February 24, 1981 EXTENSIONS OF REMARKS 2971 EXTENSIONS OF REMARKS MILITARY PERSONNEL prevailing prices and the state of their still find they can command much larger HARDSHIPS checkbook. salaries for their skills in civilian society. But that forced decision, it turned out, in­ After' taxes and other fixed deductions, volved more than a short-range financial the military policeman's take-home pay HON. FORTNEY H. (PETE) STARK problem. It was the last straw from a family amounts to $770 per month. Food, gas and OF CALIFORNIA man whose list of non-affordables extends telephone bills, coupled with car insurance IN THE HOUSE OF REPRESENTATIVES well beyond holiday meals, and who views and loan payments, leave his family with himself as a father first and a soldier approximately $50 at month's end. Tuesday, February 24, 1981 second. "And that's on paper," observed the ser­ e Mr. STARK. Mr. Speaker, I would Unable to afford decent clothes for his geant, who always carries a pocket calcula­ like to bring to the attention of my children, or new furniture for his home, or tor-for cost-planning purposes-on the even an occasional night out for himself and family's weekly commissary visits. "In prac­ colleagues the following San Francisco his wife, a heartsick Michael Estright made Examiner article on the hardships tice, we usually are left with less." a more far-reaching decision: to forsake his Pride, more than practicality, has prevent­ faced by our military personnel. Army career. · ed Estright and his wife Carol, 26, from ap­ This scenario is shameful. America When his current service term expires this plying for food stamps. But it has not faces a shortage of its most important month, Estright, who likes the Army and stopped some 30,000 other military families military resource, while it is spending enjoys his military police duties, will not re­ who now utilize more than $10 million billions on less essential components enlist. What he will do, with regret, is join a worth of stamps annually. of defense. The number of people who steady stream of skilled soldiers who are "It's not a national scandal," said a senior consider making the military service a leaving the military for financial reasons. Fort Dix officer about enlisted men's finan­ After spending years in military service, cial plight, "but it should be a source of career has been steadily declining, and receiving expensive training and rising to the token wage increases are simply shame. We expect these people to fight, and positions of responsibility, senior enlisted possibly die, for their country. Yet we pay not enough to compensate for the men like Estright find themselves and their them wages below the poverty level." other disadvantages of military life. families on the edge of poverty. In any event, the first place Estright will Many enlisted men are being forced They earn low pay, live in shoddy hous­ head after leaving the military will be an to leave military service after having ing, receive second-rate medical care and, unemployment office in his home state of received expensive training and rising perhaps most important of all, feel that nei­ Pennsylvania. Then he will seek a job in the to positions of responsibility simply ther Washington officials nor the nation law-enforcement field or, failing that, enroll they defend is concerned about their plight. in college. because they can make a substantially "Still, if it were just me and my wife, we better living in civilian job markets. probably would stay," said Estright. "But "I'm not afraid of what's ahead," he said. This exodus of noncommissioned offi­ "I don't think we can end up any worse off there's more than the two of us involved. than we are now." cers has produced serious shortages of We owe it to our children to improve our experienced personnel in all services: living circumstances." Ironically, the civilian society into which That decision, made after much agonizing, Estright will venture has long assumed that More than 40,000 in the Army, 20,000 military men are compensated for low sala­ in the Navy, 5,000 in the Marine has ironic overtones. It came in the wake of ries with such perquisites as housing allow­ Corps, and 3,000 in the Air Force. a recent military pay increase designed to forestall such action, and it was made by a ances, cut-rate shopping facilities and free With this magnitude of trained, expe­ man who is the re-enlistment officer of his medical benefits. rienced men and women leaving the military police unit, responsible for convinc­ That is no longer true. Military perks are military, it is no wonder our Nation's ing soldiers to stay in the service. less attractive these days; in addition, many state of military preparedness is low. The exodus of non-commissioned officers, similar benefits, such as health insurance, Defense begins with manpower. who comprise the military's critical middle are commonplace in the civilian sector. What is the use of having some of the management, has produced serious short­ Free housing remains a major military most technologically advanced weap­ ages of experienced personnel in all services: selling point, but there are problems. When more than 40,000 in the Army, 20,000 in the it is available, enlisted men usually must onry in the world if the military take base housing, which often consists of cannot stop the outflow of dedicated Navy, 5,000 in the Marine Corps, 3,000 in the Air Force. cheesebox apartments in look-alike blocks professionals needed to insure that it Such shortages figure significantly in the of row houses. When base quarters are not will be maintained and utilized by nation's low state of military preparedness, available, housing allowances rarely match knowledgeable, trained personnel? which finds most stateside Army units un­ inflated rental levels-particularly in urban Before authorizing more money on ready for combat, increasing numbers of areas, where demand invariably outstrips elaborate weapons, we must first ade­ naval vessels unable to sail and key air supply. quately compensate our dedicated mil­ squadrons grounded. Moreover, while prices at base post ex­ itary personnel. But that's the big picture, which is little changes and commissaries generally are cut­ The article follows: more than an abstraction in the Estrights' rate, there is a catch: Choices are narrow dingy and cramped Fort Dix quarters, and usually limited to top-of-the-line items, THE SERGEANT CAN'T AFFORD THE ARMY where an occasional Sunday night supper at forcing many enlisted men to spend more (By Arnold Abrams) McDonald's is an indulgence. than they wish, even at reduced prices. FORT DIX, N.J.-For the first time since Estright, a hefty, broad-shouldered man Equally limited is the free treatment of­ he joined the Army more than six years with soft voice and easy-going manner, fered servicemen at most military medical ago, Sergeant Michael Estright had to make shook his head while contemplating the facilities, where low pay and the absence of an unhappy decision last year about cele­ recent 11.7 percent military pay hike, which a draft have produced a serious shortage of brating the holidays. The choice was clear­ increased his gross monthly paycheck by qualified physicians. cut: he and his family would be able to have about $80 to a total of $918-about $11,000 "We are treated like second-class citizens," either Thanksgiving dinner or Christmas annually. said Sergeant Jorge Nicholas, 33, a ten-year dinner. Not both. "I wasn't about to turn it down," he said veteran entrusted with troop training, one "There was no way around it," said Es­ about the raise, "but when you're hurting as of the Army's most demanding jobs. "There tright, 24, a military policeman with two bad as we are, that kind of money doesn't is no medical concern shown for us," he children and a third on the way. "We could make much difference." added. not afford two celebrations." Although it is too soon to tell whether the So lengthy is the normal wait at military So he and his wife skipped Thanksgiving pay raise and other increased military bene­ facilities, and so haphazard the treatment, and opted for a Christmas turkey with all fits will stem the service exodus, Pentagon Nicholas said, that he usually opts to pay the fixings-or mostly all, depending upon officials are dubious. Senior enlisted men for civilian care. "I really can't afford it," he

e This "bullet" symbol identifies statements or insertions which are not spoken by the Member on the floor. 2972 EXTENSIONS OF REMARKS February 24, 1981 said, "but what kind of life is it if you can't YOUNG INTRODUCES LEGISLA­ ing new and improved treatments; have decent medical help?" TION TO COMBAT REYE'S SYN­ third, providing physician training A mean one, answers Colonel Richard E. DROME programs; and fourth, information George, commander of Fort Dix's Walson Army Hospital, who conceded that Nicholas' services with respect to the detection, complaints were substantially justified. HON. C. W. BILL YOUNG diagnosis, and treatment of the dis­ "I've got real staff problems-numbers OF FLORIDA ease. My bill would also authorize the and otherwise," said the colonel, who ex­ IN THE HOUSE OF REPRESENTATIVES Reye's Syndrome Coordinating Com­ plained that his hospital-like most military mittee to provide financial assistance medical centers-is burdened not only by Tuesday, February 24, 1981 to public agencies, nonprofit private personnel shortages, but also by the profes­ • Mr. YOUNG of Florida. Mr. Speak­ entities, and individuals not associated sional shortcomings of those who serve. er, today I am reintroducing legisla­ with the centers, to conduct research "I've got some slots filled by uniformed tion I offered iri the 96th Congress to on Reye's syndrome. personnel that would be better off empty," provide for research by the National he said. "But you get what you pay for, and Realizing the need for this impor­ Institutes of Health on Reye's syn­ tant legislation, it is my hope that the we're not paying much." drome. Although many of his colleagues have left House will act in a most expeditious the Army, creating significant shortages in Reye's syndrome is a mysterious manner to consider this serious threat the critical area of training, Nicholas, whose condition which follows outbreaks of to children, early in the 97th Con­ gross monthly pay is $943, said he will prob­ influenza or other viral diseases, usu­ gress. Vital research to combat and ably stay-reluctantly. ally affecting children between the eventually eliminate this child killer "I'm locked in," he explained, citing one ages of 1 and 18 years. It is frightening could save the lives of many young of the service's prime benefits: the ability to in that it appears quickly-without children in America.e retire at half-pay, with other perks, after 20 warning-and often causes death years' duty. "I've thought a lot about leav­ within hours. Vital research is needed ing," he added, "but I've already done ten in this area, to find the exact cause of LOUIS J. GIACONA, CITIZEN OF years, and I'm one of those people who's and the treatment necessary to THE YEAR scared about old age and security." combat and eventually eliminate this So is Sergeant James M. Clay, a 13-year veteran who is reponsible for quality control child killer. Although Reye's syn­ HON. MA ITHEW J. RINALDO on all aircraft maintenance work done by drome has received considerably more OF NEW JERSEY the Fort Dix Flight Detachment. attention on a national level, due to IN THE HOUSE OF REPRESENTATIVES Clay, who oversees the professional and the dramatic increase in Reye's syn­ personal welfare of 12 enlisted men, earns drome cases reported, most people are Tuesday, February 24, 1981 $1,220 a month for a demanding job that, in unaware of the disease and the poten­ • Mr. RINALDO. Mr. Speaker, on civilian society, would pay three to four tial threat which it creates to children March 8, Union Lodge 1782 of B'nai times as much. He is so financially strapped of all ages. For the most part, Ameri­ B'rith will honor one of New Jersey's that, by his own account, shopping for cans are not informed of the symp­ most outstanding public administra­ Christmas gifts began in his household last July. toms associated with Reye's syndrome, tors, Mr. Louis J. Giacona, of Union "We need sufficient time to do some price­ and many cases go unreported, making Township, N.J., with its "Citizen of comparing," he said, "and also to lay away it virtually impossible to keep track of the Year" award. some money." just how many children are afflicted During a period when Washington is Shortly after starting his summer Christ­ with Reye's syndrome each year. This seeking to shift the administration of mas shopping, the 31-year-old staff sergeant realization in itself proves that not more federally funded programs to the recalled, he confronted the most difficult only does the general public need to States and local communities, it is par­ decision he has ever made: whether or not be alerted to the potential dangers as­ ticularly reassuring to know that we to stay in the military. sociated with Reye's syndrome, but have such capable and proven admin­ He chose to stay, largely because of time vital research is needed so that a cure istrators as Lou Giacona on the local already invested. "Thirteen down, seven to scene. His breadth of experience and go," Clay said of his years in service. "I'm or immunization can be discovered for not about to throw all those years away by this childhood killer. ability to supervise programs and turning my back on retirement pay." I was grateful to the House when my public funds in a prudent and effective That pay-about $800 per month, accord­ efforts to secure passage of my Reye's · manner give us hope that Federal pro­ ing to Clay's estimate-will be applied to syndrome legislation in the 96th Con­ grams transferred to local communi­ monthly mortgage payments on a house, gress were successful with the adop­ ties will give our citizens the highest which is what he and his wife Donna, 26, tion of my bill as an amendment to possible return on their tax dollars. have wanted since being married in 1972. _ the Health Research Act of 1980. How­ Lou Giacona has demonstrated this What's more, although he expressed con­ ever, it was disappointing to me and to over a period of 24 years of outstand­ fidence in his technical abilities, Clay noted many other people in the Nation that ing public service, beginning with his that he would need a year's schooling the other body did not agree to the appointment as assistant building in­ before taking the certification test required of maintenance personnel by civilian air­ amendment when the Health Re­ spector of Union Township in 1957. He lines. search Act of 1980 went to conference. helped to direct the orderly growth of "Who would feed my family during that Because my concerns over Reye's syn­ Union during a period of residential time?'' asked the father of two, who then drome have not been altered, I am and commercial expansion. As a result wondered aloud about future security even reintroducing my bill in the 97th Con­ of his capable handling of these re­ if he landed a good job. gress. sponsibilities, Mr. Giacona was named "There's something about that monthly The bill would provide for the estab­ the township's first and only adminis­ check, however small, that's very comfort­ lishment of a Reye's Syndrome Co­ trator in 1974. He supervises 400 em­ ing," he said. "At least an enlisted man can ordinating Committee to make grants ployees and a budget of $16 million. say this about the Army: you're not going to to and enter into contracts with public During this period, Union Township come to work one day and find a pink slip and nonprofit private entities for a 3- on your desk. That kind of security is im­ was singled out as an all-American city portant to me." year project to establish two compre­ because of the mix of public and pri­ And that kind of attitude prompted the hensive Reye's syndrome diagnostic vate services, and the depth of the following observation from a senior Penta­ and treatment centers. These centers human resources contributed to the gon official: "The story of enlisted men in would serve four basic functions in community through its many private today's Army is not a proud one. The good helping doctors diagnose and treat institutions. Mr. Giacona has encour­ ones are gone or going. The remaining ones Reye's syndrome patients. Those func­ aged this development by respecting are either counting their years or not very tions include: First, conducting basic the rights and property of our private good to begin with. Either way, we lose."e and clinical research; second, develop- institutions and businesses. February 24, 1981 EXTENSIONS OF REMARKS 2973 In 1976, Mr. Giacona was honored WWII. As we were poised in England, before mentum . . . something that is a comfort­ by the Union Housing Corp., which Normandy, the word was passed that in able associated effort which has been dem­ France there would be roadside signposts onstrated as working and has enduring dedicated its recreation center in his with numbers on them, coupled with two characteristics about it. name. A man of talent and enthusi­ letters and those letters stand for kilo­ For example, when I was in high school, I asm, Mr. Giacona has encouraged the metres. So we wouldn't get confused, we heard a statement which I have never for­ development of the arts, cultural ac­ were told each kilometre is six-tenths of a gotten. One teacher said, as we were strug­ tivities, sports, outdoor recreation, and mile. But it was in Helsinki, Finland, in 1952 gling with Latin, that while the root of many other healthy and constructive that I tumbled onto something. The Olym­ many languages was Latin, there were really pursuits in Union, N.J. pic games which embrace athletic excellence two international languages: mathematics As the B'nai B'rith award also testi­ from everywhere have always used metric and music. People who could not talk to fies, Lou Giacona's service has been measurements for length, area, volume, and each other could calculate together. People mass. It was in Helsinki, in the Olympic sta­ who could not read each others' language marked by respect for the principles of dium pressbox, that we received score cards could enjoy and be entertained by the same equal justice in our society, and for after each event. There were columns for music. the rights of people of all faiths and the metric measurements-and the one for In promoting metrication, I see an even races. He exemplifies the American the outlanders was given in feet, yards, better means of international communica­ spirit of service to our fellow man and miles, fractions of a mile, and pounds. Con­ tion coming down the pike. I refer to the Nation.e sidering the few representatives from other language of sports, its vast reach, and the nations who had to have the feet, miles, and riveting of attention it attracts. Even politi­ pounds toted up for them, I had the vague cians have begun to realize the value of this METRICS AND 1984 feeling that I had come from a backward international language and use sports in country. ways never before imagined. When working in the military environ­ HON.ROBERTK.DORNAN ment of the North Atlantic Treaty Organi­ In 1984, Los Angeles will become the in­ OF CALIFORNIA ternational or world capital of sport, by zation Where there's a "talk" show on TV or radio, America's entries in those long ago biggest of all international contractual un­ just bringing in the topic of metric meas­ Olympic games had to train using dertakings, the over $2 billion consortium urements will not command as ttluch inter­ metric measurements, and they con­ buy of the Lockheed F-104 Starfighter. The est from listeners as would be the case if tinue to do so today. fine print said that 950 of these planes you bring in the fact that Americans will would be built on the continent, on four as­ understand the upcoming Olympics better if Recently, the South Bay Chapter of they learn the metric units to be used. the U.S. Metric Association hosted sembly lines. This meant every drawing, Col. Barney Oldfield

79-059 0 1984- 14- (Vol. 127 Pt. 3) 2980 EXTENSIONS OF REMARKS February 24, 1981 Her eldest son, Otis, 29, did much of the He has promoted improvement proj­ tions provide a real opportunity to in­ work on her house, she said. Other work, in­ ects benefiting the church nursery, corporate the basic concepts embodied cluding new kitchen cabinets and a counter, parking area, fellowship hall, and in the Youth Education and Work Op­ new plumbing and wiring, was done through Famicos. The house was bought by Adams study. He also supervises the recently portUnity Act. It is significant that on a land contract with Famicos. Slowly, as begun construction of a church li­ most of the major innovations devel­ the $188 monthly payments accure, Adams brary. oped in last year's Youth Act provid­ will own the house. Mr. Speaker, it is people like Rever­ ing for the increased linkages among Adams can wait. She has lived in the end Hunter who are the backbone of the sectors mentioned above received neighborhood for 16 years. our communities. As a spiritual and widespread support, not only among "I was in three places," she said. moral leader, he is influential in guid­ Members of the House of Representa­ "One I fixed up and it got condemned. Then ing the lives of hundreds of families in tives, but also among the diverse edu­ the second one, I was burned out of. · "I wanted to own my own home for a long his neighborhood. He has taken an cation and labor interest groups af­ time. Everybody in my family had nicer active role in helping his congregation fected by the proposed changes. Con­ homes way out, and they said, "Why don't successfully meet the challenges im­ gress should concentrate on adopting you move out?" posed by modern society. On his the concepts developed in the Youth Adams said that a few years ago she saw second anniversary, as a leader in the Act to the appropriate segments of the the neighborhood declining. It was not the Santa Monica community, I congratu­ Vocational Education and CETA same one she had moved to a dozen years late him for a job well done.e reauthorizations. before. The block on which she lived on E. 81st St. was down to 13 houses. In addition, it is clear that Congress Solid citizens in the neighborhood. such YOUTH EDUCATION AND WORK will consider some form of an educa­ as the Adams family, had to bear the situa­ OPPORTUNITY ACT tion consolidation program to replace tion. the patchwork assortment of categori­ About 2¥2 years ago, however, Adams cal programs which often ascerbate became active in the coalition's housing ef­ HON. WILUAM F. GOODUNG problems they are designed to remedy forts, and then was one of its first benefac­ OF PENNSYLVANIA because of the overly prescriptive and tors. IN THE HOUSE OF REPRESENTATIVES cumbersome mandates embodied in "I could see, after the coalition got in­ volved, the area has been cleaned up im­ Tuesday, February 24, 1981 the legislation and regulations. Again, mensely," said Adams. "People are getting the Youth Act can serve as a model e Mr. GOODLING. Mr. Speaker, for significant reform and sensible back to being interested in the neighbor­ during the 2d session of the 96th Con­ hood.''• consolidation of various programs with gress, the House approved a compre­ similar functions and goals. There is hensive education and work bill com­ no reason why this proposal cannot A TRIBUTE TO REV. EMMETT bining education, employment, and vo­ become a part of a comprehensive HUNTER, JR. cational functions to provide compen­ block grant approach. The current satory services for disadvantaged separate, parallel, and mostly uncoor­ HON.ROBERTK.DORNAN youths. The legislation would have co­ dinate efforts at dealing with the com­ OF CALIFORNIA ordinated efforts to provide remedial plicated problem of youth employ­ IN THE HOUSE OF REPRESENTATIVES education and job training to the Na­ ment should be attacked more ration­ tion's neediest youth. This proposal Tuesday, February 24, 1981 ally and in a more holistic manner. was consistent with Republican goals This is a major reason for my willing­ e Mr. DORNAN of California. Mr. to prepare youth for jobs through ness to introduce this bold initiative. Speaker, on Sunday, March 8, the basic and employment skills training Although this current proposal does Greater Morning Star Baptist Church instead of establishing make-work not contain a provision for a youth dif­ of Santa Monica, Calif., will gather for public sector jobs which only aggra­ ferential or subminimum wage, I feel a worship service commemorating the vate, over the long run, the unemploy­ that such a measure is essential if we second anniversary of Rev. Emmett ment situation of young adults. are ever going to entice the private Hunter, Jrr's installation as their Although the time is not ripe for sector to become an active partner in pastor. creating an entirely new spending pro­ solving youth unemployment. Obvi­ I would like to take this opportunity gram, it is appropriate to consider a ously such.a provision would have to to cite some of the outstanding accom­ more rational, efficient and effective contain appropriate safeguards to plishments of Reverend Hunter. method for achieving the goals cur­ avoid abuses, but this can be achieved Reverend Hunter, a native of Geor­ rently embodied in various Federal through proper legislation. I intend to gia, has earned bachelor's degrees in education and jobs-training programs. press for this reform during legislative business administration and theology. Consequently, today I am pleased to consideration of this issue. Before coming to the Greater Morning introduce along with my colleagues I am convinced that the Youth Edu­ Star congregation, Reverend Hunter Congressman JEFFORDS and Chairman cation and Work Opportunity Act pro­ served as pastor of the Olivet Baptist PERKINS, the Youth Education and vides us with a working model for for­ Church in the city of Ventura. His Work Opportunity Act of 1981. This mulating a more efficient and effec­ outreach ministry consisted of partici­ proposal embodies the crucial concepts tive program for achieving our goals.e pation in 13 areas of community serv­ which would forge linkages among ice. education, CETA prime sponsors, busi­ Upon accepting the call to the ness, unions, and community-based or­ HOUSING REVITALIZATION IN Greater Morning Star Church, Rever­ ganizations in order to launch a com­ CLEVELAND end Hunter preached his initial prehensive effort at eliminating some sermon on the theme of emphasizing of the root causes of our unacceptable HON. LOUIS STOKES love, togetherness, prayer, Bible study, level of youth unemployment. It is ba­ OF OHIO and increased community outreach, sically the same proposal that over­ IN THE HOUSE OF REPRESENTATIVES combined with improving Christian whelmingly passed the House last family fellowship for the betterment year. Tuesday, February 24, 1981 of his congregation. It is significant that we keep this e Mr. STOKES. Mr. Speaker, thank Reverend Hunter has demonstrated legislation foremost in our minds as you for providing me with this oppor­ outstanding abilities as a minister by we approach the reauthorization of tunity to bring the news of a housing strengthening his church spiritually, the CETA jobs training program and revitalization in the inner-city area of improving its financial position, and the Vocational Education Act during Cleveland which I represent to the at­ building its membership. the 97th Congress. These reauthoriza- tention of my colleagues. February 24, 1981 EXTENSIONS OF REMARKS 2981 For many years, Cleveland has suf­ neighborhood group leaders, city officials called Cohab. Aetna also promised financ­ fered from the same housing and and other housing analysts. ing. neighborhood malaise as other inner­ Those invoved with a patchwork of hous­ "The thing about St. Clair-Superior is ing programs say people buying renovated that the middle class never really bailed out city areas particularly in the North­ houses are not necessarily the so-called completely," said Edward J. McNeely, a east. Quite candidly, Mr. Speaker, urban gentry: high-income people who have member of Cohab. Therefore, Cohab's ef­ there have been times that I described displaced poorer families in some other forts are being directed to the so-called con­ large portions of my congressional dis­ cities. ventional mortgage market, rather than trict as looking like parts of war-torn, The lack of a flow of upper-income house­ subsidized or guaranteed mortgages. bombed out Germany. As you can holds into Cleveland also may be a reason Even so, the housing problem in Cleveland imagine, it has been painful for me why the private sector has not been invest­ is of such proportions that even dramatic in­ and my constituents to witness the de­ ing in the movement to any great extent, roads would not necessarily save neighbor­ some neighborhood groups and city officials hoods from eventual destruction. For exam­ terioration of our neighborhoods. said. ple, McNeely said, there are more than 100 During this time, Cleveland suffered The private sector, mainly lenders, insur­ vacant houses in St. Clair-Superior. At and was labeled as having the crip­ ance companies and local foundations has present, Cohab can only work on about 25. pling symptoms of a city on its way become involved in some projects to varying "There's a lot of movement that's impres­ out-population loss, abandoned and degrees. But neighborhood leaders said busi­ sive, and we're going to see a lot more of it," substandard housing, economy in a ness and industry have yet to become part said Dr. Carol S. Franklin, research asso­ tailspin, and a general feeling of hope­ of the urban partnership ciate for the urban recovery project of Instead, there is more evidence of disin­ Cleveland State University's college of lessness. But, the residents really vestment than investment, they said. Those urban affairs. never gave up hope. patterns are being reversed by self-help A program that renovated about a dozen Mr. Speaker, while the situation has projects across the city and, in some cases, houses in several Cleveland neighborhoods not yet been totally turned around, I neighborhood groups as well as federal laws last year was run by Lutheran Housing am encouraged to report that we are have prompted more business involvement. Corp., whose director, Ray L. Miklethun, making substantial strides in the area While no one keeps track of the total said more and more groups are entering the of housing and neighborhood revital­ progress of housing improvement, The Plain housing business. ization. The citizens in my district Dealer pieced together information from Morever, housing improvement is conta­ several places to find residential rebuilding gious, he added. have served as the impetus for this re­ is occurring at a slow, but growing rate. As The major part of Lutheran Housing's vitalization movement. As a result of many as 1,000 inner-city houses, and per­ role is counseling, instruction and tool loan. their interest, the city government, haps more, underwent renovation last year. Last year, for example, 2,300 persons were HUD, and other concerned individuals There are many programs, all of which given lessons in home maintenance, and have become involved in various proj­ work in different ways. about 4,000 tools were loaned. About 130 ects in sections like St. Clair-Superior Examples show the piecemeal nature of people were given credit counseling, allow­ and Buckeye-Woodland. residential rejuvenation in Cleveland. But ing about half of them to save their houses Led by community coalitions such as they also show there is a market and from foreclosure, he said. demand which, some experts pointed out, There are other housing organizations, the Buckeye-Woodland Community has been ignored by the real estate and such as Neighborhood Housing Services in Congress and the Union-Miles Coali­ lending industries. Buckeye and the near West Side. tion along with the Lutheran Housing One is a pilot program for the Depart­ And the Union-Miles Coalition has a Corp., exciting and encouraging things ment of Housing and Urban Development, $100,000 grant from the Cleveland Founda­ in the area of housing are happening run by the Buckeye-Woodland Community tion to use in creating a housing and com­ in Cleveland. Unlike some other areas, Congress and the Union-Miles Coalition in mercial development corporation, to ren­ Mr. Speaker, this rehabilitation is their respective neighborhoods. That pro­ ovate at least 10 houses a year. being done for the current residents gram, begun as an experiment two years And some community organizations that ago, is responsible for renovation of 60 are not in the housing business do offer at and not for outside middle- to upper­ vacant houses, 17 of which have been sold least some encouragement, such as the De­ class income buyers or speculators. at prices from $18,000 to $30,000. troit-Shoreway Development Corp. Ray­ It has taken a lot of hard work, un­ Agnes Jackson, executive vice president of mond L. Pianka, director of the group, esti­ faltering commitment and grants from the Buckeye-Woodland group, said it pre­ mated about 60 houses have been improved the city, the Federal Government, and sented a program to HUD that residents in the neighborhood since last year. private organizations. We still have a would make work. The project was to ren­ The city has not idly stood by, either. Last long road ahead of us. But, we now ovate houses abandoned and eventually van­ year, 651 houses had some kind of major have a strong foundation from which dalized after government-insured mortgages work done for which the community devel­ were foreclosed. opment department-through its CASH to build. "Everywhere you looked, there were aban­

' . February 24, 1981 EXTENSIONS OF REMARKS 2991 A $500,000 HUD innovative grant started The law requires the agencies to pro­ THE DISABLED VETERAN up the revolving loan fund used by the vide evidence that the targets of the HBRA programs. Tenant associations repay the loans out of their permanent financing. surveillance are already involved in HON. G. V. (SONNY) MONTGOMERY The city also provides deferred payment criminal activity before the surveil­ OF MISSISSIPPI loans to hl'!lP finance down payments to lance is permitted. This incredible write down monthly costs so they do not cart-before-the-horse provision means IN THE HOUSE OF REPRESENTATIVES exceed 28 percent of a household's income. that our intelligence agencies can no Tuesday, February 24, 1981 Another HUD innovative grant for $3 mil­ lion of city funds staked another revolving longer find out ahead of time if a e Mr. MONTGOMERY. Mr. Speaker, loan fund, the First Right Purchase Pro­ crime is being prepared, unless they 1981 has been designated as the Year gram. This fund provides short-term, low-in­ happen to stumble upon evidence of it of the Disabled Person to call atten­ terest "prepurchase loans" to help tenant by some great stroke of luck. Then, tion to the plight of millions of Ameri­ associations pay their earnest money depos­ they must ask judges with little, if cans and other handicapped men and its. any, day-to-day experience in intelli­ women throughout the world. This Because of the revolving loan funds and because the private sector provides nearly gence matters to decide on the merits yearlong observance will focus on both all the permanent financing, public costs of one piece of intelligence gathering the accomplishments and the needs of are largely administrative. There is prob­ which alone may appear relatively in­ the disabled. ably no other housing program of this scale significant, but which may help com­ Beginning with the 97th Congress, it in the country today that provides so much plete a larger intelligence puzzle. is my privilege and high honor to have at so little public cost. For a public invest­ been elected by my colleagues to serve ment of $4.03 million, or about $8,600 per What is worse, the act allows targets as chairman of the House Committee unit, 464 apartments have been preserved of surveillance to be notified in certain on Veterans' Affairs. Programs, bene­ for low-income families. Compare that instances that they have been moni­ figure to the $35,000 to $42,000 per-unit cost fits, and services affecting over 30 mil­ of new apartment construction. tored, placing us in the ludicrous posi­ lion veterans in addition to their eligi­ Morever, Washington's program is one of tion of revealing to would-be law­ ble survivors and dependents fall the first to offer a direct challenge to a breakers our efforts to put them out under the jurisdiction of our commit­ major cause of inflation in housing costs: of business. The law does not provide tee. A large part of this commitment speculation. By helping tenants buy their this protection to American citizens rests in caring for the very specific buildings, it cuts out inflationary middle­ alone, but even to selected foreigners, needs of disabled veterans. As we men. And by encouraging low-equity coops, begin this very special year of observ­ it allows tenants to take their buildings out including some whom our intelligence of the speculative cycle permanently while services may have identified as spies. ance for the disabled of the world, I keeping them within the range of low- and believe it important to recognize the moderate-income families. Best of all, once Widening the circle of people with unique sacrifice of over 2.3 million these conversions receive permanent private access to secret data increases the American veterans who have been dis­ financing, the need for continuing govern­ chances of a damaging leak or a tipoff abled while serving in defense of this ment subsidies usually ends. of a suspected spy, yet that is what Nation. In doing so we should also "You must develop a perspective that this act does. In addition, it involves strengthen our continuing obligation views housing as something more than just the judiciary in what is obviously an the single-family house," says Marie Nahi­ to them. kian in attempting to explain the success of executive function: the administration Military service and the effects of the District's program. That's an attitude of our intelligence laws, and the day­ combat in particular have produced more government officials will have to to-day decisions of how to handle na­ the most disabling and crippling inju­ accept if other cities are to preserve their tional security threats. It abridges the ries. Among disabled veterans are supply of affordable housing in the 1980s.e power granted to the President by the thousands of paraplegics, amputees, Constitution to gather intelligence in the blind, the deaf, the helpless, and YOUNG MOVES TO REPEAL order to protect our country from countless others who will spend the FOREIGN INTELLIGENCE SUR­ foreign aggression. Under the law, not rest of their lives carrying the scars of VEILLANCE ACT even the President can authorize dis­ their service to this country. crete surveillance for more than a lim­ As I review the list of goals sched­ HON. C. W. BILL YOUNG ited period of time without a court uled for the U.S. observance of the order, even in time of war. Year of the Disabled Person, I am con­ OF FLORIDA fident that our Government, through IN THE HOUSE OF REPRESENTATIVES The law was a victory for the anti-in­ the Veterans' Administration, has al­ Tuesday, February 24, 1981 telligence forces in the United States ready come a long way in meeting • Mr. YOUNG of Florida. Mr. Speak­ who would like nothing better than to many of those objectives. er, I am today reintroducing legisla­ dismantle our entire intelligence com­ Over the past years, successive Con­ tion to repeal the Foreign Intelligence munity. It must be repealed so that gresses have approved extensive assist­ Surveillance Act of 1978, a dangerous the FBI and other intelligence agen­ ance through the GI bill for educa­ and potentially disastrous law which cies can get on with the work of track­ tion, readjustment, and rehabilitation places severe restrictions on the ability ing down potential threats to our citi­ for the disabled. Last year, in particu­ of the President and the intelligence zens. The only people this law protects lar, the 96th Congress updated and lib­ community to monitor the activities of are the very ones who pose a threat to eralized the vocational rehabilitation foreign agents in the United States. I our national security. program for service-connected dis­ first introduced this legislation in Jan­ abled veterans through Public Law 96- uary of 1979, within weeks of the pas­ With the rising tide of terrorism 466, the Veterans Rehabilitation and sage of this ill-conceived act. throughout the world, and the grow­ Education Amendments of 1980. These The law was designed to address the ing boldness of our enemies who want program adjustments will extend and concerns of some who feared Federal to see our great country discredited improve job training and job place­ surveillance of our citizens. Instead, it and humiliated, we need to untie our ment services for thousands of dis­ hamstrings our intelligence-gathering intelligence agencies and allow them abled veterans. The Congress and the agencies by requiring them to get ­ to do their jobs. For the sake of all of American people have long supported court permission before using virtually us, I urge that this dangerous law be veterans preference and special consid­ any clandestine intelligence source, in­ repealed quickly, so that the President eration in hiring disabled veterans in cluding electronic surveillance and in­ may once again effectively collect in­ both Federal and private employment. formants, to track down national secu­ telligence on the enemies of the Included in the assistance provided rity threats. United States.e disabled veterans are home loan guar- 2992 EXTENSIONS OF REMARKS February 2#, 1981 antees, grants for automobile adaptive to commend the sponsors of the pro­ grounds. Let's not use the children as pawns equipment, and financial aid for the gram, Stanford Hillel, the Stanford in a contest that belongs to the adults. And Committee on Political Education, the let's not make the schools bear the burden specially adapted homes for seriously of a problem that they in no way created. disabled veterans such as paraplegics Stanford Newman Center, the Jewish 2. Is busing worth the effort? That, read­ who are confined to wheelchairs. Community Relations Council and the ers may recall, was the subject of a series of The primary purpose of the VA Temple Beth Am Sisterhood. It is articles prepared by the highly respected medical system has always been to indeed refreshing, Mr. Speaker, to be Christian Science Monitor News Service and care for the needs of those disabled reminded of the strong support for run on these pages recently. The conclusion while on active duty in the military human rights and Soviet Jewry at has to be that it isn't, best summed up by service. The service-connected veteran Stanford University.e Milly Harmon, an ardent Los Angeles busing advocate who has completely re­ has always received highest priority versed her opinion on the subject since the for care and treatment in VA medical BUSING REALITIES NO ASSUR­ start of busing in that city two years ago. facilities. The VA has led the Nation ANCE OF BETTER TOMORROW "I really saw a better tomorrow as we all in both medical and psychological re­ did," said Milly Harmon of the attitudes she habilitation. Funds appropriated by developed in the 1960s, "but the realities Congress for the care of veterans have HON. EDWARD J. DERWINSKI have not worked out that way."e led to breakthroughs in advanced OF ILLINOIS treatment, research in the area of IN THE HOUSE OF REPRESENTATIVES spinal cord injury, prosthetics, and PHARMACY PROTECTION-THE ' Tuesday, February 24, 1981 TIME IS NOW preventive health care to name a few. e Mr. DERWINSKI. Mr. Speaker, These accomplishments benefit not there has been more practical conver­ HON. HENRY J. HYDE only disabled veterans but have sation and less artificial rhetoric on brought about a better way of life for the subject of busing students. While OF ILLINOIS millions of disabled individuals around this is an issue of much concern in the IN THE HOUSE OF REPRESENTATIVES the world through improved technol­ metropolitan areas, it is, in fact, a sub­ Tuesday, February 24, 1981 ogy. ject that has nationwide significance. I Mr. Speaker, we have come a long • Mr. HYDE. Mr. Speaker, on several was especially pleased to see an edito­ occasions in the past, I have risen to way in meeting our commitment to rial appearing in the Economist ·News­ the disabled veteran. However, this is speak about a brutal and vicious drug­ papers, which serve suburban Cook related crime which gives me great not to say that we have fulfilled that County, Ill., on the impact of school commitment. Much still needs to be concern: The robbery of pharmacies busing in the residential areas. The ed­ for the purpose of obtaining con­ done both to maintain what we have itorial, appearing in the February 18 already achieved and to advance a trolled substances. I am particularly edition, follows for the Members' at­ disturbed by the violent nature of this quality system of medical, readjust­ tention: ment, and rehabilitation programs to crime, which endangers not only the meet the ever changing needs of the BUSING REALITIES No AsSURANCE OF BETrER industrious businessman, but the inno­ disabled veteran. That is my goal as TOMORROW cent customer as well. As we have remarked in the past, it is time As I have mentioned, the dramatic the incoming chairman of the House to get the school busing issue out in the Committee on Veterans' Affairs. It is escalation in the incidence of this open and admit the real purpose of metro· crime is a regrettable byproduct of an objective we share on our commit­ politan-wide busing plans is to advance resi­ tee to fulfill a just obligation to all dential integration. Federal efforts to restrict the avail­ veterans, both men and women, who We pointed to a study entitled, "Breaking ability of illegal drugs. Determined have so faithfully served our country Down Barriers: New Evidence on the Impact and resourceful addicts and dealers in the past. It is also our continuing of Metropolitan School Desegregation on have targeted neighborhood drug­ obligation to preserve this system of Housing Pattern," by Diana Pearce at the stores instead of the previous sources benefits and services for those who Center for National Policy Review, School which now pose an increased likeli­ of Law, Catholic University of America. hood of apprehension by Federal au­ may have to serve or even fight for A major conclusion of this report is that our country in years to come.e "substantial housing desegregation" accom­ thorities. I do not subscribe to the mis­ panies metropolitan school desegregation guided notion that Federal Govern­ and the more metropolitan the scope of ment intervention will cure all of soci­ STANFORD SOVIET JEWRY busing, the stronger its impact on housing ety's ills. On the other hand, we PROGRAM segregation. cannot permit the Federal Govern­ Diana Pearce, in case you haven't noted ment to ignore the adverse effects of HON. TOM LANTOS the connection, is one of three members of a its actions, no matter how commend­ task force appointed by the Chicago Board able and unintended, particularly OF CALIFORNIA of Education Desegregation Planning Team IN THE HOUSE OF REPRESENTATIVES where it appears that the States and to gather data. localities have insufficient resources to Tuesday, February 24, 1981 She was in the news the other day for having written a letter to the DuPage cope with the problem. It is incongru­ • Mr. LANTOS. Mr. Speaker, in con­ County Superintendent of Schools on how ous, in my view, that the resources of nection with Student Solidarity Day many students are bused to schools there, the Federal Government may be for Soviet Jewry, students at Stanford what grades they are in and how long and brought to bear against one who ille­ University are sponsoring a vital how far they ride the buses. gally dispenses controlled substances, forum on the topic of "Reagan, She was criticized by one of the associates of the planning team for making it look like but not against one who takes them at Russia, and Human Rights." This pro­ a metropolitan-wide busing plan is being the point of a gun. gram will focus needed attention on studied "right now," which, the official I have sponsored and supported var­ the current status of United States­ claimed, is not the case. ious measures designed to correct this Soviet relations and the worsening sit­ That's not a very strong denial. Take out deficiency in the past, including an uation of Soviet Jews. The panelists the words "right now" and it's a virtual ad­ amendment to the Criminal Code revi­ include Nobel Laureate Dr. Kenneth mission that metropolitan busing is being sion bill

79-059 0 1984- 15- (Vol. 127 Pt. 3) 2996 EXTENSIONS OF REMARKS February 24, .1981 I also want him to carry back to President considerable discussion of this recommenda­ pecially important that these cuts be Reagan a clear message from the 20,000 tion at this convention and in the national as fair as possible. This is a responsi­ franchised dealer members of NADA and press. bility which Congress cannot shrug. from this convention that we totally sup­ I would like to take a minute to clarify No one region or income group should port his program for a "new beginning" in just why NADA has taken this position and our fight against inflation and will bear our the rationale behind it. be asked to make a disproportionate share of whatever burden or sacrifice is nec­ The Board of Directors of NADA is com­ sacrifice. essary to get the job done. mitted to reflect the concern of the dealers In this regard I recommend to my We will also carefully study in detail the they represent. These dealers are on the colleagues the following article which program recently presented to President daily firing line with constant contact with appeared in the Columbus Dispatch Reagan by the manufacturers-as referred their customers and their prospects. showing how the current plan would to by Mr. Caldwell on Saturday. The message for the past several months favor the so-called Sunbelt over the NADA will soon be presenting an action has been crystal clear-dealers felt the 1981 plan of our own to ensure that dealers inter­ introductory prices were too high. Dealers Midwest and thereby increase the out­ ests are understood. felt that the rapid price rises since introduc­ flow of much needed jobs from my 1981 will be a transition year. The begin­ tion, in the face of a declining market and region of the country. We must avoid ning will certainly be no worse than 1980, rising interest rates, made no economic this result, be it intended or unintend­ and I feel the end will indicate us to be well sense. Dealers felt that the recent incentive ed. on the way to the exciting decade ahead. programs by some manufacturers have SUNBELT BENEFITS MOST, ANALYSTS SAY It will, however, take every bit of patience, proven that a five- or six-hundred dollar intelligence and cooperation from every price reduction will stimulate a stagnant WASHINGTON.-President Reagan's eco­ sector of our economy involved-Govern­ market. nomic program favors the Sunbelt over the ment, labor, manufacturers and dealers. Obviously, no manufacturer can absorb Frostbelt, analysts concerned over the de­ Certainly, product, productivity and qual­ this reduction as a normal operating cost cline of the nation's old manufacturing ity have contributed to the success of the any more than this country can absorb region contend. Japanese auto industry, but these talents three successive 10% cuts in personal tax The White House denies that this was the would have died on the vine were it not for revenue. intent, or will be the result, of the presi­ the climate created by the total and intelli­ But our philosophy in making this request dent's package of tax and spending cuts, but gent cooperation of government, labor, in­ was identical to President Reagan's tax cut various organizations and individuals who dustry and banking in Japan. proposal. have looked at the package say it will only We can no longer afford in this country to Just as President Reagan expects to offset hasten the Frostbelt's economic decline. dissipate our energies with intramural bick­ this immediate loss of income by stimulat­ "If there is any new investment, there will ering and cheap shots. We must attend to ing offseting income in other areas, NADA be one general decision by companies: Go our true consumer responsibilities of prod­ feels a price rollback would trigger a market south, go west." said Gar Alperovitz. an uct, productivity, quality and price and response of enough volume to offset the re­ economist for the liberal-leaning Center for attend to it together. duction. Economic Alternatives, a think tank. But NADA represents over 20,000 fran­ NADA is committed to working for regula­ "We think the president's program favors chised new car and truck dealers fighting tory relief, a tax credit, a more bilateral growing, cheap land areas," said Tom Coch­ for their business lives-right now! What is dealer-factory relationship and a price roll­ ran, executive director of the Northeast­ necessary right now-short range-to ensure back to minimize dealer attrition in the im­ Midwest Congressional Coalition, a group minimal continued attrition and ensure mediate year ahead. formed by representatives from the Frost­ their still being here to bear the fruits of Internally, one thing I would like to see in belt states. the ultimate success of President Reagan's the coming months is the total involvement "What you have already is a migration of plan for an American "new beginning" and of every dealer member with NADA. taxpayers away from the Northeast and Secretary Lewis' task force efforts? I want every dealer member to be totally Midwest, and that could be accelerated by All environmental and safety regulations informed, totally committed and totally this program," said Felix Rohatyn, a senior must be frozen for a two-year period. supportive of the only broad-based national partner in the firm of No. 1-We need immediate relief from ill­ organization he has that can be there when Freres & Co. of New York. conceived and poorly applied regulations he needs it. Analysts cite the following reasons why that have been piled on this industry, some­ I want 1981 at NADA to be "The Year of the program could speed up the region's de­ times vindictively, with little or no concern the Dealer". cline: for cost-effectiveness. Certainly, we support I want to thank you again for the chance Business tax cuts: Reagan's plan to reduce responsible and necessary regulations, but to be your president in this critical transi­ from 25 to 10 years the period in which we have gone far beyond the point of dimin­ tion year from "the worst of times-to the companies can write off, with depreciation ishing returns with this burden. best of times." tax deductions, the cost of building new fac­ No. 2-NADA supports an immediate tax I pledge to you my best efforts to ensure tories will induce many companies to move credit as a first and necessary step to stimu­ that one year from today the picture will be plants to the Sunbelt states. late new vehicle sales and to lead the recov­ far brighter, and we will be well on the way Rohatyn, Cochran. Alperovitz and others ery of the automobile industry at both the toward the exciting, innovative and profit­ interviewed said that the depreciation wholesale and retail levels. able 1980's I see ahead. schedules could and should be changed to No. 3-We must continue to improve Thank you very much.e permit some tax writeoff to rehabilitate ex­ dealer-manufacturer relations. isting structures. We must deal in a climate of mutual re­ Firms will be led to warmer climates be­ spect for our responsibilities to each other PRESIDENT REAGAN'S BUDGET cause labor, land and energy costs are rela­ and on a true bilateral basis. CUTS tively cheaper in the Sunbelt, they say. It is true that while we, as dealers, are Military spending: All the analysts inter­ natural partners with our manufacturers, HON.BOBSHAMANSKY viewed noted that the economies of western we are also natural adversaries. states, where the defense industry is cen­ But our destinies are parallel and our OF OHIO tered, will be dramatically affected by Rea­ daily and ongoing discussions must be con­ IN THE HOUSE OF REPRESENTATIVES gan's planned huge increase in the defense ducted in a climate of mutual concern and Tuesday, February 24, 1981 budget. respect. Oil decontrol: Rohatyn said that higher I have said many times that our basic in­ e Mr. SHAMANSKY. Mr. Speaker, oil prices brought about by Reagan's deci­ dustry relations frustration is that we, as President Reagan has proposed sub­ sion will add to production costs in the dealers, suffer from a lack of leverage with stantial reductions in Federal spend­ Northeast, where manufacturing is heavier our manufacturers. We can demand and rec­ ing as part of his efforts to restrain in­ and where the weather is colder. ommend, but if the answer is no, there just flation. I fully support efforts to At the same time, he said, the Sunbelt is no next step. The power of 20,000 dealers reduce substantially the budget defi­ states will collect an additional $120 billion working together is obvious, and somehow over the next decade from their various we must find a way to use that power. cit, and intend to work to see that energy taxes-taxes they are able to charge No. 4-0ur manufacturers must roll back budget-cutting effort succeed. because they happen to be where the oil is. prices to a realistic level. Because the burden of these budget Public financing: Rohatyn said that Frost­ Since adopting this position at our NADA cuts will fall most heavily upon the belt cities are going to have a much more board meeting on Friday. there has been least fortunate in our country, it is es- difficult time financing their projects February 24, 1981 EXTENSIONS OF REMARKS 2997 through borrowing from the municipal support it, is the evolution of man from a cause we're raising up a generation today bond market. lower form of animal life. I believe that man that doesn't know right from wrong. They "The municipal bond market has been never was animal. I don't believe that have grown up in that kind of society. We very difficult for some time," he said. "This there's a scientific fact to prove it. There are trying to define the issues so that people situation, and the dimmer outlook for the are many who support various theories, but know right from wrong. However, on the Northeast and Midwest, is going to make not one fact. . . . I believe that God made matter of censorship, the only answer to the local financing more difficult. The credit­ man in his own image and that he was as he removal of what I call pornography from worthiness of the entire region becomes is today: body, soul, and spirit. the television screen-I'm more concerned more questionable." Penthouse: [Do you also believe the Bible about the television screen than the movie Bonds now rated AAA in some Northeast when it says that] serpents spoke and screen because we don't have to go to that. and Midwest cities will find their ratings things like that? The television set is in our living room; lowered, while Sunbelt cities will see the Falwell: Oh, of course. Absolutely. And so that's a different story. And our family may credit-worthiness of their bonds increased.e would over half the preachers in America. be watching it while we're out, and there is ... That is what the Christian church was nobody there to help the children. I object built upon, and it's only when we've gotten to that.... Now I say we have to be care­ INTERVIEW WITH REV. JERRY away from that that we've gotten in trouble. ful, because to make a rule and say, "This F~WELL-PART II That's one reason Pope John Paul today is a will not be seen and that will not be seen." hero in some areas and a crude radical in ... The question is, who will decide that? HON. LARRY McDONALD other areas. That bothers me. OF GEORGIA Penthouse: A crude radical in what areas? So I concede there that we have a very Falwell: He has demanded that Roman delicate problem. However, I think where IN THE HOUSE OF REPRESENTATIVES Catholicism come back to their position of the problem comes is this: I think there Tuesday, February 24, 1981 absolutism. Which I say "amen" to him. He must be men and women at the top of these • Mr. McDONALD. Mr. Speaker, con­ came to America, and he looked into a very industries who have personal moral values, hostile American media on these moral who judgmentally decide, "No, we will not tinuing a review of the danger of secu­ issues and without batting an eye said that do this; yes, we will do this," and who do it lar humanism as a basis of morality, "We will not ordain women." He said that not because they have to do it but because society, and ultimately government, homosexuality is perversion, abortion is they want to do it. . . . the second part of the recent Pent­ murder, and that is where we are and where [In] an interview I had in Washington re­ house interview with Rev. Jerry Fal­ we will be. Well, 40 years ago that wouldn't cently someone from ABC said, well, the president of the Moral Ma­ have shocked anybody in America or in the "Doctor, don't you think that ... we are jority, is instructive. Catholic church. But today it does .... He presenting life the way it really is?" I said, That portion of the interview fol­ . . . believes that the Bible is the inherent "That's the problem. You and I, whether we word of God and therefore is not to be ques­ like it or not, we are opinion makers; we are lows for the benefit of my colleagues tioned. leaders; the way we go, millions will go with interested in the essential question of And that is where I am.... That's where us. We have an obligation not to present life what form of morality as a basis of so­ Dr. Billy Graham is; that's where at least the way it is but the way it ought to be." ciety and government. 110,000 fundamentalist pastors are in Amer­ Penthouse: The way you think it ought to REVEREND JERRY FALWELL ica today. And this is where the action is be? Penthouse: When you say you're a funda­ going. If you'll get the numerics, the Falwell: Well, I think that the American mentalist, does this actually mean you be­ churches in America that are growing, tradition-forget the Bible-is the sanctity lieve that everything in the Bible is specifi­ really growing, and are filled and running of the family, the husband, wife, legally cally correct? over, are churches that adhere to that posi­ married relationship, is unquestionably the Falwell: Yes. The reason I use the word tion. The main-line denominational cornerstone of this republic. And we need to fundamentalist in preference to the word churches that are merging are those work towards its preservation, not its de­ evangelical is this: 20 years ago I did not churches that have decided: "We don't want struction. And today the television industry, object to the word evangelical, because it an authoritative message; we want rather to without any question, is geared towards and meant the same thing that fundamentalist create our own religion, do our own thing, directiilg all of its energies towards the ridi­ means today. But today there are many who and rewrite it and update it as time passes." cule of that basic institution. have come in ... under the shelter of evan­ So that is where the neo-evangelicals and Penthouse: Which sort of programs? Do gelicalism who in fact are not evangelicals. the liberals are today, and that is why they any spring to mind that you think are por­ The basic tenet of former evangelical Chris­ are going out of business. People want what nographic? tianity, now what I call fundamentalist people have always wanted: they want a Falwell: ... A couple of years ago I'd say Christianity, is that we have one basic docu­ message from God. They don't want your "Soap" is offensive. But now they're all .... ment on which we predicate everything we ·message; they want God's message. And One just opens a door and here's a bedroom believe, our faith, our practice, our life­ that's a big difference, by the way.... scene, there's a bedroom scene, here are two style, our homes et cetera, government-is Penthouse: ... There are a lot of people young people living together who are not the inherency of scripture, not only in mat­ in the same business who are not totally re­ married, here's a homosexual brought into a ters of theology, but science, geography, his­ spectable, aren't there? very favorable light. These situation com­ tory, et cetera-totally and entirely, the Falwell: Well, Jim Jones, for instance, yes. edies really are promoting a cause, develop­ very word of God. The same freedoms that protect us, that ing a theme. And in almost every case the Penthouse: Do you believe the sort of protect a journalist-First Amendment opposite of what I believe to be the Judea­ things (found in the Bible] like Lot's wife is rights in America. . . . While I oppose these Christian ethic. . . . Take the soap operas in turned into a pillar of salt? people like Sun Myung Moon and self-ap­ the afternoon! ... They teach women how Falwell: I do. pointed messiahs ... I'd die for their right to run around on their husbands in a very Penthouse: You must believe in science. to do what they do. . . . This question of sophisticated fashion and get by with it. . . . The dating of radio carbons says that censorship, it is so delicate.... It is a fine, So I say that television has become a there were animals here millions of years fine line. So I say that there's a vast differ­ vendor of perniciousness. And I think we ago, and obviously there was human civiliza­ ence between a cult and fundamental Chris­ need some men and women at the top who tion in China, Egypt, Sumeria, the Aztecs, tianity. In a cult people follow a charismatic are not motivated by the gods of the al­ whatever, long before the span that the personality; whether there's a written docu­ mighty dollar. Bible says. How do you reconcile this? ment or not, they will follow him to hell or Penthouse: There are fairly extensive pas­ Falwell: No problem at all with that. I death, as in the case of Jones. And I think sages in the Bible which, in less permissive thoroughly, totally agree with all of these that Moon's followers would do the same times, could have been considered findings. And the Bible in no way is contra­ thing.... But in the fundamentalist case, ... pornographic.... How do you recon­ dicted, nor does the Bible contradict that. the message, the written book, is their cile that? In the beginning, God created the heaven creed, their catechism. And if we, the Falwell: I think there's a difference be­ and the earth. If you'll read the first three preachers of that message, stop living by it tween reportorial writing of what is happen­ chapters of Genesis carefully, there's a very or stop preaching it, they will throw us over ing and the graphic, illustrative portrayal of clear, unlimited time span there. It could for somebody in favor of that book. the gory details. For example, I've never op­ have been millions of years; it could have Penthouse: This fine line ... surely it is posed sex education in schools, as long as been hundreds of millions of years. you who is trying to draw it? it's taught as biological science. I have no The only thing I reject, of course, and Falwell: Well, yes and no. [I aml trying to problem with human anatomy being taught; there is not one shred of scientific fact to create an awareness of right and wrong be- I have no problem with the scientific ap- 2998 EXTENSIONS OF REMARKS February 24, 1981 proach to hygiene, to puberty, adolescence, Penthouse: Dr. Falwell, do you know any­ substantial opposition. They've been accus­ etcetera. thing about politics? tomed to doing their own thing, gaining My problem is when we cheapen, when we Falwell: I think I do. gradually but surely the support of the gov­ take what is sacred-and sex is sacred, mar­ Penthouse: ... There are no easy an­ ernment. And hardly anyone on what they riage is sacred, the marriage act is sacred­ swers in politics, whereas there are easy an­ call "the Right" speaking against them.... when we take what is sacred and cheapen it swers in what you say ... Penthouse: ... Would you say that the by making it something less than God in­ Falwell: Well, doing right is not easy. It's people who put forward ... points of view tended it to be. Then it becomes always easier, always easier to do wrong opposed to yours . . . are sincere, or would pornography.... The Song of Solomon than right. When ... a little child has you categorize them as . . . malfeasant or tells of a love relationship he had with his done something he shouldn't do . . . it's [ofl bad faith? love. He told of the kisses and the physical easier to lie and say, "I didn't do it." But affection that transpired between them. I though it's more difficult to say, "Yes, I Falwell: Oh, many of the people who don't object to that at all. I'd have no prob­ did," it's the right thing to do, and it will ul­ oppose my moral philosophy are good lem reading that, preaching from that, as I timately contribute to his betterment and people. I could name many of them who are do, in a mixed audience. I would certainly the betterment of the relationship in that religious people. It has nothing to do with object, however, to taking that same story home and the development of his character their character or my character. It has to do and cheapening it to a Playboy or Pent­ as well. The same thing is true of a nation. with philosophy. house level, where four-letter words, vulgar Right now we are is such a sick condition applications, unholy relationships were ap­ Penthouse: If a large number of the Moral that there are not going to be any easy Majority people get . . . into the Senate, plied. routes out. As a matter of fact, I don't know Penthouse: Just before he was elected, would you not think of banning pornogra­ that America can recover from some of the phy? [Jimmy Carter] confessed .. ·. that he had problems that we have created without sometimes lusted after women.... Have going bankrupt, without literally wiping out Falwell: No question we would. That you ever lusted after other women in your economically. . . . wouldn't stop it, of course. All we would do heart? And if you had, would you admit it in Who could go into office right now, as a is keep it away from children.... It's like public? presidential candidate or even a senatorial Prohibition 40 years ago, 50 years ago; Falwell: Well, I never objected to ... candidate, and say that "I am going to work you're not going to stop people from drink­ then-candidate Carter's comment that he diligently to eliminate the unnecessary ing by preventing it from being sold in the had lusted after women. There is not a man spending of welfare dollars where unworthy public markets. It's still going to be sold. on earth alive today ... who was never people are receiving those dollars. I'm not And that is an unenforceable law. If I'd guilty of lust. Because we are human talking about Social Security for the aged lived then I would not have been a part of beings.... My objection was not to what or the indigent of those who cannot work. it. I do not think it's an unenforceable thing he said but to whom he said it. Giving an in­ We're talking about the absolutely illicit use to restrict the sale of damaging pornograph­ terview to Playboy magazine was lending of $222 billion proposed budget of this year ic material on the public newstands. I think the credence and the dignity of the highest we've done that up until 20 years ago .... office in the land to a salacious, vulgar mag­ of HHS." Well, he couldn't be elected; it's a azine that did not even deserve the time of matter of fact. He'd have to go in Penthouse: ... You've been in trouble his day.... He should have denied them and . . . than reverse himself and lie after with the SEC at one stage, and then there the interview.... I feel that he was pitch­ he got in.... I think that really the coun­ was trouble down in San Diego: campaign ing; he was campaigning to an audience that try may have to go down financially, or that funds, illegally giving $31,000, and so on. Do doesn't read the Baptist Sunday school we cannot honor our commitments. And you feel there is some potential for embar­ quarterlies.... then the next administration start from rassment? Penthouse: A senator asked you when you zero. I'm not saying that's going to were going to get out of politics, and you happen.... Falwell: Oh, always. You just named two; said to him when he gets out of morality Morally, I think this is where pastors can I could probably name you a hundred. We business.... make the difference. But the legislators at obviously are coming down hard. The Secu­ Falwell: Okay. Religion and politics. I every level must assist then and work with rities and Exchange Commission, in 1972, think the problem is simply this: that the them. We must come right across the grain, attacked us on the basis of our issuing Founding Fathers did not have in mind sep­ knowing full well that we're going to make a bonds and borrowing money from our own aration of God and state, only religion and lot of people mad, and decide, as I've said re­ members to build our national network. state. And when you're dealing with moral peatedly, that it's more important to be They never mentioned that we paid back, as issues . . . that are basically shared by the right than popular. And do what is right, if we always have, every dime. They never American populace and the churches in it costs us everything, so that our next gen­ mentioned that, first of all, they lost in America, you're talking about something eration, our children, can once again enjoy court and second, we won the court case and that touches the \llajority of the people of what we have known in this country. everybody, as always, got every penny of in­ this nation. And therefore, as part of the Penthouse: [Who comprises the Moral terest and principal promised, et cetera. The electorate, we have not only a right but a re­ Majority?] California situation? I was out there cam­ sponsibility to speak out.... We, what I Falwell: ... The Moral Majority is a coali­ paigning for Proposition 6, and we raised a consider to be the moral majority in tion of "religious people," and I put that in lot of money-$60,000-for the committee America ... still believe the Ten Com­ quotes, of all sorts: Mormons, Catholics, that Senator Briggs heads up. And the fed­ mandments are valid for today. I don't Jews, fundamentalists, you name it. We've eral election commission questioned our mean they all live by them; none of us live got 70,000 such pastors and religious leaders right to do that. They have a right to ques­ up to what we believe. But the vast moral in that group right now, and several million tion; anybody can question. But that doesn't majority in America are out speaking loudly lay people.... We don't compromise our stop us; it doesn't bother us at all.... I can and clearly and articulately and getting the theological principles. However in the mention to you many, many other cases attention of the people in the decisionmak­ matter of survival, the matter of freedom, where one person sued us for a million dol­ ing process in our states and in Washington the matter of Americanism, the matter of lars for making a statement on morality. who can do something about the turning moral values, we join hands together with­ We've had stations put us off the air for leftward of our nation on moral issues. . . . out any compromise whatsoever. taking a stand that I take, only to have the That's really where the role [of the It isn't compromise for us to say, "Hey, station across town take the program, and church] is. If I were going to run for presi­ let's put together a coalition. This ship of quickly. dent, that would be bad, that would be state is sinking, as we see it. Let's pull it out wrong. I would be using. . . . If I were going together; let's fight together now so we can So we have just determined-and it's to run for U.S. Senate in my state, I would fight each other later." That's the terminol­ going to get worse . . . that opposition will be using my influence that I have developed ogy we use. And it's the kind of thing that not scare us or stop us. from my ministry to pick up-and I prob­ people in all religious persuasions will buy, Penthouse: Do you feel embarrassed ... ably could-a majority of voters to go into because we're not trying to change their re­ in asking for money in the way that you do, the U.S. Senate. Okay. That's the Khomeini ligious beliefs, nor can they change ours. when there is a vast amount coming in? approach. That's wrong. But if I can create And if we allow our difference to keep us a moral climate and consciousness in our from getting together, then we will never Falwell: No. We're going to have to raise a state, if we can provide such a moral con­ accomplish what we're trying to accom­ great deal more ... We'll have to probably science that it is easier for politicians to do plish-and that is a change in the nation, have a 45-to-50-percent increase in giving right than to do wrong, which is not the morally.... next year, just to meet the demands of our case today, then we have made our contri­ This is the first time in 30 to 35 years that enlargement and the inflationary prob­ bution. the amoral forces in America have had any lems.... We have 3¥2 million families who February 24, 1981 EXTENSIONS OF REMARKS 2999 are part of our ministry and who support us CHIEF WARREN SMITH processing, buying, selling, building or to some degree. Some are totally committed HONORED FOR SERVICE . simply consuming, one is of necessity in­ to what we're doing. Some, nominally so. volved in commercial transportation as an But all somewhat. , integral part of everyday life. More funda­ And we present all the facts. For example, HON. HAROLD C. HOLLENBECK mental is the fact that transportation con- I believe that a Christian ministry, like a OF NEW JERSEY siderations influence and often dictate IN THE HOUSE OF REPRESENTATIVES where jobs are located, what type of local or public corporation on the New York Stock regional economy exists, as well as how re- Exchange, because of the public nature of Tuesday, February 24, 1981 sources are to be developed and utilized. its ministry, ought to be required to make e Mr. HOLLENBECK. Mr. Speaker, Stated in economic terms, transportation public and full disclosure of its finances. Chief Warren Smith, who has com- expenditures in the United States amount Which we do. There is an evangelical coun­ to over twenty percent of the annual gross cil for financial accountability which is a piled 34 years of distinguished service national product. Because of the everyday self-policing organization, created by the with the Cresskill Police Department, nature of transportation this large expendi- evangelical leading ministries. The Billy 11 of those years as chief of police, has ture has often been taken for granted. To Graham Evangelistic Association, ours, retired from his position. I wish to join put this expenditure into proper perspective World Vision ... are among the largest his colleagues, members of the force, we need only consider a recent finding made ministries of some 80 that have been ap­ borough officials, and area residents in a major study for Congress by the Na­ proved. . . . It is the Better Business Bureau and friends in paying much-deserved , tional Transportation Policy Study Commis- of evangelical ministries. And it's voluntary. ·b t t ch· f S ·th f · b ll sion that in the next 20 years, the United t r1 u e o Ie mi or a JO we states will spend $1.2 trillion in a combina- ... I think that every [church] ought to done. We recognize, not only the lon- tion of private, corporate and tax dollars on come forth . . . ·offering audited financing gevity of his service, but his dedication transportation alone. by outside auditors, making your books to duty and to our community iriter- Despite these huge expenditures few mi­ available to any and all, at any time, for any est. ' norities are involved in the field of transpor- reason; having an outside board with a For more than three decades, day in tation. This phenomenon can largely be at­ membership of outside persons who actually tributed to institutional factors which have have control of the ministry, actually spend­ and day out, Chief Smith has carried ing the money for the very purpose for out the tremendous responsibility of operated historically to create an almost in­ protecting the citizens of his commu- surmountable barrier. One need not recite which you raised it, and proven by certified nity with unwavering commitment and the history of obstacles and blatent discrim- auditors. The reason I believe that is be­ ination, sanctioned and made legal by law cause every time a ministry goes wrong-the steadfast belief in the dignity of the and policy, that kept minorities out of most Pallentine Fathers, that type of thing-it law. He has realized in his career the mainstream economic fields, including hurts every one of us. almost unbelievably high standards transportation, for many years. What needs Penthouse: Do you have any doubts that expected of law enforcement officials to be emphasized at present is that many of you are right? by their fellow officers and by the citi- these obstacles have been lifted as a result zens they serve. And for this dedica- of both the struggle for racial equality and Falwell: None whatsoever. tion, he has earned our sincere grati- changed economic and political circum- stances and that there is now room for Penthouse: Never? tude and deep affection. greatly expanded minority participation in Falwell: Not once. I've been a Christian I am proud to offer Chief Smith my the field of transportation. Minorities must for 28 years, [since] January 20, 1952. congratulations and commendation for move quickly and decisively to take advan­ Penthouse: How can you date it so specifi­ his fine record of service and my very tage of these opportunities. cally? best wishes for happiness and good America is now experiencing a wave of de- health in his retirement.e regulation in the transportation industry. Falwell: I had been listening for years to a The first step was the Air Cargo Deregula­ radio broadcast while I was going to high tion Act of 1977, followed by the Airline De­ school and college, Dr. Charles E. Fuller, regulation Act of 1978, which significantly the old-fashioned revival hour.... He is changed the degree of regulation in the dead, of course. But he was the pioneer in MINORITY BUSINESS OPPORTU­ commercial air transportation industry, and Christian broadcasting.... I don't have any NITIES IN TRANSPORTATION eventually eliminates the Civil Aeronautics religious background at all. But listening to Board. This year Congress passed the Motor him on radio Sunday mornings in bed, I HON. PARREN J. MITCHELL Carrier Act of 1980, which makes major became convinced that what he was saying OF MARYLAND changes in the way trucking rates are estab­ lished and in the regulatory controls on was so. But I didn't know where to find any­ IN THE HOUSE OF REPRESENTATIVES body who could help me. And so I began entry into the industry. Additionally, Con­ looking for a church that preached what I'd Tuesday, February 24, 1981 gress has recently passed bills to deregulate been hearing him preach.... And I found e Mr. MITCHELL of Maryland. Mr. the rail and household movements indus­ such a church ... on the twentieth day of tries. Congress is considering further meas­ Speaker, I would like to submit the ures to deregulate both the bus and mari­ January, and that night I went to church to following remarks by Interstate Com­ time industry. become a Christian. And that night, when merce Commissioner, Reginald E. Gil­ Clearly, in the 1980's, there are deep and the service was over, the pastor gave an liam, for my colleagues' review. The pervasive economic and political trends at open invitation, as Dr. Graham does, to remarks are entitled, "Reindustrializa­ work that are causing significant changes in come forward and publicly acknowledge the relationship of government to the pri­ your faith in Christ as your Lord and tion, Deregulation: ~ Opportunity for Minority Economic Development." vate sector, and in the very nature of com­ master. And I did that. I didn't own a Bible, petitive price and service innovation within I didn't know a verse of scripture, and I ex­ They address the vital area of ade­ the private sector. plained that to them. I said, "Hey, I am just quate minority business participation What is happening is much more than a an ignorant college student. I don't know in the transportation industry via the manifestation of the oft-repeated rallying the first thing about spiritual matters. But I additional opportunities which deregu­ cry of "get government off our backs". It is want to be a Christian, and I have come lation in this industry will facilitate. also more than the very valid judgment that here not to go part of the way; I want to go Such participation is critical to the governmental bodies are ill-equipped to all the way." strengthening of our national econo­ make business decisions. Congress and our my. political leaders are making a fundamental So the next day I purchased a Bible. And economic judgment that it is now time to for the last 28 years I've been studying that Mr. Gilliam's remarks follow: reduce and de-emphasize government's role Bible; I've been sitting under, I think, the REINDUSTRIALIZATION, DEREGULATION: OPPOR­ as a market place regulator while giving in­ best scholars of this generation. I've been TUNITY FOR MINORITY ECONOMIC DEVELOP­ creased impetus to competition as a regula­ spending ... time in prayer and meditation MENT tor. The commercial transportation indus­ and ministry. And I can honestly say, for Transportation, in one form or another try is at the front line in this process be­ that date to this, I have never one time permeates every aspect of business or eco­ cause it, more than any other industry, is questioned that the word of God is, in fact, nomic life in this country today. Whether the weathervane of the economy. When in­ the word of God.e one is involved in manufacturing, farming, dustries begin to slip and deteriorate, or 3000 EXTENSIONS OF REMARKS February 24, 1981 suffer from plant obsolescence and loss of shale, methanol and liquified natural gas. beneficiaries from public and private trade competitiveness, the transportation Transportation of bulk commodities is par­ pension plans. industry immediately feels and reflects ticularly well suited to the railroads. This The wisdom of exempting retire­ these circumstances. Conversely, when new phenomenon, combined with the fact that industrial growth opportunities present the trend is likely to continue, presents a ment income from taxation has been themselves, by market, by region, or by unique incentive not only for minority busi­ discussed and debated since 1935. A commodity, transportation industries nessmen to enter the railroad business, but 1937 Supreme Court decision and a should be at the front line to share in that also to participate in the spin-off businesses 1941 ruling of the Bureau of Internal growth and to compete for the profits. that will be spawned by this growth. Specifi­ Revenue rendered the benefits from Modernized, reinvigorated domestic indus­ cally, these ancillary businesses include pro­ social security tax exempt. In 1957 tries will demand equally modern and effi­ viding railroad cars, equipment and parts, Congress sought to assure greater cient transportation. Thus reindustrializa­ the manufacture of rail, ties, and spikes, the equity between the tax treatment of tion and reduced government regulation are building of railroad signaling systems, combining to form a new economic environ­ railbed maintenance and so on. One other social security benefits and other ment. opportunity to be explored is the possibility kinds of retirement income by allow­ As an example, consider how world oil of forming shortline railroads such as the ing a tax credit for low-income elderly. prices have revived the United States Coal ones being formed out of segments of aban­ However, this tax credit is very limited industry. The United States coal export doned Rock Island and Milwaukee Road in application, extremely complicated, business is now at record levels-domestic Lines. Shippers and many local businesses and has not been updated to keep pace coal consumption is targeted for dramatic that are located off of large roads have a with inflation. growth as a substitute for foreign oil. As a strong interest in moving their products to by-product, the hauling of coal offers the larger rail facilities. Piggy-back and short­ While these are important steps, potential for halting much of the earlier de­ line railroads offer real opportunity for there is a pressing need to provide cline of American railroads, as well as stimu­ moving products to market while rewarding equitable tax treatment to public and lating new growth in the rail industry. those who are enterprising enough to move private pensions to the millions of When 86 ships await coal loading in the those products efficiently. Americans relying on this type of Norfolk Harbor, it is easy to visualize the In addition to opportunities in the motor income. The cost of fuel, housing, and opportunities presented in mining, shipping, carrier and rail sectors of the transportation food has skyrocketed in the last processing, and facility-building industries arena, the intra-intercity bus industry offers decade. As much as one-fourth of the to name only a few. This is the heart of the a significant opportunity to minority busi­ elderly's income is spent on health process that is called '·'reindustrialization". nessmen. As a result of the recent oil embar­ Enterprising minority businessmen must be go, Americans are turning to public transit care alone. However, only some public aware of the process and take advantage of in record numbers. In 1979, the intercity bus pensions permit cost-of-living adjust­ it. industry carried 360 million passengers, 22 ments for annuities, while most pri­ It is significant, but largely unnoticed that million more passengers than in 1978. And vate pensions contain no cost-of-living during this period of major deregulation along similar lines, ridership for the first 6 adjustments at all. Yet income from legislation, the national transportation months of 1980 was up 2 percent from the these pensions are subject to taxation. policy has been unequivocally amended same period in 1979. Also, it is important to For those Americans who depend in with respect to the motor carrier industry note that of the 1,100 intercity bus compa­ to include "increased minority participa­ nies in America today many are small part or entirely on income from pen­ tion". Serious and well-advised minority family operations. If this ridership trend sion annuities, and who have seen the businesses must be prepared to take advan­ continues, it will create increasingly tailored value of their pension annuities rav­ tage of this strong articulation of support and specialized service needs which minor­ aged by the high rate of inflation, I from Congress and start moving in a bold, ity businessmen can capitalize upon by ac­ believe it is imperative that we enact new direction. commodating this regional and local growth legislation to exempt qualified pension For the first time in 45 years, entry into pattern. plans from taxation.e the Motor Carrier Industry is almost as­ In conclusion, today's new economic cli­ sured if one seriously seeks that opportuni­ mate has greatly enhanced the prospects of ty. In fact, all that the Motor Carrier Act of minority businessmen entering into the THE SNEAK ATTACK ON 1980 requires is a showing that the appli­ transportation field. As expertise and JAPANESE AUTOS cant for a license is "fit, willing and able" to knowledge is developed to utilize the tools provide a service and show that it meets a that are not available, the prospects for "useful purpose." While the new law signifi­ long-range growth and efficient, profitable HON. JOSEPH M. GAYDOS cantly relaxes entry standards, it also pro­ business development are greatly increased. OF PENNSYLVANIA vides increased ratemaking freedom for Surely the problems of financing and cap­ IN THE HOUSE OF REPRESENTATIVES competing carriers. Clearly, this is an exam­ italization remain, however the obstacles of ple of congressional judgment that in­ regulatory policy are at least being knocked Tuesday, February 24, 1981 creased competition is what is needed to down. The American minority businessman • Mr. GAYDOS. Mr. Speaker, much promote a healthy, thriving transportation is, by virtue of his historical survival, a industry. Couple that competitive thrust strong, industrious, imaginative individual. learned lamentation has been heard and increased rate flexibility with the mi­ Today's new economic climate should serve recently because Americans are in­ nority participation provision and the op­ to reward those characteristics in the years creasingly monolingual, and it is a portunities for minority participation are ahead.e problem Congress should speak to di­ myriad. Minorities and small businesses gen­ rectly, promptly, and in plain English. erally should now be better able to fashion French should be our second lan­ innovative services and price structures and EXEMPT QUALIFIED PENSION guage, Mr. Speaker. compete for shares of the market that were PLANS FROM TAXATION formerly the sole province of large compa­ In fact, the study of French ought to nies. be mandatory for our highest leader­ Equally provocative, from a businessman's HON. MARY ROSE OAKAR ship, particularly those who set our point of view, are the recent signs of resur­ OF OHIO trade policies in regard to the Japa­ gence in the railroad industry. Again, an­ IN THE HOUSE OF REPRESENTATIVES nese, who the French understand. other specific reference to coal is particular­ Tuesday, February 24, 1981 The reasons for my new found admi­ ly relevant. The National Coal Association ration for that flowing tongue can be estimates that total coal production east of • Ms. OAKAR. Mr. Speaker, today I found in the following article from the the Mississippi River will increase 33 per­ am introducing a bill to amend the In­ March 2, 1981, issue of Business Week: cent from 554 billion tons in 1979 to 736 bil­ ternal Revenue Code of 1954 to pro­ lion tons in 1990. Western Coal production, vide for the exclusion from gross THE SNEAK ATTACK ON JAPANESE AUTOS on the other hand, is expected to increase income of certain retirement benefits Taking a leaf out of Japan's book of trade approximately 140 percent from 216 billion tricks, French customs officers are tying up tons last year to 514 billion tons in 1990. In received by individuals who have at­ thousands of imported Japanese cars at addition to coal, there will be increased de­ tained age 55. The effect of this legis­ docksides and warehouses as part of an or­ mands on the railroads to transport grain lation is to exempt from taxation the chestrated campaign by Industry Minister and other bulk commodities including oil first $17,000 in benefits received by Andr~ Giraud to pressure Tokyo into limit- February 24, 1981 EXTENSIONS OF REMARKS 3001 ing the flood of its autos into Europe. Offi­ NOTEWORTHY OBSERVATIONS forget the palaver, the verbal tricks they cially, Japan is allowed only a 3 percent ON PRESIDENT REAGAN'S have been playing for decades, an get down share of the French car market, and actual BUDGET CUTS to explaining and defending their own pre­ figures show it achieved just 2.93 percent ferred government expenditures (if they last year. But the Japanese are penetrating can) in serious ways. what the French see as their own export HON. HENRY J. HYDE It's not just those well-subsidized people markets in other European Community OF ILLINOIS on the right who have been inveighing countries such as and Bel­ IN THE HOUSE OF REPRESENTATIVES against deficit spending over the years, con­ gium. fident in the knowledge that nothing would To curb that, the French are turning to Tuesday, February 24, 1981 be done about their own boodle, who are nontariff barriers. As the new Japanese • Mr. HYDE. Mr. Speaker, there is a having to revise their arguments. It is also autos are unloaded, they are being held up great deal of discussion surrounding that colony of folks who have come to in­ until they receive certificates of conformity habit the lazy left, people who long ago to local technical standards. Although the President Reagan's economic address stopped thinking about what they were sup­ imports theoretically passed such tests · to the Nation and his budget-cutting porting just as long as it could go by some weeks ago, Giraud has ordered his subordi­ proposals and, no doubt, even more irreproachable general name. nates not to sign the certificates on the heated debate will ensue in the weeks Science, art, education, anti-poverty, flimsiest grounds. In one case, Toyo Kogyo and months ahead. For that reason, I social welfare-fraudulently, but in the Co.'s Mazda 626 is being held up because its . would like to commend to the atten­ name of all these purposes and pursuits, any bumper bar is 1 em. longer than last year. tion of my colleagues the following number of costly, pointless and nest-feath­ ering little enclaves have been financed that PURE POLITICS? recent article by one of our country's are simply not defensible in social-policy The action by French customs is reminis­ most astute political columnists, Meg terms. The only way you can defend them is cent of that taken by the Japanese against Greenfield of Newsweek. I believe her by hollering "social welfare!" or "educa­ manufactured goods from Western Europe opinions and observations are certain­ tion!" loud enough so that no one notices and fresh produce from the United States. ly noteworthy: that all you are talking about is a lot of Fed­ Both have long been subject to excessive in­ [From Newsweek, Feb. 23, 198ll eral bucks helping to fly middle-class spection and complex regulations in a clear consultants from here to there for yet an­ bid to protect Japanese producers. WHAT IF HE ISN'T KIDDING? other conference and another report that Not surprisingly, the Japanese are protest­ -the fragmentation of interest-group reprisals, the minister claims that one other with disbelief and said, with shared politics. That is the terrain on which this Frenchman joins the unemployed for every alarm, "My God, what if he isn't kidding? budget war is supposed to take place. Some 5 to 10 Japanese cars admitted. Aiding the Cuts: The key word here is "kidding," and fifteen or so years back, John Gardner, then import of Japanese cars "is not a priority it goes to the subject of that hypocrisy at HEW and newly in charge of making consideration 23 per­ acter. Because of Washington's sterling cent. Federal is the only major small-pack­ character and because of his actions, he en­ HON. ROBERT H. MICHEL age service that owns its own fleet of jets, couraged his fellow countrymen and future an enormously expensive investment for an generations to make a commitment to their OF ILLINOIS upstart company. The fleet of 55 jets is country. IN THE HOUSE OF REPRESENTATIVES valued at more than $285 million. It also So, first of all, my commitment is to my Tuesday, February 24, 1981 owns 2,500 delivery vans. character. I can benefit my own generation, "We are so much bigger than anybody as well as others to come, but I must start • Mr. MICHEL. Mr. Speaker, there else," Smith says. "It would take a corpo­ with my heart. If I want an effective gov­ has been much said about the Presi­ rate behemoth to muscle its way into our ernment, I must be effective. If I want more dent's program for economic recovery, business." participation in government, I must partici­ but I doubt it has been said better Landing gear grind down out of Nicole at pate. And if I want a great nation, I must 8:31 Pacific Standard Time as Powell and strive for no less! The benefits of my com­ than by Chicago Sun Times columnist his crew prepare to land in Portland. It's an mitment hinge on me. If I am a rusted Mike Royko. atypically bright morning in the Northwest. hinge, the door is shut. If I am a lubricated, Most of the newpaper accounts of The Columbia River shimmers below, moving hinge, the door swings open for de­ the Reagan budget reforms leave the strands of fog curl in the wooded foothills mocracy. reader with the impression that the of the Cascades and off to the right stands The freedoms I have as an American citi­ Republican administration is bent snow-streaked Mt. Hood. Rush-hour traffic zen are virtually unlimited. There is one upon cutting programs for the poor, clogs the suburban freeways. An hour earli­ basic privilege afforded everyone, and that the disabled, the elderly, and other­ er, the fog in Seattle had dissipated at is the freedom of life, liberty, and the pur­ Boeing Field to permit a routine delivery of suit of happiness. From this democratic wise disadvantaged in our society. It is 12,400 pounds of packages. Before landing principle my country's constitution guaran­ true, of course, that a number of pro­ in Seattle, Powell said, "Oh boy, I'm tired. tees me many rights, such as: Freedom to grams in the reform package were and This is hard." His copilot nearly nodded off voice my opinion; Freedom to live a private are designed for America's disadvan­ to sleep. and secure life; Freedom to be equal, and taged. Unfortunately, the newspaper February 2#, 1981 EXTENSIONS OF REMARKS 3005 stories and television and radio ac­ for frozen lobster, while she has been care­ But you have to be blind not to see that in counts have not taken the discussion fully selecting the cheapest cuts of meat. the 48 years since Roosevelt's New Deal any further. While I have seen emo­ Should one out of every 10 people really began, one Congress after another has had be drawing food stamps, paid for by people one New Deal after another. And their tional interviews with poverty-stricken who are working hard and barely making motto has been: When in doubt, give some­ Americans on the television screen ends meet themselves? body something. night after night, reinforcing the per­ And when Reagan talked about the spe­ If nothing else, the law of averages says ception that the Reagan program will cial unemployment benefits that only auto that once in a while, some program isn't leave them more improverished, I and steel workers receive, I remember a needed and ought to be dumped. have not yet seen any television inter­ Florida winter vacation I took a few years Reagan's cuts might not all be fair. But views dealing with the individual who, ago. until I see somebody's ribs sticking out be­ I began the vacation at a time when there cause of him, I'm not going to wring my through Government subsidy, can ac­ were widespread layoffs in because tually earn more while unemployed hands. of a temporary fuel crisis. Suddenly, the In the meantime, I admit that after four than he can while working in the Na­ resort area where I was staying was flooded years of listening to The Peanut drone on tion's most lucrative skilled trades. with campers with Michigan license plates. and on about how tough his job is, how Nor have I seen interviews with those Floridians said they had never seen any­ complicated everything is, and how nothing who shop supermarkets for lobster thing like it. works, it was almost a shock to hear some­ Now, I feel for the unemployed. I would body just say: "Here's what I'm going to and steak and then pay the bill with like to see everyone have a job . See? The day after the election I said that them by Govenment has created what But most of my friends were in Chicago having tried all kinds of presidents recently, working because they couldn't afford to go we might as well try one who isn't too is now an intolerable situation. bright. Mr. Royko deals with these seeming­ to Florida and sit on a beach or fish. Besides supporting themselves, they had to pay And I was right. Reagan hasn't figured ly contradictory circumstances in a their income taxes. out how tough the job is, and how compli­ simple, clear, and informative manner So it didn't make sense to me that people cated it is, and how nothing works. that is uniquely his. To me, it is must in the freezing North would be working to If he just stays that way, maybe it will reading for everyone. I am, therefore, pay income taxes that would then be used work.e inserting at this point in the RECORD, to provide unemployed people with a chance "Are All Cuts Unkind," by Mike to take a long vacation in the sunny South. I don't think that's the way unemployment CONFRONTING THE THREAT TO Royko, from the Friday, February 20, RFE/RL 1981, issue of the Chicago Sun Times: compensation was intended to work. Then there is the student loan program. ARE ALL CUTS UNKIND? As I understand it, I'm pretty dumb because HON.C~ENTJ.ZABLOC~ <4> of the Food Stamp Act of next to each other, too." • 1977 (7 U.S.C. 2015(d)(4)) is amended by entire life. It has always been in him. It striking out the last colon in, and the third really nurtured." It took Marva Collins to nurture it. proviso to, such section. She makes each child feel he is the most SOME THEORY ON DECONTROL SEc. 2. Section 6 of the Food Stamp Act of IS SO MUCH NATURAL GAS 1977 <7 U.S.C. 2015) is amended by striking important person in the world and can do out subsection m.• anything he wants to do. She holds a young boy's hand while he HON. JOSEPH M. GAYDOS tells the class about the book he is reading. She glances to the other side of the room to OF PENNSYLVANIA help another child. She calls them sweet­ IN THE HOUSE OF REPRESENTATIVES ACHIEVEMENTS OF MRS. MARVA heart, gives them kisses. Tuesday, February 24, 1981 COLLINS She treats them all the same. "Here you cannot tell the welfare children from the • Mr. GAYDOS. Mr. Speaker, barely very super rich." a month ago the new President swore HON. ROBERT J. LAGOMARSINO Wearing designer clothes and carrying a the oath of office and promised a new OF CALIFORNIA Louis Vitton handbag, Mrs. Collins, 43, direction; since then he has fully de­ IN THE HOUSE OF REPRESENTATIVES looks out of place in the crowded, makeshift school. That's typical. She instills pride in controlled gasoline and heating oil­ Tuesday, February 24, 1981 her students and encourages them to look petroleum-and sent up a trial balloon their best. proposing decontrol of natural gas for e Mr. LAGOMARSINO. Mr. Speaker, Five years ago, Mrs. Collins began the next winter and all winters to come. It I would like to bring to the attention school with 18 pupils at her own house on is a bad idea. of my colleagues the achievements of Chicago's tough West Side. The school This pending double dose of decon­ Mrs. Marva Collins. Mrs. Collins, who grew. It moved to a nearby rented bank trol shows a poor sense of direction; if had been teaching in the Chicago building. There are now 200 students, pre­ whipping inflation is the goal, as it Public School System for 14 years, dominantly black and aged 4 to 14, seven teachers and six classrooms. should be, then decontrol is not a new opened the Westside Preparatory direction but the wrong direction. School 5 years ago for children who Mrs. Collins, a mother of three, had taught in the Chicago public school system It could greatly heat up inflation were thought to have learning disabil­ for 14 years before starting her own school. and take up to $92 billion right out of ities or emotional problems. "I just was very disenchanted with what the pockets of working and retired I am sure my colleagues will find the was happening, and I couldn't change it. middle Americans, according to the ex­ attached article interesting. People would think I was going too perts. PROUD STUDENTS fast ... for a 7-year-old child to read 'Pride That $92 billion would be in the TEACHER OPENS CHALLENGING SCHOOL and Prejudice.' "I'm so excited about my own program. I shrinking dollars of retired workers CHICAGo.-Children kicked out of school don't have to have people saying, 'You're whose fixed incomes threaten the and labeled hopeless-Marva Collins wants nuts.'" cruel choice of heat or eat; and it them all. Mrs. Collins teaches the oldest class where would come from working families The waiting list for her inner-city West­ age makes no difference. The 7-year-olds sit who right now are conserving, cutting, side Preparatory School runs over 1,000. with the 14-year-olds. They all read "Vo­ "Those who are failing the most miserably" scrapping, and giving up things just to cabulary for the College-bound Student." stay even. So it would signal a big, im­ are selected first, Mrs. Collins said. "We're beginning to hav~ all the fancy "We take the problem children," she said. schools across the country here· to ask for mediate step back in our standard of "We take the children that no one else our children now," she said. living. wants. Every child in here was thrown out When school's over, the children, who And it would make some of our more of somewhere else." haven't been outside all day or had a recess, pressing problems a little tougher to The children were told they were mental­ don't want to leave. They hide behind doors solve in ways tangible and intangible. ly retarded, or had learning disabilities or and bookshelves. They stay behind, writing emotional problems. sentences on blackboards and showing off These problems facing the adminis­ That just is not so, Mrs. Collins said. what they just learned. tration and the Congress, and more Now every two weeks, they read a book Ruth, a 6-year-old who has just recited importantly, the people are great. straight from college booklists-Shake­ Rudyard Kipling's poem "If" by memory, We have inflation, credit crunches, speare, Plato, Aristotle, Socrates, Goethe, writes with her piece of chalk: "The physi­ recession, and monetary problems that Nietzsche, Jane Austen, Ralph Waldo Emer­ cian examined Neal's trachea." make the realistic goals of yesterday's son and Oscar Wilde. Mrs. Collins helps her with the spelling. America, such as homeownership, the At Westside, a 4-year-old's reading level is She says: "Speak up, because if you don't, equal to what the average youngster someone else will speak for you. And when unattainable daydreams of today's reaches in the second semester of first other people speak for you, it's always to Americans. grade. Sixth-graders read at college level. their advantage. We have an abused industrial base Children's underestimated minds are stim­ "Every morning you jump out of bed and crumbling under the hammer blows of ulated more by reading Emerson's "Every look in the mirror and say, 'Hey, I'm the unfair foreign competition and mud- 3008 EXTENSIONS OF REMARKS February 24, 1981 died trade policies, and an accompany­ Your gasoline bill will be $2,343 a ing law; and the experts say the pres­ ing loss of jobs numbering in the thou­ year at 16 miles per gallon and $1.50 ence of waning controls will not make sands. for each gallon; and that is 11 percent any real difference in exploration. Further, we have public schools that of your buying power. Fourth, some gas lobbies have ac­ do not educate; epidemic use of drugs Dose No.2: Decontrol of natural gas; knowledged a surplus productive ca­ and more crime than we should; there the experts say it could take up to $80 pacity; that means they have more gas still are avoidable deaths in the work­ billion annually under the most dras­ than they can sell. place; the people continue to face tic forseen increase that would face Fifth, the American Gas Association bankruptcy in the event of prolonged working and retired middle Americans. favors the existing schedule. illness; and the social security system In return they get more exploration, Sixth, individual conservation meas­ is shaky; and more. more natural gas. That .is how it looks ures-insulation, storm windows, low­ And, although energy is a problem, to the economists and other theoreti­ ered thermostats, timers-have been this proposed double dose of decontrol cians. underway for several years now, and will do nothing to provide more natu­ But between the rock and the hard some experts feel that most who can ral gas for residential or industrial use place the most commonly heard afford such conservation efforts have or any purpose, the experts and some expert speculation is for a more mod­ made them; and when use falls, prices energy associations say. erate increase, a simple doubling of generally rise to meet a regulated com­ More important, though, is the in­ price; and from the 20th District it pany's guaranteed rate of return, tangible of attitude. looks like this: You are paying $663 a which makes conservation-minded We have a mess, and we all are in it year at current rates and reeling consumers angry. together, and the people want to get under recent increases, adjustments Decontrolling the price of natural on with the business of finding an­ and pass-ons, but nevertheless getting gas under these conditions amounts to swers. by; you have insulated, turned down bleeding working and retired middle However, those answers will not be the thermostat, and wear sweaters in­ America for no visible benefit except found in giving the people the busi­ doors. to increase already record profits. U.S. ness, which should be understood But next year you can expect heat­ News & World Report recently esti­ from the start, whatever the direction. ing to push your gas use to $1,325, mated that gas utility profits are up But this double decontrol would give which is 6 percent of your buying 18.4 percent while petroleum profits power, if natural gas only doubles. are up 5.8 percent. them the business thoroughly. That is 17 percent of your buying In the 20th Congressional District of power for energy, but that is not all Double decontrol is the wrong way Pennsylvania, it could have the people decontrol does to your buying power. to go, Mr. Speaker. devoting nearly 20 percent of their Added to the 17 percent must be the Strong medicine often is necessary household buying power to energy indirect costs that will be passed on in to cure serious illness. Curare is strong alone. price increases on every service and medicine, so powerful it is not used Many similar steps in this new direc­ every piece of goods bought or sold without painstaking care. A controlled tion and the term middle American that involves the use of natural gas: dose to a patient is invaluable to sur­ will take on bitter new meaning for Automobiles, anything made of steel geons in operating. But too big a dose them; it will mean Americans caught or aluminum, food, clothing, cleaning, will kill, for it is a deadly poison. in the middle, lodged firmly between new shelter, hospital care, and school And in the case at hand, a double the rock and the hard place of con­ operating expenses. dose of decontrol will poison and kill temporary folklore. It never is com­ Wherever the inquiring mind can the spirit of pulling together that we fortable there. look, there it will see decontrol putting have now, and that we need to put Caught between the rock of un­ strong upward pressure on inflation. things right. The people will eagerly changing pay envelopes and the hard The President must decide whether carry their share of the burden, accept place of rising prices. When all do not he wants the Nation to unite in fight­ their portion of the pain; but they share the pressures of that particular ing inflation or fall to bickering over should have only a fair share, not the position, those who get the grinding who represents what interests, and whole load. become angry and resentful; and a who is profiteering, and how badly. For these reasons I would oppose wearing away begins on the consensus That is how a consensus erodes. any recommended double decontrol. I that could see the Nation through the Now the pure economic theorists in would urge the House to reject it. In task of rebuilding. We are not all in it this House will argue strenuously that fact, I urge the President not to send together when the pressure is not decontrol will stimulate exploration it to us. shared. and discovery of petroleum and natu­ Then we can get on with the busi­ Our current ills require strong medi­ ral gas, and that the higher prices will ness of finding answers for the people cine, but the shock of double-dose de­ force individual conservation. instead of answering the people by control may be more than the econo­ All of that is just so much uncon­ giving them the business.e my can stand. The Consumer Price trolled natural gas, Mr. Speaker. Index could probe new highs. The theory has half a dozen holes in Dose No. 1: Decontrol of petroleum; it under conditions that apply current­ SALUTING THE MAKER OF THE the experts say it will take $11.7 bil­ ly in the United States: INAUGURAL MEDALS lion from working and retired middle First, most natural gas is found in America in fiscal 1981 and, of course, conjunction with petroleum; petro­ HON. WILUAM R. RATCHFORD more later. In return they get more leum drilling is up and will continue to OF CONNECTICUT exploration, more gasoline. That is rise as quickly as possible. IN THE HOUSE OF REPRESENTATIVES how it looks in the textbooks and to Second, the reason more wells are the economists. not drilled is not a shortfall of incen­ Tuesday, February 24, 1981 But between the rock and the hard tive but a shortage of rigs and trained e Mr. RATCHFORD. Mr. Speaker, I place in the 20th District it looks like personnel; our experts say new rigs commend the attention of my col­ this: You and your wife both work just cannot be obtained without a substan­ leagues today to the creative industry to keep up and your household buying tial wait and that oil companies are of a company in the Fifth District of power is the average $20, 724; you need engaged in massive personnel raids to Connecticut, the Medallic Art Co., two older cars to get you to two jobs, find trained hands to run them. Inc., which has struck and is produc­ and you drive 25,000 miles a year be­ Third, natural gas controls are to be ing a series of unique and highly col­ tween you. phased out through 1985 under exist- lectible medals commemorating the in- February 24, 1981 EXTENSIONS OF REMARKS 3009 auguration of Ronald Reagan as Presi­ Under current law, Federal taxes during the taxable year by such individual dent. will increase to $11,200 per household to a housing savings account. The Medallic Art Co. has been in the in fiscal year 1984 or 32.6 percent of a "(b) LrMlTATIONS.- buisness of manufacturing high-qual­ person's income. Young people today "(1} MAXIMUM ANNUAL DEDUCTION.-The ity medals for years, and has been a simply cannot afford to buy a home. amount allowable as a deduction under sub­ valued employer, taxpayer, and good section to an individual for any taxable To help correct this situation, I am year may not exceed $1,500 ($3,000 in the neighbor in my home city of Danbury. introducing legislation which would case of married individuals filing a joint But, of course, Medallic Art's business allow an individual to deposit up to return>. has been more than just a business: A $1,500-$3,000 if married-per year for "(2} MAXIMUM LIFETIME DEDUCTION.-The sense of artistry is palpably apparent a maximum of 10 years into an indi­ amount allowable as a deduction under sub­ in each of its creations; a sense of his­ vidual housing account. The account section to an individual for all taxable tory informs and inspires its entire col­ would be nontaxable as long as the years may not exceed $15,000 ($30,000 in the lection. principal and earned-interest on the case of married individuals filing a joint Medallic Art's inaugural medal-in account is applied toward the pur­ return>. five different size and metal combina­ "(3} STOCK, ETC., TO BE VALUED ON TRANSFER chase of a first home. DATE.-The fair market value of stock, tions-displays on its obverse a careful The money from this account must bonds, and other securities is to be deter­ portrait of the President, prepared be used within 10 years to purchase a mined as of the date on which it is trans­ from a life mask, and on its reverse a home. If the account is used for any ferred to the account, or, if the transfer detailed depiction of the west front of other purpose, the money would be occurs on a Saturday, Sunday, or other the Capitol, where Mr. Reagan took taxed at the full rate for the full public legal holiday, on the last preceding the oath of office as our Nation's 40th amount of years it had been deferred. day on which it could have been traded. President. The medal is more than a My bill would provide the necessary "(4} ADJUSTMENT OF LIMIT FOR INFLATION.­ fine piece of work and a credit to all of incentive for people to save money for "(A} IN GENERAL.-Beginning in 1983, the us in western Connecticut-a region dollar amounts in paragraph <1 }, paragraph the purchase of a home by reducing (2}, and subsection shall each be that is proud to be the home of a their tax liabilities up to $3,000. If a adjusted by multiplying such amounts by number of collection-quality medallic married couple earns $25,000 together, the inflation adjustment factor for the 12- mints. It is a testament to the esteem they must pay $4,050 in Federal taxes. month period ending on July 31 of the pre­ numismatists have long accorded Me­ If they place $3,000 in an individual ceding calendar year and, as adjusted, shall dallic Art-for the Presidential medals housing account, their new taxable be substituted for such amounts for taxable that have preceded the current edi­ income is $22,000, paying $3,220 in years ending with or within the calendar tion, for the special Olympic collection Federal taxes. The interest on $3,000 year next beginning after such 12-month minted to commemorate the games at period. at a 7-percent rate is $210 per year. By "(B) COMPUTATION OF INFLATION ADJUST­ Lake Placid, N.Y., last year, and for saving $3,000 in an individual housing dozens of other brilliantly wrought ex­ MENT FACTOR.- account, in 1 year, this married couple "(i} DETERMINATION AND PUBLICATION.­ amples of the numismatic art. would have $830 in tax savings plus The Secretary shall, not later than October I trust my colleagues will join me in $210 in interest toward purchasing a 1 of each calendar year published by the The text of the bill follows: Bureau of Labor Statistics of the Depart­ SAVINGS ACCOUNT ACT ment of Labor for the most recent 12-month H.R. 2033 period ending on July 31 and the denomina­ HON.THOMASF.HARTNETT A bill to amend the Internal Revenue Code tor of which is the average monthly Con­ OF SOUTH CAROLINA of 1954 to allow a deduction for contribu­ sumer Price Index IN GENERAL.-Part VII of subchapter B strument creating the trust meets the fol­ Firsttime homebuyers need some of chapter 1 of the Internal Revenue Code lowing requirements: of 1954 IN GENERAL.-If, during any taxable manner and furnished to such individuals at vested in life insurance contracts. year of the individual for whose benefit a such time and in such manner as may be re­ "(4) The assets of the trust will not be housing savings account is established, that quired by those regulations. commingled with other property except in a individual engages in any transaction pro­ "(j) REDUCTION OF BASIS.-The basis Of common trust fund or common investment hibited by section 4975 with respect to the any residence acquired with funds with­ fund. account, the account ceases to be a housing drawn from a housing savings account shall "(5) The entire interest of an individual or savings account as of the first day of that be reduced by an amount equal to the married couple for whose benefit the trust taxable year. For purposes of this subpara­ amount of expenditures made in connection is maintained will be distributed to him, or graph the individual for whose benefit any with the acquisition of the residence out of them, not later than 120 months after the account was established is treated as the such funds.". date on which the first contribution is made creator of the account. (b) DEDUCTION ALLOWED IN ARRIVING AT to the trust. "(B) ACCOUNT TREATED AS DISTRIBUTING ALL ADJUSTED GROSS INCOME.-Paragraph (10) of "(6) The assets of the trust shall be invest­ ITS ASSETs.-In any case in which any ac­ section 62 of such Code (relating to adjusted ed in accordance with the directions of the count ceases to be a housing savings account gross income> is amended to read as follows: individual contributing to the trust, but, if by reason of subparagraph on the first "(10) RETIREMENT AND HOUSING SAVINGS.­ more than 1 individual makes contributions day of any taxable year, paragraph (1) of The deductions allowed by sections- to the trust the consent of all such individ­ subsection (d) applies as if there were a dis­ " 219 of all assets in the account by adding at the end thereof the fol­ housing savings account to the extent that which such distribution is received shall be lowing new subsection: such contribution exceeds the amount al­ increased by an amount equal to 10 percent "(d) EXCESS CONTRIBUTIONS TO HOUSING lowable as a deduction under subsection of the amount of the distribution which is SAVINGS AccoUNTs.-For purposes of this if- includable in his gross income for such tax­ section, in the case of a housing savings ac­ "(A) such distribution is received on or able year. count, the term 'excess contributions' means before the day prescribed by law . his tax under this chapter for under section 22l with respect to such excess contri­ such taxable year shall be increased by an year. For purposes of this subsection, any bution, and amount equal to 10 percent of such amount contribution which is distributed out of the "(C) such distribution is accompanied by required to be included in his gross income. housing savings account and a distribution the amount of net income attributable to "(3) DISABILITY CASES.-Paragraphs (1) to which section 221(d)(2) applies shall be such excess contribution. · and (2) do not apply if the payment or dis­ treated as an amount not contributed.". Any net income described in subparagraph tribution is attributable to the taxpayer be­ (d) TAX ON PROHIBITED TRANSACTIONS.­ shall be included in the gross income of coming disabled within the meaning of Section 4975 of such Code <7>. hibited transactions> is amended- it is received. "(g) COMMUNITY PROPERTY LAws.-This (!) by adding at the end of subsection "(3) TRANSFER OF ACCOUNT INCiDENT TO DI­ section shall be applied without regard to the following new paragraph: VORCE.-The transfer of an individual's in­ any community property laws. "(4) SPECIAL RULE FOR HOUSING SAVINGS AC­ terest in a housing savings account to his "(h) CusTODIAL AccoUNTS.-For purposes COUNTS.-An individual for whose benefit a former spouse under a divorce decree or of this section, a custodial account shall be housing savings account is established shall under a written instrument incident to a di­ treated as a trust if the assets of such ac­ be exempt from the tax imposed by this vorce is not to be considered a taxable trans­ count are held by a bank if, with such interest, at the time of the transfer, is retary, that the manner in which he will ad­ respect to such transaction, the account to be treated as a housing savings account minister the account will be consistent with ceases to be a housing savings account by of the spouse, and not of such individual. the requirements of this section, and if the reason of the application of section After the transfer, the account is to be custodial account would, except for the fact 221 or if section 22l. <2> by inserting "or a housing savings ac­ "(e) TAX TREATMENT OF AccOUNTS- For purposes of this title, in the case of a count described in section 221 after "described in section housing account is exempt from taxation reason of the preceding sentence, the custo­ 408(a)". under this subtitle unless such account has dian of such account shall be treated as the (e) FAILURE To PROVIDE REPORTS ON HOUS­ ceased to be a housing savings account by trustee thereof. ING SAVINGS ACCOUNTS.-Section 6693 of reason of paragraph (2) or (3). Notwith­ "(i) REPORTS.-The trustee of a housing such Code contemplating a recommendation of INTRODUCTION OF H.R. 2027 the following: "The person required by zero funding for implementation of section 22HD to file a report regarding a the Noise Control Act and recission of housing savings account at the time and in all existing noise regulations is an out­ HON. SAM B. HALL, JR. the manner required by such section shall rage, particularly since the EPA's pay a penalty of $10 for each failure unless OF TEXAS it is shown that such failure is due to rea­ formal statement make no mention of sonable cause.". the possibility of these draconian and IN THE HOUSE OF REPRESENTATIVES (f) ADJUSTMENT OF BASIS OF RESIDENCE ill-advised cuts. PuRcHASED THRouGH UsE OF AMoUNTs IN Ac­ Such a recommendation would be to­ Tuesday, February 24, 1981 coUNT.-Section 1016(a) of such Code the following new paragraph: ceed in rescinding these regulations, it payable to the survivors of veterans "(23) in the case of a residence the acquisi­ is clear that noise beleaguered citizens who have died of service-connected tion of which was made in whole or in part would turn to their local governments causes has a high priority with the with funds from a housing savings account, to solve the probleins which were ig­ Committee on Veterans' Affairs. to the extent provided in section 221(j)." Historically, these benefits have (g) CLERICAL AMENDMENTS.- nored by the Federal Government. (!) The table of sections for part VII of Airport operators have repeatedly been viewed as an obligation to a pre­ subchapter B of chapter 1 of such Code is stated that a weakening of Federal ferred class of citizens since payments amended by striking out the item relating to noise standards would result in a series are directly related to the veteran's section 221 and inserting in lieu thereof the of local, uncoordinated noise regula­ loss of earning capacity or death of following: tions and operational restrictions at the veteran flowing from service to "SEc. 221. Housing savings accounts. numerous airports. the Nation. "SEc. 222. Cross references." This nightmare of conflicting regu­ These cost-of-living adjustments are (2) The table of sections for chapter 43 of lations would plunge airport operators such Code is amended by striking out the not automatically indexed by law. item relating to section 4973 and inserting and aircraft manufacturers into utter Therefore, congressional action is nec­ in lieu thereof the following: chaos, while unabated aircraft noise essary if these benefits are not to be "SEc. 4973. Tax on excess contributions to would continue to diminish the quality eroded by increased living costs. individual retirement accounts, housing sav­ of life and seriously endanger the I am today introducing a bill

79-059 0 1984 - 16 - (Vol. 127 Pt. 3) 3012 EXTENSIONS OF REMARKS February 24, 1981 AFI'ER THE KILLING my under prodding by the Carter Adminis­ "This program [agrarian reform] deserves tration. It could well intensify the effort as to be seen not as some wild-eyed socialist peace returns. The largest farms, the banks scheme of the left, but as an effort to set up HON. ROBERT J. LAGOMARSINO and the agricultural export businesses were something like the family farms of the OF CALIFORNIA seized without payment, not even the prom­ American Midwest." In fact, anyone with IN THE HOUSE OF REPRESENTATIVES ised 30-years, low-interest bonds. This was the land and money of an Iowa corn farmer not moderate, it was extreme. Even the is a target for expropriation in El Salvador. Tuesday, February 24, 1981 Marxists who rule neighboring Nicaragua The Reagan Administration is likely to e Mr. LAGOMARSINO. Mr. Speaker, left private planters alone-except for the supply arms and training that would help with all the attention being given to El Somoza estates-to insure production. defeat the rebels, but unless the now-col­ Salvador, many people are overlooking But in El Salvador, the expropriation was lapsing economy recovers the trouble will a paradox within the leadership of backed by the army. "The army hates reappear. "You have to correct what is the foreign investment," says one businessman. main mistake, the belief that the developing that country. Although President "They think free enterprise is exploitation, sector is developing at the expense of the Duarte's opposition to the terrorists and that a certain amount of socialism will other," says Altamirano of El Diario. and leftist guerrillas has been well prevent communism." There is confusion in Altamirano is right, as any American publicized, little notice has been given El Salvador, and a return to a less-produc­ should know. Did U.S. factory workers to his opposition to free enterprise. tive former age. achieve a two-car, three-television standard Duarte's support for socialization of On the largest cotton farms, where peas­ of living that is the world's envy because a the economy is viewed by many pri­ ant cooperatives are being set up, the cotton Rockefeller, a Morgan or even a Roosevelt vate businessmen as a significant con­ harvest is expected to be down sharply this was made poorer? Of course not. The rising tributing factor toward the collapse of year, maybe 40 percent to 50 percent, which tide of U.S. economic growth lifted all boats, will devastate export earnings as well as the yacht as well as the dinghy. the Salvadoran economy. manufacturing and processing industries. So also, backing the modern outward-look­ The following article by Jerry Flint On some of the old cotton lands corn is ing business people of El Salvador doesn't appeared in the February 2, 1981, edi­ being grown. The only trouble is there's no mean stopping efforts at social progress, or tion of Forbes magazine. In it, Mr. shortage of corn, and the cotton was worth even returning already expropriated land Flint describes the reactions of a more. since that would only lead to more number of Salvadoran businessmen to The junta threatens, but keeps postpon­ bloodshed. Instead, Salvadoran businessmen the reforms that have been pushed in ing confiscation of smaller plots used for an­ such as Altamirano say the government their country. other key export crop, coffee. But the effect must be pushed by the U.S. to accept the I urge my colleagues to give careful of the expropriation threat is a cutback in private sector as a partner. investment, less fertilizer and insecticide "Let the government concentrate on social consideration to their views: use, which would be reflected in spreading development, education, health, housing," AFTER THE KILLING blight and probably cause a serious slump in says Hinds, the former economic minister next year's harvest. The combination of who speaks for the major business groups in You've been reading and hearing about guerrilla burnings and the government's the country. "Economically we've got to terror-torn El Salvador, but not in the way policies may be halving production of the make a lot of reforms, but to open up the Luis Escalante, an old Salvadoran banker third crop, sugar. Indeed, El Salvador is tra­ economy, encourage local manufacture, cut who limps from bullet wounds, knows it. ditionally a sugar exporter, and just when red tape and allow international banking." "The economy?" he says. "If this junta con­ prices are high the country probably won't What El Salvador needs is an evergrowing tinues it will go to hell." Escalante's friend be exporting. pie, not a division of the crumbs. It certain­ couldn't cash a $1,200 check in Miami from The truth is El Salvador-a nation of 5 ly does not need Castro-type dictatorship his old bank, Banco Agricola Commercial­ million people in an area the size of Massa­ that would merely reshuffle the poverty now nationalized-because there were no chusetts-was near the takeoff stage in de­ and replace the old oligarchic elite with a funds. "Twelve hundred dollars!" he velopment. Listen to Roberto Llach, a new Marxist one.e laughed sarcastically at the government's former minister of agriculture: "We had the ruin of his enterprise. highest productivity [in yield per acre] of That's the problem. The Salvadoran gov­ coffee in the world; we're number two in LITHUANIAN INDEPENDENCE ernment may win its fight with Marxist cotton in Latin America, sometimes number guerrillas but destroy its economy with so­ one; number one in sugar productivity, HON. PHIUP M. CRANE called reforms that will drive out private in­ second in potato productivity in Latin vestment. America, first in use of fertilizer. We are OF ILLINOIS It's a too-common story in the world forced to work hard and we do," Llach says. IN THE HOUSE OF REPRESENTATIVES today. Americans are told a tale of redis­ The industrial and commercial base had Wednesday, February 18, 1981 tribution of the wealth. It sounds like social also been growing rapidly. But now, says justice, but the legacy is bitter and bare. In Enrique Altamirano, publisher of the na­ e Mr. PHILIP M. CRANE. Mr. Speak­ overpopulated, underdeveloped countries tion's largest newspaper, El Diario de Hoy, er, in commemoration of the 63d anni­ like El Salvador, redistribution may be "we hear rumors of industrial reform, some versary of the Lithuanian Declaration simply spreading the poverty and replacing kind of takeover of industrial firms." How of Independence, I pledge my support an old economic elite with a new political many real jobs will those firms provide for the people of Lithuania who yearn one. without the enterprising brains that built The country loses not the idle rich but the them or the capital that fed them? to exercise their inalienable right of productive middle class. Does a poorer, less stable El Salvador self-determination and national sover­ Says Manuel Enrique Hinds, an economics matter to Americans? Consider the geogra­ eignty. minister in an earlier junta: "The economy phy and the politics: A Marxist regime al­ Until June 1940, Lithuania enjoyed may be near collapse. It's worsening every ready controls neighboring Nicaragua. Cuba soaring resurgence in every aspect of day. There's almost no foreign exchange so trains and aids the Salvadoran rebels, and a its national life: Educationally, cultur­ we can't buy raw materials for our industry. second Communist victory would intensify ally, econmnically, and politically. There's a liquidity crisis, capital flight, in­ efforts to topple all non-Marxist regimes on flation and production is going down. the land bridge between Mexico's oilfields However, like many Eastern European Worse, the invisible fabric is going. The to the north and Venezuela's to the south. states, Lithuania has had its sover­ trained people. When you lose that fabric it To be sure, the Carter Administration rec­ eignty violated and its freedom sup­ takes forever to recover." ognized El Salvador's importance, but mis­ pressed by the Soviet Union. A poultryman, who lost some of his farm understood its situation. The Carter people The people of Lithuania have en­ to nationalization but still has much of his failed to see a society changing to modern dured great injustices at the hands of property, says: "Every year egg production ways, with the educated children of the old the Soviets, yet their aspirations for went up 20 percent. Now it's down 20 per­ rich, the young businessmen and techni­ national independence and individual cent, demand for chickens is down 50 per­ cians forming a new middle class. They be­ cent. I can't get credit for feed. What kind lieved that the old rich still ruled with an freedom remain unyielding. of business can you do there?" iron hand, as in the story books. Social revo­ The United States is now, and has The present government, called moderate lution to them was a kind of laxative. The always been deeply committed to the and headed by Christian Democrat Jose Na­ influential U.S. press was at times romantic, idea that freedom is preferable to tyr­ poleon Duarte, began to socialize the econo- as in a January Washington Post editorial: anny, and self-government superior to February 2#, 1981 EXTENSIONS OF REMARKS 3013 dictatorship. The United States must ery and electronic components, comes from At least $6 billion needs to be spent to therefore continually reaffirm its Thailand, Canada, Malaysia and Brazil; and bring the stockpile up to par. In fiscal 1980, desire to have the unalienable rights platinum, used for its properties as a chemi­ however, Congress authorized only $237 mil­ cal catalyst, comes largely from South lion for stockpiling. The actual appropri­ of the Lithuanian people restored. · Africa and the Soviet Union. ation, according to most Congressional ex­ The will of the Lithuanian people to So critical are mineral supplies in some in­ perts, will be closer to $100 million. be free continues, and their resistance dustries that they must be ordered three In the last two decades, various Adminis­ to political repression, religious perse­ years in advance of production. In 1979, ma­ trations have gained permission from Con­ cution, and the denial of basic human terials shortages caused production delays gress to sell existing stockpiles of certain rights is ever strong. that prevented the Defense Department materials on the ground that they were no I salute the brave people of Lithua­ from obtaining critical weapons and equip­ longer needed. Those minerals must now be nia and voice my hopes that these ment on schedule. replaced at four or more times the price re­ A complex combination of political, eco­ alized from the original sale. people living under Communist domi­ nomic and environmental events has con­ To remove the temptation to use the nation will again enjoy their free­ spired to place us in this vulnerable situa­ stockpile as a means of balancing the dom.e tion. Composing only five percent of the budget or manipulating prices, and to world's population, Americans consume ensure that the nation's needs are met in about 20 percent of the world's production time of emergency, Sen. James McClure of the po­ source crunch could bring the U.S. economy sures and terrorist attacks. Should our sup­ tential value of the Alaska federal lands to its knees. Of the 36 non-fuel minerals es­ plies of these vital materials from South concluded that, in the absence of extensive sential to the United States as an industrial Africa be cut off, we would experience a regulatory impediments, a mining industry society, we are crucially dependent upon sharp drop in our standard of living, which could develop by the 1990s that would pro­ foreign sources for 22 of them. In 1980, we could eventually threaten the entire West­ vide substantial quantities of non-fuel min­ were obliged to import 91 percent of our ern world. erals, including gold, silver, copper, nickel, chromium, 88 percent of our platinum­ WITHDRAWAL SYMPTOMS lead, zinc, molybdenum and asbestos, while group metals, 93 percent of our cobalt and We have arrived at this perilous state by ultimately disturbing a land area of only 97 percent of our tantalum and manganese. ignoring a basic historical truism-that a about 25 square miles. By contrast, we were only 42-percent de­ vigorous, healthy economy with assured Recently the Congress voted to create a pendent on imported oil. sources of raw materials is essential to na­ more than 2.2-million-acre wilderness in Chromium, for example, is widely used in tional defense. central Idaho called the River of No oil refining, petrochemicals, conventional Rather than looking to the long-term Return. It also includes a belt about six and nuclear power plants, tanker trucks, gas health of our economy we have pursued a miles wide and 30 miles long that is part of turbines, industrial machinery and in all policy of stockpiling critical materials for the only known deposit of cobalt within the stainless steel. In some applications, de­ use in time of war. Unfortunately, even that United States. Congress voted to delete manding high strength and high-tempera­ policy has been subject to so much political 39,000 acres of potentially cobalt-rich land ture corrosion resistance, there is no substi­ and economic pressure that stockpiles of from the wil!ierness area, but the amend­ tute for chromium. Yet our major sources many critical materials are far below our ment pleased neither the mining interests of supply are South Africa and the Soviet goals. Chromium, for example, is 180,000 who want the right to explore far more of Union. tons short of stockpile goals of 1.35 million the land nor the environmentalists who Cobalt, essential to jet engines, nuclear­ tons, and cobalt is 44 million pounds short. want the entire region to remain a wilder­ propulsion systems, high-speed cutting The goal for bauxite, from which alumina ness. tools, synthetic-fuel production and high­ and aluminum are made, is 27.1 million It is on this point-the desire to maintain grade steels, comes from Zaire and Zambia; tons, yet only 14.1 million tons are in the in­ the wilderness beauty of the land and the manganese, essential to steel-making, is im­ ventory. In all, the National Defense Stock­ need to explore and mine it for the minerals ported primarily from South Africa, Brazil pile is about 50-percent short of targeted we need to remain economically healthy­ and India; tantalum, used mainly in machin- levels. that the major conflict arises. 3014 EXTENSIONS OF REMARKS February 24, 1981 OBSTACLE COURSE Our foreign policy must take into account service up to a maximum of 36 Mineral exploration and development the sources of critical materials, and simul­ months. have also been severely hampered by admin­ taneously we must increase our metallurgi­ Second, supplemental benefits. In istrative delays. Lease applications go cal research in substitutes for those strate­ gic materials. Finally, conservation and re­ addition to the basic rate outlined through the Interior Department's Geologi­ above, an individual would be entitled cal Survey and its Bureau of Land Manage­ cycling of materials must become part of ment and the Agriculture Department's our way of life, for the minerals we use and to an additional $300 per month upon Forest Service. The minimum processing need are not inexhaustible. completion of 6 years of continuous time for approval of a prospecting lease, ac­ We have already experienced the threats active duty or 4 years of continuous posed by the energy crisis. The mineral active duty plus 8 continuous years in cording to one Forest Service official, has crisis could be far worse, the dangers much been 17 months, and for a mineral lease and greater. What is needed now is the will to the Selected Reserve or National a mining plan more than three years. recognize the crisis and confront it.e Guard. The development of refining and process­ Third, transfer of entitlement. Criti­ ing plants calls for a number of other appli­ cal specialties identified by the Secre­ cations and licenses, environmental-impact MILITARY MANPOWER tary of Defense may authorize an indi­ statements, air- and water-quality and solid- - waste-disposal plans, negotiation of mineral vidual to elect to transfer his or her and water rights, and a variety of state and HON.THOMASF.HARTNETT entitlement to educational benefits to local clearances. It takes about four years OF SOUTH CAROLINA his or her spouse or children, provided and costs about $1,000 per ton of capacity to IN THE HOUSE OF REPRESENTATIVES such individual