have a were ellminated. stimulating impact on future construction Times demonstrates what those of us op­ spending. posed to the investment tax credit have Mr. Cox noted that "a goodly part of capi­ tal spending for 1972 is already firmly in Gordon Grand, president and chief execu­ been saying right along-it is not a de­ place,'' and said "remaining decision over tive officer of the Olin Corporation, a chemi­ Vice to create jobs, as the administration the next six months at least, will depend to cal and metal producer, said that the in­ contends, but rather a scheme to pad a very large extent on the tempo of incom­ vestment tax credit would have little or no corporate profits. After surveying busi­ ing orders and production." short-term effect, since the company's capi­ nessmen and economists throughout the Martin R. Gainsbrugh, chief economist of tal spending is scheduled on a long-range country, the Times reporter concluded the Conference Board, an organization of basis. that the proposed "Job Development businessmen, agreed that the tax credit "However," the executive said, "to the ex­ historioally has had a stimulating effect, but tent that the credit would make additional Credit": with a six-month to nine-month time lag. cash available for capital projects, it would Appears more likely to increase corporate "Its impact won't be very great," he said. tend to speed up spending on those projects profits than to create additional jobs for "It will be a minor rather than a major role, that were being deferred until more funds unemployed workers next year. but is nevertheless a significant one." were available. The question often is not whether to go ahead with a certain project I include the article in the RECORD at Mr. Gainsbrugh was critical of the provi­ sion of the tax credit that restricts it to but when, and the tax credit might reduce this point: purchases of equipment made in the United the waiting time." TAX CREDIT SEEN AS A SPUR TO PROFITS, NOT States. The impact of the tax credit in the chem­ JOBS; MINOR IMPACT ON SPENDING EXPECTED "Exclusions of that type can only lead to ical industry may be diminished, one ob­ (By Michael C. Jensen) restraint of tra.de,'' he asserted. Furthermore. server said, by the amount of excess plant he said, for maximum effectiveness, a tax capacity. currently about 25 per cent. Surges President Nixon's proposed tax credit of in capital spending normally occur only when 10 percent on business investments in new credit should be spread out over a protracted period. The President's proposed 10 per cent production reaches about 90 per cent of ca­ machinery and equipment appears more pacity, he asserted. likely to increase corporate profits than to credit is for one year, with a 5 per cent create additional jobs for unemployed work­ credit thereafter. SOME CRITICISM VOICED ers next year. Pierre A. Rinfret, president of Rinfret-Bos­ In other heavy industries, similar com­ And although the tax credit has been ton Associ•ates Inc., a consulting company, ments were voiced, as well as specific crit­ almost universally welcomed by business predicted that the credit may be made retro­ icisms of the proposed credit. The controller leaders, it probably will not have a major active to April 1 rather than Aug. 15 as pro­ of a major glass producer, who asked not to effect on capital spending plans for 1972, posed by Mr. Nixon. He also was optimistic be identified, said he would like to see the particularly during the first half of the year, about its impact on' spending. Government be more consistent on the per­ according to a New York Times survey. "My hunch is that it will make a difference centage of the credit. Most companies said they will replace ma­ next year," Mr. Rinfret said, noting that it Changes in either direction, he said, made chinery and equipment at about the same usually takes three months after passage of corporate investment planning very difficult. rate they had planned before last month's such a tax credit for investment decisions President Nixon recently indicated he would announcement of the proposed tax credit. to be made, and six months for the impact to accept a 7 per cent tax credit if he could not be visi'ble. get a 10 per cent credit through Congress. The program that was billed by President The tax credit, Mr. Rinfret pointed out, Nixon as one that will create more jobs for applies to machinery and equipment at the In the airline industry, the official posi­ Americans may do precisely that in the long point it is placed in service, not when it is tion was spelled out by Stuart G. Tipton, run. ordered or paid for. president of the Air Transport Association. IMPACT IS ASSESSED He said restoration of the investment cred­ But for the next six months to a year at NO SPEED-UP PLANNED it "would be one of the most important steps. least, its impact will be more strongly felt This means, he said, that the formula that could be taken to ease the financial on corporate profit-and-loss statements, in­ specifying a topheavy 10 per cent credit for distress within the airline industry." dustrialists and economists asserted. one year is virtually meaningless, because However, Donald Lloyd-Jones, executive Few new jobs will be created quickly most heavy machinery cannot be ordered and vice president for finance of American Air­ through plant expansion or in the indus­ put into service within a year. lines, said he doubted whether a restoration tries supplying new machinery, the survey It seems likely, he observed, that a fiat 7 of tax credit would have much effect ini­ indicated. Most businesses, however, will per cent continuing credit will be adopted. tially, because the airlines have most of their reap extra profits if the tax credit is passed, "The tax credit's initial impact wm clearly equipment purchases in place for the next because it applies to equipment already or­ be an improvement in the bottom line (of few years. dered and to machinery that would have the profit statement)," he said, "but we RISE IN ORDERS UNLIKELY been ordered even if the tax credit had not should begin to see new orders moving for­ ward by the second quarter of 1972." "Because of a certain amount of over­ been announced. capacity,'' he said, "it is doubtful that or­ It was generally agreed by those surveyed Many businessmen asserted, however, that they had no intention of substantially speed­ ders wlll be increased by the domestic car­ that the consumer holds the key to pros­ ing up their purchases of machinery and riers for some time." perity because of his accumulated savings. equipment next year. Mr. Lloyd-Jones explained that the airlines Also the general level of economic activity A spokesman for American Metal Climax, have been unable to take full advantage of will be a more important factor in deter­ Inc., a mining and manufacturing company, accumulated investment credits in recent mining capttal spending than the invest­ said the concern's capital spending next yea.r years because their earnings "have been so ment tax credit. probably will match this year's $170-milllon low." His own company, he said, has $39- No businessmen were willing to go on rate. million in unused credits. record as opposing the credit, since it gives "The tax credit isn't going to make an One exception to the generally reserved them a significant tax advantage for their awful lot of difference to us,'' he said. "On a outlook for increased capital spending was machinery and equipment spending, wheth­ one-year basis it's really meaningless in mak­ the railroad industry. Frank E. Barnett. er or not such spending was planned before ing decisions. We're in favor of it, though, chairman of the Union Pa~ific Railroad, pre· the announcement. because it will help business generally and dieted a "great influx" of orders for new rail­ Most industries, however, said they would stimulate demand for the things we produce." road equipment if the investment credit is not substantially increase their level of An executive for one of the country's large restored. capital spending. An exception was the rail­ steel producers said it was doubtful whether He recalled that in 1966, when a 7 per road industry, which predicted a heavy tn­ any capital spending programs in his com­ cent credit was in force, the railroads or­ fiux of freight car orders if the tax credit pany would be acceler·ated by the tax credit. dered 112,898 new freight cars, whereas last is passed. He pointed out that the industry has just year their new orders fell to 58,201. Many businesses, it was pointed out, have finished a major round of capital improve­ Mr. Barnett emphasized that the invest­ long lead times for their major capital proj­ ment and is currently operating at only ment credit was critically important to the ects, sometimes as long as five or six years. a;bout 50 per cent of capacity. railroad car and equipment builders. "I hope

1 ~- - September 21, 1971 EXTENSIONS OF REMARKS 32683

to God they don't mess with it too long," Some industries that are not capital in­ MARYLANDER DIES IN INDOCHINA he said. tensive, like the pharmaceutical industry, The Defense Department yesterday re­ INQUmY ON ORDERS said they did not oppose the tax credit, but leased the name of a Maryland Army Officer Mr. Barnett's prediction was borne out by did not find it particularly helpful either. who was killed in action in Indochina. Samuel B. Casey Jr. president of Pullman, A spokesman for the Warner-Lambert Com­ He was Capt. Larry J. Kluever, son of Col. Inc., the world's largest freight car builder. pany said: "We believe the investment tax and Mrs. Emile E. Kluever, of the 4600 block He said that within 72 hours of the Presi­ credit wlll be helpful to business 1n general West Ridge place, Camp Springs. dent's speech, his company had received and to Warner-Lambert. But since we are inquiries regarding possible purehases of not a capital intensive industry, we won't be about 10.000 cars representing an investment making 'go-or-no-go• decisions on plant ex­ pansion based on the proposed regulations. of $150-mlllion to $200-million. MINNEAPOLIS HEALTH HEARINGS "This is the same kind of exercise these "Our capital investment program in 1971 railroads went through 1n 1961 and again in wlll again be in the area of $60-Inillion, and 1966 so they could be assured of delivery of therefore the proposed regulation should HON. DONALD M. FRASER cars in the event the credit was granted," he have a favorable effect." said. A Pfizer, Inc. spokesman added that there OF MINNESOTA A spokesman for the Norfolk & Western had been no decisions on capital spending IN THE HOUSE OF REPRESENTATIVES that were induced by the President's pro­ Railway, said the investment tax credit de­ Tuesday, September 21, 1971 liberations would be a "significant factor" in posals. his railroad's consideration of its 1972 capi­ The textile industry, like others, welcomed Mr. FRASER. Mr. Speaker, Mr. Marvin tal budget. In 1971 the N. & W. is spending the investment tax credit a.s a significant C. Lundin, the administrative director of $103.2-mlllion on upgrading and improving earnings development. the Minnesota Optometric Association, its plant and equipment. James D. Finley, chairman of J. P. Stevens & Co., Inc., said: expressed his concern for the visual Representatives of leading paper companies health of all Americans at the hearings said the investment tax credit was not likely "The investment credit proposed by Pres­ to have much impact on their capital spend­ ident Nixon could be very significant to the I recently held in Minneapolis. In his ing plans. The key reason, they said, was United States textile industry. The industry statement, he focused on the young and the current level of sluggish demand in the is losing jobs because of imports, and I be­ the old and their need for adequate industry, a situation that has created con­ lieve the investment credit will do some good health care. His very articulate state­ siderable amounts of spare productive capac­ toward rectifying this situation." ment follows: ity. PLANS HELD UNCHANGED PROFESSIONAL HEALTH CARE DELIVERY AS A Paul A. Gorman, president and chairman James Robison, chairman of Indian Head, LoCAL AND NATIONAL PROBLEM of the International Paper Company, the Inc., said: "The tax credit is very welcome largest in the industry, offered this comment: Congressman Frazer: I recall the pleasant but it does not change any of our plans. We experience I had about two years ago in POLICIES SUPPORTED lay out our capital expenditures program on meeting with you, and other members of "While the International Paper Company a three-year model plan-and any single the Minnesota Cong.. :essional delegation, in solidly supports the Administration's eco­ type of credit is not enough to make a margin Washington on basically this same subject. nomic policies, the capacity situation 1n the investment viable. We have been investing Your interest and concern for public health paper industry is such that investment tax $17 or $18-mlllion a. year steadily over the were most apparent at that time. We wish to credit proposals are not likely to have an last few years-and it doesn't change much compllment you for your continued leader­ immediate influence on our capital spending when business gets bad. Of course, we do take ship in this most complex problem of society. plans." advantage of special situations a.s they arise, The members of the Minnesota Optometric Peter J. McLaughlin, a vice president of but that has nothing to do with a. tax credit. Association would like to express their con­ the Union Camp Corporation, Wayne, N.J., Ely Callaway Jr., president of Burlington cern for the visual welfare of the people of said it was difficult to gauge the impact of Industries said his company's investment your district as well as all citizens in the the investment tax credit until its exact plans are based on the needs of the market State of Minnesota. Optometry as a profes­ terms were known. and are not particularly influenced by tax sion is concerned with the visual well being "A 7 per cent or 10 per cent credit by itself," credits. In the case of Burlington, he said,. of our citizens. Our concern begins when the he said, "should not be enough to sway a it has been subject to a disadvantage by the child enters school and is faced with the decision on equipment that's going to be fact that large investments for knitting ma­ processes of learning which is predominently used for 20 years." chinery made in Europe constitute a large visually oriented. To aid this child in his A more important factor, Mr. McLaughlin part of the company's capital improvement, learning years, optometry sees the necessity explained, is the rate of return on invest­ and there is no tax credit on foreign ma­ for a more comprehensive health care pro­ ment. "Right now, returns in the paper chinery. gram with vision care being a primary need. business are so low that we are not planning Capital spending in the auto Industry is There is ample evidence and ample rhetoric any major expansion of capacity," he said. expected to rise in 1972 spurred by both identifying the need for youth and children "A more logical avenue" for paper com­ the incentives of the President's new eco­ to succeed In our academic environment. If panies, Mr. McLaughlin said, would be ex­ nomic policy and the sweeteners offered to the llteracy battle is to be won, there must penditures for relatively minor types of car buyers by the elimination of the excise be greater understanding of the learning tax on purchases, observers said. equipment that can help to reduce costs and processes of every child. Literacy is dependent improve the efficiency of existing larger The elimination of the excise tax should on the ablllty to read. Reading is dependent equipment. increase the number of cars sold, putting on vision and perception, which leads to per­ pressure on existing plants and equipment formance. The development of these skllls ACCELERATION OF PROJECTS while the capital spending portion of the pro­ are called learning. As our young adults enter J. W. McSwiney, president of the Mead gram will encourage equipment purchases their productive years, we are concerned with Corporation, Dayton, Ohio, said the com­ in 1972 rather than 1973. the visual welfare of our work force. Labor's pany's capital spending plans would not be The lower labor costs of foreign cars man­ visual skills have become more demanding "much different" because of the investment ufacturers wm make plant automation more with the greater complexity of our industrial tax credit but said some project s might be attractive, with a likely Increased commit­ society. accelerated from 1973 into 1972. ment to this form of capital spending. Emphasis should be placed on the aging Mr. McSwiney said the credit would be "a since the prevalence of blindness increases welcome help to cash flow and a good incen­ with age. Almost one half of the legally tive for the future." blind population are past 65 years of age. In the same vein, Mr. McLaughlin of Union CAPT. LARRY J. KLUEVER More than 50% of new cases of blindness Camp said that the investment tax credit occur in persons 65 years or older. We feel would "help profits" and also be a "signifi­ that vision care under a federally sponsored cant" contributor to cash flow. HON. CLARENCE D. LONG program is justified to provide more ade­ He noted that Union Camp's earnings in quate vision care to the elderly. OF MARYLAND The average American has a visual exam­ 1970 and early 1971 were enhanced substan­ IN THE HOUSE OF REPRESENTATIVES tially by the completion of projects that be­ ination every sever9.l years. This is too infre­ gan under the earlier investment tax credit Tuesday, September 21, 1971 quent. Project "Find", a report prepared by program. the Office of Economic Opportunity Usts poor Mr. LONG of Maryland. Mr. Speaker, vision as the leading aliment amongst the Some businessmen were wary of the tax elderly. credit. For example, L. Allan Schafier, presi­ a fine young man from Maryland, Capt. Larry J. Kluever, was recently killed in We feel more adequate programs of vision dent of Elgin National Industries, Inc., which care should be emphasized by public and imports and assembles watches and other action in Indochina. I would like to com­ private agencies to meet the needs of chil­ consumer products, said the uncertainties mend his courage and to honor his mem- dren and youth. Greater concern should also about the timing of the credit have created ory by including the following article be shown for the prevention of blindness confusion. in the RECORD: in the elderly. Our profession looks forward 32684 EXTENSIONS OF REMARKS September 21, 1971 to working with all interested groups, po­ SPECIAL GREETINGS TO WFUSA "world federalists". In 25 years the seed has litical leaders and agencies of government Miss NANCY WESSELMAN, been planted and has begun to grow. In the to bring about better utilization of our skills Chairman, World Federalists Youth, USA: next 25 years I am convinced it will begin so that people of all economic groups will On behalf of the WFY-International Ex­ to bear fruit. benefit from our services. ecutive Committee and the 35 member coun­ What we harvest will depend upon how God's most precious gift next to life itself try organizations around the world, I wish to we care for what we are growing. For the is good vision. Thank you for this opportu­ extend my greetings to the Assembly and care and for the harvest, I look to the sup­ nity and your personal attention. Cabinet Meeting of WFY-USA. port and guidance of World Federalists, USA. The past year is another page in the history My most sincere congratulations! With of the advancement of the Federalist Youth best regards, movement: the emergence of new national Sincerely, SPECIAL GREETINGS TO WORLD organizations in Hong Kong, Singapore, Gam­ HUBERT H. HUMPHREY, FEDERALIST, U.S.A. bia, India, West Cameroon, and East Paki­ U.S. Senator. stan; the est ablishment of a WFY Sub-Office in Nice, France; the opening of regional of­ fices in Bogota, Colombia and Lagos, Nigeria; Hon. JOSEPH S. CLARK, HON. ROBERT F. DRINAN President, World Federalists, USA. OF MASSACHUSETTS the development of concrete relationships and contacts in Moscow and Geneva; political DEAR SENATOR CLARK: As one WhO is WOrk­ IN THE HOUSE OF REPRESENTATIVES action to protect the human environment, ing in the field of arms control, I would Tuesday, September 21, 1971 fight for human rights in Greece, and abol­ like to express my appreciation for the un­ ish Apartheid all contribute to the develop­ failing support which you and the members Mr. DRINAN. Mr. Speaker, I had the ment of WFY-International. of your organization have given to Arms honor of giving the address on the oc­ On a bilateral plain, WFY-International Control and Disarmament efforts. The road casion of the 25th General Assembly of appreciates greatly the consistent outflow of to world stability and peace is a difficult one World Federalists, U.S.A. in Boston on information about your activities received at best, but how much more difficult it September 11, 1971. here at IHQ from the WFYUSA office in San would be if there were not men, such as Anselmo. In particular we are impressed witl: those in World Federalists, with ideals and Many national and internationally the courage to express them. Particularly recognized persons sent their greetings the WFYUSA newspaper, "To Free Mankind", and its superb quality and value for the in­ on the occasion of your 25th General Assem­ and congratulations to this very impor­ struction and stimulation of political action. bly, I am sure that thoughtful men every­ tant organization on the occasion of its I congratulate WFY-USA's leaders and Ex­ where must applaud the example you have silver anniversary. ecutive Director for this indispensable pub­ given. I am pleased to attach herewith some lication which sets an example for all our With all best wishes, of these messages addressed to the dis­ member organizations. Sincerely, tinguished Senator JosephS. Clark who We also wish to congratulate you on such GIRARD SMITH, activities as the telephone war-tax suit, draft Director, Arms Control and Disarmament for the past 2 years has exercised his Agency. characteristic resourcefulness, his great repeal and your relation with the People's Coalition all of which confirms WFYUSA's WASHINGTON, D.C. ability and his profound idealism in his political significance in accord with the WFY­ role as the President of the World Fed­ International principles and approach. We Hon. JosEPH S. CLARK, eralists, U.S.A.: are especially impressed by WFYUSA's President, World Federalists, USA SPECIAL GREETINGS EXTENDED TO achievements in Mundialization activities DEAR JoE: It is with great plea.sure that I WORLD FEDERALISTS, USA this past year, and encourage further efforts note the 25-th Anniversary of the World Fed­ Mr. JOSEPH s. CLARK, in this area. eralists, USA, and the World Federalists President, World Federalists, USA: Wishing you continued successes for your Youth, USA. I regret very much that my Best wishes for a successful conference. work in the USA, obligations in the Senate will prevent my Your deliberaitions will help us and other Sincerely, being with you on this occasion. World Federalists to go forward towards one _ !CHI MORITA, The efforts of World Federalists, USA, over world. Executive Director, the last 25 years to establish a community of HARRY WEITHS, World Federalists Youth. mankind has been one of the few hopeful President, World Federalists of Canada. COPENHAGEN, DENMARK. developments toward international stability and the creation of a livable universe in [Telegram] Mr. JOSEPHs. CLARK, the post-World War II period. To the World Federalists of the United President, World Federalists, USA. I commend you, and wish you future suc­ states ga-thered for their 25th Anniversary DEAR JoE:· I am delighted to have this op­ cess. I send my best wishes and warmest regards. portunity to extend to you and all of the Sincerely yours, May your efforts bear fruit and may your other delegates to the 25th General Assembly J. W. (BILL) FuLBRIGHT, ideals be echoed far outside your own ranks of world Federalists, USA, my warmest best U.S. Senator. and guide the steps of the decision makers wishes for a fruitful and effective gathering of your country, thus rendering a service of September 9-12 in Boston. May you enjoy JosEPHS. CLARK, paramount importance to your nation and continuing success in the vigorous pursuit of President, World Federalists, USA to aur common world community. Good luck. your dbjectives. THOR HEYERDAHL. DEAR JoE: It is a great pleasure for me to Sincerely, salute the World Federalists, USA, on the NELsoN A. RocKEFELLER, occasion of their 25th General Assembly. Hon. JOSEPH S. CLARK, Governor, State of New York. President, World Federalists, USA: Founded in the dying flames of a desperate DEAR JoE: It is a pleasure to send greetings world struggle dedicated to the belief that to the 25th General Assembly of the World Hon. JosEPH S. CLARK, men and nations can indeed resolve their Federalists, USA, as it meets in Boston. Presi dent, World Federalists, USA. differences without resort to war, the world In this era of negotiation, there is always DEAR JoE: My praise for World Federalists federal!sts have provided insight and inspira­ a demand for new thoughts and new con­ is infinite and you have done a fine job in tion to a generation of our people. ceptions of whaij we can do for our country. carrying on its excellent tradition. I salute the courage and the vision which We appreciate the dedicated work of World World Federalists has been an extremely is yours, and pray for the fulfillment of our Federalists, USA, as a citizen-based contribu­ throughout our country on such vital issues common goals. tion toward the achievement of a strong and significant force in mobilizing support Sincerely, permanent world peace and welcome your as arms control and the strengthening of EDWARD W. BROOKE, continued support in this effort. the United Nations. The work of this great U.S. Senator. With best personal regards. organization, which means the work of all Sincerely, its chapters throughout the country has been 25th GENERAL ASSEMBLY, WILLIAM P. ROGERS, instrumental in fostering a faith in the World Federalists, USA. The Secretary of State. necessity for world peace through world law DEAR ~IENDs: It is a sincere pleasure to and through a strong international orga­ extend warm and sincere greetings to all at­ Hon. JosEPHS. CLARK, nization. tending the 25th General Assembly of World President, World Federalists, USA: The job is not done. The world is still Federalists, USA. Through my past associa­ My thoughts are with you a.nd all the plagued by war and is still threatened by tion as a U.S. Delegate to the United Na­ World Federalists as you continue your good nuclear holocaust. Many of our leaders are tions 25th General Assembly, I share your work for peace and international under­ still skeptical about throwing their weight deep commitment to a strong and vital standing. Warm regards. behind world government. United Nations. CHARLES H. PERCY, But I :firmly believe that time marches The United Nations is imperative to the U.S. Senator. against the skeptics and in favor of the establishment and maintenance of peace and September 21, 1971 EXTENSIONS OF REMARKS 32685 freedom throughout the world, and your or­ CAN ARMY SURVIVE THE QUES­ oric and racial conflict. Time to read and ganiZation may take pride in its accomplish­ TION: "WHY?" ponder accounts of American military ments in support of a good and just life for atrocities and scandals. Time to wonder all men. about the honor of officers who lie--who With best wishes. say the Army has no drug problem, when Sincerely, HON. TIM LEE CARTER there's a narcotics ring operating in one's JACOB K. JAVITS, OF KENTUCKY own barracks. U.S. Senator. IN THE HOUSE OF REPRESENTATIVES Besides the effects of the war on individual soldiers, there's the cost it has wrought on Tuesday, September 21, 1971 the Army as a whole. Pentagon officials say WoRLD FEDERALISTS YoUTH, USA: that at least nine of the 11 American divi­ Congratulations on the occasion of your Mr. CARTER. Mr. Speaker, an edito­ rial in the Louisville Courier-Journal sions on duty outside Southeast Asia are 25th Anniversary. In a world divided by incapable of waging immediate, full-scale suspicions and conflict your efforts to bring goes to the heart of the causes of disaf­ war because of the manpower and training about a harmonious community of mankind fection within our own Army. It is rec­ shortcomings created by our involvement in is to be commended. ognized by the vast majority of our coun­ Vietnam. This is the legacy of the Johnson I share your concern, commend your en­ try and the vast majority of its repre­ administration's decision five years ago to deavors, and support your objectives. sentativ,es here in the House that the wage war abroad without waging it at The work you are doing is of the highest gravest mistake in the history of the home--to allow politics and economics to order. Your have my best wishes for a most United States was made when we first prevent the call-up of reserves, the levying productive and successful meeting. intervened in South Vietnam. of a huge draft, the mobilization of the na­ SENATOR MIKE GRAVEL. tion's economic resources in support of a Let us take heed that when our troops war. are committed they are committed for Rev. NORMAN E. LEACH, Then there's the plight of the veterans Executive Director, World Federalists Youth, the defense of the people of the United when they come home--many of them not USA: States. The article follows: only maimed but also wondering what pur­ Deeply regret that expected votes in the CAN ARMY SURVIVE THE QUESTION "WHY?" pose their lifetime handicaps have accom­ Senate this week will prevent my attending plished. Many of them decorated for valor Soldiers who wish to be a hero abroad, yet ignored or rejected at home, their what I know will be a mos·t inspiring as­ Are pract.l.caJ.ly zero; lament was summarized succinctly by a. sembly of the World Federalist Youth. But those who wish to be civilians, Warmest best wishes to you and your col­ much-decorated former staff sergeant for Jesus, they run into millions. Courier-Journal leagues as you sit down together in the Anonymous reporter Bill Peterson: "Sometimes I feel like crying. You risk your spirit of cooperation and international The two ultimate functions of a soldier­ brotherhood. Cordially, life and then you come home and can't find to kill and be killed-have never been par­ work." EDWARD W. BROOKE, ticularly popular among the majority of Meanwhile, our President, refiecting the U.S. Senator. civilized men. And to persuade men to en­ rising anti-war sentiment in the country, gage in them, it often has been necessary promises an all-volunteer Army by 1973. to clothe those functions in trappings mag­ MESSAGE TO THE 25TH GENERAL ASSEMBLY OF A TIME FOR QUESTIONING WORLD FEDERALISTS, USA nificent enough to make killing and dying appear to be worthwhile. Glory. Honor. Coun­ How? Who will join once the risk of the It is natural, I suppose, for you to feel try. Flag. The sacrifice of the few for the draft has expired? Those questions worry depressed at the sad state that the world many, we've been told, is beautiful and good. the Army itself, and they should worry the is in, in spite of your efforts during the last nation's citizens as well. The Army's leaders year and before. Violence, civil and inter­ There are values more precious than life itself. are trying desperately to regain the respect national, continues in many parts of the of the citizenry. Their sincerity is attested by world, accompanied by unspeakable horrors But in a nation based on the idea that human life is intrinsically precious, a society their uncharacteristically candid appraisals in some places. Racial, religious and ethnic of an Army in the current Courier-Journal prejudices remain a feature of our lives. in which each individual is said to have the right to help guide his own destiny, the bene­ series, written by a team of Washington Post We seem to be as far removed as ever from reporters, about the Army's problems. the kind of world that you have been labour­ fits accruing from killing and dying must be particularly read and important if arms are They've hung out the Army's dirty linen for ing to bring about in the last twenty-five all the country to see. And the guidelines years. to be shouldered willingly. If Americans be­ lieve they're being called upon to kill and handed down by General Westmoreland for But are we really? I wonder, for there are die for goals that are less than vital, all the reform and humanization of the nation's one or two sizeable mercies for which we beautiful reasons for sacrifice become mock­ largest fighting force may-if they're really should be thankful and from which, I sub­ ery. Free men won't be sacrificed willingly followed-finally save the Army. mit with respect, you might take comfort for cheap goals. But they can't succeed without accom­ as you enter upon the next span of your use­ panying reform in the thinking of those who ful existence. The famous "China question" FIGHTERS WITHOUT A CAUSE guide the destinies of our Army and the seems headed for a realistic resolution. So That's why the war in Southeast Asia young men and women who serve in it. The does the question of Berlin. Equally im­ threatens to destroy the U.S. Army. The men Commander-in-Chief and the Congress-and portantly, the student protest is becoming who have served in that long, bitter war, the the public-must restore the Army to its less violent in the physical sense and at the generals tell us, are among the finest fighting rightful role as the defender of the home­ same time more meaningful in terrns of men ever to wear their country's uniform. land. It must be used no longer as the help­ constructive goals. They're stronger, brighter and better meet of one faction against another in the So, dear friends, be of good cheer and equipped than any of their predecessors, internal affairs of another sovereign country. soldier on. knowing, as you do, that your we're told. Yet, they've been sent to kill and "These young soldiers, they question you," labour is not in vain. die over the protest of a large number of says a disgruntled non-com in the Post S. 0. ADEBO, their fellow countrymen. The reasons for series. "They say, 'Why?' They ask why you Executive Director, United Nations In­ their killing and dying remain unclear or want to go to Vietnam, and you say, 'Well, stitute for Training and Research. uncompelling to many of them. Huge sacri­ you go because you're a soldier.' And they fices are being required of the few in the say, 'You·:~. nuts. You're out of your field, while no sacrifices at all are being JOSEPH CLARK, gourd.... s. rendered by the many at home. The nature Asking questions is a fine old American President, World Federalists, USA. of the war itself, and now our dwindling role tradition. If the country wants to keep its DEAR MR. CLARK: My own message would in it, have left our confused young soldiers Army, and its security, it must have some be to say that any words coming from a with hours and days of idleness to fill, as better answers ready the next time it wants citizen of the D.K. (Disunited Kingdom) at best they can, in a strange and hostile land. somebody to do some killing and dying. this time should pe more like an appeal The disUlusion and bitterness acquired in along the lines of, Vietnam accompany the soldiers back home, "0 World Federalists gathered in Boston, or to their new bases in Germany, Korea or NOT NATURE ALONE now we have another tea party on our hands, elsewhere, and are transmitted to other this time in Belfast, Ulster. The Picts and young soldiers who have never experienced Celts are at it again; can you send us 9: the war themselves. HON. WILLIAM L. HUNGATE world governess?" The results: thousands of drug addicts. OF MISSOURI Yours sincerely, Robbery, thievery and extortion in the bar­ IN THE HOUSE OF REPRESENTATIVES PATRICK ARMSTRONG, racks-necessary for the support of an Honorable Clerk, Parliamentary Group expensive vice on soldier's pay. The death of Tuesday, September 21, 1971 for World Government, House of Com­ esprit de corps. Time and the inclination to Mr. HUNGATE. Mr. Speaker, a solu­ mons, London, England. engage in racial discrimination, racial rhet- tion to the problems of ecology and the 32686 EXTENSIONS OF REMARKS September 21, 1971 environment is not as simple as it may panies attempting to maintain a-rtificially demands of the poor: demands for decent seem at first blush. In fact, it may be high prices. housing, equal job opportunity, a chance at important to make certain we are moving Pogo's observation that "we have met the an education, honest cops, and a fair share enemy and he is us" is frequently en­ of political power. As the man said, "Who in the proper direction before we try to countered in ecology meetings and litera­ wants to breathe clean air in a racist so­ move too rapidly or spend too much ture. Considering the strong accusation car­ ciety?" No poor person should be fooled. money on what may be ineffective pro­ ried in Pogo's judgment, it is repeated with nor do I know any who are, by the ecology grams. The following article "Not Nature suspicious ease. · movement's professed concern for their Alone'' outlines some of the dilemmas Sometimes one might suspect that "us" welfare. we confront: is nobody, a ghostly diversionary tactic. Most Many ecologists resent such suggestions of the choice places at the barricades are of class bias. And it is possible that they NOT NATURE ALONE taken by the executives of the corporate have reason to take offense, though not the (By Richard Neuhaus) giants. According to the trade paper Adver· reason they think. In a chillingly profound Some of my best friends are card-carrying tising Age, companies rushing to buy prime way, they sometimes seem to be saying that members of the ecology movement. Real time for Earth Day included Procter & Gam­ "the enemy" is a most egalitarian "us;• friendship is enriched by honest disagree­ ble, General Electric, Goodrich, Standard thereby revealing a suspicion of mankind ment; or so I will have reason to hope when Oil of New Jersey, DuPont, International altogether, not just the poor or powerless. they have read this. I am presumptuous Paper, Phillips Petroleum, Chevron Oil, Gen­ enough to think they should read it, because eral Motors, and Atlantic Richfield. There YOGIS AND COMMISSARS those inside the movement are best able to they stood, bold and unfl.inching in the face Wilderness is a bench mark, a "touch­ change its direction. I believe some thorough of nobody. stone,'' writes eco-enthusiast Kenneth changes are in order, for what has emerged The spectacle of polluters leading the anti­ Brower. "In wilderness we can see where we as the ecology movement is in important re­ pollution crusade puts one in mind of Her­ have come from, where we are going, how spects a diversion from-and a distortion of­ bert Marcuse's theory that the masters of a far we've gone. In wilderness is the only the radical demands of justice in a hungry society can control protest by bringing it out unsullied earth sample of the forces gen­ world. in the open and even appearing to identify erally at work in the universe." At its least exceptionable, ecology is a with it, thus neutralizing the protest and What kind of history would be written by housekeeping movement, wiping up the mess, even gaining credit for responsiveness. The "the bench mark" of wilderness? Man's re­ teaching industry better toilet habits. and ex­ process is sometimes called "repressive tol­ ligions, music, philosophy, politics, cities, erting political pressure to restrain the engi­ erance." If there were no antipollution move­ and friendships as well as his wars, acts of neers of technology who give little thought ment, the polluters would have to invent genocide, and abiding brutalities-these to the social or natural consequences of one; which, of course, is precisely what some presumably only obscure "where we have "progress." At this level the ecology move­ people think happened. come from, where we are going, how far ment makes an important contribution, nur­ Consider one TV commercial. First on the we've gone." turing a type of modesty and care not usu­ screen is a little baby, then we see it being There is no denying the allure of the ally characteristic of American actions at taken home from the hospital by its young natural in a world of plastic packages. home or abroad. The movement has also mother and father. In the background is the synthetic clothes, and artificial stimulants. asked us to consider the possibility that the gentle strumming of a guitar, accompanied Everyone who suffers at times from urban biosphere is in imminent danger of collapse­ by the humming of a very "folkish" singer, shell shock can be enticed by the call of the a prospect that, if true, is indeed a serious creating the mood for the "message." The wilderness and the country. There are nights problem. young father, wearing modified granny when, before I sleep, I turn my mind from We must not forget, however, that the glasses but otherwise quite respectable, looks the cacophony of Brooklyn's crises to the ecology "crisis" is in part simply a result of out-over the landscape. There is the skyline tranquillity of the Ottawa Valley: the pure our successful indoctrination in ever-rising o: a. city, blanketed in smog. The young cold water of the Ottawa River flowing by needs and ever lower levels of tolerance. The father frowns, looks concerned, and then his the azure backdrop of the Laurentian Moun­ idyllic past wasn't always so idyllic. In fact, face is transfigured by one of those idealistic tains, where it was possible for the child much of nineteenth-century life would strike looks. The folk singer breaks into song: that is me to believe that he discovered for­ us today as being brutally harsh. As late as "What can one man do, my friend? ;What can ests and groves where never man had set. 1850, the life expectancy of the average one man do?;To fight pollution in the air; foot before. American was less than forty years. As for Closing in from everywhere?" The young father knows what one man can do. He and Escape to the country can be more than pollution, the mid-nineteenth-century home escape, more than temporary relief or the in the major American cities took in more his wife and their little baby get in his big red car and, with the determined yet somehow indulgence of idiosyncrasy. It can supply, as carbon monoxide than it does today. In Man­ it did for Thoreau, "a place to stand"-a chester, England, in 1843, there were thirty­ calm air of the revolutionary who has made three privies for 7,000 people, and even where his irrevocable decision, he pulls up at the frame of reference distinct from the present there were sewers they ended abruptly, dis­ Amoco leadfree pump and says, "Fill 'er up." turmoil. pensing their contents into the middle of a This commercial brought to you by courtesy But the wilderness has never provided an street. Equally abhorrent conditions existed of the ecology movement. adequate set of values for man, as H. Paul in America. Ecologists who would be quick to object Santmlre suggests in Brother Earth: "The Subsistence has been redefined; what was to the cynicism of this commercial are less American passion for wild and cultivated luxury becomes necessity; inconveniences able to detect the cynicism in the easy use nature in the nineteenth century and later once accepted become intolerable. The man of Pogo's judgment. Doesn't "us•' usually was predicated more often than not on a for whom enough food might once have been mean "them"--other people? Like aristocrats fl.ight from oppressive social realities." We a political issue now has two cars, and he of other times, we fear the masses and find turn toward nature as a mistress who yields and his family are irritated by the crowded our own technique for keeping out the poach­ to our every fantasy because she cannot talk conditions in the parks where they go camp­ ers-whether it be America lecturing the back, except with the words our projections. ing, and indignant that the air in Queens world on the population explosion or con­ give her. In this she is so unlike the city, so does not smell as sweet as that of the re­ servationists trying to preserve the wildlands. unlike politics, so unlike people. motest valley of Vermont. The point, ob­ Loren Eiseley, in The Invisible Pyramid, Nowhere is the weakness of this vision viously, is not that we should be satisfied mourns the loss of "the unfrequented wil­ more evident than in its political implica­ with things as they are. The point is that derness" of his youth to the "fungus" of tions. The goal is to put an end to politics. we should not permit ourselves to be seduced spreading suburbia with its "radiating lines Charles Reich writes about "transcendence" into mislocating the "crises" of our times. of transport gouged through the naked earth and "liberation" from the strictures of poli­ We should also beware of mislocating the [leading] to cities clothed in an unmoving tics. But when the "new consciousness" ecological vlilains. Telephone service in New haze of smog." He decries "the incipient 111- moves beyond privatized tripping and con­ York City has now regressed to about the ness as it spreads with all its slimy tendrils ceives of a new order of humanity it be­ level of pre-World War II France. It has be­ through the watershed." What formed this comes emphatically political. It becomes the come fashionable to describe this abomi­ "fungus upon a fruit"? People, of course, worst kind of politics: the politic.:; that re­ nable service as a sign of "technology reach­ fortunate enough to acquire their own homes fuses to see itself as pQlitics. Fa= from be­ ing its limits." Public hearings have estab­ and wanting a way to get from house to work ing radically progressive in its consequences, lished that, far from being overwhelmed by to school to play. It may be bad urban plan­ this kind of politics is almost always con­ technological demands, the New York Tele­ ning, but they are not fungus; and their servative and reactionary. The Church, for phone Company knew five years ago what neighborhoods, such as they are, are not example, has usually considered itself "above would be required to maintain the system slimy tendrils. politics" all the while its supposed neutral- in the 1970s but deliberately skimped on the Shouldn't Eiseley's real sorrow be for the . i ty was reinforcing the sanctity of things necessary expenditure. In the same vein, it poor people who must live in the "cities as they were. was announced in the fall of 1970 that there clothed in an unmoving haze of smog"? This apolitical dream leaves one to wonder would be a dire shortage of oil and natural There is nothing in the context of The just how some eco-enthusiasts really plan gas for heating in the coming winter. The Invisible Pyramid, nor in the larger context to implement coercive measures for which eoo-prophets immediately pounced on this of the ecology movement, to suggest that they see an urgent need. Garrett Hardin, one further evidence of our technological ex­ this is the focus of concern. Were the con­ of the chief prophets of doomsday, writes. haustion of the earth's resources. The prob­ cern for the poor, it might be assumed that that it has become necessary for a central lem, as it turned out, was avaricious oil com- the movement would be informed by the authority to start determining who should.

, ---- - ~ September 21, 1971 EXTENSIONS OF REMARKS 32687 be permitted to have children, how many It is not clear whether Ehrlich wants all 540 had performed .acts of great heroism in -children they can have, where they can live, million Indians dead before the embargo is attempting to save other victims of the and what they are allowed to consume. "A lifted. That would seem most sensible, how­ bomb. The "flames of death guilt" would be Madison Avenue man," writes Hardin, "might ever, since any survivors of several years' infinitely more searing if, as some ecological call [the necessary measures) persuasion; I rampant cannibalism and total absence of enthusiasts recommend, the American people prefer the greater candor of the word coer­ social order would be unlikely candidates for were deliberately to sit back and observe the cion. Coercion is a dirty word to most lib­ the "quality environment" we desire. death by famine of hundreds of mill1ons of .erals now, but it need not forever be so." SURVIVAL AS MORAL PURPOSE fellow human beings, and not to take any Hardin goes on to assure the reader that he action to prevent it but, in fact, to accept­ has nothing to fear from this kind of coer­ I have, of course, met conservationists of if not to welcome-it, as the necessary price cion. "The only kind of coercion I recom­ gentle and humane temperament who are to be paid for our continued existence and mend is mutual coercion, mutually agreed embarrassed by Ehrlich and the other com­ quality of life. Under such circumstances and upon by the majority of the people affected." missars. among such a people, survival would be a Hardin is only one of the "commissars" in These innocents who have joined the ecol­ damnation. the ecology movement, and their prescrip­ ogy movement believe its basic purpose is to To say this does not mean we should dis­ tions should jar every one of us back into preserve some uncrowded land for wandering miss the ecologist's concern with survival. the most earnest kind of politics. These hard­ and recreation, to make the rivers fit for We have every reason to try to achieve a sta­ nose defenders against eco-catastrophe may swimming and fishing, to reduce the num­ tionary world-population level before it is share at times the romanticism of nature's ber of beer cans along the highways, to end brutally forced upon us by the absence of yogis, but they want to be understood as re­ strip mining and other despoliations of the space for more people. One of the real con­ lentless realists. Others in the movement, the countryside. These are all eminently desir­ tributions of the current ecology conscious­ gentler folk, do not always look carefuliy able goals. The movement's followers would ness is to challenge the simplistic creed of at what the warriors are up to. But they do well, however, to listen to some of the "the bigger the better." The evaluation of life know the more brutal types are necessary commissars and to entertain the possibllity in qualitative rather than quantitative terms that the movement is in fact much more is an enormous step forward. for the dirty work that will preserve their ambitious than these goals suggest; that its gentle world. So they pay their soldiers' propagandists are serious when they claim But the fundamental answer to the com­ bills, promote their field manuals, and wel­ the movement is a "revolution in values." missars is that the important questions are come them into the charmed circle of the The essence of this revolution has received political and moral, demanding the intell1- ecologically conscientious. perhaps its most cogent treatment in an oft­ gent participation of all of us. The goal is How far the relentless are willing to go can reprinted essay by John Fischer, former edi­ not survival, but survival as human beings. be seen in the works of Paul Ehrlich. "The tor in chief of Harper's. Although he starts Gunnar Myrdal is among those wise people battle to feed all of humanity is over," writes with a program for the renewal of higher who understand that realism without moral­ Ehrlich. "In the 1970s the world will under­ education, he ends up proposing a redirec­ ity is politically unrealistic. He noted, in go famines-hundreds of millions of people tion of the whole society. An American Dilemma, that the greatest are going to starve to death in spite of any The problem, says Fischer, is with the strength of the United States in dealing with ~rash programs embarked upon now.... " liberal-arts schools, which, unlike the pro­ its racial problems was the popular idealism Ehrlich further explores the prospects in a fessional schools, do not train toward any by which the majority restrained itself from new book appropriately titled How To Be a "coherence and visible purpose." Education the most obvious and "natural" course, Survivor. What are the risks we should take, was not always like this, he writes, and it namely some Germanic "final solution." This he asks, now that it is clear that the United need not be fragmented now. In the earliest was the popular idealism later seized upon States "does not have the capacity to feed European universities, students were trained by Martin Luther King. It is the same the needy of the world over the next decade "for the service of the Church," and in nine­ idealism so distrusted and denigrated by or so"? There has been "only one realistic teenth-century England they were trained American intellectuals. Myrdal's argument is suggestion 1n this area," says Ehrlich. He en­ that political leaders have set the American dorses the proposal put forward by William "to run an empire." Today the university people up for disappointment when they must be reshaped, "founded on a single and Paul Paddock in their book, Famine- guiding concept." Fisher has been check­ choose realism over idealism, as when they 1975! ing out his fretwork with professors, admin­ cast foreign aid in the rationale of Cold The proposal, Elllrlich explains in The istrators, and students, and he thinks he War self-interest. Population Bomb, employs the concept of LOAVES AND FISHES "triage," borrowed from military medicine. has struck upon the one idea that might pull everything together. "It is simply the idea I suggest that we should strive to redefine The idea briefly is this: When casualties of survival." crowd a dressing station to the point where American purpose by developing a new, and all cannot be cared for by the limited medi­ Fischer's "Survival U" Will be unabashedly yet very old, covenant of accountability-a cal staff, some decisions must be made on moralistic. The professor "will be expected "Covenant with the Poor." The metaphor of who will be treated. For this purpose the to be a moralist; for this generation of stu­ the Covenant is rooted in the Biblical tradi­ triage system of classification was developed. dents, like no other in my lifetime, is ~un­ tion that lays the foundation for our soci­ All incoming casual ties are placed in one of gering and thirsting after righteousness.... ety'.:; moral constructions. It is an integral three classes. In the first class are those who In every class it will preach the primordial part of America. This metaphor suggests ap­ will die regardless of treatment. In the sec­ ethic of survival." Students will be trained proaches and priorities 1n meeting a whole ond are those who will survive regardless of to wage holy war against "the earth's can­ range of ecological questions. Consider, as treatment. The third contains those who can cerous growth of population" and a long list an example, the problem of world hunger. be saved only if they are given prompt treat­ crt thoughtless technology's violences to the If six of us sit at the head of the table ment. When medical aid is limited, it is con­ earth and our "quality of life." Mobilizlng with great heaps of food-almost half of centrated only on the third group-the other this society and the world against ecological everything available--while twenty starving are left untreated. disaster requires the asking of "hard ques­ brothers are at the other end of the table, We should, Ehrlich says, "devise a similar tions." Fischer has the courage to contem­ the humane decision is not, As some ecol­ system for classifying nations." Libya might plate the possibility that we might have to ogists urge, for us simply to eat less--a de­ be an example of the country that should "sacrifice some of our hard-won liberties" in sirable action, but no response to the real be cut off from food aid because she could order to assure the coherence of society problem. As Pope Paul urged in his 1965 probably survive without it. India, on the around the theme of survival. speech before the United Nations: other hand, is probably one of the countries A doctrine of survival may grow appro­ You must strive to multiply bread so that that should be cut off because its people "are priately from a Darwinian interest in nature, it suffices for the tables of mankind, and so far behind in the population-food game and the argument may sound attractive, but not, rather, favor an artificial control of that there is no hope that our food aid wlll it is wrongheaded and misleading. Survival birth, which would be irrational, in order to see them through to self-sufficiency." Ehrlich can never provide for man a moral purpose diminish the number of guests at the ban­ expands the Paddocks' proposal in terms ot for his life. Survival may be a precondition quet of life. giving nations in "the last tragic category" for developing a moral purpose, but survival I am not a Roman Catholic and have little at least one more chance. If they are pre­ itself is not a moral purpose. sympathy for what I believe to be the Pope's pared to undertake rigorous measures of In his brilliant study, Death in Life: Sur­ regressive record on numeruus Church and population control right now, we might con­ vivors of Hiroshima, Robert Jay Lifton re­ social issues, including the issue of contra­ tinue to give them some food aid. ports on his searching interviews with th9 ceotion. Nevertheless, I believe his U.N. dec­ It is difficult to know just how Ehrlich hibakusha, those Japanese who survived the laration is an admirable statement. It sug­ would impose his solution should India fail atomic bombing. gests a theme, an overarching metaphor that, to respond as we demand. But if the pre­ By speaking of "true hellfire" the survivor unlike survival, can motivate and satisfy our dicted famine were to follow, enforcing the means not only massive death and devasta­ humanity. "triage" solution would undoubtedly pro­ tion, but the psychic flames of death guilt. The "Covenant with the Poor'' could take duce crises involving desperate emigrants ... The survivor [feels] that his survival dramatic form if the United States were to and unsanctioned relief efforts. Can we fore­ was made possible by others' deaths: if he devote 2 per cent (approximately $20 bil­ see United States soldiers firing on emaciated had not survived, someone else would lion) of its annual Gross National Prodtlct Indians trying to flee into Burma, or Ameri­ have.... in nonmilitary assistance to underdeveloped can jets shooting at planes trying to smuggle Lifton was dealing as a social psychiatrist countries. Some will immediately decry pa­ in food packages from the Ladles Aid of the with people who had, if anything happens by ternalism and condescension, but we should First Baptist Church of Kankakee, Dllnois? chance, survived by chance. Many of them not reject compassion because it is so easily 32688 EXTENSIONS OF REMARKS September 21, 1971 distorted. others will say that the Covenant appeared in the September issue of the "The Admiralty report summarises a pri­ falsely assumes that America has what other U.S. Naval Institute proceedings. It deals ority study demanded by the DM immedi­ people want. In fact, we do have enough with a possible Soviet SLBM-Subma­ ately after the Havana Conference in July. food, reasonable freedom from onerous phys­ It provides, for the first time, an official ex­ ical labor, and a life expectancy beyond age rine Launched Ballistic Missile-attack pla.nation of how U.S. nuclear forces were thirty-five. And there are millions of people on the continental United States and the either destroyed or paralysed in a matter of on this planet who desperately want to share role of ASW forces-Anti-Submarine minutes and why the Soviets were able to these despised elements of our decadent Warfare-in defending the land based take over most of West Germany in the en­ system. increments of our strategic deterrent. suing strategic standoff. Up to now, there On a more intelligent political level, others The authors point out that there is no has been much spooulation on why the U.S. will point out that there is a real danger point within the United States which strategic forces, despite elaborate precautions that the United States, even with the most to insure their survival, were unable to re­ generous motives, will 'try to impose its so­ is more than 900 nautical miles from spond during the world's first nuclear war. cial systems and values upon others. They open sea, that approximately half of our The explanation offered in portions of the are right, CYf course, and this is precisely urban industrial targets lie within 500 Admiralty report released yesterday.... " why political attention in this country must nautical miles of many SLBM launch Excerpt from Admiralty Report No. NAV­ be relentlessly focused pn the nature and points in the Atlantic Ocean, and that ANAL/PLAN-0014, dated 7 September 1974: consequences of American aid. In a nation an SLBM having a maximum range of "From the foregoing consideration, we be­ revived by its "Covenant with the Poor," 1,500 nautical miles and a normal flight lieve that the following conclusions may be political activists must press to see that reasonably drawn: American aid is responsive to and not pre­ time of 15 minutes using a depressed . "1. The attack while carefully planned and scriptive tor the will of other nations. This trajectory could reach any target in executed, was 'both daring and risky. The op­ means that assistance must be thoroughly the continental United States in less portunities for failure were numerous, and demilitarized. At the same time, U.S. com­ than 7 minutes. I might point out that the remarkable success of the attack must be mercial interests abroad must be brought Soviet Y -Class ballistic nuclear subma­ attributed to the bold acceptance of the under stronger political control. rines, of which there are currently 20 enormous risks. There was no certainty of It is not our business as Americans to take operational and which the Soviets con­ the U.S. response even if the attack was a sides in the conflicts and revolutions of other technical success; but this risk, too, was ap­ countries. And the power we have should be tinue to build at the rate of 8-10 per parently accepted by the Soviets because of used only the way each nation desires it. year, each have 16 SLBM's with a range the gravity of the German situation. Refer­ Given the fact that many countries have of approximately 1,500 miles. ence 14 shows that the German political crises bureaucratically incompetent and unrepre­ It is heartening to see an article ap­ of May were far more alarming to Moscow sentative governments, the American people pearing in a naval publication and co­ than to London or Washington. should make sure only that the assistance it authored by a Navy man which empha­ "2. The attack on North America appears offers is utilized in as effective and equitable sizes that land based bombers and mis­ to have been carried out entirely by means a. manner as circumstances permit. It may be of missile submarines in a carefully coordi­ that our motives will be better trusted if our siles are key elements of our nuclear nated strike from close upon the Atlantic. Covenant is carried out by multilateral and deterrent and views one of the jobs of Pacific, Caribbean, and Hudson Bay coast­ international institutions. our naval forces as contributing to the lines. Two types of submarine-launched bal­ I am aware that I have vastly oversimplified defense of these vital increments of our listic missiles were employed, one type hav­ some of the most complicated questions in­ triad through countering the Soviet ing multiple warheads. Most of the missile volved. But it all comes back to the question naval threat to same, rather than argu­ trajectories were purposefully lowered to the ecologists have raised: Do we multiply ing for their abandonment in favor of shorten flight times and delay detection. I~ and redistribute the bread, or reduce the what is known as the "blue water op­ is estimated that the total number of subma­ number of guests at the table? rines involved need not have exceeded a Ehrlich's choice is the latter. His response tion." dozen, but the actual number may have been to the Pope's statement is, "We have already I think that all my colleagues will higher. In any event, there is no evidence seen that the 'banquet of life' is, for at least find this article well worth reading and that the Soviets augmented their normal on­ one half of humanity, a breadline or worse." be particularly interested in the scenario station submarine forces for the attack. There may indeed be a. breadline, but even with which Captain Winnefeld and Mr. "3. The most demanding aspect was pre­ that may sustain life itself and the hope for Builder lead into their argument for an cise timing as to launches and impacts. It is justice that is life's constant companion. ASW role in defense of the continental certain that the authorities and equipment There is an elitist arrogance in the assump­ United States. exercising control over U.S. nuclear forces tion that life on a breadline is not worth were the priority targets in time. The pat­ living. A distinguished medical proponent of The article follows: terns of nearly 100 detonations, most of them abortion on demand once assured me that no ASW-Now OR NEVER on the U.S. mainland, correspond to our un­ one should be forced to be born who was not (By Capt. James A. Winnefeld, U.S. Navy, derstanding of their nuclear control and guaranteed "the minimal requirements for a and Carl H. Builder) communications structure. While some ele­ ments of that structure did survive the at­ decent existence." Among the minimal re­ (NoTE.-The U.S. Navy must rethink the quirements he included a stable family life, tack, the losses were so sudden and exten­ ordering of its ASW mission priorities for, sive--for example, only two secondary trans­ loving parents, quality education, and the with the emergence of a significant Soviet economic security to have an equal start in mitters for communicating with the U.S. sea-launched ballistic missile capability, the Poseidon submarines are known to have sur­ competition for the best that American life survival of essential elements of all our nu­ has to offer. When I pointed out that by his vived-it required nearly 15 minutes to clear forces is now, more surely than ever, clarify the vestment of authority. By that criteria, most of the people I work with in measured in minutes.) Brooklyn should have been aborted in the time, the attack was over, a substantial por­ Item from page 2 of the London Times, tion of the U.S. nuclear forces had been de­ womb, he responded with utmost sincerity, Wednesday, 25 September 1974: "It is only "But surely many, if not most, of the people stroyed, and the Soviet ultimatum was be­ now, some three months after the terrible ing transmitted on all frequencies and the who live in our horrible slums would, 1f they events of 17 June, that some of the extraor­ could be objective about it, agree with me one surviving hot-line. It is estimated that dinary details of the surprise attack on the most of the command and communications that it would have been better for them not United States are becoming available through to be born." This naive viewpoint is by no targets were struck within about six min­ the deductions of Western European mili­ utes of the first launch. It is doubtful tr.at means rare among more aflluent Americans, tary experts. While it was almost immediately any of these targets enjoyed more than four who apparently find it inconceivable that life apparent that the attack was intended to minutes of general warning or more than two itself could be as precious-yes, even a ban­ neutralise the United States in a single, stun­ minutes of certain prior awareness that the quet--to the wretched of the earth as pre­ ning blow, most of the world found the out­ country was under attack. sumably it is to the rich. come to be either incredible or inexplicable. "4. The second-priority targets were the Now, however, it is even more astonishing to strategic bomber bases. The detonation pat­ learn that the attack was far from an all-out terns here suggest that airborne aircraft effort. Early accounts assumed that the crip­ were also the object of attack at many inland ASW IN DEFENSE OF THE TRIAD pling of U.S. strategic nuclear forces re­ bases. All of the bomber and tanker bases sulted from a massive attack by interconti­ were probably struck within nine minutes nental ballistic missiles. But experts sorting of the first launch. Even so, a rather substan­ HON. JOHN G. SCHMITZ through the available evidence have con­ tial fraction of the alert aircraft may have OF CALIFORNIA cluded that not a single ICBM was fired by become airborne. The only reasonable ex­ either side. Perhaps the most revealing planation for the small numbers of bombers IN THE HOUSE OF REPRESENTATIVES statistic of the attack has come from an Ad­ surviving (we estimate about a dozen) is the Tuesday, September 21, 1971 miralty report recently submitted to the De­ extensive targeting of aircraft flight areas fense Minister showing that the entire at­ near the inland bases that could have re­ Mr. SCHMITZ. Mr. Speaker, at this tack, from the closing of the first switch ceived the greatest warning. We doubt that point in the RECORD I would like to insert to the last nuclear blast, probably took no any bomber base had more than six or seven an extremely interesting article which more than 10 minutes. minutes of warning. September 21, 1971 EXTENSIONS OF REMARKS 32689 "5. The third priority was apparently given {f) A full text of the ultimatum was avail­ the technical capabilities assumed for the over to the new antimissile installations pro­ able. General Tyer said that the terms were attacking SLBM's should not. There are no tecting U.S. ICBMs in the northwestern such that there was little alternative but to points within the United States that are states. The attack scheme here 1s readily acquiesce to the Soviet fait accompli in West more than 900 nautical miles from open apparent: only the radars and fire control Germany.... " seas. An SLBM having a maximum range of centers were hit. Since the U.S. ABM system Excerpt from cover letter from the Defense 1,500 nautical miles and a normal flight time was designed specifically for self-protection Minister to the Prime Minister." ... so there of 15 minutes theoretically could, by means and survival against an ICBM threat, the isn't too much here that I haven't passed on of a depressed-trajectory, reach any Con­ sensors were misoriented for a submarine to you at cabinet. It would seem to me that tinental U.S. target in less than seven min­ missile attack. For example, the BMEWS the key in this wretched mess was time. I:t utes. If it were assumed that the longest­ radars here and in North America. were not the Americans had had even three or four range shots were fired first, and that the attacked and provided no indications that more minutes, I believe that much of the ap­ firing rates of the SSBN's were about four an attack had been launched, further adding paratus that didn't work would have had a missiles per minute, then perhaps the time to the initial confusion of U.S. authorities. It good chance. With a few more minutes I be­ allowance of the opening scenario was too is estimated that all of the critical ABM lieve the President would have been safe, the generous; it could all be over in seven min­ sites were struck Within about ten minutes bombers would have made it off, and we utes instead of ten. Even assuming reliable of the first launch. would have had an entirely different match warning within one minute after the launch­ "6. The lowest priorities in time seem to to be played out. More important, I think it ing of the first missiles in such an attack, have been the overseas communications in­ likely that if the attack had required more we could be left with less than six minutes stallations and submarine bases for U.S. time for execution, the greater risks would to remove from harm's way the critically strategic forces. We have fairly reliable data have discouraged the entire enterprise and important people and equipment that do not on the one weapon that destroyed U.S. sub­ we would have had a chance to work things lend themselves to protection through con­ marine forces at Holy Loch; it was delivered out at the conference table. stant mobility or hardening. from a surfaced diesel-electric submarine. "Geoffrey tells me that the subs could It would be unfair to imply that compress­ (We have intermittent radar and acoustic have been kept far enough off to prevent ing the time for an SLBM strike is a cost-free records on the transit of that submarine.) anything as sudden as that from happen­ option to the attacker. Resorting to extreme Radio message traffic intercepted here indi­ ing-something about conventional antisub­ depression of trajectories to shorten the time cates that the few attacks outside the U.S. marine forces being used to control certain of flight, cuts into the range of the missile. mainland (only 14 weapons in all) were with­ water areas. I keep telling him that I rather As already indicated, however, SLBM range held until it was certain that the attack suspect he has an ax to grind, but if there is is not a very severe requirement for U.S. tar­ upon the U.S. mainland was successfully a way to buy a margin of time, we should gets. {This is one situation where the U.S. launched. They could have been executed probably look into it.... " maritime geography is unfavorable as com­ with older, less-sophisticated submarines Fiction is a convenient technique for avoid­ pared to that of the U.S.S.R. For example, launching ballistic or cruise missiles from ing many complicated questions that must about half of the CONUS urban-industrial the surface at relatively short ranges from be faced and answered in order to make a targets lie within 500 nautical miles of many their targets. These attacks, also, were com­ scenario credible, and it would be imposing potential SLBM launch points in the Atlantic pleted within 10 minutes of the first launch to argue for the credibility of this fictional Ocean.) However, reductions in SLBM range off the U.S. mainland. The weapon at Holy autumn in 1974. The purpose was to drama­ and time of flight will force the SSBNs to Loch destroyed four Poseidon submarines tize the special capabil1ties and characteris­ move in closer to shore, increasing the risks and we presume that about 12 more U.S. tics of a threat that is now present and grow­ of exposure. The shallow reentry angles as­ missile-firing submarines were destroyed ing in our coastal seas. sociated with depressed-trajectories can de­ at their bases. As a nation, we certainly are not in need of grade the accuracy of the missile (because of "7. We believe that the U.S. ICBMs would any new strategic threats to further justify greater sensitivity to atmospheric uncertain­ have been included to the attack except for the many valid concerns for our strategic ties), but high accuracy is not required for the limited numbers and accuracy of the posture. There are hobgoblins enough in the many of the soft targets, such as antennas multiple warheadcd missile carried by some S8-9 and Fractional Orbital Bombardment and buildings, associated with our strategic Soviet submarines. Because of these limita­ System without our searching for new pos­ command and control structure. tions and the daring Soviet decision to with­ sibilities to scare ourselves. However, the What are our options for coping with the hold the use of ICBMs in the initial attack, first-strike threat posed by Soviet subma­ first-strike threat posed by the growing num­ the U.S. bombers and submarines in port rine-launched ballistic missiles (SLBMs) has ber of Soviet SSBNs that could concentrate offered the most lucrative targets for achiev­ three ugly aspects that set it quite apart: close to our shores? Even though the sharp ing a decisive shift in the balance of strategic 1. The required hardware types are already edge of this threat is keenly felt by the Air forces. developed and operationally deployed. The Force in its concern for the pre-launch sur­ "8. Any U.S. response to the attack a;ppear­ principal future uncertainty is not the pro­ vivability of the SAC bomber force, it would ed to be highly disadvantageous. Private dis­ jected competency of the hardware, but the be short-sighted to accept the threat as an­ cussions with General Tyer at the Havana locations and concentrations of this hard­ other example~ of the superiority of sea­ Conference have shed some light upon the ware off our coasts, and Soviet intentions basing strategic forces. Land-based bombers dilemma that the U.S. authorities faced im­ that "bear watching," although the observa­ and missiles are key elements of our nuclear mediately after the attack. By the time tion of Soviet SLBM flight tests could verify deterrent and will probably remain so for the General Tyer was certain of his responsibili­ estimates of how far the trajectories might foreseeable future. Additionally, most com­ ties, the following aspects of the attack were be depressed. mand. and control facilities, including na­ clear: 2. Not just one, but all of our strategic tional command authorities, must by their (a) The first phase of the attack was ob­ forces (or their supporting systems) fall nature be land-based. People, institutions viously over for no new detonations had been under the shadow of this threat. Our stra­ and equipment of vital importance to our reported for seven minutes and BMEWS tegic bombers have, for several years now, strategic capabilities will always be ashore. stations continued to report no incomings. had their survival measured against the As the SLBM threat grows, so will the na­ (b) The attack was directed primarily at quarter-hour clock of an SLBM following a tional interest in counter-options. U.S. authorities, command and control, but conventional, maximum-range trajectory. We might want to limit the consequences not against the population (as noted earlier, But if these flight times can be cut in half of a sudden SLBM attack. Without discuss­ only three large metropolitan areas received and if the nutnbers of missiles continue to in­ ing all of the alternatives and problems that substantial damage). crease, the SAC Wing Commanders will soon lie in these directions and without denigrat­ (c) No Soviet ICBMs had been employed be joined by other worries. Many important ing their importance, it is fair to note that in the attack, and they could be presumed things that can reasonably be accomplished limiting the consequences of an attack is a temporarily withheld in a high degree of by human beings in 15 minutes become different form of deterrence from limiting readiness. extraordinarily difficult . and questionable the means of attack. (d) No U.S. weapon had yet been released when the time is cut to seven or eight min­ International agreements offer some pos­ and enemy defenses were undegraded. (The utes, or even less. sibilities. It is not the SLBM forces per se few bombers that had escaped destruction 3. U.S. perceptions of strategic stability and that we would want to restrict, since the were recalled when it became clear that U.S. arms control would appear to encourage the relative invulnerability of SSBNs on patrol ICBMs were not under attack.) expansion of the SLBM threat. During the to a sudden nuclear attack is a quality we (e) While it was apparent that the U.S. past year, the open literature in the United prize for deterrent forces. But, to preclude ICBMs had survived and could be fired upon States has extolled the arms control virtues the use of SLBM forces for the kind of attack any warning of further Soviet attacks, the of SLBM forces, largely because of their rela­ described in the opening scenario, we would same was true of an even larger Soviet ICBM tive invulnerability at sea. Many U.S. experts have to forbid SSBN patrol areas close to force. The situation for the Polaris and would apparently welcome a Strategic Arms shores. Would we be willing to give up some Poseidon submarines at sea could only be Limitations Talks agreement favoring greater of our own SSBN patrol areas close to the presumed over the next several hours and reliance by both sides upon SLBM forces. U.S.S.R.? Could we confidently and unilat­ days. But it was also obvious that the only Thus, we can expect to see a growing Soviet erally inspect for compliance? rational option was to withhold these forces SLBM threat, with or without a SALT agree­ A more direct counter to the first-strike in the hope of not being forced into what ment. threat posed by a minimum range/time would now be a lopsided exchange of either While the daring of the attack described SLBM attack might be based upon con­ military targets or cities. in the opening scenario may seem incredible, ventional ASW forces deployed to provide 32690 EXTENSIONS OF REMARKS September 21, 1971 relatively dense ASW coverage of those ocean tinue to plague us for years to come, but cepted, our first order of business should be areas from which such SLBM attacks are that problem is beginning to receive the at­ to design and deploy a nucleus continental feasible. While not denying peacetime pas­ tention it deserves. In sum, we face signifi­ defense ASW force and identify the augmen­ sage to enemy submarines in our coastal seas, cant and continuing efforts if we are to have tation forces required to keep pace with we might bring sufficient ASW attack capa­ adequate tools to close the margin now en­ surges in the strength of enemy SSBNs on­ bility to bear upon "excessive" enemy sub­ joyed by nuclear submarines. But the evi­ station. That part of our Fleet defense forces marines to convince the enemy thwt provoca­ dence available indicates that the techni­ (both ASW and strike) associated with pro­ tive concent rations in our vital ocean a.rea.s cal problems are not insuperable, particu­ tection of both our continental defense ASW will only degrade his nuclear delivery pos­ larly if sensor and weapon development re­ forces and our own SSBNs should also be in ture. The intent of this defensive option ceives the funding which the gravity of the the first priority category. Our second ASW would be t he intimidation of those SLBM developing strategic threat justl:fles. priority should be Fleet defense of our car­ forces that concentrat e in areas where mini­ Are the ASW forces required for conti­ rier and amphibious forces. Finally, we must mum range/ time attacks are feasible. By nental defense reasonably attainable? The be capable of protecting our sea-lanes in such exercising a very deliberate and finite amount answer to this question requires an assess­ extended confiicts as the enemy may under­ of control over selected ocean areas, ASW ment of the importance of the threat in re­ take. forces could demonstrate to a potential lation to others, the cost of the forces nec­ The foregoing discussion suggests the fol­ enemy that his interests are best served by essary, and our willingness to pay that cost. lowing bare minimum ASW force for national standing well off our coasts and that con­ If one accepts the importance of the threat survival: centrations in ASW-controlled waters are as dramatized in the opening scenario, the Nucleus continental defense ASW forces. almost certain to be counter-productive. question becomes one of finding the most Covering ASW forces to defend the conti­ The enforcement of this control over the cost-effective way of doing the job. The de­ nental defense force and our own SSBN SLBM threat within certain vital ocean areas sign of the most effective force is beyond the forces from submarine attack. should not be destabilizing since it does scope of this essay. Further on, some force The covering force is of marginal utilltJ not threaten the accepted retaliatory role of design considerations will be suggested based in some situations, such as the opening SLBM forces. The continuous targeting and on a comparative analysis of ASW missions. scenario, where the enemy would not risk timely response against retaliatory targets. But at this point, reference may be limited losing surprise by a prior attack on either the using conventional near-maximum-range to the obvious: we require an initial detec­ continental defense or the covering forces. SLBM trajectories, should not be threa.tened tion capabillty, a tracking capabllity, and a However, covering forces are necessary to dis­ because of practical limits on the size of the kill capability against enemy SSBN's on­ courage or counter non-nuclear attacks in­ ASW-controlled areas. (As a first approxi­ station off our coasts. For selected targets we tended to reduce naval forces comprising or ma-tion, potential SSBN deployment areas have these capab111ties now. However, the protecting our strategic deterrent. increase with the cube of the range to tar­ evidence indicates that current forces will These bare minimum forces, by definition, get.) Development of longer-range SLBMs. be inadequate to cope with a Y -class SSBN would not be adequate to cope with a surge such as Underwater Long-range Missile Sys­ force which c.ould be comparable in size to increase in numbers of SSBNs on-station. tems, would be made more attractive, and our present Polaris/Poseidon force by 1974. Neither would they be adequate to provide the experience gained in the operation of Although an ASW force to counter such a the necessary ASW protection for our sea­ ASW forces in the counter SLBM role would threat will be expensive, it probably would power projection forces. In order to meet be the best possible insurance of timely rec­ not be any more expensive, relatively, than these minimum requirements, we need two ognition of developing ASW threats against our investment in continental air defense additional ASW force increments: our own SSBNs on patrol. undertaken in the 1950s and 1960s. Rather, A continental defense augmentation ASW Two basic functional capabilities are there is good reason to believe it would be force to counter surge increases in numbers needed in order to exercise this kind of pre­ considerably less, since ASW forces are re­ of enemy SSBNs on-station (up to the num­ ventive defense against minimum range/ quired for missions other than continental bers justifying a wider alert of strategic time SLBM attacks: (1) the abillty to main­ defense. Other required ASW forces could be forces). tain a reliable head-count on submarines made available to augment continental de­ within the controlled-sea areas; and (2) the fense ASW forces if they were in danger of A Fleet defense ASW force adequate to abillty to positior. obviously competent at­ provide minimum cover for our seapower being saturated. Because SSBN forces can­ projection forces. tack forces in the vicinity of "excess" SSBNs not be deployed from bases to firing stations and, if necessary, to escalate force levels at a overnight--with the obvious exception of These forces in the aggregate must form reasonable cost exchange until the alerting of Cuban basing possibllities--some strategic the basis for our minimum acceptable ASW other strategic forces is clearly warranted. warning is available for reasonable augmen­ force if we are to retain the abllity to project The ASW force levels and compositions tations of any dedicated continental defense our power overseas and meet our mutual se­ required to provide these capabilities appear ASW force. Hence, the alert (or nucleus) curity commitments. However, these forces do to be fairly quantifiable and, hence, profit­ continental defense ASW force need only be not provide a capabllity to protect our sea able opportunities for analytical study. A adequate to meet the routine on-station lanes from enemy submarine attack, if the major issue in the economic feasibi11ty of threat (plus some safety margin). Such capa­ enemy simultaneously escalates his SLBM this continental defense concept is the bilities should be within our means if we threat and engages our seapower projection amount of ocean area and the perimeters establish the necessary resource allocations forces with his attack submarines. The risk that would have to be controlled. Fortu­ and mission priorities. of the enemy's undertaking a "war at sea" is nately, geography is a little kinder to us in The question of priorities hinges on the one of the key imponderables of naval force this problem. If the Hudson Bay is controlled relationship of the ASW missions to one an­ planning. Prudence dictates that we should (requiring a relatively small control p'erim­ other and to the total threat. Three principal develop and maintain some forces for this eter), some key SAC bases in ConUS would ASW missions can be identified: continental mission. This requirement generates a fifth be 200 more miles and about two more min­ defense, Fleet defense, and sealane defense. ASW force increment: utes away from an SLBM attack. Control11ng The force requirements in both quantity and A sea-lane defense force adequate to meet the Caribbean also would greatly enlarge mix are likely to be different for each of these essential requirements until mobilization these time-sanctuary areas, and SAC could missions. The evidence suggests we have opti­ generates the additional forces required. probably start to breathe a little easier. Con­ mized our forces for Fleet and sea-lane de­ Two world con:flicts have demonstrated that tro11ing the North Atlantic, out as far as the fense. such emphasis in the past is under­ we have paid a high price in war for econo­ arc from Newfoundland to Bermuda to the standable in view of the Navy's traditional mizing in this area during times of peace. Bahamas would add 500 miles of range and sea control mission. However, the emergence Given the temper of the American people, it is more than four minutes of additional time of the Soviet SLBM threat should force us to probably unreasonable to expect them to for many potential targets of an SLBM at­ reevaluate the old priorities. · maintain in peacetime the forces required to tack. This would require contro111ng a pe­ As the opening scenario demonstrated, the provide an adequate counter to a war at sea. rimeter of about 1,800 nautical miles. Con­ survival and effectiveness of all our nuclear Nevertheless, we need to define more clearly trol of the coastal areas of the Pacific would deterrent forces could be threatened by the risks we run in this area. If, in fact, our appear to be more dlffi.cult because of the enemy SLBMs. The key position of our nu­ fiscal constraints leave little or nothing left long perimeters and lack of island bases. clear deterrent capabllities in the strategic over for this mission, we gain little in con­ Is ASW technology sufil.ciently advanced to balance logically leads to the conclusion that figuring any of our remaining ASW forces provide the necessary hardware capabilities? no Navy forces are more important than specifically for sea-lane defense. Previous Under satisfactory water and weather con­ those that either comprise or defend our nu­ ASW force level decisions indicate that we ditions, and with the correct mixture and clear deterrent capab111ties. It follows that have tended toward spreading the risk among quantity of both forces and survelllance sen­ those portions of the Fleet which provide for all ASW mission/force increments rather sors, nuclear submarines can be detected continental defense against missUe attack than concentrating it on the lowest priority and tracked for extended periods with the and which protects our own SSBNs from missions and forces. Our large investment in products of existing technology. Much re­ enemy countermeasures deserve top priority, DE/DEGs is an instance of such a practice, mains to be done, however, to improve the second only to our SSBNs, in the resource al­ even though other factors were 1nftuent1al 1n assurance that detection and tracking can location process. Further, since Fleet defense their procurement. be accomplished under less optimum con­ is essential to sea lane defense, we can postu­ The foregoing assessment of priorities in ditions and with smaller forces. Improved late the following order of ASW priorities: ASW force design has not addressed the opti­ sensors must continue to receive first priority first, continental defense; second, Fleet de­ mum mix of forces. In view of the different In this effort. Our previous neglect to im­ fense; and third, sea-lane defense. missions of each of the five force increments, prove some of our sensor platforms will con- If this ordering of ASW priorities is ac- it is apparent that a high premium must be

--- - September 21, 1971 EXTENSIONS OF REMARKS 32691 placed on employment flexibility. This flexi­ spectrum of military and civil systems. His wages and salaries issued under the author­ bility must be such that forces are optlm1zed industrial associations have been with the ity conferred on the President by this sec­ for the higher priority missions, which in Marquardt and United Aircraft Corporations, tion shall not apply to any wage earner or turn leads to emphasis on quality rather than directing analytical planning studies for salaried employee whose hourly earnings, numbers. Additionally, emphasis should be weapon and transportation system. Mr. for the twelve months preceeding the im­ placed on forces in being rather than on Builder has also been associated with the plementation of said orders and regulations, mobilization capability. Thus, our NRT non-profit aerospace and RAND Corporations have been at a rate less than the minimum escorts and hardware air reserve ASW units in the areas of space and strategic system wage as set under the Fair Labor Standards should be dedicated to the sea lane defense analysis.) Act of 1938, as amended, and whose total mission where a modicum of time is available income for this twelve month period did to generate forces in response to an enemy not exceed $4,680.00." threat. Some fast .reaction reserve forces may LOW-INCOME WAGE FREEZE be suitable as augmentation forces for our EXEMPTION BTIL continued defense posture. The place of Allied ASW forces in meeting HON. HAROLD RUNNELS MOUNTAIN MICROWAVE SYSTEM the five ASW mission requirements is almost DROPS THE TRADITIONAL AP­ entirely dependent on political assumptions. OF NEW MEXICO PROACH Because the first three ASW force increments IN THE HOUSE OF REPRESENTATIVES are clearly related to protection of U.S. nu­ clear deterrent forces where rapidity of deci­ Tuesday, September 21, 1971 HON.HAROLD T. JOHNSON sion and response is of the essence, only lim­ Mr. RUNNELS. Mr. Speaker, today OF CALIFORNIA ited reliance can be placed on Allied ASW I am introducing an important bill forces for these functions, with the exception which provides that the lower strata of IN THE HOUSE OF REPRESENTATIVES of Canadian forces similarly committed to Tuesday, September 21, 1971 defense of tthe North American continent. wage earners in America will be exempt Allied ASW forces can and do make a signifi­ from any future wage freeze which may Mr. JOHNSON of California. Mr. cant contribution by their surveillance of the be imposed under the Economic Stabili­ Speaker, in some of the more remote rural routes that Soviet submarines are con­ zation Act of 1970. areas of our Nation, it is sometimes dif­ strained to use. However, these early warning The recent wage freeze issued by ficult to maintain services most of us take functions supplement rather than substitute President Nixon has brought to light for granted. The Siskiyou Telephone C~ .• for the surveillance capability we require in several gross inequities which arise serving the rugged and mountainous area our coastal sea areas. when a wage freeze is applied to all wage This essay has examined a threat that the of Scott Valley in my district, has taken growing Soviet SSBN force poses to the sur­ earners. Although the 1970 act provides a novel and unique approach to improve vival of essential elements for all of our nu­ for making "such adjustments as may service to their customers. Though lo­ clear deterrent forces. In evaluating the na­ be necessary to prevent gross inequities," cated in a relatively isolated area, the ture of this threat, the critical dimension ap­ our present experience clearly demon­ Siskiyou Telephone Co. is anything but pears to be time: minutes that we can no strates that some administrations do not backward or old fashioned. The cover longer afford to give away against a large­ consider the application of a wage freeze story in Telephone magazine for August scale attack. With the emergence of a signifi­ to Americans living at or below the pov­ 23, 1971, describes the innovative mlcro­ cant Soviet SLBM capabillty, we may find erty level to be a gross inequity. that conventional ASW forces are the most wave system installed by the Siskiyou practical approach for denying the enemy I, for one, think the low-income em­ Telephone Co. The story was written by an otherwise attractive option for a surprise ployee needs all the help he can get. To Mr. Brent Wilson, microwave supervisor first strike on the time-urgent targets. Such freeze the wages of those Americans who for Siskiyou Telephone Co. ASW forces may not be cheap, but they are barely able to feed themselves is a The article follows: should be attainable if we establish mission tragic bureaucratic absurdity. It ranks MOUNTAIN MICROWAVE SYSTEM DROPS priorities in accordance with the risks we just above the ridiculous proposition TRADrriONAL APPROACH face. that these workers will benefit from (By Brent Wilson) In evaluating the various ASW missions, other actions taken by President Nixon the critical dimension appears to be our re­ High on the summit road leading into the quirements for continental defense ASW such as being able to purchase more new Soott Va.iley in Northern California sits a large forces. If so, the Navy must rethink the or­ automobiles because of a repeal of the "Robber's Rock" which once was the site of dering of ASW mission priorities, and then automobile excise tax. many a stage coach holdup. And in the remote design and deploy forces to meet the high­ Congress must act to prevent Ameri­ valley below, there are stm people in the town est priority missions with a reasonable bal­ cans located at the low end of the eco­ of Ft. Jones who remember the last stage ancing of the risks. Our traditional view of nomic spectrum from giving up and be­ coach robbery in the state of California. the pre-eminence of Fleet and sea-lane de­ coming another name on our monstrous It is a rugged, mountainous area sprinkled fense is confronted with the new realities of welfare rolls. with small towns and villages, all with close the strategic nuclear power equation. We are ties to the historic past. Snow covers some of up against a potential enemy who has leamed The low-income wage freeze exemption the ranges five months out of the year. Sum­ that the sea presents him with a new op­ bill I am introducing applies to wage mers can be hot in the valley. portunities as well as the old perils. Our earners and salaried employees whose Today, the mountain peaks which once task is to deny him those opportunities hourly earnings for the year preceding lured men to find gold and rob stages are the whenever they tempt misuse. the issuance of a wage freeze are less setting for a different kind of pioneering (NoTE.-A graduate of the U.S. Naval than the minimum wage. story. In order to better serve approximately Academy with the Class of 1951, Captain It should be pointed out that under the 2,400 customers spread over an area the size Winnefeld served in the USS Halsey Powell present minimum wage of $1.60 per hour, of the state of Connecticut, the Siskiyou Tele­ (DD-686) from 1951 to 1952, and, following phone Company broke with tradition to in­ flight training, was assigned to Air Antisub­ a worker earns $3,328 a year working a stall a unique microwave system. Not only marine Squadron 23 from 1953 to 1957. He 40-hour week. If you consider that the was the system the first REA-approved in­ attended Stanford University from 1958 to generally accepted poverty level for a stallation of fully solid-state 6 GHz micro­ 1960 and was awarded an M.A. in foreign af­ four-member family is $3,900 today, you wave, but it also used passive repeaters ex­ fairs. He then served on the staff of the can see that the legislation I am propos­ tensively to eliminate problems associated Commander Fleet Air Mediterranean ( 1960 ing will be an exemption to the Economic with remote and isolated active repeater sites. to 1962), in Air Antisubmarine Squadron 26 Stabilization Act which will benefit only 'To understand why our relatively small (1963 to 1965), in the Strategic Plans Divi­ Independent company took the lead in us­ sion, OpNav (1965 to 1967), in Air Antisub­ those in greatest need. I have also in­ ing new microwave equipment and tech­ marine Squadron 21 (1967 to 1969), and in cluded a maximum prefreeze income limit niques, let us first look at some of the prob­ the Bureau of Personne! J.1969 to 1971) . He of $4,680 to insure that this exemption lems we had with our existing microwave sys­ is now assigned to the Staff of Commander will not be employed to circumvent the tem and then discuss our selection criteria Carrier Division Six. freeze by those having other sources of and eventual system design. Siskiyou Tele­ (Mr. Builder enlisted in the Navy in 1948 income; $4,680 is what a $2.25 per-hour phone Co. has had extensive experience with and served in the USS Amphion (AR-13). employee receives working a 40-hour .microwave equipment, and we've had ample He was a Midshipman at the U.S. Naval 52 opportunity to establish what we believe to be Academy with the Class of 1954. He received week for weeks. valid standards for operating a good system. both his B.S. and Master of Engineering The following is a text of my bill: The design of our new microwave system 1s degrees from the University of California at That section 202 of the Economic Stabili­ based on the lessons learned over the years Los Angeles. His 18-year career in aerospace zation Act of 1970 is amended by adding at since our first system was installed. Later in engineering has been devoted to advanced the end thereof a new subsection as follows: this article we include a list of guidelines systems planning and analysis for a broad "(c) Orders and regulations to stabilize which we hope other rural telephone com- 32692 EXTENSIONS OF REMARKS September 21, 1971 panies can use to their benefit when planning sive repeaters. This led us to search for the HELPFUL CHECKLIST a new system or upgrading an old one. optimum radio and multiplex equipment to In designing and installing this system, we The project planning began early in 1967 fit into our new venture. developed a list of guidelines which may be when our existing system consisted of tube­ Because of earlier probleinS with our old of help to others. While each company will type equipment almost ten years old in a equipment we knew that the electronics have its own special needs, we believe these configuratiton as depicted in Figure 1. Ft. chosen must have high reliabllity, very low points will help the engineer begin his inves­ Jones, the toll center and company head­ noise, low maintenance and not be inter­ tigation with the right focus of attention. quarters, is also the permanent station for rupted by power failures. We also determined 1. Select the equipment manufacturer all technical service personnel. that a faithful alarm system should be in­ carefully. Be sure he will be in business in Central Dial Offices are located in Happy cluded in the equipment, along with an the future. He is the source for spare parts Camp, Hamburg and Etna. Active repeaters order wire. and solutions to any future service problems. were situated on mountain tops at Slater COmpattbllity with CCITT was an essential 2. Frequency band should be decided. Butte and Gunsight Peak. criterion for the multiplex; diversity, pro­ While 2-, 4-, 6- and 11-GHz bands are in use RELIABILITY CRUCIAL tection techniques and expansion capablli­ today, we believe 6 GHz is the best all-round System reliability problems were the key ttes were musts to be configured into the sys­ band for use with passive repeaters. factor which led us to search for a more tem. (Because of recent FCC action, new 3. Be sure the system you select provides efficient, economical system to serve our microwave systems will normally use space a reliable protection system. When our sys­ customers. Some of the Communities we diversity protection ra.ther than frequency tem was installed, frequency diversity was serve have no doctors and our telephones are diversity, which was the standard method of an appropriate choice. Today, space diversity the only link between the remote areas and protection 8lt the time the Siskiyou system would be required. the rest of the world. We feel personally was designed. The microwave equipment de­ 4. Path survey is extremely important. responsible to serve these customers. scribed here can be used in either type of This applies not only to the feasibility survey About 80 to 90 per cent of our problems system.) but in layout of the permanent locations. were from transients on the power line. In We selected the 6 GHz band as a good all­ 5. Land availability must be investigated. addition, our radio and multiplex were un­ around band and one especially suited for Avoid locations requiring difficult access. stable and required high maintenance. Parts use in a passive repeater system for high 6. Good alarm systems are essential for were often impossible to get, or if available, quality voice transmission. trouble shooting. only after long delays. The multiplex was not After a survey of the latest equipment 7. Don't overlook the service channel or compatible with CCITT or other systems available, we selected Type SS 6000 Micro­ order wire. and we found it difficult to expand and al­ wave and Type F~OO Multiplex equipment 8. Battery operation is a must today. most impossible to maintain noise level manufactured by Farinon Electric of San 9. Avoid cutting corners, the multiplex is standards. Carlos, California. as important as the radio. Getting power and access to the sites was The 600-channel equipment was specified 10. Go only solid state for multiplex equip­ another continuing problem. All central of­ to handle future growth in our service area ment. fices and mountaintop terminals were and also to cover the eventuality of utilizing 11. Be sure the total system capab111ties equipped with emergency generators. Their the equipment for data transmission. can handle future expansion. maintenance, especially at the remote sites, The Farinon microwave system provided 12. Consider CCITT compatibility stand­ added to our mounting concern about the the required diversity protection perform­ ards to be sure that your new system will system. ance capabilities we required for our system. interface with others, and that you will have Added to these problems was the rough In addition, SS 6000 Microwave was the only a choice of suppliers for future additions and task of getting our technical personnel to fully solid-sta.te equipment available at the modifications. the site of the problem. For instance, it is time our system was being designed. The FC- 13. If passive repeaters can be used in your a 60-mile drive to Happy Camp, and in bad 600 Multiplex system offered the all solid­ system, remember they require little or no weather it can be a hazardous three-hour state construction desired plus the CCITT maintenance. drive. Gunsight Peak, the former site of an compatibility required. 14. Passive repeaters require fewer fre­ active repeater, is snow covered up to five The basic engineering concept therefore quencies than active repeaters. months a year. During those times, a snow­ evolved into a total system using passive re­ 15. Judge your system design from the cat was required to make the trip. There peaters in our remote sites, coupled with the standpoints of reliability, low noise, costs were occasions of 24-hour-long trips by snow­ most advanced and reliable electronics at and probable hazards to personnel. cat to reach the mourutaintop repeater sta­ our Toll Center and Central Dial Offices. A final point: Should your system appear tion. These were extremely dangerous As an interesting sidelight, our unique to be an ideal candidate for new equipment excursions for our people to make, but the coupling of technologies to create the total and techniques, don't be afraid to break with equipment had to be serviced. system brought around another first. Sepa­ tradition. Founded in 1892 and serving a pio­ As these problems compounded, we began rate contracts were awarded for the passive neer area, the Siskiyou Telephone Company looking at ways to overcome them efficiently repeaters and the microwave equipment. broke with tradition and is reaping the re­ and economically. Our beginning approach Figure 2 shows the configuration of the wards in reliable, economical performance for was to replace the equipment terminal-by­ new system. There are a total of eight pas­ its customers. terminal plus adding a path for a new dial sive repeaters, including a unique double central office at Oak Knoll. This attack did passive near Gunsight Peak (shown on the not solve either the power or access probleinS cover). All passives, towers and antennas for the mountaintop sites, however. were installed by Microflect, Inc. of Salem, DRAFT EXTENSION VOTE UNIQUE USE OF PASSIVES Oregon. New microwave and multiplex equip­ ment is located at Happy Camp, Hamburg, It was at this point that we began looking Oak Knoll, Ft. Jones and Yreka where we HON. CHARLES A. VANIK into the possible application of passive re­ tie in with Pacific Telephone & Telegraph. peaters in conjunction with new, fully solid­ All microwave and multiplex equipment was OF OHIO state microwave and multiplex. Our initial installed by Farinon. IN THE HOUSE OF REPRESENTATIVES research step was to take a field survey of Construction of the new system began Monday, September 20, 1971 the area to be covered. The field survey in December, 1969 and most of it was cut showed that possible use of passive repeaters over by December 3, 1970. The first construc­ Mr. VANIK. Mr. Speaker, last Friday, was not only feasible but an affirmative ap­ proach to solving access problems for our tion phase was to set up the new terminals in in order to assure another vote in sup­ remote mountaintop sites. Ft. Jones and Oak Knoll. This was an initial port of the administration's efforts to ex­ Following this conclusion, studies were test of our theories, and it proved that the tend the draft, the White House dis­ initiated to compare costs of direct replace­ system worked in reality as well as on paper. patched a military jet plane to Burling­ ment with costs of redesigning the system The electronic equipment was installed with­ ton, Vt., to carry a newly appointed Sen­ to make maximum possible use of passive out problems and the engineering and place­ ment of the double passive repeaters proved ator to Washington for his vote. repeaters. The comparison demonstrated to In my judgment, it was a gross abuse us that by utilizing passive repeaters wher­ flawless. ever possible the company's initial invest­ As construction progressed, this pattern of discretion by the White House to spend ment in equipment and installation costs was repeated again and again. The electronic taxpayers' money and use military per­ would be six per cent higher than by direct equipment was trouble-free and installed sonnel to deliver a vote for its position on replacement. However, it was estimated that With ease. This was especially gratifying to a legislative program. annual maintenance costs would be six per us because we were the first common carrier to specify the new Farinon Electric equip­ This kind of abuse of Executive power cent lower than with an active repeater sys­ tends to corrupt the legislative process. tem. ment. The results of our intial studies led us to In the final analysis, the performance of I am requesting the General Account­ consider a system unique in Independent our new system matches the basic criteria we ing Office to rule on the propriety of telephone company experience. We were pio­ were concerned with in the design phase: spending of taxpayers' funds to deliver a neering in an area where no one had gone reliability, low noise, economical cost and specific vote on a measure before the before by making such extensive use of pas- removal of hazards to service personnel. Congress of the United States. September 21, 1971 EXTENSIONS OF REMARKS 32693 THE FUTURE OF BONDS, PUBLIC of debt adjustments and repudiations, at­ Too frequently programs are geared to the aoND ISSUES, AND BOND FI­ tests to the financial soundness of the availability of Federal funds, rather than NANCING IN CALIFORNIA State's economy and t he excellence of its what State and local government can afford, constitutional and statutory provisions per­ and more important, such Federally assisted taining to public debt. The capacity of the projects may be moved from a low priority HON. HAROLD T. JOHNSON voter to cast his ballot intelligently and of local needs to a high priority. The point I the taxpayer to be credit worthy whether would like to make is that many bond issues OF CALIFORNIA it be property taxes, business cycle taxes or would not have originated if it were not for IN THE HOUSE OF REPRESENTATIVES as a user of a public facility has sustained the Federal grant aspect, while other bond Tuesday, September 21, 1971 the investors interest in the excellence of issues would have been tailored to what the the State's bonds and those issued by lesser local unit of government can afford. There Mr. JOHNSON of California. Mr. units of government. The successful mar­ are other aspects of Federal credit programs Speaker, State and local governments keting of California's annual input into the directly related to Federal taxation which I throughout the Nation are experiencing capital markets of the United States, will discuss later. amounting to 1Q-15% of the national total State and local government finance rela­ an especially acute budget crisis as they has been primarily the efforts of competi­ tions are also an important ingredient in try to meet demands for expanded serv­ tive underwriting groups or syndicates, varied public finance. In California, the State's in­ ices while faced with declining revenues according to the size of the individual bond put to assist in financing education, high­ during our current economic difficulties. issue and eligibility for underwriting. Except ways and welfare at the local government .I would like to share with my colleagues for large issues requiring Wide geographic level is substantial. The State School Build­ the thoughts of Mr. Alan K. Browne, representation of underwriting partners, ing Aid Program is a prime example of the retired senior vice president, Bank of most syndicates are comprised of and led by State substituting its borroWing capacity to California based dealer banks and invest­ aid local school districts which have reached America NT & SA, on the future of bond ment dealers, including branch offices of their debt limits. financing in California. Mr. Browne gave out-of-state organizations. Even the largest Looking down the road it is apparent that his opinions in a speech before the Com­ issues are frequently purchased by California­ local units of government that rely heavily monwealth Club of California, in San managed syndicates. on the property tax for revenues, are finding Francisco, Calif., on September 3, 1971. If the record has been excellent, should it more difficult to meet the expectations of there be any question as to the future? Are the public not only for the quality of serv­ A text of Mr. Browne's remarks fol­ there any problems that can be seen on the lows: ices, but also an expansion of services. This horizon? Are there developments that could places a limtt on what such governmental THE FuTURE OF BONDS, PUBLIC BOND ISSUES, impact California's role in the marketplace? units can provide as matching funds to par­ AND BOND FINANCING IN CALIFORNIA How can these problems be dealt With in ticipate in Federal grant-in-aid programs. OPENING REMARKS order to insure that California and its public entities wlll be able to continue tap­ To meet this groWing problem State gov­ One of the initial Acts (Chapt. 10 Passed ping the bond market at reasonable rates ernment may find it desira.ble to provide Feb. 1, 1850) passed by the Legislature of the in order to finance needed public improve­ some of the local matching funds. Other than State of California in its First Session, which ments and to meet their cash needs? abandoning participation in the so-called lasted from December 15, 1849 to April 22, I intend to touch briefly on the sensitive national priority programs envisioned by 1850, in San Jose (Puebla De San Jose) was problems, as I view them. Some wlll be Congress, there is the alternative of revenue­ the authorization of a. temporary State loan familiar to you, while others may have es­ sharing. What form revenue-sharing Will as­ in the amount of $300,000 with a maturity of caped your notice. Finally I shall offer some sume, and when it might be available, is six months and interest at a rate of 3% per suggestions which may be helpful in prob­ anyone's guess. month. The bonds to be issued were to be lem solving. LEGISLATIVE PROCESS AND VOTER ATI'ITUDES paid out to the creditors of the State if there was insufficient cash in the Treasury. INTERGOVERNMENTAL FINANCE RELATIONS The California Constitution, Statutes and In a report of a special Senate Committee No discussion of public finance is com­ Court decisions define how units of govern­ <>n State debt to the Eighth Session of the plete without examining the groWing im­ ment may be created, specifies their sources State Legislature in 1857, the following state­ portance of intergovernmental finance rela­ of revenue and taxation, and establishes ment was made: tions-whether it is Federal, State or local. procedures for incurring debt. Each legisla­ "The wealthiest of States, and those whose Such relations are not new in the history of tive session produces a substantial volume credit is best, have frequently, by funding our country. You Will recall the compromise of bills that refer to public financial matters. postponed payment of claims to remote peri­ of 1970 in which the Federal Government Unfortunately the Acts of the Legislature ods, and thus have distributed the burdens assumed the State debts. However, the im­ are spread among various codes. There is no over a series of years in such a manner that petus to intergovernmental finance relations compendium or code that would bring to­ the weight is hardly felt. It is for us to profit can be traced to the social legislations of gether in one volume all Acts relating to by the example and so distribute the payment the New Deal. The Federal grant-in-aid pro­ State and local debt matters. Consequently, -)! our debts as not to cripple the energies of gram which was an integral part of the New some Acts fall into disuse-some are never 'OUr young State. Deal has become a permanent fixture in our utilized-while others are subject to fre­ Forced imposition for immediate payment intergovernmental relations. quent amendments. Uniformity as to specific cannot be borne by the people, and the debt The population explosion folloWing World provisions common in most Acts is by acci­ presented in that shape seems high and War II and the problems of our cities created dent. New legislative Acts are introduced monstrous, while in the form of a funded a need by all levels of government for re­ Without reference to existing Acts which debt, to be paid in portion, year after year, medial actions. Slowness on the part of some could probably be utilized. for twenty years, while the State is growing units of government and failure by others If it were not for the relentless eyes of and developing resources not had by any to treat these problems as matters of national interested individuals and organizations, other country, the debt is insignificant, fi­ concern set the stage for a greater Federal particularly the legislative Advocates, the nancially considered for the California of ten role. Today Federal financial aid is a. major State of California would be literally drown­ years hence." source of funding of many State and local ing in a sea. of public credit proposals to So in a few short years the young State government services. Between 1962 and 1967 meet every possible American dream. of California had accumulated a substantial individual grant authorizations increased As you are aware, the extraordinary ma· debt for that time amounting to approxi­ from 160 to 379 and the trend continues. In jority voting requirement on county, city mately $3,900,000, not including approxi­ terms of dollars, in fiscal 1970, total direct and school district obligation bond issues in mately $1 million Indian War Debt. It still Federal financial assistance to State and local California has been before the Supreme owed a portion of its 1850 debt. governments, including grants, shared rev­ Court, with the existing two-thirds voting I mention this historical background ma­ enues and loans, was estimated to be in excess requirement set forth in Sec. 18 of Article terial to stress the fact that California has of $24¥2 billion. XI of the State Constitution being upheld. been concerned with bond financing since How does this affect bond financing in Moves are under way to seek a constitutional it became a State. A more detailed search California? To the average individual it would change to either a simple majority or a 60% of the records would disclose that Califor­ seem that the flow of Federal funds would majority. Without debating the pros and cons nia has continued to face periodic crises in reduce the amount of bond financing re­ of the issue, if it is desired to curb debt that meeting its budgetary goals, providing the quired to provide "needed" capital improve­ would impact the tax rates, then some of necessary cash flow to pay its b11ls and to ments. I am sure all of you are fainiliar with the loopholes should be closed. do all the things the legislative process will statements by public officials that applica­ This is an era, for better or worse, of cre· authorize and the voters will approve. The tion will be made for certain specified Federal ative public finance. Where the need exists, same situation has also existed in our coun­ funds which will offset some of the costs of a way will be found to fund it. ties, cities, school districts and special tax­ a new facility. As a result, it has become an I have often recommended that Article ing districts. important municipal function to deal with XVI of the State's C'Onstitution be amended The fact that Calfornia and its political Washington. Ability to pry loose Federal so that debt as interpreted be redefined for subdivisions have survived over one hundred funds and to expedite applications is the State and local purposes to include any ob­ and twenty years without any major default name of the game. However, what is seldom ligations that represents a lien on property. of general obligation debt, with a Ininimum publicized are the alternatives to Federal aid. A constitutional amendment, I am happy 32694 EXTENSIONS OF REMARKS September 21, 1971 to see, has been proposed to require debt scene arrangements--negotiated transactions related IRS regulation, the Tax Reform Act incurred through joint powers or lease pur­ without the discipline of the competitive of 1969, and the IRS regulation dealing With chase, which is not voted on by the people, as marketplace. All tending to undercut the tax­ Municipru Industrial Aid Financing, arbi­ it is not interpreted as debt, m~t go to the payer and dilute municipal credit. trage and bank borrowing, indicate the con­ voters for a 60% vote to gain approval. The Despite repeated warnings and testimony tinuing pressure to invade this import in­ Act also reduces the voting requirement to to the contrary, the State Legislature con­ gredient of State and local finance. 60% on general obligation bonds. tinues to expand the st atutory authority for The need for additional Federal tax re­ non-voted general obligation debt by special sources, the Federal bureaucracy ocntention BUDGET PROCESS AND BUSINESS CYCLE TAXES districts. This is a dangerous trend and calls that tax exemption is a VfZY inefficient We have been spectators viewing the an­ for re-examination of the need for relaxing method of "subsidy" for State and local gov­ nual b81ttle of the budgets-Federal, State the sound financial safeguards established ernments, and the pent up need for ex­ and local. What has been apparent is that in the Constitution and Statutes of the panded municipal finance, will again bring bud~ footings iL. total tend to rise while an­ State. to the surface the advocates who desire to tioipated revenues tend to decline. To close Taking a look at the budgetary process ellininate tax exemption. the gap the usual remedies are higher taxes, there are areas within government, particu­ Caught in the credit squeeze of 1969-1970, increased Federal or State aid, shifting, fund­ larly related to larger units of government, when tight money forced interest rates and ing to a higher level of government or defer­ where the performance budget approach as borrowing costs to record high levels for all ring, reducing, or eliminating some budget recommended by the Commonwealth Club sectors of the economy, State and locru gov­ items. This last alternative is the most oner­ section on Governmental Finance is quite ernments reacted by either withdrawing bond ous, though higher taxes can also be a politi­ appropriate. The snow-balling etfect of issues from the zna,rketplace so-cruled "dis­ cal misstep. worthy programs being carried on and ex­ placements", raising statutory and consti­ The State of California, as you know, does panded year after year without a thorough tutional interest rate limitations and re­ not levy a property tax but has the authority review as to need, adequacy or duplication submitting proposals to the voters at the to do so, it be-ing kept on the books as a back­ can perpetuate unnecessary bureaucracy and higher interest rate liinits. up credit device for the State's general obli­ direct needed funds from other priorities. The fear of taxpayer revolt at the polls gation bonds. General fund revenues of the This can lead to unneeded bond proposals either through rejection of bond issues or State are derived mostly from business-cycle and excessive capacity. candidates or both, plus the lure of Federal taxes, including sales and income taxes. One aspect in bond financing that is fre­ "goodies", including grants-in-aid and the While local government has access to the quently overlooked by the legislative body end-of-the-rainbow pot of revenue sharing, property tax for its principal revenue source, that initiates the bond proposal is the neces­ has brought about a major shift in the atti­ business-cycle taxes are also being tapped sary public education program to acquaint tude of many public officials long staunch and have incree.sed in proportion. the voting public with facts concerning the defenders of tax exemption. It is obvious that when business is in a bond proposal. Bond issues just don't pass A special cominittee of the National League slump, revenue based on an improving econ­ because some legislative body has approved of Cities at its National Convention in No­ omy shrinks, yet government has not been their subinission to the voters. vember 1971, will recommend two proposals able to effectively anticipate its revenue take, The purposes for which bonds may be is­ calling for Federal subsidies for municipal so it either borrows in the marketplace, re­ sued will have supporters among those who bond issues to enable them to pay higher in­ sorts to inter-fund transfers or taps a new will benefit, but this is seldom a shoo-in fact. terest rates on municipal bond issues. source of revenue. The only trouble with Even those who benefit may find it difficult Meanwhile Congress is considering a num­ these alternatives is they are difficult to to appreciate the fact. On a State bond ber of proposals that in one form or other duplicate from year to year. issue, requiring only a simple majority ap­ will bring the Federal Government into a. There is great concern for the taxpayer­ proving vote, the stakes are large. One vote more direct participation in financing by particularly the property taxpayer-yet units to win or one vote to defeat. Consequently State and local government. These include of government in the quest for funds either a successful bond vote requires a citizens the Environmental Financing Authority to fiiUIInce governmental operations or to cominittee, employing a public relations firm (EFA-H.R. 5870), National Development carry out improvement programs, tend to and with adequate financial support. A cam­ Bank (S 580), State and Metropolitan Devel­ hide from the taxpayers the fact that they paign must be waged professionally and in­ opment Agency Act (HR 7594), RUl'lal Devel­ Sire really raising taxes. They can increase telligently. To provide the money to carry opment Bank (S 742), Coastal Zone Manage­ ·assessed valuations on individual property, out such a campaign requires many public ment (S 582), National Domestic Develop­ keeping the tax rate at the previous year service oriented corporations to foot most ment Bank (S 1958), Small Community De­ level or even reduce it, but still extract more of the bill. This is not self-interest, though velopment Agency (S 2058), to name a few. there are probably benefits to be derived. It dolla.rs. The imposition of a sewer tax on the PITFALLS OF PUBLIC FINANCE users water bill is another indirect tax on is really an assist to government in support property. A popular source of funds to sup­ of their program to insure that the voter is Periodically the States and their local units port sewer revenue bonds, a sewer tax can be adequately informed of the merits of the of government get the notion that to serve used for capital improvement purposes, pre­ issue. the best interests of their inhabitants re­ sumably for the designated purpose of im­ P

-- - -- ~ - September 21, 1971 EXTENSIONS OF REMARKS 32695 intergovernmental partnership, increase "di­ reached a crisis stage. Voters have rejected programs, with a view to concentrating such rect Federalism". tax increases and new bond issues. To meet assistance in the most vital areas; We should insist that our States use their rising costs, expanding school population and (c) Provide educational seminars in munic­ own resources to provide effective and in­ to equalize tax revenues between districts ipal finance, administration, debt markets novative remedial measures for the needs to insure equality as well as quality of edu­ and law, for civic officials on both the State and problems of urban areas and reject the cation, a variety of plans and formulas have and local levels; trend towards becoming primarily adm.inis­ been recommended. Even a Statewide prop­ (d) Publish timely reports on subjects of trative units for the implemente.tion of pol­ erty tax has been suggested. Without at­ special interest, such as tax reform proposals, icies determined by the Federal Government. tempting to rationalize all of the arguments new budgeting techniques, property assess­ 2. Our counties are in effect agents of the for and against specific proposals, I would ments, zoning or technical innovations 1n State government. They are often neglected strongly urge consideration of State govern­ transit or utility service; by the citizenry, yet they are fundamentally ment assuming substantially all local costs (e) Fostering more orderly debt marketing a form of regional or metropolitan govern­ of elementary and secondary education, par­ schedules by serving as an advance clearing ment. The proliferation of special districts ticularly in view of the Supreme Court deci­ agent for tentative offerings or major State and authorities usually under county super­ sion of August 30, 1971. Bond financing and local borrowers; vision, and frequently wtthout regard to need, should be shifted to the strongest possible (f) Codify existing debt legislation. Re­ tend to limit public participation, create base to insure adequacy of funds and lower view all proposed legislation for uniformity competition for tax revenues, and lessen borrowing costs. This could be accomplished of bond provisions and initiate proposals for the efficiency of existing governmental units. by merging districts, establishing metropoli­ model legislation; We should strengthen our county govern­ tan area districts and even countywide dis­ (g) Assemble credit files on State and local ments in the areas they are best qualified to tricts. Another approach could be through debt. Disseminate data on local government administer and resist the tendency to dilute a State School Building Authority, compa­ finances and assist in obtaining credit reviews the democratic process through creation of rable to the methods of certain other States. to insure adequacy of credit ratings. excessive taxing units. Creation of metro­ To provide the State with the necessary These are but a few of the possible func­ politan area government, county consolida­ funds, rather than a Statewide property tax, tions that could be performed by the pro­ tion, consolidating city-county government, as has been proposed, sales tax and income posed California Bureau of Intergovernmen­ merging school districts and special districts, tax resources could be expanded, even a val­ tal Relations. It could be tailored to meet should be encouraged. Not because of im­ ue-added tax could be used to supplement California's special needs, though experi­ proved efficiency by creating larger units and or replace existing levies. ences of other States could serve as a source. eliminating many smaller ones, but to im­ 6. The State of Oalifornia has vied with Fortunately California already has in being prove public participation. The stronger the New York State as being the most prolific a State Agency which has served local gov­ unit of government the better able to meet borrower in the long term bond market in ernment concerned with water, namely, the its financial commitments and service re­ recent years. Only the tight money period former California District Securities Com­ quirements. of 1968-69 materially curtained California's mission, which is now attached to the Office 3. It has been popular in recent years for input due to interest rate limitations. With of the State Treasurer. Its duties can be ex­ State a.nd local governments, where consti­ approximately $5 billion bonds outstanding, panded to serve ' the broader public purpose. tutionally possible, to encourage private in­ $1 billion authorized but unsold and almost While it will be able to generate revenues to dustry through a variety of inducements. $1% billion new bond issues to be submitted assist in underwriting its operational costs, One facet has been to use public credit as to the voters in June or December of 1972, the potential annual savings to the taxpay­ an aid to induce industry to locate within raises a number of provocative questions. Can ers in carrying out its mission could be sub­ a particular area. Historically this has led Oalifornia continue to sell $500-$600 million stantial. bonds a year? Are all of the purposes for to defaults on debt and has prompted the MUNICIPAL BOND MARKET-ITS NATURE AND SIZE IRS to prescribe what public purposes can which bonds are authorized or to be author­ be financed through tax exempt borrowing ized really necessary? Whatt determines the So far my remarks have dealt principally and that which is taxable. It has led to priority of bond sales by purpose? How long with the political and governmental aspects what is in effect tax exempt financing for between voter approval and the final bond of public bond financing in California. private enterprise, an abuse of tax exemption. sale? In other words, do needs change and I have stated that California has been able Oalifornia as a State cannot afford to use what about inflation? Does the Legislature to market its billions of dollars of bond is­ its credit for this purpose. Despite how glit­ understand the mechanics of the market­ sues successfully. While pointing out the tering the promise--there simply is not place, voter attitudes or investor appetites? problems of State and local governmental fi­ credit available. There are too many prior­ Further, as I stressed earlier-are public­ nancing and suggesting ways to cope with ities. Despite the existing constitutional minded corporations willing to foot the pub­ them, I have said very little about the capi­ prohibition, each legislative session produces lic information bills campaign after cam­ tal markets which must be looked to for the one or more bills that seek to circumvent paign just because they are asked to even dollars needed to float California's many the letter of the law. This includes involv­ though they are not consulted in advance of bond issues. ing the State in private mortgage financing legislative action? Some of you are aware of my concern as and governmental loans to individuals and I do not wish to indicate there are not to the trends in the marketplace as I have reasonable answers to these questions, but I been outspoken in my criticism of certain private industry. practices. 4. None of us can anticipate when emer­ am confident they are not being asked or gencies will arise or disasters strike, yet we not being asked by those who should know. Last year the dollar volume of new long tend, through the political process, to limit Which leads me to my thesis--that the State term State and municipal bond issues in the the flexibility of State and local governments of California cannot wllly nilly continue to United States totaled $17% billion. In 1971 meeting such crises. We even on occasion approach its long term bond financing as the total so far is at an annual rate of $25 limit government to adjust to changing times though it had the resources of the Federal billion-almost three times the amount in and conditions thus reducing their efficiency. Government. The State must set priorities 1961 and eight times the amount of 1951. We are familiar with earthquake, fire and on the need for State financed projects. It The effect of tight money substantially water damage, and have been providing must establish some guidelines on what increased the cost of borrowing, reaching a remedial legislation so that funds can be amount of long term debt it can afford. record high in 1970. This period has also quickly raised to meet the need without the Above all, it should recognize its plenary been one of great stress in the securities in­ usual due process delays. However, we take power over local government and seek ways dustry evidenced by back office problems, in­ a different view when other types of emer­ to insure sound local financial procedures adequacy of capital, record volume, regula­ gencies arise such as loss of anticipated and not so overwhelm the market with State tory changes, rising operating costs and loss revenues--usually a result of changes in the bond issues to the extent tha-t local govern­ and theft of securities. economy-inability to sell bonds because of ment trips to the auction mart suffer by To provide the investment funds to pur­ interest rate limitations or failure to vote the dilution that forces higher interest rates. chase the record volume of new municipal needed bond issues because the required 7. This sets the stage for creation Of a new bond issues, the traditional institutional in­ majority approving vote was not obtained. State agency which I have proposed on sev­ vestors were assisted by the return of the I! we are to preserve the financial viab111ty eral occasions. For want of a better name to individual investor. As a matter of fact, With of State and local government, we should in­ be called the "California Bureau of Intergov­ a record high volume of corporate and Fed­ sist on legislation that will permit meeting ernmental Relations". eral Agency issues, in addition to substantial such emergencies when they arise, provided The principal objective of the Bureau U.S. Treasury borrowing, the distributors there is a demonstrated need and ample would be to ensure the prime effectiveness of welcomed any new source of investment safeguards against abuse are incorporated. local administrative and financial manage­ funds. 5. By any measure, public education is the ment. This objective could be realized, for The Common Trust Funds, consisting of largest and most important State and local example. by: tax exempt securities administered by banks government activity. It has accounted for a (a) Discouraging the survival or prolifer­ and trust companies, were less of a market substantial amount and number of bond is­ ation of inactive, redundant, or ersatz over­ factor than in prior years. However, the ex­ sues reaching the market from year to year. lapping units in favor, where indicated, of pansion of tax exempt bond Funds catering With such heavy reliance on the property abandonment or of stronger consolidated to individual investors made an important tax to support local government, taxation in entities; contribution to the marketplace. .support of school bond issues of all types has (b) Coordinating Federal and State aid To reduce borrowing costs and to enhance 32,696 EXTENSIONS OF REMARKS Septernber 21,. 1971 market acceptance, two new concepts were come a part of a larger nationwide organiza­ bond issues may end and create an entirely introduced. One was a State Bond Bank tion. new type of taxable bond market and in­ which would purchase local issues and issue On top of this, California continues to be a vestor. its own paper and the other the insuring net importer of capital. In other words, it As I look down the road-! think all of of principal and interest on municipal bonds still must seek outside funds to :finance its these are possibilities. Not that I would agree by a private insurance company. While these growth. This is why it is important for Cali­ with each and every one as a premise. Rather vehicles have not had wide acceptance they fornia to have a strong and viable market­ I :firmly believe in the capacity of our free are manifestations of a growing concern place. It insures local distribution of securi­ enterprise system to continue to adjust to over the cost of money and the need for ties, both primary and secondary issues, it changing conditions. Not as rapidly as we new marketing techniques. insures a responsive nationwide outlet for its would like on occasion, but to keep probing Governmental securities, including State offerings and it exerts significant leverage on and hoping to find a better way to meet our and municipal bonds are exempt from the the cost of money for California borrowers. commitments and to achieve our goals. Securities and Exchange Act, except for This is where I have become concerned. I hope I have offered you some new ideas fraud. This means that the multi-billion Can California continue to exert its influence and new concepts without undermining dollar market in public securities is virtu­ successfully in the marketplace or must it one's faith in tradition. ally unregulated in its over-the-counter give way to out-of-State leadership? Cali­ Remember "The Power of the Purse" operations. fornia is not alone in facing this problem, controls all government and bond :financing Periodically abuses arise short of fraud, but California of all the States has demon­ helps keep the purse filled. but unethical in relation to the closely reg­ strated its capacity to be a successful leader ulated corporate securities business. in competing with Wall Street. These abuses can involve misrepresenta­ A strong regional market and an effective tion of a security, excessive fees charged a regional dealer mechanism is essential, in my THE NORTHERN ffiiSH SITUATION: customer to buy or sell, and over-trading to opinion, to successfully handle the annual name a few. Fortunately the number of or­ multi-billion dollar new issue volume. Wall A REPORT-NO. 4 ganizations engaged in these practices are Street cannot do it alone, even with its few but their efforts have been widespread. branch offices in other parts of the country. What the investor must know is with All investment and investment banking deci­ HON. MARIO BIAGGI OF NEW YORK whom he is dealing. He should insist on ex­ sion cannot be relegat~d to the Atlantic act details on each transaction and be sure Seaboard. IN THE HOUSE OF REPRESENTATIVES that his confirmation and the prospectus or The trend towards underwriting syndicates Tuesday, September 21, 1971 circular describing the issue coincide. He measuring relatively few in terms of mem­ should avoid "swaps" unless they clearly bership with very substantial liabilities, Mr. BIAGGI. Mr. Speaker, during benefit his tax status. He should insist on while enhancing the profitability of its team, this series on the Northern Ireland situ­ physical delivery of securities against pay­ must also face possible potential losses if ation, I hope to bring to the attention ment. If any doubt, he shou~d compare notes unsuccessful. This can be unsettling to the with any Stock Exchange member firm, In­ bond market when underwriters jettison un­ of my colleagues some of the many hor­ vestment Bankers Association member firm, sold balances. The expectation that regional rifying incidents of repression that oc­ his bank and tax consultant. dealers will always fill their orders at a price cur daily in that beleaguered country. While there was almost a solid front of concession, not including underwriting Most of the information I have was State and local government officials who profits, is unrealistic. The technique of taken out of the country by my daugh­ successfully opposed the inclusion of mu­ creating illusions of how successful a new ter, Jackie, and her friend, Carol Nolan, nicipal financing in the adoption of the issue has been received, in comparison with on their recent trip to the area. Mail Maloney Act Amendment to the SEC Act in the corporate new issue regulations, can be sent out is censored, so these reports 1938, today there may be some second harmful to the investor and the bond market thoughts. It is inconsistent that the issuer as well. mtimately the issuer, who frequently will be among the few that will actually and investor alike do not have equal pro­ must rely on local sources to provide urgently make it to the free world. tection under existing laws. There is one set needed financing, suffers as it faces the Today, I will include in the RECORD of rules for corporate :finance and another pressing need for additional financing. The two more affidavits by Northern Irish for governmental :finance. While there may out-of-state underwriters have little or no Catholics and their experience with the be many who would strongly oppose a Fed­ rapport with local problems. Their inter­ Special Powers Act. This insidious law eral umbrella over State and local :financing, est may not coincide or coincide at the same permits the authorities-notably the they have yet to make their case when prac­ time with the need of others. Previously ac­ British soldiers-to arrest and intern tices inimical to the public interest are be­ quired commitments may preclude a will­ ing perpetrated. ingless to accommodate or accommodate at civilians without charging them with Recently I publicly expressed my views in a price. specific crimes: opposition to some of the municipal bond To repeat, it is my contention that Cali­ ASSOCIATION FOR LEGAL JUSTICE, INTERN­ underwriting practices which have sur­ fornia must continue to exert its influence MENT-NORTHERN IRELAND, 1971 faced in the past two years. Like so many in the marketplace. It cannot afford to dele­ Report on arrest, interrogation and treat­ other innovations of today, what is con­ gate its responsibility for decision making to ment of: Peter Eugene Collins, 21 Walker sidered new is really no more than a other parts of the country. Street, Armagh. manifestation of the past. John Brooks in SUMMARY AND CONCLUSIONS Age: 32. his book "Once tn Golconda, A True Drama In conclusion-! have great faith in the Occupation: Bollerman. of Wall Street 1920-1938" touches on some ability of California to meet its bond :financ­ At 4:30 a.m. on August 9th, the soldiers ar­ of the practices which underly some of the ing needs in the years ahead. rested me at my home and brought me to the areas of my concern. One day we may see the disappearance of Military Barracks and then to Ballykinlar California is a regional securities market. the coupon bond we know today. It may take Camp. It not only is the source of a substantial the form of a stock certificate registered in There we were brought into a hut and amount of new financing, both municipal the name of the holder--or it may be a book­ made stand with face to the wall for about and corporate, but it is also the source of a keeping entry without physical possession of an hour. I was taken to see two Special growing volume of Investment Funds, both the security. Branch men and two Military Policemen. institutional and private. Its :financial insti­ General property taxation as a back-up They said, "You know you are being interned tutions are able to assemble funds statewide, source for bonds may give way to a general for being a. member of the Provisional I.R.A.',. nationally and globally, making it an im­ tax and revenue type security with access to I said, "I did not know about that.'' Then I portant money market center serving the all general and special fund revenues. went to the Doctor. I said I had bronchitis~ world. We may see greater Federal intervention He said that I would have to go to the prison To serve the financial community and its and perhaps a new type of Federal security hospital. Then he said to go back to where I customers, the Pacific Coast Stock Exchange to aid State and local government. came from. has emerged as one of the leading auction State government will be more responsible I was brought to another hut and made to markets in the country. Brokers, dealers, un­ to local government. This may take the form sit on the ground with my back to the wall. derwriters, investment companies, invest­ of guaranties, substitution of State credit, A soldier (with blue beret) came over to me ment advisors and trust departments have inducements to form stronger units of gov­ and he said, "Do you fancy me?" I said, "No I expanded their geographical coverage and ernment and creation of a Bureau of Inter­ don't." He said, "Turn and face the wall.',. their services in competing for the Califor­ governmental Relations. He said "Put your hands facing the wall, nia investor. State and local municipal bond markets sitting, your legs out straight facing the Yet growth has had its problems despite may be regulated to eliminate abuses and to wall." I had to do different exercises with my its rewards. The problems of the securities insure ethical practices. arms and legs for four hours. I found this industry, which I mentioned earlier, have Statistical reporting, credit rating, finan­ made my legs sore, my back-end and my been felt in California. The closing of firms, cial consulting and forward planning will be back sore and the whole thing was very dif­ attrition of branch offices, cost cutting and come more sophisticated and more widely ficult. Once when I turned my head, I got mergers have all occurred. The small locally used by governmental units. a crack on the head. owned and managed :firm has frequently be- Tax exemption of interest on municipal Then we got a meal of slops. It was the: September 21, 1971 EXTENSIONS OF REMARKS 32697 worst muck I have ever eaten. A soldier came would get the worst of it. He didn't re­ CANCER CONTROVERSY-ITS in and said, "You can smoke one cigarette. sist at any time, but despite this, he was SOUND AND FURY Another soldier said, "They got all taken off pulled up the hall with his arm twisted them." The first soldier said, "Then you can­ up his back and was struck with a baton not smoke." We were mentally tortured by across the shoulders. When he was being HON. JOHN J. ROONEY them blowing their smoke in our direction. brought to Army H.Q. at Pinehurst, one sol­ OF NEW YORK We renewed the exercises for about one dier said to the other, "Trust the--- Brit­ IN THE HOUSE OF REPRESENTATIVES hour. ish Army to miss out; we have planned this A soldier came in and said, "Is there a Col­ for a long time, but we've missed them." He Tuesday, September 21, 1971 lins here?" He took Jim Collins out and he was questioned in Pinehurst and they asked was away for ten minutes. Then I was called him: "Are you Finbarr, are you Kevin, are Mr. ROONEY of New York. Mr. out and I went to see Detective Murphy. He you Fintan?" he didn't answer and they Speaker, the September 10 issue of Med­ repeated the same questions about organisa­ asked was he refusing to answer to his name. ical World News magazine contains an tions. He said, that he was talking to the He said, "my name is Felim". He was photo­ -article entitled "Cancer Controversy­ Doctor and that the Doctor said he was going graphed and they brought him to R.U.C. to let me home. I waited about 10 or 12 min­ Barracks where he was finally identified by Its Sound and Fury," which expresses utes and they took me home by helicopter to Special Branch. They told him he could go the views of Dr. H. Marvin Pollard on Armagh Barracks and pushed me out on to and when he asked were they not bringing a subject of urgent importance to mil­ the road to walk home. him back as they had brought him up one lions of Americans. To the best of my knowledge the informa­ soldier said "I know where I would like to -Dr. Pollard, president of the American tion which I have given above is a true and bring you." He finally got home after two Cancer Society and one of the country's accurate account of what happened. hours. Meanwhile, the officer asked would most eminent gastroenterologists active -Date: 16th August, 1971. I answer some questions to fill out a form in cancer research, speaks clearly and PETER CoLLINS, but I refused and told him he already knew Signature. my name and address and I would answer convincingly on the need for legislation Rev. DENIS FAUL, nothing. They left at about 5:30a.m. to help conquer this dread disease, even Witne~s. To the best of my knowledge the informa­ as testimony on the Conquest of Cancer tion which I have given above is a true and Act (S. 1828) and other cancer-related ASSOCIATION FOR LEGAL JUSTICE, INTERN­ accurate account of what happened. bills is being heard by the Subcommit­ MENT-NORTHERN IRELAND, 1971 BERNADETTE O'HAGAN, tee on Public Health and Environment Report on arrest, interrogwtion and treat­ Signature. Elf the House Committee on Interstate ment of Felim O'Hagan, 81 North Street, Lur­ REV. DENIS FAUL, Witness. and Foreign Commerce. gan. This excellent and timely article is Age: 16. worthy of the attention of the Members Occupation: Student at Grammar School. TRIBUTE TO MISS MARIE AHEARN, of this body. Under the permission here­ Statement by mother of Felim O'Hagan tofore granted me by unanimous consent (Mrs. Bernadette O'Hagan). HYDE PARK SCHOOL TEACHER The Army had our house surrounded by of the House, I include Dr. Pollard's 4:30 a.m. on Monday 9 August, 1971-my statement: daughter was the firSJt to hear them on the HON. JAMES A. BURKE CANCER CONTROVERSY-ITS SOUND AND FuRY kitchen roof at the back. She aroused me OF MASSACHUSETTS For the past year, I have been carefully and I looked out of the front bedroom win­ IN THE HOUSE OF REPRESENTATIVES studying the proposals and efforts to estab­ dow to see soldiers squatting on the opposite Tuesday, September 21, 1971 lish a Conquest of Cancer Agency. And after side of the street. I opened the window and spending some time in Washington trying looked out to see about eight or nine stand­ Mr. BURKE of Massachusetts. Mr. to learn firsthand how the present system ing along the front of the house. I asked Speaker, I invite my colleagues to join works and how the new system would func­ what they wanted and an officer in charge, with me in paying tribute to a dear tion. I have become convinced that a can­ who had a lot of papers in his hand, asked friend of mine, Miss Marie Ahearn, a cer research effort involving possibly as much was Mr. O'Hagan at home. I told him he had as a billion dollars a year would be handled just gone for a walk as he loved an early teacher at Hyde Park High School in most effectively by such an authority. morning walk when everything was quiet and the Boston school system, who is Thus, I do not share the fears of some peaceful, and if they hurried they might retiring after many years of dedicated of my cohorts, especially those expressed by catch him along the road. He appeared an­ service to the young people of Hyde Park, the Association of American Medical Col­ gered by this answer and asked could they Mass. Miss Ahearn was honored last week leges, the Association of Professors of come in. I said "no" as they had been to at a reception by her associates, friends, Medicine, and various editorialists. The search the house a couple of weeks ago, and and former students. creation of a cancer agency, whose chief that I wasn't opening the door to them again. I have on more than one occasion in would report directly to the President, will He said "If you don't open I'm afraid we'll simply represent another step in the line of have to break in." I immediately shut the the past, had the opportunity to observe historical progress. window and we (my son Felim, daughter and and participate in Miss Ahearn's Ameri­ There was a time when the National In­ myself) sat on the bed to see what would can democracy class and I can testify as stitutes of Health handled relatively small happen. They started to thump on the door to her superior qualities as a teacher and amounts of money. In 1946, for example, the and kept a finger on the bell for about two as to her fine teaching methods. federal appropriation to the NIH was $50 minUJtes. This awakened my younger daugh­ Her ability to conduct meaningful million. In 1956, it was $90 million; and in ter aged 6, who started to cry and got very dialog with young people was unexcelled. 1966, it was $1.2 billion. With such a rapid agitated. The army then broke the glass rise in funding, administrative activities panel on the door and burst in. We all ran Her compassionate understanding of the obviously had to be altered and will con­ down the stairs and I asked what they wanted problems facing young people today re­ tinue to be changed in order to deal with this time. The officer in charge said, "We sulted in excellent results with her stu­ future increases. want all the occupants of the house down." dents. A hard worker, blessed with an At the present time, the budget and ad­ "Here we all are." I said. He ushered us into abundance of commonsense, Miss Ahearn ministrative policy of the various institutes the living room and kept asking was this all exhibited an unselfish devotion to her must be reviewed and approved by six higher the occupants. He then ran upstairs with an high calling. levels of bureaucracy before there is final armed soldier behind him, going in and out There are many who owe a great deal funding of research grants. At every level, of the rooms two or three times. While I to Miss Ahearn. Our community back there is administrative scrutiny of all the was upstairs I heard my two daughters activities and priorities of each institute. By screaming. Thinking the soldiers were hurt­ home has benefited and many of our ing them, I ran down and asked Siobhan young people have a better understand­ giving the director of the agency direct ac­ (aged 17) what they were doing. But it was ing of our beloved Nation because of her cess to the President, we can bypass this con­ because they were dragging Felim out (aged efforts. stant competition and make the handling of 16). My younger daughter Dara was hyster­ The Boston school system is losing one one specific medical subject more effective ical by this time and screaming that he of its greatest assets upon her retirement, and efficient. Worthy grants will receive was Felim, not Fintan. My son told me later speedier approval. Administrators will be able they insisted that he was Fintan and were I know that Miss Marie Ahearn will con­ to pinpoint support. It should be empha­ arresting him under the Special Powers Act. tinue to be active in the years ahead. I sized that this proposal will not "obliterate" They had warrants for my husband Joe and know that somehow she will use every the National Cancer Institute nor even alter three older sons, Barry 21, Kevin 20 and Fin­ moment to assist her fellowman. its internal processes as greatly as some peo­ tan 18. They kept insisting that Felim was It can be truly said that Miss Ahearn ple have feared. The NCI will, in fact, be­ Fintan despite our protests and he was drag­ during her entire teaching career had come the Conquest of Cancer Agency itself, ged over a chair, knocking it down. At this only time for the best. My best wishes go and I would assume that its director will stage I told Felim not to struggle as he to her in the challenging years ahead. still be the most important man scientif1- 32698 EXTENSIONS OF REMARKS September 21, 1971 cally, while reporting to the new agency achieved by the Manhattan Project and the rial from the Stars and Stripes-the Na­ head. The study and advisory groups should National Aeronautics and Space Administra­ tional Tribune, dated September 16, 1971. remain much the same, and the center will tion. However, they had much fundamental I call this splendid article to the at­ even stay at its present location on the Be­ information on which to base their projects. thesda campus of NIH, thus maintaining all This is not the case in the field of cancer at tention of the House: of the cooperative benefits that it has en­ the present time. BUSING CONFUSION joyed there. The leaders of such a cancer agency will Watching at first hand and reading of Nor do I think that this program will make have to guard against the temptation to go more distant cases involving the troubles "poor sisters" of other research institutes. out in all directions. I don't question for coming from school bussing, we are brought The National Cancer Institute led the way as one minute that a host of mediocre research­ to wonder if the Supreme Court could not the forerunner of the National Institutes of ers and mediocre bureaucrats could be at­ come up with a rather simple decision to Health in 1937. This greater emphasis on tracted to the program: The present system solve the problems others of its dicta have cancer today will help generate an increas­ is not entirely without fault in this regard. generated. ing concern with all health problems. And But I hope that the directors of any new Why not permit pupils and their parents to as a result, the health of our citizens should, cancer effort will use their skills to correct decide which school a child should go to? therefore, assume a higher priority in the and control this situation. If he favors one 10 or 15 miles away on the federal interest than such items as defense Research grants will continue to comprise other side of the city in which he lives, let and outer space. the majority of the funds. Nevertheless, in­ him climb on a bus and proceed to that Although this approach could mean a creasing interest is being shown in pro­ school. If on the other hand, he elects to fundamental change in the top structure grammed research and contracts. The attend the school in his own neighborhood, of NIH, it does not represent a dismantling contract mechanism, however, can be fraught perhaps only blocks away, why not let him of the institutes or a disaster for biomedical with personality weaknesses-such as poor attend that school. research by any stretch of the imagination. selection and favoritism--even greater than We are all Americans with the same basic If the cancer agency achieves the expected those encountered in study groups that rights and privileges. Why should our chil­ efficiencies, I would expect other NIH com­ evaluate research grants. Still, I think that dren be hauled around like livestock to ac­ ponents to follow. Their funding ceilings most contracts will produce excellent results. complish some theoretical balance of color, will be higher and their responsibilities They make it possible for the director to step brains, economic status or other factor? broader. But from the standpoint of the out with a new subject, find a research team In the happy days of the horse and buggy way grants are handled, for instance, I don't with the necessary capabilities, subsidize age, no one would have ever thought of mov­ foresee much change. them quickly, and let them concentrate on a ing children from one corner of a city to an­ Nor is the contention that this move would, specific area. other. The time element would not have per­ destroy or even disrupt relationships ~thin Doctors should not be so afraid of intro­ mitted such nonsense. Also, school boards NIH realistic. At present, the NCI is collabo­ ducing a businesslike approach into such a in those days who had a job digging up ade­ rating with several of the other health in­ national program. Over the past few years, quate funds to run educational institutions, stitutes on studies of primary interest to I have had the opportunity to compare the would have been tossed out bodily had they cancer research. I have no doubt tha·t this inside administrative activities of several proposed such costly shifting around of a collaboration will continue and even expand. strictly medical organizations with those of very great percentage of our people. · Since the legislation very pointedly keeps the American Cancer SOCiety. Never have I We have an idea that over the fairly near the cancer research program within NIH, seen so careful an allocation of funds as future, the costly bussing idea with all the the important scientific relationship between made by the half-lay and half-professional problems that it has created will be junked the cancer agency and the other Institutes groups in the ACS. I now believe that busi­ for a more sensible solution. should be strengthened rather than weak­ ness should definitely be involved. Physi­ ened. cians, and particularly scientists, do not The NIH has now been around long enough really have the concept of handling the huge to represent a paramount fixture In the en­ financial structure involved. There may even be some advantages in choosing a business­ FREE MEN ACT TO PRESERVE FREE­ tire research careers of some :investigators. DOM IN CALIFORNIA It is natural, I suppose, that individual re­ man-or businesswoman-to head up the searchers or leaders in research-dependent Conquest of Cancer Agency. medical schools should develop feelings of Any program that strikes out into new HON. JOHN R. RARICK insecurity when they hear people discussing territory must be prepared to come to grips any modifications. But research programs are with a multitude of problems. However, the OF LOUISIANA not going to be interrupted. notion that the cancer agency has been over­ IN THE HOUSE OF REPRESENTATIVES sold to the Administra..tion, Congress, or Besides, the fundamental approach to any the American people is ridiculous. The public Tuesday, September 21, 1971 research question cannot be altered simply wants this type of effort, and in fact is almost by the way it is funded. I lived in a period demanding it. The medical profession has Mr. RARICK. Mr. Speaker, the Presi­ In which there wasn't any NIH, and scientific just been a little shy in facing up to this dent of the United States seems bent on Investigators still produced. A good man is challenge and meeting it. However, if the the destruction of Chinese culture both not going to be upset; research wlll remain attention of the federal government can be in his attack on the free Republic of research. channeled even more strongly toward cancer China by supporting the CommWlist However, to the clinician and his cancer and other health fields, I believe that every­ government of Peiping for the China patients, this program potentially offers great one will benefit immeasurably. benefits. The cancer agency will be able to seat on the UNO Security CoWlcil and (Even as the senate was voting 79 to one in here at home in his own State of Cali­ mobillze support quickly to exploit promis­ favor of a special program to mount a mas­ ing developments. And three of the most sive research drive against cancer, a vocal fornia where his agents have forcibly exciting areas today include: the increasing and increasingly strident band of critics tried to abduct Chinese-American chil­ understanding of cancer that epidemiology arose to attack the proposed Conquest of dren and bus them across town to achieve has brought us; new diagnostic tools, such as Cancer Agency. American cancer Society some pseudo-intellectual's left-wing the carcinoembryonic antigen; and improved President H. Marvin Pollard, a renowned treatment methods, such as radio-therapy, liberal goal of proper racial mixing. gastroenterologist and cancer researcher at The brave Chinese-Americans in his using cobalt sources of even the subatomic the University of Michigan, feels that much particle, the pi-meson. Building new cancer of their fear stems from confusion over the home State of California have refused centers wlll also help spread such benefits structure and philosophy behind this ap­ to yield to such tremendous pressures across the nation. proach. Here he sets forth some of his rea­ against their cultural pride. Feeling that An even greater impact on cancer may be sons for believing that the program now "the culture of our Chinese background made by allocating large amounts of support being considered by the House of Represent­ is worth saving," the Chinese-American to professional training and education. When atives will not only preserve the orderly ad­ you don't have a cure for a disease, it is hard people of San Francisco have banded to­ vance of science but also speed the benefits of gether in the true American way to open on the patient and tough on the clinician. research to clinicians and their patients.) He has trouble justifying any treatment and their own private neighborhood schools, is put on the defensive because he doesn't not because they oppose integration, but have much· to offer. I am particularly hopeful because they believe in preserving their that as a part of this effort we wlll be able . BUSING CONFUSION own culture. The spokesman for the Chi­ to draw the attention of all clinicians, par­ nese Americans said: ticularly the young men in internal medi­ cine and family practice, to this vital field. Our concept is neighborhood schools, and It is they who must identify cancer earlier HON. J. IRVING WHALLEY we welcome anyone who lives in the area. OF PENNSYLVANIA if the surgeons and radiotherapists are to Such actions by the noble Chinese have any chance of improving our results. IN THE HOUSE OF REPRESENTATIVES Americans are worthy of the praise and Many pitfalls may await such a national Tuesday, Septem;ber 21, 1971 drive. The administrative model currently admiration of all Americans. considered by the House of Representatives Mr. WHALLEY. Mr. Speaker, I attach Likewise, we can expect the free Chi­ seeks to take advantage of the efficiencies herewith, an extraordinarily fine edito- nese of Taiwan not to bend like so many September 21, 1971 EXTENSIONS OF REMARKS 32699 bamboo shoots in the wind to the polit­ Vietnam and became the first American to pay-which is no small feat in these ical whims and dictates of President prisoner of war in Indochina. Since that infiationary times. Antonucci projects Nixon in his moves in the UNO. time, an additional 1,600 Americans have that through his ESCOM Enterprises I include a related news article detail­ been either captw·ed or listed as missing Corp., he will produce more than 10,000 ing the courageous stand of the Chinese in action in Southeast Asia. The plight of more low-cost housing units within the Americans in California against threat­ these prisoners and the suifering which next 3 years. And he has accomplished ened destruction of their culture by bus­ their families have undergone is a matter all of this virtually without Government ing in the RECORD: of deep and abiding concern to us all. subsidies of any kind. (From the Washington Evening Star, We can take some small comfort from As a member of the Banking and Cur­ Sept. 21, 1971] the realization that public pressure in rency Committee of the House of Repre­ CHINATOWN OPENS OWN SCHOOLS the United States and throughout the sentatives, which has jurisdiction over SAN FRANCISCO.-About 1,000 Chinese­ world has caused, within the last few all housing authorization bills, I was American children are attending four new years, some shift in Hanoi's position pleased to support passage of the Hous­ private "neighborhood schools" formed be­ regarding the treatment of prisoners. ing and Urban Development Act Amend­ cause of their parents' opposition to court­ Surely, for example, the impact of the ments of 1969 which authorized for the ordered busing to desegregate San Francisco's resolution passed last December by the public elementary schools. first time in the history of our country "We were forced to open these schools be­ Social Committee of the 25th United Na­ loan insurance to finance the purchase of cause of the strong desire of parents for a tions General Assembly, calling for com­ mobile homes. This legislSition also in­ free choice of where to send their children," pliance with the Geneva Convention and creased the loan amounts that may be said James Wong, a spokesman for the spon­ reaffirming the fundamental principle approved for land for mobile home soring group, called Chinese Parents for that prisoners are entitled to basic pro­ courts. As a Member of the Congress, I Quality Education. tection, care, and communication with was also glad to support passage of tlie A boycott of the public schools, which their families, reverberated forcefully in Veterans Housing Act of 1970 which pro­ opened Sept. 13 with 58.6 percent of expected Hanoi. The pressure of private groups enrollment, has been most noticeable in vided for the first time VA-guaranteed Chinatown, the largest Chinese community within the United States has also been mobile home and site loans. The Con­ in the United States. keenly felt. Positive evidence of the im­ gress has recognized the need for this The new "neighborhood" schools opened pact of these actions has been the in­ type of low-cost housing and has taken yesterday in four private Chinese cultural crease in fiow of mail to prisoners and the necessary steps to provide these school buildings where many Chinatown the occasional visits by Westerners to guaranteed mobile home loans for those children have for years attended bllingual POW camps now allowed by Hanoi. who wish to secure them. classes after regular school hours. But we must not allow our efforts to Wong said at a news conference yesterday In the Florida mobile community that another 1,500 children are on a waiting stop here. Our energies must not be homes of ESCOM Enterprises, Joe An­ list for admission when more classrooms can dissipated. All of us, whatever our views tonucci has created more than 200 acres be obtained. Total elementary school popula­ about the war, owe a great debt to these of spring-fed lakes whose waters are suit­ tion in Chinatown is about 5,500. 1,600 Americans held prisoner in the able for fishing, boating, .and swimming. "There's a very strong feeling in Chinatown North or listed as missing in action. We The lakes are crystal clear, stocked with that the culture of our Chinese background must continue to make every effort to fish of all kinds, and marine life thrives is worth saving," Wong said. alleviate their terrible plight and to in these waters which meet even the State Public school officials reported some picket­ rectify the grave violations of human ing of schools yesterday as attendance rose of Florida's high standards for drinking to 71.7 percent, still well below the normal rights which they and their families con­ water. Antonucci's mobile home commu­ 90 percent. tinue to endure. nities have indeed met with commenda­ The school district's plan to bus 26,000 of ble success in coping with the serious pol­ the city's 47,000 elementary school pupils lution problems that other communities stemmed from a finding by U.S. District are having difficulty resolving. Judge Stanley Weigel earlier this year that JOSEPH L. ANTONUCCI-FLORIDA'S Additionally, through the Bureau of the 97 elementary schools were "racially im­ HORATIO ALGER balanced." Indian Affairs, Joe Antonucci is develop­ "We're for integration," said Adam Gee, co­ ing a program of on-the-job training for chairman of the anti-busing parents' group. HON. FRANK ANNUNZIO thousands of Seminoles under the Fed­ "Our concept is neighborhood schools, and we OF ILLINOIS eral wage-hour law. Their product will welcome anyone who lives in the area." He IN THE HOUSE OF REPRESENTATIVES be the creation of mobile homes, and it said a few white students were attending. is expected that these trained Seminoles Bertha Chan, the other cochairman, said Tuesday, September 21, 1971 will assume the responsibilities of super­ her group is seeking state accreditation for the schools, which charge $5 per child per Mr. ANNUNZIO. Mr. Speaker, Joseph visory positions in the manufacturing of semester. Teachers are mostly volunteer L. Antonucci of Hallandale, Fla., has be­ the mobile homes. Lease payments alone housewives, she said, who get a "token fee." come in 3 short years one of Broward for the Seminole lands, it is projected, Wong said the group hopes eventually to County's most infiuential businessmen. will return to them an annual income raise sufficient money from parents and local He is a pioneer in the mobile home in­ rising from $250,000 to as much as $1 mil­ merchants to pay the staff regular salaries. dustry and has proven once again that lion per year. Some 30 classes covering grades one in America, individuals with initiative, I am proud of the record of Joe Anto­ through six are operating on double sessions, ingenuity, resourcefulness, and willing­ nucci for his is truly a modern-day Ho­ using surplus textbooks donated by the state. ratio Alger story. He is an enterprising 1\frs. Chan said that because each child is ness to work hard, can and do achieve in the schools only 2% hours and the state tremendous successes. builder who has provided low-cost homes requires a minimum of three, all pupils are A native of my own city of Chicago, for people in retirement, for servicemen, being asked to watch a half-hour of educa­ Joe Antonucci heads Cook County Mobile and for countless citizens in almost every tional television daily. Homes, Inc., one of the largest mobile walk of life who increasingly are finding home facilities in my own county. He it harder to meet the rising costs of awn­ spent 30 years in the mobile home indus­ ingahome. try in Chicago, and since, has moved to Sunday, September 19, 1971, was Joe AMERICAN PRISONERS OF WAR IN Florida where he has developed his 252- Antonucci's birthday, and in honor of the SOUTHEAST ASIA acre ESCOM Estates, turned run-down occasion, I had an American flag flown Hallandale acreage used for ·an auto over the Capitol of the United States. Mr. HON. F. BRADFORD MORSE dump into fancy Park Lake Estates mo­ Speaker, because our Nation's fiag has al­ bile home park, and secured approval for ways been the symbol for our democratic OF KASSACHUSETTS way of life that provides opportunities IN THE HOUSE OF REPRESENTATIVES a mobile home development on 260 acres of Seminole reservation land. for achievement for all, it is indeed ap­ Tuesday, September 21, 1971 "Miccochobee," or Big Chief, as the propriate that a flag fiew September 19 Mr. MORSE. Mr. Speaker, 7 years and Seminole Indians call him, has already over our Nation's Capitol in honor of 179 days ago, on March 26, 1964, Capt. produced over 5,000 homes for more than Joseph Antonucci-Florida's modern­ Floyd Thompson was captured in South 5,000 families at prices they can afford day Horatio Alger. OXVII--2057-Part 25 32700 EXTENSIONS OF REMARKS September 21, 1971 A TRffiUTE TO MAYOR sory board of California State College at she was particularly interested, the con­ Gil.JBERT SMITH Dominguez Hills, and is currently enjoy­ ditions under which children are born ing the sight of modern buildings going in the United States. up as rapidly as they can be con­ It is Mrs. Cutler's firm viewpoint that HON. GLENN M.ANDERSON structed-and being filled just as rapidly childbirth which does not involve par­ OF CALIFORNIA with eager young students. ticipation by the mother, and at times IN THE HOUSE OF REPRESENTATIVES Mayor Smith has also turned his at­ is under conditions which are a threat Tuesday, September 21, 1971 tention toward education on the elemen­ to the health of the mother and child, tary and secondary levels by serving on must be stopped. She delineates the four Mr. ANDERSON of California. Mr. the advisory boards for Ambler Avenue areas of maternal and child health care Speaker, since the city of Carson was in­ Elementary School, and the Glenn Cur­ in which the Federal Government has a corporated, it has been the tradition to tiss, Carnegie, and Robert Peary Junior role. I commend her remarks to my honor the mayor with an appreciation High Schools. In 1967, he was selected as colleagues: dinner at the conclusion of his 1-year a life member of the Towne Avenue Ele­ REMARKS OF MRS. BRUCE CUTLER term. That tradition was continued on mentary School PTA and, 2 years later, (Refer to Scientific American chart which August 27, when the citizens of Carson was the recipient of the 1969 Commu­ ranks the U.S.A. as 13th among nations in paid tribute to Mayor Gilbert D. Smith, nity Service Award from the Association infant mortality (per 1000 live births.), and a man who is far more innovative than of Elementary School Administrators. In 7th in maternal mortality.) traditional. addition, Mayor Smith helped the Los GENERALIZATIONS Mayor Smith has been a member of Angeles Unified School District develop Conditions under which children are born the Carson City Council since the day of its plan for decentralization and con­ in the United States include many medically incorporation and was returned to office tinues to serve as a member of the Com­ accepted procedures which actually jeopard­ last year by the biggest vote talley any munity Advisory Committee on Decen­ ize the physical and mental health of both councilman has recorded in the young mother and child. tralization. These unwarranted and dangerous proce­ city's history. In any other city in the A native Californian, Gil is a graduate Nation, he would have been hailed as the dures include the procedural use of drugs of Manual Arts High School and Los during labor and delivery, the horizontal first black mayor, but in Carson, where Angeles Trade Technical College. He is delivery table, isolation of the mother from race relations have set a high and happy a commercial artist and has served as an her husband (or other chosen companion). standard, which I pray the Nation will officer of the Los Angeles Society of n­ isolation from her baby, prevention of im­ soon achieve, Gil Smith was picked as lustrators. He and his charming wife, mediate breastfeeding etc. the best man for the job. Glenda, have lived in Carson for more Pre-natal care is superficial and causes Expressing the idea that progress to­ than 8 years and have three fine sons­ mother to rely on medical personnel and ward the goals of the people is the man­ artificial techniques instead of simple tech­ Gilbert, Jr., Jeffrey, and Christopher. niques to help her maintain control of her ner in which a city shows a profit, Mayor In 1970, Mayor Smith was chosen as own body and birth process. Smith brought Carson its most profitable an Outstanding Young Man of America Post-partum care effectively interferes with year to date and began programs that by the International Junior Chamber of normal breast-feeding and With normal will assure even better years ahead. Un­ Commerce; and, on March 2, 1970, he mother-child relationships for both breast der Mayor Smith's leadership, nearly 2 was selected as Citizen of the Day by and artificially feeding mothers. Hospital square miles of additional industrial land procedures can interfere to the point that radio stations XTRA and KOST. Gil is the arrival home is fraught With unneces­ was annexed to the city-land which, a member of the Board of Managers of even in its present undeveloped state, sary difficulties ranging from a sense of alien­ the Wilcardo YMCA, a member of the ation from the child to breastfeedlng fail­ brings more than $250,000 a year to the Carson Lions Club, and a commissioner­ ure. city treasury. Gil Smith was instru­ at-large for the Boy Scouts of America Post-natal care is supervised by doctors mental in bringing the city to participate in the harbor area of Los Angeles. whose lack of adequate knowledge causes in Federal programs to provide summer Mr. Smith is vice chairman of the them to impede and even halt breastfeed­ jobs for low-income youth, in providing Transportation Committee of the League ing even without medical justification. additional recreational areas, and in We hope the federal government Will ap­ establishing the Citizens Goals Commit­ of California Cities, and is acting chair­ proach these four areas of peri-natal care: tee that is now making long-range plans man of the Human Resources Committee 1. Improve pre-natal care and training. 2. of the Southern California Association of Improve childbirth facllities in the hospitals. for the city. Governments. He is also Carson's official 3. Provide alternative facilities for home But service as councilman and mayor representative to the League of Califor­ deliveries. 4. Provide information available to was not the begainning of Gil Smith's nia Cities and to the California Contract medical personnel as well as general public leadership in Carson. His leadership Cities Association. concerning breastfeeding. began even before the long dream of city Above all, Gil Smith is a warm and In addition to improving health of mother hood was realized. Mr. Smith helped or­ and child definite financial advantages wm ganize the Centerview Homeowners As­ honest person who is sincerely interested accrue to those using the healthier proce­ sociation in 1963 and served as its presi­ in the well-being of his fellow human dures. dent from that time until he was elected beings, and I am proud to have him as 1. Decrease of time spent in hospital and to the city council in 1968. In the days a close personal friend and valued of drugs used. Prepared mothers need J.nd adviser. use fewer drugs. Their labors are shorter; before incorporation, Gil often repre­ deliveries quicker and easter, and they recover sented the community before the County faster, being able to leave the hospital in a Board of Supervisors, the Regional Plan­ day or two, or even just a few hours. ning Commission, and other county MINNEAPOLIS HEALTH HEARINGS 2. Decrease the time spent by medical per­ agencies. sonnel with the woman and With the baby. It was this leadership and community A prepared mother has an easter labor and HON. DONALD M. FRASER therefore needs less medical attention. Her interest which led to Smith's selection as OF MINNESOTA husband (or other chosen companion) can the first president of the Carson-Do­ IN THE HOUSE OF REPRESENTATIVES easily attend her needs (bed pans, p1llows minguez Citizens Committee for Incor­ Tuesday, September 21, 1971 etc.) and can meet her emotional needs bet­ poration, a position which helped sweep ter than any strange though trained mem­ him to a seat on the city council by a Mr. FRASER. Mr. Speaker, for anum­ ber of the hospital staff. Faster births require substantial margin during the special ber of the witnesses at the recently con­ less time of the attending physician. Mothers With better labor and deliveries are better election in 1968, which made the dream cluded Minneapolis health hearings, the able and more eager to care for their babies of cityhood a reality. question of maternal health was of fore­ thus taking the pressure off the nursery staff. Mayor Smith has always taken an ac­ most importance. Mrs. Bruce Cutler dis­ 3. Improvement of childbirth and infant tive interest in education and his lead­ cussed the problem of maternal and child care techniques will lessen the costs of cor­ ership of a citizens committee helped wtn care. She pointed out that in her opinion recting unnecessary damage to the mother is the and child. For example: all the cost of high­ approval of the Dominguez Hills area of many times medical care given at ly technical procedures concerning Rh babies Carson as the site for the newest campus convenience of those providing the serv- can be eliminated if the mothers are allowed of the California State College system. ices and not at the convenience of those to nurse naturally at birth. (Dr. R. Bradley, In 1969, he was appointed to the advi- needing it. She cited in the case in which Denver, Colorado has found that nursingp September ~1, 1971 EXTENSIONS OF REMARKS 32701 which causes the blood vessels to close as But what Congress should do is also Barbarans, who have on record 53 natural the placenta is being expelled actually pre­ not simple. We all recognize the need for oil seeps releasing anywhere from a trickle to vents the back-mixing of the infant with the the valuable energy reserves of oil, and 50 barrels a day, since such circumstances maternal blood supply, thus preventing the were first recorded by Padre Pedro Font in complications of later immunity to sub­ valuable reserves are present in the Santa 1776-and not because there exists no need sequent babies.) The attached sheets rep­ Barbara Channel. We are all also con­ for the estimated several blllion barrel re­ resent the work of Dr. Herbert Ratner and cerned with oil pollution. This very split serve-but irresponsible because a decision is Karen Pryor in listing some of the problems is also well-voiced in my district. Santa only responsible when the man who makes less likely to be encountered by children who Barbara is generally antioil and Ventura it is held accountable by those most affected are or were breastfed. pro oil. The oil industry has long been a by its results. 4. Home deliveries would decrease wasteful part of this area of California, but pre­ The Channel leasing decision was dictated use of much needed hospital beds. viously on land. 1n Washington by the immediate lure of bad­ RECOMMENDATIONS Fortunately, the choice before us can ly needed revenues to cover the increasing The Federal Government should: be made in a realistic compromise fash­ cost of the Vietnam war in 1968, and the con­ 1. take leadership role in humanizing and tinually increasing national energy needs. ion. To date, there have been no oil dis­ The lease bidding netted the Federal govern­ improving medical services for maternity coveries on the 35 leases in question. care. ment a quick 624 million dollars. SP.nta Bar­ 2. emphasize pre-natal training as well as There is a Federal Government buffer barans endured the consequences. care. (This training should be the kind pro­ zone north of this sanctuary area and the Whether or not the spill was an ecological vided by the International Childbirth Educa­ State of California has created a 16-mile disaster with permanent marine damage is tion Association, which prepares the mother sanctuary northward of this; all seaward debatable, but importantly, that is only one for chlldbirth and provides her With knowl­ of Santa Barbara. concern. It was an environmental disaster in edge and techniques which not only ease and Seaward of Ventura and northwest of the sense of defacing the surroundings. The speed labor, but have been proven to be city has long made planning and develop­ the city of Santa Barbara a different sit­ ment decisions in the name of beauty; the healthier for both mother and child (as well uation exists. Approximately 2 billion as the father.) oil operations undermine this approach. Al­ 3. supervise and control materials put out barrels have been discovered in the area though the environmental disaster was tem­ by formula companies, and represent the peo­ directly south of Point Conception and porary, the threat of another looms on the ple by counter-balancing with accurate in­ Gaviota. It is unpalatable for the Con­ horizon, just beyond Santa Barbara's shores, formation and advertising concerning breast­ gress to accept the notion that the tax­ and without her consent. This situation needs feeding. payers would pay the oil companies $3 correction. 4. encourage the establishment of milk a barrel to leave the oil in the ground. HASTY DECISION banks. My legislation places no cong-ressional In retrospect, it appears the leasing de­ 5. encourage training and use of para.-medi­ restrictions on the production of oil in cision was made hastily. Stuart Udall, then oal personnel such as nurse-midWives (who Secretary of the Interior, today admits this. practice under doctors' supervision) and full the area, as long as drilling and produc­ Unfortunately, too many governmental ac­ midWives (who are independent practition­ tion of oil can be done safely and in com­ tions seem to have stemmed from decisions ers.) pliance with Department of the Interior that were not always preceded by a careful 6. use its influence to correct and increase safety regulations. The oil industry is in­ evaluation of the objectives sought and the information taught to medical personnel con­ vesting millions of dollars to achieve the cost involved. But because of the events in cerning childbirth and breastfeeding. goal of safe oil drilling. Santa Barbara, a more balanced evaluation 7. establish maternity clinics, independent process Will hopefully be part of all future of hospitals, where only the best medical care Let us work out a compromise. Let us clarify the situation in the channel. Let environmental decisions. is provided, as an alternative facUlty for the The spill provided the emotional impetus public and as example for consideration by the oil companies know they can pursue which thrust the problem of oil pollution obstetric units in hospitals. the tremendous reserves that area rela­ into the national political arena. Commen­ 8. establish home delivery facll1ties using tively speaking, remote from the popula­ tary on the results of that thrust are needed. midWives, perhaps doctors, and mobile ob­ tion centers, if they can pursue it safely. not as an eulogy for environmentalists' ef­ stetrics units. They have spent millions of dollars at­ forts (as the Channel problem is still before 9. encourage breastfeedlng by increasing in­ tempting to insure this safety. And let us the Congress), but rather to gain the per­ formation available to the public (as well as spective that evaluations of the past otfer. to medical professionals) via pamphlets, pub­ let environmentalists know the Govern­ ment listens and cares. LeWis Carroll otfers an insight into the lic service advertising, perhaps free advertis­ reaction of Santa Barbara in his work Alice ing for the La Leche League, International, My legislative assistant, Charles See­ in Wonderland. The king shouts, "the horror extension services etc. ger has written an article explaining the of the moment; I shall never, never forget.'' history of the Santa Barbara legislation But the Queen of hearts promptly reminds and outlining this compromise. I in­ him "you will, though, 1! you don't make a A SLICK LOOK AT SANTA BARBARA elude this article from Environmental memorandum of it.'' The Santa Barbara spill Quality magazine in the RECORD at this might, in time, possibly have been forgotten, point: but if Carroll's criteria hold true and memo­ HON. CHARLES M. TEAGUE randa guarantee remembrance, then few are OF CALIFORNIA A SLICK LOOK AT SANTA BARBARA likely to forget that event. · (By Charles Seeger) IN THE HOUSE OF REPRESENTATIVES GOVERNMENTS ADMITTED ERROR Tuesday, September 21, 1971 (Charles Seeger is the Legislative Assistant The memoranda on the Santa Barbara oil to Santa Barbara Congressman Charles M. spills are voluminous. Its forms are White Mr. TEAGUE of California. Mr. Teague. Part of his responsibll1ty includes House scientific panels, reports, Department Speaker, last evening the Secretary of the the handling of the Santa Barbara Channel of Interior regulations, Congressional bills Interior denied the application to install Legislation. He is responsible for the drafting and hearings, newspaper, magazine and two additional platforms seaward of of numerous bills in conjunction with Santa journal articles, and letters. These memo­ Santa Barbara, Calif. This decision was Barbara residents, as well as drafting some randa are a tribute to the citizens' environ­ the culmination of public hearings, a legislation on his own.) mental concern and, to a consequential ex­ draft impact statement, and a final state­ Albert Camus tells us, "We are all con­ tent, to a government that has admitted its demned to live together." Those who were in error. The horror has not been forgotten. ment, all of which preceded active lobby­ Santa Barbara, California, on January 28, But, despite these memoranda, the prob­ ing by environmental organizations and 1969, understand all too well this fateful lem stlll exists. Its form is no longer ex­ the oil industry and their personnel. It condemnation of togetherness. They under­ pressed in the immediate crisis of blackened was not an easy decision for the Secre­ stand it because on that day a dr1lling rig beaches, but rather in the continuing threat tary to make. I think he made this deci­ over federally leased ocean land in the Santa Barbara Channel blew out, belching thou­ of marine and aesthetic pollution. It con­ sion consistent with the present Federal sands of barrels of oil from the ocean :floor. tinues because the oil companies still have sanctuary concept he has in effect. The This oil oozed northwest with the current legal rights to drill, produce, and sell oil and Secretary is now holding 35 leases sea­ to blacken the beaches of a city that, ironi­ gas deposits, and to maintain drilling plat­ ward of Santa Barbara and around the cally, had years before cajoled the State Leg­ forms seaward of a city whose citizens, for Channel Islands in moratorium for the islature into creating an "oil free" sanctuary the most part, never wanted oil produced remainder of the Congress. The Secretary in the surrounding state waters. there. The problem can be elimlnated by chose not to violate this tentative sanc­ Santa Barbarans were condemned by to­ cancelling the oil companies' lease seaward tuary, certainly at the risk of incurring getherness because the decision to allow oil of Santa Barbara. an expensive lawsuit. Secretary Morton drilling in the Channel was one over which The Congress should do this. It has not. they had no control, or at best very little. The Over 2'5 bills have been introduced in Con­ has not waivered on this concept; now decision itself was irresponsible; not because gress affecting oil operations in the Ohannel. Congress must act. the threat of oil pollution was new to Santa The bilLs have ranged from immedl&te ter- 32702 EXTENSIONS OF REMARKS September 21, 1971 min.a.tion of the leases, to the creation of only in terms of dolla.rs for the Federal of Santa Barbara and Alaska.. This compari­ marine sanctuaries, to amendments to the Treasury from lease bids and royalties. There son is apt as a potential spill is the issue in 1924 Oil Pollution Act, to a transfer of ought to be a conscious choi<:e to set aside either place. In the Channel the threat is rights from the Channel to the Elk Hills resources which may be developed eventually, from a drilling platform; in Alaska it is from Naval Petroleum Reserve No. 5 near Ba.kers- but which owreful examination inrlica.tes a rupture in the pipeline that is essential for 1leld, Ca.l1forn1a, to a complete suspension ought not be developed now. This approach the development of the North Slope oil of operations 1n the Channel pending tech­ reflects conservation in its truest sense. reserve. ~ological developments. In the Santa Barba.ra Channel perhaps This comparison is offered because it is the Each of these proposals has speclftc objec­ this ·means a compromise; producing the Implicit comparison in Secretary Morton's tions, but the underlying problem is quite several b1llion barrels of oil in the Santa blll now before the Congress as the attempt basic: The oil companies paid 624 million Ynez Ba.sin, up the coast of Santa Barbara to solve the Armed Services Committee-­ dollars on a gamble that there was oil under and away from people, and creating a sanc­ money problem involved. the Cha.nnel. The choice is simply to let the tuary seaward of the city. Santa Barbara: There are presently 2-4 bil­ oil companies pursue their gamble, or Con­ Such a. compromise between proven oil de­ lion barrels of oil in the Channel; there are gress must take away their rights to do so, posits in the Santa Ynez Basin and unproven 200,000 people along the Santa Barbara coast; and pay them back. areas of the proposed. Santa Barbara sanc­ three mlllion tourists visit there annually; If Congress is going to take away these tuary makes sense. It has proved futile to at­ and the third largest city in the country is an rights, then just compensation must be pro­ tempt to persuade Congress to pay Humble hour and a half away. The area's recreational vided; the due process clause of the 5th and other oil companies $3 a barrel, for sev­ value is considerable. There exists no effec­ Amendment applies. Just compensation for eral billion barrels, to leave that oil in the tive oil containment procedure for the open these leases varies considerably depending ground. However, it might not prove so fu­ sea. Increased numbers of platforms have to upon one's perspective. The oil companies tile to persuade Congress to terminate the mean increased navigational hazards for paid 210 million dollars for the leases di­ leases seaward of Santa Barbara and around tankers. rectly seaward of Santa. Barbara, and have the Channel Islands where no oil has been Alaska: There are an estimated 25-40 bil­ paid several million more in rental fees. They discovered. This approach is before Congress lion barrels under the North Slope of Alaska; did not pay this money on the assumption and relegat es the problem of just compen­ there are only 15,000 people in the entire those lands were worthless. Yet, they have sation, conceivably, to what those oil leases western portion of the State; the pipeline been unable to determine tl;le resources, if cost: $210 m111ion. would be a tube 48 inches wide and across any, below their lands because the Interior It is this approach that Santa Barbara an area where no one lives, and 99% of all Department's reaction to the blowout in Congressman Charles M. Teague's bill calls Americans will never see. Oil containment on January of 1969 {political pollution to o~l for: a moratorium in the Santa Ynez Unit land is operative. executives) has obstructed exploraltory drill­ until certain criteria can be met to insure the However, this is a. bluntly phrased compari­ ing. safest possible oil drilling operational pro­ son. Certa.inly these are not the only con­ JUST COMPENSATION cedures, and termination of the leases sea­ siderations. Santa Barbara's coast is beauti­ In effect, the lease evaluation process has ward of Santa. Barbara and the Channel ful and Alaska's wilderness is a valuable and been stopped, save for some seismic informa­ Islands, creating a 37-lease sanctuary. diminishing commodity. A spill in either 10~ tion indicating the presence of oil. But this The Teague bill stlil faces the money prob­ cation would be disastrous. The decision to information has been satisfactory enough for lem, but it realistically recognizes this and produce should not be an either-or decision; oil companies who have yet to fall delinquent states if Congress is serious about dealing it should be made individually and with care. in their rental payments. From the perspec­ with this problem, then it will pay the price. The most candid approach is again simply tive of a potential reserve in the b1llion bar­ Hickel tried to surmount the money prob­ to pay what it costs to cancel the leases sea­ rel magnitude, with oil selling at $3 a barrel, lem by dr3.fting a bill that provided court ward of Santa Barbara, ~require technological just compensation is indeed considerable. determined just compensation for cancelling improvement before allowing drilling else­ On the other hand, some Santa. Ba.rba.ra.ns 20 leases seaward of Santa Barbara, through where in the Channel, and deal with Alaska argue the money problem is peripheral-they oil sales from the Navy•s· petroleum reserve separately. believe just compensation for the leases at Elk Hills, a producing oil field near Bakers­ But even a decision not to develop one area should be zero. For example, they cite one field, federally owned as an energy reserve. involves the comparison because the oil en­ instance in which all of Humble's informa­ This was an economically sound approach; ergy supply would be accordingly diminished. tion indicated an oil rich lease; Humble paid creat ing revenues for the pay-off 1n a pal­ As domestic resources diminish, for whatever 45 mill1on for it, drilled two dry holes, and atable fashion, budget -wise. reasons, oil importation will increase, conse­ then relinquished it as valueless. If this were But the Navy did not want its oil reserve quently increasing the probab111ty of a tanker true in one instance, the argument con­ depleted. Navy admirals politely testified be­ spill. It seem a circle. tinues, it may be true in others. However, fore t he Senate Interior Committee on the The interrelationship exists because at is­ this argument requires exploratory drllling history of the Elk Hills R eserve and stated sue is the dichotomy between the need for and its consequences-circumstances which that they had no objection to the Secretary environmental protection and the need for contradict the sanctuary a.rguinelllt. of Interior's idea. Then, figuratively speak­ the energy resource on. This is not an irre­ With these conflicting views, a court alone ing, the Admirals slipped around to the back solvable dichotomy. The balance outlined can decide just compensation for each lease. door of the House Armed Services Commit­ here within the Santa Barbara Channel is one A reasonable amount for the court to adopt tee, which has jurisdiction over Naval Pe­ resolving attempt. But the parameters seem might be the lease cost figure. Orucially, troleum Reserves, and conveyed their strong narrow. whatever the velue of the judgment, Oon­ opposition to this suggestion to Chairman The oil splll problem is merely one aspect gress must be previously committed to pay Mendel Rivers. The House Interior Commit­ of the encompassing environmental problem it. No such commitment has yet been made. tee Chairman's opening remarks at House we face today. But spllled on is unlike phos­ As Secretary of the Interior, Walter Hickel hearings indicated this chain of events. The phates in detergent, or mercury 1n fish, or helped draft legislation to surmount the legishvtion languished. even a foul smelling and dirty river--sp1lled money problem and to meet the energy needs. Since then Hickel was fired and Rivers oU is strikingly visible. Unlike most of the This 1atter issue was met head-on by Hickel died. The new Secretary of Interior, R-ogers pollution we tolerate, a black sludge can't when he testified before the House Interior Morton, has now proposed the same legisla­ be ignored. People see it and they see its and Insular Affairs Committee. He admitted tion expanded by 15 leases in accordance with consequences in the black and sticky beaches that the need was valid and that valuable oil Congressman Teague's bill. I! the Morton leg­ and oU-poisoned birds. This eUcits a cogent reserves might well lie beneeth the proposed islation is to become law, the Armed Services response from those who raked oU soaked Santa Bwrba.ra sanctuary area. But he also Committee must be convinced the Navy will straw from their darkened beaches; from clearly stated the need for environmental pro­ not suffer by having its Elk Hills reserve those who spent hours collecting aU-coated tection. depleted. birds which were terrorized because they ''ECOLOGIZING '' ALASKA FOR SANTA BARBARA could not fly; from those who cleaned the The two needs must now be weighed to­ Remotely, this seeins possible. The new birds' feathers with solvent only to see many gether. Hickel further testified that the Morton proposal again establishes reimburse­ die in spite of their efforts. "highest and best use" for the area seaward ment through the sale of Elk Hills oil. It Santa Barba.rans have done these things of Santa Barbara was not for oU production. also allows the continuing sale of that oil and accordingly react vehemently to the His statement was indicative of an "ecolo­ after just compensation has been rendered thought of an oil splll. They should. For It gized" decision. to the Channel oil companies, and thereafter those who exerience a.n environmental dis­ "Ecologlzing" decisions are needed. As a earmarks those revenues for the preparation aster remained complacent, and unradical­ White House panel stated, post-Santa of Navy Petroleum Reserve No.4, due west of lzed by their emotions, the hope for environ­ Barbara, this means offSihore mineral re­ the North Slope of Alaska. The Navy, as the mental protection would be dim indeed. sources cannot continue to be evaluated only saying goes, does not lose Elk Hills but gains Part of any improvement is being incensed in terms of the number of barrels of oil or Alaska. enough yourself to be willing to exert what­ cubic feet of gas producible, nor only in Perhaps this enticement of the Armed ever energy it takes to prompt positive action terms of money into the economy, nor only Services Committee 1s indicative of the from those who make decisions. Congress in terms of additional energy supplies, nor evaluation process--including a comparison must make this one. September 21, 1971 EXTENSIONS OF REMARKS 32703

REFORM NEEDED IN HANDLING All the nations grooalS when a sore spot on I here insert the Times article on RIOTS the body poUtic festers and runs. Colonel Herbert into the RECORD, and It is groa.ndng today about Altt1ca. commend it to your attention: But as long as revolutionaries a.re per­ HON. LAMAR BAKER lmtted to goad men etther behind or outside [From the New York Times Magazine, Sept. 5, 1971] OF TENNESSEE prison walls such unfortunate debacles will . happen. HOW A SUPERSOLDIER WAS FmED FROM HIS IN THE HOUSE OF REPRESENTATIVES COMMAND Tuesday, September 21, 1971 (By James T. Wooten) Mr. BAKER. Mr. Speaker, a great deal ARMY PffiLORIES VIETNAM HERO ATLANTA.-ln 1952, the U.S. Army after has been written and said about what what must have been considerable cogitation, decided that United Nations countries in­ took place at Attica prison. A thoughtful HON. BELLA S. ABZUG volved in the Korean pollee action might editorial has appeared in the Daily Post­ OF NEW YORK enjoy a glimpse of its most decorated enlisted af Athenian Athens, Tenn., which makes IN THE HOUSE OF REPRESENTATIVES soldier. He would be an American, of course-­ a contribution to the assessment of this the other contingents were not surveyed­ tragedy. Viewed from that distance, the Tuesday, September 21, 1971 and he would be a sort of latter-day Sergeant opinion expressed could be representa­ Mrs. ABZUG. Mr. Speaker, we have York or Audie Murphy, reflecting all this tive of American opinion in general and, seen in every public medium the evi­ good nation's courage and strength. His mis­ It al­ sion would be to personify his people's deep therefore, should carry weight. will dence of the atrocities committed by our commitment to their divinely ordained task ways be a source of regret that a settle­ forces and allies in Southeast Asia. We of saving the entire universe from Commu­ ment might have been near but under the have heard war crimes described by nism. The Pentagon files were exhaustively circumstances, there was no way for the thousands of young Vietnam veterans searched and it was determined that a skinny authorities to know. In this regard, I during hundreds of public hearings, in­ young ma.n from the coal fields of Penn­ think the editorial's comments about the cluding those conducted here on Capitol sylvania was precisely proper for the job. disruptive role of William Kunstler are Hill by an ad hoc congressional commit­ His credentials were indeed appropriate. He well taken. Even those he purports to had been a teen-age dropout volunteer in tee just a few months ago. 1947 and had been eager to get involved in help should have trepidation about his Yet, many of us refuse to face the truth the Korean conflict. He had survived its appearance on the scene. and permit our institutions to suppress miseries and mayhem, won his sergeant's Mr. Kunstler, notwithstanding, prison the truth in systematic ways. stripes and, in the process, picked up a reform will take place and priority con­ Many of us refuse to acknowledge the Bronze Star, three Silver Stars, four Purple sideration should be given to the segrega­ tragic truth that U.S. war crimes are not Hearts and a glittering collection of lesser tion of types of offenders. The tragedy just isolated phenomena, but the inevit­ medals and awards from our Government and is that it takes an incident of this mag­ others. What was even better was that all the able result of the kind of war we have hell and snow and mud and blood hadn't nitude to bring about this and other re­ made. changed him much from the good-natured, forms which are so necessary. And.perhaps most important, many of slow-talking, gentle-handed, church-going The Post-Athenian editorial, "Reform us refuse to believe that these crimes are boy his mother had raised. He was a hero­ Needed in Handling Riots," follows: being covered up systematically by our there was no doubt about that--but he had a REFORM NEEDED IN HANDLING RIOTS Military Establishment. grand, quick, crooked smile and a deferential The tragedy of Attf.oa prison in New York Apparently, still more proof, still more way of calling nearly everybody "sir" and Monday was inevtta.ble under the pattern of "ma'am" and the Army's public-relations testimony is needed to convince this Gov­ people were ecstatic. They had a winner and operations for penal and correction institu­ ernment of the immorality of its war. they knew it. tions the past few years. To serve that need I am inserting into He was 22 years old then, and he set off on Without disputing the validity of instances the REcoRD a study published in the New a whirlwind tour of the world capitals that of cruel guards, prisoner abuse, bad living York Times of September 5, 1971, which had, like Washington, contributed men and conditions, poor food and lack of concern on money and materiel to the war; he was all the part of state omcials to prison sttualtions, traces the experiences of a remarkable Army officer, Lt. Col. Anthony B. Her­ the Army could have wanted. When he came solutions to the problems are not found by back home to the coal fields. his friends and inslde riots but through outside ree.son1ng of bert. Colonel Herbert is one of the most relatives threw a big, daylong party for him. interested persons. highly decorated, exemplary military and after putting his uniform away, he mar­ Sln.cere individuals with widely different leaders this country has ever produced. ried the pretty girl from down the street, opinions on the way the rebelllon was settled Herbert has been recognized for his ex­ finished what remained of his high-school will differ strongly about the violent climax. traordinary moral courage and devotion requirements and went off to college, and The quelling of the uprising Will be listed to duty almost since the day he enlisted almost everyone thought that was that. every way from blatant murder to waiting They were wrong. too long be!ore subdiving the prisoners. in the Army in 1947. When he attempted to report to his By 1956, he was back in service with a As we review the disturbance a grea.t deal bachelor's degree in his pocket, second lieu­ of the trouble stems frS.ry Aircraft ______$924,239 Another poll by the Opinion Research Cor­ ferred to were those aboard the two vessels, CPA&A, M111tary Vehicles______183,149 poration of Princeton, N.J., brought similar the Padma and the Sunderbans. The Padma CPA&A, Vessels ______45,117 results on a nationwide scale and the per­ departed New York City on June 22 after CPA&A, Mllitary ElectroniCS----­ 9, 731 centages also emphasized that rank and file $1,231,158 of Munitions List articles were CPA&A, Artillery------­ 49,368 union members gave majority approval to loaded there. The Sunderbans departed the 2,830 the President's proposals in spite of the pro­ same port on May 8 after loading $996,613 of Pyrotechnics ------tests of Mr. Meany. Munitions List articles. In addition, approxi­ The success or failure of Nixon's plans rest mately $1.9 million of Munitions List articles, Total ------1,214,434 largely with the Democrat controlled Con­ or a total of approximately $3.3 mllllon have COMMERCIAL SALES gress, and it will take a powerful bipartisan been exported from the United States since CJA&A, Military Electronics ____ _ 15,686 effort to make any kind of an anti-inflation March 25. For your information I am enclos­ CPA&A, Military Vehicles------1,038 program work. ing a general breakdown of the major types The President has presented a framework of military items shipped on the Padma a.nd Total ------16,724 Within which all political interests, busi­ the Sunderbans. •Oomponents, Par1:6, Accessories and At­ ness, labor and other groups can work to­ In view of the considerable current public tachments. ward an equitable solution to the nation's interest in our mllltary supply policy for economic problems. Pakistan, we have prepared the enclosed full TOTAL VALUE OJ' MUNITIONS LisT ITEMS The public will be watching to see what statement of our policy, including an ex­ LICENSED AND DECLARED AS LOADED ON THE happens. planation of the interim actions we have SUNDERBANS AT NEW YOBK-$996,613 taken since March in light of the outbreak 1. Components, Parts, Accessories and ARMS TO PAKISTAN of civil strife in East Pakistan. Attachments for Artlllery-$4,300. I hope this information will be helpful to Included in this category are Slide Assem­ you. If I can be of assistance at any time, blies and Legs. please do not hesitate to let me know. 2. Components, Parts, Accessories and HON. LEE H. HAMILTON Sincerely yours, OF INDIANA Attachments for Vessels--$35,897. DAVID M. ABSHIRE, Included in this category are Angle Irons, IN THE HOUSE OF REPRESENTATIVES Assistant Secretary for Congressional Bearings, Bearing Sets, Ring Sets, Rocker Tuesday, September 21, 1971 Relations. Arms and Springs. s. Components, Parts, Accessories and Mr. HAMILTON. Mr. Speaker, re­ TOTAL VALUE OF MUNITIONS LIST ITEMS LI­ Attachments for Tanks and M111tary Vehi­ cently I have had some correspondence CENSED AND DECLARED AS LOADED ON THE cles--$158,668. with the State Department on the subject PADMA AT NEW YORK-$1,231,158 Included in this category are Armatures, of arms shipments to Pakistan. There is 1. Components, Parts, Accessories and At­ Claws, Claw Shafts, Air Brakes, Valves, a considerable amount of background tachments for Mllltary Aircraft--$924,239. Screws, Switches, Shims, Shafts, Cam Con­ information contained in these letters (This category includes items as follows: trols, Mount Knobs, and (1) Telescope. (3) Turbo-prop Engines T56A7B ($273,000), 4. Components, Parts Accessories and which should be of interest to my col­ (1) Test Stand for Aircraft Engines {$50,- Attachments for Aircraft-$767,0'11. leagues. 000), Pneumatic Aircraft Tires, Gas Tank As· Included were (10) J69-T25 Aircraft En­ I urge them to examine this material, semblies, Shield Assemblies, Parts Kits, Har· gines (new and used) ($443,530), Aircraft which follows: nesses, Line Delay Adapters, Seal Assemblies, Tires, Nose Canopy Assemblies, Electric Gen­ STATE DEPARTMENT, Cable Assemblies, Sheet Aluminum, Head erator Assemblies, Power Pumps, Steel Tub­ June 24,1971. Assemblies, Armatures, Batteries, Clutches, ings, Magnetos, Bushings, Electrical Jumpers, Hon. WILLIAM P. ROGERS, Nuts, Flangers, Bearings, Hose Assemblies, Armatures, Batteries, Cable Assemblies, Head Secretary of State, U.S. Department of State, Adapters, Tube Assemblies, Lead, Poppets, Assemblies, Parts Kits, Meter Assemblies, Washington, D.C. Meters, Cushion Assemblies, Carburetors, Lead, Turbine-Factor Simulators, Spar DEAR MR. SECRETARY: It has recently come Gears, Steel Ribs, Batteries, Rectifiers, Indi­ Webbs, Tank Assemblies, Shield Assemblies, to my attention that we have sent two ship­ cators, !:tings, Brakes, Pistons, Pump Assem­ Cushions, Cover Fronts, Ducts, Handles, ments of military equipment to Pakistan, in blies, Seat Assemblies, Starters, Gear Boxes, Actuators, Brake Armatures, Heaters, Wheel apparent viol>ation of current omcial policy. Tallpipe Assemblies, Chemical Fire Extin­ Assemblies. Starters, Nozzle Assemblies, · I would like to have an explana.tion of why guishers, Jet Igniter Assemblies, Release As· Sensing Devices, Housings, Supports, Rotor such shipments were allowed to occur. semblies, Nose Canopy Assemblies) Assemblies, Box Assemblies, Finlshed Steel I would also like to know if there have 2. Components, Parts, Accessories and At­ Structures, Steel Bars, Asbestos Packing, been any other shipments of m1litary equip­ tachements for M111tary Vehicles--$184,187. Modules, Cell Assemblies, Block Assemblies, ment to Pakistan since Ma.rch 25. (This category includes items as follows: Hose Assemblies, Indicator Assemblies, Thank you for your consideration of this Wheel Truck Assemblies, Mount Knobs, Aluminum Sheets, Fans, Signal Generators, matter. Switches, Shafts, Cam Controls, Screws, Starter Generators, (2) Aluminum Tanks, Sincerely, Mountings, Transformers, Cables, Gear (1) Carton of Parts for Repair/Overhaul of LEE H. HAMILTON, Drives, Bearings, Seals, Coil Wires, Brakes, Internal Combustion Engines and Miscel­ Member of Congress. Journals, Joints, Nuts, Rods, Springs Brack­ laneous Aircraft Parts. ets, Gaskets, Clamps, Dowels, Flanges, Gen­ 5. Components, Parts, Accessories and DEPARTMENT OF STATE, erators). Attachments for Protective Personnel Equip­ Washington, D.C., July 28, 1971. s. Components, Parts, Accessories and At­ ment-$5,551. Hon. LEE H. HAMILTON, tachments for Military Electronlcs-$25,417. Included were (2,000) Neck Bands for House of Representatives, (This category includes items as follows: Soldiers Helmets, ( 5) Sets of Parachute Washington, D.C. Power Supplies for GR-8, Height Finders, Kits which included ( 5) Flying Helmets, DEAR MR. HAMILTON: The Secretary has Holder Assemblies, Fuse Cartridges, Trans­ (5) Back Parachutes, (5) Chest Parachutes asked me to reply .to your letter of June 24 formers, Audio Freq. Meters, Cable Assem­ and ( 5) Oxygen Masks. requesting information concerning ship­ blies, Cranks, Post Binders, Meters, Voltage 6. Components, Parts, Accessories and At­ ments of military equipment to Pakistan. Regulators, Door Handles, Horn Covers, Mo­ tachments for Military Electronlcs--$18,745. M111tary equipment licensed for shipment tors, Transmitters, Straps, Blocks, Resisters, Included were (15) dipole antennas ($709), to the Government of Pakistan since 1965 Fuze Cartridges) . Radio Cases, Cable Assemblies, Resistors, has consisted exclusively of nonlethal items 4. Components, Parts, Accessories and At­ Navigational Aids (height Finders), Electri­ and spare parts a.nd components for lethal tachments for Vessels---$45,117. cal Wires, Electrical Power Cables, Special items in the Paktsta.nl inventory, with the (This category includes items as follows: Purpose Electrical Cables, Toggle Switches, exception of some ammunition. Springs, Rocker Arms, Screws, Ring Sets, Electronics Repair Tools (Screwdrivers, Under our current policy there is no formal Bearing Assemblies, Cable Assemblies, Pliers, Sockets, Wrenches) , Antenna Elec­ embargo. Instead, only Foreign MUitary Clamps, Shafts, Blocks, Cable Repair Kits) . trical Connection Receptacles, Antenna Bales (FMS) items duly licensed which were 5. Components, Parts, Accessories and At- Strain Insulators, Observation Window Hous­ turned over to the Government of Pakistan tachlnents for ArtUlery---$49.868. ings, and (22) Telephone System Intercom or its agents 1n this country prior to March (This category includes Parts Kits). Control Kits. 26 may continue to be shipped. Items pur­ 6. Pyrotechnlcs-$2,830. 7. Components, Parts, Accessories a.nd At­ chased. commercially a.nd on the United (This category includes Signal, Smoke tachments for Sighting and Fire Control States Ml.;llitlons List (Tltle 22, Code of Fed- and illumination Marine (Distress Signals). Equipment--$6,375. CXVU--2058-Pal'lt 25 32708 EXTENSIONS OF REMARKS September 21, 1971

Included were (13) M76F telescopes with (A) A hold was put on delivery of FMS the Government of India through the United spa,re parts for same. items from Department of Defense stocks; no Nations High Commissioner for Refugees, The total dollar value of Munitions List such items have been released to Pakistan will carry one million doses of cholera vac­ articles Ucensed and declared as loaded on since then. cine prOduced in the United States to help the SUNDERBANS was $996,613. Of this (B) The Department of State's Office of contain the serious cholera outbreak which amount $32,495 is Commercial Sales and Munitions Control has suspended the issu­ has occurred am.ong refugees in eastern $964,118 is Foreign Military Sales. ance of new licenses and renewal of expired India. The breakdown by category and value is: licenses (valid for one year) for items on the The Department also announced that the FOREIGN Mll.ITARY SALES Munitions List-for either FMS or commer­ U.S. has agreed to provide a.1r transport for CPA&A •, Vessels ______cial sales. up to 300 tons of rehydration fluid and other $35,897 (C) We have held in abeyance any action a.nticholera supplies being assembled by the CPA&A, Tanks & Military Vehicles_ 155,742 on the one-time exception arms supply offer World Health Organization in Geneva. CPA&A, Alrcraft------765,897 announced last October; no item in that CPA&A, Military Electronics ______6,582 In addition, the U.S. has agreed to provide offer has been delivered to Pakistan or its to the Government of Japan, on a reimburs­ 964,118 agents, and nothing is scheduled for delivery. able basis, US Air Force aircraft for tra.ns­ Total ------By early April, when these interim actions porting to India ten Jeep ambulances which coMMERCIAL SALES were taken, the Government of Pakistan or the Japanese Red Cross is donating for medi­ CPA&A, Artillery ______4,300 its agents had obtained legal title to, and cal work among the refugees in eastern In­ CPA&A, Vehicles ______2,926 were in possession of, some items still physi­ dia. CPA&A, Aircraft------­ 1,180 cally in the United States. In addition, DOD In connection with these announcements, CPA&A, Protect!ve Personnel commercial contractors under the FMS pro­ Joseph J. Sisco, Assistant Secretary of State Equipment ------5,551 gram, and other commercial suppliers, con­ for Near East and South Asian Affairs, ex­ CPA&A, Military Electronics ______12,163 tinued to utllize valid licenses issued before plained the three basic elements of US policy CPA&A, Sighting & Fire Control the actions taken in early AprU. Some of in regard to the situation in East Pakistan. Equipment ------6, 375 these items, legally the property of the Gov­ "The first", he said, "is tliat we are fully ernment of Pakistan, have been shipped to supporting international efforts to provide Total------32,495 Pakistan from U.S. ports and it is likely that humanitarian relief assistance to the peoples additional military supplies, under valid of East Pakistan who have been affected by • Components, Parts, Accessories and At­ licenses, will be shipped in the future. the civil strife. We are also providing full tachments. Our overall military supply policy toward support to the international efforts to pro­ Pakistan continues under close review. vide such relief assistance to the refugees JULY 1, 1971. from East Pakistan in India. Second, be­ STATEMENT OF U.S. Mn.ITARY SUPPLY POLICY DEPARTMENT OF STATE, cause of the possibility that the situation in FOB PAKISTAN Washington, D.C., Aug. 13, 1971. East Pakistan and eastern India could esca­ In 1965 when hostilities broke out be­ Hon. LEE H. HAMn.ToN, late dangerously, we have counseled restraint tween India and Pakistan, the United States House of Representatives, on both sides. Third, we have made clear our placed an embargo on the supply of all mili­ Washington, D.C. belief that normalcy can be restored in East tary equipment to both countries. All grant DEAR MR. HAMn.ToN: The Secretary has Pakistan only within the context of a peace­ assistance was terminated and none has been asked me to reply to your letter of June 24, ful political accommOdation." resumed except for modest Inilitary train­ 1971, regarding recent shipments of mllitary In regard to the last point, Sisco explained ing programs. equipment to Pakistan and requesting an that a political accommodation in East Paki­ In 1966 the embargo was modified to per­ explanation of why such shipments were al­ stan is important both to stem the flow of mit the sale to both countries of non-lethal lowed to occur, in apparent violation of cur­ refugees and to create conditions in East end-items such as communications, medical rent official policy. Pakistan conducive to their return. In this and transportation equipment. In view of the considerable current public connection, he noted the current visit to In 1967 the policy was further modified to interest in this subject, we have prepared the Pakistan and India of Prince Sadruddin Aga permit the sale of ammunition and spare enclosed full statement of our military sup­ Khan, the United Nations High Commissioner parts for those items of m111tary equipment, ply policy for Pakistan, which includes an for Refugees, and hoped it would be helpful such as aircraft and tanks, provided by the explanation of the interim actions we have in seeking resolution of the refugee problem. United States prior to the 1965 Indo-Pakistan taken since March in light of the outbreak Summarizing US pa,rticipation in interna­ confilct. A one-time exception to the con­ of civil strt!e in East Pakistan. It also ex­ tional relief efforts in East Pakistan and tinuing embargo on lethal equipment was plains the basis under which limited quanti­ India, Sisco said that the US has now an­ announced in October, 1970. This authorized ties of military items, mainly spare parts for nounced contributions of $17.5 million worth the sale to Pakistan of 300 armored personnel previously supplied U.S. equipment and all ot relief assistance for East Pakistani refu­ carriers and about 20 aircraft. licensed for export prior to the military ac­ gees in India. This policy on military supply to Pakistan tion in East Pakistan last March, continue This U. S. Relief Program is being coordi­ has been based on the judgment that it is to be shipped. We are aware of four Pakistam nated by an inter-agency committee on Pak­ desirable for the United States to continue vessels that have carried, among other cargo, istani refugee chaired by Frank L. Kellogg, to supply limited quantities of military items some of these licensed items. It is possible Special Assistant to the Secretary of State to Pakistan to enable us to maintain a con­ that further shipments may be made as this for Refugee and Migration Affairs, who de­ structive political relationship. We have also dwindling pipeline is drawn down. As of the parted for Geneva June 11 for discussions, wanted to ensure that Pakistan is not com­ middle of August, the total value of valid Kellogg will be Visiting India for discussions pelled to rely exclusively on other sources licenses wm have declined to about $4 mil­ with relief officials there and for an on-the­ of supply. lion, and will continue to decrease during the spot examination of the problem. The Government of Pakistan purchases months ahead as licenses expire and are not The US will provide food for 1,250,000 ref­ Munitions Llst items either through the renewed. To put this policy in perspective I ugees and provide other assistance, such as Foreign Military Sales (FMS) Program or also enclose a copy of the Department's state­ medical supplies, shelter, and transporta­ commercially from the manufacturer or dis­ ment of June 12, 1971, setting forth the main tion. In Pakistan, the US has urged the Gov­ tributor. Items under the FMS program are elements of our overall poUcy toward the East ernment of Pakistan to request, and the purchased either from stocks which are un­ Pakistan situation. United Nations to coordinate, a prompt and der direct Department of Defense control or I hope that this information wlll help clari­ effective international relief effort. "We have from the Defense Department's commercial fy for you our present military supply posture been encouraged by reports of productive contractors. All equipment either obtained which, as you will note, is under continuing conversations this week between Pakistani commercially or delivered under the FMS review. officials and Mr. Ismat Kittani, the Special Program to Pakistan Government repre­ Sincerely yours, Representative of United Nations Secretary sentatives in the United States must be li­ DAVID M. ABSHIRE, General U Thant, and indications that a co­ censed for export by the State Department's Assistant Secretary for Congressional ordinated international relief operation in Office of Munitions Control before it may be Relations. East Pakistan is being organized," Mr. Sisco exported. said. There are also items which are common to DEPARTMENT OF STATE FOR THE PRESS Within the framework of this international mllitary as well as civilian use (such as cer­ [June 12, 1971, No. 131] effort, the US this week has signed an agree­ tain autom.oblle and truck spare parts) which ment with the Government o! Pakistan to are not on the Munitions List, but which EAST PAKISTAN RELIEF provide $1 mUiion in grant assistance for may require a Department of Commerce The Department of State announced today the charter of boats with crews from third license. that three U.S. Air Force C-130 aircraft countries to deliver food grains and other In light of the outbreak of fl.ghting in East would leave Pope Air Force Base in North essential relief supplies to the cyclone af­ Pakistan on March 25-26, we have taken cer­ Carolina at 11:30 p .m., June 12, to join a fected areas in East Pakistan where serious tain interim actions with regard to military fourth aircraft already in India, to carry out food shortages now threaten. The US stands supply for Pakistan. Whlle no formal em­ an airlift of East Pakistani refugees from ready promptly to provide additional assist­ bargo was imposed, the following intertm the crowded Indian state of Tripura. ance in water transport, fOOd and other sup­ actions were taken in early April : These aircraft, which were requested by plies as may be required in East Pakistan. September 21, 1971 EXTENSIONS OF REMARKS 32709 AUGUST 3, 1971. sequently revealed clerical error involving have reduced the pipeline figure to only Mr. DAVID A. ABSHIRE, shipping. documents. The correct figures are $2.57 million as of August 18. Assistant Secretary for Congressional Rela­ as follows: Between March 26 and August 24, 1971, tions, Department of State, Foreign military sales ______$2, 553, 738 Munitions List articles have been exported Washington, D.C. Commercial transactions______180, 819 to Pakistan as follows: DEAR MR. ABsHIRE: Thank you for your Foreign military sales ______$3, 226, 414 letter of July 28, concerning U.S. shipments Total------$2,736,557 Commercial transactions______447, 609 of military equipment to Pakistan. Your letter did not include an explanation The Department issued two export licenses of the total dollar amount of mllitary aid to for commercial transactions subsequent to Total ------$3,674,023 Pakistan in the "pipeline". March 25 and prior to its formal decision to With respect to your second question, I Consequently, I would like to know what change the policy on exports to Pakistan. believe you will find the policy reasons for the total dollar value is of Foreign Military One license was issued on March 31 for $7,450 not revoking licenses contained in the state­ Sales items duly licensed for shipment to of frequency ca.l1brators for use with meteor­ ments I enclosed with a second letter I sent Pakistan prior to Ma.rch 26, 1971, which were ological equipment. The second license was to you on August 13. turned over to the Government of Pakistan issued on April 6 for $2,000 of parts and If I can be of further assistance on this or its agents in this country, and which have accessories for S2F aircraft piston engines. or any other matter please do not hesitate been shipped since that date or are awaiting Both licenses were revoked in June, but the to let. me know. shipment. license for engine parts had already been Sincerely yours, I would like the same information for used and the articles had been exported. DAVID M. ABSHIRE, items purchased commercially and on the The Department may revoke or suspend Assistant Secretary for Congressional U.S. Munitions List. licenses in accordance with Title 22 of the Relations. If any licenses for such shipment were Code of Federal Regulations, section 123.05 issued between March 25, and the date in (a). With the exception of the two licenses early April when a hold was placed on deliv­ mentioned above, however, the Department ery of foreign military sales items, I would has for policy reasons determined that to CANADIAN PIPELINE ALTERNATIVE like to know the value of those shipments revoke the balance would not be in the SHOULD BE STUDIED as well. United States' interest. Finally, I would like to know if there is I hope this information will be helpful. any legal way the U.S. can halt the delivery If I can be of further assistance please do HON. LES AS PIN of licensed shipments. not hesitate to let me know. OF WISCONSIN Thank you for your consideration of these Sincerely yours, matters. DAVID M. ABSHIRE, IN THE HOUSE OF REPRESENTATIVES Sincerely, Assistant Secretary for Tuesday, September 21, 1971 LEE H. HAMILTON, Congressional Relations. Member of Congress. Mr. ASPIN. Mr. Speaker, today I would Mr. DAVID M. ABSHIRE, like to place in the CONGRESSIONAL RECORD DEPARTMENT Oll' STATE, Assistant Secretary for Congressional Rela­ a copy of the Mackenzie Valley Pipe Line Washington, D.C., August 13, 1971. tions, Department of State, Washington, Research Limited Preliminary Report, Hon. LEZ H. HAMILTON, D.C. which is dated June 1970. House oj Representatives, DEAR MR. ABsHIRE: Thank you for your Washfngton, D.C. letter of August 13 concerning shipments of This 33 page report concludes that a DBAa Ma. HAMILTON: I have for reply your military equipment to Pakistan. Canadian pipeline to the Midwest could letter of August 3 in which you request fur­ I am unclear from your response as to the be constructed for less than the Alaska ther information concerning military equip­ total value of licensed goods shipped since pipeline transportation system and also ment licensed by the Department of Sta.te March 25, 1971. I am speaking of Foreign that the operating costs of the Canadian for export to Pakistan. Military Sales goods and Munitions List pipeline would be about the same or less Your first request concerns the value of items. Receipt of this figure would be ap­ than the trans-Alaska pipeline and its licensed Foreign M111ta.ry Sales items as of preciated. tanker transportation. Canadian Bechtel March 25 that had been turned over to the You mentioned "policy reasons" for not re­ Pakistan Government or its agents in the voking the outstanding export licenses. I Limited was commissioned to do the United States and were in the pipeline wonder if you could enumerate these for study. (awaiting shipment or shipped) until the me. The study states that the cost of build­ present time. You also request information Thank you for your consideration on these ing a Canadian line from Prudhoe Bay for the same types of"items purchased com­ matters. to Chicago would cost less than $2 bil­ mercially. Sincerely, lion· Most estimates of the cost of the In providing this information, time and LEE H. HAMILTON, Alaska route, including sea transporta­ circumstances play an important part in the Member of Congress. nature of actual export transactions. Accord­ tion, have been between $3 and $4 billion. ingly, the data should be read in conjunction DEPARTMENT OF STATE, This report also means that the op­ with the explanation which follows: Washington, D.C., Sept.15, 1971. erating costs of the Canadian pipeline Pipeline categories Hon. LEE H. HAMILTON, could be up to 50-percent cheaper than July 13: House of Representatives, the Alaska transportation system. This Foreign military sales ______$13, 549, 893 Washington, D.C. would allow oil to be piped to Chicago Commercial transactions____ 1, 334, 463 DEAR MR. HAMILTON: I have for reply your letter of August 26 in which you request fur­ via the Canadian pipeline at about the same cost that oil could be shipped to the Totals ------14,884,356 ther information related to my letter of August 4: August 13 concerning dollar export figures west coast via the Alaska route. Since oil Foreign military sales ______7,395,490 for miUtary equipment shipped to Pakistan. presently sells for 65 cents more in the Oommercial transactions ___ _ 1,328,462 As explained to Mr. Rasmussen of your Midwest than on the west coast, this 8, 723,952 office on the telephone on September 1, there would mean that the State of Alaska's Total ------is no direct correlation between the "pipe­ The July 13 data represent the results of line" figures on page 1 and the "exported" profit would be $95 million more per year a long analysis completed as of that date. figures on page 2 of my August 13 letter. if the Canadian pipeline is built and car­ Due to the expiration of a number of licenses Many export licenses routinely expire before ries the expected 2 million barrels of oil since July 13, not more than the indicated the licensed articles are exported. This oc­ per day. This is so because Alaska's 20- $8.7 million was in the pipeline as of Au­ curs in some cases because the purchaser of percent royalties on all North Slope oil gust 4. a commodity may change his mind about are based on the price that the oil is This figure will be reduced further for a the quantities he wants delivered after he sold for at market minus transportation total of $3,768,173 as of midnight, Augsut 13, has obtained a license; in other cases the when a number of additional licenses will suppliers may be unable to deliver the or­ costs. Thus, with the same transporta­ havo expired. dered commodities to a port before license tion cost, oil in Chicago would sell for at I should emphasize that these are outside expiry. Changes in purchase orders and least 65 cents more per barrel than figures of what may be exported because the contracts are not unusual after a license would oil on the west coast. At 20-percent Department has no way of knowing how has been issued, often requiring applicants royalties, this would net 13 cents per much material can reach ports of embarka- to seek new licenses. barrel more for the State of Alaska. That tion before licenses expire. For these reasons I have emphasized that While on the subject of actual exports the "pipeline" data represent "outside" multiplied by 730 million barrels an­ since March 25 I am sorry to inform you figures. Thus, whereas the total pipeline fig­ nually would net $95 million more for that the $3.3 million figure given to you in ure on August 4 was calculated at $8.7 the State of Alaska each year. my letter of July 29 was in error. An audit million, the expiration of certain licenses Mr. Speaker, simply put, this study of those hurriedly-compiled figures has sub- and the moderate use of st111 valid licenses provided strong evidence that the Ca- 32710 EXTENSIONS OF REMARKS September 21, 1971 nadian pipeline would be superior £o a written in June 1970, systematically dis­ maintenance and com.munica.tion facilities trans-Alaska pipeline both environmen­ putes the figures contained in this re­ and avadla.bility of fuel supplies. While these port that a Canadian pipeline would be factQI'S are all under serious consideration, tally and economically. The cost of con­ this report will deal basically with the trans­ structing a Canadian pipeline would be less expensive to build and operate than portation of oil. around $2 billion, not the $5 billion that would the trans-Alaska pipeline trans­ Preliminary studies by several companies many officials of Alyeska-the Alaska portation system. have suggested that a. pipe line through pipeline company-have been estimating. I urge those of my colleagues who are Ca.n.ada to central North American markets As it turns out, the $5 billion figure that interested not only in the Alaska pipe­ could have an economic advantage over the they have been throwing around for so line issue but in our country's energy other distribution alternates to this specific long is a gross overstatement, not un­ policies to read this important report, market. In addition, such a line would tra­ verse an area. potentially rich in oil and gas typical of Alyeska's past statements. which follows: reserves and would interconnect with existing As you know, the Interior Department MACKENZIE VALLEY PIPE LINE RESEARCH orude oil pipe line networks serving current is expected to issue its environmental im­ LIMITED, PRELIMINARY REPORT, JUNE 1970 oa.na.ddan and u.s. markets. The Mackenzie pact statement on the proposed Alaska One of the most prospective regions for Valley pdpe line reasea.rch effort has, there­ pipeline, as required by the National new supplies of oil in North America. is the fore, been concentra.ted on this pipe line Environmental Policy Act of 1969, prob­ northern extremity of the continent. The rowte. ably within the next month. In the past, major discovery on the North Slope of Alaska. Oana.cl1a.n Bechtel Limited was commis­ and the promising prospects of the Macken­ sioned to undertake the necessary study. In I have argued that a Canadian pipeline zie Delta. and the Arctic Islands indicate pros­ alternative should be fully evaluated be­ view of the insufficient knowledge to the ef­ pects for oil accumulations capable of an fects of construction and operation of pipe fore any permits are granted to build the eventual production potential of several mil­ lines on permafrost terrain, a test loop was proposed Alska pipeline. It is clear to me lion barrels per day. constructed a.t a site near Inuvik, N.W.T. that a Canadian pipeline would be eco­ Alternate methods of transporting this oil which was known to have high ice content logically superior to the Alaska line pri­ to market are as follows: type of perma.fTOSt; and oil is being circulated marily because the Canadian pipeline 1. Tankers through the Northwest Pas­ through it at temperatures up to 160° F. This would not be exposed to the risk of rup­ sage. loop consists of two 1,000-foot sections of 48- ture due to earthquakes and because it 2. A pipe line across Alaska. and tankers to inch diameter pipe. One th£lu.sa.nd feet has markets in the United States. This line has been constructed on piles above ground and would not require the use of tankers as already been announced (Trans Alaska Pipe­ would the Alaska route. A Canadian pipe­ 1,000 feet has been laid in a gravel berm on line System) and the present Prudhoe Bay top of the tundra. line would, I believe, make more eco­ producers are committed to it. In order to nomic sense because it would bring oil serve the Eastern markets in this alternative, The research also included aerial surveys, additional pipe line fa.cllities would have to oil analyses, evaluation of log1stics of con­ into the Midwest and East where the struction and· operation, effect o:f construc­ price of oil is higher and where its short­ be constructed from the U.S. West Coast to the central United States. tion on soil and wildlife, operation and main­ age is much greater than on the west 3. A pipe line up the Mackenzie River Val­ tena.nce procedures, ecological studies, and coast, where much or all of the oil from ley to Edmonton and from there directly to precautions necessary to protect the environ­ the Alaska pipeline would go. Chicago and ultimately to East Coast mar­ ment. These investigations, together with Unfortunately, it appears likely that kets. In this alternative, a second line could other related factors, were incorporated in a the Interior Department will not include also be constructed from Edmonton to the study to assess the economic merits and feasi­ a complete and independent evaluation West Coast. b111ty of the project. of the Canadian pipeline as an alterna­ Recognizing that any oil pipe line out of Indications to da.te confirm the feasibility tive to the Alaska pipeline in its environ­ the Arctic would require an unusually long of construction and safe operation of a 48- planning period because of problems hitherto inch diameter system from Prudhoe Bay to mental impact statement. This appears not faced by the pipe line industry, Macken­ Edmonton, a distance of approximately 1,700 to be the case because, after having zie Valley Pipe Line Research L1m1ted was m.Ues. The line could likely be constructed in promised that the Interior would study formed under the Canada Corporations Act two years a.t a cost of $1.5 billion. For a good the Canadian pipeline alternative, Sec­ by Letters Patent dated June 2, 1969. Its pur­ portion of the route north from Edmonton, retary of the Interior, Rogers Morton, pose is to conduct research to permit evalua­ pipe line construction would be reasonably then changed his mind and simply asked tion of a practical and economic method of conventional and similar to that with which the North Slope oil companies to con­ constructing and operating suitable pipe line pipe line contractors have had considerable fer with the Canadian Government about facilities from the North Slope of Alaska to experience. The most d111lcult terrain is en­ Edmonton. countered in the mo~ northerly sections. the possibility of constructing such a line. Present shareholders are as follows: Whlle estimates of probable costs have been It is clear that this hardly is an ade­ Atlantic Richfield Canad·a Ltd. made, it is recognized tha.t additional data quate substitute for the Interior Depart­ BP 011 Limited from the Inuvik test section and extensive ment independently studying and nego­ Cities Service-Canada, Inc. further research will be required to provide tiating over the possibilities of building Elf 011 Exploration and Production Can­ the necessary confidence in construction the Canadian line. The decision by Mr. ada Ltd. teohnlques and estimates. Consequently, this Morton not to have Interior independ­ Gulf 011 Canada Limited report 1s strictly preliminary. ently study the Canadian pipeline was a Hudson's Bay Oil and Gas Company The route selected by Bechtel calls for the very unfortunate one, and I believe, a Limited pipe line to be constructed through the Imperial 011 Limited Brooks Range in Alaska. This route mini­ sign of bad faith--especially in light of Interprovincial Pipe Line Company mizes the detrimental permafrost to be the mounting evidence that a Canadian Mobil Oil Canada, Ltd. crossed, and avoids the Arctic Wildlife Range pipeline would be superior to the Alaska Shell Canada Limited in the northeast corner of Alaska, but it pipeline in virtually every respect. Standard 011 Company of British Colum- has its disadvantages. An alternative route It is incredible to me that the Interior bia Limited close to the Beaufort Sea shoreline, or pos­ Department could consider granting per­ Texaco Exploration Company sibly offshore, is therefore being investigated. mits for the construction of the Alaska Trans Mountain 011 Pipe Line Company In order to extend the study to permit pipeline before a thorough study has Valvoline 011 Company of Canada Limited evaluation of the cost of transportation to been completed on the Canadian pipe­ In addition, TransCanada Pipe Lines Lim- the major markets, Interprovincial and Trans Ited is participating in the technical studies, Mountain pipe line companies have made line. But it does appear that this is ex­ but by arrangement is not a shareholder. comparable evaluations of the costs of con­ actly what they are going to do. If this Shareholders have certain continuing rights structior. and tariffs between Edmonton and is the case, and the Canadian alterna­ if and when the line is construct~. the central U.S. and Pacific Coast market tive is not fully discussed in the final The North American market and reserve places. The total capital cost and tariff, Prud­ environmental impact statement, it will st.tua.tion for natural ga.s is similar to that for hoe Bay to Chicago and Prudhoe Bay to the be, in my opinion, a flagrant violation oil. Accordingly, it follows tha.t means will Puget Sound area via Edmonton, are sum­ of the National Environmental Policy have to be found to transport the natural gas marized on Tables 7 and 10. The tariffs shown Act, and the courts will not allow the thalt will be produced 1n conjunction with are for comparable purposes only and should the ol.l-s.nd independently of the oil-to not be considered absolute, since changes to pipeline to be built. market. In view of the common problems in any of the basic assumptions could appre­ At this point, Mr. Seaker, I would like pipe line transportation out of the Arctic, it ciably change the tariffs. to insert in the RECORD a copy of the is desirable that both an oil line and a gas Mackenzie Valley is extending its research Mackenzie Valley Report on the Cana­ line be considered at the same time. Econ­ program in order to ensure the practicab111ty dian pipeline. No report that I have seen, omies could be derived in many ways such of construction of a pipe line system out of written before or after this report was a.s mutual use ot right-of-way, sharing of the Arctic. There is concern, however, that September 21, 1971 EXTENSIONS OF REMARKS 32711 despite favourable results !rom the research best method of designing and constructing tea.u has a heavy organic cover underlaid by project, restraints could be imposed which the pipe line and related facilities. Informa­ permafrost. The route south to the border would prevent the ultimate consummation tion on the geology, surface terrain, soil com­ between the Northwest Territories and Al­ o! such an undertaking. position, and ground ice content of the berta. is in discontinuous permafrost. Flat, One area. of concern is that unfavorable permafrost areas along the proposed route poorly drained areas with portions of slightly attitudes could develop because o! potential is necessary in order to assure structural in­ rolling terrain are encountered. Most of the disturbances to the ecology. Such attitudes tegrity of the system and to develop tech­ route from the Alberta border to Edmonton overlook the fact that the oil industry would niques which will allow operation of a warm has a water table at or near the surface. not consider the construction o! any pipe oil pipe line without adversely affecting the A detained evaluation of the surface and line which could not be built safely with ecology. subsurface soil conditions has been con­ a. mlnlmum affect on the environment. It is The severe weather conditions encoun­ ducted along the proposed route with the recognized that there are stlll problems for tered in the northern areas require the de­ exception of the northernmost 400 miles. which a satisfactory solution has not been velopment of special techniques for con­ Before finalizing the specific details of the determined. Further research is planned to struction and operation of the line, and route, all soil conditions w1ll be checked to resolve the outstanding problems. special designs for many of the fac111ties. ensure construction methods conform to the Another area of concern is with financi­ Items which require further investigation in­ requirements of the terrain. A further inves­ bllity. Because a -substantial portion of any clude protection of wildlife and preservation tigation of surface and subsurface soil con­ pipe line constructed from the North Slope of the environment, surface restoration, heat ditions will be conducted over the next year. of Alaska would be located in U.S. territory, conduction in gravel and frozen soils, com­ It is hoped that a correlation between pho­ a United States company as well as a Ca­ parison of various insulating materials, pipe togrammetry and soil sampling can be estab­ nadian company is contemplated. It is not line anchor design, et cetera. lished. Particular attention w1ll be given possible to conceive of Canadian sources In order to evaluate the unknowns and to the sections of the route through the supplying the $1.5 to $2 billion or more develop the required knowledge, the follow­ Brooks Range and the Peel Plateau. Ooastal that would be required. It will be necessary ing three-part program was instituted: routes along the North Slope will be studied. therefore to seek outside capital. Regard­ 1. Technical Investigation. as alternatives. less o! source, it is incumbent that no un­ 2. Field Test Installation. FORECASTS THROUGHPUTS necessary uncertainties be introduced that 3. Economic Evaluation. The forecast throughputs used for the would destroy the confidence o! the financial TECHNICAL INVESTIGATION community. design and economics in this study are those The most practical way of financing a proj­ After preliminary studies of the following being used by the various industry study ect of this magnitude would be by means of items, it is concluded that solutions to all groups. They are as follows: long term debt to the maximum extent pos­ of the problems inherent in northern pipe­ Throughputs sible. In order to raise this type o! capital lining are technically feasible. (Barrels some !orm of throughput or deficiency agree­ 1. Crude oil characteristics. Year: per day) ments, guaranteeing the interest and pr~n­ 2. Pipe line hydraulics and thermo­ 1------600,000 cipa.l payments, would be required. In all dynamics. 2------800,000 probabllity, before these commitments 3. Pipe line start-up and shut-down. 3------1,000,000 would be forthcoming, a clear undertaking 4. Pipe line control under low temperature 4------1,100,000 or agreement would have to be reached by conditions. 5------1,200,000 5. Pipe stresses. both governments covering crude oil move­ 6------1,800,000 ments between Canada. and the United 6. Hydrology of streams and rivers. 7------1,400,000 States. 7. Soil mechanics. 8-30------1,500,000 8. Performance of materials under low Depending on these considerations and MAIN LINE DESIGN the financial ratings of the companies in­ temperature operation. 9. Protection of personnel and equipment The pipe line design calls for 48-inch di­ volved, present indications are that possibly ameter, API-5LX-60 pipe with a wall thick­ as high as 80% of the required capital could under Arctic conditions. 10. Construction methods in the Arctic en­ ness o! 0.438 inches. Design is based on a. 95% be raised in the form of long term debt. throughput to capacity ratio during the criti­ This would stlll leave at least $300 million vironment. 11. Maintenance of equipment in the Arc­ cal winter months. Hydraulic gradients are to be raised by the sale of equity for the tic environment. based on a crude with a gravity of 27.7° API Mackenzie Valley project alone. and with varying viscosities, due to the ther­ In view of the many novel features of the 12. Foundation design in regions of con­ tinuous and intermittent permafrost. mal gradient along the line. Oil will enter the project, an early start on financing would be line at about 150° F. An overall design vis­ necessary. A high degree of cooperation be­ The research to date has indicated certain definitive problem areas which will be in­ cosity of 220 SUS at 45° F. provides a reason­ tween industry, government, and financial vestigated in depth. able approximation of the changing condi­ institutions would be required. tions. In summary, while this report is prelimi­ PIPE LINE ROUTE In order to handle initial throughputs of nary, it is felt that the Mackenzie Valley A proposed pipe line route from Prudhoe 600,000 barrels per day, 8 pump stations will project offers economic and strategic advan­ Bay to Edmonton, shown in Figure 1, is ap­ be required. When the line is ultimately tages which would be to the benefit o! both proximately 1,700 miles in length. The en­ pumping at a capacity of 1,500,000 barrels Canada and the United States. Such a sys­ visaged connecting carrier systems for trans­ per day, 23 stations wlll be required. Aircraft tem could: porting the crude oil to market areas are jet-type gas generators with turbine drives 1. Offer the lowest cost transportation of Interprovincial Pipe Line Company and Trans rated at 12,500 horsepower are con­ Arctic crude oil to potential markets. Mountain Oil Pipe Line Company. Their sidered as the prime movers for all stations. 2. Provide e.n overland corridor suitable proposed routes are shown in Figures 2 and S. A spare pumping unit wlll be installed at for movements of other energy resources. The proposed Mackenzie Valley pipe line each of the initial pump stations. This unit 3. Develop interest in and provide access route travels south-east from the Prudhoe will be required for the ultimate operation. to unexplored prospective land areas adja­ Bay tank farm across the Arctic Slope to Tankage volume considered for Prudhoe cent to the route of the Mackenzie Valley the Canning River, follows the Canning Bay amounts to 900,000 barrels initially and system. River Valley into the Brooks Range to the increases to 1,500,000 barrels for the maxi­ Continental Divide, then continues in a more mum throughput. Tankage at Edmonton is MACKENZIE VALLEY PIPE LINE RESEARCH easterly direction to the Yukon, skirting the LIMITED: INTRODUCTION assumed to be supplied by others. southern edge of the Arctic National Wildlife The final selection of a specific method of In mld-1969 a consulting firm, Canadian Range in Alaska. Proceeding east, the route main line installation must await completion Bechtel Limited, was retained to investigate traverses the plateau of the Porcupine River of the test loop operation and other investi­ the technical and economic feasibllity of a and crosses the Richardson Mountains to gations. Several installation concepts for the crude oil pipe line from Prudhoe Bay to Ed­ Fort McPherson. From Fort McPherson the Arctic Slope area. are under investigation at monton. In order to continue this research, pipe line route turns southward, crossing the the Inuvik test loop. Some of these are shown industry task groups are being formed to Peel Plateau, to the Mackenzie River. Cross­ inFlgure4. supervise concurrent programs that will be ing the Mackenzie River at the Sans Sault Five manned and nine unmanned mainte­ contracted to specialists in their various Rapids, the route continues along the east nance bases will be located along the pipe Une fields. side of the river to Fort Simpson. After cross­ route. These bases wlll be supplied with Research expenditures to May 31, 1970 ing the Mackenzie River at Fort Simpson, heavy construction equipment and fuel have e.mounted to $2,177,000 of an authorized the line continues in a south-easterly direc­ caches. The relatively high number of main­ budget of $2,340,000. An additional $1,680,000 tion to the north-west corner of Alberta, then tenance bases is considered necessary for a. has been budgeted for continuing research directly to Edmonton, passing on the east thorough and responsive maintenance into 1971. There is a possibility that fur­ side of Lesser Slave Lake. program. ther research, which could cost up to $2,­ Areas of high water content permafrost are Major system faclUties are presented in ooo,ooo may be required, depending upon the encountered along the Arctic Slope of Alaska. Figure 5. results of the 1970-1971 program. Through the Yukon and Brooks Range the FXELD TEST INSTALLATION in order to evaluate technical feasibility, route is generally in rocks, non-detrimental The test section which consists of roughly estimate costs, and develop economics, con­ permafrost and intermontane terrain. The 2,000 feet of 48-inch diameter steel pipe 1s siderable work is required to determine the level section of route through the Peel Pia- located at Inuvlk and has been under con- 32712 EXTENSIONS OF REMARKS Septembe·r 21, 1971 ttnuous operation with heated oil since tariff schedules are provided. Further in­ system tarUis, based on a 20J20 debtjequity February 1970. It is planned to extend oper­ vestigation is necessary, however, to estab­ ratio, are shown, by year, in Table 4. Financ­ ation of the line Into 1971. lish an optimum design with respect to ing is at an interest rate of nine percent per The objective of this experimental field station spacing. The ultimate design would annum on the outstanding balance. Princi­ test installation is to evaluate methods of be strongly influenced by the discovery of pal repayments are based on a 5-year mora­ northern construction and to obtain design substantial oil reserves in the Canadian torium with full debt amortization occurring criteria for the construction and operation Arctic. evenly over the ensuing 25 years. ()f a pipe Une across a region of permafrost. Tables 1 and 2 summarize the investment In the development of transportation eco­ Several types of construction are under test and operating costs over a 30-year period nomics, U.S. tax depreciation is based on a and the effects on both the pipe line and the and are based on 1970 costs. All costs are in 22-year life and the "sum of the years digits" environment are being monitored. The ther­ Canadian dollars except those presented sep­ method of calculation. Canadian tax depreci­ mal performance of several forms of insula­ arately for Alaska, which are in U.S. dollars. ation Is on the following capital cost allow­ tion as well as non-insulated pipe are being Conversion is at the rate of $1.00 Canadian ance rates: tested in the loop. Cooling-off factors, during equals $0.93 U.S. CANADIAN CAPITAL COST ALLOWANCE shut-down, which wlll affect normal opera­ The criteria used for economic calcula­ tion of a pipe line are also being evaluated. tions are outlined on Table 3 and are the Pipe line, 6 percent per annum. Experience gained in the construction and same criteria used for comparative studies Stations, 20 percent per annum. operation of the test loop will provide a basis throughout the industry. Storage, 10 percent per annum. for design, route selection, and protection Income tax rates used are 51 percent on of the environment along the route that the D.C.F. TRANSPORTATION COSTS taxable income in Canada and 48 percent pipe line traverses. Constant tariff transportation costs have federal, plus 9.4 percent state on taxable in­ The terrain in the test site area at Inuvlk been developed for after tax discounted cash flow (DCF) rates of return of 8, 10, and 12 come in Alaska. This results in a composite is mantled with approximately one foot of U.S. income tax rate of 54 percent. Book moss lichen and other organics. There Is a percent on total investment. These tariffs, based on the estimated capital and oper­ depreciation for the I.C.C. tariffs is 2.85 per­ layer of light brown silt beneath the organic cent per annum. material which rests on a silty gravel base. ating costs and the specified rate of through­ put growth are calculated for 100 percent MACKENZIE VALLEY PIPELINE RESEARCH LIMITED­ This silt is characterized by lee lens crystals equity with a 30-year project life and no and has an lee content of 70 to 95 percent by allowance for salvage value. These unit PRELIMINARY REPORT, 48-INCH PRUDHOE BAY-EDMON­ volume. Soil samples taken confirm that charges provide an amortization of capital TON PIPELINE-INVESTMENT SUMMARY these conditions are representative of the at the specified rates of return and all di­ detrimental permafrost sections that Will rect operating charges, including operating Capital costs (thousands) oe encountered along the route. labour, system maintenance, power, fuel, and Although valuable information on trans­ Alaska, Canada. Total, contracted services, as well as ad valorem United Cana- Cana- porting heavy equipment and materials and income taxes. States dian dian down the Mackenzie River to the job site The discounted cash flow total transpor­ dollars dollars dollars and on construction of the test section in tation costs, in Canadian currency, are as the Arctic environment has been obtained, analysis and evaluation of operational data follows: INITIAL 600 MBD SYSTEM is required before significant conclusions D .C .F. transportation costs Pipeline: can be drawn from this experiment. (Prudhoe Bay to Edmonton) Lands and R.o.w______$300 $1,700 $2,000 Tariffs Materials______93,200 322,300 423, 000 ECONOMIC EVALUATION Installation ______251,900 288, 000 5601000 (cents ------The economic evaluation includes the per Total pipeline ______345,400 612,000 985,000 preparation of order-of-magnitude estimates Rate of return: barrel) Pump stations______14,800 41,000 57,000 of capital, operating, and unit transporta­ Tank farm. meter stations, 8 percent ------51 communications, and other tion costs to ascertain whether or not a plant______. --- 13,900 9,000 24,000 Mackenzie Valley project is economically 10 percent ------62 ------feasible. Sensitivity tests also serve to 12 percent ------73 Total direct cosL ______374,100 662,000 1, 066,000 laentify those areas of technology which I.C.C. TARIFFS Indirect costs and contingency__ 96, 000 180,000 284,000 have a significant effect on project viability For comparative purposes, transportation ------costs which reflect declining tariffs over a Total initial capital cosL 470, 100 842,000 1, 350,00 and thus require further investigation. 30-year period based on a seven percent ULTIMATE 1,500 MBD SYSTEM The foregoing pipe line design and sub­ return on rate base have also been calcu­ sequent economics presented are based on a Future additions______27, 900 107, 000 137,000 lated. The rate base used was derived from ------throughput forecast that is common to all a projection of a United States interstate Total ultimate system ___ 498,000 949,000 1, 487,000 of the industry studies, thus easily compared Commerce Commission valuation. The total

MACKENZIE VALLEY PIPE LINE RESEARCH LIMITED-PRELIMINARY REPORT, 48-INCH PRUDHOE BAY-EDMONTON PIPELINE-OPERATING COST SUMMARY (In thousands of Canadian dollars)

Operating costs-year ot operation 4 6

Facilities: Installed units (number) ______------______16 30 32 42 46 46 47 51 Operating units (number) ______8 15 20 24 29 34 41 50 Operatinf horsepower (thousands) ______93 161 255 310 371 440 515 600 Stations number) ______------8 15 16 21 23 23 23 23 Volumes (MBD) ______------600 800 1, 000 1,100 1, 200 1,300 1, 400 1. 500 .Expenses: Personnel . ______------____ ------$3, 400 $3,400 $3,600 $3,700 $3,700 $3,700 $3,700 $3,700 Materials and maintenance_ ----- ______------__ ------5,300 5, 800 6,100 6,100 6,400 6,600 7,000 7,400 Services and other expenses.------6,800 6,000 6, 900 6,900 6,900 6, 900 6, 900 6, 900 Administration ___ ------______------____ -----_------2, 500 2, 500 2,600 2, 600 2, 700 2, 700 2, 700 2, 700 Oil measurement losses_------______------___ 700 900 1,100 1, 200 1, 300 1,400 1, 500 1, 600 fueL ______------4,900 8, 500 13,000 6, 700 8,000 9, 500 11,100 13,000 SubtotaL.------23,600 27, 900 33,300 27,200 29,000 30,800 32,900 35,300 Property tax. ______------_------___ 15,500 16,200 16,200 16,600 16,800 16,800 16,900 17,100 Depreciation ______--______38,500 40,100 40,300 41,400 41,900 41,900 42,000 42,400 JnteresL------97,200 101,300 101,800 104,600 105,900 105,900 101,900 98,500 SubtotaL ______------______----- ______----- __ 151,200 157,600 158,300 162,600 164,600 164,600 160, 800 158,000 TotaL------174,800 185,500 191,600 189,800 193,600 195,400 193,700 193,300

Notes: 1. Depreciation expense is based on a composite rate of 2.85 percent; 2. Interest expense is based on a 80/20 debt/equity ratio; 3. Expenses for the years 9-30 are the same as the 8th year expenses except interest charges decline annually. September 21, 1971 EXTENSIONS OF REMARKS 32713

MACKENZIE VALLEY PIPE LINE RESEARCH INTERPROVINCIAL PIPE LINE COMPANY ing is assumed to be nea.r the present dual LIMITED, PRELIMINARY REPORT, 48-INCH Introduction Lakehead pipe line crossing, thereby estab­ lishing the possibillty of utillzing the idle PRUDHOE BAY-EDMONTON PIPELINE, ECO­ This study investigates the capital cost NOMIC CRITERIA leg. The $700,000 cost of a new crossing is, and tariff requirements for a 48-inch di­ however, included in this study. The line Capital costs ameter pipe line routed directly from Edmon­ from the canal crossing to the terminal in Shall be estimated and reported on a basis ton to Chicago. To study incorporates in­ Indiana is assumed to follow the Lakehead of present day value. Escalation of costs shall herent economies by considering construction pipe line right-of-way. The location of the not be included. They shall be broken down and opera.tion of the line as an extension terminal is approximately one mile west of by item and reported as a time schedule. of the Interprovincial/Lakehead system. The Lakehead's Grifil.th terminal, and is the ter­ Interest during construction shall be in­ alternative of expanding the system in steps minalling point chosen by the Trans-U.S. cluded. through a looping program will be investi­ study group. Property is available immedi­ Line fill shall not be included as a capital gated in a future study. ately north of the Lakehead terminal, al­ item. Summary though part of it would require draining Operating costs " The following table .ls a summary of because of the high water table. Shall include oll measurement losses of throughputs, investments and tariffs for a The above list of mileages includes---all 1/10% of throughput valued at $3/barrel. 48-inch diameter crude oil line from Ed­ allowance for contour and deviations. A rel­ monton to Chicago. The study results pre­ atively high allowance (2%) is used in the Economics Dlinois section since it may be necessary to Shall be analyzed for a 30-year life on a sented are based on the same throughputs and economic criteria being used within the direct the line to public ut111ty right-of-way basis of: in certain areas. In fact, a high percentage (a) Total present value of capital and op­ industry. Consequently, the tariffs can be readily added to or compared with tariffs de­ of the Dlinois section of line may require erating costs (excluding return and interest permission to use power, railroad, and state costs). veloped in other industry studies. highway right-of-way on an annual rental (b) Level tariff based on 8%, 10%, and Economic Summary basis. This study, however, is based on ob­ 12% D.C.F. return on total project. Throughputs-(000)1st year______B/D: _ talnlng right-of-way easements throughout (c) Full I.C.C. tariff profile based on the 2nd year ______600 the entire length. following financial data: 800 FORECAST THROUGHPUTS 80%/20% debt/equity ratio. 3rd4th year------year______1,000 1,100 The forecast throughputs used for the de­ 9% interest on debt with 5-year mora­ 5th year______sign and economics in this study are those torium followed by 25-year payback. 6th year______1,200 being used by industry study groups a.nd are 7% return on approximate assessment of 7th year ______1,300 as shown in the Economic Summary. I.C.C. valuation. 8-3oth year ______1,400 1,500 MAIN LINE DESIGN DEPRECIATION RATES Investments-(Canadian currency): A 48-inch diameter pipe line With a wall Initial ------$445,000,000 thickness of 0.406 inches using API-5LX-52 Income tax Ultimate------$520,000,000 pipe was established as the most economical Return Tarlffs-(cents per barrel): installation. Design is based on a 95% on ICC Canada United throughout to capacity ratio during the cri­ valuation (percent~ States Constant tarlff--30-year average, D.C.F. rate of return at 8 percent, 22; at 10 percent, tical winter months. Crude characteristics 26; at 12 percent, 30. of 27.7° API gravity and 220 SUS viscosity Pipeline ______... ___ •• - ~Composite at 45° F. were used for the design. Stations______rate of Declining tariff-7-percent return on I.C.C. Tankage and ware- 2.85 per- valuation-Debt/equity ratio--80/20. In order to handle initial throughputs of houses. cent 600,000 barrels per day, 7 pump stations wlll Tariff (cents per barrel) be required; whereas a total of 28 stations Tazes Year 1, 600 MBD------45 will be required when the line is pumping Year 3, 1,000 MBD------30 at a capacity of 1,500,000 barrels per day. No investment tax credit. Year 5, 1,200 MBD------30 Electric xnotors are considered as the prime Income Tax-51% Canada; 54% U.S.A. and Year 8, 1,500 MBD------27 movers for all stations. Each of the 12 Ca­ Alaska. Year 15, 1,500 MBD------25 nadian stations and 16 U.S. stations will Ad valorem at state and provincial rates. Year 30, 1,500 MBD------21 have 20,000 horsepower and 18,500 horse­ Salvage PIPE LINE ROUTE power, ultimately. Zero asset value at the end of 30 years. A direct pipe line from Edmonton to the Receiving and delivery tankage terminals east side of Chicago near Griffith is estimated are included in Edmonton and Chicago, re­ MACKENZIE VALLEY PIPE LINE RESEARCH LIMITED­ to be 1,489 miles in length. The proposed spectively. At each location tank volume re­ PRELIMINARY REPORT, 48-INCH PRUDHOE BAY-EDMON· route is shown on Figure 2. The following is quirements for each year are based on three TON PIPELINE-ICC TARIFFS a list of the pipe line miles through each times the daily throughputs. Five pipe line maintenance crews and warehouses are con­ [Cents per barrel- Canada] province and state traversed: Miles sidered necessary. One would be located at ICC Tariff each terminal with the other three spaced Alberta ------171 Throughput (cents per 440 along the line; one in Canada and two in Year (MBD) barrel) Saskatchewan ------the U.S. ~anltoba ------21 1_ ------600 144 Tables 5 and 6 summarize the investment 800 112 2.------Canada--subtotal ------632 and operating costs over a 30-year period 3------1,000 92 and are based on 1970 costs. No provision 4_------1,100 83 North I>akota ______5.------1, 200 77 244 has been made for engineering management 6 ______------1,300 72 246 costs in the investment profile, although 1,400 67 ~innesota ------­ 7------242 construction supervision has been included 8_------1, 500 63 VVisconsin ------in the estimates. It is felt that Interprovin­ 9------.------l, 500 62 Illlnois and Indiana• ------125 10.------1, 500 62 cial would do the engineering management 11. ------1, 500 61 U.S.-subtotal ------857 of the project with a minimum of additional 12 .------1, 500 60 personnel, provided a reasonable lead time is 13------1,500 60 14 .------1, 500 59 Total------1,489 available. Simllarly, admlnlstration costs 15_------1, 500 58 have not been included in the annual op­ 1, 500 58 *The 40 miles of relatively high construc­ 16.------erating cost profile because if Interprovin­ 17------l, 500 57 tion cost through South Chicago was con­ 18.------1, 500 56 sidered as a. separate section of this study. cial were to undertake the project, the addi· 19_------1, 500 56 tiona! administration would be negligible. 20------1, 500 55 The new pipe llne route would follow the 21. ------1, 500 54 Interprovincial right-of-way from Edmonton An economic summary of the Prudhoe 22.------1,500 54 to Regina, then continue in a south-easterly Bay to Edmonton and Edmonton to Chi­ 23. ------1,500 53 direction, crossing the Mississippi River into cago system is presented in Table 7. Cur­ 24------1, 500 52 25------1,500 51 Wisconsin just north of Minneapolis. The rency conversion 1s at the rate of $1.00 26 _--·------1,500 49 line would parallel the Mississippi River on Canadian equals $0.93 U.S. 27------1,500 49 The criteria used !or economic calcula­ 28.------1, 500 47 the north side as far as La Crosse, then cross 29 .------1, 500 46 Wisconsin and ID1no1s to the Chicago Sani­ tions are s1mllar to those presented 1n Table 30.--·------·------.- 1, 500 45 tary and Ship O&na.l at the point near Rome­ 3 and used in the Mackenzie Valley pipe line Note: Tariff is based on a 80-20 debt/equity ratio. oville (south of Lemont). The canal cross- study. 32714 EXTENSIONS OF REMARKS September 21, 1971 INTERPROVINCIAL PIPE LINE CO., _48-INCH CRUDE OIL PIPELINE, EDMONTON-CHICAGO INVESTMENT SUMMARY (Capital costs-(Thousands of dollars) Canadian)

Year of construction

5 9 to 30

Main line __ __ -- . • ------·· ------· · ------·- 415, 800 ..... ------. ------.------. Stations . . • ------.••. ----.------..• - 16, 000 19, 000 • ------42, 600 ------.------· Tankage __ ___- ---.. ------··------11,700 3,100 3,100 1,500 1,500 1,500 1,500 1,500 ------Other direct costs ..••... • ---. ------·. 1, 300 ------. ------TotaL ..• ------444,800 22,100 3, 100 44, 100 1, 500 1, 500 1, 500 1, 500 ------====~======~====~====~======Cumulative totaL .•• ------444,800 466,900 470,000 514, 100 515,600 517, 100 518,600 520,100 520, 10()

Note: Engineering management is not included. Construction supervision is included.

INTERPROVINCIAL PIPE LINE CO., 48-INCH CRUDE OIL PIPELINE, EDMONTON-CHICAGO OPERATING COST SUMMARY

Operating costs (thousands of Canadian dollars)-Year of operation

2 3 4 5 6 g

Facilities: Volume-M BD __ • _•••• ----.---•• ------•• --.------•• 600 800 1, 000 1,1~ 1,£00 1, 300 1,400 1,500 Number of stations •.• ------7 14 14 28 28 28 28 Installed horsepower------••• ------•• -·-·.--··· •• - 94, 000 212, 000 212,000 536,000 536,000 536,000 536, 000 536,000 Expenses: Power costs ••••••••••••• ------.------$2,420 $5,900 $11, 450 $15,120 $19,460 $24,540 $30,370 $36,96() Station costs ______•• ------••••••• ------180 360 360 720 720 720 720 720. 1 1, 770 1, 770 1, 770 1, 770 1, 770 1, 770 1, 770 1, 770 b\f'in !~~u~~iritlosses: ::::::::::::::::::::::::::::::::::::: 710 940 1, 180 1, 300 1,420 1, 540 1,660 1, 770 SubtotaL ..• _••• __ •. _-.-•••.•••• ----•• ---•• -.-•• -•• ----.-- 5, 080 8, 970 14,760 18,910 23,370 28,570 34, 520 41, 22(} 6, 730 7, 050 7, 090 7, 770 7, 790 7,810 7,820 7,S4() ~~~:mt~~==:::: :::: == =: == :: ======: =: ==:::::: ::::::: == = 12,680 13, 310 13,400 14,660 14,700 14,740 14,780 14,830 Interest_ . ••• ····--·_------····------36,040 37,820 38,080 41,660 41,060 39,700 38,320 36,85(). Subtota•---••••••• -•• -.----••••• ------55,450 58, 180 58,570 64,090 63,550 62,250 60,920 59,520 TotaL •••.•• _•• -••• -•.••• _- ••• ---••• -.-••••• _---._ •••• _••• 60,520 67, 150 73, 330 83, 000 86,920 90,820 95,440 100, 740

Notes: 1. Depreciation expense is base~ on a composite rate of 2.85 percent 2. Interest expense is based on a 80/20 debtfequity ratio. 3. Expenses for the years 9 to 30 are the same as the 8tll year expenses except interest charges declme annually.

INTERPROVINCIAL PIPE LINE C0.-48-INCH CRUDE TRANS MOUNTAIN OIL PIPE LINE COMPANY Investments--(Canadian currency): OIL PIPELINE, PRUDHOE BAY-EDMONTON-CHICAGO­ INTRODUCTION Initial ------$190, 000, 00() ECONOMIC SUMMARY This study investigates the capital cost and Intimate ------$290,000,00~ Tariffs--( cents per barrel): Throughputs-(000) B/D: 1st year-600, 2d year-800, 3d tariff requirements for expanding the Trans year-1,000, 4th year-1,100, 5th year-1,200, 6th year- Mountain system by adding a 36-inch di­ Constant tariff--30-year average, D.C.F. 1,300, 7th year-1,400, 8 to 30th year-1,500. ameter pipe llne parallel to the present line rate of return, 8 percent at 20; 10 percent from Edmonton to Puget Sound. The new at 23; 12 percent at 27. INVESTMENT5-$(000) CAN. pipe line system 1s designed to handle Arctic Declining tariff-7 percent return on I.C.C. oil shipments. Requirements for Alberta oil Valuation-debt/equity ratio--80/20. Initial Ultimate would continue to be handled in the present Tariff (cents per barrel) 600 1,500 system. To reduce construction costs ini­ Miles M b.p.d. M b.p.d. tially, the existing 100 miles of 30-inch di­ Year 1, 300 MBD------4() Year 3, 460 MBD------31 ameter looping would be included in the 36- Year 5, 690 MBD______2& Prudhoe Bay to Edmonton. 1, 696 $1, 350, 000 $1, 487, 000 inch line. This would later be replaced with Edmonton to Chicago______1,489 445,000 520,000 36-inch pipe and the two 30-inch loops would Year 8, 800 MBD------24 Year 15, 800 MBD------24 TotaL______3, 185 1, 795,000 2, 007,000 be returned to the basic 24-inch system. Year 30, 800 MBD______19 All volume growth in the Puget Sound area is assumed to be With Arctic on. Cer­ PIPE LINE ROUTE TARIFFS-CENTS PER BARREL CAN., CONSTANT TARIFF- tain additional volumes are also included for The expanded pipe line system to accom­ 30 YEAR AVERAGE transshipment to C8.11!orn1a from the Puget modate Arctic oil will follow the present rout­ Sound area. For the purpose of this study, it ing of the Trans Mountain system over the D.C.F. rate of return 1s assumed that nominations tor Alberta and British Columbia on in the West Coast 698-mlle route from Edmonton to Puget Sound. Routing is shown on Figure 3 and is 8 10 12 market areas Will not exceed the 355,000 percent percent percent comprised of 252 miles in Alberta, 417 miles barrels per day capacity of the present 1n British Columbia, and 29 miles in the stare system. of Washington. Prudhoe Bay to Edmonton. __ 51 62 73 SUMMARY Edmonton to Chicago ••.••••• 22 26 30 A summary of throughputs, investments, FORECAST THROUGHPUTS and tarift's for the 36-inch diameter system, TotaL •. ------·----- 73 88 103 The forecast throughputs are based on the based on the same economic criteria used feyr assumptions shown in the Economic Sum­ other related studies within the industry, is mary and visualize Trans Mountain moving DECLINING TARIFF-7 PERCENT RETURN ON I.C.C included 1n the following table. All figures a portion of Mackenzie Valley pipe line vol­ VALUATION-DEPT/EQUITY RATIO, 80/20 are in Canadian dollars a.t a. ratio of $1.00 umes to the Puget Sound area.. Ca.nadi&n equals eo.93 u.s. MAXN LXNE DESIGN I.C.C. tariff (cents per barrel) ECONOMIC SUMMARY Can. (year of operation) A 36-inch diameter pipe with the wall Throughputs-(OOO)B/D:(Arctic oil) thicknesses listed below was chosen as the 30 1styear______300 most economical installation. The mileages 2nd year------370 include an allowance for contour and devia­ Prudhoe Bay to Edmonton... 144 92 77 63 45 3rd year------460 tions of 0.5 %. Design is based on a 95% Edmonton to Chicago______45 30 30 27 21 4th year------570 throughput to capavity ratio. Crude oil char­ TotaL______189 122 107 90 66 5th year------690 acteristics of 27.7° API gravity and 220 SUS 6-30th year------800 viscosity at 45° F. were used in the design. September 21, 1971 EXTENSIONS OF REMARKS 32715

SUMMARY 0:1' PIPE QUANTITIES 0.844 ------80. 4 will be increased by 600,000 barrels initially 0.312------482.1 and increased to 1,200,000 barrels ultimately 36-inch O.D. API-SLX-60 for receipts from the Mackenzie Valley line. Wall thickness Total 702.0 Shippers are required to provide receiving in inches: miles Horsepower for the new line will be in­ tankage at the delivery end of the system. Tables 8 and 9 summarize the investment 0.531 ------1.0 stalled at the existing 14 pump station sites on the Trans Mountain system. Initially, and operating costs over a 30-yea.r period, 0.469------4.2 25,000 horsepower will be required. This will based on costs escalated as shown. 0.438 ------~------19.0 be built up to an ultimate requirement of An economic summary of the Prudhoe Bay 0.406------44.0 220,000 horsepower. to Edmonton and Edmonton to Puget Sound 0.375------71.3 Trans Mountain's tankage at Edmonton systems is presented in Table 10.

TRANS MOUNTAIN OIL PIPE LINE C0.-36-INCH CRUDE OIL PIPELINE, EDMONTON-PUGET SOUND-INVESTMENT SUMMARY

Capital costs-Dollars Canadian-Year of Construction Capital costs-Dollars Canadian-Year of Construction - 1 2 3 4 5 6 / 1 2 3 4 5 6

Main line.------127,670 170 10,920 10,920 510 340 Indirect costs. . . _.••. _. ___ 26,000 560 3,130 3,350 2,420 2,930 Stations ______------4, 760 2,850 4,630 6,660 11,290 14,970 Escalation __ ------22,790 740 4, 710 5, 950 4,830 6,620 Tankage_ •. ------1, 770 0 780 0 780 Working capital. ------1,080 0 0 0 0 0 Other direct costs.------2,630 80 130 120 170 140 Subtotal. •• ------49,870 1,300 7,840 9,300 7,250 9, 550 Subtotal. •• ------136,830 3, 100 16,460 17,700 12,750 15,450 TotaL------___ 186,700 4,400 24,300 27,000 20,000 25,000 . Cumulative totaJ. ______186,700 191, 100 215,400 242,400 262,400 287,400

TRANS MOUNTAIN OIL PIPE LINE C0.-36-INCH CRUDE OIL PIPELINE, EDMONTON-PUGET SOUND-OPERATING COST SUMMARY

Operating costs-thousands of Canadian dollars- Operating costs-thousands of Canadian dollars- Year of operation Year of operation

1 2 3 4 5 6 30 1 2 3 4 5 6 30

2,430 2, 490 2, 800 3,150 3, 410 3, 740 3, 740 Facilities: Property tax ••••••.••...••• 690 800 800 Depreciation.------______5,320 5,450 6,140 6, 910 7, 480 8, 190 8,190 Volume MBD ..•..••....••. 300 370 460 570 Interest ______13,440 Number of stations •...••..• 4 5 7 9 12 14 14 13,760 15, 150 17, 450 18 , 900 20, 700 830 Installed horsepower______25, 000 40,000 60,000 95,000 150,000 220, 000 220,000 SubtotaL ______21, 190 21,700 24,450 27,510 29,790 32,630 12,760 Expenses: Power costs ______$1,030 $1,652 $2,646 $4,035 $6,766 $10,360 $10,360 TotaL ••••••••••...... 22,600 23,870 27,810 32,560 38,040 45,020 25,150 Station costs ______200 300 440 655 990 1, 380 1,380 Pipe line costs plus adminis- tration .•. _•••••.•. __ ..•. 180 218 274 360 494 650 650 I SubtotaL•.•••..••••.. _. 1, 410 2,170 3,360 5,050 8, 250 12,390 12,390

Note: 1. Depreciation expense is based on a composite rate of 2.85 percenl2. Interest expense is interest charges decrease annually. 4. An allowance for oil measurement tosses is not included in based on an 8Q-20 debt/equity ratio. 3. Expenses for years 7 to 30 are the same as the 6th year except this operating cost summary. TRANS MOUNTAIN OIL PIPE LINE CO.-ECONOMIC SUMMARY 48- AND 36-INCH CRUDE OIL PIPELINE SYSTEM, PRUDHOE BAY-EDMONTON-PUGET SOUND

Arctic oil from D.C. F. rate of return (percent) Prudhoe Bay Edmonton to to Edmonton PugetSound 10 12

Throughputs-{000) B/D: Tariffs- ¢/bbl. Can .: Constant tariff-30-year 1st year ...... 600 300 average: 2d year ...... 800 370 Prudhoe Bay to Edmonton______51 62 73 3d year ...... 1, 000 460 Edmonton to Puget Sound...... 20 23 27 1,100 570 4th year. .•...... TotaL______------71 85 100. 5th year ...... 1, 200 690 6th year ...... 1, 30(1 800 1, 400 800 1, 500 800 ~}~ r;~~tii year::::: ::: ::::: :::::::: :::::::::: : Declining tariffs-7 percent return on I.C.C. valuation; debt/equity ratio-80/20. Miles Initial Ultimate I.C.C. tariff (¢/bbl) Can.-Year of operation 1 3 5 8 30 I nvestments-$(000) Can.: r. Prudhoe Bay to Edmonton ______1, 696 $1,350,000 $1,487,000 290,000 Edmonton to PugetSound.------698 190,000 Prudhue Bay to Edmonton . •...... • 144 92 77 63 45 Edmonton to Puget Sound ...... • 40 31 25 24 19 TotaL •••••••• --••. -.--.------2,394 $1, 540,000 $1,777,000 Total...... · ········ ~ · , ·. 184 123 102 87 64 ' I

NEWSPAPERS PUBLISH IN PITI'S­ Pittsburgh Press and the morning Post the still functioning weekly newspapers Gazette, the people of Pittsburgh are in the Pittsburgh area began turning out BURGH AGAIN: FORUM FILLED editions with more and more pages. NEWS GAP DURING STRIKE again reading their local newspapers. The strike hurt our city but, as with One of these latter publications was most serious strikes the people most af­ the Pittsburgh Forum, a sometimes HON. WILLIAM S. MOORHEAD fected responded in ingenious and un­ muckraking, wheeling-dealing, pull-no­ OF PENNSYLVANIA selfish ways. The local radio and televi­ punches tabloid that leaped into the fray IN THE HOUSE OF REPRESENTATIVES sion stations beefed up their coverage of when the dailies ceased to publish. news and reported vital statistics. Out­ Filling its pages with political and so­ Tuesday. September 21. 1971 of-town newspapers from Cleveland, cial commentary, the Forum, struggled Mr. MOORHEAD. Mr. Speaker, the New York, and Washington made their and strained its capacity to turn out two newspaper strike in Pittsburgh is over. appearance and were sold as soon as and three times its normal number of After 4 months without the afternoon they hit the stands in Pittsburgh. And pages. 32716 EXTENSIONS OF REMARKS September 21, 1971 Much credit goes to the publisher of University of illinois' Ralph Nave. "Each can The combine's blower fan should also be help prevent sizable harvest losses." slowed down-to prevent beans from being the Forum, Tom Hennessy, and his ex­ Nave, an agricultural engineer, is the na­ "blown out the back." Another changing cellent staff for the contribution they tion's only such speciallst assigned exclu­ crop condition is lodging. Nave advises to made to the city in the past 4 months. sively to soybean harvest research. combine into the down soybeans--with reel I only hope the many readers and new Soybean industry leaders recently en­ tines set vertically. Angled tines may "hold" advertisers who turned to the Forum dorsed a fall "Soybean Harvest Proclama­ the soybeans, and increase losses. during the drought maintain their ties to tion" that incorporates some of Nave's har­ "We support a national plan to assist grow­ this very necessary and delightful pap~r. vest recommendations. The formal docu­ ers in keeping their share of soybean profits ment lists seven specific "steps" to a more through better harvesting methods," says the My friend, Tom Hennessy, soon is go­ profitable soybean harvest, pointing out that National Soybean Crop Investment Councll's ing to take a new bride. I want to take U.S. soybean growers could lose up to 123 Robert W. Judd. "And the time spent by in­ this opportunity to congratulate Tom, million bushels of soybeans through im­ dividual growers doing a more careful job and the soon-to-be Mrs. Hennessy, proper harvest management. A total of 20 of harvesting--could earn them $15.00 or Debby Tien, and wish them many years agronomists endorsed the program. more per hour!" of good luck and happiness. SEVEN PROFITABLE STEPS The Council's Seven-Step Harvest Plan, as endorsed by USDA Secretary Hardin, be­ gins with moisture levels: VOLUNTARY RETIREMENT OF SOYBEANS TOO VALUABLE TO 1. Begin harvesting when soybean seed FEDERAL EMPLOYEES WASTE moisture reaches 13 percent. Shatter losses increase markedly when moisture levels drop below 11.5 percent, according to Illinois re­ HON. LAWRENCE J. HOGAN HON. WILLIAM L. SPRINGER search. How does a grower determine mois­ OF MARYLAND OF n.LINOIS ture levels? Veteran growers can judge by IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES biting the seed to check interior moisture, but most growers take field samples to the Tuesday, September 21, 1971 Tuesday, September 21, 1971 local elevator for a moisture meter test. Mr. HOGAN. Mr. Speaker, the Sub­ Mr. Mr. 2. Harvest at an average combine speed SPRINGER. Speaker, the between 2.5 and 4.0 mlles per hour. Com­ committee on Retirement, Insurance, National Soybean Crop Improvement bines operate most efficiently at that range--­ and Health Benefits of the Post Office council, whose headqu_arters are . in and the cutter bar is allowed to ride down and Civil Service Committee, on which Urbana, m., is spearheading a campaign for maximum cut. Combines don't have I serve, today commenced hearings on to reduce losses of soybeans at harvest- speedometers, but Illinois' Nave says grow­ pending Federal employee retirement time. ers can judge ground speed by dividing the legislation. For more than a year the council has number of three-foot strides in the area covered by the combine in 20 seconds--by As the sponsor of H.R. 7403, which worked closely with researchers from the a factor of ten. This gives an accurate mph would liberalize the conditions under land-grant agricultural C?lleges and t~e figure. which Federal employees could elect u.s. Department of Agrl~~ture. The1r 3. Count lost soybeans already on the voluntary retirement, I testified in sup­ studies show that in combmmg s?ybeans ground before harvest-so that pre-harvest port of this legislation. I include my at harvesttime growers are losmg one losses are not charged against combining. testimony in the RECORD at this point: out of every 10 bushels of soybeans that This permits accurate checking of harvest loss. Count the number of soybeans lying TESTIMONY OF LAWRENCE J. HOGAN they grow. on the ground. Four beans per square foot Mr. Chairman, I am pleased to appear as The following news release, issued by indicate a bushel lost per acre. a witness and advocate for my bill, H.R. 7403, the council's managing director, Rob­ 4. Match ground speed to combine reel which would liberalize the conditions under ert w. Judd, specifies what gro'Ye:s can speed. Best speed ratio is a reel speed of 1.5 which Federal employees could elect volun­ do to reduce their losses to a rmrumum. times the combine ground soeed, accord­ tary retirement. In ing to Nave. A low reel speed reduces shat­ Under the present law, the earllest age at this era of strong demand throughout which voluntary retirement with an immedi­ the world for soybeans, they are much tering, he points out, and reduces the num­ ber of bean pods that "pop out" of the com­ ate annuity is permitted is 55 and then only too valuable to let go to waste. bine after cutting. Another good guideline is for people who have at least 30 years of The material follows: m~S~intaining 12 rpms of reel speed per each Federal employment. In addition, people BJ:'rl'D HARVESTING IS KEY TO BIGHEB mph of combine ground speed. whose separation is involuntary (but not for misconduct or dellnquency) can qualify tor SOYBEAN PROFITS 5. CUt soybeans as close to the ground as an immediate annuity at any age 1f they URBANA, ILL.-Better harvest management possible. The goal is to harvest all of the pods-even the very lowest. A 3.5 to 4-inch have 25 years of service, or as early as age 50 can add $6.00 or more to soybean cash re­ 1f they have at least 20 years of service. turns thls !all. That's the ftndlng of leading stubble height is not good, according to However, when an annuity begins before age USDA and university researchers. These spe­ Nave. His Illinois tests showed a 10 percent 55, the annuity is reduced by l/6th of one cialists say that average soybean growers lose reduction in harvest losses when soybeans percent of each month (2 percent a year) were cut off at 2 Y:! inches. How is a low stub­ 88 many as three bushels per acre through that the person is under age 55. poor harvest management-a staggering $350 ble height possible? Nave says by harvesting My blll would liberalize these provisions million annual loss to U.S. agriculture. slow, and by using a "floating cutter bar" by: "Soybean growers are losing one out of ten or automatic header control. Some soybean 1. allowing voluntary retirement whenever bushels of soybeans they grow.'' conftrms varieties have pods only two inches off the an individual's age and years of service add USDA Secretary Cllfiord Hardin. ''In a year ground, he points out. up to 80; when soybeans are in strong demand, there 6. Measure soybean losses from cutting, 2. allowing voluntary retirements to people should be a speclal premium on mtntmtztng gathering, and threshing operations to pin­ of any age who have 25 years of service and harvest losses." point necessary adjustments. The key guide­ to people age 50, and over, who have at least Spokesmen with the National Soybean Crop line here, says Nave, is to "go by the book"­ 20 years of service, provided that the Civil Improvement Councll say at least two-thirds the combine operator's manual. Check the Service Commission determines that a major of the annual harvest loss is unnecessary. losses resulting from each area of opera­ reduction in force is under way; They say growers can retain as many as two tion, then re-adjust individually to opti­ 3. cutting in half-to l/12th of one per­ bushels more per acre-an added $600 or more mum operating conditions. cent-the reduction factor that applies to from each 100 acres planted in soybeans. 7. Continually adjust the combine to people who retire before age 55. The "secret" 1S a planned program of soy­ changing crop conditions. Early morning dew These Uberaltzatlons are designed to in­ bean harvest management-a step-by-step and dampness must be compensated for dur­ troduce a greater element of fie:r:ib111ty into "checklist" for growers to follow this fall. Nu­ ing combining, Nave advises. Cylinder speed the Federal civllian retirement program. cleus of the fall harvest program 1S adjust­ should be increased. to 500 rpms or faster for Whlle I have no idea how Inally people will ment and management of the combine. tough bean pods, whlle combine concaves opt for retirement under these provisions, it "Prime problem areas in every combine are should be set closer. As the beans dry out 1s my understanding that about 180,000 em­ ground speed, reel speed, cutter bar h&lght, in fall sunshine, the cylinder speed can be ployees who are not now eligible for immedi­ and separation of soybeans from pods.'' says slowed, and the concaves adjusted open. ate retirement could become ellg1ble if my bW September 21, 1971 EXTENSIONS OF REMARKS 32717 were enacted. I might point out that this IT IS KEEPING FREEDOM THAT ciety. There are more than 1,000 State would assist the President in his efforts to MATTERS-NOT RACIAL EQUALITY and Federal laws which encourage the reduce the size of the Federal employment discrimination of the sexes through age rolls through attrition. qualifications and physical restrictions. I would like, at this point, to make an im­ HON. JOHN R. RARICK The controversial Wiggins amendment portant observation about retirement and re­ OF LOUISIANA to House Joint Resolution 208 is simply tirement age. Authorities on the subject are IN THE HOUSE OF REPRESENTATIVES another attempt to nullify the impact of of the general opinion that there is no sin­ gle age that is the retirement age for everyone. Tuesday, September 21, 1971 this legislation by allowing the contin­ The age that any given individual should re­ uing enforcement of this type of inequi­ tire depends on the individual and the type Mr. RARICK. Mr. Speaker, the use of table prejudice. of work he does. For some people in some Father Theodore M. Hesburg as a spokes­ The role of women in society is under­ jobs, retirement should come as early as 45 man for the advocates of busing school­ going dynamic change which cannot be or 50, while others can function in their jobs children to achieve racial balance is ignored. Enactment of the equal rights up to 70, 75, or even 80. Retirement age, then, about as relevant as the busing is to edu­ amendment without the Wiggins amend­ is a. very individual characteristic. It varies cation. ment is the vehicle of governmental af­ from person to person and depends on how an Father Hesburg is a priest who is un­ firmation and responsiveness to this individual is fitted to his job. Therefore, it married and has no children. But like would seem that the appropriate thing to do eventful transformation. Recognition of would be to build as much flexibility as is any of our intellectual experts on every­ the woman in her new role must begin consistent with good management into the body else's problems, he would permit through practicable legislation, and Federal retirement system. In my opinion, his position as ''father" to be exploited. not in passive theoretical lethargy. that is what the "sum-equal-to-80" provision A bachelor is about as well qualified would do. Not only would it allow an individ­ to speak as an expert on the duties and ual greater latitude in determining when he responsibilities of a parent in the busing would retire but it would also guarantee the conspiracy as the northern super-lib­ Government that the individual would have erals are on race problems; ministers, SUPPORT FOR MINING LAWS spent a. considerable part of his life in Fed­ eral employment. For example, the man who baby doctors, and draft dodgers on mil­ starts working for the Federal Government at, itary problems or nonworkers on taxes. HON. NICK BEGICH say, age 20 could retire at age 50 with 30 years Uninvolved people who have never ex­ of service--5 years earlier than under present perienced reality in situations in which OF ALASKA law. On the other hand, the man who sba.rts they purport to have solutions are al­ IN THE HOUSE OF REPRESENTATIVES Federal employment at age 30 could retire ways the first to offer self-styled exper­ Tuesday, September 21, 1971 at age 59% with 20¥2 years of service--only 6 tise. months earlier than is possible under the Perhaps people like Father Hesburg, Mr. BEGICH. Mr. Speaker, the Alaska 60--20 provision of present law. despite their sincerity and dedication, Miners Association has forwarded to me The second liberalization proposed by my do not realize that their actions clearly a petition circulated among Alaska min­ bill would operate only when a major RIF was show they reject democracy, the rule by ers stating their strong support for cur­ in process. The proposal is simply to allow rent American mining laws. a person who wants to retire to do so, so that majority vote, when it does not fit their someone else wm not lose his job. The provi­ goals and objectives. I have forwarded a copy of the letter sion would operate in the following manner. Or perhaps the busing priest would I received to my able colleague En ED­ Suppose that there are two people both age equate his approval of forcible kidnap­ MONDSON, chairman of the House Sub­ 50, both doing the same type of work and ing with a "new" teaching of love--do committee on Mines and Mining of the under the RIF one has to lose his job. If one unto others as you would not have them Interior and Insular Affairs Committee. of the men has 19 years of service and the I believe, Mr. Speaker. that my colleagues other 20 years, the man who wlll lose his job do unto you. Quite obviously, Father is the one who has only 19 years of service; Hesburg, a member of the CFR, qualifies in the House would find this letter most the man who would not qualify for a retire­ as a member of the establishment. How­ interesting and I, therefore, include it ment annuity. ever, his actions, like those of many oth­ in today's RECORD: Under my amendment, the man with 20 ers in the ''modern" ministry, are incon­ ALASKA MINERS ASSOCIATION, years of service could, if he wanted to, retire sistent with Holy Scripture. Fairbanks, Alaska, September 14, 1971. and get an immediate annuity. In such a Furthermore, as a salaried Nixon ap­ Hon. NICK BEGICH, case, the man with 19 years of service could pointee on the Civil Rights Commission, U.S. House of Representatives, stay on the job. I want to make it clear that his views can hardly be considered as im­ Washington, D.O. this is a voluntary retirement provision; the DEAR CONGRESSMAN BEGICH: Enclosed are choice would be up to the man with 20 years partial and without prejudice. copies of a petition circulated by the Alaska of service. There is nothing in this bUl that Miners Association last year. There are ap­ would let the employing agency or any other proximately 3,429 names on this petition, person force an employee to retire. EQUAL RIGHTS FOR WOMEN­ which very simply says that the signers be­ The third change which my bUl would HEARD, BUT NOT SEEN lieve in the American Mining laws and what bring about grows out of the other two. The they stand for. These signatures were ac­ reduction factor that is applied when a per­ quired without making a special effort. As­ son becomes entitled to an annuity before HON. BENJAMIN S. ROSENTHAL sociation members merely showed the peti­ age 55 would be changed from lA;th of one OF NEW YORK tion to friends and acqua.intances. percent to 11bth of one percent for each In this day of bigness and concentration of month the employee is under age 55 at the IN THE HOUSE OF REPRESENTATIVES power, we can Ul afford to scrap one of our time of retirement. This changes seems neces­ Tuesday, September 21, 1971 great bulwarks of grassroots democracy, and sary just to assure that people who retire it has baffled me to see men who otherwise early receive annuities that bear a meaning­ Mr. ROSENTHAL. Mr. Speaker, wom­ profess to be friends of the small man rush­ ful relationship to the employee's pre-retire­ en's rights advocates have been active­ ing to do so. Those of us who have worked ment income. For example, the man I men­ ly lobbying for an equal rights amend­ with these laws for years recognize that they tioned earlier who could elect to retire with ment for 47 years. Scheduled for a vote grew out of true democracy and self govern­ 20 years of service because a RIF was in next week by the House is the same 47- ment. The genius of the men who codUled process would get under present law an year-old amendment, which has been them lay in recognizing that the early miners annuity equal to about 36 percent of his high-3 average salary, reduced by 10 percent ignored and delayed by the Congress had hit upon the most efficient and orderly to about 26 percent because he was under 55. since 1923. system that could be devised, and also the Under my proposal, the reduction would be The need for an equal rights amend­ most remunerative to society. We must re­ only 5 percent, to about 31 percent of the ment which would not only reinforce, member that it matters little where revenue high-3 average. but substantiate the equal status of is called a tax or a royalty. Mr. Chairman, I appreciate being allowed to The Alaska Miners Assoc1a tion asks tha.t make this statement ln support of H.R. 7403 women, is reflected in the numerous you do all that you Ca.n to retain these laws. and I hope that a favorable report wlll permit State laws which blatantly segregate and Sincerely, the legislation to get to the full House in amplify alleged differences between male ERNEST N. WoiJT, the near future. and female roles and capabilities in so- President.