November 1, 1977 EXTENSIONS OF REMARKS 36391 Page 5, line 17. Page 16, line 11. and insert in lieu thereof "consumers and Page 8, lines 6, 11, and 22. Page 14, line 15. small businesses" . Page 9, lines 1, 5, 10, and 14. Insert "or small businesses" after the word On page 29, line 21, strike "the" and insert Page 13 , line 7. "consumers" in the following places: "small business" after the word "consumer". Page 18, line 4. Page 9, lines 17, 19, and 23. On page 28, line 22, insert "or small busi­ Page 25, lines 13 and 18. Page 11, lines 8 and 16. ness" after the word "consumer" . Page 16, line 20. Page 12, line 12. On page 31, lines 4 and 5, delete "and any Page 17, lines 2, 5, and 20. Page 14, lines 19 and 22. concerns of small business entities that are Page 30, line 21. Page 25, line 1. consistent with those of consumers" and in­ Strike "Office of Consumer Representa­ On p::tge 8, line 8, insert "and producers" sert in lieu thereof the following : "and any tion" wherever it appears and insert in lieu after the word "consumers". concerns of small businesses involving the thereof "Office of Consumer and Small Busi­ On page 12, line 13, insert "or small busi­ fiscal, monetary, and regulatory policies of ness Representation". nesses'" after the word "consumers'". the Federal Government". Insert "and small business" after the word On page 24, amend lines 22 and 23 to read On page 31 , change paragraph (5) to read "consumer" in the following places: "Protection of Consumer and Small Busi­ as follows: 'The term "small business" shall Page 5, line 12. ness Interests in Administrative Proceed­ have the same meaning as set forth in section Page 7, lines 7 and 11. ings". 3 of the Small Business Act (15 U.S.C. 632) Page 15, line 19. On page 26, line 8, strike "the consumer" and regulations issued pursuant thereto.'

EXTENSIONS OF REMARKS GODFREY DEWEY, FATHER OF LAKE tiona! Olympic Committee at its headquar­ He would have reminisced about days long PLACID WINTER SPORTS ters. Mr. MacKenzie said: gone by, when his efforts were primarily re­ "Lake Placid has suffered a great loss in sponsible for bringing the 1932 Olympic the passing of Godfrey Dewey. His foresight games to Lake Placid. Now dead at the age HON. ROBERT C. McEWEN as president of the third Olympic Winter of 90, his activities in behalf of the commu­ Games provided for much of Lake Placid's nity and the Lake Placid Club, which his OF NEW YORK economic future and the basis for Lake father, Melvil, founded, will be recalled by IN THE HOUSE OF REPRESENTATIVES Placid's renown as one of the world's great his old friends and acquaintances. Tuesday, November 1, 1977 winter sports communities. The present 18th He and his father were an integral part Olympic Winter Games program was largely of the history of Lake Placid. His efforts on Mr. McEWEN. Mr. Speaker, it is with predicated upon sports facilities created by behalf of the 1932 Olympics were recalled great sadness that I call to the attention Dr. Dewey for the 1932 Olympic Winter here recently by George Carroll of the Lake of the House the recent death of Dr. Games. Placid Club, who knew him well. Dr. Dewey Godfrey Dewey, a world-renowned edu­ "He will be sorely missed as he has pro­ was an imposing man, literally and figura­ vided valuable counsel to the present Olym­ tively, as was evidenced by his work leading cator-sportsman, of Lake Placid, New pic Committee at Lake Placid. The Olympic to the Olympics 45 yens ago. His interest in York. It was Dr. Dewey who was respon­ sports facilities now under construction for sports, particularly winter sports, was im­ sible for bringing the 1932 winter Olym­ 1980 are an appropriate monument to his mense, and his interest in education was pic games to Lake Placid, a community memory." equally strong, evolving and developing nat­ which is now preparing itself for the Allother longtime friend and admirer of urally from a family whose contribution to 1980 games. Dr. Dewey, North Elba supervisor John A. education was exceptional. Dr. Dewey died October 18. He had Shea, who won two gold medals in speed Here were two men, father and son, who reached his 90th birthday on Septem­ skating during the 1932 Games, also mourns had meaning for and to the North Country. the loss. The father, especially, had strong ties to ber 3. "The community of Lake Placid-North Jefferson County and Adams Center, his Tributes paid to this great sportsman Elba suffers a great loss in the death of Dr. birthplace. His work in Lake Placid and the and intellectual were many. I want to Godfrey Dewey," Mr. Shea said. "Dr. Dewey founding of the Lake Placid Club left their call to your attention two of them, the was the father of the 1932 Winter Olympic imprint on the community which is felt to first from the October 20 issue of the Games. Single handedly, he brought the this day. As an educator, Melvil was innova­ Lake Placid News and the second, q,n Games to Lake Placid. His visions of the tive. He invented the Dewey Decimal Sys­ editorial from the October 21 issue of the benefits which would be brought to this area tem. He believed in simplified spelling and were fulfilled. The economic endowments of urged its adoption. His faith in easier spell­ Watertown, N.Y., Daily Times: his vision are now understood. ing was so strong that he shortened his first [From the Lake Placid (N.Y.) News, Oct. 20, "The Lake Placid Club which he repre­ name to Melvil, dropping the last two let­ 1977] sented so well was a great contributor to ters-le-the customary and accepted use, DR. DEWEY WIDELY MOURNED making Lake Placid the Switzerland of disregarding the fact he was christened America. Dr. Dewey continued to be active Meville. Eulogies from friends and officials through­ in community affairs and was one of those out New York State this week paid tribute The achievements of the elder Dewey have people responsible for Lake Placid becoming been recognized repeatedly over the decades. to Dr. Godfrey Dewey, Lake Placid's educator­ a convention center. He sponsored the new sportsman who died at midr.ight Tuesday in He has a firm hold in history, pnticularly convention addition to the North Elba Park that of New York State and the North Coun­ Lake Placid Memorial Hospital. District Arena. His interest and continued Governor Hugh L. Carey said: try. activity in the field of tourism, promotion The son of a distinguished father, Godfrey "I was sorry to hear of the death of God­ of community recreation and a program of frey Dewey in Lake Placid. Dr. Dewey brought Dewey will also be remembered as a distin­ sporting events made him a principal actor guished citizen of Lake Placid. His achieve­ the 1932 Olympics to Lake Placid and was in obtaining the 1980 Winter Olympic Games considered the father of the winter sports ments, too, have been indelibly recorded in for Lake Placid. the community and the Lake Placid Club program in the North Country area. The "His confidence in the future of Lake groundwork he laid so carefully in 1932 was Placid has been a great inspiration to his with which he was associated so long. instrumental in the selection of Lake Placid fellow citizens. We have lost one of our most as the site for the 1980 Olympics. respected citizens." "Like his father, who was the founder of At the Lake Placid Club, secretary George the Dewey Decimal System, in use in librar­ Carroll echoed the praise of others. He said MRS. ROSEMARY DAVISON ies across the world, Godfrey Dewey was a of Dr. Dewey: RECEIVES AWARD great leader and admired by all who knew "He is a man who certainly left his mark him. His passing is a great loss to the people on this community through his efforts in of Lake Placid, the state and the nation." winter sports and bringing the 1932 Winter HON. HAROLD L. VOLKMER Olympics to Lake Placid. He is missed by And while Dr. Dewey had been ill in the OF MISSOURI Placid Memorial Hospital for some time, lo­ everyone." cal friends were nonetheless stunned at his IN THE HOUSE OF REPRESENTATIVES death only a month past his 90th birthday. (From the Watertown (N.Y.) Daily Times, Tuesday, November 1, 1977 Oct. 21, 1977] Longtime friend and president of the Lake Mr. VOLKMER. Mr. Speaker, it has Placid Olympic Organizing Committee for GODFREY DEWEY the 1980 Wint er Games, Ronald M. MacKen­ Had Godfrey Dewey been able to attend been brought to my attention that the zie, telephoned a message from his room in the groundbreaking ceremonies in prepara­ Landmarks Association of St. Louis will the Continental Hotel in Lausanne, Switzer­ tion for the 1980 Winter Olympics last April, present their Distinguished Service land, where he is meeting with the Interna- he would have savored every minute of it. Award to Mrs. Leslie (Rosemary) Dav- CXXIII--2290-Part 28 36392 EXTENSIONS OF REMARKS November 1, 1977 ison of Florissant, Mo. This award is in basket of the world." It is certainly true Resolved by the House of Representatives recognition of the work Mrs. Davison that this country has been fortunate in (the Senate concurring), That the Congress of tr.e Uni'".ed States hereby requests the has done in the area of historic preserv­ possessing some of the most fertile land President of the United States, the Secre­ ation of buildings in the Florissant Val­ for agrarian purposes in the world. I am tary of Agriculture, and all appropriate of­ ley area. indeed extremely proud to represent a ficials of the United States Department of Rosemary Davison was a founding part of the United States which contains Agriculture, the Foreign Agricultural Service, member of the Florissant Valley Histori­ some of this excellent farmland. and the Department of State to formulate cal Society and Friends of Old St. Ferdi­ During a period in which we are con­ and implement a plan for the expansion of nand. While she was president of the cerned with the effects of industrial im­ sales of Americ:m agricultural commodities abroad, including Food for Pe::~.ce sales and Historical Society, Taille le Noyer was ports into this country, our Government place less emphasis on developing huge preserved. Old St. Ferdinand's Shrine should be making every effort to open grain reserves domestically; was restored during her 9 :vears as up further avenues of trac.) abroad. This Further Resolved that the Congress hereby president of the Friends of Old St. Ferdi­ resolution will not only aid the American requests agricultural attaches and officials nand. Mrs. Davison founded the Herit­ farmer and the more unfortunate peo­ at United States embassies to seek out and age Foundation, which pre.served Old ple abroad, but it will also assist in re­ report to the Secretary of Agriculture all Coldwater School, a one room brick ducing the deficit in the American bal­ possible opportunities for agricultural com­ structure in North St. Louis County. In ance of international payments and im­ modity sales in the nations in which they are located; 1968 she formed, and has served con­ prove the stability of the American Further Resolved that the Congress re­ tinuously as president of Historic Floris­ economy. quests that the President make certain that sant, Inc., an organization that has been At this time, I would like to insert in all export ports are open and fully operable responsible for the preservation and the RECORD the full text of this concur­ and that he use existing Federal labor laws restoration of the Narrow Gauge Rail­ rent resolution: to implement such policies; road Station, the Archambault House H. CON. RES.-- Further Resolved that the Congress here­ and the John B. Myers House. She also Concurrent resolution to encourage a com­ by requests the President of the United serves as vice president of Old Floris­ prehensive program promoting foreign States to transmit to the Congress a report of a plan formulated and implemented under sant, Inc. sales of American agricultural commod­ the authority of this concurrent resolution Rosemary Davis on served on the board ities no later than six months after the enactment of freeholders, which wrote the new Whereas American agriculture and the of this resolution. production of food and fiber, worth $82 bil­ charter for the city of Florissant. She lion last year, constitute the most basic and is nO'V the city clerk of Florissant, serv­ indispensable industry in the economy of ing in that capacity since 1963. She has the United States; and GOVERNMENT KNOWS BEST? been active in the Chamber of Com­ Whereas the net income after cost of merce, serving as a director. She chairs production for American farmers in 1977 is a committee with the responsibility of projected by the United States Department HON. JAMES ABDNOR unifying the community and in this ca­ of Agriculture to be less, when adjusted for OF SOUTH DAKOTA pacity has served as coordinator of the inflation, than farmers received in 1936, the lowest net income in 41 years, with 2,750,000 IN THE HOUSE OF REPRESENTATIVES Valley of Flowers Festival for the past American farmers sharing an average net in­ Tuesday, November 1, 1977 several years. come worth $5,721 for each farmer in 1967 I congratulate Rosemary Davison on dollars; and Mr. ABDNOR. Mr. Speaker. Does Gov­ receiving a well deserved award. Whereas the parity ratio is at the lowest ernment know what is good for citizens? level since 1932; -and The answer is "No!" but from some of Whereas the majority of American farm­ the decisions we have forced on the pub­ ers prefer a market-oriented approach to lic, they are any number at the Federal LET THE AMERICAN FARMER HELP farming and the economy; and level who appear to think otherwise. THE ECONOMY Whereas the deficit in the U.S. balance of international p·ayments is expected to be Government's good intentions have nearly $25 billion in 1977 and American been proved wrong in the matter of HON. TOM CORCORAN agricultural exports are the major export mandating the fireproofing of children's commodity of the Nation; and sleepwear. The hasty solution prescribed OF ILLINOIS Whereas American farmers are now being for the tragedy of children dying or be­ IN THE HOUSE OF REPRESENTATIVES restricted by acreage controls and govern­ ing horribly scarred because their night­ Tuesday, November 1, 1977 ment-mandated idling of land after an era clothes caught fire has been found to be of full crop production for commodity sales more than wanting. While saving chil­ Mr. CORCORAN of Illinois. I have to­ abroad during the early 1970's; and dren from flames it expOS'es them to can­ day introduced a concurrent resolution Whereas estimates of export sales of feed cer-with all its potential consequences. which encourages President Carter and grains abroad during 1977-1978 will total his administration to promote a com­ 1400-1500 million bushels as compared to While initial results from airbags im­ prehensive program to expand the sale 1650 million bushels in 1976-1977, causing a presses some with the potential of af­ of American agricultural commodities reduction of income for the American fording greater safety to automobile farmer; and operators and passengers, I remain un­ abroad. The American agricultural in­ Whereas loan support levels and target convinced that the record yet warrants dustry is facing probably one of its worst price levels should be set to reflect competi­ mandating their mass production. economic setbacks in years, due in part tive sales of commodities on the world Government does not always know to the decrees and policies of the Federal market; and best. This editorial from the Buffalo. Government. The Congress recently Whereas $800 million, earmarked for this passed, and the President signed into year's PL 480 Food for Peace Program, is be­ N.Y., Evening News, October 18, 1977, law, S. 275, which is a wide-ranging ag­ ing delayed by an inter-agency group on states the case succinctly: ricultural program for this country dur­ human rights and foreign assistance, caus­ Too HASTY ON AIR BAGS ing the next 4 years. Although this law ing a reduction in commodity sales abroad; In declining to overturn Transportation and Secretary Brock Adams' order mandating air will have some beneficial effects on the Whereas farm-related production expenses bags in all autos by the 1984 model year, agricultural industry, it does not go far have increa~ed enormously in recent years Congress has unwisely frozen the auto indus­ enough in insuring that the American for all farming necessities including seed, try into a particular safety-coercion device farmer will continue to receive a fair fertilizer, machinery, herbicides, labor and without awaiting any conclusive arguments return from the sale of his products energy, while farm income has declined; and for its choice over alternative crash protec­ either at home or abroad. Whereas there exists abroad numerous op­ tions. My concurrent resolution presents sev­ portunities for sales of American agricultural Before forcing every motorist to buy an commodities which if pursued and properly inflatable bag for his own protection, both eral widespread problems which are of developed could result in a reduction of houses would have been far better advised utmost concern to the farmers of this existing grain surpluses, thus producing a to defer final decision until an unfamiliar country and offers solutions to the prob­ rise in agricultural commodity prices which and controversial device is put to adequately lems raised. This country has often been have plunged below actual costs of produc­ comurehensive tests under practica! driving referred to in the past as the "bread- tion: Now therefore, be it conditions. November 1, 1977 EXTENSIONS OF REMARKS 36393 So far as it goes. the safety experience with chological, occupational, and social work The secretary is asking Congress t o set air bags tested on a limited number of cars services. aside one-fourth of Alaska-an area about appears generally impressive, but the haz­ The Chabad-Lubavitch vocational re­ equal to the size of California-for nat ional ards of failure to inflate, or accidental infla­ parks, wilderness areas and wildlife refuges, tion, under mass production conditions can­ habilitation program is approved and parts of Alaska like the Arctic National Wild­ not be dismissed. partially supported by the city of Los life Range in Northern Alaska near Prudhoe Advocates contend that the $112 or so Angeles under the Comprehensive Edu­ Bay's oilfield, an area thought to hold oil and estimate of the added cost for a bag­ cation and Training Act. This program nat ural gas, would be included. Designat ing equipped car will be offset by the savings in provides job training for the hardcore it as a wilderness area precludes its use as an auto insurance premiums. While this may be unemployed. oil and gas field. Other areas would be s:J so, the actual unit cost remains largely The Chabad-Lubavitcher movement designated by federal law as t o make the guesswork, and the estimate ignores the ad­ also maintains senior citizens programs, forests on them and the minerals under them ditional cost to motorists for maintenance unusuable. Still other parts of Alaska in­ or replacement of bags once these inflate. a network of community centers, campus cluded in the administ ration's proposals, says The heart of the controversy, though, outreach programs, and an intensive Rep. Don Young, R-Alaska, would be closed reaches beyond such technical and cost con­ Torah education operation. to recreat ional use and hunt ing. siderations to a larger issue-that of whether Earlier this year, under the chairman­ That is the core of t he argument against it is sound government policy to force upon ship of House Speaker THOMAS P. plans t o establish 91.8 million acres of the auto industry and upon every motorist O'NEILL, JR., and Senator HUBERT H. Alaska's 375 million acres as federally pro­ a complex safety device that at best provides HUMPHREY, a U.S. Congress reception tected. There is a fear on the part of business only limited protection. This smacks all too was held in Washington. There 66 Sena­ interes ts in Alaska that any plan t o have the much of 'government knows best.' federal government formally protect a major Government, to be sure, does have a legiti­ tors and 134 Congressmen saluted Rabbi portion of the state will limit Alaska's rec­ mate role in encouraging safety measures Menachem M. Schneerson as part of the reational uses and limit its economic devel­ beyond the individual motorist's discretion­ worldwide celebration of the Rebbe's opment. as in car and road design-to hold down 75th year. Secret:uy Andrus, on the other hand, ar­ highway carnage. But in presuming to sub­ I have had the profound personal privi­ gues that establishing 10 new nat ional parks stitute compulsion for individual choice, the lege of working closely with the Rebbe's and expanding three existing ones, a s well as administration and Congress run the risk of adding nine new wildlife refuges and expand­ impeding refinement of technology, cur­ followers in Los Angeles. I know the ex­ ins five others , would keep Alaska from the rently showing promise, in automatic seat tent to which they derive their general kind of development that has been seen in belt systems as potentially superior alterna­ spiritual guidance and day-to-day direc­ other states. tives to air bags. So the heart of the con­ tion from their leader. They have been But the issue of Alaskan development troversy is not whether research should pro­ able to overcome all odds because their ought not be decided ent irely by t he secret ary ceed on air cushion restraints-cert ainly it work has always been not merely a of t h e interior and by t he Con5ress. It is an should-but whether Washington should human undertaking, but a service of the issue on which business and native interest s mandate these before the evidence is in on in Alaska ought t o have a voice. the soundest safety choice. Almighty under the direction of His servant, Rabbi Schneerson. I trust my colleagues join me in saluting Rabbi Schneerson and in wishing him much NEW ENGLAND COMMITTEE OF strength and good health. CLERGY AND LAITY CONCERNED LUBAVITCHER REBBE CELEBRATES FOR ISRAEL, PROTESTS JOINT WITH CONGRESSIONAL PLAUDITS UNITED STATES-SOVIET MIDDLE EAST INITIATIVE HON. HENRY A. WAXMAN WHAT OTHERS SAY ABOUT ALASKA OF CALIFORNIA HON. DON YOUNG HON. ROBERT F. DRINAN IN THE HOUSE OF REPRESENTATIVES OF MASSACHUSETTS OF ALASKA Tuesday, November 1, 1977 IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES Tuesday, November 1, 1977 Mr. WAXMAN. Mr. Speaker, on No­ Tuesday, November 1, 1977 vember 13, 1977, a unique U.S. Congress Mr. DRINAN. Mr. Chairman, the joint tribute-banquet will be held in Los An­ Mr. YOUNG of Alaska. Mr. Speaker, declaration of the United States and the geles to honor the Lubavitcher Rebbe in as you know, the Subcommittee on Gen­ Soviet Union of Otober 1, which de­ his 75th year. I am privileged to serve eral Oversight and Alaska lands is cur­ scribed the principles and objectives of as chairman of the tribute. The honor­ rently considering legislation which will a new Middle East peace conference, ary chairmen of the event are our U.S. shape Alaska's future. Among the pro­ represents a serious setback toward peace Senators ALAN CRANSTON and S. I. posals is one advanced by Secretary of in the Middle East. HAYAKAWA. the Interior Cecil Andrus which calls for Both procedurally and substantively, In his person and pastorate, the Luba­ the addition of over 91 million acres of the joint American-Soviet statement im­ vitcher Rebbe, Rabbi Menachem Mendel land to the National Park, Wildlife poses upon Israel concessions of a far Schneerson has reconciled paradoxes and Refuge, Forest and Wild and Scenic more important and immediate nature resolved contradictions. He has pursued River Systems in the State of Alaska. In than those imposed on the Arab coun­ sjmultaneously the divine verities of the addition, this proposal would create 103 tries. It further casts into doubt tradi­ Torah and the modern values of citizen­ million acres of wilderness or wilderness tional American positions in support of ship in a democracy. Rabbi Schneerson study areas and 84 million acres of areas Israel. is a master of the mysteries of the Luri­ of environmental concern, which would The stubborn insistence on the con­ anic Kabbalah and of Chabad Chassidus. be managed to be compatible with exist­ vening of the Geneva Conference in 1977, Yet the Rebbe has inspired in his fol­ ing land areas. What this means in plain ar:;parently despite the costs, is a classic lowers a phenomenal ability to conquer language is that 187 million acres, over example of misplaced priorities. The goal the most intractable problems of the half the State of Alaska, would be man­ is peace, not getting all of the parties to mundane world. aged as wilderness lands. the dispute to a conference table before We, in southern California, have seen There is a growing concern throughout midnight on December 31, 1977. There a most fruitful partnership between the the Nation that we are acting too fast in are now indications that the Geneva Con­ Chabad-Lubavitcher disciples of the locking up all of Alaska's land. I would ference will not convene until next year, Rebbe and government agencies. like to share with you an article from if at all. Best known is the comprehensive the Cincinnati Enquirer that was re­ I wish to lend my full support to the Chabad-Lubavitch drug rehabilitation printed in Alaska: activities of a group dedicated to peace program. Anproved and partially funded OTHER VIEWS-GOING Too FAR in the Middle East, the New England by the National Institute of Drug Abuse, Secretary of t he Int erior Cecil D. Andrus Committee of Clergy and Laity Con­ the Chabad drug rehabilitation urogram could be t aking too big a chunk out of Alaska cerned for Israel. That group is circulat­ serves drug abusers of every race, na­ if an administ ration proposal to creat e a ing a letter to President Carter urging tionality, and creed with medical, psy- wilderness area t here becomes law. him to reverse the very disturbing ele- 36394 EXTENSIONS OF REMARKS N overnber 1, 19 77 ments of the October Soviet-American have voted "yes" on the previous Booth had thought of almost everything. communique. I have added my name to question. He carried a pocket compass and a disguise. this letter, and I ho.I:e that many others The two dismounted at Mudd's farm. Booth who desire to see a secure Israel will do put en gray whiskers and a huge muffler. INTEREST IN MUDD CASE He did not trust Mudd. The doctor was self­ the same. righteous. The text of the letter follows: CONTINUES He worked a 500-acre farm. He was a OCTOBER 28, 1977. churchgoer, one who prayed in the fields. DEAR MR. PRESIDENT, as Amerkans and as HON. PAUL SIMON Once he had owned 11 slaves. When a black Christians, we are at one with you in the de­ refused an order, Dr. Mudd drew a pistol and sire to see peace established and human OF ILLINOIS shot the m an in the leg. rights respected everywhere. We are especial­ IN THE HOUSE OF REPRESENTATIVES Of one thing Booth was certain. He was far ly at one with you in the desire to bring Tuesday, November 1, 1977 a~ead of his news. No one around Bryantown peace to the troubled Near East. had heard that Lincoln had been shot. Her­ The joint United States-Russian declara­ Mr. SIMON. Mr. Speaker, some of us old walked the lather off the two h ... rses. tion, however, confirms our fear that the Ad­ in the House and in the Senate are trying The actor realized that, if Mudd recog­ ministration has been swayed by Arab rhet­ to get justice done for the Mudd family, nized him, sooner or later the doctor would oric and threats. Before the 1967 War, none learn that John Wilkes Booth had assassi­ of the Arab governments favored an inde­ whose name has been sullied by the nated a great president. The physician was pendent Palestinian state. We are convinced wrongful conviction of Dr. Samuel Mudd the type of arch-religionist who, even though that even today the support of Arab rulers as a conspirator in the assassination of his sympathies were with the South, would is far from whole-hearted. President Lincoln. · tell the authorities about the injured leg. Several Arab countries, know, after all, The evidence is overwhelming, both Davey Herold pounded on the door at 4 from exeprience what the FLO's presense in that he had nothing to do with it and that a .m . The doctor responded in his nightshirt, their midst entails. In ".;he last 30 years, the he did not receive a fair trial. holding a candle. "Who is it?" "Two stran­ bloodiest battles in the Near East were fought gers riding to Washington." A friend had between the PLO and King Hussein's Army, I think my colleagues will be inter­ ested to read the article written by Jim taken a bad fall. and again, between the PLO and Lebanese A doctor's duty is to heal, to preserve life. Christians. Bishop, who wrote the book "The Day He knew the beard was false because it kept If we ignore this lesson of history and help Lincoln Was Shot," who is certainly one sliding to one side. He asked no questions. establish a state ruled by the PLO we will not of the leading scholars of Lincoln·.:; death. The boot was cut off with surgical scissors. bring peace to the area. Instead, we will The plea for justice for Dr. Mudd is There was a lump of purpled flesh above the create a center of unrest, nay, a volcano. instep. Once the PLO has achieved its immediate now before President Carter, who, I un­ aim of a separate state, it will seek to ex­ derstand, has referred the matter to the Mudd got some heavy pasteboard, wet it, pand, thereby endangering the sovereignty Justice Department. It has often been and glued it to the ankle. John Wilkes Booth of Israel as well as of Jordan. Moreover, in said that "justice delayed is justice de­ and Herold were invited to stay for break­ alliance with Moscow, it will carry revolution nied," but, in this case, while we do not fast. In a fatigue of pain, the actor fell to other Arab lands. asleep in an easy chair. The doctor was sus­ rectify the scales of justice by declaring picious when the patient asked f or a razor Thus the upheavals and catastrophes we a man innocent more than a century seek to banish will engulf first the Near East to trim his beard. and then-we shudder to think-many other later, we can rectify the scales of justice It didn't seem reasonable that a man in parts of the world. Even to invite the PLO a little, anyway. pain would think of shaving. Later, John to the Geneva Conference is to reward mur­ This column appeared in newspapers Wilkes Booth and Herold left, riding hard der, indeed, promote Terror International. around the Nation: down dirt roads toward Virginia. We beg you, Mr. President, to act wisely [From the Los Angeles Harold Examiner, Tl'l.e assassination sent a wave of hysteria and firmly. As a world power we have grown Sept. 15, 1977] through the people up to the highest eche­ fearful of our own might and are, therefore, THE DOCTOR WASN'T GUILTY lons of government. Prisoners were tried tempted to yield where yielding is wrong. We with black hoods on their heads and cannon must never do so for some momentary, Cham­ (By Jim Bishop) b::tlls attached to a leg. Some were hanged. berlain-like success. Naivete in a statesman There is a petition before President Carter Some were imprisoned. Dr. Samuel Mudd is sin; it spells disaster. to pardon Dr. Samuel Mudd, the physician was convicted and exiled to a m osquito-in­ We are addressing this letter to you, Mr. who bound John Wilkes Booth's ankle after fested prison at Dry Tortugas. His defense President, with fear and trembling about the he shot President Lincoln. Was Mudd a party was that he had not realized the injured future. And we must disclaim responsibility to the conspiracy? Let us look at the known man· was Booth, and he had not heard that before God and the world for the evil that facts. Lincoln had been shot. will befall it, should we rush into an ill­ Mudd was a wispy bearded farmer who When yellow fever broke out in the prison conceived peace. lived between Waldorf and Bryantown in in August, 1867, Dr. Mudd did heroic work Maryland. In the Civil War, Maryland was among the prisoners. For this, President An­ a free state although thousands of its citizens drew Johnson commuted his sentence. EXPLANATION ON MISSED VOTES were sympathetic to the South. The historic facts show that Dr. Mudd was Sam Mudd seldom practiced medicine. His not guilty of conspiracy. His crime was ad­ interest was in real estate and horse trading. hering to his oath as a physician. A presi­ HON. LEO J. RYAN The actor-as~assin , whose aspiration was not dential pardon will not rest his bones now. OF CALIFORNIA to kill Mr. Lincoln, but to kidnap him and But it should be granted . .. hold him prisoner and thus assure the IN THE HOUSE OF REPRESENTATIVES faltering South of an "honorable peace," Tuesday, November 1, 1977 rode single mount out of Washington many times. Mr. RYAN. Mr. Speaker, on Septem­ He needed an escape route. Booth decided MINORITY TRUCKERS ber 29 and on October 4, I was unavoid­ on the Navy Yard bridge down to Silesia and ably absent when the House voted on two Pomfret and Port Tobacco. There he would issues on which I would like to be of­ rent a boat to cross into Virginia with his HON. PARREN J. MITCHELL ficially recorded. august prisoner. OF MARYLAND On September 29, the House rejected Booth was introduced to Dr. Mudd, who IN THE HOUSE OF REPRESENTATIVES by a vote of 109 to 207 (roll No. 608) an tried to sell a farm. The actor pretended to be interested. He was invited to spend the Tuesday, November 1, 1977 amendment to the ERDA national se­ night at the Mudd home. curity programs authorization bill, H.R. Mr. MITCHELL of Maryland. Mr. Shortly after 10 on the night of April 14, Speaker, the plight of minority truck­ 6566. The amendment sought to prohibit 1865, John Wilkes Booth shot the President the use of funds for any enhanced radi­ between the left ear and the spine. The plot ers in this country is a sad commentary ation weapon or the "neutron bomb." I to kidnap had been abandoned. Lincoln on the Federal Government accepting would have voted "yes" on the amend­ slumped. Booth jumped from the box to the its responsibility to insure the participa­ ment. stage, catching a spur in a treasury flag which tion of minority truckers in the truck­ On October 4, during consideration of decorated the presidential box. ing industry, especially the transporta­ House Resolution 799 , the rule for the He broke his left ankle and hobbled of­ tion of Government cargo. stage. Mr. Booth planned to ride hard for It seems to me that this Congress and. Labor Reform Act of 1977, H.R. 8410, the Port Tobacco, 18 miles south. Insufferable previous question on the resolution was ps.in disorders the brain. He remembered the Interstate Commerce Commission agreed to by a vote of 267 to 152 (roll No. Samuel Mudd, a physician. He told David should honor their moral and public re­ 623). In accord with my other votes in Herold, a young co-conspirator, that he could sponsibility to minority truckers, and support of the Labor Reform Act, I would not continue. pursue every possible avenue to have November 1, 1977 EXTENSIONS OF REMARKS 36395 minority truckers included in the main­ for foreign products. The United States ever, has made very little effort in this di­ stream of the transportation industry. could improve its export-import balance in rection. It has been left to foreign car pro­ Congress and the Interstate Com­ the same way. ducers to adapt their engines for the use It is well known that petroleum is a con­ of alcohol. fuels. Volkswagen has embarked merce Commission should tenaciously stantly diminishing energy source, and that on a sizable test effort and development pro­ seek to assist minority truckers jn its foreign producers are capitalizing on this gram and is said to be prepared to market achieving economic parity in the Ameri­ fact, especially since the United States and automobiles, in Europe and the U.S., espe­ can trucking industry. the other Western nations depend greatly on cially adapted to alcohol-gasoline blends. In Therefore, I think it is fitting and mobility to maintain their economies. To France, Berliot, manufacturer of large com­ proper that the Minority Trucking preserve this mobility, which results in a mercial vehicles, has tested a large truck, Transportation Development Corp. will high gasoline consumption, one must look said to be run on a large variety of combusti­ for other energy sources. ble materials, including alcohol and alcohol­ hold its second annual convention at the The industry which would produce the gasoline mixtures. Hyatt Regency Hotel in Washington, alcohol fuel to insure our continued mobility Naturally, there are some obstacles which D.C., to focus attention on the plight of needs stimulus from the Government; other­ have to be overcome. Neither methanol nor the minority truckers. wise the risk would be unsurmountable. ethanol are available now in l:uge enough I urge you to take a few minutes and Without Government assistance, the general quantitiec; to satisfy their present use, let attend this convention during Novem­ public might refuse to accept these new alone their application in alcohol-gasoline ber 3-5, 1977, to show the minority fuels, looking upon them instead as another blends to fuel automobiles. Methanol is now industry invention for financial gain. There­ primarily used as a chemical intermediary truckers that Members of Congress are fore, the role played by the Government is product for the manufacture of other chem­ concerned about their plight and have extremely important and requires an imagi­ icals, and the largest portion is already come to find out what needs to be done native approach. spoken for. Ethanol, which has been pre­ to address the needs of minority truck­ The "Economics of Scarcity" is the ap­ viously manufactured by fermenting agri­ ers. proach so far proposed to solve the problem cultural crops, is now produced by syn­ You may obtain information on the of the diminishing supply of automotive thesis, and itc; supply would also be inade­ scheduled events of the convention by fuels. The general assumption motivating quate for blending with gasoline. these moves is that by increasing the cost Because of the relatively limited supply calling the Minority Truckers Conven­ to the consumer, the use of the commodity situation, which also reflects itself in the tion Headquarters at the Hyatt Regency will be reduced and the problem will be cost factor, the economics of alcohol-gaso­ Hotel, 737-1234. solved. Such a solution assumes that the line fuels does not look too favorable, even general public is the "Bad Guy," selfish, though the constantly increasing purchase thoughtless, and uncaring about the exist­ price of gasoline has helped con3iderably to ing problem; a fellow to be punished and increase the feasibility. Most evaluators, both ALCOHOL FUELS forced to do what the "White Father" tells in Government and industry, point out that him. It would be more rational to extend alcohol-gasoline fuels are more costly. Such the diminishing supply with a domestically analysis is based only on the present situa­ HON. NEWTON I. STEERS, JR. produced fuel manufactured from existing tion and does not take into account that OF MARYLAND domestic raw materials. alcohol fuel prices would be much lower if: IN THE HOUSE OF REPRESENTATIVES Very little attention has so far been paid (1) the production capacity for alcohol were to the already-existing technology-to extend greatly increa~ed; (2) surplus raw materials Tuesday, November 1, 1977 the availability of automotive fuels by in­ and presently wasted and waste products cluding the addition of alcohol fuels, espe­ were used for alcohol manufacture; and (3) Mr. STEERS. Mr. Speaker, I was for­ cially since the alcohol would not only be the taxation of alcohol used in fuels would tunate the other day to receive a report produced from domestic raw materials, but be adjusted to the same level as that for on alcohol fuels from a constituent of also manufactured from raw material sources petroleum products There are &orne other mine, Dr. Alfred A. Bacher, Ph. D., P.E., suitable for such production and wasted at arguments which would help the use of al­ of Bethesda, Md. Recently I joined with the present time. cohol in fuels, but these are the main points. our colleagues, Congressmen GLICKMAN The American Automobile Association The capital exoenditures for increasing the and NOLAN on a bill that would encour­ (AAA), which represents a large fraction of production facilities for methanol and etha­ age the use of alcohol fuels. I feel that the American motoring public, is one of the nol would be considerable. Duri;1g the Sec­ few groups to stress this important alter­ ond World War, however, when alcohol was this report blends perfectly with the nate fuel. At a recent meeting of the House goals in the Alcohol Fuel Encouragement needed for the manufacturer of svnthetic Ways and Means Committee, AAA repre­ rubber and other purposes, several large fa­ Act of 1977. I recommend to all of my sentatives pointed out that by blending cilities were built, one in Philadelphia and colleagues that they read this excellent alcohols with gasoline, a material supply another in Omaha. If these plants could be report: economy would result in the President's goal rehabilitated, the supply situation would be ALCOHOL AS A FuEL ALTERNATIVE to reduce the gasoline consumption by 10 improved. Another facility, located in Ore­ percent. In actuality, an economy of 15 per­ (By Alfred A. Bacher, P.E., Ph. D.) gon, was used for the conver::ion of wood cent is probably achievable, and one not re­ waste into "wood sugar," which could be Present gasoline consumption probably can quiring any radical changes to the existing used a'5 a raw material for alcohol produc­ be reduced 10 to 15 percent by the use of automobile engines, their efficiencies, or pub­ tion. If these closed-down facilities could be another combustible fuel, alcohol, which lic habit. In addition, signi] cant side bene­ reactivated, the required capital investment could be produced from a variety of avail­ fits from the blending of alcohols with gaso­ would be reduced. Nevertheless, even if we able materials. These materials include a line will be realized, as is discussed later. had to start from scratch and build en­ large number of products, such as corn Senators Charles Percy (R-Ill.) and Jacob tirely new facilities. we would be doing just stalks, which are now being wasted and are Javits (R-N.Y.) and columnist Jack Ander­ what we did during the Second Word War. available throughout the United States. son are among those recommending alcohol When we then had an urgent requirement Their full utilization (or recycling) as fuel fuel as an energy alternative. for alcohol. we built the necessary alcohol would help the nation to achieve, at least The use of alcohol blended with gasoline production facilitie'5 by using government for the time being, a partial independence in Europe goes back more than sixty years, funding. I believe that this capital expendi­ from imported fuels and would assist in when it was added in 15 percent proportion ture could be justified, especially since it maintaining the much needed availability of to the conventional motor fuel. The largest would use surplus agricultural crops and automotive fuels. Such production would use of alcohol motor fuels was in the final wacte materials for alcohol production. help to bridge the gap until some of the stages of the Second World War when it What are the domestic raw material newer fuels, now being developed, are fully provided the energy source for the German sources now available for alcohol production available in commercial quantities. war machine. These alcohols were either in the United States? They are: Alcohol, or specifically, methanol and eth­ ethanol, manufactured by the fermentation (a) Agricultural Crops; anol, when blended with gasoline, would of starchy agricultural commodities, or (b) Molasses (a by-product of sugar man­ substitute for up to 15 percent of the pres­ "wood sugars," produced by hydrolysis of ufacture); ently used motor fuel. The technology to cellulose, and from methanol manufactured {c) Cellulosic Materials, including waste employ blends of alcohols with gasoline is by the classical wood distillation. European from wood products, manufacture, under­ readily available and has been practiced countries turned to alcohol fuels to satisfy brush, dead · timber, etc., waste paper and abroad for many years. These so-called al­ at least some of their fuel demand and to cardboard; cohol fuels. first employed in European coun­ produce it from domestically available raw tries during the First World War, were after­ materials. (d) Agricultural Waste, such as corn ward used to replace scarce petroleum fuels, In the United States, the use of alcohol stalks; and still later, to partially replace expensive as a motor fuel is not new either. It has (e) Municipal and many Industrial imported fuels. These steps were taken not been employed in high performance racing Wastes. only to improve the domestic supply situ­ engines for many decades. As this program developed, many addi­ ation but to reduce the outflow of currency The auto manufacturer in the U.S., how- tional sources would be found and used. 36396 EXTENSIONS OF REMARKS N ove'Ynber 1, 19 77 AGRICULTURAL CROPS Energy Independence by converting them to either to delay implementation of the de la The Administration is now campaigning fuel-alcohol. Garza program or to implement the program to reduce crop production in order to re­ What about "Side Benefits?" The obvious in a manner not authorized by Congress. The duce surpluses. How about allowing a free ones are that: (1) We would utilize many Conference Report which ac:::ompanies the enlarged production, with the surpluses go­ of the so-called waste materials, converting 1977 farm bill clearly establishes the fact ing into alcohol manufacture? Naturally, an them into a useable and needed commodity; that the Conferees expe:::t the Administra­ effort must be made to determine the amount ( 2) There would be no need to curtail the tion to support the price of sugar either needed for human and farm animal con­ agricultural production; (3) In the case of through an import m:~.nagement program sumption and that for alcohol production. production of "non-consumable" cr.-:>ps used which utilizes import fees and duties, or, if Such an approach would make more sense for the manufacture of alcohol fuels, sky­ ne:::essary to maintain the market price of and be more productive than one establish­ rocketing construction costs for c·.J mplicated sugu at no less than 52.5 percent of parity, ing agricultural production quotas. This pro­ treatment and "ultimate disposal" facilities through the additional authority provided duction of agricultural commodities could would be eliminated; (4) We would develop under Section 22 of the Agriculture Act of 1933. be further increased by growing non-con­ a better forestry approach by harvesting and utilizing underbrush and dead timber; ( 5) The Conferees were well aware that man­ sumable agricultural crops on land now be­ dating an import management program to ing used for land application of municipal We would most probably obtain some income waste effluents and sludges. This approach from paper, cardboard, and other waste, once support the price of sugar would lead domes­ which is not new and has been proven: the proper collection and distribution sys­ tic sugar processors and users to immediately increase their imports of foreign sugar before (Muskegon, Michigan; Chicago, Illinnis, etc.) tems were developed; and (6) Recycling of is now being advocated by the Environmen­ the useable porti'an of municipal sclid waste the establishment of import fees or duties to raise the price of sugar to 13.5 cents per tal Protection Agency as one of the viable would reduce the cost of waste disposal and solutions for the treatment of municipal the ever-increasing need for disposal pounj. For this reason, the Conferees called . for th.e de la Garza amendment to be imple­ waste streams and sludges. Opponents of this facilities. approach claim that it might cause spread­ mented "as soon as possible-even before ing of communicable diseases and bring the Act is signed ·into law." The Conferees heavy metals and other materials present in SUGAR PRICE SUPPORT PROGRAM also noted that the Department of Agricul­ ture "has the authority under existing law to the waste stream into the food chain. But carry out the price support program required if crops-grown on land irrigated with sew­ age or where sewage sludge has been ap­ HON. RICHARD NOLAN by this amendment to the Agriculture Act of 1949." plied-were classified as non-consumable OF MINNESOTA Given the level of sugar stocks in the and used only for the production of fuel-al­ IN THE HOUSE OF REPRESENTATIVES cohol, this argument would be invalid. It United States on August 5, 1977 (the day the is more sensible to employ land application Tuesday, November 1, 1977 Conference Report was signed) , the Confer­ ees expected the Administration to "utilize and ensuring purification of sewage effluents Mr. NOLAN. Mr. Speaker, since and sewage sludge application to land for the existing authority of the law to implement production of non-consumable crops than it August 5, 1977, the Carter administra­ immejiately upon the bill becoming law an is to dump these materials into our rivers or tion has delayed implementation of the import fee, or duty, which-when added to seas, or to burn them. Such an approach congressional sugar price support pro­ the current import duty-will enable raw would not only be more productive but would gram. Recently, the administration has sugar to sell in the domestic market at not also reduce the amount of money now need­ indicated that it will carry o'..lt its legal less than the effective support price." In­ ed for wastewater treatment facilities and responsibility to implement the de la stead, the Administration failed to take any sewage sludge disposal. Monetary savings steps under existing authority, as the Con­ Garza sugar amendment. According to ferees expected, to assure the prompt and could go towards the capital investment assurances which administration officials needed for the alcohol production facilities. smooth implementation of the sugar price have made both to Sen a tor DoLE and to support program. MOLASSES me, "the administration is committed to The Conferees hoped that import fees or This commodity is often in surplus in full implementation of the so-called de la duties would be adequate to support the parts of the U.S. where sugar is being manu­ Garza program not later than Novem­ price of sugar at the effective support price. factured. The use of this commodity for al­ ber 8" of this year. But the Administration's failure to promptly c·ohol production is based on an established implement the de la Garza program author­ technology. As the following letter to President ized by Congress has allowed sugar imports CELLULOSIC WASTE MATERIALS Carter indicates, the administration has to rise rapidly, thus reducing the effective­ The timber industry, especially in the a constitutional obligation to fully im­ ness of fees or duties as a means to raise the western states, creates a large stockpile of plement the de la Garza sugar program. domestic market price of sugar to 52.5 per­ wood waste, for which there is little use at WASHINGTON, D.C., cent of parity. If import fees or duties are present. This wood could be converted by November 1, 1977. inajequate, the President is expected to uti­ hydrolysis into fermentable sugars, which Hon. JIMMY CARTER, lize existing authority under Section 22 to could then serve as raw materials f'Or al­ President, The White House, establish import quotas. In any case, the cohol production. The technology needed Washington, D.C. Food and Agriculture Act requires that the here is well established and is waiting to be DEAR MR. PRESIDENT: On October 19, 1977, price of sugar be supported only by an im­ used. The same technology applies to the the Administration promised Senator Dole port management program which "will en­ use of other waste wo·.Jds-underbrush, dead that the congressional sugar price support able raw sugar to sell in the domestic market timber, etc.-now entirely wasted and often program would be implemented by Novem­ at not less than the effective support price." hindering the development of forests. Proper ber 8, 1977. In addition, the enclosed letter The Administration has assured us that it and economical harvesting techniques must sent to me by an official in the Department will fully implement the de la Garza pro­ be developed, but I have no doubt that of Agriculture also states that "the Admin­ gram. But the Administration's record of un­ American ingenuity will be able t'o solve the istration is committed to full implementa­ kept assurances regarding the congressional problem. A proper collection system and sal­ tion of the so-called de la Garza pr·ogram not sugar price support program leads me to be­ vage from municipal waste must also be de­ later than November 8. " The letter goes on to lieve that Members of Congress cannot over­ veloped for waste paper and cardboard. Once state that, "With respect to the imposition state the fact that the President has a Con­ we do this, such paper wastes could also be of a tariff or quota to protect the new pro­ stitutional obligation to implement the de converted into "wood sugar," to be used as gram, that matter is under active considera­ la Garza program in the manner authorized raw material for alcohol production. tion and a decision is expected soon." by Congress. The Department of Agriculture has an­ Sincerely, AGRICULTURAL WASTE nounced its intention to comply with the RICHARD NOLAN, Could be also treated in the same way as sugar provisions of the 1977 farm bill by Member of Congress. the waste cellulosic materials. A collection establishing a sugar purchase and loan pro­ strategy and logistics require development. gram. USDA officials have also informed the WASHINGTON, D.C., October 27, 1977. MUNICIPAL AND MANY INDUSTRIAL WASTES White House that the sugar pur ch:~.se and Hon. RICHARD NOLAN, Gould serve also in many cases as raw ma­ loan program will not work unless the Presi­ House of Representatives, dent announces tariffs or quotas to reduce Washington, D.C. terial sources, and here, too, the obstacles the excessive flow of imported sugar. I re­ DEAR MR. NOLAN: Secretary Bergland has are th~ segregation of useable products, the spectfully submit that the Administration asked me to acknowledge receipt of, and collectwn strategy and logistics, and the de­ will have failed to fully implement the de la livery of useable materials to conversion thank you for, the copy of your recent tele­ plants. Garza program unless tariffs or quotas are gram to the President, signed by 28 other announcec.L Members, regarding implementation of the All in all, there are many existing raw As I have pointed out on several occasions sugar program contained in the 1977 farm materials which could, and definitely should, the Food and Agriculture Act of 1977 doe~ bill. We have delayed responding in the hope be utilized to assist in our effort to obtain not give the Administration the discretion that some of the issues could first be resolved. November 1, 1977 EXTENSIONS OF REMARKS 36397 As you are by now aware, the Administra­ 8 with non-industry spokespersons-said he cellent case in point is last week's action tion is committed to full implementation of rejected "the presumption that commission­ to increase social security taxes. I op­ the so-called de la Garza program not later ers are unduly influenced by an appointment than November 8. In the meantime the in­ or a meeting." posed the social security package be­ terim payments program has been imple­ His statement pointed out that most in­ cause I do not believe that the Ameri­ mented and should bridge the gap between dustry groups met with his agency to com­ can people can stand yet another tax the start of harvest and implementation of pete not with consumers' views but with increase on top oi our annual inflation the de la Garza program. another industry's viewpoints. rate. However, a majority of my col­ With respect to the imposition of a tariff The Common Cause reports release co­ leagues did not agree with me, so once or quota to protect the new program, that incides with lobbying efforts for passage of a again the average taxpayer is threat­ matter is under active consideration and a bill establishing an agency authorized to rep­ ened with more dollars flowing from his decision is expected soon. resent consumers in regulatory agency paycheck into the inefficient bureauc­ We appreciate your interest. actions. racy here in Washington. Sincerely, President Carter has endorsed establish­ ROBERT R. STANSBERRY, Jr., ment of a consumer prot ection agency, and A newspaper publi~her in my district, Acting Director, Pr ocurement and Sales bills providing for it have passed committees Mr. George Williams of the Daily News­ Division. in both houses of Congress. Bulletin in Brookfield, 1\'Io., very elo­ The report also advocated federal funding quently expressed the fears and disgust for "public intervenors," non-industry rep­ of many Americans in an editorial en­ OFFICE OF CONSUMER resentatives who would appear before agen­ titled "Gotcha Again." I would like to REPRESENTATION cies to promote consumer causes. Bills which share Mr. Williams' remarks with my would provide $10 million a year for that colleagues : purpose are deadlocked in congressional com­ HON. EDWARD W. PATTISON mittees, according to the report. GOTCHA AGAIN OF NEW YORK Although entitled "With Only One Ear," Next year your Social Security payment, that weekly chunk which comes out of your IN THE HOUSE OF REPRESENTATIVES the Common Cause report said it did not intend. to single out individual commission­ check, will go up again. Tuesday, November 1, 1977 ers for criticism of their heavy industry con­ Not only that, but so will the amount tacts, but rather to document a "trend" in your employer pays, for he matches the Mr. PATTISON of New York. Mr. amount taken from your salary each week. Speaker, the following article, from the representation before regulatory agencies. "We're not saying there's any wrongdoing In many cases today the amount paid to August 25, 1977, Washington Post, shows here," said Bruce Adams of Common Cause, Social Security is more than the amount the serious imbalance in the amount of "but this is a reflection of the nature of con­ withheld in taxes. And it can do nothing but contact that industry representatives sumer interest in regulatory agency matters. get worse. have with Federal agencies compared "In the consumer sector, a lot of people In fact, the amount, which is now 5 .85 to the amount of contact consumer are affected in a limited way by agency ac­ cents out of every dollar you earn fer you, groups have with these agencies. tions, as opposed to industry where a few are another 5.85 cents paid by your employer, affected a lot," he said. will go up a total of about .20 cents Jan. 15, There is nothing wrong with the ef­ to 6 .05 each-quite a whopping big amount forts of industry representatives to ex­ Six of the 39 commissioners who responded to the survey pointed out that few or no con­ to be paying so you can collect the miserly press their interests and concerns to amount now being paid by Social Security. sumer groups contact them for appoint­ It's also strange how the stories change agency people. These efforts should not ments, and that this, "rather than inhospita­ be curtailed. as the years go by. Originally-and I was ble attitudes" on the part of agencies, is the around when SS started-this was to be your What this article demonstrates, how­ reason for the lack of contact with con­ ever, is the need for consumers to have retirement pay, the total amount the average sumers. man and wife was to need for the later years. some counterpart to these industry The report also called for an executive groups, such as the proposed Office of order requiring commissioners and other fed­ But now it's only a "supplemental income", Consumer Representation. This would eral offichls t•1 keep comprehensive logs of and, according to the administration govern­ their contacts with individuals seeking to ing its payment, "was always meant to be help insure that the views and problems just part of what you needed for retirement." of consumers are fairly presented, and influence agency action. NUTS!! enable the agencies to make more in­ A draft copy of such a regulation has b'een released by the White House to various fed­ That wasn't the way it was sold to the formed and balanced decisions: eral agencies for comment. The President's American people-not at all. Nor was that UNITED STATES REGULATORS CONTACTS IN order would extend the logging requirement the story until just recently, when suddenly 1976 MOST OFTEN WITH INDUSTRY to cabinet and independent agency officials. the added, added, added benefits were more than the fund could pay. (By Susan W. Stewart) The Common Cause survey, which covered Federal regulatory commissioners met with 50 commissioners in 11 regulatory agencies, It is, of course, t oo late to change the fund's course. And undoubtedly C::mgre!:s will industry representatives 10 times as often comes on the heels of a July congressional take more and more from your payche::k each as with consumer spokespersons during 1976 study of formal agency proceedings. The con­ according to a Common Cause report released gressional study also found that public par­ year-and from your employer's business. yesterday. ticipation in regulatory agency proceedings And no matter what the dreamer in Wash­ Forty-six per cent of the commissioners' accounts for only one-tenth of outside par­ ington say, the added expense of doing busi­ ness will have to be passed along to the con­ me~tings with outsid·e groups were with in­ ticipation, with industry making 10 times as dustry representatives, while only 4 per cent many formal appearances. sumer, regardle!:s. For no matter what any­ were with spokespersons for consumer and one thinks, the business which doesn't make other non-industry groups, according to the an overall profit will not be around very report, which is based on a study of 39 com­ long-and when it reaches a point where it missioners appointment records. GOTCHA AGAIN ceases to do so, it will soon be only a memory. Forty-four per cent of the 39 commis­ GOOD EXAMPLE sioners who opened their appointment books HON. E. THOMAS COLEMAN Social Security is one of the best examples for Common Cluse recorded no consumer I can think of which demonst rates why I contacts during the year. OF MISSOURI oooo"e any new program from or by Wash­ The report said the findings raise "serious IN THE HOUSE OF REPRESENTATIVES ington. qu<>st.i"ns of :>g-encv bias." It called the pre­ Tuesday, November 1, 1977 Let the bureaucrats get a toe in the door ponderance of industry-agency contact "a and it isn't long until the full foot's there­ serious imbalance in the viewpoints pre­ Mr. COLEMAN. Mr. Speaker, I have then the leg. the hiD and so on. And usually sented to federal regulatory commissioners." repeatedly expre~sed the opinion of most the overall picture looks so bad in the end Common Cause is a political action organi­ of my Sixth District constituents in call­ that most people wish the thing had never zation that says it lobbies for citizens' in­ come up in the first place. terests. ing for a sharp decrease in Federal You can go up and down tbe line-unem­ Federal Communications Commif:si on spending and a tough stance in check­ ployment comoenc;ation, regulation of public member John H . Quello released a state­ ing Federal regulation of our daily lives. utilitie·S, withholding taxes. the Postal Serv­ m -'mt yesterday critici7i'll! what he called North Missourians are attuned with ice, the Occupational Safety and Health Ad­ "the over-simplistic conclusions" in the most Americans in demanding a stop to ministration (OSHA), workmen's compensa­ study. the continual gouging of their pocket­ tion: each and every one of these has grown Quello--who according to the study had books in the name of improved programs into a monster. and nearly every year sees an 61 contacts with industry representatives and or additional Federal benefits. An ex- increase in the scope and cost. 36398 EX.TENSIONS OF REMARKS November 1, 1977 Freedom is only an illusionary thing these sentiment in this Nation that can no pie-probably can be solved only by supple­ days. And even though I can criticize. if longer be evaded by empty platitudes mentary infusions of Treasury funds. Why some politicians and bureaucrats had their and rationalizations. should this be construed as coverting the way, I would be unable to do so. system into "welfare"? Washington-or at least part of it, includ­ The article follows: The House bill did leave the door slightly ing some of our elected officials-would like SOCIAL SECURITY FACING DILEMMA open to later use of general fund revenues nothing better than to stifle free talk, the (By Tom Wicker) by providing for automatic Treasury loans to unfettered printed word. NEw YoRK.-It seems not to have occurred the old age and disability trust funds if to many members of the House of Represent­ either fell below 25 percent of annual out­ atives that the Social Security system is not lays. Such loans would have to be repaid, SOCIAL SECURITY FINANCING an isolated entity, a thing set apart. It is however, by the familiar device of a tax-rate DILEMMA an integral and important part of the fed­ increase. eral budget and the tax structure and there­ Still another defect of tlle House bill is its fore has great impact upon the overall econ­ removal of the ceiling on amounts that re­ HON. JAMES A. BURKE omy. tired persons can earn without loss of S:::>ci<:~.l OF MASSACHUSETTS Yet the bill the House has just passed, Security benefits. The present ceiling may be too low,· but to remove it altogether would IN THE HOUSE OF REPRESENTATIVES aimed at keeping the Social Security trust funds solvent for the rest of this century, increase the outfiow of benefit payments Tuesday, November 1, 1977 could have critical inflationary impact, when taxes are having to be raised to increase worsen unemployment problems, dampen revenues. Mr. BURKE of Massachusetts. Mr. buying power and still not eliminate the Speaker, I would like to include in the gravest long-term threat to the ssytem's CONGRESSIONAL RECORD a timely and in­ integrity. GREENVILLE SHRINE HOSPITAL cisive commentary which was written by The House bill-which may yet be im­ CELEBRATES HALF CENTURY OF Mr. Thomas Wicker for the New York proved in the Senate and in conference be­ SERVICE TO CHILDREN Times News Service and was published tween the two houses-would raise both the in the Boston Herald American over the Social Security tax rate and the wage base weekend. on which the tax is levied, in succeeding HON. DON FUQUA Mr. Speaker, Mr. Wicker succinctly steps through 1987. By that year, employees OF FLORIDA and their employers would each pay a 7.1 per­ IN THE HOUSE OF REPRESENTATIVES points out the burden new social secur­ cent tax on the employee's first $42,600 in ity taxes will bring to bear on our work­ earnings-or $3,024.60 each. Even for, say, Tuesday, November 1, 1977 ers and our economy. I believe we all are a worker who made $15,000 in 1987, employer Mr. FUQUA. Mr. Speaker, this year beginning to see the ramifications of and employee each would pay $1,065, com­ these costly taxes. Mr. Wicker rightly pared with $877.50 this year. marks a half century of service for a most emphasizes the regressivity of the pay­ These increases would triple the amount remarkable institution, the Greenville roll tax. I would add to his comments of tax paid for the highest-salaried em­ Unit of the Shriners Hospitals for Crip­ a further telling observation-that pay­ ployees. On the employers' side they will pled Children in Greenville, S.C. surely be passed through to consumers in Nestled in this picturesque Piedmont roll tax as it increases will prove a double higher prices, thus as employer payroll taxes burden on the poorer employees. The mountain city is a brick structure which rise steadily over the next decade, so will has been a haven of hope for 17,500 crip­ payroll tax increases the cost of labor upward pressure on prices. without increasing its productivity and This may seem a small point, but it isn't, pled children since it was first opened any economist will tell us this is a prime employer payroll taxes were approaching $50 on September 1, 1927. disincentive for employing unskilled billion annually at the beginning of this It would be impossible to recount the workers. year, and the increases the House would contributions of the tens of thousands mandate could have great cumulative effect who have made what began as only an Mr. Speaker, I stand in this Chamber by 1987. And as the economist George L. again today with a proposal to ease these ambitious dream into a living, breathing Perry once observed in another context, "If center for the care of those who are often burdens-to reduce this regressive tax you don't think half a point (of inflation) and to encourage greater employment. is enough to bother with, you might as well referred to as the "least of these." Mr. Wicker perceives the wisdom of gen­ stop worrying about inflation." Yet, in a real sense, this hospital and eral Treasury funds for social security As the scene shifts to the Senate, more all of its sister institutions are more than financing and I hasten to note that he study ought to be given to President Carter's bricks and mortar. Anyone can build a cogently disabuses the notion that such proposal that the wage base on which em­ building, few can give that structure the a widely practiced technique turns the ployers pay taxes should be the entire amount degree of excellence and the unselfish of an employee's wages, while the base on love which has made this particular crip­ social security system into some .sort of which employees pay tax should rise only welfare program. I submit, Mr. Speaker, slightly, with tax rates for both not rising at pled childrens' hospital so special in the that we have more to fear from unem­ all. The administration argues that employ­ hearts and minds of those who know of ployment and welfare costs resulting ers would pay less tax that way than if the its accomplishments. from high social security taxes than we tax rate were increased on a smaller wage I have a very special interest in this should fear from using a tripartite gen­ base-possibly an important anti-inflation- particular hospital. eral revenue financing formula. ary point. · First and foremost, because it is the Mr. Speaker, I would be remiss if I The House also inr,isted on retaining the so­ haven of hope for those children in all of called "insurance principle," more properly Florida and particularly for those chil­ failed to remind my colleagues that the the "insurance myth." This is the idea that social security system benefits the Na­ Social Security benefits are earned by worker dren that my own temple, Morocco of tion as a whole. In this regard my pro­ contributions, and that to support the sys­ Jacksonville, Fla., seeks to help. posal to use general funds from the tem with general fund revenues would be to Second, the first patient admitted in Treasury for social security does more turn it into a "welfare" program. 1927 is a resident of my congressional dis­ than allow us to cut tax rates and there­ In fact, benefits usually far surpass con­ trict, J. T. Glisson of Evinston, Fla. by increase the lower paid worker's tributions. And to retain the insurance myth, And my administrative assistant, Herb spending power. It does more than cut the tax rate already has been raised to a level Wadsworth, was a patient over a period taxes for employers and thereby make that hits low-income persons hard-particu­ of 13 years from the time he was 27 larly since the tax is regressive, the affluent months old until after the age of 15. employment of workers productive and and the poor paying at the same rate. These profitable once again. It is in fact an ex­ ever-increasing payroll taxes not only drive These are only indicative of those I per­ plicit recognition of the great social up prices, they also reduce purchasing powe::­ sonally know who have received from the benefits all Americans enjoy from so­ and thus are twice a burden on the economy. ministering hand and heart of those who cial security. For if there were no social Why should not consideration be given to have made this institution a gleaming security, where would we find the funds reducing those burdens through supple­ jewel in the crown of achievement of the to provide old-age and disability pro­ mentary general fund revenues, perhaps at Shriners of North America. tection? It is a national burden simply first and what collections would have totaled Today, after half a century, we re­ at 6 percent unemployment. This would be beyond the capacities of State and local nothing more than restoring to Social Se­ member the late W. W. Burgiss, success­ governments. curity revenues what a slack economy had ful Greenville businessman, who gave the Mr. Speaker, I strongly recommend taken from them. funds to build this hospital to serve crip­ Mr. Wicker's commentary for the edi­ In the long run, the basic problem of the pled children. The Duke Endowment, fication of every Member and every citi­ Social Security system- the continuing and founded by the late James Buchanan zen who reads these proceedings. I be­ projected decline in the number of working Duke, provided the funds for the comple­ lieve Mr. Wicker is echoing a growing persons relative to the number of retired peo- tion of the structure, when the securities November 1, 1977 EXTENSIONS OF REMARKS 36399 given by Mr. Burgiss suffered financial to that position. When she retired in best when he said "I love her very much." reverses and additional moneys were 1963 she was succeeded by Miss Alma M. He was making a st·atement for many, needed. In both cases it is not the Uhrhammer who continues in the tradi­ many more who would like to express a amount, but the intent that is so note­ tion of excellence established by her humble note to a great and good lady. worthy. predecessors. Many a former patient's heart filled Yet these bricks and mortar are only a Ceremonies marking the golden anni­ with pride as they looked upon the front shell. What would life have been for versary of the hospital came September row of honored guests during that cere­ those 17,500 children if someone had not 11 of this year. Many were the men and mony Septembe-r 11. There was Miss cared. women across this land whose hearts Holmes, Miss Reba Morris, the first sec­ The guiding light of all these endeav­ were in Greenville that day because they ret·ary and later bookkeeper, Mrs. Mary ors was a man known to his children as know what the Shriners and those who Brown, the first schoolteacher, W. D. "Uncle Johnny." John M. Holmes was have served the hospital for half a cen­

two young daughters, Karen and La­ founded the gre::~.t commercial centers in the mail from the small businessmen of their verne. When the farm failed, they moved east and pushed the frontiers of the nation districts or met with small business groups to Walla Walla. Ray became a salesman west. He built an economy that has made more frequently. If these trends continue, f or pride at home and ·envy abroad. He pro­ they cannot help but make a differen:::e. for a oarn and poultry equipment com­ vided the individual inventions and technol­ In order to see exactly what the potential pany, and stayed for more than 35 years, ogical innovations that have determined the for progress is, it might be helpful to examine traveling constantly. His talent for writ­ very nature of modern society. In short, he two issues of interest to small businessmen: ing stood him in good stead, since he still has played a major role in shaping America. taxes and paperwork. According to a recent corresponds with the countless friends he Regretably, too many people today think survey of the Center for Small Business made during those years. about small business solely in terms of the (Chamber of Commerce) , these two issues While money was short during the De­ past. When we read about business in the are very much on the minds of America's pression and the family had to do with­ newspapers or S"ee it discussed on a television independent entre,;:> reneurs. show, the focus is all too often on the so­ Equitable tax treatment remains a princi­ out luxuries, Ray and Eunice saw to it called corporat e giants whose names have pal problem for small business. With many that their daughters received musical become household words. If small business large corporations paying less than 30% of training. The lessons were considered a comes up at all, it is usually referred to as their taxable income in taxes and some small necessity and not an indulgence to this a forerunner of some great enterprise. firms paying over 50 % , the tax code has a music-loving family. Today both daugh­ Somewhere along the line we have grown definite competitive advantage for big busi­ ters are accomplished professional musi­ used to ignoring a number of important ness. The complexity of the code favors those cians in high .repute. facts about business in America. There are who have the resources to hire special at­ At 65 , Ray retired and he and Eunice approximately 13 million small businessmen torneys, accountants and consultants. There at work today and they compromise a full are also strong indications that the code moved to Los Angeles. Although Ray 97 <;;, of the number of businesses in exist­ has become an incentive to corporate con­ continued to work for a while, the inter­ ence. Small business provid · ~S more than 55 <;, centration and a threat to small business. ests of both Ray and Eunice shifted to of all employment in the priv.:tte .sector, over In addition, there has not been enough prog­ politics, which has been their main focus 50 \,- of all new patents, about 48 7r of the ress in tax reform for small business. When for the last 20 years. Realizing his com­ total output of busir.ess and nearly 43 % of Congress considers business tax reform. it munity's needs and the necessity for per­ the gross national product. tenc:s to confine its efforts primarily to the sonal involvement, Ray became an active Behind these impressive statistics there coq:.orate sphere even though corporations are other facts not easily expressed in per­ make up only 14% of the business com­ member of the Hollywood American Civil centages. Small busines<; stimulates com­ Liberties Union and the Wilshire-Holly­ munity. petition in the marketplace, reduces infla­ Recent legislation shows that substantive wood Fair Housing Council, and in his tion and gives the public r·easonable prices, tax relief is a live possibility. During the spare time he continued to write prose higher quality, greater efficiency and a wider past three years Congress has increased the and poetry and to study creative writing choice of goods and services. It also en­ corporate surtax exemption, reduced the at UCLA. courages the developm·ent of new manage­ coq:.orate tax rate, raised the investment The Tuttles' primary interest, how­ ment techniques, promotes political decen­ tax credit, loosened restrictions in Subchap­ ever, became the Hollywood-Highlands tralization and performs spe~ial business ter S corporations, lowered the interest rate functions, such as short runs and custom on deferred estate tax, extended the pay­ Democratic Club. They helpeu to found designs, that cannot be carried out by large it, and each has held several offices. ment period for estate tax, increased the corporations. America would be a much autcmatic estate tax exemption and provided Eunice built the membership and wel­ differe·nt and much less desirable place to for two new employment tax credits. This comed visitors to the club meetings. Ray live in if the independent entrepreneur were is a good record in anyone's book, though took over, and still writes and edits the to disappear from our midst. there is much more to he done. club paper, the "Hollywood Cue." His Notwithstanding his central position in Small businessmen are awaiting President comments and trenchant writing style the econom y~ the small businessman has his Carter's tax proposals with a mixture of attract wide attention from other groups troubles. Besides the day-to-day worries of anticipation and misgiving. The President and individuals in the community. The buying and selling goods and services, he is will probably submit his legislation to Con­ involvement of Ray and Eunice with the heavily taxed, overregulated and wmetimes gress sometime after completion of action hard-presoed just to keep his doors open to on the energy bill, so the wait may not be cause of justice is total. customers. Soaring costs of operation, the It is difficult to evaluate the qualities long. Of course, small businessmen hope that product liability crisis, a lack of capital for major changes will be favorable and will of the Tuttles. It is not enough to call expansion or im~ro v ement and a host of not erode the gains already made. Eunice a perfect lady, Ray a perfect other problems keep him guessing. The situa­ gentleman and in the best sense of those tion of the new entrepreneur is espe::ially At this writing, the proposals are expected critical : about 30% of all new busine::s.es to contain $5 billion to $7 billion in tax cuts terms, also a perfect couple-which they for bu~iness . The cuts may be achieved are; or to call them generous and self­ fail within a year and about 50 % collapse after two years. Were this not enough, there through a further reduction in the corporate less and giving-which they are. One would be the element of unfairness. Big busi­ tax rate, partial relief from the "double tax­ would just have to feel fortunate for ness and big labor seem to get what they ation" of corporate dividends and a further having the privilege of knowing them, of want from Washington, but who speaks for increase in the investment tax credit. Spe­ feeling their love and of offering ours in the small businessman? The very government cial benefits might be provided to small busi­ return. I ask the Members to join me agency intended to help him, the Small Busi­ ness in the form of simpler depreciation ness Administration, sometimes seems to escape from the tax en accumulated earn­ in honoring these two exceptional hu­ ings and easier rules under which small man beings, Eunice and Ray Tuttle. have turned a deaf ear. Its advocacy powers have not been used and its programs are not corporations could be taxed as partnerships. far-reaching. It is not possible to predict how Congress will react to such proposals, but I am hope­ SMALL BUSINESSMAN IN AMERI­ Although many small businessmen are ful that Congress and the President will give CAN LIFE-AN ESSAY BY CON­ pessimistic about the future, there are rea­ special consideration to tax changes that will GRESSMAN LEE HAMILTON OF sons for o,;:>timism. During the past year there help small business. have been subtle changes in Washington INDIANA which may herald a period of improved rela­ Small businessmen agree that government tions between government and small busi­ paperwork has gotten out of hand. Business tax forms seem to grow more complex by HON. LEE H. HAMILTON ness. For example, the Hou.~e of Representa­ tives recently defeated common situs picket­ the year. Unbelievable reporting require­ OF INDIANA ing and cargo preference initiatives and ments make employee 1et1rement plans al­ most impossible to administer. The entre­ IN THE HOUSE OF REPRESENTATIVES passed a bill to revitalize the Small Busine~s Administration. A healthy concern for small preneur who applies for a modest loan guar­ Tuesday, November 1, 1977 antee is buried in an avalanche· of paper. business has been apparent in the re~ent c.c­ Mr. HAMILTON. Mr. Speaker, I pre­ tions of such diverse executiv·e agencies as Many small businessmen have concluded the Office of Management and Budget, the that the sole purpose of the g-overnment pared an essay on the small businessman is to harass them with its unnecessary, for The Indiana Bildor, a oublication of Internal Revenue Service and the Depart­ ment of Labor, all of which are moving to frivolous and duplicative paperwork. the Home Builders Association of Indi­ reduce government paperwork. Also, lobby­ A recent reuort showed that businesses ana, Inc. The essay is inserted in the ists for trade associations representing small spend from $2S billion to $32 billion per year CONGRESSIONAL RECORD for the benefit business are becoming mor·e active and are filling out government forms. Small business and use of my colleagues at this point: effectively putting forward the vi·ews of their shoulders about 75 % of the cost. Experts be­ The small businessman has played a vi tal constituents on a wide variety of issues. lieve that the wasted portion of this paper­ role in American life. Any good textbook of Finally, small businessmen them.selves are work "price tag" could provide permanent economic history will set out his contribu­ being heard. Many Members of Congress re­ employment in the priva.te sector for as many tions in detail. The small businessman mark that they have never received so much as one million jobless Americans. November 1, 1977 EXTENSIONS OF REMARKS 36401 Although a rapid decrease in the amount while precluding the United States from Take, for example, the issue of heavy mis­ of paperwork cannot be reasonably expected, testing and deploying the new MX ad­ siles. The Soviets have 308 heavy missiles, public officials are becoming increa!:tingly vanced ICBM that could restore the bal­ each ab ~ ut seven times the payload of a sensitive to the problem. The sensitivity is ance. Minuteman. The U.S. has no such huge mis­ due in no small part to the work of the Com­ siles, and,under the treaty would be pro­ mission on Federal Paperwork, a temporary, The rapid deterioration in the Car­ hibited from building any. Since it's difficult bi-partisan group whose purpose was to help ter-Vance-Warnke negotiating posture to see the utility of such weapons for any bring the problem under control. By the time from the March 1977 SALT proposal is purpose except a first strike against the it went out of existence on October 3 of this shocking. In return for scrapping the other side's missiles, the Carter administra­ year, the Commission had made 770 "anti­ concessions asked of the Soviets in tion set out in March to get some limit on paperwork" recommendations to Congress, the March proposal, the U.S. negotiators this threat in return for concessions on the the President and various executive agencies. are giving larger concessions of their cruise missile. The disposition of the recommendations- In March the U.S. asked for a limit of 150 330 adopted at a first-year savings of more own. These new American concessions, Soviet heavy missiles, asking them to tear than $3.5 billion), 418 still under active con­ although some are subtle, have enormous down half the force. By May, the U.S. was sideration and 22 rejected-holds a promise implications for the future security of willing to allow them to keep the whole force, of relief to small businessmen. One of the the United States. I strongly suspe~t. Mr. provided only 190 heavy missiles carried mul­ most important achievements of the Com­ Speaker, that the weaker U.S. position tiple warheads (MIRV). Since this is about mission deserves to be highlighted: Commis­ and the stiffer Soviet position in these the current number of heavy missiles with sion-backed legislation, now Public Law 94- negotiations results in large part from MIRV, the U.S. in essence asked for a freeze 202, will allow employers to report wages an­ President Carter's decision to cancel pro­ on heavy missiles. When the Soviets rejected nually rather than quarterly beginning next the 190 number, the U.S. tried a heavy MIRV year. The dollar savings from this recom­ duction of the B-1 strategic bomber. As limit of 220. With that rejected, it tried mendation alone will be immense. I have emphasized many times in the 250. Finally, when Mr. Gromyko arrived in The Commission on Federal Paperwork past, the B-1 bomber offered the only town, the U.S. dropped the whole idea. was a temporary group, but the effort to over­ chance to redress or control Soviet su­ Similarly, in March the U.S. insisted on come paperwork and pointless harassment periority until the MX ICBM was de­ specific treaty provisions on how the So­ of business must continue. Many members ployed. But, now it appears that the viets could u ~ e their Backfire bomber, which of the House of Representatives, myself in­ Carter administration will negotiate they insist is not an intercontinental weap­ cludej, have made the effort a central part on though it can fly from the Soviet Union of our legislative programs this year. So far away the MX; and future negotiations over the U.S. to Cuba without refueling. By hundreds of bills to reduce government pa­ with the Soviets will become even more ~eptember the U.S. agreed to keep Backfire perwork and regulation have been intro­ difficult with the Soviets taking even out of the treaty if the Soviet would make duced, and some of the measures are faring stronger, nore uncompromising positions a se)arate promise not to increas:e its pro­ quite well. For example, amendments to a as they obtain more and more strategic duction rate, even though they refu£e to say 1978 appropriations bill exempt farms em­ leverage. what the current production rate is. ploying ten or fewer workers from Occupa­ The situation was described fairly well To buy the limits on heavy missiles and tional Safety and Health Act (OSHA) regula­ Backfire sought last March, the U.S. offered in a recent editorial in the Wall Street a cruise-missile concession limiting the range tions and forbid 0.3HA officials to issue cita­ Journal entitled "Inviting a Crisis." The tions during the first inspection of a work­ of air, land and ground-based cruise missiles place unless ten or more violations are found editorial follows: to 2,500 kilometers. Bombers carrying cruise in the workplace. Other legislation addresses INVITING A CRISIS missiles would not have been counted against the nagging problems of the Employee Re­ Even as President Carter tries to reassure the agreed number of MIRV missiles. In the tirement Income Security Act (ERISA). The the nation he has no new initiatives up his ~e;ltember agreements, if the U.S. builds bill would rejuce needless expenses, duplica­ sleeve, he is stumbling into a battle likely more than about 120 s:uch bombers it must tion and delay by placing a single executive to dwarf energy, Panama and the rest of his tear C:::>wn Minuteman or submarine MIRV agency in charge of the administration of current troubles. Indeed, the emerging stra­ missiles. And land-based and sea-based ERISA. Action on this bill may take place tegic arms agreement is likely to provoke the cruise missiles would be limited to a prac­ early in the next session of Congress. sharpest treaty battle since the epic bitter­ tically useless range of 800 kilometers. In The work of the small businessman is hard, ness over the League of Nations. return for scrapping the conces:sions asked but his personal rewards and the value of cf the Soviets, the Americans are giving While the Soviets are trying to squeeze out larger concessions of their own. his contribution to society are great. He has a few m ::: re drops of blood in the current his troubles, but he can overcome them. Per­ talks at Geneva, the conces~ions they won The March proposals were in themselves haps more than ever before, now is the time in the Carter-Gromyko bargaining a month open to serious question, so the September for the small businessman to seize the ini tia­ ago already insure major opposition in the agreements are drawing serious opposition tive and to make his voice heard. Sympa­ Senate. The concessions go far beyond any­ as they are explained to the Senate. But put­ thetic ears will take note of what he says. thing the Russians would have dreamed of ting aside the effect on the strategic posture winning from former Secretary of State Kis­ in 1985, the collapse of the American nego­ singer. The draft provisions are open to a tiating position raises dangers in 1977. The whole series of objections, any one of them lack of resolution Mr. Carter displayed to the serious enough to call for a treaty's defeat. Soviets between March and September in­ INVITING A CRISIS vites them to try pushing him around Crucial limitations would be utterly im­ throughout the world. possible to verify, for instance, allowing the HON. STEVEN D. SYMMS Soviets to cheat with impunity. The terms OF IDAHO already agreed to would limit the American cruise missile so sharply the promising IN THE H07 JSE OF REPRESENTATIVES weapon might not even be worth developing. "RIP-OFF": THE FOURTH "R" Tuesday, November 1, 1977 The treaty would undercut the administra­ tion's commendable efforts to revitalize the Mr. SYMMS. Mr. Speaker, the Carter NATO alliance, in-otead insuring the further HON. ROBERT K. DORNAN administration is stumbling into a bat­ demoralizati:; n of our E1•ropean allies. It OF CALIFORNIA tle-perhaps more correctly called a would guarantee the Soviets an advantage in IN THE HOUSE OF REPRESENTATIVES crisis-that is likely to dwarf the Pan­ mi1:sile throw weight on the order of 10-1, ama Canal or the energy controversies. posing a severe threat to the American Min­ Tuesday, November 1, 1977 What I am talking about, Mr. Speaker, uteman missile while precluding substitutes Mr. DORNAN. Mr. Speaker, over the is the emergmg SALT agreement with such as the proposed MX missile. E ach of last 2 decades we have tried many ex­ the Soviet Union. President Carter and these points deserves extended discussion. periments to improve education: edu­ The most immediately worrisome aspect of his negotiators, Paul Warnke, Adam the new agreement. thoue"h. is the message cation for minority children, busing, Yarmolinsky and Cyrus Vance, are about it conveys to the Soviets about Mr. Carter learning center, television teaching. You to initial an agreement that will insti­ and his adminic;tration. Last March the ad­ name it. We have tried it. We have tried tutionalize a heavy margin of Soviet ministration offered what it regarded as everything, that is, except returning strategic nuclear superiority over the sensible arms control meac::ures. The Soviets control of education to parents. United States and prohibit the United rejected these proposals out of hand. The It is hard to imagine any more frus­ States from doing anything that could administration's response was to go fimping trated, disappointed, ripped-off con­ redress the imbalance. For example, the back again and again with new and suc­ cessively weaker proposals. On the mo<>t im­ sumers than the parents who, having new agreement will guarantee the So­ portant i!'sues on the table, the Soviets paid for public education, find it has viet Union an advantage in missile stonewalled for six months while the Amer­ not taught their children to read, has throwweight on the order of 10 to 1, icans caved. not even kept them physically safe in 36402 EXTENSIONS OF REMARKS November 1, 1977 the schoolyard, and has not prepared add, subtract, multiply or divide. Scholastic the questions ' "Who is redesigning edu·ca­ them to get a job when they graduate. Aptitude Tests will continue their drastic tion and :Vhy?", "To what are we changing decline in scores. All the disastrous educa­ the ~7hav10r of the school child and why?," Students by the millions are being tional innovatives of the 60s, found to be and What methods will be used to bring ·pushed through the public schools with- failures in the early 70s will still be very about this change?" out acquiring the essentials of learning. much in existence. Textbook publishers, re­ BEHAVIORISM AND HUMANISM There once was a time, as W. E. B. Du­ sponding to a changing market in college There are two trends or movements pro­ Bois so vividly portrayed in "The Souls texts, will continue to use simplified lan­ ducing the major portion of public educa­ of Black Folk," when the emancipated guage in their books because large numbers tion today; one comes from the School of workers of the South would gather at of college students simply cannot read the Behavioral Psychology, and is referred to as night around the hearthfire to study, Engli"h language well enough to understand Behaviorism. The other finds its base in the word by word, the pages of their Bible, textboolible for this redesigning of behavior to a specific stimulus is changed or If statistics remain the same-and according education in order to implement this change? altered or modified through the conditioning to t~e series of educational reports recently The answers to these questions can be found process. In other words, a Behavior Modifi­ publlshed by the Los .Angeles Times-there by researching educational programs, text­ cation takes place. is no reason to expect much differentiation: books, teachers' manuals, materials used in Some 35 percent of those who have com­ teacher in-service training workshops, and BEHAVIOR MODIFICATION pleted five years of school will be func­ the NEA Journals and Task Force Reports. Thus, from the School of Behavioral Psy­ tionally illiterate. Children will not able to These sources provide a clear-cut answer to chology, we find the formula or method November 1, 1977 EXTENSIONS OF REMARKS 36403 which forms the basis for Behavior Modifica­ Force Psychology formed the basis for the elitist attitude believe that, 1f they can just tion, which is promoted in thousands of National Training Laboratories; J. L. Mo­ take children from their parents by the age classrooms across this country. When we reno, who developed Psychodrama and socio­ of two, it will be much easier to condition talk about modifying or altering or changing grams (and who states that through Role and develop children with the "right" set of behavior, we must ask, changing behavior to Pbying and Psychodrama we can rid our­ attitudes and values. This philosophy is the what and why? One needs only to read the selves of the God-syndrome}; Dr. Carl basis for the tremendous amount of child writings, philosophies, and ideologies of the Rogers of the Western Behavioral Sciences advocacy legislation being written to pro­ Behaviorists to find this answer. From the Institute, well-known for its many forms of mote federal day care centers, state-run time of J. B. Watson, to Pavlov and Bekterev, sensitivity training; Dr. Lester Kirkendall nursery schools, Senator Mondale's Child and the Russian Behaviorists, up to the present and Dr. M3.ry Calderone, Directors of SIE­ Family Services Act of 1975, and the proposal time with Benjamin Bloom, who helped de­ CUS, well-known for many objectionable sex by the NEA and the Ameri::an Federation of sign the Elementary and Secondary Act of education programs; B. F. Skinner, father Teachers that all children begin school by the 1965 (known as ESEA Title Funding), Dr. of modern Behaviorism, who is also on the age of three. Jerome Bruner, who wrote the controversial Board of Directors of the American Human­ In the meantime, the Humanists and Be­ MACOS program, and Dr. B. F. Skinner, au­ ist .Association and was named Humanist haviorists continue to design programs that thor of Walden II and Beyond Freedom and of the Year; Dr. Sidney Simon of the Center begin in Kindergarten. The combination of Dignity, we find in the School of Behavioral for Humanistic Education, author and these two schools of thought have made it Psychology an elitist attitude that they must promoter of Values Clarification Programs clear that the chief concern of the schools not be content with merely understanding in the schools; Dr. William Glasser, whose should not be to teach the child knowledge the human animal and predicting and con­ so-called "educational philosophy" was rap­ and skills, but to work on his psyche so that trolling him through conditioning, but the idly placed in many classrooms under the he will fit into the specific mold they have Behaviorist must also alter and "improve" title "Schools Without Failure" and "Real­ designed. These educationists endeavor to in­ man. This knowledge of conditioning must ity Therapy"; and Dr. Robert Carkhuff, who fluence the child's feelings and emotions, at­ be used to manage the human race. The has been making the rounds with teacher­ titudes and values, rather than teach him Behaviorist is mldl on thle theory tha,t, IF he training se:::sions and his human and educa­ factual knowledge. tional development series. has the power to condition all human ani­ Is it any wonder that more and more par­ mals, then he will have the ultimate power Because of their own alien ideology, the ents and dedicated teachers are expressing to control mankind and design a future Humanists are designing education today alarm at what is going on in the name of edu­ Utopian society. from the basic premise that children, by the cation? Against this background of present What will this future Utopian society be time they enter school, have been indoctri­ day educational philosophy, let's take a quick like? Who is utilizing the techniques of nated by their parents and their church with look at specific programs, methods, and tech­ Behavioral Psychology, such as conditioning, certain beliefs, attitudes, standards and niques found in the classrooms. to dec;ign and produce a future Utopia? values (so-called middle class values) such as Most important, is it a society which we as belief in God, belief in moral standards of One of the most popular methods being freedom-loving, God-fearing Americans de­ right and wrong, patriotism, individualism, utilized is called "open-ended discussions" sire as a replacement for our present society, competition, achievement--and that these and "problem-solving group discussions." imoerfect though it may be? beliefs and values have no place in a future Discussions must be about "relevant" issues The second movement making a tremen­ one-world Utopian society. The Humanistic such as racial equality, poverty, free speech, dous im~act on education today, the Amer­ educationists have designed what they refer sexual freedom, academic freedom, war, ecol­ ican Humanist Association, is a relatively to as "psychological education" to develop ogy, women's lib, homosexual liberation small organization. Those referred to as the whole child "emotionally, socially, and death, abortion, the occult, witchcraft, sui~ Third Force Psychologists and Secular Hu­ psychologically." In order to accomplish this, cide, the pill, drugs, family planning, friend­ manists actually make up a very small por­ they have "borrowed'' from the Behaviorists ship, love, and taxes. These moral, emotional, tion of our country's vast population. But the psychological techniques which produce or social issues either replace or are added when you delve into the backgrounds and conditioning. into discussions on basic academic subjects. philosophies of the nationally known spokes­ Thus, we find this psycho-social philosophy TOTAL ATTITUDINAL CHANGE men for education today, those who are as the basis for the Hawaii Master Plan for The Behavior Modification that takes writing educational books and journals, Education (which has been reproduced as a place is called Total Attitudinal Change, a speaking at teachers' conferences, designing blueprint for use across this country), which specified goal of the Behaviorists and Hu­ behavior modification programs, and hold­ states that all classrooms must now be con­ manists. During these discussions, the ing the le3.ding in-service training work­ sidered "mental health clinics," all teachers teacher must adopt the role of psychosocial shops across this country, we find that the must be looked upon as "Mental Healt.h therapist, in which he or she must remain secular Humanists are doing an impressive Clinicians," and an students must be re­ non-directive, and non-judgmental (in other job of directing public education. garded as "patients." Then, through the use words, there is no right or wrong). Without THE RELIGION OF HUMANISM of psychological techniques which produce any absolutes (there are none), without any Humanism is a religion, and has been so behavior modification, the students will be basic truths (there are none), without any declared even by the U.S. Supreme Court. It conditioned to an acceptance of the religion guicJ.oance or direction from the non-judg­ is a way of life, a philosophy, an all-encom­ of Humanism, which is basic to a one-world mental teacher, the group of students passing ideology. The Humanist Manifesto government. "solves" all of these relevant issues. They states that there is no God, every man is his This same philosophy is the basis for the bring uninformed opinions into discussion, own creator, there is no right or wrong, Michigan State University project sponsored keep exchanging them, finally come up with ethics are situational, there are no absolutes, by the U.S. Department of Health, Education, an uniformed answer based on nothing ab­ there must be no feeling of individuality, and Welfare called BSTEP-Behavioral solute, and feel that they have solved the the individual must be trained to think of Science Teacher Education Program. ESTEP relevant issue. The immensity of this modi­ himself as part of a group willing to be is the specific program designed to produce fication in attitudes can be realized when manipulated for the good of society rather elementary teachers who will use phycho­ you recognize the fact that these open-ended than for individual gain or achievement. logical techniques to condition the minds of discussions are utilized in sex education, Under humanism there must be no patriot­ their students, after they themselves have drug education, family life series, human ism, 110 feeling of nationalism developed, been conditioned on the college campus. development programs, dimensions in per­ because all society must eventually be con­ SCHOOLS TURNED INTO CLINICS sonality courses, values clarification pro­ ditioned to accept living in a global collec­ grams, health programs, social studies series, tivist economy under a one-world govern­ Then too, the NEA followed with its report, and many English courses and reading series. ment. "Education for the 70's,'' which said, "Schools Beginning in Kindergarten and continuing will become clinics whose purpose is to pro­ The :first American to use public educa­ through high school, these programs con­ tion to promote Humanism was John Dewey, vide individualized, psycho-social treatment tinuously "modify" the children in their at­ who also served as President of the American for the student, and teachers must become titudes, standards, values, and beliefs. They Humanist Association. Horace Mann, one of psycho-social therapists." "This will include alienate them from basing any opinions or the founders of public education, stated: biochemical and psychological mediation of decisions on Christian-Judea morals and "What the Church has been for medieval learning, as drugs are introduced experi­ values taught by the home and church. mentally to improve in the learner such man, the public school must become for Through these specific programs which democratic and rational man. God would be qualities as personality, concentration, and memory. Children are to become the objects produce Total Attitudinal Change, the Hu­ replaced by the concept of the public goOd." manist philosophy of Situation'll Ethics is Beginning in the early 1930's, John Dewey of experimentation." This has already come and his many disciples of progressive educa­ about with (1) the thousands of children promoted to the extent that young children tion have continually promoted and in­ who have been given Ritalin and other tran­ become conditioned to thinking only in creased the impact of Humanism on public quilizers to improve their classroom behavior, terms of "the situation" rather than the education. These include Dr. George Counts, (2) the endless listings and categorizing of Ten Commandments. The only true author­ who initiated Social Studies in the curricu­ "learning disabilities," and teachers across ity presented in the conclusion of open­ lum (instead of the individual subjects of the country who have already adopted the ended dlscus<>ions in the cla!Osroom is, "What geography, civics, economics, and political role of psycho-social therapists. do you, the child, think?" Or, "What does science); Dr. Abraham Maslow, whose Third The Humanists and Behaviorists with their the peer group decide?" There are no right 36404 EXTENSIONS OF REMARKS November 1, 1977 and wrong answers, there are no basic any pre-existing notions that there is some­ CONYER'S STATEMENT DESERVES truths, and there are no absolutes. thing mar velous and superior about our ATTENTION The ideas are introduced, through stories, United States); programs such as MACOS group discussions, social studies, visual aids, and Exploring Human Nature (designed and reading materials, that Mo-thers and with our tax dollars through the National HON. PAUL SIMON Fathers are old- ~ a shioned, Mothers and Science Foundation); and a new one im­ OF ILLINOIS Fathers have strange ideas or hangups about plemented in 24 states this year with our different things, the morals that Mom and tax dollars: Meeting Modern Problems and IN THE HOUSE OF REPRESENTATIVES Dad and the church preach are not really A New Model Me. Tuesday, November 1, 1977 relevant to today's society, everything is ABOVE ALL, BE "RELEVANT" moving so quickly today that older people Mr. SIMON. Mr. Speaker, one of our Our teenagers can't discuss philosophy or most eloquent Members, whose voice has just can't keep up with the changing times, the classics, or the history of our country, and, besides, look at the mess the world is beeri raised for the cause of justice in our in tojay, and, after all, who got t..s into all but they know everything there is to know about Eex, drugs, the problems of America, society, is our colleague from Michigan, these problems! The older folks obviously pollution, abortion, ecology, population Representative JOHN CONYERS. A few don't know very much, but you young chil­ control, and the paperback books that have weeks ago, he testified before the Budget dren are brighter than any others! In order made four-letter words common in the class­ to accomplish things in today's society, you Committee, and I am inserting his pre­ must be relevant and base your thoughts rooms. pared remarks into the RECORD. He says and actions on the "situation,"-not an old Literature which promotes the beauty of a few things that should be of concern to and out-moded Christian values and morals, the English language, teaches our heritage, all of us. Among other things, he says: uplifts the mind, and has its basis in moral­ that certainly haven't solved the problems ity, is no longer considered "Relevant" by The most serious shortcomings of the of the past and hold no hope for the future. the educationists·. If children are never given budget process has been the neglect of its "MODIFYING YOUR CHILD" good classical literature to read-only porno­ priority-setting purpose. The Congress con­ How long do you think it wlll take for this graphic garbage; if they are never given a tinues to deal with budget choices largely ac­ type of education to "modify" the young chance to hear and learn about good music­ cording to the old yardstick of incremental­ child's previously held values and beliefs, only hard rock; if they never have an op­ ism, working at the margin of existing pro­ particularly if the parents are unaware of portunity to view good art-only mod grams and making monetary adjustments to what is happening in the classroom? splashes on canvas; if they are never shown the budget base. There are many other techniques being the beauty of this country-only its prob­ In a sense, our colleague is wrong in used to change and modify the child, such lems; if the beauty of love and sex in mar­ that no matter what changes are made, as: Psychodrama, Role Playing, Role Re­ riage is never stressed-only descriptions of versal, Soliloquy, Group Dynamics, Encoun­ lust, rape, and deviate sexual activity; they there will be a certain amount of incre­ ter Group Sessions, Sensitivity Training will be conditioned only for the society of the mentalism. But, fundamentally, he is Sessions, "All About Me" Diaries, Daily Jour­ Humanists and the Behaviorists. right, and my feeling is that we can only nals, reality therapy, magic circles, self­ As Bishop Fulton Sheen said, "A person deal effectively with something more actualizing sessions, and values clarification who has no contact with real precious stones, than incrementalism if we project a programs. These techniques are incorporated has no criteria by which to judge synthetic budget for a number of years at a time, into many different courses and at all dif­ stones." If everyone sets his own watch to and a figure of 5 years that has been rec­ ferent grade levels. All these techniques suit his relevant "situation", will there ever were designed and utilized originally by be a corre:::t time? ommended from time to time strikes me licensed psychiatrists treating emotionally After reviewing many of today's textbooks, as a sensible one. disturbed patients in the controlled situa­ one can't help but ponder this thought: Representative CONYERS says that we tion of mental clinics and hospitals. Now w~ Would we as parents knowingly hire a baby­ must raise the fundamental questions find them being used in classrooms by teach­ sitter to come into our home and system­ which relate to values when we determine ers, playing the role of amateur psycholo­ atically teach our children the exact opposite how we spend the money: "What are the gists, on normal, healthy, well-adjusted of what we believe? Would we permit that basic ends of Federal activity? What are American children who have never been babysitter to spoon-feed garbage to our the most pressing social needs and the diagnosed as in need of psychological help. child? Of course not. Concerned parents in different sections of Yet-in the name of education-we, as conditions which interfere most with the this country, while raising their voices parents, are indeed paying taxes to school achievement of society's enduring pur­ against some of the more notorious porno­ systems that hire teachers and purchase edu­ poses?" graphic materials found in the schools, have caticnal programs that fill our children's A little later, he adds these significant not, unfortunately, voiced protests against minds with garbage and utilize psychologicJ.l · words: ". . . we live in a society of vastly the utilization of psychological techniques techniques to condition our children to an unequal opportunities and access to re­ being used on their children. Yet these anti-Christian Judea philosophy and religion. sources, and, therefore, it is imperative techniques can cause irreparable emotional Loud cries are constantly heard about our that the Federal Government chooses damage when used by amateurs and can con­ country's monop::Jlies-the monopolies of dition our children to an anti-Christian­ utilit ies, oil companies, and big business. among limited resources and contending Judea philosophy and religion. These monopolies are nothing compared to claims in order to give priority to those the ever-growing monopoly on the mo3t pre­ activities which are most important and Other specific psycho-so~ial educational programs have been sold to school adminis­ cious c: mmo::lity that this country has-the of most lasting value." trators, parents, and taxpayers as "answers minds of our children. This monopoly is pro­ He summarizes his criticism with this to the problems we face in society," "cures duced, promoted. and perpetuated by the sentence: "What we call priorities are, at for social ills," "helping the child seek his elitist Behaviorist and Humanist education­ best, priorities of the past, that reflect self-identity" and "preventing future delin­ ists. When the Supreme Court took God out of conditions 20 or 30 years ago and choices quents and mental patients." These pro­ made 20 or 30 years ago, ... that are grams are called "Open Classrooms" (an the classro ::J m, the elitist educationists re­ educational philosophy, not an architectural placed Him with the religion of Humanism. carried forward in each subsequent design), I.G.E. (individually guided educa­ We, the people of America, are the only ones budget by way of incrementalism and tion, which sounds great, but in too many who can protect our children from futuristic tinkering." instances there is very little guidance for manipulation by theEe elitists. I hope my colleagues will take the time academic subjects). "Schools Without But we must begin now-we can't wait for to read his testimony. It is not testimony Failure" (so far there hac;n't been any suc­ the next generation t::J take action. By then that will receive anywhere near the kind cess) . Education in Human Sexuality, Drug they will have been "educated" to conform of attention his recen'; brief confronta­ Education, Focus on Sell-Development, So­ to the new definition of education, and edu­ cial Sciences, Concepts & Values; the Ginn cated to hold allegian:::e only to man and to tion with President Carter received, but, 360 and 720 Reading Series; Supplementary a one-world government. They will never even if his remarks to the Budget Committee Readers such as Arrow, Tab, Scope, Read, know that they were mi~led . They may never are taken seriously, they can have infi­ Scholastic Scooe, Junior Scholastic, Career know Ameri:::a the Beautiful. Above all, they nitely greater impact on the processes of Education (don't mistake it for a new voca­ might never know God. Congress and on the priorities of the tional program: its true purpose appears to ·(NOTE.-Jo-Ann Abrigg is the president of Nation. be a behavioral design to program a child the Committee for Positive Education. She The testimony follows: from "womb to tomb"); the NEA programs has her B.A. in Psychology from De Pauw for our Bicentennial year (Declaration for University and is the mother of four children. TESTIMONY OF REPRESENTATIVE JOHN Interdependence to make all American chil­ This was a S!)eech gi"en at the annual con­ CoNYERS dren interdependent on a one-world global ference of the Eagle Forum, St. Louis, Octo­ Mr. Chairman and Members of the Budget society, and to wipe away from their minds ber 10, 1976.) Committee, I appreciate this opportunity to November 1, 1977 EXTENSIONS OF REMARKS 36405 express some thoughts about the Congres­ legislative activities, the budget process will Either we say to ourselves that reducing un­ sional budget pro::ess after it;; first two full add momentum to efforts at tax reform and employment is so overriding a goal that it years of operation. Though I have not always can have an impact on making federal spend­ justifies focusing our activities and policies voted for budget resolutions, I believe the ing overall more genuinely redi;;tributive. I on the fastest and most efficient way to budget process h'olds tremendous paten tial was disappointed in this connection when achieve that goal, or else we admit our un­ in enabling Congress to shape its own budget the Senate Committee considering sunset willingness to make unemployment our lead­ priorities in the context of national goals legislation excluded tax expenditures. ing priority or implement it forcefully. I and needs and to raise public awareness of The most serious shortcoming of the submit there is a vast difference between the decisive role the budget performs in the budget proces3 has been the neglect of its committing ourselves to budgetary action activity of government and in economic life. priority-setting purpo!c. The Congress con­ around the top priority of significantly re­ The Congressional Budget and Impound­ tinue;; to deal with budget choices largely ducing unemployment, on the one hand, and ment Act of 1974 has five major goals: 1) according to the old yardstick of increment­ improvising action around a concern to re­ to foster Congressional fiscal discipline and alism, working at the margin of existing pro­ duce unemployment. on the other. budget control; 2) to increase the effective­ 'grams and making monetary adjustments to Let me illustrate this point in the context ness of federal programs; 3) to promote the budget base. We have not done nearly of the prwrity of full employment. If it were equitableness and efficiency in tax policy, enough to define and order priorities accord­ the case that achieving full employment were particularly tax expenditures; 4) to estab­ ing to national needs; or to anticipate and the overriding national goal and federal lish in a deliberate and explicit manne:- fed­ plan for future needs so that we may judge budgetary priority, we would then have to eral budget pri'orities; and (5) overarching the de-::irability and effectivene's of existing consider whether or not federal spending con­ these, to provide Congress and the Amei'ican programs. The Congressional Budget Office's tributes adequately to this priority. Besides people with the fullest information and re­ series on budget ontions repre5ents a begin­ the issues of fiscal and tax policy, the rate sources with which to make and evaluate ning in this endeavor, but it does not go far of economic growth, and the share of na­ budget decisions. enough, nor does it appear that the Budget tional output that has to be devoted to eco­ I will deal with only two 'Of these purposes Committees have incorporated sufficiently nomic stimulus, we also have to consider the in my remarks: the goal of defining and set­ CBO's underlying method of identifying pri­ targets of federal spending that are most ting priorities, as stated in Sec. 2(4) o! the orities into its own deliberations. likely to contribute to achieving full employ­ Act; and the role of the budget process in Establishing federal priori tie3 in the con­ ment. For example, we would have to con­ raising citizen awareness of the manner in text of national needs involves at least three sider the extent of reallocation of resources which budczets allocate resources and the ex­ separate operations in my view. The first necessary from capital-intensive activities tent to .1hich such allocations are fair and would examine past policies and the con£e­ such as defense production to labor-intensive effective in meeting national goals. quences, intended or unintended, of those activities such as housing construction. We The budget nrocess is accomplishing some nolicies in each area for which a priority has would have to examine programs within a o! these goals, but seriously neglecting given function that hold the greatest pay­ others, in particular the goal o! defining and been set. For example, if priority is given to significantly reducing unemployment, there off in terms of job creation, particularly for setting priorities. There are two explanations the long-term unemployed. for this mixed performance that warrant dis­ should be examination of those periods such as during the late 1940s and the 1960s when cu~sion. One is historical. The Budget Act Obviously, there will always be several was mainly the result of concern over loss both unemployment and inflation were re­ priorities reflected in the budget, and some of Congressional budget control, specifically m"'.rkably low, and the extent to which fiscal of which are in contention. But unless we the persistent attempt by a former President policy contributed to those conditions. The focus on concrete goals and targets, and the to undermine Congress' constitutional re­ determination or priorities and the policies policy instruments to achieve these, we will sponsibilities to tax and spend, and alarm to achieve trem should reflect the cumulative not be in a position to determine what has in certain quarters at mounting budget def­ experience of the past, and what that reveals to be traded-off, or sacrificed, and how the icits. The greatest emphasis, therefore, has about the limits and the possibilities of several priorities are related to one another. been placed on budget control. future action. Indeed, it is the case that we make decisions The second explanation is essentially po­ A second operation involves current policy. in a world of limited resources, that we live litical. Any budget process is a triumph of CBO has pinpointed three critical questions in a society of vastly unequal opportunities stability, extending past decisions into the in order to determine spending nriorities: 1) and access to resources, and, therefore, it is future. In any given year there is not a what share of national outnut should be de­ imperative that the federal government great amount of discretion over spending voted to federal pro!!'ram· and how much chooses among limited resources and con­ unless existing policy is changed. Any fund­ should the federal government stimulate or tending claims in order to give priority to amental alteration of the budget can oc­ restrain the economy; 2) how should federal those activities which are most important cur only if the law, and the political forces re':ources be allocated among different func­ and of most lasting value. Needless to say, sunporting the existing law, have first been tional area<>; and 3) how should the federal I believe full employment should be the top changed. Those who seek to transf'orm the government affect the distribution of re­ priority of government today. One reason I budget and its underlying priorities have a sovrces among individuals and economic ac­ consider the Hawkins/Humphrey Full Em­ far greater task than those who seek to tivities? ployment Bill so vital is that it creates for maintain the budgetary status quo. In order to answer these questions. we have the first time a mechanism for defining and The several !!'Oals o! the Budget Act should to r~ise some even more fundamental ones ordering priorities, integrates fully the budg­ be viewed in a p'olitical context. The goal which relate to values. What are the basi~ et process with overall economic policy, and of fiscal discipline and of budget control is ends of federal activity? What are the most enables Congress to anticipate and plan for a conservative's overriding concern, and the presc;ing social needs and the conditions future needs and resources. goal of setting and revising priorities in the which interfere mo;;t with the achievement A third necessary operation in determining context 'Of national needs in an overriding of society's enduring purposes? It is difficult budget priorities is then to anticipate and concern of liberals. This latter goal has been to see how the federal government can de­ plan for future needs. The budget process shortchanged, in my view, both because of termine priorities without first as~essing permits more accurate assessments of the the inherently conservative nature of budg­ needs? And how can it asc:ess needs i! it does long-range costs of particular spending deci­ ets and the far greater difficulty of imnle­ not have a concept of what is paramount or sions, but to my knowledge we have not menting chan~e through the budget than important according to some ordering of moved much farther in the direction of maintaining the budgetary status qu'O. values? anticipating needs. All of us have read esti­ The goal of budget control is being accom­ During the debate on the second budget mates of public capital needs over the next plished to a f!Teat extent. Cone-ress has put resolution a month ago, I recall a colloquy 10 or 20 years-for example, $600 billion to an end to arbitrary nresidentlal impound­ with the d istinguished Chairman of the build an adequate energy supply; $400 billion ments. For the first time outlays are being Budget Committee. I stated I could not vote to reach the national housing goal of 25 mil­ systematically monitored, and careful con­ for a budget resolution that countenanced 7 lion new homes by 1980; or $4 to $11 billion, trols have been placed on backdoor spending. percent and more unemployment, and which depending on the comprehensiveness, for a The Congress now has an impressive infor­ promised very little relief in the coming national health insurance system. Yet for mational and analytical capability in CBO year. The Chairman responded that the the most part we make budgetary decisions and the Budget Committees. The goal of pro­ budget Committee, indeed, had given top without a grasp of overall needs and re­ gram effectivenesc; has also evolved. The priority to job creation and significantly re­ sources. heightened interest ln sunset laws and zero­ ducing unemployment. I was merely point­ The question undoubtedly will be asked: based budgetin~ has, no doubt, been stimu­ ing out that unless the Budget Committees Congressman, while the Budget Committees lated by tre b11de-et Process. However, while and the Congresc; establish a goal, a target, and Congress should be more deliberate and human resource programs are coming under for reducinl! unemployment-let us say to x explicit in determining priorities, the fact is greater scrutiny, I have not witnessed a percent within a specifie'i period. or to be that priorities, implicit or explicit, are simil3.rly int ense concern about military implemented in stages within the fiscal year reflected in every budget deci~ion that is snendine- proe-rams. Bv sheddin~ e-reater pub­ under consideration-in my view we neither made. What you are saying is that you dis­ lic lio-ht on tax expendih1re;; and the process have established an employment priority nor agree with existing budcret priorities. Of bv which they are establlshed. which in the ereated the possibility of actually achieving course, I disagree with the choices or prior­ past has been one o! the more hidden of that priority we profess commitment toward. ities we have made up to now. As long as un- 36406 EXTENSIONS OF REMARKS November 1, 1977 employment is as high as it is, I will dissent University will publish this study at the Mr. Speaker, I would like to ask from budget resolutions. However, I do not beginning of next year. A shorter layman's unanimous consent that the bill be in­ believe the present method of arriving at versi·on will be made available to schools and serted in the RECORD at this point: budget decisions is adequate on its own citizens groups. And it appears at this point terms. What we call priorities are at best that we may be able to interest some Mem­ H .R.- priorities of the past, that reflect conditions bers in holding citizen budget hearings in A bill to amend the Internal Revenue Code 20 or 30 years ago and choices made 20 or 30 their districts and persuade educational tele­ of 1954 to provide, for purposes of deter­ years ago, such as in the area of national vision stations to broadcast these hearings. mining proper cellar treatment for nat ural security, that are carried forward in each I am very excited about the uses of this wine, that wines made exclusively from subsequent budget by way of incrementalism budget study in generating much-needed cranberries or other highly acidic berries and t inkering. Our current method of mak­ citizen discussion of, and participation in, and fruit ot her than grapes shall be en­ ing decisions is a haphazard one. The budget what surely is one of the most critical activ­ titled t o a volume of ameliorating material distributes resources to almost all claimants, ities of government. In this regard the not in excess of 60 percent sometimes with generosity or extravagance, Budget Committee may wish to consider Be it enacted by the Senate and House of other times with stinginess. We pretend in holding budget hearings prior to delibera­ Representatives of t he United St ates of this way to satisfy all goals. But there really tion on the First Budget Resolution in key America in Congress assembled , That sub­ is no ordering of goals, or priorities, and co­ areas of the country to permit citizens to paragraph (D) of section 5384 (b) (2) of the herence in the way we allocate resources, that participate more directly in the budget proc­ Internal Revenue Code of 1954 (relating to would enable us to evaluate what is being ess. amelioration and sweetening limitations for accomplished and how well. We have already Thank you for this opportunity and I look natural fruit and berry wines) is amended to a great many goals specified in the law that forward to the third year of operation of read as follows: the Congressional budget process. go unmet because our budget process is not "(D) Wines which are made exclusively really sychronized wit h our policy process. As from berries or fruit other than grapes and examples, thP. national housing goal of 25 which contain not less than 12 .5 grams of million new homes by 1980 which we are not acid for each liter in juice shall be entitled able to achieve under current policy; the HIGH-ACID FRUITS AND WINE­ to a volume of ameliorating material not in maximum employment goal in the 1946 Em­ MAKING excess of 60 percent (in lieu of 35 percent)." ployment Act which most would agree has been abandoned. Under our present method SEc. 2. The amendment made by the first I do not think the decisions we make fully section of this Act shall take effect on the HON. LES AuCOIN date of the enactment of this Act. spell out those underlying "priorities" we OF OREGON approve of and the implications and con­ sequences of the decisions we make. I am IN THE HOUSE OF REPRESENTATIVES suggesting this Commit tee influence the Con­ Tuesday, November 1, 1977 gress to deal more forthrightly with value THE BIENNIAL BUDGETING ACT OF questions, priorities, and the necessary trade­ Mr. AuCOIN. Mr. Speaker, yesterday 1977 otis implicit in our budget choices. The I introduced legislation which would al­ Budget Act provided an opportunity for t he low all high-acid fruits to be amelio­ first time to reevaluate the budget agendas rated up to 60 percent for the purpose HON. LEON E. PANETTA we inherited from the past, that do not ad­ of winemaking. The degree of ameliora­ OF CALIFORNIA dress the needs of the present. If we choose to, we have the ability to revise the agenda. tion allowed would be determined on a IN THE HOUSE OF REPRESENTATIVES To this end let me make a few proposals. sliding scale according to the acid level Tuesday, November 1, 1977 CBO's budget option reports contain a graph in the fruit. that shows the composition of federal spend­ This legislation was prompted by are­ Mr. PANETTA. Mr. Speaker, I wish to ing. I would like to see a second graph that quest from one of my constituents, Mr. insert the text of my testimony before shows the composition of unattended social Speaker, who owns a winery in Naha­ the Task Force on the Budget Process of needs such as t he gap between employment lem, Oreg. This gentleman would like to the Committee on the Budget, October opportunit y and demand for jobs, the gap 6, 1977, for the benefit of my colleagues. between the share of national income that make wine from cranberries. Unfortu­ goes to the lowest quintile and the median nately, current law makes this difficult. Since becoming a Member of this income, the gap between existing functional The law says fruit and berry wines may House, one of my chief concerns has illiteracy and full literacy. be ameliorated up to 35 percent-with been the shortness of time available for I recommend that the Budget Committee the exceptions of loganberries, currants, oversight of the Federal bureaucracy and or CBO develop an inventory of social indi­ and gooseberries which, because of their the Federal budget. I believe that the cators, complementing the economic indica­ high acidity, are specifically [;.llowed an constant frenetic pace at which we op­ tors, that measure social distress. This would enable Congress to analyze national needs amelioration of up to 60 percent. High­ erate allows little or no time for us to and develop a method for relating needs to acid fruits other than these three excep­ fl1Jfill our oversight responsibilities. The policy and to budget choices, and to antici­ tions can be ameliorated more than 35 result is the ever·-burgeoning budget pate future needs as they arise. percent, but they must be labeled "sub­ which is a source of distress to virtually Second, I recommend that the Budget standard." Obviously, the marketability every Member. Committee or CBO develop an analysis of of any wine labeled "substandard" will Many Members have proposed sunset what would be required to reduce unemploy­ be difficult if not impossible. ment two or t hree percent within the next and zero-based budgeting bills as a year or two, in terms of necessary changes Grape wines, in contrast to berry means of regaining control over the under current policy or, more likely, neces­ wines, do not need to be ameliorated be­ budget. These are worthy proposals, but sary changes in current policy. Such an cause they have a natural acid-sugar I believe unless we make some funda­ analysis would examine what economic sec­ balance. A greater degree-above 35 per­ mental changes in the budget timetable. tors and federal programs have the greatest cent-of amelioration in high-acid fruits we will never have enough time to make payoff in creating jobs, what t ypes of re­ for winemaking purposes enhances the them work. source-allocation or -reallocation would con­ tribute most to significant expansion in em­ taste of the wine. Amelioration means The fundamental change that I am ployment opportunity, and what level of adding water to cut the natural acidity proposing is to switch to a 2-year fiscal federal spending is required to accomplish and adding sugar which is converted to period and budget schedule, essentially the goal. alcohol by yeast. retaining the basic framework of the Mr. Chairman, I believe the new budget This legislation could mean a new in­ Ccngressional Budget Act, but stretching process offers great possibilities in helping dustry in wines made from high-acid it out over a 2-year period and building the Congress establish its budget priorities in the context of meeting national needs. fruit. In Oregon alone, there are 20 to 30 in time for oversight by each of the com­ These hearings are performing a vital func­ producers of cranberries. According to mittees. I believe this approach would tion. In concluding, I want to inform the the Oregon State Department of Agri­ give us the time we need to conduct Committee that 50 or so Members have called culture, some 900 acres of cranberries thorough review of the budget. curb upon the Institute for Policy Studies to un­ are harvested annually in Oregon with wasteful spending, and bring the bu­ dertake a comprehensive examination of the each acre yielding an average of 100 reaucracy under control. Federal budget and alternatives to it that barrels. hold the promise of achieving the urgent To provide for a 2-year budget sched­ national goals of full employment, balanced Winemaking is a new and growing in­ ule. I have introduced H.R. 9077, the economic growth, and a decent standard of dustry in Oregon. A change in the exist­ Biennial Budgeting Act of 1977. Under living for all Americans. I am pleased to in­ ing law is needed if the industry is to its provisions, the first 6 months of the form you that Transaction Press of Rutgers realize its full potential. first year of each 2-year congressional November 1, 1977 EXTENSIONS OF REMARKS 36407 term would be devoted to formal over­ proppse the Biennial Budgeting Act of 1977, substantial training and expertise with sight of programs and agencies by the H.R. 9077. It is my firm belief that by stretch­ regard to both budgeting and broad eco­ ing our present budget process out over a nomic policy. Yet at the present time, committees of each House. The second two-year period we will allow greater time these talents are under-utilized by a system 6 months of the first year would be pro­ for oversight and gain even tighter control that forces them to spend considerable time vided for the reporting by the Budget of the budget. every single year on non-controversial budget Committees of the first budget resolution My conversations with members of the items, allowing them proportionally less time and the reporting by the legislative com­ Budget and Appropriations Committees and for controversial issues and for study of the mittees of all authorizing legislation. The my own experience with the budget resolu­ impact of the budget on the economy. Al­ second year would be used for the pas­ tions convince me that no one really feels we though the CBO report on biennial budget­ sage of any new authorizing bills and, have enough time to review the budget and ing was mixed, it did address this question oversee existing programs and policies, let forthrightly: only later, when the authorizing bills alone enough time thoroughly to go over new "The arguments against two-year appro­ have been adopted, would the Congress program proposals to see whether they are priations revolve mainly around possible di­ vote on appropriations bills. The bill re­ really needed. The very fact that there are minution of Appropriations Committee over­ tains the seventh day after Labor Day­ some 20,000 bills introduced during each sight and the difficulty of forecasting a pro­ second session-as the deadline for Congress, coupled with Committees• over­ gram's warranted level of resources for 24 consideration of appropriations bills and sight responsibilities and with extension of compared to only 12 months ahead. But it retains the same schedule as the Con­ on-going programs, makes meaningful over­ the Committeas did not have to spend so gressional Budget Act of the adoption sight and review almost impossible. The re­ much time each year on routine 'budgetary,• sult is that outdated and ineffective pro­ they would in fact have more time for their of the second budget resolution. grams keep slipping through, while new oversight work, leading to more rather than Besides giving us time for our oversight programs are not given the time and atten­ less overs~ght. Unexpected demands can al­ job, such a proposal would allow us more tion they deserve. Moreover, members of the ways be accommodated by supplemental ap­ time for the fulfillment of our other re­ Budget and Appropriations Committees are propriations." sponsibilities to our districts. Perhaps pushed to the very limit of their abllities in The same point is substantially true for all most importantly, 2-year budgeting coping with the situation, while other mem­ the other Committees, for whom the first halt would benefit State and local govern­ bers, given about two weeks to look over the of each year is devoted to hurried evaluation First Budget Resolution before floor consid­ of both present and new programs, with a ments by giving them more certainty of eration, fall to drawing sharp and bitter par­ heavy floor schedule relegating any further Federal funding levels for a longer peri­ tisan lines, instead of fully debating the Committee oversight to the back seat. In the od of time. This would allow them to budget. first session of each Congress, this situation make more careful, considered plans for H.R. 9077, the Biennial Budgeting Act, is made more critical by the presence of a the spending of those Federal funds. I attempts to address this problem by stretch­ substantial number of first-termers with lit­ believe that is a possible benefit of bien­ ing the present timetable over a two-year tle or no familiarity with many of the issues nial beudgeting that none of us can af­ period, with the building in of formal over­ with which they are confronted. ford to ignore. sight activities by the Committees and the A related and also important question is Mr. Speaker, each of us knows only requirement that consideration of new au­ how the role of the executive branch and thorizing legislation be completely finished OMB would chg,nge under two-year budget­ too well the intense frustrations our con­ before any appropriations measures are ing. In its report on biennial budgeting, OMB stituents feel at the size of both the brought before the House. I believe this expressed concern that the necessity of fore­ budget and their own tax bills. We feel approach would give us the time we need casting budgetary needs of agencies in ad­ their pressure on our actions daily. They to conduct thorough review of the budget, vance would not only result in a greatly in­ are not saying that they want us to dis­ curb wasteful spending and bring the bu­ creased work load, but would also mean that mantle every program that comes up for reaucracy under control. its forecasts would be far less accurate. The review; they simply want to know that In brief, under the provisions of H.R. 9077, Office also worried that the lack of experience the first six months of the first year of each of agencies in planning two-year budgets their tax dollars are being spent as effi­ two-year congressional term would be de­ would result in the agencies• "packing" their ciently and effectively as possible with voted to formal oversight of programs and budgets to allow for possible shortfall before minimal waste. That is an assurance we agencies by the Committees of each House. the end of the two-year fiscal period. will not be able to give them unless we The second six months of the first year would Let me address these concerns. First, H.R. give ourselves the time to devote seri­ be provided for the reporting by the Budget 9077 retains the annual budget message by ous attention to the budget and to each Committees of the First Budget Resolution the President to Congress. In effect, the Presi­ of the programs for which we appropri­ and the reporting by the legislative commit­ dent wlll outline his two-year budget in his tees of all authorizing legislation. The sec­ first message to Congress, with the second ate funds. ond year would be used for the passage of I urge my colleagues to give serious message at the beginning of the second ses­ any new authorizing bills and later, only sion becoming a "revised" budget. Thus the consideration to the benefits of biennial after adoption of authorizing legislation, President and OMB wlll have input twice budgeting. would the Congress adopt appropriation bills. into the budget process and will still be The text of my testimony follows: The bill retains the 7th day after Labor Day presenting their final budget message some 9 TESTIMONY OF THE HONORABLE LEON E. (second session) as the deadline for con­ months before the start of the two-year fiscal PANETTA sideration of appropriations bills and re­ period. I think this approach addresses both tains the same schedule as the Congressional Mr. Chairman, members of the Task Force, the worry about accuracy of forecasts as well Budget Act for adoption of the Second as about workload: the executive branch in thank you very much for the opportunity to Budget Resolution. speak before you today. effect doubles its input into the Congres­ (For your convenience, I might note that First of all, let me join the other witn~sses sional budget process, while its workload will who have commended the Budget Committee the timetable I am proposing is found on only increase in connection with prepara­ for the outstanding job it has done. As each pages 3 and 4 of H.R. 9077, a copy of which tions for the first budget message in the first of you knows so well, it is no small feat to is attached.) session. report out the $500 billion budget resolutions Biennial budgeting is not an entirely new I might also note with regard to the OMB's in the time that is available. When added in concept. For many years, Senator Warren concern about accuracy and about over­ with the very thorough job of oversight that Magnuson of Washington introduced a blll budgeting by the executive branch agencies you must do, the whole process seems un­ to split each congressional session into sepa­ that we "already make a great many budget imaginably difficult. You have earned there­ rate authorizing and appropriating sessions, decisions on the basis of future plans, pre­ spect and esteem of your colleagues. with the idea of allowing more time for dictions, and estimates," as the Congressional Although I come before you to outline the oversight. Pursuant to the provision of the Budget Office has noted. These estimates are provisions of a bill to reform the Congres­ Congressional Budget Act, both OMB and carefully computed and very often accurate. sional Budget Act, I want you to know that the Congressional Budget Office have studied When they are not accurate, we provide those provisions are in fact based on the be­ the concept of advanced appropriations in rescissions or supplemental appropriations, lief that the basic guiding principles of the some detail. which are stlll possible under the provisions Budget Act do work. This year, for example, There are, as you may know, a number of of H.R. 9077. I might add that I think both you were able to cut some $6 billion off the controversies surrounding the biennial rescissions and supplementals will be less projected national debt for the year in the budgeting approach. One central concern is frequent under two-year budgeting, simply Second Concurrent Budget Resolution, sim­ what would happen to the Budget and Ap­ because everyone does have more time to ply through closer scrutiny of economic and propriations Committees: would they exer­ look at what they're doing and this includes budgetary fluctuations as the year pro- cise more or even less oversight if their re­ OMB. Further, as you all know, some 70 per­ gressed. You and the process met the test: sponsibilities were stretched over a two-year cent of the Federal budget is determined more oversight does and did lead to better period? This is a valid point and one that I ahead of a given fiscal year, which leaves only control over the size of the budget. think can be answered quite simply. Both 30 percent of the budget to which concerns It is with that observation in mind that I Committees have members and staff with about advance appropriations apply. CXXIII---.2291-Pa.rt 28 36408 EXTENSIONS OF REMARKS November 1, 1977 One very exciting benefit that we might Congresses from adopting new budget resolu­ grant a second on H.R. 9282. I support gain from biennial budgeting is the greater tions for the on-going two-year fiscal period fully the objective of that bill to delay financial security such a system would pro­ (Sec. 304 of P.L. 94-344) or from adopting vide state and local governments. According rescission or supplemental appropriations any congressional pay raise approved by to a study conducted for the Congressional bills. Congress to the succeeding Congress. I Budget Office by consultants Peak, Marwick, I think I have touched on the principal have voted against every pay raise since and Mitchell and Co., state and local govern­ issues surrounding biennial budgeting. I I have been in Congress partly for that ments, faced with continual delays and un­ hope I have addressed them to your satis­ reason. certainty with regard to Federal assistance on faction. It is my hope that this bill will re­ I voted not to consider that bill today, which they are so dependent, often are forced ceive your most serious consideration and however, because under suspension, it to make poor decisions on their own budgets that it will serve as a talking point for full and on program design and implementation. evaluation of the present budget system and cannot be amended and there exists in They often "under-spend," out of fear that the alternatives to it. Certainly, if we do that bill a reprehensible provision pre­ subsequent-year appropriations will be cut come up wfth a new budget system-and I venting amendments against future pay and often lose funds at the end of a fiscal fully appreciate your concerns about open­ raises. Only by denying a second and year as a result. Clearly, everyone loses under ing the process to a free-for-all series of forcing this bill to come t!p under regular such a system. amendments-it will not be without the ex­ rules can an amendment be offered to The potential benefit of biennial budgeting pertise and full contributions of the mem­ strike that provision. That is why I is that it would allow these bodies more cer­ bers of this committee, as well as the mem­ voted no as I fully support the rest of tainty of funding for a longer period, thus bers of Rules and Appropriations. the bill. allowing them to make more careful plans I do want to reiterate my conviction that for spending the funds. The General Ac­ two-year budgeting will give us more time counting Office, in a 1971 letter to Sena.tor for oversight of present programs and more YOUNG ISRAEL: A SUCCESSFUL John McClellan noted: "While we believe time for thoughtful planning of a new EMPLOYMENT PROGRAM that advance funding is particularly impor­ budget. The extra time will, I think, compen­ tant for grant-in-aid programs to states and sate for the concerns raised about the diffi­ local agencies, it would also be desirable for culty of forecasting spending in advance and HON. JAMES H. SCHEUER wUl largely eliminate our reliance on sup­ many other types of programs and activities OF NEW YORK of the Federal government where firm plan­ plemental appropriations and Third Budget ning prior to the beginning of the appropria­ Resolutions. It would, in fact, give the IN THE HOUSE OF REPRESENTATIVES tion year is a significant factor in the suc­ Budget and Appropriations Committees the Tuesday, Nooember 1, 1977 cessful execution of such programs and activ­ time they need to do their jobs the way they ities." The Peak, Marwick, Mitchell-CBO want to, as well as allowing even more par­ Mr. SCHEUER. Mr. Speaker, in times study notes: ticipation by the executive branch than is when critics arise to find fault with "If properly applied, advanced budgeting now possible. The benefits to state and local Government sponsored programs de­ should have a beneficial effect upon all as­ governments predicted by the GAO and the signed to alleviate unemployment, it is pects of program management and should CBO study are, I think you will agree, tre­ incumbent to state for the record those ultimately produce more effective programs. mendously exciting. exemplary achievements that give credit The intergovernmental partnership in pro­ I think there is a widespread recognition gram delivery should be strengthened, the within the House that the budget process is to the U.S. Department of Labor. As an beneficiaries of programs should be better basically sound and can only be improved by example of a viable outstanding program, served, and the taxpayers in general should more time for oversight. But despite this fact, we submit the record of the Young Is­ get more for their money." the budget grows and taxpayers resent this rael Employment Bureau, a nonsectarian That study goes on to single out one-year as they fork over their hard-earned money undertaking sponsored by the National advanced appropriations as probably the with no perceptible improvement in govern­ Council of Young Israel with its national most widely suited form of advanced budg­ ment services. We feel their pressure daily headquarters in New York City and eting to achieve these ends. One-year ad­ on our actions. But in objecting to high branch operations in 17 States. It oper­ vanced appropriations is, of course, basically taxes and runaway spending, Americans are another name for biennial budgeting. no<; asking their government be dismantled. ates employment bureaus in six States: Perhaps the most controversial aspect of They are saying that they have every right New York, Ohio, Michigan, Missouri, the present annual budget system is the con­ to expect that the dollars we appropriate on California, and Florida. straint it places on the Appropriations Com­ their behalf will be handled efficiently and In 1929, it established its first employ­ mittees. While all the authorizing commit­ effectively. ment bureau designed to find jobs for all tees and the Budget Committees feel the We reflect the frustrations of our constitu­ people regardless of ethnic background. pressure of time on their deliberations, this ents every day on the floor of the House. is aggravated most severely for the Appro­ Everyone here has made a real effort to During and immediately after the war priations Committees who must wait until analyze current spending at the same time years, it added a veterans division to the everyone else is very nearly finished with he or she is considering new spending meas­ employment bureau with the particular their legislation before they can really begin ures. Some Members have used "knee-jerk" concern with the unique problems of the their final considerations of appropriations voting against all new spending measures as returning veterans, in the field of edu­ bills. To some extent, this is an unavoidable a way of calling for budget control and over­ cation, employment, and social adjust­ problem inherent in the appropriating proc­ sight. But neither approach can really work ment. In 1966, the employment bureau ess, but to the extent that it can be allevi­ in the long run. applied to the U.S. Department of Labor ated, it should be. H.R. 9077 addresses the We must adopt a system that allows Con­ issue by requiring that all committee au­ and received its first federally funded gress enough time to give the budget the on-the-job training program (OJT). thorizing legislation be reported out by serious attention it deserves or we will never December 31 of the first session. This gives get in under control. There are worthy pro­ Subsequently, it has successfully exe­ the Appropriations Committees a full four posals before the House to create a zero­ cuted 12 employment contracts under and one half months to prepare their b1Ils, based budgeting system and to establish the outstanding leadership of Ephraim instead of the roughly two months provided by the present March 13 committee report "sunset laws" that would give all Federal H. Sturm, the founder and director of deadline. While this doubles the time given programs a limited life cycle. I support these the program. Appropriations, I might note that the Ap­ measures as one way of coping with the With the advent of CETA, Young propriations Committees will be free the present situation, but I believe they will be Israel spun off its national programs in entire first year of the Congress to prepare ultimately useless unless we provide time Los Angeles and in Dade County, Fla., for their legislation and will also be free for Congress to exercise its oversight re­ sponsibilities fully. By moving to a two-year as independent CETA operations. The to follow closely the actions of the various records will clearly indicate that the committees during mark-ups that year. budget we can gain that time and make sig­ nificant progress in getting the budget under local CETA programs are far more costly There is another issue raised regarding control. biennial budgeting-the propriety of an ar­ than the same operation when admin­ rangement whereby one Congress appropri­ istrated as part of the national program. ates funds for t;he entire duration of the PROCEDURAL VOTE ON PAY RAISE This program called for placing 70 next Congress. While this issue has some people in each of the above cities with superficial significance, I would observe that reimbursement for training costs to be we do appropriate into another Congress HON. W. HENSON MOORE given for 35 slots in each area and the every other year under the present system OF LOUISIANA additional 35 slots in each area for non­ and that, given the fact that 70 percent of IN THE HOUSE OF REPRESENTATIVES reimbursable OJT. Each area was serv­ the budget is committed years in advance, iced by one job developer at $9,816 an­ the practice of appropriating into and beyond Tuesday, November 1, 1977 the next Congress is a fairly well-accepted nual salary or $188.76 per week, and a practice at the present time. Further, of Mr. MOORE. Mr. Speaker, today I secretary with the annual salary of course, there is nothing to prevent future voted "no" on the procedural vote to $6,165 or $188.55 per week. This is far November 1, 1977 EXTENSIONS OF REMARKS 36409 lower than the normal amount of $15,000 of local CETA-sponsored programs. I California to witness the culmination of for a job developer and $8,500 for a sec­ should acknowledge the efforts of the many years of hard work and immense retary. In addition, there are the normal Honorable Ernest Green, the assistant emotional investment. fringe benefits which amount to approxi­ secretary for employment and training, Unfortunately, Dulles was fogged in mately 9 percent. and his staff for recognizing the unique­ Reimbursement averages $600 per Friday morning, and the couple spent ness of dedication and achievements of 2 hours-between 7 and 9 a.m.-circling trainee. On a matching 1-to-1 basis this the Young Israel National OJT pro­ means actually that the reimbursement the airport. When they finally landed grams. they hurried to get a cab to the White cost is only $300 per trainee. The normal Mr. Speaker, I make this statement to amount of reimbursement nationally and House, only to find themselves in the indicate the progress and achievement midst of an enormous traffic tieup. In under CETA is well over $1,500. that can be obtained by experienced, The national program was continued bumper-to-bumper traffic they changed dedicated employment service under the clothes and hoped to be present for at with Detroit, Cleveland, and St. Louis as sponsorship of the U.S. Department of basis. On July 14, 1977, they completed Labor. least part of the bill signing ceremony. the program with 120 percent record. They arrived at the White House as the ceremony ended-in time to see the last The entrance rate ranged from the $3 END OF LONG ORDEAL minimum requirement to $6 for reim­ witnesses leaving the Rose Garden. bursable trainees and from $2.90 to $4 . President Carter was apparently sensi­ for nonreimbursable ones. HON. FORTNEY H. (PETE) STARK tive to the couple's disappointment at The trainees were placed in the type of OF CALIFORNIA missing the ceremony, because he im­ program which will lead to the learning IN THE HOUSE OF REPRESENTATIVES ~e~iiately asked to see them. When they of a particular skill and talent. The fol­ VIsited me later Friday afternoon they lowing are examples of the type of posi­ Tuesday, November 1, 1977 were ecstatic about their talk with Presi­ tions in which trainees are placed: Office Mr. STARK. Mr. Speaker, much has dent Carter and moved by his genuine machines mechanics, carpet cutters, been made of President Carter's legisla­ concern and sensitivity. His warm, per­ clerk-typists, orthopedic shoe fitter, tive failures and lack of political exper­ sonable manner, and his apparent under­ auto mechanics, secretaries, booKkeep­ tise during his first 10 months in office. standing of their emotional hardship ers, metal fabricator, butchers, machin­ Indeed I have not been silent on this throughout their son's imprisonment re­ ists. medical assistants, geriatric nurses, matter, joining the criticism of Members assured the parents that our Federal jewelers, store managers, security offi­ of Congress, the press, former members Government is accessible to the private cers, etcetera. We note that in the fore­ of the Washington community and the citizen and concerned about the needs seeable future these areas will need American public. But last Friday Presi­ of each individual. I know that the workers. dent Carter showed me that, in very hu­ Marshalls will long remember their visit This OJT program including the re­ man terms, he can be an effective repre­ with President Carter and that they will imbursable funds costs only $185,656. sentative of the highest ideals of the U.S. always have a great deal of respect for One can't judge statistics without Government. On an issue which does not the humanity of the man in the Oval yardsticks. Let us, therefore, suggest the get much press coverage, and which will Office. following: The average retention rate is never be hailed as a crucial legislative approximately 60 percent; 70 percent is victory of his first year in office, Presi­ considered good. Their retention rate is dent Carter took action which directly FINANCIAL STATUS OF CONGRESS­ over 90 percent. affects the lives of many hundreds of U.S. MAN ROBERT W. EDGAR The mean cost for reimbursement for citizens in an important, positive way. training is $1,500, Young Israel's is $300 Last Friday, in .:~. Rose Garden cere­ with the training period being equal. mony, President Carter signed S. 1682, HON. ROBERT W. EDGAR CETA programs are happy with an 80 the legislation which implements the OF PENNSYLVANIA percent performance and Young Israel's United States-Mexico exchange of pris­ IN THE HOUSE OF REPRESENTATIVES is over 100 percent. oners treaty. His signature on this bill Tuesday, November 1, 1977 On July 15, 1977, the U.S. Department signaled the end of a long ordeal for of Labor once again recycled the Young hundreds of U.S. citizens incarcerated in Mr. EDGAR. Mr. Speaker, as a firm Israel Employment Bureau national pro­ Mexico and their loved ones in this believer in financial disclosure of public gram for the above-mentioned three country. One couple, whose son has been officials and candidates, I am submitting cities. It is to the credit of the U.S. De­ jailed in Mexico for 2% years, and who for the RECORD a listing of Mrs. Edgar's partment of Labor for recognizing the have been among the most active parents and my assets and liabilities, as well as Young Israel's national program service working to secure legal and human rights our income and taxes. I am including as a yardstick in evaluating the efficacy for U.S. citizens in Mexico, flew out from both 1975 and 1976 data:

FINANCIAL STATEMENT OF CONGRESSMAN AND MRS. ROBERT W. EDGAR

December December TAXES 1975 1976 ASSETS 31, 1975 31, 1976 Savings account ------­ $49.52 $361. 97 Federal ------4,579.01 2,694.00 Cash on hand in checking account_. 689. 10 1,872. 17 Pennsylvania (State) ------782.01 1,264.51 Mortgage escrow account ______380.59 433.50 Pennsylvania (local) ------· 646.80 729.26 1971 Volkswagen ------1,400.00 1, 000.00 Virginia (local) ------· 403.96 875.44 1975 Ford Granada ______2,500.00 2,100.00 House in Broomall, Pa ______37,000.00 40,000.00 Total taxes ------· 6, 411. 78 5,563.21 House in Arlington, Va ______60,000. 00 70,000. 00 ------House goods and miscellaneous per- INCOME sonal property ______1975 1976 11,000.00 13,000.00 U.S. Civil Service Retirement Fund __ _ 2, 930.41 6,275.41 Salary as a Member of Congress ______39, 072. 08 44,600.00 Interest on savings account______28. 59 13. 15 Total assets------· 115,949.62 135,043.05 Honorarium ______----· ______200.00 December December Total income ------· 39. 100.67 • 44,813.15 LIABILITIES 31, 1975 31, 1976 Net worth ------38,869.75 60,284.48 Mortgage on house in Broomall, Pa ___ 19, 370. 92 18,950.51 Mortgage on house in Arlington, va__ 56, 750. 00 55,808.06 Personal loans ------· 958. 95

Total liabilities ------77, 079. 87 74,758.57 36410 EXTENSIONS OF REMARKS November 1, 1977 BOTI'LE BILL adverse effect on· our economy that is pre­ than twice as fast as the nation's economy dicted by some elements. is growing? What is "positive" or "liberal" about ask­ HON. LES AuCOIN It would seem, Mr. Speaker, that Pep­ ing government bureaucrats to make deci­ OF OREGON siCo, Inc., now agrees with at least the sions for you, which you are better able to latter part of that statement, and I be­ make for yourself-and at much lower cost? IN THE HOUSE OF REPRESENTATIVES lieve the Congress should take note. What is "positive" about government poli­ Tuesday, November 1, 1977 cies that first create energy shortages, and then demand billions in new taxes to "solve" Mr. AuCOIN. Mr. Speaker, I am ex­ THINK POSITIVE them, that create a crisis, and demand even tremely pleased to be able to report to­ more power and control to "alleviate" it? day that Pepsi Cola is now admitting In short, what is "positive" or "compas­ publicly that pass•age of returnable con­ HON. BILL ARCHER sionate" or "liberal" about big government, tainer legislation-the ''bottle bill" as it OF TEXAS with all its trappings of bureaucratic power, waste and arrogance, with all its constant is known-will not materially affect IN THE HOUSE OF REPRESENTATIVES threats to individual freedom, privacy and either the company's sales, or its profits. Tuesday, November 1, 1977 expression? Mr. Speaker, this is most significant, We think we know what Thomas Jefferson for the chairman of the board of Pepsi Mr. ARCHER. Mr. Speaker, the fol­ would have said to these rhetorical ques­ Cola, Mr. Donald Kendall, has been one lowing editorial was recently brought to tions. In 1801 he wrote: of the most implacable foes of the "bot­ my attention and I think it would be "Every man wishes to pursue his occupa­ tle bill." well worth reading by my colleagues in tion and to enjoy the fruits of his labors I cannot speak for Mr. Kendall and Congress: and the produce of his property in peace report he now actually supports the "bot­ THINK "POSITIVE"? and safety, and with the least possible ex­ tle bill." But one of the. points most often (The following is an eloquent commentary pense. When these things are accomplished, made by opponents of this legislation is on big government written recently by War­ all the objects for which government ought that beverage industry sales and profits ren T. Brookes in the Boston Herald Amer­ to be established are answered." ican. With their permission, excerpts are re­ will decline if such a law were passed by printed here.-MARVIN STONE, EDITOR) the States or the Congress. During the past few years, it has become PepsiCo, Inc., is seeking a merger with fashionable in the media, generally, to refer HAPPY WARRIOR RETURNS Pizza Hut, Inc., and has issued a pro­ to any politician who votes against major spectus concerning this merger. As we all spending programs as "negative," or "lacking know, a prospectus must be eminently in compassion." HON. JIM MATTOX fair in describing the financial condition Similarly, politicians who regularly vote of the companies involved, and its poten­ for vast government social enterprises are OF TEXAS regarded as "positive" or "compassionate" or IN THE HOUSE OF REPRESENTATIVES tial problems. In the prospectus concern­ "liberal" (i.e. "for the people"). ing the PepsiCo-Pizz,a Hut merger, then, What is "positive" about a government Tuesday, November 1, 1977 Pepsi says no particularly adverse im­ that runs annual deficits of over 50 Mr. MATTOX. Mr. Speaker, in recog­ pact is anticipated even if the "bottle billion dollars-and prints money to finance them? nition of a man whose efforts and abili­ bill" should become law everywhere. ties have never failed to stand up to the Here is a paragraph from the prospectus What is "posiitve" or "compassionate" about a constant inflation rate of nearly 7 beliefs this country was founded upon, I that confirms this point: per cent-a rate a which half of your life submit the following editorial from the Legislation has been adopted in four States savings are destroyed every 10 to 12 years? Dallas Morning News. It is my sincere which, although not uniform, has the effect What is "positive" about a government pleasure to say that of all the men and of restricting the types of containers in whose regulations now cost consumers more women who have come to serve in the which beverages can be sold and m::mdates a than 100 billion dollars a year? deposit on all containers, whether reusable What is "positive" about government Congress of the United States of America, or not. Similar legislation has been period­ health programs that have singlehandedly few, if any, are as devoted and as deserv­ ically introduced in Congress, and is pending driven the nation's spending on health care ing as Mr. HuMPHREY. I believe the edi­ or expected to be introduced in many States. from 5 per cent of the GNP to nearly 9 per torial says the rest. I would also like to While it is not possible to predict whether cent, in just 10 years? note a Dallas Times Herald editorial restrictive container legislation will be What is "positive" or "liberal" about a So­ cartoon by Bob Taylor. Unfortunately adopted in other States or at the Federal cial Security System that is now taking more the cartoon cannot b~ reproduced in the level, PepsiCo believes that it will be able to from the taxpayers than they can ever get RECORD. It expresses similar sentiment. earn an adequate return on the investment back-and is still going bankrupt? which might be required by it as a result of What is "public" about a public education The illustration-depicting a Congress restrictive container legislation and does not system that now spends over $1,500 a year ailing from special interests, lobbies, and · anticipate a material adverse impact on the per student-and doesn't teach them how susceptibility, features an ebullient sales or profits of its soft drink business if to read, write, or do arithmetic? HUBERT H. HUMPHREY brightening the such legislation is adopted. What is "positive" or "compassionate" gloomy sickroom with a "get-well visit." about a welfare system that is turning mil­ Mr. Speaker, I am one of the spon­ Thank YOU HUBERT: lions of Americans into helpless wards of HAPPY WARRIOR RETURNS sors of the returnable container legis­ the state, and encouraging millions of others lation pending in the House. I believe it to choose dependency instead of work? The emotional and unrestrained welcome What is "positive" about a government home the nation's capital gave Hubert H. is important that Members be aware of Humphrey upon his return to the Senate was the Pepsi statement, especially coming whose total accuml•ated long-term debt and oblig.ations are over 5 trillion dollars-more richly deserved. as it does in the kind of publication than the total wo.rth of the economy? Seldom has such a genuine and spontane­ where the company is duty-bound to be What is "positive" about a government ous outpouring of affection and warmth sur­ straightforward and forthright. energy poHcy that succeeds only in putting rounded Capitol Hill as it did Tuesday when The language included in the prospec­ millions of people out of heat and work in colleagues, friends, staff members and total tus has come to me from a gentleman the middle of a severe winter? strangers embraced the Happy Warrior from charged with the responsibility of ad­ What is "positive" about mm·e than 4 Minnesota. ministering the 5-year-old Oregon "bot­ billi·on dollars in known welfare ·abuse, error The former vic~ president and presidential tle bill," Mr. William T. Moore, Jr. In an and fraud•? candidate did not hav~ to return to his Sen­ Wh.at is "positive" about a naltion where ate desk. Ill with inooerable cancer, Hum­ accompanying letter to me, Mr. Moore there are nearly 8·5 full-time dependents or phrey could have rem&.ined at home sur­ perfectly describes the impact of return­ employes of government for every 100 pro­ rounded by family and friends. Yet he chose able container legislation of the kind I ductive private taxpayers? to return. am sponsoring. What is "positive" or "compassionate" After all, has not Washington been his He writes: about government housing and urban­ home? And is th<=! Senate not where he has As Administrator of Oregon's "bottle bill," development programs that have only accel­ spent the finest of his political hours and I can say that it works, is not difficult to erated urban decay, and isolated the poor in where, in the time he has remaining, he really implement, and the transition within the bleak warehouses? wants to be? beverage industry from one-way to reusable What is "positive" about a government The News has opposed Humphrey's brand containers can be accomplished without the which is printing money at a rate more of liberal politics but we have regarded him November 1, 1977 EXTENSIONS OF REMARKS 36411 as a friendly adversary. a man who adds hostile world, a world organized far differ­ Members of the United Nations,• their pop­ something to the public debate. ently and with greatly different obiectives. ulations (in thousands), and the voting There is something special about Hubert From origins that were humble in size but power of each citiZen in relation to that of Humphrey. Democrat or Republican, it is magnificent in design, the United States ad­ each U.S. citizen hard not to like this exuberant man from the vanced within a century and a half to an un­ Member: Population Vote Midwest. challenged position of power among all the Sao Tome Principe_____ 80 2,660.0 Humphrey himself said it best. "I'm countries of the earth. During that period Qatar ------90 2,364.0 pleased as punch to be with you today." of advance, the United States received little Grenada ------110 1,935.0 Hubert, so are we all. aid from other countries and, except for war Maldives ------123 1,730.0 efforts, provided little help to them. Essen­ Bahamas ------200 1,064.0 tially this Nation stood alone; during that Iceland ------220 967.0 time, repeated assertions that it could not United Arab Emirates___ 220 967.0 THE TTN. AND THE COUNTER­ stand alone in a hostile world were rejected Bahrain ------240 887.0 REVOLUTION in practice and refuted by events. Barbados ------240 887.0 After World War II, however, the situation Cape Verde ------250 851.0 changed markedly. U.S. officials misguided Equatorial Guinea _____ 310 687.0 HON. STEVEN D. SYMMS the Nation into a maelstrom of international Malta ------316 67a.o OF IDAHO scheming by committing the United States Luxembourg ------340 626.0 to membership in the United Nations. 44a.o IN THE HOUSE OF REPRESENTATIVES Swaziland ------480 WHO CONTROLS THE UNITED NATIONS? Galllbia ------510 417.0 Tuesday, November 1, 1977 A crucial aspect of the United Nations' op­ Gabon ------520 409.0 Mr. SYMMS. Mr. Speaker, very re­ erations is that of control. On certain im­ Guinea-Bissau ------520 409.0 portant substantive matters (as differenti­ Fiji ------560 380.0 cently, on October 24, some groups in the Botswana ------660 322.0 country celebrated United Nations Day. ated from procedural matters on which the majority rules) two-thirds of the members Cyprus ------660 a22.0 However, I feel that there is little cause O~nan ------750 284.0 present and voting can decide an ~ssue. How­ Malagasy Republic_____ 765 for celebration. Rather, I feel that it is ever, the two-thirds rule is vitiated by the 278.0 time for Americans and most of all our fact that a simple majority can determine Guyana ------770 276.0 elected officials to take a hard look at the that many questions can be decided by a Mauritius ------875 24a.o United Nations and at its activities. " ... majority of the members present and Kuwait------930 229.0 voting." Thus the door is open to rule by a Lesotho ------1, 020 209.0 The August 1976 issue of the Economic Congo------1,031 206.0 Education Bulletin, published by the simple majority even on questions highly important to the United States if deemed Bhutan ------1, 035 206.0 American Institute for Economic Re­ Trinidad & Tobago_____ 1, 060 "not important" by the General Assembly. 201.0 search, is devoted to a study of the United A critical question therefore is, What coun­ Mauritania ------1, 290 165.0 Nations and the benefits

Member: Population Vote been reached or not understanding that the anti-American. More anti-American, surely, Sweden ------8, 177 26.0 evils they deplored were attributable to im­ than it was ever anti-Soviet. The reasons for Bulgaria ------8, 706 24.0 perfect freedom, many leaders in thought this are not obscure. The British were not Portugal------8,740 24.0 and action sought to turn back; thus the overmuch admiring of Americans in that Greece------8,960 24.0 counterrevolution was born. era, nor we of them. In part their attitude Byelo, SSR ------9, 003 24.0 "The counterrevolution is in progress began as aristocratical disdain. But more Mozambique ------9, 030 24.0 throughout the world. It is clearly recognized importantly, America was seen as quintes­ Cuba ------9, 090 23.0 as communism; but fascism, various sociallst sentl:ally capitalist.'' Ghana------9,610 22.0 governments, the New Deal, and the welfare At a later point in the Reader's Digest Belgium ------9, 757 22.0 state all have grown from the same roots." article, Dr. Moynihan asked why the devel­ Chlle ------10, 410. 20.0 In another article, first published in 1966 oping countries joined the communist coun­ 20.0 and also included in the aforenoted booklet, tries in assalling U.S. policies. lie conjec­ liungary ------10,460 we concluded: tured. Iraq ------10,770 20.0 Uganda------11,170 19.0 "Nations, that is to say the governments "First, the developing nations could ally Venezuela ------11, 630 18.0 of nations, are the actual members of the with the totalitarians because so many, hav­ Malaysia ------11, 700 18.0 United Nations. By far the most of those ing edged toward authoritarian regimes, Nepal------12,320 17.0 governments are committed to the counter­ faced the same problems the communists Kenya ------12, 910 17.0 revolution, to the ages-old notion that man would have encountered with a. liberal (in Australia ------13, 542 16.0 exists to serve the State. Protesting good in­ the sense of libertarian) analysis of civil Netherlands ------13,598 16.0 tentions, such governments do not hesitate liberties. Secondly, the developing nations Sri Lanka______13, 680 16.0 to rob Peter in order to buy Paul's vote had a.n interest in deprecating the eoonomic Czechoslovakia ------14, 690 15.0 (wherever Paul's vote is considered). Such achievements of capitalism, since almost Tanzania ------14, 760 14.0 governments insist that the fetters of a con-· none of their own man~ed economies was Peru------15,380 14.0 stitution, the hinderance of a truly inde­ doing well.'' Algeria ______.: 16, 280 13.0 pendent supreme judicial body, and inalien­ Although the United States often has been Morocco ------16,880 13.0 able rights for citizens are anachronisms in outvoted in the General Assembly, repre­ East Germany______17, 170 12.0 the modern world. . . . sentatives of this Nation often have acqui­ Sudan ------17,324 12.0 "Thus we come to the crux of the situa­ esced in or even actively supported U.N. Afghanistan ------18, 800 11.0 tion. The United Nations is so organized actions clearly at odds with the principles of Romania ------21, 030 10.0 that no person capable of intelligent analysis liberty and voluntary cooperation that Yugoslavia ------21, 160 10.0 should expect it to do otherwise than helped make this Nation great. VVe describe Canada ------22,659 9.4 strengthen the counterrevolution. The below some recent examples of counterrevo­ Colombia ------23, 950 8.9 United Nations will endeavor to pillage the lutionary economic policies of the United Zaire ------24, 220 8.8 assets of VVestern civilization, especially those Nations. South Africa______24, 920 8.5 of the United States, and to dissipate those DECISIONS FOR REDISTRIBUTION assets throughout the rest of the world in Argentina------25,050 8.5 Since the early 1960's, U.N. decisions con­ Ethiopia ------27,240 7.8 a vain effort to make socialism 'work.' The 'Trojan liorse' of the twentieth century may cerning economic development have revealed Burma ------29, 560 7.2 ever more clearly the goal of redistributing Iran ------31,960 6.7 achieve slightly longer terms in office for the numerous governments concerned, but at the accumulated and currently produced Poland ------33, 690 6.3 wealth of the member countries. Spain------35,220 6.0 the expense of billions of individuals who Turkey ------36, 270 5.9 will continue to pay the price on an increas­ In December 1974, the General Assembly Egypt ------36, 420 5.8 ing scale for abandoning the only road to a adopted a "Charter of Economic Rights and Thalland ------41, 020 5.2 better world." Duties of States.'' The stated purpose of this charter is "to promote the establishment of Phlllppines ------41, 500 5.1 ANOTHER VIEW OF THE UNITED NATIONS Ukrainian SSR ______· 47, 136 4.5 the new international economic order, based So flagrant have become the abuses of de­ on equity, sovereign equality, interdepend­ FTance ------52,510 4.0 veloping and communist countries in press­ Italy------55,586 3.8 ence, common interest and co-operation ing their will upon the United States through among all states ... .'' VVho could take issue United Kingdom______55, 930 3.8 the United Nations that even some "liberals" 3.7 with that seemingly noble purpose? VVestMexico Germany ------______62,04058, 120 have spoken against those practices. Dr. Dan­ 3.4 iel Patrick Moynihan has been the most not­ One of the sections of this charter deals Pakistan ------,----- 68, 120 3. 1 able of these. lie gained instant national at­ with foreign Investments. The U.S. Council Bangladesh ------71, 317 3.0 tention in March 1975 by severely criticizing of the International Chamber of Commerce Nigeria ------79, 759 2.7 some practices of the developing countries analyzed this section of the charter and con­ Brazil ------107, 661 2.0 in an article published in Commentary mag­ eluded that: Japan ------109, 670 1.9 azine. The popularity of his views increased "This Charter, among other things, en­ Indonesia ------127, 590 1.7 cour~es nationalization of foreign property United States ______212, BOO after he was appointed U.S. Ambassador to 1.0 the United Nations on June 30, 1975. and the likely substitution of state corp6ra­ U.S.S.R ------250, 900 0.8 In the aforementioned article, Dr. Moyni­ tions for foreign-owned private enterprise. India ------586,270 0.4 han noted that the United States regularly It set forth the notion of reparations for China ------BOO, 000 0.3 has found itself among a small minority in alleged colonial or neo-colonial 'coercions' of THE "TROJAN HORSE" OF THE TWENTIETH the U.N. General Assembly during recent the past. . . . The Charter endorses expro­ CENTURY years. lie attributed this development to the priation without compensation. It rejects In an article first published in 1958 and expansion of the U.N. membership from the international adjudication of economic dis­ putes between a. host government and a for­ now included in an Institute booklet 1 we original 51 membP.rs to the current 141 mem­ pointed out: bers, with the great majority of them led eign investor... .'' 2 "VVesteru civilization as we know it today by persons who hold the common belief that Last September the General Assembly held. is the outcome of a great revolution that fol­ they have a rtgh!t to make olaiins on the a special session to consider problems of lowed the acceptance of new ideas and that wealth of otheT countries. economic development. The preamble of the accompanied the progress toward individual Accordilng to Dr. Moyndhan, slnJCe many of resolution adopted at that session recalled freedom including equality of opportunity the recently independent countries were the purpose of the Charter of Economic and economic justice for all men. liowever, former Brttish colonies, the leaders of those Rights, and the resolution set forth some virtually complete freedom as herein de­ countries accept the deceivingly popular working objectives. VVith reference to funds scribed has not yet been reached except in noti·ons espoused by the Fa.blan sooia.lists of for development, the resolution stated that relatively small areas of the world and even Great Bl"...tain. In the June 1975 Reader's such funds "need to be increased substan­ there only for brief periods. Digest condensation of his Commentary arli­ tially, their terms and conditions ameliorated "Perhaps primarlly because we of this cle, Dr. Moynihan described two key aspeots and their flow made predictable, continu­ civ11izatlon have stopped short of the goal, of British socla.Lism illl these words: ous and increasingly assured so as to facili­ the results have in part been an inequitable tate the implementation by developing "First, it contained a s~icton of, almost distribution of currently produced wealth. In countries of long-term programs for eco­ ~ bias against, economic development. The nomic and social development.'' The reso­ the minds of many, not even the material fundamental as...c:ert1on was that there waa progress made possible by the great revolu­ lution added that those funds should be plenty of wealth to go a.rollll.d if only it were given without any obligation on the part tion can offset the results that seem so evil. fairly distriburted. Redistribution, not pro­ Either not reaUzing that the goal had never of the recipient countries to use the funds duction, rema.ined: central to the ethos of in the donor countries. British sooia.ll.:sm. Pr:oflt became synonymous VVlth reference to international monetary 1 "Can Our Republic Survive?" Economic with exploitat·ion. Education Bulletin, Vol. IX, No. 4, May 1969, "The second point about socialist doctrine $1.00. as it 'developed in Britain was that it was 2 Quoted in Barron's for June 2, 1975. November 1, 1977 EXTENSIONS OF REMARKS 36413 reform, the resolution recommended that "They prevailed on Luxembourg's prime assured me saying, "I know you don't there be a link between new allocations of minister, Gaston Thorn, current chairman agree with me on the United Nations, but Special Drawing Rights and development of the Common Market's top decision-mak­ I want to work to earn your support." He assistance." It specified that "arrangements ing body, to call West German Chancellor for gold should be consistent with the agreed Helmut Schmidt and British Prime Minister repeated this statement to the Senate objective of reducing the role of gold in the James Callaghan to secure their rejection of Foreign Relations Committee as an in­ system and with equitable distribution of the text. dication of his newfounu "moderation." new international liquidity." Some changes "In the end, Paul Boeker, deputy head of We soon found out that it was my omi­ consistent with this objective are contained the U.S. Delegation. read !t alone to the nous prediction, not Andrew Young's in the new international monetary arrange­ final session. He emphasized that all the U.S. promise, that was fulfilled. ments agreed upon by the International had agreed to was 'con:;:ultations prior to a Monetary Fund members in Jamaica on Jan­ decision whether to enter into negotiations' During my testimony against Mr. uary 8, 1976.< on a common fund." Young's nomination, I pointed to the The Fourth Session of the United Nations Further clear evidence that officials of the fact that he had a long and close friend­ Conference on Trade and Development developing countries ha\'e continued to pur­ ship with the leader of a terrorist group (UNCTAD IV) concluded a lengthy session sue counterrevolutionary goals is a recom­ in South Africa, Robert Mangaliso So­ in Nairobi, Kenya on May 31 , 1976. The mendation adopted by the United Nations bukwe. Young had two of Sobukwe's demands made by officials of the developing Conference on Human Settlement on June 11 adult children living in ·his home while countries at that meeting included a price­ 1976 in British Columbia. The delegates at that conference recommended severe restric­ they studied in this country. Young has support system for basic commodities fund­ made it clear that this is a political act, ed by both industri~lized and developing tions on the private ownership of land. Ac­ countries. Those officials demanded that cording to The New York Times for June 12, not a charitable gesture. On January 15, industrialized nations force private compa­ 1976, the delegates declared: 1977, he appeared on the television pro­ nies to make available to the developing "Land, because of its unique nature and gram "America's Black Forum" and said countries the latest technological advances, the crucial role it plays in human settlement. he was raising the children of Pan Afri­ to train persons in developing countries in cannot be treated as an ordinary asset, con­ canist Congress leader Robert Sobukwe trolled by individuals and subject to the advanced skills, and to restrict the "brain w~o "are living with me and going to drain" from developing countries. pressures and inefficiencies of the The most obvious redistributive demand market ...." school in Atlanta. That kind of program made in Nairobi involved the rescheduling "Private land ownership also is a principal could be a Government sponsored pro­ and cancellation of debts of some developing instrument of accumulation and concentra­ gram." He went on to say, "There should countries. One arrangement suggested was tion of wealth and therefore contributes to be a plan, right now, to train leadership that the debts of 29 poorest countries be social injustice; if unchecked it may become to be able to run South Africa once ma­ cancelled and those of another 40 developing a major obstacle in the planning and imple­ jority rule comes." Early in September, countries be extended without payments of mentation of development schemes." What was the U.S. response to this pro­ the son of PAC leader Sobukwe living principal or interest to the end of this dec­ with Ambassador Young and the daugh­ ade. If this suggestion were adopted, some posal? The New York Times reported that the people would have to absorb the losses in­ U.S. delegation said that "the land-manage­ ter of Albert Luthuli, leader of the rival volved. Those people clearly would be the ment proposals were not inconsistent with South African terrorist organization taxpayers of the industrialized nations. established national practices in the United called the African National Congress Although representatives of these nations States." London, as reported in quire the rewriting of virtually every Ameri­ that we were "bought and paid for," as the the Washington Star of May 26, 1977, can history textbook, was revealed by Presi­ president put it, like so many Alaskans and that Cuba's new intervention in Ethiopia dent Carter over the weekend during a speech Californians. It is humiliating, but one can­ was a good thing because, he said, in Denver. In defending his proposed Pan­ not argue with White House historica.l dis­ I guess I think maybe the Cubans might ama Canal treaty, the President announced: coveries. be a little more rational than the Ethiopians "We have never bought it, it has not been One might only hope that the White at this point. ours. We are not giving it away. There is no House historians will come upon a. dusty semblance between the status of, say, the treaty showing that we bought the Panama He hoped the Cuban troops would end Panama Canal Zone and Texas or Alaska, Canal, too. And maybe Acapulco, the Left the bloodshed in Ethiopia: perhaps he is that were bought and paid for and over Bank of Paris and Red Square. Consid'ering unaware that wherever the Cuban Com­ which we have always had sovereignty." these recent historical revelations, nothing Well, well. This is, indeed, a shock. To is impossible. munists have gone they have caused think that all this time we have been lied to. more killing and the suffering of more But monumental historical revelations by As for Texas, we simply must come to grips innocent people. presidents are not new. Remember President with the transparently clear fact that history While the world watches in horror, Gerald Ford's discovery that eastern Europe has lied to us. This will require a few adjust­ the Vietnamese Communists are system­ is not under the domination of the Soviet ments, such as the names of various parks, atically murdering their conquered poli­ Union. No doubt 100 m1llion eastern Euro­ streets, counties and cities. And some statues peans-hearing this starting announcement will need to be replaced. Not to mention a tical opponents and holding tens of thou­ formal apology to Prince Charles for wasting sands of others in slave labor camps, on hidden shortwave receivers-would have danced in the streets if the Russians would all his time in San Antonio touring a mean­ Ambassador Young boasts of the help he have let them. ingless Spanish mission. His ire might be gave the Communists in their drive to President Carter's news was not accepted mollified if we explain that President Carter conquer South Vietnam. On September by certain nonrevisionists. Dr. L. Tumy Ellis has it on good authority that Britain never 20, 1977, he spoke at the United of the Texas State Historical Association has sold the U.S. Nations to welcome the Communist dele- retorted: "The United States certainly did In any event, we Texans are left with no November 1, 1977 EXTENSIONS OF REMARKS 36415 choice but to set the record straight. Out mum wage is increased. Nor is there logic to pense of adults Inight create more problems goes the San Jacinto Battlefield, that figment show why employers would (or how they than it would solve. of our ancestors' imagination. Out goes the could) raise everyone's pay just because the On the other hand, the fact that the Inini­ Alamo, another monument to mythology. minimum wage was increased. Moreover, the mum wage mainly affects teenagers under­ President Carter made one thing perfectly complaint that an increase in the minimum cuts the argument that it is an effective tool clear, the U.S. has always had sovereignty wage will increase total wages paid ("labor against poverty, since teenage workers are over us. costs") is somewhat inconsistent with the rarely fainily heads and are not necessarily He is right. There was no Republic of simultaneous claim that many fewer workers from poor fainilies. Texas. No Travis. No Bowie. No Crockett, Sam will actually get those higher wage rates. Many of the discussions of an increase in Houston probably concocted the whole bi­ Finally, although prices might ultimately the Ininimum wage lose sight of a simple zarre story after a three day binge. Or maybe have to rise in a few industries in which low­ fact: those currently working at the mini­ he returned to Tennessee for a visit and wage workers are an important part of costs, mum wage rate would get a raise in pay. someone said, "Hey Sam whatcha been such a relative price increase is not inflation. Since such people far outnumber the most doing?" So Sam, thinking on his feet, fabri­ If people pay more for hamburgers, they wlll extreme estimates of the number who might cated the first Tall Tale of Texas. have a little less money left with which to find it harder to find work at the higher wage, buy other things-total demand and overall they deserve some consideration in a bal­ Our task is clear. The Plains truth is that anced assessment of the net effect. we must forget the Alamo. inflation remain unaffected. Arguments about the employment effects of a minimum wage rate have likewise been exaggerated. The minimum wage could not cause much unemployment for the simple SOVIET JUSTICE MINIMIZING THE MINIMUM WAGE reason that very few workers are affected by the law and increases have been small and in­ frequent. On the other side, however, the HON. JAMES H. SCHEUER HON. MARTY RUSSO argument that a higher minimum wage in­ OF NEW YORK OF ILLINOIS creases consumer purchasing power depends IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES on the questionable assumptions that an in­ crease in wages per hour is not offset by a Tuesday, November 1, 1977 Tuesday, November 1, 1977 reduction in hours of work offered, and that the income gain of those who receive the Mr. SCHEUER. Mr. Speaker, at the Mr. RUSSO. Mr. Speaker, I want to higher wages is not offset by the income loss conclusion of my remarks I have ap­ share with my colleagues an article pub­ of the consumers who ultimately pay the pended an article from New York Maga­ lished recently in the First Chicago higher wage. zine entitled "Defending Yuri Orlov." World Report, a publication of the First At the present time, a little over three mll­ The article tells the story of a British National Bank of Chicago, discussing the lion workers (out of more than 90 mllllon) attorney's efforts to defend a Russian economic issues connected with minimum are directly affected by the minimum wage. Nearly half of all employees were not even professor, Yuri Orlov, against charges wage legislation. The article brings into that, as of now, have not been made. focus the true scale of minimum wage covered by the federal minimum wage law before 1961---40% unt111966, and 20% since­ Professor Orlov has been a longstand­ employment in this country by empha­ so that the effect of the law on total em­ ing critic of the Communist Party's poli­ sizing that increases in the minimum ployment was even smaller in the past than tics in the Soviet Union. After being wage have little direct impact on overall it is today. fired from his university job he set up inflation. In fact, when the minmium The portion of the work force that might a commission to monitor adherence by wage falls to levels below the poverty line, possibly experience adverse employment ef­ the Soviets to the Helsinki accords. It we run the risk of increasing the number fects from a higher minimum wage is tiny in was this latest action which led directlY of Americans who are forced to seek pub­ comparison with cyclical causes of variations lic assistance, thus placing added pres­ in employment. to his arrest. A legislated increase in the wage floor The article documents a peculiar kind sures on public funds. would ultimately have to be recovered in of justice. The British barrister, John It is our country's policy to protect higher prices in the few affected low-wage in­ McDonald, has not yet been able to see America's working poor by providing a dustries. Hamburgers in fast food franchises. his client. He has not yet been able to minimum wage which insures just treat­ for example, would be a bit more costly. It talk to his client on the telephone. And ment by employers and a livable wage for that resulted in fewer hamburgers being sold, he has no real familiarity with Russian a person's hard work. then job opportunities in that business would grow less rapidly. law or with the charges against Profes­ I commend this article to my col­ sor Orlov. The dogged persistence of this leagues attention: The size of such employment effects, how­ ever, remains unclear. If Ininimum wages British attorney must be complimented. MINIMIZING THE MINIMUM WAGE are little higher than what would naturally One might be tempted to ask why Pro­ Every few years, the U.S. goes through the result from employers bidding for labor, then fessor Orlov's wife retained a foreign at­ ritual of adjusting minimum wage laws. And there would be little employment effect. If torney. A Soviet attorney in exile an­ just as regularly, the business and labor com­ there was little effect in one year, then a sub­ swered this question as follows: Orlov munities engage in exaggerated discussions sequent increase in the Ininimum wage that about either the dire consequences or marvel­ just kept pace with the rise in the affected should tell the court that he did not wish ous benefits that can be expected as a result. prices would still have no appreciable effect. to make things difficult for a Russian In fact, increases in the minimum wage have Estimated effects of the minimum wage on lawyer. Therefore, he retained foreign typically been quite modest, compared with teenage unemployment have not adequately counsel who would uot be afraid to put increases in other wages or prices, and the accounted for the enormous growth in the in a plea of not guilty. effects have been fairly innocuous. number of teenagers that the civ1lian job Mr. Speaker, the quality of Soviet jus­ To judge by the hyperbole surrounding market has had to absorb. The population tice has long since ceased to amaze me. minimum wage legislation, one might sup­ aged 16-19 soared from 9.2 milllon to 17 mil­ I commend this article to my colleagues: pose that the fate of the Republic would be lion in the past two decades, and the shrink­ decided by a change of a few cents in one age of the armed forces since the Vietnam DEFENDING YURt 0RLOV direction or another. A prominent business era has reduced a major source of teenage A friend in London writes: economist claims that an increased minimum employment. Still, the leading studies only John Macdonald is a well-organized forty­ wage would add two milllon to the ranks of attribute 13% to 17% of teenage unemploy­ five-year-old British barrister and Queen's the unemployed and 3% to consumer prices. ment to the largest past increases in the Counsel who acquired a client in Moscow A labor leader suggests that failure to in­ minimum wage. last March and has wanted very much to crease the minimum wage would swell the To keep things in perspective, it is impor­ visit him. When Macdonald applied to the welfare rolls. Someone else tells us that a tant to recognize the high turnover of teen­ Soviet Embassy in London in April for a visa, higher minimum wage would boost consumer age employment. In June, for example, 69% the staff kept his passport for ten days, purchasing power, and thus increase em­ of the teenage unemployed had been out of then turned down his request. He is now ployment. work less than five weeks. about to ask again for a visa. Although Consider the simple idea that higher mini­ There has nonetheless been substantial Macdonald has experience in working for mum wage rates must mean higher wage support for a lower minimum wage rate for faraway clients, he has never defended a man rates in general, and therefore more inflation. teenagers. Under such a. system, an employer before a court that he, the lawyer, was not Evidence does not support this contention would naturally choose a 19-year-old over permitted to set foot in. Macdonald thinks that overall wage rates rise any faster than someone who is 20 and equally unskilled. of himself as an ordinary commercial lawyer, they otherwise would in years that the mini- Bending the law to aid teenagers at the ex- but he has an interest 1n the rights of indl- 36416 EXTENSIONS OF REMARKS November 1, 1977 viduals against governments (he is chair­ that even if I should be allowed to go to they were living. Ludmilla Alexeyeva, who man of the British Association of Liberal Moscow I would be a thundering liabll1ty to had served with Orlov in the Mo5cow grorup Lawyers) , and he recently served as counsel Orlov in a Moscow court. I speak three or for a.lmost a year, oa.me from New YOTk to to the Banaban Islanders in the Pacific, four words of Russian. I would get shouted testify about how she hiad gathered evide·nce helping them win the offer of a settlement at by the judge. I have had to work out a for several reports she had worked on (the of six mlllion pounds for losses that re­ different sort of defense." g:roup publislhed nineteen full-scale reports): sulted from the exploitation of their Island Macdonald believes that Orlov wlll prob­ for one she had travelled in Lithuania to in­ by phosphate-mining companies. His Rus­ ably be charged under Article 190-1 of the vestigate in pel'ISOn the troubles of a ruumber sian client is Professor Yurt Orlov, a fifty­ Soviet Code, which deals with "the system­ of Roman Catholic children who had been ex­ three-year-old physicist who has been in atic circulation ... of fabrications known pel·led from their school for visiting a priest. trouble on and off with the Soviet authori­ to be false which defame the Soviet state and A young woman named! Lydia Voronina de­ ties for criticizing Communist Party poli­ social syf!tem," and that he may be punished scribed a three-week trip she had made to cies. In January, 1974, after founding a So­ by a sentence of up to three years. The Soviet Asiatic Rus.sia, under the close surveillance viet unit of Amnesty International, and authorities no doubt assume that imposing of the K.G.B., to exoamine the hardships of after writing a letter to Brezhnev defending such a penalty on Orlov would discourage two Christian Pentecostal communities. The the dissident Andrei Sakharov, Professor dissent. Orlov and Andrei Amalrik, a Soviet hearing at the institute in Belgrave Square Orlov lost his job at the Institute of The­ writer now in the United States, had realized brought about the largest gathering of Rus­ oretical and Experimental Physics in Mos­ that the Helsinki Accords-though not the sian dissidents to take place in the West in cow; for the next couple of years he earned most forthright of international agree­ recent times. According to many observers, it a living coaching students for university­ ments-could be turned to good use in was a moving occasion. Four television crews entrance exams. In May, 1976, Professor Russia. The Soviet government, with arbi­ were there, but the ensuing press coverage Orlov helped set up a citizens' group of trary thoroughness, had publicized the Ac­ was spotty. Next day, the tabloid Daily Mail eleven to promote and monitor Soviet ob­ cords, and, having said that it would respect gave the hearing its entire front page, but the servance of those sections of the Helsinki such human rights as freedom to travel and Guardian didn't mention it at all. Macdonald Accords dealing with human rights. On Feb­ communicate, had laid itself open to the says, "There is a strong feeling in the British ruary lOth of this year, Professor Orlov was charge of fa1ling to do so. Orlov is said by press that nothing can be done about arrested. Seven or eight other members of his friends to have great organizing abillty. Russia-let them get on with it. Besides, Orlov's group and other such groups have He is an approachable man, who listens well. many editors believe that none of their also been arrested. However, Ludmllla Alex­ People from all walks of life, and from all readers understand Russian names." But he eyeva, in whose apartment Orlov was ar­ over the Soviet Union, have been in contact adds, "If a fair-minded person reads the Orlov rested, was allowed to leave the Soviet with him. Under his leadership, the Moscow groups' original reports and couples them Union and is now in New York. On Helsinki group made possible a form of dis­ with the evidence given at the institute hear­ March 28th, when she was in London, she sent not confined to intellectuals-a form ing, he can't avoid the conclusion that the asked Macdonald to defend Yuri Orlov. seen in other Eastern-bloc countries but reports were well researched and written in a Macdonald at first had doubts. Would it never before in the Soviet Union. The Soviet sincere belief in their truth." make matters worse for Professor Orlov to government is thus exceptionally worried Macdonald is now conducting a postal bat­ have a foreign lawyer? Would it be possible about Orlov's effect. tle with the Soviet authorities. He has sent for the lawyer to communicate with his Macdonald's campaign for the defense has off dossiers of the hearing evidence to the client? But by April 11th, when he spoke on been conducted on two fronts. He says, "First, Russian Embassy in London and to the office the telephone with Irina Valitova, Orlov's I've gathered evidence to show the truth of of the Chief Procurator, in Moscow. He has wife, and she implored him to defend her what the Helsinki group has been alleging­ used registered mail, with prepaid requests husband, he had already decided to do so. in other words, to show that the reports for advice of delivery, and recently received He has since talked with her several times. they've published are true and therefore are word from the Russian Embassy that his She speaks a little French, and calls not defamations or slanders. I want Mrs. mail has been received by the Procurator's from a public-telephone box in Moscow. Her Orlov to have this evidence, so that she can office. He has sent similar bundles of evidence own phone was curt; off a year ago. Calling give it to her husband. I also, of course, to Mrs. Orlov in the same manner, and has Moscow is difficult, Macdonald says. Some­ would like to see Professor Orlov and advise written to the Russian Ambassador in Lon­ times the phone rings and is answered, and him, so that he may defend himself in court. don telling him that he has done so and that then, when you announce your name to the His friends feel that he could do a good job he will be interested to see if Mrs. Orlov re­ person who answered, it goes dead. Often, if he had the material." Macdonald's second ceives them. He has not heard that she has, when a call is put in from Russia to a West­ front is necessary because he believes that and he has had no reply from the Ambassa­ ern number that the authorities are con­ the Russians wlll probably not let him in. dor about this. He intends to pursue the cerned about, no connection is made. Mrs. "I doubt if they will name a date for the matter to find out why the Russians are not Orlov has not been allowed to see her hus­ trial," he says. "I think they will spring it fulfilling their obligations under interna­ band since his arrest, or talk with him by on Professor Orlov quietly, and before the tional postal agreements. Macdonald has also phone, or even leave a letter for him at Lefor­ Belgrade conference on the Helsinki Accords written the Chief Procurator, R. A. Rudenko, tovo Prison, in Moscow, where he is confined. resumes this fall. I imagine the trial will be a one-lawyer-to-another letter, in which he However, in the last week of June she was in Moscow, and, although a few of Orlov's passes on the greetings of the British Lord questioned at the Lubyanka headquarters of friends may be able to get into the court­ Chancellor, Lord Elwyn-Jones, with whom the K.G.B. security police and was told that room, the intiative will remain entirely with Rudenko served on the Allied bench at the her husband had been charged with spread­ the Soviet authorities. I therefore decided to war-crime trials in Nuremberg. Macdonald ing "deliberately false fabrications defaming start presenting my client's defense here in asks Rudenko to look into the Orlov mat­ the Soviet state and social order." London and, by publicizing it as widely as I ter, and reminds him that holding persons In his panelled chambers in a quiet quad­ could, insure that his case was heard." incommunicado without publishing charges rangle of Lincoln's Inn, in London, Macdon­ On June 13th, two days before the first, against them is the sort of conduct that ald has been fam111arizing himself with as­ agenda-arranging session of the Belgrade Rudenko and Elwyn-Jones would have con­ pects of the Soviet legal system. Books on conference opened, Macdonald made a de­ demned at Nuremberg. He has not heard Soviet law sit on his desk. He has talked tailed presentation of Orlov's defense at the from Rudenko, or from the Moscow College with Soviet lawyers who have left Russia and Institute of Physics in Belgrave Square; of Advocates, to which he addressed a letter with Russians in exile, like Vladimir Bukov­ members of the institute had offered him the asking for information about Orlov's case. sky, who have experienced Soviet practice space as a way of showing their support for Macdonald says, "It's a tragedy that in a through arrest, prison, trial, and confinement their Russian colleague. At the Institute of political trial in Moscow today there are no in mental hospitals. Under Soviet law, a per­ Phys.ics, before an invited: jury o·f diplomats, lawyers who are prepared to ask for an son may be kept in prison for nine months llawyers, and journalists, Mr. Macdonald ques­ acquittal. One distinguished Russian woman while he is under investigation. During this tioned a number of Russians, who ha.d come lawyer, Sophie Kallistratova, who defended period, he often has to share a prison cell from new homes in such p11aces as France, several dissidents, including General Gri­ with a man who is an informer. At the end California, Im-ael, and Ger:man.y. They gorienko, is reported to have joined the Hel­ of the period, having had little chance to testified to psychi:a.tric abUE:e, mistreatment sinki group and to have lost her right to ap­ prepare a defense, he is taken before a court in ho.spitals, prisons, and oaznps, i.nlterference pear in political trials. As for the judges, with no jury but with a judge and two civil­ with telephone calls and letters, the persecu­ they appear to do their best in ordinary civil ians (called "people's assessors") who all vote tion and har;assment of religious commu­ or criminal trials, but in political cases they on the verdict and with a lawyer "represent­ nities, the sep·aoo;Uon of famil:i:es, and the dU­ seem to resign themselves to the dictate that ing" the Soviet people. The prisoner is sup­ ficulty o:r impossibility of leaving the coun­ the state comes before all else. Even so, I posed to have a chance to meet a relative try. The witnesses included Vladimir Bukov­ should think that the need to explain away before trial. He may be defended by anybody sky, And!l'ei AmaJ.rik, the mathematician the failure to make an independent, just de­ of whom the court approves. Macdonald says, Leonid Plyushch, and the poet NatalY~B. Gor­ cision must have been uncomfortable for "There is nothing in the Soviet code to say banevskaya, who aLl dlecliared their wllltngneoo them from time to time. One Russian law­ you can have a foreign lawyer, and nothing to be summoned' to give evidence in the Soviet yer, now in exile, has said to me that Pro­ to say you can't. However, I soon realized coul'lt or at a Soviet con.sulate in the country fessor Orlov, when he is asked why he has November 1, 1977 EXTENSIONS OF REMARKS 36417 accepted a foreign legal adviser, should tell leading to "formidable" developments in upon her throughout her career include: the court that he didn't want to make life understanding disease. difficult for a Soviet lawyer-that he thought A number of honorary doctor of science it better to get an outsider. who would not Thomas Edison described his career as degrees; the Federal Woman's Award be embarrassed by declaring in court that "99 percent perspiration and 1 percent 0961) ; the Gairdner Foundation Inter­ his client was innocent and that the state, inspiration.'' On the afternoon of Octo­ national Award 0971); the Veterans' therefore, was in the wrong." ber 14, at the Kingsbridge Hospital, Administration Exceptional Service his definition was altered slightly. Dr. Award 0975) ; the Sustaining Member­ Yalow, after admitting that she "shook ship Award of the Association of Mili­ for an hour" upon learning the news, ac­ tary Surgeons 0975); very notably, the TRIBUTE TO DR. ROSALYN S. knowledged the admiration of the world Albert Lasker Basic Medical Research Y ALOW, RECIPIENT OF THE 1977 by offering her own hypothesis. "Well, Award C1976), and the "La Madonnina" NOBEL PRIZE IN PHYSIOLOGY I can tell you it is 99.5 percent perspira­ International Prize of Milan this year. AND MEDICINE tion." No one in that room, or those who We have had an opportunity to ad­ knew or were to read or hear of the ac­ mire the nature of the person, and learn count of her work, would doubt the ex­ of her extensive background. Now let us HON. MARIO BIAGGI tent of her dedication and personal com­ take a look as lay people at the essence OF NEW YORK mitment to her work. and importance of her work, toward our Rosalyn Yalow has lived in the Bronx IN THE HOUSE OF REPRESENTATIVES own understanding and appreciation. for all of her 56 years. Her academic ca­ Radioimmunoassay is considered to be Tuesday, November 1, 1977 reer began at Public School 51. She was one of the most important advances in 20 Mr. BIAGGI. Mr. Speaker, let us and to graduate from Walton High School years in basic r~earch, which has been our colleagues here today reflect but for and Hunter College, and to win her Ph. D. directly applied to clinical medicine. It one moment on an event of almost 3 in physics at the University of Illinois is in use in over 4,000 laboratories in weeks ago, one-quarter of the globe dis­ in 1945. It was at Illinois that she met this country alone, and also in thousands tance away. The place was Stockholm, her husband, Dr. Aaron Yalow, who is abroad, for identifying, and measuring Sweden. The date was October 13. 1977. professor of physics at New York's the concentration of, hundreds of sub­ There was an announcement for the Cooper Union College of Engineering. stances. The substances are both phar­ world, and we can imagine that it was The Yalows have raised two children, macologic, such as drugs, and biologic made in this way. The 1977 Nobel Prize Benjamin, 25, a systems analyst at the including among others, hormones, vi~ in Physiology and Medicine is awarded City University of New York, and Elanna, ruses, vitamins, and enzymes contained to an American, Dr. Rosalyn S. Yalow of 23, a third-year graduate student at in blood, tissue extracts, and other bio­ the Bronz, N.Y., a physicist and Veterans' Stanford University. logic fluids of the human body, as well Administration career research scientist Dr. Yalow's career is as outstanding as in animal, vegetable, and plant life. at the Kingsbridge VA Hospital. as it is diversified, and it is difficult to Radioimmunoassay is an application That occasion has extraordinary mean­ be brief here for such an illustrious sub­ of nuclear physics in medicine. It uses ing for so very many people. It was a day ject. Her offices include: Teacher of immunology and radioactive isotopes to for mankind, her country, the Bronx, the physics at the University of Illinois and measure the body substance concentra­ U.S. Veterans' Administration, the Kings­ Hunter College; consultant to hospitals, tion. It is performed by using antibodies bridge Hospital, her many devoted col­ the Bronx VA facility, and Lenox Hill; molecules that are produced by th~ leagues, and especially her family. There diplomat to the American Board of body's immunological system. A specific was only the regret, that the honor of Radiology in 1951, and services as a phys­ antibody will combine only with a spe­ that day could not be shared with her iscist for two decades at the VA Bronx in­ cific molecule, such as a hormone. In ra­ former associate, the late Dr. Solomon A. stitution. Dr. Yalow has been senior med­ dioimmunoassay, antibodies, for the hor­ Berson, who was mentioned in the Nobel ical investigator for the Veterans' Ad­ mone to be measured, are injected into citation. ministration since 1972; director of the the body. The first injection is followed Solomon A. Berson Research Laboratory by an injection of a radioactive form of Mankind reaped the benefit of her since 1973, and chief of the nuclear med­ the hormone. The concentration of the work. She helped to maintain the recent icine service since 1970, both positions hormone can be determined by measur­ American dominance of the Nobel medi­ at the Bronx Veterans' Administration ing how much of the radioactive hor­ cal tribute. A Bronxite was now a citizen Hospital, as well as distinguished serv­ mone binds to the antibody. of the world. She was a part of the great­ ice professor of the Mount Sinai School One might ask, How is this discovery est recognition ever accorded to the VA by Dr. Yalow significant? Blood and tis­ medical research program, highlighting of Medicine in New York. ~mes c?ntain many chemical substances, the expertise and professionalism of the Dr. Rosalyn Yalow has made many contributions in notable leadership ca­ mcludmg hormones, vitamins, enzymes, VA medical system. It was the culmina­ pacities to the most highly respected sci­ and others which are vital to the body's tion of 30 years of scientific research at entific and professional institutional and functioning, but whose concentration is the Kingsbridge facility. She excels as a organizational councils and committees too low, or whose chemical properties are giant among her peers. She is yet only throughout this Nation for two dec:ldes. too similar to those of other body sub­ the second woman to receive the medical She offered her expert assistance to our stances, to be measurable without radio­ prize, and the third to win a Nobel award immunoassay. Therefore, the role of this year. In the words of her proud son Government on the subject of careered­ Benjamin: ' ucation. She performed editorial services these substances in health and disease for publications of the highest technical could not previously be clearly under­ You ?an't say somebody deserves something stood. like th1s, but she deserves it. caliber. She served as a member of the National Academy of Sciences, to name Now by measuring the differences be­ Her loving mother, Carla Sussman of but one of her honorary professional tween what is normal in biologic mate­ Far Rockaway, added that she "has been memberships. In addition, Dr. Yalow has rials in health, and what is abnormal in a very good daughter who has never ne­ held distinguished lectures for educa­ them in disease, radioimmunoassay can glected anyone." tional, scientific, and professional audi­ determine what changes have taken Yes, Dr. Yalow had given humanity a ences throughout our country, and in place between the normal and the disease very special gift, her work, principally, Canada, for many years. states, and thus contribute to the clinical the discovery and development of a It is awesome to think that the No­ diagnosic::. of a disease. method of analysis called radioimmuno­ bel Prize has been called a crowning One may offer another question. What assay

America at our exploitive role in Panaro~ of prudent, conservative economic poli­ equating capital gains with normal income and they have spelled out in detail the likeli­ cies: ignores these facts. hood and consequences of serious disorders CAPITAL GAINS FOOLISHNESS Lastly, can the entrepreneur and the in­ vestor in high technology companies survive in Panama if the new treaties are not con­ (By Eleanora Kettler) firmed by the Senate. In this matter, former Carter's proposed trade-off of abolishing cap­ President Ford and Henry Kissinger are back­ Though Halloween is past, a goblin may be ital gains preferences in return for a lower ing Mr. Carter in the national interest, and Eeen hiding among the President's new tax ceiling on ordinary income? This appears their words should carry some weight with proposals-the new tax on capital gains, highly unlikely. Already evidence of a de­ moderates. which the Administration has grotesquely cline in investment can be charted back to As for Catholics who may be in doubt on masked as ordinary income. President Carter the Tax Reform Act of 1969 when an attempt the issue, we hope they will accept the rea­ wants to t::tx capital gains as ordinary income to seal off the "loophole" came by increasing soning of the American bishops when they up to a maximum rate to 50 %. taxes on capital gains. Leaving no stone un­ state that the basic question involved in a Capital gains are not ordinary income. turned, Congress then managed to tax the new treaty is the acknowledgment in princi­ They are, however, a source of income vital untaxed half of the capital gain by 15 %. ple and in fact of Panamanian sovereignty to entrepreneur.3, struggling new technology This caused. the capital gains tax to jump to over its own territory. "The terms of the 1903 companies, and in the larger framework,-the 42.5 % under the worst circumstances, in treaty acknowledge the principle of Panama­ health of the economy. Without the incen­ addition to any state and local taxes, which nian sovereignty, but prevent its exercise in tive of a c3.pital gains provision we are likely may take another 2 % to 6 %. any form in the Canal Zone. Without re­ to witness the emergence of a new group of The entrepreneur and the investor in high hearsing the history or terms of the treaty, investcrs-who will refuse the risk involved technology companies rely more heavily than we simply would affirm that the moral, legal in financing new businesses. It does not re­ other institutions on reinvesting a good deal and political realities of international life quire a great deal of imagination of foresee of their earnings in their own enterprises, to today render the 1903 treaty an anachro­ the consequences of such consolidated con­ promote rapid growth. Both of these investors nism." servatism among investors: the heartbeat incur a high risk over a long investment pe­ An anachronism indeed, and the sooner we of entrepreneurial activity will register a riod before receiving any coll)pensation. The are rid of it, the better. straight line on the economy's electrocardio­ WEMA Capital Formation Task Force in a gram. It is important to unmask this goblin before he arrives at our doorstep and we un­ recent study found that the current erosion wittingly hand over our capital. of investment capital in high technology The theory behind the present capital companies has been caused largely by recent THE TAX GOBLIN LURKING IN THE gains provision is perfectly sound. Invest­ increases in capital gains taxes. WHITE HOUSE ment is vital to the maintenance of a healthy Shutting the door on the capital market's economy. It creates jobs and advances our ability to support high technology companies standard of living. When successful, inves­ is contrary to the President's goal of improv­ HON. DAVE STOCKMAN tors realize capital gains. But investments ing energy technology. Further, by denying the entrepreneur a reasonable incentive to OF MICHIGAN are risky, frequently resulting in financial losses. Thus, as taxes on successful invest­ invest in new enterprises, the proposed IN THE HOUSE OF REPRESENTATIVES ments are increased, fewer individuals will chance will retard advanced procedures for Tuesday, November 1, 1977 accept that risk. Historically, experts have producing existing goods and services and recognized that low tax rates are necessary prevent future innovations in industry. By Mr. STOCKMAN. Mr. Speaker, in re­ to encourage badly needed investment. In taxing capital gains as ordina-ry income, we cent years the term "tax reform" has in­ fact, all other western nations currently tax will all be worse off. creasingly come to mean higher taxes and such gains at lower rates than does the U.S. lower economic growth. The evidence is Only in recent years have tax reformers de­ quite striking. During the 1960's, when veloped the theory that capital gains is an tax rates were reduced substantially and insidious loophole for wealthy investors, and THE SOCIAL SECURITY BILL this accusation distorts the truth. Carter strong incentives for capital formation fails to mention the fact that half of the were adopted, the average real GNP people paying capital gains taxes make less HON. GERRY E. STUDDS growth rate was 4.7 percent. By contrast, than $15,000 per year, with half of all capital OF MASSACHUSETTS after three or four major tax reform gains accruing to people with incomes of less bills since 1970, the average growth rate than the $30,000 level. IN THE HOUSE OF REPRESENTATIVES has plummeted to 2.3 percent. Nearly Unlike ordinary income, capital gains may Tuesday, November 1, 1977 all of the serious problems we have be the result of many years of waiting and many years of unrewarded compensation Mr. STUDDS. Mr. Speaker, one of the attempted to grapple with in this while one's venture capital is tied up. Taxing most critical issues which the House has session-unemployment, inflation, the a gain which may have arisen over a period considered this year is the problem of social security financing problem-have of years is absurd. Not only is the investor financing social security. This program been seriously exacerbated by this dis­ likely to be pushed into a higher tax bracket affects directly more Americans than any asterous drop in the trend rate of GNP by the gain, but much of the so-called gain other function of the Federal Govern­ growth. may be due to inflation. ment. The Carter administration now pro­ Take for example an investor who buys a plot of land for $1000. At an inflation rate o! I believe that it would be a serious mis­ poses to add fuel to the fire by taxing 5 %, the value of the land will increase to take for us to fool ourselves into thinking capital gains as ordinary income. The $1287 in five years. If the investor sells the that we have adequately resolved the major adverse consequences of such a land for that price, he will have to pay a problems facing social security through reform have been cogently summarized capital gains tax on the $288 in "profit"­ the recent passage of the social security in a recent issue of Dollars and Cents by even though in fact he has realized no gain, financing reform bill. Eleanora Kettler. since the value of his investment has not Before we will be able to claim that Warning that although Halloween is changed in real terms and he has realized social security is even remotely an equi­ over "a goblin may be seen hiding among only an illusory profit due entirely to infla­ tion. Many capital gains thus are only "paper tably financed and successful program, the President's new tax reform pro­ gains," and it is plainly unfair to tax in­ we will have to restructure the system posals," she suggests that "the heartbeat vestors on them. completely, and take a new look at the of entrepreneurial activity will register Capital gains income therefore differs from purposes and finances of each segment of a straight line on economy's electrocar­ ordinary income because: social security as it presently exists. diogram," if the President's proposal to 1. Substantially more risk is incurred earn­ Few issues have generated as much tax capital gains as ordinary income. ing capital gains because investor equity is correspondence from my constituents as Mr. Speaker, the threat posed by the at stake. has this problem. The following state­ administration's plan could not be stated 2. Gains made over a period of years are ment-which I hope will be of interest more vividly. I commend this article to taxed in a bracket determined by the size of to my colleagues-details my views on my colleagues for their consideration. I the gain in the year the gain is taken. (The the recent social security bill: might also add that Ms. Kettler is well tax law allows individuals to average income for a period of four years.) HOUSE APPROVES SOCIAL SECURITY FuNDING qualified to write on this topic: She 3. The basis for calculating capital gains CHANGES learned her economics from her father, is not indexed for inflation but ordinary in­ This past Thursday, a bill purporting to our colleague JoHN ANDERSON, who for come tends to rise with inflation, through restore financial stability to the social secu­ many years has been one .. of the most cost-of-living raises. rity system was approved by the House of eloquent voices in this House in behalf The present Administration's argument !or Representatives by a vote of 275 to 146. I November 1, 1977 EXTENSIONS OF REMARKS 36427 voted for this bUl-but with absolutely no I strongly believe that we must enact "uni­ The plaque was given to Vatterott by his enthusiasm. The legislation was hailed by its versal coverage" for every worker, since it is youngest son, Joseph H. Vatterott Jr. and in authors in the Ways and Means Committee unfair for those who benefit from the system many ways characterizes Vatterott's own in­ as a comprehensive resolution-both long­ not to contribute their fair share. I felt com­ defatigable drive to success. range and short-range-of the serious financ­ pelled, however, to vote against the "uni­ That tremendous dedication and energy ing problems confronting our social security versal coverage" provision of the Ways and has brought Vatterott to the top of the trust funds. In my opinion, it is no such Means Committee bill because it raised se­ St. Louis business world and made him one thing-and it constitutes, at best, only a rious constitutional questions about state of the most tireless fund raisers for local and band-aid and mercurochrome solution to our and local government participation in a national charitable causes. most immediate and pressing problem, name­ federal taxation program, and because it The same dedication and energy that ly the projected exhaustion of the disability would cause severe difficulties for states, such caused him to spend two days a week for five trust fund as early as 1979. It is only because as Massachusetts, which have chosen not to years working relentlessly to raise $15 million of the absolute necessity that Congress ad­ be included in the system, and which already for the St. Louis University-Ford Foundation dress this problem immediately-ar.d there­ suffer from severe fiscal problems with their by assure our elderly citizens that the funds Challenge grant during the early 1960s. pensions. Furthermore, I believe that the The same type of dedication exemplified on which they depend will remain solvent­ Ways and Means Committee acted far too that I voted for this bill. by Vatterott during his 10 years of service as precipitously on this issue, without provid­ a hospital trustee and fund raiser for the I cast my vote with extreme reluctance, ing an opportunity for those affected to voice National Jewish Hospital at Denver, a non­ however, because the bill, as approved, would their concerns, and without assuring work­ sectarian, free hospital which provides treat­ increase the highly regressive social security ers caught in the transition to universal cov­ ment for persons suffering from respiratory payroll tax-a tax which I believe to be the erage that they would not suffer any ill least fair of all federal taxes and which con­ diseases. effects. For his efforts on behalf of St. Louis Uni­ stitutes an unfair and increasingly intoler­ I fully intend to support universal cover­ able burden both on working people and on versity he received the 1965 prestigious age for all workers-but not until the Con­ St. Louis Award. In 1968 he received an their employers. I feel strongly that the en­ gress and state and local governments have tire financing system is in dire need of seri­ equally distinguished award for his service to had an opportunity to work together to de­ the National Jewish Hospital-just two of ous reform. And it is absolutely essential that sign the transition in an orderly and fair the Congress address itself to this when con­ many awards Vatterott has received for pub­ manner, and the workers affected know ex­ lic service. sidering comprehensive tax reform legislation actly what to expect. The Ways and Means next year. Toward this end, I plan to co­ But, the Rev. Paul C. Reinert, S.J., chancel­ Committee bill did not provide for this-and lor of St. Louis University and a longtime sponsor legislation in the next session of our teachers and other state and local gov­ Congress to finance the Disability Insurance friend of Vatterott says it best: ernment employees in Massachusetts had "He has the innate urge to be helpful. and Hospital Insurance Trust Funds (Medi­ every reason to be concerned about their fail­ care) through general revenues. 'What will it do for me?' or 'What kind of ure to do so. people will I be helping?' are questions that The social security crisis has been precip­ Finally, let me repeat my hope that the itated in large measure by factors over never seem to occur to him. When asked to approach adopted by the House this week serve, his first impulse is to say 'Yes, I'll ''· hich we have little control. Since 1975, it will not be viewed as the final answer to the has been necessary to dip into the accumu­ problems confronting the social security help,' and hence his major problem has lated reserves of the trust funds in order to trust funds-and my pledge to do all I can always been that he can't say 'no' to a worthy pay out benefits due each year. This is due next year in the effort for genuine reform. cause." · primarily to a combination of u.1expectedly We must find a way to provide for the needs And at the age of 68, Vatterott shows no high unemployment, which curtails social of our retired population without overbur­ signs of slackening in either his business or security revenues, and equally high rates of dening our working population and our busi­ charitable activities. inflation which causes automatic increases He arrives at his Clayton-based realty, ness community with an essentially regres­ building and management company office in social security benefits. Furthermore, the sive tax. sharp decline in the birth rate, along with early, attired in a crisp white shirt, conserva­ an increase in life expectancy and a trend tive tie and plaid business suit. toward earlier retirement, means that within He's been up since 5 a.m. briskly walking the next century, one beneficiary could be JOSEPH H. VATTEROTTHONORED a mile-and-a-half on a treadmill in his Ches­ supported by as few as one or two con­ terfield home, attending daily Mass at St. tributing workers. Anselm's chapel on the grounds of St. Louis An alternative program, offered on Thurs­ HON ROBERT A. YOUNG Priory School and eating a leisurely break­ day by House Republics, offered an approach OF MISSOURI fast with his wife of 42 years, Mrs. Margaret Flaherty Vatterott. I could more easily support. I voted for this IN THE HOUSE OF REPRESENTATIVES amendment (which unfortunately was de­ The "up with the chickens" work ethic is feated overwhelmingly) because it would Tuesday, November 1, 1977 a vestige of Vatterott's early life on his par­ have kept payroll tax rates at their currently Mr. YOUNG of Missouri. Mr. Speaker, ents' 20-acre farm in an area of North St. scheduled levels, and would have provided Louis County near what is now Overland: for transfer of general revenue funds to the last week, more than 500 St. Louisans Vatterott, one of 11 children (six brothers Hospitll Insurance (Medicare) Trust Fund. joined together to honor Joseph H. Vat­ and four sisters), had chores to perform be­ Since Medicare provides health care to older terott, a businessman, philanthropist, fore school. ... and disabled citizens, whether or not they and humanitarian. Mr. Vatterott was Another important ethic Vatterott was are eligible for social security, I believe it nonored by the American Jewish Com­ taught by his father, the late Charles F. makes sense not to rely solely upon social mittee Appeal for Human Relations, Vatterott Sr., was charity. security revenues to finance the program. "I think the important point is that my Another aspect of the alternative proposal which gave him its Human Relations dad always taught us that you really owe 10 was the extension of social security coverage Award. per cent to the church ... A lot of us don't to all federal workers, including members of The award was presented for Mr. Vat­ really do the things we should in life, but I Congress who are now unfairly exempt from terott's efforts to improve relations be­ listened to my dad .... the program, mandating an intensive study tween individuals and groups through Vatterott was not quite 21 years old when of the mechanics of integrating them into his civic, business, and religious life and he and his younger brother, Gregory, set out such a system without causing any worker a for the ecumenical spirit he has fostered to build their first houses. loss of benefits or an unfair increase in taxes. through service to higher education, hos­ "We built three little frame houses out By a vote of 386 to 38, the House deleted pitals, and minority business opportunity there in Pine Lawn. We learned how to do it from the version it finally passed a similar, first-hand," he said referring to the carpen­ and highly controversial provision, which programs. try, painting, roofing and cement work. would have brought not only federal employ­ The award was a fitting tribute to a "We built those three houses and we made ees, but state and local government workers, great American, and I am honored to in­ $700 a piece on them. That was an awful lot and employees of nonprofit organizations sert in the RECORD a recent profile of of money back in those days,'' Vatterott re­ under social security coverage. The exclusion Mr. Vatterott by Charles Oswald, the called .... of these groups of workers has resulted in prize-winning investigative reporter and In the late 1930s, Vatterott struck out on two major problems for the social security feature writer of the St. Louis Globe­ his own, building subdivisions in Webster system: windfall social security benefits Groves, Glendale, Florissant and St. Ann. from outside or second careers despite a Democrat. In all, Vatterott estimates his company has minimum contribution to the system, and The Globe-Democrat article follows: constructed more than 1,500 homes in the large gaps in coverage for those who work PROFILE OF MR. VATTEROTT city and county over the years .... under both civil service and social security A plaque on the wall behind the desk of It was 1952 when Vatterott became active retirement systems, often resulting in small- Joseph H. Vatterott reads in part: "Press on. in the Community Chest (the forerunner of er disability and survivor benefits, or even Nothing in the world can take the place of the United Way) at the urging of his close no pension at all for some. persistence." friend, Norman George. 36428 CONGRESSIONAL RECORD- SENATE November 2, 1977 "He said 'there have been no Catholics in­ THE PANAMA CANAL miracle. Its construction involved sanitation volved in the Community Chest and we'd like and medical techniques that transformed a to have you help us', I said 'I'll be glad to pestilential jungle into one of the healthiest do it,' " Vatterott recalled. HON. LARRY McDONALD areas of the world. The death rate from yel­ "That's when I got involved with so many OF GEORGIA low fever-a terrible scourge in the Amer­ of the Jewish people in our community­ ic.as for more than four centuries-fell from and a more charitable and fine group I've IN THE HOUSE OF REPRESENTATIVES 40 per 1,000 canal workers in 1906 to seven never met .... Tuesday, Novembe! 1, 1977 per 1,000 in 1914. Malaria admissions to Canal That spirit of ecumenism exhibits itself Zone hospitals fell more than 90 percent in daily in Vatterott's busy world. Mr. McDONALD. Mr. Speaker, one of that period. By the time the canal opened "I'm of the opinion that we're growing the sad things that come into the debate in 1914 the Canal Zone's annual death rate much closer together. There used to be a lot over the proposed Panama Canal Treaty was less than half that of the U.S. of bigotry but I think St. Louis is one of the is that somehow the United States has For all their greatness the engineering best cities (for religious and racial harmony) been guilty of wrongdoing in Panama feats of G. W. Goethals and the medical ac­ in the U.S. and we need to atone for past sins. This, complishments of Carlos Finlay, Walter "I can see us one day down the line as one Reed and William Gorgas were only part of unit and this is the way God wants it ... We of course, echoes the Marxist view. The the story. The canal also was the product of pray for one another, we work with one Panama Canal was and is a proud an American brimming with self-confidence, another and we don't question a person's achievement in our Nation's history and believing it could do anything it set out to color, religion or nationality," Vatterott said. stands as a permanent U.S. contribution do. But, actions speak louder than words and to the progress of the world. This is one One has the sense that our own age is more Vatterott has lived out his philosophy. of the many reasons that President Car­ jaded. Hand-wringing over the future has When he and his brother, Charles, built a ter is having difficulty in selling the become fashionable in intellectual salons golf course in St. Ann in the early 1950s it was American people on paying a leftist dic­ and it is a mark of sophistication to dis­ one o·f the first in the area to be fully parage achievements of the past. Such circles integrated. tator to take it off our hands. The in­ now label the Canal Zone a "colonial en­ In 1955, when Vatterott built the first stinctive feelings of the American people clave" peopled by ugly Americans, and air Holiday Inn in St. Louis--the first of nine he are correct on this issue and those who guilts over Teddy Roosevelt's use of the Navy would build-the clause "Caucasians Only" feel we have something to be ashamed of to support Panama's revolt against Colombia, was striken from the registration form open­ in Panama are wrong. An editorial in which had owned the isthmus, in 1903. ing the inn to all races. the Wall Street Journal of August 15, It is forgotten that such power plays were In addition to his tireless work for St. Louis 1977, discusses this aspect of the treaty the norm in that era of manifest destiny. University, for which he received the 1963 They are not unknown even in our own era, Fleur de Lis Medal, and his efforts on behalf matter and I now include it at this point as post-World War II events in Hungary, for the National Jewish Hospital and Cardinal in the RECORD for the edification of my Czechoslovakia, Angola, etc, will attest. Glennon Memorial Hospital for Children, colleagues: But even if you believe that it is anachro­ Vatterott has other mountains to climb. THE PANAMA CANAL nistic for the U.S. to maintain a zone of au­ Since 1971, he has been the driving force David McCullogh, author of a widely-hailed thority stretching across a small, sovereign behind the Development and Expansion Cam­ history of the building of the PIJ.nama Canal, nation, there was little need for the breast­ paign of the St. Louis Archdiocese working commented recently that if archaeologists in beating and mea culpas that accompanied closely to raise millions of dollars here with the future should come upon the canal with the U.S. negotiations that now have provided Cardinal John J. Carberry. the water gone and just the locks still there, a draft treaty that would turn over the canal Vatterott, also chairman of the lay board they'd have to say: "My God, what a civillza­ to Panama by the year 2000. of the new DePaul Medical Center, is From all indications, the administration tion must have built this!" faces a tough fight in selling its treaty to the in the midst of an $8 million fund raising And of course they would be right. The drive for that hospital. Senate. Public opinion polls show that Amer­ canal ranks among the greatest engineering icans overwhelmingly favor keeping the Vatterott has personally given hundreds of feats of history. Counting the fruitless ef­ canal. Even if that were not true many Sen­ thousands of dollars to St. Louis University, forts of the French, it was 44 years in the ators will no doubt find the treaty overgen­ the Catholic Church and other charities in building, costing some $400 million and over erous in its willingness to pay the Pana­ addition to donating thousands of hours of 25,000 lives. manians so liberally to take the canal off our his own time to charitable and civic en­ Even in the Space Age, the canal remains hands. deavors. impressive; its six sets of 1,000-foot-long It might help for the administration to In 1956, Vatterott was made a Knight of locks that lift ships 85 feet to cross a shallow make it abundantly clear that the U.S. con­ Malta by Pope Pius XII, one of the highest mountain range and return them to sea cessions are prompted by a desire to promote honors given to Catholic laymen in recogni­ level again; its two great artificial lakes for goodwill in this hemisphere rather than by tion of their contributions. storing the millions of gallons of water nec­ misplaced feelings of guilt and atonement. He is also a Knight of the Holy Sepulchre essary for the locks; its annual traffic of But it may be a little late for that. A rejec­ and has served on the boards or is a member 14,000 ships on a 50-mile transit between tion, if it comes, will be not just an un­ of the Catholic Charities of St. Louis, the two great oceans. Much of the original equip­ generous act, but a repudiation of those who White House Retreat League and the Legion ment still is in use, 63 years after the canal have counseled that the American record in of One Thousand Men of the St. Louis opened for business. Panama is something for which we owe the Archdiocese. The canal was more than an engineering world an apology.

SENATE-Wednesday, November 2, 1977 (Legislative day of Tuesday, November 1, 1977) The Senate met at 9 a.m., on the lence. May those who are daring and in­ Senate from the President pro tempore expiration of the recess, and was called novative derive wisdom from those who (Mr. EASTLAND) . to order by Hon. DENNIS DECONCINI, a are rich in experience. And may those The assistant legislative clerk read Senator from the State of Arizona. seasoned by years of service find fresh the following letter: inspiration from the throbbing aspira­ U.S. SENATE, PRAYER tions of those more recently committed PRESIDENT PRO TEMPORE, The Chaplain, the Reverend Edward to the tasks. And may we be faithful to Washington, D.C., November 2,1977. L. R. Elson, D.D., offered the following Him who was born of the spirit, spent His To the Senate: prayer: life for every burden bearer, and ever Under the provisions of rule I, section 3, lives to give grace and power to those of the Standing Rules of the Senate, I here­ 0 Lord God of heaven and of Earth, who serve Him in sincerity and truth. by appoint the Honorable DENNIS DECONCINI, quicken our ears to hear and our eyes Amen. a Senator from the State of Arizona, to per­ to see the signs of Thy presence not only form the duties of the Chair. in temples where we worship, but in this JAMES 0. EASTLAND, Chamber and the rooms where we work. APPOINTMENT OF ACTING PRESI­ President pro tempore. Make known Thyself to us in consulta­ DENT PRO TEMPORE Mr. DECONCINI thereupon assumed tions, in debates, in our coming in and The PRESIDING OFFICER. The clerk the chair as Acting President pro tem­ our going out, and in the moment of si- will please read a communication to the pore.